CHAPTER 3

INDUSTRY PROFILE & COMPANY PROFILE

Tourism is a pleasure activity. Tourism arises from the movement of people to and their
stay in different destination the movement is of a temporary and short duration and there
has to be a particular purpose behind to this.

In 1976 tourism society of England defines it as tourism is the temporary short team
movement of people to destination outside the place where they normally work and their
activities during the stay at each destination it include movement of all purpose

The fastest growth of the tourism industry has created a demand for new tourism has
wider implication passing not only economic benefits but also social and cultural benefits
as well

Tourism is a benefits of providing travel ,accommodation, food ,entertainment for the

people who have travel tour , trade etc .all tourism include some land of travel but all
travel is not tourism

The Kerala tourism development corporation is a public sector undertaking that conducts
and regulates the tourism activities of India state of Kerala the KTDC is headquartered in
Trivandrum and has office across all the districts of Kerala the agency also operates
hotels resorts and tourist rest houses in key locations in the sate its official slogan is
official host to gods own county it is one of the most profitable ventures of the
Kerala.
INDUSTRY PROFILE
2.1. WORLD TOURISM

Tourism has emerged as the largest service industry globally in terms of gross revenue as
well as foreign exchange earnings. It is travel for recreation, leisure or business purposes.
The World Tourism Organization defines Tourists as people "traveling to and staying in
places outside their usual environment for not more than one consecutive year for leisure,
business and other purposes."

The importance of technology innovation in tourism, especially of the World Wide Web,
has increased tremendously over the past years and this trend will certainly continue.
Early forms of technology in the travel and tourism industry were systems which linked
tour operators to travel agencies via terminals and allowed travel agents to make
bookings through the system. Various high- tech information and communication
technologies are used in tourism sector all around the world. They are used for tourism
product development, marketing, distribution, and training of tourism sector personnel.

Tourism has become a popular global leisure activity. In 2010, there were over 940
million international tourist arrivals worldwide; representing a growth of 6.6% when
compared to 2009.International tourism receipts grew to US$919 billion in 2010,
corresponding to an increase in real terms of 4.7%.

Tourism is important and in some cases vital for many countries, such as France, Egypt,
Greece, Lebanon, Israel, the United States, the United Kingdom, Spain, Italy, and
Thailand, and many island nations, such as Mauritius, The Bahamas. Fiji, Maldives,
Philippines and the Seychelles. It brings in large amounts of income in payment for
goods and services available, contributing an estimated 5% to the worldwide gross
domestic product (GDP), and it creates opportunities for employment in the service
industries associated with tourism. These service industries include transportation
services such as airlines, cruise ships and taxicabs; hospitality services, such as
accommodations, including hotels and resorts; and entertainment venues, such as
amusement parks, casinos, shopping malls, music venues and theatres.

Technological advantages in transport and communication have made the world more
accessible to more people, and aroused the desire to experience more of it. Higher
incomes in the western world and increased leisure time contribute to demand.

As countries develops the desire to experience more to it... As countries develop, the
desire for contribute to demand. As country develops, the desire for travel and tourism
grows among the people. China and Eastern Europe are examples of the development of
the freedom and means to travel not available even ten years ago.

Table No. 2.1: Growth rate of travel and tourism market

(Source: Secondary data)

2.2 TOURISM IN INDIA

Tourism is one of the fastest growing sectors of the Indian economy, bringing foreign
exchange earning to the country. As a manner of fact, travel and tourism industry is the
second largest foreign exchange earner of India, and the government has given travel and
tourism organizations export house status. The tourism industry also provides
employment to millions of people both directly and indirectly through its linkage with
other sectors of economy. According to an estimate, total direct employment in the
tourism sector alone is around 20 million. The buoyancy in the tourism industry can be
attributed to several factors.

First, the tremendous growth of the economy has resulted in more disposable income in
the hands of middleclass, there by prompting increasingly large number of people to
spend money on vacations abroad or home. This combined with the increasing awareness
aboutwork life balance and an increase sense of adventure is driving the double-digit
growth rate for domestic and outbound travel from India.

Second India is a booming IT hub and more and more people are coming to India for
business trips.

Third, aggressive advertising campaign incredible India by tourism ministry has played
a major role in changing the image of India from that of the land of snake charmers to a
hot and happening place and has sparked renewed interest among foreign travelers.

The increased disposable incomes and willingness to splurge on seeing the world has led
people taking more holidays of shorter durations. This was led to the evolution of a new
Weekend Getaway concept. More and more travelers are opting for the lesser travelled
road within the country and plan their travel to these destinations during the
weekends/short breaks. A large population, rising income levels and changing conception
patterns together have created a large addressable market in 2002, the government
announced a new tourism policy to give boost to the sector. The policy was built around
seven 5 Mantra of Swaagat (welcome), Soochanaa (information), Suvidhaa
(facilitation), Surakshaa(security), Sahyog (cooperation), Sanrachnaa (infrastructure), and
Safaai (cleanliness).

The policy proposes the inclusion of tourism in the concurrent list of the Constitution to
enable the Central and State Governments to participate in the development of the sector.
The policy also advocated no approvals required for foreign equity of up to 51% in
tourism projects and NRI investment up to 100% were allowed. In addition 50% of the
profit derived by hotels, travel agents and tour operators in the foreign exchange are
expect from income-tax. The remaining profits are also exempt if reinvested in a tourism
related project.
2.3 TOURISM IN KERALA

2.3.1 LOCATION

Kerala lies on the tropical Malabar Cost of southernmost tip of Lydia. It is placed
between the Western Ghats mountain range on the east and the Arabian Sea on the west.
Legend says that Parashuram, the sixth incarnation of Lord Vishnu threw his axe into the
sea from Gokarnam (near present day Mangalore) and it is believed the sea retreated from
where his axe fell to give birth to Kerala!

2.3.2 KERALA- GODS OWN COUNTRY

Kerala is the one of the most popular tourism destination in the country. It is named as
one of the ten paradises of the world by the National Geographic Traveler. Kerala is
famous especially for its ecotourism initiatives. Within its breath taking natural beauty,
Kerala attacked people even from abroad. Its unique culture and traditions, coupled with
its varied demography, has made Kerala one of the most popular tourist destinations in
the world. Growing at a rate of l3.3 l %. The tourism industry is a major contributor to
the state's economy. Kerala is probably the greenest place we will ever see. The coconut
palms, emerald paddy elds, the red tiles houses, the beautiful lakes and beaches will
remain long lasting impression to any visitors. The colorful festivals, various types of
dances, martial arts and wildlife sanctuaries are the other attractions.

On the time of 1980s, Kerala was a relatively an unknown destination, with most tourists
concentrated around the northern parts of the country. So Kerala government launched
the Kerala Tourism Development Corporation agency that oversees tourism prospects of
the state and for the growth of the tourism industry. The tagline of Kerala God's Own
Country was adopted in its tourism promotions and became a global super brand. Kerala
is regarded as one of the destinations with the highest brand in tourism. Infrastructure
facilities starts to develop and tourism now contributes a fair share to the state economy.
COMPANY PROFILE
3.1 BACKGROUND

KTDC HOTELS AND RESORTS LIMITED The Official Host to Gods Own
Country

The Kerala Tourism Development Corporation Limited is a government agency headed

by Mr. M Vijaya Kumar(Chairman) that regulated the tourism activities of the Indian
state of Kerala. The KTDC is head quartered at Trivandrum, and has offices across all the
districts of Kerala. KTDC also operated hotels, resorts and tourist rest houses in different
key locations within the state. The Kerala Tourism Development Corporation Limited
(KTDC Hotels & Resorts) was incorporated as a Private Limited Company on 29-12-
1965 initially by name Kerala Tourists & Handicrafts Development Corporation (P)
Limited. KTDC Hotels & Resorts commenced business from 01-04-1966 by taking over
Mascot Hotel, Thiruvananthapuram, Kovalam Beach House, AranyaNivas, Thekkady,
Periyar House, Thekkady and Edappalayam Tourist Benglavu. The Corporation was later
renamed as Kerala Tourism Development Limited with effect from 15-07-1970.
Government has recently approved a proposal to again change the name as KTDC Hotels
& Resorts Official Slogan: Official host to Gods Own Country. The KTDC, which
owns the largest hotel chain in Kerala, has over 60 properties across the state. It ranges
from the most luxurious palaces to simple budget accommodation. All of them
meticulously designed to provide convenience and comfort.

With an array of prime properties set in the finest spots of Keralas theme destinations,
Kerala Tourism Development Corporation, the largest hotel chain in Kerala, present
exotic ways to experience Kerala.

The Kerala Tourism Development Corporation has a diversity of hotels, from the most
luxurious to the most economical from small motel to world-class resorts, providing
something for every taste and budget. The Corporation operated 16 hotels, 14 Tamarind
Easy Hotels, 12 motels, 18 beer parlors and 3 restaurants. It has tours and travels division
having a fleet of coaches, 'tourists' reception centers at Trivandrum, Kochi, Kozhikode
and Kumily render valuable service to the tourist. In addition KTDC is having one Centre
Reservation Department, 4 Tourist Reception Centers, 1 Transport Division and a Water
Sport at Veli. Moreover KTDC is having a Shopping Complex at Cochin and a subsidiary
company names as TRK, Travel and Resort (Kerala) company Limited.

Another major activity is the food festivals conducted by KTDC mainly at Mascot Hotel,
Trivandrum and occasionally in other centers KTDC participant in India International
Trade fair held at Pragathi Mandan, New Delhi every year. KTDC operates pilgrims
shelter at Sabarimala every operated at Pambawhich serves lakes of pilgrims.

KTDC has renovated all its major hotels like Mascot Hotel, AranyaNivas and Lake
Palace, Thekkady, Hotel Samudra, Kovalam and Nandavanam, Guruvayoor. The
Amusement Park at Veli Tourist Village commissioned recently is an important feature
of the tourist spot Neeraja the floating restaurant at Veli has been revamped,
Kettuvallam houseboats of the Tharavaadu style at Kumarakam Tourist complex are
in operation. Speed boats and cruise boats on hire available are attracting a lot of tourist.
Kerala Tourism Development Corporation is actively participating in building up basic
infrastructure needed for the development of Tourism in state. They operate star hotels,
budget hotels, motel Aarams, YatriNivases, restaurants and beer parlors, central
reservation systems and conduct tours, developing Mascot Hotel into a five star deluxe
hotel, construction of four star hotel at Munnar, construction of heritage resort at
Kumarakam, developing Bolghatty Palace as Heritage Hotel etc. are some of the projects
taken by KTDC at present.

Kerala Tourism Development Corporation (KTDC) is registered under the Companys

Act 1956, KTDC, the states premier destination developer, owns over 60 properties
across the state. With properties ranging from luxury hotels to budget hotels and motels,
YatriNivases and restaurants, KTDC aptly qualifies as the Official Host to Gods Own
Country. The premium properties of this largest hotel chain in the State are located in the
most picturesque theme destinations of Kerala. KTDC also offers Ayurveda centers,
cultural entertainment and the best of Keralas cuisine at all its major establishments.

KTDC Hotels & Resorts Limited offers comprehensive holiday package Exclusive
Escapades offers holiday packages that are set in the premium properties of KTDC. As a
pioneering tourism development corporation, KTDC has also introduced innovative
concepts like insured holiday ad rail holidays, which provide a complete Kerala travel
package.

3.2 STRATEGIC INTENT

1. To elevate tourism as the economic and employment priority of the State by

using tourism as the vehicle of growth for physical, social and economic
development of the State.

2. To develop infrastructure through private sector and private-public partnership,

with Government acting as a facilitator and catalyst.

3. To develop and promote tourism products with continuous focus on backwaters,

Ayurveda, performing arts, pilgrim centers, cuisines and eco-tourism. While
promoting Ayurveda, the value of naturopathy herbal medicines and tribal
medicines will also be given due importance.

4. To create sufficient quality human resources in the field of tourism within the
State and strengthen the institutional mechanism.

5. To strengthen the institutional mechanism.

6. To explore and develop new markets for Kerala Tourism products at domestic
and international levels.

7. To conserve and preserve the unique cultural heritage of the State.

8. To ensure the safety and security of tourist.

9. For effectiveness, it is proposed to streamline the management of Premium

Hotels and Budget Hotels, taking them as different entities.

10. It is important to re-brand the YathriNivas into a sophisticated Budget Hotel

brand, which will provide modern facilities at a reasonable rate.

11. Training Division to be established to provide continuous training programs to

the permanent and contract staff of KTDC.
 12. The investment needs to be addressed in a rational way which will not affect the
financial viability i.e., debt-equity ratio for the investment should be in such a
manner that the debt component can be absorbed by KTDC.

13. Renovation of the existing properties (which are due) needs to be given priority.
Maintenance also to be given prime importance.

14. Attention to be given to capacity enhancement of the existing business places by

utilizing the land available in the property premises.

15. Clear cut marketing strategy has to be evolved for different product lines. Online
reservation system and virtual walk through has to be introduced in a time bound
manner.

16. Non-profitable units working in rented buildings to be closed down.

17. Travel & Tours division to be made more effective by bringing down the
overheads and also exploring the possibilities of out-sourcing.

18. The investment to be arranged towards new and upcoming destinations such as
Wayanadu and Kannur districts.

3.3 VISION

To make KTDC the official host to Gods Own Country, the best service provider in the
hospitality industry with basic infrastructure and state of the art facilities, focusing on
environment conservation and preservation, adding impetus to local supplies and human
resources and thereby positioning as a Premier PSU in the hospitality sector in Kerala

3.4 MISSION

To provide leadership and play a catalytic role in the development of tourism

infrastructure in the State and to achieve excellence in strategic business operations
through professionalism, efficiency, value for money and customer satisfaction
3.5 OBJECTIVES OF KTDC

1. To develop the potentialities of tourism in Kerala.

2. To create &protect the image of Kerala, its tradition and culture throughout the
world.
3. To develop the waterways of Kerala for tourism promotion.
4. To start, operate and promote establishments undertakings and of any description
what so ever which in the opinion of the company are likely to facilitate tourism
development in Kerala.
5. To improve tourism in the state.

3.6 MAJOR FACTS ABOUT THE ORGANIZATION

KTDC is a Government Company established in the year 1965 with the main objective of
facilitating the infrastructure for tourism development in the state, the company has so far
successfully attained its objective there by becoming the largest in hotel network in the
state conduct tour programs, rent vehicle on holiday trips etc. are some of their services.

Therefore we can say that KTDC definitely play a significant role in the development of
Tourism in the state. A large number of domestic as well as foreign tourists are received
by KTDC every year. They also conduct many programs for tourists which help to attract
a large number of tourists. A large number of tourists also approve the services rendered
to them by KTDC.

KTDC has also won several awards for their best performance from Government of India
like:

Best performing state for 1999, 2000 and 2001 award for Excellence in Tourism
Most innovative use of information technology 2001
Best Tourist Film 2001
Most Tourism friendly International Airport 2002
Most Eco Friendly Destination 2002
3.7 PRODUCT PROFILE

Premium hotels - 9

Budget hotels - 8

Tamarind hotels - 14

Motels - 12

Beer parlor - 17

Restaurant - 3

3.7.1 BRANDS OF KTDC HOTELS AND RESORTS LIMITED

PREMIUM HOTELS & RESORTS

Bolgatty Island Resort (which houses Bolgatty Palace)

Marina House, Kochi

Mascot Hotel Trivandrum

Hotel AranyaNivas, Thekkady

Lake Palace, located inside the Periyar Tiger Reserve

AranyaNivasThekkady

Waterscapes

Samudra Beach Kovalam

Tea County Munnar

 MASCOT HOTEL

Fig: Logo of Mascot Hotel

Source: Company Website

Category: Premium Heritage Business Hotel

Mascot Hotel is located in the heart of Trivandrum City, the Capital of Kerala, is the
oldest Star Hotel of KTDC, built during World War 1 to house the officers of the Royal
British Army. And it now stands as a historical edifice polished over time to cater to the
tourists or business travelers with all the comforts of a luxury hotel.
Mascot turn on its lucky charm with the beauty of its past and the comfort of its present,
and with its accessibility to the Capital City, Mascot hotel is indeed the idyllic spot to
plan a grand retreat! In the initial stage it was the residents of British Army officials
there after it was converted into hotels by a British lady later it was undertaken by the
government of Kerala around 1969. When KTDC was formed they give more
concentration on hotel industry. In course of time Mascot Hotel also came under the
control of KTDC, a property that show cases the facilities that reflect the trade mark
magnifications of the East wild Travancore Monarchy and excludes and ambience that
spend luxury and excludes and ambience that spends luxury. Today, it is the most state
off the art business hotel in the city. The hotel is 20mts drive from the International
Airport and 5mts drive from the city Railway station and KSRTC bus station.

For the discerning travelling provides most modern facility 64 rooms (suite, Executive
and Deluxe Room) five conference hall with different seating capacities banquet facilities
board room and executive lounge all confirming to international standards restaurants 24
hrs coffee shop, swimming pool, Ayurvediccentre, health club, beauty parlor, travel
assistant, car hire, laundry, florists, , doctor on call, currency exchange etc.

Main competitors of Mascot Hotel, Trivandrum

Hilton Gardens
Hyacinth
South Park
TajVivanta
Rajadhani Group of Hotels (MauryaRajadhani, Windsor Rajadhani etc)
Hotel Lucia
Hotel Panda
Keys Hotel

HOTEL SAMUDRA, KOVALAM

(The Beach Garden Hotel)
 Fig: Logo of Samudra Hotel

Category: Premium Beach Resort

Hotel Samudra has won the national award for the best property in its category in
the South India. Hotel has a landscaped garden which won acclaim as the best in the
State at the annual International Flower Show held at Thiruvananthapuram. The
Hotel has full-fledged Ayurveda Centre and a fine swimming pool overlooking the
sea. Samudras millennium offer includes exclusive discounted packages with
Ayurvedic programs and lots of fun and leisure thrown in.

Main competitors of Samudra Hotel, Trivandrum

Leela Palace
Sagara Beach Resort
Soma Palmshore Beach Resort
Niraamaya Retreats

WATERSCAPES

Category-4 Star Backwater Resort

Water Scapes is one of the famous Ethnic Backwater resorts of Kerala situated at
Kumarakom surrounded by the scenic Lake Vembanad. Kumarakom is a holyday's
paradise.

And nestled in the mangrove woods surrounded the lake is waterscapes. A unique holiday
experience that is Kerala very own. Come; wake up to your cozy, thatched cottages
rising on stilts, eight feet above the ground, accessible only by a narrow pathway or
rowboat.
Facilities

There are 40 cottages on 30 Islets laced with canals, Private bath and shower, Satellite
Television and Telephone, Swimming pool, Beer Parlor, Restaurant, Laundry, Doctor on
call, Car-hire facility, Currency Exchange, travel Assistance, Ayurvedic center,
conference hall, Boating, Backwater tour, Sightseeing.

ARANYA NIVAS

Category- Three Star Wildlife Resort

The unspoiltbeauty wild Thekkady opened up by the Official Hosts, Aranyanivas. It is
located at the bank of river Periyar. It is one of the Exotic jungle lodges. Deep inside the
dense, greenwoods, perched on the bank of the Periyar Lake are AranyaNivas or the
Sylvan Abode. This quaint structure in the colonial style is the only property in India set
in the heart of a game reserve. Besides being the ideal holiday retreat, AranyaNivas is
also the perfect venue for a relaxed corporate meet or business conference.

Facility
30 rooms / 1 suit, Room service, Color TV/ Satellite Channels / in-House movies,
Telephone, Restaurant, Bar, Laundry, Doctor on call, Currency Exchange, Travel
Assistance, Car hire, Handicraft emporium, Swimming pool, Boat cruise on the periyar
Lake.

BUDGET HOTELS
The Budget Hotels range includes the value plus range hotel properties of KTDC are
three-star hotels. They are:

- Hotel Chaithram, Trivandrum: City business hotel

- Periyar House, Thekkady: Jungle Safari lodge
- Garden House, Malampuzha: Picnic hotel
- Nandanam, Guruvayoor: Pilgrim hotel
 - Mangaly, Guruvayoor: Pilgrim hotel
- ThannerkulamAyurvedic Lake Resort, Cherthala: Health resort
- Golden peak, Ponmudy: Honeymoon hotel
- Pepper Grove, SulthanBathery: Spice Garden Hotel

HOTEL CHAITRAM
Located in the heart of the state's capital, hotel Chaithram gives you an
opportunity to explore the city famous for its places and temples. The
internationally renowned Kovalam beaches are also easily accessible from here.

PERIYAR HOUSE
Periyar House is a wildlife resort located on the banks of the Periyar Lake. Ideal
for a closer acquaintance with wildlife. The Periyar wildlife sanctuary is one of
the world's most fascinating natural wildlife reserves. Some of the rarest species
of flora and fauna can be found here.

TAMARIND KTDC EASY HOTELS

It aims to provide the budget travelers with the choicest accommodation in Kerala, the
KTDC Hotels and Resorts Limited have set up a string of hotels located all over Kerala.
The very location of these hotels promoted under the brand name KTDC Tamarind Easy
Hotels allows travelers to explore the lesser known entities, besides the popular
attractions of Kerala.

- Tamarind Neyyar
- Tamarind Kollam
- Tamarind Alappuzha
 - Tamarind Changanacherry
- Tamarind Peermedu
- Tamarind Thrissur
- Tamarind Guruvayoor
- Tamarind Nilambur
- Tamarind Mannarkkad
- Tamarind Thirunelly
- Tamarind Kondotty (Kozhikode Airport)
- Tamarind Kannur
- Tamarind Parasinikadavu (Mangattuparambu)

MOTEL ARAAMS
All Motel Araams are wayside amenities with an array of facilities for
travelers. They provide services from 7 a.m. to 10 p.m. which include breakfast, lunch,
dinner and snacks in between with local / continental tastes. There is facility for
organizing parties especially for groups who travel through the respective roads. Parties
can be booked in advance All Motel Araams are wayside amenities with an array of
facilities for travelers.

List of KTDC Motels

Motel Aaram, Kottarakkara

Motel Aaram, Punaloor
Motel Aaram, Palaruvi
Motel Aaram, Kayamkulam
Motel Aaram, Alappuzha
Motel Aaram, Vaikkom
Motel Aaram, Athirapally
 Motel Aaram, Kuttipuram
Motel Aaram, Erumayur
Motel Aaram, Vadakara
Motel Aaram, Kannur

SHOPPING COMPLEX

KTDC Shopping Complex, Cochin

KTDC divides the units into centralized and decentralized units. Centralized units are
controlled by the regional offices. KTDC have three regional offices. Regional office
North is at Calicut, Regional office South is at Trivandrum and Regional office central is
at Kochi.

DECENTRALIZED UNITS

Decentralized units consist of large units like Luxury hotels and Budget hotels. They
perform their today functions independently, they have their own administrative and
accounting department they utilize their funds for their day to day commercial functions.
Decentralized units have the right to issue salary certified for their employees.

KTDC the official host of Gods own country, provides the luxury resorts located in the
heart of Kerala's most acclaimed destinations. KTDC brings its extensive understanding
of Kerala to offer the most comprehensive tourism network in Kerala. From reservation
to transits houseboat cruises, to Heritage tours, motels to information centers, holyday
packages to MICE holiday, spices tours to worldwide safaris and more.
KTDC HOLIDAY PACKAGES
With a perfect understanding of varying tourists need KTDC has evolved a
comprehensive tour packages that suit the tourists all over the world.

MICE PACKAGES
With its properties set in some of the most inspiring location in God' Owns Country',
KTDC offers exclusive packages for conducting meeting, Conventions and Exhibitions.

CUSTOMIZED PACKAGES
KTDC also offers packages tailor- made that suit the needs and preference of the
customers.

CENTRAL RESERVATIONS
KTDC have centralized booking networks, which ties up with prime hotel chains
across India. Central Reservation Office is at the KTDC office. The customers can
contact by phone or by mail to book the packages.
 CHAPTER 4

ORGANISATIONAL STRUCTURE
4.1 INTRODUCTION

Kerala Tourism Development Corporation Hotels and Resorts Limited following

Functional Organization Structure. Each part has a functional purpose with regard to
helping its internal or external customers. This structure is easy to manage.

Viewing the organizational chart on the Hierarchical manner we can understand that
KTDCs organization structure is traditional, one where a clearly defined boundary exists
between management and employees. The boundary exists because managers have to be
seen as the top of a hierarchy as if the decisionmaking process in most important task
for an organization whereas employees are kept at the bottom as if their works is less
important than the managers.

The organizational structure of Kerala Tourism Development Corporation Hotels and

Resorts Limited is headed by Chairman, Board of Directors and a Managing Director.
The Corporation has 8 departments in Corporate Office and three Regional Officers
located at Calicut, Thiruvananthapuram and Ernakulum. There are 18 small units spread
all over the state. Each department has a Departmental Head and under him various
subordinate staff.
 Fig No: 4.1 ORGANISATIONAL STRUCTURE

Chairman

Board of Directors

Managing Director

Company Chief Chief Marketing Commer Personal Manager

Secretary Accou Corporate Manager cial Officer Training
& Finance nting -e Manager
Controller Officer Engineer

Assistant Regional Deputy Staffs

Superinte Accoun Project
Manager Manager Manager
ndent ts Enginee
(Personnel)
Officer rs

Senior Assistant Unit Managers Superinte

Vigilan
Accountant Engineer Managers of Hotels ndent
ce
(Administ
Officer
ration)

Superinte Overseer Manager Superinten Junior

ndent CRC dent Superintendent

Staffs Staffs Staffs Staffs Staffs Staffs Staffs

The traditional organization structure of Kerala Tourism Development Corporation
Hotels and Resorts Limited is as follows,

Level 1 CHAIRMAN

Chairman controls the overall activity of the organization. He is the reporting officer of
level 2 managers showing the organization chart. He is responsible for solving issues at
his level in most of the situation.

The Chairman of the Board of Directors (the Chairman) role is to lead the work of the
Board of Directors.

DUTIES AND RESPONSIBILITY OF CHAIRMAN

The Chairman has a particular responsibility to ensure that the Board of Directors
operates satisfactorily, and that the duties of the Board of Directors are performed in the
best way possible. The Chairman shall also ensure that board meeting are held as
efficiently as possible, and that the particular
Knowledge and competence of each board member be applied in the best manner
possible to the benefit of the company.

The chairman's shall not perform duties for the company that do not constitute an
inherent part of the Chairman's duties with the exception of isolated tasks that the
chairman is required to perform by and on behalf of the Board of Directors. The main
duties of Chairman are;

Meeting of the Board of Directors

The Board of Directors books of Minutes
Evaluation of the Board of Directors work
Evaluation of the work of the Executive Management
Evaluation of the cooperation between the Board of Directors and the
 Executive Managers.

Level 2- MANAGING DIRECTORS

The second level of the organization consists of different heads of functional

departments. The functional managers of KTDC are follows

1. Commercial Manager I
2. Commercial Manager II
3. Marketing Manager
4. Personnel Officer
5. Chief Corporate Engineer
6. Chief Accounts Officer
7. Training Manager
8. Company Secretary

The Chief Accountant Officer is controlled by Managing Director through Secretary and
Finance Controller. The reporting officer for the above managers is the Managing
Director. Each of these managers has a clear idea about their respective departments.
They will solve problems in their
departments at their authority in most of the situations otherwise they will refer it to
Chairman.

Level 3- LOWER MANAGEMENT

Every departmental Manager is subordinated by one or more Middle Level Managers,

each of the managers will have a deep technical knowledge about the functions of that
department. It is a promotion post. The vacancies are filled by promotion on the basis of
performance and seniority.

By defining these levels, managers can show other people who is really the boss within
an organization and then to exercise that kind of authority on others by controlling
employees and telling them what to do and the employees have to follow the orders very
precisely irrespective of the problems that may exist in the organization (e.g. Lack of
resources, training etc).

Duties and responsibilities of lower level management

a. Assigning of jobs and tasks to various workers.

b. They guide and instruct workers for day to day activities.
c. They are responsible for the quality as well as quantity of production.
d. They are also entrusted with the responsibility of maintaining good relation in the
organization.
e. They communicate workers problems, suggestions and recommendatory appeals
etc. to the higher level and the higher level goals and objectives to the workers.
f. They help to solve the grievances of the workers.
g. To supervise and guide the sub-ordinates.
h. They are responsible for providing training to the workers.
i. They arrange necessary materials, machines, tools etc. for getting the things done.
j. They prepare periodical repots about the performance of the workers.
k. They ensure discipline in the enterprise.
l. They motivate workers.
4.2 MARKETING DEPARTMENT

Tourism Marketing comprises fact finding, data gathering, analysis (marketing research)
and communication to uniform and promote (promotion), ensuring and facilitating sales,
selection of marketing planning (distribution), co-ordination, control and evaluation
(marketing, planning and audit), developing professionally sound personnel. Marketing
department of KTDC Hotels and Resorts Limited is putting their integral effort to satisfy
tourist and also transforming the potential tourists into actual customers.
Fig no: 4.2 structure of marketing department

Manager (Marketing)

Deputy Manager
(Marketing)

Office

Manager CRC & Office

TRC TRC Cochin TRC Chennai TRC Delhi

Thiruvananthapuram
4.2.1 OBJECTIVES

To satisfy the customers needs and wants through creating and exchanging of
service.
To develop and retain the customers.
To promote Kerala Tourism.

4.2.2 FUNCTIONS

To gather market information and facts and analyzing the information.

To inform the customers and their by promoting the business through press
release, tour fests etc.

To analyze customer complaints and to take preventive action against recurrence

of similar complaints.

To develop new tour packages that suits the customer preference.

To make additional promotional activities like advertising, publicity etc.

4.2.3 ACTIVITIES

Marketing department of Kerala Tourism Development Corporation Hotels and Resorts

Limited deals with selling, advertisement, printing and distribution, public relation,
hospitality and conducting international tour fest.

DIRECT SELLING

Kerala Tourism Development Corporation Hotels and Resorts Limited adopts direct
selling technique to attract new customers. They have agents throughout India. The
executive directly contact with the tourists and give them necessary information
regarding accommodation, tour packages and their rates. The agents report it to the head
office to make arrangements for them through mail or telephone. The payments are
sending after taking the commission.
 ORGANISING NATIONAL AND INTERNATIONAL TRAVEL AND
TOUR FAIRS

Kerala Tourism Development Corporation Hotels and Resorts Limited used to conduct
travel and tour fairs tour fairs as a promotional strategy. In this fairs the marketing
executives are appointed to clarify the queries of the travel agents through the world.

ADVERTISING

Kerala Tourism Development Corporation Hotels and Resorts Limited used to give a
number of advertisements about their hotels and their tour packages in TV, Radio and
Magazines etc. and they have their own website www.ktdc.com.

PRISING AND DISTRIBUTION OF VARIOUS TARIFF MATERIALS

Kerala Tourism Development Corporation Hotels and Resorts Limited supplies various
brochures to the agents specifying their tariffs regarding the hotels. For printing
brochures quotations are called from the concerned parties and one with the lowest cost is
selected. Purchase order is issued with the approval of MD.

HOSPITALITY

Kerala Tourism Development Corporation Hotels and Resorts Limited gives importance
to their hospitality. Kerala Tourism Development Corporation Hotels and Resorts
Limited offers free accommodation and other facilities to the foreign tour operators. They
tried their level best to retain their customers and there by attracting the new customers.

HANDLING CUSTOMERS COMPLAINTS

KTDC Hotels gives a feedback form to the customers to collect their opinion regarding
the services and behavior of the Hotels and the Staff's. The Marketing department issues
these feedback forms to the Hotels and analyzes it to make necessary suggestions.
4.2.4 MARKETING MIX ADOPTED BY KTDC

PRODUCT MIX

Like the manufactured product, the potential tourists, cannot feel, taste or sample a
package tour. The tourists product is non-material, intangible thing. Every product is
aimed at some marketing and its marketing success depends essentially on its fit with
market. The development of accommodation facility by opening new classified and
unclassified hotels, the channelization, of sale, comfortable and fast transportation
facilities, and availability of sophisticated communication facilities at tourism sites of
hither and thither the sites and hotels are some of the important components of tourist
organizations.
So Kerala Tourism Development Corporation Hotels and Resorts Limited the pioneering
destination developer is bringing its extensive understanding of Kerala by offering the
most comprehensive tourism service network in Kerala. From reservation to transit,
house boat cruises to heritage tourist, motels to information centers, holiday package to
MICE holidays, spice tour wildlife safaris are offered by the official host KTDC.

PRICING

In tourism industry the pricing decision is found critical and challenging since it is a
multi-segment industry when a tourist proposes to visit a particular place, the total cost
on his or her traveling includes the expenses incurred on transportation, communication
and accommodation and so on.

The room tariff of Kerala Tourism Development Corporation Hotels and Resorts Limited
is fixed based on MAP and AP plan. The tour packages are priced on the basis of season.
Off season packages are offered from April to September and season packages are from
October to March

PLACE

A sound distribution system is found essential to improve the quality of service and to
bridge over the gap between promises and service offered. KTDC had appointed general
sales agents throughout India to give necessary information regarding Kerala Tourism
Development Corporation Hotels and Resorts Limited to the tourists.

The important sales agents are;

M/s Indian Tourism Development Corporation Limited, New Delhi

M/s Tourism Corporation of Gujarat Limited
M/s Utter Pradesh Tourism Development Corporation Limited
M/s Frontier Tours and Travels. Hyderabad
M/s lntersight Tours and Travels Private Limited
M/s SIMAS, Pune
M/s Goa Tourism Development Corporation
M/s Dream Holidays, indoor
M/s Peerless Travels Private Limited, Calcutta
M/s Frontier Tours and Travels, Bangalore
M/s Jai Maruthi Holidays. Alappuzha.

PROMOTION

Creation of awareness has a far reaching impact in a tourism industry. The tourist
organization bears the responsibility of informing, sensing and persuading the potential
tourist in a right fashion. The tourism promotion is an effort to implement marketing plan
formulated by the tourist organization. It helps in maximizing the duration of stay,
frequency of visit by offering new tourist products in the country. It is a marketing effort
which consists of marketing communication to transmit information about the business to
all participants as well as the users. Tourism Development Corporation Hotels and
Resorts Limited offers four types of promotional mixes.

ADVERTISING

It is used to give advertisements on Television, Newspapers, and Magazine etc. it helps in

furnishing the information to the tourists and simplifies the process of transformation. It
is aimed to public to create awareness of travels offers available on resorts and its
attraction.
PUBLICITY

Kerala Tourism Development Corporation Hotels and Resorts Limited is one of the profit
making Government Company and so it is getting adequate publicity through word of
mouth and press media.

PERSONAL SELLING

To market its product Kerala Tourism Development Corporation Hotels and Resorts
Limited adopts personal selling technique. Personal selling is the personal presentation of
the intangible service offered by the company to the customers.

TELEMARKETING

Kerala Tourism Development Corporation Hotels and Resorts Limited used to

telemarketing technique to transmit the required information and to remove the confusion
and misunderstanding the flow of business expansion.