Contemporary Issues and Hospitality Management Theories in Premier Inn

This report discusses the contemporary issues faced by the hospitality industry, including changing customer expectations, political and security challenges, and globalization. It focuses on Premier Inn as a case study and explores various hospitality management theories, including behavioural theory, scientific management theory, Douglas McGregor theory, quantitative theory, system theory, and contingency theory.

Hospitality Industry
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Table of Contents
Introduction.....................................................................................................................................3
Main body........................................................................................................................................3
Conclusion.......................................................................................................................................8
References.......................................................................................................................................8
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Introduction
Hospitality industry is a service industry that involves the hotels, restaurants and bars
which offers food, beverages and a place to stay to the customers. The main goal of this industry
is to offer customers a better experience whether from providing them the best services or
offering best foods and drinks. It involves many business that falls under this industry like
hotels, restaurants, theme parks and many more. In this report, the contemporary issues that hotel
industries are facing all over the world are discussed and their nature and implications are also
explained in the below report. The hospitality company taken in this report is Premier Inn, it is
considered as the UK biggest brand in hotel industries. It is founded by a company called as
Whitbread in 1987 and its headquarter is situated in Dunstable, UK. The concepts and theories of
hospitality management is also discussed to justify the issues of the hospitality industries(Afsar,
B., Shahjehan, A. and Shah, S.I., 2018).
Main body
Contemporary issues are basically the issues that affect the people and businesses and the
issues which is unresolved. There are various types of contemporary issues that the manager has
to deal with but the major issue in this particular industry is the growth of fixed costs with
simultaneously varying and reducing the revenue streams. The various fixed assets are salaries,
sustaining different facilities and payment of bills. Managers in this hotel industry has to
ascertain various tools and methods to reduce this fixed costs without compromising the offered
service quality. It is very important to deal with the issues because it can affect the service that
the hospitality industries offers to their customers. This moreover can affect the revenues and
profits of the hotel industry so it is beneficial for the senior managers of this industries to fully
analyse the contemporary issues and find different tools to tackle the same issues.
Contemporary issues faced by managers in hospitality industry
Constantly changing expectations of customers: - The customers are considered as the
main element in the whole hospitality industry. The main purpose of this industry is to provide
best services to the customers and keep them happy but a research has reflects that the margin of
customers happiness is decreasing(Guan and et. al., 2020). This makes the manager of Premiere
Inn to realize that keeping the customers happy from the traditional method is not enough they
must find new ways to deal with the customers more effectively and make them delightful by the
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service. The most effective way to deal with this problem is to ascertain the gap between the
perception and the actual happiness of customers. Due to applying new advanced technologies
and acknowledging the behaviour of consumers it becomes more easy for the managers to deal
with the issues comparatively to previous times. The implications of this issues are like, the
service that is provided to the customers last time now it would became an expectation. So due to
this reason it becomes difficult for the managers of Premiere Inn to deal with the changing
expectation of customers. The innovation of various apps has also increased the expectation of
customers that now the managers has to analyse to deal with.
Political and security challenges: - This is also one of the top contemporary issues faced
by the managers of hospitality industry in the worldwide. The various challenges that the
managers of Premiere Inn may have to face are such as to deal with threat of terrorism. This
factor has fully changed the thought process of tourists that where they should travel. The
managers of hotel are given task to analyse the political issues that can affect their industries in
providing service to the customers. They also have to make sure that the surveillance system and
securities are properly installed as well as fell the guests safe and comfortable. The way to deal
with the challenges is to use the high tech technologies and gadgets which identify the threats
and dissolve it(Soria, J.A.C. and Teigeiro, L.R., 2019). The implication of this issue to the
Premiere Inn is that it reduces the profit level of the hotel. Various events in the Covid pandemic
has mere increase the pressure of managers to deal with the adversities.
Globalization and its implications:- Now a days various sector of business is advancing
to expand there business all over the world. This is possible due to the rise in the globalization it
reflect a better advantage for all the peoples who are in the market base. To work in effective
manner, it is very important for the managers of Premiere Inn to transfer their thought with the
fresh emerging trends. To rise the revenue of the organization, the individuals have to share their
efforts and coordinate with the internal as well as external environment of the organization.
Hospitality industry is known for its service sector. The hospitality manager have to check the
employees mix and upgrade various kinds of skills in them. So that the employees can perform
their work with full efficiency and can easily deal with the provided projects and tasks. In
context with the Premiere Inn hotel, the manager of the hotel took all the responsibility of
managing. It ensure its tasks of checking that the worker is performing their task in productive
way or not. Various types of mechanisms are being developed by the hospitality manager. It
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helps not only in increasing the revenue of the hotel but also helps in gaining the competitive
advantage in the market. In conjunction with this, it is the responsibility of the manager to train
and provide different skills to their staff so that the staff work productively. It is the duty of
manager of Premiere Inn to motivate their workers and appreciate their efforts. It is important for
the manger to analyses the globalization and the changes in the trends. The manager should work
according to changing trends in order to create more revenue as compared to its competitors in
the market(Wen, H., Li, X. and Kwon, J., 2019). The manager have to work hard in order to
follow all the activities that helps in running the business more fluently.
Hospitality management theories
The hospitality industries implement this theories to help the organization in focusing the
activities and effectively conduct the work. These theories basically helps the managers to
clearly know about the goals of the company and define the process or ways to achieve these
goals. It also helps the hotel managers to motivate their staffs in order to achieve the company
goals and objectives. The various hospitality management theories are discussed below: -
Behavioural theory: - This type of hospitality management theories address the
importance of the employees in increasing the revenues and profits. A research has shown that
this theory can improve the workplace and helps in growing the productivity. This theory reflects
that the employees are working better when they interact with each other and work as a group
not as an individual. This theory can help the Premiere Inn to conduct their activities more
effectively and efficiently by enabling the employees to interact with each other and perform the
activities and complete it as a group.
Scientific management theory: - This theory suggests that the workload should be
divided into a sequence of various smaller steps to conduct the work more in more effective and
efficient manner. This theory gives an idea that the managers must assign the suitable work to
the appropriate person which are having the capabilities to perform that particular work. It helps
the Premiere Inn to influence the situational circumstances of performance and the organization.
It also enables the managers to get a wisdom about providing the different work to other persons
who can complete it in an effective and efficient manner.
Douglas McGregor theory: - This theory has given two different types of theories that is
Theory X and Theory Y. This theory has introduced that there are basically two types of
management style which are run by the perceptions of managers. Theory X is used by the
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managers when they realized that the workers and employers are disliking the work due to some
reasons like bad environment, bad workplace etc. Theory Y used by the managers when they
believe that the employees are liking the work and the workplace. The employees in this theory
are self motivated and committed to the work. This theory helps the Premiere Inn managers to
effectively communicate with the employees and find out the perception about the company
from them. This majorly helps them to acknowledge the effectiveness of employees towards the
company.
Quantitative theory: This is an effective theory which is based on the mathematical
equation and uses statistic to solve the difficult problems and developed in response to the
managerial efficiency. The managers uses the different techniques such as information model,
computer simulation to analyses the performance and improve it. This make them enable to
understand the work and develop solutions to resolve the issues. This helps the manager to use
this technique to identify the risk and make effective decision on the basis of the facts. With
reference to the Premier Inn, it uses this techniques to treat the problems that are associated with
the working and performance(Sarkies and et. al, 2021). They uses the computer models to figure
out the best way for doing work effectively by saving money and time. The can use inventory
model to control their inventories by applying the mathematically technique to analyses when an
order is made for the product. Therefore, this theory help the manager to use this techniques in
order to make their performance better and provide outcome son the v\basis of the personal
opinion or feelings that support the business.
System theory: This theory provides the various approaches to the management of a
business concern. This theory has explained that it is consist of the multiples workings that work
pleasantly so that it can work optimally. According to this theory, the success of the business
depends on the various elements such as synergy, interdependence and interrelation between
various subsystems. All the department and sub unit of the organization work cooperatively to
get the success(Franklin and et. al, 2021). With reference to the Premier Inn, it uses this theory
which help in analyzing the function of the complex organization. This is consist of the
probability rather than the determination and utilized as base fir the new organization. It bring
out the inter relation among various function of management such as planning, organizing,
directing, controlling. Therefore, it supports the goal and process of the organization to get the
success.
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Contingency theory: This is the theory of management where every situation requires
different leadership styles. Therefore, it has stated that it is up to the leader of the organization to
analyses the situation and use the best strategy of leadership. This theory assign allot of
responsibilities on the leader to directly manage the people and how to understand the
technologies which are used in an organization(Etoom, 2022). With reference to Premier Inn, it
uses this theory which assist in approaching to the functions of then organization. A leader of the
company must be able to determine the style of the management that is best suited to the
situation. This an improvement over the system approach where the manager changes the
behavior of any part of the organization. This provide sufficient human relation so that the
business concern get its goals.
Classical Approach – It is also known as scientific management which is used to
determine the most effective and efficient way to do a job in an organisation. Here productivity
is the primary goal and it gives priority to increased profit. This theory is concerned with
effectiveness which increase quantity or improve quality of output, doing the right things, or
simply put. It is the efficient method of performing the duties and tasks where efficiency is
known as doing the things in right way and correctly. In context to Premier Inn, it make sure that
employees are performing its duties effectively and efficiently and giving best services to its
customers on time with good quality. So that company can increase the profitability, market
share and able to maintain its brand value in the UK. The company makes best utilisation of its
employees by make them perform the task based on their specialisation and skills. The company
majorly focuses on its quality of performance and maintain them by improving the quality of
output effectively and efficiently.
Management Science – This theory of hospitality management is different from
scientific method. To improve the performance employs scientific method, test models and
mathematics to construct. It focuses on the effectiveness unlike the scientific method. The
managers uses action research such as intervention strategies, develop alternative solutions and
informally collect information, evaluate effects and implement changes on the basis of
organisation's performance. In context to Premier Inn, it improves the performance of its
employees so that it can increases the company's sales so that consumer can stay more happily
and freely and able to enjoy the vacations and recommend other customers. In order to improve
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the quality of its services the managers uses research techniques such as in advance develop the
alternative solutions, in an informal manner collect the information and make the changes and
plans in advance or on the current situation to avoid the dissatisfaction and any delay in the
work. It focuses on the good quality and effectiveness on its work to increase the performance in
the hospitality.
Conclusion
From the above report it has been analysed that the contemporary issues has a great
impact on performing the activities of hospitality industry. The various contemporary issues such
as Constantly changing expectations of customers, Political and security challenges and
Globalization and its implications are discussed in context with Premiere Inn hotel industry. It
has also been concluded that there are various hospitality management theories which can be
used for the growth of the company. It has also been realized that it is very crucial for the
Premiere Inn to deal with these issues and tackle them effectively.
References
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Niu, R.H. and Fan, Y., 2021. A comparative study of online review management in hospitality
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