Barriers to Hospitality Industrys Adoption of Sustainable Environmental Practices - Case Study Example

Barriers to Hospitality Industry’s Adoption of Sustainable Environmental Practices As people’s mobility around the globe intensifies, the hospitality industry has quickly flourished. This industry “includes the travel sector; accommodation and catering; leisure and entertainment facilities; and support services” (Multilateral Investment Guarantee Agency 1999: 1). With the global economy continuously creating the need for rest and recreation services, the hospitality industry, specifically tourism, has registered a significant impact in the global economy contributing 2 trillion USD and 15% of world’s employment for the year 2000 alone. (Faulkner, Mascardo, & Laws 2000, qtd. in Kasim & Scarlat 2007: 7). However, with the industry’s high dependence on environmental and cultural resources, as the activities it offers are largely resource-based causing it to constantly interact with the natural system, it can alter the physical environment posing harmful effects to nature. For example, the heavy consumption of energy (90%) by tourists’ transportation generates a high level of toxic emissions causing intolerable pollution that continuously rise at 5 per cent annual growth rate (German NGO Forum on Environment & Development 1998: 5). The environmental costs that the hospitality industry affect raise grave concerns not only from environmental groups but also from the leaders of the industry itself, as they recognise the industry’s close link to the environment. Meaning, the survival of the industry, most especially tourism, depends predominantly on its ability to mitigate its negative impacts on its environments and the society as a whole. One good example is Memphis, which “tourism and hospitality industries take advantage of the communitys natural links to music, the River, the diversity, and the positive investments that have taken place throughout the communitys history” (Gnuschke 2007: 1). And, since 1987, with almost everybody on this planet increasingly acknowledging the need to harmonise with nature, the call for environmental sustainability has become a primary issue, even for the hospitality industry. Thus, the concept of sustainability has begun to gain its impetus in this sector. And in 1996, the global environment certification program for the travel and tourism industry was developed by the World Travel & Tourism Council, the World Tourism Organisation, and the Earth Council (Ernst & Young 2008: 2). However, to achieve effective environmental regulation in the hospitality industry, typified by rest and recreation activities, is unsurprisingly difficult due to its given characteristics. For example, tourism, which main purpose is to attract tourists does not concern itself with tangible lasting products. Rather, it is mainly based on image and presentations that commonly involve visualization of foreign destinations considered worth visiting (Urry, 1990; 1995, qtd. in Forsyth 1997: 270). So, it is highly dependent on consumers’ interests and preferences of landscape and culture, which may be in conflict with the locale’s direction of development (Forsyth 1997: 282). Adjunct to tourism are varied recreational services, which are similarly difficult to regulate. Needless to say, tourism is not one industry but many. And, many of its “different products and services are often supplied by different operators: usually small or medium sized businesses in local ownership” (World Travel and Tourism Organization and International Hotel and Restaurant Association 1999: 2). Thus, despite the many endeavours to promote and/or impose sound environmental practices, and even with the commitments given by the industry’s leaders, environmental problems continuously haunt the industry. What blocks the industry’s effort to observe environmental friendly practices are referred here as barriers. To identify and analyse these barriers is the matter this paper would delve into. Barriers will be examined from two lenses: personal and structural. Likewise, actions seen deem fit to remove the barriers will also be recommended. The Hospitality Industry vs. Sustainable Environment How green is the hospitality industry since the call for sustainable environment had been launched with the industry’s leaders pledging their support and cooperation? Although efforts are seen to integrate sustainable environment in the operation of the industry, for example: Cleaner Production— “an internationally recognised process for promoting environmental sustainability in a financially sound way” (“Cleaner Production” 2006: 1) is being promoted. However, the survey conducted by the World Travel and Tourism Organization and International Hotel and Restaurant Association (1999: 7), shows that the scenario has become worse. Specifically, travel and tourism is perceived today more in the negative light. It is blamed for practices more damaging to the environment than it has been before. Despite this decline in perception, the industry’s economic success is not dependent on its green record - public sensitivity to environmental problems on holiday/business trips has not increased and is no more of a deterrent to repeat travel than it was previously. There is a downward trend in the public’s willingness to pay extra for environmental protection and environmentally friendly products, including “green” Travel & Tourism. Awareness of companies making environmental commitments is only marginally up. Moreover, one study focused its attention on the International Organisation for Standardisation (ISO) 14001 if it is indeed successful in instilling and ensuring environmental management systems in the industry. The ISO 14001 was first accepted in 1996 as the industry’s framework in determining standard in certifying a firm’s environmental performance. The study found out that “firms with lower environment performance, not higher, have a greater propensity to certify; thereby raising doubts that certification serves as a signal of superior environmental performance" (“Are there loopholes in environmental law?” 2006: 14). The study furthers that a company’s quest for certification may not necessarily mean its excellent environmental performance, but the other way around, as the ISO 14001 certification could be used more as facade to a weakness (Ibid). In short, having ISO 14001 is not a guarantee for the adherence of the industry to sustainable environment practices. On the other hand, findings from the survey conducted by NetRegs Project reveal that the smallest business are worse environmental performers as they are not only fully aware of their legal obligations but even of the extensive business benefits they could gain in going green. This is directly in contrast with that of bigger businesses which in almost every aspect are found to have better environmental performance. The reasons for these are found to be perceptual and technical, too. Majority (86%) of small and medium sized businesses (86%) thought they have little impact on the environment that their contribution for sustainable environment could also be insignificant. Most of the small businesses do not have and do not plan to introduce an environmental management system. (“How green are small business?” 2002: 2-9) This could be understood on the practically different capacity and resources of small and medium enterprises (SME) compared with the big businesses. For example, the technology needed for going cleaner and greener would entail additional cost, which may be hurtful to the SMEs, but not to the big business. And also, one study categorically recognised the “inheritance of built environments from previous generations and the subsequent obstacle that this places on facilities to improve practices” (McNamara 2008: 3). The same problem was also seen in Europe. It is often more economical to design a new hotel to be green, rather than to modernise an exist8ing structure. There are many landmark hotels in Europe which are housed in traditional buildings with spacious rooms and large windows. This type of hotel is typically inefficient to heat, to cool, and critically, to modernise. Regulatory planning restrictions, the structure of the buildings, the ambience of the hotel, and the tastes of the clientele it hopes to attract, all pose restrictions to an environmental approach. (Ernst & Young 2008: 5) Furthermore, a research conducted by business theorists has implied that a common concern voiced out by many companies on their reluctance to self-regulate is the fear that they might be undermined by the so-called ‘free riders’. Not following the legal standard for environmental practices would free these companies of additional financial burden, which may place them in a better competitive position over more ethical companies. (FOE 1995 and Eden 1996, qtd. In Forsyth 1997: 271). Sadly, this only reflects the companies’ inability to recognize the benefits they could enjoy in integrating sustainable environmental practices into their business. So, what they lack is a cost-benefit analysis. Also, it would imply that sustainable environment practices are bad to business. This only means, that what impedes them in pursuing sustainable environment practices is their lack of understanding and appreciation on the inherent link of the hospitality industry to nature or to their environment. Clearly, the will to be environment friendly is not enough as there are varied problems that the industry may encounter in pursuing this call. One of which is the remnants of old culture that has to be changed within the industry both for its leaders/owners and its consumers. As Meade and Monaco (1999: 3) stated: One of the most critical elements of becoming an environmentally friendly hotel is the adoption of a new culture that extends throughout the hotel organization, and between the hotel and its guest, local community, and even its vendors. Another problem is the costly and tedious certification system that neither ensures sustainable environmental practices nor monitors the varied businesses of the industry both big and small. Also, the lack government support to the industry, especially small hotels, does not help them to cope with these necessary changes. Furthermore, the consumers’ demand for wasteful services that greatly depletes natural resources, most especially clean water further complicates the problem. And even the redesigning of old hotel and restaurant structures to make them suitable to environment friendly practices becomes a practical problem. These problems pose as barriers to the industry’s effort in observing environment-friendly practices, which could be reduced into: attitudinal, structural, and financial. Attitudinal encapsulates the level of awareness of the providers and users on the necessity and benefits of sustainable environmental practices, to be able to solicit their full cooperation even without being monitored. Structural pertains to the practicality and suitability of the regulatory laws and certifications promulgated by government and international bodies as to the locality and size of the business. Also, it pertains to the concrete support of the government to the industry to enable it to be a positive force in the search for a sustainable environment industry. Anyway, it is contributes that much to the global economy, so it is just right that this industry be supported towards this goal. And lastly, the financial barrier pertains to the cost environmental-friendly practices may require, as compared with the financial capacity of the industry. This turns out to be one of the major barriers that SMEs face. In fact, “many are sceptical that hotels can adopt more environmental practices while maintaining cost control and guest satisfaction levels (Scaggs & Hartmann 2008: 1).” Working Towards a Safer Rest and Recreation As the world becomes more complex, achieving sustainable environment as hospitality industry continuously provide customers’ demands, becomes more complicated. This poses varied problems and challenges which resolution goes beyond passing of laws and regulations. (Kitzhaber, qtd. in Johnson 1999: 10) Given the nature of the industry, where the responsibility undeniably rests both on the leaders/owners and the consumers together with the government that benefits from the revenue that the industry earns, it is therefore necessary to develop collaborations among all the stakeholders. Following the problems unearthed from the above discussion, it has clearly showed that greater individual responsibility and accountability would contribute a lot in the realisation of this goal. Of which, ultimately, those who would benefit are the same stakeholders who also cared for the environment. However, to put things in proper perspective, it would be best to define first what is sustainable environment in the hospitality industry? Butler for his part has defined this specifically with regards to tourism. According to him sustainable tourism is developed and maintained in a community giving due consideration to its long-term viability and to its possible impact on its environment both on nature and its inhabitants (Butler 1993: 29). On the other hand Wahab and Pigram (1997: 279) assert that tourism to be environmental-friendly “must offer products that are operated in harmony with the local environment, community attitudes and cultures, so that these become the permanent beneficiaries and not the ‘victims’ of tourism development.” But Leposky provided a more comprehensive definition, by which any plans and actions for sustainable environment are to be made. Sustainable environment in hospitality industry should “dwell on issues of total integration” (Leposky 1997: 10), which to him emphasises “maintenance and preservation of lifestyle and dignity of the local inhabitants” (Ibid) by protecting the social foundations of the locality, giving economic opportunities to the locale, and defending it against abuse from the outside world who would naturally be the iondustry’s consumers. It is against this understanding that the following recommendations are forwarded. First, to improve the attitudinal problem among leaders/owners and consumers of the industry, education is imperative, as proven by Roteiros de Charme Hotel Association “to continue informing and training are crucial objectives to attain results” (Waddington 2006: 1). Educating the industry stakeholders should help them understand that “a proactive response to environmental responsibility may actually result in environmental regulation plus competitive advantage in business (Elkington et al., 1991; Schmidheiny, 1992; Gladwin, 1993; Cairncross, 1995; Porter and van der Linde, 1995, qtd. In Forsyth 1997: 270). Second government regulatory laws should address practical problems of the industry for it to be observed. Reality check shows that laws become futile if they ignore the capacity of the industry, most especially the SMEs. Third, since the financial cost of environmental practices and management take their toll on SMEs, it would help if the government could get the cooperation of the producers to regulate prices of environmental-friendly products that are used by the industry. Also, the needed technology to make hotels, restaurants, and other recreational facilities to be environmental-friendly are expensive. It could help if the government would device a scheme that would initially subsidise SMEs to avail of these technologies, just to make sure that they could abide by the regulatory laws. Therefore, what is needed to address environmental problems in the industry requires both a change in attitude and culture of the leaders and consumers, transforming regulatory laws into more supportive laws rather than constricting laws, and devising schemes that would help small firms of the industry to cope with the financial cost of adopting sustainable environment practices. It would also help to showcase good practices, as the industry try to be enviromenatl management system. Reference List “Are there loopholes in environmental law?” 2006, USA Today, Vol. 135. Issue 2735, p. 14-15. Beeton, Sue, Bergin-Seers, Sue, and Lee, Christine, 2007, “Environmentally Sustainable Practices of Victorian Tourism Enterprises,” Best Education Network Think Tank VII: Innovations for Sustainable Tourism. www.besteducationnetwork.org/.../Beeton%20Bergin-Seers%20Lee.pdf Butler, R.W., 1993. “Interview by Bill Bramwell,” Journal of Sustainable Tourism, Vol. 1, No. 2, pp. 137-142. Cairncross, F., 1995, Green Inc.: a guide to business and the environment. London: Earthscan. “Cleaner Production: Greening Hotels for the ICLEI World Congress 2006,” 2006 February 27-March 3, Going Cleaner, Cape Town, South Africa http://www.iclei-europe.org/fileadmin/user_upload/ITC/worldcongress2006/programme/GOING_CLEANER.pdf Edden, S., 1996 The politics of packaging in the UK: business, government and self-regulation in environmental policy. Environ. Polit. Vol. 5, No. 4, pp. 632-53. Elkington, J., Knight, P. and Hailes, J., 1991, The green business guide. London: Gollancz. Ernst & Young, 2008, “Hospitality going green.” Global Hospitality Insights, EYGM Limited, http://www.ey.com/Publication/vwLUAssets/Industry_Real_Estate_Global_hospitality_going_green/$FILE/Industry_Real_Estate_Global_hospitality_going_green.pdf Faulkner, B., G. Mascardo, and E. Laws, eds. 2000. Tourism in the 21st century: Lessons from experience. London: Continuum. FOE, 1995, A superficial attraction: vie voluntary approach and sustainable development. London: Friends of the Earth. Forsyth, Timothy, 1997, “Environmental Responsibility and Business Regulation: The Case of Sustainable Tourism,” The Geographical Journal, Vol. 163, Issue 3, pp. 270-285 German NGO Forum on Environment & Development, 1998, Tourism and sustainable development: Report to the 7th meeting of the Commission on Sustainable Development (CSD). Http://www.oete.de/pdf/csd7_paper_gb.pdf. Gladwin, T.N. 1993, “The meaning of greening: a plea for organizational theory,” In Fischer, K. and Schot, J. (eds) Environment strategies forindustry: international perspectives on research needs and policy implications, 37-62, Washington, DC: Island Press. Gnuschke, John E., (2007), “The Hospitalisty Industry,” Business Perspectives, Vol. 19, Issue 1, p. 1 Fall “How green are small businesses?” 2002, NetRegs Benchmarking Survey, http://www.netregs.gov.uk/static/documents/Utility/nrbs2002.pdf Johnson, Susan, 1999, “A new take on environmental management,” State Legislatures, vol. 25, No. 4, pp. 10-15. Kasim, Azilah, and Scarlat, Cezar, 2007, “Business Environmental Responsibility in the Hospitality Industry,” Management, Vol. 2, Number 1 Leposky, G., 1997, “Globalisation and sustainable development,” Vacation Industry Review, March-April, p.10. McNamara, Karen, 2008, “The environmental sustainability of tourist accomodationh facilities along Australia’s Coast,” CAUTHE 2008 Conference, James Cook University, Australia. www.griffith.edu.au/conference/cauthe2008/working-papers/WP019.pdf Meade, Bill and Del Monaco, Antonio, 1999, “Environmental Management: The Key to Successful Operation,” Ideas and Trends Hotel On Line, http://www.hotel-online.com/Trends/PanAmerProceedingsMay99/EnviroManagmt.html Multilateral Investment Guarantee Agency, 1999 April 1, “Tourism and Hospitality Development,” Pollution Prevention and Abatement Handbook – Part III. http://www.miga.org/documents/TourismandHospitality.pdf Porter, M.E. and van der Linde, C., 1995, “Green and competitive: ending the stalemate,” Harvard Business Review, September-October, pp. 120-34. Scaggs, John and Hartmann, Gregory, 2008 June 28, “Green is the New Gold in Lodging,” Hospitality Net, http://www.suscon.org/news/pdfs/20080602_HospitalityNet_GreenistheNewGoldinLodging.pdf Schmidheiny, S., with the Business Council for Sustainable Development, 1992, Changing course: a global business perspective on development and the environment. Cambridge, MA and London: MIT Press. Urry, J., 1990, The tourist gaze. London: Sage. Urry, J., 1995 Consuming places. London: Routledge. Waddington, Helenio, 2006, “Environment, Code of Conduct, Networks, Hotel and Lodging,” destinations: world tourism forum for peace and sustainable development.Brazil Wahab, S. and Piagram, J.J., Tourism, development and growth: The challenge for sustainability. London: Routledge. World Travel and Tourism Organization and International Hotel and Restaurant Association, 1999 April 19-30, “Tourism and Sustainable Development: The Global Importance of Tourism,” Commission on Sustainable Development, 7th Session. http://www.miga.org/documents/TourismandHospitality.pdf Read More