Hospitality Business Toolkit Report: Financial and HR Management

This report analyzes the Hospitality Business Toolkit, focusing on key aspects of financial and human resource management within the hospitality industry. It begins by investigating the principles of monitoring financial performance, including maintaining inventory records, producing financial reports, and calculating overall costs to ensure financial stability. The report then delves into the double-entry bookkeeping system, explaining debits and credits to record sales and purchases, along with the production of a basic trial balance. Furthermore, the report reviews the HR life-cycle stages applied to a specific hospitality job, exploring performance management plans for both negative behaviors and staff retention. Finally, it examines relevant legislation and the impact of company, employment, and contract law on organizational decision-making, using examples to illustrate the concepts. The report concludes with a summary of the key findings and recommendations, highlighting the importance of effective financial and HR strategies for success in the hospitality sector.

The Hospitality
Business Toolkit
1

Table of Contents
INTRODUCTION...........................................................................................................................3
P1 investigate the principles of monitoring financial performance........................................3
P2 Double entry bookkeeping system of debit and credits to record sale and purchase ......4
P3 producing a basic trial balance applying the use of the balance off rule to complete the
ledger......................................................................................................................................8
P4 Review the different stages of the HR life – cycle applied to a specific hospitality joB 10
Explain how performance management plan for hospitality job role applying techniques used
for both negative behaviour and issues in staff retention.....................................................11
P6 Explain different legislation that company needs to follow. ..........................................12
P7 Explain how company, employment and contract law has an potential impact on decision
making of an organisation. With the help of an example.....................................................13
CONCLUSION..............................................................................................................................15
REFERENCES..............................................................................................................................16
2

INTRODUCTION
In accordance to study hospitality organizational is defined as a management and
managing each and every moving parts which are participating in the hospitality industry. This
process deals with structure of hotel brands and organisation charts which are related to hotels
and to make assure that whether business is running in a smooth manner or their guests are
satisfied. Rosewood hotels is luxury hotel on an international level, this is presently held by
Hong- Kong and their resorts have operating almost 28 hotels in 16 countries across the world, it
was nearly founded in Texas, Dallas by Caroline rose hunt in 1979.In this report would be
covering utilization of business tools in an organisation to gain their targets or goals.
P1 investigate the principles of monitoring financial performance
Financial performance this term is quite helpful in judgements in an organisation, they
have obligation of observing improvement performance of a company and even they measure
activity of assets which further helps in earning net profit. There are many principles of financial
performance given below ;
 They maintain complete record of inventory thus which might be further utilized for the
profit of company as well as for maintaining financial stability.
 Making financial report – In this statement report examine both profit and loss of an
organisation which is maintained by balance sheet therefore by using this company may
gets profitability furthermore this also helps in effective decision making or improving
the performance of the company.
 Calculating overall cost – This statement helps in reduction of extraordinary expenses of
an organisation which may occur during manufacturing process of product thus due to
this company may increase their productivity and along with this maintains financial
stability of an organisation.
3

P2 Double entry bookkeeping system of debit and credits to record sale and purchase
Double entry bookkeeping is a process in which balance sheet is maintained to keep all
the records this is a system where each and every entry to an account requires similar or different
account is required for entry. In the context of company they comply a balance sheet for keeping
required records There are two equal sides of double entry which are known as debit and credit,
if these sides are incorrect then it might effect on improving performance of an organisation or
on the developing business(Kavanaugh and Lavallee 2020) In double entry transactions are done
where equal sum of money has been sent from one account to another. There is specific rule for
data – entry of debit and credit bookkeeping, it is stated as total amount is written on left side
and then equal amount should be written on right side in an account . Each and every assets in
balance sheet should be equal to the liabilities. In double entry system both types of accounts are
maintained whether they are personal or impersonal and with this all outcomes of transaction,
which are recorded in a good manners. It means it measure arithmetical accuracy in all books of
accounts. This booking explains that every transaction have two sides as well as both aspects
have been recorded in the worksheet of accounts. So this process recognizes every value and
equally value needs are described.
4

..Particulars...... Debit Credit
cash ...Account... Debit 28000
To capital 28000
Rent ...Account... Debit 2000
To Cash ...Account... 2000
Purchase ...Account... Debit 22000
To Cash ...Account... 12000
To Vendor ...Account... 10000
Prepaid Insurance Policy ...Account... Debit 1500
To Cash ...Account... 1500
Purchase ...Account... Debit 17000
To WH Adams Ltd ...Account... 17000
LaunDebity Fees ...Account... Debit 500
To Cash ...Account... 500
Telephone and Internet
Expenses ...Account... Debit 2500
To Cash ...Account... 2500
Water Charges ...Account... Debit 1000
To Cash ...Account... 1000
Wages and Salary ...Account... Debit 2550
To Cash ...Account... 2550
cash ...Account... Debit 15000
To Sales ...Account... 15000
cash ...Account... Debit 20000
To Sales ...Account... 20000
Ledger
Da
te ..Particulars......
J/
F
..Amo
unt.
Da
te ..Particulars...... J/F
..Amoun
t.
To
Capital ...Accou
nt... 28000 By Rent ...Account... 2000
To
Sales ...Accoun
t... 15000 By Purchase ...Account... 22000
To
Sales ...Account..
. 20000
By Prepaid Insurance
Policy ...Account...
1
5
0
0
By Laun Debity
Fees ...Account... 500
5

By Telephone and Internet expenses
...Account...
2
5
0
0
By Water
Charges ...Account... 1000
By Wages and Salary ...Account...
2
5
5
0
By Balance c/d 30950
63000 63000
Capital ...Account...
D
at
e ..Particulars......
J/
F ..Amount.
D
at
e
..Particulars..
....
J/
F
..Amo
unt.
To Balance c/d 28000
By
Cash ...Acco
unt...
2800
0
28000
2800
0
Rent ...Account...
D
at
e ..Particulars......
J/
F ..Amount.
D
at
e
..Particulars..
....
J/
F
..Amo
unt.
To
Cash ...Account.
.. 2000
By Balance
c/d 2000
2000 2000
Purchase ...Account...
D
at
e ..Particulars......
J/
F ..Amount.
D
at
e
..Particulars..
....
J/
F
..Amo
unt.
To
Cash ...Account.
.. 12000
By Balance
c/d
3900
0
To
Vendors ...Acco
unt... 10000
To WH Adams 17000
6

Ltd ...Account...
39000
3900
0
Prepaid Insurance Policy
...Account...
D
at
e ..Particulars......
J/
F ..Amount.
D
at
e
..Particulars..
....
J/
F
..Amo
unt.
To
Cash ...Account.
.. 1500
By Balance
c/d
15
00
1500
15
00
WH Adams
Ltd ...Account...
D
at
e ..Particulars......
J/
F ..Amount.
D
at
e
..Particulars..
....
J/
F
..Amo
unt.
To Balance c/d 17000
By
Purchase ...A
ccount...
1700
0
17000
1700
0
LaunDebity
Fees ...Account...
D
at
e ..Particulars......
J/
F ..Amount.
D
at
e
..Particulars..
....
J/
F
..Amo
unt.
To
Cash ...Account.
.. 500
By Balance
c/d 500
500 500
Telephone and Internet
Expenses ...Account...
D
at
e ..Particulars......
J/
F ..Amount.
D
at
e
..Particulars..
....
J/
F
..Amo
unt.
To
Cash ...Account.
.. 2500
By Balance
c/d 2500
2500 2500
7

Water
Charges ...Account...
D
at
e ..Particulars......
J/
F ..Amount.
D
at
e
..Particulars..
....
J/
F
..Amo
unt.
To
Cash ...Account.
.. 1000
By Balance
c/d 1000
1000 1000
Wages and
Salary ...Account...
D
at
e ..Particulars......
J/
F ..Amount.
D
at
e
..Particulars..
....
J/
F
..Amo
unt.
To
Cash ...Account.
.. 2550
By Balance
c/d 2550
2550 2550
Sales ...Account...
D
at
e ..Particulars......
J/
F ..Amount.
D
at
e
..Particulars..
....
J/
F
..Amo
unt.
To Balance c/d 35000
By
Cash ...Acco
unt...
1500
0
By
Cash ...Acco
unt...
2000
0
35000
3500
0
P3 producing a basic trial balance applying the use of the balance off rule to complete the ledger
Trial balance is a term which makes whole list for both capital and revenue they both are
well known ledger accounts and this include in the ledger for a business purpose. Rosewood
maintains the whole list of capitals and revenues. In this list names are written for all nominal
ledger as well as value is written of nominal balance in an account. In this process nominal
ledger would hold either credit balance or debit balance. There are three types of trial balance
which are given below;
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Post- closing trial balance - This defines the balance which has been completed after entries
are closed and this is known as first trial balance which would require for the coming next year.
Adjusted trial balance - When each adjusting entries process is completed then further adjusted
trial balance is accomplished, this is the last balance in every account then it is used for a
purpose of preparing financial statements.
Unadjusted trial balance - This is prepared prior to adjusting journal entries have been
completed, such kind of trial shows everyday record of all the activities regarding transactions
and also this process examines every accounts while making adjusting entries. This trial balance
is used to see presently how much amount is available in account. A trial balance this is a report
which provides all the details related to a business account it includes costs, capital, assets,
liabilities at a given specific time (Goto and et. al. 2018) The term trial balance is described
because there will equal amount of money on both sides of credit and debit of that trial balance.
As per studies there are two sides of trial balance they are debit and credit therefore debit
includes expense accounts and asset accounts in comparison credits include like liabilities,
income and equity. Trial balance report is made periodically, this is a worksheet where ledgers
balance is followed into debit and credit account in a equal amount of both sides, firstly whole
procedure is done on worksheet regarding accounts then eventually report is made at the end of
reporting period. The main aim of companies providing trial balance is that being assure of all
entries in bookkeeping whether they mathematically correct or not, this process is very essential
to detect mathematically errors which may occur during double entry of accounting system. If
any amount is debited equally to the credits this means trial balance is maintained in a proper
way and there will be no mathematical errors in the process of ledgers., if there is any improper
transaction this means there are accounting errors. Number of companies keeps their transaction
records in bookkeeping accounts along with ledger this depends on different kinds of business
transaction in which accounts could be credit or debit in ledgers thus before they used in
worksheet, furthermore many accounts keeps their multiple records regarding business
transaction. Then it is resulting into maintaining complete sum of all debits and credits based on
business transaction this process is known as ending balance sheet of ledger.
..Particulars...... Debit Cr
9

Cash ...Account... 30950
Capital ...Account... 28000
(Kavanau
gh and
Lavallee
2020)
Rent ...Account... 2000
Purchase ...Account... 39000
Prepaid insurance Policy 1500
WH Adams
Ltd ...Account... 17000
LaunDebity
fees ...Account... 500
Telephone and Internet
expenses ...Account... 2500
Water
Charges ...Account... 1000
Wages and
salary ...Account... 2550
Sales ...Account... 35000
Total 80000 80000
P4 Review the different stages of the HR life – cycle applied to a specific hospitality joB
HR life cycle this is a continuous process which explains HR activities and with that HR
strategies and executing with life-cycle of employee. There are various steps which are followed
by HR life-cycle this include HR strategy, selection and recruitment, HR planning, vision and
culture, assessment and appraisal, job and team design, training and development, reward and
engagement .
HR life-cycle follows both vertical and horizontal combination in HR activities.
Vertical integrating - This is the combination of HR strategy along with business strategy.
Horizontal integration – This kind of integration are combined with each other and which leads
to gain an impact, such as HR bundles, or high performance, or else HR practice.
1-Business strategy
This strategy is a starting point for every organisation business in HR activity, all the business
strategy are based on SWOT analysis or else porter's five forces analysis .
2-HR strategy
This kind of strategy are translated into group of people , human resource may utilize some tools
which are important for HR life-cycle there are many successful HR strategy which comply the
advance goals.
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Organisational design
HR strategy and organisational strategy these both are applied or translated for an organisation
designing success ,these have multifarious ways which leads an organisation to goals, mission,
and competitive strategies which helps an organisation to draw actual designs.
Job and team design
This process means creating jobs which can motivate employee as well as this helps to attain
organisational goals and organisational objectives, this process includes designing of he job and
job analysis, there is team of design which is a high performing group of peoples.
3-HR planning
This process of HR planning which estimate workers or employees demand and supply further
more organisational strategies are influenced by demand, quantity and composition these both
are required for labor in the future, therefore supply is determined by retention capacity and
internal and external supply.
4-Vision and culture
Culture is known as further step in human resource life, culture, this term means where will be a
company in the future or on one day, this is seen with clear vision and thus culture helps to attain
that vision.
5-Recruitment and selection
Recruiting this means hiring a right or ideal candidate for a suitable job position in a company
this is a stage where life-cycle of employee starts , this selection is done on behalf of
qualification and experiences. Selection is done by seeing talents of a candidate ,then selecting
the best applicant for job(Kimbell and Vesnić-Alujević 2020).
Explain how performance management plan for hospitality job role applying techniques used
for both negative behaviour and issues in staff retention.
For success of any organisation its important that their employees are work with their full
efficiency. These techniques helps an organisation in enhancing their efficiency towards goal of
company. In context of Rose Wood, behaviour of their employees is very important for company
success. Main objective of selected firm is to achieve high customer satisfaction by providing
good services to them. Performance management refer to a management tool which helps
manager of an organisation to monitor their employees regular performance. Selected firm use
this tool of management for enhancing employees productivity to produce high quality work
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with full efficiency. For this company spent a lot of money on development of their employees
knowledge and skills by providing regular training to them. In context of company for efficiently
managing performance of their employees these steps are followed:
 Proper planning- Planning is one of the most important primary function of an
organisation and performance of their workers is depend on organisational plan. For
successfully achievement of company goal its important that, plan of organisation is
clearly defined to their workers. In context of selected company it management involve
their employees in decision making for better results.
 Training and support- Performance of employees is based on their skills and
knowledge. So for enhancing employees skills its important to provide them regular
training. In relevance of selected firm they provide regular training to their employees
which helps in improving their work performance. They organised different development
plans for their employees which increase their skills and future growth. Rose Wood
always support their employees which create a good relationship between them.
 Performance appraisal- It refers to an overall contribution of employee towards
organisation. It helps in evaluating employees skills, achievements and growth in the end
of annual year (Allison and et. al. 2019). It is also known as annual review. In context of
selected firm they use this factor for improving productivity and efficiency of their
employees. Rose Wood success is depends on its workers capability and efficiency. It
will help organisation to generate more profit.
 Compensation- It refers to an monetary and non- monetary benefits provided by
company to their employees in exchange of their work. These benefits motivates their
employees towards achievement of company goal. In relevance of selected firm it
provides different benefits such as reward and promotion for motivating their employees.
It has a direct impact on employees work performance.
From above it can be analysed that selected firm, use different techniques which helps
company in improving their worker’s performance. For achieving customer’s satisfaction it’s
important that their employees work with their full efficiency. Performance management helps in
creating a positive environment in an organisation which motivates their employees and create a
good brand image of company. Selected firm organised different development plans for growth
of their employees which retain their workers for long period of time in organisation.
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