Contemporary Hospitality Industry: Structure, Staffing, Trends Report

This report provides a comprehensive overview of the contemporary hospitality industry, examining its structure, staffing requirements, and recent developments. It begins by analyzing the scale, scope, and diversity of the industry, followed by a discussion of organizational structures, including proprietary ownership, franchises, and management contracts, using The Mayflower Pub as a case study. The report then delves into staffing requirements, roles, and qualifications for various positions, such as bartenders, servers, and management. Furthermore, it explores recent developments affecting the industry, including operational, managerial, and legislative issues, and presents predictions for future trends and their potential impact. The report concludes with a summary of key findings and a list of references.

THE CONTEMPORARY HOSPITALITY INDUSTRY

Table of contents
Introduction......................................................................................................................................3
Task 1...............................................................................................................................................3
LO1: Understanding the current structure of hospitality industry...............................................3
A.C-1.1: Analysing the current scale, scope and diversity of the hospitality industry............3
A.C-1.2: Discussing the organisational structure of different hospitality organisations.........4
A.C-1.3: Assessing the role of hospitality-related organisations and professional bodies......4
LO2-Understanding staffing in the hospitality industry..............................................................6
A.C-2.1: Assessing the staffing requirements of different hospitality industries....................6
A.C-2.2: Discussing the roles, responsibilities and qualification requirements for hospitality
staff..........................................................................................................................................6
Task 2...............................................................................................................................................8
LO-3: Understanding recent developments affecting hospitality................................................8
1. Analysing operational, managerial and legislative issues resulting from recent
developments affecting the hospitality industry......................................................................8
2. Discussing the current image of the hospitality industry.....................................................9
LO-4: Recognising potential trends and developments in hospitality.......................................10
1. Presenting justified predictions for potential trends and developments in hospitality......10
2. Producing an impact analysis for the predicted trends and developments........................11
Conclusion.....................................................................................................................................12
References......................................................................................................................................13

Introduction
The hospitality industry has seen the massive surge in demand in the recent years. This is one of
the reasons why it is important to understand the working and mechanism of the industry. The
current assignment focuses on providing information pertaining to the diversity and trends in the
hospitality industries and its offshoots. The main objective of the assignment is to understand the
current organisational structure existing in the hospitality industry. By understanding this
concept, the staffing needs of these kinds of labour intensive industries can be understood. There
will be a brief description pertaining to the development in the market that directly or indirectly
affects hospitality industry and this would help in identifying the potential trends that are present
in the market which can be used for development of hospitality industry. The current assignment
focuses on the case study of The Mayflower Pub, which would be essential to relate to the
present day hospitality industry.
Task 1
LO1: Understanding the current structure of hospitality industry
A.C-1.1: Analysing the current scale, scope and diversity of the hospitality industry
The hospitality industry has been recognised as one of the most vigorously growing Industries
actors in the world. The hospitality industry is involved in providing services such as beverages,
logistics and documentation, food, travel and tourism to name a few. Hence, according to
Radojevic et al. (2015, p.14), it is quite understandable that the hospitality industry plays a major
role in the world economy as it is directly responsible for boosting the GDP of a country. The
hospitality industry is unique as it is very diverse in the nature of services and products that it
caters to the service users and customers.
The presence of hospitality industry can be filed in every field of the market to the present date.
The diversification has resulted from the various demands of the customers that they perceive to
be well enough the capability of the hospitality industry. The industry functions by incorporating
management and sales, appropriate use of human resources in order to maintain services such as
housekeeping, travel and tourism. This has effectively been responsible for providing the room
for development and an opportunity to grow for the organisations operating in this industry. The
Mayflower pub is one such kind of organisation that operates in the purview of the bar and
restaurant sector of the hospitality industry and over the time has become a top choice
destination for customers looking to indulge in beverages (Kandampully et al. 2015, p.381).

A.C-1.2: Discussing the organisational structure of different hospitality organisations
According to Jones et al. (2016, p.38), the organisational structure that can be found in the
hospitality organisations are mainly of three trains. They are proprietary ownership, franchises
and management contracts. This kind of organisational structure is common to all the
organisations operating in this industry respective of the sector in which they provide the
services. In the proprietor ownership, the organisation is effectively owned by a single individual
our company. This is a direct type of ownership that is mainly observed in family businesses
where the properties are managed by the members of a family. Search kind of business structure
involved the presence of co-owner who shares the individual properties and is involved in the
capitalistic investment as independent investors. All the revenue generated is enjoyed by the
individuals who are directly involved in running the organisation.
In franchise setting of organisational structure, the properties are owned by a different set of the
party who are working under the mother company. This effective collaboration helps both the
parties as the franchise owner is able to operate under the name of a well-known brand and also
implement the overall business design and this intern helps the organisation to grow the customer
base. In return, the franchisee benefits from the royalties that and by the sales that have been
made in the name of the mother company and this is based upon the total income of the property.
In management contract, property owners strike a deal with hotel management companies in
order to operate the existing establishments (Wang, 2014, p.940). The Mayflower pub can be
considered to be involved in a type of business that showcases mainly proprietary ownership.
However, in the case of a crisis, the establishment can form a contract with a hotel management
group in order to enhance the revenue and payment can be made by sharing the received profits.
A.C-1.3: Assessing the role of hospitality-related organisations and professional bodies
In order to assess the role of hospitality organisations with respect to professional bodies, it is
very necessary to undertake unnecessary research pertaining to customer perception (Bharwani
and Jauhari, 2014, p.830). This is so because the customer’s perspective shapes the overall
service of the hospitality organisation and thus it is required to acquire a deeper understanding of
the concept of the customer relationship. The hospitality industry is observed at the global
platform as the harbinger of profit and wellbeing.
It provides jobs and is also responsible for maintaining the economic balance between richer and
poor regions of the globe. In words of Wang et al. (2014, p.82), the main role that the hospitality

industry performs are responding to the needs of traveller were far away from home and provide
them with a homely atmosphere. They are also responsible for dealing with the social and health
issues of the gas and analysing the food habits that was just in the hospitality industry. The role
is also to understand what ticks off the customers. The major role that has to be assumed by
employees working in the hospitality industry is that of balancing career and family life.

LO2-Understanding staffing in the hospitality industry
A.C-2.1: Assessing the staffing requirements of different hospitality industries
The pub sector of the hospitality industry is not as labour intensive the rest of the sectors present
in the field but requires skilled and competent staffs you may be able to undertake and cater to
the various needs of the customers. In the current case study of the Mayflower pub, the staffing
requirements are based on the customers and their profile. Thus, in such case, a pub needs to
have competent bartenders, servers and other management staff such as the bouncers. The
bartenders are those behind the counters who are responsible for making the drinks while the
servers serve the orders to the customer (Šerić et al. 2014, p.150). It is reasonable enough to
understand that it is very much critical for a company to have competent and experienced
personals behind the bars handling the customer requests. Since the customers are more
interested in the delivery of the services and fairness in the process, the management of the
organisation needs to understand that their policies and strategies need to take care of the
customers.
According to Gin Choi et al. (2013, p.411), having an experienced worker can be quite an
achievement as they can be directly involved in boosting the sales and services by improving and
maintaining customer relationship. On the other hand, the servers are required to be more
focused and attentive towards the demands of the customers and should be able to manage the
situations without providing faulty services. The last main service that in the establishment must
ensure is maintaining safety by providing security to the customers and are key individuals who
are responsible for improving the brand image of the organisation. The individuals who are
employed as bouncers need to be physically and mentally strong in order to deal with the
difficult customers who threaten to destroy the positive vibes of the establishment.
A.C-2.2: Discussing the roles, responsibilities and qualification requirements for hospitality
staff
As per the services provided by the Maryland pub, it is quite easily understandable that unlike its
other hospitality industry counterparts the rules and responsibilities of the employees who would
be responsible for handling the functioning of the organisation. The bar and restaurant sector is
such that they have no need for an educational qualification if they want to run the pub or bar.
However, for the management process, people having qualification is desirable. The first
discussion would be made on roles and responsibilities of the individuals who will be directly

involved in running the organisation such as the bartenders, the servers and the bouncers. The
minimum age requirement is 18 years but apprenticeship can be started at age of 16 so as to give
some quality experience in customer service. This group of employees needs to be qualified
enough to be able to handle a variety of customers. They need to be good at math and should be
able to remember the orders placed by the customers (Wang, 2013, p.1000).
On the other hand, people who are employed in the management division of the pop need to
understand that their qualification requirements will be the platform on which they will be
expected to perform. Hence, they need to master the art of division of labour which would
essentially be helpful in segmenting the different tasks that are necessary for sustaining the
organisation. According to Sukuru et al. (2014, p.230), these individuals will also be responsible
for hiring doors who will be key in the functioning of the organisation on the ground. They will
be responsible for undertaking the financial and managerial decisions that would allow the
company to sustain in the future market conditions as well as all of them to run without facing
any barriers that can be determined till to the growth of the organisation.

Task 2
LO-3: Understanding recent developments affecting hospitality
1. Analysing operational, managerial and legislative issues resulting from recent
developments affecting the hospitality industry.
The current economic conditions that are persisting in the market along with the social-cultural
issues that are present in the society have had a very deep impact on the hospitality industry.
These issues are generally operational, managerial and legislative based issues and need to be
understood in order to maintain the growth of the industry. The main operational issues that one
can fill in the hospitality industry are the scarcity of the labours, separation of the cost and rise
and the number of the competitors (Prud'homme and Raymond, 2013, p.125). The current market
is unable to provide qualified and skilled labourers who are responsible for handling the
resources of the organisation. In such a case, operating the organisation becomes difficult. The
matter of cost operation is undertaken by several organisations working in the industry in order
to attract and lure more customers, however, they fail to work out the entire process of actions
and consequences.
According to Karatepe and Karadas (2015, p.1255), because the operation is done by doing away
with services that are not considered necessary. Globalisation has brought the world together and
this is not a good thing for operating a business entity as the number of business ventures has
seemingly gone of irrespective of the industrial sector and this is an operational issue. The
managerial issues comprise of the short-lived effects pertaining to an event and also competition.
The current global scenario it's written by the terrorist activities where the westerners are
targeted by these radical groups. This, in turn, affects the sales of the products and services
which are important running the business. Increased competition has forced the management to
undertake severe decisions in terms of prices and services provided as they wish to attain a
competitive advantage over the rivals.
The last and the most important of the issues is the legislative issue. One should remember, that
legislations which protect the rights of the customers are also responsible for defending the
variety of privileges of the employees as well. Cleanliness and hygiene of the establishment and
the surroundings along with the fitness and security provided by the establishment fall under the
perfume of the legislations that are in place for the hospitality industry (Dedeoğlu and Demirer,
2015, p.137). There are several acts and regulations that have been formulated in order to ensure

that all these privileges do the customers, as well as the employees, are entitled to are provided
by the establishment or the organisations such as the Maryland pub. These above-mentioned
issues have come into play due to the current economic and geopolitical conditions that exist in
the region. The customer's demand more safety and security in order to enjoy the facilities that
are provided by the establishment without raising any political social taboo.
2. Discussing the current image of the hospitality industry
The current the hospitality industry is very exclusive and a very satisfying place to work as the
extent of responsibilities and rules are very diverse and this makes working in the industry a
challenge as well as fun. Globalisation has played an important role in moulding the industry by
allowing the travellers and tourist to undertake tours without many restrictions that previously
was detrimental for the growth of the industry (Law et al. 2014, p.728). The organisations
operating in the industry try to provide exceptional services for fulfilling the needs of the
customers this helps in the creation of a trust between the two parties wherein the organisation
profits from the revenues while the customers are provided with services that lay the foundation
for customer satisfaction and pleasure.
The hospitality industry today is very different from the hospitality industry in the past because
of globalisation. Yet the industry remains very dynamic as it provides a lot of career choices for
those in need of a job, formulates strategies to retain the customers and also to enjoy a
competitive advantage over the rivals. In words of N. Torres and Kline (2013, p.642), the overall
quality of the services has greatly improved, the customer needs have developed and modified in
accordance with the changing times. However, this does not mean that the industry has come to a
standstill in terms of evolution and innovativeness that are required for meeting the needs of the
customers and satisfying them.

LO-4: Recognising potential trends and developments in hospitality
1. Presenting justified predictions for potential trends and developments in hospitality
As already mentioned in several of the instances in present assignment, globalisation has been
the key factor in the developing the hospitality industry. This has resulted in the development of
trends that are responsible for guiding the hospitality organisations pertaining to the needs and
demands of the customers (Raub and Robert, 2013, p.137). The first and foremost trend that is
observed in customers today is the body of protection and privacy of the tourists visiting an
unknown land. The customers also demand and in-depth assessment of the personal
compositions so as to provide a more customised service. The customers also are more attracted
towards organisations which use latest equipment and Technology that can be fruitful for
improving visitor services as well as aggressiveness in the market without compromising the
value for money for the services that they are paying for.
The demands of the customers have resulted in the government intervention by formulating
policies and regulations which can be helpful in satisfying these needs of the customers. As the
customers are more demanding pertaining to the subject of value for money, these services
cannot be exorbitantly price and need to be environmental is sensitised in order to attract those
who are very vocal about the demands of ecologically sustainable accommodation. In words of
Liat et al. (2014, p.320), customers are such an entity of the hospitality industry that their
rationale cannot be ignored lest the back away from availing the services provided by the
hospitality organisations. Hence, it is important for these organisations to understand the trend
that is present in the current market.
Few of the trends that are readily observable in the current market are demand for extra green
and eco-friendlier accommodations that significantly reduces the carbon footprint of the industry.
The customers also want that large hotel can be expanded in order to make room for
multifunctional amenities that can be enjoyed by the customers. Another potential trend that
persists in the market is the requirement of boutique Lodges which enthrals the customers. No
one wants to visit in an establishment where the staff does not know what they are doing and
how to get things done and hence the customers want more intellectual hotels who have a
superior knowledge in terms of know how (Gatling et al. 2016, p.472).
2. Producing an impact analysis for the predicted trends and developments
Economic impact analysis This kind of analysis is done in order to find

out the different streams of revenue that are
linked with the hospitality industry and it is
used to analyse the guest expenditure impact
on the organisation (Ali and Amin, 2014,
p.250).
Fiscal impact analysis This kind of analysis is undertaken in order to
identify the sources from which the
government can actually benefit from the
revenues of the hospitality industry either
directly or indirectly (Jasper and Waldhart,
2013, p.578).
Financial analysis Financial analysis helps in understanding
whether a turnover can be expected in the
current fiscal year. This helps in finding out
the amount of income that will be sufficient
enough to recover the charges of the services
and also bring home a sizeable profit
(Fakharyan et al. 2014, p.617).
Demand analysis Analysing demand is important as it is
directly involved with the transformation of
the tourist and customers. This is necessary in
order to understand the transformation by
predicting the trends that are visible in the
customers (Jani and Han, 2014, p.19).
Benefit-cost analysis Just kind of analysis is undertaken to analyse
the virtual economic competency how the
strategy that has been undertaken by the
organisation evaluating the profit and

communal well-being (Law et al. 2013, p.20).
Likelihood study This kind of study is undertaken in order to
answer the question whether of formulated
strategy can work or not in carrying out a
specific action without compromising social
political economic and physical entities (M.
Karatepe, 2014, p.308).
Environmental impact analysis This analysis is undertaken to understand the
degree of harm or damage that is done by
implementing strategies are working out
actions on the environment (Ali and Amin,
2014, p.252).
Table 1: Impact analysis for predicted trends in development
(Source: Gatling et al. 2016, p.487)
Conclusion
The current assignment was helpful in understanding the offers and opportunities that are made
by the Global hospitality industry in terms of employment as well as services to the customers.
The case study of Maryland pub was helpful in understanding the various structures that are
present in the current hospitality industry. It was also quite helpful in understanding the staffing
needs present in the hospitality industry specific to the bar and restaurant sector. By
understanding the recent development that is affecting the hospitality industry the potential
friends have been recognised and an effective impact analysis of such changes has also been
provided.