The Main Focus is on Ensuring Continuity of Cash Flow to Safeguard Employment in the Industry: Chandrakant Shetty, VITSKamats Group

SPEAKING ABOUT the impact of the lockdown on businesses, Chandrakant Shetty, Group Director, VITSKamats Group told BW HOTELIER that, "As many of our hotels have huge banqueting facilities we have seen a drastic fall in bookings, with a good number of cancellations as well."

What has been the impact of the lockdown on your business? Which segment of the business is most affected and why?


There has been a tremendous impact on our industry for both our verticals Hotel and Restaurant division. The majority of our hotels are MICE but we have a few leisure destinations as well. Hotel catering to the corporate segment has definitely shown an impact. We believe corporate travel will curtail, conferences will get postponed. One more major impact that we have seen is the cancellation of all wedding bookings. As many of our hotels have huge banqueting facilities we have seen a drastic fall in bookings, with a good number of cancellations as well.

Our international properties have faced the maximum cancellations as we used to cater to both the Chinese and European markets.

Also, our Kamat restaurants which have a major presence on the national highways are shut completely as the local travelling has stopped.

The impact has been for the immediate 3 months period for March, April, and even the advance bookings of May and it has been for all segments. A lot will depend on when the lockdown opens and in which areas.


Are you supporting the efforts of the Government in all locations you are present in and how?

Yes, we are supporting the different government's local bodies state governments and national agenda in various initiatives that they are taking from distribution of food items to providing quarantine services. Two of our hotel has voluntarily supported the cause by giving the lodging and food facility to the government employees.


What are your organization’s contributions and help extended within the hospitality community?

We as an organization have taken humanitarian as our first step. Hence our priority was to take care of 1500 employees working with us. As we have a global presence, most of our staff hail from different parts of the country. We first ensured they are given leave and reach their homes safely before lockdown. And those who were unable to travel were given accommodation and food.

Each individual hotel is taking different steps depending on what is required and permissible in there local areas. Care is been taken primarily to focus on food distribution to the needy and underprivileged & frontline soldiers, safety workers, police and administration.


What are your initiatives to build confidence in your employees for regaining the glory of the industry?

Considering the current scenario, we believe the team members need to be engaged at this time to keep them motivated and positive(mindset). We are doing this by keeping them focused on training, with various role plays with cross-functional departments. We are also using this available time to give a deeper level of understanding of our corporate philosophy and company culture.

* Team members who are inhouse – are undergoing classroom and online training wherever possible.

* Executive level and above – we have given them books for reading and further activities related to it.

* Senior team members are continuously in touch with the market by attending various Webinars and Online raining which is helping the entire VITS and Kamats team to boost up their confidence and are geared up with full energy for the post lockdown action.


Post-COVID pandemic, do you see a possible change from expansion to upgradation in the hotel industry players’ action plan? Please explain.

According to me, the hospitality industry has taken a major hit in terms of revenue and operations – for the running hotels. And for the hotels which are under construction or the ones which are in the process of funding or acquisition, there is yet some scope to plan and phase it out properly.

Now to get the entire ecosystem up and running in its previous form, it will definitely take three to five months easily. Our industry is a labour-intensive industry. Immediately after the lockdown opens, we will see at least 15 to 20% rank and file staff going to their hometowns- especially our restaurant division. So I think the entire industry will be first fighting to get our home in order and then maybe after a few months or maybe a year expansion plans shall start rolling over. Expansion is always a focus when the core business is doing well. In today's scenario where the surviving is the key expansion will take a back seat.  


What are the interim relief measures that the hospitality industry expects from the policymakers?

The FHRAI has written to the honourable Prime Minister Shri Narendra Modi and also other ministers such as honourable Finance minister and honourable Tourism minister listing out the kind of support required. The entire focus is on ensuring continuity of the cash flow cycle so that maximum employment is retained by the industry.

The industry will still look for support in the following areas.

a. Electricity b. Speeding up GST refunds c. Delay in Statutory payments d. Reframing moratorium definitions.


What new protocols are you planning once the lockdown lifts across the front and backend with these new social distancing and protection norms that the world has begun to understand and fear?

We are already in the process of planning & implementing many short terms & long term procedures across all our hotels & resorts. Emphasis will be on providing proper sanitization, clean & contact free service to ensure the health and safety of our guests. The new range of chemicals and sterilization equipment has been suggested by our operations team to ensure all norms are followed rigorously. We are also looking at optimum utilization of spaces during customer visits & stays to encourage social distancing. Reduction in conferences and banquets for the near future would be a possibility. Weddings & personal functions will be also affected to a certain extent. I strongly feel these above measures will help gain back customer confidence and help us recover at a faster pace.

The important step that we are implementing is:


Safety & Crisis Management Team - Identify and set-up a Safety Team with a Leader, 4-6 Persons of the various departments – who are entitled to serve the guest, who will be responsible to ensure that all measures are being implemented and recorded. - Crisis reporting system Quarantine policy (In case of any suspect case- It should be recorded and guests should be advised to leave and quarantine himself/herself.

We are planning to act out for three levels

* Safety Measures for Customers entering the hotel lobby or Restaurant.

* Safety Measures for the entire staff.

* Safety measures for the vendors entering the hotel through back areas.

We are looking at using more disposable items reduction of all table cloths napkins placemats and going in for alternatives. We will also be having a medical officer who will ensure the procedures of thermal checking of gas and staff sanitization and sterilization procedures are carried out. We are changing layouts of lobbies restaurants and other public areas. For some time all staff and gas will be wearing a mask, gloves, and in the case of housekeeping specialized aprons and protective equipment. In addition to a host of other measures.


What is the roadmap that you suggest for the recovery of the travel and hospitality industries? Do please share some positive pointers for better times ahead.

One of the most important points which I really liked and I agree when I attended one of the webinars, which was quoted by a senior Hotelier was that we all “INDIANS are resilient”. Yes, that’s a fact- I think we all are and we have already started working on it.  

As I mentioned earlier that the industry might take three to five months depending on the location. Yes, we might see a downfall in the International travel but post five months the MICE and local travel will definitely gain its pace. People shall travel to local destinations for vacations. Hill station hotels will get to see occupancy. Goa, Kerala, and few Northeast destinations also have a good scope of a comeback.


Anything that we may have missed but needs to be addressed?

I think this impact is not only for the Hospitality industry. Many other industries other than us has also taken a hit. I think it all depends on how things will change post lockdown and once we start seeing Zero COVID case. India has to be more sensitive to going further. Our country might have to change the thinking in terms of hygiene and sanitisation. There are a lot of lessons learned during this past 40  days and if not taken seriously there are bigger problems waiting ahead.  

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