Labor shortage solution: redefining hospitality through digitization

Purpose The purpose of this research is to provide a critical discussion illustrating how novel business models can be developed using advanced information technology (IT) to overcome the effects of the labor shortage crisis and bring the industry back to the pre-pandemic performance benchmarks. Design/methodology/approach The methodology of this research is based on a thorough literature review of academic and trade publications, guided by an analytic approach that comprehensively discusses the multiple facets of digitizing the human-intensive legacy hospitality business models. Findings While broad in terms of multiple metrics, the hospitality industry has demonstrated an ability to incorporate IT-based business models within its legacy processes. The current hospitality context, corroborated with the lingering effects of the pandemic, requires the hospitality industry to address two important issues: chronic shortage of staff and unpredictable levels of performance of existing staff. Originality/value This research discusses a human–resource crisis from an IT point of view and articulates several IT-based strategic solutions that should help hospitality organizations mitigate the effects of this crisis.