Creating Synergies
Travel Conventions In The Spotlight
While coming together could be a mantra for India's
travel trade associations to face an uncertain future, it remains to be seen
whether common issues will bind them together. Bhisham Mansukhani and
Jyoti Koul probe ahead
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The impact of a joint working group could be
unprecedented in the long-term. It could formalise and effectively channel
our concerted efforts
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Zakkir Ahmed
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The next two months seem abuzz with activity what with conventions
of four trade associations being lined up - TAFI in Singapore, IATO in Kochi,
ICPB in New Delhi and finally, TAAI in Colombo. Networking will be on top of
the agenda and business cards will be exchanged over many a glasses of spirits.
Inter-regional and inter-state communication and networking will be at its busiest
since all conventions are taking place in different parts of the continent.
But what is of more significance is the opportunity to synergise and co-ordinate
their resources that these conventions offer the industry, especially in light
of all the talks about a joint committee.
Unity is the surest currency of the intellectual, reads an anonymous Oriental
dictum. And that is one area where travel agents have come up short, losing
ground to adversaries namely airlines, hotels and, not in the least, the government.
However, there have been instances when the agencies have joined hands. For
instance, when TAAI and TAFI called a joint meeting in August last year to announce
a boycott of Lufthansa German Airlines for its decision to cut commissions by
two per cent, their solidarity over the next few weeks compelled the airline
to rescind the cut.
Again in March this year, a concerted push by Air- India saw TAAI president
Balbir Mayal and VP Ashwini Kakkar, TAFI president Zakir Ahmed, ETAA president
Karl Dantas and IAAI president Biji Eappen not only address the media from a
single dais but also formalise a joint co-ordination committee to initiate dialogue
with the national carrier. Irrespective of the aftermath of the airline-agent
stand-off due to the former's push for a commission cut, the crisis nevertheless
formed a committee even though it is in status quo.
Co-ordination Is Key
While any convergence may sound like a temporary burst of earnestness, the heads
of these associations are now speaking with more substance. And despite the
fact that the trade is dogged by issues that have divided it into associations
in the first place, the four presidents feel there are certain issues that fuse
them together.
On the eve of perhaps his association's most symbolic convention, TAFI president
Zakkir Ahmed has picked the theme, 'Keeping Pace With Challenging Times' and
believes that the idea of joint co-ordination is precisely a step towards making
the theme a reality.
"The impact of a joint working group could be unprecedented in the long
term. In our forthcoming convention to be held in Singapore, we will talk about
keeping pace with the challenging times. We all know that the tourism industry
in India is changing fast and a synergy of this proportion is critical towards
dealing with the uncertain dynamics to come. Even though TAFI is working closely
with TAAI and at several occasions has supported IATO as well, a joint working
group can formalise and effectively channel our concerted efforts," Ahmed
says.
But only a unanimous affirmation can make statements like these a possibility.
G S Dhar, former joint director-general, tourism, underlining the importance
of synergies in the tourism industry, says, "Tourism is an activity where
all components have to work in sync with each other to deliver the product."
Mayal declares, "I believe that it is time that all existing trade associations
constitute a joint committee for the betterment of tourism." Although he
wasn't himself present at the historic March press conference, his association
was in fact part of the united block. IATO president, Subhash Goyal repeats
his stance of four months ago, saying, "I have always advocated the fact
that there should be a joint co-ordination committee and IATO has often invited
other industry associations to represent the cause of tourism. So if there is
any move to form such a committee, we will be the first to participate."
Caution Is Necessary
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The only way the joint
committee can make something out of this is by identifying the common
ground that the committee would cover so that invariably, the differences
can come to light and not conflict with the objectives of the joint committee
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Tej Sahni
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However, after all that has been said, it makes one wonder
why the four association heads haven't instituted the idea yet.
While the question of formal institution of the joint committee remains in the
realm of speculation, its fate is underpinned by the reasons that brought them
together. Was the need to form the committee a knee-jerk initiative? Will it
dissipate and be called for strictly on a need-to basis? Could it have happened
if it weren't for Air-India's salvo on the commission rate?
Mayal offers a perspective by recounting how a similar initiative
was suggested by none other than P R S Oberoi, chairman of EIH Hotels, in 2003
when many associations remained apprehensive and stayed non-committal. "At
that point, we explained to the associations that such a committee would in
no way dilute the identity of individual associations and therefore there was
no need to feel threatened. But nothing happened," he says.
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We need to clearly understand that once the committee is formed, it will
only take up the common, national, policy and political level issues.
All other issues will remain firmly in the ambit of the
respective associations
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Balbir Mayal
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Then there are those who have deliberately subdued it. One
travel agent who is both a TAAI and TAFI member asserts, "The only thing
holding back the formation of the overdue joint committee is the clash of individual
interests. Now, while that lies in the private realm, these people have a greater
responsibility to their members and their interests lie in standing together
to wear the opposition down. We have our differences but when our common interest
is at stake, we need to speak with one voice and that voice needs to be formalised.
It cannot be raised just during a crisis. It must have all associations as signatories."
Another, anonymous observer who is more skeptical, says, "We have come
together during crises and we will do so again when the situation demands it.
But I do not think that a joint committee will work. If there is one joint coordination
committee, then other associations become dispensable. There can either be a
committee or separate associations."
While the differences between IATA and non-IATA agents will
not disappear overnight, issues can be dealt with only if there is consistent
communication. "Here, ETAA could extend its role to creating a non-IATA
community that IATA agents can work with and all defaulters could be identified
and stamped out of the system," Karl Dantas, president, Enterprising Travel
Agents Association (ETAA) suggests.
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IATO has often invited other industry associations
to represent the cause of tourism. So if there is any move to form such
a committee, we will be the first to participate
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Subhash Goyal
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More solutions are offered. Goyal says, "I think the
solution lies in having a tourism board governed by the cabinet secretary or
the Prime Minister of the country since tourism is dependent upon many other
ministries."
Mayal adds, "We need to clearly understand that once the committee is formed,
it will only take up the common, national, policy and political level issues.
All other issues will remain firmly in the ambit of the respective associations."
If there was a last word to be had, one of trade's most illuminous and objective
doyens should have it. Former TAAI president Tej Sahni comments, "The associations,
when they converged in March, had nothing other than fighting the airlines in
mind. The only way they can make something out of this is by identifying the
common ground that the committee would cover so that invariably, the differences
can come to light and not conflict with the objectives of the joint committee."
Some industry observers however differ, saying that a potential coming together
of IATA and non-IATA agents through a medium like the joint coordination committee
could bring closure to a lot of these very conflicts.
Seize The Opportunity
The push for a joint committee could be commendable. It could be the wind of
change. What it certainly is not, however, is a luxury that the trade can do
without. It is an imperative. For instance, when most hotels in India's gateway
cities arbitrarily increased their tariffs wrecking havoc with all the printed
itineraries that tour operators had promoted to their inbound clients, the travel
trade failed to prevail on the hospitality industry.
On the other hand, again, if one examines the urgency for transition towards
a handling fee regime, TAAI and TAFI are better off putting their heads together
on the matter. And if 'seeing is believing' is to count for anything, an extempore
formalisation of the committee had already taken place when a statement was
drafted on the letterhead bearing TAAI, TAFI, IAAI and ETAA insignia.
So, while these associations will still battle for their members' interests,
at times even against each other, those very interests could see them combine
forces against an adversary who is still neither accustomed to nor convinced
of their unity.
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