Contemporary Hospitality Industry: Structure and Trends Report

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This report provides a comprehensive analysis of the contemporary hospitality industry, focusing on its structure, scope, and diversity. It examines the organizational structures of different hospitality businesses, including hotels like Hilton and fast-food chains like McDonald's, highlighting their hierarchical differences and operational approaches. The report delves into the roles of professional bodies and staffing requirements, detailing the responsibilities and qualifications for various positions such as managers, supervisors, and administrative staff. Furthermore, it explores the current image of the industry and predicts future trends and developments, including their potential impact. The analysis covers key aspects of the UK hospitality sector, aiming to provide a deep understanding of its dynamics and future direction.
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CONTEMPORARY
HOSPITALITY
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Table of Contents
INTRODUCTIION......................................................................................................................................3
TASK A....................................................................................................................................................3
AC 1.1. Structure, scale, scope and diversity of hospitality industry......................................................3
AC 1.2. Organization structure of different hospitality industry............................................................4
AC 1.3. Role of Hospitality organizations and professional bodies in the industry.................................6
AC 2.1. Staffing requirements of different hospitality industries...........................................................6
AC 2.2. Roles, responsibilities and qualification requirements in the staff............................................7
AC 3.2. Current image of the industry..................................................................................................9
TASK 2................................................................................................................................................... 10
AC 3.1 The analysis of issues from development in hospitality industry..............................................10
AC 4.1 Predicted future trends and developments in hospitality........................................................10
AC 4.2 Analysis for the impact of predicted trends and developments...............................................11
CONCLUSION........................................................................................................................................11
REFERENCES..........................................................................................................................................12
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·INTRODUCTIION
In the present era, the scope and demand of the hospitality industry is continuously
growing because individual wants some short time relax and take leisure breaks from the
complex life style and the pressurizing job. In order to provide the comfortable facilities,
hospitality sector deals with relationship between guests and host. It includes various kinds of
services such as entertainment in form of tour, food or special relaxation services (Harridge,
2009). In this present report, the scope, culture, scale, diversity among the various hospitality
industry has addressed. In addition to this, various organizational structure different hospitality
industry has also discussed in this report. Current study has studied dynamic characteristics of
hospitality, focusing on current issue future trends and development with the industry. The major
objective of this report is to understand the working of hospitality industry in the UK and get
deep knowledge about the growth and diversity of this same sector.
·TASK A·AC 1.1. Structure, scale, scope and diversity of hospitality industry
Structure
The structure of hospitality industry is the same of the other industry comprise of the various
roles and obligations in a definite hierarchy method. In this sector, the highest power and author
are in the hand of top level management. This industry has large number of task and assignment
related to accomplish the organizational purpose. In this manner, corporation deals with different
services and task. This structure of the industry can be defined in a pyramid shape where major
roles and responsibility are in the hand of owner and co owners of the business enterprise. The
owner or top level management consist of the maximum power within the corporation so that the
major decision take by them related to business activities and functions (Gorman, 2007). The
latter space is covered by the middle level management in the business organization who have
major roles and responsibility to manage and develop the functional areas of businesses. The
middle management consist with the general manager, administrator, floor manager, marketing
manager, finance manager, operation manager etc. At the end level of the structure pyramid of
the organization consist with the lower level management who have roles and responsibility of
providing services and coordinating the business activities so as desired objective can attain
within specific period of time. The production and progress of business is largely depends upon
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the performance of thee people in the lower level management. They consider on delivering the
services of hotels and satisfied the need of guest. They consisted of hotel staff, tour operator,
client’s handler etc.
Scope and Scale
The scope of hospitality industry is very vast because it have large number of services related to
entertainment, accommodations, relaxation, pubs, clubs etc. So it can be said that this industry
refers a range of businesses that offers various facilities and services. Being involved in
providing various services to entertain and relaxation the demand of this industry is continuously
growing in the world. In addition to this, the rate of employment is also high because it provide
various services. In order to provide services and operate various business like pubs, club,
restaurant, accommodation, industry requires a skilled and talented employees (Ackerman,
Darrell and Weitzner, 2002). Thus, this industry provide the effective employment to the
country people. This industry employ around 2-2.5 millions people in the restaurant industry
which lays a wide prospect of employment generation. The identified job vacancies in the
coming year is around 1.2 million while the export earning of the sector is approx approximately
£7.5 billion.
Diversity
The hospitality industry deal with vast numbers of services such as food, drinks,
accommodation, restaurants, conferences, banquet, dinner facilities, leisure services etc. So it
can be said that in the hospitality sector there have a varieties of diversity die to the large
number of different services. Different country have their own policies and practices which
affect the creatively and innovation of such business services and individual performance. In a
simple term it can be said that diversity refers to the different form of customer taste,
preferences, corporation services etc. In this manner, corporation provides various services
according to the customer demand and requirement such as vegetarian, non vegetarian, menu
planning, organic, non organic food options, online order and reservation are defining the term
of diversity in the hospitality sector (Boo and Bernick,2013). For example of the food chain
there are varies restaurant operates in the world like McDonald, KFC, Burger king, Dominos,
subway etc but all of these have their own strengthen market share in different country by
changing their menu options and food.
lAC 1.2. Organization structure of different hospitality industry
The organization structure refers to the alignment through which roles and responsibility
flow to the person. In a simple word it can be said that organization structure is that pyramid
through which various department in the enterprise are manage and their roles and authorities are
also distributed (Harrison, 2004). In the following, organization structure of two different
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industries of hospitality has discussed. The definite structure format describe the above strategy
efficiently and clearly.
Basis Hilton hotel Mc DonaldCharacteristicsIt have a definite operation under which regional
requirement and demand with various diverse ownershipIt have global level operation and
centralized management system under which definite flow of authorityHierarchyHierarchy is
rigidHierarchy is flexibleSpan of controlOwnership is multiple it mean various person handle the
managementIt have centralized ownership under which top management is highly
responsibleLine vs staff positionsIt have large span of management so that effective correlation
between the two It have outlet based management vs country based managementDecentralization
It have very limited decentralizationIt have outlet based decentralization of authorityStructureIt
have matrix structure under which avrious structure operate the business operationIt have flat
organization structure because of the nature of organizationEffectivenessIt have very high sales
revenueIt meet the demand of the customers so it is highly productive and effective according to
the demand.
As per the above table it has been ascertained that Hilton hotel has successfully adopted the
matrix structure. It assist to the company in managing the communication system within the
hotel on the regional basis. It has ascertained from the comparison that the hospitality industry is
very vast and between these two company there is very different base of operation yet the board
perspective of control (Ingram and Grieve, 2013). The Hilton hotel main motive to deal with
rendering the best experience to customer while McDonld aims at serving the best quality of
food products. The variance of these structure is still the minimum with respect to the authority
responsibility relationship.
lAC 1.3. Role of Hospitality organizations and professional bodies in the industry
In the hospitality industry, there is a wide scope of the professionalism as there is various
professional bodies such as manager and potencies manager in the various sector like hotel,
travel catering business, food chains etc. The candidate who want to job in this industry require
the basis qualification in the field. In the present era, various kinds of hotel management courses
assist candidate to learn the roles and responsibility of the designation in this industry. Graduate
requires effective skill in management, teamwork, communication and negotiation. In addition
to this they should be flexible for working especially with different location.
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British hospitality association is referred as the leading member corporation in the tourism
and hospitality industry. The major responsibility of this body is to promote the interest of
brand, operators and owners across various hospitality sector like hotel, tour, restaurant, club,
pubs etc. It aid in developing the standardization by forceful coherent and coordinated way of
working. One another professional body in this sector is Institute of hospitality which operate for
the individual manager. It provide the skills and knowledge to manager or working in the similar
industry. It aid them in order to build their career in the hospitality sector and make their
efficient competitive world (Ioanni and Pantelidis, 2014). In addition to this, it assist in
developing the high scope of career and employment opportunities within the country. Moreover
this institute facilitates the chances of individual organizations to get the knowledgeable and
experienced human being for all vacancies and employments. With assistance of threes institutes
and professional bodies, there aid in fill the gaps between seekers and providers in the UK
country.
lAC 2.1. Staffing requirements of different hospitality industries
In an organization, in order to get effective success and desired outcome there is required a
highly qualified and skilled personnel. They are those who survive business activities and
manage work within company. The corporation deals with various kinds of staff member or
employees who are responsible for different activities and business function but all of them have
common objective of the organization goal (Johnson, 2008). They deal with assignment of
administration level and top management. The key staff of the hospitality industry are as
follows-
1.Managers-The manager is the most important and essential staff of the organization
who is responsible for various kinds of major business activities and functions. Manager
is involved in the formation of policies and business practices so the great responsibility
of the hospitality industry are in the hand of manager. In addition to this, manager also
liable to control, monitor, guide, evaluate the business as well as subordinate
performance.
2.Supervisor-They are responsible to monitor and guide subordinates in their task in the
organization. In the hospitality industry, supervisor provide the training to the staff
members so as they can provide the best experience to guests. . They deal with the
operational work of doing tasks and reporting it to the immediate supervisors.
3.Planning staff- They are generally employees of the organization who gives their best
contribution and efforts in order to level the planning of business activities and functions.
They involve in daily planning of business and they handle the tasks at various
management level (Law and van der Veen 2008). For example, in the kitchen staff of
restaurant are the people who plan the long term and short term policies for the business.
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4.Administrative staff- They are general those employees ij the organization who is
responsible to deliver the premium services. They are also responsible to manage the
quality of business services so as customer can highly satisfied and company can gain the
effective revenue and results. They do not have the power enough to coach or guide thus
have to comply to instructions and orders of the superiors
lAC 2.2. Roles, responsibilities and qualification requirements in the staff
In the hospitality industry, there are various kinds of staff member who have different
roles and responsibility. In addition to this, they also have different qualification through which
they appear at different designation. Following are some roles and responsibility of different
staff of the hospitality industry-
·StaffRoles and ResponsibilitiesSkill/qualification demandedChief finance officerConduct
regular audit of the financial transaction or record
·Develop the financial report of all record include profit and loss of the organization
·Develop a systematic planning of fund in the existing business as well as for future
·Evaluate and assess the financial position of business organizationThey must have degree of
finance graduation and also have master degree of the same stream.
·Candidate must have at least two year experience of the hospitality industry and of the same
designation.
·Candidate must have analytical and calculation skill.
·Candidate must tax affluent amd intuitive.Human resource managerManage and evaluate the
human resource and their performance in order to attain the desired objective
·Manager the human resource activitie and function
·Develop HR planning
·Organize recruitment and selection programs
·Organize training and development
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·Regular monitoring of employees performance and the achievement of the objective.Candidate
must have graduate in the management and must have the master degree in human resource
management stream or MBA in HR
·Effective communication and interaction skill
·Effective leadership and motivational skill
·Candidate must have effective management skill.Marketing managerManage the marketing and
promotional activities and function in the hospitality industry
·Organize the promotional activities
·Develop marketing planning
·Develop marketing strategy and effective implementation in the market
·Convincing and generating sales
·Setting the objhective and develop the path for their attainment in the market
·Effective public relation and customer management.Candidate must have MBA or PG in the
marketing management stream
·Effective interpersonal and communication skill
·Excellent personality
·Effective convincing power and influential skillFront office departmentHandling customer
queries and solve their issue regarding business services in the hospitality industry
·Resolve the issue and queries of customers
·Provide the knowledge about the organization policies and practices
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·Describe the promotional activities to the customers
·Develop effective public relationsGraduate in PR
·Effective communication skill
·Impressive personality and smiling face
lContingent act
lAC 3.2. Current image of the industry
In the present era, the sector of hospitality industry is continuously growing due to its high
demand in the market. In this sector the various kinds of services attract the customer so as they
can easily take relaxation from their busy and complex life. In the present time there is very
effective and positive image of its industry because through this people can get employment as
well as high quality of relaxation services or facilities (Lundberg, Gudmundson and Andersson,
2009). The continuous improvement in the corporation policies and standards has facilitated the
hotels and other organization in attaining the high return on the investment which has facilitated
in uplifting the industries image in the market. The high rate of demand of customer creates the
clear and positive image of this industry in the market.
·TASK 2
·AC 3.1 The analysis of issues from development in hospitality industry
In the hospitality industry, there major resources is potential customer, business firms and
government. There are various kinds of issues which are as follows-
Organizational issue- In the hospitality industry, there are major issue is related to the operation
because in this field business requires effective human resources, finance and physical resources.
The major issue is related to the cost, human being, competition and physical resources (Ro and
Chen 2011).
Legislative issue- In this issue includes the government, regulatory bodies like tourism
assemblies and councils are conducting protocols formulation for hospitality business in UK.
Corporation have to adopt the policies and code of conduct related to the hospitality industry of
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the country which has developed by the UK government. UK government has been developed
various kind of legislative in order to protect the individual from unethical and unfair activities
in the company. For example employment act provides the opportunity to individual for their
employment. The hospitality company jhave to adopt the all rules and legislation at the time of
business operation which has developed by UK government for personnel.
Managerial issue- In this involves the management related issues such as marketing practices,
interpersonal working, business strategy formulation, profitability. The organization requires the
effective working practices and methods so a it can attain the objective within a time period. In
addition to this, this kind of organization is highly depends upon the well trainer and qualified
staff members so sufficient quantity of staff is higher required I the industry.
lAC 4.1 Predicted future trends and developments in hospitality
The hospitality industry is third fastest growing sector after information technology and
manufacturing businesses. The hospitality industry is very important role play in generate the
country income and economic development of country. Following are some discussion about the
future trends and practices this context-
Technological advancement- The information technology has gained the benchmark for
contributing to hospitality industries with mobility and new creations. It is forecasted that the
hospitality business will be the leading techno industry in future (Vance and et.al., 2011). In
addition to this internet, mobile, laptop, and other communication devices will aid to this
industry in developing the interaction with potential customer and promote its services in the
market. Customer can easily develop the connection with the organization and get booking about
the accommodation and restaurant services with the help of technology.
Marketing and advertisement- In order to convey the information about the accommodation
services and facilities, organization will highly beneficial by technology. Furthermore, the
information collection technique will aid to the company in collect the data of customers in the
country.
lAC 4.2 Analysis for the impact of predicted trends and developments
As per the above discussion it has been ascertained that predicted tends and practices are
designed for lifestyle, food and supply, technology, legal aspect in the hospitality industry. The
impact of predicted trends on the hospitality sector are as follows-
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·Life style- According to the prediction it has ascertained that people can change their
life style in the country. They will highly beneficial and facilitate by accommodation,
restaurant and bars at their closest locations (Watson, 2008). There will improve the
living standards and value of location by the practices of hospitality industry.
·Food and supply- By the new practices of hospitality industry, the development and
production of food will improve by use of new technology and methods. The supply
method will also improve with aid of technology and operation management system.
·CONCLUSION
In the present era, there is very vast scope of the hospitality industry in the world. There
are various kind of services provided I this sector like hotel, restaurant, accommodation, clubs,
pubs, entertainment etc. From this project report it has been concluded that there is very huge
scope, structure, diversity in the hospitality industry through which country can generate the
high income. Furthermore, by this industry, the scope of employment ahs also increased in the
UK because it provides various option for job for local people. In this manner, manager play a
very significant role who is highly responsible for manage the various activities and function of
business organization. It has also concluded that the industry should focus on increasing the
salaries of employees so that they can retain the efficient employees.
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·REFERENCES
Ackerman, M. S., Darrell, T. and Weitzner, J. D., 2002. Privacy in Context. Human Computer
Interaction. 16(2/4). pp. 167-176.
Bartenwerffer, V. T. and Boksberger, E. P., 2003. Effective destination marketing through
market segmentation by travel and leisure activities. Tourism Review. 58(4). pp.12–20.
Beritelli, P., Strobl, A. and Peters, M., 2013. Interlocking directorships against community
closure: a trade-off for development in tourist destinations. Tourism Review. 68(1). pp.21 –
34.
Boo, S. and Bernick, N. L., 2013. Festival tourism and the entertainment age:
interdisciplinarythought on an international travel phenomenon. International Journal of
Culture, Tourism and Hospitality Research. 7(2). pp.169–174.
Bwo-Nung, H., 2008. Tourism Development and Economic Growth: A Nonlinear Approach.
Physica: Statistical Mechanics and Its Applications. 387(22). pp.5535-5542.
Gilmore, A., 2010. Reflections on methodologies for research at the marketing/entrepreneurship
interface. Journal of Research in Marketing and Entrepreneurship. 12 (1). pp.11 – 20.
Gorman, D. K., 2007. The hospitality phenomenon: philosophical enlightenment?. International
Journal of Culture. Tourism and Hospitality Research. 1(3). pp.189–202
Harridge, S., 2009. Direct marketing and relationships: An opinion piece. Direct Marketing: An
International Journal. 2(4). pp.192 – 198.
Harrison, J.S. C. A., 2004. Hospitality Strategic Management: Concepts and Case. John Wiley
& Sons.
Ingram, H. and Grieve, D., 2013. Exploring the nature and effects of perception and image in
hospitality and tourism. Worldwide Hospitality and Tourism Themes. 5(1). Pp. 7-13.
Inkson, C. and Minnaert, L., 2012. Tourism Management: An Introduction. SAGE.
Ioannis, S., and Pantelidis, 2014. The Routledge Handbook of Hospitality Management.
Routledge.
Johnson, G. M., 2008. Verbal and visual reasoning in relation to patterns of Internet use.
Internet Research. 18(4). pp.382 – 392.
Kamel, S., 2003. Managing Globally with Information Technology. Idea Group Inc.
Law, R. and van der Veen, R., 2008. The popularity of prestigious hospitality journals: a
Google Scholar approach. International Journal of Contemporary Hospitality
Management, 20(2). pp. 113-125.
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Lundberg, C., Gudmundson, A. and Andersson, T. D., 2009. Herzberg's Two-Factor Theory of
work motivation tested empirically on seasonal workers in hospitality and tourism.
Tourism Management. 30(6). pp. 890-899.
Ro, H. and Chen, P. J., 2011. Empowerment in hospitality organizations: Customer orientation
and organizational support. International Journal of Hospitality Management. 30(2). pp.
422-428.
Vance, C. and et.al., 2011. Building global competencies through experiential coursework in
international travel and tourism. Journal of International Education in Business. 4 (1). pp.30
– 41.
Watson, S., 2008. Where are we now? A review of management development issues in the
hospitality and tourism sector: Implications for talent management.International Journal
of Contemporary Hospitality Management. 20(7). pp. 758-780.
Online
Role of the Government in Tourism. 2011. [Online]. Available through:
<http://tourismphenomenon.blogspot.in/2011/09/role-of-government-in-tourism.html>.
[Accessed on12 February 2017].
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