Planning and Allocating Resources for Business Objectives

This report discusses the planning and allocation of resources for small businesses to achieve their objectives. It covers the importance of resource management, tools and techniques used in resource planning, and the impact of resource planning on business efficiency and profitability.

Unit 46

Table of Contents
INTRODUCTION.................................................................................................................................3
Activity 1...............................................................................................................................................3
Planning and allocating resources for business objectives.................................................................3
Activity 2...............................................................................................................................................6
CRM and Transnational Operations..................................................................................................6
Transitional development of organisation..........................................................................................7
Activity 3...............................................................................................................................................8
Factsheet on Finance.........................................................................................................................8
Activity 4.............................................................................................................................................10
Regulations and legislations implemented over small business.......................................................10
CONCLUSION...................................................................................................................................12
REFERENCES....................................................................................................................................13

INTRODUCTION
Hospitality is a sector involves catering facilities and services related to allocating
guest stay and other facilities. This report is based on the case study on City View Hotel, UK.
The hotel is among the small scale hospitality organisations based in United Kingdom. This
report will project different aspects related to business of hotel. In this project detailed
description will provide in respect to the necessary resources small businesses must acquire
in order to conduct the business functions. Resource planning is also a crucial part of the
report. Different aspect related to customer relationship management will also discuss in this
report. The report will also discuss how the small businesses are developed transitionally over
the period. Monthly itemised cash flow statement will also discuss in this report. Financial
tool like break even analysis will also summarise in this report. Use of financial statement in
controlling the business operations will be discussed in this report. Furthermore, report also
emphasis on different legislations influence the business of small business organisation.
Activity 1
Planning and allocating resources for business objectives
Resources are defined as a ways to conduct different business operations. Resources
for small businesses are always limited in number. To channelize the resources in the
optimum companies follow the technique call resource management.
Resource management
Resource management is defined as a process to monitor and control the potential
resources available for the organisation to achieve all different objectives of business.
Resources are limited in nature so the resource management allow company to utilise all
resources in the best way possible. Resource management monitor and control the following
resources part of the organisation.
Financial resources: Financial resources are among the crucial resource part of the
organisation. These resources allow company to achieve its business objectives. In case of
small business organisation like City View Hotel financial resources are limited in number. It
becomes more important for the company to channelize all its financial resources in such a
way that best level of work efficiencies can be achieved (Brown, Liñares-Zegarra and
Wilson, 2017). In case of hospitality organisation operation management functions involve

management of different functions such as sales, marketing, HRM and many other functions.
All these operations require financial resources of the organisation. Resource management
involve allocating financial resources of company in such a way that all functional activities
of company can be achieved. Financial resource planning is a primary activity involve in
resource management.
Human resource planning: Human resource planning is an aspect involves managing and
controlling the human resource requirement of organisation. Human resources are among the
key resources part of the organisation. Human resources drive company in such a way that
the organisation can achieve the high level of work efficiency.
Other resource planning: Apart from financial resource planning and human resource
planning the other resources of the company are also planned (Daradkeh, 2017). Resource
management is all about planning and monitoring the utilisation of company’s resources.
Resource planning allows company to conduct the optimum level of utilisation of all the
resources of the organisation.
Tools and techniques in resource planning
Resource planning at City View Hotel requires the following techniques.
Expert judgement: This is a technique that involves judgements given by experts. Expert
judgement is a process in which professionals conduct the resource planning at the
organisation. In case of small organisations like City View Hotel most of the time senior
employees in the organisation conduct the resource planning.
Pattern thinking: This involves analysing the pattern for resource management function.
Pattern involves the step of operations of the City View Hotel that will need the resources of
hotel (Hall and Roelich, 2016). Pattern thinking is a systematic approach to manage the
resources of organisation. It is important that every functional activity of organisation
allocate equal opportunity to meet its requirements with the support of available resources of
the organisation. Pattern thinking allows organisation to conduct the resource management
function in the most professional manner.
Lateral thinking: This is another professional technique to conduct the resource
management at organisation level. In resource management function several issues and

problems also become part of the process. Lateral thinking involves solving all such problem
of resource management in the creative manner.
Bottom up estimating: Bottom up estimating is another professional approach to implement
resource management function in organisation. In this tool estimations are conducted to
assess the needs and requirements of the organisation in relation to the available resources
(Hall and Roelich, 2016). Estimation is conducted in respect to the potential resources require
for implementing a certain functional activity of organisation.
The above mentioned points project about all the key tools and techniques used to
conduct the resource management at organisation level.
Importance of resource planning
Resource management play the following importance in organisational level.
Achieve business objectives: Resource management play a hug role for the organisation to
achieve all its objectives. Resource management is a function that involve managing
resources of organisation in such a way that all objectives of the business can be achieved, In
case iof small business organisations like City View Hotel resources are only available in
limited and restricted manner (Heyes and et.al., 2018). So it becomes more crucial for the
organisation to conduct the operation in more professional manner. It can be projected that
with the support of resource management function organisation try to achieve all its
objectives of business.
Improve operation efficiency: Resource management allow company to achieve the high
level of work efficiencies. Resource management is all about planning the resources of
organisation in such a way that proper resources can be allocated to each functional activity
of hotel based on its needs and requirements. Resource management play a crucial role in
improving the operational efficiencies of the organisation.
Improve profitability: Resource management function also allow company to improve its
profitability. This is among the primary objective behind the business operation of company.
Resource management involve allocations of the resources of company in such a way that
high level of work efficiencies can be achieved for every functional activity of organisation
(Ismail, 2018). All different aspects related to resource management allow company to
improve its profitability of business by achieving the bets level of work efficiencies.

The above mentioned points project about various importance resource management
function play in small businesses.
Activity 2
CRM and Transnational Operations
Customer relationship management is a modern technique to manage the potential
customers of organisation. This is an application tool which controls the customer’s
requirements of company. In case of small business organisations like City View Hotel
management of customer is a critical functional activity and play a crucial role in enhancing
the growth of company. In case of small organisations like City View Hotel brand value is at
the minimum level. This application allows company to approach professionally all different
potential customers of organisation.
Process of customer relationship management
Customer relationship management is a professional approach to manage the
customers of company. This approach requires various processes that combines into a proper
customer relationship management process (Lefley, 2016). Following approaches are a part
of professional customer relationship management process.
Generate brand awareness: This is the first step involve in the customer relationship
management process. This process involves generating the awareness in the market towards
the City View Hotel. This process is based on spreading awareness in market about the
organisation and brand (Lewis, Megicks and Jones, 2017). Spreading the brand awareness i
market play huge role for company to attracting new customers towards the services of the
City View Hotel.
Acquire leads: This process involve acquisition of customer leads in market. The brand
awareness process is based on spreading knowledge in market about the services company
offer to its potential customers. This is about projecting the interest people towards the
services offer by hotel. This involves generating the leads of such customer that are expected
to buy company’s services in recent time.
Convert lead into customers: This is another crucial part of the customer relationship
management process. This involves conversion of potential customer into the actual

customers of company (McGovern, 2017). In the earlier state of customer relationship
management acquire leads in conducted that project all such customers that are potentially
ready to buy company’s services. In this process conversion of done from acquisition of leads
into converting a actual customers of hotel. This is another significant part of the process.
Provide customer service: Once the customer is completely ready to buy the services of the
City View Hotel this process comes into action. This involves allocating the services of hotel
at the upmost level so that best level of customer experience can be achieved. Hospitality is a
service sector which is immensely depends upon the quality of services organisation deliver
to its customers. Proving the best services to customers allows organisation to improve the
brand value in market. This also results into huge profit making opportunity for organisation
in market.
Drive upsells: This is about to maintaining the same customer relationship as the
organisation could capable of developing. This involve maintaining the customer relationship
in such a way that in future whenever the customer is looking for acquiring the hospitality
service he reaches to the same organisation. This is also a crucial part of customer
relationship management.
All the above mentioned point project about the different processes involve in
customer relationship management. All these processes play a crucial role for the
organisation in achieving the best level of profitability and other business objectives for the
organisation.
Transitional development of organisation
Small business organisations always develop transitionally. Transitional development
is a rapid process of growth and development of organisation. This process involve slower
growth of organisation in market. Every business organisation faces this phase of business
life cycle where the growth of the company is minimum in nature. Profits of the organisation
are also minimum as compare to other big brands associated with the market.
Challenges of transitional development
Transitional phase of business is a challenge for the organisation. Following are the
key points that project about the transitional development of organisation.

Slow growth rate: Transitional development involve slow growth rate of organisation. This
is the earliest phase of business when the company generate slower growth rate. Profitability
is also a huge concern for the organisation in this phase of business (Metcalf, 2019). City
View Hotel is a small business organisation. Company is currently considering slower growth
in market.
Profitability generation is issue: Transitional development process involves slow generation
of company’s profitability. At this level of business profitability is a huge concern for the
organisation. This is the phase involve in business life cycle when the profitability is a huge
point of concern for the organisation. It becomes important for the organisation to have an
effective growth rate of profits of company. This is the stage consist up minimum
profitability percentage as compare to other leading organisations involve in business.
Minimum resources: This is the stage of business life cycle when the resources of the
organisation is also minimum in number. Company do not carry much potential of
conducting operations at the bigger level due to ineffective resources of organisation (Salter,
Salandra and Walker, 2017). Resources always play a crucial role for the organisation to
entertain effective business outcome. Due to minimum amount of resources of organisation
the operations of company also do not conduct at the bigger level.
The above mentioned points are a key factors associated with the transitional phase of
business. This is a crucial stage of business when the business is growing at a very slower
rate. This is the stage where the business organisation is just initiated to gain specific
attention in market.
Activity 3
Factsheet on Finance
Financial management is a process involves managing the financial resources
associated with the organisation. Financial management involve many tools. Cash flow
statement and break even analysis is among the key financial tools especially in case of new
organisation is relevant.
Cash flow statement

Cash flow statement is month wise statement of all the cash transactions organisation
have entertained to conduct the business operations. This is a projection of all the cash
incomes organisation have entertained in a given month and all cash expenses company have
entertained in a given month. Monthly wise cash flow statement is a process involves
monthly detail of all the liquidity transactions organisation have entertained. Cash flow
statement allow organisation to monitor and control the liquidity of organisation. In case of

small organisations liquidity always a big concern for the organisation as organisation feels
challenge to get credit on all the different expenses organisation need to entertain in order to
conduct the business operations (Smith and Romeo, 2016). Cash flow statement projects all
expenses on the basis of fixed and variable nature expenses entertained by the organisation in
a given month of a financial year. This statement allows organisation to control the liquidity
of the company and also to control all different cash expenses company has been involved in
a given month. This statement is prepared on a monthly basis so that in case of any over
expenditure company has entertained in the next month it has an option to control the
expenses to not over exceed the operational budget. This statement also allow organisation to
keep its eye on the income of organisation. This statement also projects the month wise
revenue of organisation. This also allows organisation to control the income of the
organisation. This give scope to take crucial decisions that can support the income or revenue
of the organisation. Cash flow statement project about the liquidity position of company. On
the basis of the above cash flow statement it is interpreted that company has a strong liquidity
position in business. The above statements project that company has entertained cash flow in
jan worth to 3063.23 pound which was further became 3028.88 pound in the next month. So
as the liquidity position of company have projected for different months as well. In next
month’s it becomes 566.463 and so on which denote about the liquidity position of company.
Every month liquidity position of company is in positive mark which denote that the
company carry a strong and positive liquidity every month. In the end of year the liquidity
position became very strong as the figure has reached to 7533 mark as comparer to earlier
months.
Break even analysis
Break even analysis is a financial analysis conducted to ascertain the point in time that
is needed to the organisation to generate revenue of organisation to that extent as the
company can meet up all its expenses (Suresh, 2019). This is a no profit no loss situation for
the organisation. This is the point when the organisation will be capable to recover all the
expended organisation has incurred. Breakeven point is a no profit no loss kind of situation
for the organisation. Beak even point can be calculated in total number of unites company
needs to sale or in form of the amount company needs to earn in form of revenue to recover
all the expenses.
Breakeven point (In unit):

Fixed cost / contribution per unit
Breakeven point (In amount):
Fixed cost / PVR
Both the formulas are used to calculate break even points. In case of City View Hotel
the organisation is involved in selling the hospitality services (Sutcliffe and et.al., 2018). The
breakeven point in can be the number of sale organisation can conduct to meet up all its
expenses. This is an important financial analysis that allows company to conduct the both
long term and short term financial planning of business organisation.
Activity 4
Regulations and legislations implemented over small business
Regulations and legislations play a crucial role in order to conduct the business
operations. In case of City View Hotel following legislations and regulations need to meet up
in order to conduct business operations.
Small business, enterprise and employment act 2015: This is the key legislation applicable
over the small business and enterprises operated in UK. This is comprises with various
legalities organisation needs to incorporate in order to conduct the business operation. This is
more like a rules and regulations applicable on small businesses in United Kingdom.
Equality act: This is another crucial legislation applicable over the small businesses operated
in United Kingdom. Equality is a crucial part of companies. This legislation supports the
organisation to promote equality at organisation (Wright, 2016). It becomes important for the
companies and small businesses acquire businesses in UK to maintain the equality at the
organisation. This legislation drives organisation to promote equal treatment with all
employees at the organisation irrespective to any gender caste category and cultural
background of the person.
Data protection act: In case of hospitality organisations data protection is also a crucial
legislation applicable on the City View Hotel. This is an important legal requirements
organisations needs to cope up with in order to conduct the business functions. This is the
responsibility of the organisation to protect the personal information of all the customers.
This is the duty of the hotel to preserve the personal data related to all customers book stay in

hotel. In case of any breach in the law proper actions will be taken against the person or
responsibility personals in the organisation.
Anti discrimination act: This is another legal regulation applicable over the organisation. In
many companies especially the small level businesses discrimination was a big concern once.
To deal with the issue effectively government in United Kingdom has implemented the anti
discrimination act (Zierler, Wehrmeyer and Murphy, 2017). This is an important legal
regulation applicable on the business organisations. This is a regulation that supports equal
treatment of all employees part of the organisation. This act support taking actions against
any kind of discrimination at the City View Hotel. With the support of this legal regulations
government could improve the work culture at small and big organisations operate in United
Kingdom. These legal regulations have protected the rights of many employees part of the
organisation.
The above mentioned laws are among the primary regulations applicable on the City
View Hotel. All the legal regulations have supported the organisation to promote professional
code of conducts at the hotel. These laws are applicable on the City View Hotel even it is a
small business organisation.
CONCLUSION
This report has projected different aspects related small business. Resource
management play a crucial role in case of small business that allows small business
organisation to utilise the resources in the most potential manner. Resource management play
the crucial role in enhancing the resource utilisation at organisation level. Resource
management involve proper monitoring of the available resources of the small business
organisation. Customer relationship management function involves lead generation,
converting customers and many other stages. All these processes involve in customer
relationship management allow company to improve the growth of organisation in market.
This report has also projected the factors related to cash flow statement. The statement
involves all the cash expenses and cash income of the organisation irrespective to any nature
in accounting books of accounts. Breakeven point is a no profit no loss situation for the
organisation. This is a point where the organisation considers no profits from the business
operations.

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