Leadership and Management for Service Industries: A Study of Premier Inn

This project report analyses Premier Inn which is UK based hospitality organisation established in the year 1987 by Whitbread. It includes different classical management theories in context of hospitality organisation, roles of leaders and different styles of leadership, review of sustainable management, internal and external factors which create impact on sustainable leadership, current management and leadership hard as well a soft skill, and future management as well as leadership skills required by service sector.

Leadership and
Management for Service
Industries

Contents
Contents...........................................................................................................................................2
INTRODUCTION...........................................................................................................................1
MAIN BODY..................................................................................................................................1
TASK 1............................................................................................................................................1
Review of different classical management theories in context to hospitality industry...............1
Explanation of roles of leader and different styles of leadership in hospitality organisation......2
Identification and review of sustainable management and leadership styles in hospitality
organisation including issues related to sustainable leadership...................................................3
TASK 2............................................................................................................................................4
Investigation of internal and external factors which influence sustainable leadership................4
TASK 3............................................................................................................................................6
Assessment of current management and hard and soft skills of leadership................................6
Discussion of future management and leadership management skills required by service sector
.....................................................................................................................................................6
TASK 4............................................................................................................................................7
Comparison of different service industry organisation change management system and
leadership for implementing change............................................................................................7
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Leadership can be described as process which create influence on others for working effectively
and willingly for attainment of group goals. It provides direction to employees in order to
provide shape to their efforts (Addy and Adabor, 2021). It allows business to attain goals in less
time and provide them desired results. This project report analyses Premier Inn which is UK
based hospitality organisation established in the year 1987 by Whitbread. It is one of largest
hotel chain of UK as it has around 700 hotels and 50000 rooms. This project report includes
different classical management theories in context of hospitality organisation. It explains roles of
leaders and different styles of leadership along with review of sustainable management. It
identifies different internal and external factors which create impact on sustainable leadership.
Additionally, it consists current management and leadership hard as well a soft skill. It also
discusses future management as well as leadership skills required by service sector. Moreover, it
compares different service industry organisation change management system by implementing
changes.
MAIN BODY
TASK 1
Review of different classical management theories in context to hospitality industry
Classical management theory is one of theory which is introduced at time of industrial revolution
in order to improve productivity in business and factories. It is a theory which is more
emphasises on hierarchy, single leadership as well as specialised roles for purpose of
optimisation of efficiency of workplace (Bantha and Sahni, 2021). It consists different theory
which are explained in context of Premier Inn below:
Bureaucratic theory: It is one of theory which is related to structure as well as administrative
process of business. This theory was introduced by Max Weber who is known as father of
bureaucracy (Bierema, 2016). It is one of term which formulate rules, regulation, procedures,
patterns and procedure in order to reduce complexity of functions of organisation. Application of
this theory in Premier Inn provide them various benefits. It helps managers to make work easier
by division of work which also lead specialisation in organisation. It improves work efficiency
through supervision of managers in hierarchy.
1

Scientific Management theory: It is a theory which focus on efficiency as well as productivity
of individual. It is given by Fredrick Winslow Taylor in the year 1890 to 1940. This theory is
concerned with increasing productivity of individual. It is focusing on developing best way for
purpose of performing task of organisation (Boddy and Croft, 2016). Application of this theory
in Premier Inn provide can provide them various benefits as it allow them to decrease production
cost It helps them to improve quality of products and allow them to get benefits of division of
labour. It also helps managers of company to avoid conflicts between management and workers.
Behavioural Management theory: It is one of theory which focus on increasing productivity of
employees by understanding their feeling. It is discovering ways in which managers and
employers can build strong relationship with employees. It helps them to increase motivation as
well as productivity of employees. Implementation of this theory in Premier Inn provide them
carious benefits. It helps in determining style of leadership of leaders and managers, It also allow
managers of company to build good relation with their employees and promotion commitment
among team members.
Explanation of roles of leader and different styles of leadership in hospitality organisation
Leader: Leader is a person which possess capacity to set and attain goals for group of people.
These are personal which influence behaviours of others through their appearance (Feng, Huang
and Zhang, 2016).
Roles of leader: Leader plays an important role in success and growth of organisation. Role of
leader in context of Premier Inn is mentioned below:
 Decision maker: Leader in Premier Inn needs to make various decision related to day-to-
day operation of company. They are also taking decision for long term and medium terms
goals of company. In order to make effective decision, leaders of Premier Inn involved
employees and other members of team in decision making process.
 Change management: Leaders also play roles of change management in Premier Inn.
Organisation needs to adopt various changes in order to remain competitive and there is
various reason for implementing change like upgradation of technology and changes in
trends (Garg and Dhar, 2017). In order to implement changes effectively, leaders need to
communicate with members of company.
 Direction and motivation: Leaders also play roles in providing direction to team
members in Premier Inn. It helps employees to understand in which direction they need
2

to put their efforts. Leaders also motivate workers which helps them to attain business
goals.
Styles of leadership: There are different types of leadership styles which is adopted by leaders.
Each of these styles provide different advantage and disadvantage to company. These styles of
leadership in context of Premier Inn are mentioned below:
Autocratic leadership: It is one of leadership styles in which various expectation is
imposed by leaders on subordinates for purpose of getting desired result. This style is suitable in
environment where leaders have complete knowledge in whole team (Hon and Lu, 2016). It can
help managers of Premier Inn to complete work in less time. But at same time, it can create
negative impact on creativity as well as productivity.
Democratic leadership. In these types of leadership style, all members of organisation
are to be included in decision making process. It is also known as participative styles of
leadership which provide feeling of belongingness to employees and increase their engagement.
Implementation of this style of leadership in Premier Inn helps them to increase motivation and
engagement of employees but at same time, it increases time to be taken to get desired result.
Laissez Faire leadership: It is another type of leadership styles in which leaders has trust
as well as reliance on employees. These leaders do not much involve in employees and does not
provide direction as well as guidance of employees. It helps managers of Premier Inn to get
advantage of creativity, experience of employees.
Identification and review of sustainable management and leadership styles in hospitality
organisation including issues related to sustainable leadership
Sustainable management: It is one of term which consist different aspects like environment,
economy, needs of present and future generation (Kim and Kim, 2017). It can be defined as
application of different sustainable practices in business, society, agriculture, environment as
well as personal life through managing them effective in order to provide benefits to present
generation as well as future generation.
Issues to be faced by firm: Premier Inn is facing issues related to implementation of changes in
organisation. This change is related to use of technology in operation process of company. It
creates problems for company as employees are not able to use this technology effectively. It
also creates impact on their performance.
3

Adoption of leadership styles to overcome of problems: In order to overcome of problem to
be faced by company, leaders can adopt democratic leadership which helps them to understand
problems to be faced by employees (Lobo, Samaranayake and Laosirihongthong, 2016). It also
allows them to involve employees in decision making process which is important to motivate
them to work. This leadership provide advantage and disadvantage to company which are
mentioned below:
Advantage Disadvantage
 It will allow managers to involve
employees in decision making process.
It improves motivation of employees
and also improve their satisfaction of
job (Millar, Groth and Mahon, 2018).
 It encourages creativity in work of
employees and allow them to work
freely. It provides them sense of
responsibility.
 It helps managers to build good relation
with employees which helps to increase
productivity of organisation.
 It increases time of making decision of
company as participation of employees
this process increase time.
 It also creates issues related to security
as it promotes more transparency
through which all information related to
organisation has reached to employees.
TASK 2
Investigation of internal and external factors which influence sustainable leadership
Internal Factors: Internal factors are those factors which are present inside organisation. For
purpose of identification of internal factors, managers of Premier Inn can conduct SWOT
analysis which is mentioned below:
Strength Weakness
 Premier Inn is a largest brand of hotel
of UK which has around 50000 rooms
and 700 hotels (Rather, Hollebeek and
Islam, 2019).
 There is intense competition in market
in hospitality industry which reduce
margin of profit.
 It does not have global presence like
4

 It is a premium brand hotel which is
providing high quality service to their
guest.
other international hotels.
Opportunity Threat
 Premier Inn has various strategic tie
ups in market.
 This organisation is investing in digital
marketing which provide them
opportunity to marketing their service
effectively.
 Managers of company is developing
brand values of company with
enhanced experience of customers.
 There is increasing demand of private
rooms in UK which create negative
impact on sales and profit of company
(Ryu and Lee, 2016).
 People are preferring backpackers’
hostel which reduce demand of
premium hotels among people.
External Factors: External factors are those which are present outside organisation and create
negative impact on performance and survival of business. For identification of these factors,
managers of Premier Inn can conduct PEST analysis which is mentioned below:
Political Factors: Political factors consist different elements like political stability, interference
of government in business (Smith, Eldridge and DeJoy, 2016). It can create impact on
sustainable leadership of Premier Inn as due to covid-19 outbreak, government put restriction
over traveling of people which results in huge loss for company.
Economic factors: Global pandemic situation results in economic crisis which create impact
purchasing power of people. It does not allow people to buy products and service of company
that decrease their sales and profit.
Social Factors: Social factors are concerned with preference of people and their choices. There
is increasing health awareness of people due to outbreak of covid-19 situation due to which
managers of Premier Inn needs to ensure proper precautions in their organisation which can
decrease their profit margin.
Technological Factors: Technological advancement is important in order to get competitive
advantage for organisation. It increases efficiency of enterprise and also improve productivity
but managers of Premier Inn are not adopting this technology effectively which create impact on
shares of company.
5

TASK 3
Assessment of current management and hard and soft skills of leadership
Hard skills: These are skills which can be learn by a person and can be measured effectively. It
can be defined as technical ability which are required for job of a person (Song and Yu, 2018).
These skills can be possessed by a person through training, in classroom, online course, books as
well as material. Some of hard skills required in management and leadership in Premier Inn are
as follows:
Budgeting: It is ability of an individual for adopting proactive approach for managing money is
a budgeting skill. It consists decision making related to allocation of money in a way which does
not exceed expenses over income. This skill allows manager of Premier Inn to control expenses
of company and increase profit.
Maintaining financial records: It is important for leaders of Premier Inn to have knowledge of
maintaining financial records for purpose of estimation of profit and cost. It helps managers to
depict clear position of financial position of company and made decision as per position of
company.
Soft Skills: These are skills which is a combination of people skills, social skills, communication
skills, emotional intelligence that allow an employee to navigate environment, work in order to
perform well for attainment of goals (Tansakul, Suanmali and Shirahada, 2018). Soft Skills
possess by managers and leaders of Premier Inn are mentioned below:
Motivation: It is an essential skill which helps managers to create urge as well as willingness
among people. It is important skills which helps for attainment of goals. Leaders of Premier Inn
are focusing on increasing motivation of employees as it allows them to get full contribution of
employees.
Creativity: Creativity is also an essential skill in leaders and managers of premier inn which
allow them to develop unique and different ideas in business. It helps them to solve critical
problems which increase productivity of company.
Discussion of future management and leadership management skills required by service sector
Leadership and management skills are important for carry out business operation successfully.
Premier Inn is providing their service in hospitality industry which is a growing industry. There
6

are various skills to be required by managers for purpose of attainment o goals. Some of skills
related to management and leadership in service industry is mentioned below:
Excellent communication: Communication is key to all problems occur in an organisation as it
allows free flow of ideas, thought, views, information. Managers of Premier Inn has excellent
communication which helps them to communicate effectively with their employees (Wang,
2016). It helps them to understand problems and feeling of employees. It also provides them
opportunity to get new ideas from employees and other members of organisation. It also allows
them to communicate with customers effectively which is important to provide friendly
environment to customers.
Budget control: It another important skill in leaders which in saving cost as well as increasing
profit. It is required for ensuring control over expenses and increasing profit. It allows managers
to ensure every activity is to be completed in organisation within set limit. Managers of Premier
Inn ensure employees should have budget control skills. They are also providing training to
enhance their budget control skills as it allows employees to complete work in set limit.
Human resource management: It is a skill which helps to manage human resource effectively
which is possessed by leaders for purpose of smooth conduct of operation. It is helps to ensure
availability of right kind of employees in organisation which work with dedication for attainment
of goals of company. Managers of Premier Inn is providing effective training and development
opportunity in order to keep employees more efficient.
Building good employees’ relationship: It is another important skill which is to be adopted by
leader of premier Inn as it helps them to understand employees and understand their problems.
With this skill, leaders are able to increase motivation of employees and also their engagement
with work.
TASK 4
Comparison of different service industry organisation change management system and leadership
for implementing change
Change Management: Change Management refers to a systematic approach which helps in
dealing with transformation as well as transition of goals of organisation, profess as well as
technologies. It aims at implementing strategies for purpose of effective change, helping people
and controlling change.
7

Basis Premier Inn Hilton Hotel
Problems Premier Inn is facing problems
related to maintaining
employee’s data. These data
are related to personal
information of a person, sick
leaves and others.
Hilton Hotel is facing
problems for maintaining data
of organisation as it is a
multinational organisation. It
is difficult for them to
maintain offline data.
Change In order to overcome of these
problems, managers are
adopting human resource
software in their organisation
which helps them to overcome
of problems of maintaining
records of employees.
For solving these problems,
managers are introducing
financial software in their
organisation which maintain
proper records of profit and
loss of firm
Change management Model For implementing this change,
managers are adopting Kurt
Lewin model as it helps them
to adopt different stages like
unfreezing, changing,
refreezing.
In implanting this change,
managers are adopting
Kotter’s model of change. It
consists different stages of
change management like
increasing urgency, building
team, developing vision,
communication, empower
action and make change.
Kurt Lewin Model in Context of Premier Inn can help to implement change effectively. This
model was introduced by Kurt Lewin in the year 1950. This model provides understanding of
process of introducing change which includes three stages including Unfreeze, Change and
Freeze. It includes various steps for implementing change which are as follows:
Unfreeze: It is first stage of transition which consist readiness and willingness of people for
change. In this people realise that they need to move from existing comfort zone to
transformational situation. In this stage, managers of Premier Inn need to aware employees for
needs of change.
8

Change: It is another stage of change which involve acceptance of employees for doing things in
different ways. In this stage, people are unfrozen and where change in actually implemented. It
requires careful planning, encouragement and communication. Managers of premier Inn in this
stake is ensure free flow of communication to understand problems of employees and provide
them effective solution.
Freeze: It is last stage in change management process in which people move from transition to
stable stage. In this stable, people accept change and making changes in their ways to working.
In order to motivate employees, managers of Premier Inn are rewarding those employees which
are accepting changes and adopting change quickly.
CONCLUSION
From above mentioned project report, it can be concluded that leadership is an important skill to
be required for handling people effectively. It creates influence on people to work with deciding
and enthusiasm. There are different types of theories and model are present related to
management and leadership which guide behaviour of leader towards attainment of goals. Some
of classical management theirs are bureaucratic theory, scientific management theory and
behaviour management theory. It helps leaders to improve productivity and efficiency of labours,
increasing profit and get benefits of specialisation. Leaders plays an important role in an
organisation as it provides guidance and direction to employees in path of success. Leaders is a
person which set goals and provide vision to employees. There are different types of leadership
styles which is adopted by a person like autocratic, democratic and participative. All of these has
their own advantage and disadvantage for company. There are various internal and externa
factors which create impact on operation of company and it is responsivity of leaders to identify
these factors to reduce its impact on business.
9

REFERENCES
Books and Journals
Addy, E. and Adabor, E.S., 2021. Leadership roles and sustainable public–private partnership
between technical universities and industry in Ghana. Tertiary Education and
Management, 27(1), pp.73-89.
Bantha, T. and Sahni, S.P., 2021. The relation of servant leadership with followers'
organizational citizenship behaviour (OCB): mediating role of generalized self-efficacy
(GSE) and organization–based self-esteem (OBSE). Industrial and Commercial
Training.
Bierema, L.L., 2016. Women’s leadership: Troubling notions of the “ideal”(male)
leader. Advances in Developing Human Resources, 18(2), pp.119-136.
Boddy, C.R. and Croft, R., 2016. Marketing in a time of toxic leadership. Qualitative Market
Research: An International Journal.
Feng, C., Huang, X. and Zhang, L., 2016. A multilevel study of transformational leadership, dual
organizational change and innovative behavior in groups. Journal of Organizational
Change Management.
Garg, S. and Dhar, R., 2017. Employee service innovative behavior: The roles of leader-member
exchange (LMX), work engagement, and job autonomy. International Journal of
Manpower.
Hon, A.H. and Lu, L., 2016. When will the trickle-down effect of abusive supervision be
alleviated? The moderating roles of power distance and traditional cultures. Cornell
Hospitality Quarterly, 57(4), pp.421-433.
Kim, H. and Kim, T., 2017. Emotional intelligence and transformational leadership: A review of
empirical studies. Human Resource Development Review, 16(4), pp.377-393.
Lobo, S.R., Samaranayake, P. and Laosirihongthong, T., 2016, September. Comparative analysis
of quality management capabilities of manufacturing industries in the Western Sydney
region: quality improvement perspective. In 2016 IEEE International Conference on
Management of Innovation and Technology (ICMIT) (pp. 161-166). IEEE.
Millar, C.C., Groth, O. and Mahon, J.F., 2018. Management innovation in a VUCA world:
Challenges and recommendations. California management review, 61(1), pp.5-14.
Rather, R.A., Hollebeek, L.D. and Islam, J.U., 2019. Tourism-based customer engagement: The
construct, antecedents, and consequences. The Service Industries Journal, 39(7-8),
pp.519-540.
Ryu, H.S. and Lee, J.N., 2016. Innovation patterns and their effects on firm performance. The
service industries journal, 36(3-4), pp.81-101.
Smith, T.D., Eldridge, F. and DeJoy, D.M., 2016. Safety-specific transformational and passive
leadership influences on firefighter safety climate perceptions and safety behavior
outcomes. Safety science, 86, pp.92-97.
Song, W. and Yu, H., 2018. Green innovation strategy and green innovation: The roles of green
creativity and green organizational identity. Corporate Social Responsibility and
Environmental Management, 25(2), pp.135-150.
Tansakul, N., Suanmali, S. and Shirahada, K., 2018. Conceptualizing a transformative supply
chain for ecosystem well-being. The Service Industries Journal, pp.1-22.
10

Wang, C.J., 2016. Does leader-member exchange enhance performance in the hospitality
industry? The mediating roles of task motivation and creativity. International Journal of
Contemporary Hospitality Management.
11