The Hospitality Business Toolkit

The Hospitality
Business Toolkit

Table of Contents
INTRODUCTION...........................................................................................................................1
MAIN BODY...................................................................................................................................1
PART A...........................................................................................................................................1
1:Introduction to financial transaction of hospitality business...................................................1
2:Investigate principles of managing and monitoring performance of finance..........................2
3:Describe principles of double entry bookkeeping system of debits and credits......................3
4:Analyse types of cost and how company can be managed to influence performance of
finance.........................................................................................................................................4
5:Importance of actual recording of transactions with accepted accounting principles.............5
6:Conclusion...............................................................................................................................5
PART B............................................................................................................................................6
1:Review of various steps of HR cycle.......................................................................................6
2:Evaluate every step of HR cycle and its importance...............................................................6
3:Develop a management of performance plan to support particular job role............................7
4:Make valid judgements and recommendations on how processes and documents at every
step..............................................................................................................................................7
5:Identify particular legislation...................................................................................................7
6:How organisation's employment and contract law affect on business decision making.........8
7:Analyse potential implications of any two of regulations........................................................8
8:Critically reflects on impact of ethical problems of regulations, legislations and principles
by identifying two ethical problems............................................................................................8
9:Exploration of various functional roles within the hospitality sector......................................9
10:Describe various communication methods and levels used in company...............................9
11:Review of coordination and integration within a business....................................................9
12:Analyse effectiveness of various communication methods, integration and monitoring
within particular department.....................................................................................................10

13:Valid judgements and recommendations.............................................................................10
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................12

INTRODUCTION
Hospitality business refers to broad concept of fields with in service industry that
consider accommodations, drink and food services, transportation, event planning, luxury resorts
and many more. Hospitality industries have huge role in country's growth and enhancing GDP.
This sector focus on customer services and fulfil their needs and expectations. Better tourism of
country helps in better success for nay hospitality industry. Below report is based on The
Dorchester, this is United Kingdom based five star hotel industry and opened in 1930. The owner
of hotel is Brunei investment agency and they have 250 rooms with luxury ambiance
(Sriprahastuti, 2018). They also provide classic car services for special entrance at special events
and spa facilities. Below report includes financial transaction, principles of managing and
controlling performance, principles of double entry bookkeeping systems, trial balance, types of
cost, importance of accurate recording transactions conclusion. In part B, review of HR cycle,
measure HR cycle and its importance, performance management plan, judgements and
recommendations, specific legislation and employment and contract law impact. Implications of
two regulations, ethical issues of regulations and legislation impact, functional roles,
communication methods, coordination and integration, effectiveness of communication methods
and valid judgements and recommendations.
MAIN BODY
PART A
1:Introduction to financial transaction of hospitality business
A Financial transaction is an communication or agreements that carried out between a
seller and buyer to transaction an asset for payment. In terms of hospitality business financial
transaction is between customers and organisation. Transaction helps in controlling and
managing flow of finances in business. In context of The Dorchester, their finance department
make sure to measure and control performance related to financial and with this capability to
monitor both credit and debit affect entire productivity and profitability of organisation. For
appropriate transactions they need actual data and information related to finance activities.
Source documents: It is refers as a begin form that consist of appropriate information or
data which is recorded to maintain transactions in proper balanced manner. In context to
Dorchester, they record suitable data and administered that helps to manage best accountability
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with flexibility in sustainable way. Hotel use various sources in adequate manner such as sales
credit and its notes, debit notes, purchase credit, cheques received, journal vouchers, cash
vouchers and many more. They gather information in documentation manner so that it is
sustained by administration for a long term.
Recording process: In this procedure The Dorchester hotel maintain and manage
journals where entire entries and accounts are managed in well manner. It is helpful as with this
data and information are gathered in chronological manner via which easy performing is
processed that also helps to reduce or avoid levels of discrepancies with effectualness.
2:Investigate principles of managing and monitoring performance of finance
There are various principles that are needed by organisation to manage transactions
related to financial activity that offer various support via which simple management is processed
within Dorchester and it is described below as;
consistency: This principle under which capable transaction is controlled within
appropriate consistency and in this various procedures and policies are established by Dorchester
as with this entire transactions are addressed in regular way (Filimonau and Delysia, 2019). It
helps in management to measure and analyse performance related to financial as with this
profitability ending is proceeded in optimised manner.
Times-lines: The Dorchester and its management handle all processed transaction with
various reasonable and during this activities are outlined in a appropriate time period which is
bounded by federal agencies. It help to complete tasks and activities within allotted time of
occurrence as with this all objectives and requirement are achieved on the basis of time.
Justification: Management of Dorchester take about there is valid reason behind
transactions in both aspects in debit or credit but it is processed with help of business projects
objectives and goals. It get correspond to outline transactions with assist of federal and its huge
focus is to maintain towards decision making effectual manner.
Documentation: It is an important prominent from of principles which help various
transactions that are perform within organisation. Dorchester and their administration system
ensure to retain, organize and complete actual audit that assist for further transactions that are
performed within hotel.
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Certification: This principle in which The Dorchester get assure to approved
transactions that are carried out in authorized way and for this process and policies are signed by
top authority.
3:Describe principles of double entry bookkeeping system of debits and credits
Double entry bookkeeping system defines to concept that each transactions related to
accounting affect business finances in two manner (Foster and Carver, 2018). In this left side is
debit and right side is credit. Basically this is based on easy principle that is for each debit there
must be equals to credit side and there are two accounts involved in transaction.
Profit and loss statement of The Dorchester hotel for march 2020
Profit and loss statement of The Dorchester hotel for March 2020
Particulars Amount Particulars Amount
To Opening Inventory 17000 By Sales 145000
To Purchase 63000 Less : Return Inward -3200 141800
Less : Return Outward -1800 61200 By Closing Inventory 21000
To Gross Profit 84600
Total 162800 Total 162800
To Administration Cost 33000 By Gross Profit 84600
TO Distribution Cost 30500
To Depreciation 9000
To Finance Cost 1600
To Tax 2100
To Net Profit 8400
Total 84600 Total 84600
4:Basic trial balance
Trial balance define a list of all general ledger accounts which includes both revenue and
capital contained in ledger of an organisation. List consider name of every nominal ledger
account and its values. In this account will hold either credit balance or a debit balance. It helps
in regular checking entries in system of bookkeeping.
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Trial Balance for The Dorchester hotel
Particulars Debit Credit
Storage Cost 500
Purchase 10500
Sales 14600
Moter
Expenses 530
Cash at Bank 54000
Cash in Hand 18700
Payables 29100
Premises 250000
Van 52250
Fixtures 8350
Inventory 23200
Receivables 15420
Sales Return 900
Purchase
Return 70
Salaries 5000
Business Rates 1480
Capital 397060
Total 440830 440830
4:Analyse types of cost and how company can be managed to influence performance of finance
Cost defines monetary values of expenditure for resources, supplies, labour, goods,
services, tools or equipments, raw material and etc. amount related to these that are recoded as an
expense in bookkeeping system record.
There are different types of cost that are used by The Dorchester hotel's management,
which are described below as;
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Fixed cost: It is not change with an decrease and increase in amount of products and
services sold or produced. It is a expenses that have to be paid by an organisation, self-reliant of
any particular business related activities. Such as rent, expense of building and etc.
Variable cost: This cost mostly fluctuates with different levels of production results
changes. It is depended on number of services and goods that organisation produce. This cost
managed by Dorchester via resources planning this will as various future requirement of
resources and work scope.
Operating cost: This cost defines to expenses which are associated with regular business
activities. It includes cost of products and other operating expenses.
5:Importance of actual recording of transactions with accepted accounting principles
Effectual bookkeeping consider maintaining appropriate accounting system that are
records business related transactions when they happen along with this. Keep entire essential
receipts or expense bills on behalf of organisation (Melissen and Sauer, 2018). There are various
importance of actual recording is described below in context of Dorchester hotel;
 Actual recording is must as it will assist Dorchester in managing backups for all
expenses and incomes which find at the time of audit.
 It helps in inform to owner about their financial position within business which assist in
future in strategical planning.
 It will assist in reducing and avoiding penalties and interest as it makes simple to pay
actual amount of tax at right time frame.
 Well records maintained helps in tax saving.
6:Conclusion
Financial management and its monitoring process is play important role for Dorchester
hotel as it assist in managing actual financial position and give scope for better success. It play
critical role in making decisions in finance and practice to control over finances and funds of
hotel. It estimate requirement of capital for smooth functioning of business operations. It assure
that financial are to be invested efficiently and effectually in terms to generate profit, viable and
sustainable for long period of time.
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PART B
1:Review of various steps of HR cycle
HR life cycle refers to continuous procedure of integrating activities related to HR. it is
connected with group of action of HR strategy creation and it is execution with workforce life
cycle. This is belong to five steps which are explained below in case of Dorchester hotel;
 Recruitment and selection process connected with recruiting individuals at vacant
positions in particular job role. Selecting people on the basis of qualification and their
skills. HR manager of Dorchester hotel adopting steps to recruiting skilled employees for
drinks and food department.
 Induction and orientation programs implemented for workforce so that they prepare
for job and understand their job roles and responsibilities (Mejia and Torres, , 2018).
Dorchester hotel management provide best working environment to employees.
 Career planning and development is focusing on offering better career opportunities to
grow and Dorchester hotel's manager providing performance appraisal and other
facilities for better motivation.
 Retention refers to capability of a company to retain workforce and manager focus on
providing better tools and etc. it helps in retain employees for long period of time.
 Separation and termination stage, in this workforce left company by voluntary and
take retirements fro their job position. Dorchester hotel's manger adopt procedure for all
existing workforce.
2:Evaluate every step of HR cycle and its importance
HR life cycle play major role in supporting, retaining talented, growing and skilled
workforce within business so that quality results and productivity can be increased.
 Recruitment and selection, in this Dorchester hotel recruit skilled people so that it helps
in improving staff member's quality.
 Induction and orientation helps in understanding pattern of work and job role.
Employees can gain knowledge about working environment of hotel.
 Career planning and more development, assist in better talent in workforce and also
increase brand values in in this sector .
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 Retention step assist in keeping skilled employees with adopting different tools like
motivation, positive environment and many other for effectual performance.
 Separation and termination stage promotes positive environment of business and offer
scope to recruit new people.
3:Develop a management of performance plan to support particular job role
Performance management plan defines to collaborative procedure which is adopt to
recognize different tasks which are straight with workforce and their contribution of efforts to
achieving goals (Roelofsen and Minca, 2018). Dorchester hotel's manger implementing this plan
to control and measure performance of staff and provide right direction towards objectives. Hotel
focus on food quality and accommodations with luxury services to fulfil customer satisfaction.
 Plan: In this manager find out issues that customers are facing in food and services so
that they can improve by making effective strategies. It helps in hold customers for long
period of time.
 Monitoring: In this managers track all performance related to business so that
Dorchester get positive outcomes.
 Review: In this managers measure all activities that performed by employees and
managers so that they reach user's needs and expectations.
4:Make valid judgements and recommendations on how processes and documents at every step
As per above discussion, Dorchester hotel is adopting HR life cycle that assist in holding
employees, growing and etc. At recruitment stage, they select existing employees in terms to
promote higher designation that assist in reducing cost. Induction and orientation helps in
providing better information and it improved by using different techniques and programs.
Retention is must to hold existing best employees by providing extra facilities and rewards.
5:Identify particular legislation
Legislation defines salutatory laws framed by government and by top legal authority in
UK. In this includes enactment and preparation of laws via legislative body with help of laws
making procedure (Nayak and Taylor, 2018). These have been improved for giving protection
and safety to workforce. In hospitality sector there are strict legislation such as health and safety
measures to provide better services under best safety so that people attract more towards
Dorchester hotel. Some legislation are explained below as in case of Dorchester hotel;
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 Environment legislation act, 1974, in this act problems which are related to waste in
hotels that affect air and other pollution are consider in this legislation. Dorchester hotel
always try to minimize waste so that there is no harm on environment.
 Food safety legislation act, 1990, this is based on quality of food and services.
Dorchester hotel make sure about food and services quality to avoid this act issues and
provide better customer satisfaction.
 Consumer legislation act, 2019, this act based on health and safety measures of
employees (Bilro, Loureiro and Guerreiro, 2019). Dorchester hotel provide better safety
measures to each workforce so that this cannot affect customer satisfaction.
6:How organisation's employment and contract law affect on business decision making
There are different potential affect on decision making procedure by various legislation
and laws. Some are explained below as;
 Contract law: This is based on build a legal contract between two or more parties with
legal agreement. Manager of Dorchester hotel follow all laws and regulation before
signing any contract.
 Employment law: This is based on relationship between employers and employees. It
consider fulfil requirements of employees and get participation in decision making
process.
7:Analyse potential implications of any two of regulations
Equality and Diversity act: In this act give legal structure in terms to protect rights for
workforce in hotel. It helps in Dorchester hotel to protect unfair behaviour so that hotel hold
employees for long period of time.
Employment relation act: This act based on relation between organisation and
employees (Zopiatis and Theocharous, 2018). The major motive of this act is to create better
employment contract. It helps in understand working environment which is set b y supervisors.
8:Critically reflects on impact of ethical problems of regulations, legislations and principles by
identifying two ethical problems
Ethical problems are adopt to identify moral barriers and conflicts in hotel. In hospitality
sector, diversity and equality at workplace is regulation which assure each employee get
opportunities and equal treatment. Dorchester hotel create a positive environment with
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legislation act for healthy environment of hotel. It assist in increasing workforce engagement in
hotel and motivate to staff. Honesty and loyalty is important for trust between organisation and
employees.
9:Exploration of various functional roles within the hospitality sector
There are different organisation that comes under hotel industry and each one carry their
own responsibilities, roles, functions and etc. which are not match with other, some interlinked
managements of Dorchester hotel is explained below as;
 Beverages and food services, food production management: This is interlinked with
other hospitality industries (Belarmino and Koh, 2020). Beverages and food department
is responsible for serving best quality foods and drinks as per customer needs and
expectations.
 Front office and house keeping: These two managements are assure that smooth
functioning in operations with high rate of customer satisfaction. Both are interconnected
with every house keeping is responsible for clean hotel's accommodations with best
services. Front desk responsible for reception area they take care about check in and
check out process with proper documentation.
10:Describe various communication methods and levels used in company
There are two communication methods which are describe below as;
 Verbal communication: This refers to messages transfer through spoken words such as
in seminar, presentations, speeches, through digital channels, social media, email and etc.
Dorchester hotel communication with meetings with employees so they communicate in
effective manner and also avoid any barriers.
 Non Verbal communication: In this include facial expressions, body language, gestures
and many more. Company notice every employees to understand them in better manner.
11:Review of coordination and integration within a business
Coordination and integration define to function of departments which assure that various
managements or particular group perform task together towards common goals (Van der Wagen,
L. 2019). It is an gathering process which need to assure that all components of task are
coordinated in effectual manner. Dorchester hotel focus on unity of employees and provide
direction towards common objectives to generate maximum profit and growth (Jasnoff and
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Sheikh, 2019). It helps in use optimum resources so that cost can be reduced and better
management in organisation.
12:Analyse effectiveness of various communication methods, integration and monitoring within
particular department
Coordination is important for effectual and smooth functioning operations departments. It
helps in better coordination within business. There are various methods Dorchester use for better
communication such as emails, meeting and many more, it helps in reducing communication
barriers (Murillo and King, 2019). Now days people are more attracted towards digital platforms
through this interaction process more easier. It assist in monitoring and measure performance for
better improvement.
13:Valid judgements and recommendations
As per above discussion, Dorchester hotel already adopts various tools and techniques for
better performance and providing best customer satisfaction. There are various competitors in
market in hospitality sector so it is important to make effective strategies so that business can
avoid other competition (Santos, 2020). For more improvement they can effectively follow
market trends and adopt more different cultures for different customers who came from various
countries this helps in providing better customer satisfaction to people and hotel hold customers
for long period of time.
CONCLUSION
It is concluded the above report, hospitality industry is play important role in country and
business growth. It helps in raise GDP rate of country and there are two aspects analysed in
above report one is finance and another is HR management. Both are essential for running
business. Financial activities includes various tools and techniques that helps in making budgets
and maintain records for monitoring profitability and productivity. HR management helps in
manage human resources related activities which helps in better performance of organisation.
Communication is major part in company for avoid any type of barriers and hospitality sector
have to follow various laws for avoid government interference.
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REFERENCES
Books and Journals
Belarmino, A. and Koh, Y., 2020. A critical review of research regarding peer-to-peer
accommodations. International Journal of Hospitality Management, 84, p.102315.
Bilro, R.G., Loureiro, S.M.C. and Guerreiro, J., 2019. Exploring online customer engagement
with hospitality products and its relationship with involvement, emotional states,
experience and brand advocacy. Journal of Hospitality Marketing &
Management, 28(2), pp.147-171.
Elshaer, A.M., 2019. Labor in the tourism and hospitality industry: skills, ethics, issues, and
rights. CRC Press.
Filimonau, V. and Delysia, A., 2019. Food waste management in hospitality operations: A
critical review. Tourism management, 71, pp.234-245.
Foster, M. and Carver, M., 2018. Explicit and implicit internationalisation: Exploring
perspectives on internationalisation in a business school with a revised
internationalisation of the curriculum toolkit. The International Journal of Management
Education, 16(2), pp.143-153.
Jasnoff, G.R. and Sheikh, A., 2019, June. Creating ePortfolios as Components of Undergraduates
Employability Toolkit. InEdMedia+ Innovate Learning (pp. 158-161). Association for
the Advancement of Computing in Education (AACE).
Mejia, C. and Torres, E.N., 2018. Implementation and normalization process of asynchronous
video interviewing practices in the hospitality industry. International Journal of
Contemporary Hospitality Management.
Melissen, F. and Sauer, L., 2018. Improving sustainability in the hospitality industry. Routledge.
Murillo, E. and King, C., 2019. Why do employees respond to hospitality talent management.
International Journal of Contemporary Hospitality Management.
Nayak, R. and Taylor, J.Z., 2018. Food safety culture–the food inspectors’ perspective.
Worldwide Hospitality and Tourism Themes.
Roelofsen, M. and Minca, C., 2018. The Superhost. Biopolitics, home and community in the
Airbnb dream-world of global hospitality. Geoforum. 91. pp.170-181.
Santos, A.R.A., 2020. A client focused business intelligence & analytics solution for the
hospitality sector (Doctoral dissertation).
Sriprahastuti, B., 2018, January. POLICY ANALYSIS ON INTEGRATED CHILD CENTER-
CORPORATE SOCIAL RESPONSIBILITY: CASE STUDY ON HOSPITALITY
BUSINESS SECTOR IN INDONESIA. In Proceedings of The International
Conference on Social Sciences (ICSS) (Vol. 1, No. 1).
Van der Wagen, L. and White, L., 2018. Hospitality management. Cengage AU.
Zopiatis, A. and Theocharous, A.L., 2018. PRAXIS: The determining element of innovation
behavior in the hospitality industry. Journal of Hospitality and Tourism Management.
35. pp.9-16.
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