Hospitality Leadership: CSR, Social Media, and Ethical Practices

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This report critically analyzes emerging trends in the hospitality industry, focusing on leadership styles, organizational responsibility, corporate social responsibility (CSR), and the impact of social media. It examines various leadership styles, including autocratic, democratic, laissez-faire, and transformational leadership, ultimately recommending transformational leadership for Intercontinental Hotels and Resorts. The report discusses organizational responsibility in relation to ethical behavior, sustainability, and stakeholder interests, emphasizing the importance of CSR for long-term market sustainability. Furthermore, it evaluates the benefits and risks associated with social media use in the hospitality industry, proposing strategies to mitigate potential negative impacts. The analysis is contextualized using Intercontinental Hotels and Resorts as a case study, highlighting practical applications of these concepts within a multinational hotel business.
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Emerging Trends in the
Hospitality Industry
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Table of Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
Critical analysis of an appropriate leadership style in hospitality organisation along with
justification of choice of selection..........................................................................................3
TASK 2............................................................................................................................................6
Organisational responsibility and responsible leadership......................................................6
TASK 3............................................................................................................................................8
Critical evaluation of Corporate Social Responsibility (CSR) benefits to business organisation
as well as wider community...................................................................................................8
TASK 4..........................................................................................................................................10
Critical analysis of social media benefits and involved risk which could affect the business
and strategies to address these risks.....................................................................................10
CONCLUSION..............................................................................................................................13
REFERENCES..............................................................................................................................14
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INTRODUCTION
Hospitality industry is one of the biggest service industry across global periphery which
includes Leisure, recreation and entertainment venues, Hotels, hostels, resorts, camping grounds,
bed & breakfast establishments, Hotels, hostels, resorts, camping grounds, bed & breakfast
establishments, Restaurants, bars, clubs and cafes, Travel agents, tourism operators, transport,
Travel and tourism association etc. In the current scenario of modern business this industry is
having so many dimensions in which they having immense opportunity to growth and expansion
of their business in order to get competitive edge and long term market sustainability. This report
is arranged with a prime view to get to know about leadership styles which can be adopted by
hospitality business so that to recognise organisational and leadership responsibility (Willer and
Lernoud, 2019). Furthermore this report includes role of social media and ethical leadership
within hospitality industry so as to flourish and gain competitive edge. For understanding all
these concepts this report is made on the basis of Intercontinental hotels and resorts which is a
multinational hotel business organisation. This was founded in 1946 and they are having their
business in more than 100 countries around worldwide. Intercontinental hotels and resorts is
headquartered in Denham, Buckinghamshire, UK and operates more than 180 hotels in the
world.
TASK 1
Critical analysis of an appropriate leadership style in hospitality organisation along with
justification of choice of selection.
Leadership is defined as sum of all the research and practical knowledge if individual to
guide and direct other person within business organisation in order to persuade their attitude and
business operation with a view to attain organisational objectives or any situational targets.
Leadership is the capability to influence subordinates within organisation in order to enhance
their confidence level and enthusiasm so as to motivate them towards good performance. Within
hospitality business a leader is having effective role as the business is concerned about providing
relaxing vacations to customer and meeting their needs. For achieving this objective leader
within hospitality industry is required to embellish their skills of leadership and achieve their
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goals. Some of the prominent leadership styles are mentioned as under which could be adopted
by Intercontinental hotels and resorts in order to enhance their market competitive edge by
balancing intrinsic operations (O’Dowd, 2016).
Autocratic leadership: This leadership style is also known as authoritarian leadership
which allows the leader to make decision on own basis by using their skills, ideas and various
inputs and by giving those decision to their subordinates without involving theme in decision
making process. Within this leadership style no opinion is taken from group member they are
just given orders and they obey them. In the background of Intercontinental hotels and resorts,
this leadership style renders the full authority to dictate task and obligations to leader only by
which rigidness and strictness can be seen in organisation due to which it hampers employee
morale in negative manner. This style is rigid and evades some aspects such as employee
involvement and opinion which can be taken out and helps the business to grow and bring new
innovative ideas. On the other side this leadership style gives clearness in command and its
insight within Intercontinental hotels and resorts that could be helpful for the management to
handle whole workforce and their operations in considerable manner (Santeramo and et. al.,
2018).
Democratic leadership: This leadership style is also known as participative style or
shared leadership style in which all the members of a team takes participation in decision making
activities. Within this leadership style all the group members are having open opportunity to
share their ideas and thoughts so as to help inn decision making process and frame an
advantageous decision. This is the most influential approach according to many researches as all
the member are not bound they are free to take participation and this gives them feeling of being
valuable within organisation. In the light of Intercontinental hotels and resorts, this approach
helps employee to increase their honesty towards organisation and helps to enhance their
productivity. On the other hand this approach helps to bring opinion differentiation in the
business which may lead to overriding of opinion due to which conflicts may arise that may lead
to lower productivity.
Laissez-Faire Leadership: This leadership style is also known for delegative leadership
in which allows all the group members to take decision by their own due to which environment
of freeness arises in the organisation. This leadership involves very little guidance from leader
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which renders complete freedom to team members. Furthermore resources are provided by
leader only and accountability to decide on any aspect does lay with leader only. Under this
approach team member are given authority to use their skills and knowledge so as take decision
with the help of those resources which are provided by leader itself. In the context of
Intercontinental hotels and resorts, by using this leadership style leaders are able to motivate
their subordinates by this employee will be more accountable for what they do and for their
efficiency. This leadership style is helpful in providing enhanced productivity to the organisation
by which business may have high efficiency and sustainability. On the contrary the leader within
this approach is not included in problem solving process which may lead to confusion in
understanding of role and results in inner conflicts which can hamper business efficiency in
negative manner (Hughes, 2018).
Transformational leadership: This leadership style is totally focused on transformation
of business conventions in order to improvise the same. Within this approach all the team
members are having fundamental responsibilities which are given for month or weeks and then
leader is having role to motivate them so as to perform in a better and a way which could be out
of their comfort level. The leader keeps on pushing their subordinates to perform in
extraordinary manner and to go beyond their deadlines in order to get high efficiency. This
approach is having high growth within personal and professional level. In the context of
Intercontinental hotels and resorts, this approach is helpful for leaders to create positive attitude
within employees which results in enhancement in their energy and enthusiasm. On the contrary
this approach creates personal groups due to which effect of professional group starts to
minimise and hence have a negative impact over market goodwill and share as well (Guliani,
2016).
Form the above detailed discussion it can be concluded that for Intercontinental hotels
and resorts the most suitable leadership style is Transformational leadership style as this style is
focused on individual consideration that assists team members to put their whole focus on
organisational goals and objectives. Furthermore this approach helps employee to stimulate their
level of intellectual and give an idealised influence to the business in order to render motivation
and goal centralisation within business. Besides this leadership style emphasised on motivating
team so that they can perform out of their comfort zone and boundaries which help them to
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enhance their trust and loyalty for their organisation by which business may have sustainability
within market.
TASK 2
Organisational responsibility and responsible leadership
Organisational responsibility is associated with ethical behaviour of business organisation
while having their regular operations in order to give guidance to the business to run in smoother
manner. This can be referred as the corporate social responsibility of a business organisation
which is helpful for the business in gaining sustainability and helps them in gaining economic,
social and environmental growth and development. In the process of business operation
organisation are using various resources which are present in environment so this is the ethical
responsibility of business to gain sustainability form the same and have organisational
development. This is the accountability of business organisation to have maximised interest of
stakeholders so that to render benefits to business operations (Dhiman, 2016).
Responsible leadership is related with the capability of leader to communicate with all the
stakeholders of the company so as to combine them with business goals as well. A leader is
responsible for all the decisions which are taken so as to give sustainability to business and
maximise interest of their shareholders to get their support and power as well. Organisational
responsibility and responsible leader helps the business to build leadership system in business in
order to get high market competitive edge.
Intercontinental hotels and resorts is multination company and having their business within
global periphery they are having their business in rendering luxury facilities to their customers
such as luxury rooms, luxury services etc. in order to enhance their experience and give them
remarkable holiday time. There are various resources which are used by the business in order to
enhance experience of their customers within their regular routine that are obtained from
environment. This is essential for the businesses to obey CSR policies so as to function in an
ethical manner and achieve their objectives that are helpful in overall development of its
operated areas (Grotte, 2018).
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Ethical actions are helpful for the company to enhance the trust of their stakeholders which
is mandatory for the business as this gives them power to continue their business for longer
period of time. This action assists the business in generating healthy environment within
organisation in such a way that all the employees may work together and enhance group
harmony so as to increase their integration and attain business goals as a whole. This is a helpful
tool in increasing employee retention of the business which results in high performance and high
business efficiency. When a company is taking decisions which are having high benefits to
society and customers then this will assist the company in having long term market
sustainability. CSR provides benefits over legal framework of the country which is helpful for
the business to get trust and faith of their stakeholders which plays an important role in growth of
the business in marketplace. Intercontinental hotels and resorts is working under hospitality
industry and operates their business so as to render full luxurious services in order to provide
leisure time to them by giving them high quality services. CSR can help them to enhance their
responsibility towards the society and their stakeholders. This will assist them in experience high
demand to their services within market and those can be met by them with high business
efficiency.
Organisational responsibility is helpful for Intercontinental hotels and resorts to stay more
cautious within their decision in order to get high business benefits and societal benefits as well.
Their stakeholders include customers, suppliers, government, employees, society so they are
taking those decision which are having prominent benefits to their stakeholders. For this it can be
helpful in rendering job opportunities to society so as to enhance their living standard and
income as well. This is a movement which is contributing in economy of the country as the
money is being circulated within a country’s economy when that country is having economic
development. With the help of organisational responsibility the company can figure out more
ways in which optimum utilisation can be adapted of acquired resources in order to get
sustainability (Bowie and et. al., 2016). Thus with the help of organisational responsibility a full
prof corporate system can be established which is helpful for the company to get their desired
position within marketplace and sustain in this competitive world. In the context of
Intercontinental hotels and resorts this approach is helpful for their employees in gaining job
satisfaction which is an essential factor in motivating and enhancing business efficiency. By
taking responsible decisions productivity of a business can be immensely increased so as to give
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high benefits to associated stakeholders. By this business will have its desired success and
profitability within short span of time.
In order to take effective decisions responsible leadership is having prominent role as this
helps the business to manage and lead their staff in more effective manner so that they can
execute their roles and responsibility in more efficient manner. This is assisting them in having
wider opportunity to encourage employee so that they can participate in decision making process
in order to take effective decisions which are beneficial for employees, business and stakeholders
as well. This is helpful in enhancing in employee engagement so that all the commitments of
employees can be met and they utilise their whole skills in best possible way which can create
path to business success and growth. In context of Intercontinental hotels and resorts, responsible
leadership is having prominent role in business and helps the leaders to delegate responsibility in
more effectual manner. This approach is having its role in giving ethical outline to the leader in
their decision making process which may lead to high employee productiveness (Richards, G.,
2018).
TASK 3
Critical evaluation of Corporate Social Responsibility (CSR) benefits to business organisation as
well as wider community
CSR: CSR are those activities which includes those ethical and non-trading steps which
are executed by businesses so as to fulfil their responsibilities towards society and community
and their contribution towards societal welfare. This is highly essential for hotel industry to
execute CSR programs and cheer these practices in order to increase customer loyalty and their
engagement which can lead to solve societal problems. Customer cynicism can be faced by
hospitality business if they do not focus on CSR activities which gives them bad market image
and loss of market goodwill. For this purpose Intercontinental hotels and resorts is using eco-
friendly operational processes in order to take care of ecosystem and prevent hazards to the
same, by adopting these practices they are bale to settle down themselves as intense competitor
and long term business sustainability. its is using 3R’s approach in their operation which are
CSR practices and focused on Reduce, reuse and recycle terminology. These practices are
helping them to reduce operational wastages within their internal processes so as to enhance their
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contribution towards community and society. Intercontinental hotels and resorts is a part of
international environmental friendly linen program which helps them to encourage those
techniques in businesses which are highly environmental safe (Jones, Hillier and Comfort, 2016).
They uses those cleaning techniques in their hotels that gives them saving over electricity so as
by this they are getting high business efficiency and productiveness. By adopting CSR practices
hospitality business may have huge advantages the same are explained below:
Lower operating cost: With the help of CSR practices businesses may having saving
over operating expenses by which hiked profitability can be seen within limited resources that is
advantageous for the business to survive in long tenure within marketplace. In this context
Intercontinental hotels and resorts is continuously working to minimise their carbon emission so
as to save their fuel cost and take capital advantage thereon. On the other hand CSR practices
needs high initial outlay but businesses are having huge term benefits from these investments
over CSR practices. Besides this Intercontinental hotels and resorts is having their high focus on
using waste management and recycling techniques in order to obtain high profits form their
procured resources and gain market sustainability as well (Boella and Goss-Turner, 2019).
Creation of new business opportunities: New business opportunity can be enhanced by
businesses if they are highly focused on adapting CSR Practices. CSR is having direct impact of
goodwill of the business which helps them to enhance their customer base and their loyalty
towards their organisation. These practices are helpful in getting wider business opportunities so
as to use these opportunities in business expansion. In context of Intercontinental hotels and
resorts, they are super active in execution of their CSR practices and bring creativity on them
which give them immense benefits over their business and profitability.
Brand image and customer loyalty: The foremost business benefit of CSR practices are
that it helps the business in increasing their brand image and loyalty of customers. Tremendous
benefits can be seen when business is having high implementation over CSR practices which can
be a reason to enhance customer footfall and market image as well. Cruel organisations are
usually avoided by customer as they harm our ecosystem, society and stakeholders as well. CSR
practices are associated with business ethics as it helps the business in getting high advantages
over customer loyalty. In background of Intercontinental hotels and resorts, they have adopted
numerous CSR approaches such as less energy consumption, recycling of wastages which is
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giving them distinct position within marketplace and specific competitive edge that is enhancing
their brand image and customer loyalty as well.
Easier access to capital: Customers and investors can be attracted towards the business
investments if the business is highly active towards CSR practices and their implementation on
regular basis. With this purpose Intercontinental hotels and resorts is using a CSR practice as
they recycle used soaps and other hygiene products and then distribute the same to needy people
in order to give them hygienic health and support towards ecosystem and economy of UK. This
gave them high benefit over attracting more customers and by which they are able to get
investment in a very easy manner. By having high hold in the market’s investors they have
become a well-known hotel brand throughout the world and enhanced their market share with
greater sustainability (Chan and Hsu, 2016).
Retain talented staff: Employee seeks to have job satisfaction and growth opportunities
within their job and duties. A well renowned organisation can satisfy these requirements of an
employee which will help employee to garb high career opportunities to grow and shine. CSR
practices are having prominent role in enhancing skills and capabilities of their employees by
which betterment in performance can be seen in tremendous manner. In the context of
Intercontinental hotels and resorts they are having major emphasis on developing their
employees and for this they organises various sessions in house. These programs includes young
skills with the help of training and development sessions so as these are helpful for them to retain
their employee and take maximum advantages of their skills and knowledge. These programs are
adding value to their business and enhancing its profitability and sustainability in considerable
manner (Valenzi, 2019).
TASK 4
Critical analysis of social media benefits and involved risk which could affect the business and
strategies to address these risks.
Social media: Social media is sum of websites and other applications which enables the
people to share their thoughts and content at real time basis with each other via using internet as
a mediator. This is called as a communication tool which can be used by business or any
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individual to communicate and interact in the market regarding their product or services at a
global platform without having any obstacles. Social media is having so many positive and
negative aspects which are described as under:
Benefits:
One of the major positive effects of social media that with the help of this platform
effective communication can be executed with customers and other stakeholders. In
context of Intercontinental hotels and resorts, social media is helpful for them to
communicate with their guest and collect feedback for further improvements in order to
enhance customer’s stay and give them remarkable stay in future. By using social media
it is easy for them to get to know about liking and disliking of customer regarding their
service which may help them to implement change management (Buhalis and Leung,
2018).
Social media is advantageous for stakeholders of the organisation as with the assistance
of this all the strategies can be conveyed to stakeholders via digitalisation medium so by
this all the information can be reached out to stakeholders in a very prominent manner. In
the context of Intercontinental hotels and resorts, with the help of social media internal
business processes can be interacted to all their internal and external stakeholders so as to
enhance their faith over the company. This is helpful for the business so as to get high
investments within business so as to have high profits and sustainability within
marketplace. This media helps the business to gain profit and advantages over capital so
as to achieve business goals in stipulated time frame.
With the assistance of social media business are able to enhance their promotional
activities at worldwide level. With the help of social media more customers can be
attracted towards the product or services offered. As in context of Intercontinental hotels
and resorts, they are using such social media tools by which they are able to save their
cost which may not be possible in traditional promotional tools. Intercontinental hotels
and resorts is having their social media account which is followed by millions of
followers that followers are helpful for them to advertise their business and save cost and
at the same time cover large audience (Erdem and Jiang, 2016).
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Risks:
The major risk associated with social media is generation of bad brand image if any
problem has been faced by any of the client the by real time feedbacks this can be
reached to so many customer within spontaneous manner and can ruin brand image.
Intercontinental hotels and resorts has been trapped in an issue of breaching norms of
personal details as a law suit was filed against the hotel that personal data of clients are
leaked. This scandal made Intercontinental hotels and resorts face lot of criticism as this
news reached to worldwide level like fire. By this they had to face diminish brand image
within marketplace and they had to lose their valuable customers which caused them
lower profitability.
The other major risk associated with social media is about fear of viruses and fraud
which are present at online platform having their sole purpose to attack on third party
computer so as to obtain confidential information from there. Intercontinental hotels and
resorts faced issue in data leaking due to these viruses and malwares that attacked their
personal systems and data got leaked. This is pertained risk with social media and may
affect brand image of Intercontinental hotels and resorts in adverse manner. This may
cause them to lose their loyal and valuable customers and their prominent market image
as well.
As in hospitality business online promotional strategies are not useful in a manner as
these services can be felt by customer s just by using them and coming to the hotel
premises. Experience can be made better just by physical presence rather than viewing
the same on social media platform. So in context of Intercontinental hotels and resorts,
food and other services cannot be rendered to customer by social media so this tool is not
giving extravagant benefits to the business in profit of sales (Chathoth and et. al., 2016).
Strategies to address risks
For the purpose to minimise risk of social media threats Intercontinental hotels and
resorts is required to change setting of social media account on timely gaps so as to protect their
account from any theft and viruses. On the other side anti viruses’ software are required to be
installed by them in their personal computer so as to be more proactive. Similarly traditional
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promotional tools are required to be used more often by Intercontinental hotels and resorts as
they are highly reliable. Although access to their social media account should be with a
responsible person and all the online posts should be managed and controlled by them only the
access should not be with multiple people that may leak breach of data. Besides this
Intercontinental hotels and resorts will have to protect their business form any negative publicity
that may cause them high scarification of customer and market image. For this they are required
to update their services on timely basis and customise them according to the needs of their
clients.
CONCLUSION
Form the above detailed report it can be concluded that hospitality is having prominent
place within all the service industry and this sector is having their own vast scope and role. This
report inculcated types of leadership styles which can be used in hospitality industry and help the
business to flourish and grow in order to get market competitive edge and high sustainability.
Furthermore responsibility of leader towards a business organisation has also been explained in
this report. Besides this role of a leader towards the society and stakeholders within CSR
approaches in business is included in this report so as to explain role of CSR exercise within
business and its sustainability (Dioko, 2016). In the last part of report role of social media within
business organisation is explained so as to have high customer base and profitability.
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REFERENCES
Books and journals
Boella, M.J. and Goss-Turner, S., 2019. Human resource management in the hospitality
industry: A guide to best practice. Routledge.
Bowie and et. al., 2016. Hospitality marketing. Taylor & Francis.
Buhalis, D. and Leung, R., 2018. Smart hospitality—Interconnectivity and interoperability
towards an ecosystem. International Journal of Hospitality Management, 71, pp.41-50.
Chan, E.S. and Hsu, C.H., 2016. Environmental management research in
hospitality. International Journal of Contemporary Hospitality Management.
Chathoth and et. al.., 2016. Co-creation and higher order customer engagement in hospitality and
tourism services. International Journal of Contemporary Hospitality Management.
Dhiman, M.C. ed., 2016. Opportunities and Challenges for Tourism and Hospitality in the BRIC
Nations. IGI Global.
Dioko, L.D.A., 2016. Progress and trends in destination branding and marketing–a brief and
broad review. International Journal of Culture, Tourism and Hospitality Research.
Erdem, M. and Jiang, L., 2016. An overview of hotel revenue management research and
emerging key patterns in the third millennium. Journal of Hospitality and Tourism
Technology.
Grotte, J., 2018, June. Future Challenges of the Hospitality Industry. In 7th Intentational
Conference on Torusim & Hospitality Management (pp. 11-25).
Guliani, L.K. ed., 2016. Corporate social responsibility in the hospitality and tourism industry.
IGI Global.
Hughes, C., 2018. Ethical and legal issues in human resource development: Evolving roles and
emerging trends. Springer.
Jones, P., Hillier, D. and Comfort, D., 2016. Sustainability in the hospitality
industry. International Journal of Contemporary Hospitality Management. 28(1). pp.36-
67.
O’Dowd, R., 2016. Emerging trends and new directions in telecollaborative learning. Calico
journal. 33(3). pp.291-310.
Richards, G., 2018. Cultural tourism: A review of recent research and trends. Journal of
Hospitality and Tourism Management, 36, pp.12-21.
Santeramo and et. al., 2018. Emerging trends in European food, diets and food industry. Food
Research International, 104, pp.39-47.
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Valenzi, A., 2019. Luxury hôtellerie: a study of the new high end hospitality trends.
Willer, H. and Lernoud, J., 2019. The world of organic agriculture. Statistics and emerging
trends 2019 (pp. 1-336). Research Institute of Organic Agriculture FiBL and IFOAM
Organics International.
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