E-Journal of Tourism Vol.10. No.1. (2023): 46-59

Recovery and Survival Strategies of The Impact of Covid-19 at Hotel Losari Villas-Legian and Hotel Losari Sunset Road Bali

Ida Ayu Putri Widawati, Titien Damayanti*, Ni Ketut Mareni, I Wayan Tuwi

Bali Tourism Polytechnic

*Corresponding Author: [email protected]

DOI: https://doi.org/10.24922/eot.v10i1.98247

Article Info

Submitted:

February 14th 2023

Accepted:

March 11th 2023

Published:

March 30th 2023


Abstract

The Covid-19 Pandemic outbreak has caused the economic sector to decline drastically and especially Bali tourism on all fronts, because the tourism sector is the mainstay of the Balinese economy. This impact was also experienced by the hotel industry with a decrease in THK. This research aims to explore how the impact of Covid-19 has had on THK, ADR and Revpar Hotel Losari Villas-Legian and Hotel Losari Sunset Road Bali, and how strategies for survival and recovery strategies have been implemented to survive. This hotel has a different target market, Hotel Losari Villas Legian with the target market for foreign tourists, and Hotel Losari Second Sunset Road with the target market for wisdom. This exploratory qualitative research approach was carried out for the period August - October 2021 through observation, interviews, literature study. Qualitative and quantitative data are processed by means of Data Collection; Data Reduction; Display Data; Figure Conclusion and Verification, obtained from cost controller, sales and marketing manager, human resource manager, revenue manager, general manager, and hotel owner. Contingency Plan theory includes Incident Response Disaster, Disaster Recovery Plan, Business Continuity Plan, and RTO, RPO, MTD, and WRT Route Maps to analyze how the stages of dealing with a hazard situation, and the ability to overcome a disaster or crisis that occurs. The results of this study indicate that THK, ADR, RevPar have decreased which resulted in decreased hotel revenue. Also, carry out a survival strategy to maintain the resilience of the hotel business by carrying out strategies in marketing, HR, operations, finance, IT and research and development; Recovery Strategy by developing a Strategic Recovery Plan Model with six stages of a strategic recovery plan. The implementation of the survival strategy and recovery strategy provides benefits for hotel management to continue to run hotel operations.

Keywords: room occupancy rate; average daily rate; revpar;

hotel revenue; hotel business resilience.

INTRODUCTION

Background

The island of Bali is one of the world's tourist destinations that is able to attract foreign tourists and wisdom and is the largest contributor to foreign exchange in Indonesia. The development of Bali Tourism is increasingly advanced, it is hoped that it will be sustainable because of the support from all potential aspects that are optimized. The culture and uniqueness of Balinese customs with various natural beauties that are owned have the potential to be managed in various packages so that

Bali Tourism is increasingly in demand. The visits of foreign tourists and tourists to Bali are increasing from year to year. Tourists who visit are not only for vacation which causes the development of tourist visits to Bali to increase, but the frequent holding of international events (MICE) in Bali is also one of the factors causing the increase in these visits.

The number of visits by foreign tourists and foreign tourists in 2015 – 2019 has increased, proving that Bali Island remains a tourist destination, can be seen in Table 1 below.

Table 1. Number of Foreign and Domestic Tourist Visits to Bali 2015-2019 year

Year

Total

Growth (%)

Total

Growth (%)

2015

4.001.855

6,24

7.147.100

11,74

2016

4.927.937

23,14

8.643.680

20,94

2017

5.697.739

15,62

8.735.633

1,06

2018

6.070.473

6,54

9.757.991

11,70

2019

6.275.210

3,37

10.545.039

8,07

Total

26.973.214

54,91

44.829.443

53,53

Source: Central Bureau of Statistics and Bali Provincial Tourism Office, November 2020

However, the Covid-19 outbreak affected the level of visits by foreign tourists and tourists in 2020, which has decreased drastically and continuously compared to the last 5 years. The decline in the number of tourists affected the agricultural and plantation sectors, companies providing souvenirs, restaurants and hotel accommodation. Foreign and domestic guests staying at the hotel have also experienced a decrease in impact on low room occupancy rates, which can be seen in Table 2 below.

Table 2. Number of Foreign and Domestic Tourist Visits to Bali (January – December 2020)

Tourism

Total

Growth (%)

Description

Foreign Countries

1.050.138

-69,6

Update

Domestic

4.596.157

- 56,41

Update

Total

5.646.295

-126, 01

Update

Source: Central Bureau of Statistics & Bali Province Disparda, November 2020

However, the Covid-19 outbreak affected the level of visits by foreign tourists and tourists in 2020, which has decreased drastically and continuously compared to the last 5 years (appendix 2). The decline in the number of tourists affected the agricultural and plantation sectors, companies providing souvenirs, restaurants and hotel accommodation. Foreign and domestic guests staying at the hotel have also experienced a decrease impacting on the low room occupancy rate. Some of the cases that occurred during the Covid-19 period from 2020 to March 21 2021 were as many as 1,460,000 people, 1,290,000 people recovered and 39,550 people died (Source: JHU CSSE Covid-19/data).

This has resulted in the cessation of operational activities of 1,139 hotels. Several hotels in Bandung have been turned into hospitals for Covid-19 patients. Hariyadi Sukamdani (2022), Chair of the Hotel and Restaurant Association, believes that 1,226 hotels that previously existed have closed their hotels. Also, Property Consultant Colliers International Indonesia assesses the impact of the Covid-19 pandemic has made the hotel industry very down, forced to close operations and lay off employees, and layoffs. Also, Senior Associate Director of Colliers International Indonesia, Ferry Salanto said that Covid-19 had destroyed the hotel industry in Jakarta and Bali. However, in February 2020 the hotel industry in Jakarta had not felt the effects of Covid-19, even though the symptoms had started to be felt. Several companies involving foreigners, began to slowly decline. The decline in performance began to be felt in March 2020 when the government announced that there was a case of Covid-19 in Indonesia, so that many activities were canceled (Valda. S. R et al. 2020).

The Covid-19 case has not only affected hotels in Jakarta and Bandung but also hotels located in Bali. Hotels in Bali http://ojs.unud.ac.id/index.php/eot            48

are most affected by Covid-19 because the orientation of hotel guests is foreign tourists. The direct impact experienced by hotels was a decrease in hotel room occupancy rates ranging from 60% - 80% in the Nusa Dua area, which is a favorite place for Chinese tourists to stay, apart from Tuban, Kuta and Legian. Chinese tourists are tourists who make the biggest contribution, namely an average occupancy rate of 30% - 40% of the total hotel capacity. Meanwhile, hotel occupancy in the Ubud and Sanur areas has decreased by around 20% -30%. This is because tourists who stay overnight tend to be tourists from Europe and Australia. Another consequence was the cancellation of 40,000 hotel rooms with a total loss of IDR 1 trillion. Also, tourist arrivals from Vietnam and Thailand have decreased drastically (Suci Sandi Wahyuni, et al. 2020).

In the short term the Covid-19 case has had a significant impact on low room occupancy rates, decreased average daily rate (ADR) and revenue per available room (RevPar) which resulted in termination of employment, changed operations and decreased service received by employees, which of course hampered recovery in the hospitality industry. Meanwhile, in the medium to long term it is difficult to collect receivables, postpone investment plans or have difficulty paying debts and it is difficult to return to normal activities (Jose M.R. et al, 2020).

The results of the research by José M. R. et al. (2020) shows that various crises have occurred which have had an impact on tourism, especially in the hotel industry along with the responses and strategies undertaken by business actors. It is concluded that the main strategies carried out are focusing on cost savings, encouraging and reactivating local markets, lowering prices, preparing contingency plans and implementing human resource policies.

The phenomenon due to Covid -19 experienced by the hotel industry and some of the previous research results described above, the two hotels under the auspices of the Losari Group which were affected by Covid-19, namely Losari Hotel & Villas Kuta Bali and Losari Hotel Sunset Road, were still able to survive in 2020 – 2021. These two hotels have different target markets, where Losari Hotel & Villas Kuta Bali has a target of foreign tourists, and Losari Hotel Sunset Road has a target of domestic tourists. The existence of Losari Hotel Sunset Road is still able to survive running hotel operations and has never closed, while Losari Hotel & Villas Kuta Bali has been closed and occasionally opens.

This condition affects management's attitude in acting which has a strategy on how to manage properties with different target markets to ensure business continuity and at the same time be able to get out of a crisis (disaster recovery plan). Even though the Covid-19 pandemic occurred, Losari's management did not close the two properties in Bali. Losari Group management has a certain strategy so that it can survive (business continuity) and carry out a recovery strategy (disaster recovery plan) simultaneously during the co-19 pandemic. This is what distinguishes the two Losari Group hotels from most other hotels which have closed their hotel operations in Bali.

The research question is How is the impact of Covid-19 on the room occupancy rate, average daily rate and Revpar at the Losari Villas-Legian Hotel and the Losari Sunset Road Hotel Bali? and What are the recovery strategies and survival strategies implemented by the Losari Villas-Legian Hotel and the Losari Sunset Road Bali Hotel so that they can continue to exist in the future? While the purpose of this study is to describe the impact of Covid-19 on room occupancy rates, Average Daily Rate (ADR) and Revenue per Availabe Room http://ojs.unud.ac.id/index.php/eot            49

(RevPAR) at Losari Villas-Legian Hotels and Losari Sunset Road Bali Hotels, and analyze how recovery strategies and survival strategies carried out by Hotel Losari Villas-Legian and Hotel Losari Sunset Road Bali so that they can continue to exist in the future. The theory used in designing business continuity plans and disaster recovery plans is a hotel contingency plan that fits the needs of a recovery strategy and survives the impact of Covid-19. This research contributes to the field of strategic management studies, and provides input on creative and innovative strategies that can be implemented by hotel management and owners as well as other accommodation business actors.

METHODS

This qualitative research reveals and discusses problems by describing, interpreting, and describing the circumstances and events that occurred during the research, then analyzed as a research result, but not used to make broad conclusions. The aim is to make systematic, factual and accurate descriptions, drawings or drawings of the facts, characteristics and relationships of the phenomena being investigated.

This research not only provides an overview of the phenomenon but also explains the relationship, and obtains the meaning of a problem to be solved. The time for implementation is August – October 2021. Qualitative data collection techniques using literature, observation and in-depth interviews with informants. The data analysis technique uses four steps according to Burhan Bungin (2003), namely data collection; data reduction; data displays; verification and confirmation of conclusions. These four analytical activities are interconnected and take place continuously throughout the

research, so that the data obtained is not unequal or one-sided because one data with another data is interrelated. Data were analyzed descriptively qualitatively by reviewing, explaining, analyzing, and explaining data obtained from hotels by providing an overview of the impact of Covid-19 on room occupancy rates, Average Daily Rate (ADR) and Revenue per Available Room (RevPAR) as well as recovery strategies for the impact of Covid-19 carried out by the Losari Villas-Legian Hotel and the Losari Sunset Road Bali Hotel.

RESULTS AND DISCUSSION

General Description of Losari Hotel & Villas Legian Kuta Bali

Losari Hotel & Villas Legian is a 3-star hotel with 5 floors located on Jalan Sahadewa, Legian. The hotel market share

is foreign tourists, especially Australia. Before the Covid-19 pandemic, this hotel was quite busy with Australian guests and domestic guests with a room occupancy rate of 60% - 70%. This hotel has 10 Standard Rooms, 50 Superior Rooms, 18 Deluxe Poolside Rooms, 3 Suite Rooms, 2 Pent Houses, 2 Villas. Facilities 2 Swimming pools and children pool, Laundry Service, Foreign Exchange Services, Tour Desk Counter, Doctor on call 24 hours, Spa & massage Services, Safe Deposit Box, 24 Hours Bar & Restaurant, 24 Hours Room Service, Credit Card : Visa and Master Cards, Meeting Room, Elevator, Free Wi-Fi. Based on the interview results and the results of data analysis regarding the condition of this hotel before the Covid-19 Disaster, the Covid-19 Pandemic Surviving Strategy, and the Covid-19 Recovery Strategy can be seen in Table 3 below.

Table 3. Before the Covid-19 Disaster, Strategies for Surviving the Pandemic Period

Covid-19, and the Recovery Strategy for the Covid-19 Period

Before the Covid-19 Pandemic Disaster

Strategies for Surviving the     Recovery Strategy dur-

Covid-19 Pandemic         ing the Covid-19 Pan

demic

Room Statistics

Period 3 years before Room occupancy 60-70% ADR Around IDR 400,000/room/night RevPar Around IDR 330,000,-/room/night

Room Statistics                  Strategic Finding

Room occupancy 0%           Always pay attention to

ADRNA                      competitors to research

RevPar NA                    prices, and always pay

attention to ongoing trends, such as co-hub working spaces (public areas can become offices) and become rooms or become offices, or rooms become apartments which can also be used for co-hub working spaces.

Strategy in Marketing Marketing strategy, sales obtained through offline travel agents, and sales calls to corporate and offline travel agents and online travel agents

Strategy in Marketing         Market Segment Pro-

The hotel has been opened      jection

with a room rate of IDR          For the time being it is

200,000                           still the local market, and

during Christmas 2020 New      at a later time to return to

Year 2021 but the occupancy     the international market

(especially Australia)

Before the Covid-19 Pandemic Disaster

Strategies for Surviving the     Recovery Strategy dur-

Covid-19 Pandemic         ing the Covid-19 Pan

demic

(channel of distribution), as well as promotion and branding through social media such as Facebook and Instagram

was very low (around 1 room     and the local market.

per day) so the hotel was

closed again                    Market Research and

  • •    Target market from Interna-     Business Strategy

tional, especially Australia, to     NA

all Local

  • •    Marketing Mix

  • •    Previously complete prod

ucts or facilities such as

ROOMS, FB, MICE, Meet

ings, Wedding Events and

Group Tours, Currently only

providing ROOMs and indi

viduals (not tours),

  • •    Product only rooms

Strategy in the Field of Human Resources

In Losari Group's recruitment target as a Hotelier, it is for junior Hotelier training starting from trainees and front end such as receptionists, housekeepers and also waiters/waitresses so that they can quickly develop in all departments and also in the language field. All trainees as well as junior hoteliers are required to rotate in all departments and are always accompanied by a senior colleague. Thus, they quickly gain insight and quickly develop.

Strategy in the Field of Hu-     Continuing Critical

man Resources                Business Functions

  • •    Reduction of employ-           Currently, the most im-

ees/layoffs                         portant business func-

  • •    From a total of around 30        tions are Front Office

employees, there are only 4       and Housekeeping

employees for Losari Legian and all the rest have completed their contract periods and workers are still on vacation for an unspecified period

  • •    Salary reduction

  • •    Salary reduction changed to 50% of the previous salary for employees who are residential teams (who live in). And for security guards who are assigned working days around 2-3 times a week, the salary is calculated per day

  • •    Job desk adjustments

  • •    Previously there were Front Office and Housekeeping, now they are one, namely: Junior Hotelier

  • •    Restrictions on working hours

  • •    Working hours are limited for Back Office/Accounting, such as being hired from 5 times per week to only 2 times, and calculated according to attendance

Before the Covid-19 Pandemic Disaster

Strategies for Surviving the     Recovery Strategy dur-

Covid-19 Pandemic         ing the Covid-19 Pan

demic

Strategy in Financial Since the beginning of the Losari Hotel & Villas Kuta Bali hotel, it has always tried to cover costs and repay bank interest and principal debt by keeping costs as low as possible, and increasing sales (revenue).

Strategy in Financial            Millstones Set

  • •    Tolerable loss                    For the time being, it is

  • •    For the time being the loss is     surviving with low operaround IDR 10,000,000 per       ating costs

month                          If the economy returns to

  • •    How to generate revenue to      normal, try to repair

cover operational costs            damaged parts of the ho-

  • •    It is hoped that after the          tel, such as rooms and

Covid period, the economy       wall leaks

will recover and be able to

cover the costs of borrowing      Efforts to Minimize

money from the Head Office     Risk

so far                              Efforts to minimize risk,

  • •    How to control costs            by being more careful in

All unimportant needs, for ex-     operations so that goods

ample if there is a room that is    are not easily damaged

OO, and there are still other       and last longer

good rooms, other rooms are used and no longer need to be

repaired, rooms that are OO

Strategy in the Field of Information Technology All systems run normally both online and offline

Strategy in the Field of Information Technology

All systems are running normally, and promotions have been increased to

online strategies, social media such as Facebook, Instagram

Strategy in Research and

Development

In the field of research and development, not yet

Strategy in Research and Development

Making eco-enzymes as optimal as possible to reduce the use of soap and cleaning chemicals (20% - 50% cost savings, environmentally friendly)

Source: Processed Data (2021)

General Description of Hotel Losari SunSet Road Bali

During the pandemic crisis, understanding market segments is important for the hotel business to use as an important factor in the business strategic recovery plan being implemented. Hotel Losari Sunset Bali, Indonesian Becak Museum, strategically located on Jl. Sunset Road no. 169, Sunset Kuta, Bali, is a 3-star hotel which was inaugurated in 2012. This hotel has 5 floors with 59 rooms consisting of


superior and deluxe rooms. Main facilities owned by a total of 59 guest rooms; daily room cleaning service; near Kuta beach; restaurants and bars/lounge; full-service spa; outdoor swimming pool. For guests visiting with family, it is equipped with facilities such as a children's pool; extra bed (surcharge); connecting rooms available; private bathroom; free toiletries; park. The advantages of this hotel are that it is close to Kuta Beach; Bali Bombing Memorial; Legian Beach; Beachwalk Shopping


Center; Double Six Beach; Carrefour Plaza Kuta; Kuta Galeria Palace; krishna; Legian Street; Mall Bali Galeria; to Ngurah Rai International Airport only takes 10 minutes. Other facilities include a shuttle to the airport and an area shuttle around the hotel location at the request of the guest.

The Losari SunSet Road Bali Hotel, with its strategic location, before the 19th


Pandemic, was in great demand by domestic tourists and tourists from China. Based on the results of interviews and the results of data analysis regarding the condition of this hotel before the Covid-19 Disaster, the Covid-19 Pandemic Surviving Strategy, and the Covid-19 Recovery Strategy can be seen in Table 4 below.


Table 4. Before the Covid-19 Disaster, Strategies for Surviving the Pandemic Period

Covid-19, and the Recovery Strategy for the Covid-19 Period

Before the Covid-19 Pandemic Disaster


Strategies for Surviving the Covid-19 Pandemic


Room Statistics

Period 3 years before the pandemic: room occupancy 60-70%; average daily rate IDR 300,000/room/night Revpar IDR 230,000,-/room/night


Room Statistics

Period during the pandemic: room occupancy 1%; average daily rate IDR 100,000,-/room/night

RevPar IDR 50,000,-/room/night


Strategy in Marketing Sales and marketing of hotels aimed at International and Chinese and Domestic tourists are carried out through offline travel agents, and sales calls to corporate (LION AIRLINES), and online travel agents (channel of distributions), promotion and branding through social media such as Facebook


Room rates have been reduced from IDR 270,000 to as low as IDR 180,000/room/night for Superior Room Only and currently on Agoda IDR 105,000/room/night

Strategy in Marketing

Target market from International and China, to all Domestic and full online marketing


Marketing Mix

Currently only ROOM and individual products (not tours) without F&B.


Recovery Strategy during the Covid-19 Pandemic

Strategic Finding Always pay attention to competitors to research prices & always pay attention to current trends, such as co-hub working spaces (public areas can become offices) and rooms can become offices, or rooms can become apartments which can also be used for co-hub working spaces.

Market Research and Business Strategy For the time being, only prioritizing OTA and business strategy is always paying attention to competitors and prices must always be set at IDR 10,000 below similar competitors.


and Instagram

Marketing Mix

Products include ROOMS, FB, MICE, Meetings, Weddings, and Group Tour Packages


Market Segment Projections

For the time being it is still the local market, and at a later time to return to the international market and local market. I used to think


Before the Covid-19 Pandemic Disaster


Strategies for Surviving the Covid-19 Pandemic


Recovery Strategy during the Covid-19 Pandemic


Strategy in the Field of Human Resources


Losari Group's target as a hotelier is to conduct hotelier training for juniors starting from trainees and front end such as receptionists, housekeepers and waiters/waitresses so that they are able and quickly master the field of work in all departments and in foreign languages. The trainees and junior hoteliers are required to rotate in all departments and are always accompanied by seniors to gain insight and develop more quickly.


Strategy in the Field of Operations

Even though there are supervisors and operational managers, to facilitate hotel operations, all employees are allowed to communicate directly smoothly with the owner representative so that existing problems can be quickly found and resolved. Also to reduce


Strategy in the Field of Human Resources


about embracing the Chinese Group market (like before Covid) but actually the Chinese market is high cost and low profit while for Local Group it is low cost and high profit Continuing Critical Business Functions

  • •    Reduction of employees/ layoffs

From a total of around 30 employees, there are 5 people, and the rest have completed the contract period and workers are still on vacation until the specified period

  • •    Salary reduction

The salary reduction changed to 50% of the previous salary for colleagues who are residential teams (who live in). For security guards assigned working hours 2-3 times a week, salary is calculated per day

  • •    Jobdesc adjustments

Front Office and Housekeeping are combined as Junior Hotelier

  • •    Restrictions on working hours Working hours are limited for Back Office/Accounting, such as 5 working days/week to 2 working days/week and calculated according to attendance Strategy in the Field of Operations

  • •    Evaluate the parts that must remain

Only Front Office & Housekeeping

Previously there was a Kitchen and Restaurant.

Engineering is no longer there and is only called according to work needs

  • •    Fixed Cost Reduction Reduced electricity costs,

    Currently, the important business functions are Front Office and Housekeeping


    Work Plan

    For the time being, this only revolves around the existing maintaining team and housekeeping.

    In the future, Food and Beverage & Kitchen will be needed to normalize all operations again

    Top Priorities


Before the Covid-19 Pandemic Disaster

Strategies for Surviving the       Recovery Strategy

Covid-19 Pandemic         during the Covid-19

Pandemic

bureaucratic levels to inform a problem that occurs.

changed from the pre-Covid-19     The very first priority is

period of around IDR             checking rooms and re-

13,000,000 low and IDR           pairing rooms if guests

27,000,000 high to around IDR     have started to come

7,000,000 to IDR 9,000,000 per    back (the economy has

month                            started to show pro-

• Reduction of Maintenance        gress)

Costs

Maintenance costs are reduced

due to damaged rooms such as

OO; AC and others not used for a while

Strategy in Financial GM running hotel operations always tries to cover costs and pay back bank interest and principal debt by maintaining as low costs as possible, and increasing sales (revenue)

Strategy in Financial             Efforts to Minimize

  • •    Tolerable Losses                 Risk

For the time being, losses range     Efforts to minimize

from IDR 20,000,000 per          risk, by being more

month                             careful in operations so

  • •    How to Get Income to Cover     that goods are not eas-

Operational Costs                 ily damaged and last

It is hoped that after the Covid-     longer.

19 period, the economy will re

cover and be able to cover the      Millstones set

costs of borrowing money from    For the time being, it is

the Head Office so far             surviving with low op-

  • •    How to Control Costs             erating costs

All unimportant needs, for ex-      If the economy returns

ample if there is a room that is      to normal, try to repair

OO, and there are still other        damaged parts of the

good rooms, other rooms are       hotel, such as rooms

used and no longer need to be      and wall leaks

repaired, rooms that are OO

Strategy in the Field of Information Technology All systems were running normally before the pandemic-19

Strategy in the Field of Information Technology

All systems are running normally, and promotions have been increased to online strategies, social media such as Facebook, Instagram

Strategy in Research and

Development

Not done

Strategy in Research and Development

Making as much eco-enzyme as possible to reduce the cost of using soap and cleaning chemicals (20% - 50% and good for the environment)

Source: Processed Data (2021)

Based on the conditions above, the flow that occurred at Losari Hotel and Villas Legian Kuta, and Hotel Losari SunSet Road Bali is as follows:

Stage 1: Business as usual. At this stage all systems are running in production and working properly.

Stage 2: Disaster occurs. At some point in time, a disaster occurs and the system needs to be restored. At this point, the Recovery Point Objective (RPO) determines the maximum amount of acceptable loss measured in time.

Stage 3: Recovery. At this stage the system recovers and is back online but not yet ready for production. The Recovery Time Objective (RTO) determines the maximum tolerable amount of time required to restart all critical systems.

Stage 4: Resume Production. At this stage all systems are restored. System or data integrity is verified and all critical systems can resume normal operation. All operational departments can carry out normal activities.

In this study it was found that to determine best practices in preparing, deploying, and maintaining strategic recovery plans in the framework of resilience during the Covid-19 pandemic. As for developing a strategic recovery plan is to collect all market information.

Phase 1. Market Research and Business Strategy. It is currently very difficult to accurately predict market behavior; assumptions will change based on the situation without proper preliminary information. Therefore, market research will be more about assessing over time and monitoring all factors affecting the market itself, including government policies, travel restrictions, and industry announcements; travel requests and assessments; domestic market assessment; and review of market http://ojs.unud.ac.id/index.php/eot            56

sentiment.The market situation can change quickly depending on the decisions taken by the Government, and those decisions can also change according to the level of the pandemic. Generally, the market prefers to take a wait and see position. This makes it difficult to foresee or predict business results. The General Manager as well as the Hotel Owner must always update market research by following the latest situation. This allows hotel management to stay on top of changes in market behavior during the unforeseen conditions that hotels face.

Phase 2. Top Priority. The second phase of the Strategic Recovery Plan which was developed at the Losari Hotel and Villas Legian Kuta, and the Losari SunSet Road Bali Hotel carried out room checks and repairs to room facilities when guests started to come back which could be monitored from the economy when it started to show progress in society.

Phase 3. Strategic Findings. After phase 1 market research and phase 2 top priorities are constantly updated, analyzed by the GM and compiled into a strategy of findings. This discovery strategy will help GM to decide on more detailed actions when opportunities suddenly become available in the market. Strategic Finding carried out by Losari Hotel and Villas Le-gian Kuta, and Hotel Losari SunSet Road Bali by always paying attention to competitors for price research & always paying attention to ongoing trends, such as co-hub working space (public areas can become offices) and turning rooms into offices, or a room into an apartment which can also be used as a co-hub working space. This is intended to continue to monitor business developments during a pandemic situation.

Based on the conditions of the two hotels above, even though they are under one management, because they have e-ISSN 2407-392X. p-ISSN 2541-0857

slightly different market segments, where the Losari Sunset Road Hotel targets domestic guests, they can still operate even with lower occupancy rates and room rates compared to before the Covid-19 pandemic. Period during the pandemic: room occupancy 1%; average daily rate IDR 100,000/room/night, RevPar IDR 50,000/room/night. Room rates have been reduced from IDR 270,000 to as low as IDR 180,000/room/night for Superior Room Only and currently IDR 105,000/room/night on Agoda. Only when the Java-Bali Community Activity Restrictions were enforced, the hotel could not operate. Meanwhile, Losari Hotel & Villas Legian, Kuta Bali, because the market segment is foreign guests, especially tourists from Australia, automatically the hotel cannot accept foreign guests anymore because there are restrictions on travel between countries.

CONCLUSION

The Covid-19 pandemic has had a negative impact on the room occupancy rate, average daily rate and Revpar at the Losari Villas-Legian Hotel and the Losari Sunset Road Bali Hotel. Hotel room occupancy rate, average daily rate, and hotel revpar decreased significantly. The negative impact of the hotel business due to the Covid-19 pandemic prompted the hotel GM to develop a Strategic Recovery Plan Model to maintain the resilience of the hotel business and retain several hotel employees to keep the hotel running during uncertain situations. The GM hotel has formulated a six-stage strategic recovery plan consisting of market research and business strategy, top priorities, strategic findings, milestone sets, market segment projections and work plans.

These six phases were created to focus business operations on necessary and realistic actions that can be implemented during challenging market conditions due http://ojs.unud.ac.id/index.php/eot            57

to the ongoing co-19 pandemic. Meanwhile, to ensure that the strategic recovery plan is sustainable and implemented in a sustainable manner at the Losari Villas-Legian Hotel and Losari Sunset Road Bali Hotel, the hotel GM always pays attention to competitors to research prices & always pays attention to ongoing trends, such as co-hub working space (public area can be office) and a room into an office, or a room into an apartment which can also be used as a co-hub working space.

There are differences between the two hotels, namely as a research locus that the Hotel Losari sunset road can still survive compared to Losari Hotel & Villas Legian due to different market segments, Hotel Losari sunset road because from the beginning it targeted domestic guests even though it also accepted Chinese tourists, since the pandemic focus domestic guests. Whereas the Losari Hotel & Villas Legian, because it is usually dominated by foreign tourists, especially guests from Australia, could not survive, so it closed hotel operations for an unspecified time.

The suggestion that can be given is to carry out further research using a sample of several star hotels in the same cluster to generalize the results of the research findings. The implications of implementing a survival strategy and recovery strategy provide benefits for hotel management to continue to run hotel operations. Then the limitations of this research are due to Case Studies & Conditions of PPKM Level 3 in Bali.

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