Contemporary Hospitality Industry Report: An In-depth Analysis

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This report provides a comprehensive analysis of the contemporary hospitality industry, focusing on its current scale, scope, and diversity. It examines the industry's contribution to the UK economy, types of ownership, and the diversity of products and services offered. The report includes a case study on Holiday Inn, discussing its history, development, and offerings. It also explores organizational structures within different hospitality businesses, such as five-star hotels and catering services. The report assesses staffing requirements, roles, responsibilities, and qualification requirements. Furthermore, it addresses operational, managerial, and legislative issues resulting from recent developments, along with predictions for future trends and developments in the hospitality sector. The report concludes with an impact analysis of these predicted trends.
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Contemporary Hospitality
Industry
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Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
1.1 Analyse the current scale, scope and diversity of the hospitality industry...........................1
1.2 Discussing organisational structure of different hospitality organisations...........................2
1.3 Assess the role of hospitality related organisations and professional bodies........................4
TASK 2............................................................................................................................................4
2.1 Assess the staffing requirements of different hospitality businesses....................................4
2.2 Discuss the roles, responsibilities and qualification requirements for hospitality staff........5
TASK 3............................................................................................................................................6
3.1operational, managerial and legislative issues resulting from recent developments affecting
the hospitality industry................................................................................................................6
3.2 Discuss the current image of the hospitality industry...........................................................7
TASK 4............................................................................................................................................7
4.1 Present justified predictions for potential trends and developments in hospitality...............7
4.2 Produce an impact analysis for the predicted trends and developments...............................8
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10
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INTRODUCTION
Hospitality industry is the wide sector which is contributing huge amount in the
development of economy. This sector is famous for its services such as accommodation facility,
food and so on. Hospitality and tourism sector both are interrelated with each other because if
people are travelling they want hotel to stay and restaurants to eat food. This assignment is based
on Holiday Inn which is founded in 1952 on 1st of August and founder of this hotel is Kemmons
Wilson (Bharwani and Jauhari,2013). They are serving in 1,145 number of location as well
services providing by them are lodging, meeting, food, conventions and timeshares. Below
mention report focuses on analysing current scale, scope and diversity of respective company.
Along with the organisational structure of several hospitality organisation. The same highlight
requirement of staff and their roles, responsibility as well qualification. Major trends and
development in the same industry also discussed.
TASK 1
1.1 Analyse the current scale, scope and diversity of the hospitality industry
Hospitality sector is one of fast growing and developing as well it is most booming sector
in the economy. In this industry organisations are getting popular and famous with their quality
of services. Because quality matters a lot for customers and it assist in easy attracting large
number of guest. Although, if an individual is spending their hard earned money then in return
they want quality of food, better accommodation facility and many other.
Current Scale and scope Hospitality sector is presenting by restaurants,
accommodations, pubs and many other. The same industry is fourth largest sector in United
Kingdom and they are contributing 10% in the GDP (gross domestic production) Of the nation.
Hospitality sector is providing employment opportunities to large number of peoples
approximately the are 3 million peoples. Scale of hospitality industry is approx 10,000 hotel in a
particular country.
Types of ownership in hospitality industry:-
Partnership – this is the type of ownership in which two or more than two people are
owner of the company . All of them have equal rights in organisation as well they
contributed amount of capital for starting business. Their profit and loss sharing ratio is
as per the amount of their investment.
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Leasing – It is also one of the famous and popular ownership as in it money is paid to the
owner by the tenant for using the respective property.
Franchising – In this name of the company is used by another person also in same nation
or can be other also. But for this some amount must be paid by them whose name and
brand is using by them.
Contract – ownership of hospitality sector company can be on contract also in which two
parties come into agreement about both the business terms financial and non-financial.
Diversity – Hospitality industry is linked with travel and tourism sector also these both are
totally interrelated to each other (Jang and Park, 2011). Apart from this another diversity of
hospitality industry is their socio-economic development.
1.2 Discussing organisational structure of different hospitality organisations
Organisational structure of Five star hotel – in these kind of organisations there are
different positions of every individual which is pre-defined. Effective job specification will
enhance productivity and efficiency in working environment of hotel. Structure is basically
divided into six segments such as: Finance, front office, human resource, food and beverages,
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sales and logistics. Every department is play their crucial role in organisation which assist in
achieving goals and objective in better manner.
Organisational Chart for catering department – Structure of catering sector involves
both commercial and non-commercial. This is kind of company which provides catering foods
and services on the request of clients. Such organisations not only includes services and cooks
but also entire management team which can handle major task such as marketing,
communication with clients and many more (Radojevic,Stanisic and Stanic, 2015.). There are
various departments and job roles in the respective enterprise which are divided into hierarchical
manner which states that people who are at the top level having huge experience as well at lower
end employees have less roles and responsibilities.
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1.3 Assess the role of hospitality related organisations and professional bodies
There are different roles of hospitality related organisational and professional bodies are
given as below:-
British Beer and Pub association – main motive of forming this association is to deal
with the problems and issues which is related to beer and pub industry. The same organisation is
promoting interest of beer brewers and through stand for and campaigning for their interest. The
influencing of public opinion affiliated to this section is the primary role played.
British Hospitality Association – This association is concerned with the restaurant, hotel
and catering companies. It is an private organisation as well British Hospitality Association was
developed in 1907. They are representing such enterprise over 100 years and the industry is
working in five key areas for development of hotel, catering and hotel (Ruetzler and et.al., 2014).
These five are economy, employment, intelligent regulation, sustainability and health.
British Institute of Inn Keeping - This institution license hospitality industry in entire
United Kingdom as well role of the same is helping the individual in doing such roles like
charitable status, membership benefits, advising.
Institution of Hospitality – This institution was established in 1938 and hospitality is
especially concerned with their aspiring manager and manager. Major roles performing by the
organisations are membership, qualification & accreditation and PARN (Professional association
Research Network). Although, it is the roles and responsibility of this institution to organise
networking events and effective guideline at free of cost. So international hospitality benchmarks
can be generated or achieved.
TASK 2
2.1 Assess the staffing requirements of different hospitality businesses
Hospitality industry is famous for its services which can be possible only with the
assistance of people with different training and education. Qualification and degree required of
employees is related to their job profile that will they have direct interaction with customers or
not. Staffing role is played by human resource department in enterprise and it is much important
that their should be adequate as well appropriate staff should be in enterprise. Workforce of
organisation will help in achieving its goals and objectives in better manner. Thus, while hiring
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staff members it must be kept in mind that they must be according to vacant job position and are
suitable for company. For example: staffing needed in the Food production segment is the person
who must be specialist in this field with experience and can fulfil desire of customers in better
manner (Deery and Jago, 2015). Skills and knowledge required in employees must be according
to their job specification such as an individual who is employees in area of food production is not
expected from him/ her that they will have good command over English, excellent
communication skills. Expert areas expected in them are maintain food quality, taste and can
fulfil need as well wants of guest.
Their is some qualities which is required in staff member in hospitality sectors are :
customer services which can be carried by direct interaction with them. Client handling skills
must be priority in this sector which is required in candidate while hiring. Staff members who are
working in the housekeeping department should be creative and expert in hygienic so
expectation of customers related to cleanliness can be fulfilled. This is the duty of management
that best performance and results can be gain out of available employees. Although, make sure
that better results can be gained for delivering customers better services.
2.2 Discuss the roles, responsibilities and qualification requirements for hospitality staff
There are different roles and responsibilities, qualification is required in staff member
who are working in enterprise. In the education industry there are several institutions who are
providing education related to hospitality organisation management so that professional
requirement of every individual can be fulfilled. Qualification in this sector is mainly related to
hotel management, commerce, customer relationship management and training related to specific
industry so that major operation or activity can be looked after. Modification or changes take
place in this segment in major and more these can be used in such manner that opportunities can
be capitalised in effective manner.
For example: In organisation like Holiday Inn communication manager is responsible for
all the activities which is related to communication path way. Although it is duty of their that
information and data can be transfer to each and every member in the enterprise. It must be make
sure that info which is transferring outside the enterprise should be in right manner so that
reputation and credibility of the market can enhanced. Requirement for the same is that an
particular person have to do a masters degree in hospitality management along with the
minimum 5 years of experience in communication because this industry involves interaction with
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customers which require proper communication skills. The financial manager is accountable for
managing and monitoring all the financial resources of an enterprise and also prepare budgets of
particular year along with this most important provision of training to employees working in
same area (Pinar and et.al., 2011). Qualification required in the same area is master's in financial
management and experience of over 8-10 years so that it guarantee profitability of an
association.
TASK 3
Covered in PPT
3.1operational, managerial and legislative issues resulting from recent developments affecting
the hospitality industry
Operational issues – This department is related to operational activity of company in
this major issue arise is the raising cost of entire organisation. All such major issues take place in
organisation is because of modification which is being carried out in the enterprise. Foe example:
applying with the new technology trends such as formulation of websites, wi-fi speed increment
and latest mobile application features. All such features are important as well make sure that
business will stay up-to-date with the alteration which are taking place in business surroundings.
The improvement in tools, techniques and hotels itself costs huge in millions which come out as
a major problem for a business. Apart from this in some situations employees are not agree with
the alteration and don't want to work on it which results in employees turnover ratio.
Legislative issues – these issues are related to laws and regulations of employees who are
working in organisation. That every staff member have minimum wages right along with the
equal wages. Remuneration of personnel are according to the work or role of their in
organisation. Along with this there are several other rights also have to workers. Every nation
have their own laws and legislation which is formed by government.
Managerial issues – Primary issues through which an organisation is going on in
management is less number of capable as well skilled employees. Demand of customers can be
fulfilled in effective manner with the assistance of proper workforce so that they can be able to
deliver offering in better manner. After analysing data it has been identified that there is
requirement of 1.3 million employees in hospitality sector. Major issues of less employees in this
segment is that they are offering less amount of wages compare to their working hours.
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3.2 Discuss the current image of the hospitality industry
Current image of hospitality industry is best as per the annual report which is given by
British Hospitality association.
Hospitality industry of the United Kingdom is playing a crucial role in making sure that
Brexit is a success as this business have supply with infrastructure and financial help
which is necessary in business the blows in the economic system.
Economy of United Kingdom is dependent on the hospitality sector as well it have
capacity of facilitates , host events, seminars and many other programs also. In the
present scenario there are approximately 60,000 population of UK is employed in the
same segment. Apart from this it is providing more employment opportunity because
there is requirement of more 20,000 employees for satisfying customers needs and
demands.
In this sector it is necessary to reduce tax burden because it is one of the highest in the
Europe. It has been projected to cut down the tax amount by 5% reason is that it will be
facilitative in generation more and more employment of 121,000 and at the same time
rising the trade balance of 23 billion euros which is directing to growth and development
of economy.
The workers movement is a focusing factor as 23% of the labour in the hospitality sector
belong to European Union migrants.
TASK 4
Covered in PPT
4.1 Present justified predictions for potential trends and developments in hospitality
It has been determined that demand in hospitality sector is influencing by economical
factors as well trend of customers. Along with this there are several types of potential trends
which is analysed for achieving betterment in proper manner. Various factors which are involved
in this aspect are given below:-
Modification in level of lifestyle – This industry main motive is to satisfy their
customers which can be possible only when employees working in Holding Inn focusing on
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customers lifestyle. Then after provide goods and services to them according to their needs and
wants.
Online booking of various hospitality services – digitalisation and modern technology
are taking place more and more now a days because of this people are getting more addict of it as
well they prefer. Online booking facility is providing to by Holiday Inn will attract large number
of customers as well can reduce pain of standing in queues of booking purpose.
Food and beverages management – These things are important in hospitality industry
for satisfying customers. Thus, their proper management is necessary to make sure that product
will be deliver according to the desire of customers.
Impact of social media on the sector – Advertisement and promotional activities in the
hospitality industry is conducted mainly through social media. It gives more or wide exposures
to brand in front of the customers. Moreover it will assist in attracting large number of people
will provide high profit ratio for long time period.
4.2 Produce an impact analysis for the predicted trends and developments
Modification is implemented in organisation as per the changes take place in business
environment. This can give different type of impacts which can be faced by organisation in
future because of alteration. When changes take place then it should be studied properly so that
correct decision can be taken by organisation for adopting important trends to achieve desired
results. Some of these are as follows:-
Economic impact analysis : Economy play vital role in implementing modification and
major changes take place because of changes in government policies. Such as tax rate
changes, sales, earning and occupations also. This factor must be analysed in proper
manner after that transformation should be implemented so that their will be better
results.
Financial analysis : Fund and resources which is backbone of industry without this no
business can sustain in market for long period. For implementing latest technology or
several other changes there is requirement of appropriate funds.
Demand analysis : Current demand of customers must be analysed in proper manner so
that products can be modified as per requirement. Demand of guest can be fulfilled and
company gain its required outcomes.
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CONCLUSION
From the above assignment it has been concluded that, hospitality sector is the wide
among all and its in contributing huge amount in development of economy. By providing
employment opportunity, living standard to population of United Kingdom. Along with this it is
working in large scale and providing employment to their neighbour of European Nation. Their
are several types of organisation in this industry every enterprise have their different structure
which is distinct from each other. Staff in the hospitality company is crucial and play important
role in growth ad development of enterprise. There are several kind of job roles in enterprise
which must be fulfil by the person who is at that position.
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REFERENCES
Books and Journals
Bharwani, S. and Jauhari, V., 2013. An exploratory study of competencies required to co-create
memorable customer experiences in the hospitality industry. International Journal of
Contemporary Hospitality Management, 25(6), pp.823-843.
Jang, S. and Park, K., 2011. Hospitality finance research during recent two decades: subjects,
methodologies, and citations. International Journal of Contemporary Hospitality
Management, 23(4), pp.479-497.
Radojevic, T., Stanisic, N. and Stanic, N., 2015. Ensuring positive feedback: Factors that
influence customer satisfaction in the contemporary hospitality industry. Tourism
Management, 51, pp.13-21.
Ruetzler, T and et.al., 2014. Perceptions of technical skills required for successful management
in the hospitality industry—An exploratory study using conjoint analysis. International
Journal of Hospitality Management, 39, pp.157-164.
Deery, M. and Jago, L., 2015. Revisiting talent management, work-life balance and retention
strategies. International Journal of Contemporary Hospitality Management, 27(3),
pp.453-472.
Pinar, M. and et.al., 2011. Gender diversity in the hospitality industry: an empirical study in
Turkey. International Journal of Hospitality Management, 30(1), pp.73-81.
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