A Literature Review about the Implementation of Artificial Intelligence (AI) Technology in the Hotel Industry in Indonesia

Abstract

Indonesia’s hospitality industry has experinced significant growth, attracting a growing number of both domestic and international tourist. This growth underscores an urgent need for service innovation, particularly through the adoption of new technologies in a competitive market. This study examines how Artificial Intelligence (AI) is being applied in Indonesia’s hotel industry, covering the various implementations of AI, the challenges encountered, and the impacts on hotel operations and guest satisfaction. This research uses a literature study approach, gathering and analyzing 20 scholarly sources from 2023 onward on this topic. The results indicate that AI technologies have started to be implemented in Indonesian hotels, for example through customer service chatbots and automation systems to improve operational efficiency. AI adoption helps to personalize guest services, streamlines processes, and enhances the overall guest experience. However, challenges remain, including limited investment capacity, the need for staff training, data privacy concerns, and resistance to change. These findings suggest that optimizing AI integration in Indonesia’s hospitality sector can bolster the industry’s competitiveness and service quality, provided that the identified challenges are properly addressed.