Hotel Performance Evaluation
RESEARCH NOTES AND REPORTS
This Department publishes research notes, conference reports, reports on the work of
public agencies and associations, п¬ Ѓeld (industry) reports, and other relevant topics
and timely issues. Contributions to this department are submitted to its two Associate
Editors: Research Notes to Juergen Gnoth (Department of Marketing, University of
Otago, Dunedin, New Zealand. Email ) and Conference Reports to Russell Smith
(Hospitality and Tourism, Nanyang Technological University, Singapore 639798,
Rep. of Singapore. Email ). Unsolicited conference and agency reports will not be
accepted.
RESEARCH NOTES
www.elsevier.com/locate/atoures
Annals of Tourism Research, Vol. 31, No. 3, pp. 712 715, 2004 # 2004 Elsevier ...
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This study is the п¬ Ѓrst to adopt it for research. To п¬ Ѓnd the DEA results, a
specialized computer package DEAP 2.1 was used to handle the data. The BCC
model (named afer those who proposed it; Bank, Charnes and Cooper) is employed
to evaluate the overall efп¬ Ѓciency, the pure technical efп¬ Ѓciency, and the scale
efп¬Ѓciency (Overall efп¬ Ѓciency = Technical efп¬ Ѓciency Г ѓ Scale efп¬ Ѓciency;
Banker, Charnes and Cooper 1984). Table 1 groups the DEA results by hotel
operational styles. Of the 25 properties, 14 have an overall efп¬ Ѓciency score of 1.0,
which is relatively efп¬ Ѓcient. Of the franchised hotels (Table 1.A), two are DEA
efп¬Ѓcient, while one is relatively inefп¬ Ѓcient. The overall efп¬ Ѓciency score of
Hotel 16 is 0.878, which means it has only attained about 88% efп¬ Ѓciency. This is a
result of the lower pure technical efп¬ Ѓciency score. Of the п¬ Ѓve internationally
managed hotels (Table 1.B), numbers 12 and 15 are inefп¬ Ѓcient, with an overall
efп¬Ѓciency score of 0.978 and 0.73, respectively. The overall inefп¬ Ѓciency is
mostly due to technical inefп¬ Ѓciency. Among the 17 independent hotels (Table 1.C),
1, 9, 10, 13, 19, and 23 are members of several domestic chains holding multiple
properties, with resources shared among properties. However, hotels 1 and 9 are not
efп¬Ѓcient overall, due to technical inefп¬ Ѓciency. It is also worth mentioning that
number 10 signed a management contract with an international hotel operator for the
п¬Ѓrst couple