Contemporary Hospitality Industry Report

This report examines the contemporary hospitality industry in the UK, analyzing its scale, scope, and diversity. It explores the number of businesses, types of ownership, and their economic impact. The report also discusses the organizational structures of different hospitality organizations, using Hilton Hotel as a case study. It further assesses the role of hospitality-related organizations and professional bodies.

Contemporary
Hospitality Industry

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1. Current scale, scope and diversity of the hospitality industry.........................................1
1.2 Analysing the organizational structure of Hilton Hotel...................................................3
1.3 Role of Hospitality related companies and corporate bodies...........................................4
TASK 2 ...........................................................................................................................................5
2.1 Discussion about requirements of staffing in this hospitality industry............................5
2.2 Analysis the role, responsibilities and qualification of staff member in the hospitality
industry...................................................................................................................................6
TASK 3 & TASK 4..........................................................................................................................7
CONCLUSION................................................................................................................................7
REFERENCES................................................................................................................................8

INTRODUCTION
In the era of globalisation, hospitality sectors are the major income generators for the
economy of several nations. The hospitality sector of United Kingdom is also a major contributor
to its economy. Hospitality sector includes tours and travel industries, hotels, restaurants, bars,
pubs, food and beverages and many other industries (Radojevic, Stanisic and Stanic, 2015).
There is about 1, 80,000-hospitality industries in United Kingdom and provide employment to
more than 2.5 million people. The major contributor in GDP of UK is from the hospitality
industries. The industries belonging to the hospitality sectors are totally depends on the client's
confidence and sentiments of business. In this present assignment, Hilton Hotel of UK is being
chosen. This report will identify current scale, scope and diversity of hospitality industry as well
as organizational structures of several hospitality industries.
TASK 1
1.1. Current scale, scope and diversity of the hospitality industry
In 2012-2013, UK was ranked as the 4th biggest industry in hospitality sector. This
industry is very vast and developed sector of UK. It provides various types of services like
accommodation, food and many more to its reliable clients. Bars, accommodation, food and
beverages are some example of services which are provided by this industry. They provide
different types of services like laundry, housekeeping, food, security (Kandampully, Zhang and
Bilgihan, 2015). In this sector, there are many businesses like education, travel, retail, corporate
hospitality, health care, concerts and sports event and leisure business.
Size – this industry is very big and its size is depends on its customer relationship. It contributes
approximately 6.5 trillion dollars in UK. Its share in gross domestic product is 11 percent. There
are many jobs arise due to increased size in this sector. By this industry, there are more than
1300000 jobs in restaurant business, 25000 jobs which are increases every year in food business,
150000-man power required in hotel sector and 25000 jobs generates in accommodation field in
every year (Jones, Hillier and Comfort, 2016). Due to increased jobs, there are many types of
ownerships such as:
 Partnerships – it is a business type and in this type there are two or more than two
persons or may be entity which work together and operate a business continuously for
profit.
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 Contract – in these criteria, the ownership is fully depended on contract basis. In this
type, there is involvement of more than two persons or entity which enters into an
agreement, which is enforceable by law (Wang, 2016). This is also a type of business.
 Franchising – in this type of business the main thing is use of another business name and
ownership and paid some money for operating their business.
 Leasing – in this type, ownership is depended on money that is pay to other party
because they use property of first party and earning from their property
M1:
In hospitality industry, there is a famous hotel named as Hilton Hotel in UK. This is a
five star rating hotel, which provides rich and luxury services. The original Hilton was
established by Conrad Nicholson Hilton in 1919 (Ali, Amin and Cobanoglu, 2016). Now it is
running and providing its services in more than 85 countries and work in six continents. Its
property and management is controlled and owned by Hilton. It provides special services like
digital check in, free Wi-Fi, keyless entry etc.
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1.2 Analysing the organizational structure of Hilton Hotel
In this industry, the best example of five star and catering or theme park business is
Hilton Hotel. This hotel has all type of services and it provides to its customers there are various
types of organizational structure which is applicable for every service sector company. There are
various types of post and many employees employed in that company (Solnet, Kralj and Baum,
2015). This organization has a different type of organizational structure and contains CEO and
General Manager. There is an Assistant Manager who lead all employees and control all over the
company. These managers control all activities and reach at certain height. In any business
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Illustration 1: Organizational Structure of Hilton Hotel

structural dimensions have five types of required structures that are specialization, centralization,
hierarchy, formalization of that ownership.
1.3 Role of Hospitality related companies and corporate bodies
This research is all about role of organizations and corporate bodies which are related to
hospitality industry in UK based. This is known as very big and well-developed sector. In this
sector, there are many companies and firms who provide many services and there are many
people works according to their ability (Kim, Vogt, and Knutson, 2015). For this reason these
organizations increases their turnover at high rate year to year. These firms operate for public
welfare and its main objective is designing, implementing and monitoring new strategies so that
they maintain a customer friendly environment. They all firm sustain the control and co
ordination between horizontally and vertically at each level of the business. There are so many
types of organization in this sector like social and environmental organization, state sponsored
companies, governmental and non-governmental bodies. These types have an essential role in
this sector because this is very fast growing industry.
Role of corporate bodies and companies in this hospitality industry: this sector is vast and it
has different types of entities which work in it
these are as follows:-
 Food Services Company – this type of company provides food services to its clients and
ensure about their better quality food facility. Therefore, for this reason, the organization
needs to check operations related to business activities and provide high quality services
(Radojevic, Stanisic and Stanic 2015). Food services are essential for people because no
customer can take risk about their health.
 Travel Agencies – travel agencies are those which provide tour and travelling facility
and also make their customer's plan about their comfort ability (Prud, homme and
Raymond, 2016). They run their business with makes some contract to transport
agencies.
 Hotel and Stay Accommodation Company – in this type, there are a business operate
with hotel or stay facility (Kandampully, Zhang and Bilgihan, 2015). They provide some
basic thing also like housekeeping, laundry, safety and security etc.
 Entertainment Industry – this is a key category of the hospitality. This is an essential
part of travel and people choose this because they want more fun.
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TASK 2
2.1 Discussion about requirements of staffing in this hospitality industry.
The staffing is known as the technique of acquiring, hiring, training and developing of
different type of people. This process is completely run within the organization. This is an
ongoing process because in every organization there are a continuous requirement of skilled
worker. This sector is depended on manpower or employees (Wang, 2014). The important
purpose of this process id to create and maintain positive impact on the satisfaction and
effectiveness of the company. For the accomplishment of staffing, there are many conflicts and
issues regarding to the company. In these problems the main issue is to provide better services to
the customers.
This industry has a major issue related to unskilled or semi skilled worker. There are
many employees who don't have proper knowledge and they don't know how to work better with
customer satisfaction. This can be says as there are a big opportunity for those people who are
unskilled and semi skilled labour. In UK context, there are only 7 % of the worker are works and
give their services to this hospitality industry (Claveria, Monte, and Torra 2015). This means in
UK there are every 14th people of the employee is work in this sector. In this sector, many jobs
are arising due to above reason. There are shortage of in skilled labour that is important for it and
this will also helpful. In UK there are numbers of people who are aged group and they travel
more. The important points regarding to the job roles in this sector are as follows :
 Housekeeping Staff – there are requirement of proper skilled housing staff in this
hospitality industry. All housekeeping staff need full training about their work and they
are hard worker. In the major functions of the staff member of housekeeping is to
replenish linens and all other items in the hotel or resort's room. These all work must be
done in the professional manner to attract more customers.
 Food Service Staff – there are also a requirement generate of food service staff
members. These types of staff members are usually trained in making delicious food and
their serving style of food presenting is very good. All staff should be maintain the
organization structure as clean and fresh. It is mendatory that they use fresh and quality
food for cooking and serve this in the proper manner.
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 Travel Agent Staff - in this industry, there are many tours and travel agencies. They
need employees or staff members who are hard worker and potential about their work.
This is an important department for overall industry because this staff requirements seen
as crucial and central part of the travelling business. The staff members help in making
the plan and organize trips for their clients. They are greater help provider about
destinations and they also have all information about travel. So for this reason they offer
advice to the overall plan (Jones, Hillier and Comfort, 2016). In this sector there are
wider scope for the staff members because they make a better relationship with
customers.
2.2 Analysis the role, responsibilities and qualification of staff member in the hospitality
industry.
In this sector the work of employees and staff members is very complicated and this has a
great range of roles and responsibilities. The main role and responsibilities of these staff
members are as under :-
1. Roles and Responsibilities
 Managing budget – in every business of this industry there are need of manage the
given budget in proper manner with effectively and efficiently so that the company
use resources in optimum way (Wang, 2016). All department get required amount of
budget and it is necessary for them to utilize the budget in minimum amount.
 Supervising maintenance – all the staff members should require to maintain all
supervising liability. They make sure that everything is on work properly.
 Food and beverages – this is an essential requirement that employees should manage
the stock level of food and beverages. It is fully depends on the type of business that
whether business is restaurant or not. They must provide enough food and drink for
their customers and ensure about their customers happiness.
 Co ordination of departmental work – in this industry there are many companies
and they have several departments according to their need so it is also an essential
thing that is to maintain co ordination among all departments. There are finance,
human resource and so many departments and there must be arise conflicts between
their staff members. For this reason it is need to make friendly environment in that
organization.
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 Customer services – this is also an important aspect that is compulsory in each
businesses. This point is need to follow by every staff member for making better
customer relationship.
2. Qualification Required for Staff Members
 Commerce – all employees should know about commerce and they also able to
dealing with other firm if required (Ali, Amin and Cobanoglu, 2016).
 Administration – this industry is extremely complicated so it covers multiple areas
of all services regarding administration.
 Accountancy – a business has basic fundamental of accountancy and this is need of
every business so that for this reason every staff member should have sufficient
knowledge about accountancy.
 Industry specific training – all staff members should have proper training and
development program so that it will helpful for that business in hospitality industry
(Solnet, Kralj and Baum, 2015). All the employees use this for attract more
customers.
 Business management – this qualification is more important for every staff member
because they can use their managerial ability in that organization and increase their
business turnover.
TASK 3 & TASK 4
Covered in ppt
CONCLUSION
The hospitality industry is very vast and consistently changing sector. In this industry
there are many service related organizations that provides better services to their clients. There
are too much scope for new entrants and this is more useful for new growing company. In this
report the focus is on the service related businesses and entities. This report also shows that a
range of ownerships in UK.
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REFERENCES
Books and Journals
Ali, F., Amin, M. and Cobanoglu, C., 2016. An integrated model of service experience,
emotions, satisfaction, and price acceptance: an empirical analysis in the Chinese
hospitality industry. Journal of Hospitality Marketing & Management, 25(4), pp.449-475.
Claveria, O., Monte, E. and Torra, S., 2015. A new forecasting approach for the hospitality
industry. International Journal of Contemporary Hospitality Management, 27(7), pp.1520-
1538.
Jones, P., Hillier, D. and Comfort, D., 2016. Sustainability in the hospitality industry: Some
personal reflections on corporate challenges and research agendas. International Journal of
Contemporary Hospitality Management, 28(1), pp.36-67.
Kandampully, J., Zhang, T. and Bilgihan, A., 2015. Customer loyalty: a review and future
directions with a special focus on the hospitality industry. International Journal of
Contemporary Hospitality Management, 27(3), pp.379-414.
Kim, M., Vogt, C.A. and Knutson, B.J., 2015. Relationships among customer satisfaction,
delight, and loyalty in the hospitality industry. Journal of Hospitality & Tourism
Research, 39(2), pp.170-197.
Prud’homme, B. and Raymond, L., 2016. Implementation of sustainable development practices
in the hospitality industry: A case study of five Canadian hotels. International Journal of
Contemporary Hospitality Management, 28(3), pp.609-639.
Radojevic, T., Stanisic, N. and Stanic, N., 2015. Ensuring positive feedback: Factors that
influence customer satisfaction in the contemporary hospitality industry. Tourism
Management, 51, pp.13-21.
Solnet, D., Kralj, A. and Baum, T., 2015. 360 degrees of pressure: The changing role of the HR
professional in the hospitality industry. Journal of Hospitality & Tourism Research, 39(2),
pp.271-292.
Wang, C.J., 2014. Do ethical and sustainable practices matter? Effects of corporate citizenship
on business performance in the hospitality industry. International Journal of Contemporary
Hospitality Management, 26(6), pp.930-947.
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Wang, C.J., 2016. Does leader-member exchange enhance performance in the hospitality
industry? The mediating roles of task motivation and creativity. International Journal of
Contemporary Hospitality Management, 28(5), pp.969-987.
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