Strategic Hospitality Management: Challenges, Opportunities Report

This report provides a comprehensive analysis of strategic hospitality management, focusing on the interrelationship between the international hospitality industry and global tourism. It examines corporate strategy formulation, strategic management processes, and industry practices, including the basic concepts of international hospitality and global tourism. The report identifies challenges such as working conditions and social dialogue, as well as opportunities presented by technological advancements and customer preferences for cleanliness and hygiene. It discusses the role of strategic management in achieving organizational goals, the importance of understanding the models and analytical tools, and the application of corporate strategy formulations in the hospitality industry, highlighting the significance of product portfolio and company resources. The report concludes with a reflection on the effectiveness of strategic management in navigating the competitive landscape and enhancing productivity within the hospitality sector.

strategic hospitality
management
1

Table of Contents
strategic hospitality management....................................................................................................1
INTRODUCTION...........................................................................................................................3
MAIN BODY...................................................................................................................................4
 Aim of the study............................................................................................................4
 Objective of the study...................................................................................................4
Formulation of corporate strategy..........................................................................................4
Understanding about corporate strategy formulation and strategic management within
hospitality...............................................................................................................................4
Understanding of the models and analytical tools..................................................................5
Critical analysis of the industry practices...............................................................................6
Literature Review.............................................................................................................................6
The basic concept of the international hospitality and the global tourism.............................6
To access the challenges faced by the global tourism during the enhancement of the
productivity.............................................................................................................................6
To acknowledge the opportunity that is faced by the hospitality industry within the
competitive era.......................................................................................................................7
Critical analysis of the industry practices...............................................................................8
Treatment on the process of the corporate strategy formulation in the hospitality organisation.
................................................................................................................................................8
implementation of corporate strategy and strategic management process.............................9
2

Issues and challenges..............................................................................................................9
Discussion on effectiveness..................................................................................................10
Conclusion.....................................................................................................................................10
Reflection.......................................................................................................................................11
REFERENCES..............................................................................................................................11
ONLINE.........................................................................................................................................13
INTRODUCTION
The strategic hospitality management in the hospitality industry needs to generate and implement
the goals. This will be focused on the particular industry in order to improve the status of the
company or the organisation. The strategies that are created by the management that is related to
the board on behalf of the owners. The industry needs to have the strategic management that is
related to the process of the Unity, direction as well as the sense of the identity towards
achieving the business goals in the(Ali, 2018) .The strategic management will help the industry
while achieving the organisational goals in the efficient and in the effective manner. The
hospitality business strategy is help in the implementation of the complex process due to some of
the strategies needs some of the lengthy number of steps, this requires some of the timing to be
successful while making the business strategy. The strategic management within the hospitality
industry that requires the creating as well as implementing the goals that has been focused on the
particular industry while to improve the status of the organization. However, the strategic
management will work within the business on the model of the organization, that how to create
the competitive advantage within the industry. Apart from this report, consists of the explanation
of international hospital and the global tourism, as well as to recognise the challenges and
opportunity faced by global tourism for increasing the productivity of hospitality and global
tourism. This report also assists within the understanding of corporate strategy and the strategic
management, as well as every basic concept of international hospitality and global tourism
MAIN BODY
3

 Aim of the study
“To examine the interrelationship in between the international hospitality industry and the global
tourism along with the challenges and the opportunities faced while enhancing the
productivity”’.
 Objective of the study
1. To identify the basic concept of the international hospitality and the global tourism
2. To access the challenges faced by the global tourism during the enhancement of
productivity.
3. To acknowledge the opportunity that is faced by the organisation within the competitive
era (Bratton and Watson 2018)
Formulation of corporate strategy
Understanding about corporate strategy formulation and strategic management within
hospitality.
Strategy management is practise continuous planning, monitoring, analysis and assessment
where all the necessities within an organisation where needs to attain effective goal and
objective. The changes of business environment will it require about organisation towards
constantly assess their strategies for better success. The concept of strategic management is
related on setting plans for create organisation structure within effective manner also having
clear understanding about mission, vision and goal to attain action. In this role of leadership and
management is to manage employees, provide them proper guidance, enhance proper positive
outcomes (Chandran and Bhattacharya 2019) .In perspective of hospitality industry, the role of
strategic management is to handle services as per systematic manner, briefing about service
theme to staffs by their superior. Similarly in hotel their administrative as well as overall
working operation department allows to provide effective strategic plan where they monitor
staff’s performance as well as quality of service driven. In following there are some corporate
strategy formulations implies in hospitality industry are:
Corporate Strategy is hierarchically the highest strategic plan within the organisation that uses to
defines about the corporate overall goals and direction. Through this process it accomplished
within strategic management activities. It is a long term clearly defined vision the direction.
some of the corporate strategy formulations are important for hospitality influence values are a)
4

The product portfolio: It is the basis for the whole company and therefore towards effective
strategy direction. The company need direction and they must clear about wat they are tend to
deliver customers. As for hotel their product portfolio is services which is related with
housekeeping, food and beverages, maintenance and front office to help and provide proper
systematic hospitality service with extra resource to make comfort the customer expectation in
better manner. b) Company resources: They are necessary where to deliver product and services
and creates propel services processes. The main corporate strategy must include at least major
five assessment of existing resources. The resources which are used by hotels is advanced
machinery like trollies, convince facilities, bed, rooms accessories, food and beverages items to
serve guests and safety precaution resources (Flohr and Curtis 2021). Apart from it the major
resource which they require is human or manpower that plays an important role in the serving of
effective services, Information technology resource that handle operations, computers and
internet sources to help for procuring services within effective manner.
Understanding of the models and analytical tools
Organisation Model: It describe about how to set up process, effective organisation structure
and compares about overall structure and having overall operating principles to accomplish
strategic goals. This is necessary tool where set of rules of operation about polices, guidelines,
organisation structure, management structure within better management system where staff can
contribute their skills and knowledge to accomplish the task effectively. Similarly for hotel
industry, their organisation model decides through top level management or human resource
management in that they create workplace policies and regulation on which employees of all
department work accordingly (Gajjar and Okumus 2018) .Within optimal management system
and power of responsibilities of people so that people get effective better resources provided.
Understanding of the models and analytical tools.
Critical analysis of the industry practices
Literature Review
The basic concept of the international hospitality and the global tourism
According to the viewpoint of the author Henry Tsai 2021, the global hospitality and tourism
industry is related with the lodging, food, attraction of the customers, understanding the cultural
5

and also co- related with the travel industry. This is the world largest industry that covers the 4.5
trillion in their expenses and generate 212 million of the job across the world. As well as the
international tourism is also referring the terms that crosses the national borders. The
involvement of the globalisation also made the tourism sector the global leisure activity (Parnell,
2018.) .When the discussion is about the tourism industry this all is related to the Tourism
industry that can be defined as the service industry. From the author point of view,( Roy C
wood,) This includes the transportation and the accommodation and the services of the hotel. The
term hospitality refers to the guest that is away from home and will be welcomed by the host that
is the basic requirements that is provided the items such as food, beverages and the lodging
services. the basic leisure is providing in the international hospitality is the various condition
having the one time free that is related to the demand of the work of the duty, the freedom of the
spare time that is provided with the cessation of the activities, as well as the time at one
command that will be free of engagement and the responsibility of the industry.
To access the challenges faced by the global tourism during the enhancement of the productivity
According to the viewpoint of the author Vikrant Kaushal 2021, The challenges that are faced by
the global tourism during the enhancement of the productivity. Firstly, this is related to the
working conditions. The consumers demand sometimes the different pattern of working hour that
is frequently analysed that is social and irregular working hours that is in the form of weekend
shift, night shift as well as split shift. These are the working hours that causes the stress on the
staffs because they can meet with their family members. For the women staff this especially
causes more workload, because they have to look after their child and family. As well as some of
the problems also related from the social dialogue. This is related from the management labour
relation in the workplace that is necessary to provide the quality service to their customers
(Rather and Hollebeek 2019) .These are the relationship can only develop from the effective use
of the social dialogue rather than this will cause from the limited communication between their
staff. As well as this shows the weak presentation of the staffs and their low density and
interaction in their unions. From the author point of view, (Robert A. Rauch, CHA,2021)
Workers always try to express in the hotel whit bred that in the industry staffs are not engaged
properly in the social dialogue this causes the limited communication between the staff and the
heads of the industry. As well as in the hotel industry there is also the challenges of the economic
development and the reduction of the poverty reduction and the foreign direct investment the
6

hotel industrybecause this provides the various opportunities to reduce the poverty across the
world. Even the hotel industry creates the job and contributes the economic growth. But this is
not the automatic solution for the reduction of the poverty. However, this is really important for
the local investors to contribute and actively participate in the activities related from them. As
well as the local workforce can also help in order to involving and encouraging with the use of
the local companies in relation to the transport and the food services in relation to assist the local
poverty.
To acknowledge the opportunity that is faced by the hospitality within the competitive era
According to the viewpoint of the author Team linchpin 2021, the challenges that will be
converted into the opportunities will be follows(Slack and Brandon-Jones 2018). As every hotel
knows very well that first impression impacts every deal and many of the hotel guest for
maintain the sense of the standards in the hotel from the customer first visit to the last visit. The
customer or guest of the hotel firstly prefers the cleanliness as well as the hygiene that is ranked
the first opportunity in order to influence the customer well for choosing and recommending the
hotel for the future stay. This is the reason the hotel guest would happily prefer the luxury and as
well as technology like WIFI access. In comparison to the other dirty hotels. Now, in relation to
the technology this will also plays an important part while attracting the customers. As the
technology plays an integral part in the people’s everyday life. The hotel guest has the demand of
the basic right that is connected from the hotel and in any location over the world. This is the
technology that is related from the constant travel companion wherever the peoples go. Because
the innovative use of the technology get advantage to the customers that is not related to the
hotel operations. That helps the hotel to stand out from the competition and to get attract the new
customers. from the author point of view (Alan Clarke 2021) The hotel industry turned its hotel
into the robotics and the voice control technology that is related to the other technological
installation of the machines, like smart mini bars and the golf simulators. As well as the hotel
industry is using the amazon Echo and Alexa that is used in the rooms of the guest. These are the
biggest opportunity for the hotel while gaining the competitive advantage of the hotel. The
meaningful experience showing the customer is also the biggest opportunity while influencing
the customers towards the hotel. Because memories are the base of the powerful experience of
the customers, this grows the expectation now and always experience something. As well as in
the hotel industry there is the design trends, technology and the personalisation can help to
7

provide the experience that is meaningful for its customers and gives the loyal customers. The
quality service of the hotel Whitbread is also really important for the guest this can be made the
best and meaningful experience of the customers. However, in some of the cases, hotel design
and the interior trends that will be enough to attract the new customer of the hotel industry and in
other cases technology is also more attractive for the customers. As well as the hotel is judged by
the quality of the services that is delivered by the highly skill and the attentive staffs that wants
the personal touch in the respect of the ability to make the guest stay as the comfortable and the
relaxing as possible that is equally important to success in the hotel industry (Tipu and Fantazy
2018).
Critical analysis of the industry practices
Treatment on the process of the corporate strategy formulation in the hospitality organisation.
This study that investigates that how the hotel having it’s the effective strategic management
within the hospitality industry that includes the important elements of the business management
in order to build the brand and increasing the customer value. That helps to achieving the
operational excellence for making the good corporate citizen or the hospitality industry. In this
type of the environment the hospitality industry is establishing and maintaining the edge over the
competitors is one of the fundamental concerns of the hotel industry. That is focusing on the
success as the central phenomenon and the strategic management of the studies that have been
trying to determine organisational performance and the factors of the decade. The strategic
management of hospitality industry, this helps the hotel to determine the organisational
performance factors for the long run (Vieira and Ferreira 2018). As well as the strategic
management research has been produced to the difficult literature that is for the maximizing the
organisational success. This helps the hotel Whitbread to prioritize the detailed success recipes
on over the systematic and as well as in the empirical way. The strategic management conduct
the research that contains the industrial characteristic that is critical for the both strategy
formulation and implementation of the new technology. The hospitality industries have rising the
needs of the strategic management. This is related to the latest technology growth and the made
the industry capable to improve its productivity worldwide. As well as this strategy can be
formulated on the basis of the two behaviours: by the help of making the managerial strategy in
order to achieve the short term or long-term goals of the industry. The process of the planning
approach of the strategy and the formulation that is generally, related into three of the stages like
8

as the industry functional and the corporate level of the strategy. So, this strategy is really useful
for the hotel Whitbread while making its strategy formulation for the hotel industry.
implementation of corporate strategy and strategic management process
as the strategic planning is the way of including the factors and the techniques in the systematic
way in order to achieve the specific goal of the hospitality industry. The strategic management
includes the establishment of the clear objectives and the goals (Zopiati and Theocharous 2018).
As well as the strategic management is considered as the most important function of the
organisation that have the aims and objective to provide direction to the hotel industry and to
make sure the appropriate resources is using that is useful for the decision making. As well as
strategic management of the hotel is as follows-
going green- the hotel industry attracts the customers through its idea to preserve the
environmental strategy which works to keep green chain by the help of reducing the fuel and the
water consumption on its properties.
Safety concerns-as the major hotelier in the today’s time, as the part of the consumer
service for the hotel industry is being sure that they have the security and the changes policies at
the same time.
reward program- while aligning with the focus on the overall experience of the guest.
That hotel industry manages as an extensive loyalty program in order to reward the potential
customer of the hotel.
Issues and challenges
Not every challenges of the hotel industry are the unique one, but there are various
challenges are the common within the hospitality industry as well as in the other industry. For
being the hospitality and the profitable business. The Hoteliers is sharing many of the problems.
There are some of the major problems will be discussed as follows-
Hiring and retaining the staff- every hotel industry needs the staffs and the hotel industry
also needs the staffs related to the administration, maintenance, kitchen and housekeeping, or
Front desk and the lack of education in the youth graduate from the hospitality is also going to
proof the major challenges within the hotel industry.
Change in marketing trends- change in the advertising and marketing the trend often that
creates the problem for the hoteliers (Vij 2019). The traditional marketing is the method that is
not effective. So, this includes the solution to engage the guest on the social media as well as on
9

the messaging apps and the other online sources that will work for the hotel industry and give the
outcome in few of the months.
Discussion on effectiveness
The effectiveness of the strategic management in the hospitality industry that helps to provide the
business every optional and recreational services to the consumers for their leisure. This means
that not only this includes the accommodation, such as the hotels, motels and the breakfast. As
well as this also include the businesses like entertainment, events and the transportation. This
also helps in making the creative plans within the hospitality industry. This will help to build the
brand franchise that is the part of the chain or has the private brand. This brand of the hotel helps
to determine the various options and strategies while implementing the plans for the hospitality
so, this has been proved that strategic formulation plan is really important for implementing the
plans in the hotel industry (Yozcu and Cetin 2019).
Conclusion
From the above report the conclusion of the topic is as follows- the report includes the strategic
hospitality management. In which there is the various demonstration and the understanding of
the corporate strategy formulation as well as the strategic management that is applied by the
hospitality industry this report also provide the various planning of the hospitality management
and what are the strategies that is used by the hospitality industry in order to achieve the success
within the organisation. as well as this report also includes the literature review which identify
the various aim and objectives of the report. In which this includes the various case studies that is
followed by the hotel in order to accomplish the strategic plan in the planned way. The strategic
hospitality management assist to solve the entire problem related to the hospitality, as well as the
ultimate aim of strategic management in hospitality combines developing or regulating goals
which let towards focus on benefits to the entire industry in becoming more competent, it
provides appropriate direction in effective manner to fulfil hospitality industry goals and
objectives
10

Reflection
From the above report in my point of view the hospitality industry is one of the important things
to manage the hotels across the world. So, the strategic planning and the formulation of the
strategic planning plays most appropriate role while make the hotel successful across the
world .as well as the strategic formulation is applied by the hotel industry to gain the competitive
advantage, as well as this will also help to influence the customers by providing them the quality
of the service and building the name of the brand. This also provide various strategies while
establishing the hotel and to survive properly within the hotel industry.
REFERENCES
Books and Journal
Ali, A.A., 2018. Strategic planning–organizational performance relationship: Perspectives of
previous studies and literature review. International Journal of Healthcare Management, 11(1),
pp.8-24.
Bratton, J. and Watson, S., 2018. Talent management, emotional labour and the role of line
managers in the Scottish hospitality industry. Worldwide Hospitality and Tourism Themes.
Chandran, C. and Bhattacharya, P., 2019. Hotel’s best practices as strategic drivers for
environmental sustainability and green marketing. Journal of Global Scholars of Marketing
Science, 29(2), pp.218-233.
11

Flohr, T.M. and Curtis, C.R., 2021. The Importance of Integrating Project Management into
Hospitality Management Curriculum. Journal of Hospitality & Tourism Research,
p.10963480211000830.
Gajjar, T. and Okumus, F., 2018. Diversity management: What are the leading hospitality and
tourism companies reporting?. Journal of Hospitality Marketing & Management, 27(8), pp.905-
925.
Lee, S., Ham, S. and Koh, Y., 2019. Special issue on economic implications of corporate social
responsibility and sustainability in tourism and hospitality.
Parnell, J.A., 2018. Nonmarket and market strategies, strategic uncertainty and strategic
capabilities. Management Research Review.
Rather, R.A. and Hollebeek, L.D., 2019. Exploring and validating social identification and social
exchange-based drivers of hospitality customer loyalty. International Journal of Contemporary
Hospitality Management.
Slack, N. and Brandon-Jones, A., 2018. Operations and process management: principles and
practice for strategic impact. Pearson UK.
Tipu, S.A.A. and Fantazy, K., 2018. Exploring the relationships of strategic entrepreneurship and
social capital to sustainable supply chain management and organizational
performance. International Journal of Productivity and Performance Management.
Vieira, E.R.M. and Ferreira, J.J., 2018. Strategic framework of fitness clubs based on quality
dimensions: the blue ocean strategy approach. Total Quality Management & Business
Excellence, 29(13-14), pp.1648-1667.
Vij, M., 2019. The emerging importance of risk management and enterprise risk management
strategies in the Indian hospitality industry. Worldwide Hospitality and Tourism Themes.
Yozcu, O.K. and Cetin, G., 2019. A Strategic Approach to Managing Risk and Crisis at Tourist
Destinations. In Tourist Destination Management (pp. 273-287). Springer, Cham.
Zopiatis, A. and Theocharous, A.L., 2018. PRAXIS: The determining element of innovation
behavior in the hospitality industry. Journal of Hospitality and Tourism Management, 35, pp.9-
16.
ONLINE
Tsai., H. 2021 Tourism and hotel competitive research [online available through]:<
https://www.tandfonline.com/doi/full/10.1080/10548400903163079>
Vikrant., K, 2021 hospitality and tourism industry prospective and challenges[online available]
through:< https://www.ncbi.nlm.nih.gov/pmc/articles/PMC7528873/>
12

Linchpin., T 2021, hospitality industry challenges and opportunity[online available]through:<
https://linchpinseo.com/common-challenges-facing-the-hospitality-industry/>
Wood. R, 2021, hospitality management [online avalible] through < Waisman-Nitzan, Gal, and
Schreuer 2019>
Rauch. R hospitality, 2021 industry from management [online available] through<
https://www.hospitalitynet.org/opinion/4070143.html>
Clarke. A. 2021, international hospitality management [online available]through <
https://www.routledge.com/International-Hospitality-Management/Clarke-Clarke-Chen/p/book/
9780750666756>
13