1.  RISKS & CRISIS AND TIME LOSS CAUSED BY TECHNOLOGY IN
HOSPITALITY INDUSTRY : A case study @ Hotels in Sarasota &
Manatee County
 KEY WORDS
 Risks
 Crisis
 Technology
 Time loss
 Hospitality
 Travel
 Tourism

2. Contents
 1- Introduction
 2- Literature View
 3- Hypotheses
 4- Methodology
 A- Designof Study
 B- SamplingMethod
 C- Measurement
 5- ProposedDataAnalysis
 6- Implications and Limitations

3. Introduction
Technology based crisis is one of the most
important factor mainly resulted from lack of
prevention efforts related to internal
technological risks.
The development of the industry is negatively
influenced by types of crises: external and
internal factors that both have potential to
affect industry as a whole.
If your business relies on technology systems
such as computers and networks for key
business activities you need to be aware of
the range and nature of risks.

4. Literature Review from 1950s to today’s tech

5.  Inevitably the tourism industry is one of the most affected by the technological revolution.
 1950s>>> ICTs (information-communication systems) have been applied in tourism since
the early adoption of Computer Reservation System (CRS) in airlines in 1950s
 1980s the transformation to Global Distribution Systems (computerized, centralized
services that provide travel-related transactions). Businesstravel.com
 1985s Hotel property management systems (PMSs) and hotel CRS systems appeared
shortly afterwards, bringing switch companies into the market as well in order to improve
interconnectivity and interoperability (Ma, Buhalis and Song, 2003).
 To bring higher quality products to the market and those have to be supported by offering
the best service available to current and potential customers. However the competition in
tourism industry has become more intensive than ever.
 https://www.youtube.com/watch?v=mvXfNEtQ2hA 1:40

6. Literature Review Continued
 Risks : The probability or threat of quantifiable damage, injury, liability, loss, or any other negative
occurrence that is caused by external or internal vulnerabilities, and that may be avoided through
preemptive action. Risk points out potential problem, threat and dangerous in future.
 Risk can be categorized perceived risk by consumers as financial risk, performance risk, social risk, physical
risk, psychological risk, time-loss risk, personal risk, privacy risk, source risk (Lim, 2003:219).
 Risk factors can be also broadly grouped into the following categories: market risk, credit risk, liquidity risk,
operational risk, legal and regulatory risk, business risk, strategic risk, and reputation risk (Crouhy et al.,
2006:25).

7. What is technology risk in hospitality?
 Technology risk, principally computer systems risk, also falls into the operational risk
category (Crouhy et al., 2006: 31).
 Computer and communication systems error or interrupts (Hugentobler, 1995: 65
cited Boyacıoğlu, 2002), virus problems, insufficient or old systems (Keck, Jovic,
1999:965 cited Boyacığolu, 2002), data losses resulted from inadequate technology
usage, hackers, software or hardware problems, firewall, backup insufficiency, poor
data, fax, phone lines and so on (Fidelity, 2010 cited Pelit, 2011:122) are most
common faced with technology based problems.

8.  Crisis : can be defined as any occurrence which can threaten the normal operation and conduct of
tourism related business; damage a tourist destination’s overall reputation for safety, attractiveness,
and comfort by negatively affecting visitor’s perception of that destination; and, in turn, cause a
downward in the local travel and tourism economy, and interrupt the continuity of business
operations by reduction in tourist arrivals and expenditures (Sonmez, et al., 1994:22)
 Crisis management is the process by which an organization deals with a major event that threatens to
harm the organization, its stakeholders, or the general public.

9.  Disaster and Chaos: Loss of Time as a Result of Technological Crisis
 The common meaning of the time can be “bringing back is not possible”.
Additionally, it is not possible to buy, sell, store, lease, borrow, produce, and change
(Şimşek vd., 2007:2). The most important issue is to manage time effectively.
 Time loss is not only negative consequence of the internal crises caused by
technology based risks. Customer performance, motivation, stress level could be also
affected by any internal crises.

10. we propose following research hypothesis:
 H1- There is a positive relationships between tech based risks and time loss
( Negative WOM, Reputation, unsatisfied customers)
 H2- There is higher technology risks in seasonal hotels than well established year
around hotels. (Seasonal hotels, resort hotels ; importance of risk perceivedness of
hotels)
 H3- There is a positive relationships between technology based risks and crises. (
Hurricane, no power, war, disaster )

11. RISKS & CRISIS AND TIME LOSS
CAUSED BY TECHNOLOGY in
HOSPITALITY INDUSTRY : A case
study at Hotels in Sarasota &
Manatee County
4- METHODOLOGY
A- DESIGN
B- SAMPLE
C- MEASUREMENTS

12. A- DESIGN
 In this study, time loss will be determined as dependent variable whereas crises and
technological based risk factors and types of hotels, duration of operation of hotels will
be independent variables.
 Compare causal relationship between new built & operated hotel, and
experienced hotel in terms of technology based risks, crises.
 Questionnaire will be used as a survey instrument. Initially, a total of 11 evaluation
criteria were already created by reflecting the structure of risks, crises. The survey
instrument will include comprehensive literature review.
 A pilot study will be applied in order to get face validity of instrument. Survey
questions will be close ended (structured) questions
 Researcher plans to interview chief engineers of hotels, front desk managers and IT
managers who are mostly affected of time loss, crises, and technological factors.

13. B-SAMPLING
 The proposed study will use random sampling technique in Sarasota and Manatee Counties.
 The list of hotels is obtained from the directory of hotels list in Sarasota and Manatee Counties prepared
by local tourism offices. However, during obtaining of target population through initial contacts with
tourism bureau administrations;
 unfortunately County only holds room records instead of numbers of hotels or classifications
 Moreover, with respect to the official classification, hotels are not grouped into any classification by their
service facilities and capacities. Hotels will be grouped by American Hotel Lodging Assoc.( AH&LA)
requirements in order to randomize sampling.

14. C- MEASUREMENTS
 All questionnaires will be conducted using face-to face interview technique.
 A total of 11 evaluation criteria were created by reflecting the structure of risks,
crises and time-loss in the hotels.
 The same structure will be used for three variables – risks, crisis and time-loss.
 The range for scores was determined as between 11-55 (5 point Likert scale) for
each variable.
 Using the coding scheme, a higher point for risk variable indicated higher risk
management performance, crisis prevention capability, and low possibility to face
with time-loss problem resulted from technology based crisis in the organization.

16.  T-Test, (Independent Samples T-Test), One way Anova and Simple Linear Regression will be
used for data analysis.
 T-Test: Off Season and Year around types of hotels ( independent variable)
 Total scores of tech based risks , crisis and time loss (dependent Variable)
 One way ANOVA : Duration of operation of hotels ( independent variable) (1990-2000)
(2001-2010) (2011-2014) in order to make Anova test we need to have more than 2 sub
groups.
 Total scores of tech based risks , crisis and time loss (dependent Variable)

17. Simple Linear Regression
Tech Based Risks
(independent Var)
Crisis (dependent
Variable )
Crisis
(Independent Var)
Time Loss
( Dependent
Variable)
Tech Based Risks
(Independent Var)
Time Loss
( Dependent
Variable)