Contemporary Hospitality Industry

This report explores the contemporary hospitality industry, including different types of businesses, their products and services, operational and functional departments, and the contribution of the industry to the economy. It also discusses the impact of franchising and licensing agreements on the industry's development at a global level. Additionally, it examines the skills required for various operational roles and identifies gaps in skills within the industry. Solutions to address these gaps are also provided.

Contemporary
Hospitality Industry

Table of Contents
INTRODUCTION.......................................................................................................................................3
Main Body...................................................................................................................................................3
Discuss different kinds of business in hospitality industry along with the products & services they offer
.................................................................................................................................................................3
Operational and functional departments within selected hospitality organization...................................4
Contribution of hospitality industry to local, national and international economies................................5
Interrelationship between operational and functional units of hospitality organization...........................5
Discuss the way in which franchising and licensing agreements influenced development of hospitality
industry at global level............................................................................................................................6
Discuss the contribution of franchising and licensing development towards economic worth of
hospitality sector......................................................................................................................................6
Different operational roles within hospitality industry............................................................................7
Skills required for performing roles in hospitality industry.....................................................................8
Discuss gaps in skills within hospitality industry in context of different operational roles......................8
Examine the impact of skills gaps over hospitality business also provide appropriate solution in order to
address the gap issue...............................................................................................................................9
CONCLUSION...........................................................................................................................................9
REFRENCES............................................................................................................................................11

INTRODUCTION
Hospitality industry includes different types of business related to food, drink, beverages,
accommodation and more. It is stated that hospitality industry plays a crucial role in economic
growth and success of country by generating job opportunities for individuals within country. In
UK, hospitality industry is considered as one of the largest employment sector which offers job
to nearly 4.49 million people every year. The hospitality sector of UK contributed 59.3 billion in
GDP of country in 2019 (Boella and Goss-Turner, 2019). The present report is based on Crowne
Plaza which is a renowned company of hospitality industry of UK. It falls under the grade of
five star hotels which provides ample of luxurious facilities to customers and also looking
forward for business expansion. The report is classified in two different parts. First part
comprises different business types within industry along with the details regarding operational
and functional unit of organization. in addition, contribution of hospitality industry and
interrelationship between operation and functional units has also been discussed in the present
report. Further, it includes skills and gaps in performance in order to perform different
operational roles within company. On other side, SWOT analysis of organization, impact of
external factors with the ability of organization to meet with current trends of market has also
been covered in the second part of report.
Main Body
Discuss different kinds of business in hospitality industry along with the products & services
they offer
Hospitality industry is the large sector which comprises a lot of business in order to meet
with requirements of customers in an efficient manner. For this purpose, different types of
hospitality business are mentioned as under:
Accommodation: It is the crucial part of hospitality industry under which services related
to stay are provided to guest (Pirnar, 2020). It also includes some necessary facilities which are
essential for a comfortable stay. Accommodation is offered by hotels, guest house, resorts and
more.

Adventure and recreation: Under this, activities related to enjoyment, entertainment,
relaxation are included. These facilities are offered by resorts, clubs and more where people go
and enjoy. For this purpose, there are different types of resorts such as beach, ski resort and so on
which offer ample of recreation and entertaining activities.
Hotels: Hotels offers lodging facilities for particular period of time. It also offers some
varieties of different facilities which are crucial for customer satisfaction. There is range of
services such as accommodation, food & beverages and more are offered by hotels. Marriott,
Hyatt, Hilton are some of the example of hotels.
Operational and functional departments within selected hospitality organization
Operational department:
Front desk services: This department of Crowne Plaza is responsible to interact with
guest while they visit to the hotel. They take all the calls and do the bookings, reservations as per
the requirement of guest and also ensure to provide best possible solutions of the problem being
face by guest during stay (Boxall, Nyanjom and Slaven, 2018).
Housekeeping department: It is the duty of house keeping people to maintain clean and
hygienic environment in hotel for satisfaction of guest.
Food production department: This department of respective hotel is liable to provide
quality food & beverages to guest.
Functional department:
Accounts department: In accounts department of Crowne Plaza, people are responsible
to keep proper control over cash inflow and outflow in order to maintain adequate amount of
funds within organization. For this purpose, they also prepare financial reports, statements on
timely basis.
Maintenance: Major role of maintenance department is to ensure smooth functioning of
all the equipments within hotel (Ncube and Oni, 2020). They need to assess the performance of
machinery, tools & other electric equipments and repair them accordingly.

Security department: All the functions related to safety and security are performed by
security department of Crowne Plaza.
Human resource department: In hospitality industry, it is really important to hire
qualified, competent as well as potential staff. Here, human resource department of Crowne
Plaza perform different functions for getting competent and qualified candidate onboard.
Contribution of hospitality industry to local, national and international economies
It is analyzed that hospitality industry is growing rapidly and plays a crucial role in
growth of economy at national as well as international level. At local level, it provides job
opportunity to local people so that they can meet with basic necessities. Hospitality industry is
also important for growth of nation (Oskam, 2018). It is analyzed that there are nearly 4.49
million people are employed in hospitality sector of UK which is nearly 10 % of the total
population of country. There is nearly 223045 hospitality related business in UK which
contributes a significant part in overall GDP. It is stated that hospitality sector gives significant
contribution at international level. According to the reports, global hospitality industry has
turnover of nearly $ 7.6 trillion on annual basis. Here, tourism & hospitality has a profound role
in economic growth and success in each and every country across the globe.
Interrelationship between operational and functional units of hospitality organization
There is different department’s works in hotel which are interrelated with each other in
significant manner. This interrelationship is described as under:
Marketing and front desk: Marketing department needs to coordinate with front office
people for gathering data and information related to guest which further helps in formulating
effective strategies (Gottwald, 2017). On other side, front office people also get benefit with
marketing of services as it enhances customer base of company which further leads business
towards growth and success.
Housekeeping and maintenance department: House keeping people provide information
to maintenance department regarding defects in electrical equipments. On other side,
maintenance people also take help of housekeeping department in fulfilling their roles &
responsibilities in an efficient manner.

With above discussion, it is analyzed that all the operational and functional departments
of hotel are associated with each other which is vital for performing all the necessary activities in
an efficient manner. Further, this interrelationship is also imperative in order to provide better
services to guest for generating significant amount of profit margin.
Discuss the way in which franchising and licensing agreements influenced development of
hospitality industry at global level
Franchising: It is a way which is often use by companies to expand business at global
level. Franchising is an important method which is adopted by hospitality organizations while
they enlarge business (Eissner and Gannon, 2018). Mcdonald and Hyatt are some of the
examples which are using franchising for business expansion at global level. Franchising
supports economies of different in terms of enhancing reach of company in significant manner.
With franchise, local economies can get benefit in terms of enhancement in jobs, tax, and
community involvement. Crowne Plaza is a prominent hotel, headquartered in London. They are
looking forwards to expand business by developing subsidiaries based on franchising for
enhancing brand name of hotel at global level.
Licensing: It refers to ample of rules and regulations which are essential for starting a
business. Under this, license is provided by an existing company to other subsidiary companies
so that they can work under the same brand name. It is stated that licensing plays a crucial role in
development of hospitality industry with the UK. With the help of licensing, it is easy for
company to expand business and work in diversify range of products and services across
different countries at international level. Through licensing, Crowne Plaza can enhance it’s brand
presence in different countries by exploring new range of products and services in an efficient
manner.
Discuss the contribution of franchising and licensing development towards economic worth of
hospitality sector
It is stated that franchising and licensing is really crucial and play a significant role in
growth of economy as well as hospitality industry. Here, licensing & franchising is helpful in
enhance the present of business which eventually generate employment opportunities and also
contribute towards economic growth. Contribution of these two factors is discussed as under:

Franchising: There are a lot of well known brand which adopt this practice at global
level with an aim to expand business with same brand name. It is a crucial way to enlarge
business in different countries which allows company to target international audience in
significant manner (Madera, Dawson and Guchait, 2016). It is analyzed that hotels that opt this
practice is more likely to generate higher revenue and profit in comparison of other companies.
In addition to this, it also helps in generating new employment opportunities at global level.
Licensing: Under this, business owner provides legal rights to use the intellectual
property and brand name of company to other party which is also known as licensee. In
hospitality industry, it is a common practice as there are several well known brands which are
using this approach for ensuring their significant presence in other countries (Sann and Lai,
2020). With the help of licensing, company can not only make its presence at global level but
also contribute significantly in growth of economy in respective country. It is a way of business
expansion that generates huge employment opportunities for future growth & success.
Different operational roles within hospitality industry
In hospitality industry, there are a lot of operational roles which are performed by
operation department of hotels such as front office, housekeeping, food and beverages & so on.
Roles of operational department of Crowne Plaza are mentioned below:
Housekeeping department: This department has direct impact over guest experience so
that their role is to maintain clean and hygienic environment so that guest do not face any kind of
difficulties. In addition to this, they are also responsible to maintain sufficient amount of storage
of necessary items such as lines, guest supply and more (Luu, 2017). Housekeeping department
is responsible to maintain clean and neat environment within premises of hotel so that guest get a
clean and hygienic environment.
Food production department: This department has the duty to prepare quality foods and
beverages for catering the needs of guest in an efficient manner. It comprises chefs and other
staff who perform job roles so that customer get highly satisfied.
Front office department: Front office people are responsible to greet customers and
ensure that they comfortably stay with hotel. For this purpose, it is their duty to resolve the issues
of guest in best possible way. If, any complaints are lodged by visitors, then it is the duty of front

office people to address the issues in timely manner. In addition to this, front desk people need to
ensure that customer get a positive experience during stay so that they visit again to hotel.
Skills required for performing roles in hospitality industry
Skills are important at each and every step of hospitality industry as without this, it is
queer difficult to perform different roes & responsibilities within company. In context of Crowne
Plaza, there are a lot of departments for which, they are required to hire potential & competent
candidates. Here, necessary skills required to perform job roles in hotel industry are mentioned
below:
Skills sets for operation manager: Operation manager is responsible to undertake daily
activities of hotel in an efficient manner (Mooney and Jameson, 2018). For this, it is required to
have certain skills such as communication, negotiation, technical skills and more. In respective
hotel, it is the duty of operation manager to analyze external as well as internal environment for
formulating effective strategies in order to enhance productivity & efficiency.
Skill sets for role of front office managers: Front office people are responsible to
interact with guest and greet them for which they are required to have communication,
presentation skills, and problem solving abilities for maintaining positive relationship with guest.
Skill sets for role of housekeeping manager: Housekeeping manager need to have the
ability to supervise staff members and their activities. They also need to have effective skill for
motivating staff so that they work in an efficient manner. There is requirement to have
knowledge regarding cleanliness and sanitization for maintaining clean & hygienic environment
within the premises of hotel.
Discuss gaps in skills within hospitality industry in context of different operational roles
In hotel, operational roles such as front office, housekeeping are performed in an efficient
manner for which it is important to have necessary skills for performing assigned task in best
possible way. As the time is changing so requirement of hotel industry is also changing
accordingly due to which there are a lot of skills gaps have been identified. There is requirement
to focus on development of hard skills such as proficiency in using technology, Microsoft tools
and more (Patiar and Wang, 2016). In addition to this, it is important to develop skills related to
budgetary, logistic management for running business effectively. Apart from hard skills, it is also

imperative to develop soft skills such as communication, interpersonal, team working abilities
and more. It will help to operational team of Crowne plaza to perform their daily roles and
responsibility in significant manner.
Examine the impact of skills gaps over hospitality business also provide appropriate solution in
order to address the gap issue
Gaps in skills and knowledge have profound impact over organization as due to this
individuals are not able to perform assigned roles & responsibilities effectively. For enhancing
the productivity and efficiency of hotel industry, it is imperative to address the gaps in an
appropriate way which is mentioned below:
Skill gap can be minimized by providing proper training and learning opportunities to
individuals. In Crowne plaza, they are required to access the current skills of employees and
arrange appropriate on job and off job training programs for enhancing the potential of work
force. They are required to arrange such programs in predefined intervals for maintaining
consistency in learning. This approach will help the company in order to minimize the skill gap
and improve in productivity of work force.

CONCLUSION
Through the above discussion, it is stated that hospitality industry plays an imperative
role in bringing growth opportunities in current economy. It generates huge employment
opportunities and also significantly contribute towards GDP of country. There are varieties of
business can be undertaken within hospitality sector such as hotel, accommodations, travel and
more. In hospitality organization, different operational as well as functional unit work together
for realizing the desired goal within stipulated period of time. It is summarized that hospitality
industry contributes towards domestic as well as International development of economies.
Discussion has been carried out about different skills and potential which are required to perform
varieties of functions related hospitality organization. Moreover, hospitality sector is gaining
popularity in present time and also considered as a significant part of overall economic
development in different countries at global level.

REFRENCES
Books and Journals
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Gottwald, M., 2017. Human resources management innovations in the hospitality industry: the
case study of Valamar Riviera (Bachelor's thesis, Università Ca'Foscari Venezia).
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industry. International Journal of Contemporary Hospitality Management.
Madera, J.M., Dawson, M. and Guchait, P., 2016. Psychological diversity climate: justice,
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Mooney, S. and Jameson, S., 2018. The career constructions of hospitality students: A rocky
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Pirnar, I., 2020. Innovation Management in the International Hotel Industry. In The Routledge
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Sann, R. and Lai, P.C., 2020. Understanding homophily of service failure within the hotel guest
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