Supporting Luxury Hotel Recovered in Times of COVID-19 by Applying TRIZ Method: A Case Study in Taiwan

Abstract

The current COVID-19 pandemic, which is alarming for another global economic recession, puts the sustainable development of the tourism system under high consideration. The tourism industry is a key generator of foreign exchange across the region. However, tourism is one of the sectors most affected by the global pandemic. Through a case study in Taiwan, the objective of this study is to show how an Evergreen hotel fixed itself on existing and recovering in the hospitality business during the COVID-19 pandemic in 2020 using the combination of the problem hierarchy analysis (PHA) and the Teoriya Resheniya Izobreatatelskih Zadatch (TRIZ) or the so-called theory of inventive problem-solving technique. Following PHA technique and extensive investigation, the management team determined that the most recent problems at the Evergreen hotel are in marketing and human resources. The 39 parameters and 40 principles of TRIZ were used to determine the improvement solution and create a solution strategy that simultaneously simplified critical control-point (CCP) processes and improved the correctness of tasks, increasing CCP efficiency and supporting and satisfying customer demands in the COVID-19 pandemic in the world in general and in Taiwan in particular. The results revealed that customer bookings grew over the four quarters of 2020 due to adjusting the cancellation policy, discounting, and segmenting the market from international to domestic, increasing the CCP efficiency percentage and customer rating score from 19% to 40% and 8.3 to 8.5 score, respectively. Aside from that, changing the hotel structure with a partnership with the Taixie company assisted Evergreen in reducing various cost pressures to manage the business and recover after a difficult period. This paper can be a useful reference for managers, investors, governments, and policymakers to improve the sustainability performance in the tourism industry.