With vendors, suppliers, customers, consumers are in distress, there is going to be a major change in how business is conducted in the sector, asserts Sudhir Gupta speaking at a BW HOTELIER Webinar
The pandemic has brought severe challenges in the Hospitality sector of the country. The Centre and State governments have continuously been trying to figure out ways to kick-start the economy and it is expected in the lockdown 5 the sector to get relaxations. The situation as of now seems grim for the hospitality industry.
Sudhir Gupta, Head – Procurement, ITC hotels stated, “Presently, our vendors, suppliers, customers, consumers – everyone is under deep stress.” Gupta believes that to deal with this stress, what’s required: trustworthiness, loyalty, and assurance for the future. However, he is not too hopeful of the near future. He thinks the worst is yet to come. “The disruption has just begun and is going to accentuate a lot,” said Gupta.
Gupta predicts that the hospitality sector is going to see major changes in the supply chain. He shared, “The collaboration between the vendor and supplier is going to be of utmost importance.” He stated, “In this testing situation between vendors and customers like us, which will determine our relationship with the suppliers.” Gupta asserted: “There is going to be a paradigm shift – the way we conduct business, making us think about new methods, reconduct the business.” Across the sectors, it is foreseen that in the coming days, vendor and supplier collaboration will be very crucial. Speaking on it, Gupta said, “We can act upon it, delay the payments, look for some kind of discounting procedure, but we should have mutual support and conversations.” A sustainable relationship is the way ahead.
Gupta accepts that things won’t obviously change overnight. Reportedly, the hotels are operating at a low capacity for revenue and with no actual fulfilment and responsiveness from the vendor and supplier’s side. The sector is dealing with the issues of cancellations, demanding more time, underpayments, among others. Gupta believes as the hotels start to open many such issues will be faced along with shortages at the backend side.
