Hospitality Business Toolkit

This toolkit provides insights into the basics of economic performance control, HR life cycle, laws applicable in the hospitality sector, and more. It covers topics such as financial management, talent retention, and legal compliance.

The Hospitality
Business Toolkit

Table of Contents
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................3
TASK 1............................................................................................................................................3
Examine the basics of economic overall performance control and monitoring..........................3
Utilize the charge and credit twofold passage bookkeeping procedure to record deals and buys
in an overall record......................................................................................................................4
Trial Balance...............................................................................................................................6
TASK 2............................................................................................................................................7
Clarify periods of the HR life cycle as they apply to a given occupation position and its
importance in keeping and creating ability.................................................................................7
Performance Development Plan ................................................................................................8
TASK 3............................................................................................................................................9
Various Laws applicable on Hospitality sector organization......................................................9
Role of employment, contract and company Law in decision making in hospitality sector ......9
TASK 4..........................................................................................................................................10
Depict the various association, participation, and observing strategies utilized by a cordiality
organization's numerous divisions to fortify the inventory network.........................................11
CONCLUSION..............................................................................................................................11
REFERENCES..............................................................................................................................13
Books and Journal.....................................................................................................................13

INTRODUCTION
Hospitality sector deals with business related to services such as food accommodation events and
many more (Clarke, 2021). There are so many organizations which are included in the hospitality
sector and teams in various types of businesses such as foods theme parks accommodation
travelling and many more. All this organization has a main motive to provide excellent
experience to their customers so that they can travel again and again for their experience. London
House hotel in United Kingdom who provides comfortable stays at affordable prices to their
customers. The hotel is located in Kensington gardens square in the central London. This report
contains 7 functions of London House hotel which deals in hospitality sector especially the
management and monitoring of the financial performance in which double entry bookkeeping
system is used to manage the financial records of the company. It also contains human resource
function which helps them to retain their employees in the organization and provide good
experience to their customers. This report also contains several of which are applicable on the
organizations were dealing in hospitality sector among which employment contract and company
law which has a great impact on the decision making of the sector. Further, this report contains
interrelationship between the various functions of hospitality related services and various
strategies which are used in the coordination and cooperation of business.
MAIN BODY
TASK 1
Examine the basics of economic overall performance control and monitoring
Finance is backbone of any organization and it is essential for the organization to manage
as well as monitor their financial performance on timely manner. London House hotel is an
organization provide their services in hospitality sector and understand the value of measuring
financial performance and monitor them in a timely manner (Kaur, and Kaur, 2020). In order to
monitor and manage the assets and liabilities as well as expenses and income of the organization
they have used various principal of financial transactions which also help the organization to
enhance their financial performance and are given below:

Consistency: In order to follow this principle of financial management London House
hotel should handle their transactions in car system and address the same type of transactions on
daily basis.
Documentation: The recording of the transaction should require a proper documentation
which needs to be organized and retained with the organization in in times of audit to provide
evidence for the transactions. This documentation will help rosewood London to provide them to
the auditor at the time of auditor of the company so that they can maintain the trust of auditor as
well as stakeholders on the company which will help them to arrange more finance whenever the
need for the company.
Utilize the charge and credit twofold passage bookkeeping procedure to record deals and buys in
an overall record
In order to maintain all records and performance of the organization the accounts
department of the company uses double entry bookkeeping system which help them to verify
their data at the time of the preparation. Double entry bookkeeping system is a system in which
the organization data has stored in such a manner that they can equalize both the debit as well as
credit side of the accounts. Double entry bookkeeping system is based on three golden rules
which helps to define the debit side and credit side of accountancy (Kotenko, 2020). The
contents of London House hotel also use double entry bookkeeping system to record their
transactions in ledger. Once the journal entries has been prepared then ledger account has been
prepared in which the cabinet has been recorded on the appropriate side. Examples of ledger
account are given below:
CASH ACCOUNT
Date Particulars J/F Amou
nt
Date Particulars J/F Amou
nt
To Capital a/c 28000 By Rent a/c 2000
To Sales a/c 15000 By Purchase a/c 22000
To Sales a/c 20000 By Prepaid
Insurance
Policy a/c
1500
By Laundry
Fees a/c
500
By Telephone
and Internet
2500

expenses a/c
By Water
Charges a/c
1000
By Wages and
Salary a/c
2550
By Balance c/d 30950
63000 63000
Capital a/c
Date Particulars J/F Amou
nt
Date Particulars J/F Amou
nt
To Balance c/d 28000 By Cash a/c 28000
28000 28000
Rent Account
Date Particulars J/F Amou
nt
Date Particulars J/F Amou
nt
To Cash a/c 2000 By Balance c/d 2000
2000 2000
Purchase a/c
Date Particulars J/F Amou
nt
Date Particulars J/F Amou
nt
To Cash a/c 12000 By Balance c/d 39000
To Vendors a/c 10000
To WH Adams Ltd
a/c
17000
39000 39000
Prepaid Insurance Policy a/c
Date Particulars J/F Amou
nt
Date Particulars J/F Amou
nt
To Cash a/c 1500 By Balance c/d 1500
1500 1500
WH Adams Ltd a/c
Date Particulars J/F Amou
nt
Date Particulars J/F Amou
nt
To Balance c/d 17000 By Purchase a/c 17000
17000 17000
Laundry Fees a/c
Date Particulars J/F Amou Date Particulars J/F Amou

nt nt
To Cash a/c 500 By Balance c/d 500
500 500
Telephone and Internet Expenses a/c
Date Particulars J/F Amou
nt
Date Particulars J/F Amou
nt
To Cash a/c 2500 By Balance c/d 2500
2500 2500
Water Charges a/c
Date Particulars J/F Amou
nt
Date Particulars J/F Amou
nt
To Cash a/c 1000 By Balance c/d 1000
1000 1000
Wages and Salary a/c
Date Particulars J/F Amou
nt
Date Particulars J/F Amou
nt
To Cash a/c 2550 By Balance c/d 2550
2550 2550
Sales a/c
Date Particulars J/F Amou
nt
Date Particulars J/F Amou
nt
To Balance c/d 35000 By Cash a/c 15000
By Cash a/c 20000
35000 35000
Trial Balance
When all the ledger accounts are prepared then their balancing amount has been recorded
in one statement that is popularly known as trial balance (Leung, Lyu, and Bai, 2020). Trial
balance is an essential part of the accounts as it helps organization to check the preparation of
ledger accounts. It will help the organization to find deviations as it has been provided that the
debit side and credit side should be equal in a trial balance to identify the reliability of ledger
accounts. In order to construct a trial balance all the balances of ledger accounts are written in a
table with its suitable side. Preparation of trail balance helps an organization to find out any kind
of deviations in the posting of trial balance. In order to find errors and rectification in trial
balance an accountant is require to check the position of journal account in trial balance and

match them with the balance posted in the trial balance. After trail balance an organization is
able to create a P&L account in which their operating profit helps them to find out the gross
profit margin of the company. It is only the profit which is calculated with its operating cost or
direct cost indirect cost are not included in the gross profit margins. The trial balance of above
given accounts is given below:
Particulars Dr Cr
Cash a/c 30950
Capital a/c 28000
Rent a/c 2000
Purchase a/c 39000
Prepaid insurance Policy 1500
WH Adams Ltd a/c 17000
Laundry fees a/c 500
Telephone and Internet expenses a/c 2500
Water Charges a/c 1000
Wages and salary a/c 2550
Sales a/c 35000
Total 80000 80000
TASK 2
Clarify periods of the HR life cycle as they apply to a given occupation position and its
importance in keeping and creating ability
Human resource management is an essential part of an organization which needs to be
managed and monitor by them in order to get great efficiency. In case of London house hotel
management is a part of human resource department of the organization to recruit attract and
retain talent in the organization. Department has various functions and job role to play in the
organization and provide a complete human resource life cycle which has several stages and are
provided below:
Attraction: In order to attract young talent in the organization that department of London
house hotel is responsible to provide proper qualification which is required to qualify the
position in the organization. They should mention the required qualifications for them which are
required for the position in the organization.

Recruitment: After attracting young talent to the organization London house hotel
should recruit talented employees who have applied for the position with specific qualification. It
is a tough process because it is really tough for the HR department to analyze the qualifications
and skills of an individual and in order to recruit qualified employees did need to analyze them in
proper manner with various ways so that organization can get talented employees (Mahoney,
2020).
Development: After recruiting suitable employees in the organization it is the duty of
HR department to provide them proper development with the help of training and development
programs in the organization. This programs will help employees of London House hotel to
perform their duties in effective manner. This will also provide the employees several skills and
knowledge which develop them for the growth of their career in the organization.
Retention: As the organization has incurred the cost to develop their employees and in
order to take benefit of the cost the organization is required to retain the talented employees in
the organization. London House hotel has taken various measures in which they provide different
types of motivations to the employees to retain in the organization which helps them to get
talented employees in the organization.
Performance Development Plan
In order to manage performance of employees and address the issue of retention of
employees in the organization it is essential for the human resource department to prepare a
performance management plan so that they can retain their employees in the organization. There
are various stages in this performance development plan which has been given below:
Evaluation of employee performances: On the very first performance of employees will be
evaluated in the organization so that the human resource department of London House hotel can
a certain the level of training they need to provide to the employees. In this step the organization
evaluate the skills present and employees so that they can provide them effective training and
motivate them to retain in the organization.
Training: After evaluating the performance of employees and organization it is the duty of
human resource department of land and house hotel to provide effective training to their
employees so that they can develop them according to their needs in the organization. There are

different kinds of employees in the organization who are working for different job role and
required different kind of training in order to improve their skills and knowledge for the working
of the organization. This training and development will help them to improve their performance
(McLoughlin, Hanrahan, and Duddy, 2020).
Comparison of current performance with the benchmarks: After providing training to the
employees it is the duty of human resource department to compare their present situation with
their previous performance in the organization. This will help the management of London House
hotel to compare their performance and evaluate the level of motivation they generate from the
training and development campaign. This will also help them to identify the learning capacity of
the employees and effect of training provided to them.
TASK 3
Various Laws applicable on Hospitality sector organization
There are various laws which are applicable on an organization in different markets and
the organization is required to fulfill all the laws in order to avoid government intervention.
Some of the common laws which are applicable globally and are also applicable in the
organization London House hotel operating in the hospitality sector given below:
Licensing Act, 1964: Set up a hotel business in a location the management of the organization is
required to take license from the government to do the business. To take the license they need to
comply the terms and conditions of licensing act 1964. As London House hotel is operating their
business in the market of London and they have taken the permission of the government with the
help of license the licensing act 1964 is applicable on the organization.
Health and Safety Act, 1974: As there are various individuals which are connected with the
organization in hospitality sector such as suppliers employees customers it is the duty of of the
management to fulfill the terms and conditions of health and safety act 1974. In order to provide
health and safety to their employees the London House hotel has taken various measures in
which they provide employees insurance to them (Mills, Brahney, and Mackay, 2020).
Equality Act 2010: According to equality act 2010, every individual should be protected with
the discrimination on the basis of their protected rights such as religion caste disability gender

and many more. As there are different types of employees employed in the London House hotel
they should follow this act for their smooth running of the business.
Role of employment, contract and company Law in decision making in hospitality sector
Organizations were operating in hospitality sector requires to enter into several contracts in order
to provide great services and experience to their customers. Also needs to follow company Noida
employment law in their organization as they are operating as a company in the market. The
impact on the decision making of these laws has been provided below:
Contract law: As hotels are involved in different kinds of contract between them their
employees and their customers and sometimes with their suppliers they are required to fulfill
their terms and conditions of contract law. Contract is an agreement which has been enforced by
law and in order to enter into a contract London House hotel also required to follow terms and
conditions of contract law which helps them to avoid legal complications in the organization.
Company Law: London House hotel has register their business as a company in the market and
required to follow all the laws which are applicable on them as a company. These laws are
provided by the company law in which they provide that their entity has a separate legal entity
according to the law. Hands in order to take several decisions in the business London house hotel
is required to fulfill the terms and conditions of company law (Qian, and Zhang, 2020).
Employment Law: There are so many employees working in the London House hotel and in
order to retain them in the organization they are required to fulfill employment law formulated
by government in the particular market. Fulfilling the terms and conditions of employment law
in the organization will also help the organization to describe the relation between employer as
well as employees in the organization.
TASK 4
Analyse the interrelationships between numerous hospitality-related functional roles
Just like other organisations the functions of organisations in hospitality sector are also
interrelated with each other and is required to be fulfilled the coordination and communication
with them in suitable manner. Functions like front desk employment, cleaning department,
human resource department and many more nice to have a proper communication and

coordination with each other in order to perform their functions in effective manner in the
organisation. Such as in London House hotel that learning department should have a proper
communication with the front desk department as they are required to take orders from for front
desk department whenever a room gets vacant in the organisation (Slavic, and Horvat, 2020).
The human resource department is responsible to recruit employees for every department and
their functions. They are also required to provide training and development programs to various
departments which requires a proper communication in coordination with each department of the
organisation. Understanding the value of coordination and cooperation between different
functional rolls London House hotel has investigated and examine various kinds of divisions in
order to interconnect the departments and functional roles with each other in the organisation.
Depict the various association, participation, and observing strategies utilized by a cordiality
organization's numerous divisions to fortify the inventory network.
In order to strengthen the supply chain of the organization in hospitality sector there are
several ways of communication coordination and measurement which are used by the
organizations in this industry. They include forms such as social networks ideation key
performance indicators verbal communication and many more. The organizations in hospitality
sector uses social networks in order to communicate about their product and services offered by
them in different locations. In order to maintain coordination within the organization they also
have a goal to establish effective communication between their organizations at different
locations where is departments within the organization their personal and divisions. In order to
use the effective strategy in the organization to establish a proper communication coordination in
the organization the organization can use brainstorming. Brainstorming refers to the process
which has been used by businesses to perform several operations in effective manner in the
organization. there are also several techniques to check the progress of the business such as
benchmarking and key performance indicators in which benchmarking helps organization to
inspire their employees by giving them a positive attitude to complete the work in a given time
frame. Key performance indicators are used to analyze the productivity of the organization
successfully with the help of several functions and activities (Williams, 2020).

CONCLUSION
The above discussion helps to conclude that hospitality sector has various functions like
other sectors which need to be performed by them in order to run their business effectively in the
market. Then used to manage their finances and prepare their accounts on the basis of double
entry bookkeeping system. After that they also need to perform their human resource function on
the basis of HR life cycle and manage their performance with the help of performance
development plan in order to retain employees and manage their negative behavior in the
organization. There are several of which are applicable on the organization who are working in
hospitality sector among which the employment contract and company law affects their decision-
making. All these functions of the organization are interrelated with each other in order to
complete their rules and formulate their strategies to improve coordination between them.

REFERENCES
Books and Journal
Clarke, P., 2021. Travel Industry Reacts to President Biden's New Executive Orders.
Kaur, G. and Kaur, C., 2020. COVID-19 and the Rise of the New Experience Economy. FIIB
Business Review, 9(4), pp.239-248.
Kotenko, N.V., 2020. The impact of intergovernmental fiscal policy on local sustainable
development (Doctoral dissertation, Sumy State University).
Leung, X.Y., Lyu, J. and Bai, B., 2020. A fad or the future? Examining the effectiveness of
virtual reality advertising in the hotel industry. International Journal of Hospitality
Management, 88, p.102391.
Mahoney, K.J., 2020. Self-Direction of Home and Community-Based Services in the Time of
COVID-19. Journal of gerontological social work, pp.1-4.
McLoughlin, E., Hanrahan, J. and Duddy, A.M., 2020. Application of the European tourism
indicator system (ETIS) for sustainable destination management. Lessons from County
Clare, Ireland. International Journal of Culture, Tourism and Hospitality Research.
Mills, S., Brahney, A. and Mackay, S., 2020. New Solutions for the New Normal. CTBUH
Journal, (4).
Qian, S.J. and Zhang, Y.H., 2020. Characterization of the complete chloroplast genome of a
medicinal plant, Wikstroemia indica (Thymelaeaceae). Mitochondrial DNA Part B, 5(1),
pp.83-84.
Slavic, N. and Horvat, P., 2020. Sustainability in transportation behaviour in relation to an event
organization. In Faculty of Tourism and Hospitality Management in Opatija. Biennial
International Congress. Tourism & Hospitality Industry (pp. 242-264). University of
Rijeka, Faculty of Tourism & Hospitality Management.
Williams, I.G., 2020. COVID-19, the UK Perspective: Challenging Times for UK
PLC. American Bankruptcy Institute Journal, 39(5), pp.16-56.