MGBBT0UBN: Analysis of Business Structure & HRM in Hospitality Sector

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This essay provides an analysis of business organisations, focusing on Safe Stay Holland Park. It explores different business structures, including sole proprietorships, partnerships, and limited companies, highlighting their advantages and disadvantages. The essay contrasts tall and flat organisational structures, evaluating their impact on communication and employee motivation. It further examines the functions of Human Resource Management, production, and operations within Safe Stay Holland Park, emphasizing their roles in recruiting, training, and maintaining a positive organisational culture. The analysis underscores the importance of a positive organisational culture in enhancing employee satisfaction and brand recognition within the hospitality industry. Desklib offers a repository of similar documents to aid students in their academic pursuits.
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MGBBT0UBN
Understanding Business
Organisations
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Table of Contents
INTRODUCTION ..........................................................................................................................2
TASK...............................................................................................................................................3
CONCLUSION ...............................................................................................................................7
REFERENCES................................................................................................................................8
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INTRODUCTION
Business organisation refers to the entity that is created with the motive of carrying of
commercial activities. It can be of the form like the sole trader , partnership or the limited
company. It offers the goods and services as per the need and have appropriate work structure.
The essay will cover about the Safe stay Holland park which is a beautiful grade I which is a
listed building situated in the middle of one of West London's most prestigious parks. It offers
affordable accommodation and stylish social spaces, 24 hour reception and free Wi-Fi(Abdulaali,
2018). The essay below will be covering the different from of organisation along with their pros
and cons. Further the essay will cover the comparative view of the tall and flat structure along
with its benefits and drawbacks. Also the functions of human resource management, production
and operations and the impact of the activities of functional management on the organisation and
also on the people. Provide a brief about the culture in which the hospitality industry is
conducting its operations.
TASK
Business organisation is considered as very important choice to be made. The reason behind this
is the form of business adopted will be influenced by various factors and so does the goals are
required to be directed to that form. It is also very important to understand the pros and cons
associated with it.
Sole trader- as per this form, the business organisation is owned and manager by the single
person whose aim is to benefit himself. The decision for the business existence is of the owner
only. It is seen generally that when the owner dies, the business comes to an end.
Advantages-
all the profits of the business belongs to the owner only and little or no regulatory formalities
exist for these forms of the organisation(Cattermole, 2018). Owner has the flexibility in running
the business according to him and for initiating this form of business, there are no complex
requirement that needs to be fulfilled apart from one thing that is a business license.
Disadvantages-
Whatever are the debts of the business, owner is responsible for that. The equity is restricted to
personal resources of the owner and it is very difficult to transfer the partnership. There exist no
difference between the personal and business income.
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Partnership- this comes in two forms that is general and the limited. When it is the general
partnership, partners tends to invest their money, property and labour to the business they are
conducting and are responsible for the business debts. Whereas the limited partnerships requires
a agreement which contains formal terms to be maintained among the partners(Dolezal and
Novelli, 2022). There is no unlimited liability on the partners that is partners have the right to
limit the liability to a certain level.
Advantages-
When it comes the resources to be in more shared form, this benefits through the more capital
into business. The profits of the company gets shared by each partners. Not so expensive to
establish the partnership.
Disadvantages-
Each partner associated in the partnership is responsible for the debts occurring in the
organisation. To sell the business, is the difficult task to do and partnership comes to the end,
where any partner decides it to be ended.
Limited company- the amount of liability that each shareholders undertook gets limited and
therefore it refers to that legal format of the business that restricts the liability of the members of
the company to their respective stake(Erthal and Marques, 2018).
Advantages-
The members and the company is distinct that is there maintain a separate legal entity which
means that if due to any reason if person is unable to contribute to the operations of the business,
then it will not lead that company comes to an end. The major benefit is of the reduced tax
liability and the contribution with respect to the national insurance.
Disadvantage-
the lengthy and complex procedure for registering a company in the legal house and lack of
privacy as the records with respect to the company gets published publicly which means that can
be accessed by anyone.
Safe stay Holland Park is the hospitality industry that comes under the category of PLC.
The tall and flat structure of the organisation are basically the level of management. When seen
the contrasting feature, in tall structure, the CEO holds the top position in the chain of command
which comprised of the various levels of the management whereas the flat structure involves
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little levels of the management and major contribution is made by the employee in the process of
the decision making.
Advantages of the tall organisation structure-
As there are more opportunities available for the promotion, so there are great chances for the
staff to be highly motivated(Huang, Wu and Wang, 2019). The major support is given by the line
manager to the staff. As under each manager, there are very few members involves, so
supervision can be done easily.
Disadvantages-
As there are many hierarchy levels, sometimes it becomes difficult to reach the common
decision. As instruction provided takes time to reach the destination due to the longer chain of
command involved, the communication becomes slower and hence this makes the people less
responsive to the significant changes.
Advantages of the flat organisation structure-
Very few hierarchy levels, so communications are made faster and also make the firms to make a
quick response to the changes and also to the decision making(JENKINSON, 2020). Staff
engaged in this structure, are empowered to work in an independent way and is equipped with
the quality of handling of the one or more responsibility.
Disadvantages-
Due to high delegation of the task to the employees, it lead to the more stress level and due to
this managers also feel tired. No high opportunities available for the promotion that weakens the
interest of the employee to remain in the organisation for the longer period of the time.
Safe stay Holland Park is having the tall structure as the hotels have operations that are
conducted on large scale. The hotel therefore considers all the pros and cons associated with it.
There are three important departments in the Safe stay Holland Park that is playing an
important role in the smooth functioning of the hotel and comprised of the human resource
management, operations and productions(Lee, 2018). Each department consist of its own
functions.
Human Resource Management- this refers to the method of recruiting, selecting, employees
induction, orientation process, the training and development and also motivating the employees
and so on.
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Three most important business functions-
Recruiting and hiring- in order to be competitive in the hospitality industry, it is very important
to attract and retain the top talent. For this purpose the strategic plan is prepared by the HR team
in order to gain proper understanding with respect to kinds of the people that best fits position
along with the consideration of their knowledge, education, experience and most importantly
skills.
Onboarding and training- once the hiring function is completed, next is the onboarding and
training process so that the individual gets excel in their roles(Marsden, 2020). The process of
onboarding will include the clear understanding of the mission, vision and values of the hotel and
also the knowledge of the internal policies and procedures
Creation of the rewarding work culture- it is considered as the most important function in order
to make employees sustain in the organisation for a longer period of time. This is done through
keeping the level of morale high of the employees. For this employees are provided tangible and
intangible benefits.
Operations management- it plays vital role in the success of the organisation. In Safe Stay
Holland Park, it includes the implementation of the resources, material, equipment and the
technology.
Some of the most important functions of the operations department-
managers offer various resources to the employees- it is vital for the operations department to
coordinate the human resource department in order to view that resources are capable to fulfil the
need of the employee development.
To assess the business process value- the business processes are required to be constantly
improved so that employees performance can be enhanced(Ramanujam, 2022). This functions
offers high value in determining the competition level and also the actions taken to complete the
project.
Production department- it is considered as the important department of the hotel. In the Safe
Stay Holland Park this department relates to the food where its role to prepare the food for the
guest.
Function of the production department-
Quality control- it is imperative that the longevity of the hotel will be highly influenced by the
quality of the products that the hotel is offering. Therefore it is offering the top quality products
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and services to the guest so that guest visit the hotel again and the production manager has the
responsibility to constantly improve the quality of products.
Organisation culture is comprised of the expectations, values and practices which act as guidance
to the team members. Business with the organisation culture, are prone to be more successful
then the ones that is less structured because of the proper and accurate systems in the
place(Stone, Cox and Gavin, 2020). This benefits in the enhanced level of the employees, the
improved productivity level and also there engagement also gets increased.
A strong and the positive culture of organisation have the benefit that not only cultivates a
workspace but also employees experience higher job satisfaction level, they tend to engage more
in the task. Also due to the positive culture, employees perform more than what it is required to
do and also feels satisfied. A distinct position is created in the hospitality industry and the brand
is given a high recognition.
CONCLUSION
From the essay above, it came to view that business organisation have the tendency to work with
different structure which pursue different advantages and disadvantage. There are various forms
of the business organisation that exist in the market place and referred above along with its pros
and cons. There are most importantly two structure in the organisation that is seen most
commonly that is flat and tall, where the deciding factor is the scale on which the operations are
conducted. Various functions of the organisation perform distinct role in order to run the hotel in
an accurate way. The culture needs to maintained positively that not only benefits the staff but
also guest would like to visit again and again.
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REFERENCES
Books and Journals
Abdulaali, A.R., 2018. The impact of intellectual capital on business organization. Academy of
Accounting and Financial Studies Journal, 22(6), pp.1-16.
Cattermole, G., 2018. Creating an employee engagement strategy for millennials. Strategic HR
Review.
Dolezal, C. and Novelli, M., 2022. Power in community-based tourism: empowerment and
partnership in Bali. Journal of Sustainable Tourism, 30(10), pp.2352-2370.
Erthal, A. and Marques, L., 2018. National culture and organisational culture in lean
organisations: a systematic review. Production Planning & Control, 29(8), pp.668-687.
Huang, L., Wu, C. and Wang, B., 2019. Challenges, opportunities and paradigm of applying big
data to production safety management: From a theoretical perspective. Journal of Cleaner
Production, 231, pp.592-599.
JENKINSON, M.W., 2020. THE AUDIT OF A PUBLIC LIMITED COMPANY. In The
Evolution of Audit Thought and Practice (pp. 218-231). Routledge.
Lee, C.K.H., 2018. A review of applications of genetic algorithms in operations
management. Engineering Applications of Artificial Intelligence, 76, pp.1-12.
Marsden, E., 2020. “Music for your breakfast” relational work in a sole trader’s intercultural
business emails. Politeness in Professional Contexts, 311, p.225.
Ramanujam, R., 2022. From the Tall Tower to a Lush Garden. In Learning without Burden (pp.
104-119). Routledge India.
Stone, R.J., Cox, A. and Gavin, M., 2020. Human resource management. John Wiley & Sons.
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