Business Plan Analysis and Implementation in Hospitality Industry

This report provides a comprehensive analysis of business plans within the hospitality industry, focusing on key components such as business plan outlines, rationale, and advantages. It explores essential elements for successful implementation, including resource allocation and market surveys. The report examines business performance, contrasting different hotel approaches and identifying current trends like technological advancements. It includes case studies of organizations like Hotel Hilton, detailing features, components, and the significance of various entities in the industry. The report further discusses advancements in technology, customer retention strategies, and tactics for improving service quality, while also addressing hurdles faced by the hotel industry and methods to overcome them. Finally, it analyzes the business plan of a specific organization, highlighting objectives, market share goals, and strategies for enhancing customer satisfaction and experience.

Business Planning

TABLE OF CONTENTS
TASK...............................................................................................................................................1
1.1 ................................................................................................................................................1
1.2.................................................................................................................................................1
1.3.................................................................................................................................................2
1.4.................................................................................................................................................3
2.1.................................................................................................................................................3
2.2.................................................................................................................................................4
2.3.................................................................................................................................................4
2.4.................................................................................................................................................5
3.1.................................................................................................................................................6
3.2.................................................................................................................................................6
3.3.................................................................................................................................................7
3.4.................................................................................................................................................8
REFERENCES..............................................................................................................................10

TASK
1.1
Business plan
A business plan is a road map which directs the business towards path of achieving their
strategic goals and objective. An appropriate business plan helps the entrepreneurs to achieve
their long and short term goals and also provide a means of achieving competitive advantage
over the competitors.
Business plan outline
A basic business plan of Hospitality industry encompasses
mission of the Hotels as what to achieve
vision as how to achieve
Location of the Hotels
Its management structure and hierarchy
Summary of market analysis and major competitors
Types of customers to target and serve
Financial statement like cash flow, profit and loss, balance sheet, revenues
Future plans and opportunities that might be available to seize
Sources of funding and major shareholders
Implementation and conditions of business plan
For the effective implementation of plan, Terms and conditions which the Hospitality
industry incorporates is no staff in the Hotel is allowed to reveal the copyrighted content of the
Hotel website. For example hotel Hilton has introduced an implementation of new business plan
for 2017-2019 which includes the effort to increase their quality and extending the hospitality
services to local population. This plan has helped the Hospitality industry in growing(Cheah,
Amran and Yahya, 2019).
1.2
Rationale for writing business plan
The major objective of designing the business plan in Hospitality industry is to check the
viability of the business idea. It becomes extremely important for hotels to analyze the market
and identify the major competitors. Thus, a successful plan helps the various hotels to assess the
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trends in Hotels. Apart from this, the description about the business like how the Hotel provides
home delivery services to customers to understand its strength(Argenti, 2018).
Case study for implementation
The increasing awareness of the cancer has provided an opportunity for HOTEL
HILTON to take major steps towards it. The five year action plan of HOTEL HILTON reflects
the major agenda of this organization. It is now working to reduce the waiting times as well as
developed a modern system through which bookings can be made online. In the context of
enhancing guest experiences, HOTEL HILTON has made efforts like they are been engaged in
providing additional services like discount vouchers.
Tactics for effective business planning
The first step towards effective business planning is recognized the competition where
the hotel industry after analyzing their competitors can describe their distinguishing feature like
differentiating in terms of better Hospitality services. Besides this, having a standard services
also helps the hotel industry in acquiring new customers like HOTEL HILTON which provides
quality services too to its consumers.
1.3
Business plan and its advantages
A business plan is a written guide which helps the business to have a pre-planned
structure in attainment of goals and objective. Its main benefit is that it helps the companies to
have a strategic view of their business and place the priorities of resources, time and money
according to the future contingencies like to overcome the issue of additional services which has
been solved by Hotel Hilton.
Case study studying the effect of future trends
The impact of business plan on Hospitality industry is imperative. The UK population is
expected to grow at a rapid rate which means more people will be requiring Hospitality services
thus the staff for delivering quality services is likely to grow. The Hospitality industry like Hotel
Hilton has made use of various advanced technology like for example now guests can make
online booking with help of website and apps.
1.4
Essentials for successful implementation of plan
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The first and foremost requirement for its successful implementation is the proper
allocation of resources. Having the right type of resources like the human resource which is
trained and skilled. This can also assist them in enhancing consumer experience and attracting
more customers towards them. This can also help the Hospitality industry in growing.
Important facts in Hospitality industry based on market survey
The major spending in UK accounts for more than 15.5% of Gross domestic product in
Hospitality industry. British Hospitality industry has created a lot of job opportunities. This
industry contributes 1.43 billion to the UK economy. This industry has assisted at national,
regional and local by enhancing life style, economic and living condition of people.
Hospitality business approaches
Hospitality industry has made use of various approaches such as they have grown out
technologically advanced. They are making use of advanced technology to attract and retain
consumers. This has assisted industry in growing. Other approaches like they are also engage in
providing discounts to their premium customers. They are also provide leisure services to
travelers.
2.1
Business performance
It entails assessing the entire performance of business rather than a single department and
discovering new ways of achieving the goals. It mainly involves goals selection, information
monitoring. Managing the performance and operations of Hotels requires practical implications
and techniques. Business performance in Hotels is mainly based on improving the quality of
services delivered to customers by bringing advanced techniques to treat them better.
Procedure for measuring business performance
The first step involves identifying the objectives. Different Hotel has different goals like
serving the consumers better, treating them through integrating technology etc. Then comparing
the actual and expected performance. This measurement looks complex when it involves review
of customers. Performance relative to benchmark is third step which involves performance of
provider against benchmark in providing services like discount and online service.
Recent trend in Hospitality industry
One trend that will affect the Hospitality industry is increase in making use of advanced
technology. This has supported hospitality industry in analyzing needs and demands of the
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consumers or travelers so that they can be attracted towards them. This has also assisted
company in growing and achieving their objectives and goals. They are also engaged in
providing services like leisure traveling.
2.2
Contrasting the various businesses
The foremost valuable service that HOTEL HILTON provide is that it charges no fees
from its consumers for their treatment while London bridge Hotel charges a high fees from its
consumers from check in to checkout. HOTEL HILTON in its implementation plan has specified
the usage of high tech services which are being provided by them to consumes. Moreover, In
HOTEL HILTON consumers have the freedom to choose the date of arriving and departure.
Factors in business impacting the market
There are numerous factors that have an impact on Hospitality industry in market. Use of
the latest technology is one of the most influential factor that can effect the Hotel's growth. Apart
from this, there are various factors that are impacting the hotel industry like political, social and
economical factors. The company also needs to follow various legislation which has been
implemented by government. (Ward, 2016).
2.3
Current trend of Hospitality industry
Gene editing techniques have evolved with a greater pace which has enabled the Hotels
to detect the inconsistencies in 2019. Various trends are being followed by the hospitality
industry like leisure tourism, grey tourism, food tourism. This has been liked by various
consumers and customers. (Vishnevskiy, Karasev and Meissner, 2016).
Customer satisfaction in Hospitality industry
Customer satisfaction in Hotels is directly linked with the level of services provided to
them. From admission in Hotel to checkout, every element complement to the image of Hotels.
Establishing a great analytical support and having a proper food, acute services and allied
supporting staff builds a confidence between customer and Hotels(Jenkins and Williamson,
2015).
Significance of performance measure
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The performance metrics in Hospitality industry have taken a sharp turn to solve the
problem of inconvenience caused to customers. High performance increases the experience of
both customer & the staff of hotel. Measuring the performance of Hospitality industry is
imperative and help them to attract more customers. Hotels have used numerous tools to improve
their performance. Most provider are leveraging the electronic software to reduce the gap and
inconsistencies between the customers and the hotel staff(Fulmer, 2015).
2.4
Case study of particular organization in Hospitality industry
Hotel Hilton has adopted various advance techniques such as consumers can book the hotel by
clicking on their website. They can also book through the apps. This has made very easy for the
consumer to book hotel. Also the company is providing various discounts to consumers. This has
helped them in attracting various consumers. It has also helped them in growing. (Cokins,
2017).
Features and components of operation in organization (Grimmer, Miles and Grimmer, 2016).
Significance of different entities in Hospitality industry
Company is operating in private sector or the public sector that provide Trade association
only works when it is funded by some groups or the other groups. It also participates in public
relation activities such as advertising, education, publishing, etc(Uhl and Gollenia, L.A. , 2016).
Tourism development can help in developing the area and it also provides various job
opportunities.
Ancillary services are the extra services requested by tourists, such as, travel insurance, car hire,
transfers to your hotels, currency exchange, etc.
3.1
Different advancements in Hospitality industry
For Technology advancement Hotels are now starting to adopt various new approaches
which they enlist this `help` thanks to the arrival of virtual assistants specially designed for this
environment. Recently, IBM launched Watson Assistant, an AI powered virtual assistant that
creates an interactive personalised experience for consumers(Wolf and Floyd, 2017).
Customer retention
Customer retention means `retaining customers` and it costs more to find new than to
retain the existing ones. It can be done by providing special discounts, asking for feedback for
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future stays, by offering personalised services, effective retargeting measures, etc. Correct
pricing in tourism is very complicated as tourism is managed at different levels in different
organizations with different organizations. It can be done by adopting single price policy and
flexible price policy(Lidstone and MacLennan, 2017).
Tactics for improving the quality
For improving service quality following tips can be adopted; by providing personalised
customer services, by treating every guest like VIP, and by making it a training and everyday
priority and not just a one time event, by updating the technology toolbox, by binding the staff's
action to the hotel's overall performance, etc(McDONALD, M.A.L.C.O.L.M., 2016).
3.2
Hurdles faced by hotel industry
The Hospitality industry tends to get hit hard when things change. These shifts are the
real barriers and can be as big as globalisation. There are various hurdles which are being faced
by the hotel industry which can slow down the process of this industry. This can hinder their
growth aspects.
Means to overcome these hurdles
The Hospitality industry is all about making customer feel like `home`. Here, language
barrier can be a hindrance, to overcome this, the travel agencies should invest in `Hospitality
translation’. The more connected the guest will feel, the longer they would want to stay and
invest in the establishments and it will yield greater ROI.
Effect of the changes on Hospitality industry
Hospitality industry encounter change every single day, experiencing changes in guests,
menus, rates, staffs, management, brands, job responsibility, technology, etc. Brainstorming,
Creativity, Positive Thinking are the most important competencies that are needed in all the
aspects for overcoming the hindrances.
3.3
About Hotel Hilton
Hotel Hilton has also opened a new spa which has been opened in UK. The Spa offers
seven ultra- chic, ultra- comfortable treatment rooms with the finest spa linens and equipment’s.
The spa helps hotel in attracting consumers.
Business plan of the given organization
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The objectives of the spa is to grow as a trustworthy industry, educate the visitor about
benefits of spa experiences herby building confidence in Spa Therapies. To increase the market
share by 20% by year ending of 2020. To increase in the profitability by 30% till the end of year
2022. And also to enhance the consumer satisfaction and experience by 10% in upcoming six
months(Osiyevskyy, Costa and Madill, 2016).
Basics of the organization
Monitoring & Controlling: Key Performance Indicators basically measure the Hotel
Hilton performance and help to evaluate the success of hotel in variety of activities. Despite of
potential conflicts of interests, the hotel Manager understands their most common operational 3.4
Brief about Action plan
A goal action plan can be defined as a detailed set of instructions which can be followed
by the hotel in order to solve a problem or achieve the targets and goals set. The goals should be
clear, measurable, specific and achievable. Its main purpose is to clarify what resources are
required to reach the goal, formulate a timeline for when specific tasks need to be completed by
the trainee and determine what resources are required.
Action plan model
Action planning has two models; Classic Model and Proposed Model. In Classic Model a
motor plan is formed directly from an abstract goal and used to generate body movements. And
in proposed model explained according to this thesis a sensory representation of the desired goal-
state which is generated based upon an abstract goal. Therefore, for Hotel Hilton Proposed Hotel
Model will be the best suited one.
Evaluation of action plan
Implementation of action plan is the key outcome as it breaks each strategy into
identifiable steps and without implementation, the planning is an interesting exercise which leads
to nowhere.
CAUSE STRATEGIES TIME RESOURCES
Training to Employees 1. Audio and Video
Conferencing.
2.On the spot,
Professional Training.
One Month Pen
Notepad
Projector
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Laptop
Review
Through the above stated strategies which are being mentioned in the Implementation
Action Plan, Hotel can provide good training to the staff resulting in increasing employee morale
and dedication and by reviewing the performance for ensuring successful business operation and
also for supporting employee motivation and career planning.
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REFERENCES
Argenti, J., 2018. Practical corporate planning. Routledge.
Cheah, J., Amran, A. and Yahya, S., 2019. External oriented resources and social enterprises’
performance: The dominant mediating role of formal business planning. Journal of
Cleaner Production, 236.p.117693.
Cokins, G., 2017. Strategic business management: From planning to performance. John Wiley
& Sons.
Fulmer, K.L., 2015. Business Continuity Planning: A Step-by-Step Guide with Planning Forms.
Rothstein Publishing.
Grimmer, L., Miles, M.P. and Grimmer, M., 2016. The performance advantage of business
planning for small and social retail enterprises in an economically disadvantaged
region. European Journal of International Management. 10(4).pp.403-421.
Jenkins, W. and Williamson, D., 2015. Strategic management and business analysis. Routledge.
Lidstone, J. and MacLennan, J., 2017. Marketing planning for the pharmaceutical industry.
Routledge.
McDONALD, M.A.L.C.O.L.M., 2016. Strategic marketing planning: theory and practice. In The
marketing book (pp. 108-142). Routledge.
Osiyevskyy, O., Costa, S.F. and Madill, C.M., 2016. Business sense or subjective satisfaction?
Exploring the outcomes of business planning comprehensiveness in the SME context. The
International Journal of Entrepreneurship and Innovation. 17(1). pp.15-30.
Uhl, A. and Gollenia, L.A. eds., 2016. A handbook of business transformation management
methodology. Routledge.
Vishnevskiy, K., Karasev, O. and Meissner, D., 2016. Integrated roadmaps for strategic
management and planning. Technological Forecasting and Social Change. 11.pp.153-166.
Ward, J., 2016. Keeping the family business healthy: How to plan for continuing growth,
profitability, and family leadership. Springer.
Wolf, C. and Floyd, S.W., 2017. Strategic planning research: Toward a theory-driven
agenda. Journal of Management. 43(6).pp.1754-1788.
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