Analysis of Hospitality Industry: Business Types, Roles and Skills

This report provides a comprehensive overview of the hospitality industry, focusing on various business types such as food and beverage, entertainment, accommodation, and travel and tourism. It examines the operational and functional departments within a chosen hospitality business, specifically Premier Inn, highlighting the roles of housekeeping, food service, front office, marketing, HR, and finance. The report discusses the industry's contribution to local, national, and international economies through employment generation and GDP growth. It also investigates different operational roles, including housekeeping, maintenance, accounting, marketing, kitchen staff, and front desk service, and examines the skills required for these roles, addressing current skills shortages like poor team morale and technological update. The report further touches upon the political factors impacting the industry.

Understanding
Hospitality Industry

Table of Contents
Introduction......................................................................................................................................3
Task 1...............................................................................................................................................3
P1: Explore the different types of business within the hospitality industry and the diverse
products and services they offer ............................................................................................3
P2 Examine a range of operational and functional departments within a chosen hospitality
business...................................................................................................................................4
P3 Discuss the contribution of the hospitality industry to local, national and international
economies...............................................................................................................................5
P4 Investigate a range of different operational roles within the hospitality industry.............6
P5 Examine the skills required for roles within the hospitality industry and current skills
shortage...................................................................................................................................7
Task 2 (covered in PPT).......................................................................................................8
........................................................................................................................................................14
References .....................................................................................................................................16

Introduction
Hospitality industry is the broad sector which includes many businesses under its
operation for instance restaurants, hotels, motels, resorts and much more. The given industry
core value is to provide the better experiences through excellence in hospitality services. For the
given report document operational working at premier Inn is being taken into the consideration.
Premier Inn is the leading hospitality service chain organisation which was founded by the
Whitbread in 1987. The respective company operates the numbers of hotels and restaurant
globally. They offers the great hospitality services to its customers in the low budget. In the
report will be concluded the current structure, scope and size of the hospitality industry(Bowen
and Morosan, 2018). Further the report will evaluate the anticipated skills requirement in the
given industry. At last the internal as well as external factors which can impact the industry as
well as the current issue facing by the hospitality industry is to be evaluated in this report.
Task 1
P1: Explore the different types of business within the hospitality industry and the diverse
products and services they offer
Hospitality is the massive industry which connects different business ethics with each other. Due
to monolithic size of given industry it contributes majorly towards the growth of an economy.
The different businesses are categorized under these major categories I.e., food and beverages,
entertainment, accommodation and travel and tourism. In this particular discussion the
evaluation of the above categories is being taken in to consideration(Cabral and Jabbour, 2020).
 Food and beverages industry(F&B)- The food and beverages is the industry which
serves its services through foods and drinks to the customers. An above industry is one of
the biggest segment in the hospitality sector. The services were provided through
restaurants and bars to the customers. The growth prospectus Of the given sector is high
because of the large numbers of customers. Some of the services of F&B are explained
below;
Quick food services- In this food service the restaurants provides the quick food service to its
time conscious customers i.e., KFC, dominoes, Burger king etc.

Full fledged restaurants- these are the restaurant which features the complete service to the
customers i.e., fine dinning, themed based dinning and casual dinning experiences are fall under
this category. Entertainment industry- It is the industry which contributes the fun element in
customers travelling. The given industry plays a significant part in the hospitality sector.
The services which are categories in this category are night clubs, cruise services, marine
activities etc (Dogru and et.al, 2020). Accommodation industry- This is one of the broadest part in the hospitality sector. The
accommodation industry function is to provide the hotels or resort to its customers. The
given industry solely focuses to fulfil the customers requirement through its services.
 Travel and tourism industry- Travel and tourism is the diverse industry in the hospitality
sector. The function is to offer the transportation services to the customers i.e., Airlines,
trains, yacht, cruise ships etc. the respective sector dominates the hospitality industry
through its effective operations(Franco and et.al, 2020).
P2 Examine a range of operational and functional departments within a chosen hospitality
business.
Operational department- This department is responsible for creating higher level of
efficiency among working of employees in an organisation. It ensure that day to day operational
working of a business run in smooth manner without any hurdle. Following are the operation
department of Premier inn hotel are.
 Housekeeping department- This is the most important and valuable department in hotel.
This department ensures that guest rooms, common areas, lobbies, hallways and
restrooms are clean and ready to use. In simple words, the main job of housekeeping
department is to ensure that hotels always maintain their standard in cleanliness and
hygiene (Gursoy, 2018).
 Food department- In this department, food is prepare for customer. Various staff work
in this department are chef, cook, kitchen porter and many more. In the terms of
respective organisation, food department ensures that food which is prepare for customers
should always be hygienic and avoid any kind of adulteration.

 Food and beverage department- Under this department drinks in prepared for customer
(Hassanien and Dale, 2019). This department ensures that all waiter and waitress serve
the drinks to customer in proper manner and follow ethical code of conduct while treating
customer.
 Front office department- This department ensure that whoever customer arrive in hotel
should welcome properly and assign rooms to them as per their booking. It also ensure
that guest's complaint are properly handle with relevant solution.
Functional department- The major role of this department is to ensure that all major
function of business like production, marketing and finance are properly done in order to ensure
smooth functioning of business. Following are the functional department of Premier inn hotel
are.
 Marketing department- The major function of this department is to do marketing or
adverting of an organisation in market so that customer become aware about existence
and service of hotel in market(Jung and Yoon, 2018). This department also identifies
current trends in market and advice changes in operational working of hotel.
 HR department- Main function of this department is to mange all human resource in an
organisation like their increment, promotion and many more. It also ensure to employ
right candidate with right education and relevant experience in an organisation for
successful completion of task.
 Accounting and finance department- This department manage all the finance and
monetary transactions of hotel. It also ensure that proper financial budget is prepare to
carry out hotel operations in smooth manner.
P3 Discuss the contribution of the hospitality industry to local, national and international
economies.
Hotel industry has contributed in several ways to local, national and internation
economies are.
Local economies.
 Employment generation- Hospitality sector plays a vast role in provide employment to
people in world. With the expansion of several hotels in London, it will provide
employment to different people which will rise in standard of living of people.

National economies.
 Rise in GDP of country- By providing employment to several people, it provide source
of income to various people which helps to increase in standard of people of country.
Hence, when standard of people is increase in country this shows that GDP is also rising.
Therefore it is major contributor to give rise in GDP of country( Kim, and et.al, 2018).
International economy
 Promotes globalisation by expansion- Expansion of business means rise in business
from one country to another country. By expansion, hotels increases its business to
another country which promotes globalisation. Through which revenue of hotel rises and
makes it more profitable, which also helps to rise in GDP of another country.
P4 Investigate a range of different operational roles within the hospitality industry.
Operational roles in hotel industry- These roles are defined as those roles which are
directly engaging in doing business operations in effective and efficient way. This department of
ensures that all the daily operations of business done in proper way and lead to timely
completion of tasks. Following are the different operational roles in hospitality industry are.
 Housekeeping-This role of hotel industry ensures that all rooms of hotels remain clean
and tidy in order to provide hygienic and positive ambience to customer which helps to
develop overall brand image of hotel in market (Kotler and et.al, 2018).
 Maintenance- This is a role of hospitality industry which ensures that all the fixtures like
fans and tube lights, TVs and other electronic items in room and bathroom work properly
so that customer don't find any kind of problem in staying at hotel rooms.
 Accounting- In this role of hotel industry, it make sure that all the accounts are properly
prepare and proper allocation of finance is made in each department in order to ensure
smooth functioning of business.
 Marketing and sales- This role of hospitality industry deals that proper advertising and
publicity done in order to make customer aware about hotel in market. Because customer
will only visit to hotel when they are know about existence of it.
 Kitchen staff- This role of hospitality industry ensure that proper food is prepare and
serve to customer in hygienic way and without any adulteration. Customers health is
always priority in hospitality industry.

 Front desk service- This role of hospitality industry ensure to maintain proper
communication to customers those who visit hotel for booking and also listen to their
problems regarding hotel management and give suitable solutions for it (Murphy and
et.al, 2018).
P5 Examine the skills required for roles within the hospitality industry and current skills
shortage.
Following are the skill require for roles within hospitality industry are.
 Teamwork- This is the most important skills which require in an individual while
working in hospitality industry. In hotel industry, there are lot of work to do which
cannot be handle by one single person. Therefore work is divide among individual.
Hence it require strong commitment to team members in order to successful
completion of tasks.
 Stress and time management- Sometimes during peak season there are lot of work to
do in hospitality industry which create so much stress among working professionals
(Park, Chae and Kwon, 2018). Hence in order to deal with stress, they require time
management skills to prioritize their tasks and complete them on time in effective and
efficient manner.
 Problem solving skills- Problems are the part of parcel of life. It affects not only
personal but sometimes professionals life an individual also. Sometimes there are
some complexity arise in an organisation which need to resolve. Especially in hotel
industry, sometimes customers create problems which affects overall working of
hotel. Therefore, in order to deal this it require special problem solving skills among
working professionals.
 Strategy and innovation- Changes are very must necessary in hospitality industry to
attract customers because sometimes customer get bore when they are getting same
kind of service for longer period of time(Park and Min, 2020). Therefore for applying
new changes in hospitably industry it require proper strategy and innovative mindset.
Hence, this highly demanding in current scenario.
Following are the skills which are current shortage in hospitality industry are.
 Poor Team morale- Nowadays different employees come form different background in
an organisation and everyone has different mentality and thinking. Therefore because of

there different mentality and thinking they won't be able to make co-operation among
team member(Peters and Kallmuenzer, 2018). Hence as a result it lead to non completion
of tasks and arise conflict among co-workers.
 Technological update- There are lot of technological changes happing around the world,
through which an operational working of an organisation will be easy, But there are some
specific staff in hotels who are not aware about technological changes like waiters, who
are not very qualified to know technological changes in market which creates problem
not only for staff but for customers also (Shneikat and Alrawadieh, 2019). Therefore
hotels staff should provide training to its employees regarding technological changes so
that it become for staff members to working in hotel industry.
Task 2 (covered in PPT)

Notes: -
 Political- These factors determine the way that how government can influence the
particular industry in market. For example, changes in tax laws and export import policy
are included in political factor. In hospitality industry there are several ways by which
government can make impact either in positive way or negative way for example- change
in regulation of business, real estate development initiates and many more. In the terms of
mentioned company, several corporate taxes have been reduced by government which
increases in profits of hotel and make hotel more profitable (George, 2021).
 Economic- Through this factor economic performance of country analyse to know how it
can make an impact in company's performance in long term. For example- Rise in
inflation rates and many more. In hospitality industry, when internation clients visit in
hotels of domestic country this would increase profits of hotels as they book their room
and stay for longer duration of time. But during corona virus pandemic there were no
such activities happened which put hospitality industry in major loss. In the terms of
mentioned company, during corona virus there was complete lockdown announced in
whole country which stopped the travelling habit of people to visit international
countries. Hence, this created huge loss for Premier inn and lead to downfall of profit by
which several employees were lay off from their job.

 Social- This factor includes societal changes taking place in country like cultural trends,
demographics, taste and preference and many more. In hospitality industry, several
people have tendencies to visit restaurants and eat dinner with their family. Also during
vacation, several people visit abroad and stay in expensive hotel to enjoy their vacation.
In the terms of mentioned hotel, so many people visit from domestic as well as from
international way to spend their vacation during Christmas,Easter and many more
festivals which increase the business of Premier inn and lead to high profitability during
peal season (Whittington, et.al, 2020).
 Technological- In this factor several technologies changes is include which affect the
market either in favour or against the business. In hospitality industry, there several
technological changes happen by which it creates ease for doing business for example
customers can book their rooms online through OYO platform which increase the
business of hotels. Moreover, customers can also order foods through uber eats which
enables to get food instantly. In the terms of mentioned company, by making its own
websites Premier inn has given facility to its clients to do booking of their hotels rooms
online, hence this has facilitated customers to do booking online anywhere without
visiting hotel. Which lead to rise in profitability of hotel.
 Legal- This involves changes which happen due to political factors. For example, change
in tax laws can impact business to pay either more tax or less tax can affect the overall
profitability of firm. In hospitably industry, there have been certain laws implemented
like provide hygienic food to customers which vary from country to country. Hospitality
industry must follow these laws properly in order to ensure that work happen successfully
without any legal intervention. In the terms of mentioned company, recent change in
legislation which force hotels to rise in minimum wage rate of its employees has been
followed by Premier inn, in case if hotel will not follow such legal act then will affect the
operational working of firm and invite legal actions through which goodwill of firm
affect badly.
 Environmental- This factor involves all those environment factors which affects the
environment of firm. In hospitality industry, there is major pressure of environment
regarding the use of water, light and fuel for doing their business operation. In the terms
of mentioned company, global climate change has put a major impact of Primer inn.

Floods, hurricanes and heavy rainfall has badly impacted the business because customers
prefer to stay at their home rather than move outside, which has reduced the profitability
of firm (Johnson and Whittington, 2020).
Notes: -
SWOT analysis is performing to know that how internal functionality of business and affect its
overall profitability for business. In this SWOT analysis of Premier inn is going to take to find
out Strength, Weakness, Opportunities and threat.
Strength
Location- One of the main strength of Premier inn hotel is that it is situated in good locations like
airport and tourist attractions. This facilitates customer to visit to their favourite place easily.
Strong presence in UK- Another main strength of Premier inn is that is has strong brand presence
in United Kingdom. It has over 800 hotels and 7,85,000 rooms which make it very popular in
country.
Weakness
Limited Global presence- It has a limited global presence, as comparison to other hotels in
UK,which makes it less popular among people of world.

Refusal of refund- During pre-covid 19, several customers have booked their room in hotel were
refuse to pay refund during lockdown. Hence, this has made customers unhappy.
Opportunities
New markets- Premier inn can explore new markets as it as limited global presence. It can
establish their offices in several other countries like Germany and Ireland. Hence, this will
expand the operations of business and make it more profitable (Foskett, et.al, 2021).
Launching new mobile application- Premier inn can launch its own mobile application through
which customers can make easily book their room though their mobile.
Threat
Competitors- There are several competitors of mentioned hotel like Holiday inn, Easy hotels and
many more. Through which customers can switch to these hotels in case they want.
Lockdown- As cases of corona virus is rising again in different parts of worlds like USA, UK
and many more, by this government is announcing lockdown which will impact the overall
profitability of business (Jafari and Othman Soleiman, 2020).
On the basis of above Internal analysis which is conducted through SWOT it has been found that
there are several factors in which hotel needs to work on to improve their overall functionality of
business. If hotel will work on such factors, then it will surely achieve success in market which
will increase the profitability of hotel.
Notes: -

Contactless payments- After Covid- 19 several people have adopted digital payment habit in
their business transactions, which enable to them use debit card and several online payments
apps for transaction. Through this the case of corona will not increase as it avoid physical contact
between parties. Hotels industry has given facilities to their customers to make payment via card
without cash, Hence, this will give security to customers as they get not affected by corona virus.
Social distancing- This is another major trend seeing in hotel industry nowadays because of
which customers will sit while leaving one seat empty beside them. Through this trend hotels
industry get benefit too much because customers now can freely visit to restaurants without the
fear of corona virus. This will boost the business of hotels and lead to rise in revenue.

References
Books and Journals
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