Cizzling Restaurant: Finance, Legislation, and Contingency Planning

This report provides a comprehensive overview of financial management within the hospitality industry, using Cizzling restaurant as a case study. It examines various financial documents such as stock reports, bank documents, journals, and financial management reports, highlighting their significance in...Read More

HOSPITALITY MANAGEMENT

Table of contents
• Introduction
• Financial documents for business
• Legislation
• Budgets
• Monitor and review
• Contingency planning
• Conclusion
• References

Introduction
Hospitality management could be defined as the process of managing all the
activities within a hospitality organisation. In order to manage finance within a
budget it will be very important for all the senior managers of entities to make sure
that they are able to formulate effective plans for the same. The organisation which
is selected for this representation of cizzling which is one of the small restaurants
in cairns. It is focused with analysis of different types of elements in context of
management of finance within budget. These are all the finance related documents,
legislation, budgets, monitoring and reviewing process etc. Apart from this, it is
also focused with contingency planning.

FINANCIAL DOCUMENTS FOR BUSINESS
There are various types of finance related documents that are formulated by
organisations for the purpose of keeping detailed information of all the
transactions that are made during the year. All of them that are used by the cizzling
restaurant are as follows:
• Stock report
• Bank document
• Journals and ledgers
• Financial management reports

Legislation
For all the businesses it is very important to make sure that all the rules, regulation and
policies that are imposed by the legal authorities are followed by them. If the businesses will
not be able to follow all of them then it may result in legal actions against the organisation.
There are some specific types of legislations that are required to be followed by cizzling. All
of them are as follows:
 Lodgement of business activity statements: according to legislation it is very important
for all the business entities to make sure that they are formulating all the financial
statements on yearly basis. If cizzling will not be able to formulate them according to set
rules and regulation then it may result in legal action against the restaurant.

Continued…
 Superannuation payments: A regular payment which is made into a fund by the
employer or employee towards the future pension is known as superannuation. If
cizzling will not be contributing in the superannuation then it may result in struct
governmental action because according to the legal terms it will be very important to
contribute in superannuation.
 Need for GST tracking and reporting: this legislation is focused with proper reporting
and tracking of GST. It is very important for all the companies to make sure that they are
able to report detailed information of GST as it is required according to governmental
intervention. For cizzling it will also be very important for making sure that it tracks and
reports the GST due to legal reasons.

Budgets
Budget is a type of financial plan which is formulated by organisations so that they
can carry out all the plans according to the budget. All the budgets assist
businesses to meet all their objectives because with the help of them all the
predetermined goals could be attained in systematic manner as it facilitates the
allocation of all the funds to different activities according to their requirements.
Discussion of some of the key aspects that are focused by cizzing in order to meet
all the business requirements is as follows:
• Budget scope
• Budget type

Continued…
 Budget scope: it is very important to agree to budget scope in advance because if it will be agreed by
cizzling then it may help the enterprise to make sure that it is able to meet the predetermined budget which
was decided for all the activities in advance.
 Budget type: budgets contribute in enhancement of the operational efficiency because when the companies
will formulate budgets according to the requirements of operations then it will facilitate execution of
operations in the predetermined amount. There are various types of budgets which are formulated by
businesses such as cizzling. One of them is zero based budget which is created with a zero base and all the
expenses for the year are justified for the year. Flexible budget is also a type of budget which is created by
businesses for the purpose of making appropriate changes. While generating it, the managers can make
changes according to the transactions that are made during the year.

Continued…
• Budget preparation
• Income and expense forecasting
• Incorporating organisational objectives

Continued…
 Budget preparation: while planning to prepare the budget it will be very important for all the organisations to
make sure that they are able to consult with all the managers as it will help to give sufficient notice to all the
staff members. If they will not be paying attention towards it then it may leave negative impact upon
functionality of business. There are various types of data sources that are used by cizzing which are internal
records, actual expenses, incomes and reports of the business.
 Income and expense forecasting: budgets are used for the purpose of forecasting future expenses and incomes
that may take place in future. If it will be done by cizzing properly then it can help to meet all the future
expectations of business.
 Incorporating organisational objectives: it is very important for all the organisations to make sure that they
are incorporating objectives with budgets so that all of them could be accomplished. Some of the objectives are
higher profits, engaged staff etc.

Continued…
• Drafting budget presentation and review
• Circulate to relevant departments
• Finalising and implementing budget

Continued…
 Drafting budget presentation and review: while planning to draft the budget it is very important for
entities such as cizzing that it is able to present the budget in systematic manner. The budget is required
to be formulated in clear and concise manner, it should be formulated in appropriate manner and all the
special considerations should be taken in to consideration.
 Circulate to relevant departments: when the budget for all the departments of the entity is formulated
then it is very important to circulate it in different departments. As it can help to modify, negotiate, take
feedback and implement changes in the budget according to requirements of divisions.
• Finalising and implementing budget: it is last stage which is focused while preparing the budget. At this
stage the format of budget will be discussed by the managers with all the departments.

Monitor and review
Monitoring and reviewing is the process of analysing the budget and making sure
that all the key aspects are formulated while generating it. There are various types
of ways which could be focused by all the organisations while planning to monitor
and review the budgets. These are sales volume and price variances, fluctuation in
the value of materiality etc. When the budgets will be analysed by cizzling then
some specific types of deviation could be identified. These are difference between
actual and standard figures. Apart from this, if the managers will be willing to
resolve all the issues then all of them could be controlled by making sure that
forecasting is done properly.

Contingency planning
The process which is focused with analysis of all the steps that are required to be
focused for the purpose of dealing with all the issues which may take place in
future. For example, if cizzing restaurant has forecasted then the problem of lack
of funding may take place in future then it will be very important for it to make
sure that effective plans for it so that all the contingencies could be dealt in
systematic manner.

Conclusion
This presentation concludes that hospitality management is the process of
managing all the operational activities that are performed by a hospitality sector
organisation. There are various types of factors that are required to be focused by
all the entities carrying out operations under this sector for performing all the
operational activities within budget. These are financial documents, budgets,
legislations, monitoring and reviewing and contingency planning. With the help of
all of all of them all the long-term objectives of the entities could be attained.

References
• Cabral, C. And jabbour, C. J. C., 2020. Understanding the human side of green
hospitality management. International journal of hospitality management, 88,
p.102389.
• Guzzo, R. F., Abbott, J. And madera, J. M., 2020. A micro-level view of CSR: a
hospitality management systematic literature review. Cornell hospitality
quarterly. 61(3). pp.332-352.
• Kandampully, J., Zhang, T. C. And jaakkola, E., 2018. Customer experience
management in hospitality. International journal of contemporary hospitality
management.
• Law, r., 2019. Evaluation of hotel websites: progress and future developments
(invited paper for ‘luminaries’ special issue of international journal of hospitality
management). International journal of hospitality management. 76. pp.2-9.