Internal Communication Function and Hotel Productivity–A Comparative Study

The accommodation service production process starts with personal interaction and communication. As important as guest – employee communication is; access and distribution of market and organization related information is essential in organizational coordination and maintaining competitiveness. This efficiency of internal communication function has a direct and indirect impact on organizational productivity; as fast process of relevant data results in better decision making. Internal communication also helps in adapting to corporate culture and raising employee morale, thus increasing service quality and guest satisfaction. In the present study, there is a general consensus on the impact of internal communication on hotel productivity. It is evidenced that as the hotel grows in capacity, more complex internal communications systems, including upward and diagonal communication and heavy use of communications technology, co-exist, employees take on more initiative and processing of performance data accounts for the majority of communicational actions. At the other end of the scale, a smaller hotel mainly makes use of downward and informal communication and a managerial use of initiative.