Examining the Impact of Inclusion Policies at The Royal Horseguards Hotel
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This thesis proposal aims to address the problem of employee turnover in the hospitality industry, focusing on The Royal Horseguards Hotel. The research will examine the impact of inclusion policies on employee turnover and provide recommendations for developing and implementing an effective inclusion policy.
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Company The Royal Horseguards Hotel, London, United Kingdom Examiners: Tatiana Alekseeva –t.alekseeva@saxion.nl Katya Pushkarskaya – k.pushkarskaya@saxion.nl Topic:Examining the impact of Inclusion policies of the workforce: “A caste study of The Royal Horseguards Hotel”
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1. Introduction 1.1 Background of the company This thesis proposal will aim to address the problem of employee turnover in the hospitality which has been a major concern for the organizations in the past decades. The Royal Horseguards hotel has been chosen as the case study for the research.The company chosen for this thesis project is The Royal Horseguards Hotel, luxury 5 star hotel from Guoman which is run by GLh Hotels, which is Limited Corporate Company (Bizstats,2017). Glh was established in 1932 and since then has been operated hospitality businesses such as hotels and restaurants. At the moment Glh hotels operates 14 hotels in London. Further the thesis project will focus on The Royal Horseguards Hotel, since the client Theresa Collins, Hotel Manager, is interested in increasing loyalty to the company and therefore decreasing turnover rate among employees.In order to get more insight into the current situation, general information about hotel is presented below. The Royal Horseguards Hotel has 282 rooms and 14 meeting and events spaces. There are 129 permanent employees, from which 20 employees are part-time employees. Hotel tend to hire employees from agencies for housekeeping, restaurant and banqueting service. Most people from agenciescome on a regular basic to work for the company 3 to 5 times a week. The Royal Horseguards Hotel is hiring young professionals who are willing to learn and grown within the company starting from line level positions, and also is hiring experienced employees who have a rich background in hospitality industry for management positions. The average salary in hotel varies between £ 15,500 - £ 47,500 for line and management layer employees accordingly.The company currently generates revenue of £ 1,66,00,977 and the comparison of the revenue with the previous years’ show that that the revenue is almost same. This is due to the increase in human resource cost of the organization where it can be seen that cost of training each employee is around £100. The average turnover rate of the company is 30% which means that the company is losing more than £10,000 each year. Considering the training required to gain expertise in all aspects the employees leaving within a year decreases the overall profit margin as extra cost is included due to the recruitment of new employees by using advertisements, both traditional and digital. The company is expected to face major issues if they are unable to retain the existing employees as the cost of hiring new employees is increasing which is expected to reduce the overall profit margin. 1.2 Management problem Employee turnover is one of the key issues in the hospitality industry and majority of the companies in the industry are unable to retain their existing employees. The Royal Horseguards Hotel has been facing similar issues where they are unable to retain their new employees for more than a year. This has increased the operational cost of the organization due to the increase in the human resource cost. Moreover, it also effects the motivational level of the existing employees and overall productivity. This research will address this issue in context to Inclusion management and provide waysto create suitable Inclusion policy to decrease employee turnover and increase inclusion within the company. 1.3 Reason for the thesis The purpose of the research is to analyse the current issues faced by the employees due to lack of inclusion within The Royal Horseguards Hotel in London.The issues that are faced includes high employee turnover along with inability to retain their existing employees. Such increase in the employee turnover problem in The Royal Horseguards Hotel is caused by lack of inclusiveness. The identification of these issues will facilitate in developing effective inclusion policy which results in the development of the work done by the employees.The organisation has been experiencing high turnover which has reached to 30% which results in service inconsistencies and stress on the existing employees. The existing employees are forced to work extra hours due to the turnover rate and hampers the work-life balance of the present employees.The organisation wants to deal with this situation by managing a stable workforce. This is a critical issues and the problem has to be resolved urgently to maintain sustainable processes and competitive advantage. In order to accomplish that the organisation wants to reduce the turnover to 10% within the next three years.
The organisation needs to develop effective inclusion policy to address this issue and the research aims to identify the aspects that need to be addressed within the inclusion policy. 1.4 Objective of the advice The goal of the client is to decrease turnoverrate through decreasing factors that cause such issues to thecompany. Therefore, the researcher is going to look into the current situation in order to advice suitable inclusion policy to enhance inclusiveness in The Royal Horseguards Hotel. Advice question: How can The Royal Horseguards Hotel develop and implement inclusion policy? Management Question: How can The Royal Horseguards Hotel decrease employee turnover? 1.5 Research objective and research questions Research objective Examine the role of inclusion policies in improving theinclusive environmentin the organisation Examine the aspects that make employees feel excluded? Research questions Research question should start with What WhatarethereasonsthatincreaseinclusionanddecreaseemployeeturnoverintheRoyal Horseguards Hotel? Sub-questions 1.What are the reasons for employees feeling excluded? 2.What is the relation between inclusion and turnover? 1.6 Reading guide This part of the research provides a brief introduction on the purpose and aim of the research. The research problem has been defined which consists of the problems faced by The Royal Horseguards Hotel. The research objective, research question and the hypothesis has been developed in the research which will facilitate in developing effective research methods based on the objectives. The next part of the research will critically evaluate past literature on workplace Inclusion management and its impact on employee retention.
2. Theoretical framework 2.1 Search Process While conducting the research the snowball method will be used to gather the data. In order to collect relevant information appropriate search engines for the project are e chosen.The most relevant secondary sources that will be used in the research are indicated below. These sources will be employed as they can facilitate in attaining most relevant and up-to-date information on the importance of employee inclusion. Saxion Library,https://saxionbibliotheek.nl/ Google,https://www.google.com/ Google Scholar,https://scholar.google.com/ Science Direct,https://www.sciencedirect.com/ Connect,https://sites.google.com/glhhotels.com/ After the search engines have been chosen, the following search terms have been created. Employee turnover in hospitality Employee retention Inclusive environment Inclusion Policy Turnover in Hotel’s in London Turnover in Hospitality This criterion has been used to link the core concepts and understand the importance of inclusion and Inclusion within organizations in the hospitality industry.These keywords have been selected based on the objective and purpose of conducting the research. The search terms used are employee turnover in hospitality industry, inclusive environment, inclusive policy, Inclusion policy, employee turnover in hospitality industry. These terms have facilitated in evaluating past researches in this given field of research so that the gap can be addressed. In order to evaluate the web pages where the articles are derived from AAOCC criteria is used throughout the searching process.
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AAOCC criteria (Kapoun,1998) stands for: Accuracy & Authority– it is important that the author is responsible for the information given and provides contact details how he can be reached. The bibliography must be provided by the author in order to support what was mentioned in the research. Objectivity –the aim of the document is stated clearly Currency– the information is up to date and there is a track that someone is taking care of the website, and the links are valid. Coverage– all questions are covered in the research. The AAOCC criteria has been used to evaluate all the sources used in the literature review. For example in case of the below mentioned article: Cottrill, K., Denise Lopez, P., & C. Hoffman, C. (2014). How authentic leadership and inclusion benefit organizations.Equality, Inclusion and Inclusion: An International Journal,33(3), 275-292. Theinformationonalltheauthorsincludingtheirbiographywaspresentalongwiththeir credentials.The journal is accurate as it has been peer reviewed and methods used in the paper canbeusedtoreproducesimilarresults.Moreover,theobjectiveofthisresearchpaperis adequately sufficient for including it into this research. The research was conducted within the last five years so it its currency is valid in this context. Moreover, the above peer-reviewed journal addresses the broad area of the research topic of inclusion and its benefits on organisations. 2.2 Core Concepts 2.2.1 Workplace Inclusion According to Downey et al., (2015), inclusion management can be defined as the process of organizing, planning, directing and applying all the possible managerial policies to develop an organizational culture, in which the employees having diverse background can work effectively to contribute to the sustainable competitive advantage of the organization. Boekhorst, (2015) opined that inclusion represents not only the difference between various individuals but also the similarity that helps them coexist and drive towards the same goal. On the contrary, Oswick and Noon, (2014) defined Inclusion by putting an emphasis on the issues in Inclusion management which states that it not only applies to all the employees but addresses the overall spectrum of difference between individuals. This defines the uniqueness of each individual working in an organization. This means that Inclusion cannot be considered as the difference between individuals based on religion or race but it includes all the differences between individuals. Boekhorst, (2015) states that Inclusion management does not only deals with the differences among the individuals but also the similarities.This means that the managers are expected to integrate both similarities and difference between the workforce within the organization in order to create inclusive environment. Chernyak-Hai and Rabenu, (2018) states that the modern workforce in this 21stcentury has become more diverse which is required for a new outlook and information. This enhances the effectiveness of corporate decision making. Inclusion also includes factors such as personality types and cognitive abilities which influences the perception of individuals on a topic. Therefore, it is essential to find the right mix of people on a team and developing conditions which would assist them in exceling. Ozturk andTatli, (2016) states that workplace inclusion is a concept which is closely related to Inclusion and it defines a work environment where all the different individuals are treated equally, fairly, respectfully so that everyone has equal opportunity and access to resources so that they can effectively contribute to the success of the organization. On the contrary, Farndale et al., (2015) defines inclusion as the wider net of opportunities provided by the recruiter to qualified candidates irrespective of their differences. This is possible when more value is given to the contribution and ideas of individuals than their Inclusion.Ozturk and Tatli, (2016) states that inclusion can be
created by making adjustments in behaviour that are consistent and small. This means that inclusion consists of empowerment and involvement which recognizes the dignity and worth of the people. This shows thatemployee satisfaction and inclusion arelinked to each other where Inclusiononly focuses on demographics of the workforce butinclusionaims to promote participation and increasing Inclusion and representation of minorities at all positions.Inclusion has also been defined as the extent to which the employees are appreciated for the unique characteristics and they are accepted for their true selves. Studies suggest that developing effective inclusion policy for the workforce results in the development of the positive outcomes within the organisation.Farndale et al., (2015) states that inclusion focuses on involvement of employees and their participation at work.This shows the extent to which employees are allowed to contribute and participate in certain job roles. For example, Amber Baldet, head of the blockchain team at JP Morgan Chase has stated that she had been undermined and overlooked due to her gender (Cottrill, Denise Lopez and C. Hoffman, (2014).Moreover, there is a constant evolution of the definition of inclusiveness where some consider inclusiveness as the degree to which a particular employee treated and accepted by the others within the workforce.This shapes the way an individual feel themselves to be a part of all the critical processes within the organization. This includes access to resources and information and ability to influence the decision-making processes. Cottrill, Denise Lopez and C. Hoffman, (2014) states that inclusiveness deals with the sense of belonginess and satisfaction level of employees at this level.The first level of inclusion includes equal amount of opportunity and participation where employees evaluate where they are at in terms of pay and rewards. 2.2.2Employee turnover and inclusiveness Guillon and Cezanne, (2014) states that employee turnover is a key issue in the hotel industry and majority of the employees switch due to lack of inclusiveness in the organization.Supporting such viewpoint it can be stated that lack of inclusion in the workplace can decrease employee retainment level because of which they tend to lose faith in the company’s initiatives. Employees are observed to struggle in developing an inclusive culture within the workplace through which they are making increased attempts in improving the recruiting efforts, decrease unconscious bias along with mentoring unrepresented groups. Such attempt is considered to establish an inclusive workplace in the hotel industry that further attracts and retains quality talent in these companies. Employee turnover is detrimental to the effective functioning of the organizations.On the contrary, manager consider it as the overall process of filing a vacancy. Organization to hire and train new employees in order to fulfil the gap in the organization (Zhu et al., 2014). This replacement of one employee by another employee is known as turnover. Turnover can be of different types and they are mainly voluntary and involuntary turnover. Voluntary turnover consists of avoidable and unavoidable turnovers which are due to the urge of the employee to leave. There are certain cases where employee leave for better job growth, payment and opportunity. This is known as avoidable turnover. On the contrary, unavoidable turnover includes circumstances which can be avoided such as relation and death of employee.Involuntary turnover includes discharge of employee due to performance issues or disciplinary issues. On the other hand, downsizing is reduction of employee number due to restructuring of the organization.However, it is essential to the deal with voluntary turnover which are avoidable (Guillon& Cezanne, 2014). Talent acquisition and management is a key aspect for organizational success and sustainable competitive advantage. It is difficult find skilled employees as there is significant shortage in the global market. As stated by Zhu et al., (2014), employee inclusiveness and turnover rate go hand in hand and reasons for employee turnover can be improved by increasing the loyalty of the employees towards the organization. Lack of recognition, employee motivation, lack of growth opportunity, lack of Inclusion and inclusiveness are all reasons for employee turnover. On the other hand, these factors are also relevant in improving the loyalty of the employees towards the organization.
7 2.3 Operationalisation Factors affecting inclusion and turnover Quality of care Employee engagement Job satisfaction Empowerment Involvement
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2.4 Reading guide The theoretical framework has evaluated inclusiveness within modern organizations. It has examined past literature to examine the opinions of various authors on their respective studies.It has also linked inclusion to employee turnover to understand the relationship between the two and the way it can be used by organizations to manage staff turnover and improve employee retention.
3. Research methodology 3.1 Introduction Research methodology is the systematic method of choosing instruments, frameworks and methods for collection data and analysing it effectively. In this research, the research methodology has been chosen based on the Saunders Research onion, inside four layers mainly.Research onion is the philosophical framework which facilitates reveals the different methods and instruments peeling off each of the layers. Research methods will be chosen based on the goal and objective of this current research (Kumar, 2019).There are mainly three objective of a research which are explanation of a phenomenon, description of behaviour and prediction of one variable to another variable. While describing the behaviour of the phenomenon, case study method, survey method and observational method are the chosen research methods.On the contrary, experimental method is used to support the cause and effect relationship between two variables (Mackey &Gass, 2015).In this research, the study will use experimental method as the primary aim of the research is to identify factors to be included into the inclusion policy. This research will use mono analysis to address the objective in the research where quantitative method will be used.Mono analysis technique will be employed in this research for the reason that study on will employ just the quantitative data analysis method. In addition, through employingthe experimentalmethod, the research can also evaluate the ways in which employee turnover rate, operationalisation and flexible working hours have positive impact on developing an inclusion policy. This method will be employed through using quantitative research and survey technique. Figure 1: The Research onion. Source: (Saunders, et al., 2012) 3.2 Research strategy The research strategy is developed based on the research questions in the research. The strategy for each question is highlighting the different aspects of the research question based on
the response frequencies from the participants. In order to evaluate and highlight the different inclusive factors, survey method will be used where primary data will be collected. Research design has been defined diversely by different authors where some has considered it as the method of choosing between the qualitative and quantitative methods of research.It can also be considered as the method of selecting appropriate data and examining it. On the contrary, it can be considered as the general plan of addressing the research question by using (Meyers, Gamst& Guarino, 2016).Research design can be of three types of they are exploratory, explanatory and descriptive research design. Exploratory research design aims to explore the research question and there is no intention of offering any final conclusion to the research. This is generally used to define a problem which has not been defined clearly in the past researches. It is used to have a better understanding of the nature of the problem at different levels of depth. It forms the basis of conducting conclusive research in the future (Morse, 2016). On the other descriptive research design is used to explain the research problem in depth by collecting data and using analytical skills to describe the different aspect of the phenomenon. It can employ large number of variables, but only one variable is required to perform the research. The main aim of the descriptive research design is description, explanation and validation of the findings (McCusker&Gunaydin, 2015).On the other hand, explanatory research design is an extension of descriptive research which facilities in understanding the extent of causal relationship between the independent and the dependent variable. Explanatory research designs are used to test the hypothesis developed in the research.In this current study, descriptive design is chosen as the research design. The descriptive research design will be used to highlight the different factors essential for developing an effective inclusion policy at workplace. 3.5 Data collection There are two types of data collection method, one is primary data collection method and the second is secondary data collection. In this research, secondary data will be collected from peer reviewed journals and articles to critically analyse past literature and review it. Primary data will be collected to address the given case study in the research. The research will collect quantitative data (Palinkas et al., 2015). The quantitative data will be collected through survey questionnaire asked to the employees of the organization. The survey questionnaire will consist of close ended questions which will assist in gathering data that is relevant to the current research problem and not deviate away from the research problem. The research will conduct an online survey by using Qualtrics Survey Software which will consist of demographic questions and questions on inclusion. The questions will be developed on nominal scale and five point Likert scale so that quantitative measurement is possible. Survey method is considered to be suitable for the current research for the reason that it is the best data collection technique in the primary research process. The survey data collection technique is deemed reliable in this study as it can facilitate in asking questions to the employees regarding their Job satisfaction, engagement, and quality of care, empowerment and involvement in the company along with gathering reliable and detailed viewpoints of these staff on the effectiveness of inclusive culture in the workplace. The survey method is most suitable in this study as it is simpler to administer and it can also support using advanced statistical techniques that can be analysed for determining reliability and statistical significance. Moreover, survey can also facilitate in gathering data on brand range of variables including working hours and inclusion culture in the workplace. 3.6 Sampling Sampling is the method of select elements from the whole population to reduce the overall sample size in the research.It is performed as it is difficult to work with very large population as it increases the time, cost and complexity of the research. The sampling process starts with defining the target population in the research and in this research the target population consists of the people working in the hotel industry in the United Kingdom (Robinson, 2014). The next step is choosing the sampling frame in the research which narrows the target population to the ones that have high significance to the research. In this research, the sampling frame will consist of the employees working in The Royal Horseguards Hotel. The next step is selecting the sampling size of the research and in this research 129 line employees and managers will be chosen for the survey. The most crucial aspect in the research is choosing the appropriate sampling technique.In this
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research, all 129 employees will be asked to fill in the survey. Researcher aims to reach minimum of 100 people then the researcher will have the margin of error of only 5%.This margin of error is considered less in this case for the reason that a large sample size is selected for the research.The margin of error decreases with the increase in sample size as it yields results at a desirable and reliable level. This sample size is selected for the reason that a large sample size is deemed suitable for attaining accurate mean values and also facilitates in recognising the outliners which can skew the data along with providing smaller error margin. 3.7 Data Analysis The variables that will be tested in the data analysis will include as dependent variable and as independent variables. The quantitative data will be analysed using statistical analysis and SPSS (Statistical package for social sciences) will be used as a tool (Quinlan et al., 2019). In this research, inferential statistics will be used to analyse gathered data where the collected responses will be represented in frequency tables and charts. Moreover, correlation will be used to analyse the degree and nature of relationship betweenthe variableswhere Pearson’s Correlation method will be used. Regression analysis will be used to develop a model that will consist of predictors and the dependent variable which will be able to explain the characteristics of the dependent variable precisely (Treiman, 2014).The quantitative data from the responses will be analysed by understanding the inclination of the majority of the respondents towards a question. The correlation will help in understanding whether the factors are having positive relationship with employee turnover or not. The regression analysis will assist in identifying the factors that are not significant to the research and can be omitted from the inclusion policy.9 4. Advisory approach After the research is conducted the researcher will analize the data in order to provide the client with the relevant outcome. First of all, the issues will be communicated with the client in order to create awareness on which aspects the most focus should be put on. Second of all,advice is going to present effective Inclusion management strategies and policy that promotes inclusion within the workforcebutdevelopingredesigning theHR inclusion policyof the company the proposed structure is considered to include policies related with respecting and valuing uniqueness ofemployees.Theinclusionpolicystructurewillalsoincludeactivelylisteningandseeing employeethought,maintainingfairnessandrespect,standingupforemployeepotentialand balancing actions with empathy in the workplace surrounding.The research is expected to develop Inclusion policy through data received from quantitative analysis. The quantitative data analysis is expected to derive in answers on the issues faced by the organization which will facilitate in developing recommendations and policies essential for the company in improving their sustainable competitive advantage in the market. Implementation of Inclusion Policy will also have financial implications involved. Financial implications It has already been discussed that the lack of inclusion policy with the organisation resulted in increase of staff turnover to 30% which is comparatively high. There has been significant increase in the human resource cost within the organisation where it can be seen that cost of training each employee is around £100. The average turnover rate of the company is 30% which means that the company is losing more than £10,000 each year. However, the development of the new inclusion policy is expected to reduce the turnover rate 10% within the next three years and there would be
significant reduction in the overall cost incurred by the human resource department.The loss is expected to be reduced to £2,000 within the next three years. The graph below clearly depicts the forecasted decrease in the staff turnover and annual losses incurred due to the development of new inclusion policy. Although it is expected that there will be decrease in HR costs due to decrease of staff turnover, there might be other financial implications involved in order Inclusion Policy to function properly. Financial Implications will be calculated on a later on stage, when the data will be collected and analysed. 123 0 2000 4000 6000 8000 10000 12000 0 5 10 15 20 25 30 35 YearLoss Margin Staff turnover rate (%) Reduction in staff turnover in the next three years Source: (As created by Author)
13 5. Project Planning Not detailed the goal is to convince the readers that you understand complexity of the project. 4.44.54.64.74.84.94.1(0)4.11 WEEK 30 WEEK 31 WEEK 32WEEK 33 Online survey Use tree diagram and prepare the survey Spread survey to RHG employees through online platform Data collection Data analysis Contact the first examiner Advice Approach Discussion of the research results Provide answer to the research questions
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14 Contact with the research teacher Contact with the first examiner Translate findings into Solution to the problem Suggest Advice Implementation Contact the first examiner Contact the client Submission
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