Importance of Crisis Management in Hospitality Sector during COVID-19: A Study on Whitbread

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This research project focuses on the importance of crisis management practices in the hospitality sector during COVID-19, with a study on Whitbread. It includes the project background, aim and objectives, research questions, research rationale, research scope, overview of methodology, literature review, research methodology, analysis and findings, and recommendations for further work.
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Research Project
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Title: The importance of managing crisis in the hospitality sector..................................................3
Chapter 1: Introduction....................................................................................................................3
The Project background..........................................................................................................3
Aim and Objectives................................................................................................................3
Research Questions................................................................................................................4
Research rationale..................................................................................................................4
Research scope.......................................................................................................................4
Overview of Methodology.....................................................................................................4
Chapter 2: Literature Review...........................................................................................................4
Chapter 3: Research Methodology...................................................................................................5
Chapter 4: Analysis and Findings....................................................................................................7
Analysis of collected facts......................................................................................................7
Interpretation of data............................................................................................................10
Chapter 5: A Critical Appraisal, Recommendations & Suggestions for Further Work.................21
Chapter 6: Conclusions..................................................................................................................23
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Title: The importance of managing crisis in the hospitality sector
Chapter 1: Introduction
The Project background
Present research conducted on the importance of managing crisis in hospitality sector crisis
management is essential for all organization irrespective of its size and scope (Lai and Wong,
2020). However due to unpredictable challenges like COVID-19 organizations in hospitality
sector has been severely affected. This is among the hardest hit industries around the globe. The
present research is conducted to analyse the importance of crisis management practices in terms
of hospitality industry for which Whitbread, one of the leading organization operating in
hospitality sector of UK is being selected.
Aim and Objectives
Aim
The aim of this project is to investigate the importance of crisis management practices in
terms of hospitality industry during COVID-19. A study on Whitbread.
Research Objectives
To identify the concept of crisis management used with hospitality industry of UK
To assess the current practices of crisis management practices used within Whitbread
during COVID-19
To recommend the crisis management practices that can be used by Whitbread for
managing forthcoming crisis
Research Questions
What is the concept of crisis management used with hospitality industry of UK?
What are the current practices of crisis management practices used within Whitbread
during COVID-19?
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What are the recommended crisis management practices that can be used by
Whitbread for managing forthcoming crisis?
Research rationale
The major rationale behind executing the current research is that to gather information
related with crisis management and role of crisis management within the industry. The research
is associated with dual perspective within researcher such as personal and professional. For the
context of personal perspective the research would be helpful in increasing different skills within
research such as analytical and research skills. In the aspect of professional perspective the
research would contribute the researcher in managing their future researches in sufficient
manner.
Research scope
Present research is having wider scope as it is conducted on the hospitality industry in which
number of organisations on different scales of performing their roles and responsibility. The
research is conducted on United Kingdom and the hotel is Whitbread which is one of the leading
hotels in UK research discuss is different practices importance and concept of crisis management
that will benefit organisations in the same sector to implement strategies and overcome the crisis
in future (Jones and Comfort, 2020). Present research is also having wider scope as it helps in
enhancing knowledge and understanding of researcher on the particular topic.
Overview of Methodology
Present researches is conducted with the help of taking use of appropriate research
methodology in which according to research onion framework investigator is taking use of
positivism research philosophy in which analysis of numerical data and information will be
undertaken (Hu, Casey and Wu, 2021). Furthermore in context with research approach,
deductive research approach is being undertaken with the help of primary and secondary mode of
data collection method. By taking quantitative research method investigator will acquire
information with the help of questionnaire in which with the help of service strategy certain
respondents will be selected that will help in executing research.
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Chapter 2: Literature Review
This is an essential component of every research project because it involves the analysis and
survey of secondary data, which is essential for establishing a framework and foundation for an
investigation. Regarding the current investigation, a number of online journals and articles that
are based on are analyzed on the topic of importance of crisis management practices in terms of
hospitality industry during COVID-19 a discussion and evaluation of which is provided as
below:
Concept of crisis management used with hospitality industry of UK
As per the viewpoint of Hayes and Hayes, 2021 crisis management is defined as practices
that in organization undertake in order to analyse the situations that can affect their growth and
profitability in future in hospitality industry of UK. Crisis management is associated with
implementation of practices and strategies through which organization can determine the
potential threats that can affect organization operations. With the help of crisis management
practices organisations in the respective industry in UK can implement crisis management
strategies at earlier stages.
Current practices of crisis management practices used within Whitbread during COVID-19
According to the viewpoint of Jiang and Wen, 2020 there are various practices of crisis
management that Whitbread is undertaken during the time period of COVID-19 some of the
strategies are being inclusive of proper sanitation and safety measures for both consumers and
employees (Vasquez, 2014). With the help of the strategy organization aim towards providing a
safe atmosphere to its stakeholders which will help organisation to assure long term growth and
sustainability. In addition to this organization also undertaken use of digital communication
channel to deal with consumers in effective manner.
Recommended crisis management practices that can be used by Whitbread for managing
forthcoming crisis
According to the viewpoint of Gursoy and Chi, 2020 in order to deal with forthcoming crisis
in future Whitbread is recommended want to take use of different crisis management strategies
such as virtual communication tools and techniques to assure smooth organization operations
without facing any challenge due to crisis. In addition to this company is also recommended to
invest on high tech advanced technology in order to increase efficiency of their operations during
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crisis (Singjai, Winata and Kummer, 2018). Furthermore companies also recommended to
provide training to employees in order to make them adaptable towards the constant changes.
This will help organization to manage crisis in effective manner.
Chapter 3: Research Methodology
This section is an essential component of every research project because it provides crucial
information about selecting a research method from a variety of approaches and methods in order
to carry out an investigation and research project in a manner that is both more viable and more
efficient. In relation to the current investigation, the research onion model was utilized to
guarantee the appropriate selection of a research method and the appropriate justification for its
use.
Research Philosophy:
It is basically a system of assumptions and beliefs. This is a belief about a way in which
data about the phenomenon is needed to be gathers and analysed. In present research investigator
is taking advantage of positivism research philosophy out of positivism and interpretive method
(Gupta and Gupta, 2022). The main reason behind taking advantage of this method is to collect
information and data in numerical form.
Research Approach
To conduct research investigator aim towards assuring valid outcomes, for this with the
help of selecting appropriate research approach out of inductive and deductive method
investigator is taking use of deductive approach in order to evaluate numerical data and
information (Pandey and Pandey, 2021). The main reason behind taking advantage of this
method is to coordinate with positive research philosophy and assure valid outcome.
Research strategy
To fulfill research aims and objectives investigator is taking advantage of appropriate
resource strategy out of action research, focus group, survey, experimental research and more.
Among these with the help of survey research strategy investigator will acquire data from larger
set of population (Kumar, 2018). The main reason behind taking advantage of this method is to
conduct research in flexible way and coordinate with quantitative approach.
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Data Collection:
Investigator is taking advantage of quantitative data collection method in which use of primary
and secondary source of methods will be undertaken. In context with primary method
investigator is taking advantage of questionnaire to acquire responses from respondents and will
analyse them with the help of charts and tables (Snyder, 2019). While on the other hand in
context with secondary method investigator is taking use previously conducted work, articles,
books, journals newspaper and will further analyse them with the help of literature review.
Research choice
Among quantitative and qualitative method investigator is taking use of quantitative
research choice, as it will help investigator to conduct research in flexible and cost effective
manner. With the help of this method investigator is looking forward to evaluate numerical data
in effective manner and further assure valid outcome.
Data analysis:
It is the process to inspect the collected raw information in appropriate manner so that
beneficially information can be gathers (Panneerselvam, 2014). In the existing investigation
frequency distribution method will be used in order to examine mathematical and statistical
information.
Sampling:
It is the technique to take out sample from population. There are two sampling technique
which are probability and non probability sampling. In the current investigation probability
sampling method will be used. The sample size will be 30 managers from Whitbread.
Questionnaire
Q1) Do you have an understanding of the concept of crisis management in the context to
business?
a) Yes
b) No
c) Neutral
Q2) As per your viewpoint, crisis management practices are important for organisations
in hospitality industry of UK?
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a) Yes
b) No
c) Neutral
Q3) According to your viewpoint, does crisis management practices helps in hospitality
industry during COVID-19?
a) Yes
b) No
c) Neutral
Q4) As per your opinion, crisis management practices helped Whitbread in overcoming
the crisis of Covid-19?
a) Yes
b) No
c) Neutral
Q5) What is the significance and impact of crisis management practices on hospitality
industry of UK?
a) Positive
b) Negative
c) Neutral
Q6) According to you, what is main reason that had made implementation of crisis
management practices important for Whitbread?
a) Preparedness to respond to a crisis
b) Strong ability to deal with an unfavorable situation
c) Balance sales and growth
d) Development of crisis management plan
e) Necessary precaution at prior stages
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Q7) According to your view point, what are the current practices of crisis management
practices used within Whitbread during COVID-19?
a) Change management practices
b) Proper sanitisation and safety measures
c) Two-way communication
d) Constant employee interaction with digital channel
Q8) What is the importance and impact of crisis management practices on Whitbread?
a) Anticipate potential problem
b) Early risk identification
c) Prevention in wastage of resources
d) Profitability
Q9) What are the challenges faced by Whitbread while implementing crisis management
practices during COVID-19?
a) Lack of visibility
b) In-effective communication
c) Unpredictable situations
d) Failure to collect data and information
e) Determining crisis information
Q10) According to you, what are the potential crisis management practices that can be
used by Whitbread for managing forthcoming crisis?
a) Setting clear objectives
b) Virtual communication tools
c) Developing committed team
d) Consistent communication
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Q11) What is the most appropriate benefit of crisis management practices for Whitbread?
a) Identification of threats in early stages
b) Building resources
c) Improve ability to overcome crisis
Q12) Provide some recommendation, Whitbread to implement crisis management
practices to manage forthcoming crisis.
Chapter 4: Analysis and Findings
Analysis of collected facts
Use of following frequency table is made for systematic and clear analysis of collected
raw data:
Q1) Do you have an understanding of the concept of crisis management in
the context to business?
Frequency
a) Yes 20
b) No 5
c) Neutral 5
Q2) As per your viewpoint, crisis management practices are important for
organisations in hospitality industry of UK?
Frequency
a) Yes 20
b) No 7
c) Neutral 3
Q3) According to your viewpoint, does crisis management practices helps
in hospitality industry during COVID-19?
Frequency
a) Yes 20
b) No 8
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c) Neutral 2
Q4) As per your opinion, crisis management practices helped Whitbread
in overcoming the crisis of Covid-19?
Frequency
a) Yes 18
b) No 7
c) Neutral 5
Q5) What is the significance and impact of crisis management practices
on hospitality industry of UK?
Frequency
a) Positive 20
b) Negative 5
c) Neutral 5
Q6) According to you, what is main reason that had made implementation
of crisis management practices important for Whitbread?
Frequency
a) Preparedness to respond to a crisis 7
b) Strong ability to deal with an unfavourable situation 9
c) Balance sales and growth 5
d) Development of crisis management plan 6
e) Necessary precaution at prior stages 3
Q7) According to your view point, what are the current practices of crisis
management practices used within Whitbread during COVID-19?
Frequency
a) Change management practices 12
b) Proper sanitisation and safety measures 5
c) Two-way communication 6
d) Constant employee interaction with digital channel 7
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Q8) What is the importance and impact of crisis management practices on
Whitbread?
Frequency
a) Anticipate potential problem 6
b) Early risk identification 9
c) Prevention in wastage of resources 5
d) Profitability 9
Q9) What are the challenges faced by Whitbread while implementing
crisis management practices during COVID-19?
Frequency
a) Lack of visibility 8
b) In-effective communication 6
c) Unpredictable situations 5
d) Failure to collect data and information 5
e) Determining crisis information 6
Q10) According to you, what are the potential crisis management
practices that can be used by Whitbread for managing forthcoming
crisis?
Frequency
a) Setting clear objectives 9
b) Virtual communication tools 4
c) Developing committed team 8
d) Consistent communication 9
Q11) What is the most appropriate benefit of crisis management practices
for Whitbread?
Frequency
a) Identification of threats in early stages 12
b) Building resources 10
c) Improve ability to overcome crisis 8
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Q12) Provide some recommendation, Whitbread to implement crisis
management practices to manage forthcoming crisis.
Interpretation of data
Theme 1 Understanding of the concept of crisis management in the context to business
Q1) Do you have an understanding of the concept of crisis
management in the context to business?
Frequency
a) Yes 20
b) No 5
c) Neutral 5
20
5
5
Chart Title
a) Yes b) No c) Neutral
Interpretation
According to the above graph it has been stated that 20 out of 30 respondents agreed with
the fact that they have proper understanding of the concept of crisis management in context to
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business. According to these respondents crisis management is a practice which allow
organization to unpredictable situation and adopt risk management strategies. While remaining 5
respondent did not have any understanding of the concept and another 5 out of 30 were neutral.
Theme 2 Crisis management practices are important for organisations in hospitality
industry of UK
Q2) As per your viewpoint, crisis management practices are important
for organisations in hospitality industry of UK?
Frequency
a) Yes 20
b) No 7
c) Neutral 3
a) Yes b) No c) Neutral
0
5
10
15
20
25
20
7
3
Chart Title
Interpretation
According to the above graph 20 out of 30 respondents are agreed with the fact that crisis
management practices are important for organisations operatingtheire roles and responsibilities
in hospitality industry of UK. According to these respondents crisis management practices in
organization to implement risk management strategies. Remaining 7 respondents out of 30 did
not think the same, other 3 respondents out of 30 were neutral.
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Theme 3 Crisis management practices helps in hospitality industry during COVID-19
Q3) According to your viewpoint, does crisis management practices
helps in hospitality industry during COVID-19?
Frequency
a) Yes 20
b) No 8
c) Neutral 2
a) Yes b) No c) Neutral
0
5
10
15
20
25
20
8
2
Chart Title
Interpretation
According to the above graph 20 out of 30 respondents are agreed with the fact that crisis
management helps in hospitality industry during COVID-19. According to these respondents
with the help of crisis management strategies organization. In this industry implemented ways to
prevent them such as digital technology which help them to manage their operations during
Covid-19, however remaining 8 respondents did not think the same and another 2 were neutral.
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Theme 4 Crisis management practices helped Whitbread in overcoming the crisis of Covid-
19
Q4) As per your opinion, crisis management practices helped
Whitbread in overcoming the crisis of Covid-19?
Frequency
a) Yes 18
b) No 7
c) Neutral 5
a) Yes b) No c) Neutral
0
2
4
6
8
10
12
14
16
18
20 18
7
5
Chart Title
Series1 Series2
Interpretation
According to the above graph 18 out of 30 respondents are agreed with the fact that crisis
management help Whitbread in overcoming the crisis of COVID-19. According to these
respondents crisis management practices aloud the respective organization to analyse the risk
that can affect their operations at negative way. This help them to implement preventive
strategies to reduce the negative impacted certain rate. While remaining 7 respondent did not
think the same and remaining 5 were neutral.
Theme 5 Significance and impact of crisis management practices on hospitality industry of
UK
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Q5) What is the significance and impact of crisis management
practices on hospitality industry of UK?
Frequency
a) Positive 20
b) Negative 5
c) Neutral 5
20
5
5
Chart Title
a) Positive b) Negative c) Neutral
Interpretation
According to the above graph it has been stated that 20 out of 30 respondents said that
there is a positive impact of significance and impact of crisis management practices in hospitality
industry of UK. While remaining 5 respondents out of 30 said that there will be a negative
impact in other 5 were neutral.
Theme 6: Main reason that had made implementation of crisis management practices
important for Whitbread
Q6) According to you, what is main reason that had made
implementation of crisis management practices important for
Whitbread?
Frequency
a) Preparedness to respond to a crisis 7
b) Strong ability to deal with an unfavorable situation 9
c) Balance sales and growth 5
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d) Development of crisis management plan 6
e) Necessary precaution at prior stages 3
7
95
6
3
Chart Title
a) Preparedness to respond to a crisis
b) Strong ability to deal with an unfavorable situation
c) Balance sales and growth
d) Development of crisis management plan
e) Necessary precaution at prior stages
Interpretation
According to the above graph 7 out of 30 respondents said that the main reason which
made implication of crisis management practices important for Whitbread is preparedness to
respond to a crisis. According to these respondents crisis management practices help
organization to evaluate the challenging situation at early stage which further benefit them to
implement strategies to respond to the crisis effectively. While 9 respondents were in the favour
of strong ability to deal with an unfavorable situation. Remaining 5 respondents out of 30 were
in the favour of balance sales and growth. According to these respondents crisis management
practices help organization to balance sales and growth while implementing risk management or
crisis management strategies inappropriate time frame, while other 6 respondents were in the
favour of development of crisis management plan. Other 3 respondents said that necessary
precaution at prior stages is the main reason which made implication of crisis management
practices important for Whitbread.
Theme 7: Current practices of crisis management practices used within Whitbread during
COVID-19
Q7) According to your view point, what are the current practices of Frequency
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crisis management practices used within Whitbread during COVID-
19?
a) Change management practices 12
b) Proper sanitisation and safety measures 5
c) Two-way communication 6
d) Constant employee interaction with digital channel 7
a) Change
management
practices
b) Proper sanitisation
and safety measures c) Two-way
communication d) Constant
employee interaction
with digital channel
0
2
4
6
8
10
12
14
12
5
6
7
Chart Title
Interpretation
According to the above graph 12 out of 30 respondents said that crisis management practices is
being used by Whitbread during COVID-19 is change management practices. While, remaining
5 were in the favour of proper sanitation and safety measures. Other 6 respondents out of 5
communication crisis management practices is being used by company during COVID-19 and
remaining 7 were in the favour of constant employee integration with digital channel.
Theme 8: Importance and impact of crisis management practices on Whitbread
Q8) What is the importance and impact of crisis management
practices on Whitbread?
Frequency
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a) Anticipate potential problem 6
b) Early risk identification 9
c) Prevention in wastage of resources 5
d) Profitability 9
a) Anticipate
potential problem b) Early risk
identification c) Prevention in
wastage of resources d) Profitability
0
1
2
3
4
5
6
7
8
9
10
6
9
5
9
Chart Title
Interpretation
According to the above graph 6 out of 30 respondents said that anticipating potential problem is
the importance and impact of crisis management practices on Whitbread. While remaining 9
were in the favour of early risk identification. Remaining 5 respondents were in the favour of
prevention in wastage of resources and at last 9 respondents out of 30 were in the favour of
profitability as on importance of crisis management practices on company.
Theme 9: Challenges faced by Whitbread while implementing crisis management practices
during COVID-19
Q9) What are the challenges faced by Whitbread while implementing
crisis management practices during COVID-19?
Frequency
a) Lack of visibility 8
b) In-effective communication 6
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c) Unpredictable situations 5
d) Failure to collect data and information 5
e) Determining crisis information 6
a) Lack of
visibility b) In-effective
communication c) Unpredictable
situations d) Failure to
collect data and
information
e) Determining
crisis
information
0
1
2
3
4
5
6
7
8
9 8
6
5 5
6
Chart Title
Interpretation
According to the above graph 8 out of 30 respondent said that the major challenges that has been
faced by company during the implementation of crisis management in Covid- 19 is lack of
feasibility. While remaining 6 were in the favour of ineffective communication. Other 5
respondents out of 30 were in the favour of unpredictable situation and remaining 5 said that
failure to collect data information is a major talent that has been faced by company. Remaining 6
were in the favour of determining crisis information.
Theme 10: Potential crisis management practices that can be used by Whitbread for
managing forthcoming crisis
Q10) According to you, what are the potential crisis management
practices that can be used by Whitbread for managing forthcoming
crisis?
Frequency
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a) Setting clear objectives 9
b) Virtual communication tools 4
c) Developing committed team 8
d) Consistent communication 9
a) Setting clear
objectives b) Virtual
communication tools c) Developing
committed team d) Consistent
communication
0
1
2
3
4
5
6
7
8
9
10 9
4
8
9
Chart Title
Interpretation
From the above graph 9 out of 30 respondent said that setting clear objective is the
potential crisis management practices that can be used by company to manage forthcoming
crisis. While on the other hand remaining 4 were in the favour of virtual communication. 8 out
of 30 respondents said that developing committed team is the potential crisis management
strategy. At last 9 respondents in the favour of constant communication.
Theme 11 Benefit of crisis management practices for Whitbread
Q11) What is the most appropriate benefit of crisis management
practices for Whitbread?
Frequency
a) Identification of threats in early stages 12
b) Building resources 10
c) Improve ability to overcome crisis 8
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a) Identification of threats in
early stages b) Building resources c) Improve ability to
overcome crisis
0
2
4
6
8
10
12
14
12
10
8
Chart Title
Interpretation
According to above graph 12 out of 30 respondents said that identification of threats in early
stages is the benefit of crisis management practices for Whitbread and remaining 10 in the favour
of building resources. At last 8 respondents out of 30 were in the favour of improving ability to
overcome crisis.
Chapter 5: A Critical Appraisal, Recommendations & Suggestions for
Further Work
Whitbread is operating its roles and responsibilities in a highly competitive environment. This
requires companies to implement effective strategies and practices to deal with crisis in effective
manner. Mentioned below there are some recommended practices for the organization through
which they can manage crisis in future in advance manner:
Whitbread is recommended to undertake use of virtual communication tools such as
zoom, Skype and other virtual communication network in order to develop collaboration
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and continuous communication between employees and management even during the
time of crisis such as COVID-19. It will help organisations to conduct their operations
without any challenges.
The respective organization is recommended to make sure that they keep on continuously
motivating their employees with the help of various strategies such as providing training
to increase their professional knowledge, rewards and compensation (Kaushal and
Srivastava, 2021). This will help organization to use the motivation of workforce during
the time period of crisis which will help organization to serve consumers in difficult
situation with a strong workforce.
Whitbread is recommended to invest in digital technologies tools and techniques to
conduct their operations with the use of AI and virtual tools (Wang and Tsai, 2014). This
will help organization to overcome the crisis situation in effective manner without facing
the challenge of less labour requirement.
Further research
Present research has been conducted with the help of primary and secondary source of
data collection method. However for further work use of more sources and emphasise in in-depth
analysis on hospitality sector will be undertaken in order to enhance effectiveness of the
research.
Reflection
Present research has been conducted on the importance of managing crisis in the
hospitality sector. To conduct this research Whitbread is being selected which is operating its
roles and responsibilities in hospitality industry of UK and offers wider range of services and
facilities to consumers. To conduct this research I have emphasise on the heels of both the source
of data collection method. In this I have faced challenges in primary data collection method to
acquire viewpoint of respondents and in some situation I face the challenge associated with lack
of response is an interest of certain respondents. However in this I have utilised my strong
communication skill to analyse their viewpoint in effective manner. The research positively
benefited me in terms of increasing my knowledge on the concept of importance of crisis
management, as it important in hospitality industry to manage forthcoming crisis. This research
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develop my critical thinking data collection and research conducting ability that I can take use in
future to conduct future research in more effective manner.
Chapter 6: Conclusions
According to the above analysis it has been concluded that crisis management is important
for today’s business environment as the business environment is inclusive of number of factors
and elements which have direct and indirect impact on organization growth and profitability.
Crisis like COVID-19 is unpredictable that can disrupt the overall operations of an organization
companies in hospitality sector has been mostly affected due to the outbreak of COVID-19, as a
major crisis it created numerous challenges in front of organization suggest operating roles and
responsibilities developing communication and collaboration among employees in management
etc. However with the help of primary data analysis it has been analysed that organization has
implemented strategies such as change management practices, two- way communication proper
sanitation and safety measures to deal with the crisis. However the primary data analysis said
that it is important for organisations to have crisis management practices in order to determine
early risk and anticipate potential problem. This will benefit organization in terms of setting clear
objectives implementing virtual communication tool developing committed team and consistent
communication. The secondary data collection states that crisis management is a practice that
organisations in hospitality industry used to increase its competition in the environment and deal
with the necessary issues. With the help of taking use of appropriate research methodology tools
and techniques research states that, crisis management is important for organisations in
hospitality industry as it helps them to conduct their responsibilities in effective way.
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