Hospitality Business and Process Review - GBS, Hospitality Management
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This report provides a comprehensive review of a hospitality business, addressing key areas such as financial management, human resources, legal and ethical considerations, and departmental coordination. The financial section explores principles of financial management, including budgeting and monitoring, and demonstrates the application of the double-entry bookkeeping system to record transactions in a general ledger, culminating in the production of a trial balance. The human resources section examines the HR lifecycle, focusing on recruitment, onboarding, career development, and performance management, with a focus on talent retention and development. The report also investigates the impact of legal and ethical considerations on business decision-making, including compliance with relevant legislation. Finally, the report analyzes the importance of coordinating and integrating various functions of departments within the hospitality sector, exploring methods of communication, coordination, and monitoring to strengthen the value chain and achieve organizational objectives.
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Hospitality Business and Process Review
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Table of Contents
LO1. Investigate how to manage finance and record transactions to minimize costs responsibly
within the hospitality sector.............................................................................................................4
P1. Investigate the principles of managing and monitoring financial performance....................4
P2. Apply the double entry bookkeeping system of debits and credits to record sales and
purchases transactions in a general ledger...................................................................................4
P3. Produce a basic trial balance applying the use of the balance off rule to complete the
ledger...........................................................................................................................................7
LO2 Assess how to manage the Human Resources life cycle within the context of HR strategy. .9
P4 Review the different stages of the HR life cycle applied to a specific hospitality job role
and their importance for retaining and developing talent............................................................9
P5 Develop a performance management plan for a specific hospitality job role applying
techniques to resolve both negative behavior and overcome issues of staff retention..............10
M2 Evaluate the Importance of the HR life cycle in relation to strategic talent management
and overcoming issues of staff retention...................................................................................12
D2 Make valid judgements and recommendations on how HR processes and documents can be
improved for effective talent planning throughout the HR life cycle........................................13
LO3. Illustrate the potential impact of legal and ethical considerations on a hospitality business
.......................................................................................................................................................14
P6. Identify specific legislation that a hospitality organization has to comply and adhere to...14
2
LO1. Investigate how to manage finance and record transactions to minimize costs responsibly
within the hospitality sector.............................................................................................................4
P1. Investigate the principles of managing and monitoring financial performance....................4
P2. Apply the double entry bookkeeping system of debits and credits to record sales and
purchases transactions in a general ledger...................................................................................4
P3. Produce a basic trial balance applying the use of the balance off rule to complete the
ledger...........................................................................................................................................7
LO2 Assess how to manage the Human Resources life cycle within the context of HR strategy. .9
P4 Review the different stages of the HR life cycle applied to a specific hospitality job role
and their importance for retaining and developing talent............................................................9
P5 Develop a performance management plan for a specific hospitality job role applying
techniques to resolve both negative behavior and overcome issues of staff retention..............10
M2 Evaluate the Importance of the HR life cycle in relation to strategic talent management
and overcoming issues of staff retention...................................................................................12
D2 Make valid judgements and recommendations on how HR processes and documents can be
improved for effective talent planning throughout the HR life cycle........................................13
LO3. Illustrate the potential impact of legal and ethical considerations on a hospitality business
.......................................................................................................................................................14
P6. Identify specific legislation that a hospitality organization has to comply and adhere to...14
2

P7. Using specific examples illustrate how company, employment and contract law has a
potential impact upon business decision making in the hospitality industry.............................15
LO4 Explain the importance of coordinating and integrating various functions of departments
within the hospitality sector...........................................................................................................17
P8 Explore how different functional roles within the hospitality sector interrelate..................17
P9 Explain the different methods of communication, coordination and monitoring applied
within a specific department of a hospitality organization to strengthen the value chain.........17
M4 Analyze how different methods of communication, coordination and monitoring within a
specific department of a hospitality organization achieves organizational objectives and
strengthens the value chain........................................................................................................18
D4 Critically analyses different methods of communication, coordination and monitoring
within a specific department of a hospitality organization and make justified recommendations
...................................................................................................................................................19
References......................................................................................................................................21
3
potential impact upon business decision making in the hospitality industry.............................15
LO4 Explain the importance of coordinating and integrating various functions of departments
within the hospitality sector...........................................................................................................17
P8 Explore how different functional roles within the hospitality sector interrelate..................17
P9 Explain the different methods of communication, coordination and monitoring applied
within a specific department of a hospitality organization to strengthen the value chain.........17
M4 Analyze how different methods of communication, coordination and monitoring within a
specific department of a hospitality organization achieves organizational objectives and
strengthens the value chain........................................................................................................18
D4 Critically analyses different methods of communication, coordination and monitoring
within a specific department of a hospitality organization and make justified recommendations
...................................................................................................................................................19
References......................................................................................................................................21
3

LO1. Investigate how to manage finance and record transactions to minimize costs
responsibly within the hospitality sector
P1. Investigate the principles of managing and monitoring financial performance
It has been observed that it is important for the hotel manager to understand the financial issues
and the way it is performing. There are certain principles that are needed to be followed.
According to the first principle, the hotel needs to establish its budget for defining a new tool. In
addition to this, the second principle states that the budget needs to be reasonable, attainable and
realistic (Mayne, 2017). Depending on the goals and the purposes of the hotel, the budget should
be made. Along with this, the hotel management also needs to follow the financial results for
comparing the budget. This will help in measuring the financial performance of the new hotel.
Another principle is also considered where the problem is identified and the solution is provided.
Along with this, expenditures are also controlled and in addition to this, the costs and the benefits
will be identified. This also helps in understanding the planning and budgeting factors that are
related to the new hotel. The hotel manager needs to focus on such issues for analyzing their
financial statement and performance. In this way, the new hotel in the Lake District will be able
to manage and monitor financial performance.
P2. Apply the double entry bookkeeping system of debits and credits to record sales and
purchases transactions in a general ledger
A business needs to use the double entry bookkeeping for maintaining its book of accounts so
that it can keep a record of the various factors of income and expenses for the business. It is to be
further stated that when the business is in a context of expansion like in the current scenario it
needs to factorize the effective use of the bookkeeping. The annual cost for the business was
4
responsibly within the hospitality sector
P1. Investigate the principles of managing and monitoring financial performance
It has been observed that it is important for the hotel manager to understand the financial issues
and the way it is performing. There are certain principles that are needed to be followed.
According to the first principle, the hotel needs to establish its budget for defining a new tool. In
addition to this, the second principle states that the budget needs to be reasonable, attainable and
realistic (Mayne, 2017). Depending on the goals and the purposes of the hotel, the budget should
be made. Along with this, the hotel management also needs to follow the financial results for
comparing the budget. This will help in measuring the financial performance of the new hotel.
Another principle is also considered where the problem is identified and the solution is provided.
Along with this, expenditures are also controlled and in addition to this, the costs and the benefits
will be identified. This also helps in understanding the planning and budgeting factors that are
related to the new hotel. The hotel manager needs to focus on such issues for analyzing their
financial statement and performance. In this way, the new hotel in the Lake District will be able
to manage and monitor financial performance.
P2. Apply the double entry bookkeeping system of debits and credits to record sales and
purchases transactions in a general ledger
A business needs to use the double entry bookkeeping for maintaining its book of accounts so
that it can keep a record of the various factors of income and expenses for the business. It is to be
further stated that when the business is in a context of expansion like in the current scenario it
needs to factorize the effective use of the bookkeeping. The annual cost for the business was
4
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supposed to be not more than £100000 and also that the expansion investment for the new hotel
was supposed to be £500000. The annual cost has been taken into the general account for the
new hotel. The company is using quick books so that they can record the various transactions for
the business as per the principles of the accounting.
General Ledger(for the investment of £ 500,000.00)
Date Description Transaction Balance(cash)
Dr C
r
Dr Cr
£ 500,000.00
10.01.1
9
Building cost £
225,000.00
£ 275,000.00
12.01.1
9
Satellite TV £
15,000.00
£ 260,000.00
05.02.1
9
Single Beds £
25,000.00
£ 235,000.00
15.02.1
9
Double beds(30Pic) £
35,000.00
£ 200,000.00
19.02.1
9
Modern Reservation System £
17,000.00
£ 183,000.00
23.03.1
9
Digital Phones £
3,500.00
£ 179,500.00
19.04.1 Fax and computers £ £ 154,500.00
5
was supposed to be £500000. The annual cost has been taken into the general account for the
new hotel. The company is using quick books so that they can record the various transactions for
the business as per the principles of the accounting.
General Ledger(for the investment of £ 500,000.00)
Date Description Transaction Balance(cash)
Dr C
r
Dr Cr
£ 500,000.00
10.01.1
9
Building cost £
225,000.00
£ 275,000.00
12.01.1
9
Satellite TV £
15,000.00
£ 260,000.00
05.02.1
9
Single Beds £
25,000.00
£ 235,000.00
15.02.1
9
Double beds(30Pic) £
35,000.00
£ 200,000.00
19.02.1
9
Modern Reservation System £
17,000.00
£ 183,000.00
23.03.1
9
Digital Phones £
3,500.00
£ 179,500.00
19.04.1 Fax and computers £ £ 154,500.00
5

9 25,000.00
05.05.1
9
Lights £
40,000.00
£ 114,500.00
06.06.1
9
Furniture £
85,000.00
£ 29,500.00
07.07.1
9
Carpets £
20,000.00
£
9,500.00
Total £
490,500.00
£
9,500.00
The above general ledger has been computed for the expenses that occurred for setting up the
rooms in the hotel. The hotel was supposed to be completed with the investment of 500000
pounds which the brothers did with an effective cost of 490,500. The payment to the landlord is
not taken into the expansion project as it is to be treated separately and the general account for
the first year is presented below for the Hotel after it has been operational (Nastase, Calin and
Margina, 2016).
The general ledger is not supposed to have crossed the annual cost of 100000 for the business by
maintaining a 20% return on the investment by the brothers. The general ledger for the business
has been prepared below as per the budget of 100000 pounds during the first year of operation.
General Ledger
6
05.05.1
9
Lights £
40,000.00
£ 114,500.00
06.06.1
9
Furniture £
85,000.00
£ 29,500.00
07.07.1
9
Carpets £
20,000.00
£
9,500.00
Total £
490,500.00
£
9,500.00
The above general ledger has been computed for the expenses that occurred for setting up the
rooms in the hotel. The hotel was supposed to be completed with the investment of 500000
pounds which the brothers did with an effective cost of 490,500. The payment to the landlord is
not taken into the expansion project as it is to be treated separately and the general account for
the first year is presented below for the Hotel after it has been operational (Nastase, Calin and
Margina, 2016).
The general ledger is not supposed to have crossed the annual cost of 100000 for the business by
maintaining a 20% return on the investment by the brothers. The general ledger for the business
has been prepared below as per the budget of 100000 pounds during the first year of operation.
General Ledger
6

Date Description Transaction Balance(cash)
Dr Cr Dr Cr
£
100,000.00
15.07.1
9
Electricity expenses £
7,500.00
£
92,500.00
19.07.1
9
labor cost £
1,900.00
£
90,600.00
25.07.1
9
Maintenance Cost £
2,500.00
£
88,100.00
12.08.1
9
Salaries to Staff £
18,000.00
£
70,100.00
22.08.1
9
Rooms booked for 45
Days
£
32,000.00
£
102,100.00
01.09.1
9
Delivery cost £
19,000.00
£
83,100.00
15.09.1
9
Drinks £
3,200.00
£
79,900.00
02.10.1
9
Foodservice £
25,000.00
£
54,900.00
11.10.1
9
Cleaning and Washing £
12,000.00
£
42,900.00
10.11.1 Salaries to Staff £ £
7
Dr Cr Dr Cr
£
100,000.00
15.07.1
9
Electricity expenses £
7,500.00
£
92,500.00
19.07.1
9
labor cost £
1,900.00
£
90,600.00
25.07.1
9
Maintenance Cost £
2,500.00
£
88,100.00
12.08.1
9
Salaries to Staff £
18,000.00
£
70,100.00
22.08.1
9
Rooms booked for 45
Days
£
32,000.00
£
102,100.00
01.09.1
9
Delivery cost £
19,000.00
£
83,100.00
15.09.1
9
Drinks £
3,200.00
£
79,900.00
02.10.1
9
Foodservice £
25,000.00
£
54,900.00
11.10.1
9
Cleaning and Washing £
12,000.00
£
42,900.00
10.11.1 Salaries to Staff £ £
7
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9 15,500.00 27,400.00
30.12.1
9
Equipment £
22,000.00
£
5,400.00
Total £
126,600.00
£
32,000.00
£
5,400.00
P3. Produce a basic trial balance applying the use of the balance of rule to complete the
ledger
The trial balance has been prepared after taking into consideration the various expenses that the
brothers have incurred during the first year, after recording the various transactions of the
purchase and the sales in nature the business organization will take into consideration of how it
will be reflected in the trial balance of the business. The flowing trial balance is prepared for the
year ended and has taken into consideration of only the expenses that incurred within the 100000
pounds that was allocated and the other balance, which is the investment of the 500000 pound,
has not been taken into consideration while preparing the trial balance for the current year
(Kieso, Weygandt and Warfield, 2016).
Trial Balance as at 31.12.19
Particulars Dr Cr
Electricity expenses £ 7,500.00
Cleaning and Washing £ 12,000.00
Salaries to Staff £ 15,500.00
Drinks £ 3,200.00
Rooms booked for 15 Days £ 32,000.00
8
30.12.1
9
Equipment £
22,000.00
£
5,400.00
Total £
126,600.00
£
32,000.00
£
5,400.00
P3. Produce a basic trial balance applying the use of the balance of rule to complete the
ledger
The trial balance has been prepared after taking into consideration the various expenses that the
brothers have incurred during the first year, after recording the various transactions of the
purchase and the sales in nature the business organization will take into consideration of how it
will be reflected in the trial balance of the business. The flowing trial balance is prepared for the
year ended and has taken into consideration of only the expenses that incurred within the 100000
pounds that was allocated and the other balance, which is the investment of the 500000 pound,
has not been taken into consideration while preparing the trial balance for the current year
(Kieso, Weygandt and Warfield, 2016).
Trial Balance as at 31.12.19
Particulars Dr Cr
Electricity expenses £ 7,500.00
Cleaning and Washing £ 12,000.00
Salaries to Staff £ 15,500.00
Drinks £ 3,200.00
Rooms booked for 15 Days £ 32,000.00
8

Delivery cost £ 19,000.00
labor cost £ 1,900.00
Maintenance Cost £ 2,500.00
Salaries to Staff £ 18,000.00
Food service £ 25,000.00
Capital £ 94,600.00
Equipment £ 22,000.00
Total £ 126,600.00 £ 126,600.00
The above trial balance has been prepared accordingly as per the capital that was introduced by
the brothers as to the booking that was received by the business for 45 days. It is to be further
taken into consideration that the Hotel had numerous expenses for its day to day purpose which
has been stated in the Trial Balance above so that the hotel can get a better idea of its financial
position and the capital was used for the new business project. The business did not operate for
the whole year as it can be seen that the official operation started in July 2019. Moreover, the
annual cost did not cross the mark of 100000 pounds that was provided. The Hotel will use its
operation effectively to maintain its Return on investment of 20% as stated earlier so that the
brothers can benefit from the project.
9
labor cost £ 1,900.00
Maintenance Cost £ 2,500.00
Salaries to Staff £ 18,000.00
Food service £ 25,000.00
Capital £ 94,600.00
Equipment £ 22,000.00
Total £ 126,600.00 £ 126,600.00
The above trial balance has been prepared accordingly as per the capital that was introduced by
the brothers as to the booking that was received by the business for 45 days. It is to be further
taken into consideration that the Hotel had numerous expenses for its day to day purpose which
has been stated in the Trial Balance above so that the hotel can get a better idea of its financial
position and the capital was used for the new business project. The business did not operate for
the whole year as it can be seen that the official operation started in July 2019. Moreover, the
annual cost did not cross the mark of 100000 pounds that was provided. The Hotel will use its
operation effectively to maintain its Return on investment of 20% as stated earlier so that the
brothers can benefit from the project.
9

LO2 Assess how to manage the Human Resources life cycle within the context of HR
strategy
P4 Review the different stages of the HR life cycle applied to a specific hospitality job role
and their importance for retaining and developing talent
The employee’s life cycle is a notion in the management of human resources which acknowledge
the stages of employee’s time period with that of specified company and the role of department
of human resources playing at each of the stages. The employees experience main stages during
the time of employment which includes recruitment and onboarding, orientation and career
planning, career development, termination or transition.
Recruiting and onboarding: Recruiting is the process to hire new employees. The role of the
human resources department in this stage is to help in the hiring process. Since this hotel is small
so the owner will be performing this duty but HR person can assist the owners in a supportive
role. Onboarding is the process of receiving the applicants and its set up in the system as new
employees (Bratton and Gold, 2012).
Orientation and career planning: Orientation is the process which helps the employees to
become a member of the company by learning new job duties, making a relationship with co-
workers and monitoring the work. On the other hand, career planning is that stage wherein
employees and supervisors work in long-term career goals. Taking into consideration of this case
of a hotel, the human resources department should use personality profile testing which could
help the employees in choosing the best career options within the hotel.
10
strategy
P4 Review the different stages of the HR life cycle applied to a specific hospitality job role
and their importance for retaining and developing talent
The employee’s life cycle is a notion in the management of human resources which acknowledge
the stages of employee’s time period with that of specified company and the role of department
of human resources playing at each of the stages. The employees experience main stages during
the time of employment which includes recruitment and onboarding, orientation and career
planning, career development, termination or transition.
Recruiting and onboarding: Recruiting is the process to hire new employees. The role of the
human resources department in this stage is to help in the hiring process. Since this hotel is small
so the owner will be performing this duty but HR person can assist the owners in a supportive
role. Onboarding is the process of receiving the applicants and its set up in the system as new
employees (Bratton and Gold, 2012).
Orientation and career planning: Orientation is the process which helps the employees to
become a member of the company by learning new job duties, making a relationship with co-
workers and monitoring the work. On the other hand, career planning is that stage wherein
employees and supervisors work in long-term career goals. Taking into consideration of this case
of a hotel, the human resources department should use personality profile testing which could
help the employees in choosing the best career options within the hotel.
10
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Career development: After the employee establishes themselves at the company and regulate
long-term career objectives, the human resources departments need to help the employees to
meet their goals. Professional growth and training are needed in the hotel industry as employees
need to prepare themselves for the responsible position in the company (Bratton and Gold,
2012).
Termination or Transition: Since the small hotel in the case study is new so no retirement
often will be arriving in the first years but the transition could be possible where employees
could move to achieve new opportunities. The role of the HR is to manage the transition by
evaluating if all of the policies and procedures are followed and carried out during the time of the
exit interview.
P5 Develop a performance management plan for a specific hospitality job role applying
techniques to resolve both negative behavior and overcome issues of staff retention
The HR performance management plan consists of different HR stages which can help the new
hotel to identify the gaps in the present HR behaviors and will also review the strategies to
enhance the performance.
Establishment of the objective: The first part of the performance management plan is to review
as well as evaluate the outcomes achieved with respect to the previous goals. Since, the new
small hotel in the case has already had one old hotel, so assessing the results of the old hotel
could be helpful and will act as a springboard for the next part of the plan. This part of the plan
could help the hotel to establish the objective as per the performance of the human resources.
Analysis of the workforce: It is necessary for the hotel to analyses the workforce capability and
also its shortage or surplus to achieve its goal. By taking into consideration the vacant position of
11
long-term career objectives, the human resources departments need to help the employees to
meet their goals. Professional growth and training are needed in the hotel industry as employees
need to prepare themselves for the responsible position in the company (Bratton and Gold,
2012).
Termination or Transition: Since the small hotel in the case study is new so no retirement
often will be arriving in the first years but the transition could be possible where employees
could move to achieve new opportunities. The role of the HR is to manage the transition by
evaluating if all of the policies and procedures are followed and carried out during the time of the
exit interview.
P5 Develop a performance management plan for a specific hospitality job role applying
techniques to resolve both negative behavior and overcome issues of staff retention
The HR performance management plan consists of different HR stages which can help the new
hotel to identify the gaps in the present HR behaviors and will also review the strategies to
enhance the performance.
Establishment of the objective: The first part of the performance management plan is to review
as well as evaluate the outcomes achieved with respect to the previous goals. Since, the new
small hotel in the case has already had one old hotel, so assessing the results of the old hotel
could be helpful and will act as a springboard for the next part of the plan. This part of the plan
could help the hotel to establish the objective as per the performance of the human resources.
Analysis of the workforce: It is necessary for the hotel to analyses the workforce capability and
also its shortage or surplus to achieve its goal. By taking into consideration the vacant position of
11

the human resources, turnover, retirement, etc. the present workforce and its abilities to adapt to
the trends of the future could be analyzed. Since, the hotel is aiming to install a modern
reservation system with internet connection for online booking so there is a requirement of a
workforce who is fully trained in IT sectors (Evans, 2006).
Gap analysis: Gap analysis is termed as an important part of the performance management plan
as it reviews the ability of human resources. It is essential for the hotel industry to investigate the
gaps in employees and apply effective strategies to overcome those gaps. This could help the
hotel to meet its desired organization goal.
Strategies: Becoming SMART regarding goal-setting, providing regular feedbacks prioritize
rewards and recognition, encouraging advancement and development are the strategies which
can be assistant in minimizing the negative behavior and preventing the issues of staff retention.
It can further assist in enhancing the employee’s turnover intention towards the organization
(Hwang & et.al., 2014).
M2 Evaluate the Importance of the HR life cycle in relation to strategic talent management
and overcoming issues of staff retention
HR life cycle management is termed as crucial for the management of the HR departments of
Hotel as it helps in dealing with one of the most valuable assets of an organization which is
employees. It helps in managing talents in an effective manner. Talent management is a business
strategy which can help this hotel to retain its topmost talents and skilled employees. For an
instance, since talent management lifecycle possess recruitment, employment, onboarding,
training and development, performance management and succession planning which is similar to
12
the trends of the future could be analyzed. Since, the hotel is aiming to install a modern
reservation system with internet connection for online booking so there is a requirement of a
workforce who is fully trained in IT sectors (Evans, 2006).
Gap analysis: Gap analysis is termed as an important part of the performance management plan
as it reviews the ability of human resources. It is essential for the hotel industry to investigate the
gaps in employees and apply effective strategies to overcome those gaps. This could help the
hotel to meet its desired organization goal.
Strategies: Becoming SMART regarding goal-setting, providing regular feedbacks prioritize
rewards and recognition, encouraging advancement and development are the strategies which
can be assistant in minimizing the negative behavior and preventing the issues of staff retention.
It can further assist in enhancing the employee’s turnover intention towards the organization
(Hwang & et.al., 2014).
M2 Evaluate the Importance of the HR life cycle in relation to strategic talent management
and overcoming issues of staff retention
HR life cycle management is termed as crucial for the management of the HR departments of
Hotel as it helps in dealing with one of the most valuable assets of an organization which is
employees. It helps in managing talents in an effective manner. Talent management is a business
strategy which can help this hotel to retain its topmost talents and skilled employees. For an
instance, since talent management lifecycle possess recruitment, employment, onboarding,
training and development, performance management and succession planning which is similar to
12

the HR life cycle. It is stated that hotel manager could perform evaluate the problems of the
employees and work effectively by managing the performance of the talents (Enz, 2010).
As a manager, it is analyzed that there is a number of reason which had led the employees to
leave this hotel. Lack of recognition is one of the reasons that employees are leaving the hotel as
two owners are not analyzing their contribution to work. However, recognizing the employee’s
contribution and building of a recognition culture could be an effective solution to overcome
these issues. In addition to that, a lack of mutual trust is another cause of employees leaving the
hotel job but the owner could embrace transparency to retain the employees in their hotel.
Moreover, since the one boss who is also leader generally failed to fulfill the promise so
employees have a lack of confidence in its leader. Since, employees takes leaders as the role
model but ineffective in fulfilling the role results into disappointment. It is thus important for the
leader to take swift and meaningful actions without over-promising to retain its employees (Enz,
2010).
D2 Make valid judgments and recommendations on how HR processes and documents can
be improved for effective talent planning throughout the HR life cycle
Since it is reviewed that hotel is facing issues of employee’s retention and HR process are not
working in an effective manner so there is a requirement to improve the HR process and
document which can further help in effective talent planning in the HR life cycle. Performance
management plan helps in implementing innovative solutions which ensure if the HR process is
delivering effective results and if actually, it is improving employee’s performance.
Taking case into consideration, it is important for the manager to improvise the performance
management process and documents of the hotel. It is firstly important for the manager to assess
13
employees and work effectively by managing the performance of the talents (Enz, 2010).
As a manager, it is analyzed that there is a number of reason which had led the employees to
leave this hotel. Lack of recognition is one of the reasons that employees are leaving the hotel as
two owners are not analyzing their contribution to work. However, recognizing the employee’s
contribution and building of a recognition culture could be an effective solution to overcome
these issues. In addition to that, a lack of mutual trust is another cause of employees leaving the
hotel job but the owner could embrace transparency to retain the employees in their hotel.
Moreover, since the one boss who is also leader generally failed to fulfill the promise so
employees have a lack of confidence in its leader. Since, employees takes leaders as the role
model but ineffective in fulfilling the role results into disappointment. It is thus important for the
leader to take swift and meaningful actions without over-promising to retain its employees (Enz,
2010).
D2 Make valid judgments and recommendations on how HR processes and documents can
be improved for effective talent planning throughout the HR life cycle
Since it is reviewed that hotel is facing issues of employee’s retention and HR process are not
working in an effective manner so there is a requirement to improve the HR process and
document which can further help in effective talent planning in the HR life cycle. Performance
management plan helps in implementing innovative solutions which ensure if the HR process is
delivering effective results and if actually, it is improving employee’s performance.
Taking case into consideration, it is important for the manager to improvise the performance
management process and documents of the hotel. It is firstly important for the manager to assess
13
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the current staffs and review their capability before hiring new employees. Developing of the
inventory skills is necessary for each of the current employees could be effective which can be
also be done with lucid chart template. It is then important to set goals and plan the work
routinely so that employees can work them. The manager should then measure the progress
towards those goals and give effective feedback to its employees. This can be helpful for the
employees to improvise themselves. Motivation is also termed to be an effective way to
influence the employees and improvise their effectiveness. In fact, it is motivation which can
help the employees to upgrade its talent and apply it on the field. (Musa, B., Ahmed, I. and Bala,
A., 2014). The owner of the hotel should then conduct training programs to develop an
employee’s skills so that employees can reach the organizational goals. Lastly, the job
performance and retention can be attained when this hospitality organization makes the usage of
both formal and informal rewards to recognize the negative behaviors and results in the
accomplishment of the organization mission.
LO3. Illustrate the potential impact of legal and ethical considerations on a hospitality
business
P6. Identify specific legislation that a hospitality organization has to comply and adhere to
It has been observed that for establishing a new hotel in the Lake District, the brothers need to
follow some of the legal and ethical laws. With the help of these laws, the hotel will be able to
create a good position in the hospitality business of the UK. It can also be observed that the
customers usually prefer those hotels that are working according to the legal requirements. The
first and the foremost legal step need to be taken for the employees. The Health and Safety at
Work Act need to be taken into consideration. This act will be helpful enough for the hotel, as,
14
inventory skills is necessary for each of the current employees could be effective which can be
also be done with lucid chart template. It is then important to set goals and plan the work
routinely so that employees can work them. The manager should then measure the progress
towards those goals and give effective feedback to its employees. This can be helpful for the
employees to improvise themselves. Motivation is also termed to be an effective way to
influence the employees and improvise their effectiveness. In fact, it is motivation which can
help the employees to upgrade its talent and apply it on the field. (Musa, B., Ahmed, I. and Bala,
A., 2014). The owner of the hotel should then conduct training programs to develop an
employee’s skills so that employees can reach the organizational goals. Lastly, the job
performance and retention can be attained when this hospitality organization makes the usage of
both formal and informal rewards to recognize the negative behaviors and results in the
accomplishment of the organization mission.
LO3. Illustrate the potential impact of legal and ethical considerations on a hospitality
business
P6. Identify specific legislation that a hospitality organization has to comply and adhere to
It has been observed that for establishing a new hotel in the Lake District, the brothers need to
follow some of the legal and ethical laws. With the help of these laws, the hotel will be able to
create a good position in the hospitality business of the UK. It can also be observed that the
customers usually prefer those hotels that are working according to the legal requirements. The
first and the foremost legal step need to be taken for the employees. The Health and Safety at
Work Act need to be taken into consideration. This act will be helpful enough for the hotel, as,
14

with the help of this legal step, the safety of the employees will be ensured (Elbanna, 2016).
HSWA will also be efficacious for the employees as this can diminish the risk factors that are
arising in the structure of the hotel. The two brothers can use this act to assuring the employees
about their safety issues.
They can also comply or adhere to the Licensing Act of 2003 for their betterment. This act will
help in providing a license for the sale of alcohol. However, it will also help for getting the
license for the regulation of entertainment. The 2003 Licensing Act helps in preventing disorder
and crime. In addition to this, it also prevents the nuisance that is caused by the public. This
license also assures the safety of the children. This act shall help the hotel for bringing progress
in its management structure. In addition to this, it is also used for working according to the legal
issues that are leading in the hospitality business of the UK. It is also used for controlling the
environmental health, trading standards and the other issues that are rising in their management
system. Therefore, it can be stated that the hotel needs to follow the licensing act so that any of
the external or internal factors do not affect the hotel.
As a hotel manager, the brothers can also use the Safety Representatives and Safety Committees
Regulations of 1977. This regulation is helpful for delivering safety and health assurance to the
customers. It has been noticed that with the help of this regulation, the employees can consult
with the customers to understand their expectation from their hotel (Jayaweera, 2015). Along
with this, it has been noticed that with the help of this regulation act, the customers will be able
to raise their safety or health complaints to the management. This will also be an effective step
for inspecting the workplaces and for providing the required amount of assistance that is needed
by the customers.
15
HSWA will also be efficacious for the employees as this can diminish the risk factors that are
arising in the structure of the hotel. The two brothers can use this act to assuring the employees
about their safety issues.
They can also comply or adhere to the Licensing Act of 2003 for their betterment. This act will
help in providing a license for the sale of alcohol. However, it will also help for getting the
license for the regulation of entertainment. The 2003 Licensing Act helps in preventing disorder
and crime. In addition to this, it also prevents the nuisance that is caused by the public. This
license also assures the safety of the children. This act shall help the hotel for bringing progress
in its management structure. In addition to this, it is also used for working according to the legal
issues that are leading in the hospitality business of the UK. It is also used for controlling the
environmental health, trading standards and the other issues that are rising in their management
system. Therefore, it can be stated that the hotel needs to follow the licensing act so that any of
the external or internal factors do not affect the hotel.
As a hotel manager, the brothers can also use the Safety Representatives and Safety Committees
Regulations of 1977. This regulation is helpful for delivering safety and health assurance to the
customers. It has been noticed that with the help of this regulation, the employees can consult
with the customers to understand their expectation from their hotel (Jayaweera, 2015). Along
with this, it has been noticed that with the help of this regulation act, the customers will be able
to raise their safety or health complaints to the management. This will also be an effective step
for inspecting the workplaces and for providing the required amount of assistance that is needed
by the customers.
15

Besides this, legislation and ethical laws are used in the form of Fire Safety control and policy,
Food Safety control and policy, and factors related to the risk assessments. However, it can be
stated that among these the most vital one is the 2014 Food Act through which, the safety behind
the food and edible stuff can be controlled. In addition, the cleanliness and hygienic factors
towards the food items can also be measured with the help of this act.
P7. Using specific examples illustrate how the company, employment, and contract law has
a potential impact on business decision making in the hospitality industry
For starting a new business, the new hotel needs to follow the significant company, contract, and
employment law. It is important for the hotel manager to know and analyze the impact of these
laws on the decision that is taken. It has been noticed that the hotel need to follow the Companies
Act 2006 through which, the hotel will be able to control its distribution process. It is also used
for managing the accounting framework and financial statements. It is also responsible for
controlling the work-related issues of the auditors. From many sources, it has been noticed that
different companies are using this act as their base for gaining improvement and progress. On the
other hand, this act is used for working with the legislative issues that are present in the
parliament act.
Other companies like Oberoi Hotels and OYO Hotels are using this act as their base (Del Baldo,
2016). From the studies, it has been observed that these hotels are getting a huge benefit by
working according to the company laws. Along with this, they are also using the contract and the
employment law for their desired purposes. Thus, it can be stated that the new hotel that is going
to be established in the Lake District can use the company law for avoiding any legal obligations
that are coming in their path of development. Just like company law, the new hotel also needs to
16
Food Safety control and policy, and factors related to the risk assessments. However, it can be
stated that among these the most vital one is the 2014 Food Act through which, the safety behind
the food and edible stuff can be controlled. In addition, the cleanliness and hygienic factors
towards the food items can also be measured with the help of this act.
P7. Using specific examples illustrate how the company, employment, and contract law has
a potential impact on business decision making in the hospitality industry
For starting a new business, the new hotel needs to follow the significant company, contract, and
employment law. It is important for the hotel manager to know and analyze the impact of these
laws on the decision that is taken. It has been noticed that the hotel need to follow the Companies
Act 2006 through which, the hotel will be able to control its distribution process. It is also used
for managing the accounting framework and financial statements. It is also responsible for
controlling the work-related issues of the auditors. From many sources, it has been noticed that
different companies are using this act as their base for gaining improvement and progress. On the
other hand, this act is used for working with the legislative issues that are present in the
parliament act.
Other companies like Oberoi Hotels and OYO Hotels are using this act as their base (Del Baldo,
2016). From the studies, it has been observed that these hotels are getting a huge benefit by
working according to the company laws. Along with this, they are also using the contract and the
employment law for their desired purposes. Thus, it can be stated that the new hotel that is going
to be established in the Lake District can use the company law for avoiding any legal obligations
that are coming in their path of development. Just like company law, the new hotel also needs to
16
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follow the contract law. The contract law will help in purchasing the goods that are required for
the company. In addition to this, it also assures the protection of the buyers as well as sellers.
With the help of this law, the hotel will be able to understand the quantity, quality and the type of
decision or resources needed to be considered for the sake of the hotel. Contract law is also seen
prevailing in the law for consumer protection. Consumer Protection Act of 1987 is also a vital
ethical matter that is needed to be followed (Biga, Spott and Spott, 2015). In addition to this,
different contract laws such as part-time and full-time contract, fixed term contracts, zero hours’
contracts, etc. From the recent sources, it has been noticed that the maximum number of hotels in
the UK are using the zero hour contracts for enjoying better facilities that this contract law
provides. On the other hand, the hotel can also use the employment law for this purpose. The
employment law will help the hotel to understand the needs and requirements of the employees.
According to this regulation, the employees are satisfied with the flexible working environment.
In addition to this, it is also used for providing support and advice to the employees of that hotel.
It has been noticed that if these acts and regulations are not maintained, it may give rise to
certain problems, which may obstruct the path of development for the new hotel. These are also
used for delivering better decision for increasing the position of the hotel in the hospitality
industry (Elbanna, 2016).
LO4 Explain the importance of coordinating and integrating various functions of
departments within the hospitality sector
P8 Explore how different functional roles within the hospitality sector interrelate.
The hotel industry possesses a broader category of field and its employees serve a number of
myriad purposes. Hotel employees serve the basic functions of ensuring business effectively.
17
the company. In addition to this, it also assures the protection of the buyers as well as sellers.
With the help of this law, the hotel will be able to understand the quantity, quality and the type of
decision or resources needed to be considered for the sake of the hotel. Contract law is also seen
prevailing in the law for consumer protection. Consumer Protection Act of 1987 is also a vital
ethical matter that is needed to be followed (Biga, Spott and Spott, 2015). In addition to this,
different contract laws such as part-time and full-time contract, fixed term contracts, zero hours’
contracts, etc. From the recent sources, it has been noticed that the maximum number of hotels in
the UK are using the zero hour contracts for enjoying better facilities that this contract law
provides. On the other hand, the hotel can also use the employment law for this purpose. The
employment law will help the hotel to understand the needs and requirements of the employees.
According to this regulation, the employees are satisfied with the flexible working environment.
In addition to this, it is also used for providing support and advice to the employees of that hotel.
It has been noticed that if these acts and regulations are not maintained, it may give rise to
certain problems, which may obstruct the path of development for the new hotel. These are also
used for delivering better decision for increasing the position of the hotel in the hospitality
industry (Elbanna, 2016).
LO4 Explain the importance of coordinating and integrating various functions of
departments within the hospitality sector
P8 Explore how different functional roles within the hospitality sector interrelate.
The hotel industry possesses a broader category of field and its employees serve a number of
myriad purposes. Hotel employees serve the basic functions of ensuring business effectively.
17

From part-time front desk employees, vendors, laundry room attendants, and manager, each of
the employees plays their role in an effective manner (Del Baldo, 2016). However, it is noted
that each of the departments is interrelated with one another and the breakdown of each function
leads to disruption of the operation. It can be stated that the kitchen manager is connected with
front desk employees as a number of plates of the order of food is given by the front desk.
Moreover, the front desk is further interrelated with finance managers as each of the data of the
front desk is given by its employee to finance managers. It is thus a chain will connect all the
employees together (Del Baldo, 2016).
P9 Explain the different methods of communication, coordination, and monitoring applied
within a specific department of a hospitality organization to strengthen the value chain.
Coordination, integration, and communication are termed as crucial elements in a hospitality
organization. The different methods of communication are written and verbal communication.
Written communication possesses emails, letters, memos, policies, proposals, training manuals
and also social media. On the other hand, verbal communication possesses face-to-face
communication, teleconferencing, video call and also communication over the phone. Since,
motivation includes provides training, rewards and recognition apart from providing salary on
time. on the same ways, effective communication can also be termed as a source which can
motivate the employees as effective communication is the key to open up all the locks of issues
and challenges (Musa, Ahmed & Bala, 2014). Verbal communication is performed when the
messages are urgent or timely and there is a necessity of instant feedback. That information
which is simple and does not require permanent record is also done by verbal communication.
However, written communication is suitable when there is no requirement of immediate
feedback and when the message in detail and complex (Torrington, Hall & Taylor, 2014).
18
the employees plays their role in an effective manner (Del Baldo, 2016). However, it is noted
that each of the departments is interrelated with one another and the breakdown of each function
leads to disruption of the operation. It can be stated that the kitchen manager is connected with
front desk employees as a number of plates of the order of food is given by the front desk.
Moreover, the front desk is further interrelated with finance managers as each of the data of the
front desk is given by its employee to finance managers. It is thus a chain will connect all the
employees together (Del Baldo, 2016).
P9 Explain the different methods of communication, coordination, and monitoring applied
within a specific department of a hospitality organization to strengthen the value chain.
Coordination, integration, and communication are termed as crucial elements in a hospitality
organization. The different methods of communication are written and verbal communication.
Written communication possesses emails, letters, memos, policies, proposals, training manuals
and also social media. On the other hand, verbal communication possesses face-to-face
communication, teleconferencing, video call and also communication over the phone. Since,
motivation includes provides training, rewards and recognition apart from providing salary on
time. on the same ways, effective communication can also be termed as a source which can
motivate the employees as effective communication is the key to open up all the locks of issues
and challenges (Musa, Ahmed & Bala, 2014). Verbal communication is performed when the
messages are urgent or timely and there is a necessity of instant feedback. That information
which is simple and does not require permanent record is also done by verbal communication.
However, written communication is suitable when there is no requirement of immediate
feedback and when the message in detail and complex (Torrington, Hall & Taylor, 2014).
18

Coordination is the process of binding the various activities of different departments and persons
in the organization so that required goals be achieved easily. Management achieves its functions
of planning, organizing, staffing, directing and controlling with the means of coordination. The
horizontal coordination is the coordination which prevails in between departments on the equal
level of the managerial hierarchy and is appropriate for coordination in the hotel. Different
methods of achieving horizontal coordination are information system, slack resources, and lateral
relations.
M4 Analyze how different methods of communication, coordination, and monitoring
within a specific department of a hospitality organization achieve organizational objectives
and strengthens the value chain.
It had been analyst that compelling of the communication methods and skills is very important
in the hotel as an excellent method of communication enhances the experience of the guests and
also strengths the value chain. It is essential for the employees to have effective verbal and
written methods of communication to run the business effectively. Since the hotel in the case
study has the goal to install modern reservation system with internet connection for online
booking so employees should have the skill to write an email which could be required in
achieving organizational objectives.
Moreover, coordination methods help in achieving well-defined goals and assists in sound
organization structures. Taking housekeeping department of the hotel into consideration, it can
be said that this department needs to coordinate with different departments like front office
coordination, food and beverage coordination, sales and marketing department coordination,
human resource department coordination and security department coordination to achieve the
desired results. It can be said that good coordination in an organization helps in enhancing
19
in the organization so that required goals be achieved easily. Management achieves its functions
of planning, organizing, staffing, directing and controlling with the means of coordination. The
horizontal coordination is the coordination which prevails in between departments on the equal
level of the managerial hierarchy and is appropriate for coordination in the hotel. Different
methods of achieving horizontal coordination are information system, slack resources, and lateral
relations.
M4 Analyze how different methods of communication, coordination, and monitoring
within a specific department of a hospitality organization achieve organizational objectives
and strengthens the value chain.
It had been analyst that compelling of the communication methods and skills is very important
in the hotel as an excellent method of communication enhances the experience of the guests and
also strengths the value chain. It is essential for the employees to have effective verbal and
written methods of communication to run the business effectively. Since the hotel in the case
study has the goal to install modern reservation system with internet connection for online
booking so employees should have the skill to write an email which could be required in
achieving organizational objectives.
Moreover, coordination methods help in achieving well-defined goals and assists in sound
organization structures. Taking housekeeping department of the hotel into consideration, it can
be said that this department needs to coordinate with different departments like front office
coordination, food and beverage coordination, sales and marketing department coordination,
human resource department coordination and security department coordination to achieve the
desired results. It can be said that good coordination in an organization helps in enhancing
19
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efficiency and economy in the operation. Moreover, there is a reduction of delay and elimination
of duplication of efforts (Torrington, Hall & Taylor, 2014).
D4 Critically analyses different methods of communication, coordination, and monitoring
within a specific department of a hospitality organization and make justified
recommendations
Taking housekeeping department into consideration, it can be stated that it is essential for the
employees working in this department to possess good communication skills so that it can make
up the room ready for sale for the next guest who is on the line. The close coordination between
housekeeping and front office is termed essential as it ensures the periodical delivery of rooms
with needed amenities. Since, housekeeping departments also keep the records of the work done
apart from cleaning so it should also be very effective in written communication (Taylor, 2010).
Effective coordination is also helpful so as to provide standard service to the guest and maintain
a sound environment in an organization. It is further recommended to the hotel that it should
access the sticky information and make the vision clear. It should make strategies to strengthen
the connection and make the creation of open dialogues. The hotel organization is recommended
to share information with its employees and make the usage of the online project management
tools to improvise the internal communication and coordination at the business (Taylor, 2010).
20
of duplication of efforts (Torrington, Hall & Taylor, 2014).
D4 Critically analyses different methods of communication, coordination, and monitoring
within a specific department of a hospitality organization and make justified
recommendations
Taking housekeeping department into consideration, it can be stated that it is essential for the
employees working in this department to possess good communication skills so that it can make
up the room ready for sale for the next guest who is on the line. The close coordination between
housekeeping and front office is termed essential as it ensures the periodical delivery of rooms
with needed amenities. Since, housekeeping departments also keep the records of the work done
apart from cleaning so it should also be very effective in written communication (Taylor, 2010).
Effective coordination is also helpful so as to provide standard service to the guest and maintain
a sound environment in an organization. It is further recommended to the hotel that it should
access the sticky information and make the vision clear. It should make strategies to strengthen
the connection and make the creation of open dialogues. The hotel organization is recommended
to share information with its employees and make the usage of the online project management
tools to improvise the internal communication and coordination at the business (Taylor, 2010).
20

References
Biga, K., Spott, P. and Spott, E., 2015. Smart hiring in the hospitality industry: Legal and
business perspectives. American Journal of Management, 15(4), p.115.
Bratton, J. And Gold, K., 2012. Human Resource Management Theory and Practice. 5th Ed.
London: Palgrave MacMillan.
Del Baldo, M., 2016. Formal cooperation for developing sustainability and corporate social
responsibility among tourism SMEs in Italy: Insights, limits and potentialities of the network
contract. In Key Initiatives in Corporate Social Responsibility (pp. 103-129). Springer, Cham.
Enz, C., 2010. Hospitality strategic management. Hoboken, N.J.: John Wiley & Sons.
Elbanna, S., 2016. Managers' autonomy, strategic control, organizational politics and strategic
planning effectiveness: An empirical investigation into missing links in the hotel sector. Tourism
Management, 52, pp.210-220.
Hwang, J. & et.al., 2014. The Impact of Occupational Stress on Employee's Turnover Intention
in the Luxury Hotel Segment. International Journal of Hospitality & Tourism Administration,
15(1), pp.60-77.
Jayaweera, T., 2015. Impact of work environmental factors on job performance, mediating role
of work motivation: a study of hotel sector in England. International journal of business and
management, 10(3), p.271.
Kieso, D.E., Weygandt, J.J. and Warfield, T.D., 2016. Intermediate Accounting, Binder Ready
Version. John Wiley & Sons.
21
Biga, K., Spott, P. and Spott, E., 2015. Smart hiring in the hospitality industry: Legal and
business perspectives. American Journal of Management, 15(4), p.115.
Bratton, J. And Gold, K., 2012. Human Resource Management Theory and Practice. 5th Ed.
London: Palgrave MacMillan.
Del Baldo, M., 2016. Formal cooperation for developing sustainability and corporate social
responsibility among tourism SMEs in Italy: Insights, limits and potentialities of the network
contract. In Key Initiatives in Corporate Social Responsibility (pp. 103-129). Springer, Cham.
Enz, C., 2010. Hospitality strategic management. Hoboken, N.J.: John Wiley & Sons.
Elbanna, S., 2016. Managers' autonomy, strategic control, organizational politics and strategic
planning effectiveness: An empirical investigation into missing links in the hotel sector. Tourism
Management, 52, pp.210-220.
Hwang, J. & et.al., 2014. The Impact of Occupational Stress on Employee's Turnover Intention
in the Luxury Hotel Segment. International Journal of Hospitality & Tourism Administration,
15(1), pp.60-77.
Jayaweera, T., 2015. Impact of work environmental factors on job performance, mediating role
of work motivation: a study of hotel sector in England. International journal of business and
management, 10(3), p.271.
Kieso, D.E., Weygandt, J.J. and Warfield, T.D., 2016. Intermediate Accounting, Binder Ready
Version. John Wiley & Sons.
21

Musa, B., Ahmed, I. and Bala, A., 2014. Effect of Motivational Incentives on Staff Turnover in
Hotel Industry in Gombe State. IOSR Journal of Business and Management, 16(3), pp.36-42.
Mayne, J.W., 2017. Monitoring performance in the public sector: Future directions from
international experience. Routledge.
Nastase, G., Calin, A.M. and Margina, O., 2016. International accounting standard no. 16
tangible assets and its practical implementation. Quality-Access to Success, 17.
Taylor, S., 2010. Resourcing and Talent Management. 5th Ed. London: CIPD.
Torrington, D., Hall, L. And Taylor, S., 2014. Human Resource Management. 9th Ed. Harlow:
Prentice Hall.
22
Hotel Industry in Gombe State. IOSR Journal of Business and Management, 16(3), pp.36-42.
Mayne, J.W., 2017. Monitoring performance in the public sector: Future directions from
international experience. Routledge.
Nastase, G., Calin, A.M. and Margina, O., 2016. International accounting standard no. 16
tangible assets and its practical implementation. Quality-Access to Success, 17.
Taylor, S., 2010. Resourcing and Talent Management. 5th Ed. London: CIPD.
Torrington, D., Hall, L. And Taylor, S., 2014. Human Resource Management. 9th Ed. Harlow:
Prentice Hall.
22
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