Human Resource Management and Accounting Principles

The provided report covers various aspects of human resource management and accounting principles. It includes an examination of the financial transactions of Hilton Hotel, involving cash memos, invoices, and time cards. The report also discusses the accounting principles and provides a sample trial balance. Additionally, it touches on the performance management plan of an HR manager. This comprehensive analysis is essential for students seeking to understand these fundamental concepts in human resource management and accounting.

THE HOSPITALITY
BUSINESS TOOLKIT

TABLE OF CONTENTS
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
Financial transactions of hospitality business .......................................................................1
Principles of double entry bookkeeping system of debits and credits....................................2
The need of an accounting report and present a Trial balance using a sample data, stating the
steps used and purpose of the Trial Balance,.........................................................................3
Analyse types of Cost and the importance of accurate recording of transactions in line with
accepted accounting principles...............................................................................................4
Conclusion that critically evaluates the role of financial management..................................5
TASK 2............................................................................................................................................5
Issues in talent acquisition and retention................................................................................5
Factors to specific job in company.........................................................................................6
Employee legislation and its impact on company employment contract ..............................6
Stage of HR life cycle and its importance in retaining talent.................................................7
Performance management plan..............................................................................................8
Recommendations for improving HR life cycle.....................................................................9
TASK 3............................................................................................................................................9
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Hospitality industry is a huge category of fields within the service industry that includes
food and drink facility, lodging, event planning, cruise line etc. However, this report will
highlight the financial transaction of Hilton Hotel which is the international brand of UK and
established in around more than 80 countries (Schamer and et.al., 2018). Further, the report will
also frame the accounting principles of the Hilton Hotel along with it will also comment on the
purpose of trail balance. On the other side, the project will also frame the HR life cycle and the
program management plan of HR manager.
TASK 1
Financial transactions of hospitality business
A financial transaction is a process where some sort of activity takes place that changes
the value of the liabilities, assets or owner's shares of the company (Marland and et.al., 2017).
These kinds of transactions are two-component transactions consisting of a customer and a
vendor, and that they always involve money in some way. Financial transactions in accounting
are recorded inside the journal document in chronological sequence.
There are four foremost varieties of financial transactions :
 Sales transactions of companies are recorded within the accounting document for the
seller as a debit to cash or bills receivable and a credit to the income account.
 If the company made any cash purchases then the accountant of the company will debit it
in the inventory account and credit the cash account. On the other hand, if any credit
purchase is made by company then it will from the inventory account and credit is made
in cash account.
 Receipts are the transactions where company will be getting paid for handing over items
or offerings to another hotel.
 Payments are the transactions where company will receive money for the services they
have provided. They are recorded in the accounting journal by issuing the payment as a
credit cash and a debit to money payable.
A Source document describes all the primary statistics of the transaction, consisting of the
quantity of the transaction, to whom the transaction was made, the reason of the transaction, and
the transaction date (Rutherford, 2016). There are certain basic source documents used by
companies are:
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 Cash Memo:Sales and purchases are the main functions of any enterprise. For recording
cash sales and purchases, memos serve as source documents for company.
 Lock box check pics:These images helps in recording the cash receipts received from
customers.
 Packing slip. This describes the objects shipped to a consumer, thus, helps in recording
the sale transactions.
 Time card:This helps in the issuance of a pay check or digital fee to an employee.
The recording system is the process that helps in maintaining a monetary statement.
Recording transactions is a multi-step technique of every corporations.
The first step in recording accounting transactions of business is to look at the transaction and
decide what bills could be affected.
The second step in recording transactions of business is to decide what account can be debited
and what account can be credited.
The third step in recording transactions of business is to really report the transaction in an
accounting journal report.
Principles of double entry bookkeeping system of debits and credits
The debit and credit elements of a transaction are identified primarily based on the ideas of
double entry bookkeeping of accounting:
 Principle 1: Debit the Receiver, Credit the Giver
The nature of this principle says that, all the receiver’s account is to be debited and all
the giver's account is to be credited.
 Principle 1: debit what comes in, credit what goes out
The nature of this principle says that : to debit all the assets that are coming inside the business
and credit all the expenses which are going outside the business.
 Rule: Debit all Expenses and Losses, Credit all Incomes and Gains.
This principle depicts that all the expenses and losses of the business are to be debited, wherein,
all the incomes and gains of the business are to be credited.
Example of personal expenditure and income:
Purchased office fixtures for £.10,000:In this transaction furniture is coming inside the business
and cash is going out of the business. Thus, furniture account will be debited and cash account
will be credited (Nagurney and et.al., 2017).
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The need of an accounting report and present a Trial balance using a sample data, stating the
steps used and purpose of the Trial Balance,
Accounting reports are very useful in relation to maintain a report of transaction, cash flow,
profits, etc. Thus, the accounting reports will assist you to maintain the track of business
transactions, however they will also help the company in maintaining the budget, are expecting
cash flow, and forecast sales.
Sample Trial Balance
Steps In Preparation Of Trial Balance
 At the end of the financial year all the accounts need to be closed.
 Next step is closing balances of ledger are to be published in the trial balance.
 After then errors are to be recognized in trial balance.
 A suspense account is to be generated temporarily to tally the overall of trial balance until
the rectification entries created.
 Adjustment entries are needed at the end of the year which aren't formerly accounted for
incorporation of trial balance.
Purpose Of Trial Balance
The purpose of a trial balance is to make sure that the entries made into ledger account are
properly matched.
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A trial balance lists the finishing balance in each general ledger account and thus the total
amount of the debits and credits in each accounting entry are alleged to be balanced (Berger,
2019).
Therefore, if the debit overall and credit total on a trial balance do not match, it suggests
that one or more transactions were recorded within the ledger are unbalanced.
Analyse types of Cost and the importance of accurate recording of transactions in line with
accepted accounting principles.
Corporations follows various types of cost methods:
Direct Costs: It consists of materials, exertions, rate, or distribution price related with
producing a product. This cost influences the expense of company by tracing their direct
expense.
Indirect Costs: These are costs which are not related to producing a product. An oblique
fee can't be without problems traced to a commodity, department, or plan. This cost manages the
manufacturing overheads of the business like salaries, depreciation on building etc (Noe And
et.al. 2017).
Fixed Costs: This do not range with the number of products or services produces over the
long period. This cost manages the overhead expenses of company like rent, machinery etc.
Variable Costs: This type of cost fluctuates as the output of production changes, opposite
to a fixed price. It influences the production volume of the corporations.
Accounting Principles
Accrual Principle: According to this principle, the accurate recording of transactions are
important because it is essential for the developing of economic statements that show the
operations taken place within the financial year.
Going Concern Principle: According to this principle, the accurate recording of
transactions are important because This accounting precept presumes that a company will
continue to exist long sufficient to perform its goals and allegiance and could no longer liquidate
in the coming future (Wright, 2018).
Conclusion that critically evaluates the role of financial management
Financial management contains of a system that helps in providing entire financial
condition of the company. Thus, Financial management is accountable for the financial fitness of
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an organization. They produce monetary reports, Investment plans and prepare plans and
techniques for achieving long term goals of the company.
Financial management gives the power to make investments in the proper possibilities on the
right time. Thus, Only by means of thinking about the economic fitness of the business and
figuring out its capability to invest, the corporation can leverage on the proper opportunities
(Cascio, 2015).
Recommendations:
Thus, An effective financial management of company must be consist of coverage for
vital elements of the enterprise, budgeting for running capital, controlling debt and increasing
operational adaptability if the business is facing cash flow declines.
TASK 2
Issues in talent acquisition and retention
Hilton Hotel is branded hotel established in Uk, they are serving its best quality food and
beverage to customer. They are using natural leavens, along within its food items and dishes and
also include some natural ingredients only with no preservations and additives (Bratton and
Gold.2017). All the operations are running with the help to talent employees who have all the
knowledge of cooking and making food tasty. Manager of this company are facing issues in
retention and talent acquisition which make impact on its business services.
Problems in employee retention-
Monetary dissatisfaction- It is one of the biggest issue or reason for workers of Hilton
Hotel look for some another job. They have a salary budgets for each person in the company
which will be raised to some level but they are not going beyond a certain limit that make
employees unsatisfied and increase high employee turnover.
Unrealistic expectations- some people in organization cannot feel comfortable at
workplace due to come up with different backgrounds and culture(DeCenzo, Robbins and
Verhulst.2016). These type of workers left job and switch from another that impact on the other
people who are working in the company.
Talent acquisition issues
Offers package by competitors- every company in food and beverage and other sector
are trying to attract new and talented people in their organisation's which help to run business
effectively. Hilton Hotel manager face issues in talent acquisition where many people drive
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towards the another company because they are giving the best compensation packages to them.
Firms go long way to attract talented resources form their competitors, availability of such
lucrative offers make it things difficult to hire skilled and knowledge applicants (Schamer and
et.al.2018).
Factors to specific job in company
Every company focus on the procedure of talent acquisition and try to make it successful
within hiring talented people in firm. Hilton Hotel hire new manager in firm that help to organize
its business functions and retain employees with company for longer term. High level of
consumer service are one the most essential skill that are required for this job in organization. It
is one of factor that is needed in manager who are hire for specific job in firm. They must have
good communication skill that help to make effective conversation with customers. High level of
cultural awareness, ability of multitasking, work well in a and manage group of people and be
flexible are the factors to manager job in cafe. Working in hospitality sector will be both
mentally and physically demanding, it need lot of communication between staff, management
and customer and without this skill manager or person cannot drive company towards success.
To be succeed in job role manager must have the ability to efficaciously communicate with be
believe on time and time again. Manager have to encourage a lot of various people form a lot of
different places. In order to succeed in job they must be understanding and sensitive to different
religions, cultures, races, nationalities and everything in betwixt.
Employee legislation and its impact on company employment contract
Employee legislation is a law governed by the government and its governs employment
within workplace with each who works in any small and large organization. Fair labor standards
Act of 1938, Minimum Wage Act 1998 and Equality Act 2010 are the legislation that reflects in
Hilton Hotel.
Fair Labor Standards Act 1938, is a labor law that creates rights to minimum wage and
overtime and time a half pay when employees work over forty hours a week(Marland and
et.al.2017). It applies to those workers who are occupied in production of products and interstate
commerce for business. According to this act every organization need to give good wages to
people who are working in their firm. Thus, Hilton Hotel adhere and comply this Act in its
employment contract that assure workers about safety of rights. It will impact on company
decision-making procedure in which they have to give employees best package of wages and
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treat them fairly without any discrimination that help to engage them for long term of period. All
staff members are entitled to contract of employment that forms basis of employment relation.
Sex discrimination Act 1975, is a Act of parliament of UK which safe women and men
form discrimination on ground of marital or sex status. It concerns training, employment,
education and provision of service and products and disposal of premises(Rutherford.2016).
Hilton Hotel must comply this act in its employment contract in which they assure workers about
equality and opportunity of career growth without any differences base on gender, age and other
things. They make contacts within including this act that help staff to feel comfortable in the
organization. Firm has to make some changes in its employment agreements and add all the Acts
that help to attract talented people towards it business and make a part of business structure.
Stage of HR life cycle and its importance in retaining talent
Workers life cycle is concept of different stages of employee which goes through during
its time at company. The role of human resource is very important during this procedure. This
life cycle encompasses different stages in career of a worker, beginning with recruitment,
resignation, retirement and termination. It breaks down into five stages. There are some-
 Recruit: This stage includes all the procedures stellar up to and including hiring of
talented employee. Hilton Hotel hire new people in the organization in which they
conduct interview that help to recruit the best and talented candidates. HR manager of
firm ask some question about its skills and experience.
 Education: This stage begins from the moment personnel start of their new function.
They have to recognize their position within the Hilton Hotel, their expectancies, and
their duties(Nagurney and et.al.2017).
 Motivation:Turnover is maximum during the first 90 days, which is often because of a
lack of encouragement. HR can successfully encourage new hires by:
- Keeping the employees engaged in the activities of the Hotel.
- providing them reasons to live motivated, such as higher compensation, rewards, and
possibilities for growth.
 Evaluation:At this stage, a superior analysis and evaluates an employee’s overall
performance. It helps leaders and the worker to determine whether they are capable to
stay in this Hotel.
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 Celebration:This is the last stage if HR life cycle that offers Hilton Hotel the possibility
to arouse their staff, thank employees for his or her difficult work, and understand
essential milestones(Berger.2019). Thus, the company show their appreciation by means
of presenting unique benefits consisting of flexible work schedules, present cards, and
further bonus amount.
Performance management plan
Target Area Expected
Standard Of
Performance
Agreed
Improvement
Actions
Support Review Date
Verbal
Communication
skills:HR
manager should
focus on
improving the
communications
skills.
HR manager
should be able
communicate
properly with the
personnel and
customers.
To improve their
performance
hotel should
review their
performance by
taking feedback
from other people
regarding the
communication
skills of HR
manager.
The Hotel support
the HR manager
by help them in
practicing their
communication
skills.
The hotel should
review their
performance on a
weekly basis.
Human Resource
Software: HR
manager should
aware of how to
operate the HR
software.
HR manager is
expected run
software properly
to complete all
the activities.
The Hilton Hotel
should check the
performance of
HR manager by
checking their
skills to run the
HR software(Noe
and et.al.2017).
The Hilton Hotel
should support
the HR manager
by giving them
training about the
HR software.
The Hilton Hotel
should review
their performance
on a monthly
basis.
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Recommendations for improving HR life cycle
The Hilton Hotel should improve the HR life cycle by developing proper recruitment
process like they should include written tests and multiple interviews and at the same time the
company should provide attracting rewards to employees.
Further, the Hilton Hotel should introduce new personnel with existing employees and
make them aware about the organization culture.
Moreover, the Hilton Hotel should appreciate the efforts of employees for their
contribution in achieving organizational goals (Cascio, 2015).
TASK 3
Covered in PPT.
CONCLUSION
This report briefly summarizes about the financial transactions of Hilton Hotel inclusive
of their source documents like cash memo, invoices, time card etc. Further, The project have
highlighted about the Hilton's accounting principles and sample trial balance along with its
purpose. Eventually, the report have framed about the HR life cycle and along with it have
highlighted the performance management plan of HR manager.
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REFERENCES
Books and Journals
Berger, A.A., 2019. Media and communication research methods: An introduction to
qualitative and quantitative approaches. Sage Publications.
Bratton, J. and Gold, J., 2017. Human resource management: theory and practice. Palgrave.
Cascio, W.F., 2015. Managing human resources. McGraw-Hill.
DeCenzo, D.A., Robbins, S.P. and Verhulst, S.L., 2016. Fundamentals of Human Resource
Management, Binder Ready Version. John Wiley & Sons.
Marland, E. and et.al., 2017. Adherence to Accounting Principles. In Understanding and
Analysis: The California Air Resources Board Forest Offset Protoco.(pp. 29-36).
Springer, Cham.
Nagurney, J.M. And et.al., 2017. Emergency department visits without hospitalization are
associated with functional decline in older persons. Annals of emergency
medicine.69(4).pp.426-433.
Noe, R.A. And et.al., 2017. Human resource management: Gaining a competitive advantage.
New York, NY: McGraw-Hill Education.
Paterson, H. and Carpenter, C., 2015. Using different methods to communicate: how adults
with severe acquired communication difficulties make decisions about the
communication methods they use and how they experience them. Disability and
rehabilitation.37(17).pp.1522-1530.
Rutherford, B.A., 2016. Articulating accounting principles: Classical accounting theory as the
pursuit of “explanation by embodiment”. Journal of Applied Accounting
Research.17(2).pp.118-135.
Schamer, D. and et.al., 2018. System and Method for Providing Time to Cure Negative
Balances in Financial Accounts While Encouraging Rapid Curing of Those Balances to a
Positive Net Position. U.S. Patent Application 15/720,590.
Wright, P., 2018. Fundamentals of human resource management. Management.5.p.27.
Online
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5 Stages of the Human Resources Life Cycle in Need of Improvement.2018.[Online].Available
through:<http://www.mjms.net/blog/human-resources/5-stages-human-resources-life-cycle-
need-improvement/>
Different Effective Methods of Communication.2019.[Online].Available
through<https://www.educba.com/different-methods-of-communication/>
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