Hospitality Business Toolkit

This report provides a comprehensive toolkit for hospitality businesses, particularly focusing on the cruise industry. It covers various aspects like financial management, human resource management, legal and ethical considerations, and communication strategies. The report includes practical examples, case studies, and relevant industry laws to guide cruise operators in optimizing their operations and achieving success.

THE HOSPITALITY
BUSINESS TOOLKIT

Table of Contents
INTRODUCTION...........................................................................................................................1
ACTIVITY 1....................................................................................................................................1
ACTIVITY 2....................................................................................................................................4
ACTIVITY 3....................................................................................................................................5
ACTIVITY 4....................................................................................................................................6
ACTIVITY 5....................................................................................................................................8
ACTIVITY 5....................................................................................................................................9
Training law for hospitality industry..........................................................................................9
ACTIVITY 6....................................................................................................................................9
Legal and Ethical consideration for Carnival UK.......................................................................9
ACTIVITY 7....................................................................................................................................9
Different functional roles ...........................................................................................................9
Activity 8.......................................................................................................................................11
ACTIVITY 8....................................................................................................................................2
CONCLUSION................................................................................................................................2
REFERENCES................................................................................................................................3

INTRODUCTION
Hospitality Industry is a sectors which offers variety of services such as food & drink
services, accommodation, lodging and event planning. This report includes Ledger accounts &
trail balance of cruise ship. Further, this report recommend cruise operator regarding key
performance indicator in accordance with principles of financial management. Furthermore, this
report includes stages of HR life cycle and its importance in talent management. Moreover, this
report elaborate a performance management plan for resolving negative behaviour of staff and
retaining talented staff. Further, this report includes various laws related to hospitality sector.
Furthermore, this report explain inter-relations among different functional areas. At last, this
report analyse methods of communication, monitoring and coordination in foods & beverages
department of cruise.
ACTIVITY 1
Journal Entries
Date Particulars Debit Credit
01/02/18 Purchase a/c Dr.
To Kate's Kitchen
a/c
£5,001.00
£5,001.00
01/02/18 Purchase a/c Dr.
To Harry a/c
£29,552.00
£29,552.00
03/02/18 Cash a/c Dr.
To sales
£13,027.00
£13,027.00
06/02/18 Kate's Kitchen a/c Dr.
To Bank a/c
£5,001.00
£5,001.00
10/02/18 Cash a/c Dr.
To sales a/c
£10,653.00
£10,653.00
14/02/18 Bank a/c Dr.
To sale a/c
£2,008.00
£2,008.00
17/02/18 Cash a/c Dr. £13,321.00
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To sales a/c £13,321.00
17/02/18 Harry's a/c Dr.
To cash
£29,552.00
£29,552.00
22/02/18 Purchase a/c Dr.
To Kate's Kitchen a/c
£7,013.00
£7,013.00
24/02/18 Cash a/c Dr.
To sale a/c
£12,329.00
£12,329.00
According to Double entry book-keeping system of accounting all the transactions done
by Carnival Corporation & Plc. has an equal effect on both side(debit & credit). Thus,
transactions are recorded in both the sides of books of accounts of company.
Ledger Accounts
Sales Account
Date Particulars Amount(Dr) Date Particulars Amount(Cr)
03/02/18 By cash £13,027.00
10/02/18 By cash £10,653.00
14/02/18 By bank £2,008.00
28/02/18 To Closing Bal. £51,338.00 17/02/18 By cash £13,321.00
24/02/18 By cash £12,329.00
£51,338.00 £51,338.00
Purchase Account
Date Particulars Amount(Dr) Date Particulars Amount(Cr)
01/02/18 To Kate's a/c £5,001.00
01/02/18 To Harry's a/c £29,552.00
22/02/18 To Kate's a/c £7,013.00 28/02/18 By Closing Bal. £41,566.00
2

£41,566.00 £41,566.00
3

Kate's Kitchen Account
Date Particulars Amount(Dr) Date Particulars Amount(Cr)
06/02/18 To bank £5,001.00 01/02/18 By purchases £5,001.00
22/02/18 By purchases £7,013.00
28/02/18 To closing Bal. £7,013.00
£12,014.00 £12,014.00
Bank Account
Date Particulars Amount(Dr) Date Particulars Amount(Cr)
14/02/18 To sales £2,008.00D 06/02/18 By Kate's a/c £5,001.00
28/02/18 To closing bal. £2,993.00
£5,001.00 £5,001.00
Harry's Account
Date Particulars Amount(Dr.) Date Particulars Amount(Cr.)
17/02/18 To cash £29,552.00 01/02/18 By purchase £29,552.00
£29,552.00 £29,552.00
Cash Account
Date Particulars Amount(Dr.) Date Particulars Amount(Cr.)
03/02/18 To sales £13,027.00 17/02/18 By Harry's a/c £29,552.00
10/02/18 To sales £10,653.00
17/02/18 To sales £13,321.00 28/02/18 By closing bal. £19,778.00
24/02/18 To sales £12,329.00
4

£49,330.00 £49,330.00
Trial Balance
Particulars Debit Credit
sales £51,338.00
Purchase £41,566.00
Kate's Kitchen £7,013.00
Cash £19,778.00
Bank £2,993.00
£61,344.00 £61,344.00
ACTIVITY 2
Key Performance Indicator's (KPI's)
Key performance indicators are used by restaurants for expanding & enhancing their
operations. As Carnival Corporation & PLC offers variety of services at different places it is
necessary for company to track best KPI to operate its business smoothly. Company use KPI's to
analyse its financial health, customer satisfaction, cost of manufacturing & operations, marketing
activities and efficiency of management. Many KPI's are used by companies such as sales per
labour hour, Revenue per seat hour, Seating efficiency, table turn time and sales per head. But it
is recommended to this restaurant to use Sales per head and Revenue per labour hour KPI's.
 Sales Per Head- Restaurant should calculate its revenue and profits according to per
head sales every time. For example per head sales for lunch and per head sales for dinner.
This is calculated by company by dividing total sales of different times by number of
customers at a time. This also helps in managing principles of financial management by
helping in preparation of budget, with sales per head Cruise operator can analyse
financial performance of its business as it is in profit or not. By estimating sales per head
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Cruise operator also make an estimate on cost and make changes in accordance with
change in sales of a particular time(Jones, Hillier and Comfort, 2016).
 Revenue per seat- Restaurant should calculate this for checking revenue collected for a
seat. Revenue per seat should be followed by cruise operator and according to principles
of financial management it helps in monitoring performance of business and helps in
making changes in financial performance. For Example if revenue is increasing than it
helps Carnival Corporation & PLC to expand its business and with this operator also can
revise realistic budget and make plan for further improvisation of its business. By using
this KPI cruise operator can compare its performance with past year's revenue. On the
other hand if there is a decrease in revenue than according to principle of financial
management, financial manager monitor the performance and determine cause and work
on improving performance which leads to generating more revenue (Bratton and Gold,
2017).
ACTIVITY 3
Stages of HR Life Cycle
HR life cycle defines different stages which is applied on employees and it helps
company in retaining talented & qualified staff which, further helps restaurant in enhancing
profits and achieving its objectives. Stages of HR life cycle for Food & beverages manager are
discussed below-
 Recruitment- Recruitment is a process in which managers of Cruise Ship recruit talented
staff in restaurant. For recruitment of Food & beverages manager restaurant HR has to
make a systematic recruitment plan which helps them in hiring talented & qualified chef.
In this stage HR manager also analyse competitiveness of employee with most talented
food & beverages manages of cruise. In this stage HR make decision of recruitment by
testing food made by the applicant. Thus, this helps in acquiring talented chef.
 Education- After recruitment training & coaching is given to the selected applicant so
they get to know their roles & responsibility in restaurant. At this stage restaurants
policies culture are communicated to them as food & beverages managers has to prefer
hygiene in kitchen, coaching is given to them about the taste preference of customers of
cruise ship. After training their performance is monitored until they become expert in
cooking tasty & healthy food (Noe, Gerhart and Wright, 2017).
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 Motivation- At this stage of HR life cycle motivation is given to Foods & beverages
manager by giving them feedback on their performance so that they can improve their
performance. Thus, profits of Cruise ship get enhanced. HR manager also encourage
Foods & beverages manager by giving them promotion, transfer, compensation and
bonus.
 Evaluation- At this stage human resource manager of cruise evaluates performance of
foods & beverages manager and give them further training if there is a need of
improvement in their performance. Increased performance of Foods & beverages
manager helps restaurant department of cruise in generating more revenue and profits.
 Celebration- At this stage HR manager organise programmes for recognisance of good
performance of Foods & beverages manager and appreciate performance of food &
beverages manager so that they get motivated. Thus, this also contributes in meeting
objectives of cruise ship (Pirani and Arafat 2016).
Importance of HR life Cycle
Implementation of stages of HR life cycle is important in retaining & acquiring talented
& qualified staff in Cruise Ship and it helps HR manager of cruise ship in Talent Management.
In these stages employees & staff of cruise gets various opportunities and benefits which helps
them in enhancing & improving their performance. Thus, HR life cycle is important in talent
management because with this cruise can employ talented and skilled staff (Barr and McClellan,
2018).
ACTIVITY 4
Performance Management Plan
Details
Employee
name
John Doe
Employee
position and
level
Waiter
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Details
Manager name Jacob
Manager
position
Human Resource Manager
Date of plan 28/01/18
Period of plan 1/02/18 to 1/05/18
Interim review
date
15/05/18
Final review
date
20/05/18
Performance improvement objective:
Improving skills of staff, giving them better
work environment.
Required
outcomes
Give orders on time & attain all the customers
Collect & place orders on time.
Positive behavuiour of staff at work place
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Details
Strategies Negativity of waitresses & waiters can be removed by collecting feedback
from them and improving working condition accordingly. Motivation strategy
is used by HR manager for acquiring & retaining staff.
Support HR manager of cruise operator will provide support by monitoring
performance of employees and controlling their performance by helping
them.
Responsibilities
HR manager of Cruise is responsible for giving better work environment to
its employees and giving them benefits for retaining them in cruise.
Consequences If manager is not able in retaining staff and improving working condition than
employees will leave the job wwhich in turn reduces profitability and
performance.
Performance improvement objective:
<objective>
Repeat for additional objectives
Required
outcomes
-
Strategies -
Supports -
Responsibilities -
Consequences -
ACTIVITY 5
9

ACTIVITY 5
Training law for hospitality industry
 Fire safety Act 1990, is one of the law that cover all the basic safety and fire
preventing methods which has to be complying by the Carnival in their business.
Under this act company required to have all the fire extinguisher in cruise which
help to prevent people and their staff members form harm from fire. Organization
requires that all lodging services lower or higher to have sprinkle system and fire
extinguisher in each room. By complying this Act they will protect customers as
well as their family. By having fire extinguisher in cruises and other tools
company assure consumer about their safety and protection while fire get occurs
in place. It is the kind of hospitality law because it efforts to regulate ways in
which company lodging services implement their customer and staff safety plans
and take decision according to it. With the help to following or adopting Fire
Safety Act 1990 firm save lives to many people when they are traveling in cruise
and sudden fire incident get happen. Human resource department of Carnival UK
has to deal with this legal process that help to resolve their issues that impact on
their day to day organizational operations. For example high customers turnover
due to lack of fire and other safety equipment.
 Health and safety act 1974:- According to this law it is responsibility of the
management to be aware of the health and safety of both the employees and the
clients. For the same hospitality industry have to provide proper equipment for the
working employees so that they are safe from any undesirable damage and should
give them proper training about the way they have to use it in their working hour.
They also have to provide a flexible working hour to their employees so that do
not work in pressure and any mental pressure is not on there. Not only employees
but for the clients also they have to focus on safety issues.
 Alcohol licensing law 2003:- It is a law used to license premises in sales of
alcohol on the hospitality industries. Company have to follow this law in order to
license that alcohol they are supplying to customers are safe for there health or
not. If the hotels are having separate bars and pubs then a license is required that
give permission for supplying the same. The main objective is safety of staff as
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well as the clients as it helps in prevention of crime and disorder. It is also for
public safety and protection of children from any harm.
ACTIVITY 6
Legal and Ethical consideration for Carnival UK
Human resource manager of Carnival company face many issues by not following all the
legal and ethical considerations in organization. By not complying legal process or law for
hospitality industry they cannot assure clients about their concerns to people safety and do not
make their business successful in marketplace. It will decrease their reputation and affect
business profitability and market share the most.
If HR manager cannot deal with Fire safety regulation and legislation they do not
generate profit more than the others in business world. By not following ethical principles it
impacts on decision-making process of Carnival UK, which results maximize market share and
productivity more and more.
ACTIVITY 7
Different functional roles
Date – 5 April 2019
To- HR Manager
From - ABC
Subject- Different functional roles
In Carnival Corporation & plc, various functional roles are carried out. These functional roles
are interrelated to each other. This interrlationships are benefits for the organizations.
Interrelationships are as follows -
INTERRELATINSHIP BETWEEN HUMAN RESOURCES AND OPERATION
FUNCTION
Without human resource function, operation department won't get right employees for
the work done. Without employees, company can't operate and able to achive the organizational
goals. Also, Human resource department provide efficient work force which is essentail for the
company to attain goals and objectives.
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Operation and human resource department have to work closely. If operation department
don't carry out its function properly, this lead to high burden on HR department. It's difficult
for the HR department to hire freshers and good employees for the company because no one
wants to work in that company whose brand image is not good.
INTERRELATIONSHIP BETWEEN PRODUCTION AND RESEARCH &
DEVELOPMENT FUNCTION
Without Reserch & Development department, company can't get to know about the
current and future market trends in hospitality sector. Also, they help production department to
get to know about the activities, stratgies, products and services used by its competitors. This
data and knowledge help company to beat its competitors and gain competitive advantages.
Without Production department, R&D department won't know that which sector or
which market to research. Also, they won't get to know about the perception and tastes of its
customers without producing goods and services. Thus, there must eb strong relationship
between production and R&D department
Activity 8
Communication and coordination methods
Date – 5 April 2019
To- HR Manager
From - ABC
Subject- Different communication, coordination methods
Communication can be done by both verbal and non verbal communication. In verbal for it can
be done by asking what the customer wants. In non verbal, communication can be done in form
of uniforms, serving etc. If the uniform is clean and appropriate as well as service done by staff
or waters is done excellently then it will communicate good things for the Food & Beverage
Department of a cruise liner. Complete Dine-in place should be kept neat and tidy with well
arranged tables and chairs, proper menu cards, spotless windows and tables, proper buffet table
etc. will also communicate good things for the food and beverages department.
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This can be done properly by increasing coordination among staff members and it can
be done by providing then proper training and instructions to all the staff members, waiters,
cooks and servers. If the coordination between them is proper then service and quality of the
food and beverages will increase. By monitoring all the staff members, waiters, cooks and
servers will also help in maintaining discipline among the members as well as increase
understand and coordination among them. Monitoring of staff members can be done by using
surveillance cameras so that they can be monitored on regular basis. By conducting audits on
weekly basis in which cleanliness, dressing, efficiency and effectiveness of the staff members
will be seen and audited in this way discipline among them will be maintained. In this way
Food & Beverage Department of a cruise liner efficiency can be strengthened and will also help
in strengthening the overall value chain of the department.
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CONCLUSION
This report summaries ledgers & trial balance of bar & cruise ship. Further, this report
outlined recommendation of key performance indicators and their relevance in financial
management. Furthermore, this report outlined stages of HR life cycle for foods & beverages
manager & its importance in talent management. Moreover, this report outlined performance
management plan for retaining staff and resolving problems of staff. Further, this report
concludes different laws related to hospitality sector and legal consideration for carnival UK.
Furthermore, this report outlined relationship among different functional areas. At last this report
concluded methods of communication, coordination and monitoring.