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Crisis Management Research in Tourism and Hospitality Industry – A Summary of the Latest Literature 2021

Introduction

The majority of crisis and crisis management research is characterised by a lack of clearly agreed-upon terminology. The term “crisis” has been widely applied in a variety of disciplines of study, and current meanings vary greatly and are influenced by the discipline in which crisis is examined. Hence, no widely agreed-upon definition of crisis exists (Wut et al., 2021). Regarding hospitality service suppliers and their stakeholders, all types of crises have substantial consequences. The current research reveals that existing literature on hospitality crises focuses mostly on macro-level crises, ignoring micro-level crises that affect service providers’ internal business operations (Burhan et al., 2021).

Source: (Wut et al., 2021)

This might be due to the phrases crisis and disaster being used and defined in different ways. While there is a lot of study on service failure, it is less typical in the hospitality literature to regard system failures and recovery as a sort of crisis and crisis management. As a result, future crisis and crisis management research may establish further conceptual frameworks and categorizations of crisis types depending on the amount of effect, intensity, and service provider duty and attention (Berbekova et al., 2021).

Figure 1: Crisis Management

Source : Strobl (2021)

Related work

A crisis, according to  (Ivanov et al., 2022), is an occurrence that occurs for unclear reasons and has catastrophic effects. Crises are behavioural occurrences that are socially generated by the people involved and are components of bigger processes rather than discrete events, according to (Pavlatos et al., 2021). When phrases like disasters, tragedy, and other occurrences are used simultaneously with crisis, the meaning of crisis becomes much more complicated.

According to (Ghaharian et al., 2021), a crisis is an internal environment, whereas a catastrophe is an exterior environment that involves the emergence of a rapid external event over which organisations have little authority or influence and to which they refuse to respond. Despite differing viewpoints on the origins of a crisis, experts and practitioners agree on the crises’ relevance, unpredictability, and disruptive character (Le & Phi, 2021). As a result, crisis management is a crucial aspect of overall management. Both internal and exterior occurrences are referred regarded be crises in this blog.

The authors (Lai & Wong, 2020) discussed the activities and communications that organisations take to prevent the risk of a crisis, alleviate the effects of a crisis, and restore order following a crisis are referred to as crisis management. In the extant literature, there are several crisis management response and lifecycle frameworks. In order to foster more generalisations and integrated research in the future, the researchers believe that four key areas must be addressed in order to move hospitality crisis research to the next level of robust, pertinent, and academically sound study.

(Leta & Chan, 2021) approach, have divided hospitality crisis study into three parts, similar to pre-crisis preparation, mid-crisis administration, and post-crisis resolution. In the preceding section, the authors have selected and presented important research subjects at each level and perspective. This research demonstrates that hospitality crisis studies are relatively fragmented since available literature examines each step of crisis management separately, either from the perspective of service providers or stakeholders.

Figure 2: Crisis Challenges

Source : Alves et al. (2020)

The authors (Zhong et al., 2021) explained that the inquiry and study of crisis and crisis management from the standpoint of stakeholders comes first. The second is to take an integrated approach to crisis research, which includes different viewpoints from service providers and important stakeholders, several stages of research (e.g., individual, organisational, and national), and various phases in the crisis response framework. Third, future studies might use a causal and behavioural perspective, focusing on instrumental links between crisis characteristics and supplier/stakeholder behaviour. Finally, by considering crisis management as a heterogeneous topic, scientists may improve the conceptual and theoretical underpinnings of crisis research.

Figure: Studies related to crisis management in the tourism and hospitality literature (1985–2020)

Source: (Wut et al., 2021)

Figure: Top Ten Journals on crisis management.

Source: (Wut et al., 2021)

S.NoAuthors & YearTitleObjectiveFindings / Resaerch Gap
1(Ghaharian et al., 2021)Crisis management practices in the hospitality and gambling industry during COVID-19During the coronavirus disease 2019 (COVID-19) pandemic, to investigate crisis management strategies among gambling-related hospitality industry stakeholders (GBSs).The current study attempted to investigate this relationship using regression analysis with confidence in recovery as the dependent variable, as identified in the study preregistration (https://osf.io/hej3y), but attenuated ranges in confidence in recovery variable rendered the analysis impossible.
2(Labib et al., 2022)Evidence-Based Models To Support Humanitarian Operations And Crisis ManagementThis work’s main contribution is the use of hybrid modelling techniques to analyse disasters in terms of humanitarian operations and crisis management (HO&CM). Such tools are widely used as mental models’ for both problem solving and problem structure.The authors can develop the proposed models incorporating fuzzy sets for considering vague data, which can be used as the models’ inputs in a fuzzy range in order to facilitate learning HO&CM more realistically through analysis of a range of solutions/outcomes for future research, as the authors can develop the proposed models incorporating fuzzy sets for considering vague data, which can be used as the models’ inputs in a fuzzy range in order to facilitate learning HO&CM more realistically through analysis of a range of solutions
 3.(Miguel et al., 2022)Short-term rental market crisis management during the COVID-19 pandemic: Stakeholders’ perspectivesThe strategies of three important groups of stakeholders are examined in this paper: short-term rental platforms (e.g., Airbnb, Booking.com), service providers (represented by property management businesses and short-term rental associations), and policymakers/tourism specialists. Professional service providers, in particular, make up a sizable portion of the short-term rental business, although they have received little academic attention.Future research might look into how the industry was covered in the media during the COVID-19 outbreak and how they handled the situation. As some of our interviews revealed, the breadth of the sector’s actions and how they were presented by the media were not always in sync. Future research could provide more insight into whether any of the crisis management responses could lead to more sustainable solutions as the industry adapts.
 4. (Ursic & Cestar, 2022)Crisis Management and CSR in Slovenian Companies:

 

The Impact of the COVID-19 Pandemic

The major goal of this essay was to show how COVID-19 affected Slovenian companies’ worldwide competitiveness via the lenses of corporate social responsibility (CSR) and crisis management. We evaluated company responses to ensure their competitiveness in a crisis situation using CSR and crisis management ideas.In terms of future study directions, the survey should be repeated to capture the likely lag-effect of the COVID-19 impact on organisations, as well as the current situation while the pandemic is still active. A repeated study would be required due to the very broad and narrow approach to assessing the CSR concept in the context of Slovenian enterprises’ crisis operations in terms of economic effects.
 5. (Pavlatos et al., 2021)Crisis management in the Greek hotel industry in response to

 

COVID-19 pandemic

The goal of this study is to look into hotel crisis management practices in light of the new issues that have evolved as a result of the COVID-19 outbreak.For hospitality executives, the findings of this study may have managerial consequences. It gives an action plan that hospitality executives can employ to manage the changes brought on by COVID-19; this strategy can be tailored to their individual needs. Furthermore, this paper includes an action plan that might be adopted in the event of future external or internal crises in the hospitality industry, thereby triggering further research.

Future scope of Crisis Management

  1. Future studies should explore crisis and crisis management studies in hospitality from the viewpoints of various stakeholders, particularly workers, consumers, residents, and governing authorities, as outlined in the current review.
  2. It’s important to look at the responsibilities of these major players in crisis planning, reaction, and recovery.
  3. Also, the future should focus on how stakeholders respond to various response tactics, as well as how their views and feelings affect the success of these techniques.
  4. Further, it might look into how stakeholders’ expectations of hospitality service providers vary before, during, and after a crisis.
  5. Employees’ resilience to crises may be investigated using ideas linked to organisational behaviour such as leader-member interaction, style of leadership (e.g., transformational and servant leadership), and organisational culture. More study is needed to understand consumers’ and inhabitants’ risk perceptions, sentiments and attitudes, and consumption patterns during a crisis. I

Improved knowledge of crisis and crisis management studies from the perspective of stakeholders will help hospitality service providers to establish and sustain relationships with these stakeholders more effectively, which will likely result in successful crisis management.

Reference

  1. Alves, J.C., Lok, T.C., Luo, Y. & Hao, W. 2020. Crisis challenges of small firms in Macao during the COVID-19 pandemic. Frontiers of Business Research in China. (14)1,.
  2. Berbekova, A., Uysal, M. & Assaf, A.G. 2021. A thematic analysis of crisis management in tourism: A theoretical perspective. Tourism Management. (86). pp. 104342.
  3. Burhan, M., Salam, M.T., Hamdan, O.A. & Tariq, H. 2021. “Crisis management in the hospitality sector SMEs in Pakistan during COVID-19″. International Journal of Hospitality Management. (98). pp. 103037.
  4. Ghaharian, K., Abarbanel, B., Soligo, M. & Bernhard, B. 2021. Crisis management practices in the hospitality and gambling industry during COVID-19. International Hospitality Review. (35)2,. pp. 171–194.
  5. Ivanov, S.H., Webster, C., Stoilova, E. & Slobodskoy, D. 2022. Biosecurity, crisis management, automation technologies and economic performance of travel, tourism and hospitality companies – A conceptual framework. Tourism Economics. (28)1,. pp. 3–26.
  6. Labib, A., Abdi, M.R., Hadleigh-Dunn, S. & Yazdani, M. 2022. Evidence-based models to support humanitarian operations and crisis management. Decision Making: Applications in Management and Engineering.
  7. Lai, I.K.W. & Wong, J.W.C. 2020. Comparing crisis management practices in the hotel industry between the initial and pandemic stages of COVID-19. International Journal of Contemporary Hospitality Management. (32)10,. pp. 3135–3156.
  8. Le, D. & Phi, G. 2021. Strategic responses of the hotel sector to COVID-19: Toward a refined pandemic crisis management framework. International Journal of Hospitality Management. (94). pp. 102808.
  9. Leta, S.D. & Chan, I.C.C. 2021. Learn from the past and prepare for the future: A critical assessment of crisis management research in hospitality. International Journal of Hospitality Management. (95). pp. 102915.
  10. Miguel, C., Pechurina, A., Kirkulak-Uludag, B., Drotarova, M.H., Dumančić, K., Braje, I.N. & Giglio, C. 2022. Short-term rental market crisis management during the COVID-19 pandemic: Stakeholders’ perspectives. International Journal of Hospitality Management. (102). pp. 103147.
  11. Pavlatos, O., Kostakis, H. & Digkas, D. 2021. Crisis management in the Greek hotel industry in response to COVID-19 pandemic. Anatolia. (32)1,. pp. 80–92.
  12. Strobl, M. 2021. The Impact of the Covid-19 Pandemic on the Viennese Luxury Hotel Industry. May,. pp. 123.
  13. Ursic, D. & Cestar, A.S. 2022. Crisis Management and CSR in Slovenian Companies: The Impact of the COVID-19 Pandemic. Sustainability. (14)5,. pp. 2690.
  14. Wut, T.M., Xu, J. (Bill) & Wong, S. 2021. Crisis management research (1985–2020) in the hospitality and tourism industry: A review and research agenda. Tourism Management. (85). pp. 104307.
  15. Zhong, L., Sun, S., Law, R. & Li, X. 2021. Tourism crisis management: evidence from COVID-19. Current Issues in Tourism. (24)19,. pp. 2671–2682.