One of the difficulties that tourism businesses must overcome in the future is how to decrease costs and increase efficiency. That is because the recently fast-growing hotel and tourism industry faces some challenges, particularly economic ones. Thus, this research aims to explore the effect of lean management adoption in three-star hotels category in Luxor and Aswan and to evaluate the awareness level of managers and supervisors of the concept, drivers, and boundaries of the Lean management system. The methodology of the study is a quantitative one with a questionnaire to be a tool for collecting information to test and prove the hypotheses of the study, in order to achieve the study's aims. Moreover, the questionnaire sample was delivered to 130 directors and supervisors of the targeted (13) three-star hotel in Luxor and Aswan, and the results reveal that the majority of the hotels (86.1%) adopts the lean management and that there is a statistically strong link between the drivers of lean management and the adopting of it in the three-star hotels in Luxor. Besides, the study shows that the adoption of lean management has led to increasing the flexibility of hotels at 94.4 %, and market share at 89%. Moreover, the study has found out that from the key success factors of adopting lean management was management commitment and capability at 88%, and that the absence of quality culture appeared to be the most common and fierce barriers of lean management adoption (93%). The study manifests that lean management has developed from being a group of tools and techniques to be a philosophy of management.