FACTORS AFFECTING PERFORMANCE OF HOTELS AND RESTAURANTS IN KENYA: A CASE OF KISII COUNTY

Abstract

The future direction of organizations is determined by management practices and how people working in that organization interact and collaborates with each other, with customers and other stakeholders. Many former large and successful hotels in Kisii County are drastically declining in performance and even closing down at alarming rates. The study aimed at investigating factors responsible for these trend in performance and management practices that can enhance sustainable performances of hotels and restaurants in Kisii County. The nature of services offered, human resource management practices and managers‟ planning skills in hotels and restaurants were examined to determine their influence on the performance of the hotels. The target population was all employees, customers and managers of large hotels and restaurants in Kisii County. A sample of five hotels with over twenty rooms and workers was selected using the stratified random sampling technique using such characteristics as location, years of existence and general performance. A sample of over hundred respondents including managers, employees and customers were given questionnaires and others interviewed to gather the required data for analysis. Assessment of strategic plans, employee skills and knowledge and customer satisfaction levels revealed gaps in strategic management of these organizations. Organizations need to design best management practices for high sustainable performance of their organizations, the county and the country.