Managing Finance and HR in the Hospitality Industry

This report discusses the management of finance and HR in the hospitality industry. It covers topics such as financial transactions, principles of financial performance, HR life cycle, legal compliance, and the significance of coordination and integration within departments. The report also provides recommendations for improving processes and documents at each stage of the HR life cycle.

THE HOSPITALITY
BUSINESS TOOLKIT

Table of Contents
INTRODUCTION...........................................................................................................................4
ACTIVITY 1 ...................................................................................................................................4
Introduce financial transaction and identifying types of sourcing documents. ..........................4
Principles of managing and monitoring financial performance...................................................4
Principles of double entry book keeping system of debits and credit with use of standard data.5
Produce basic trail balance using sample data and purpose of trial balance...............................5
Description on type of cost and how they can be managed to influence financial performance.6
Significance of accurate recording of transaction in line with accounting principles.................6
Include conclusion and evaluate the role of financial management and monitoring to
accomplish growth in business....................................................................................................7
ACTIVITY 2 ...................................................................................................................................7
Review of different stage of HR life cycle..................................................................................7
Evaluation on stage of HR life cycle and significance on HR plays in growing, supporting as
applied to specific job role...........................................................................................................8
Develop performance management plan to support specific job role..........................................8
Recommendations on how process and document at each stage of HR life cycle can be
improved......................................................................................................................................9
ACTIVITY 3 ...................................................................................................................................9
Identification on specific legislation that hospitality enterprise has to comply to adhered with. 9
Define how company employment and contract law impact on decision making of business....9
Critical reflection on impact on ethical issues of regulations. ..................................................10
ACTIVITY 4..................................................................................................................................10
Different functional role within hospitality sector how they interrelates use of organisational
chart............................................................................................................................................10
Description on different communication techniques used in enterprise....................................10
Review of coordination and integration within business enterprise with use of examples.......11
Analyse the effectiveness of different methods of communication, integration and monitoring
within department to accomplish organisational objectives......................................................11
Recommendation on how coordination and integration enhance business performance..........11

CONCLUSION..............................................................................................................................12
REFERENCES................................................................................................................................1

INTRODUCTION
Hospitality industry is categories into wider sector and offers various services such as
theme parks, lodging, cruise and transportation (Baum, 2019). Additionally, number of the
hospitality industry are as amusement park, travelling and restaurants etc.
The present report will be based on new entity as “Health Freakness”. This restaurant will
be newly operated in London. It will take initiatives to offer product and services such as healthy
salads, blended juices and smoothies etc.
Furthermore, study will be based on to investigate how to manage finance by minimising
cost within hospitality sector. Also, report will define that how to manage human resource life-
cycle in context of HR. Additionally, potential impact over legal and ethical consideration will
be defined on hospitality business. Lastly, significance of coordinating and integrating various
functions of department will be defined in hospitality sector.
ACTIVITY 1
Introduce financial transaction and identifying types of sourcing documents.
Financial restrictions termed out as agreement that carried out among sellers and
customers with terms to exchange commodities for payment (Brewster and Söderström, 2017).
This is process that covers change in status of the finances of two or more enterprises or
individuals. In addition to it, there are mainly four types of financial transaction occur in
business and these as are- Sales, Purchase, payments and receipts etc.
Therefore, this is crucial for “Health Freakness” to update and record their transaction
into documents such as book keeping so that they can calculate the amount of profit earned by
them. This is defined as those transaction that usually run day by day and also includes
transaction of business such as debit and credit. Henceforth, it is inclusive of documents like trail
balance.
Principles of managing and monitoring financial performance.
Each enterprise needs to undertake the procedure as managing and monitoring the
business activities (Brown, O'Kane and McCracken, 2016). Henceforth, there are number of
principles that needs to be adopted by “Health Freakness” to improve, manage and monitor the
financial performance. These are outlined as-:
Follow appropriate legislation and regulations- In this, all expenditure and activities
conducted by particular juice centres must be based on proper rules and regulations.

Evaluate and analysis financial consequences- They must take steps towards to evaluate and
analysis consequences relates with financial before adopting any new project and activities that
aids to allocate resources in effective manner.
Henceforth, it can be stated that without managing performance and monitoring the entity
can take steps towards to compare previous and current performance of enterprise. So, financial
transaction can aids to manage the funds and spends within business enterprise.
Principles of double entry book keeping system of debits and credit with use of standard data.
Double entry book keeping system can be termed out as one of crucial concept that each
accounting transacting has two aspects within new business finance. Additionally, general ledger
mainly records two sides of each transaction (Burke, Sanney and Clapper, 2019). In this, one
side reflect debit and other one shows credit. Debit side shows balance that takes out from
business for some object of making purchase and investment in “Health Freakness”. Credit sides
shows that money comes in after selling of commodities.
Produce basic trail balance using sample data and purpose of trial balance.
The purpose of trail balance is to be ensure that all entries must be made properly into
organisation general ledger and this needs to be properly balanced (Chen and Voigt, 2020).
Additionally, trail balance is inclusive of debit and credit balance in ledger accounts of business
at the given date. This needs to be prepared in terms to maintain fairness on working of
enterprise. This is significant that the main goal of trail balance is that each amount needs to be
debited and credited must match. Thus, steps of trial balance are as-
 To prepare worksheet with three column.
 To take steps towards to fill title and report debit and credit side of column.
 To undertake the comparison of total of column.

Description on type of cost and how they can be managed to influence financial performance.
The cost in the accounting are outlined as-:
 fixed cost- This is defined as the cost of fixed inputs within productions.
 Semi variables- It is cost that termed out as partly fixed and partly variables.
 Variable cost- This is defined as cost of variables inputs that used in the production.
Henceforth, this will assist to manage the calculation of “Health Freakness” and also aids
to investigate that how much amount of profit that are earning and what are the financial
performance of business.
Significance of accurate recording of transaction in line with accounting principles.
This is very crucial to undertake accurate recording and accounting of financial
transactions of business. It is one of the effective way to analyse the financial performance of
business. In addition to this, it aids to find out that how much entity as “Health Freakness” is
making profitability by offering the commodities of needs and wants of customers. Hence,
transactions must be recorded in aspect of equipment’s, rent etc. Thus, all transaction must be
managed properly and this financial techniques aids to manage this properly.

Include conclusion and evaluate the role of financial management and monitoring to accomplish
growth in business.
Henceforth, this can be concluded that management plays the huge role in streamlining
the business activities of new business. Additionally, they are responsible to record all
transaction of business and to conduct proper accounting (COLLIARD and Hoffmann, 2017).
Therefore, enterprise as “Health Freakness” take steps towards to hire some accountants who
manages the all transactions and management of work by monitoring the activities and to check
out that they are doing work properly or not.
ACTIVITY 2
Review of different stage of HR life cycle.
There are 7 stages of the HR life-cycle that will assist “Health Freakness” to sort out the
issues within talent retention and acquisition. Henceforth, stages inclusive of attraction,
recruitment, entablement, retention and separation etc. Therefore, these are outlined as-:
 Attraction- It is step that is inclusive of talented employees in team and talented
employees within “Health Freakness” business mainly attracts with paying good salaries.
 Recruitment- HR management of entities must hire employees who have effective and
good experience in the field. If employee have the good experience then they can boost
the growth of enterprise.
 On-boarding- It is defined as introduction of business to new candidates. After done
with process of hiring, they must offer training (Davis and et.al., 2018). It can help to
understand the task within workplace.
 Entablement- This is step in which firms has to meet new employees and they must be
know about entity mission and vision to conduct the role business effectively.
 Development- HR must be responsible authority to render the effective training and
development to the employees.
 Retention- HR life cycle promotes entities to re-energize staff and they appreciates
employees with offering rewards.

Evaluation on stage of HR life cycle and significance on HR plays in growing, supporting as
applied to specific job role.
Green cafe business must take steps towards to bring improvement in one of the job role
that is as Waiter role ( Ericson and Whitley 2017). In addition to this, HR life-cycle can assist to
improve this area and also brings out bets talent in workplace. Thus, cycle are outlined as-:
 Stage 1- “Health Freakness” must look towards to skilled and talented waiter to be hired
in business who renders quality services to customers.
 Stage 2- There is need to recruit the employees according to experience. Also, they must
provide good experience of waiters job role.
 Stage 3- After, the process of recruitment of appointing talented waiter they need to
introduce them with firm process, culture and duty.
 Stage 4- At this, they must fire the appropriate waiter for “Health Freakness” and senior
authorities must communicate job, vision, mission and long term goals.
 Stage 5- This offers training facilities to each individuals as this develop skills more and
offer support to new entities.
 Stage 6- Managers of the entities must offer rewards and offer employees. It aids to
accomplish the business goals effectively.
 Stage 7- At this phase, they can replace the waiters who are not performing their role
effectively.
Develop performance management plan to support specific job role.
Developm
ent
Objective
s
Priorit
y
Activities
that must be
taken
Resources Target
Start
Date
Target
End
Date
Criteria for
Success
In order to
enhance
the
performan
ce of the
Waiter
High To conduct
Training and
development
programs,
practical
sessions and
Managers of
“Health
Freakness” will
offer training to
the waiter and by
organizing the
15/02/20 15/03/20 By help of
conducting
the regular
Regular
training the
waters can

seminars. seminars they
can
professionally
enhance the skills
of waiters.
perform
their role
effectively
and
efficiently.
Recommendations on how process and document at each stage of HR life cycle can be improved.
The business enterprise as “Health Freakness” is facing the huge issue within one of the
department. Due to ineffective waiters in their entity, they are not able to undertaking the good
and effective performance (Ericson and Whitley 2017). In order to cope up with it, HR life cycle
can be helpful to hire the suitable and skilled employee within workplace. For example-
Effective and experienced employees within firm will improve experience of customers and this
directly impacts the business reputation within market. With help of this kind of working, they
will get good reviews on online sites.
ACTIVITY 3
Identification on specific legislation that hospitality enterprise has to comply to adhered with.
In each country, the legal authorities takes the initiatives with help of making the specific
laws for each industry. “Health Freakness” needs to follow the business transaction law that
framed out by legal authorities. As per this law, the legal entities must show their transaction
because government charge some tax on them. In addition to thus, the legal authorities needs to
send some accounts to business owners to whom they must show the all transaction.
For example- The legal authorities conduct the audit in each 2 or 3 months. They conducts the
meeting in order to maintain fairness within enterprise. Henceforth. Legal authorities takes steps
against them if any entity found to misbehaved with rules and regulations.
Define how company employment and contract law impact on decision making of business.
Contract and employee law have huge impact on decision-making of the enterprise. It
mandatory for all employees to follow government legislation in terms to way they are treating
the employees and complying with their hiring mechanism.
 Employee laws mainly outlines unemployment insurance, severance pay and other job
separation concern. It affect each aspect of workplace (Ericson and Whitley 2017). This
helps to determines the rights in terms to hiring, termination, discrimination, wage and
benefits and more.

 Contract law impacts the working of enterprise effectively as all businesses are either
offering service and enforcing contracts. It is termed out as the area of law that mainly
governs as to making contracts, carrying out them effectively. Therefore, the ability to
make and enforce contracts are crucial to sort out the disputes in order to function
business activities properly.
Critical reflection on impact on ethical issues of regulations.
The entity as “Health Freakness” can face the two ethical issues such as Health and safety
and technological advancement. Therefore, health and safety plays crucial role to render the
business activities in more streamlined manner.
On the other hand, technological advancement must be implemented to render fast and
effective services to customers. I have taken steps towards to implement it so that employees of
the enterprise can work accordingly. With help of ethically conducting the business activities the
entity needs to be consistent with company core values.
ACTIVITY 4
Different functional role within hospitality sector how they interrelates use of organisational
chart.
There are number of the laws within “Health Freakness” for which employee must have
different skill and knowledge. Therefore, these are outlined as following context as-
 Front desk- It is responsibility of manager to manage employees and to greet them
effectively. In addition to this, they must take steps towards to sort out the query and
make order for guest.
 Kitchen- The enterprise as “Health Freakness” take steps towards to prepare food for
guest. Additionally, entity will hire the staff who have effective skills to prepare diet
commodities.
 Waiter- They are the employees who serves the food to guest and they take order from
guest. At time, when the food is ready they starts to serve to guest.
Description on different communication techniques used in enterprise.
 There are different kind of communication that can be used in “Health Freakness” is
verbal communication.
 In this techniques, the employee hired at front desk, kitchen and waiter can allow to make
proper communication with one another.

 Also, the written communication also plays vital role as waiters of “Health Freakness”
needs to write customers orders.
Review of coordination and integration within business enterprise with use of examples.
 Coordination and integration assist to carry out the business activities in streamlined
manner (Brewster and Söderström, 2017). Integration can be defined as the first steps
towards to business that enhance business efficiency and growth.
 Therefore, coordination helps to coordinate the business activities of the entity in
streamlined manner. Henceforth, integration and coordination termed out as crucial
aspect to organisation as this demonstrate the ability of decision makers to lead
employees.
 In addition to this, integration and coordination allows enterprise to engage more
customers.
Analyse the effectiveness of different methods of communication, integration and monitoring
within department to accomplish organisational objectives.
In this, some of the effective communication techniques will be defined that needs to be
used in business. These as are-:
 Verbal communication- This is defined as to exchange of message and information with
help of using words verbally by undertaking face to face conversation.
 Non verbal communication- It is termed out as method of communication that can be
used without the use of words. This can be done with help of body languages, gestures,
eye contracts and tone of voice etc.
 Feedback- This is crucial to undertake feedback on the performance of employees. With
help of this technique the performance of employees can be improved.
Recommendation on how coordination and integration enhance business performance.
With help of execution of the controlling measures to reduce redundancies the entity has
to work towards to bring improvement in overall coordination within business enterprise. In
addition to this, coordination and integration plays crucial role to carry out working in more
streamlined manner (Baum, 2019). In addition to this, “Health Freakness” must use some
collaboration practices in terms to accomplish high growth and success within business.
Therefore, this will enhance experience of employees as they get to work with senior employees.

CONCLUSION
Hereby, it can be concluded that hospitality industry is one of the largest industry. The
present report is will be based on business activities as “Health Freakness”. This restaurant will
be newly operated in London. It will take initiatives to offer product and services such as healthy
salads, blended juices and smoothies etc. Furthermore, report has outlined the potential impact of
legal and ethical consideration over hospitality industry. Herein, study will outlined
fundamentals towards coordinating and integrating varied functions of department effectively.

REFERENCES
Books and journals
Baum, T., 2019. Hospitality employment 2033: A backcasting perspective (invited paper for
‘luminaries’ special issue of international journal of hospitality
management). International Journal of Hospitality Management.76. pp.45-52.
Brewster, C. and Söderström, M., 2017. Human resources and line management 1. In Policy and
practice in European human resource management (pp. 51-67). Routledge.
Brown, T.C., O'Kane, P. M. and McCracken, M., 2016. Developing a Human Resources
Business Partner Life Cycle Model. In Academy of Management Proceedings (Vol. 2016,
No. 1, p. 13726). Briarcliff Manor, NY 10510: Academy of Management.
Burke, D. D., Sanney, K. J. and Clapper, D., 2019. Digital Accessibility in the Hospitality and
Tourism Industry: Legal and Ethical Considerations.
Chen, X. and Voigt, T., 2020. Implementation of the Manufacturing Execution System in the
Food and Beverage Industry. Journal of Food Engineering. p.109932.
COLLIARD, J. E. and Hoffmann, P., 2017. Financial transaction taxes, market composition, and
liquidity. The Journal of Finance.72(6). pp.2685-2716.
Davis, B. and et.al., 2018. Food and beverage management. Routledge.
Ericson, C. M. and Whitley, R. S., Bank of America Corp, 2017. Fraudulent transaction
detection system for use in identity-based online financial transaction decisioning system.
U.S. Patent 9,824,358.
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