Fundamentals of Management

Fundamentals of
Management

Table of Contents
INTRODUCTION ..........................................................................................................................3
MAIN BODY...................................................................................................................................3
PART A...........................................................................................................................................3
ORGANIZATIONAL PURPOSE ..............................................................................................3
ORGANIZATIONAL STRUCTURE ........................................................................................3
STAKEHOLDER ANALYSIS ...................................................................................................5
DIFFERENTIATION AND COMPETITIVE ADVANTAGE ..................................................5
STEEPLE ANALYSIS ...............................................................................................................6
SWOT ANALYSIS ....................................................................................................................6
PORTER'S FIVE FORCES MODEL..........................................................................................7
PART B............................................................................................................................................7
USING DATA TO IMPROVE PERFORMANCE AND DECISION-MAKING......................7
PROJECT MANAGEMENT ......................................................................................................8
COMMUNICATION AND MEETINGS ...................................................................................9
CONCLUSION .............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Management is the process of planning the further course of action, organising the
resources, hiring the right person at right place, directing and controlling the activities of a
business. Management is coordinating and administrating various tasks to achieve goals. It is an
act of getting things done by others. The Georges Hotel is located near Magnificent Mile and is
is small boutique hotel which has a European touch which is in Chicago. The owner of the hotel
are Jeff and Chad Mitchell. In the further report organisation purpose and structure will be
discussed. Stakeholder analysis and different models to understand the organisation and its
environment and inform the critical analysis of the same. Also light will be put upon some of the
management skills which should be used by the management for the organization's growth to
enhance the functioning of the hotel.
MAIN BODY
PART A
ORGANIZATIONAL PURPOSE
Mission – The mission of the hotel was framed for both the guest as well as for the employees.
For guest their mission was to provide them outstanding services and also they have a
memorable experience at the hotel.
Vision and culture - Their vision was broad as they aspire to spread their hotel chain across
major cities of united States.
Values – the values they believe in were innovativeness, transparency and accountability. Some
other values are high integrity, team work, customer service, safe environment and recognizing
potential and success. They also included values as to smile when the guest arrives and when
they leave, also focused on resolving the issues faced by their guests. They believe that family
aspect of the hotel and new policies should go hand in hand.
ORGANIZATIONAL STRUCTURE
Organizational structure is a system that determines the flow of information and
communication in an organization. It outlines the ways in which certain activities are directed
towards achieving the organizational goals (Ahmady, Mehrpour, & Nikooravesh, (2016)). It
shows the formal authority, roles, responsibilities and power that people have in an organization
format.

Source: The Georges Hotel, 2020
The Chief executive officer of the hotel is Jeff Mitchell. The Vice President of community
relations id Chad Mitchell and he is also brother of Jeff Mitchell. Their is a human resources
department and the director of this department is Chad's wife which is Cindy. Michael is the son
of Chad and Cindy which is the sales an d operations associate and has recently completed his
MBA. The Catering service manager at garden Terrance Restaurant is Dale Elsner and is Cindy's
brother. And there are other family members and friends which are employed at various posts
and department in the hotel.
STAKEHOLDER ANALYSIS
Stakeholder are the people who are interested in the business and project, these may be
the individuals, groups or organization. Stakeholder analysis is the process of identifying any
Illustration 1: The Georges Hotel

needed changes in the organizational system which can impact stakeholders as this information
can be used to address the interest of the following stakeholders. Stakeholder analysis helps the
organization to know their stakeholders and helps in assisting the planning of the project
strategically (Eskerod, & Larsen, (2018)). The needs and wants of all the stakeholders of the
organization are taken into account and then further steps are being taken. In case of Georges
Hotel, their CEO, director, managers, employees and other people that can impact the
functioning of the company either positively or negatively are the stakeholders of the
organization.
DIFFERENTIATION AND COMPETITIVE ADVANTAGE
Differentiation strategy
Differentiation strategy is an approach used by The Georges Hotel to distinguish
themselves form the competitors and to get a competitive advantage. This strategy helps the
hotel to charge premium prices for their exclusive services. To get this strategy successful the
organization does cutting edge research and development (Semuel, Siagian, & Octavia,
(2017)). The differentiation point of the hotel is they have a boutique format structure and have a
touch of European style. They also differentiated themselves by warmly welcoming their guest
and also greeted them when they leave. They also concentrated on building family connections
among employees which can benefit the hotel. To differentiate themselves from other players in
the market they renovated and more occupancy and very lavishing venue which add on to the
profitability of the hotel.
STEEPLE ANALYSIS
STEEPLE analysis is analysis of the macro environment which are external to the hotel
and this analysis is used for strategic management. The following are the factors of STEEPLE
analysis:
Social – Customers preferences also matters and impacts the working and in deciding the
services.
Technological – New technology like social media presence and online booking and payment
system are some factors that impact hotel. Reviews on blogs do play a role in attracting
customers.

Economic – Investments by people and strength of currency are the factors that impact the
working of the hotel. Also unemployment rates, expenses on travel and economic cycling are
also some factors (Shtal. and et.al., (2018)).
Environmental – The weather and climate plays an important role in pricing of the rooms of
hotels and services.
Political - Travel bans by the government, tax reforms, and presidential elections impact the
hotel.
Legal - The innkeeper laws, crime rates near hotels, truth-in-menu laws impact the functioning
of The Georges Hotel.
Ethical – The CSR activities done by the hotel, trusts they have build in people and reputation
are some factors that impact hotel.
SWOT ANALYSIS
SWOT analysis of The Georges Hotel is as follows:
Strength - Family connections among employees, exemplary service and a memorable hotel
experience, superior work environment.
Weakness – They only hire family members this is a weakness as this gives them limited options
and not every family member would be good in management or the skills which are required on
the post. There are many members to take the position of CEO and this may be a crisis situation.
The hotel depends on traditional ways of maintaining records and does not have adequate skills
required.
Opportunity – New investments on venture which is on river front section of Chicago and also
it was the right time as after so long conflicts the bank was also looking forward for the sale
(Sarsby, (2016)).
Threats – Other competitors in the industry that may offer varied services and employing more
skilled workforce.
PORTER'S FIVE FORCES MODEL
The following is the Porter's five forces model of The Georges Hotel:

Threat of new entrants – There is a low threat of new entrants to the hotel as this requires huge
investments and brand image to attract customers and existing players get an advantage on this
aspect.
Threat of substitutes – Threat of substitutes is relatively low as people looking for specific
services pot for the particular hotel anyhow (Omsa, Abdullah, & Jamali, (2017)).
Bargaining power of suppliers – bargaining power of supplier is low as every hotel wants trained
and skilled workforce and they are in good demand.
Bargaining power of buyer - The bargaining power of buyer is relatively high as there are many
options available in the market and some group of customer exercise power as they purchase
rooms in bulk.
Competitive rivalries – The rivalry of hotel is intense a there are many player giving
personalized services and this builds pressure to sell the capacity by price cutting.
PART B
USING DATA TO IMPROVE PERFORMANCE AND DECISION-MAKING
Data plays a very important role in deciding success and failure of the organization as
analysing data can lead to hotel in right direction and also provide them with valuable insights to
face the challenges that can come in the future. Data can helps the hotel in lowering or
eliminating the inefficiencies and also helps in streamlining the business. The Georges Hotel can
use data to improve performance and keep track of basic transactions. They data also provide
information that can help the hotel to run their services effectively and make better decisions so
that it will be profitable for them (Ghasemaghaei, Ebrahimi, & Hassanein, (2018)). Data can
also be used by the hotel to optimize their workflow which helps in improving the employees
performance. By gathering data about the customers the hotel will get to know which service
their customers like the most and what are their key areas. There are certain steps by which
decision making can be improved using data which are as follows:
The first step is making the strategy for the hotel instead of starting directly with the data. The
hotel need to work out on their strategic goals.
The second step is to identify the key areas by which the hotel can achieve their overall strategic
goals.

The third step is to answer the unanswered question and working on the data that really matters
and finding out the data that can answer the question and deliver on the strategic goals.
Now in the fourth step identify the data which the hotel already have and collect the data.
In the next step analyse the data which is being collected to extract some meaningful and useful
insights.
In the six step present and distribute the insights to the people for the implementation and
incorporate the analyses and learning and taking decisions for profitability of the hotel.
The hotel will get many benefits form the data driven decision making such as the hotel will
become more proactive and gets cost savings.
PROJECT MANAGEMENT
Planning, monitoring, controlling and managing the risk associated with the projects is
known as project management. There are certain components the hotel can use to manage their
projects which helps in their success factor which are time, cost, scope and quality of the project
work. To meet the needs, wants and expectation of the stakeholder various types of knowledge,
tools and skills are required by the project manager. The Georges Hotel can use project
management to allocate right resources at right place at right time. And also to know the interest
of their customers and what personalized services that they can provide which attracts customers
(Radujković, & Sjekavica, (2017)). There are certain activities that The Georges Hotel needs to
undertake for managing projects such as planning for it, assessing and justifying risk, estimating
the resources requires, organizing the work, controlling the execution of the project and also
reporting the progress. As the top authority of the hotel are planning for new investments so
more structured and skilled management is required. Therefore project management comes into
place and firstly defining the goals, specifications, tasks and responsibilities is important. The
next is planning and scheduling the budget, resources, risks associated with the project as it helps
in converting set of objectives. The third thing is executing the project in terms of quality,
changes if any needed and forecasts. The last thing to do in managing the project is delivering
the train customers, release resources and lesson learned during the process. The Georges Hotel
performs project management as it builds accountability, improves tracking, helps in better
control of different types of resources. It also helps in building worker's morale and reduce
complexity of inter-related tasks. There are various tools that The Georges Hotel can use to
manage their projects such as Gantt Chart, Dashboard, Task list, project calender, time sheet etc.

COMMUNICATION AND MEETINGS
Effective communication across all the line of hotel is a success factor and meeting are an
effective way of communication. Communication is an effective way in transferring information,
data and other important things that impacts the working of the hotel. The are various benefit that
the hotel can get from communicating effectively such as it can be a basis of coordination among
all the members who are at different positions. Decision making can be made effective through
better communications. Effective communication also increases managerial efficiency and also
enhances their performance. Meetings are an effective way for communication and also
contribute in the success of the organization as this makes foundation of the businesses
(Niederdeppe, (2016)). Because of frequent and effective communication through meetings the
objectives and the further steps to be taken will be clear and many issues can be resolved. For a
successful meeting an effective communication there should a prepare agenda and a timely start.
Also there should be a mandatory attendance of all the members to eliminate nay future conflicts
and also presence of all the members can give more ideas as different people think differently.
There will be increased engagement and collaboration through meeting members in the hotel and
also the staff, it also increases the opportunities of personal growth as well as growth of the
hotel. Better decisions are made in meeting and also conflicts are resolved if any. All the
members realize their importance and the time, money and efforts are efficiently utilized. The
hotel gets the various benefits from project management such as it simplifies the front office
tasks for them like booking system. It improves the guest reservations and increases multitasking
on the part of the hotel. It also reduces duplication of work and efforts of the staff and members.
The following set of skills are requires by the members of The Georges Hotel like leadership,
communication, scheduling, cost management , risk management, critical thing, negotiating
scheduling etc. There are various techniques that the hotel can use to manage their projects such
as process-based project management, PERT, critical path project management and these
contribute in the success of the hotel. All these techniques helps the hotel owner and
management for enhancement of the growth and prepare for future.
CONCLUSION
It can be concluded that the mission of The George Hotel was for both employees and
guests. Their vision was to expand and spread their chains in major cities of United States. To

understand the hotel environment whether internal and external various tools and models are
being used such as STEEPLE which consist of factors such as social, technological,
environmental, economic, political, legal, ethical. Other tools are SWOT which defines the
strength, weakness, opportunity and threats of the hotel. As the hotel is expanding and investing
into new ventures they also requires various management skills like project managing skills,
communication and meeting skills also decision making skills by using data to improve
performance.

REFERENCES
Books and Journals
Ahmady, G. A., Mehrpour, M., & Nikooravesh, A. (2016). Organizational structure. Procedia-
Social and Behavioral Sciences. 230. 455-462.
Eskerod, P., & Larsen, T. (2018). Advancing project stakeholder analysis by the concept
‘shadows of the context’. International Journal of Project Management.36(1).161-169.
Ghasemaghaei, M., Ebrahimi, S., & Hassanein, K. (2018). Data analytics competency for
improving firm decision making performance. The Journal of Strategic Information
Systems. 27(1). 101-113.
Niederdeppe, J. (2016). Meeting the challenge of measuring communication exposure in the
digital age. Communication Methods and Measures. 10(2-3). 170-172.
Omsa, S., Abdullah, I. H., & Jamali, H. (2017). Five competitive forces model and the
implementation of Porter’s generic strategies to gain firm performances.
Radujković, M., & Sjekavica, M. (2017). Project management success factors. Procedia
engineering. 196. 607-615.
Sarsby, A. (2016). SWOT analysis. Lulu. Com.
Semuel, H., Siagian, H., & Octavia, S. (2017). The effect of leadership and innovation on
differentiation strategy and company performance. Procedia-Social and Behavioral
Sciences. 237.1152-1159.
Shtal, T. and et.al., (2018). Methods of analysis of the external environment of business
activities.
Online
The Georges Hotel., 2020. [Online]. Accessed through<https://sk.sagepub.com/cases/the-
georges-hotel-d-supervisors-equal-employment-opportunity>