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Academic ResearchNovember 26, 2024Businesses (MDPI)

A Change Management View on Technology Adoption in Hotel Organizations

Hotels consistently underperform on technology ROI not because they buy the wrong tools but because they underinvest in the organizational change required to use them well. This paper finds that staff 'digital readiness' — how prepared, involved, and confident employees feel about new technology — is a stronger predictor of AI deployment success than the technology's own capabilities. The practical prescription: budget for change management at roughly 20–30% of the technology spend, involve frontline staff in selection and piloting before launch, and communicate the 'why' explicitly and repeatedly. Teams that feel informed and equipped adopt faster and perform better than teams that are simply trained.

Authors

F. A. R. Somera, K. Petrova

Article content

Hotels are investing in AI and digital technology at an accelerating pace, but the returns on those investments are uneven — and the gap between what technology promises and what organizations actually achieve is a familiar frustration for owners and operators. This paper argues that the explanation for that gap lies less in the technology itself and more in how organizations manage the human side of technology adoption. In other words: this is primarily a change management problem, not a technology problem.

The paper reviews technology adoption in hotel organizations through a change management lens — drawing on organizational behavior theory, digital transformation research, and hospitality-specific case evidence to build a practical framework for leaders navigating AI implementation.

The central finding, supported by consistent evidence across multiple studies: the success of AI adoption in hotels correlates much more strongly with leadership commitment and staff "digital readiness" than with the sophistication of the technology being deployed. A hotel with engaged leadership, well-prepared staff, and a clear organizational narrative about why technology is being adopted will outperform a hotel with superior technology but poorly managed implementation — not by a small margin, but by a substantial one.

What does "digital readiness" mean in practice? The paper breaks it into several measurable components. Technical fluency is the most obvious: can staff actually use the tools? But this turns out to be the easiest problem to solve. More important — and harder to change — are attitudinal factors: do staff trust that technology will make their jobs better rather than eliminate them? Do they feel involved in implementation decisions or subjected to them? Do they have accessible support when they encounter problems with new systems?

For general managers and department heads, the paper provides a practical implementation checklist informed by the research. Before any technology deployment: define success criteria that go beyond efficiency metrics to include staff experience and guest satisfaction. Involve frontline staff in selection and piloting phases — their practical knowledge of how work actually gets done is valuable, and their buy-in is critical for adoption speed. Communicate the "why" explicitly and repeatedly — not just at launch but throughout the first six months when adoption challenges typically surface.

During deployment: create low-stakes practice opportunities before technology goes live in guest-facing contexts. Identify and empower internal champions who can support peers informally. Build explicit feedback channels so problems are surfaced quickly and responded to visibly.

After launch: measure adoption as actively as you measure outcomes — a tool that's technically deployed but rarely used by staff isn't delivering value. Close the feedback loop publicly by communicating changes made in response to staff input.

For owners and boards, the paper's framing has budget implications. Organizations that invest in change management alongside technology — typically 20–30% of the technology budget allocated to training, communication, and organizational support — achieve adoption rates and performance outcomes that justify the total investment. Organizations that treat change management as optional consistently underperform on technology ROI. The practical recommendation: budget for change management from the start, not as a remediation cost after adoption problems emerge.

Tags

Guest ExperienceReviews & SentimentEthics

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