Management Challenges in the Hospitality Industry: A Case Study of Savoy Hotel

Consultancy Project for Hospitality
Management Research Report the
Savoy Hotel

ABSTRACT
The hospitality sector faces various managerial challenges in day to day operations. It is
important for business firms to understand managerial challenges affecting the hospitality
organisation so that effective strategic actions can be identified and implemented. The present
research focuses on the Savoy hotel which is leading luxury hotel establishment in London.
Managerial challenges related to Savoy hotel are analysed with the help of quantitative research
and strategic steps are determined. This gives profound information about hospitality
management along with prominent challenges affecting luxury hotel business firms. The case
and effect of various barriers is evaluated in an effective manner so that the strategic actions
developed eliminate challenges for effective management process in luxury hotel firm such as
the Savoy Hotel.

Table of Contents
ABSTRACT.....................................................................................................................................2
LIST OF FIGURES.........................................................................................................................5
CHAPTER ONE..............................................................................................................................6
1.0 Introduction......................................................................................................................6
1.1 Research background........................................................................................................6
1.1.1 Case study organisation background........................................................................7
1.2 Statement of research problem.........................................................................................7
1.3 Research Aim...................................................................................................................8
1.4 Research objective............................................................................................................8
1.5 Research question.............................................................................................................8
1.6 Research Rationale...........................................................................................................8
CHAPTER TWO...........................................................................................................................10
2.0 Literature Review...........................................................................................................10
2.1 Management theories......................................................................................................10
2.1.1 Classical management theories...............................................................................11
2.1.2 Contemporary management theories......................................................................12
2.3 Management challenges and issue in hospitality industry.............................................13
2.4 Causes and effect of management challenges and issues in hospitality.........................14
2.5 Impact of range of management challenges and issues in hospitality industry..............14
CHAPTER THREE.......................................................................................................................17
3.0 Research Methodology...................................................................................................17
3.1 Research Philosophy......................................................................................................17
3.2 Research paradigm.........................................................................................................18
3.3 Research approach..........................................................................................................19
3.4 Research Design.............................................................................................................20
3.5 Data-collection...............................................................................................................21
3.6 Analysis of research findings.........................................................................................21

3.7 Ethical consideration......................................................................................................21
CHAPTER FOUR - Data Presentation, Analysis, Findings and Discussions...............................22
4.1 Introduction....................................................................................................................22
4.2 Qualitative and quantitative analysis..............................................................................22
4.3 Discussion of findings....................................................................................................23
CHAPTER FIVE...........................................................................................................................35
5.0 Introduction....................................................................................................................35
5.1 Conclusion......................................................................................................................35
REFERENCES..............................................................................................................................36
APPENDIX....................................................................................................................................39

LIST OF FIGURES
Figure 1:TOP 6 MANAGEMENT ISSUES IN THE HOSPITALITY INDUSTRY...................21
Figure 2:Better knowledge about the importance of management theories..................................27
Figure 3:The impact of using management related theories.........................................................28
Figure 4:Outcome that is accomplished by analysing managerial issued.....................................28
Figure 5:Challenges that is faced by Savay hotel..........................................................................29
Figure 6:Impact of managerial issues over performance..............................................................30
Figure 7:Reasons that assist challenge to management.................................................................30
Figure 8:Strategies that is used by Savoy Hotel to manage and control complexity....................31
Figure 9:Initiative is required to taken by management of Savoy hotel.......................................32
Figure 10:Plan that is developed by Savoy hotel to enhance its working possibility..................33
Figure 11:Implementation of various strategically initiative ability of management...................33

CHAPTER ONE
1.0 Introduction
The term hospitality management involve or undertake about analyse and overview of all
essential administrative task which is performed by a hotel. The main role of hospitality manager
is to ensure that their hotel services are warm, welcoming and comfortable and it is possible with
managing and organising all hotel activities in a proper manner. Hospitality organisation include
different departments such as front desk, housekeeping, room-service and restaurant etc. so with
appropriate hospitality management manager organised and integrate all departments to improve
customer services in order to enhance number of repetitive customers. Hospitality management
undertake different objectives and functions which is different for a specific region but the
primary goals of each organisation is same that is to provide best services to their customers
(Afsar Shahjehan and Shah, 2018). Along with this hospitality management involve and oversee
different administrative activities and commercial actions which is performed by hotels,
restaurants and catering establishment. In simple terms, hospitality management is explained as
an umbrella of various industries that include food and beverage, accommodation, travel and
many more which aids to manage all work in an organised manner. Further, this research
highlights on cause and effect of various managerial challenges related with hospitality sector
and also analyse different management theories to interpret and understand specific problems
that exists in hospitality organisation.
industry is one the best developing sector that boost economy of a country
1.1 Research background
The term research background is explained as an outline that includes various discussion
paper, models and theories which are used for identifying research problems. In the context of
this research, research methodology, literature-review and classical as well as contemporary
hotel management theories is used to identify and analyse different issue related with hospitality
industry. Further, with develop of appropriate research aim and objectives this is easy to
complete research project in an organised manner (Akgunduz and Eryilmaz 2018). Qualitative
and quantitative methods for collecting and gathering all data and information according to
current situations is used because it aids to identify current challenges and problems related with
hospitality management.

1.1.1 Case study organisation background
The selected organisation that is consider for this report is Savoy hotel and this is
identified as a luxury hotel which is situated in the city of Westminster, London. The first hotel f
respective organisation was established in the year 1889 and slowly organisation expand their
market area in different region. But with increase in operations and regions problems or
challenges related with business is also increased that impacts on services of organisation. With
analyse of current market conditions this is identify management face different problems that
create issue for an investigator to complete the research in appropriate manner. With study of
different factors this is identified Savoy hotel is identify as a luxurious hotel that provide
effective and appropriate services to customers. In the present scenario, it is identified hospitality
organisation aids towards formulation of all policies that improve work methods of organisation
for attracting and retaining a large number of customers (Cheng and Yi, 2018). Further, case
study of Savoy hotel is undertaken because this helps to perform work in a proper manner
through generating and inducing aspects such as to identify solutions that increase work
organisation productivity in a proper manner. Planned actions and research also aids to perform
all task with more efficiency to complete research in proper manner specifically to identify
factors that improve work methods and aids to draw meaningful conclusion from research.
1.2 Statement of research problem
Weak security system generate various challenges for respective organisation and it
impacts on quality of services due to inappropriate infrastructure. It determines cabling and fibre
optic links of Savoy hotel is not accurate. Therefore, this is important to improve overall security
system because this helps to protect guest and employees of the organisation. Another problem
which is faced by organisation relates with high turnover of workforce that generate complexity
to deliver right and effective services to customers. So it create issue for Savoy hotel
management to design about all those aspects that aids them to develop competitive-edge in
market. In context of respective organisation this is important for management of Savoy hotel to
minimise both problems because it helps to increase their number of customers. However,
infrastructure problems also engage units and colour scheme that create heating issue in the hotel
due to which customer or visitor avoid to book rooms in one of the oldest hotel (Chon and
Zoltan, 2019). All this issue or challenges also impacts on the current situation, position and

goodwill of the organisation. Therefore, with conducting an appropriate research this is easy to
improve hotel position in market.
1.3 Research Aim
To investigate management theories and various issues and challenges faced by the
management in Savoy Hotel and provide feasible recommendations for improvement.
1.4 Research objective
 To review management theories, their significance and efforts to managerial problems
and issues.
 To examine the reasons and effects of range of managerial challenges and issues in
Savoy Hotel.
 To evaluate the effect of various managerial challenges and issues in Savoy Hotel.
 To give a suggestion so as to develop strategic action plan using different professional
competences. to Savoy hotel.
1.5 Research question
 What is the importance and effectiveness of management theories in analysing
managerial problems in Savoy hotel?
 What are the reason and impact of managerial challenges in Savoy hotel?
 What is the effect of range of managerial problem in Savoy hotel?
 What are the specific strategic plans enhanced through professional competences that
mainly proposed to evaluate business practices at Savoy hotel.
1.6 Research Rationale
The main reason or rational to conduct research on selected topic is to identify about all
current issue that relates with current hospitality market conditions. One of the major reason to
conduct present market investigation related with hospitality research is to minimise all
challenges that is related with issue and challenges of respective hotel. Researcher implement
different aspects and it identify researcher, societies, industries etc to complete all task in an
organised manner (Guzzo, Abbott and Madera, 2020). With study of different aspects this is
identified that by increase in knowledge researcher improve their knowledge and in-depth
information about specific topic. This also consider literature review, data-collection methods,
primary and secondary research methods aids towards completion of research project in an