Hospitality Business Toolkit

Unit 4 - Hospitality Business
Toolkit

Table of Contents
INTRODCUTION...........................................................................................................................3
TASK 1............................................................................................................................................3
P1 Investigation of the principles of managing and monitoring financial performance........3
P2 Application of double entry book-keeping system of debits and credits to record sales and
purchase transactions in general ledger..................................................................................5
P3 Production of a basic trial balance applying the use of balance off rule...........................6
TASK 2............................................................................................................................................7
P4 Reviewing stages of HR life cycle which is applied to a specific hospitality job role and
their importance in retaining and developing talent...............................................................7
P5 Development of performance management plan for a specific hospitality job role applying
techniques to resolve problems..............................................................................................8
TASK 3............................................................................................................................................9
P6 Identification of specific legislation that a hospitality organisation has to comply..........9
P7 Illustration of the way in which employment, company and contract law has potential
impact upon business decision making................................................................................10
TASK 4..........................................................................................................................................11
P8 Interrelation between different functions and roles within hospitality sector.................11
P9 Different communication method, coordination, and monitoring in the department......13
CONCLUSION..............................................................................................................................14
REFERENCES..............................................................................................................................15

INTRODCUTION
Hospitality industry is regarded as one of the major industry which is providing huge
services related with leisure and stay to their customers. The major emphasis of this industry is
related with customers which is to attain high customer satisfaction (Rhou and Singal, 2020).
The industry of hospitality is working for enhancing customer satisfaction so that their
experience can be enhanced and business objectives can be aligned with needs of customers. One
of the prominent aim of hospitality industry is associated with giving quality within services so
that value to customers can be enhanced and this could lead in attaining major benefits to
customer and organisation as well. The industry of hospitality is trying to give best and
appropriate services to their customers and for this different activities are being performed by
them such as planning, organising and analysis. These are activities which are having direct
alignment with goals and objectives of hospitality industry and by this customer satisfaction is
the primal objectives which could be attained. This report is covering major aspects of
hospitality industry in the background of The Ritz which is a luxurious hotel situated in London,
UK. The hotel was started in the year of 1906 and in current time The Ritz is managing their
hotels with high degree of innovation and quality standards. This report is covering analysis of
financial performance of The Ritz and information related to trial balance. Besides this all those
laws and regulations which are required to be followed by hospitality industry. On the other hand
HR life cycle which is going to be followed by The Ritz and communication methods are also
added within this report.
TASK 1
P1 Investigation of the principles of managing and monitoring financial performance
Introduction to the financial transactions
Business transactions are required to be recorded in such a manner that all the input and
output aspects within an organisation. Financial translocations are having direct impact over
profitability of the organisation as they are recording each and every transaction in order to
represent financial information in true manner (Nurjaya, 2018). In the context of The Ritz,
accounting is playing vital role in order to ensure compliance of statutory laws and to provide
safety to their investors so that they can invest in the hotel in appropriate manner.

Source documents are defined as the initial documents in which all types of information
are being recorded in the context of business transactions. They are regarded as documentary
evidence in which all the information associated with books of accounts are recorded. There are
different source document for The Ritz such as petty cash vouchers, cheques received, journal
vouchers, sales credit notes, purchase credit notes and many more. The information from source
documents is recorded in original books of accounts in order to hold it for longer duration of
time.
Recording process: The Ritz hotel is following journal system within managing accounts and
entries. This is helpful for the hotel management to keep record of all their transactions in
chronological order which enhance easiness in finding discrepancies.
Principles of managing and monitoring financial performance
This is highly important that to manage and organise financial performance so that to
inhale appropriate recording of the same. There are numerous principles that can be used by The
Ritz so that to monitor and manage their financial performance and the same are elaborated as
under:
Consistency: This is one of the major principles which is emphasised over managing
financial performance. This is used by managers of The Ritz as with the help of this they can
present and monitor financial performance in optimal manner (Karytsas, Vardopoulos and
Theodoropoulou, 2019)
Justification: According to this principle all the justification related to books of accounts
and records. For managing financial performance the major focus of The Ritz is associated with
analysing actual information and making effective decisions as well.
Timelines: This principle is associated with managers and their tasks in such a way that
they meet all the requirements in timely manner. By accounting professional of The Ritz is using
this principle so that to align their recordings with tasks given.
Documentation: This is a significant principle which is associated with The Ritz and
could be helpful for them in managing financial performance. This is guiding to managers so that
they can keep all those transactions in subtle way so that to manage overall functions during
whole year.