Hospitality Business Toolkit : ABC catering PDF

Hospitality Business
Toolkit

Table of Contents
INTRODUCTION ..........................................................................................................................1
TASK 1 ...........................................................................................................................................1
P1 Principles of managing financial performance .....................................................................1
P2 Application of double entry system.......................................................................................2
P3 Prepare trial balance ..............................................................................................................9
TASK 2..........................................................................................................................................10
P4 Application of HR Life cycle ..............................................................................................10
P5 Develop performance management plan.............................................................................11
TASK 3..........................................................................................................................................13
P6 Legislation related to hospitality organisation ....................................................................13
P7 Influence of employment and contract law upon decision making of company ................14
TASK 4..........................................................................................................................................14
P8 Various functional role and its interrelationship .................................................................14
P9 Different ways of communication within an organisation ..................................................15
CONCLUSION .............................................................................................................................17
REFERENCES .............................................................................................................................18
.......................................................................................................................................................18

INTRODUCTION
Hospitality is the process of maintaining or building relationship between guest and a
host, wherein their core function is to bring high level of satisfaction to customer by providing
best quality of product. It is broad category of fields within service industry which involves
accommodation, restaurants or bars, event planning, theme park, transportation, cruise line and
additional fields within the travel and tourism sector. Along with this associated with different
skill and departments to fulfil the customer or guests demand in order to achieve success within
competitive service industry (Bergene, Boluk and Buckley, 2014). IN regard of this report, ABC
catering is considered which is well known for events like birthday parties, weddings and family
gathering. This study includes preparing of journal, trial balance and ledger to ascertain financial
performance of company, developing a HR life cycle as well as performance management plan.
Moreover, laws related to hospitality sector and its impact over firm decision making capability.
Finally, interrelationship between several business function of an organisation is also discuss in
this report.
TASK 1
P1 Principles of managing financial performance
It is one of the essential attribute of an organisation as it helps them to implement
decision towards maximization of value of firm. However, it is the procedure of planning,
organising, directing, controlling in order to accomplish company goal or objective in an
appropriate way. However, monitoring and governing the financial performance of company
help them to analyse its overall position among competitive marketplace. However, some of the
principles which ABC Catering applies to manage its financial performance are as follows:
Timelines: This is concern with providing relevant information to client or users at the
time of requirements so that it help them to make best strategic decision as well as it protects
their data safely. Thus, ABC Catering should apply the same in order to maintain its relevancy
and accuracy among employees and stakeholders for attaining high productivity.
Consistency: Under this, it encouraged ABC Catering to record its transaction on daily
basis so that they can control over confusions or disputes within business premises. Moreover,
they should monitor their financial performance and based on that make corrective course of
action in favour of firm's proficiency.
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Coordinate finance: In this, ABC Catering should take initiative to track its sources of
finance like credit cards, bank accounts, retirement loans in order to maximise wealth and profit
in a better manner. Moreover, they can also adapt budgeting software which makes firm work
more easier and they can easily track all accounts and settle all payments on time without any
delay.
Understand risk: It is one of the common factor in every organisation which lead them to
enrich their profitability ratio. Thus, ABC Catering should take step ahead to examine all
challenges and develop productive strategies in order to tackle it and obtain increased level of
profit margin (Cooper and et. al., 2019).
P2 Application of double entry system
It is very productive tool to ascertain financial performance of ABC Catering as it contain
two entries i.e. debit and credit transaction. Thus, firm evaluates its total funds by applying
several tool of accounts that is mentioned below:
Ledger
Accounts
Cash Account
Date Particulars £ Date Particulars £
01/05/19 To Capital 30000 02/05/19 By Store Rent 1000
03/05/19 By Purchase A/c 10000
04/05/19
By Accident
insurance policy
account 1200
06/05/19 By Laundry Fees 200
07/05/19
By Telephone and
Internet expenses 2220
08/05/19
By Rates, water
and refuse a/c 950
09/05/19 By Wages and 1740
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salaries
31/05/19 By Balance c/d 12690
Total 30000 Total 30000
Purchase Account
Date Particulars £ Date Particulars £
03/05/19 To Cash 10000
03/05/19 To Account Payable 15000
05/05/19 To WH Adams Ltd 15000
31/05/19 By Balance c/d 40000
Total 40000 Total 40000
Capital Account
Date Particulars £ Date Particulars £
31/05/19 To balance c/d 30000 01/05/19 By Cash 30000
Total 30000 Total 30000
Store Rent Account
Date Particulars £ Date Particulars £
02/05/19 To Cash 1000 31/05/19 By Balance c/d 1000
Total 1000 Total 1000
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