Understanding Business Organization: A Case Study of Premier Inn

UNDERSTANDING
BUSINESS
ORGANIZATION

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
Organizational structure..............................................................................................................3
SWOT analysis............................................................................................................................4
PESTLE analysis.........................................................................................................................6
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Organizational structure refers to the alignment and relation of parts of the company,for
achieving maximum performance. The selected structure impacts the company's success for
carrying out the strategy and goals. Management must understand the features,advantages and
limitations of different organizational structure for helping in alignment of the strategy. It is the
method which helps work to flow through company. It gives groups for working together by
their individual functions for managing tasks. Earlier structures of the organization were more
formal where employees were grouped by functions,product line etc. Now a days structures are
less formal which responds quick to dynamic environment of business. The company chosen for
this project is Premier Inn which is a hotel chain in United Kingdom. It was established in year
1987 by Whitbread,headquartered at Dunstable,England,,UK. It is the largest hotel brand in UK
with more than 72000 rooms and hotels. It is operating in various locations which includes city
centres,suburbs and airports.
MAIN BODY
Organizational structure
Hotel Premier Inn has opt for hierarchical structure as it is a system with simple
reporting system which allows subordinates for understanding the roles and responsibilities with
ease. It is very beneficial for large companies and hotel Premier Inn is a big chain of hotels. By
using this system each and every employee has specific roles in the hotel and they contribute to
the objectives of the organization(Abdulaali,2018). Managers of the hotels divides the employees
in to different groups where each person have a manager who directly supervise. Managers
report to other senior managers which leads to pyramidal chain of command. The top
management of the hotels forms a C Suite which has the chief executive officer at the top by
chief financial officer and chief operating officer. All the big decisions are taken by the top
management. Directors of the hotel runs different departments of the hotel and make strategy for
making sure that the respective departments meet the goals and objectives which are pre
determined. Marketing,IT,finance,accounting,HR etc. are some of the departments. Directors are