Tourism Grasps Opportunity Generated by Disruptive Industry 4.0 

8:05:17 AM | 5/11/2019

The fast-spreading Industry 4.0 is producing a strong impact on all economic and social aspects, including tourism. In order to adapt to this industrial revolution, businesses must take appropriate steps to innovate and apply new technologies, and match worker training with demands of businesses and society. Vietnam Business Forum has an interview with Mr. Le Duc Phong, General Director of Daeha Joint Stock Company - Hanoi Daewoo Hotel.

Industry 4.0 is generating new opportunities for Vietnam tourism

What do you think about impacts of Industry 4.0 on hotel business in particular and tourism as a whole?

Like other areas, tourism is directly affected by Industry 4.0. New technologies help the tourism industry create more attractive products, stimulate growth and sustain development. In addition, Industry 4.0 applications help reduce time, labor and business costs and lower tourism service prices. Cutting edge technology also helps diversify trade promotions and enables businesses to easily advertise and introduce their products and services and improve tourism competitiveness and branding.

For customers, the internet platform makes travel experience more convenient. Visitors can easily find, compare and choose the most suitable destinations and services, especially they can explore destinations with virtual reality and augmented reality technology. Increasing utilities for visitors is also an opportunity to stimulate tourism.

The global tourism market is witnessing the rise of online travel business trends. In Vietnam, more than half of the population uses the internet every day, and statistics show rising online booking as a result of more utilities or more incentives. Obviously, Industry 4.0 is bringing new opportunities for the tourism industry, especially hotel service providers like Hanoi Daewoo Hotel.

Besides opportunities, what are challenges of tourism businesses in the era of Industry 4.0?

Industry 4.0 brings in huge opportunities but it also couples with daunting challenges. The Fourth Industrial Revolution has affected traditional tourism business. 98% of tourism firms are small and medium in scale. Digital platforms, intelligent connectivity and technological innovations force businesses to make transformational changes. In addition, human resource quality is one of the biggest issues in Industry 4.0.

In addition, Industry 4.0 poses information security and competitiveness. I personally think that tourism companies in general and hotels in particular are standing in front of a unique opportunity to change or be left behind.

Human resources - the core for development

To overcome these challenges, what are the most important solutions for Vietnamese businesses? For Hanoi Daewoo Hotel, what have you prepared to make best use of Industry 4.0 opportunities?

Domestic tourism companies need to make robust investment and apply cutting-edge technologies to online tourism business, marketing, product promotion and strong participation in global tourism value chains. Only with active preparation, reasonable business strategy and initiative to take opportunities, will Vietnamese tourism firms be able to survive and develop.

Besides, impacted by Industry 4.0, labor mobility trends have provided opportunities for finding new jobs on the one hand and increased pressures on tourism industry workers on the other. Therefore, developing the well-organized and high-quality labor market is becoming an increasing requirement and an effective tool to support and develop Vietnam's human resources in general and tourism workers in particular.

For Hanoi Daewoo Hotel, to proactively and effectively take advantage of Industry 4.0 opportunities, we have constantly applied technology to reach global visitors and improve customer service quality. In addition to appearing on all domestic and international online travel sites, upgrading its booking website and upgrading facilities, Hanoi Daewoo has been, and will be, giving priority to human resources development because we believe that this is a “key” to secure its leading position during 23 years of establishment and development.

We always prioritize training and consolidating policies on livelihood improvement for employees. Hanoi Daewoo regularly organizes professional training courses for its employees, cultivates their necessary knowledge and skills to get ready for constant market changes in the era of Industry 4.0.

Could you please tell us some activities and plans of Daewoo in the coming time to affirm and promote its values ​​in the capital Hanoi?

Over 23 years of development, Hanoi Daewoo Hotel has increasingly affirmed its brand in the tourism industry - accommodation services in Vietnam, becoming a symbol in Hanoi.

Improving dedicated, professional customer service quality is our top concern. In addition to general development training courses for employees, we also continually organize specialized training courses and training programs for managers.

Besides, to build a sustainable development business, the hotel has applied a green growth model which aligns business with shareholders and environmental protection. In the coming time, it will continue to apply solar energy, manage electricity and water consumption economically, and inspire its employees and customers to protect the environment.

A series of humanitarian and community development activities such as Blood Donation, Compassionate School, Cycling for the Environment and Journey to Central Vietnam are carried out annually. This is an important factor for us to spread good values ​​to the community and affirm the Hanoi Daewoo brand over the past two decades.

Industry 4.0, driven by scientific and technological advances, produces strong impacts on all areas of social life. This new context requires businesses to be on the go with appropriate strategies and plans to make best use of opportunities that this industrialization brings. And in this race, Hanoi Daewoo is always confident and proactive to adapt new changes in the steadiest position.

Thank you very much!