With Shatec cutting back operations, what's next for the hospitality sector?

Robots can't solve the industry's woes. A new kind of education institute might.

- Shane Pereira and Julien Cayla

In 2017, Hotel Jen introduced Jeno and Jena — two robots designed to handle in-room dining orders — at their two properties in Singapore. They can ride elevators and greet guests upon arrival. Other Singaporean hotels, such as M Social and Marina Bay Sands, have also turned to automation.

This is in response to a major problem: an acute recruitment and retention problem in the hospitality industry.

No doubt automation can ease some of the labour pressures. But an overreliance on technology presents significant risks and can be a shortsighted approach.

Take the case of Japan's Henn na Hotel, once celebrated as the world's first robot-staffed hotel. Initially praised for its innovation, the hotel quickly faced problems — malfunctioning robots and poor guest experiences — ultimately forced management to dismiss most of its robotic staff.

Besides, if we increasingly rely on automation to meet service demands, what happens to the ethos of hospitality — the human warmth, attention to detail, and culture of care that no machine can replicate?

Automation aside, the struggle to find talented staff is about to get worse in Singapore.

It was recently announced that renowned hotel management school Shatec had retrenched 42 staff members. The institution had embarked on a "business containment exercise" resulting in a "scaling down of operations".

Over the past 40 years, the institution has trained more than 40,000 graduates, supplying hotels, restaurants and even event venues across the region with skilled service professionals. In fact, back in the 1990s, a Shatec diploma was considered a golden ticket to a career in hospitality and service.