DTM1013 Topic 4 Organizational Bodies

TOPIC 4:ORGANISATION IN TOURISM & HOSPITALITY INDUSTRYDTM1013FUNDAMENTAL OF TOURISM & HOSPITALITY 1

OBJECTIVE• Identify tourism and hospitality international, regional and national organizations.• Describe the role of international organization in tourism and hospitality industry.• Explain the role of regional organizations in tourism and hospitality industry.• Describe the role of national organization in tourism and hospitality industry. 2

INTERNATIONAL • United Nation World Tourism Organization (UNWTO) • International Air Transport Association (IATA) • International Civil Aviation Organization (ICAO) • Asia-Pacific Economic Cooperation (APEC)• Organization for Economic Co-operation and Development (OECD) • World Travel and Tourism Council (WTTC) 3

WORLD TOURISM ORGANIZATION (UNWTO)The world Tourism Organization building The world Tourism Organization logo in Madrid 4

Introduction• The World Tourism Organization (UNWTO), based in Madrid, Spain, is a United Nations agency dealing with questions relating to tourism.• It compiles the World Tourism rankings.• The World Tourism Organization is a significant global body, concerned with the collection and collation of statistical information on international tourism. 5

• This organization represents public sector tourism bodies, from most countries in the world and the publication of its data makes possible comparisons of the flow and growth of tourism on a global scale.• The official languages of UNWTO are Arabic, English, French, Russian and Spanish. 6

OrganizationalAims/Roles The World Tourism Organization plays a role in promoting the development of responsible, sustainable and universally accessible tourism, paying particular attention to the interests of developing countries. The Organization encourages the implementation of the Global Code of Ethics for Tourism, with a view to ensuring that member countries, tourist destinations and businesses maximize the positive economic, social and cultural effects of tourism and fully reap its benefits, while minimizing its negative social and environmental impacts. 7

• UNWTO is committed to the United Nations Millennium Development Goals, geared toward reducing poverty and fostering sustainable development. 8

INTERNATIONAL AIRTRANSPORT ASSOCIATION (IATA) The Director General and Chief Executive Officer is Giovanni Bisignani. 9

Introduction• The International Air Transport Association (IATA) is an international industry trade group of airlines• located in Montreal, Canada.• IATA represents some 230 airlines comprising 93% of scheduled international air traffic.• Currently, IATA is present in over 150 countries covered through 101 offices around the globe.• Its mission is to represent, lead and serve the airline industry.• The goals of IATA are to promote safe and reliable air services, develop cost effective standards and procedure.• Identify and articulate common industry positions and support the resolution of key industry issues. 10

 The IATA Head Office are located at 800 Place Victoria (Montreal Stock Exchange Tower) in Montreal since 1977 (having been located at Central Station (Montreal) since its founding) and the executive offices are at the Geneva Airport in Switzerland. IATA was formed on 19 April 1945, in Havana, Cuba. It is the successor to the International Air Traffic Association, founded in The Hague in 1919, the year of the world's first international scheduled services. At its founding, IATA had 57 members from 31 nations, mostly in Europe and North America. Today it has about 230 members from more than 140 nations in every part of the world. 11

Organizational Mission• Today, IATA's mission is to represent, lead and serve the airline industry.• Its members comprise some 230 airlines - the world's leading passenger and cargo airlines among them - representing 93 percent of scheduled international air traffic. 12

Representing• IATA seeks to improve understanding of the industry among decision makers and increase awareness of the benefits that aviation brings to national and global economies.• It fights for the interests of airlines across the globe, challenging unreasonable rules and charges, holding regulators and governments to account, and striving for sensible regulation. 13

Leading IATA's aim is to help airlines help themselves by simplifying processes and increasing passenger convenience while reducing costs and improving efficiency. The groundbreaking Simplifying the Business initiative is crucial in this area. Moreover, safety is IATA's number one priority, and IATA's goal is to continually improve safety standards, notably through IATAs Operational Safety Audit (IOSA). Another main concern is to minimize the impact of air transport on the environment. 14

Serving IATA ensures that people and goods can move around the global airline network as easily as if they were on a single airline in a single country. In addition, it provides essential professional support to all industry stakeholders with a wide range of products and expert services, such as publications, training and consulting. IATA's financial systems also help carriers and the travel industry maximize revenues. 15

For the benefit for all parties involved with IATA For consumers, IATA simplifies the travel and shipping processes, while keeping costs down. Passengers can make one telephone call to reserve a ticket, pay in one currency and then use the ticket on several airlines in several countries. IATA allows airlines to operate safely, securely, efficiently and economically under clearly defined rules. IATA serves as an intermediary between airlines and passenger as well as cargo agents via neutrally applied agency service standards and centralized financial systems. A large network of industry suppliers and service providers gathered by IATA provides solid expertise to airlines in a variety of industry solutions. For governments, IATA seeks to ensure they are well informed about the complexities of the aviation industry to ensure better, long-term decisions. 16

PACIFIC ASIA TRAVEL ASSOCIATION (PATA) 17

Introduction  The Pacific Asia Travel Association (PATA) is a membership association working to promote the responsible development of travel and tourism in the Asia Pacific region.  Began in 1951 when Lorrin P. Thurston, president of two major daily newspapers in Honolulu, and William J Mullahey of Pan American Airways set about organising the first Pacific area travel conference with the aim of promoting tourism to the largely undiscovered region of Asia Pacific. 18

 January 15, 1952, Lorrin Thurston announced that 25 active and 12 allied members had signed the constitution and bylaws of what was now known as the Pacific Interim Travel Association (PITA). PITA was legally incorporated in the state of Hawaii two months later. The association’s first executive director Sam Mercer noted that the first conference “focused the attention of the entire travel world on an awakening of tourism in the Pacific” 19

 In its first year, PITA also worked with governments to ease entry and exit requirements for foreigners, seeing success in Japan, the US and the Philippines. By the second conference in March 1953 (held in Hawaii like the first) PITA had increased its membership from 33 active and allied members to 49. It was also at this conference that it was decided to change the association’s name to the ‘Pacific Area Travel Association’ – or PATA. 20

Organization Objective &Purpose• To encourage and assist in the development of the travel industries throughout the Pacific area by:• Providing an instrument for close collaboration among the various territories, countries and commercial companies concerned.• Augmenting and assisting local promotional and development efforts of the members and sources of capital for tourist accommodation and recreational projects.• Providing a liaison between travel and transportation industries and all members. 21

• Carrying out advertising, promotional and publicity measures calculated to focus the attention of the travelling public upon the Pacific as one of the world's outstanding vacation areas.• Encouraging the promotion of adequate passenger transportation services and facilities to and within the Pacific area.• Carrying out statistical and research work relating to travel trends and tourism development for the benefit of its members.

International Civil Aviation Organization (ICAO) 23

• The International Civil Aviation Organization (ICAO) is a UN specialized agency, established by States in 1944 to manage the administration and governance of the Convention on International Civil Aviation (Chicago Convention).• ICAO works with the Convention’s 191 Member States and industry groups to reach consensus on international civil aviation Standards and Recommended Practices (SARPs) and policies in support of a safe, efficient, secure, economically sustainable and environmentally responsible civil aviation sector. These SARPs and policies are used by ICAO Member States to ensure that their local civil aviation operations and regulations conform to global norms, which in turn permits more than 100,000 daily flights in aviation’s global network to operate safely and reliably in every region of the world.• In addition to its core work resolving consensus-driven international SARPs and policies among its Member States and industry, and among many other priorities and programmes, ICAO also coordinates assistance and capacity building for States in support of numerous aviation development objectives; produces global plans to coordinate multilateral strategic progress for safety and air navigation; monitors and reports on numerous air transport sector performance metrics; and audits States’ civil aviation oversight capabilities in the areas of safety and security. 24

Vision and Mission Vision Achieve the sustainable growth of the global civil aviation system. MissionTo serve as the global forum of States for international civil aviation. ICAO develops policies and Standards, undertakes compliance audits, performs studies and analyses, provides assistance and builds aviation capacity through many other activities and the cooperation of its Member States and stakeholders. 25

Asia-Pacific Economic Cooperation (APEC) 26

• Asia-Pacific Economic Cooperation is a forum for 21 Pacific Rim member economies that promotes free trade throughout the Asia-Pacific region.• It was established in 1989 in response to the growing interdependence of Asia-Pacific economies and the advent of regional trade blocs in other parts of the world; to defuse fears that highly industrialised Japan would come to dominate economic activity in the Asia- Pacific region; and to establish new markets for agricultural products and raw materials beyond Europe.pmm/jph/zuraida/dis2010 27

• APEC Member economy (name as Date of accession GDP(PPP) (Millions currently has used in APEC) of Int$) 2014 21 members, 1,099,771 including Austr alia November 1989 32,958 most 1,595,975 countries Brunei Darussalam November 1989 2,685,893 with a 4,767,157 coastline on Canada November 1989 1,783,950 the Pacific 769,448 Ocean. Indonesia November 1989 160,801 857,457 Japan November 1989 454,346 1,069,569 Republic of Kor ea November 1989 17,348,075 1,078,792 Malaysia November 1989 400,362 18,088,054 New Zealand November 1989 2,148,884 410,853 Ph i l i p p i n es November 1989 372,694 3,576,841 Singapor e November 1989 512,582 Thailand November 1989 United States November 1989 Chinese Taipei[4] November 1991 Hong Kong, China[5] November 1991 People's Republic of China November 1991 Mexic o November 1993 Chile November 1994 Per u November 1998 Russian Feder ation November 1998 Viet Nam November 1998 28

Organization for Economic Co-operation and Development (OECD) 29

• The Organisation for Economic Co-operation and Development (OECD) is an intergovernmental economic organisation with 35 member countries, founded in 1961 to stimulate economic progress and world trade.• It is a forum of countries describing themselves as committed to democracy and the market economy, providing a platform to compare policy experiences, seeking answers to common problems, identify good practices and coordinate domestic and international policies of its members.• The OECD's headquarters are at the Château de la Muette in Paris, France. 30

Aim• The OECD defines itself as a forum of countries committed to democracy and the market economy, providing a setting to compare policy experiences, seek answers to common problems, identify good practices, and co-ordinate domestic and international policies. Its mandate covers economic, environmental, and social issues.• The OECD promotes policies designed: – to achieve the highest sustainable economic growth and employment and a rising standard of living in Member countries, while maintaining financial stability, and thus to contribute to the development of the world economy; – to contribute to sound economic expansion in Member as well as non- member countries in the process of economic development; and – to contribute to the expansion of world trade on a multilateral, non- discriminatory basis in accordance with international obligations. 31

World Travel and Tourism Council (WTTC) 32

• The World Travel & Tourism Council (WTTC) is a forum for the travel and tourism industry.• It is made up of members from the global business community and works with governments to raise awareness about the travel and tourism industry.• It is known for being the only forum to represent the private sector in all parts of the industry worldwide. Its activities include research on the economic and social impact of the industry and its organisation of global and regional summits focused on issues and developments relevant to the industry. 33

• The WTTC is headquartered in an office located in London, UK. The staff are led by the President and CEO of WTTC. Seven directors head the different sections of the organisation.• It also has a category for companies that provide services to the industry, referred to as Industry Partnership.• Current and past presidents 1990 - 2001: Geoffrey Lipman 2001 - 2010: Jean-Claude Baumgarten 2010–present: David Scowsill 34

NATIONAL ORGANIZATION • Ministry of Tourism And Culture (MOTAC) • Malaysian association of Hotels (MAH) • Malaysia Budget Hotel Association (MBHA)• Malaysian Association of Tour and Travel Agent (MATTA) • Malaysian Tourist Guide Council (MTGC) • Chef Association of Malaysia (CAM) • National Concierge Association (NCA) 35

MINISTRY OF TOURISM AND CULTURE (MOTAC)• Malaysia tourism now the second largest in the country’s economy.• This makes Malaysia the world’s best travel vacations especially for intensive.• Motac built to attract tourism to come to Malaysia 36

• MOTAC promote interesting tourism products throughout the year for the enjoyment of visitors• Malaysia awarded many assets and attractions, that meet the tastes of each visitors• Malaysia also has a world-class hospitality services 37

MissionTo develop strength the structures, functions and roles of the organization or institution involve in tourismTo develop and improve the product, activities, facilities and tourism servicesTo develop and promote domestic tourism To develop and improve the quality of Human Resources in the nation’s tourism industry Coordinate and implementation of the public relation’s program under the‘ Malaysian Welcome The World’’ campaign 38

VISIMembangunkan Malaysia sebagai destinasi pelancongan bertaraf dunia.OBJEKTIFMeningkatkan sumbangan sektor pelancongan kepada ekonomi negara.Memperkasakan komuniti luar bandar melalui aktiviti pelancongan luar bandar.Memangkin pembangunan 1Malaysia melalui aktiviti pelancongan.FUNGSIMenggubal dasar pelancongan negara bagi mencapai visi, misi dan objektif kementerian.Melaksanakan dasar-dasar berkaitan dengan perkembangan dan pembangunan industripelancongan.Menyelaras, memantau dan menilai keberkesanan program dan projek pelancongan.DASAR KUALITIKementerian Pelancongan komited terhadap penyampaian perkhidmatan industripelancongan yang berkualiti kepada pelanggan berdasarkan MS ISO 9001:2000.Kementerian Pelancongan sentiasa melaksanakan penambahbaikan berterusan terhadapSistem Pengurusan Kualitinya untuk meningkatkan keberkesanan sistem yangdilaksanakan. 39

Malaysian association of Hotels (MAH) 40

Introduction• MALAYSIAN ASSOCIATION OF HOTELS (MAH) is the umbrella body for hotels in Malaysia.• MAH was initially established by a group of concerned and dedicated hoteliers to bring about a more dynamic hospitality industry and was given the approval to operate on 1 March 1974.• It was officially registered with the Registrar of Societies on 18 May 1975 as Malaysian Association of Hotels & Restaurants (MAHAR). 41

• The secretariat was located at 76B Jalan Imbi, Kuala Lumpur and operated with 92 members In 1982, MAHAR amended its constitution and it came to be known as MAH in 1983.• In 1983, the secretariat moved to MATIC (now known as MTC) Jalan Ampang, Kuala Lumpur before moving on to Desa Pandan in 1996.• Its company, MAHTEC Sdn Bhd commenced its fiscal year in 1998 to profile MAH as a human resource development provider and to upgrade the skills and knowledge of staff-in-service in the industry. 42

VISIONTo build a workforce of highly skilled, innovative and disciplined individuals who will operate as one to enhance the efficiency of the hotel industry in its efforts to achieve the goals of Vision 2020 and beyondMISSIONAs an official national network for the hotel industry, the MAH will act as a voice of the industry, working as one body to promote, protect, represent and advance the interests of its members. 43

 To unite hotels in Malaysia into one representative body; To promote and foster cooperation between hotels and all similar businesses within and without the areas of the Association; To protect and advance the interest of all Ordinary Members and Associate Members and secure mutual advantages; To encourage its members to provide quality service, to keep abreast of the changing needs of the travelling public, and to promote good relationships between the industry and the public; To promote international, regional and domestic tourism; To acquire, preserve and disseminate information and to provide educational programmes of value to the membership and to the industry; To stimulate fellowship and friendship among its Members; To plan and organize project that will enhance productivity in the hotel industry; To undertake human resources development programme; To set up establishments for training purposes; To make representation on matters of interest affecting the Association to the local authorities, the State Government and the Federal Government, and other organizations within and without Malaysia; To cooperate with any organization, company, person or persons, if in the opinion of the Association such cooperation is calculated to assist or facilitate the fulfilment of the object of the Association, and to join, cooperate or affiliate with any organization, company, person or persons to secure such cooperation to fulfil the objectives of the Association; To execute any trusts which may seem to the Association conducive to any of its objectives and to collect, receive and hold funds and other properties, voluntary contributions, subscriptions, gifts and legacies for the objects of the Association, or any of them as the donors may direct; To purchase, take on lease on in exchange, hire or otherwise acquire any movable or immovable property and any rights or privileges necessary or convenient for the purposes of the Association, and to construct, alter and maintain any buildings required for the purposes of the Association; To collect and receive subscriptions and contributions, and to borrow or raise any money that may be required for the purpose of the Association on such terms and on such security as may be deemed advisable; To sell, improve, manage, develop, lease, mortgage, dispose of, turn to account or otherwise deal with all or any part of the property of the Association; To invest the monies of the Association not immediately required for the purpose of the Association or upon such investments, securities or property as may be thought fit; To do anything proper, suitable and necessary for achieving these objectives and any others which are proper and lawful objectives of a national trade Association, all of which shall be consistent with the public interest as well as in the interest of the hotel industry. 44

MALAYSIA BUDGET HOTEL ASSOCIATION (MBHA) 45

Introduction• On 01 August 2001, with the strong support and guidance of the then Ministry of Culture, Arts and Tourism (now Ministry of Tourism), Persatuan Hotel Budget Malaysia (MBHA) came into being as the national organ of budget hotels in Malaysia rated two stars and below.• Tuan Haji Zainal Bin Mat Isa was elected the first President and Dato’ Peter Minos as the Vice President. 46

Roles/Function• To represent the common interest off all the budget hotels in Malaysia and specifically the members of the Association.• Foster goodwill and cooperation among budget hotels in Malaysia.• To promote good relations between the Association and the Government and the public in general.• To make representation to the relevant Government Agencies, authorities and parties on behalf of the members.• To cooperate with other organizations, parties or individuals, if such cooperation is deemed to further assist in the attainment of the objectives of the Association.

• To promote good business ethics and standards among members.• To foster a culture of interactive sharing of information among members for the long term benefits of the members.• To promote excellent services and skills among employees of the members for the long term benefits of the members.• To deal, directly and indirectly with matters pertaining to the administration of the Association such as the purchase or disposal of asset, prior of approval of the registrar of Societies and the relevant authorities and other acts requiring the attention of the Association.

MALAYSIAN ASSOCIATION OF TOUR AND TRAVEL AGENT (MATTA) 49

Introduction Thirty three years ago, in 1975, a group of travel and tour agents initiated an association to represent their interests. That association, aptly named Malaysian Association of Tour and Travel Agents or MATTA for short, started with 30 members. The founder of MATTA was the late Mr Loh Yit Lock who was also the 1st President. 50