Challenges and Advantages of Hospitality Sector

This assignment discusses the challenges and advantages of the hospitality sector, which plays a significant role in developing local, national, and international economies. The sector provides various services to travelers, creating benefits at local, national, and global levels. Resources such as books, journals, and research papers are provided, covering topics like human resource management, sustainability, customer satisfaction, and corporate citizenship in the hospitality industry.

The Contemporary
Hospitality Industry

Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Different types of business in the hospitality industry......................................................1
P2 Functional and operational departments in hospitality business.......................................2
P3 Contribution of hospitality industry in local, national and international economies........4
TASK 2............................................................................................................................................6
P4 Investigate a range of different operational roles within the hospitality industry.............6
PS Skills requ ired for roles with in the hospitality ind ustry and current skills shorta ges.
................................................................................................................................................7
TASK 3............................................................................................................................................9
P6: PESTLE that affect the development of organisation operating......................................9
P7: SWOT analysis for Marriott hotel..................................................................................10
TASK 4..........................................................................................................................................11
P8 Appraise the implications of current and potential trends in the hospitality industry
providing a range of specific examples................................................................................11
CONCLUSION..............................................................................................................................12
REFERNCES.................................................................................................................................13

INTRODUCTION
Hospitality refers to the relationship between a host and a visitor or guest. It is a sector
which offers services to their guests and travellers with the help of various businesses. In
hospitality industry there are different types of industries which includes – accommodation, food,
drinks, travel and tourism, entertainment, bars, camp grounds, etc. Marriott hotel which is five
star hotel in UK has been taken for study in this report. Different types of businesses in hotel
industry are explained along with their services. Further, operational and functional department
functions of the chosen hotel are explained in this report (Bharwani and Butt, 2012).
Contribution of hospitality industries to local, national and international level is also mentioned.
TASK 1
P1 Different types of business in the hospitality industry
The hospitality industry is a cracking business with infinite collection, but customer
service is the integrative factor divided by all sections of the industry. In hospitality department
the success of an enterprise depends on how promptly the hospitality group is and how
impressive the business framework is. There are different sectors in hospitality industry, some of
them are described under.
Accommodation:- This sphere of hospitality business features a range from luxuriant hotel to
grand resorts. Accommodation is utterly a wide sector of the hospitality business, varieties from
breakfast and bed enterprises and hotels to different facilities which provides lodging services.
During travelling one of the essential requirements for travellers is accommodation, and some
other like – transportation, food, etc. Among different types of accommodation and hotel
services some are discussed under.
Lodging:- At the time of travelling to different places the main thing is place required to
sleep or stay. People needs a shelter which protects them from nature atrociousness. This leads to
find out rooms and booking lodges to stay there (Boella and Goss-Turner, 2013).
Resorts:- Its is also one of the important type of accommodation which is famous
among travellers. Resorts bring people adjacent to nature and provides requisite break from
daily routines.
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Suites:- Along with lodges, hotel department provides luxurious suites for people during
travelling, in order to stay. Mostly suites are appropriate for ceremonial sorts to stay and are
more pricey in comparison of day-to-day room services.
Food and beverages:- It is also a vital sector of hospitality industry among different sectors. It is
also a panoramic sector for the hotel businesses. It can reach from something as easy as eating
place all the means to a restaurant and it is dominant in the industry (Brotherton, ed., 2012).
Food and beverage sector is also divided into various categories, which are described below.
Fast- service establishments:- These are mercantile food providing restaurants which
compete for customers who are looking for garner drinks, quick snacks, meals, etc. Commonly
they have few workers, then personal- service is the standard here. They offers products of KFC,
Pizza hut, McDonald's, Subway, etc.
Full-service restaurants:- These are general restaurants which provides drinks, meals
and a excess of different food services. In these establishments mainly waiters take orders from
customers and they have to wait at the table until the food is served. Theses type of
establishments involves casual dining, fine dining, themed restaurants and different other
categories.
Catering businesses:- These type of businesses offers catering services to customers
regarding food and beverages on different peculiar occasions. They serves on various social
occasions like – weddings, festivals, birthday parties, etc.
Travel and tourism:- Travel and tourism business is a large aspect in the hospitality industry
with various central participants around the world. Mainly it includes – airlines, trains, cruise
ships, and various crew members for providing their services. In this sector the participants assist
travellers in moving from one place to another. The hospitality industry can't develop without
intense levels of travel and tourism, as it has large contribution in hotel businesses (Chen, T.L.
and Shen, C.C., 2012). It is considered as vast sphere because it demands innovation, novelty,
strategy, etc. at each pace. Just like other sectors of hospitality it also demands leniency,
customer focus, and unified marketing skills, in order to run and expand the business.
P2 Functional and operational departments in hospitality business
Marriott hotel is an international wide-ranging hospitality troupe which governs and
franchises a wide listing of hotels and housing affiliated facilities. It was started in 1927 by J.
Williard and Alice Marriott and headquartered in Bethesda , Maryland, US. It is one of the
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largest chain of hotels in the world. It has 6,700 properties around the world in 130 countries and
territories. There are various functions in each department of Marriott hotel. Among different
departments the functions of operational and functional department are described under.
Functional department:- This department performs various roles and functions in Marriott
hotel (Jauhari and Bharwani, 2017). It serves customers by providing various services such as –
HR, marketing, finance, etc. which are explained below.
Human resource department:- HR department plays a vital role in hotel sector. It does
not serve customers but it assist in recruiting, selecting and training employees and provides
various benefits to the administration. In context to Marriott hotel the HR performs various
functions – coordinates activities in hotel events, entertainment programmes, food festivals, staff
accommodation, etc. It assist in solving hotel conflicts, develops job descriptions, evaluate staff
turnover, etc.
Finance:- Finance department has also an important role in managing hotel operations.
It maintains stages of accounts receivable, payable and department budgets. In context to
Marriott hotel, it distributes and compute employees salary and wages. It assist hotel in preparing
financial statements, regular reports, summaries and review all ledger appendage. It hold and
recommend a scheme of procedures and policies which helps in maintaining appropriate control
on activities of finance division.
Marketing and sales:- Marketing and sales department performs various roles and
responsibilities in hospitality industry. It assist hotel in distinguishing new class and concern
opportunities. In context to Marriott hotel the marketing and sales manger stand for hotel in
different exhibitions and events. This department offers good service quality to their customers
and maintains better relations with all employees and various divisions in the hotel, in order to
work together and attain same goals.
It and security:- It and security department preforms various functions related to
technology or guests, workers and building security and safety (Jones, Hillier and Comfort,
2016). In context to Marriott hotel, it involves different responsibilities – security systems,
surveillance systems, security patrols, restricted areas control, door locking mechanisms, etc. It
keep and initiates process and policies for broad security or protection of hotel.
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Operational department:- Operational department is also very important in hotel to perform
various functions. It includes – food and beverages, housekeeping, front desk services, kitchen
staff, etc.
Housekeeping:- The housekeeping department performs functions regarding cleanliness
and beautiful maintenance of the hotel. In context to Marriott hotel it execute and co-ordinate
housekeeping division employees work on daily basis. It ensures quality in safety, sanitation,
comfort, etc. for the guests. Along with these it maintain and set up standard operating activities
for cleaning and create new process to gain efficiency of working class and product usage.
Food & beverages:- The food and beverages department calculate, plan and carry out
all F&B orders, finance and personnel. In context to Marriott hotel their main aim is to increase
revenue and sales with the help of employee engagement and client satisfaction. They design
especial menus, get goods and constantly make required improvements (Kandampully., Zhang
and Bilgihan, 2015). They manages F&B team by influencing, training, recruiting and
appreciating talented employees. They determine customer needs and provides food services to
them in the hotel. They follow regulations regarding health and safety and give report to
management related to sales and productivity results.
Front office services:- The front office department is considered the most visual
department in hospitality industry. In context to Marriott hotel the central point of action inside
the front business office is the reception desk. It is the place which attracts the guests and put
introductory impression of the hotel. It refers to the communication heart for operations of hotel.
The reception table involves front office person, registration and information subdivision.
Various sections of front office includes telephone exchange, enterprise centre and reservations.
So these are the different departments and their functions in hospitality industry. All these
are necessary in order to run and expand the business ans attain desired objectives.
P3 Contribution of hospitality industry in local, national and international economies.
Hospitality industry is one of the astronomic and quickest increasing industries all over
the world. Tourist travel to different and new places to spend and enjoy their holidays for
different purposes such as business intent, educational tours, campaigns, and some other reasons
(Law and et. al., 2013). Visiting and travelling at various places by travellers requires
accommodation, food, transportation and many other facilities. Therefore, the hotel industry
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fulfil their all these demands. By this way it has large contribution in local national and
international economies, as it attains large profits and success.
Contribution to local economies:- The hospitality industry play a vital role in
developing local economies. Hotels or travel and tourism is an activity which is mainly utilised
for leisure and amateur purposes. This industry an important element in contributing local
economies. It assist in its property growth and development. In every localised plan, a
hospitality pattern should be a primary part of a domain's policy making and out of its
economical and cultural structure. Hotel developments is essential, in order to generate more job
opportunities. Having more jobs encourages local economies and provide chances to individuals
to perform a job. It creates employment opportunities for the local qualified and educated people.
It improves living standard of people as, it provides various facilities – travel and tourism ,
accommodation, food and beverages (Legrand, Chen. and Sloan, 2013). People go for tours and
learn many new things, as they went outside. It helps them in improving their way of living.
Foreigners come to local places for travel purpose and this increases their earnings and profits.
By this way hotel industry contribute in different ways to local economies.
National economies:- As hotel, industry contribute to local level , it also play essential
role in national economy. It provides multitude of new jobs such as – tour guides, travel
consultants, tour operators, tour planners, etc. in resorts, restaurants and hotels. It also includes
jobs in various industries like – airlines, amusement parks, cruise industry, event management,
etc. so providing all these jobs create employment opportunities and it is a growth factor for
national economy. It yields income in different ways by travel and tourism sector and the
government gain revenue from the business. Tourists expend a lot of money during travelling
like – food, clothes, medicines, entertainment, transportation, and souvenirs which assist world
trade. Foreign exchange earnings is one of the important contribution made by the hospitality
industry. It assist in bringing other countries currency through expenditures incurred during
travelling. One more important benefits of travel and hotel business is it assist in protection of
traditional industries and handiworks (Pechlaner and Volgger, 2012). By this way it has vast
contribution towards national economy.
International economies:- Travel and tourism is an exportation sector, as it attracts
international spending to a country by various worldwide visitors. Through international
travelling large income is created which results in increasing gross domestic product of a
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country. Hotel industries convey various cultures together in world community. Different
countries troubled from trade balances choose tourism and hospitality in order to fill the gap. It is
one of the main industry which provides large contribution in increasing GDP rates. This
industry always focus on earning sustainable growth and profits (Radojevic, Stanisic and Stanic,
2015). By this way it play an important role in international economies.
TASK 2
P4 Investigate a range of different operational roles within the hospitality industry
Hotel industry cou ldn’t 't exist in the market place withou t the right resou rces and
right people in the ri ght department. In order to keep Marriott hotel, exist in the 1narket
place i t is necessary to reflect various operational role s which will be need ed to be filled
up so as to keep an organisation running. Different operational role which are carried out
with in the Marriott hotel indu stry are explain below:
Execu tive: - This are referring to those decision makers which exist within the
Marriott industry. They may be manager , d irector or departmental head. In addition to this
execu t ive department of Marriott industry is also r e s p o n s i b l e for other a r e a s l i k e
marketing, accounting and some time at front desk services.
Fron t desk office: - Wi thout the front office staff no operational segment
wi thin a Marriott ind ustry is dispensable. The people who render front desk services
are constantly mai n tain a contact with guest and are responsible for ta k ing and
handling book ings. In order to meet the exact needs of the guest the manager of
the Marriott ind ustry m ust recruit detail-oriented people who can constan tly remain in
contact with guest.
Hou sekeeping: - The person who performs the role of housekeeping in Marriot
indu stry keeps guest roo1ns clean and tidy. In addition to this other essen tial task of
housekeeping team is that they are ty pica lly responsible for sanitation of the sheets to
keep toi letries stocked.
Main ten ance : - Even the best electronics and quality utility can mal function and
break . So, it’s the responsibility of maintenance department of the Ma rriott industry to
maintain , repai r and fix the electronics and the quality utilities in order to function the
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different operational activity smoothly. But in some cases. maintenance 1night be
l um ped in'"ith housekeeping or other role, it's all depending on size of the busi ness .
Accounti n g: - Every organization needs proper accounting. Tweaks and adjustment
can be made with the help of tracking expenses and revenue system as its helps to keep
finger on the pulse of the bu siness. The accountin g team of the Marriott i nd u stry is
directly answerable to the execu tive team by rendering them with relevant data and
forecast. In addition to this they may also offer support for other department withi n the
ind u stry.
Ma rketing an d Sales: - Every organization requires promotion. The ma rketing
team of Marriott i nd u stry is responsible for converting vision prospect into paying
guest and to create awa reness abou t the brand message. In add ition to this they m ust
keep u p-to-date by accruing k nowledge about the 1narketin g practices and chan nel s,
i ncluding con tent marketing , social marketing and so on.
Kitchen staff:- Withou t com petent kitchen staff it is impossi bl e for the Marriott
industry to keep up with orders and to meet guest dinning needs.
Thus, overall it can be concluded that having the right structure is critical to the success of
th e Marriott industry. In addition to this it can be said that finding the right place can be a
chall engin g task, it so because human resource is term to be as most expenses
resource. But at the same time, it can be said that human resou rce term to be the best in
order to achieve successful growth of an organ ization in the market place.
PS Skills requ ired for roles with in the hospitality ind ustry and current skills shorta ges.
In hospi ta l i ty industry there are different roles and responsibility tha t has to be
performed by the mana ger, staff member and other employees those are part of hotel.
They are the one to manage the different section of hotel in order to makes services
better and satisfactory. Therefore , the manager or any other personal e1nployed in
hotel 1nu st have a set of u nique skills that will deliver the best result to the visitors.
In Ma rriott hotel, hu man resou rces, operational, project mana ger have m ust have the
qualified skills set that 1nakes them to deal wi th any situation in fut11re. They ha ve to
person different roles and responsibilities l ike fron t line and back office manager and
other operati ona l activities. So they require technica l and practica l skills to
investigate various roles like customer handling skills. makes em ployees work in and
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culture awareness . Some of the basic skills required by the manager of Ma rriott are
discussed underneath :
High level of customer services: Customer is considering the backbone of any hotel
as the greater nu mber of visitors are their profitability of company kee ps on increasing.
Great client benefits assu rances that hotel clients' needs are consistently 1net. Putting
their bliss at the front line. In the even t that hotel administration isn't up to mark, negative
criticism can spread rapidly . So, recall. in Hospitality the customer is in every case
right. For exam ple, the 1nanager of Marriott has the talent and ability to influence the
customer and 1nakes them feel special that satisfy them. They try to give an extra benefit \
Vith one service in order to mak es visitors happy . This force custom er to visit again and
1nake use of the services.
Good Com munication Skills: In hospitality industry especially in hotel can be
both physically and mentally skills are demanding. It needs a lot of communication
a m o n g clients, staff and su pervisors otherwise the hotel can collapse. To 1nake sure
this, operational oral and wr itten conversation must be implemented at all surfaces of
the processes within Hotel. In Marriott the manager are responsible to handle staff and
custom er therefore they must be a good com municator tha t help them to resolve quires if
it is required. They talk to hi gher authority and staff member in ord er to make
employees understand about their job roles . And thy also talk w ith different customer in
order to satisfy their needs accordingly. Manager makes sure that their com munication
m u st keep on increasing that helps them to make hotel be sustainable for long run.
Form al trainin g: Hotel have to relies on a lot on government gu idelines and
regu lations,
having the correct official training and educations is importan t then trying to progress
withi n the market. So, the Manager of Marriott keeps on d eveloping their education and
skills by attend ing differen t govern men t meeting and program. This help the1n make
aware about the various la\¥S ru1d rules implemented by government on hotel that are to
be followed otherwise licences would be cancel. For example, completing a TAFE course or
certificate that increa ses skills of 1manager .
Nowa days it has been notices that hotel do not focus to hire train ed and ski lled
manager within thei r hotel. That will reduce their customer base and decrease the market
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share. Different skills are m issin g within manager of Marriott that is a major issue that has
to be look out. Some of these are:
High level of cultural awareness: It is very important for manager to main tain
cultu ral awareness: otherwise employees will not work according to their potential.
Lack the ability to Multitask: Manager in Marriott. are not able to perform other
work ra ther than their original job.
Not able to work in team or hand le team: In Hotel mana ger lack they skill to lead
and m anage team in effective manager that reduces the productivity and profitability.
They are not flexible : Manager of Marriott is not flexible to work in other shift according to
needs that lead to mismanagement.
TASK 3
P6: PESTLE that affect the development of organisation operating
Pestle stands for political, economical, sociological, technological, legislative and
economical. This tool is use to analyse the external environment and than try to make strategies
according to that. All the factors which can affect the profitability of the Marriott hotel can be
monitored and analyse from this. Detail description is given below,
Political environment: It refers to the political environment of the UK in which Marriott
is operating. The rules and regulation made by the local government is supporting the business
and service industry is one of the stable business that provides huge tax to the government of
UK.
Economical environment: Currency fluctuation, exchange rates, oil prices, inflation
rates makes an huge impact in the economical condition of the UK. Inflation rate is stable in the
country thus high disposable income for the people. Consequently helping the Marriott hotel to
increase their profitability. UK is the ideal place for Marriott to operate their business.
Sociological environment: This includes demographic condition, culture, education
level etc. Marriott should change their infrastructure and food taste according to the customer
needs. As if they are not satisfied with the quality of product Marriott is offering then they will
switch to another hotel. So Marriott target is to provide the product which customer wants.
Technological environment: Hotel industry can use latest technology like CRM,
artificial intelligence, virtual reality to attract the customers. It can help the Marriott to
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understand customer needs and preference and make their arrangement according to that thus
enhancing the customer experience while staying. Technology plays a key factor for gaining the
competitive advantage over others.
Legislative environment: UK government is strict towards law which they have made to
avoid discrimination or exploitation of labours in the service industry. Marriott hotel should
follow laws like employment law, labour laws, discrimination law etc to avoid the legal issues.
Though Marriott chain is all over the world and it is hard for them to understand and follow the
rules and regulations of every country.
Environmental environment: Factors which could affect the Marriott profitability is
high electricity cost, awareness of greenhouse gases etc. The government are motivating each
industry to go green rather than deteriorating the environment. Marriott should invest in solar
panels and clean energy to do their part in saving the environment.
P7: SWOT analysis for Marriott hotel
SWOT analysis is a technique for analysing its strengths, weakness, opportunities and
threats and how they can improve their weakness to gain the competitive advantage.
Strengths:
 Marriott way- Marriott international is a biggest hotel chain in the world and their
employees have to followed the guidelines which are made by them. These guidelines
provide strengthen to the Marriott hotel.
 Presence across the world- Marriott has a huge market presence in more than 120
countries across the world with 600 hotel properties which gave a sustainability in the
marketplace.
 Focus on innovation- Organisation and its management emphasizes on new techniques it
provides enhancement in their services due to which they can get attraction from the
customers
 Power of Positivity – In past time, Marriott' s goodwill was falling but their positive
thinking removes failures from their business and now they covers a huge marketplace in
the hospitality industry.
Weaknesses
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 Excessive Focus on expansion – As their business is expanded across the world and
their management also emphasizes on expansion of business therefore the standard of
services are reduced which is a major weakness.
 Marriott controversies- there are several controversies which gave a bad impact on the
image of hotel. One of the important controversies are blockage of their Wi-Fi it
influences the privacy of customers. It gave negative impact on the brand image of hotel.
 Overemphasized on service standardisation – Management of Marriott formulates
guidelines which is followed by their staff members if they are not following they will
lost their jobs so it brought down the morale of their employees which gave negative
influence on their brand image.
Opportunities
 The shift of consumer behaviour- Hospitality industry is depends on consumer
perception. In current scenario, there are various individual who wants to live luxurious
lifestyle it may be opportunity which can't be miss by the management of Marriott.
 Increase in global travel- it is the time of globalisation. Therefore, various visitors visits
many places for their personal issues that may be business meetings, seminars etc. so
that, Management of Marriott have to focus on such type of opportunities in future time.
Threats
 Competition – There are various giant player presents in the marketplace such as Hilton,
Holiday Inn which may gave a tough competition in the future time so management have
to formulate specific plans and policies for it.
 Economic recession – The economic crisis is giving a big threat in the operational
activities. There are several properties of hotel which are ready for sale due to their
insufficiency of funds.
TASK 4
P8 Appraise the implications of current and potential trends in the hospitality industry providing
a range of specific examples.
In current scenario, There are various opportunities which can be get by the various
hospitality industries in order to earn more revenues and attracts more number of customers.
Every customer wants various facilities which provided them value of their money. Therefore,
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hospitality industries have to adopt various trends due to which they can get sustainability and
growth in marketplace. Some trends are as following:
Globalisation – In present scenario, there are various visitors who wants to travel across
the world therefore, Hospitality industries have to take opportunities from them by providing
them a suitable services during their stay. According to a survey it seems that there is a huge
increment in the hospitality industries after the globalisation.
Safety and security – Now, every visitors who visits in any hospitality industry requires
a specific security because in last years there are an increment in tourist kidnapping, robberies
and various assaults. Therefore, the requirement of safety and security is increased for this, if
hospitality industries want to earn more revenues in future time they have to provide a suitable
secured facilities to their guests.
Social media – Today is the time of internet so, various clients who are attracting with
such policies discount offers for stay and cashback on bookings etc. For this, every hospitality
industry has to perform their functions on social media which attracts more number of customers
in order to generating more revenues.
CONCLUSION
From the above project report it is concluded that hospitality is one of the largest growing
business in the world. There are different types of businesses in hotel industry which includes
accommodation, food and beverages, travel and tourism, which provides various service to
clients and fulfil their needs (Wang, 2014). Further, operational and functional department in a
hotel includes various divisions and performs different roles and responsibilities to provide
customer services. Along with this, hospitality sector is fast growing, as it has large contribution
in developing local national and international economies. By providing different services to
travellers it creates various advantages at local, national and global level.
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REFERNCES
Books and journals
Bharwani, S. and Butt, N., 2012. Challenges for the global hospitality industry: an HR
perspective. Worldwide Hospitality and Tourism Themes. 4(2). pp.150-162.
Boella, M. and Goss-Turner, S., 2013. Human resource management in the hospitality industry:
A guide to best practice. Routledge.
Brotherton, B. ed., 2012. International Hospitality Industry. Routledge.
Chen, T.L. and Shen, C.C., 2012. Today's intern, tomorrow's practitioner?—The influence of
internship programmes on students' career development in the Hospitality Industry.
Journal of Hospitality, Leisure, Sport & Tourism Education. 11(1). pp.29-40.
Jauhari, V. and Bharwani, S., 2017. An exploratory study of competencies required to cocreate
memorable customer experiences in the hospitality industry. In Hospitality Marketing
and Consumer Behavior (pp. 159-185). Apple Academic Press.
Jones, P., Hillier, D. and Comfort, D., 2016. Sustainability in the hospitality industry: Some
personal reflections on corporate challenges and research agendas. International
Journal of Contemporary Hospitality Management. 28(1). pp.36-67.
Kandampully, J., Zhang, T. and Bilgihan, A., 2015. Customer loyalty: a review and future
directions with a special focus on the hospitality industry. International Journal of
Contemporary Hospitality Management. 27(3). pp.379-414.
Law, R., and et. al., 2013. Progress and development of information technology in the hospitality
industry: Evidence from Cornell Hospitality Quarterly. Cornell Hospitality Quarterly.
54(1). pp.10-24.
Legrand, W., Chen, J.S. and Sloan, P., 2013. Sustainability in the Hospitality Industry 2nd Ed:
Principles of Sustainable Operations. Routledge.
Pechlaner, H. and Volgger, M., 2012. How to promote cooperation in the hospitality industry:
Generating practitioner-relevant knowledge using the GABEK qualitative research
strategy. International Journal of Contemporary Hospitality Management. 24(6).
pp.925-945.
Radojevic, T., Stanisic, N. and Stanic, N., 2015. Ensuring positive feedback: Factors that
influence customer satisfaction in the contemporary hospitality industry. Tourism
Management. 51, pp.13-21.
Wang, C.J., 2014. Do ethical and sustainable practices matter? Effects of corporate citizenship
on business performance in the hospitality industry. International Journal of
Contemporary Hospitality Management. 26(6). pp.930-947.
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