Managing Finance, HR, Legislation & Communication in Hospitality

This report provides a comprehensive overview of key aspects of hospitality business management, focusing on financial performance, human resources, legal compliance, and communication strategies within the context of The Waterside Inn restaurant. It investigates the principles of managing and monitoring financial performance, including double-entry bookkeeping and cost management, and evaluates the role of financial management. The report reviews the different stages of the HR life cycle, addressing issues in talent acquisition and retention, and develops a performance management plan. It identifies relevant legislation impacting hospitality organizations and illustrates the impact of employment and contract law on business decisions. Furthermore, the report explores functional roles within the hospitality sector, communication methods, and the effectiveness of integration and monitoring to achieve organizational objectives, concluding with practical recommendations for improvement. Desklib offers a wealth of similar solved assignments and resources for students.

The Hospitality
Business Toolkit

Table of Contents
INTRODUCTION ..........................................................................................................................4
MAIN BODY...................................................................................................................................4
Task 1...............................................................................................................................................4
Investigate principles of managing and monitoring financial performance...........................4
Explain the principles of double entry bookkeeping system..................................................5
Produce a basic trial balance..................................................................................................9
Analyse types of cost and how they could be managed.........................................................9
Importance of accurate recording of transactions................................................................10
Evaluation of role of financial management........................................................................10
Task 2 ............................................................................................................................................10
A review of the different stages of the HR life cycle as applied to issues in talent acquisition
and retention within the food and beverage sector...............................................................10
Develop a performance management plan to support the specific job role.........................12
Make valid judgements and recommendations on how processes and documents at..........13
each stage of the HR life cycle can be improved using examples.......................................13
Task 3.............................................................................................................................................14
Identify specific legislation(s) that hospitality organizations has to comply and adhere to, in
the daily transaction of business using examples to explain where applicable....................14
Illustration of how the company’s employment and contract law impact on business decision-
making..................................................................................................................................15
Task 4.............................................................................................................................................15
An exploration of the different functional roles within the hospitality sector and how they
interrelate using an organisation chart..................................................................................15
Explain the different communication methods and levels used in an organisation.............16
A review of Coordination and Integration within a business organisation using examples
where necessary....................................................................................................................17
Analyse the effectiveness of different communication methods, integration and monitoring
within a specific department can help achieve overall organisational objectives and strengthen
the value chain......................................................................................................................17

Recommendations................................................................................................................17
CONCLUSION..............................................................................................................................18
REFERENCES .............................................................................................................................19

INTRODUCTION
Hospitality industry of UK is dynamic in nature has various kinds of changes after
Brexit. In the year 2018, UK has invested in the industry and a positive outcome if seen by
the industry. Highest performance for the growth of hospitality industry in UK is seen in the
London city (HOSPITALITY INDUSTRY IN THE UNITED KINGDOM - GROWTH,
TRENDS, COVID-19 IMPACT, AND FORECASTS (2022 – 2027), 2022). The Waterside
Inn. restaurant was founded in 1972 by Michel and Albert Roux. Head chef of the restaurant
is Fabrice Uhryn and they basically use French cuisine. The restaurant is located in Bray,
Berkshire, England, UK. The following report will covers application of HR life cycle to the
mentioned company, performance management plan to support specific job role,
justifications and recommendation to improve each stage of HR life cycle and legislation of
hospitality industry. This report also covers impact of company's employment and contract
law on business decision making, different functional roles within the hospitality sector,
different communication methods used in organisation and effectiveness of different
communication methods, integration and
monitoring within a specific department.
MAIN BODY
Task 1
Investigate principles of managing and monitoring financial performance
Proper allotment of budget- It is essential for companies to conduct proper
research of their previous financial records and evaluate their future expectations to prepare
their new financial budget for different departments.
Proper documentation- It is essential for organisation to maintain their financial
records with appropriate method and documentation (Muggleton and et. al., 2021). In
context of selected restaurant, it is essential for their financial department to maintain all
documents properly to analyse their profit and expenses. This will further help them to
mitigate those activities which are unproductive.
4

Explain the principles of double entry bookkeeping system
Double entry book keeping system is the concept which define that a single business
transaction can impact two accounts (What Is Double Entry Bookkeeping and How's It Fit in
General Ledger?, 2021). There are two sides of financial accounts like credit side and debit
side and it is essential that the credit and debit side of balance sheet should be equal.
5

Ledger accounts
6

7

8

Produce a basic trial balance
Trial balance is the financial document which include balances of all general ledger
accounts of an organisation for a specific period of time (What is a Trial Balance?, 2021). It
include all major accounting items such as assets, equity, liabilities, expenses, losses and
many others.
Analyse types of cost and how they could be managed
There are various kinds of cost in which a company deals to operate and it includes
variable costs and fixed cost. Variable cost are those cost which has dynamic nature, it
means that the variable cost changes according to the quality and quantity of the product and
services. Whereas, fixed cost is consist of those cost which generated at a fixed rate for a
longer period of time like rent of the building.
9

Importance of accurate recording of transactions
It is very essential for the companies to record their daily transactions so that they
will analyse their expenses and profit earned for both short period of time as well as for long
period of time (Lahmiri and et. al., 2020). This will further help companies to make
decisions which will minimize unproductive activities from the organisation and help to
make investment decision for productive activities. In context of Waterside Inn restaurants,
they can maintain their financial data on daily basis and this can further help them to make
effective decision for their organisational growth.
Evaluation of role of financial management
It is essential for selected organisation to manage their financial activities properly
and analyse their financial performance because this will help them to achieve their long
term objective. Financial management will also help companies to minimize their unwanted
expenses and prepare appropriate budgets for each department.
Task 2
A review of the different stages of the HR life cycle as applied to issues in talent acquisition
and retention within the food and beverage sector
HR life cycle is also called employee life cycle and it is defined the various stages of
a employee in their professional career (Employee life cycle, 2022).
Issues in talent acquisition and retention within the food and beverage sector-
Talent acquisition and retention are two different terms where talent acquisition is
the process where companies attract best skilled and talented candidates toward their
company and select them for performing their tasks and duties for the company (Talent
acquisition VS talent retention, 2021). On the other hand, Retention is the process where
companies provide growth opportunities and well-being working environment to their
employees so that they will stay in the company for longer period of time. There are few
issues in talent acquisition and retention within the food and beverages sector such as lack of
awareness and skills, expectation of employees related to their growth, maintaining their
performance well and many others.
There are five stages in HR life cycle which are mentioned below-
Stage 1- Attraction, recruitment, selection
10

Most of the candidates get attracted to the company for finding vacant job role due
to the company's brand reputation. In context of The Waterside Inn. restaurant they can
attract new candidates by their advertisements and website. Recruitment is the other process
where candidates can apply for the interviews and get selected by proving their skills and
experience in the same industry. In context of Waterside Inn., they can recruit their
employees while conducting interviews and checking their skills and talents practically and
then make a appropriate decision for selecting them. It is good for them to select best
candidate out of various alternatives to hire best talented employees which will increase
their productivity and profitability.
Stage 2- Induction, orientation, on-boarding
This is the stage where new hired employee get to know about their senior authority,
their colleagues, their actual job role and duties and many others (5 stages of the HR life
cycle, 2021). In context of Waterside Inn., their managers can introduce their new hired
employees to their existing employees and motivate them to communicate well with existing
employees. It is seen that employees are not introduced well by their work and colleagues in
food and beverages industry and due to which most of the talented employees left the
company. Hence, Waterside Inn. is required to conduct orientation process properly for their
new joiners.
Stage 3- Career planning and development
It is essential for companies to provide opportunities to their employees to grow well
in case of their good performance. In context of Waterside Inn., they can measure the
performance of their chef and kitchen staff by measuring the reviews of their customers and
then make appraisal decision. For example, if customers provide positive reviews to a food
dish made by a particular chef then that chef will get a appraisal for their good performance
to keep their customers satisfied.
Stage 4- Retention
The best way to retain talented employees is to provide them al those resources and
tools and equipments which they require to perform their job (5 stages of the HR life cycle,
2021). In context of Waterside Inn., they can provide all tools to their kitchen department
such as chef knife, carving knife, salmon knife, vegetables and many others to make them
11

satisfied to perform their job role. This stage will help the restaurant to mitigate the issue of
employee retention.
Stage 5- Separation and termination phase
This is the stage where employees left the organisation. In context of Waterside Inn.,
their managers must respond politely to those employees who is going to leave their
restaurant and thank them for their performance for the organisation. They can also provide
them well wishes for their future professional life. This will help them to gain respect and
mitigate the issue of declining brand reputation due to insulting employees while their
termination phase.
Develop a performance management plan to support the specific job role
Performance management is the process where managers monitor and evaluate
employee's work (Performance Management, 2021). Supervisor is the specific job role
which is selected for monitoring and evaluating performance of existing employees of
Waterside Inn. restaurant. Performance management plan for the chosen restaurant is given
below-
Plan- It is essential for the supervisor of Waterside Inn. Restaurant to plan their
performance and analyse which tool they are going to use to measure the performance of
their employees. Supervisor of the chosen restaurant is advised to make plans for both
positive as well as negative outcomes that what they should do overcome with bad
performance of their employees and how they will appreciate to their good performing
employees so that they will further improve their performance for the growth of restaurant.
Monitor- It is also essential for the supervisor to monitor the performance of their
employees and make sure that they will utilize the available resources appropriately. Here,
the main role of supervisor is to check that their employees will not waste any available
resources and use them in such a way which will provide maximum benefit to the restaurant.
Supervisor must check the performance of their employees while they are doing their task so
that supervisor will make them correct on the spot if they found any incorrect way of
performing task by any employee.
Review- It is also essential for a supervisor to review their plan appropriately and
make sure that their employees are performing according to their plan or not. In case the
employees are not performing according to plan then they are required to make corrective
12