Strategic Planning for the Hospitality Industry: An Analysis

This report provides a comprehensive analysis of strategic planning within the hospitality industry, using the Mayfair Radisson Collection Hotel as a case study. It begins by defining strategic planning and its importance, then delves into the critical factors for successful strategy implementation, emphasizing communication, accountability, focus, and action orientation. The report then explores creative business strategies for achieving a competitive edge, including giving guests control over brand culture, creating valuable hotel experiences, and catering to long-term guests. Finally, it analyzes and evaluates different performance metrics, such as critical success factors and key performance indicators, crucial for measuring organizational performance and achieving objectives. The report offers a detailed examination of strategies and metrics essential for success in the hospitality sector.

Strategic Planning for
the Hospitality
Industry

Table of Contents
INTRODUCTION......................................................................................................................3
MAIN BODY.............................................................................................................................3
Critically analyse the most appropriate factors to implement a chosen strategy...................3
Research about creative business strategies for your chosen organisation’s future strategy
selection to be competitive in the hospitality industry...........................................................4
Analyse and evaluate the different performance metrics.......................................................6
CONCLUSION..........................................................................................................................8
REFERENCES...........................................................................................................................9
Books and Journals................................................................................................................9

INTRODUCTION
Strategic planning can be defined as a planning system adopted by organisation which
consists of different set of activities in a strategic form by managing functions in relation to
the goals and objective of firm (Elbanna, 2016). In context of present report the chosen
organisation is the may fair a Radisson collection hotel. It is a luxurious hotel on Stratton
Street in Mayfair London. This hotel was first opened in 1927 and now it is performing its
function at global level. The overall capacity of this hotel is 404 rooms where it is using the
continuous expansion plan with improve eyes function. Under this report is discussion about
the most appropriate factor to implement a chosen strategy. Along with this there is also a
discussion about the business strategies which can be used by the organisation to achieve
competitive advantage within the hospitality industry. Along with this, some key
performance indicators which are helpful in evaluating the performance of the former also
discussed.
MAIN BODY
Critically analyse the most appropriate factors to implement a chosen strategy
Implementation of strategy is the most important part within the organisation which
has to be focused by the firm to achieve its objectives in a timely and appropriate manner. In
context of a business strategy, the factors which are used in implementation of strategy must
keep in mind by the manager of the firm to achieve the objectives in timely manner. In
context of the may fair Radisson collection hotel, choosing strategies can be implemented by
using an appropriate framework and different factors which are discussed below:
Communicating and Alliance: For implementation of a strategy in an appropriate
way and managing success of a chosen strategy. It is needed by the management of the firm
to communicate and make alliance all the objectives values and visions of the strategy used
by the firm (Peters and Kallmuenzer, 2018). By determining the clear goals within the mind
of different stakeholders and strategy implement will help in issuing a guideline to identify a
foundation for business planning and growth. This will help in managing the work and align
the company objectives with the region of the strategy and implementing effective leadership.
In context of Radisson hotel, manager within the firm can implement the chosen strategy

communicating its vision to different stakeholders which are employees, suppliers and many
more.
Drive accountability: After performing the prior stage now it is turn to create the
goals and shared use goals with the rest of company. In context of Radisson hotel,
management staff can divide the responsibility according to the new strategy to each and
every individual who is working within hotel. These responsibilities are related to day-to-day
work or other impactful works which are related to the strategy in direct or indirect manner.
Creating focus: The most important task with the implementation of strategy is
related to creating the focus (Lopes, 2016). In context of Radisson hotel, it is needed by the
employees of the organisation that they have to clearly align the goals in their performance so
that organisation can observe a proper progress by implementation of strategy. This factor is
crucial for the firm as leader has to maintain a separate focus on the goals so that they can
achieve them in appropriate manner.
Action orientation: This is also an important factor which is related to the
performance of firm in a target market by choosing a new strategy. Herein, manages to create
a proper action orientation system where each and every individual work toward the needs
and requirements of the strategy and perform their tasks effectively.
Research about creative business strategies for your chosen organisation’s future strategy
selection to be competitive in the hospitality industry
There are different kinds of strategies which can be adopted by the organisation in
relation to managing its functions as well as achieving the objectives in current time as well
as and future period. Some of these creative strategies are discussed below:
Giving guest control over the brand culture
It is a prime strategy which can be adopted by the organisation where it can used to
tell the guest about what they will experience within the visiting hotel. Income tax of this
strategy organisation can use creative imagination within the mind of customers and shaping
a direction for their hospitality experience (Zaitseva, Goncharova and Androsenko, 2016).
For extension of this system, organisation can also contribute to increase the brand image and
potentially improving the reputation of hotel. This strategy organisation can use to repurpose
spaces within the firm. Therefore, instead of using normal hallway organisation can

implement a mini installation related to some arts for the guest rooms of the hotel.
Organisation can also use strategy related to development insight of company perspective.
Facility and positive interaction is also a feature which can be used by the
organisation. In relation to this organisation can give its guest opportunity to attend the bingo
night where they can win the prices such as bar and restaurant vouchers in many other pricing
strategies can be adopted by hotel. In the current time social platforms are also increasing
which can also give advantage of using them to hospitality industry. Organisation can use
platform like Facebook to increase the networking, meet-ups and social atmosphere for the
guest within the firm where they can interact with each other and enjoy their experience.
Emphasis on creating valuable hotel experience
This is risky strategy which can be adopted by a hospitality organisation to improve
the functioning as well as increased their present environment as a fresh experience for the
guest. Travellers are increasing their experience over the material of the products which
should be offered by the organisation to improvise its functioning (Lordkipanidze, 2018). In
context of hospitality firms, it can use the current trend within the market where the gas is
preparing the downstairs rooms later breakfast at 24 hour gym access. This can be used as a
core strategy by hospitality firm to improve its functioning. Company can also use to give gas
the lasting experience by letting them to purchase the forces features such as glassware shops
and sending them interior designs guide which can be used for their self-home. This
integrated system can be used to improve function of format can be implemented as a
permanent strategy which will create a valuable experience in mind of customer.
Creating flexible and unique properties place for long term guest
This strategy can be adopted by the organisation to retain the long-term guest. Under
this strategy, organisation can pay attention today's guest book for long period of time visit
frequently to the organisation and require more flexibility than the average traveller.
Introduction to the current hospitality environment, this kind of customer can be categorised
as travellers and family. In relation to travellers, hospitality forms can target and foster an
environment that will promote the work, play and relaxation. Herein, organisation can
provide facility like transport to airports. Space in a hotel room is also system which can be
related to the current strategy. Herein, organisation can be more creative but transforming

into the working areas or retail space for local businesses where they can easily sell the local
products and attract the customer because of new and divine culture (Bagheri, 2016).
Embrace the strength of property destination
In relation to the strategy organisation can demonstrate the cultural awareness and
sensitivity. In context of hospitality industry, organisations within the industry can use
different kind of functions like open space for farmers market or other similar activities
which will help the organisation in attracting customers from different backgrounds and
managing cost effective techniques. Collaborating with other companies to promote the
things like educational forms public events and exhibition will strengthen the Goodwill of
hospitality firm within the market (Madanhire and Mbohwa, 2016). This will also boost
economic conditions where they can easily implement the situation according to the
requirement and achieve the objectives. One more creative idea which can be adopted by a
hospitality form is that they can incorporate with the worker of the local designer’s artists and
craftsmen so that they can fill up their spaces with this craft item. In this will helpful in
increasing the authenticity of the hotel as well as make just want to spend more time within
the hotel which will be beneficial for profitability and productivity of the firm in the current
time as well as for future period.
These are the strategies which are creative in nature and can be adopted by hospitality
business enterprises. There are different strategies according to the requirement of hospitality
firm which are useful for the future time. Along with this, this will provide a competitive
edge to the organisation in future where organisation can run its function more smoothly
collaborating with the current resources and policies.
Analyse and evaluate the different performance metrics
Performance metrics can be defined as configuration data which are representing the
organisational action abilities and overall quality while performing different kind of
activities. There are different kind of performance metrics which include sales, profit, return
on investment, customer happiness, customer reviews, personal reviews, overall quality and
many others at a marketplace. It is necessary for every organisation evaluate its performance
it can used to define the purpose for doing so and a statement of required to measure the
performance indicator in relation to accuracy and solutions. There are different kinds of
performance metrics which can be used by the organisation to measure the performance and

achieve the objective in a timely manner (Bryson, Edwards and Van Slyke, 2018). Some of
these are discussed below:
Critical success factors: Critical success factors are a debt management from which is
used to measure the performance within the organisation and is directly related to the
missions and objective of organisation. In relation to hospitality organisation, distance it can
be used to identify different key result areas. This system includes different success factors.
These factors are skills communication planning team work and process. These are essential
steps which are included in critical success factor. In context of hospitality industry, strategic
management within the firm is important where this function will help to the firm in
managing the success by determining key factors (Prud’homme and Raymond, 2016). In the
beginning manager has to identify the key skills which are required to perform various jobs.
Then after, it is needed to strengthen the communication so that process can be initiated by
communicating the machines with the strategy to different individual. After successfully
communication stage time to learn everything which is needed to be planed. Along with this,
it is related to teamwork and managing the process where the business processes and methods
will be arranged according to the structure and activities. This will help in managing the
resources as well as managing the sequence of products and services for measuring the
performance and evaluating success.
Key performance indicators: Key performance indicator can be defined as those
factors which are useful for measuring the performance of the firm. KPI is used to evaluate
the success of an organisation for a particular activity which is related to the project,
program, and product for initiative started by the firm. It can also be defined as set of
qualified measurements which are used to identify the overall long-term performance of the
company. it include different factor according to the industry of the firm where it is working
which consists of strategic financial and operational achievement specially compared to the
other business of same sector (Buhalis and Leung, 2018). In relation to hospitality industry
there are different kinds of key performance indicators which can be used by the firm to
identify the current position in comparison to its competitors and improve its position
accordingly. In relation to hospitality industry, some of the key performance indicators are
discussed below:
 Average room rate: It is a prime indicator which is used by the organisation to
measure its performance in a current time. Under this system it refers to average room

revenue per occupied room in a hotel for a specific period of time. It also known as an
average daily read where manager rely on the ratio after determining the premises are
being actually utilised effectively with fuller expansion of services. Average room
rate is important to be identified so that organisation can take decision according to
the performance of firm within the year.
 Occupational percentage: Occupational percentage rate is referred to the ratio
between the total numbers of occupied room to the total number of available or vacant
room for sale. In context of hospitality industry, it acts as a major factor in keep
performance indicator. It is a major factor for the firm because it helpful in identifying
the total revenue of the firm as well as profitability in the current period.
 Cost per occupied room: It is also in key performance indicator which has to be used
by the organisation to calculate the current performance. Under this factor hospitality
form can calculate the total cost implemented on occupational room and the total
revenue generated by the firm. Is helpful in identification of profits as well as the total
cost which is implemented by the firm so that it can minimise it by using cost
effective techniques. This is important factor as it helps in identify the overall system
and managing it for the success of firm.
The balance scorecard: Balanced scorecard can be defined as a strategy of
performance management tool which is used by the firm as a semi standard structure report
that can help the manager to keep the track of different activities done by the staff to control
and monitor the consequences within the future (Job, Becken and Lane, 2017). Therefore,
balance card is performance management reports which is used by the management team and
helpful and focus on the implementation of strategies and measuring the performance for the
future period. In context of a hospitality industry, the main characteristics of balanced
scorecard are that it focuses on the strategic agent of the organisation where form can easily
focus on the sets of measurements to monitor the performance against its objectives. A
balanced scorecard is a portfolio of initiatives designed to impact performance of the
objectives which consists of mixed of financial and non-financial data for better functioning.
CONCLUSION
It can be concluded from the above-mentioned information that there are various
functions which are directly related to the implementation of organisational strategy. This
make it essential for a hospitality organisation to identify these factors reduce this factors as a

core strategy of the firm. There is various kind of creative business strategy which can be
used by the Mayfair hotel. Along with this, it can be concluded that some key performance
indicators has to be used by the firm to measure the performance and perform accordingly
within the market.
REFERENCES
Books and Journals
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.
Peters, M. and Kallmuenzer, A., 2018. Entrepreneurial orientation in family firms: The case
of the hospitality industry. Current Issues in Tourism, 21(1), pp.21-40.
Lopes, M., 2016. The hospitality industry (Doctoral dissertation).
Zaitseva, N.A., Goncharova, I.V. and Androsenko, M.E., 2016. Necessity of changes in the
system of hospitality industry and tourism training in terms of import
substitution. International Journal of Economics and Financial Issues, 6(1).
Lordkipanidze, R., 2018. The Strongest Key to Global Hospitality.
Bagheri, J., 2016. Overlaps between human resources’ strategic planning and strategic
management tools in public organizations. Procedia-Social and Behavioral
Sciences, 230, pp.430-438.
Madanhire, I. and Mbohwa, C., 2016. Enterprise resource planning (ERP) in improving
operational efficiency: Case study. Procedia CIRP, 40, pp.225-229.
Bryson, J.M., Edwards, L.H. and Van Slyke, D.M., 2018. Getting strategic about strategic
planning research.
Prud’homme, B. and Raymond, L., 2016. Implementation of sustainable development
practices in the hospitality industry. International Journal of Contemporary
Hospitality Management.

Buhalis, D. and Leung, R., 2018. Smart hospitality—Interconnectivity and interoperability
towards an ecosystem. International Journal of Hospitality Management, 71, pp.41-
50.
Job, H., Becken, S. and Lane, B., 2017. Protected Areas in a neoliberal world and the role of
tourism in supporting conservation and sustainable development: an assessment of
strategic planning, zoning, impact monitoring, and tourism management at natural
World Heritage Sites. Journal of Sustainable Tourism, 25(12), pp.1697-1718.