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HOSPITALITY INDUSTRY UNDER THE MICROSCOPE The first-ever research centre to respond to the challenge of so-called poor productivity in one of the UK's largest industries - the hospitality sector - has been established by the University of Surrey. The "Centre for Hospitality Industry Productivity Research" (CHIPR) plans to undertake research projects at all levels ( industry-wide, firm and operating unit) and across all industry sectors including hotels, restaurants, pubs and the contract food service. "Despite its huge turnover, the hospitality industry has consistently had low levels of productivity according to a number of studies," says Professor Peter Jones, from the University's School of Management Studies for the Service Sector, who will head the new Centre. "Indeed a recent McKinsey study reported the UK hotel industry to have 50% of the USA's productivity levels." The UK hospitality industry currently employs over 2 million people in over 300,000 outlets. The turnover is well over £40 billion and hospitality is the country's largest invisible export. "But it is not alone in its problems," says Professor Jones. "The UK has slipped to the bottom of the productivity table among the Group of Seven industrialised nations. Hence the Government's recent pre-budget report devoted 23 pages to this so-called productivity challenge. Future government policy will focus on industrial competitiveness and productivity performance." "We also believe that many previous productivity studies give a false impression of the hotel and catering industry. Our best is probably as good as the best anywhere in the world," he adds. The CHIPR will build on an established track record of research in this field carried out at the University of Surrey. The University's School of Management Studies for the Service Sector is a leading World Centre for study in tourism, hospitality management and related areas. Further information from Professor Peter Jones, Charles Forte Chair of Hotel Management, on 01483 300800 ext 3117 or Colin McCallum, Press Office, on 01483 259236.
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