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INTRODUCTION TO TRAVEL

AND TOURISM MANAGEMENT


OBJECTIVES:
Discuss the overview of travel industry

Define travel terminologies

Explain the role of the various subsectors that


comprise the tourism industry

Identify the specific entities and explain their specific


function in the tourism industry
WHAT IS TRAVEL?
What is Travel?
• Travel is going from one place to another – and doing
things when arriving there – for reasons not
associated with everyday life.
BROAD CATEGORIES OF TRAVEL
• Leisure Travel
– Travel for the purpose of enjoyment.
BROAD CATEGORIES OF TRAVEL
• Business Travel
– Also called Corporate Travel
– Travel beyond one’s general home area for
reasons related to work.
The Philippine Tourism
Industry
The tourism industry is a composite
of industries and entities, both public
and private, involved in planning,
development, marketing, sales,
operation and evaluation of
destinations, products and services
that cater to the needs of the
travelers, both foreign and domestic.
DUTIES & RESPONSIBILITIES PRIVATE SECTOR GOVT./PUBLIC SECTOR

Planning & development of destinations 

Planning development of specific tour 


product
Marketing of various destinations 

Marketing & sale of specific products and 


services
The operation of tour products 

Delivery of tourism services  

Undertake evaluation of tourism results  


vis-à-vis predetermined, specific objective
THE GOVERNMENT SECTOR THE PRIVATE SECTOR
Department of Tourism Transportation Companies
Phil. Tourism Boards (former) Philippine
Convention & Visitors Corp. Hostelry Industry

Phil. Tourism Authority Entertainment Industry


National Parks Development Committee The Travel Trade

Intramuros Administration Other Private Sectors


Nayong Pilipino
Phil. Retirement Authority
Phil. Commission on Sports Scuba Diving

Duty Free Phils. Corp.

Local Government Units


Other National Govt. Units
Financial Institutions
Education and Training Institutions
THE GOVERNMENT SECTOR

Is responsible for the formulation of


tourism policies.

It provides guidelines for the


development of destinations, and
regulates the industry in collaboration
with other government agencies.
DEPARTMENT OF TOURISM
DOT was established by virtue
of PD No. 189 in 1973.

 Was recognized into its present set


up by EO No. 120 in accordance with
Article III of the Freedom
Constitution of 1986
DEPARTMENT OF TOURISM
 Is the national government’s
organization overseeing the
country’s tourism industry

 It is headed by secretary with


cabinet rank
DEPARTMENT OF TOURISM
 The latest improvements in the tourism
industry in the country came about with the
passage of Republic Act No. 9593 or the
"Tourism Act of 2009." The law provides a new
structure for the administration of tourism in
the country through the reorganization of the
Department and its attached agencies, the
establishment of a Tourism Development Fund,
and the creation of specialized tourism zones
throughout the country.
WHO IS THE PRESENT DOT SECRETARY?

Bernadette Romulo-
Puyat
WHO COINED THE SLOGAN,

RAMON JIMENEZ JR
Primary obligations of DOT:

1. To assist in coordinating the plans and actions of


the various government instrumentalities in tourism
matters;
2. To discharge the government’s responsibilities
arising from treaties, agreements and other
commitments on tourism and travel;
3. To provide such other public sector services to
the tourism industry as well as the formulation of
standards and the compilation of statistics in
tourism matters.
What is the structure of DOT?
The DOT shall consist of the Department Proper
(Offices of the Secretary, Undersecretaries and
Assistant Secretaries), Department Offices,
Services and Unit, and the Regional and Foreign
Offices.

The Department Offices are:


Office of Product Development

Functions include the conceptualization and


development of new products which will
enhance tourism sites and facilities, and
encouraging joint undertakings with the private
sector for the development of new tourism-
related products and programs.
Office of Tourism Development
Planning, Research and Information
Management
• Tasked with the preparation, formulation
monitoring and evaluation of policies, plans and
programs of the DOT, including the National
Tourism Development Plan.

• It is also tasked with sourcing of grants or loans


from local and foreign funding institutions to
implement tourism policies, plans and projects,
as well as pursuing DOT’s interests in multilateral,
international, and regional tourism cooperation,
agreements and treaties.
Office of Industry Manpower
Development
It is tasked, among others, of conducting
seminars on Philippine history, culture,
environment and related subjects, in
coordination with appropriate government
agencies and the private sector, as well
as encouraging the development of training
courses and apprenticeship programs for tourist
guides and other similar workers jointly with
concerned tourism enterprises, appropriate
government agencies and the private sector
Office of Tourism Standards and
Regulations
• Tasked with formulating and enforcing
internationally competitive standards of
facilities and services.
Office of Tourism Coordination
Tasked to increase linkages between various
government offices and the private sector and
among the various entities in the private sector
itself to properly implement tourism policy,
including the function of supporting the private
sector in all tourism activities requiring
governmental coordination.
Office of Tourism Resource Generation

This office is tasked with the collection of


necessary fees and charges which shall be used
by the DOT in the promotion and marketing
efforts of the Tourism Promotions Board (TPB )
and the development of infrastructure facilities,
utilities and services of the Tourism
Infrastructure and Enterprise Zone Authority
(TIEZA). The proceeds of such collection shall
accrue directly and automatically to the DOT.
What is the Tourism Development
Fund?
• This is a special fund created under this law, to be
disbursed and administered by the DOT.

• It shall be used for the development, promotion


and marketing of tourism and other projects of
the DOT that will boost tourism in the country.

• The Fund shall be sourced from the fees and


charges which will be collected by the DOT. A
special account shall be established for this Fund
in the National Treasury.
DEPARTMENT OF
TOURISM AND ITS
ATTACHED
AGENCIES
1. Tourism Infrastructure and Enterprise
Zone Authority (TIEZA)
(formerly Philippine Tourism Authority (PTA)

 The Tourism Infrastructure & Enterprise Zone Authority (TIEZA)


was created by virtue of Republic Act No. 9593 dated May 12,
2009, otherwise known as Tourism Act of 2009, replacing the
Philippine Tourism Authority.

 The TIEZA shall be attached to the Department of Tourism under


the supervision of the Secretary alongside with the Tourism
Promotions Board (formerly PCVC), Duty-Free Phils. Corp.,
Intramuros Administration, Nayong Pilipino Foundation, National
Parks Development Committee, Phil. Commission on Sports Scuba
Diving and the Phil. Retirement Authority.
1. Tourism Infrastructure and Enterprise
Zone Authority (TIEZA)
MANDATE:

• to designate, regulate and supervise the Tourism Enterprise Zones (TEZs),


particularly of cultural, economic and environmental sustainable
developments of TEZs to encourage investments.
• to develop, manage and supervise tourism infrastructure projects in the
country.
• ensure strict compliance of the TEZ operator/administrator with the
approved development plan.
• TIEZA has also the power to impose penalties for failure or refusal of the
tourism enterprises to comply with said plan.
• To be headed by a Chief Operating Officer (COO), the TIEZA, as a
government infrastructure corporation under the provisions of E.O. # 292
(Administrative Act of 1987), shall continue to exercise previous functions by
the PTA under P.D. 564, unless otherwise inconsistent with the other
provisions of this Act.
1. Tourism Infrastructure and Enterprise
Zone Authority (TIEZA)

TIEZA , Chief Operating Officer


(COO)
2. Duty Free Philippines Corporation (DFPC)
A body corporate mandated to operate the
duty and tax free merchandising system in
the country.
3. TOURISM PROMOTIONS BOARD (TPB)
(formerly Philippine Convention and
Visitors Corporation)

• The Tourism Promotions Board is an attached agency of


the Department of Tourism (DOT)
which is primarily responsible for implementing an
integrated domestic and international promotions and
marketing program for the Philippines as a tourism
destination as well as for tourism investments

• Sections 25 and 45 of Republic Act 9593 provides that the


Philippine Convention and Visitors Corporation is
reorganized and renamed as the Tourism Promotions
Board (TPB) which shall be a body corporate under the
supervision of the Secretary and attached to the
Department of Tourism.
4. Intramuros Administration
(IA)
 is an attached agency of the Department of
Tourism that was created in pursuant to the
Presidential Decree 1616 signed by President
Marcos on April 10, 1979, amended by PD 1748 on
December 10, 1980.

• Its main functions are to restore Intramuros and promote it as a tourist


destination.

• The Board composes of a chairman who is the Secretary of Tourism and


the members include top officials from several government offices that
concern the environmental, political, infrastructure, and tourism
concerns of Intramuros like the Department of Justice, Department of
Public Works and Highways, the National Historical Institute and the
Philippine Convention and Visitors Corporation.
Areas of Responsibility

Rizal Park Paco Park Mabini Shrine in Tanauan Batangas

Pook ni Maria Makiling Park


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• Nayong Pilipino (or: Philippine Villlage) is a 45-acre theme park
featuring a miniature version of the Philipppines and its culture.

• This park is essentially a representation in a miniature-version of


the diverse Philippines and its culture, all in one place. This
recreational/leisure/history-learning facility is divided into
numerous geographically-sectionalized display areas. Here you’ll
find representations of regions such as Cordillera Central, Ilocos,
Tagalog, Bicol, Visayas, and Mindanao and so forth.

• Each region represented contains a typical residential building,


landmark-structure and/or representation of Pilipino geography
including characteristic landscape indicative of the specific regions.
For example, the Cebu Region has the famous Bohol’s Chocolate
Hills while one of the examples for the Visayas Region is a replica of
the historic Magellan’s Cross.
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• The Philippine Retirement Authority (PRA) is a government owned
and controlled corporation created by virtue of Executive Order No.
1037, signed by former President Ferdinand E. Marcos on 04 July
1985. On 31 August 2001, through Executive Order No. 26, the
control and supervision of PRA was transferred to the Board of
Investments (BOI) - Department of Trade and Industry from the
Office of the President.

• PRA is mandated to attract foreign nationals and former


Filipino citizens to invest, reside and retire in the
Philippines with the end-view of accelerating the socio-
economic development of the country, contributing to
the foreign currency reserve of the economy and by
providing them the best quality of life in the most
attractive package.
8. Philippine Commission on
Sports Scuba Diving (PCSSD)
• 1. Promulgate programs and projects geared to the
development of the country as a premier diving area in Asia.
• 2. Formulate rules, regulations, safety standards and
operating procedures to implement the development of
Sports SCUBA Diving.
• 3. The Commission shall undertake studies, researches and
surveys for possible incentives to the private sector who may
wish to undertake projects and programs beneficial to the
development of SCUBA Diving Tourism within the framework
of related Presidential Decrees.
• 4. The Commission is expressly directed to formulate and
implement programs on marine conservation, particularly
those areas of high touristic value.
TOURISM PROJECTS
 Visit Islands Philippines 1994
 Miss Universe Beauty Pageant 1994
 Florikultura '98 - international horticulture exhibition
 Expo Pilipino 1998 - Philippine Centennial International
Exposition
 1998 Philippine Centennial Celebrations
 World Exposition 2002 Manila (cancelled due to financial
problems of the government)
 Visit Philippines 2003
 WOW (World Of Wonders) Philippines
 "Pilipinas Kay Ganda" slogan and campaign 2010
 It's More Fun in the Philippines!
 Visit the Philippines Year 2015
 Visit the Philippines Again 2016
 Miss Universe 2016
TOURISM SLOGANS
 Fiesta Islands Philippines
 WOW Philippines (2002)
 Pilipinas Kay Ganda (2010)
 It's More Fun in the Philippines!
 Experience the Philippines (2017)
LOCAL GOVERNMENT UNITS
Municipality Province City
1. Establishment of
Tourism facilities

2. Development of tourist
attractions Tourism development and All municipality and
promotion programs province powers
3. Acquisitions of tourism
equipment and facilities

4. Regulation of tourism
business concessions and
security services
OTHER NATIONAL GOVERNMENT UNITS

• There are other government offices that indirectly


participate in the tourism industry in the course of day-
to-day activities.
1. DOTC – Dept. of Transportation and
Communication
• Which is responsible for the regulation and supervision
of the transportation, and communication industries
2. CAB – Civil Aeronautics Board

• Which regulates economic aspect of air transportation


3. ATO – Air Transportation Office

• Which establishes the minimum safety standards for air


carriers

4. MARINA – Maritime Industry Authority


• Which is the policy making agency in maritime safety
5. PPA – Phil. Ports Authority

• Which integrates and coordinates port planning,


development, control and operations

6. LTFRB – Land Transportation Franchise and


Regulatory Board
• Which issues, suspends and cancels certificate of public
convenience of public land transportation services
provided by motorized vehicles
7. DPWH – Dept. of Public Works and Highways

• Which oversees of the country’s infrastructure,


including roads and bridges

8. DFA – Dept. of Foreign Affairs


• Which develops and maintains friendly relations with
other countries
9. DOJ – Dept. of Justice together with BOI –
Bureau of Immigration
• regulates the entry and exit of foreign nationals

10. DOF – Dept. of Finance


• Which is responsible for revenue collections through
the Bureau of Internal Revenue (BIR) and Bureau of
Customs (BC)
11. DENR – Dept. of Environment and Natural
Resource
• Which oversees the protection of the natural
environment
12. DILG – Dept. of Interior and Local Govt.
• Which supervises both the Local Govt. Units (LGU)

13. PNP – Phil. National Police


• Which is responsible for peace and order
THE PRIVATE SECTOR

1. The Transportation Industry (air, sea, land)

• Air transportation involves companies providing scheduled


services E.g Phil. Airlines, Cebu Pacific, SEA Air, Air Phils.
• Sea sector includes all water transportation operators
• Sea travel is categorized into shipping and cruising
• Land sector are all land transportation entities (rail and
road)
• Train terminals, bus depot, gasoline stations, highways,
railroads, roads, bridges, and the maintenance of these are
essential to this sub-sector
THE PRIVATE SECTOR

2. The Hospitality Industry or hostelry industry


(hotels, resorts, inns, motels, lodging/pension
houses, apartment-hotels)
THE PRIVATE SECTOR
3. Food and Beverage (restaurants, disco, travel food service and
institutional food service)
Form of service refers to the way food and beverage is presented to
the guests.

• Table service – a host or hostess seats the guests. The servers at


the table take orders, and food and beverage are brought to the
table. The servers clear soiled dishes.

• Buffet service – generally with catered events. The guest must


go to the buffet table for food.

• Banquet table service – it is similar to table service. However


the food is transported from the central kitchen in heated
carriers or transported in bulk to a serving kitchen near the
dining area for plating.
THE PRIVATE SECTOR
3. Food and Beverage (restaurants, disco, travel food service
and institutional food service)
• Cafeteria service – it is similar to the buffet. The difference
between the two is that the food is dished out in the
cafeteria, while the buffet is self- service. They also have
permanent serving counters. Food courts are considered
cafeteria service.
• Family-style service – it involves bringing various food
items in sufficient food quantities for table of six-twelve or
more persons
• Room service – associated with hotels, it involves ordering
food from a menu in the room and having it brought to the
room for consumption. In hospitals food is served during
scheduled times.
THE PRIVATE SECTOR
3. Food and Beverage (restaurants, disco, travel food
service and institutional food service)
• Quick counter service – the customer stand at a
counter, orders, pays and wait for the order like in
Jollibee and Mcdonalds.

• Traditional counter service – the customer sit on a


stool at the counter and is served by a counter person,
normally a short-order cook.

• Take-out-service – the "to-go style” wherein customers


order and take the food home.
THE PRIVATE SECTOR
3. Food and Beverage (restaurants, disco, travel food service
and institutional food service)

• Delivery service – prepared food is delivered to the


customers’ home. It is also characterized by “meals-on-
wheels” as well as the urban restaurant that delivers to the
neighborhood. Customers may place an order with a
delivery service, which in turn places the order with the
restaurant, pick –up the order and delivers it to the
customer.

• Car hop service – customers drive into a restaurant parking


lot but remain in their cars. Orders are called into an
intercon or taken directly by the carhop who goes to the
car’s window, then returns with the food, presents the
check and collects payments
THE PRIVATE SECTOR
3. Food and Beverage (restaurants, disco, travel food service
and institutional food service)

• Delivery service – prepared food is delivered to the


customers’ home. It is also characterized by “meals-on-
wheels” as well as the urdan restaurant that delivers to the
neighbourhood. Customers may place an order with a
delivery service, which in turn places the order with the
restaurant, pick –up the order and delivers it to the
customer.

• Car hop service – customers drive into a restaurant parking


lot but remainin their cars. Orders are called into an
intercon or taken directly by the carhop who goes to the
car’s window, then returns with the food, presents the
check and collects payments
THE PRIVATE SECTOR
3. Food and Beverage (restaurants, disco, travel food
service and institutional food service)

• Drive in service – contemporary counterpart of the


carhop. Customer’s place an order through a
microphone then drive forward to a window, pay, and
receive their order. System uses two windows, one for
payment and one for receiving food items.
THE PRIVATE SECTOR
4. The Attraction Industry and Activities Industry or entertainment
industry (museums, theaters, theme parks, adventure clubs, dive shops)

 Attraction Industry
• a. Natural attractions
• b. Manmade attractions

 Activities Industry
• a. Shopping – activities involve the retail sector of quality gift and
souvenir shops
• b. Leisure – special time free from work or duties and gives an
opportunities for recreation and entertainment
• c. Recreation – revitalization and relaxation. It aims to relieve stress.
• d. Entertainment – is amusement and diversion and aims to relieve
stress
THE PRIVATE SECTOR
4. The Attraction Industry and Activities Industry or
entertainment industry (museums, theaters, theme parks,
adventure clubs, dive shops)

A variety of facilities offer people a means of amusement and


diversion namely:
• Amusement parks
• Theme parks
• Resorts
• Casinos
• Cruise
• Dinner theaters
• Spas
• Fitness clubs and centers
THE PRIVATE SECTOR
5. The Travel Trade
• Travel agency
• Tour operators
THE PRIVATE SECTOR
6. Other Private Sector Entities
- entities include the members of the media, be it
on print, broadcast, audiovisual or electronic. The media
plays an important role in the tourism industry as they
perform the task of “image making”, in addition to the
marketing aspects of media.

 Publishing companies
• Producers of electronic and printed news and
advertising
• Data must kept up to date for intelligent counseling and
management.
THE PRIVATE SECTOR
6. Other Private Sector Entities

 ITC service providers


• Produce electronic or printed form, reference manuals,
tariffs, guide books, atlases, time tables and operational
handbooks, without these, no travel organization can
function.

 GDS and CRS are part of this category


• Marketing and public relations organizations
• Assistance in planning a publicity and sales campaign,
selecting media, providing market research, discovering
new markets and in the overall conduct of sales and
marketing programs.
THE PRIVATE SECTOR
6. Other Private Sector Entities

 Event organizers
• For meetings, incentives, conventions and exhibitions
involved with tasks as negotiating hotel contracts,
negotiating with airlines, writing contracts, planning
meetings, seminars, incentives, budgeting, promotions,
public relations, planning special events and post meeting
hours.

 Miscellaneous services
• Provide essential services for tourism, insurance, hospital
and medical services, police, sanitary trash collection and
disposal services, laundry, construction, communications
and drug stores
KEY PLAYERS IN THE TRAVEL INDUSTRY

1. Consumers. The one who consumes or use the


product. Different sectors refer to consumers in a
different way. Hotels, cruise lines and theme parks
calls them guests. Travel agents refer to them as
client. Transportation companies labels them as
passenger. DMOs call them as visitor.

2. Suppliers. Suppliers are companies that create, own


and provide the travel products being sold.

3. Intermediaries. These are companies that act as go-


betweens, linking suppliers with the traveling public.

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