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The role of supply chain management in tourism
Pages 7 (1757 words)
This paper compares the impacts of supply chain management on three essential hospitality and tourism industries: hotels, restaurants, and theme parks. The past two decades were marked with profound structural shifts in the international tourism industry. Increased competition imposes new requirements on businesses in the tourism industry…
According to Zhang, Song and Huang, tourism supply chain management is
“a set of approaches utilized to efficiently manage the operations of the tourism supply chain within a specific tourism destination, to meet tourist needs from the targeted source markets and accomplish the business objectives of different enterprises within the TSC” (p.345).
In other words, supply chain management in tourism is essentially about coordinating the efforts of numerous providers within one and the same package of services, targeting one specific consumer market segment. A supply chain presupposes having a number of product and service providers enter in and sustain contractual relationships with one another.
Consequentially, how each organization performs largely depends upon the quality and efficiency of performance among other organizations in the same supply chain. Over the last decade, supply chain management has already become a distinctive feature of business activity in tourism: this is mainly because tourism by itself operates through a complex combination of activities, interests, resources, and stakeholders all of which must be coordinated and functionally linked into a single supply chain. Certainly, the essence of SCM in tourism is distinctly different from that in manufacturing. While in manufacturing consumption usually follows production, in tourism production and consumption are almost always simultaneous. ...
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