Business Health Check - Hilton Hotel Assignment

Business Health Check
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Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY..................................................................................................................................3
AC1.1 Analyse the objectives of business...................................................................................3
AC1.2 Explain the factor that impact on the business.................................................................5
AC1.3 Identify the potential improvements to the business organization and operation............7
AC2.1 Review the effectiveness of business...............................................................................9
AC 2.2 Plan to make improvement in hospitality business.......................................................12
AC 3.1 Current Skills of Staff and Management.......................................................................14
AC 3.2 Plan for developing the future skills.............................................................................16
CONCLUSION..............................................................................................................................19
REFERENECS..............................................................................................................................20
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INTRODUCTION
A Business health check is a process to check the overall part of operations that can perform
in the organization. It is mainly highlight the different area of weakness for pointing towards the
right direction. It is a current and overall assessment of the business where series of questions
will help to focus and attention on the enterprises in proper manner. It involves the business
owner and manager which are independently diagnostic the result or outcome of enterprise. It is
also highlights and brining the change of business in terms of improvement.
London Hilton Hotel is a leading brand in UK and operates other countries. It is basically
situated on Park Lane, overlooking the Hyde Park in the exclusive distinct of the London. This
report will discuss about the objectives of business and also analyse the factors that help to
impact on the enterprises. Furthermore, This assignment will describe the potential improvement
to the business of Hilton hotel. It will describe to review the effectiveness of the business
and also develop plan to improve the enterprise and justify. Moreover, This report will describe
the current skill of management and staff and also making plan for the improvement of skill or
knowledge.
MAIN BODY
AC1.1 Analyse the objectives of business
The London Hilton hotel is situated on Park Lane, it is 101 meter fit tall, has 465 room
including 56 Suites. This hotel was opened in April 1963 as name of London Hotel, their
building is made by concrete frame and designed by William architect those who are designed
various type of hotel infrastructure (Staff, 2016).
The Hilton hotel is mainly consisting the wide range of service providers that includes
restaurants, lodging and bar establishment. The organization is setting the specific objectives for
business which are including as a planning process that leads to increase the growth of enterprise
and also down the success path. In Hilton hotel, consultant must share the specific objective of
business to their employee so that they are working on the same path for development. there are
common objectives of Hilton hotel business to maintain the services in proper manner.
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High Customer Satisfaction
It is an essential part of hotel to maintain their consumer satisfaction because it will help
for established the good impression among people and also increase the demand in global
marketplace. Many guest want have a pleasant stay, better quality of services so that it has
created positive impression towards the customers. It is the main objective of Hilton hotel
because Many customers can share past experience on company website to shows their own
opinion about the facilities and services (Grasso and et.al.,2017). In this way, it will require to
build the strong brand image which is possible for increasing the customer satisfaction. Keep
maintain the customer satisfaction through better quality of technique, methods and employee
training or monitoring.
Satisfied Employee
It is another objective of business where employees are performing different task in
different manner. In Hilton hotel, it provides the training and development session to their
employee which help to improve their skill or knowledge. It is directly impact on the process of
business for increasing productivity and profitability in marketplace. For Example- In Hilton,
New chef is unfamiliar with the other type of dishes so that they are wasting a lot of time for
food preparation. In this way, it effects on the business so that it has required to provide the
training session where employee convey their own emotions to guest through expression and its
past experience.
Optimize Food and Beverage Profit
It should keep to low the price of food and beverage facility while maintain the quality of
services by Hilton hotel. It is important objective of hotel enterprise to increase the profitability
in marketplace (Ajunwa, Crawford andFord, 2016). It has been needed to optimum food price
and sold between 30 to 20 percent, which means to maintain margin between 75 to 70%. Hilton
hotel can modify the price of food, drink and other dishes accordingly. Many customers can
review the menu to identify best seller of food items but it may also possible to increase the cost
of item without affecting the orders.
Product and service Quality
Customer love the good services, but the Hilton hotel must provide the better quality of
product and services so that customer satisfies. The important objective from hotel to serve the
fresh, delicious food to their customer so they always consistent to use the product services.
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Hotel guest look for comfortable rooms where they can enjoy their great time with Family and
friends. It is another important objective of business to maintain and manage the services in
effective manner.
AC1.2 Explain the factor that impact on the business.
Pestle analysis a type of strategic tool and platform to analyse the macro environment of
Hilton hotel. Pestle stands for political, economic, social, technological, environmental and legal
factor that impact on the business of Hilton hotel (McCarty and et.al., 2019). The change in the
macro environment factors that have direct impact on the Hilton hotel. It is directly impact on
individual firm competitive advantage and overall profitability level of services.
PESTLE Analysis of Hilton
Political Factor- It plays important role for identifying the factor that impact on Hilton
hotel long term productivity and profitability in a nation and market. It is also achieving the
success in such dynamic way across the different countries. Political stability is required to the
success of Hilton hotel because it always influence the large number of visitors and traveller visit
to other country. It affects the Hilton hotel due to increase danger of terrorism, political climate
and international relations. These are the biggest threat that develop conflict between travellers.
It is mainly targeting the international hotels such as Hilton hotel.
Economic Factor- this Factor will affect Hilton hotel and also slow down the speed of
economic growth in other countries. the global financial and economic crisis impact on the
Hilton hotel business. In additional, GBP exchange rate against to the other currencies or
inflation rate in UK significantly impact on the performance and speed of country (Vars and
Edwards, 2018). Economic factor influences the Hilton business to reduce the buying power of
individual and travelling ability. The based on long terms economic threat and issues always
increase the inequality or stagnation in the hotel business.
Social Factor- Social Culture might be impacts on the culture of Hilton hotel and its
environment. It has shared the attitude and belief of the population that plays important role that
how the business marketers at London Hilton Limited will identify the requirement of
consumers. Social Factor make the future of Hilton hotel become good because there are large
number of traveller that has planned travel from one country to another. Culture change may
impact on the Hilton hotel to increase the Asian travellers.
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Technological Factor- Technology have been huge impacts on the hotel business in the
form of given rental services like Airbnb, which lets individual rent rooms to the travellers.
Technology is the fast disrupting technique that can used by Hilton hotel across the world. There
are 6million people stayed in the Airbnb properties in 2015. One of the major threat of Airbnb
pose the traditional hotel firm that can avoid more expenses regarding fire regulations, taxes etc.
the Airbnb is enabled to cut the rate and cost of rooms in global marketplace.
Legal Factor- It is a major impact on the business of Hilton hotel because the legal
framework and other institutions will not efficient and robust to protect the right of business. A
hotel must carefully evaluate before establishing new position in marketplace but it has increased
the theft in the firm to impact on the overall performance of Hilton hotel. There are some
common legal factors consider by Hilton hotel such as Discrimination law, consumer protection,
e-commerce, health and safety law etc.
Environmental Factor- The Global market have followed the multiple standards of
environmental which can impact on the profitability of Hilton hotel. Even the country can follow
the liability and environmental laws. For Example- it has increased the price of fuel in
marketplace that impact on the Hilton environmental. Climate change is another factor that can
impact on the Hilton hotel due to high temperature. This could force to change the location of
hotels.
SWOT Analysis of Hilton Hotel
SWOT analysis is basically type of strategic planning platform that can use by Hilton
consultant to do analyse the situation of business. It is a technique to understand the strength,
weakness, threat and opportunities of hotel. Hilton is a leading company which always maintain
the position in market by analysing or reviewing through SWOT analysis.
Strength
 Hilton is a type of high brand recognition hotel to use technical innovation and improve
the experience of customers.
 It is based on the good employee retention in Hotel.
 There are total 540 hotels across 278 countries established and explore their product or
services.
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Weakness
 It has limited market share inspite the good brand recall.
 In Hilton hotel, Government are making different policies and parameter that affects the
operations of business.
Threat
 The Major threat of Hotel business is to increase the competition level in marketplace
because there are several new international brands established the business across the
world. It is increasing the political and economic disruption in other nations.
Opportunities
 Hilton hotel is including the innovation in the business to provide better quality of
customer services. It is possible due to the digitalization which has increased the
performance and efficiency.
AC1.3 Identify the potential improvements to the business organization and operation.
Continuous business improvement is main part of organization in terms of competitive
advantage. It is basically life time growth to implement new concept and innovation in the
enterprise operations and functions. A growing enterprise is the process that can improve the
success of business (Ajunwa, Crawford andFord, 2016). It can be grown in terms of profit rate,
employees, customer base and international coverage etc. this factor will help the business to
increase the revenue and market share. In Hilton hotel, it can be implementing the Ansoff’s
Matrix to identify the strategies growth and potential improvement in the business operations. It
allows the consultant to quickly summarise the potential growth strategies and also comparison
with the risk that associated with the new ideas.
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Figure 1Ansoff's Matrix
(Source: Ansoff’s Matrix. 2018)
Market Penetration
It is about selling the existing item and service to same markets. It will penetrate and
growth of customer base in the existing marketplace. A Hilton hotel may decrease the prices and
also improve the distribution channel and networks. They always investing lot of money in
marketing to promote their services so that it helps to improve the production capacity.
Moreover, they can try to increase the usage of distribution channels by making an attractive deal
with the different type of distributors such as restaurants and retail business etc.
Every year, Hilton sponsor the international football club that will help to improve their
policy and marketing approaches (Ajunwa, Crawford andFord, 2016). They also targeting the
middle class consumer by using discounts, offers and other campaigns etc. It is the potential
improvement of Hilton business to explore their services all over the world.
Product Development
It is all about selling new services and also developing the new products to launch in the
existing markets. Hilton hotel could for making some modification in the existing item that
increase the value of consumer for development. Hilton hotel is launching a new food dishes and
also providing the extra services to their customers. They are providing the same type of product
but added more values to improve their quality. In this way, Hilton hotel can be represented in
the global market as a new product and services. It is the potential improvement in hotel industry
to use new innovation for increasing the demand in existing markets.
Hilton hotel is using the transportation services to their special guest from airport to
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hotel. They also hosting the exhibitions for every week with the special occasion, offers in the
Hilton hotel across the world. It also reduces the price of dishes and plates to their guest.
Market Development
It depends on the strategy that can use for reaching new customer segments and also
expanding international level by targeting the new geographic areas. In case, Hilton hotel is
doing something exceptional in market so that they are established their own position through
existing product and service. Hilton hotel is expanding to their business in markets so that that
are trying to improve the services in existing marketplace.
Hilton hotel will be opened new branches in multiple countries those who doesn’t have
any branches such as Morocco, Iran and Maldives etc. These are the most attractive tourist
destination in the world and many customer wants demand of high standard hotels.
Diversification
It is important strategy all about to enter in the new market with new product and
services. Hilton hotel is related the existing offers that could provide to customers. It can be
divided into two groups: Concentric and Conglomerate diversification.
Concentric diversification is a type of strategy that can useful for enter in new market
with new product and services. Sometimes, it is related to the existing item offering. On the other
hand, Conglomerate is about to enter a new market with new product which are unrelated to the
firm existing offering. Hilton hotel moving forward and backward in terms of value chain by
control the activities that outsourced to other distributor and suppliers. Hilton hotel is
establishing new chain of restaurants under the name of Hilton and also managing the
performance of company under the name of Hilton hotel with the high standards of product and
services.
AC2.1 Review the effectiveness of business.
Business effectiveness refers as the efficiency with associated with the targets of
organization. It can effective when Hilton will achieve their specific goals and objectives,
making the profit by producing and selling the better quality of services to the consumers
(Dalton and et.al., 2017). It is necessary for Hilton hotel to coordinate with their staff members
and also identify their requirement because employee plays important role in the organization to
handle the task in appropriate manner. It can possible to maintain the relationship between
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employee and employer. They are putting some innovative idea to improve the quality of
services so that they are directly impact on the productivity and profitability.
It should be ensured to review the performance of employee and how they are
coordinated with the business task. It refers to the quality of results that are derived from task
management and completion by hotel staff members. To develop the effectiveness which
necessary to deliver the results. Hilton business need to create a session for review the
performance management by using monitoring. In this way, it is directly impacts on the quality
of services and products.
Sales – In Hilton hotel, Sale team makes a unique strategy that allows to increase the
production by using techniques. They always trying to coordinate with the customer to sale their
product and services in marketplace. In Hilton hotel, they provide the services of rental rooms
for traveller those who are going from one destination to another. They are giving many options,
discounts and voucher in special eve (Ajunwa, Crawford andFord, 2016). In this way, many
customers are attracted towards the services and demanding more facilities.
Marketing- It is another better option for Hilton hotel to promote their services by using
social media platform. They can use the promotional activities such as online campaign and
website, applications etc. In this way, it can share the information about the particular service to
guest. It is core part of business to promote the services and also identifies the requirement.
Hilton hotel is investing money and time for marketing and promotions. In this way, it is
effectiveness for Hilton hotel to measure the goals and objective to increasing the positive results
in long term development.
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Staffing – It is the most common functions in Hilton hotel to find out the candidate for
particular job posting. It includes the process of filling the empty position of right person at right
job. An efficient and effective staffing management can start by recruiting the right person for
position. When HR manager are conducting selection process to find the employee those who are
skilled and suitable for position. For growth and development, Employees are playing important
role to perform different operations and functions. An efficient employee can handle the complex
situation related the business in effective ways. They can easily understand the requirement of
customer and provide better quality of services. It can possible when manger can hire the
efficient person.
Finance It comprised with the different operational functions of finance such as forecasting
and budget management etc. It has performed the different task to develop plan for updating,
generating report of overall revenue. They can use the ERP software to maintain the record of
overall business sales and revenue generations. In Hilton hotel, finance team always trying the
maintain the effectiveness of business to solve the problem and issues regarding calculation.
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AC 2.2 Plan to make improvement in hospitality business
Areas of
Business
Plan of Action Results
Planning  Hilton Hotel will improve their
planning process through making
priority list of everyday event in
the hotel. Scheduling of the hotel
events will done on the basis of
the priority list (Kotler, Bowen
and Baloglu, 2017).
 The important task and projects
of the hotel will be accomplished
first. Budget is being
predetermined at the time of
planning. It will cover all the
projected cost and recurring
expenses of the hotel.
 Through doing this manager of
the hotel will get to know how
much finance will be needed to
manage the operations in the
Hotel Hilton.
By scheduling the hotel events the
two events will not clash at one
time basis. Through making budget
it will be easier for the
management to make arrangement
of finance on prior basis.
Marketing  Marketing department of Hotel
Hilton will improve their
marketing skills through attaining
the training classes on regularity
basis.
 As marketing department
conduct promotional activities.
Thus, in order to do publicity of
Hotel Hilton they will give
By doing social media
advertisement, the customers will
be aware about the Hotel Hilton.
As they are also giving various
offers on bulk purchasing of Hotel
rooms. Thus, the customers will
prefer to stay in their hotel rooms
when they came with their families
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discounting offers on families
packages and on bulk purchasing
of hotels rooms (Altinay,
Paraskevas and Jang, 2015).
Through this the customer's
satisfaction will increase.
 Social media advertisement will
be done by marketing department.
As today's generation is
extremely active on such
platforms. Through this they are
able to attract large number of the
customers at one time.
and friends for spending holidays.
Sales  The human resource department
of the Hilton hotel will hire
language expertise in their
recruitment and selection process.
 The main motive of hiring the
language expertise is that they
will be able to communicate with
the tourist and clients so that it
can effectively promote the
cultural diversity.
As the tourist who comes from
various destination they are not
well-known with local language.
Thus, through hiring the language
expertise smooth communication
can be done with them (Brotherton,
2015). They will be able to
convince them more to stay in
their hotel rooms. Therefore, the
sales of Hotel rooms will increase.
Productivity  The Productivity of Hotel Hilton
will be improvised through
updating the technology toolbox.
By using various information
technology software's, the overall
productivity of the hotel will
increase.
As Hilton Hotel is using PMS and
IDS software. Thus, the guest
disruption in the hotel can be
minimized as the manager will be
able to know which hotels room
are vacant. Hence, smooth
allocation of hotel rooms can be
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 Internet distribution System will
be used by the Hotel Hilton for
doing online booking and
reservations of their hotel clients.
 Property management system will
be used for recording the data of
their customers who stay in their
hotel rooms (Oskam and Boswijk,
2016).
 The Check in and Check out time
of the clients can easily be
identified with the Help of PMS
software. Therefore, productivity
can be increased through using
this system software's.
done.
AC 3.1 Current Skills of Staff and Management
Skills means the ability to perform something greater in the organization. Thus, the Hotel
Hilton using various skills to improve their management and staff efficiency -
 Technical Skills – These skills consists of Programming, assessment of big data analysis
and Project management. Hotel Hilton employees and staff use technical skills. These
skills are important for using various software systems in the Hotel premises such as
PMS and IDS. The technical knowledge of various system software is essential for
improvising the productivity of the organization. HR department of the Hilton Hotel also
recruit the technical expertise in their selection process who have sufficient knowledge of
this subject. The capable candidate are selected who are also able to trained other
employees of the hotel. In order to improvise the technical skills of the employees and
staff in the hotel, the manager of the Hilton Hotel provide training through conducting
induction session and using practical approach.
 Operational Sills – This refers to the improving the coaching skill and team working in
the organization (Operational Leadership Skills, 2019). To manage the work of the
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Hilton Hotel in the organized form it is crucial for the employees to developed their team
working. By showing cooperative nature and working in the teams the desired goals of
the organization can be achieved in the shorter span. This also improve overall efficiency
of the Hotel Hilton. For developing these skills the HR department of the hotel give
training to their employees by conducting team building exercise and management
games. As employees working together the project and tasks of the hotel can be
completed on timely basis. Through this the productivity of the hotel can be improvised.
 Managerial Skills – These skills consist of effective communication, decision-making,
delegation and problem solving. The skills are important from the manager perspective.
To manage the work of the Hotel Hilton. It is essential for the manager to improve their
communication skill in order to control and command the employees and getting things
done from them (Ikkala and Lampinen, 2015). As manager is responsible for taking
crucial decisions for the Hotel. Hence, the decision-making skills is also developed by the
manager. Manager is also responsible for delegating the authority to the employees.
Therefore, manager should know which role and responsibility need to be assigned to
whom and when. The responsibilities are delegated by identifying the capabilities of the
employees. Lastly, the problem solving skill is crucial in order to minimize the conflicts
in the organization. Through giving the best solutions to the employees problem the
chances of disputes at the workplace can be minimized.
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AC 3.2 Plan for developing the future skills
Future Skills Measures for improvement Required time period
Time Management  The Time management is crucial
for Hotel Hilton as to do
synchronized working in the
hotel. In order to avoid the
clashing of two events in the
hotel at the same time. The
employees need to develop this
skill.
 This can be improvised by doing
proper planning and scheduling
of all the tasks of the hotel
(Oskam and Boswijk, 2016).
Task which are more important
will be tackle first by making
priority list.
 The roles and responsibilities are
also assigned to employees on
individual basis so that the tasks
are accomplished on timely
basis.
The required time to learn time
management will be of 4
weeks.
Communication Skill  The communication skills of the
employees and staff can be
improvised through conducting
training program in the hotel. In
this program employees will
acquired knowledge of more than
one language as visitors comes
from various cultural background
in order to talk with them
The time required to improve
communication skills is of 2
months.
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efficiently, it is crucial to know
some other's language too.
 For communicating with the
clients and customers it is crucial
to improve these skills. Once
these skills improved the
employees are able to convince
the visitors easily to stay in their
hotel rooms (Molz, 2016).
Mainly it is crucial from the view
point of the receptionist in Hilton
Hotel.
Team Work  Team work is crucial in Hilton
Hotel to improve the
organizational efficiency. For
coordinating with the various
department such as Front office,
food and beverages, security and
engineering and disc & bars team
building is essential as all the
departments is interlinked with
one another.
 This facilitates work in organized
and scrutinized manner. It also
reduces the chances of the
confusion. As it facilitates
healthy communication and
through working together tasks
are accomplished within the
Required time will be of 3
weeks in total in order to learn
team working in the Hotel
Hilton.
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allotted time duration.
 This can be improvised in Hotel
Hilton when employees started
exercising together and by
trusting on each other potential.
Customer Service  The customers service in Hotel
Hilton can be improvised by
identifying the needs and desires
of the customers.
 This can be done by asking for
feedback on regular basis.
Through seeing customers
feedback improvements in
service quality can easily be
done.
 The Management staff of Hotel
Hilton should start treating each
guest as a VIP person, they need
to contribute equal time for each
guest to serve them with
prestige.
 Through doing improvement in
supply chain management There
will be timely delivery of food
products in the restaurants.
Thus, in this way service quality
can also be improved in hotel
restaurants and food delivery
delay can be minimized (Oskam
and Boswijk, 2016).
The required time to
improvised customer service in
Hilton Hotel will be of 1
month.
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 The hotels rooms should be
checked on regular basis.
Through this any maintenance in
hotel rooms can be done without
disturbing any guest. For
maintaining and repairing the
rooms, they need to choose that
time when guests are out of
rooms. Thus, through doing this
guest satisfaction in Hotel
Hilton will be improvised.
CONCLUSION
As per discussion, it concluded that A Business health check is a process to check the
overall part of operations that can perform in the organization. It is a current and overall
assessment of the business where series of questions help to focus and attention on the
enterprises in proper manner.
It summarised that the objectives of business and also analyse the factors that help to impact
on the enterprises. Furthermore, this assignment describes the potential improvement to the
business of Hilton hotel. It describes to review the effectiveness of the business and also develop
plan to improve the enterprise and justify. It is also identifying the current skill of management
and staff and also making plan for the improvement of skill or knowledge.
19

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Online
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