Contemporary Hospitality Industry

This report explores the different types of businesses in the hospitality industry, operational and functional departments, and the contribution of the industry to different economies. It also discusses the range of operational roles and the skills required in the industry. Additionally, it examines the impact of skill gaps on businesses and provides solutions to address them.

Contemporary Hospitality
Industry

Table of Contents
Table of Contents.............................................................................................................................2
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
Exploring different types of business in hospitality industry and diverse products along with
services that are offered in it........................................................................................................1
Examining operational and functional departments in the business............................................2
Discussion of contribution of the industry to different economies..............................................3
Review of interrelationship among functional and operational units within the entity...............4
Assessing the ways in which use of franchising and licensing agreement have influenced
international development of the industry...................................................................................4
Analysing how global growth, licensing addition to franchising development have contributes
in economic worth of the sector...................................................................................................4
TASK 2............................................................................................................................................5
Range of operational roles in hospitality industry.......................................................................5
Examining skills for roles in the industry....................................................................................5
Review of skill gaps in the industry in relation to different operational roles............................6
Analysing impact of skill gaps on businesses along with making valid solutions for addressing
the gaps........................................................................................................................................6
TASK 3............................................................................................................................................7
Covered in PPT............................................................................................................................7
TASK 4............................................................................................................................................7
Covered in PPT............................................................................................................................7
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
In the contemporary world, the term hospitality is a relationship process among user and
a host. Hospitality is considered as most stimulating, fascinating together with fun industry to
operate in. North Hill Hotel is selected for understanding working of hospitality industry
(Quintana-García, Marchante-Lara and Benavides-Chicón, 2018). It was established in
Colchester, UK in 2008. Currently, it is planning to expand operations in Asia and for this,
managers are looking for investors.
The report explores various business types, range of operational and functional
department as well as contributing towards certain economies. It also examines operational roles
and skills that are essential for roles in hospitality industry.
TASK 1
Exploring different types of business in hospitality industry and diverse products along with
services that are offered in it
Business is said to organised efforts addition to practices of people for producing offerings
for profit. Purpose of hospitality organisation is to make temporary accommodations feeling
perpetual or everlasting. Some of businesses within hospitality industry are as explored:
Travel and tourism: This kind of business offers facilities of moving people from one
location to another (Belda and Cabrer-Borrás, 2020) (Cheluget and Koech, 2018). It involves
cruise ships, trains and airlines in the services. Travel and tourism businesses are associated with
provision of commuting or transportation services to individuals through car rental, airline, water
transport, railways and many more. At North Hill Hotel, all travel and tourism services are
offered to visitors as to cater desires and expectations of emerging demand for transportation.
Lodging accommodation: It is also known as hotel that features a gamut from luxurious
staying to lavish campgrounds together with resorts. Huge focus is made by lodging
accommodation business so to improve experiences of travellers across the world. North Hill
Hotel is a kind of lodging accommodation business that offers place to sleep, eat and enjoy
luxurious suits to travellers.
Food and beverage: This category of business reign supreme in hospitality industry as it
has huge subsectors including takeaway, restaurant, retail and food outlet, casinos, fast food
chains as well as pubs. North Hill Hotel is also categorised under food and beverage business as
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it has foodservice restaurant which compete for customers that are looking for garner quick
meals, snacks and drinks.
Hospitality industry comprises of businesses that offers range of products and services to
met needs of travellers or vacationers (Mathew and Abdulla, 2020). Certain products of North
Hill Hotel are transportation modes, rooms, business centre, conference halls, souenier, amenities
and hence forth. al same time, the organisation offers services including customer delight,
courtesy, online facilities, butler, valet, quick response and behaviour.
Examining operational and functional departments in the business
Departments are divisions of company that have different activities, possessions and
responsibilities for company. In North Hill Hotel, divisional structure is followed that group
whole company into divisions or units having all required resources to perform practices.
Operational and functional units are essential divisions of the entity that assist in smoothly
running other practices. In case with North Hill Hotel, examination of both departments is as
follows:
Operational unit: Operations unit in the hotel is responsible for creating home for
travellers away from home (Golubovskaya, Solnet and Robinson, 2019). At North Hill Hotel,
operational unit deal effectively with bosses, staff members and customers while keep all
activities of company smoothly. Major operational units of the hotel are as follows:
 Housekeeping department: One of operational unit that have role to manage guest rooms,
maintenance, hygiene together with cleanliness of entire public surroundings at
workplace. It refers to up-keeping of the house. In North Hill Hotel, housekeeping
department is responsible for establishing welcoming atmosphere, ensuring high
cleanliness standards and build good working relations with other departments.
 Front office department: An operational department that directly interacts with customers
at arrival and is visible to guests is front office department. It handles transactions among
hotel along with its guests. At North Hill Hotel, front office department have
responsibility to handle in house communication, create guest database, ensure guest
satisfaction and make arrangement of room as per guest expectations.
Functional unit: functional units in a hospitality organisation have least interaction with
guest and are responsible to perform certain functions to help in goal attainment (Blagoev,
Nikolskaya and Popov 2019). In North Hill Hotel, each functional area is assigned some
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particular tasks together with duties. Some departments of functional unit of North Hill Hotel are
below:
 Marketing department: Functional unit that promotes company and drive sales of offering
is termed as marketing department. Objective of marketing department is to build brand
image and enhance sales of offerings. Within North Hill Hotel, marketing department is
responsible to plan campaigns, develop promotional material, disseminate ideas and
convey messages in unified manner.
 HR department: Human resource are defined to set of people that makes organisational
workforce. In context to North Hill Hotel, HR department is tasked with recruitment and
selection, compensation and rewards, administering benefits, performance management
and retention of employees.
Discussion of contribution of the industry to different economies
Hospitality industry is at core in various countries as it caters needs of guests for achieving
great returns on investment for shareholders (Klimova and Glumova, 2020). In UK and other
countries, hospitality sector comprises of certain facilities such as hotels, pubs, restaurants, resort
and other recreational facility. One of business or company in hospitality industry is North Hill
Hotel that provides tangible and intangible aspects to distinct economies. Some contribution of
hospitality industry in various economies are discussed below:
Local economy: At local level of economy, hospitality industry provides huge employment
to local residents and improve local infrastructure at great extent. Along with this, various
products and services are offered to local people that raises living standards addition to decrease
crime rates in communities. The industry also preserves rich art, culture, tradition, historical
significant and spread awareness for protecting future generations associated with local aspects.
National economy: Within economy of UK, hospitality industry accounts for around 11%
of GDP (Bhalla and Hundal, 2018). It is also analysed that the hospitality sector contributed to
nearby £59.3 billion in Gross Value Added and approximate to 3.0% of economic output. In
2020, there were around 2.38 million jobs created in the industry that represents to 6.9% of
national UK employment. By enhancing amount of footfall into nation, hospitality industry also
contributes in national economy by boosting other sectors such as automobile, food production,
catering and so on.
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International economy: At international level, hospitality industry makes significant
contribution in development of attractions. Hospitality sector helped and is helping businesses in
the industry to expand their global presence through launching new locations across the globe
that develop infrastructure and relations at international level.
Review of interrelationship among functional and operational units within the entity
In an organisation, operational and functional units are interrelated as they are part of
organisational structure (Liu-Lastres and Wen, 2020). In aspect to North Hill Hotel, operational
and functional units are interrelated as they play integral role in devising business strategy,
planning components together, provide direction under their watch and coordinate activities
among each other. Functional and operational units makes plan with proper understanding of
methods along with working together.
Assessing the ways in which use of franchising and licensing agreement have influenced
international development of the industry
As per Ward and Mattern (2020) it has been assessed that use of franchising agreement by
managers or North Hill Hotel benefits in developing strong brand portfolio, good reputation,
devising and executing marketing programs at international level. Addition to this, usage of
licencing agreement in the company gives licensee rights to use commodities which licensor
already owns. At international level, licensing develops a hospitality company by creating
opportunity for passive income, new business opportunities, reduce risks for parties and
generates easy entry in foreign market.
Analysing how global growth, licensing addition to franchising development have contributes in
economic worth of the sector
International growth through licensing have contributed in economic worth by expanding in
other nations and generating gross national values (Yavari Gohar and Hayati, 2020). Through
licensing as well as franchising development at North Hill Hotel contribute in economy through
increasing employment rates by developing 3.5 per cent. Along with this, ongoing growth
contribute to wider deal of resources to communities around the globe.
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TASK 2
Range of operational roles in hospitality industry
Operational roles are undertaken by managers who administer and oversee activities of a
company. In hospitality industry, operations manager looks after entire processes and actions to
keep organisation running smoothly. In North Hill Hotel, some operational role performed in teh
industry are below:
Front office manager: One of operational role is Front Office Manager who is responsible
to make important supervisory decisions for front line employees (Muchai, Wadongo and Olielo,
2019). At North Hill Hotel, front office manager has responsibility to maintain effective level of
occupancy at workplace. Moreover, front office manager deals with guests, manage and train
workforce, arrange staff scheduling and act among staff and General Manager.
Supervisor: It is another operational role that depends on needs of establishment,
instructions of top authorities and available guest rooms. In North Hill Hotel, supervisor manage
hotel staff, maintain inventory, give instructions to all departments, interact with guests and
assist professors.
Concierge: Operational role wo receives guest is termed as concierge. At hospitality
organisation, concierge assist vacationers or guests through performing certain tasks including
making reservation, arranging services, booking transportation and recommending attractions.
Within North Hill Hotel, responsibilities of concierge includes providing support for customers
arriving on packages, maintain positive relationship and supports operational partners.
Examining skills for roles in the industry
Skills are abilities for performing actions and practices with determined outcomes with
effective execution in particular time, energy and even both (Christou and Chatzigeorgiou,
2019). In hospitality industry, skill sets include hard skills and soft skills. Certain hard skills are
commercial accountability, record keeping, marketing, technical, presentation and so on.
Moreover, some soft skills include communication, critical thinking, planning, teamwork and
many more. In context to North Hill Hotel, some skills for roles are as follows:
Communication skill: This is essential in all job roles as it is the ability for giving
addition to receiving various types of information. In North Hill Hotel, communication skill
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enhances guest experiences which results in customer loyalty, building brand image and having
information about needs of staff and users.
Commercial accountability skill: The skill is all about standing by decision and overall
wellbeing of projects. In North Hill Hotel, commercial accountability skill in job roles address
expectation of employees along with needs of company. Moreover, the skill helps in setting and
holding manpower to common expectation via defining organisational vision, goals and values
clearly.
Review of skill gaps in the industry in relation to different operational roles
In accordance to Atsa'am and Bodur (2020), it is reviewed that hospitality industry requires
unskilled, skilled and semi-skilled workforce. At same time, the industry is also threatened by
chronic shortage of cooks, chefs and many functional as well as operational roles. In case with
North Hill Hotel, there are various positions which go unfulfilled because of limited labour
supply in market. Certain reason because of which the industry is facing chronic skill shortage
across the globe includes political crisis, fewer youngsters, low paid jobs and boom in opening of
establishments.
Analysing impact of skill gaps on businesses along with making valid solutions for addressing
the gaps
According to Tuzovic, Kabadayi and Paluch (2021), skill gap impacts negatively on any
industry. In relevance to hospitality industry, skill gap impacts on productivity as it slower
production times, reduces time in delivering services to customers, increased operation costs
addition to various performance related issues. In case with North Hill Hotel, skill gap impact
directly on ability of organisation to stay in competition and restrict chances to expand globally.
Some solutions that could be adopted by managers for the hospitality establishment to manage
skill gap are training to local employees, hiring students by offering more flexible opportunities
and developing cultural awareness.
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TASK 3
Covered in PPT
TASK 4
Covered in PPT
CONCLUSION
From the report, it is concluded that hospitality businesses are providing generous addition
to friendly treatment to guests or vacationers. Key businesses categories in hospitality industry
includes lodging accommodation, travel and tourism, food and beverage. Housekeeping, front-
office, marketing and HR department are some operational along with functional units of
company. Supervisor, front office manager and supervisor are major operational role in the
hospitality business. Communication skill and commercial accountability skill ae skills required
for operational roles.
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REFERENCES
Books and Journals:
Atsa'am, D. D. and Bodur, E. K., 2020. Mining the moderating role of organizational tenure in
the association between PsyCap and educational qualifications among tourism and
hospitality workers. Journal of Public Affairs, p.e2272.
Belda, P. R. and Cabrer-Borrás, B., 2020. Size and survival of the hospitality industry: The case
of Spain. Tourism Economics, p.1354816620909997.
Bhalla, A.S. and Hundal, B. S., 2018. Green Reforms in The Hospitality Industry. ZENITH
International Journal of Multidisciplinary Research, 8(3), pp.1-9.
Blagoev, V., Nikolskaya, E. Y. and Popov, L. A., 2019. THE HOSPITALITY INDUSTRY:
Understanding Hotel Business. Varna University of Management.
Cheluget, M. and Koech, C. J., 2018. The Link between Analysis Dimension of Strategic
Orientation and Firm Performance in Small and Medium Enterprises in the Hospitality
Industry in Kenya: The Moderating Role of Top Manager’s Ownership
Status. International Journal of Advances in Agriculture Sciences.
Christou, E. and Chatzigeorgiou, C., 2019. Experiential learning through industrial placement in
hospitality education: The meat in the sandwich. Journal of Contemporary Education
Theory & Research (JCETR), 3(2), pp.31-35.
Golubovskaya, M., Solnet, D. and Robinson, R. N., 2019. Recalibrating talent management for
hospitality: a youth development perspective. International Journal of Contemporary
Hospitality Management.
Klimova, T. B. and Glumova, Y. G., 2020. Trends in the development of the tourism and
hospitality industry through the prism of the digital economy.
Liu-Lastres, B. and Wen, H., 2020. Exploring Ethnic Minority Workers’ Perceptions of
Employee Well-Being in the Tourism and Hospitality Industry: An Exploratory Study.
Mathew, E. and Abdulla, S., 2020. The LSTM technique for demand forecasting of e-
procurement in the hospitality industry in the UAE. IAES International Journal of
Artificial Intelligence, 9(4), p.757.
Muchai, P., Wadongo, B. and Olielo, T., 2019. Impact of Scholar-Practitioners Gap on Research
Output in Kenyan Hospitality Industry.
Quintana-García, C., Marchante-Lara, M. and Benavides-Chicón, C. G., 2018. Social
responsibility and total quality in the hospitality industry: does gender matter?. Journal
of Sustainable Tourism, 26(5), pp.722-739.
Tuzovic, S., Kabadayi, S. and Paluch, S., 2021. To dine or not to dine? Collective wellbeing in
hospitality in the COVID-19 era. International Journal of Hospitality Management, 95,
p.102892.
Ward, V. and Mattern, A., 2020. Sustainability, safety and security: a case for hospitality
industry response to natural disasters. Journal of Tourism, Hospitality and Culinary
Arts, 12(1), pp.289-304.
Yavari Gohar, F. and Hayati, K., 2020. Sustainable Innovation in the Hospitality Industry:
Investigating the Role of diffusion of Innovation, Environmental Pressures, Green
Marketing and Resource Commitment. Tourism Management Studies, 15(52).
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