DIGITAL TRANSFORMATION OF OPERATIONS IN HOSPITALITY INDUSTRY – LITERATURE REVIEW AND SURVEY FROM MONTENEGRO

Abstract

Tourism and hospitality is very complex and sensitive industry based on selling experiences, feelings, excitements and long lasting memories. With such a high stake, all hospitality companies need to thoroughly explore market needs and present themselves as most confident and reliable service providers, in order to be competitive, innovative and attractive to the guests, but at the same time to maintain efficiency, quality and sustainability of all daily operations. Digital transformation has proved itself to be powerful tool that enables companies to gain competitive advantages, such as improved customer services, more efficient cost control and creation of new business models. Purpose of this study is to explore how digital transformation of hospitality operations can be of benefit to these enterprises and which operations were significantly enhanced by this process. In addition to a literature review regarding the above mentioned issues, as a foundation of this research, a survey was also conducted among hospitality companies in Montenegro with purpose to explore the use of digital technologies in hospitality operations, namely food and beverage service, and their awareness on benefits of these tools for both quality of service and cost control. Results of the survey have shown that there is a high level of awareness about benefits of digital technologies for overall business results among hospitality companies in Montenegro, but the lack of skills in use of digital technologies for business purposes is still evident and represents a significant obstacle to adopting new solutions and developing new business models.