The Contemporary Hospitality Industry Unit 1 CHI Portfolio

This CHI Portfolio assignment, submitted by a student, delves into the contemporary hospitality industry. It begins with an overview of different industry sectors like hotels, food and beverages, travel and tourism, and recreation, followed by an analysis of the industry's size, its impact on the UK economy, and its global development. The assignment includes an example of franchising, specifically Intercontinental Hotels Group (IHG), and its contribution to the industry's economic worth. It also identifies tangible and intangible products/services within the hospitality sector, such as food, spa sessions, and brand image. Furthermore, the portfolio examines the inter-relationships between functional and operational departments within a hotel, emphasizing the importance of communication and collaboration. The assignment also provides an overview of staff roles, required skills, identifies skills gaps, and suggests solutions to mitigate these gaps. The second part of the assignment includes a PESTLE and SWOT analysis of the Crown Plaza Hotel, current and potential industry trends, and their impacts. This portfolio offers a comprehensive understanding of the hospitality industry's various aspects.

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Unit Number and Title: Unit 1 - The Contemporary Hospitality Industry - CHI
Project Title: CHI Portfolio
Submission Format: Portfolio
LO1 – LO2 Magazine Article
LO3 – LO4 Presentation and speaker notes
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Project Brief and Guidance:
PART 1: Hospitality Magazine Article (Individual work) LO1 - LO2
1. A list or chart showing different industry sectors with the type of establishments in each,
including tourism organisations that are linked to the Hospitality sector.
List of different industry sectors and establishment types are as follows:
1. Hotel industry: This mainly deals with lodging and accommodation services and is directly impacting
the businesses for all types of tourists like leisure travellers, long stay travellers, special travellers
etc. For e.g. Intercontinental Hotels Group is known for its large accommodation in almost 100
countries and including 800,000 guest rooms with approximately 5000 hotels.
2. Food and Beverages industry: This is essential for engaging in preparation and presentation of foods
and beverages to attract customers' attention. It helps in improving the customers' services. For e.g.
Coal Shed London ad Brighton, which is famous for steak and seafood restaurant
3. Travel and Tourism: This deals with people who are on move and is either formal or informal mo des
(Dikova and Brouthers, 2016). For e.g. Thomas Cook is one of the established tour operators which
focus on planning the entire travelling plan for tourist to make their travelling convenient and
easier.
4. Recreational sector: This is based on relaxation and enjoyment activities for bringing rest and fun
during a stay in either hotel or resort. For e.g. participatory activities like swimming classes,
bowling, movie theatres, cookery events, golf or playing casinos.

2. Size of the industry and its impact and contribution to the UK Economy (Guidance: you might
want to provide figures, graphs/charts and statistics for the importance of the hospitality industry
to the UK and international economies). These will illustrate your statements. Look at years 2016,
2017 to 2018. Include an analysis of the contribution to the global development of the industry.
Answer: Hospitality industry is defined as the service industry which reflects upon several fields like
accommodation, food and drinks services, travelling and event planning, etc. for promoting tourism at both
local and global levels. It has drastic impact on the economic factors of United Kingdom, which is going to
attain 257 billion British pounds by the year 2025. It involves tax revenues, profits and sales with focus on
employment generation and more. This constitutes approximately 10 percent of total Gross Domestic
Product of UK (Vamvakidis, 2018). From the below graph, it is clearly demonstrated that the hospitality
industry has accelerated the GDP in leaps and bounds. Additionally, its showcased total attainable value
that was 203 billion British pounds in 2016, 213.8 billion British pounds in 2017 and 220 billion British
pounds in 2018 respectively. These statistics indicated the forwarding profits generation from the
hospitality sector of UK.

In regard to this, there are several factors like inflation rate, economic growth rate, currency rate that act as driving
forces to maintain the economic growth and assist in expanding the hotel chains either through franchising or
mergers and acquisitions. Moreover, this aids in maintaining the revenue management by evaluating the
performance of the taskforce.
3. Give an example of licencing or franchising for a business of your choice and analyse its
contribution to the economic worth of the industry.
Franchising is defined as the relationship for business expansion in distributing goods and services. Its
contribution is immense to the economic worth of the hospitality industry with expansion plans and
internationalizing the operational activities. It is significant due to onset of globalization that leads using
strategic planning in terms of profits and rise of expansion with respect to number of hotels, taskforce,
availability of services and more in the potential markets for reaching the desired goals and objectives
(Bowie and et.al., 2016).
For e.g. Intercontinental Hotels Group (IHG) is headquartered in Denham and is dealing with several brands
such as Hotel Indigo, Holiday Inn, Crowne Plaza etc. Its franchising consists of purchasing of Holiday Inn
Family which made Crowne Plaza as one of its brands in the year 1990. Additionally, there is a formation of
Priority Club Rewards which has over 60 million members and make it as the largest loyalty program of the
hotel in the world.
Illustration 1: Graph presenting the total contribution of travel and tourism to GDP of United
Kingdom
(Source:Total contribution of travel and tourism to GDP in the UK, 2019)

4. Three examples of products or services indicating their nature, whether tangible or not.
Food: This is tangible product which is based on providing nourishment aspects of the targeted audience
Spa sessions: This is tangible product which is based on recreational activity and is focusing on relaxation of
body and mind of the customers'.
Brand image: This is intangible product and mainly deals with making a lasting impression on the minds of
the customers', investors and shareholders.
5. Review the inter-relationships between functional and operational departments in a hotel of your
choice.
Inter-relationships between the several departments is imperative in maintaining the brand image of IHG
Groups. There are core operational and functional departments which are required to work together to
understand the inventory management and overall specificity to fulfil clients' expectations. In this regard,
good communication channels and open interaction is necessary to fulfil the clients' requirements and
desires (Espino-Rodríguez and Gil-Padilla, 2015). For instance, front office (functional) must be in sync
with housekeeping (operational) to give details about the check ins and outs in order to maintain the
hygiene and replacement of any lighting, security checks etc. Moreover, HR department (functional) and IT
department (operational) also work together to maintain and safeguard the privacy and security of the
customers'. HR department has the employees' details and other legislations for implementing the policy
making properly. Herein the IT department helps in making the hotel's interface robust and secured from
any hacking, phishing or malicious activities. Thus, both functional and operational activities are important
to make the working practices of IHG effective and proficient.

6. Using the template given to you, provide an overview of the type of staff and skills required in the
industry, showing skills gaps, the impacts they can have on businesses and possible solutions to
minimise them.
Types of
staff (at
least three
different
staff roles)
Skills
required
Skills gaps you
can identify
Impacts of these skills gaps
on the industry
Receptionis
t
Good
interpersonal
skills,
computer
literacy for
bookings with
typing speed
Lack of
detailing and
mis
management
with other
departments
during guest
arrival
This leads to reputational risk in context to the
brand image among the customers' and also
leads to conflicts and affect the team
building spirit among the employees
Housekeepi
ng
Supervisor
Time
management
skills, good
communicatio
n skills with
high
motivated
levels
Lack of training
regarding
cleaning tools,
products and
others, no
understanding
of
implementing
the safety
procedures
This affects the cleaning of products that
are made available to the customers'
of the hotel and leave the premises
without any proper sanitation and hygiene.
This impacts and influences the customers to
visit the hotel again (Kennedy, 2019)
Chef Good culinary
skills, proper
knowledge on
using several
ingredients
and materials
Lack of using
equipments
and hi end
products such
as pasta maker
or torches for
Herein it makes or breaks the overall
impression on customers mind because
food is the ultimate gateway to gain the loyalty o
and push them to re visit

with good
presentation
skills to make
lasting
impression
making deserts
PART 2: Presentation (Group work) LO3 – LO4
INSERT HERE THE GROUP PRESENTATION (Slides or pictures of your flipchart presentation)
Your presentation will feature:
- PESTLE Analysis of the chosen organisation
- SWOT Analysis of the chosen organisation
- Current and potential trends in the industry
- Impacts of hose trends on the industry

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