PROPERTY AND FACILITIES MANAGEMENT PRACTICE IN

HOSPITALITY INDUSTRY.
(THE CASE OF 4&5 STAR HOTELS IN DAR ES SALAAM)

YEAR IV SEMESTER II DISSERTATION

BY
SYLVESTER EMIL MDINDA

A Dissertation submitted in partial fulfillment of the requirements for the award of the BSc.
Property and Facilities Management at Ardhi University

ARDHI UNIVERSITY
SCHOOL OF REAL ESTATE STUDIES
DEPARTMENT OF PROPERTY AND FACILITIES MANAGEMENT
DAR ES SALAAM JULY, 2014

1
 PROPERTY AND FACILITIES MANAGEMENT PRACTICE IN
HOSPITALITY INDUSTRY.
(THE CASE OF 4&5 STAR HOTELS IN DAR ES SALAAM)

SYLVESTER EMIL MDINDA

A Dissertation submitted in partial fulfillment of the requirements for the award of the BSc.
Property and Facilities Management at Ardhi University

ARDHI UNIVERSITY
SCHOOL OF REAL ESTATE STUDIES
DEPARTMENT OF PROPERTY AND FACILITIES MANAGEMENT
DAR ES SALAAM
TANZANIA. JULY, 2014

2
 DEDICATION

I dedicate this dissertation to my late father Sylvester Mdinda Shija whose unforgettably

efforts in laying the foundation of my education and his extraordinary ability to induce me

with ‘knowledge seeking spirit’ made me reach this stage today. My mother Vestiner

Berchmans Bullu for her supporting and prayers, my siblings Raymond and Violeth plus my

uncles Makwaya and Fabian Shija who all at different times have been showing me an

outstanding assistance in this expedition. My late uncle Dr. Kalussanga and his family, my

beloved aunts, uncles, cousins, Grandfathers, Grandmothers, friends, classmates and most

importantly the Almighty God.

i
 DECLARATION

I, Sylvester Emil Mdinda, the undersigned student hereby declare that the contents of this

report are the results of my own study and findings and, to the best of my knowledge, have

not been presented elsewhere for a Diploma, Degree or any professional award in any

Institution of Higher Learning.

………………………………………………………………………

SYLVESTER EMIL MDINDA,

Department of Property and Facilities Management

Ardhi University, Dar es Salaam

SUPERVISOR’S DECLARATION

This report has been presented as a Dissertation in partial fulfillment of the requirements for

the award of the BSc. Degree in Property and Facilities Management of Ardhi University.

…………………………..…………… …………………………………………

Mr. Sauli Nkini Dr. Charles Lucian

DISSERTATION SUPERVISOR HEAD OF DEPARTMENT OF

PROPERTY AND FACILITIES

MANAGEMENT,

ARDHI UNIVERSITY.

ii
 ACKNOWLEDGEMENT

I take this opportunity to express my sincere appreciation to various individuals for their

assistance in the course of conducting this study. I am particularly indebted to my supervisor,

Mr. Sauli Nkini for his tireless and consistent academic guidance to make this work a

success. His advice was helpful throughout the research period and may God bless him

abundantly.

My thanks also goes to the respondents in the surveyed hotels, Lecturers in the School of

Real Estate studies especially Dr. Hidaya Kayuza for her comments and corrections

whenever arouse, Dr. Agnes Mwasumbi as one of the earliest people to approve the idea

behind the study, Dr. Komu and Dr. Banyani for their comments and challenges in the broad

field of Facilities Management and Mr. Justine and Mr. Kanuti for their access to various

academic resources which have been cited in this study.

Lastly, my colleagues for providing a good and enabling environment to complete the course.

To my relatives who prayed for me and tolerated then conveniences I caused them in one way

or another, contributed enormously to my academic success. As Latin’s would have said

‘Deus Caritas’ i.e. God is love, it’s my anticipation that God will find a way to repay you in

one way or another. To God be the Glory.

iii
 ABSTRACT

The study examined the practice of PFM in the hospitality properties specifically 4&5 Star

hotels in Dar es Salaam. The main objective of the study was to find a way to blend Property

and Facilities Management professions in the Hospitality Industry. The specific objectives of

the study focused on finding out the extent of PFM practice in the selected hotels, perception

of hotel’s operators towards PFM and determination of the reason behind outsourcing and in-

house provision of services in the industry.

The study employed a mixed approach. The sample population comprised of 10 hotels. A

survey questionnaire with Likert scale questions together with open ended questions was

constructed and then distributed purposively. Targeted respondents were Property or

Facilities Managers, Maintenance Supervisors, Engineers, General Managers and Human

Resource Managers. Quantitative data were analyzed by means of Likert items while

qualitative data were analyzed by the coding process.

In brief, the findings were that, the extent of PFM practice in hotels is low and narrowed.

Most of hotel’s operators are not aware of both PFM as professions and what value they can

add in the hotel’s business context. Condition survey, maintenance and support services

management are the most PFM related duties performed in the hotel management. It was also

revealed that most services are absolutely managed in-house and the reason behind

outsourcing the few services is mainly lack of skills for in-house technicians. Having proved

its efficacy in aiding hotel effectiveness in operation and service delivery in developed

countries, the time is ripe for PFM expertise to be incorporated and implemented not only

within hotel sector but other sectors of the economy.

iv
 TABLE OF CONTENTS

DEDICATION............................................................................................................................i

DECLARATION .......................................................................................................................ii

ACKNOWLEDGEMENT ....................................................................................................... iii

ABSTRACT..............................................................................................................................iv

LIST OF TABLES................................................................................................................. viii

LIST OF FIGURES ..................................................................................................................ix

LIST OF ABBREVIATIONS....................................................................................................x

CHAPTER ONE ......................................................................................................................1

GENERAL INTRODUCTION...............................................................................................1

1.0 Background of the Study .............................................................................................................. 1

1.1 Statement of the Problem.............................................................................................................. 4

1.2 Objectives of the Study................................................................................................................. 5

1.2.1 Main Objective...................................................................................................................................... 5
1.2.2 Specific Objectives ............................................................................................................................... 5

1.3 Research Questions....................................................................................................................... 5

1.4 Significances of the Study ............................................................................................................ 5

1.5 Scope of the Study ........................................................................................................................ 6

1.6 Research Methodology ................................................................................................................. 6

1.6.1 Data Collection Methods ...................................................................................................................... 7
1.6.2 Primary Source of Data......................................................................................................................... 7
1.6.3 Secondary Source of Data..................................................................................................................... 8
1.6.4 Sampling Technique ............................................................................................................................. 8
1.6.5 Data Analysis and Presentation............................................................................................................. 9

1.7 Ethical Considerations .................................................................................................................. 9

1.8 Literature Review.......................................................................................................................... 9

1.9 Conclusion ..................................................................................................................................14

v
CHAPTER TWO ...................................................................................................................15

CONCEPTUAL FRAMEWORK.........................................................................................15

2.0 Introduction to Hospitality Industry...................................................................................15

2.1 History and Evolution of Hospitality Industry............................................................................15

2.2 Accommodation Industry and Their Development.....................................................................16

2.3 Types of Hospitality Properties...................................................................................................17

2.4 Hotel Definitions.........................................................................................................................19

2.5 The Hotel Classification Criteria ................................................................................................20

2.5.1 Star Grading System ........................................................................................................................... 20

2.6 Importance of Hospitality Industry to the Economy...................................................................23

2.7 Hotel’s Service Departments ......................................................................................................24

2.7.1 The Functions and Departments of a Typical 4&5 Star Hotel ............................................................ 24
2.7.2 The Duties of Key Executives ............................................................................................................ 25
2.7.3 Functions of Major Hotel’s Departments and their Relationship........................................................ 26

2.8 Hotel’s Accommodation Package ...............................................................................................27

2.9 Hospitality Industry in Tanzania.................................................................................................28

2.11 Conclusion ................................................................................................................................31

CHAPTER THREE ...............................................................................................................32

PROPERTY AND FACILITIES MANAGEMENT IN HOSPITALITY INDUSTRY ..32

3.0 Introduction.................................................................................................................................32

3.1 Property and Facilities Management Practice in the Hospitality Industry..................................32

3.2 Property Management Profession, History and Evolution..........................................................32

3.3 Definitions and Important Concepts of Property Management ..................................................33

3.4 Types of PM Methods and their Application in Hospitality Properties......................................36

3.5 Property Management Functions in Hospitality Industry Properties ..........................................37

3.6 History and Evolution of Facilities Management Profession .....................................................41

3.7 Facilities Management Definitions and Important Concepts......................................................43

3.7.1 Authoritative Definitions .................................................................................................................... 43

vi
 3.7.2 FM Key Concepts and their Application in Hospitality Industry Properties ...................................... 44

3.8 The Typical Works of a Facilities Manager................................................................................55

3.9 Property and Facilities Management Practice in Tanzania .........................................................57

3.10 Conclusion ................................................................................................................................59

CHAPTER FOUR…………………………………………………………………………60

RESEARCH FINDINGS.......................................................................................................60

4.0 Introduction.................................................................................................................................60

4.1 Research Methodology ...............................................................................................................60

4.2 Results and Analysis ...................................................................................................................61

4.2.1 Part A: General Information ............................................................................................................... 62
4.2.2 Part B: The Extent of Application of Property and Facilities Management Expertise in Hotels ........ 63
4.2.3 Part C: Perception of Hotel Operators towards Property and Facilities Management Professions. .... 65
4.2.4 Part D: Procurement of Services in Hotels.......................................................................................... 69
4.2.5 Open Ended Responses....................................................................................................................... 73

4.3 Chapter’s Summary and Conclusion...........................................................................................75

CHAPTER FIVE ...................................................................................................................76

DISCUSSION, RECOMMENDATION AND CONCLUSION.........................................76

5.0 Introduction.................................................................................................................................76

5.1 Observation and Finding’s Summary .........................................................................................76

5.2 Discussion...................................................................................................................................79

5.3 Recommendations.......................................................................................................................82

5.4 Direction of Future Research ......................................................................................................83

5.5 Concluding Remarks...................................................................................................................84

REFERENCES .................................................................................................................................85

APPENDICE 1.1...............................................................................................................................90

APPENDICE 1.2...............................................................................................................................99

APPEDICE 1.3 ...............................................................................................................................102

vii
 LIST OF TABLES

Table 3.1 Common Quality Tools Used by FM Department of Hotels...................................49

Table 3.2 Links of FM department roles to TQM performance ..............................................50

Table 4.1 Maintenance Challenges Existing In Hotel Buildings in (Percentages) ..................64

Table 4.2 Factors for Outsource Of Services in Hotels in (Percentages) ................................71

Table 4.3 Benefits from Holistic Adoption of PFM in Hotel Organizations...........................73

viii
 LIST OF FIGURES

Figure 2.1: Typical Hotel Organization Chart .........................................................................25

Figure 2.2: Hotel Accommodation Package ............................................................................28

Figure 3.1 Electricity Consumption per Room-Night..............................................................53

Figure 3.2: Required competence of a Hotel Engineer............................................................56

Figure 4.1 Maintenance Types in (Percentages)......................................................................65

Figure 4.2 Perceptions of Property and Facilities Management Professions in

(Percentages)............................................................................................................................66

Figure 4.3 Importance of Property and Facilities Management Functions In Relation To the

Hotel Management Structure in (Percentages) ........................................................................67

Figure 4.4 Hotel Attraction Features in (Percentages).............................................................68

Figure 4.5 In-house and Outsourced Services in (Percentages) ..............................................70

Figure 4.6 Challenges Facing the whole scale Adoption of PFM in the Hotel

Organization.............................................................................................................................72

ix
 LIST OF ABBREVIATIONS

AD Anno Domino

BC Before Christ

BIFM British Institute of Facilities Management

BSc Bachelor of Science

CAFM Computer Aided Facilities Management

CBD Central Business District

CSR Community Social Responsibility

ERP Enterprise Resource Planning

F&B Food and Beverage

FITs Free Independent Travelers

FM Facilities Management

Fm Facilities Manager

GDP Gross Domestic Product

GITs Group Inclusive Tours

GM General Manager

HAT Hotels Association of Tanzania

HRM Human Resource Manager

HTTI Hotel and Tourism Training Institute

HVAC Heating Ventilation and Air Conditioning

ICT Information and Communication Technology

IFMA International Facility Management Association

IT Information Technology

LCM Life Cycle Management

OSHA Occupational Safety and Health Authority

x
PFM Property and Facilities Management

PM Property Management

Pm Property Manager

PMS Property Management Systems

SPSS Statistical Package for Social Science

SRES School Of Real Estate Studies

TFMA Tanzania Facilities Management Association

TPMA Tanzania Property Management Association

TQM Total Quality Management

TV Television

URT United Republic of Tanzania

USA United States of America

USD United States Dollar

VIP Very Important Person

xi
 CHAPTER ONE

GENERAL INTRODUCTION

1.0 Background of the Study

Hospitality Industry is one of the biggest industry in Tanzania, according to H.E. Jakaya

Mrisho Kikwete the president of URT (United Republic of Tanzania) in his speech of

September 2012, Hospitality Industry in 2011 accounted for 17% of GDP (Gross Domestic

Product).

The industry consists of those businesses and institutions that provide food and lodging such

as hotels, motels, lodges, inns, cruise ships, restaurants etc. To some extent it also includes

the airlines industry. In a broad sense, any group engaged in tourism, entertainment,

transportation and lodging are covered under Hospitality Industry (Edwards, 2012).

Hospitality Industry’s properties like hotels, motels, and other luxury properties forms part

and parcel of real estate and construction industry although they have been highly not

embedded in real estate management issues as they have been mainly unde r the supervision

of Hoteliers or Engineers as soon as they are finished being constructed.

The integration of Property Management and Facilities Management professions in different

sectors of economy in the world is still at infancy stage especially in the Hospitality Industry.

This can be witnessed not only in Tanzania but also in other developing countries in the

world.

1
Facilities Management profession is basically about the management of non-core services in

an organization so as to make sure that there is a co-ordination of people and their working

environment by allowing the management to concentrate on the core or major objectives of

the particular institution and obtain the anticipated outcomes. In Hospitality Industry’s

properties there are different kind of non-core services like cleaning, security, landscaping,

ICT, tendering and contractual arrangements etc. (Tucker and Pitt, 2008). All these services

needs a strategic management plan to sustain the survival of the core business. Facilities

Management application in Hospitality Industry is likely to be seen mostly in supporting

services surrounding hospitality properties like hotels.

On the other hand, the attention of a Property manager is to manage a building as a physical

structure and the people who use it. Particularly it deals with property maintenance, property

marketing, tenant’s relationship management, leasing, building survey, property

development, and every aspect which ensures that the property remains in good state and

produce the intended outcomes. In 4&5 star hotels, property management is mainly observed

in maintenance planning and supervision and other activities such as physical inspections.

Four and five Star hotels are highly departmentalized and each department is technically

managed by specific professionals who are being monitored by the general manager.

According to Edwards (2012), in the Hospitality Industry the position of someone responsible

for Property and Facilities Management or related tasks has many titles such as “Chief

Engineer,” “Superintendent,” “Property Manager,” “Director of Engineering,” or, in smaller

operations, the position might simply be called “Maintenance Man” or even the “Owner.”

Whatever it is called, the role of this position remains the same. This position is responsible

2
for maintaining the physical structure and operating systems of the establishment in a

functional condition.

The Hospitality Industry has a strong market competition; therefore, customer satisfaction

and retaining loyalty is crucial for a hotel’s success. This is evidenced by European and

American industrial and commercial organizations (including Hotels) have gone ahead to

adopt facilities management as one of their strategic management instruments to improve the

performance of their hotels (Telfer, 2005). Effective facilities management combines

resources and activities to generate the work environment vital to the success of any

organization.

In Tanzania, a good number of facts and incidents aided the development of Hospitality

Industry’s properties i.e. hotels. First is the public sector involvement, which had been

predominant at least up to the late nineties. Hotels were established for providing

accommodation for government visitors and patrons. Examples include Kilimanjaro Hotel,

Tabora Hotel, and Morogoro Hotel. Public sector involvement was highly influenced after

liberalization and multipartism.

Most of government hotels before being privatized were facing serious maintenance issues

due to severe dilapidation which caused malfunctioning and substandard services provision.

But soon after being privatized some of these hotels have been praised for having standard

facilities services and appealing aesthetic condition. The adoption of Property and Facilities

Management as a strategic management principle to get hold of the market going has been

said to be among the factors behind the success.

3
1.1 Statement of the Problem

It’s an obvious fact that most of hotel properties are being managed by hotel operators who

are more knowledgeable in hospitality and related matters such as reservation, housekeeping,

catering etc., rather than Property Management aspects of maintenance, building survey, etc.

which are essential in increasing the life cycle of these properties. Moreover Facilities

Management matters like benchmarking of services or energy consumption, life cycle

management, total quality management and others are being managed by individuals who are

less informed in Facilities Management strategies.

Even in fewer cases whereby some of these properties have departments or people

responsible for Property and Facilities Management or related services, they are still facing

difficulties to get the right personnel. However PFM professions have been highly sidelined

in the hotel management matters. This affect directly and indirectly the quality of services

and assets in these properties. The embedment of PFM expertise in the hotel management can

bring about customer satisfaction, increase the life cycle and functionability of the properties

and also the return on investment.

There is the need to investigate what the thriving hotels are doing to sustain themselves in

business with particular regards to the Management of their Facilities and Property assets

which has resulted to more effectiveness and efficiency to the managerial level, satisfaction

and value for money to customers and optimum returns to the investors. The study is also

essential as to cover for the existing research gap or lacuna because little research has been

done on the particular subject, especially in Tanzania.

4
1.2 Objectives of the Study

1.2.1 Main Objective

To explore ways into which Property and Facilities Management professions can be blended

in the Hospitality Industry’s properties.

1.2.2 Specific Objectives

i. To assess the extent of Property and Facilities Management practice in the 4&5 Star

hotels.

ii. To examine the perceptions of hotel operators towards Property and Facilities

Management professions.

iii. To determine factors that determine the adoption of outsourcing and in-house

strategies when procuring services in 4&5 Star hotels.

1.3 Research Questions

i. What is the extent of Property and Facilities Management practice in the 4&5 Star

hotels?

ii. How is the perception of 4&5 Star hotels operators towards Property and Facilities

Management professions?

iii. What are the factors that determine the adoption of outsourcing and in-house

strategies when procuring services in 4&5 Star hotels?

1.4 Significances of the Study

i. This study intends to be worthwhile for students who are pursuing a career in real

estate studies as it will assist them in their academic matters as to cover for the

existing research gap.

5
 ii. It’s the aim of this research to expand the scope of opportunities for Property and

Facilities Management professionals who would like to practice their expertise in the

Hospitality Industry.

iii. This study also, aims to increase awareness to hospitality properties owners about the

existence of Property and Facilities Management experts in the country.

iv. To encourage real estate companies to go into hotel Property Management.

v. To stimulate for more researches on the application of FM to other sectors of

economy so as to benefit from FM added value.

1.5 Scope of the Study

The study was limited to Dar es Salaam region only due to the time frame allowed for the

research as well as associated logistics in covering the whole country make it imperative that

the research be limited to this coastal town only. The hotels which were chosen most of them

had a long history in the Hospitality Industry and the fact that Dar es Salaam is among top

tourist’s hotspots in the country which happen to have many 4&5Star hotels compared to

other regions. In conceptual scope the study aimed at exploring ways to blend in Real Estate

Industry and Hospitality Industry together in Tanzania.

1.6 Research Methodology

The study about the practice of Property and Facilities Management in the Hospitality

Industry’s properties requires elements of both methods i.e. qualitative and quantitative so as

to obtain a variety of in-depth responses. Certain objectives demands an employment of

quantitative strategies of inquiry i.e. survey method so that a generalization of the respective

findings could be easily justified. In consideration of the nature of this study and the analysis

6
of all research approaches; both qualitative and quantitative approach also known as a mixed

approach was considered to be a suitable choice for this study.

1.6.1 Data Collection Methods

This refers to a process of gathering specific information aimed at providing some facts. The

data collected were both primary and secondary, that is to say primary data is the one that

comes straight from the field and secondary data is the one that is processed and comes from

other sources like literature reviews e.g. books, journals, newspapers, reports, articles etc.

1.6.2 Primary Source of Data

i. Questionnaire

The questionnaire consisted of a list of both open-ended and close-ended questions presented

to the respondents for them to fill in. Likert scale questions were predominant in the

questionnaire. This was supposed to be appropriate due to the advantageous side of the Likert

Scale as the most universal method for survey collection, therefore they are easily

understood. The responses are easily quantifiable and subjective to computation of some

mathematical analysis. Since it does not require the participant to provide a simple and

concrete yes or no answer, it does not force the participant to take a stand on a particular

topic, but allows them to respond in a degree of agreement; this makes question answering

easier on the respondent. Also, the responses presented accommodate neutral or undecided

feelings of participants. These responses are very easy to code when accumulating data since

a single number represents the participant’s response. Likert surveys are also quick, efficient

and inexpensive methods for data collection.

Questionnaires were distributed to twenty (20) different hotel personnel in the ten (10)

selected hotels in Dar es Salaam, that is to say each hotel was distributed with two (2)

7
questionnaires to its hoteliers responsible with Property and Facilities Management or related

duties and top managerial level i.e. Human resource managers and general managers/resident

managers. The study used a questionnaire survey because the method does not consume

much time, and it’s the most popular and easier way to collect and analyze data.

1.6.3 Secondary Source of Data

i. Documents Collection

During the time of data collection, the respondents were asked to share with the researcher

typical documents which demonstrated various issues concerning the particular study.

Brochures, Letters, flyers, magazines, respective websites, books, journals, newspapers,

reports, articles and other relevant materials were provided accordingly. These processed

information materials were adopted and treated as a secondary data during the study.

1.6.4 Sampling Technique

Sampling refers to a process of selecting a number of individuals or objects from a population

such that the selected group contains elements representative of the characteristics found in

the entire group (Orodho and Combo, 2002). In this study purposive sampling was applied

due to the fact that, with good judgment and an appropriate strategy we can always handpick

the case to be included and thus develop sample that are satisfactory in relation to our need

(Barnett, 1991).

A common strategy of purposive sampling is to pick cases that are judged to be typical of the

population in which the researcher is interested, assuming that error of judgment in the

selection will tend to counter balance one another. The general population of the study is (15)

fifteen 4&5 Star hotels available in Dar es Salaam i.e. (three 5Star and twelve 4Star hotels).

8
The sample size which was adopted in the study was a total of ten (10) 4&5Star hotels which

technically was two out of three hotels of the general population. A total of 20 respondents

were taken, 2 from each selected hotel. This was due to the nature of the study’s population

that there are few hotels which have the particular attributes to be referred as 4 or 5 Star

hotels.

1.6.5 Data Analysis and Presentation

Since the study used a mixed approach then for quantitative data which was collected by a

questionnaire survey in a close ended form were analyzed by Likert items using frequency

and percentages statistical measurements. The Likert item which had a high frequency and

percentages is the one which was taken as a general conclusion of that particular statement.

This process was aided by the use of a computer program known as SPSS. Data from this

result was presented in text, numbers, graphs, tables and charts. In analyzing qualitative data

a coding process which is a process of organizing materials into chunks or segments of text

before bringing meaning to information was used.

1.7 Ethical Considerations

General safeguards to the respondents during the data collection process was including the

use of an informed consent form, a discussion of the survey agenda and time frame. All

agreements made to the respondents in this study were kept by the researcher. In addition the

identities of the respondents or any other informants was held in confidence unless otherwise

the particular respondent requested the inverse.

1.8 Literature Review

A comprehensive review of related literature and industry reports was used to generate

information on either Property and Facilities Management or Hospitality Industry.

9
Specifically, the understanding of the three professions, methodology, findings, their range of

activities, and how they come together was a major factor for the collection of these various

literature reviews.

Hospitality is the act of kindness in welcoming and looking after the basic needs of guests or

strangers, mainly in relation to food, drink and accommodation. A contemporary explanation

of hospitality refers to the relationship process between a guest and a host. When we talk

about the “Hospitality Industry”, we are referring to the companies or organizations which

provide food and/or drink and/or accommodation to people who are away from home

(Mackenzie and Chan, 2009).

Moreover, Tucker and Pitt, (2008) defined FM as the integration and alignment of the non-

core services, including those relating to premises, required to operate and maintain a

business to fully support the core objectives of the organization. In addition to that Property

and Real Estate Managers supervise and control large real estate holdings, manage

condominium associations, and purchase and sell real estate for their clients, who own

investment property but lack the time or training to manage it.

Frapin- Beaugé et al (2008) argues that “Accommodation (in North America more typically

‘lodging’) management is regarded as one of the two core activities that lend the Hospitality

Industry its distinctiveness as a sector, the other being food and beverage management.

Also an issue more relatively recent in origin concerns the extent to which certain hotel

services, especially in the rooms division, can be outsourced that is, performed by external

companies (‘contractors’) in return for a fee (Rawstron, 1999). In many countries, hotel’s

laundry services are normally outsourced and there are numerous examples of other services

10
being treated similarly, for example security, grounds and garden maintenance, pest control

and guest room cleaning.

There is great diversity in the global hotel sector and many international companies operate a

number of brands in often different market segments. If there is not quite yet a hotel to suit

the budget of every potential traveler then this is not far from the truth. Confusion can arise

among customers as to both brand difference and comparability and can be complicated by

variations ‘within brand’ between countries. In some countries certain international hotel

brands offer a full range of facilities and services that are not offered in hotels of the same

brand in their countries of origin or elsewhere. The scope for guest confusion should,

theoretically, be reduced, if not eliminated, by hotel grading schemes, historically presented

in the form of ‘star’ ratings (Wood, 2010).

According to Durodola & Oloyede (2011), a research on 57 hotels in Nigeria regarding the

importance of asset management. They concluded that the goal of facility management is to

support the core business; an effectively planned maintenance program to upkeep the assets is

one of the important ways for improving hotel business. Effective preventive maintenance

enables the physical plants to provide a comfortable and safe environment; proper upkeep of

fixtures and furniture provides a cozy and warm atmosphere.

In their study of the benefits of facilities management in the Hospitality Industry, Okoroh,

Jones and llozor (2003), suggested a model of hotel accommodation package to satisfy

customer needs. It suggests that while hotels focus on tangible service such as room check-

in, food service; hoteliers should also realize that customer satisfaction must be balanced with

intangible services such as security, a feeling of well-being etc.

11
Efficient maintenance of building systems is essential in order to provide a healthy and

comfortable environment for hotel guests. For example, Lewis (1999) points out that

preventive maintenance is to provide proper lighting, good air quality, clean water supply and

sound vertical transportation for the building occupants. This service requires professional

and technical knowledge from the hotel engineer.

On the other hand no matter how well a hotel can perform its regular maintenance, there are

still some minor problems. For example, noise from fan coil units, requests for temperature

adjustments due to personal preferences, unexpected water pipe leakage etc. These guest

requests or complaints would impact the customer satisfaction negatively; a quick response to

these work requests is an effective recovery action for these deficiencies (Chan, Lee &

Burnett, 2001).

It’s an obvious fact that most of five-star hotels have high occupancy loads; most occupants

hotel guests, are not familiar with the building. During an emergency situation such as a fire

or blackout, ensuring the safety of these people becomes very difficult. Fire Safety

Engineering (2006) points out that even with comprehensive safety codes, fires still cause

death and injuries in hotels; this is mainly due to unprofessional crisis management.

Knowledge in maintaining an effective emergency plan is essential. Hotel Fm or facilities

managers are the key people to ensure the effectiveness of this plan; this includes not only the

normal maintenance of firefighting equipment, but also the training of all staff in fire drill and

evacuation practice.

The research conducted by (Crowell C, 2009) further elaborates the importance of “having a

well thought out emergency action plan and a staff that knows how to execute it is just as

important as all of the building codes”. Guests would assume that staff in the hotel is well

12
trained and prepared to assist guests in case of emergencies. Therefore, conducting fire drills

and emergency evacuations is one of the important safety practices in hotels; all the staff in

the building is expected to be well trained and capable of guiding guests to leave the hotel

building in the case of an emergency. The objective is to avoid fatal injuries during the

outbreak of incidents and accidents.

Also by promoting energy conservation is not only inclusive in the Hospitality Industry; it is

a world-wide ‘green’ effort. Controlling the utilities in a building such as electricity, gas,

steam, fuel oil and water requires technical knowledge; hotel facilities managers are the

experts to promote this awareness. Reducing the energy consumption or minimizing the

wastage could reduce environmental pollution; it can also save on utility expenses (Chan,

2007). Rutherford (1987), in his study of the responsibilities of hotel chief Fm, pointed out

that energy conservation and management came in second in the list of his study results.

Another function of the facilities/engineering department is the control of maintenance

expenses. Hotel Fm need to be sensitive in controlling the spending of expenses in order to

meet the financial budgets (Cotts, 1998). Chan (2007) points out that maintenance cost is as

high as 8-12 %; while the utility cost is as high as 5-12% of the total hotel expenses.

Engineering is to support the profit margin by controlling the expenses of utilities by

implementing energy conservation programs, and the outsource expenses by selecting

competent contractors.

The researcher, Chan (2007) continues by suggesting that an effectively planned maintenance

framework could minimize the cost, as it prevents the breakdown of equipment which could

cause an interruption in business. Planned maintenance allows for the minimization of

emergency repair and the loss of production capacity.

13
Lastly project management in specific is another area in Hospitality Industry. Hotel areas

need to be refurbished at regular interval in order to maintain the contemporary (Sohail et al,

2007). For example, guest rooms are renovated once every five to seven years; typical score

of work includes replacement of furniture and fixtures, redecoration and some minor

modifications (Langdon & Everest, 2002).

Project manager need to plan and coordinate these projects. Wysocki (2009) advises that the

goal of project management is to complete the project within the budgeted timeframe and

cost as per the determined quality requirements. This can be concluded by saying that it’s an

obvious fact that hospitality personnel or hoteliers are not academically equipped to perform

these works.

1.9 Conclusion

In a nutshell this chapter highlighted in detail the various aspects of this study. General

background of the study, statement of the problem, objectives of the study, research

questions, significances of the study, scope of the study, research methodology, data

collection techniques, data analysis and presentation, and finally the literature review

segment are among of the things which have been discussed in this chapter.

14
 CHAPTER TWO

CONCEPTUAL FRAMEWORK

2.0 Introduction to Hospitality Industry

This chapter is composed of the history and evolution of Hospitality Industry, definitions and

classification of hotels, organizational structure of the industry, the nature of hotel’s

investors, customers and employees. The chapter goes further by pointing out the overview of

the Hospitality Industry in Tanzania.

2.1 History and Evolution of Hospitality Industry

Early travelers were either warriors or traders or people in search of knowledge and there

were no hotels. Warriors and conquerors pitched their tents for accommodation while traders

and persons traveling for knowledge placed a high value on hospitality and sometimes traded

their merchandise for lodging.

In keeping can be said to be the first commercial enterprise and hospitality one of the first

service for which money was exchanged. Inns of ancient times offered only a cot or a bench

in the comer. Guests stayed in large communal rooms with no sanitation and privacy. The

rates were, of course, reasonable, the company was rough and travelers shared the same

quarters with their horses and animals1.

In the 3rd century AD, the Roman Empire, developed an extensive network of brick paved

roads throughout Europe and Asia Minor, and a chain of roadside lodges was constructed

along the major thoroughfare from Spain to Turkey. Till the Industrial Revolution of the

1
www.ichm.edu.np/Introduction to Hospitality Industry (accessed May 02, 2014).

15
1700s, no significant improvement was made in the inns, and taverns and they were not very

suitable for aristocrats. To accommodate wealthy travelers, luxurious structures were

constructed with private rooms, individual sanitation and comforts of a European castle.

These elegant new establishments adopted the French word for mansion 'Hotel'. Their rates

were beyond the reach of an ordinary person2.

2.2 Accommodation Industry and Their Development

Early history of accommodation for travelers can be traced back to the Greek word 'Xenia',

which not only meant hospitality but also the protection given to a traveler from discomforts.

The city was bound to offer hospitality. In this period travelers were mainly diplomats,

philosophers; intellectuals arid researchers. Guests were invited to stay with noblemen. In

ancient Olympia, buildings constructed with the aim to accommodate strangers can still be

seen. They were called 'Leonidio' and were, built in 4th century B.C. The concept of

hospitality can also be drawn back to ancient times. Homer the famous Greek writer finds

mention of it in Iliad and The Odyssey.

In the thirteenth and fourteenth centuries, manor houses, being hospitable places; willingly

gave accommodation to travelers. As no payment was expected, travelers tipped the servants

as a 'thank you' for the generous hospitality received-thus the practice of tipping was born.

When high taxes crippled the generosity and hospitality of the owners of the manor houses,

many became commercial inns. During Elizabeth the First's reign, posting houses were

established and travelers, in addition to getting refreshment were able to change horses before

continuing their journey.

2
ibid.

16
 The next stage in the cycle of evolution of the hotel industry was the coming of the motorcar.

It enabled people to visit those parts of the country not reached by railways. This gave birth

to inland resorts and the hotel Industry began to flourish. International air, travel has helped

create the modem 'stop-over' hotel. With the increase in this form of travel, the number of

hotels built close to airports multiplied3.

2.3 Types of Hospitality Properties

Classifying Hospitality properties because of constant changes, staying current just with who

is offering what and where can be difficult for the guest. The necessity for classifying hotels

came about when hotels began to differ from one another enough to appeal to different group

of people. Long gone are the days when the guest had two choices luxury hotels or budget

hotels. Hotel entrepreneurs such as Kemmons Wilson created a third option when they built

facilities intended to serve middle class families. These property classes had clear cut

boundaries in the beginning. Potential guests knew they could expect more services at a

luxury hotel than a budget motel, and something in between at a midpriced hotel.

As the economy in general boomed and room supply increased, hoteliers focused on setting

themselves apart from the crowd by offering specialized accommodations. No longer just a

place to sleep, hotels were appealing to conventioneers, business groups, and special interest

groups. Descriptive hotel classifications helped potential guests locate suitable lodgings, and

as such, became a valuable marketing tool4.

i. Hotel Properties. From the age of grand hotels to the troubled 1990s, the hotels have

been the most fabled type of lodging. Varying greatly in style and service, most hotels

3
ww.ichm.edu.np/Introduction to Hospitality Industry (accessed May 05, 2014).
4
www.edb.gov.hk/Introduction to Hospitality Eng. (accessed May 7, 2014).

17
 share a similar structure. They generally have more than two stories with guest rooms

located along common hallways. Guest’s rooms usually have a bed, bath, telephone, and

television. In addition to housekeeping, services may include luggage assistance, access

to a business center for use of a photocopier or fax machine, and availability of recreation

facilities, restaurants, or bars. Hotels are most often located in or near business districts,

travel destinations, and airports.

ii. Motel Properties. Motels offered fewer amenities and were less expensive to build and

operate than downtown hotels. The lower rates, basic accommodations, roadway

locations, and lack of a central lobby were well-suited for the new overnight automobile

traveler. Motels are generally less formal than hotels. Guests usually carry their own

luggage, and free parking is available, often adjacent to the guest‘s room. Many motels

provide swimming pools and restaurant service. Guests who prefer to save money may

opt for a budget motel that has smaller rooms, no pool, and fewer amenities.

iii. All-Suite Hotel Properties. All-suite hotels rent only suites, often combing living space

with kitchen facilities, or a bedroom section with an attached parlor. To keep rates

competitive with other hotels, many all-suite hotels have small lobbies and no public

meeting rooms. Some do not offer restaurant or bar facilities. As the market has

expanded, though, some all-suite hotel hotels have reintroduced public areas and limited

food service.

iv. Convention Hotel Properties. Convention hotels provide meeting and banquet facilities

for large groups (usually five hundred or more) booked in their guest rooms. Because

they target groups, these hotels need large lobbies to accommodate group arrivals. They

18
 also have a high percentage of double-occupancy rooms and emphasize food and

beverage services. Convention hotels may also offer concierge floors to cater to

individual guests needs.

2.4 Hotel Definitions

i. Under Common Law it states that a "Hote1 is a place where all who conduct

themselves properly, and who being able to pay and ready to pay for their

entertainment, are received, if there be accommodation for them, and who without

any stipulated engagement as to the duration of their, stay or as to the rate of

compensation, are while there, supplied at a reasonable cost with their meals, lodging

and other services and attention as are necessarily incident to the use as a temporary

home."

ii. A hotel may be called as an establishment where primary business is to provide to the

general public lodging facilities and which may also furnish one or more of the

various services such as food: beverage, laundry, uniformed services etc. Hence, hotel

can also be called as home multiplied by commercial activities.

iii. As per the Reader's Digest Dictionary the term 'Hotel' refers to 'a house of

entertainment of travelers'.

iv. According to the Encyclopedia Britannica the word 'Hotel' is of ancient origin, but its

use in English for a house offering lodging and food for travelers is recent. The

Hostlers of London took the name of Inn keeping in 1473. The world ‘Hostler’ or

‘Ostler’ having come to mean an inn servant.

19
The term ‘Hotel’ was used in England in about 1760. British law as a place where a bonafide

traveler can receive food and shelter provided he is in a position to pay for and is in a fit

condition to be received defines hotel or inn. In legal terminology a hotel is an inn and is

required under common law to offer to its visitors lodging, food and protection, to their

baggage. Hotel service is generally based on these three fundamental necessities of life. In

addition to these a modem hotel provides its visitors many luxuries of modem urban city

living, all under one roof5.

2.5 The Hotel Classification Criteria

Hotels can be classified by many factors such as:

i. Location: e.g. city center hotels, suburban hotels, airport hotels and highway

hotels/motels

ii. Function: e.g. commercial hotels and convention hotels

iii. Market segment: e.g. resorts, health spas, timeshares/vacation ownership and casino

hotels

iv. Distinctiveness of property: e.g. all-suite hotels, boutique hotels, extended-stay

hotels, historic conversions and bed and breakfast inns

v. Price and staff/room ratio

vi. Size: e.g. under 150 rooms, 151-300 rooms, 301-600 rooms, more than 600 rooms

vii. Rating (grading) : e.g. one-star to five-star or one-diamond to five-diamond

2.5.1 Star Grading System

This is the most famous method of categorizing hotels among hoteliers and other people in

the world, due to its simplicity it has been very popular and for that reason it’s the one that is

5
wikipedia.org/wiki/Hospitality industry (accessed May 08, 2014).

20
chosen for this particular study. The star rating system is based upon the facilities, which the

hotel offers, and the service they provide.

i. One Star

Hotels in this category mainly have common area bath / toilet, towels, central heating,

breakfast and timing with a possibility of wake-up call and daily cleaning of rooms. Superior

status is attained by one (1) star if all the rooms must have private bath / toilet and television.

ii. Two Stars

Two (2) star hotels have in addition to requirements for one (1) at least 40% private bathroom

/toilet and TV, bath towels and washbasin in rooms with soap and shower cream as well as

bedside lamp. Likewise for two (2) stars to attain superior status, all the rooms have private

bath / toilet and television.

iii. Three Stars

These hotels have service desk function (at least 14 hours a day), all rooms equipped with

private bath / toilet, hairdryer, full-length mirror, luggage stand, desk, radio, TV, access to

internet, access to the baggage service, laundry bag, shoe shine equipment, elevator.

iv. Four Stars

Four (4) star hotels have reception desk staffed at least 18 hours a day and a bar at least 6

days a week. In addition to this there should be comfortable furniture, safe, guest computer,

internet connection in rooms, mini bar / room service, dinner service at least 6 days a week

and room service with food for hotels that do not serve breakfast only, newspapers, sewing

services, elevator. Superior status is attained if dinner restaurant is opened at least 6 nights a

week.

v. Five Stars

Hotels in the five (5) category have reception desk staffed 24 hours, suites, extra toilets in the

room, bathrobe and slippers, extra pillows, choice of pillows, comfortable seating in rooms,

21
bar 7 days a week, lunch and dinner 7 days a week, mini bar, room service round the clock,

luggage service, ironing service, same day laundry service, second service / turndown,

mystery checking, etc.6

2.5.2 Classifying Hotels by Services

Classifying hotels by service contains four broad categories: luxury, full-service, limited-

service, and economy.

i. Luxury Hotels and Resorts. Traditionally, independent hotels offer the finest

accommodations money can buy. Luxury properties are descendants of the grand

hotels, featuring expensive, lavishly decorated public areas and the high levels of

customer service. They offer the finest cuisine and the full range of amenities from

shampoos and hair dryers to private Jacuzzis and fireplaces. Whether parking your

car, carrying your luggage, or delivering room service, staff members including

concierges, bell persons, front desk attendants, and wait staff are well trained and

efficient. Luxury resorts offer the finest entertainment and recreational facilities

available.

ii. Full-Service Properties. Featuring properties operated by Hilton, Hyatt, Westin, and

Marriott, this category of hotels attempts to offer a wide range of services at lower

rates than luxury hotels. Full-service hotels generally offer clean, well-decorated

hotels with meeting and restaurant facilities, a limited room-service menu, and a

variety of recreational activities. Although not as extravagant as the luxury properties,

full-service hotels generally have large, attractive public areas. The ratio of service of

the concierge or other staff may be limited to designated VIP floors. Some all-suite

6
hub.hku.hk/handle/Hotel classification (accessed May 16, 2014).

22
 and extended-stay hotels with good-sized public areas also fit into the full service

category, with amenities like in-room coffeemakers, microwave ovens, and

refrigerators.

iii. Limited-Service Properties. Lodging establishments like Days Inn, Hampton Inn,

and Quality Suites & Inns were once considered limited-service facilities. Usual

offerings included simple, clean rooms with a telephone, free cable television,

swimming but some offered a few extra amenities such as complimentary shampoo

and lotion to distinguish themselves from the economy properties.

iv. Economy Properties. Once offering only the basic bed and bath facilities, economy

properties focus on more values with clean and low-priced lodging. Economy

properties generally did not offer meeting and recreational facilities or food and

beverage services, with the possible expectation of a vending area featuring

prepackaged snacks and video games. Staff was limited to only those required to

provide basic front office services, security, and housekeeping services. Generally, the

smaller guest rooms of the economy hotels offered one or two double beds and a

separate bathroom equipped with no more than towel and soap.

2.6 Importance of Hospitality Industry to the Economy

A healthy vibrant industry is important for the national economy and job creation. Hospitality

Industry makes an important contribution to employment. By its nature, the industry is a

highly labor intensive activity as it relies so much on personal service. It is probably the

sector of the economy, which is least vulnerable to substitution of labor by technology.

23
Hospitality Industry has also an important role to play in the bringing of prosperity to those

under-developed parts of the country, which for various reasons, are relatively unsuited to

industrial development or agriculture. In this context, Hospitality Industry's expressed natural

effects complement Government's policies to achieve a balanced growth throughout the

whole economy.

The hotel sector represents a vital part of these earnings, since the provision of

accommodation, food and beverage is essential for anyone spending time away from home,

whether it is for business or pleasure. As the nature of the traveler will vary, so the category

of hotel available to them will differ accordingly.

2.7 Hotel’s Service Departments

Service Departments to provide lodging to guests, all hotels are organized around four basic

functions: (1) front desk operation (2) housekeeping (3) building maintenance/engineering,

and (4) security. Beyond these common services, hotels and their departments can vary

tremendously. For example, most luxury hotels include a restaurant and beverage department,

while most budget facilities do not.

The performance of these functions can also vary widely among different types of hotels.

Business guests of a convention center may expect hi-tech front desk operations, and guests

at a resort may prefer a more personal approach. At any rate, all hotels carry out these

functions both behind the scenes and at the front of the house.

2.7.1 The Functions and Departments of a Typical 4&5 Star Hotel

The day-to-day operations of a hotel are the key factors determining the success or failure of

its service. It is necessary to understand the structure of hotels in order to get an overview of

how the organization fits together. Regardless of the size of a hotel, the organizational

24
structure will be basically the same7. It is usually divided into several distinct departments,

each responsible for a particular area of work. The larger the hotel is and the more facilities it

offered, the more specialized the departments become. For example, the front office and

housekeeping department are under the control of the director of rooms. This can be more

illustrated from the following figure:

Figure 2.1: Typical Hotel Organization Chart

Source: Nebel (2002)

2.7.2 The Duties of Key Executives

i. General Manager: The main responsibilities of the general manager (GM) include:

Providing leadership to the management team, Coordinating the work of all

departments, Participating in the formulation of hotel policies and strategies, Leading

7
tourismankur.blogspot.com/2011/11/responsibilities-of-major-hotel.html (accessed May 20, 2014).

25
 the hotel staff in meeting the financial, environmental and community responsibilities

and Assuming full responsibilities for the overall performance of the hotel.

ii. Resident Manager/Executive Assistant Manager: The main responsibilities of the

resident manager include: Holding a major responsibility in developing and executing

plans developed by the owner(s), the general manager and other members of the

management team, to check on operations, providing feedback and offering assistance

when needed, Completing, reviewing and summarizing statistical reports and sharing

them with the general manager and Assuming responsibilities for the daily operations

and management of the hotel.

2.7.3 Functions of Major Hotel’s Departments and their Relationship

i. Engineering/Maintenance: the engineering department is responsible for

maintaining the physical plant of the hotel such as electricity, plumbing, air

conditioning, heating and elevator systems; and for overseeing all mechanical and

technical conditions of the hotel.

ii. Security: The security department is responsible for implementing procedures which

aim at protecting the safety and security of hotel guests, visitors, hotel employees and

the hotel itself. Examples include monitoring surveillance equipments, patrolling the

hotel premises and maintaining security alarm systems.

iii. Human Resources: the human resources (personnel and training) department is

responsible for hiring, orientation, training, wages and benefit administration, Labour

relations, employee relations, and staff development.

26
 iv. Food and Beverage: The food and beverage (F&B) department provides food and

beverage services to the hotel guests and visitors through a variety of outlets and

facilities/services. Examples include lounge, bar, coffee shop, restaurants, banquet

service, room service (also called in-room dining) and cake shop.

v. Sales and Marketing: The main functions of the sales and marketing department

involve generating new businesses for the hotel, coordinating advertising, as well as

sales promotions and public relations activities aiming at enhancing the hotel’s image.

vi. Accounts: the accounts department is headed by the financial controller who, as a key

member of the management team, can guide the hotel to an increasing profitability

through better control and asset management. In addition, this department is

responsible for monitoring all of the financial activities of a hotel. Examples include

overseeing accounts receivable, accounts payable, payroll, and cost control systems of

the hotel; keeping records of assets, liabilities and financial transaction of the hotel;

preparing the monthly profit-and-loss statement, coordinating with purchasing

department and information technology department, and handling guests’ inquiries

about billing.

2.8 Hotel’s Accommodation Package

A model of hotel accommodation package is build up to satisfy customer needs. Figure 2.2

shows the details of the model. The model indicates that hotel guests look for feeling of well-

being, high standard of hygiene, cleanliness, health and safety, appropriate lighting and air

quality, protection from environmental hazards, hot food and beverage and cozy fixtures and

furniture. It suggests that while hotels focus on tangible service such as room check-in, food

27
service; hoteliers should also realize that customer satisfaction must be balanced with

intangible services such as security, a feeling of well-being etc.

Figure 2.2: Hotel Accommodation Package

Protection from
Hot food and environmental
Appropriate
beverage hazards personal
provision security

Satisfactory
Provision of
Accommodation standard of hygiene
personal hygiene health and safety,
package
cleanness
appearance,
standard of repairs
Appropriate and maintenance
furniture fittings
equipments
conference and
meeting facilities Feeling of well Appropriate
being heating lighting
and ventilation

Source: Okoroh, Jones and llozor, (2003)

2.9 Hospitality Industry in Tanzania

In a study titled Investment in Tourism in Tanzania which its results were released in October

2001 it revealed that In 2000, over 500,000 tourists visited Tanzania, providing direct tourism

receipts exceeding USD 739 million8.

8
Integrated Tourism Master Plan for Tanzania April 2002 Summary and Action Plan Update: Final Report
(accessed April 22, 2014).

28
According to the Tourism Master plan, the stock of hotel, lodge and tented camp

accommodation in Tanzania amounted to 10,140 rooms in 1999, of which 4,500 are used by

foreign leisure tourists. It was projected that the visitor bed night demand will amount to

around 5 million in 2005, which represents accommodation requirements of 12,000 rooms, of

which 8,500 will be of international standard.

The 2009 International Visitors’ Exit Survey Report in Dar es Salaam, revealed that the

nights spent by the majority of the visitors (55.1%) was between eight and twenty eight-

nights in the country. Accommodation facilities throughout the country have expanded

continuously during the period 1995 to 2000, both in terms of number of establishments and

number of rooms. The expansion in the Hospitality Industry was more pronounced after

1998, following continuous increases in demand as a result of the growth in the Tanzanian

tourism industry.

The National Tourism Policy [1999], attaches importance to service delivery as a key factor

for tourism to succeed; quality of service was in a recent international visitor survey singled

out [by visitors] as one area that needed improvement. Employers in the industry attribute

poor [non-professional] service delivery to inferior formal training.

According to Cooper, Fletcher, Gilbert [1998]1 “the challenges facing the Hospitality

Industry will only be met successfully by a well-educated, well trained, bright, energetic,

multilingual and entrepreneurial workforce who understand the nature of tourism and have a

professional training”. A high quality of professional human resources in tourism will allow

enterprises to gain a competitive edge and deliver added value with their service.

29
The main hospitality and tourism training facility is the Hotel and Tourism Training Institute

(HTTI) in Dar es Salaam, the only Government owned hotel institute in Tanzania. The

institute still offers craft courses in Hotel related disciplines. This alone cannot meet the

demand of the market, since the development of tourism and hospitality sector in Tanzania

needs to go together with the improved service delivery. Private investors are therefore

encouraged to invest in training as well.

Currently there is a body regulating hotel affairs in the country which is known as Hotels

Association of Tanzania (HAT). Members of HAT are approximated to be 64, some of them

are Golden Tulip Hotel, Hatari Lodge, Heritage Motel, Hotel Seacliff, Hotel Slipway,

Kigoma Hilltop Hotel Group, Kilimanjaro Hotel Kempinski (Hyatt Regency), Kipepeo Beach

Village, Mafia Island Lodge, Mdonya River Camp, Moevenpick Royal Palm Hotel (Dar es

Salaam Serena Hotel), New Africa Hotel, Nomad Tanzania, Pole Pole Resort, Protea Hotels,

Rhino Lodge, Sanctuary Retreats, Selous Safari Company, Southern Sun Hotel, The Arusha

Hotel etc.

According to HAT the challenges facing these hotels are: Lack of skilled Labour, over

regulation and the cost of doing business, infrastructure challenges, unavailability and

unreliability of statistical information, inconsistent standards of quality, safety & security

issues.

The Ministry of Natural Resources and Tourism which is the main organ to regulate

hospitality matters has recently been awarding grades to hospitality properties (hotels) with

regards to international standards. For the first time when accommodation establishments in

Tanzania (Dar es Salaam and Coast Regions) were classified professionally, in the

30
classification exercise 3 hospitality properties were graded as 5 Star Hotels and 12 were

considered as 4 Star hotels.

Five star hotels were Kilimanjaro Hotel Kempinski which is now known as (Hyatt Regency),

Moevenpick Royal Palm Hotel which is now known as (Dar es Salaam Serena Hotel) and Sea

Cliff Hotel. The Four star hotels were Colosseum Hotel and Fitness Club, Golden Tulip, New

Africa Hotel and Casino, Paradise City Hotel, Protea Hotel and Serviced Apartments, Sea

Cliff Court Apartment, Hotel Southern Sun Dar es Salaam, Saadani Safari Lodge, White

Sand Hotel, Giraffe Ocean View Hotel, Harbour View Apartments, and Kinasi Mafia Lodge.

2.11 Conclusion

As it has been observed above the chapter went through the insights of Hospitality Industry

from its definitions, evolution, classification criteria of hotels, importance of the industry to

the economy and the highlights of its existence and practice in Tanzania. The following

chapter will closely look about the practice of Property and Facilities Management

professions in Hospitality Industry.

31
 CHAPTER THREE

PROPERTY AND FACILITIES MANAGEMENT IN HOSPITALITY INDUSTRY

3.0 Introduction

This chapter aims at discussing different concepts relating to Property and Facilities

Management professions in the Hospitality Industry properties, specifically 4&5 Star Hotels.

It’s designed to provide a reader with a brief knowledge about the contents of the two

professions, so as to make it easier to observe the particular aspects which can be blended in

the Hotel sector.

3.1 Property and Facilities Management Practice in the Hospitality Industry

In developed world, Property and Facilities Management principles and strategies are highly

utilized in the daily management of most of 4&5 Star Hotels. The integration of these

professions is mainly found in the department which has different names such as

Maintenance department, engineering department, property management department,

facilities management department etc.

3.2 Property Management Profession, History and Evolution

According to Decarlo, (1996) Property Management became a recognized profession after

1890 when the construction of urban real estate shifted from single family homes and two- or

three-unit dwellings to larger, multi-family buildings. Construction of early urban multi-

family residences was at its height in the mid-1920s. Another trend that gave rise to the need

for third-party fee managers of real estate was the advent of the skyscraper in cities such as

32
Chicago, Illinois, where soon after the Great Fire of 1871, the cityscape transformed itself

from horizontal to vertical. High-rise, multi-tenant office space required specialized skills,

particularly in the area of leasing.

Although the specific management duties vary, the main duties and responsibilities remain

the same, some would include, planning, negotiating leases, screening tenants, advertising,

maintaining the premises, collecting rent, supervising security, keeping accurate records and

making periodic reports to the owner or asset manager (Robert and Floyd, 1998). Hence from

the extensive length of duties and responsibilities of the property manager one would

automatically tell that the property manager that existed 50 years ago, does know longer exist

today and that they are essentially very much needed in any industry which relates with

buildings or built environment management.

3.3 Definitions and Important Concepts of Property Management

Property Management, also called real estate management, is the business of overseeing

income-producing properties for third parties in exchange for a fee. A Pm typically has

responsibility either directly or indirectly for the following aspects of a building's operations:

marketing; financial administration and budgeting; leasing; tenant or resident relations;

maintenance; property analysis; and risk management. The building’s property managers

oversee are commonly categorized as residential, office, shopping center, or industrial.

On the other hand estate management is defined by Thorn Croft in Stapleton (1981), “the

direction and supervision of an interest in landed property with the aim of securing the

optimum return. The return need not always be financial but may be in terms of social

benefit, status, prestige’ political and other goal or a group of goals.” The practice of estate

33
management includes the use of other resources besides land and buildings. Its success is

gauged not only by extent to which achieves its aim, money and material with which these

aims are secured. Estate management would always ensure that, the estate is more livable,

more satisfying to the occupiers, and economic to operate, no crime and vandalism, and

property abuse that acceptable to the whole community.

Therefore PM touches upon every aspect of relationship between societies at large and

individual, who occupy or own landed property whereby the relationship between landlord

and tenant is a wide one covering rent collection, repair and maintenance, tenant liaison,

property inspection, but other important aspect of good property management as well.

Many landlords prefer to pay an active role in the management of their property. In fact many

property owners prefer it, but for a variety of reasons, this can sometimes be difficult.

Managing a property can take up a lot of time, and property owners do think they not up to it

because of geographical location, health or work, they may better think of using an agent. It

is not recommended that the running of property be left to friend or relatives in owner’s

absence. Tenants can be quite demanding at a times and friends or relatives may not be

prepared for that level of commitment.

Hence, any large property investor or institution, decision must be made as to whether the

property should be managed by an in-house team or contractors/external advisor (Stapleton,

1991). Many studies concerning property management was carried out widely during 1980’s

however were based on the development of property management as a profession and how

the property owners considered this profession.

34
Plat (2001), each building or complex of buildings has to be managed in such a way that it

either gives an acceptable average annual return on initial investment over investment

period, or that it remains usable over the building’s life span and it can even replace as a

financially self-supporting process. For the case of investor it may be clear that Property

Management is a well-defined function since a building act as a separate durable means of

production in a well-defined exploitation process. Therefore in order to get clear picture as

the basis realistic decision making, Property Management has to be a separate function, and

the exploitation process a separate center, for which the contractor is responsible.

Donald (2007) pointed out that management produce embrace all process of recording and

accounting for transactions involved in diverse management operations. The primary function

of managing agent is to collect the rent, pay the bills incurred in the course of management

and render an accounting to the owner.

Management begins with the production of income i.e. the collection of rent. A repository of

all information concerning rent to due ownership is the lease record, lease expiration file,

tenant record account and tenant data file. Depending on the nature of management

department’s business and convenience this file may be confined in one way or another.

Kisalara, J.C. (2000) explained that in-house Property Management is declining because

neither tenants nor landlords are satisfied with the level of service offered. While tenants are

complaining of the inferior services in relation to the amount of rent they are paying, property

owners are complaining of high management cost coupled with low return. At the same time,

the respective estate exhibit deteriorating structure revealing a sign of poor management.

According to Macey (1978), real estate management is “the application skills in caring for the

property, its surroundings and amenities together with developing a sound relationship

35
between the landlords and the tenants and in the midst of the tenants themselves in order for

the estate to give the fullest value both to the landlord and the tenants.”

Nigel and Sarah (1994) “oversimplified” estate management to mean “the management of

properties for the diversity of motives”. Irrespective of the wordings of various authorities

they all appear to be in agreement that property management entails looking after an

investment in real property with the view of maximizing returns and satisfaction.

3.4 Types of PM Methods and their Application in Hospitality Properties.

There are three main types of Property Management namely in-house property management,

management by Contract (outsourced) and mixed management. All the three types of

Property Management are found in Hospitality Properties i.e. 4&5 Star hotels, but the most

predominant are in-house and outsourced (Evans and Mariwyn, 1998).

i. In-house Property Management.

Under this type of management, the landlord employs his own in-house full time salaried

labor or staff of execute daily and long term property management functions in respect of the

real property under consideration. In hospitality properties like hotels, the owner or general

manager can establish a permanent unit in his/her hotel which is responsible to provide

property management services.

ii. Outsourced Property Consideration.

Under outsourced property consideration the landlord appoints an external firm/agent who

takes charge and control of the property on behalf of the owner under management

agreement/contract for the specified period of the time at an agreed fee or commission. Also

36
this in hospitality properties in most of developed countries the private property management

firms can engage into contracts with hotels to provide them with property management

services as an outsourced company for a certain duration of time. A good example of this is

found in Marriott’s hotels in USA.

iii. Mixed Management

With mixed management the land lord uses both the labor and independent contractors to

execute daily property management’s functions “decide according to which offers the

greatest advantage in terms of the cost, quality and convenience”.

Under mixed management arrangement, a comprehensible division of duties and

responsibilities among the two is necessary to avoid the possibility of conflicts (Mundeme,

2004). In Hospitality Industry this method is also applied when there is a need to retain both

internal experts and hiring for contract the services which cannot be obtained inside.

3.5 Property Management Functions in Hospitality Industry Properties

A real estate investment requires more active participation on the part of the individual

investor than do most other investment opportunities. At individual level, constant property

maintenance is an absolute necessity for improved real estate investments. Maintenance

focuses on sustenance and conservation of existing buildings with a view to retaining their

structural stability and functionalities (Oyefeko, 1999).

It is one of the routine duties involved in property ownership whether the property is held for

self-occupation, production, or investment purposes. At individual level of self-occupation,

un-planned maintenance is common. Where properties are held as a means to production, a

combination of planned and un-planned maintenance holds sway. Where properties are held

37
for investment purposes, then this management activity may be passed on to a professional

management agent who then applies property management principles. This is the most vivid

application of Property Management in Hospitality Industry, others are as follows:

i. Marketing/Letting of Real Property

The duties of the Property Manager extend to marketing/letting of the property in question.

The property can be the new one or the existing property. Marketing of the property aims to

securing more tenants. Various methods of advertising can be employed by the property

manager like the use of signage, billboards, magazines, media etc. (Fennel et al, 1999).

In Hospitality Industry’s properties, these duties are specifically tasked to the marketing and

sales department. Hotel’s guests are generally tenants but what is solely differentiate them

with casual hotel guests is their ‘short lease/stay nature’. Due to this the property manager of

a hotel is expected to collaborate with the marketing department on ways to attract new

guests in terms of aesthetic and structural condition of the particular hotel.

ii. Management of Building Operational Expenses

Building operational expenses are costs incidental to the management and running of the

building. They include chargers in respect of maintenance and repairs, water, electricity,

property taxes, management of office expenses, ground up-keep, security, cleaning,

technicians’ wages, insurance etc. Evans et al, (1998) suggests that the Property Manager

buys the supplies, hires labor, authorizes and supervises maintenance and repairs of the

property and pay bills. He/she sees that the property is protected with proper kinds and

amounts of insurance.

38
In Hospitality Industry’s properties the aspect of management of operational expenses are

included in the property management department whereby the Property Manager is not only

manage and handling the payments of utilities but also control them strategically by establish

planned control measures to reduce cost.

iii. Overseeing and Advising on Contracts and Insurance of the Property

It’s the duty of the Pm to ensure that various contracts on matters of different services which

will be required during the life time of the property will be carefully engaged on behalf of the

owner. The Pm must also ensure that the property is adequately insured to cover for things

like fire and peril, earth quakes, loss of rent/fee, public liability, all risks of the premises and

contents if any, health and environmental preservation; in consultation with the

landlord/owner and his/her insurance agents (Decarlo, 1996).

iv. Handling Tenant’s or Customer’s Complaints

Pm must hear and attend to complaint from his/her tenants and guests. If he/she renders the

services that are expected of him, legitimate complaints must be minimized. If for any

reasons he/she neglects his/her duties to his/her tenants or guests he/she should welcome their

complaints and should take immediately step to correct the situation (Kyle et al, 1996).

He/she must listen even to unreasonable complaints, which sometimes may even need to be

granted as a price of preventing a tenant or guests from leaving at a time when he/she cannot

be replaced. Failure to make prompt response to some complaints of tenants or guests may

result in a serious liability suit against the owner of the property. The Pm acts as the bridge

between the landlord and tenants and he/she is required to attend to tenant’s or guest’s

complaints.

39
 v. Budget Preparation

For the landlord to monitor what is happening in the real estate management portfolio, the

Property Manager is required to prepare a budget which will include expected income

expenditure and the net income to the landlord. For Hospitality Properties the Pm budget

scope is limited to real estate features only like renovation, repainting, repair orders from

housekeeping department, and other related programs (Fennel et al, 1997).

vi. Ensure Timely and Correct Payment of Statutory Outgoings

Property Managers should ensure that all statutory outgoings demanded by various

government agencies are collected and then ensure that these are paid in time to avoid

penalties (Decarlo, 1996).

vii. Periodic Inspections and Overseeing Repairs and Maintenance Programs

Maintenance management is an aspect of property management and it becomes a necessary

tool when properties are held for investment purposes and becoming extensive or can be

easily separated from one’s daily business activities and entrusted into the hand of a

professional property manager. At this level performance of the properties are to be assessed

and this explains the issue of portfolio management (Nwankwo, 2004).

It is a strategic tool that readily comes in when there is a need to re-invigorate the

performance of property investment. In the absence of planned maintenance and life cycle

analysis, maintenance management is termed reactive management. Since Property

Management incorporates maintenance as envisaged under maintenance management and

nothing more, it is classed as active management.

40
The Property Manager should carryout periodic and regular inspection of the premises to

ensure that all necessary repairs and maintenance are undertaken in time to avoid unnecessary

costs arising. Tenders for repairs should be analyzed and compared to ensure that the cost are

reasonable and awarded on the basis of the best cost effective tender, they issue simple

recommendations that will increase the value of property. Real estate managers knows when,

where and how to advertise your property. Where work requires supervision from other

professionals, property liaison should be with them to ensure the work is properly done.

viii. Advice the Landlord/Owner

The Pm should correctly advise the landlord/owner on all important polices on the building,

including repairs, renovations, maintenance, upraising tender documents, submitted by

service providers, marketing the property, negotiations etc. (Decarlo, 1996).

ix. Preparation and Submission of Management Reports

Always it is advantageous to make prompt and complete reports to the owner of the property.

Operating reports should be made immediately after the end of the accounting period. The

Pm should prepare monthly reports and other reports as might be requested by the owner.

Such reports will include; Variance comparison of actual results to budgeted results and

building physical condition (Kyle et al, 1996).

3.6 History and Evolution of Facilities Management Profession

The origins of facilities (or facility) management can be traced back to the late 1800s, when

the American railroad companies first conceived of the idea of providing facilities as opposed

to providing buildings. Its use in the context to which we have now become accustomed

emerged in the late 1950s, again in the USA, although it is difficult to pinpoint precisely the

41
first time the term was used. That said, apart from curiosity, it would probably help us little to

understand how facilities management should be performed today.

History does, however, show us that the emergence of Facilities Management was an

incremental affair. As the word implies, it emerged as opposed to happening all at once. In

many respects it has slowly displaced real estate (or property) management for many

organizations, being seen to offer more than an accountant's perspective of the real estate (or

property) portfolio. Once it became clear that there was more to ownership of real estate than

trading an asset perhaps as a result of recession when it made more sense to squeeze the last

drop of value from the existing portfolio businesses began to look at how the total costs of

real estate ownership impacted on profitability (Atkin, 2006).

So, it was probably this broader awareness that prompted many to pursue the path that we

now clearly define as facilities management. But this is not a purely historical event.

Businesses today in different parts of the world are demanding to know the total costs of

owning and/or operating real estate. In order to do this they must take a more holistic view of

ownership and/or operation. If we did not have facilities management already it would have

to be invented.

Businesses and other organizations must know what their liabilities and responsibilities are in

a far more comprehensive manner than in the past. The emergence of facilities management

has been helped every bit of the way by a pragmatic response on the part of businesses to a

significant potential brake on, or release of, profitability and/or the provision of value to the

customer.

42
Facilities management (or facility management) has developed in the past decade into a

major, thriving business sector and discipline and continues to grow in many countries. The

term facilities management or facility management if one adopts a USA perspective has

become accepted by governments, the business community, educationalists and researchers

as an essential component of today's business world (Atkin, 2006).

3.7 Facilities Management Definitions and Important Concepts

Basically, Facilities Management can be summarized as creating the optimal environment for

the organization’s primary functions, taking an integrated view of the business infrastructure,

and using this to deliver customer satisfaction and best value through support for and

enhancement of the core business (Atkin & Brooks, 2009). We can develop this definition to

describe facilities management as something that will:

i. Deliver effective and responsive services

ii. Enable changes in the use of space in the future

iii. Sweat the assets, i.e. make them highly cost effective

iv. Create competitive advantage for the organization’s core business

v. Enhance the organization’s culture and image

3.7.1 Authoritative Definitions

International Facility Management Association (IFMA), defines Facility Management as the

practice of coordinating the physical workplace with the people and work of the organization.

It integrates the principles of business administration, architecture and the behavioral and

engineering sciences.

43
The British Institute of Facilities Management (BIFM), defines Facilities Management as the

practice of coordinating the physical workplace with the people and work of an organization.

This clear and well-focused expression of facilities management does not, however, stress the

contribution that well managed facilities can make to an organization’s core business.

Facilities Management is described by Barrett and Baldry (2003) as an integrated approach to

operating, maintaining, improving and adapting the buildings and infrastructure of an

organization in order to create an environment that strongly supports the primary objectives

of that organization.

3.7.2 FM Key Concepts and their Application in Hospitality Industry Properties

Facilities Management is of significance to organizations of all kinds and, as an emerging

discipline, it has become the focus for the important issues of best value and customer

satisfaction within the management of supporting services even in hospitality properties.

Well-managed services enable an organization to function at its most efficient and effective

level, offering real added value improvements to the organization’s core business. Facilities

management is being elevated to a strategic level of importance and is therefore being given

the task and opportunity to contribute to business success and to aid the delivery of

competitive advantage.

I. The Organization

Facilities management is important to organizations within the public and private sectors. The

types of organization might therefore range from hospitals to entertainment complexes, from

manufacturing companies to five star hotels. The structure, management and accommodation

of such organizations varies widely, yet the implementation of best practice facilities

44
management is relevant to all. Certain aspects and approaches will, however, be of more

significance to some types than to others (Atkin & Brooks, 2009).

II. The Customer

Generally, the customer is any organization that acts as a purchaser of services. These will

sometimes be purchased in house and sometimes from external providers. Although the

distinction between purchaser and provider is more obvious in the case of external provision,

it is important that the same distinction is recognized with in-house provision. The customer

in this instance might be an internal department being served by the organization’s facilities

management division or group, with a financial exchange between the two different cost

centers. The relationship between the two parties therefore remains a formal one requiring

guidelines and procedures (Atkin, 2006).

For most organizations, customers will be the organization’s personnel and constituent

departments, as the primarily building users. In some, such as department stores or leisure

properties like luxurious hotels, the external user of the organization’s facilities becomes an

additional type of customer whose needs must be considered within facilities management

planning and operation.

III. FM Value Map

FM Value Map is a conceptual framework which can help to understand and explain the

different ways that FM can create value to a core business and possibly to the surroundings.

For the case of Hotels especially 4&5 Star Hotels the value map can be used to identify and

demonstrate the elements which in specific case have a special importance for the value

creation from FM. The Value map is built on 11 important issues with direct impact to day to

45
day functions of FM in an organization such as a Hotel which are: Customer/end users, Staff,

Facilities, Environment, Area/local/region, Economy, Efficiency and Productivity,

Management, Risk Avoidance, Services and Collaboration.

In order to Increase value in the hotel management FM must ensure that 11 important issues

in the management of the hotel are put into consideration e.g. by conducting fire drills to

hoteliers to avoid risks in case of fire emergency, also by collaboration with local people

surrounding the hotel so as to fulfill corporate social responsibility in order to capture

customer’s perception and loyalty (Atkin & Brooks, 2009).

IV. Total Quality Management

TQM is a management philosophy emphasizing quality, team work and decisions based on

data. The Principles of TQM can be applied to any organization. Quality management is an

approach that enables a company to gain market share and price advantage. This is a

company-wide effort; teamwork and commitment from all staff cannot be under-emphasized

(Oakland, 2003).

Total: Indicates the philosophy that relates to all aspects of a business, and people involved

in the decision making processes including the management.

Quality: Directs attention to the imperatives for producing quality goods and services with

consequent of customer focus.

Management: emphasize management style as the key to success, a management style that is

proactive and leading rather than reactive authoritarian.

46
TQM is to satisfy the customers’ needs; internally, this can be achieved successfully by

executing every process and activity carefully from the first supplier to the last customer; this

is the ‘quality chain’. Managing quality requires effort at all levels of the organization and,

importantly, at all steps in the quality chain (Oakland, 2003). Meeting the requirement of the

internal customers in the ‘quality chain’ is critical in delivering the final product to the final

external customer in a hotel.

Example, Fm need to support the hotel accountants in achieving the financial goal. Achieving

the financial goals is one of the important tasks for managers as a balanced scorecard is still a

popular performance measurement (Oakland, 2003). For hotel FM, controlling energy and

maintenance costs needs proper planning. Chan, Lee & Burnett (2001) points out that in

estimating the energy cost, the outdoor weather condition, guestroom occupancy rate and

food covers should be taken into consideration as they will affect the energy consumption.

Chan (2007) also advises that energy consumption can be reduced by implementing energy

conservation programs; e.g. replacing old equipment with new energy efficient equipment

and machinery, educating staff to minimize energy wastage such as turning off the lighting

and air-conditioning when the office is not occupied.

Quality Framework can provide a high level guideline to assist a company or an

organization like a Hotel to manage quality. It works as a road-map to guide the employees

(Oakland 2003). Oakland (2003) suggested a TQM framework with four Ps (planning,

people, process and performance) and 3Cs (culture, communication and commitment). He

suggests that planning, people and process are the key factors in the quality framework to

deliver performance (4 Ps); while culture, communication and commitment (3Cs) support and

47
link the 4Ps to produce the result. Therefore, competent people, clear processes,

comprehensive plans, and effective tools are essential for managing quality.

Quality Tools: are important for FM department; it is known to rely on these tools for

control, management, measurement and analysis; different tools are for different applications

and different purposes. Using the right tools enhance the efficiency and improve the

performance of the department. Some of FM’s quality tools which can be employed in hotels

are:

Flowchart: Reding, Ratiiff & Fullmer (1998) believe that flow charting is one of the useful

quality tools. Process mapping and flow charting allow a proper documentation of work

processes and provide a clear picture of business process, which allows better understanding

of business processes and enables easy identification of inefficiencies and problem solving.

Standardised Operating Procedures: Harrington & Keating (2006) state that standardised

operating procedures is one of the important tools to maintain product consistency. Their

research indicated that 77.7% of hotels in Ireland had documented operation policy and

procedures. Sohail et al (2007), in their research of Malaysian hotels, supports that the hotel’s

standard operating procedures should be constantly reviewed to maintain the consistency of

quality and efficiency of service. Effective supervision is the answer to ensure that employees

are following the procedures.

Audit: is also one of the effective tools to evaluate the effectiveness of quality management;

there are internal and external audits. The assessment allows organizations to view their

strengths and to identify areas for improvement (Oakland, 2003).

48
Technology: IT is important in today’s business. Griswold (2003) points out that an effective

automated work order response system can assist hotels to quickly respond to work request

and track the completion status. The system also provides data for management to make

decisions for performance improvement; for example, reports can be generated for top

incidents, recurring problems and trend analysis. Ptak & Schragenheim (2004) support that

the rapid development of technology has enabled management information systems to

become powerful aids for improving business performance; e.g. enterprise resource planning

(ERP) system enables integration of core business processes. It can help to reshape

businesses and align organizational structures and processes with industry best practices.

Karatasou, Geros & Santamouris (2008) suggested that integrating the existing building

system with emerging IT technology could develop a new internet based energy and

environment services. This allows remote control and monitoring of cooling equipment.

Energy for cooling is the biggest energy consumption for buildings; this technology

facilitates the monitoring and analysis in order to control and reduce the energy consumption.

The common quality tools used by hotel Facilities Manager can be summarized as follows in

table 3.1

Table 3.1 Common Quality Tools Used by FM Department of Hotels

Description
Guest questionnaire/survey
Regular meetings with stakeholders
Regular check /inspection; log sheets; checklist
Cost/benefit analysis; ROI
Policy and procedures; flowcharts
Cause-effect chart; scatter diagram; Pareto chart
Control chart
Brain storming
Benchmarking
Purpose
Measure guest satisfaction.
Ensure sufficient and effective communications.
Ensure functionality of equipment.
Investment analysis.
Provide description of work process.
Problem analysis; Identify causes of problems.
Control temperature range, chemical level etc.
Encourage suggestions and new ideas.
Compare performance and identify best practices

Source: Chan Mark (2011)

49
FM is also considered as the biggest internal supplier in 4&5 Star hotels i.e. a key service

provider, inside a hotel. Supporting other departments to achieve their goals is a major

responsibility of the department. For example, maintaining the laundry equipment so that the

housekeeping department can provide on-time laundry service to hotel guests; ensuring the

normal operation of kitchen equipment allows culinary experts to provide hot food to

customers. FM plays an important role in different processes in a hotel; it is crucial to

maintain an effective ‘quality chain’ so that process of different activities can be smoothly

carried out. ‘Quality chain’ is defined as a series of internal suppliers and customers carrying

out activities to meet the external customer satisfaction (Oakland, 2003). The contribution of

the FM department in respect to the hotel TQM performance, can be summarized and listed

in table 3.2.

Table 3.2 Links of FM department roles to TQM performance

Roles and Responsibilities
Preventive Maintenance
Work Order Handling
Life And Safety Policies
Energy Conservation
‘Going Green’
Links to hotel TQM performance
1. Provide proper lighting, comfortable air-conditioning, clean water
supply, vertical transportation;
2. Maintain a cozy and warm atmosphere for hotel guests with
contemporary decoration;
3. Minimize interruption to guest comfort due to the suspension of
building facilities;
4. Sustain customer satisfaction and value for money;
5. Support other departments’ productivity;
6. Enhance safety;
7. Enhance the property value; and,
8. Increase the return on investment for the building owner.
1. Provide a channel for guests to express dissatisfaction;
2. Allow recovery for guest complaints;
3. Provide a source for problem analysis;
4. Set guest history/preference to tailor service;
1. Ensure occupant safety, guests feel safe to stay;
2. Enhance readiness for crisis management such as earthquake, power
outage, water flooding etc.
3. Eliminate air-borne disease;
4. Promote safety awareness by conducting training, fire drill,
evacuation and precautionary measures;
5. Minimize damages to the property;
1. Promote a health environment by reducing pollution;
2. Suggest and select energy efficient products;
3. Promote brand image by going green;
4. Promote ‘green’ awareness; and,
5. Save expenses by reducing energy consumption.

50
 Control Of Expenses
CSR
Project Management
Management And Leadership
Source: Chan Mark (2011)
1. Budget and meet financial target;
2. Control utility expenses;
3. Reduce cost by value engineering; and,
4. Effective use of resources.
1. Serve local community;
2. Promote brand image; guests feel good to stay with a good CSR hotel;
and,
3. Build corporate identity.
1. Maintain ‘contemporary’ for hotel hardware;
2. Minimize disturbance by arranging proper construction time;
3. Meet budgeted cost and time;
4. Control quality; and,
5. Ensure construction site safety.
1. Achieve hotel and departmental goals
2. Achieve staff satisfaction;
3. Reduce turnover rate; and,
4. Support career development.

3.7.2.1 Benchmarking

Benchmarking is an external focus on internal activities, functions or operations in order to

achieve continuous improvement.” McNair and Leibfried (1992). Benchmarking is also

defined as “the continuous process of measuring product, services, and practices against the

toughest competitors, or those companies recognized as industry leaders” (Kearns and Xerox,

1991).

It’s also a process of continually measuring and comparing an organization’s business

processes against process leaders anywhere in the World to gain information which will help

the organization take action to improve performance (International Benchmarking Clearing

House). However, benchmarking can also be done internally between or within department

(s) of the same organization let’s say a hotel.

i. Advantages of Adopting Benchmarking:

The organization will be proactive, externally focused and close to the markets they are

operating in. They will have access to a limitless pool of ideas, use the markets as a starting

51
point for setting their objectives and have a very good understanding of customer

requirements. They also tackle big problems to achieve quantum leaps in competitiveness

(Camp, 1989).

ii. Disadvantages of Not Adopting Benchmarking:

An organization will be internally focused, without clear understanding of their strengths and

weaknesses, a reactive approach to competitiveness, and a poor knowledge of customers’ true

requirements. Feeble efforts to innovate.

In Hospitality Industry’s properties especially 4&5 Star hotels benchmarking can be applied

by many ways example controlling utility expenses is one of the major responsibilities for the

facilities management department. Fm can compare the consumption with their own history

data such as the data of last month or same month of previous years; they do not benchmark

with other hotels. There are two reasons; no two hotels have the same design. Different

designs will have different energy demand; for example, hotels with more restaurants will

have more kitchen equipment and require more gas consumption for cooking.

Also, different geographic areas have different weather conditions. Outdoor temperature will

affect energy consumption for air conditioning and heating (Chan, 2003). Therefore, hotels in

mild weather areas will use less energy than those hotels in the tropical area or northern zone.

This is supported by Cotts (1998) that measurement of benchmarks may not be consistent

unless the two properties being benchmarked are as similar as possible.

However, internal benchmarking is an effective tool to track the change over time; internal

benchmarking could help FM to identify areas for improvement and measure the

52
performance. Figure 3.1 shows a typical internal benchmarking commonly used by Fm for

tracking electricity consumption per occupied room-night in hotels. Fm compare the current

month’s consumption with the last month and same month of previously years; any variation

could be criticized against the affecting factors such as occupancy, outdoor temperature and

humidity etc. This kind of tracking can also be used for evaluating the performance of

improvement projects. Being able to measure the result is important for continuous

improvement (Oakland, 2003). The following figure can illustrate in detail:

Figure 3.1 Electricity Consumption per Room-Night

Kwh Electricity consumption /Occupied Room

25.00

20.00
Year

15.00 2011
2010
10.00 2009

5.00

0.00 Month
Jan. Feb. Mar. Apr. May. Jun. Jul. Aug. Sep. Oct. Nov. Dec.

Source: Chan Mark (2011)

V. Life Cycle Management

Is the way of managing the performance of a service, process or product including building,

over its entire life cycle. LCM is sometimes referred to the management of the building from

“cradle-to-gravel” or “cradle-to-cradle”. Traditionally, building owners and managers have

focused on initial building costs. More and more interest is now given to the impact of a

project over a life cycle.

53
Work done by the royal Academy of Engineering suggests that initial cost is a very small part

of the overall lifecycle cost of a building (£0.1 design costs; £1 building costs; £2-3 costs of

running premises). Decisions made at this stage affect costs over the whole building (far

beyond present users, and present climate). A competent Fm in a hotel property can assist the

investor to approximate the costs of operations during the life of the particular hotel. This will

act as a proactive approach towards preparedness of unpredictable costs which always arise

in the future.

VI. FM Outsourcing and In-house Strategies

Outsourcing is the contracting out of the Facilities Management services required by an

organization to external service providers while, In-house is the supply of facilities

management services within the client organization. The in-house team may or may not be an

independent company.

Theoretically, outsourcing can be beneficial because it: (a) allows organizations to focus on

their core competencies by employing supposedly better equipped and experienced specialists

to perform certain tasks deemed to be ‘non-core’; and (b) reduces organizations’

administrative costs. Potential disadvantages of outsourcing include: (a) difficulties in

ensuring contractors deliver the required standard; (b) more complex supervision and

monitoring needs to ensure standards; and (c) relative absence of control over human

resource deployment.

The broad range of activities undertaken in a hotel, combined with its high labor intensity and

volatile demand, signify a predisposition particularly suited to outsourcing. Services like

laundry, cleanness, security, landscaping, renovation, food and beverages supply, etc.

54
requires competence from tendering up to supervision of the contracts and site supervision

when they are carried out. Fm is a key personnel equipped to perform these tasks.

3.8 The Typical Works of a Facilities Manager

IFMA describes the work of a facility manager as potentially covering the following duties

and functions9:

i. Facility strategic and tactical planning

ii. Facility financial forecasting and budgeting

iii. Real estate procurement, leasing and disposal

iv. Procurement of furnishings, equipment and outside facility services

v. Facility construction, renovation and relocation

vi. Health, safety and security

vii. Environmental issues

viii. Development of corporate facility policies and procedures

ix. Quality management, including benchmarking and best practices

x. Architecture and engineering planning and design

xi. Space planning and management

xii. Building operations, maintenance and engineering

xiii. Supervision of business services such as reprographics, transportation and catering

xiv. Telecommunications

xv. Code compliance

In a nutshell, the IFMA typical Facilities Manager and his/her competence as shown above

should possess multiple skills or knowledge of various disciplines so as to manage FM

department appropriately.

9
www.ifma.org (accessed May April25, 2014).

55
Multiple-skills mean that the staff possesses more than one trade skill. In general, promotion

of multiple-skills could enhance the performance of the FM department. For example, it

would increase the flexibility of allocating daily repair and maintenance routines. Also,

technicians with multiple skills could handle work orders more efficiently; they could handle

different trade problems by themselves instead of calling another technician for help.

Reduction of response time to work orders could enhance the customer satisfaction (Calingo,

1996). Therefore, this practice could enhance the quality performance, reduce cost and

increase the efficiency of the FM department which is in line with the suggestion by Chan

(2007). The following figure illustrates more on the particular skills a hotel engineer,

Facilities Manager or Property Manager should possess.

Figure 3.2: Required competence of a Hotel Engineer

Source: Chan Mark (2011)

56
3.9 Property and Facilities Management Practice in Tanzania

Real property business in Tanzania can be traced back to the time when the first company

started to manage property as contractor in 1971. The first firm in this case was Martin

Heyman & Co. Ltd., which managed the IPS building, (Waigama, 1981). Since then the

number of licensed real estate business firms leaped to 10 just before the 1984 adoption of

Trade Liberalization Policy.

In 1990’s there were emerging of more Property Management companies such as Gimco

Africa Co. Ltd and Proper Consult Ltd. High level of demand for Property Managers in

2000’s due to the increasing of real estate development also motivated more managing

companies to be established even to require specific academic contribution to the industry. In

2006 the first Property Management degree course was introduced at Ardhi University where

as before, only allied professions were involved in managing properties in Tanzania such as

Land Management and Valuation, Environmental Engineering, Architecture, Civil

Engineering etc. (Rwebangira et al, 2013).

Specifically, there are no strict legislations which guide professional Property and Facilities

Management practice in Tanzania. This is mainly due to the infancy level of this profession.

However there are some laws which affect the operation of the profession such as Architects

and Quantity Surveyors Registration Act of 1997. The act provides regulations and guidelines

for Architects and Quantity Surveyors in the country while Property Management is

considered to be one of the surveyor’s works.

Also, the Land Act no. 4 of 1999 has a significant role in Property Management practices in

the country as it establish the relationship between Landlord and his agent (property

57
manager) and the tenants by lease agreement sections. The National Council of Professional

Surveyors (NCPS) regulates professional Property Management in Tanzania. NCPS, a

statutory regulatory body, was formed under the Professional Surveyors (Registration) Act of

1977. The act authorizes and empowers the council, and acts as a guide on issues central to

the operation of the council like its composition, quorum, functions, membership and

membership requirements, and partially the regulation of Property Management profession.

As it’s obvious that private Property Management firms dominate the industry, the

Professional Surveyors Act does not provide in depth details for the registration of Property

Management firms as a prerequisite for property management practice. Therefore the norm in

the practice is for registered land economy surveyors, registered with the NCPS on individual

basis, to form Property Management firms through partnerships.

Regulating terms, obligations and conditions for parties involved in PFM activities is

necessary to the proper conduct of Property or Facilities managers. The need for organization

which will unite all Property Management firms in the country through which they will be

giving out their views about the practice, agreeing on standard fees (commission), standard of

practice, guidelines and ethical issues is also necessary (Rwebangira et al, 2013).

The proposed organization should work hand in hand with Tanzania Institute of Valuers and

Estate Surveyors (TIVEA), in arranging seminars, workshops or meeting in which Property

Managers will be sharing challenges, experiences and various techniques on how to handle

general management of properties (Rwebangira et al, 2013).

58
3.10 Conclusion

As it was highlighted in the introduction section this chapter has been designed to give an

overview of Property and Facilities Management professions by focusing on application of

PFM expertise in the Hospitality Industry. The following chapter will consist of empirical

findings from the field and the results interpretation.

59
 CHAPTER FOUR

RESEARCH FINDINGS

4.0 Introduction

This chapter contains four sections. In the first section, general information about the selected

hotels is given while the second section is focusing on the data gathering methodology. The

third section which has got three subdivisions is mainly focusing on the results and

interpretations presented in text, numbers, tables and figures. Each subdivision is focusing on

a single objective of the research as found in the questionnaire. The fourth section is

particularly for summary of the chapter and its conclusion.

4.1 Research Methodology

The survey was conducted in the months of May and June 2014. A questionnaire with 5 Open

ended questions and 20 Close ended questions in a self-administered form were distributed to

10 hotels (each hotel 2questionnaires) and respondents were given one week to fill them due

to the nature of hotel business most of the personnel were busy and could hardly found a

spare time to fill in a detailed questionnaire like of this particular study as it can be seen in

the appendices 1.3.

Ten (10) questionnaires were sent out to hotel operators in top managerial level especially

General Managers and Human Resource Managers, and another ten (10) to the maintenance,

engineering, property, or facilities managers, this amounts to a total of 20 questionnaires. Ten

(10) people responded for top managerial operators i.e. GM and HRM and another ten (10)

responded for maintenance, engineering, property, or facilities managerial level or

department and representing 100% in both sides respectively.

60
Nine (9) questions were structured in a form of Likert Scale with Likert items in a short

sentence form and 5‐point scales ranging from Strongly Agree, Agree, Neutral, Disagree to

Strongly Disagree. If the respondent chooses ‘Strongly Agree’ this means that, the respondent

is highly accepting/aware with the provided statement. If in turn choose ‘Agree’ the

respondent is also accepting/aware with the provided statement. If the respondent chooses

Neutral, this means that the respondent is neither accepting/aware nor rejecting/unaware with

the provided statement. If the respondent chooses ‘Disagree’ it means that, the respondent is

not accepting/aware with what the statement mean. Lastly if the respondent chooses

‘Strongly Disagree’ it means that is highly or totally rejecting/unaware with the provided

statement. However one Likert scale question had a different range from extremely efficient

to extremely inefficient.

However, 10 questions were in a form of multiple choice and respondents were supposed to

tick their most desirable answer. Five (5) questions were open ended questions and

respondents had to fill in accordance to their understanding and perception without limitation

of possible ready-made answers provided by a researcher. The remaining one (1) question

was in a form of picking and a respondent was given two (2) options i.e. I=In-house and

O=Outsource.

4.2 Results and Analysis

Due to enough time given to respondents prior to the collection of questionnaires and the

humble nature of hospitality business, all twenty (20) questionnaires were returned to the

researcher for analysis. Each questionnaire was sub divided into four parts, the first

subdivision is about the general information about the hotel and the respondent while the

second subdivision is answering the first research question which was about the extent of

61
Property and Facilities Management practice in the particular hotel, the third subdivision is

answering the second research question which was about the perception of hotel operators

towards Property and Facilities Management professions. The fourth subdivision is mainly

focusing to answer the third research question which was about the factors for adaptation of

in-house and outsource method of service procurement in the particular hotel.

4.2.1 Part A: General Information

According to the Tanzanian Ministry of Natural Resources and Tourism together with the

Hotels Association of Tanzania (HAT), they both agree that in Dar es Salaam city there are 3

five star hotels and 12 four star hotels. Most of the hotels visited were located at either City

Centre (CBD) or alongside the shores of Indian Ocean in areas such as Msasani, Mbezi beach

and Oysterbay. The researcher personally visited 10 hotels among the 15 hotels. The visited

hotels can be seen in the appendices.

Question one up to six were designed to obtain the general information about the respondent

and the particular hotel. On the question about the respondent’s professional, 10 (50%) were

engineers while 7 (35%) had a background in hotel and catering management. When

respondents were asked on their experience in the hotel business 10 (50%) said that they have

been in the industry for less than 10 years while 7 (35%) were in the hotel business for 20-29

years. Among the ten hotels surveyed it was revealed that 7 were four Star while 3 were five

Star hotels. When respondents were asked how they arrived to a certain grade of

classification 13 (65%) they said that they were given the grade by the tourism board while 4

respondents they claimed they were graded by international boards.

62
4.2.2 Part B: The Extent of Application of Property and Facilities Management

Expertise in Hotels

On the question if there were any need of conducting condition survey recently in their hotel

properties 16 (80%) said yes and 4 (20%) said no which implies that there is a great need of

employing condition surveyors. In the following question on who was responsible for

conducting condition survey, 13 (65%) said that the housekeeper was responsible and 5

(25%) claimed that the engineers were in charge of that process, this signifies that the

condition survey process is done unprofessionally. It was also revealed that the departments

responsible for maintenance or PFM related tasks were mostly headed by engineers by 70%

(14) followed by hoteliers by 30% (6). All 20 (100%) of respondents agreed that they were

highly concerned about their hotel properties performance in comparison to their competitors,

this generally showed their commitment to apply technical and professional measures to

ensure the survival of their properties.

In another specific question about the department capacity to tackle various maintenance

challenges it was clearly noted that most of the respondents showed trust on their

department’s capacity to tackle most of the challenges expect for maintenance contracts and

selection of specific right service provider (tendering) for maintenance related tasks. This

proved that there is a need to employ personnel with particular expertise in dealing with

services providers tendering and administration as it can be shown in the table below.

63
Table 4.1 Maintenance Challenges Existing In Hotel Buildings in (Percentages)

Extremely Not Extremely

Scale/Rating and Likert Items efficient Efficient Neutral Efficient Inefficient
Emergency repairs 50 50

Energy efficiency 45 55

HVAC & Furniture 35 50 15

Preventive Maintenance 30 55 15

Management of contracts 10 15 5 70

Education of staff 50 45 5

Selecting service provider 20 10 65 5

Source: Field Data, (2014)

Another question which aimed at acquiring respondent’s insights on which type of

maintenance method that they mostly adopt in their daily operations, it was clearly observed

that 14 (70%) of respondents strongly agreed that they followed emergency corrective

maintenance. Routine or time based was a second preferred type while predictive

maintenance type was the least preference. The results clearly showed that there is a problem

in most of the hotels when it comes to dealing with maintenance challenges, the available

personnel are more dedicated in corrective and routine maintenance programs due to their

incapability to form predetermined or long term predictive maintenance programs, as a result

the management incur more cost in conducting frequent building surveys. The following

figure can illustrate in detail the rest of the responses.

64
Figure 4.1 Maintenance Types in (Percentages)

Source: Field Data, (2014)

4.2.3 Part C: Perception of Hotel Operators towards Property and Facilities

Management Professions.

This part of questionnaire was designed to grasp respondent’s general perception about how

much they are aware or familiar with the Property and Facilities Management professions. 11

(55%) agreed that Property Management is mainly about looking for tenants and rent

collection, also14 (70%) strongly agreed that Facilities Management is concerned about

maintaining building facilities like elevators and the likes. Generally the results showed poor

perception on their understanding of the two professions. The figure below can summarize

the whole results of the particular question.

65
Figure 4.2 Perceptions of Property and Facilities Management Professions in
(Percentages)

Source: Field Data, (2014).

Another question aimed at grasping respondent’s perception on the importance of various

Property and Facilities Management functions in relation to the hotel management structure.

12 (60%) strongly agreed that condition survey, support services management as one of the

functions of PFM is vital to the hotel management structure while 13 (65%) strongly agreed

that space planning and management is essential for hotel business structure. 12 (60%) agreed

that maintenance is also an important aspect of PFM which is needed in the hotel

management structure. On another function of benchmarking 9 (45%) agreed that it’s

important to the hotel business while 11 (55%) were neutral about the function of purchasing

coordination.

66
On the function of contract management 6 (30%) both agreed and strongly agreed that it’s an

important function to the hotel business and left out 14 (70%) with varying answers which

fell to neutral, disagree and strongly disagree. On the aspect of TQM 10 (50%) agreed that it

was important function of PFM to the hotel. Most of the responses has technically shown that

most of the mentioned PFM functions, principles, strategies or expertise are highly important

and required in the hotel management structure. The following figure can illustrate more

about the particular question.

Figure 4.3 Importance of Property and Facilities Management Functions In Relation To

the Hotel Management Structure in (Percentages)

Source: Field Data, (2014)

67
Another question focused on hotel features and how they play in attracting customers in

relation to the department dealing with maintenance or PFM related tasks. Generally all 20

(100%) of respondents either agreed or strongly agreed that location, aesthetics, reliability of

services, speed of repair, etc. play a great role in attracting customers especially when the

maintenance, engineering or PFM related department is ensuring a conducive environment

for each feature. 19 (95%) strongly agreed that location is the most important feature

followed by aesthetics and speed of repair each obtained 65% (13). The results tell us that the

PFM department presence in hotels is essential to ensure customers flow in the hotel. The

figure below illustrates the trends as obtained in the field.

Figure 4.4 Hotel Attraction Features in (Percentages)

Source: Field data, (2014).

68
4.2.4 Part D: Procurement of Services in Hotels

This part reports on the common services in a hotel set up and their procurement

methodology whether its ‘outsourced’ or ‘in-house’. The following was observed, catering

and accounting services in all ten (10) hotels and their twenty (20) respondents came to a

unanimous conclusion that these services are retained or provided in-house probably due to

their vital importance to the hotel. Also 16 (80%) said that cleaning and maintenance services

are also provided in-house. 14 (70%) claimed that security services are being outsourced.

Fumigation service was the only service that 20 (100%) respondents said that they outsource

the service. The figure below shows all services and their response. Generally, most of the

services are provided in house due to close monitoring, maintaining of standards, and liability

issues which leaves out few outsourced services due to statutory requirements, and other

reasons as explained in the next question.

69
Figure 4.5 In-house and Outsourced Services in (Percentages)

cleaning
engineering
PFM
fumigation
catering
accounting
electrical
plumbing
AC
ICT
purchase and storage
promotion
security
maintenance
0 10 20 30 40 50 60 70 80 90 100

outsource in-house

Source: Field Data, (2014)

In another question which targeted the respondent’s reasons behind for either outsource or in

house provision of services, it was revealed that 17 (85%) agreed that the main reason behind

outsourcing is lack of skills of in-house technicians. Degree of complexity of a particular task

and statutory requirements which guides them to outsource a particular service like

fumigation was also another reason supported by agreeing for 70% (14). Financial

constraints, time constraint, reduced operational cost, strategic value of a service all obtained

15% (3) disagree, neutral or strongly disagree vote as the reason behind for outsourcing

which signify the reason behind for in-house provision of most of the services in hotels. The

table below summarize all answers as given by the respondents.

70
 Table 4.2 Factors for Outsource Of Services in Hotels in (Percentages)
Scale/Rating and Likert Items Strongly Agree Neutral Disagree Strongly
Agree Disagree
Availability of in house technicians 30 55 15
Use of specialized tools 45 55
Financial constraints 50 20 15 15
Degree of complexity of system 30 70
Reduced operational cost 30 55 15
Specialized competence of a firm 20 65 15
Skills of in house technicians 15 85
Time constraint 30 55 15
Statutory requirement 15 70 15
Strategic value of service 30 55 15
Source: Field Data, (2014)

Challenges facing the whole scale adaptation of Property and Facilities Management in the

hotel environment was another question which was answered by respondents, 17 (85%)

agreed that it was due to the fact that there are no specific training requirements yet clearly

defined for the property/facilities manager. 16 (80%) of respondents also strongly agreed that

Lack of legislation to back up PFM as professional callings in the Tanzania environment is

also a challenge for its whole adaptation in the hotel organizations. Low availability of

experts and high cost in hiring them was agreed by 10 (50%) of respondents as another

challenge for the whole scale adoption of PFM in the hotel business environment. 9 (45%) of

respondents strongly agreed that conservatism among hotel stakeholders and other built

environment professionals was also a challenge for the whole scale adoption of PFM in the

hotel organization. The figure below tries to summarize the findings of the particular

question.

71
Figure 4.6 Challenges Facing the whole scale Adoption of PFM in the Hotel
Organization

100
Conservatism among the
stakeholders and built
80
environment professionals
60
Lack of legislation to back
up FM as a professional
40
calling in the Tanzania
environment
20
Conflict of supremacy
among line managers
0

Training requirements of
the facilities manager are
not yet clearly defined

Source: Field Data, (2014).

On the matter of perception of hotel operators towards the benefits which can be derived

from holistic adoption of Property and Facilities Management expertise by hotel

Organizations, It was revealed that all 20 respondents (100%) either strongly agreed, agreed

and few became neutral on all benefits of PFM to a hotel organization as found in the

questionnaire. Meeting customer’s needs was strongly agreed by 14 (70%), followed by

quality services which was also strongly agreed by 12 (60%). There was no any respondent

who either disagreed or strongly disagreed on the possible benefits which can be derived

from the holistic adoption of PFM in the hotel organizations which clearly meant that they

understood the existence of the gap and the need to adopt certain expertise which will add

more benefits to the hotel management structure. The table below summarize the rest of the

findings.

72
 Table 4.3 Benefits from Holistic Adoption of PFM in Hotel Organizations
Scale/Rating and Likert Items Strongly Agree Neutral Disagree Strongly
Agree Disagree
High hotel performance 45 55
Functional Hotel 45 55
Quality accommodation 45 55
Adequate and functional facilities 30 55 15
Meeting customers’ needs 70 30
Effective security system in place 20 80
Good & neat environment 35 65
Improved tourism activities 45 55
Improved health and safety within hotels 40 60
Improved patronage of hotels 15 85
Extensive responsibilities and authorities for 85 15
facilities managers
Quality services 60 40
Proactive maintenance 55 45
Improved exposure and interaction among 45 40 15
hotel operators
Strategic planning and implementation all the 30 55 15
way
Participatory decision making and 15 70 15
implementation
Increase life cycle of the hotel building 70 30
Qualitative and proactive management of 20 50 30
hotels
Source: Field Data, (2014).

4.2.5 Open Ended Responses

In a response on what should be done to improve a hotel’s maintenance, engineering or a

PFM related department the following were the common answers from the respondents:

i. Departments should hire a professional who is capable of handling various contracts

emerging from time to time.

ii. Selection of service providers should also be left on experts who are capable of

choosing reliable service providers.

73
 iii. Energy conservation measures should be implemented especially on power and water

consumption.

iv. Attending of guest complains often.

v. Increase of speed of repair and its evaluation.

vi. Increase of number of property checking (condition survey).

vii. Invitation of other stakeholders from built environment professions and government

agencies or authorities like OSHA and Municipal council.

viii. Education to staff and even guest on how to use and maintain different equipments in

the hotel.

ix. Upgrading of equipments to go with the technology and adoption of building

management software like CAFM and PMS to simplify the building management

process.

x. Hiring of personnel with the right professional background.

In the last attempt to know what respondents thought about the performance of those hotels

with a PFM or related department compared to those hotels which do not have one especially

most of 1-3 Star hotels, the answers suggested that the hotel’s efficiency in running daily

operations and meeting daily customer’s needs tends to be low and that is proved by their

lower ranking/grading compared to 4&5 Star hotels which most of them are highly

departmentalized and thus high efficiency and higher grades. Other respondents suggested

that hotels with a PFM or related department are extremely low cost driven compared to

hotels with no specific department for PFM or related department like of engineering or

maintenance.

74
4.3 Chapter’s Summary and Conclusion

The chapter has conveyed what a researcher has found in the field by analyzing each part of

the questionnaire. Each objective and its research question was answered accordingly. The

following final chapter will be giving out the researcher’s observation and interpretation of

the findings together with the discussion, recommendations, limitation of the study,

implications for practice and future research and lastly the general conclusion.

75
 CHAPTER FIVE

DISCUSSION, RECOMMENDATION AND CONCLUSION

5.0 Introduction

This chapter aims at giving interpretations of the research’s findings and unbiased discussion

on important matters aroused during the study by showing out principles, relationships and

generalizations without recapitulating the results as strictly as it can be. The chapter also aims

to conclude the study by giving out a direction for possible related future research,

implications for practice, recommendations and lastly its researcher’s concluding remarks.

5.1 Observation and Finding’s Summary

i. Low Involvement of Property and Facilities Management professionals in the hotel

management structure. Most of the posts which could have been held by them are

overtaken by engineers, followed closely by hoteliers. In all five star hotels surveyed

the engineers were predominant figures while in the four Star hotels the hoteliers took

the lead in practicing Property and Facilities Management or related tasks. Young

individuals with an experience of less than ten years are predominant figures in the

management of most of the surveyed hotels, in the PFM or related departments it was

also noted that most of the expertise were foreigners from either Europe or Asia.

ii. Regular property inspection/ building survey is often required in the hotel

environment and the task is mostly conducted by housekeepers who are not

professionally able to conduct the survey. The inspections are expected to maintain

hotel’s quality atmosphere which in turn it accelerate the hotels grade which is an

76
 ultimate goal of almost every hotel operator to ensure their survival in the hotel

business.

iii. Poor handling of maintenance programs. Corrective maintenance is the most applied

type of maintenance in the hotels. In most of the hotel visited they do not have

predictive maintenance programs, much of the effort is on repairing what has been

damaged or deteriorate. In most of the hotels, especially 4 Star the personnel

responsible for maintenance or related works are not academically equipped to

perform the tasks.

iv. Lack of awareness on the benefits which can be derived from employing PFM

professionals. Most of hotel’s operators are not aware at all of either Property or

Facilities Management as professions and what value they can add in the hotel’s

business context. The understanding is mostly poor and wrong, however the

misconception does not limit their ability to know what is missing but rather where or

how to correct it. The PFM or related tasks department is also one of the core part of

the hotel’s success as it’s the one responsible to maintain aesthetics and reliability of

services which in turn it attracts more customers and hence more income for the hotel.

v. Low practice of Property and Facilities Management tasks in the hotels. Whether they

are aware or not, hotel operators are highly responsible in applying certain PFM or

related tasks in both acceptable and sometimes below standards whereby condition

survey, maintenance, support services management and space planning are the most

PFM related duties performed in a great deal in the hotel management. Generally the

77
 extent of PFM practicing in hotels is low, narrowed and limited to the mentioned

elements only.

vi. Most of services in hotels are provided in-house. Food or catering services and

accounting services are one of the many services which are absolutely managed in-

house, followed by security and cleaning which is technically being provided in both

ways i.e. in-house and outsourcing. Fumigation is a single service that is absolutely

outsourced by all hotels. The main reason for outsourcing was revealed to be lack of

skills of in-house technicians, degree of complexity of some tasks and statutory

requirements.

vii. Functions of PFM are highly needed in the hotel management structure. The

principles of Total Quality Management and Benchmarking were seen to be most

required expertise in the hotels so as to increase the quality and reliability of services.

It was also revealed that the mentioned functions together with other were expected to

improve patronage of hotels, to meet customer’s needs and increasing the life cycle of

the hotel properties.

viii. Lack of legislation to back up the professions, conservatism among investors and

other built environment professionals etc. are among many challenges hindering the

whole scale adoption of PFM in the hotel management structure.

ix. The performance of hotels with no PFM or related tasks department is lower

comparing to those hotels with the similar departments to coordinate and handle PFM

tasks such as arranging and supervision of maintenance programs. It’s expected that

the particular PFM expertise to be integrated should focus on meeting customer’s

78
 needs, and bring or maintaining quality in the hotel’s atmosphere and thus improve

the performance of hotels.

5.2 Discussion

The results has shown that PFM or related tasks have been left on the hands of other

professionals in the hotel management structure, it’s not entirely bad as its true that some

professionals tend to intermingle and one professional can substitute the other at times but it’s

an obvious fact that an accountant job performed by a lawyer no matter how good the lawyer

is ,the amount of determination, passion, acquired skills during the learning process one

endured during the learning process cannot be underestimated or easily substituted.

It’s true that the engineers performing PFM or related tasks in Hotels are doing a satisfactory

job, but the Facilities Management component they have missed can add a tremendous value

either. Most of engineers are lacking management skills and their management style is based

on structural and technical issues, this is supported by (Durodola, 2009) in his survey study of

management of hotel properties in south-western Nigeria. During the survey it was noted

clearly that all the five Star hotels have employed Engineers in PFM or related departments,

but the real problem is in the four star hotels which mostly have employed hoteliers to

perform PFM or related duties, generally the situation is of unsatisfactory condition

compared to their counterparts, and by the grading system it clearly means that the lower

grade hotels must be facing a similar or even a more challenging situation as far as

management of assets and facilities is concerned.

When it comes to repair and maintenance as it has been observed in the findings, refer to

figure 4.1, one can obviously note that one of the biggest challenge in maintaining the quality

79
of their building structures is through maintenance, the corrective maintenance type is very

costly and the regular property checking also known as condition survey seems to do the

magic but in real sense it’s the failure of the responsible departments or managers to prepare

predetermined or predictive maintenance schedules to counter attack current and likely future

maintenance challenges. Facilities management principle or strategy of Benchmarking could

have solved the problem by strategically observing what other similar organizations have

been doing. This is also supported by findings from a thesis titled Hotel Maintenance Process

by (Aryee, 2011), she insisted on application of FM perspective in combating hotel

maintenance challenges.

Among various services found in hotel’s context it was observed that some services were out-

tasked rather than outsourced as respondents claimed, this signified the low level of

understanding on what some of the managers have been practicing through experience.

Understanding of a phenomenon always leads towards a better practice of it.

When data was collected during May and June 2014 in Dar es Salaam, there was a Dengue

fever outbreak, most of public buildings were fumigated and it was revealed that there was no

a single hotel which had such service and many service providers of such service were

overcharging. The lesson to be learnt in FM point of view is that a professional Facilities

Manager could have anticipated the problem and outline such kind of service in his/her

supporting service management plan and hence reduce cost. It should be clearly noted that

FM perspective is more proactive rather than reactive and application of FM principles can

assist in avoiding many management challenges in hotels

During the survey especially in the open ended response from the respondents in five Star

hotels such as Hyatt Regency, it was revealed that energy consumption is another biggest

80
threat to big hotels, the use of chillers, electrical stoves etc. has been incurring the

management a lot of cost and decrease the revenue. Careful FM tactics of benchmarking

energy use, staff education and green campaigns could have reduced the problem but

unfortunately enough most of hotels stakeholder’s attention is not on cost reduction measures

rather than customer’s attraction by hooks and crooks. All hotels should consider energy

management and come out with specific policies and actions for the maintenance of their

facilities, reduction in energy usage and conservation of the use of water. It is recommended

that future researchers should consider management of energy in hotels due to increasing

number of equipments required for operating this industry that consume high volume of

electric power that results in rising energy cost (Aryee, 2011).

There is a huge correlation between the benefits of applying PFM expertise in hotels and the

challenges facing the whole scale holistic adoption of PFM in the hotel context. For several

reasons it was noted that the understanding of the importance of applying almost every

function of PFM in the hotel context was high and they suggested that it was vital but still,

taking a leap of faith and employ the right personnel is a challenge due to conservatism or

rigidity to change mind sets by most of stakeholders.

It can be concluded by saying that in today’s world, professionalism which describes the

standards of education and training that prepare members of the profession with the particular

knowledge and skills necessary to perform the role of that profession. In addition, most

professionals are subject to strict codes of conduct enshrining rigorous ethical and moral

obligations. Professional standards of practice and ethics for a particular field are typically

agreed upon and maintained through widely recognized professional associations10.

10
wikipedia.org/Professional

81
Professionalism assures clients or customers with boundaries or demarcation line of

responsibility, accountability, it also promote improvement and respect to one co-worker to

another, and in most cases it reduces the possible conflicts in workplaces.

5.3 Recommendations

In view of the findings from this research work, the following implications are envisaged for

consideration by government and other stakeholders, as might be applicable.

i. This study has established the application of Property and Facilities Management

principles in the management of hotels within the study area was at low and

suggesting un-popularity among hotel stakeholders. Accelerated education of the

populace through the print media, radio and television programs, training and re-

training of people in this field is considered as the way out. This can be achieved by

government through Tanzania ministry of higher education science and technology,

Ministry of Tourism and Natural resources, encouraging and supporting training and

research in this field. Furthermore, the School of Real Estate Studies should pursue

vigorously the enabling law establishing Tanzania Facilities Management Association

(TFMA) and Tanzania Property Management Association (TPMA) which once

established should concentrate more on research, training, marketing and promotion

of these professions.

ii. It’s also recommended that hoteliers and other hotel stakeholders should learn to
embrace professionalism as a gateway from various management challenges they are
facing. Hiring of personnel with right professional background increase commitment
to the particular task and accelerate efficiency.

82
 iii. In addition, School of Real Estate Studies (SRES) should establish a standard of

practice or guidelines, and encouraging continuing professional development through

seminars, workshops, in-service training and public lectures. This can be easily

achieved by observing other countries practice and trying to fuse with the need of our

local practitioners.

iv. The formation of post graduate programs similar to law school or Certified

Professional Accountant (CPA) could also strengthen not only the graduates in terms

of their ability to apply PFM principles and strategies not only in Hospitality Industry

but other sectors of the economy. In developed countries similar programs and

accreditation have been established and awarded respectively to Property Managers

such as Certified Property Managers (CPM), Certified Facility Manager (CFM) etc.

As a result the particular professionals have been well identified and distinguished

from other professionals and in turn it has increased their market in the industry.

v. Lastly but not least the graduates from SRES should come out and not only be

advocates of built environment professions but also they should join hands with SRES

management towards preparation of a Real Estate Services Bill which will later on be

an Act to protect and guide the interest of these professions just like any other

professionals regulation laws available in the country.

5.4 Direction of Future Research

The main focus of this study was to find a way to blend in PFM professions in hospitality

properties. Dar es Salaam is just one of the top tourists hotspot of this country, the result

obtained in this study could be compared with that of any other similar regions such as

Zanzibar and Arusha. Further, FM practice in other sectors of the economy such as health

83
services delivery, education, pharmaceutical, energy, water supply etc. could be researched

into to check if they are interchangeable. On the whole, whichever direction such future

research takes, this work would certainly remain a reference point.

5.5 Concluding Remarks

This study focused on the perception from hotel engineers, maintenance supervisors, hotel’s

HRM’s and GM’s within the context of Dar es Salaam only; the similar professionals in other

countries may have different practices, experiences and opinions. Also, this research focused

on 4&5 Star chain hotels only. It excluded hotels with lower star rating and other hospitality

properties such as lodges, motels, restaurants etc. Therefore, further studies for other

geographic areas, other hospitality properties and even guest’s perceptions are recommended

in order to have a broader view.

This study has documented, in a single document, what PFM is all about and the degree of its

application in the management of hotel properties in Dar es Salaam. The study has equally

addressed other issues such as derivation of indicators of effective application of PFM in the

running of hotels as well as benefits derivable from application PFM in hotel sector and the

challenges that are likely to be faced in its holistic adoption. With all these observations, the

study has brought into reckoning the perception of hotel stakeholders about PFM. It is hoped

that the findings contained herein will be of particular interest to all stakeholders in real estate

and hotel business, the academia as well as governmental organizations.

84
 REFERENCES

Atkin & Brooks (2009), Total Facilities Management. Published by: Wiley Blackwell,
Hoboken US (third edition)

Amaratunga, D and Baldry, D (1999). Building Performance Evaluation in Higher

Education Properties: Towards a Process Model. RICS Foundation, 2 (14), 45 – 56

Aryee Susan, (2011) Hotel Maintenance Management (Strategic practices in hotel operation).
Stockholm Sweden.

Asika, N (1991). Research Methodology in the Behavioral Sciences 1st Ed. Lagos: Longman
Nigeria Plc.

Barrett, P (2000) ‘Achieving strategic facilities management through strong relationships’

Barrett & Baldry (2003), Facilities Management towards best practices. Published by: Wiley
Blackwell, Hoboken US (second edition)

British Institute of Facilities Management (1995). The Learning Curve Chartered

Surveyor Monthly. Supplement June 1995, Pp II – IV

Calingo, L. M. R., (1996) ‘The evolution of strategic quality management’. International

Journal of Quality & Reliability Management, 13 (9), pp.19–37

Chan, K (2007) ‘An empirical study of maintenance costs for hotels in Hong Kong’ Journal
of Retail & Leisure Property, 7 (1) p35–52

Chan, W.W. & Ho, K. (2006) ‘Hotel’s environmental management systems (ISO14001)
creative financing strategy’ International Journal of Contemporary Hospitality
Management, 18(4) p302-316

Chan, K.T., Lee, R.H.K. & Burnett, J (2001) ‘Maintenance performance: a case study of
hospitality engineering systems’ Facilities, 19, p494-504
85
Cotts, D.G. (1998) The facility management handbook. 2nd ed. New York: American
Management Association

Creswell, J. W. (1998). Qualitative inquiry and research design: Choosing among five
traditions. Thousand Oaks, CA: Sage.

Creswell, J. W. (2002). Research Design: Thousand Oaks, CA: Sage.

Crowell, C. (2009) “Stop, drop and roll out fire emergency plans". Hotel & Motel
Management. [Online] Available from:
http://findarticles.com/p/articles/mi_m3072/is_9_224/ai_n42264481/ (Accessed: June
5, 2014)

Decarlo, Joseph W. Property Management. Englewood Cliffs, NJ: Prentice Hall, 1996

Durodola, O.D. & Oloyede, S.A. (2011) ‘Empirical determination of property assets
management styles in south-western Nigeria hotels’ Journal of Sustainable
Development, 4 (1) .

Evans, Mariwyn. "Privatization of Public Housing." Journal of Property Management,

March/April 1998. Available from www.irem.org/jpm.htm.

Facilities Management Hospitality Case Study’ Journal of Performance of Constructed

Facilities, 17(1)24-33.

Fennel, Lawrence and John H. Lombardi. Spotlight on Security for Real Estate Managers.
Institute of Real Estate Management, 1997.

Fire Safety Engineering (2006) ‘Safe stay’ Fire safety engineering, 13(10) p21-22

Frapin-Beaugé, A J M, Verginis, C S and Wood, R C (2008) ‘Accommodation and Facilities

Management’, in Brotherton, B and Wood, R C (eds) The Sage Handbook of
Hospitality Management, London: Sage. pp. 383–399.

86
Gruman, J.A., Chhinzer, N. & Smith, G.A. (2011) ‘An Exploratory study of the level of
disaster preparedness in the Canadian Hospitality Industry’ International Journal of
Hospitality & Tourism Administration, 12(1), p43 — 59

Hassanien, A and Losekoot, E (2002). The Application of Facilities Management

Expertise to the Hotel Renovation Process. Facilities, 20(7/8) 230 – 238

Hawkins, R. (2009) ‘Getting the CSR message across’ Caterer & Hotelkeeper, 199 (4599)

Hofmann, M. A. (2005) ‘Marriott sets the standard in fire safety’ Business Insurance (39) 16

John E. Edwards (2012), Applied Facilities Management for the Hospitality Industry. USA,
University Readers Inc. www.cognella.com

Kyle, Robert C., Floyd M. Baird, and Marie S. Spodek. Property Management. 6th ed.
Chicago: Dearborn Publishing, 1999.

Kothari, C.R (2002) Research Methodology; Methods and Techniques. 2nd edition. India;
Wiley Eastern Ltd. p1-74.

Langdon, D & Everest (2002) Cost model: Hotel refurbishment [online] Available
from:http://www.building.co.uk/data/cost-model-hotel-refurbishment/1019180.article.
(Accessed: May 2, 2014)

McGuigan, B (2011) What is the difference between quantitative and qualitative research
[online] Available from: http://www.wisegeek.com/what-is-the-difference-between-
quantitative-and-qualitative-research.htm (Accessed: May 21, 2014)

Mitchell R.C. (n.d.) Strategy Formulation [online]. Available from:

Murray McKenzie and Benny Chan. (2009) Introduction to Hospitality. Hong Kong,
Education Bureau.

87
Nebel, E.C; Rutherford, D.G and Schaffer, J. D (2002) “Reengineering the Hotel
Organization”. In Rutherford, D. G [Ed.]. Hotel Management and Operations 3rd Ed.
(pp. 55-63). New York: John Wiley & Sons, Inc.

Nebel, E.C; Ghei A (2002) “A Conceptual Framework of the Hotel General Manager’s Job”
in Rutherford, D. G [Ed.]. Hotel Management and Operations 3rd Ed. (pp. 55 – 63).
New York: John Wiley & Sons, Inc.

Nwankwo, P.C (2004) Property Management Practice in Nigeria, 2nd Ed. Lagos: B.G
Company.

Oakland, J. S. (2003) TQM: text with cases. 3rd ed. Oxford: Butterworth-Heinemann.

Okoroh, M.I., Jones, C.M. and Ilozor, B.D. (2003).‘Adding Value to Constructed Facilities:

Okoroh, M.I; Jones, C.M and Ilozor, B.D (2003) “Adding Value to Constructed Facilities:
Facilities Management Hospitality Case Study” Journal of Performance of
Constructed Facilities, February 24-33

Patton, M. Q. (1990). Qualitative evaluation and research methods (2nd ed.). Newbury Park,
CA: Sage.

Pitt, M and Tucker R, M, (2008), Collaboration in Property and Facilities Management.

Property Management, Vol. 26(No. 5). pp. 310-318.

Ransley .J, Ingram .H, (2000): Developing Hospitality Properties and Facilities, Replica Press
Pvt ltd.

Rutherford, D. G. (1987) ‘The Evolution of the Hotel Engineer's Job’ Cornell Hotel and
Restaurant Administration Quarterly, 27 (72)

Rwebangira A, Ahmad A, Silinde B.E, Thomas S.T, Abbas A, Komba M.G, Masele B.
Property Management in Tanzania: Reasons for employing Non Professional Property
Managers. Ardhi University, PFM Department, Dar es Salaam Tanzania, 2013.
88
Samuel, B. (Ed) (2008) ‘Operations key in green effort’ Hotel & Motel Management, 223(5)

Sirota, D (2004). Essentials of Real Estate Investment,.7th ed. Chicago: Dearborn

Financial Publishing, Inc

Sohail, M.S., Roy, M.H., Saeed, M. & Ahmed, Z.U. (2007) ‘Determinants of service quality
In the Hospitality Industry: The case of Malaysian hotels’ Journal of Accounting –
Business & Management, 14, p64-74.

Stake, R. (1995).The art of case study research. Thousand Oaks, CA: Sage

Van Schalkwyk, J. C. (1998) ‘Techniques: total quality management and the performance
measurement barrier’. The TQM Magazine, 10 (2), pp. 124–131

White, B. (2002) Writing your MBA dissertation. Continuum. ISBN: 0-8264-6012-7

Wysocki, R. K. (2009) Effective Project Management: Project Management Landscape. 5th

ed. Indianapolis: Wesley Publishing Inc.

Yang, C.C. (2006) ‘Establishment of a Quality-Management System for Service Industries’

Total Quality Management 17 (9), p1129–1154

Yin, R. K. (2003). Case study research: Design and methods (3rd Ed.). Thousand Oaks, CA:
Sage.

89
 APPENDICE 1.1

ARDHI UNIVERSITY
SCHOOL OF REAL ESTATE STUDIES
BSc. PROPERTY AND FACILITIES MANAGEMENT.
DISSERTATION TITLE: PROPERTY AND FACILITIES MANAGEMENT PRACTICE
IN HOSPITALITY INDUSTRY.
THE CASE OF 4&5 STAR HOTELS IN DAR ES SALAAM.
QUESTIONNAIRE
Dear Respondent,
This survey is a base-line study of PROPERTY AND FACILITIES MANAGEMENT
PRACTICE IN HOSPITALITY INDUSTRY in 4&5 Star hotels in Dar es Salaam, Tanzania.
It is aimed at eliciting information about the extent of Property and Facilities Management
practice in hotels, perception of hospitality properties operators towards Property and
Facilities Management professions and factors that determine the adoption of outsourcing and
in-house strategies when procuring services. It eventually aims at establishing strategies to
improve the performance of the hotels by incorporating Property and Facilities Management
expertise.
I therefore seek your indulgence and kind cooperation in completing the questionnaire. I
assure you that the responses shall be used strictly for research purposes only.
Thank you.
Yours faithfully,

Emil Sylvester Mdinda.

May, 2014.

90
 PART A
GENERAL INFORMATION.
Please, tick or fill as appropriate the option that best describe your response.
1. Name of your hotel…………………………………………………………………………
2. Your title is…………………………………………………………………………………
3. Your Professional Calling (a) Hotel and Catering Management [ ] (b) Business
Administration [ ] (c) Accounting [ ] (d) Engineering [ ] (e) No formal training [ ]
(f) Others (specify please) [ ] ………………………………………………………………..
4. I have been in the hotel and Hospitality Industry for (a) less than 10 years [ ] (b) 10-19
years [ ] (c) 20-29 years [ ] (d) 30-39 years [ ] (e) 40 years and above [ ]
5. Your hotel classification grade (Please tick below)
(a) Four-star [ ] (b) Five-star [ ] (c) Others, Please Specify………………………………...
6. How did the hotel arrive at this classification?
(a) Self-Formulated [ ] (b) Tourism Board Classification [ ] (c) Internationally
Proclaimed [ ]

PART B
THE EXTENT OF APPLICATION OF PROPERTY AND FACILITIES
MANAGEMENT EXPERTISE IN HOTEL.
7. Has there been any need of recent to carry out the condition/building survey of this hotel?
Yes [ ] No [ ].
8. Who carried out the condition/building survey? Please tick below.
(a)Housekeeper [ ] (b) Property/Facilities Manager [ ] (c) Accountant [ ] (d) General
Manager [ ] (e) Engineer [ ] Others please specify ……………….………………………….
9. Have you as a manager in particular and your organization in general been concerned
about the performance of your hotel properties/buildings in comparison with your
competitors? (a)Yes [ ] (b) No [ ].
10. How efficient is the current hotel property (building) management method in meeting
your business expectation? Please tick below
(a)Very Good [ ] (b) Good [ ] (c) Fair [ ] (d) Poor [ ] (e) Extremely poor [ ]
11. Who heads either the property/facilities/maintenance/engineering department that you
have? Please tick one (a) An engineer [ ] (b) A hotelier [ ] (c) An accountant [ ] (d) A
housekeeper [ ] (e) Lawyer [ ] (f) Others, Please specify………………………………….

91
12. How do you see the performance of property/facilities/maintenance/engineering
management department in relation with meeting customer’s needs and owner’s expectation?
Please tick below (a) Extremely effective [ ] (b) effective [ ] (c) reasonably effective [ ]
(d) Somewhat effective [ ] (e) In-effective [ ]
13. Please tick in accordance with your appropriate opinion.
STATEMENT SCALE OF IMPORTANCE/RATING

The following are various maintenance Extremely Efficient Neutral Not Extremely
challenges existing in hotel buildings Efficient Efficient Inefficient
operation, in tackling the challenges how
do you find your department capacity?

Emergency repairs for plumbing, power,

gas and others

Energy efficiency in light of increasing

electronic equipment, high volume of
lights, chillers, air conditioners and energy
conservation at large.

HVAC and furniture maintenance

depending on hotel policy or local law
The ability to perform regular janitorial
preventive maintenance and inspection
Management of various contracts involved
in daily or contractual maintenance of
hotels
Education of staff on the importance of
planned maintenance activities.
Selecting the right service provider for
specific maintenance requirement and
other services.

14. Please tick in accordance with your appropriate opinion.

STATEMENT SCALE OF IMPORTANCE/RATING
The hotel has been adopting the following Strongly Agree Neutral Disagree Strongly
maintenance type. Agree Disagree
Condition- based Monitoring (Predictive)
Time-based Maintenance (Routine
preventive)
Failure Driven Maintenance (emergency
corrective)

92
15. Is it easy to recruit technicians for your property/facilities/ maintenance department in
hotel industry? Yes [ ] No [ ] Please specify why is that so?
................................................................................................................................................
................................................................................................................................................
................................................................................................................................................
16. In your opinion as an experienced hotel operator in brief, what can be done to improve
hotel property/facilities/maintenance/engineering department?
a) ....................................................................................................................................
b) ....................................................................................................................................
c) ....................................................................................................................................

PART C
PERCEPTION OF HOTEL OPERATORS TOWARDS PROPERTY AND
FACILITIES MANAGEMENT PROFESSIONS.
17. Please tick in accordance with your appropriate perception.
STATEMENT SCALE OF IMPORTANCE/RATING
The following are the various Strongly Agree Neutral Disagre Strongly
perceptions on how people perceive Agree e Disagree
Property and Facilities Management
professions.
Property management is about
maintaining the building physical
structure and its economic
considerations.
Property management is mainly
about looking for tenants and rent
collection.
Facilities management is concerned
about maintaining building facilities
like elevators and the likes.
Facilities Management is concerned
about coordinating all non-core
activities which take place in an
organization like security,
cleanness, etc.

93
18. Please tick in accordance with your appropriate perception.
STATEMENT SCALE OF IMPORTANCE/RATING
The following are Property and Facilities Strongly Agree Neutral Disagree Strongly
Management functions as perceived by Agree Disagree
many scholars. What is your perception on
their importance in relation to the hotel
management structure?
Space Planning and Management

Support Services Management

Total Quality Management

Strategic Estate/Property Management

Maintenance Management
Life Cycle Analysis

Project Management

Safety and Environmental Issues

Development of Building Policies

Benchmarking

Condition/Building Survey

Building Cost Accounting

Purchasing Co-Ordination

Control of Maintenance Expenses

Energy conservation

Contract Management

94
19. Please tick in accordance to your appropriate perception
STATEMENT SCALE OF IMPORTANCE/RATING

What is your perception concerning Strongly Agree Neutral Disagree Strongly

involvement of property /facilities /engineering Agree Disagree
/ maintenance department in any of the
following issues in the day to day operations?
Conservation of built assets

Renewal and improvement of works

Building operation management

Provision and sustenance of space at an

economic cost
Performance appraisal of properties in
your hotel

Provide satisfying space and internal

environment for the entire workforce of
the hotel
Contracting out of services in the
operations of building and services

Assessment of property worth in the

market (valuation)

Procurement of new construction works

and facilities

20. Please tick in accordance to your appropriate perception

STATEMENT SCALE OF IMPORTANCE/RATING

What is your perception on the following hotel Strongly Agree Neutral Disagree Strongly
features and how they play in attracting Agree Disagree
customers in relation to the department dealing
with
property/facilities/engineering/maintenance?
Location

Aesthetics or condition

Reliability of services/amenities available

Speed of repair and maintenance

Food and beverage services

Sales, Marketing and Promotion

95
 PART D
PROCUREMENT OF SERVICES
21. The Table below shows common services in a hotel set up. Kindly indicate your
procurement methodology by marking only ‘outsourced’ or ‘in-house’ as appropriate
to your system whereby I=INHOUSE and O=OUTSOURCED.
Maintenance Plumbing services

Security Electrical services

Promotion& Advertisement Accounting services

Purchase& Storage Services Catering services

ICT services Fumigation services

Air conditioning services Property/Facilities management

services
Engineering services Cleaning services

22. Please tick in accordance to your appropriate perception

STATEMENT SCALE OF IMPORTANCE/RATING

When you outsource which of the Strongly Agree Neutral Disagree Strongly
following factors guide your decision to Agree Disagree
outsource?
Availability of in house technicians

Use of specialized tools

Financial constraints

Degree of complexity of system

Reduced operational cost

Specialized competence of a firm

Skills of in house technicians

Time constraint

Statutory requirement

Strategic value of service

96
23. Please tick in accordance with your appropriate opinion.
STATEMENT SCALE OF IMPORTANCE/RATING

What are the challenges facing whole scale Strongly Agree Neutral Disagree Strongly
adoption of Property and Facilities Agree Disagree
Management in your hotel organization?

Conservatism among the stakeholders and built

environment professionals
Lack of legislation to back up FM as a
professional calling in the Tanzania
environment.
Conflict of supremacy among line managers

Training requirements of the facilities manager

are not yet clearly defined
High Cost in hiring experts

Low Availability of experts

24. Please tick in accordance to your appropriate perception

STATEMENT SCALE OF IMPORTANCE/RATING

The following are benefits which can be Strongly Agree Neutral Disagree Strongly
derivable from holistic adoption of Property and Agree Disagree
Facilities Management expertise by hotel
Organizations. What is your perception?
High hotel performance

Functional Hotel

Quality accommodation

Adequate and functional facilities

Meeting customers’ needs

Effective security system in place

Good & neat environment

Improved tourism activities

Improved health and safety within hotels

Improved patronage of hotels

Extensive responsibilities & authorities for

facilities managers

97
Quality services

Proactive maintenance

Improved exposure & interaction among hotel

operators locally and internationally
Strategic planning and implementation all the
way
Participatory decision making &
implementation
Increase life cycle of the hotel building

Qualitative and proactive management of hotels

25. What do you think about the performance of those hotels with a Property and Facilities
Management department compared to those which don’t have one?
...........................................................................................................................................
...........................................................................................................................................
...........................................................................................................................................

………..THANK YOU VERY MUCH FOR YOUR PARTICIPATION………

98
 APPENDICE 1.2

UNITED REPUBLIC OF TANZANIA

MINISTRY OF NATURAL RESOURCES AND TOURISM

PRESS RELEASE
STARS AWARDED AFTER CLASSIFICATION OF ACCOMMODATION
ESTABLISHMENTS IN DAR ES SALAAM AND COAST REGIONS OF TANZANIA
For the first time Accommodation establishments in Tanzania (Dar es Salaam and Coast
Regions) have been classified professionally. In the classification exercise three
establishments have been graded as 5 Star Hotels.
Minister for Natural Resources and Tourism Hon. Shamsa Selengia Mwangunga awarded a
total 66 accommodation establishments with STARS. The Minister awarded the Stars as
follows:

FIVE STAR *****

i. Kilimanjaro Hotel Kempinski;
ii. Movenpick Royal Palm Hotel;
iii. Sea Cliff Hotel.
FOUR STAR ****
i. Colosseum Hotel and Fitness Club;
ii. Indian Ocean Hotels Ltd(Golden Tulip);
iii. New Africa Hotel and Casino;
iv. Paradise City Hotel;
v. Protea Hotel and Serviced Apartments;
vi. Sea Cliff Court Apartment Hotel;
vii. Southern Sun Dar es Salaam;
viii. Saadani Safari Lodge,
ix. White Sand Hotel,
x. Giraffe Ocean View Hotel,
xi. Harbour View Apartmens,
xii. Kinasi Mafia Lodge.

99
THREE STAR (3) ***
1. Blue Pearl Hotel;
2. Kunduchi Beach Hotel and Resort;
3. Palm Beach Hotel;
4. Peacock Hotel;
5. Protea Courtyard Hotel;
6. Regency Park Hotel;
7. Royal Mirage Hotel;
8. The Grand Villa Hotel;
9. Hotel Travertine;
10. Selous Riverside Safari Camp;
11. Eclipse Sea Breeze Resort;
12. Belinda Ocean Resort;
13. SunRise Beach Resort;
14. Kiromo View Resort;
15. Millennium Sea Breeze Resort;
16. Travellers Lodge;
17. Mediteranneo Hotel and Restaurant;
18. South Beach Resort;
19. Amani Beach Hotel;
20. Makham Executive Suites;
21. Golf Course Apartment;
22. Polepole Lodge;
23. Jimbiza Lodge;
24. Ras Mbisi Lodge;
25. Heritage Motel.=
TWO STAR (2) **
1. Aroche Grand Hotel;
2. Billy's Lodge;
3. F & J Annex;
4. Florida Executive Inn;
5. Landmark Hotel;
6. Mariotti Hotel;
7. Swiss Garden Hotel;
8. Tamal Hotel;

100
 9. The Atriums Dar es Salaam Hotel;
10. Tropical Hotel;
11. Kisampa Camp;
12. Selous Mbega Camp;
13. Beachcomber Hotel;
14. Palm Tree Village;
15. Lamada Hotel Apartment;
16. Mafia Island Lodge.
ONE STAR *
1. Collobus;
2. Dar es salaam Airport;
3. Exclusive Resort Hotel;
4. Lunch Time Royal Inn Hotel;
5. New Bondeni Hotel;
6. Palace Hotel;
7. Riki Hill Hotel;
8. Sleep Inn Hotel Ltd;
9. Starlight Hotel;
10. Valley View Hotel.

Dr. Ladislaus Komba

PERMANENT SECRETARY

101
 APPEDICE 1.3

HOLIDAY INN (FOUR STAR) SEA CLIFF HOTEL (FIVE STAR

JB BELMONT HOTEL (FOUR STAR) WHITE SANDS HOTEL (FOUR STAR)

102
HYATT REGENCY HOTEL (FIVE STAR) DOUBLE TREE BY HILTON (FOUR STAR)

NEW AFRICA HOTEL AND CASINO (FOUR STAR) GOLDEN TULIP (FOUR STAR)

103
DAR ES SALAAM SERENA HOTEL (FIVE STAR) GIRAFFE OCEAN VIEW (FOUR STAR)

104