Effective Crisis Management in Thomson Resort

The content discusses the importance of crisis management in maintaining a positive image for Thomson Resort. It highlights the key stages involved, including developing a plan, identifying a spokesperson, being open and transparent, keeping employees informed, communicating with customers and suppliers, and sharing information with stakeholders. The study concludes that despite having built a sound reputation, Thomson Resort's image was tarnished due to an incident, highlighting the need for effective crisis management.

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Managemen
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Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
A. Analyzing various functions of resort operation.....................................................................3
B. Management structure and the additional activities which are provided by the Thomson
resorts...........................................................................................................................................4
TASK 2............................................................................................................................................5
C. Importance of effective quality systems in resort operations and ways in which resort
applies and monitors quality procedures in managing conflicts and legal issues .......................5
D. Analysis of how effective quality system impacts the performance and operations of
Thomson Holiday and resorts......................................................................................................7
TASK- 3...........................................................................................................................................8
E. Identifying the occurrence which could affect the resort environment and procedure to deal
with such type of situation...........................................................................................................8
F. procedures implemented in dealing with incidents with guide line of trade associations and
government in Thomson resorts.................................................................................................10
CONCLUSION..............................................................................................................................10
REFERENCES .............................................................................................................................12

INTRODUCTION
Resort management is the prominent aspect for tour and travel industry thereby tour
operator can cater need of different type of visitors in an effective way. Several types of services
are provided by the help of effective resort management that facilitate to attract visitors and
increases overall rate of return of hospitality industry. Present report is about Thomson Holiday
that is UK based travel operator and auxiliary of TUI group. It sell package holiday to visitors on
the basis of their specific need so as to satisfy them in an effective way. Further, various function
of resort management is also invested that aid to coordinate all business activities and boost
productivity to a great extent. In this regard, importance of effective quality system and its
implementation is also analyzed that contribute towards achieving long as well as short term
objectives of tour operator. Moreover, structure for various types of tour operators and their
guest related activities are also examined.
Thomson Holiday emerged in 1965 with combination of three distinct package holiday
companies and the Britannia Airways . Lunn Poly chain of UK travel agent was purchased by
Thomson Holiday in 1970's (Thomson Holidays, 2015). It was renamed in 1997 and was floated
on London Stock Exchange in 1998. Prior to this, it was owned by Thomson Corporation of
Canada. It had taken position of market leader within 10 years of formation. Corporation
provides variety of holiday packages for different destinations across the world such as Spain,
Greece, the Indian Ocean and Turkey beach holiday. Recently, Thomson Holiday has launched
new Blue Cross Sale for summer holiday. It provides luxurious services to buyer as per their
demand and also contributes towards attracting them. Affordable luxurious services that are
being provided by Thomson Holiday at destinations such as Jamaica, Mexico and Maldives as
well as Dominican Republic.
TASK 1
A. Analyzing various functions of resort operation
There are several types of functions performed by Thomson Holiday in order to manage
the resort. Many resorts are owned by the company that proves to be efficient to cater need of
children, couples, friends and families. The prime aim of the operator is to coordinate among
hotels, restaurant and travel industry so as to ensure tailor made holiday package for visitors
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(Hewitt and et. al., 2007). Here, corporation contract with suppliers and give them details
regarding necessary requirement by which visitors need can be satisfied in an effective way. It
serves as a mediator among customers and industry organization that increases overall rate of
return. Tour operators are also accountable for developing new destination that aid to enhance
knowledge and skills of customers. It also contributes towards reviving cultural and heritage
beauty of the country. Several types of activities are performed by Thomson Resorts such as
gym, sports and other spare time activities so that number of customers can be increased towards
the same (Kubota and Shimano, 2010). Owing to this, tour operation handle several types of
supplier who provide material that prove to be useful for delivering good quality of services to
ultimate users. These suppliers supply material like bed sheets, towel, raw food and furniture.
Hence, they play significant role for managing resort functions.
Tour operation is also liable for fulfilling legal requirement that are imposed by
government of country. It includes health and safety, contract, meeting and local laws by which
two parties comes into contract. Owing to this, Thomson Holiday ensures proper safety and
security in rooms as well as other areas of resorts that provides comfort for visitors. Many a
times, safety and health issues create dissatisfaction among visitor that has direct impact on
brand image of the firm. Due to this, legal requirements are given prime focus that facilitates to
ensure good relationship among management of resorts and customers (Brey, 2010). Further,
local laws such as putting right information in brochures and do not mislead customer by illusory
advertisement.
Customer services is the foremost function of tour operations and by that, large number
of customers are attracted towards services of resorts. Here, visitors are provided detailed
information by the help of newsletter, internet, brochures and television. It keeps them updated
regarding the latest offer, type of services and package holiday (Thomson Family Resorts, 2013).
Further, all customers are targets such as children, couples, old age people as well as families so
as to create distinctive image of Thomson Holiday in the marketplace (González, Comesaña and
Brea, 2007).
B. Management structure and the additional activities which are provided by the Thomson
resorts
The management structure of Thomson Holiday is quite simple that make it possible for
organization to expand business over several geographical areas and deliver good quality of
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services to large number of buyers. For resort management, organization appoint director and
head of department for each segment such as food, sports, pool and travelling (Meng, Tepanon
and Uysal, 2008). Here, competent personnel are appointed who have knowledge of several
types of language and can be able to understand what the customer is seeking for. In this regard,
head of food sector is appointed who is accountable for providing good quality of food to
customers. In all respective departments, quality standard and rules as well as regulations are set
at first hand. These standards are serving as guidance for management and they work upon the
same. It reduces gap between actual and expected results. Further, quality heads are appointed
for each of these departments thereby Thomson Holiday can review the performance of the firm
and should also be able to control the same is a useful manager (Hewitt and et. al., 2007). If
separate managers are not appointed for each department then customer complaint can be
increased in relation to quality of food, risky sport activities and damaged pool conditions. On
the other hand, team of top management work on all branches that are operating in different
locations so they can bring improvement in lacking areas, if any. Further, head of security is also
appointed who perform all task related to providing security in each branch that leads to attract
large number of visitors. Further, Human Resources Manager is appointed for each firm by
which they can make effort in relation to acquiring competent personnel and complying rules and
regulations that are laid by the government of UK (Kubota and Shimano, 2010).
Other guest related activities are also performed by tour operators such as diving and
winter sports that facilitate to cater need of buyers in an effective way. Here, operators ensure
availability of material that are imperative for providing safety for visitors. Winter sports are
organized in such manner thereby customers can enjoy with proper security and can enjoy trip. It
creates sense of achievement among them that leads to increase rate of return for Thomson
Holiday.
TASK 2
C. Importance of effective quality systems in resort operations and ways in which resort applies
and monitors quality procedures in managing conflicts and legal issues
As per the resort management procedure, it is essential for enterprise to keep a track on
its quality of service so that it can provide value for the money invested by customers. Through
this, it can gain an edge over competitors. If there is existence of dissatisfaction among
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customers then this would lead to degradation of reputation of the business in market place
(Brey, 2010). Thus in order to build goodwill in the market, it is essential for business enterprise
to provide standardized services and superior quality products to the customers. In addition to
this, Thomson Resort has to direct its focus on the appearances of the room and other
recreational activities in order to achieve delighted customers. From the analysis, it has been
examined that various health related problems have been faced by the customers of Thomson
Resorts by consuming the food offered by them. Such an aspect has created negative impact of
the firm and this has adverse impact on its sales as well as profitability (Lovelock and Lovelock,
2013). In this regard, the company has to make payment of the hospital bills as compensation to
the customers who got sick. The resort can promote its brand name only when it offers
satisfactory services and products to the customers. The major aspect that plays crucial role in
the success of the resort is the quality of food that is offered to the guests. If the hotel offers
timely services to the customers then this would have major advantage for the enterprise. The
guest who visits to stay in the resorts requires value for their money that can be provided only
when the company delivers quality in products and services.
For the purpose of monitoring the quality, several departments have been formulated so
that regular quality check of products and services can be ensured. For food department, certain
things have been made mandatory so that superiority in food dishes can be maintained. These
effects include wearing of particular uniform by chef as well as putting gloves while preparing
the food so that it does not get contaminated (Thomas and Wood, 2014). Moreover, the food
articles needs to be carefully monitored before purchasing them. In addition to this, an executive
is appointed so that food items can be checked properly before they are being cooked.
Monitoring of cleanliness of room is done on regular basis. As, four managers have been
appointed by Thomson Hotel to maintain hygienic environment within the rooms. Moreover,
proper facilities have to be provided in the rooms.
Certain policies and procedures have been designed for the purpose of avoiding necessary
conflicts and legal problems of the business. Due to the occurrence of recent case with Thomson
Resort, rigid policies have been designed in the hotel which needs to be taken into account by all
the employees. The customers can file suit against the employees as well as management of
resort if they are not satisfied with the services or the hotel (Fyall, Leask and Garrod, 2012).
Thus in order to avoid such mishappening, the procedure have been designed by the resort. The
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guest who visits the resort also lays focus on the behavior of employees. In this regard, the
enterprise has formulated certain rigid rules as to employee's behavior. Proper training is being
provided so that they can interact effectively with customers. In case, the employees do not
comply with standards then company can take imposed penalty on them.
D. Analysis of how effective quality system impacts the performance and operations of Thomson
Holiday and resorts
Effectiveness in quality system has major impact on the performance and operations of
Thomson Holiday and Resort. The evaluation of the hotel is done on the basis of the service
quality. If the hotel offers superior quality services then customers are attracted towards the
resorts. The quality system of the resort can assist it in gaining an edge over competitors. Money
is invested by the customers so that they can experience feeling of relaxation and enjoyment
(Phatton, 2009). This can be measured in terms of quality that is being offered by the hotel. In
order to attract customer, the hotel has combined its several packages with that of sports
activities especially for children. This has acted as an aid for the resort in gaining advantage by
shifting the preferences of the customers to their tour packages.
The key performance aspect of the resort is that it pre plans its operations so that while
serving the customers, no confusions arise and this has impact on their performance. The
enterprise has opened its various branches in tour segment. It possesses its own airways, cruise
lines etc. These are provided immense success to the business and they deliver quality to the
customers. Such innovations have increased the trust of the customers in the company (Esson,
2012). Further, this has enhanced their loyalty and assisted in increasing the sales of the business.
There is existence of immense competition in the resort market as well as tour agents.
Thomson Resort has gained popularity because of its services. Thus, many companies want to
collaborate with the firm. Hence, this has assisted greatly in increasing the sales of the other tour
operators as well as of the resort. The quality system of the company can be examined as an
extent to which the company resolves the problems faced by it. Significant process has been
designed by Thomson Resort for the purpose of resolving the grievances faced by customers.
Thus through this, company can build sound relation with that of customers (Rezak, 2002). This
also demonstrates the quality of the services that are being offered by the company.
Certain rule has been designed by Thomson Resort so that services are delivered as per
the amount of money invested by the customers. Moreover, this results in reducing the
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exploitation of customers. It has been examined in most of the cases that tour operators promises
customers to provide stay in 5 star hotel but the reality is not such. This result in demoralizing
the trust built in by customers. Such is not in case of Thomson Holidays. They are known for the
best services in town. This has thereby resulted in enhancing their sales and edge over
competitors.
TASK- 3
E. Identifying the occurrence which could affect the resort environment and procedure to deal
with such type of situation
Hotels and resorts deal in very sensitive or dynamic environment in which a small strange
or unacceptable occurrence can affect the goodwill or reputation of the entity to a large extent.
Even competitor firm takes advantage of their rivalry firms if such unfit happening occurs. So, it
can be anticipated that a little unusual activity in the firm creates its bad image in the hospitality
industry (Hjalager, 2001). There are number of examples of incidence which spoilt the name of
big hotels and resorts in the hospitality industry. In the given below points, example of events
which could affect the environment of resort is detailed. The points also provided information
about the way resort management can deal with such situations.
 Cases of serving unhygienic food- In present time, people are very much aware
and used to get only hygienic food. However, when they find that the hotel or resort is
failed to adopt proper hygienic practices in making and serving of food then they
perceive negative image of the restaurant and also make negative word of mouth
publicity about the resort through social media (Bernick and Boo, 2013). When this type
of situations happens then it affect the image of the resort severely among the people.
This type of situations or incidence can be avoided by adopting proper hygienic practices
in kitchen as well as in the action of chefs along with food and bar staff. Further, resorts
can make stringent policies regarding following hygienic practices to avoid this types of
instances.
 Paranormal activities- The incidence related to paranormal activities also affect
the image of the hotels and resorts (Clarke and Chen, 2012). Paranormal activities impart
great fear in the minds of people which ultimately restrict them to go for the particular
listed resorts. There are live cases about the hotels like Grand Hyatt, Taipei, Taiwan and
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Heathman Hotel of United States which are considered as haunted place by people and
because of this reason, no individual get ready to stay in these hotels. It is very difficult
for the hoteliers to gain trust of people when such types of incidence got known among
the public (Knowles, Diamantis and Mourhabi, 2004). However, it can be overcome by
closing down the place or area of the hotel where such type of things occur. Further,
management can also purify the place by doing some ritual procedures.
 Terrorism activities- Terrorism activities have not left any stone unturned.
Renowned Hotels and Resorts always are on the top list of terrorist. The terrorism
activities which occurred on 26/11 in India in the hotels Taj Mahal and Hotel Oberoi
wounded the hearts of people of all around the world. The particular incidence is still live
in the eyes of people (Jin-zha and Jing, 2009). The particular type of incidence also
affects the reputation of the hotel or resorts at large. However, these types of situations
can be avoided by appointing appropriate number of security guards with specialized
weapons and using CCTV cameras in the edifices.
 Fraud or cheating by resort employees- The illicit activities or acts like fraud and
cheating of resort employees also affect the environment of resorts. Many of times, it has
been seen that employees adopt attitude to deceive customers and this lead to affecting
the reputation of the resort (Taylor, 2008). For example: demanding of extortion or
blackmailing by the employees affect the reputation of the firm severely. These type
situation or occurrence can be stopped effectively by adopting stringent actions against
those types of employees in the presence of customers. Further, entity can also frames
rigid rules and regulation to eliminate these types of incidences.
 Non-compliance with health and safety standards- Health and safety standards are
the statutory requirements which need to be followed in every organization as per the
guidelines of UK government. However, when such practices are not followed in the
resorts or other firms then it develops negative image of the restaurant in the minds of
customers (Thomas and Wood, 2014). Every consumer expects that the organization
working in society must follow appropriate rules and regulation mentioned in Health and
Safety standards 1976. When the people find that the entity is not following appropriate
practices related to health and safety then they perceive negative things about the entity
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(resorts). Thus, management of resorts must ensure that the organization follows requires
rules and regulations mention in Health and Safety Act 1976.
 Natural disaster: Due to occurrence of natural disaster it is possible that overall
operations of the resort can be influenced. Further, disasters such as Tsunami, flood,
earthquake etc can adversely influence each and every activity of resort management
(Fyall, Leask and Garrod, 2012). The entire resort environment is affected in case when
disasters take place in any specific area and due to this reason effective plan is required to
be prepared so as to deal with such issue.
 Political unrest: It is also another type of unfavourable situation where highlights
dissatisfaction among the current public with government. Sometime, due to presence of
high level of corruption and other unethical activities businesses are not able to operate
efficiently and due to this reason activities of resort management is affected and it
becomes quite difficult to carry out overall operations without support of government.
F. Procedures implemented in dealing with incidents with guide line of trade associations and
government in Thomson resorts
Government of UK always has been seen as concern to safeguard the interest of tourist or
travelers. This can be mapped by understanding the number of regulation made by the UK
government for the tourist with the passage of time (Thomas and Wood, 2014). UK government
also made regulations to get hold over illicit practices or incidence which could affect tourist
physically, mentally or morally. In the year 1992, UK government made Package Tour
Regulation Act. The act includes the provision that if tourist or UK citizen get injured or suffered
any loss during the trip or abroad then the person is entitled to receive compensation against the
loss suffered or injuries received (Taylor, 2008). For example: a tourist or person get injured by
falling on ground due to slipperiness on the floor of Thompson Holidays edifices then the entity
is obliged to compensate the person if any damage cause to the person. Another example can be
taken as if a customer get food poisoned after eating food in the hotels or resorts of Thompson
Holidays then the entity is liable to pay the compensation to the entitled person because of
damages received due to unhygienic food served to the consumers (Knowles, Diamantis and
Mourhabi, 2004). If an individual injures or hurts during the travel then travel accident
compensation is provided to the traveler. As Thompson Holidays provides cruise service and air
travel services and if the traveler hurts during the travel then Thompson Holidays would be liable
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to pay required compensation to the traveler or customer. If the entity denies for the payment
then the claimant can represent the photograph of the accident to the government body to receive
compensation (Hospitality Guidelines, 2013). Government also provided facility of helpline
numbers to the people for registering the complaints regarding non-granting or providing of
compensation by the private bodies for the damage caused due to their actions.
In order to deal with range of issues it is possible to undertake crisis management procedure
and it supports in carrying out overall activities in effective manner. Key steps in crisis
management are as follows:
 Developing a plan: It is the first stage where clear objectives have to be set. Further,
resort has to clearly identify the range of crisis and all the parties associated with the
business must be clearly informed regarding the issues being faced (Brey, 2010).
 Identifying spokesperson: In the next stage it is necessary for resort management to
identify one spokesperson who can support business in dealing with the crisis being faced
 Be open: It is one of the significant stage where business has to share accurate and honest
information with each and every individual associated with company.
 Keeping employees informed: It is required for resort to keep all the staff members
informed regarding the crisis faced and through this it is possible to enhance efficiency of
the business (Condit, 2014).
 Communicating with customers and suppliers: In this stage business can inform its
customers regarding the crisis faced and through this information they can know what
corrective actions have been taken by business with the motive to overcome issues.
 Sharing information: It is the last stage of crisis management where company can share
data with its stakeholders regarding the crisis faced and best possible solution identified
for the same.
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CONCLUSION
It can be concluded from the study that Thomson Resort has built sound image in the
market because of its quality in services. But due to occurrence of an incident, the image of
company has ruined to a certain extent.
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