Responsible Service of Alcohol: An Evaluation of Policies and Practices of Five Star Hotels in Karnataka A Dissertation Submitted in Partial Fulfillment of the
Requirements for the Award of the Degree of
Master of Philosophy in Tourism Management
By Zacharia Joseph (Reg. No. 1720033)
Under the Supervision of Joby Thomas Associate Professor
School of Business Studies and Social Sciences
CHRIST (Deemed to be University) BENGALURU, INDIA
June 2019
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Approval of Dissertation
Dissertation entitled Responsible Service of Alcohol: An Evaluation of Policies and Practices of Five Star Hotels in Karnataka by Zacharia Joseph, Reg No 1720033 is approved for the award of the degree of Master of Philosophy in Tourism.
Supervisor: ______
Chairman: ______
General Research Coordinator: ______
Date: ……………………..
Place: Bengaluru
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DECLARATION
I, Zacharia Joseph hereby declare that the dissertation, titled Responsible Service of Alcohol: An Evaluation of Policies and Practices of Five Star Hotels in Karnataka is a record of original research work undertaken by me for the award of the degree of Master of Philosophy in Tourism. I have completed this study under the supervision of Dr Joby Thomas, Associate Professor, Department of Tourism Studies.
I also declare that this dissertation has not been submitted for the award of any degree, diploma, associateship, fellowship or other title. I hereby confirm the originality of the work and that there is no plagiarism in any part of the dissertation.
Place: Bengaluru
Date: …………………
Zacharia Joseph Reg No. 1720033 School of Business Studies and Social Sciences CHRIST (Deemed to be University), Bengaluru
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CERTIFICATE
This is to certify that the dissertation submitted by Zacharia Joseph (Reg. No. 1720033) titled ‘Responsible Service of Alcohol: An Evaluation of Policies and Practices of Five Star Hotels in Karnataka’ is a record of research work done by him during the academic year 2017-2018 under my supervision in partial fulfillment for the award of Master of Philosophy in Tourism.
This dissertation has not been submitted for the award of any degree, diploma, associateship, fellowship or other title. I hereby confirm the originality of the work and that there is no plagiarism in any part of the dissertation.
Place: Bengaluru
Date: ………………… Dr Joby Thomas Associate Professor School of Business Studies and Social Sciences CHRIST (Deemed to be University), Bengaluru
Academic Coordinator School of Business Studies and Social Sciences CHRIST (Deemed to be University), Bengaluru
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ACKNOWLEDGEMENT
Writing the acknowledgement seems to be the most difficult part of this dissertation as this work would not have been possible and complete without the support I received from various quarters. There are so many people to thank and show gratitude that it is quite possible It miss thanking a few. I, wish to thank and acknowledge each and every person I approached and who advised and helped me on this journey.
My friends known and unknown, the industry professionals, who took time out of there busy schedule to answer my questionnaire and share their valuable insights. My colleagues at work, my fellow research scholars and the faculty in the Department of Tourism Studies for their constant support and directions.
Words cannot do justice to my gratitude for my guide and mentor, Dr Joby Thomas. I thank him for his patience and support though out this work. Sir has not only been helpful and friendly but also strict when needed and this without doubt is the major reason that I have been able to complete this research. I do hope that my work does justice and is up to his expectations.
My sincere thanks to Dr Jain Mathew, Dean, Department of Management Studies, for his support and motivation. His constant check on my progress has been one of the major motivations to complete this work.
I wish to thank the management of CHRIST (Deemed to be University) for their timely help and support at various quarters during this study.
My thanks to my family, whose support and encouragement was with me throughout.
Finally, I thank God for bringing all these good people into my life and the support they gave me during this journey.
Zacharia Joseph
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ABSTRACT
Networking and socializing has been a human practice since ancient times and alcohol has been the social lubricant –yesterday, today and also tomorrow. While we cannot trace its origin to a particular culture or civilization, its role and impact has been recorded in ancient texts and literature across cultures. A person can get drunk for a few rupees or spend a few lakhs for the same. It is consumed across social classes- by a daily wage worker to a business tycoon. The only thing differentiating the two being the price he has paid for the drink and the glass he is having it from. Even though the price and glass differs the effect it has on a person is more or less the same. This research and study is based on the belief that alcohol in itself is not the major cause of all the issues and troubles it is blamed for, but it is the nature and manner in which it is treated, consumed and served. This study is based on the latter aspect, ‘the service of alcohol’.
As mentioned in the previous paragraph, alcohol is a social lubricant and bars and restaurants have always been a popular place for socializing. The people who deal with the sale and service of alcoholic beverages along with the management and owners have a moral responsibility to ensure that alcohol is both served and consumed responsibly. This practice of Responsible Beverage Service or Responsible Service of Alcohol might look simple and easy on paper but to practice it, is a different story! It involves the support and approval of all the stakeholders. The owner and management on their part have to compromise on the earnings from the extra sale alcohol. The server has the additional responsibility of checking that his customers are not getting intoxicated and that he is following all the rules and regulations associated with alcohol service and above all the consumers too have to support and accept responsible service practices by the establishment.
This study has looked into the practice of Responsible Beverage Service followed in the bars and restaurants in five star hotels, in the state of Karnataka. The initial study involved a review on early research and study on Responsible Beverage Service, Its impact on controlling alcohol abuse and intoxication, Responsible Beverage Service practices and various other dimensions and issues associated with Responsible Service of Alcohol.
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This research has focused on both the consumer as well as the server’s perspective on Responsible Beverage Service. The primary data for the study was collected from both consumers and hotels through a structured questionnaire, followed by data analysis using the appropriate tool. The findings give an insight and understanding into the acceptance of responsible beverage service in the state. What works and what needs to be improved? The practices which has the most impact in controlling alcohol abuse and answers to other questions associated with the study.
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TABLE OF CONTENTS
No. Content Name Page No.
Approval of Dissertation II
Declaration III
Certificate IV
Acknowledgement V
Abstract VI
Table of Contents IX
List of Tables XII
List of Figures XVI
1 Chapter 1 – Introduction 1
1.1 Alcohol in India 2
1.2 Alcoholic Beverages available in India 4
1.3 Theoretical Framework 9
1.3.1 Affect of alcohol on human body 9
1.3.2 RBS Model 11
1.4 Responsible Beverage Service in Karnataka and rest of India 14
1.5 Responsible beverage service across the world 15
1.6 Purpose and scope of the study 19
1.7 Research questions and objectives 20
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1.8 Objectives of the study 20
1.9 Chapterization Scheme
2 Chapter 2- Literature Review 22
2.1 History of server responsibility 22
2.2 Responsible Beverage Service (RBS) definition and 22 Strategies
2.3 Research till Date 23
2.4 RBS and Staff Training 24
2.5 RBS and Harm Reduction 26
2.6 Hurdles in implementing RBS 28
2.7 Findings from Literature 32
3 Chapter 3- Research Design 33
3.1 Operational Definitions 33
3.2 Research Gap 34
3.3 Hypotheses for the Study 35
3.4 Sources of Data Collection 36
3.5 Method of Data Collection 36
3.6 Statistical tools and techniques 38
4 Chapter-4- Statistical Analysis and Interpretation 39
4.1 Demographic Characteristics 40
Section I 46
Section II 64
Section III 66
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5 Chapter 5 -Findings, Suggestions and Conclusion 82
5.1 Findings and Discussion 82
5.2 Objective wise Findings and Discussion 83
5.3 Suggestions 86
5.4 Conclusion 87
5.5 Scope for Further Research 88
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LIST OF TABLES
Table Table Name Page Number Number
1.1 State wise drinking age 4
3.1 Sources of variables 35
3.2 Reliability Test Score 38
4.1 Demographic Characteristics -Gender 40
4.2 Age group of customers 41
4.3 Gender* Age Cross tabulation 42
4.4 Educational Qualification 42
4.5 Employment 43
4.6 Education * Employment Cross tabulation 44
4.7 Customer Response to RBS 51
4.8 Correlations 53
4.9 Standardized OLS Regression weights for 54 the dimensions of RBS on Customer Loyalty in Bar and Restaurants
4.10 Customer Response to effective RBS 61 strategies to be followed by Five star Hotels
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4.11 Tests of Normality 64
4.12 Spearman's ordinal correlation coefficient 65 result between acceptance towards RBS practices and acceptance towards reduction in alcohol abuse. 4.13 Descriptive Statistics 78
4.14 Descriptive Statistics on major challenges 80 in practicing RBS
4.15 RBS in the order from most challenging to 81 least
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List of Figures
Figure Number Figure Name Page Number
1.1 Model for alcohol intoxication 11
1.2 Elements of Responsible 13 Alcohol Service 4.1 Chart showing break up of 40 respondent’s gender
4.2 Age group of the customers 41
4.3 Customer’s educational 43 background
4.4 Employment background 44
4.5 Descriptive statistics for 46 awareness of Responsible Beverage Service
4.6 Descriptive statistics for 47 support and approval of RBS 4.7 Descriptive statistics for RBS 47 reducing alcohol abuse and intoxication in bars and restaurants 4.8 Descriptive statistics for RBS 48 reducing alcohol abuse and intoxication in the community
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4.9 Descriptive statistics for 48 acceptance of service intervention 4.10 Descriptive statistics for 49 returning to establishment that practices RBS
4.11 Descriptive statistics for 49 recommending an establishment that practices RBS to others
4.12 Descriptive statistics for 50 experiencing RBS
4.13 Impact of RBS on Customer 53 Loyalty in Bar and Restaurants
4.14 Descriptive statistics for 55 young guests showing their age proof before ordering drinks 4.15 Descriptive statistics for 56 service intervention by server 4.16 Descriptive statistics for slow 56 service or delayed service for guests who are over consuming alcohol 4.17 Descriptive statistics for 57 barring guests identified as heavy drinkers
4.18 Descriptive statistics for 57 taking the vehicle keys of intoxicated guests
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4.19 Descriptive statistics for 58 recommending guests who are only drinking alcohol to order food 4.20 Descriptive statistics for 58 diluting alcoholic drinks
4.21 Descriptive statistics for 59 dropping back intoxicated guests 4.22 Descriptive statistics for 59 placing signs on Responsible Drinking 4.23 Descriptive statistics for 60 regular patrol and checking by excise officials 4.24 Customer response to 62 effective RBS strategies to be followed by Five star Hotels
4.25 Organization having an RBS 66 policy
4.26 Staff allowed to refuse serving 67 alcohol to a guest if he/she is underage
4.27 Staff allowed to refuse 67 serving alcohol to a guest if he/she is already intoxicated
4.28 Limit to the number of drinks 68 a guest can consume
4.29 Staff RBS certification 69
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4.30 Screening of customers before 69 serving alcohol
4.31 Check by hotel on intoxicated 70 guest’s conveyance
4.32 Stopping intoxicated guests 70 from driving
4.33 Descriptive statistics for 72 young guests showing their age proof before ordering drinks (Industry response) 4.34 Descriptive statistics for 73 service intervention by server (Industry response) 4.35 Descriptive statistics for slow 73 service or delayed service for guests who are over consuming alcohol (Industry response) 4.36 Descriptive statistics for 74 barring guests identified as heavy drinkers (Industry response)
4.37 Descriptive statistics for 74 taking the vehicle keys of intoxicated guests (Industry response) 4.38 Descriptive statistics for 75 recommending guests who are only drinking alcohol to order food (Industry response) 4.39 Descriptive statistics for 75 diluting alcoholic drinks (Industry response)
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4.40 76 Descriptive statistics for service of complimentary water and non alcoholic drinks (Industry response) 4.41 Descriptive statistics for 76 dropping back intoxicated guests (Industry response) 4.42 Descriptive statistics for 77 placing signs on Responsible Drinking (Industry response)
4.43 Descriptive statistics for 77 regular patrol and checking by excise officials (Industry response) 4.44 Descriptive Statistics on major 81 challenges in practicing RBS
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List of Abbreviations
1. RBS - Responsible Beverage Service 2. RSA - Responsible Service of Alcohol 3. WHO - World Health Organisation 4. KSBCL- Karnataka State Beverage Cooperation Limited 5. BAL - Blood Alcohol Level 6. BAC - Blood Alcohol Concentration
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Chapter 1
Introduction
Man’s association with alcohol can be described as a love hate relationship. Our ancestors considered it to be a gift from the Gods and its influence to bring one closer to his creator. As human’s understanding of alcohol increased, so did his attitude towards it. While some societies and cultures totally shunned its production and use, others made it an integral part of their community and social life. But even within cultures liberal towards the use of alcohol, alcohol abuse and intoxication is viewed as unsocial, inappropriate and sometimes even unlawful.
Historically, India has been a nation of abstainers. While the majority of the population does not consume alcohol, there has been a steady change in attitude towards alcohol in recent years and an increase in the number of people who consume it. Karnataka, especially the state capitol Bengaluru has experienced a steep rise in the number of establishments serving alcohol in recent years. While this rise has been good financially, it has also created a major social concern of alcohol related issues.
Karnataka’s love affair with alcohol is not only old but also growing, supported with an increasing night life, higher disposable income and changing attitudes towards alcohol. The state is today one of the largest consumers of alcohol in Indian. At the same time the State’s Excise Department is the second biggest income winning office.
The downside of this trend has been the rise of accidents and crimes due to alcohol abuse. Operators of restaurants and bars, in most of the case to maximize profits turn a blind eye towards alcohol abuse by their patrons. Though the law in most cases has taken action against people driving under influence, the establishments where that particular person got intoxicated has never been questioned.
The sale of alcoholic beverages has the potential to create huge profits to a licensed establishment. Hotel and restaurant operators are faced with the challenge of ensuring a balance between profits and being responsible. This research aims to understand the acceptance of such practices both from patrons and well as from the establishment.
Responsible beverage service (RBS) or Responsible Service of Alcohol (RSA) stands for the supply and service of alcoholic beverages in a responsible manner. It also includes that license holders, employees and managers serving alcoholic beverages should ensure that they conduct their business in a responsibly, and are also accountable for their actions. Though there are clear laws and rules regarding service of alcohol on the licensed establishment in many countries, in India it has mostly been practiced on a more ethical basis and only in times when the situation has gone out of control. We can say with confidence that we have been more reactive than proactive when it comes to alcohol abuse and intoxication.
1.1 Alcohol in India
Murthy (2015) in her work has traced the history of alcohol in India. She mentions that one of the earliest intoxicating beverages in India was the Soma. Mentioned in the Rig-Veda as Soma Rasa, Soma was used as an offering in the Hindu Worship. Distilled beverages like Arrack came in around 800 BC. Tax on alcohol was introduced by the East India Company. The company looked at excise as a legitimate source of revenue and even encouraged the local population to drink. The company also introduced the European styles of alcoholic beverages like whisky and brandy into India. The independent Indian Government’s policy on alcohol (Murthy 2015) was to minimize temptation among those who did not drink and discourage heavy drinking among those who did, all the while not interfering with those who drank in moderation. The prohibition movement in India under the leadership of Mahatma Gandhi survived till the late 1930s when several states lifted prohibition. With the rise in anti –alcohol movement by women, prohibition was introduced again in the 1990s by several states, only to be revoked when states started to lose 20-25% of its revenue in lost excise sales.
Today, India is one of the fastest growing and the third largest market for alcohol in the world. According to Business wire (2017) the Indian market for alcoholic beverages is growing at a CAGR of 7.72% over a 10 year period to reach rupees 5.3 trillion in FY 2026. Benegal (2005) mentions that 15-20% of revenue for most states in India come from the taxation on alcohol.
The consumption of alcohol is widespread in India. It is consumed during celebrations as well as during sorrows. The World Health Organization’s (WHO) report on alcohol and health 2018 reveal that as much as 30% of Indians consume alcohol regularly with a per capita consumption of around 4.3 liters of annually.
The seventh schedule of the Indian Constitution includes alcohol in the state list. This means that rules and regulations which control the sale and consumption of alcohol is a state issue. Therefore, each state and union territory in India has imposed different rules and regulations related to the production, supply, sale, consumption and taxation on alcohol.
Based on the distribution channel of alcohol in the country, Indian states can be classified into the following three market types:-
➢ Government controlled market ➢ Open market ➢ Auction market
In a government controlled market as seen in Kerala and Tamil Nadu, state run corporations control the entire distribution network. Liquor is bought directly by the state corporations from the producers and are wholesaled and retailed from government liquor shops. The Karnataka government follows a hybrid model where wholesale distribution is controlled by the state.
In an open market, government issues licenses to distributors and retailers. Here the manufacturers are free to choose their distributor who in turn sells the stock to the retailers. Open markets are found in states such as Maharashtra and Goa.
In the auction system the state is divided into several geographical regions and the rights for each region is auctioned by the state to the highest bidder. This type of system is found in states such as Haryana and Punjab. Another major difference we can find across the Indian states is the different legal minimum age for the consumption of alcoholic beverage by a person. In some states it can be as young as 18 years and goes up to a maximum of 25 years.
Given below are the list of Indian states and Union Territories and the legal age for consuming alcohol-
Table 1.1: State wise drinking age
Legal Drinking Age States 18 Years Andaman & Nicobar islands, Rajasthan, Sikkim, Himachal Pradesh, Kerala, Mizoram, Pondicherry, 21 years Jammu & Kashmir, Uttarakhand, Uttar Pradesh, Jharkhand, West Bengal, Goa, Karnataka, Madhya Pradesh, Orissa, Tamil Nadu, Telangana , Tripura Andhra Pradesh, Arunachal Pradesh, Assam, Chhattisgarh, Dadra and Nagar Haveli, Daman and Diu, 25 years Chandigarh, Delhi, Haryana, Meghalaya, Punjab Dry States Bihar, Gujarat, Lakshadweep, Manipur, Nagaland
(Source - www.lawfarm.in)
1.2 Alcoholic Beverages in India
Alcoholic drinks contain ethyl alcohol. The world of alcoholic beverages is divided into two major segments- fermented and distilled beverages. While the process of fermentation, i.e. the conversion of sugar into alcohol and carbon dioxide by yeast is common to both the segments, in the case of distilled beverages the fermented beverage undergoes an additional process of distillation to give a more concentrated and stronger alcohol.
Common alcoholic beverages available in India
Fermented
➢ Beer - Beer is a popular beverage in India and is obtained by brewing and fermenting malt obtained from grains. There are two main styles of beer – Lager and Ale, while Lager has always been a popular drink in the country, the rise of microbreweries and pubs have generated an interest in Ale. Popular brands of beer in India are Kingfisher, Royal Challenge, and Hayward’s 5000, Knock out, Kalyani Black label. International brands available are – Budweiser, Fosters, SABMiller, Heineken and others.
➢ Wine - Wine is produced by fermenting grape juice. While wine consumption in India is significantly low compared to other types of alcoholic drinks, there has been a steady increase in wine consumption in the last few years. According to Pernod-Ricard, the Indian wine market is growing at 15% and will double every five years. The different styles of wines available in the country are – • Table Wine—Table wines or still wines are regular wines and is available in various price ranges from a few hundred rupees to thousands of rupees. They come in various shades of red, white and rosé. Indian wines are made in the regions of Nasik, Hampi and Nandi hills. • Sparkling Wines – These are carbon dioxide induced wines which gives it its characteristic fizz. Classic French Champagne to New world sparkling wines is available in the Indian market along with Indian Sparkling wines. • Fortified Wine - Wines made stronger by the addition of distilled spirits are known as fortified. Common fortified wines available in India are Sherry and Port. • Aromatized wines- as the name suggests these wines are flavored with herbs and other flavorings. One of the most common aromatized wines available in India is the vermouth, which is used to make the popular Martini cocktail.
Popular Indian wine brands are Sula, Grover, Big Banyan, Nine Hills and Krisma.
➢ Saki – A traditional Japanese rice wine. The growth of authentic Japanese restaurants in the country has generated an interest in this drink.
Traditional Indian fermented beverages
Traditional Indian fermented beverages have always been popular in rural regions of the country. Some of the popular ones are-
➢ Toddy - Popular in the South. Locally known as kallu in most of the southern parts, this drink is made by fermenting palm or coconut sap. ➢ Apo – Rice beer popular in the North Eastern States. ➢ Handia – Rice beer with herbs, popular in Bihar, Jharkhand, Orissa, Madhya Pradesh and Chhattisgarh. ➢ Chhaang – Millet beer from the Himalayan region. ➢ Zawlaidi – Lubrusca grape wine from Mizoram.
Distilled spirits
Distilled spirits are made by distilling fermented alcohol. This process uses the difference in boiling point of alcohol and water to separate the two by boiling it. The evaporated alcohol is condensed to obtain a more concentrated alcohol, now termed as spirits or distilled alcohol. The popular spirits available in India are -
➢ Whisky/Whiskey - The largest consumed IMFL in India. Whisky is made by distilling fermented grain mash. Popular styles of whisky available in India are the Scottish Scotch, Irish whiskey, American- Bourbon and Tennessee, Canadian Rye and Japanese whisky. Popular Indian brands are –Amruth, Blender’s Pride, Officer’s choice, Imperial Blue, Royal Stag and McDowell’s No.1. ➢ Rum - Made from distilling fermented molasses. Indian is a major producer and consumer of rum due to its large supply of molasses. Old Monk has always been a popular and leading brand in India. Other brands available are Bacardi, Captain Morgan, and Hercules. ➢ Brandy - Distilled grape wine. Honeybee and Mansion House are popular Indian Brands. French Cognac brands like Hennessy, Courvoisier and Remy Martin are also available in the country. ➢ Tequila – Unlike other spirits which can be made in India. Tequila has to come only from México. Though companies such as Desmodji has been successful in introducing agave based drinks made in India. ➢ Gin – Clear flavored spirit, predominantly by Juniper berries. International brands like Beefeater, Gordon’s and Bombay Sapphire are available in India. Popular Indian brand is Blue Riband and Seagram’s London Dry. ➢ Vodka - Popular for its use in cocktails. Vodka is a clear neutral spirit. Familiar international brands in India are Smirnoff, Absolute, Ciroc while popular Indian ones are Romanov and White Mischief.
Indian spirits
➢ Feni – Distilled spirit from Goa. Feni come in two varieties – Cashew Feni and Toddy palm Fenny. Goan Cashew fenny has been awarded the geographical indication award since 2009. Feni is one of the few Indian Spirits which is branded. Popular brand of Feni are Big Boss, Cazulo and kazkar . ➢ Mahua - Spirit from the Mahua Flower (Madhuca longifolia). ➢ Sura - Strong Indian distilled drink. This is an ancient drink and has reference in ancient Indian medical texts as an anesthetic. ➢ Arrack - Banned in most states. Arrack is mostly made by distilling fermenting coconut sap.
Liqueurs
Liqueurs are sweetened flavored alcoholic beverages. Popular for its use in the preparation of cocktails these could be flavored with herbs, flowers, fruits, spices, cream and nuts. Popular liqueurs available in India are - Cointreau, Marie Brizad, Kahlua, Bailey’s, and Tia Maria to name a few. Liqueurs are considered to be a premium product and are usually sold in high end retail stores and bars.
Service and consumption of alcoholic drinks
The service of alcoholic beverages is usually done by the bartender or a bar waiter in a bar. While a server would server alcoholic drinks in a restaurant ,which does not have a bar within the restaurant.
The drinks are served considering various factors such as the nature of the drink, temperature and guest preference. Fermented beverages like wine and beer is served by the bottle or glass. Colored spirits like whisky and brandy are served neat without any mixers while white spirits like gin, vodka and white rum are usually had with a mixer such as fruit juice or soda.
Cocktails or mixed alcoholic beverages are popular today with most bars having an elaborate cocktail menu from simple mixes to drinks with exotic ingredients.
Difference between IMFL and IMIL
Indian manufactured foreign liquor (IMFL) and Indian manufactured Indian Liquor (IMIL) is like two sides of the same coin. While IMFL technically covers international style spirits like- whisky, brandy, rum, gin, vodka, tequila and other styles of spirits and IMIL includes traditional Indian spirits commonly known as country liquor. A closer look at their respective manufacturing processes reviles a very thin line of difference. In the international market each of the sprits mentioned above have a specific manufacturing process and defined raw materials to be used. In the case of whisky, the raw material or the source of sugar has to be grains like barley, wheat or rye. Most of the IMFL whisky available in the Indian market uses molasses, a byproduct from sugar processing. Neutral spirit is produced using molasses and then infused with whisky flavorings and color. Molasses is the preferred raw material for IMFL due to its availability and cost. IMIL also uses molasses as its sugar base. Therefore both IMFL and IMIL go through the same process and the difference can be found only in the flavor and the alcohol strength they are bottled at. IMIL in general tend to be stronger than IMFL. According to Bureau of Indian Standards, country liquor is rectified spirits from fermented molasses, grain or any other source of carbohydrate. Country liquor at present covers 30% NBEPL (2018) of the Indian Liquor market. Major makers of country liquor are IFB Agro Ltd, Haryana Distilleries Ltd, Piccadilly Agro and Industries Associated Alcohols & Breweries Ltd. Some of these also supply rectified spirits to IMFL manufacturers.
It should be mentioned that there are few brands and producers who have come up with authentic products. Amruth, John’s Distillers, Desmondji have come up with products at par with international standards and have also started exporting their products.
1.3 Theoretical Framework
1.3.1 Affect of alcohol on human body
The alcohol in alcoholic beverages is ethanol also known as ethyl alcohol. It is the only alcohol which can be consumed by the human body safely to a certain limit. Ethanol is one the oldest recreational drug in the world and is available in almost every country. Alcohol affects the human body in many ways. While some effects are immediate and last only for a while, others accumulate overtimes and can cause significant organ damage. This section discuss the immediate effect of alcohol on a person as RBS practice focus mainly on controlling the aftermaths of alcohol abuse. As much as 33% of alcohol consumed by a person is directly absorbed into the blood. The remaining is absorbed more slowly by the small intestine. In the bloodstream, due to the permeable nature of the cell membrane it diffuses into every tissue in the body. The Central Nervous System is one of the first systems in the body to be affected by alcohol. This system is responsible for a wide range of important functions like sweat glands, muscles, sense organs and speech. Since alcohol is a depressant, it relaxes the CNS which in turn affects the functions associated by the CNS. This causes the symptoms of being drunk. Like unsteady balance, unclear speech, blurred vision, sweating and the dulling of our sensation of pain. As a person consumes more alcohol his blood alcohol level (BAL) increases. The rate of absorption depends on various factors, such as –age, weight, health and body composition. In general BAL in a male body is less compared to a female body for the same amount of alcohol consumed due to the larger body mass of a male body and the presence of more water in the male body compare to the female body.
Alcohol affects the frontal cortex in the brain. This part controls a person’s conscious thought. Therefore when a person consumes too much alcohol he or she starts losing their inhibitions and becomes more relaxed and free towards their surroundings. Being a diuretic alcohol stops the production of body’s anti-diuretic hormones making the body loose more water than it takes in. That is why people sweat a lot while drinking and also the kidneys produce more urine than usual. As the BAL rises, the brain’s sensory and motor functions are affected and the persons reaction time slows down. For example, a BAL of .08 or the presence of 80mg of alcohol per 100 Ml of blood reduces a person’s reaction time by almost 50%. Hence, making driving and use of machinery highly risky.
1.3.2 RBS model
Wallian (2004) suggested a model for alcohol intoxication in bars and restaurants.
Figure 1.1: Model for alcohol intoxication (Wallian 2004)
From Fig 1.1 it is observed that the issues of violence and injuries in bars and restaurants are related to the drinking patterns and level of intoxication. The consumption of alcohol and the way in which it is consumed, is influenced by several factors, like the availability of alcohol, which in turn is influenced by formal regulations and controls. Serving practices influence the level of intoxication at establishments. The extent to which a licensed premise is responsible is affected by the social expectancies/pressures for servers to cut off alcohol service, and the level of monitoring by the legal sanctions system.
The main objective of RBS is to reduce the harm related to excessive consumption of alcohol by preventing situations where an intoxicated person could hurt themselves or others in the community. Riley et al (1999) stated that “if a person is not willing to give up his or her drug use, we should assist them in reducing harm to him and others.”
According to the Department of Health, Australian Government, “harm minimization aims to address alcohol and other drug issues by reducing the harmful effects of alcohol and other drugs on individual and society”. The harm minimization or harm reduction approach is based on the understanding that- ➢ Alcohol and drug use, both legal and illegal is an inevitable part of society. ➢ Alcohol and drug use can range from occasional to dependent use. ➢ Different types and patterns of substance use could cause a range of harms. ➢ Different approaches can be used to respond to these harms.
According to Stimson (1998), “Fundamental components of harm reduction programmes are the need to raise `awareness', to `contact' people, to provide them with the `means' to change their behavior, and to gain `endorsement' for this work.”
Alcohol abuse and related issues are largely due to the amount of alcohol consumed rather than consumption per se drinker or others. This study has used the model proposed by Alexander (2005) in using RBS to reduce harm associated with alcohol abuse and intoxication. MacCoun (1998), writing on strategies for dealing with illicit drug use, stated the harm reduction equation as: "Total Harm=Average Harm per Use X Total Use", where Total Use is related to the number of users and the amount each user consumes, and Average Harm per Use is a function of harms involving both users and non users. The premise of RBS is that if consumption cannot be eliminated, it may be possible to minimize the harmful effects of consumption by restricting the volume consumed during each drinking episode to levels that are less likely to result in harm to either the m associated with alcohol abuse and intoxication. Alexander used the RBS elements identified by McKnight (1993).
Figure 1.2: Elements of Responsible Alcohol Service (McKnight 1993)
Enforcement
Responsible Community Community Management Alcohol Service awareness Leadership
leadership
TraTinrianingi ng
Community awareness and community leadership are the public understanding of the nature and extend of harms associated with alcohol abuse and RBS practices and the desire for RBS to succeed by demonstrating leadership through advocacy groups, the alcohol industry and governments. The enforcement of liquor laws and RBS lies with the police and the excise department. Management support and server training are critical to ensure that RBS practices are being followed and are effective in reducing alcohol abuse and intoxication among consumers. The underlying fact is that for any RBS initiative to be successful the five elements of RBS has to be present and complement each other.
1.4 Responsible Beverage Service in Karnataka and rest of India
The real challenge for bar and restaurant operators has been to draw the line between being profitable and responsible. While there have been initiatives to encourage responsible drinking, serving alcohol responsibly is an area which has been hardly discussed. The alcohol market in Karnataka, as in rest of India has by default made the consumer responsible for his consumption of alcohol and the ill effects associated with it. Though there is a lack in RBS initiatives and practices there are rules and regulations regarding alcohol sales which indirectly should be forcing the establishment in following RBS. Benegal (2005) mentions that while taxing alcohol has been able to control consumption in many countries. This practice is ineffective in India due to the easy availability of illicit liquor. Measures like hours of sale, not serving underage and drunk driving are frequently breached.
Restriction in respect of location of shops
No liquor shop or bar is to be set up within hundred meters of any educational institution or religious centre. Liquor shops are not allowed within hundred meters of any hospital and government office. Alcohol sale is also not allowed in places where the majority of the residents belong to Scheduled castes or Tribes. Alcohol sale is also banned within five hundred meters of any state or national highway.
In Karnataka the following rules are issued by the excise department regarding sale and consumption of alcohol in the state.
Sale of alcohol is not permitted:- a. Gandhi Jayanthi, 2 October b. On state or central Government elections days and counting days. c. If it cause prevention of Public peace.
Alcohol should not be sold to:- a. Any individual with any kind of mental disorder. b. Any person who is already intoxicated. c. A person who might take part in any unlawful activity, riot or disturb public peace. d. On duty or in uniform –Officials from the Excise department, Police personal, Railway employees and Motor Bus drivers. e. Anyone below the age of twenty one years.
The Karnataka State Beverage Corporation Limited (KSBCL) has been given the authority by the excise department in the state to ensure that policies, rules and regulations on alcoholic if followed by the producers, distributors, retailers and licensees.
While few Star hotels and upscale bars and restaurants are able to implement some policies regarding RBS to some degree of success. RBS is without doubt completely ignored in majority of the liquor shops, local bars and restaurants catering to the general population.
1.5 Responsible Beverage Service across the World
Rules and regulation regarding production, sale, service and consumption of alcohol varies from country to country and even within a country it could vary with each region or state. In India alone each state and Union Territory has different alcohol policies. While some states like Gujarat have decided to go totally dry whereby making the production and sale of alcohol unlawful, other states find the revenue from alcohol too lucrative to ignore .The minimum age to consume alcohol too varies from state to state.
Historically and even to this day, religion has played a major role in forming the alcohol policies of a country. Islamic countries like Iran and Saudi Arabia has taken a very hard line approach towards alcohol. While every country has laws pertaining to alcohol, the role and liability of a licensed establishment in providing responsible beverage service is clear or written in only a few. In the US, dram shop liability makes RBS necessary in licensed establishments. Introduced during the temperance movement in the mid-1800, it is based on the policy that a person who profits from the sale of alcohol should also be held liable for any resulting damages. This in turn has encouraged most of the establishments to introduce preventive strategies in order to reduce dram shop suits. Strict alcohol laws and rules in the European Union, Australia and other developed countries have encouraged the implementation of Responsible Beverage Service in licensed premises.
The world over alcohol is a product whose production, distribution and consumption are controlled by the Government. Having understood the negative impact of alcohol the WHO in 2010 came up with the “Global strategy to reduce the harmful use of alcohol”. In its report RBS has been mentioned as an important component in checking the negative effects of alcohol intoxication. Countries including India have seriously considered this report and few nations like Australia has come up with its own National Alcohol Strategy for 2018-2026 based on the WHO report. But it has been mostly the developed and higher income nations who have been able to successfully implement most of what is mentioned in the WHO report. Rules and practices regarding responsible beverage service (RBS) or responsible service of alcohol (RSA) across the world all have a common objective of reducing, controlling and terminating the harm caused by alcohol abuse and intoxication. Though the objectives are common, the approach to RBS could vary from one country to another. Most of the developed countries like the USA, UK and Australia have well established laws, rules and regulations concerning RBS.
In the USA like in India the regulation on alcohol is given to the individual state under the 21th Amendment to the constitution. In most US States, establishments whose core activity is the sale of alcoholic beverage have a cut of age limit for customers as 21 while other places like restaurants where food sales dominates the sale of alcohol the minimum age for customers is kept at 18. In most states the legal age to be a bartender is 21. Depending on state rules and policy, RBS training can be mandatory, voluntary or a combination of both. While mandatory and voluntary training in RBS is self explanatory, in a Combination or mixed system not all but few employees in an establishment are required to be RBS trained. In the US the major motivator for RBS has been the Dram shop law and lawsuits. Dram shop law makes the business or establishment that sells or serves alcoholic beverages liable to damages in case the patron or guest meets with or causes an accident. In the US, dram shop liability makes RBS necessary in licensed establishments.
Europe historically has been a wet culture with alcohol engraved in the society. It is home to some of the most popular alcoholic beverages in the world. Drinks like Scotch, Irish Whiskey, Cognac , Sherry, Port and brands like Johnnie Walker, Jameson’s, Courvoisier, Heineken and many others are a must have in any decent bar. Alcohol consumption in Europe is the highest in the world with a per capita consumption double that of the world average. In 2006 WHO identified alcohol as the third common factor for diseases in the European Union after hypertension and tobacco. One of the major challenges for an effective alcohol policy in the EU let alone RBS has been the ease of cross boarder travel and employment. This has initiated the WHO to come up with an alcohol policy for the entire EU in October 2006 when the European Commission agreed upon the European Alcohol Strategy for 2006-2012.
In Australia alcohol has been identified as the second leading preventable cause of death after tobacco.RSA was introduced first in New South Wales in year 1830. RBS policy and rules in Australia is both strict and clear. Making RBS training and certification compulsory to any server or person involved in sale and service of alcohol.
Alcohol policy and RBS strategies in Australia
(Source: Waverley Council Report (1994), RACP and RANZCP Alcohol Policy (2016), 2017 Alcohol Policy Scorecard: NAAA-Australia)
• Strict Government rules and regulations regarding licensed premises and service personal in controlling alcohol intoxication. • Primary objective of Australian Liquor act is Harm Minimization.
• Three Strikes Scheme –Like a warning system where an establishment is given a warning and few benefits taken or penalty imposed for each time a rule is broken. With each breach of rule the action taken being more severe.
• RBS training compulsory for all personal dealing with sale and service of alcoholic beverage. This also includes the security staff.
• Signage displayed in licensed premises regarding government alcohol policies.
• Breath analysis machines placed in bars.
RBS strategies used
● Stopping the service of stronger beverages late in night. ● Fixed number of drinks that can be purchased at one time. ● Instead of topping up the drinks, waiting for patrons to re-order. ● Post RBS and responsible drinking messages in the establishment. ● Have RBS marshals to monitor service and consumption in patrons. ● Conducting Security patrols in the establishment. ● Encourage patrons at risk of intoxication to order food and soft drinks and offer discount if needed.
One of best RBS program has been from New Zealand. Not only is RBS implemented into the community it is also understood by the majority of the population. The process in which RBS has been implemented in the country has made it more acceptable by everyone. The Government initially started the Host Responsibility movement. Targeting not only licensed premises but any private function where alcohol was being serviced. This strategy helped the government in instilling the culture of responsible service even before it was made mandatory with the commercial establishments. The Sale and Supply of Alcohol Act 2012 an improvement on the previous Sale of liquor act 1989 law were introduced to reduce the harms of excessive drinking.
New Zealand’s Host Responsibility program has the following core concepts-
➢ Prevent alcohol abuse and intoxication. ➢ Sale of alcoholic drinks are not allowed to minors ➢ Provide low-alcohol and non-alcoholic substitutes in bars and restaurants. ➢ Serve and promote food in licensed establishments. ➢ If serving alcohol, to do it responsibly or not to serve at all. ➢ Organize safe transport to patrons.
1.6 Purpose and Scope of the Study
Crimes, accidents and lawlessness due to alcohol intoxication could be greatly reduced if licensed food and beverage establishments start taking an active approach towards responsible sale of alcohol. Though the law has in some cases taken actions against such people, it is often after the damage has been done. Creating a responsible service policy and its implementation should greatly reduce alcohol related law and social problems. Study and research on the topic of responsible service has been limited in India with most of the establishments sticking to the few rules and regulations laid down by the government. This study will identify the various dimensions of responsible service, the challenges of implementing such practices and the impact of these practices towards customer loyalty and profitability. Initial studies reveal that most of the employees are not aware of responsible service and a lack of policies and training. This study will be focusing on answering to improve and restructure the existing service policies, processes and practices in the industry.
Scope of study
➢ The study is conducted in the State of Karnataka and covered the 5 star hotels within the state.
1.7 Research Questions
The purpose of this research is to verify if-
1. Five Star Hotels in Karnataka follow responsible service practices? 2. RBS could impact alcohol abuse? 3. The management and staff face any challenges wherever such practices are followed? 4. These practices impact customer satisfaction and loyalty?
1.8 Objectives of the Study
1. To explore and assess the various responsible beverage service policies and practices. 2. To examine the level of acceptance of responsible beverage service practices by customers. 3. To examine the influence of responsible beverage service practices on alcohol abuse and intoxication. 4. To examine the challenges hindering the effective practice of responsible beverage service in bars and restaurants. 5. To examine the impact of responsible beverage service on customer loyalty.
1.9 Chapterization Scheme
Chapter 1 – Introduction
The introductory chapter provides an insight into the study and discusses the significance for this research. This chapter looks into the impact of alcohol in human civilization and its impact in our lives. The Chapter also includes the Need for the Study, The purpose and scope of study, research questions and objectives. Chapter I conclude with the chapterization scheme.
Chapter 2 – Review of Literature
Previous research and articles on Responsible beverage studies are reviewed in this part of the dissertation. This chapter discusses the studies done on the topic by various researchers and also identifies the gaps in earlier work and research.
Chapter 3 – Research Design
The research outline and structure along with the research tools used for the study are discussed here. The chapter also includes the gap in earlier researches, hypotheses used in the study, size of the sample population used, sources of data required for the study, methods used for the collection of data, and the various statistical techniques used to analyze the data.
Chapter 4 – Statistical analysis and interpretation
This chapter presents the analysis and interpretation of the collected data.
Chapter 5- Findings, Suggestions and Conclusion The final chapter presents the major findings of the study, suggestions and recommendations and scope for further research along with conclusion.
Chapter 2
Literature Review
2.1 History of server responsibility
Records of alcohol, alcoholism and server responsibility can be traced through centuries in both secular and religious texts. The Latin phrase ‘In vino veritas’ meaning in wine lies the truth can be understood to a person speaking out secrets under the influence of alcohol. One of the earliest recorded histories of alcohol abuse is in the book of Genesis (9:21) when Noah after the great floods, planted a vine and drank the wine from it and was drunken. Herodotus in 2000BC mentions that during Egyptians feasts it was a custom by the Pharaohs to lay a human skeleton on the table to remind his guests of overindulgence of alcohol. Rosso (2012) mentions the Code of Hammurabi in 1754 BC which gave the rules for making beer and the penalties of adulterating it. Midford (2005) stated that the society sees alcohol, alcoholism and alcohol related harm as an individual’s problem and not that of the community and that without accepting that alcohol is a social problem and without the communities support ,controlling alcohol abuse will not be possible. Midford had conducted a review of past work on Australia’s drinking culture and its changing patterns.
2.2 Responsible Beverage Service (RBS) definition and Strategies
Initially called Server Intervention, Responsible Beverage Service targets server behavior. Rossow and Baklien (2010) stated that “Responsible Beverage Service (RBS) is a licensed premises intervention aiming at reducing alcohol related harms focusing on reducing the availability of alcohol to minors and prevent the service of alcoholic beverages to obviously intoxicated persons”. Saltz (1998) mentioned that “RBS includes broad set of strategies to create safer drinking environment that first, reduce the risk of intoxication and second, reduce the risk that intoxicated persons will harm themselves or others”.
Any such program would start by laying down house policies which invariably would cover the state alcohol law. Once the policies are in place, specialized training of servers and managers come in, with some organizations opting for qualified RBS trainers or bodies to certify their employees.
Mosher (1983) used an expert legal panel to identify and rate the major legal factors contributing to server liability. He divided RBS into three components:-
Training -which included educational programs directed at employees. Legal –This included regulations, dram shop liability and criminal laws. Environmental – The design licensed premises, location of the outlet and conveyance facilities.
Saltz (1998) also mentions that policies are not limited to not serving minors or intoxicated customers but should also look into the availability of food and non alcoholic beverages, standards for customer behavior, staffing requirements, transportation of intoxicated customers and management support to servers in implementing RBS.
2.3 Research till Date
O’Donnell (1985) conducted a preliminary review of the United States research literature on drinking locations of impaired drivers. He found that about half of the drivers under the influence of alcohol had been drinking in a licensed establishment like bar or restaurant, and drivers whose last drink was at a bar had higher blood alcohol levels. Early research into RBS by Saltz (1987) and Russ and Geller (1987) tried to establish an association between RBS and alcohol abuse. Both these studies were experimental and compared the impact of RBS in establishments that practices RBS and those that did not. These early studies tried to estimate the impact of RBS on the consumption of alcohol by customers. Saltz had conducted one of the earliest studies on the potential of RBS in reducing intoxication in customers. Called the ‘Navy Server Study’, Saltz compared two similar navy clubs, one serving as the program site and the other as comparison. The program site introduced RBS and the comparison club continued its usual business activities without any RBS practice. Data was collected after two months of implementing RBS from random customers and sales records. The dependent measure for the study was the number of drinks consumed by the patron which indirectly corresponded to their BAC. The experiment found that in the club with RBS, intoxication risk reduced from 32% to 15% in male and from 5% to 2% in female patrons.
2.4 RBS and Staff Training
Russ and Geller (1987) evaluated the impact of server training in controlling intoxication.
They had half of the servers in two establishments trained in RBS. Pseudo customers where then sent to these places and would order a drink every 20 minutes over a two hour period. Russ and
Geller then compared the RBS initiatives taken by both set of servers. Their experiment found that pseudo customers who were served by trained servers had BAC level far lower than the one who were served by untrained servers. It was also found that in few cases the BACs of some customers served by untrained staff was higher than the legal limit.
While these early research was able to associate RBS with reduced intoxication. The extent to which RBS impacts alcohol abuse could not be confirmed. Similar study by Rossow and Baklien (2010) in Norway studied the implementation of RBS programs in three cities and compared its impact in reducing alcohol abuse both before and after the implementation of the
RBS program. Their research found that RBS program in Norway failed to reach its objectives!
While RBS could not reach its objectives in Norway, in neighboring Sweden the Stockholm prevents alcohol and drug problems also known as the STAD project was found to be highly effective. The failure of RBS in Norway was attributed to a lack of depth in both program content and policy. The researchers found that state and establishment policies, support of management, program content and ways of implementation are crucial for any RBS programs to succeed. The key reason for the STAD project’s success was its interdisciplinary and cross- sector collaboration between key operators who worked together to influence the availability and demand for alcohol. Sweden’s equivalent to the RBS is called Ansvarsfull alkoholservering or
AAS. Another reason for the RBS failing in Norway according to Rossow and Baklien was that servers who underwent RBS program were not trained in evaluating if customers were underage or already intoxicated nor were they equipped to deal with situations where denial of alcohol was required.
Toomey and Wagenaar (1999) identified US States that required state wise RBS training for alcohol servers and qualitatively evaluated the existing RBS training programs, they reviewed government and institutional policies on alcohol to highlight policies and practices that could control and reduce alcohol related problems. They suggested that instead of burdening licensed establishment in providing RBS training to its staff a more practical and economic approach will be server licensing and certification. Where in servers are required to meet certain requirements and certification before taking up a job involving alcohol. Toomey et al (1998) after doing a qualitative assessment of RBS training program for servers across US States found that most of the RBS training programs across the US targeted the waiting staff whereas the crucial owners of the establishments were not included or required to undergo such training. The researchers emphasized the need for a uniform standard across the country while training staffs on RBS. Gehnan et al (1999) conducted focus group discussions with bar staff, managers and the security staff in licensed establishments in order to identify their beliefs and attitudes to develop effective RBS training programs. They discussed that one of the major reasons for any RBS program being ineffective was because of the nature and kind of RBS training provided to the servers. The researchers found that the trainings provided only knowledge based information, not the skills or incentives necessary to change server behavior. Lang et al (1998) studied the impact of training bar staff in reducing alcohol related harm. This was an experimental research wherein bar staff in different venues in a popular entertainment area was trained in RBS. The researchers used breath tests of patrons, drunken driving data, risk assessment, pseudo customers and knowledge and attitude change in staff to record the impact. The researchers found that the venue which was most successful in controlling alcohol related harm had good management support with managers embracing the programme .The researchers in this case suggested that for RBS program to be successful- mandatory training of staff along with enforcement of licensing laws are essential.
2.5 RBS and Harm Reduction
Moore et al (2010) stated that ‘licensed premises offer a valuable point of intervention to
reduce alcohol-related harm’. According to the researchers almost 47% of assaults against
adults were committed by intoxicated individuals. Linde et al (2016) studied the association
between the strength of RBS laws in each US State with incidents of binge drinking and
alcohol-impaired driving. The researchers used the Alcohol Policy Information System
(APIS) from the United State’s National Institute on Alcohol Abuse and Alcoholism. The
researchers then categorized the RBS policies of each state into four categories from least
restrictive to most restrictive. The four categories identified were-
1. State with no RBS Law. 2. Law requiring only voluntary training program. 3. Law requiring RBS training for some types of establishments and some staff. 4. Law requiring RBS training across all licensed establishments and all staff including managers.
The study however failed to find any significant association between the strength of state
RBS law and incidents of binge-drinking and drunk driving. The authors concluded by suggesting that RBS in itself might not be an effective tool in controlling alcohol related issues and suggested steps such as increasing the price and taxes on alcoholic beverages in controlling the issue of alcohol related problems.
Bellis & Hughes (2011) examined the implemented policies and interventions to reduce violence in public night-life and critically appraised the outcomes. Bellis & Hughes identified a growing trend called ‘preloading’ or ‘pre drinking’. This is the practice of consuming alcohol in the house or street before visiting a bar, pub or night club. According to the researchers this practices is due to the fact that alcohol can cost up to three times higher in a licensed premises like a bar, pub or nightclub than in a supermarket. While the customers are ordering less alcohol in a bar now, it is highly possible that they could be already intoxicated before entering the establishment or become intoxicated by consuming a little alcohol at the establishment. While preloading leads to fewer sales on alcohol in a bar yet create more intoxication or alcohol related harm. Identifying such customers at the entrance itself becomes a priority in such cases. The researchers further comments that due to preloading, establishments are forced to come up with strategies and offers to encourage sales. Studies from Ireland showed that there has been a decrease in on premises consumption by almost 56%. The researches in their study also identified factors such as a permissive atmosphere, overcrowding, low level of comfort, poorly trained staff and cheap drinks promotions in licensed premises as chief causes of alcohol abuse and intoxication.
Fell et al (2017) evaluated RBS to reduce impaired driving. The researchers evaluated
RBS in two participating US communities- Monroe County, New York and Cleveland, Ohio. The two communities implemented an RBS program that integrated outreach, RBS training and enforcement. The project consisted of four activities-
1. The collection of data on the place of last drink for drivers arrested for driving intoxicated. This was done to identify problem or high risk bars in the community. 2. Assessment by control officers to raise awareness and cooperation among selected problem bars. 3. RBS Training. 4. Implementation of stricter alcohol law.
Data was collected from Pseudo customers, Observation by control officers, Breath test by bar patrons, Data from arrested drivers. The data revealed that RBS training along with follow- up enforcement could affect customer’s intoxication levels.
2.6 Hurdles in implementing RBS
Prabhu et al (2010) conducted a study to review and examine the nature, prevalence and impact of alcohol use and misuse in India .After reviewing various literature and reports for their study, their findings mention that the alcohol policy in India is based solely on Ideological or moral views and not on any scientific approach. While Prabhu et al did not discuss RBS in their review; their findings suggest a need to review the overall alcohol policy in India, as the present policies are ineffective and in some cases encouraging illegal activities. The authors had given the example of Gujarat, a dry state where in the year 2005, over 8 lakh liquors of illegal alcohol was seized by the State’s Prohibition Department.
Reiling and Nusbaumer (2006) collected survey data from beverage servers in Indiana,
USA to examine the influence of various factors on the willingness to over serve. Their research stated that economic motivation and an individual server’s personal drinking pattern were the major causes of allowing patrons to consume alcohol beyond limits. Another major reason for lack of RBS was identified by Gehan et al (1999) who conducted a focus group, qualitative study on servers and managers, as the inability by servers to identify intoxication among different people and in different settings. Reiling and Nusbaumer (2006) also mentioned that some patrons were able to mask overconsumption or intoxication making server intervention difficult. The authors also stated that without proper guidelines and protocols for identifying intoxicated patrons with respect to the specific environment, servers will not be in a position to confidently refuse service. Mcknight (1991) and Gehan et al (1999) reported that server training programs was only imparting theoretical knowledge to the servers and not the skills required to refuse service to underage or intoxicated patrons. Doherty and Roche (2003) in their monograph mentioned that the high employee turnover in the hospitality industry was a major barrier in training employees on RBS and also in implementing a consistent and sustainable RBS policy.
Green and Plant (2006) studied the association between alcohol abuse and problematic customer behaviors with the characteristics of a bar. Green and Plant identified three main factors for encouraging alcohol abuse or hurdles in implementing RBS. These are:-
➢ Internal Physical characteristics and atmosphere like the layout of the bar, seating arrangements and crowding. ➢ Guest or customer characteristics. ➢ Beverage choices ➢ External characteristics like location and density with respect to other bars and restaurants in and around the area.
Green and Plant’s (2006) study was based on reviewing the published empirical
evidence to understand the possibility that there could be an association between problematic
behaviors and bar characteristics.
Costello et al (2011) in their monograph discussed that the success of any responsible service initiative is possible only when it is practiced in conjunction with other intervention practices including management support to staff in implementing RBS and support by enforcement agencies. The researchers studied the reasons why staff in licensed premises over served their customers? This research was able to identify key reasons for over serving or not practicing RBS. The major finding from the study were-
That staff over-served customers because:-
➢ They relied on their own values and judgments. ➢ Staff was not able to identify intoxication in patrons. ➢ The fear of customer backlash and confrontation if service was refused. In fact the study found that most staff preferred to over serve in spite of the customer being intoxicated in order to prevent possible abuse, aggression or violence from customers .This fear was found to be more prevalent in female staff or when faced with older and larger customers. ➢ It was found that revenue and economic factor also played an important part in over service. The research found that, intoxicated guests not only spent the most but are also heavy tippers. ➢ Like Green and Plant, Costello’s study also mentions factors of layout, crowd and busy staff as likely reasons for over serving.
Costello et al’s (2011) study discussed the reasons on why servers in licensed
establishments over served customers to intoxicating levels despite RBS rules and
regulations. This was a qualitative study where focus group interviews were used to collect
data.
Alexander and Nadine (2001) reviewed the strategies designed to reduce the incidence of harms related to excess alcohol consumption. The researchers analyzed the link between the framework for use reduction and harm reduction developed by MacCoun (1998), with the RBS model developed by McKnight (1993). The RBS model by McKnight is discussed in Chapter
1.9, under Theoretical Framework.
The researchers, from MacCoun’s (1998) model identified three levels of concerns associated with use reduction interventions- ➢ Total quality consumed ➢ Shape of the consumption distribution ➢ Individual consumption per episode.
‘Individual consumption per episode’ is the primary concern, when it comes to RBS objectives. It is applicable, not only to regular heavy drinkers but also to individuals who over the long term may be considered moderate drinkers but may occasionally end up binge drinking and intoxicated.
Alexander & Nadine also comments on RBS and its impact on profitability. The authors make suggestions, though not supported by research or actual data that establishments could overcome this loss in profit by increasing the number of customers who drink moderately and by increasing the frequency of such consumers to the establishment. Alexander (2005) in this thesis investigated if training staff and managers of licensed establishments resulted in more RBS.
Alexander used a mixed method wherein he got quantative data from pseudo customers and qualitative data through interviews with patrons, staff and managers. His research found no significant impact of training on RBS. The major reasons cited for this was – even if patrons were refused service, they could get it from someplace else. This concern was supported by customers in their interview. Alexander quoted the customer’s reply, “if I can't get drunk at a particular bar there are plenty of others where I can”. Therefore, there was no point in loosing revenue by refusing such customers. Alexander’s research also discusses the concept of harm reduction as being a significant objective of RBS. Bellis et al (2015) studies the factors associated with harm on an individual, due to the alcohol consumption of another person.
Bellis’s research has been included in this review because the concept of harm reduction involves not only keeping the drinker safe but also others around him or her .Bellis used an anonymous online survey to gather data. This research found that the age category of 18 to 24 years were the most venerable to be harmed by intoxicated individuals. Verbal abuse and insult was the most common form of assault. This study reported that1 in 6 women in the age group of
18 to 24 faced sexual harassment from intoxicated individuals.
2.7 Findings from Literature Review
While most researchers found RBS being able to control alcohol abuse and intoxication, these were academic research usually conducted in controlled environment and focused on individual establishments. RBS has been found to be effective only in cases where it is supported by strong house policies, management support and the strength of state alcohol law. Support to server by the management and incentives are found to be the motivators for the staff to actually practice RBS. Though there are strong laws and policies to practice RBS, staff in licensed establishments still find it difficult to fully implement RBS. The literature review highlights the need for a holistic approach towards reducing alcohol related harm by including the stakeholders in the community. RBS is an initiative by the food and beverage service industry towards controlling alcohol related issues and plays a small but vital role in the big picture. Chapter 3
Research Design
This chapter starts by defining the terms and concepts used in the research, followed by the research gaps and the hypothesis used. The procedure followed for selecting the sample and the tools used for collecting data has been explained along with the statistical techniques for analyzing the data.
3.1 Operational Definitions
Alcoholic Beverage – Beverage or a drink that contains more than 0.05% of ethanol.
Alcohol Abuse – Consumption of alcoholic beverages to excess on individual
occasions or regularly.
Intoxication – A condition of having ones physical control, mental control or control
on both markedly diminished by the effects of alcohol or drugs.
Responsible beverage service (RBS) or Responsible Service of Alcohol (RSA) -
The supply and service of alcoholic beverages in a responsible manner. It also
includes that license holders, employees and managers serving alcoholic beverages
should ensure that they conduct their business in a responsibly, and are also
accountable for their actions.
Customer Loyalty- The extent to which customers are devoted to a company’s
product or service. With respect to this research- the products and service in a bar or
restaurant and the tendency of a customer to go back to the same bar or restaurant
over the competition or alternatives available to him or her.
3.2 Research Gap
There have been a number of studies carried on the impact of RBS in controlling alcohol abuse and intoxication. Most of the studies have been carried out in developed nations with a clear alcohol and RBS policy. While alcohol and its impact including other aspects associated with alcohol has been researched and studied by scholars, Government agencies and well as
NGO’s. The Topic of RBS in India has never been discussed or studied. The Review of literature could not locate any article or study on this subject for India.
3.3 Hypotheses for the Study
H0: Higher RBS practices do not result in lesser alcohol abuse.
H1: Higher RBS practices result in lesser alcohol abuse.
The dependent variable ‘ alcohol abuse’ and the independent variable ‘ RBS
practices’ were derived from previous studies on RBS. The table 3.1 lists the sources
from where the variables were derived.
Table 3:1: Sources of variables
Variable Description Source Year Alcohol As per WHO alcohol Abuse abuse is a kind of Linde et al 2016 substance abuse. Substance abuse is defined as, “the harmful or hazardous use of psychoactive substances”. RBS Number of RBS Practices strategies used while Waverley Council Report 1994 practicing RBS in a licensed premises. Doherty, S. J.,& 2003 Roche, A. M
3.4 Sources of Data Collection
Secondary Data - WHO reports, Training manuals and online resources provided the secondary data for this research. Primary Data- Primary data was collected at two levels. Two sets of questionnaires were developed, one for the customers who frequented bars and restaurants in Five Star Hotels and another for hotel professionals, in order to garner views from both the customer and the server. The survey questionnaire was administered to the customers who frequent bars in star hotels and to servers and executives in these licensed premises. Data was collected using a structured questionnaire.
3.5 Method of Data Collection
The questionnaire was created based on the review of literature on previous studies on
RBS and concentrated on the objectives of the study. A scheduled method was adopted for data collection. The Likert five point scales have been adopted. The questionnaire was distributed to the subject expert to check the content validation and later standardized through a pilot study. A pre test with a sample size of 30 has been conducted to check its reliability. Reliability of the questionnaire was tested with the help of SPSS Cronbach’s Alpha. This was followed by the actual data collection. The sample size for the customer survey was kept at 400.
The first set of questionnaire was meant for customers who frequented bars and restaurants in 5star hotels. This questionnaire was designed to find answers to the following objectives –
To examine the level of acceptance of responsible beverage service practices by customers. To examine the influence of responsible beverage service practices on alcohol abuse and intoxication. To examine the impact of responsible beverage service on customer loyalty.
The second set of questionnaire was meant for Hospitality professionals dealing with alcohol. The 5 star brands operating in Karnataka were approached for the same. Since management and operating policies are same across a hotel chain only one property or brand owned by a particular Hotel company was issued the questionnaire. For example the Accor hotel chain operates three brands in Karnataka – Novotel, Mercure and Ibis. While these hotels are different in terms of comfort and facilities provided. Management and Operating policies are same across all three brands. For the second set of questionnaires samples from 25 Hotel chains were taken.
A one on one interview was also conducted with selected customers in order to get a better understanding on their responses to the given questionnaires. These respondents were selected based to their opinion that even though they supported RBS they did not agree with few
RBS practices.
Table 3.2: Reliability Test Score
Cronbach’s Alpha N of items .839 22
Test score of 0.839 confirms a high level of internal consistency of scale with the specific sample. Therefore it is verified that the questionnaire is valid with an accuracy of 83.9%.
3.6 Statistical tools and techniques
The SPSS 21 (Statistical Package for the Social Science) was used to analyze the data. A test to determine the Normality of the Data- the Shapiro Wilk test was conducted, which showed that the data in this study was a non- normal data. Therefore, Non-Parametric tests were more suitable for testing the hypothesis.
For the first section of the study, the demographic variables were analyzed using SPSS.
A Spearman's rank-order correlation analysis was carried out to determine if a customer’s support and approval of RBS have any influence on them accepting the server from not serving any more alcohol.
The impact of RBS on customer loyalty in bar and restaurants is addressed using measurement model (OLS regression) technique.
Hypothesis testing has been conducted using the Spearman's ordinal correlation for non parametric data.
Chapter – 4
Statistical Analysis and Interpretation
The statistical analysis of data collected with regards to the study on ‘Responsible Service of Alcohol: An Evaluation of Policies and Practices of Five Star Hotels in Karnataka’ is covered in this chapter. In the first section, the customer’s perspective on the awareness of Responsible
Service of Alcohol and their suggestions on more effective control measures to check alcohol abuse and alcohol related cases are discussed.
In section II, statistical analysis in the form of testing hypotheses to examine the relationship between RBS practices on alcohol abuse and intoxication in Bar and Restaurants, is carried out.
In the third section, the Bar and Restaurant Management’s perspective about awareness of Responsible Service of Alcohol is carried out. Effective measures to control alcohol abuse is also addressed and suggested. Furthermore, the Opinion of the Bar and Restaurant Managements with regards to the major challenges in practicing RBS is discussed in this section.
4.1 Demographic Characteristics
The following tables and figures give the demographic characteristics of the respondents-
Table 4.1: Gender
Gender Frequency Percent
Male 230 57.5
Female 170 42.5
Total 400 100.0
Figure 4.1: Chart showing break up of respondent’s gender
Table 4.2: Age group of customers
Age groups Frequency Percent
(21-30) 132 33.0
(31-40) 118 29.5
(41-50) 110 27.5
(51-60) 22 5.5
(61-70) 11 2.8
( above 71) 7 1.8
Total 400 100.0
Figure 4.2: Age group of the customers
Table 4.3: Gender * Age Cross tabulation
Gender Age Total
(21-30) (31-40) (41-50) (51-60) (61-70) ( above 71) Male 74 64 67 15 5 5 230
Female 58 54 43 7 6 2 170 Total 132 118 110 22 11 7 400
Table 4.4: Educational Qualification
Educational Frequency Percent Qualification
High School Level 7 1.8
Bachelor's Level 151 37.8
Master's Level 209 52.3
Doctoral Level 33 8.3
Total 400 100.0
Figure 4.3: Customer’s educational background
Table 4.5: Employment
Profession Frequency Percent
student 53 13.3
professional 226 56.5
self-employed 104 26.0
retired 7 1.8
other 10 2.5
Total 400 100.0
Figure 4.4: Employment background
Table 4.6: Education * Employment Cross tabulation
Employment Total
Education
student professional self-employed retired other High School Level 4 1 2 0 0 7 Bachelor's Level 46 76 22 2 5 151
Master's Level 3 131 67 5 3 209 Doctoral Level 0 18 13 0 2 33 Total 53 226 104 7 10 400
Interpretation
Of the 400 respondents, 230 were male and 170 female.132 respondents were in the age group of 21 to 30, with 74 males and 58 females in this group. Age group 31 to 40 years had a total of 118 respondents with 64 male respondents and 54 female respondents. There were 110 respondents in the age group for 41 to 50 years, with 67 male and 43 female respondents. Age group 51 to 60 years had a total of 22 respondents with 15 male and 7 female respondents. There were 11 respondents for the age group 61 to 70 which included 5 male and 6 female respondents.
The final age group of 71 years and above had 7 respondents with 5 male and 2 female respondents.
Looking at the education and profession of the respondents, it is observed that there were
53 students which included 4 from the high school level, 46 who had a bachelor’s degree and 3 with master’s degree. The largest group with 226 respondents was formed by professionals, who included 1 with high school education 76 with bachelor’s degree 131 masters degree and 18 respondents with doctorates. The self-employed group had 104 respondents with 2, 22, 67 and 13 high school, bachelor’s, master’s and doctoral level education. There were 7 respondents in the retired group which included 2 and 5 respondents with bachelor’s and master’s level education.
The final group consisted of respondents which did not fit in any of the employment groups such as homemakers and people on sabbatical from work. This group had 10 respondents with 5 bachelor’s, 3 masters and 2 respondents with doctoral level education.
Section I
Customer’s Perspective
In this section, the customer’s perspective on the awareness of Responsible Service of
Alcohol and their suggestions on more effective control measures to check alcohol abuse and alcohol related cases are discussed. The analysis commenced with descriptive statistics in order to transform the raw data into a form that is easier to understand and interpret.
Figure 4.5: Descriptive statistics for awareness of Responsible Beverage Service
Figure 4.6: Descriptive statistics for support and approval of RBS
Fig 4.7: Descriptive statistics for RBS reducing alcohol abuse and intoxication in bars and restaurants
Figure 4.8: Descriptive statistics for RBS reducing alcohol abuse and intoxication in the community
Figure 4.9: Descriptive statistics for acceptance of service intervention
Figure 4.10: Descriptive statistics for returning to establishment that practices RBS
Figure 4.11: Descriptive statistics for recommending an establishment that practices RBS to others
Figure 4.12: Descriptive statistics for experiencing RBS
Figure 4.7: below gives the consolidated descriptive analysis on the responses by the customer to RBS
Table 4.7: Customer Response to RBS
N Min Max Mean Std. Question Deviation
Where you aware of 400 1.0 5.0 2.828 .9670 responsible beverage service before receiving this questionnaire?
Would you support and approve 400 1 5 4.19 .644 RBS in bars and restaurants?
In your opinion can RBS reduce 400 1 5 3.98 .774 alcohol abuse and intoxication in bars and restaurants?
In your opinion can RBS reduce 400 1 5 3.20 1.065 alcohol abuse, intoxication and alcohol related accidents and crimes in the community?
As a customer, you will accept 400 1.0 5.0 3.028 1.0486 if a server stops serving you any more alcoholic drink.
Would you go back to that 400 1.0 5.0 2.950 1.1206 establishment again?
Would you recommend such a 400 1.0 5.0 3.100 1.2344 Bar/Restaurant which practices RBS to your friends?
Have you ever experienced or 400 1.0 2.0 1.750 .4336 seen RBS being practiced in any bar/restaurant or hotel?
Interpretation
From table 4.7 it is observed for the question “Would you support and approve RBS in bars and restaurants?” has the highest mean at 4.19 and standard deviation of .644. This indicates a strong support and approval towards RBS by customers. Least agreement was observed in the item “Have you ever experienced or seen RBS being practiced in any bar/restaurant or hotel?”
(Mean 1.750, SD .4336)
A Spearman's rank-order correlation analysis was carried out to determine if a customer’s support and approval of RBS have any influence of them accepting the server from not serving any more alcohol. The results as summarized in Table 4.8 indicated a weak but positive correlation between support and approval of RBS and accepting the server from not serving any more alcohol. This was statistically significant at (rs= .292, p=0.01). Hence we can say that customer’s support and approval of RBS have a meager influence of them accepting the server from not serving them any more alcohol.
Table 4.8: Correlation
Would you As a customer, support and you will accept if approve RBS in a server stops bars and serving you any restaurants? more alcoholic drink.
Would you support and Correlation Coefficient 1.000 .292** approve RBS in bars and Sig. (2-tailed) . .000 restaurants? N 400 400 Spearman's rho As a customer, you will Correlation Coefficient .292** 1.000 accept if a server stops Sig. (2-tailed) .000 . serving you any more 400 400 N alcoholic drink.
**. Correlation is significant at the 0.01 level (2-tailed).
The impact of RBS on customer loyalty in bar and restaurants is addressed using measurement model (OLS regression) technique.
Figure 4.13: Impact of RBS on Customer Loyalty in Bar and Restaurants
R2 = 0.072, Adj R2 = 0.069, S.E = 1.190
OLS Regression Result:
Table 4.9: Standardized OLS Regression weights for the dimensions of RBS on Customer Loyalty in Bar and Restaurants
Standard S.E. C.R. P Estimate Customer Loyalty <--- RBS Practices 0.267 0.077 5.544 0.000* * Significance at 5 % level.
It is observed from the OLS Regression result depicted in Table 4.9 that RBS
PRACTICES has a positive significant influence on CUSTOMER LOYALTY (ß = 0.267;
CR=5.544, p<0.05). The interpretation is that, for one unit increase in the rating scale of agreement on RBS PRACTICES construct, one could expect about 0.267 times (approximately a little more than one fourth times) increase in CUSTOMER LOYALTY dimension. In other words, if suppose the management of Bar and Restaurants follow and apply RBS practices for any new 10 customers visiting their Bars and Restaurants, one would expect only about four persons show their loyalty and there is likelihood of visiting again to that particular Bar and
Restaurant in future.
Descriptive Statistical Analysis Diagrams on Customer Response to RBS Practices of Five star Hotels
The descriptive statistics includes mean, standard deviation and frequency percentage presented using histogram charts. This analysis will be useful in understanding the customer’s perspective on effective RBS practices to be followed in licensed establishments.
Figure 4.14: Descriptive statistics for young guests showing their age proof before ordering drinks
Figure 4.15: Descriptive statistics for service intervention by server
Figure 4.16: Descriptive statistics for slow service or delayed service for guests who are over consuming alcohol
Figure 4.17: Descriptive statistics for barring guests identified as heavy drinkers
Figure 4.18: Descriptive statistics for taking the vehicle keys of intoxicated guests
Figure 4.19: Descriptive statistics for recommending guests who are only drinking alcohol to order food
Figure 4.20: Descriptive statistics for diluting alcoholic drinks
Figure 4.21: Descriptive statistics for dropping back intoxicated guests
Figure 4.22: Descriptive statistics for placing signs on Responsible Drinking
Figure 4.23: Descriptive statistics for regular patrol and checking by excise officials
Table 4.10:
Customer Response to effective RBS strategies to be followed by Five star Hotels
RBS Strategy N Minimum Maximu Mean Std. m Deviation
Young guest are required to 400 1.0 5.0 4.233 .7874 show their age proof before ordering drinks.
Guests who have already 400 1.0 5.0 3.925 1.0034 consumed enough alcohol are not served anymore alcohol
Slow service or delayed 400 1.0 5.0 3.735 .9835 service for guests who are over consuming alcohol.
Guests who are already 400 1.0 5.0 3.415 1.2130 identified as heavy drinkers are not allowed to enter.
If found intoxicated guests 400 1.0 5.0 3.320 .9849 are requested to hand over their vehicle keys.
If found that the guest has 400 1.0 5.0 3.545 .9902 been only drinking alcohol. They are suggested to slow down and order some food. Drinks are purposefully 400 1.0 5.0 2.445 1.1577 diluted for guests who have already consumed too much alcohol.
Intoxicated guests are 400 1.0 5.0 3.318 1.0533 dropped back in the hotel's car or a cab with security personal.
Signs on ' Responsible 400 1.0 5.0 2.800 1.2546 Drinking' placed in venue.
Regular patrol and checking 400 1.0 5.0 3.778 .8888 by excise officials.
Figure 4.24: Customer response to effective RBS strategies to be followed by Five star Hotels
Mean Score 5 4.5 4 3.5 3 2.5 2 1.5 1 0.5 Mean Score 0
Interpretation
From the descriptive analysis on customer’s perception on effective RBS practices, it is observed that the practice of young customers showing proof of age before ordering an alcohol is considered to be most effective (mean score 4.233) in controlling alcohol abuse. Followed by, stopping service to guests who have already consumed enough alcohol (mean score 3.925). The practice of diluting drinks is least preferred by the customers among the various RBS practices followed in licensed establishments (mean score 2.445). Interview with selected customers reveled that they felt that such a practice even though done with good intentions was unethical and considered it as cheating the customer.
Section II
Before applying any statistical tools to test the hypothesis, the data was tested for normality using the Shapiro-Wilk test. The results in the table 4.11 shows that for ‘would you support and approve RBS in bars and restaurants’ and ‘ in your opinion can RBS reduce alcohol abuse and intoxication in bars and restaurants’ the Shapiro-Wilk significance is .000 ,which is below the significant value of .05, indicating that the data does not follow a normal distribution.
Therefore, non parametric tests would be more suitable to test the hypothesis.
Table 4.11: Tests of Normality
Kolmogorov-Smirnova Shapiro-Wilk Statistic df Sig. Statistic df Sig.
Would you support and .323 400 .000 .731 400 .000 approve RBS in bars and restaurants? In your opinion can RBS .359 400 .000 .750 400 .000 reduce alcohol abuse and intoxication in bars and restaurants?
H0: RBS practices do not result in lesser alcohol abuse incidents.
H1: RBS practices result in lesser alcohol abuse incidents.
In essence, as the level of acceptance of the respondents towards RBS practices moves from strongly disagree to strongly agree. There will be a higher proportion of respondents agreeing or strongly agreeing that, there would be reduction in alcohol abuse incidents in Bar and
Restaurants
Spearman's ordinal correlation coefficient result:
Here X → Level of acceptance towards RBS practices (Measured on a ordinal likert scale from Strongly Disagree to Strongly Agree)
Y → Level of acceptance towards reduction in alcohol abuse (Measured on a ordinal likert scale from Strongly Disagree to Strongly Agree)
Table 4.12: Spearman's ordinal correlation coefficient result between acceptance towards RBS practices and acceptance towards reduction in alcohol abuse. Acceptance towards reduction in alcohol abuse Acceptance towards RBS practices r = 0.268*, p-value = 0.000, S.E = 0.036 N = 400, * Significant at 5 % level
From the above Spearman's ordinal correlation in Table 4.12, it is observed that the correlation (r) between the levels of acceptance towards RBS practices and levels of acceptance towards reduction in alcohol abuse is r = 0.268 (p=0.000) and it is statistically significant at 5 % level. Thus, we accept alternative hypotheses H1. This indicates that higher the level of acceptance towards RBS practices, higher the levels of acceptance towards reduction in alcohol abuse. However, the ‘r’ value of 0.268 indicates a weak correlation, thus one could conclude that the level of acceptance towards RBS practices does not strongly correlate with the degree of acceptance towards reduction in alcohol abuse in Bar and Restaurants by the sample customers.
Section III
In this section, the Bar and Restaurant Management’s perspective about awareness of
Responsible Service of Alcohol is carried out. Effective measures to control alcohol abuse is also addressed and suggested. Furthermore, the Opinion of the Bar and Restaurant Managements with regards to the major challenges in practicing RBS is discussed in this section.
Firstly, when asked the sample management respondents on whether the staffs in their respective organizations are aware of Responsible Beverage Service (RBS) or Responsible
Service of Alcohol, it emerged that that 100 percent of the respondents stated that they are indeed aware of Responsible Beverage Service (RBS) or Responsible Service of Alcohol as they are working in Bar and Restaurants.
Figure 4.25: Organization having an RBS policy
Furthermore, when asked the sample management respondents on whether their organization have an RBS policy, it is observed 80 percent of the respondents stated that they have only verbal policy and no written policy while one fifth (20 percent) of them categorically acknowledging that their organization have a written
RBS policy.
Figure 4.26: Staff allowed to refuse serving alcohol to a guest if he/she is underage
Answering to the query on whether the staffs in their respective organizations are allowed to refuse serving alcohol to a guest if he/she is underage, 56 percent of the respondents categorically agreed that the staffs are allowed to refuse serving alcohol while four percent of them stated they are not allowed. 40 percent of the respondents said that the decision to serve alcohol or not is solely dependent on the discretion of the Bar and Restaurant management.
Figure 4.27: Staff allowed to refuse serving alcohol to a guest if he/she is already intoxicated
Likewise, answering to the query on whether the staffs in their respective organizations are allowed to refuse serving alcohol to a guest if he/she is already intoxicated, it is observed
40 percent of the respondents categorically agreed that the staff are allowed to refuse serving alcohol while four percent of them said the they cannot be refused to serve alcohol to the customers who are already intoxicated. On the other, 56 percent of the respondents said that the decision to serve alcohol or not is solely dependent on the discretion of the Bar and Restaurant management.
Figure 4.28: Limit to the number of drinks a guest can consume
On similar lines, when asked the sample management respondents on whether there is any limit to the number of drinks a guest can consume in your establishment, it is observed 96 percent of the respondents categorically acknowledged that there is no limitation in the number of drinks to be consumed by the customers while four percent of them accepted to the fact that there is a restriction in the number of drinks a guest can consume in your establishment.
Figure 4.29: Staff RBS certification
In continuation, when asked the sample management respondents on whether the employees in their respective organizations are required to go through any certification in
RBS, it is observed 84 percent of the respondents categorically acknowledged that the employees in their organization are not required to go through any certification in RBS while 16 percent of them said that the employees in their organization are required to go through a certification in RBS.
Figure 4.30: Screening of customers before serving alcohol
When asked the sample management respondents on whether they screen guests for age/intoxication before they are allowed to enter the bar or when they approach the server for alcohol in any other venue in the hotel, it is observed 72 percent (Fig 4.8) of the respondents categorically acknowledged to the above statement while 28 percent of them said that they do not screen guests for age/intoxication before they are allowed to enter the bar or when they approach the server for alcohol in any other venue in the hotel.
Figure 4.31: Check by hotel on intoxicated guest’s conveyance
On similar lines, when asked the sample management respondents on whether the employees in their respective organizations are required to check how an intoxicated guest is travelling back home, it is observed 32 percent (Fig 4.9) of the respondents categorically acknowledged that it is essential to check how an intoxicated guest is travelling back home while 67 percent of them said there is no need to check how an intoxicated guest is travelling back home.
Figure 4.32: Stopping intoxicated guests from driving
Finally, when asked the sample management respondents on whether the employees in their respective organizations are required by their organization to stop the intoxicated guest driving, it is observed 48 percent (Fig 4.10) of the respondents categorically acknowledged that it is required by their organization to stop the intoxicated guest driving while 52 percent of them said it is not mandatory by their organization to stop the guest driving after intoxication.
Descriptive analysis of RBS practices followed in 5 Star Hotels in Karnataka. The descriptive statistics includes mean, standard deviation and frequency percentage presented using histogram charts. This analysis will be useful in understanding the practices which is used by hotels in
Karnataka to control alcohol abuse and intoxication among customers.
Figure 4.33: Descriptive statistics for young guests showing their age proof before ordering drinks (Industry response)
Figure 4.34: Descriptive statistics for service intervention by server (Industry response)
Figure 4.35: Descriptive statistics for slow service or delayed service for guests who are over consuming alcohol (Industry response)
Figure 4.36: Descriptive statistics for barring guests identified as heavy drinkers (Industry response)
Figure 4.37: Descriptive statistics for taking the vehicle keys of intoxicated guests (Industry response)
Figure 4.38: Descriptive statistics for recommending guests who are only drinking alcohol to order food (Industry response)
Figure 4.39: Descriptive statistics for diluting alcoholic drinks (Industry response)
Figure 4.40: Descriptive statistics for service of complimentary water and non alcoholic drinks (Industry response)
Figure 4.41: Descriptive statistics for dropping back intoxicated guests (Industry response)
Figure 4.42: Descriptive statistics for placing signs on Responsible Drinking (Industry response)
Figure 4.43: Descriptive statistics for regular patrol and checking by excise officials (Industry response)
The table 4.13 below gives the consolidated descriptive analysis of RBS practices followed in five star hotels in the State of Karnataka.
Table 4.13: Descriptive Statistics RBS Practices N Minimum Maximum Mean Std. Deviation Young guests are required to 26 2.0 5.0 4.308 .6794 show their proof of age before ordering alcoholic drinks. Guests who have already 26 2 5 3.15 1.047 consumed enough alcohol are not served anymore alcohol. Slow service or delayed 26 3 5 3.77 .652 service for guests who are over consuming alcohol. Guests who are already 26 1 4 2.38 .697 identified as heavy drinks are not allowed to enter the bar. If found intoxicated, guests 26 2 5 2.77 1.070 are requested to hand over their vehicle keys. If found that the guest has 26 3 4 3.42 .504 been only drinking alcohol. They are suggested to slow down and order some food. Drinks are purposefully 26 1 4 1.92 1.055 diluted for guests who have already consumed too much alcohol. Serve complementary water 26 2 5 3.77 .710 or non alcoholic beverages to guests who have been drinking only alcohol for some time. Intoxicated guests are 26 2 5 2.73 1.002 dropped back in the hotel’s car or a cab with security personal is arranged. Signs are put up on 25 1 5 2.68 1.282 ‘responsible drinking’ at places where alcohol is being served. Are there inspections by the 25 2 5 3.80 .866 excise department in your bar/hotel specifically to check on alcohol abuse and underage drinking among guests?
Interpretation
It can be understood from the descriptive analysis of RBS practices that the top three
RBS practices followed in the hotels with respect to their mean values are-
1. Young guests are required to show their proof of age before ordering alcoholic drinks.
2. Inspections by the excise department in your bar/hotel specifically to check on alcohol
abuse and underage drinking among guests.
3. Slow service or delayed service for guests who are over consuming alcohol.
The least practiced strategy was to dilute the drink of customers. Interview with the hotel professionals on this question reveled two major reasons, as to why this was the most unflavored practice. According to respondents-
➢ They felt that doing so would be cheating the customer. ➢ The possible backlash by customers if they came to know that they have been under poured, especially when intoxicated would negate the entire effort.
➢ Challenges in practicing Responsible Beverage Service.
Table 4.14: Descriptive Statistics on major challenges in practicing RBS
Challenges N Minimum Maximum Mean Std. Deviation
Lack of support from 25 1 5 3.04 .935 management Negative behavior by the 25 3 5 4.48 .586 guest.Guests becoming aggressive, violent or abusive when refused to be served Fear of losing out on Tips 25 1 3 2.28 .678 Fear of Displeasing or 25 4 5 4.52 .510 embarrassing a guest and him/her not coming back Loss of revenue 25 2 5 3.60 .764 Lack of management policy 25 1 4 2.28 1.021 VIP or influential guests 25 2 5 3.76 .879 Making a good impression 25 2 4 2.80 .707 on guests Being too busy to indulge in 25 2 5 4.00 .866 individual guests Difficulty in identifying 25 1 3 2.16 .554 intoxication
Figure 4.44: Descriptive Statistics on major challenges in practicing RBS
Mean Score 5 4.5 4 3.5 3 2.5 2 1.5 1 0.5 0 Mean Score
Interpretation
Interpretation of the descriptive statistics data with respect to the mean scores, the challenges faced by hotels in practicing RBS in the order from most challenging to least is given below in table 4.15-
Table 4.15: RBS in the order from most challenging to least
Criteria Mean Score Fear of Displeasing or embarrassing a guest and him/her not coming back 4.52 Negative behavior by the guest. 4.48 Being too busy to indulge in individual guests 4 VIP or influential guests 3.76 Loss of revenue 3.6 Lack of support from management 3.04 Making a good impression on guests 2.8 Fear of losing out on Tips 2.28 Lack of management policy 2.28 Difficulty in identifying intoxication 2.16
Chapter 5
Findings, Suggestions and Conclusion
5.1 Findings and Discussion
The previous chapter reported the quantitative analysis of data on both the customer’s and the industry’s perspective on Responsible Beverage Service. This chapter discusses the findings with respect to the objectives of this research and also with the findings from previous studies and its relation with the theory. The chapter also provides recommendations stemming from the research and recognizes limitations to the study.
The analysis and findings of the collected data, further strengthens and supplements the findings by other researchers in the field of Responsible Beverage Service. While most research and studies on RBS has been conducted overseas, this particular research on RBS in Karnataka has been able to come up with findings and suggestions that could work in the Indian Scenario.
This research had laid down five objectives to be studied-
1 To explore and assess the various responsible beverage service policies and practices. 2 To examine the level of acceptance of responsible beverage service practices by customers. 3 To examine the influence of responsible beverage service practices on alcohol abuse and intoxication. 4 To examine the challenges hindering the effective practice of responsible beverage service in bars and restaurants. 5 To examine the impact of responsible beverage service on customer loyalty.
5.2 Objective wise Findings and Discussion
1
Objective 1: To explore and assess the various responsible beverage service policies and practices.
Chapter 1 and Chapter 2 discuss the various RBS policies and practices followed in India
and other countries. It is found from the literature and from the theoretical frame work that harm
reduction is the underlying objective for RBS. In support of the theory and modal on harm
minimization in Karnataka and rest of India, though not directly- the laws and policies of the
Central as well as the State Government has been towards minimizing harm.Baring a few states
which are into total prohibition most states in India as mentioned by Murthy (2015) have an
approach to minimize temptation among those who do not drink and discourage heavy drinking
among those who do, all the while not interfering with those who drink in moderation. The
Government’s rule regarding location of bars near national highways to reduce cases of accidents
due to drunk driving is in accordance with O’Donnell’s (1985) finding that most drunk drivers
had been drinking in a licensed establishment. From table 4.10 and 4.13, it is found that RBS
practices having high approval by both customers and industry are –
For young guest are to show their age proof before ordering drinks. Regular patrol and checking by excise officials. Slow service or delayed service for guests who are over consuming alcohol.
The practice of diluting the drinks was least favored among respondents. Interview on
this question reveled two major reasons, as to why this was the most unflavored practice.
According to respondents-
They felt that such a practice even though done with good intentions was unethical and considered it as cheating the customer.
2
The possible backlash by customers if they came to know that they have been under poured, especially when intoxicated would negate the entire effort.
Objective 2: To examine the level of acceptance of responsible beverage service practices by customers.
The Spearman's rank-order correlation analysis, carried out to determine if a
customer’s support and approval of RBS have any influence of them accepting the server
from not serving any more alcohol reviled that, customer’s support and approval of RBS
have a meager influence of them accepting the server from not serving them any more
alcohol. This finding is interesting because while there is a 92.3% approval for RBS, the
percentage of people who approved a server carding them (stop serving alcohol) was only
44.3%.Further investigation on this discrepancy was done by asking the respondents for this
contrast in opinion. It was found that people who approved RBS also practiced Responsible
Drinking and were not in the habit of over indulgence. Therefore they avoided any situation
which would have required the server or establishment to card them.
Objective 3: To examine the influence of responsible beverage service practices on alcohol abuse and intoxication.
Most of the previous studies on the influence of RBS on alcohol abuse and intoxication had
contrasting reports. While some studies like Saltz’s (1987) ‘Navy Server Study’ and Russ and
Geller (1987) were able to identify a positive impact in RBS controlling alcohol abuse. Other
studies like Rossow and Baklien (2010) could not verify if RBS could control alcohol abuse.
3
Figure 4.7 and 4.8 verifies in this study that there is a strong perception among customers that
RBS can reduce cases of alcohol abuse and intoxication in bars and restaurants and the community.
Objective 4: To examine the challenges hindering the effective practice of responsible beverage service in bars and restaurants
“If I can't get drunk at a particular bar there are plenty of others where I can”, as quoted by Alexander and Nadine (2001) to a customer’s reply. One of the main challenges to RBS in any part of the world will always be the customers and consumers accepting and supporting such an initiative. The notion that getting drunk is an important part of enjoying a drinking session needs to be addressed first if licensed places are expected to practice RBS.
Costello et al’s (2011) finding that one of the major challenges in practicing RBS was the fear of customer backlash and confrontation if service was refused. Table 4.15 of this report supports Costello and his teams finding as this factor being one of the major reasons for servers not practicing RBS in Karnataka.
Objective 5: To examine the impact of responsible beverage service on customer loyalty.
The review of literature could not find any study which addressed customer loyalty and
RBS. Alexander and Nadine (2001) hints in their research that practicing RBS should encourage moderate drinkers to frequent that establishment more often.
It was observed in this research that RBS practices have a positive influence on customer loyalty.
4
On the question of customer loyalty, 43% responded said that they would go back to an establishment again even if they were carded and 46% were also in favor of recommending such a place to their friends.
The interpretation on analyzing the data (Table 4.9) is that, for a one unit increase in the rating scale of agreement on RBS practices there is a ¼ times increase in customer loyalty. In other words for every 10 customers we can expect 4 of them to show their approval towards RBS practices and show loyalty towards the establishment.
5.3 Suggestions
As more and more people in the state and country start consuming alcohol, the need to control and check the negative impact of this rise is becoming more important. While this research has been able to verify the positive impact of RBS in checking alcohol abuse and controlling intoxication, it will take a combined effort from all the stakeholders to create a responsible drinking culture. The major decisions need to be taken by the policy makers as stricter rules and regulations including penalties; will make RBS more effective in the long run.
Beverage companies and licensed establishments need to educate and encourage customers to drink responsibly and also to support RBS by servers. Simple practices like checking the age of consumers can create a huge impact in reducing underage drinking. Customer education and acceptance will be the key to success for RBS by any establishment.
5
Hotels on their part need to come up with written policies and effective training programs for employees on RBS. Training on how to handle situations with-
Underage consumers. Abusive customers Binge drinkers Drunk ladies
Would give the servers more confidence in practicing RBS. A standard operating procedure (SOPs) for each situation will make the servers more proactive than reactive in checking alcohol abuse by patrons.
The Government will have to take a ‘carrot and stick’ approach on Hotels to ensure that they practice Responsible Beverage Service. Rewarding those practicing RBS and punishing those who are not. Spot checking by excise officers in venues will ensure that RBS is being followed seriously. It should also ease the burden on servers as consumers will be more willing to listen to a Government official than an employee.
5.4 Conclusion
RBS plays a small but significant role in checking alcohol abuse in the society. As more and more customers and hotels start adopting RBS it will create a culture of responsible drinking in the community .When RBS becomes a standard across licensed establishments there will be a measurable decrease in alcohol related accidents and crimes. Though most of the hotels are following some amount of RBS practices and the acceptance level of RBS by customers is also increasing. It will require a consistent effort from all quarters to ensure that there is any actual
6 cultural and behavioral change with respect to how we treat and consume alcohol.RBS practice across bars and restaurants will be able to control alcohol related issues in the community. It needs to be implemented across licensed establishments as only a few places practicing RBS will neither be sustainable or profitable in the long run as customers will have alternate options if only a few places are strict about RBS. This is where the role of the policy makers, community and law enforcers become important. They will have to ensure that RBS is implemented and practiced across all establishments and that there is no loophole in the system for both customers and establishments to take advantage of.
5.5 Scope for Further Research
The study focused on RBS in five star hotels in the State of Karnataka. The findings would have been much different had the research been done on licensed establishments others than star hotels as the majority of alcohol sale and consumptions happens in the local bars spread across the state where the profile of the customers as well as the employee is very different from that of a customer and staff in a five star hotel. Scope for research is high in such areas. A similar study on other states might give different results as drinking culture and acceptance of alcohol varies across states and cultures even within India.
7
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Appendix – Questionnaire
Responsible Service of Alcohol: An Evaluation of Policies and Practices of Five Star Hotels in Karnataka.
Questionnaire for Hospitality Professionals
Dear Madam/Sir,
Kindly take a few minutes to answer the questions given below. This particular questionnaire will be used towards my research on the above title. Further, your response will assist in addressing and suggesting more effective measures in controlling alcohol abuse and alcohol related issues.
The details you provide will be used solely for the above mentioned research and will be accessible to only those directly associated with this research.
Kindly answer the questions with a tick mark (√) on the right side of your response. Please copy the symbol √ and use it to mark your responses while answering the questionnaire online.
Name of the Organization -…………………………………………………………………
Position/Designation- ………………………………………………………………………
1. Are the staffs in your organization aware of Responsible Beverage Service (RBS) or Responsible Service of Alcohol? Yes No 2. Does your organization have an RBS policy? No Yes ( in written ) Yes ( only verbally)
3. Are the staffs in your organization allowed to refuse serving alcohol to a guest if he/she is underage? Yes No
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Only by the manager and above designation
4. Are the staffs in your organization allowed to refuse serving alcohol to a guest if he/she is already intoxicated? Yes No Only by the manager and above designation
5. Is there a limit to the number of drinks a guest can consume in your establishment? No Yes
If yes, please mention the number______
6. Are the employees in your organization required to go through any certification in RBS? Yes No
7. Do you screen guests for age/intoxication before they are allowed to enter the bar or when they approach the server for alcohol in any other venue in the hotel? Yes No
8. Are you required by the organization to check how an intoxicated guest is travelling back home? Yes No
9. If you see an intoxicated guest driving. Are you required by your organization to stop that person? Yes No
Please answer the following questions with respect to what is practiced in your organization.
10. Young guests are required to show their proof of age before ordering alcoholic drinks. Never Rarely Sometimes Often All of the Time
11. Guests who have already consumed enough alcohol are not served anymore alcohol. Never Rarely Sometimes Often All of the Time
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12. Slow service or delayed service for guests who are over consuming alcohol. Never Rarely Sometimes Often All of the Time
13. Guests who are already identified as heavy drinks are not allowed to enter the bar. Never Rarely Sometimes Often All of the Time
14. If found intoxicated, guests are requested to hand over their vehicle keys. Never Rarely Sometimes Often All of the Time
15. If found that the guest has been only drinking alcohol. They are suggested to slow down and order some food. Never Rarely Sometimes Often All of the Time
16. Drinks are purposefully diluted for guests who have already consumed too much alcohol. Never Rarely Sometimes Often All of the Time
17. Serve complementary water or non alcoholic beverages to guests who have been drinking only alcohol for some time. Never Rarely Sometimes Often All of the Time
18. Intoxicated guests are dropped back in the hotel’s car or a cab with security personal is arranged. Never Rarely Sometimes Often All of the Time
19. Signs are put up on ‘responsible drinking’ at places where alcohol is being served. Never Rarely Sometimes Often All of the Time
20. Are there inspections by the excise department in your bar/hotel specifically to check on alcohol abuse and underage drinking among guests? Never Rarely Sometimes Often All of the Time
21. In your opinion can RBS create a positive impact in controlling alcohol abuse and intoxication in the community as a whole? Never Rarely Sometimes Often All of the Time
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22. Do you think practicing RBS will create more loyal customers/guests in future? Please give reasons for your answer. ______
23. In your opinion what are the major challenges in practicing RBS?
Kindly rate the following reasons which might discourage a server from practicing RBS. Indicate your opinion about the following statements by ticking the appropriate column from 1(lowest/least likely reason)) to 5 (highest/ major reason).
1 2 3 4 5 Lack of support from management Negative behavior by the guest. Guests becoming aggressive, violent or abusive when refused to be served Fear of losing out on Tips Fear of Displeasing or embarrassing a guest and him/her not coming back Loss of revenue Lack of management policy VIP or influential guests Making a good impression on guests Being too busy to indulge in individual guests Difficulty in identifying intoxication
Kindly mention if there are other reasons in your opinion for not practicing RBS.
______
24. Please mention any other strategies used by your organization to control alcohol abuse in your guests-
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______
Thank you for your support in completing this questionnaire.
Warm Regards,
Zacharia Joseph
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Appendix – Questionnaire Responsible Service of Alcohol: An Evaluation of Policies and Practices of Five Star Hotels in Karnataka
Dear Respondent
Kindly take a few minutes to answer the questions given below. This particular questionnaire will be used towards my research on the above title. Further, your response will assist in addressing and suggesting more effective control measures in controlling alcohol abuse and alcohol related cases.
The details you provide will be used solely for the above mentioned research and will be assessable to only those directly associated with this research.
Useful definitions to help with filling the questionnaire-
Responsible beverage service - Responsible beverage service (RBS) or Responsible Service of Alcohol (RSA) means serving and supplying liquor in a responsible manner. It also means that licensees, approved managers and staff who sell or supply liquor are required to conduct their business in a responsible manner.
Alcohol abuse- Use of alcoholic beverages to excess, either on individual occasions (binge drinking) or as a regular practice.
Kindly answer the questions with a tick mark (√) on the right side of your response. Please copy the symbol √ and use it to mark your responses while answering the questionnaire online.
Gender – Male □ Female □
Age – (21-30) □ (31-40) □ (41-50) □ (51-60) □ (61-70) □ (above 71) □
Highest educational qualification -
High School Level Bachelor’s Level Master’s Level Doctoral Level
Employment Status -
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Student Professional Self Employed Retired Others
If others, please mention: ______
1. Were you aware of Responsible Beverage Service (RBS) before receiving this questionnaire?
Not at all aware□ Slightly aware□ Moderately aware□ Very aware□ Extremely aware□
2. Would you support and approve RBS in bars and restaurants?
Strongly disapprove□ Disapprove □ Neutral□ Approve□ Strongly approve□
3. In your opinion can RBS reduce alcohol abuse and intoxication in bars and restaurants?
Strongly Disagree □ Disagree□ Neutral□ Agree□ Strongly Agree□
4. In your opinion can RBS reduce alcohol abuse, intoxication and alcohol related accidents and crimes in the community?
Strongly Disagree □ Disagree□ Neutral□ Agree□ Strongly Agree□
5. As a customer, you will accept if a server stops serving you any more alcoholic drink.
Strongly Disagree □ Disagree□ Neutral□ Agree□ Strongly Agree□
6. Would you go back to that establishment again?
Strongly Disagree □ Disagree□ Neutral□ Agree□ Strongly Agree□
7. Would you recommend such a Bar/Restaurant which practices RBS to your friends?
Strongly Disagree □ Disagree□ Neutral□ Agree□ Strongly Agree□
8. According to you how effective would be these RBS strategies-
Strategy Never Rarely Sometimes Often All of
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the Time Young guest are required to show their age proof before ordering drinks.
Guests who have already consumed enough alcohol are not served anymore alcohol.
Slow service or delayed service for guests who are over consuming alcohol.
Guests who are already identified as heavy drinks are not allowed to enter.
If found intoxicated guests are requested to hand over their vehicle keys.
If found that the guest has been only drinking alcohol. They are suggested to slow down and order some food.
Drinks are purposefully diluted for guests who have already consumed too much alcohol.
Intoxicated guests are dropped back in the hotel’s car or a cab with security personal is arranged.
Signs on ‘Responsible drinking’ placed in the venue.
Regular patrol and checking by excise officials.
9. Have you ever experienced or seen RBS being practiced in any bar/restaurant or hotel?
Yes □ No□
If ‘Yes’, kindly mention the place, state and country-
Place/Bar/Restaurant/Hotel ______
State- ______
Country- ______
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10. Please mention any other RBS strategies you think that can control alcohol abuse-
______
Thank you for your support in completing this questionnaire.
Warm Regards,
Zacharia Joseph
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