• Australian Hotels Association

  • Department of Education, Employment and Workplace Relations


April 2010

Project Overview:

Project Rationale – it is widely acknowledged that enhanced productivity will underpin the continuing viability of hospitality and accommodation businesses. The challenge is greater than finding sufficient people to meet a growing market. An increasingly demanding customer is also expecting higher service levels. Productivity improvements need to increase the value of the products and services provided. Value may be enhanced by reducing price, increasing quality or improving the timeliness or accessibility of product or service provision.

Some employers in the industry do not have a good understanding of the link between skills and productivity and what it can mean in the context of their business.  Given that measuring productivity in hospitality is also acknowledged to be particularly difficult, the project focused on the factors and workplace practices that can directly influence productivity enhancements in hotel and accommodation enterprises and to develop industry specific tools that can assist in the process.

A range of hotel and accommodation employers were engaged across the star ratings and across regions. These included enterprises from international chains at four and five star levels, luxury resorts, pubs with accommodation, and pubs with no accommodation.  In total, 14 sites are involved in the pilot project.

Project Outcomes:

BGA approached relevant state agencies and was successful in securing funding for the pilot projects. The effectiveness of the interventions was measured, particularly the pilot projects, against ‘Workforce Productivity Measurement Tool, taking into account the effectiveness of skills development activity to address issues such as business dynamics, employee performance, customer satisfaction, financial performance and innovative practices.

The project provided an in depth understanding of how productivity can be measured in the sector, and how managers and employees define productivity. Workplace interventions that went beyond qualifications and training to include how training might be applied in practice, and how it complements other workplace practices in enhancing an enterprises’ performance was also identified.

Drivers and barriers to increased productivity in the sector were ascertained, providing a clear sense of the factors influencing productivity.

Support materials, case studies, guiding frameworks and research tools were developed as part of the project, to support subsequent productivity enhancements in the hotel and accommodation sector.


For further information about this project, contact Steve Balzary on 0418 215 732