Consultancy Project: Addressing Management Challenges in Hospitality

This consultancy project report examines the managerial challenges facing the hospitality industry, with a specific focus on The Cavendish London. The report identifies root causes and effects of issues such as worker shortages, unskilled staff, technology adoption, competition, and sustainability. It critically analyzes management theories, including Taylor's scientific management and human relations theory, to address these challenges. An action plan is proposed, outlining strategic planning and recommendations for The Cavendish London to improve operational efficiency, employee relations, and overall performance. The report concludes with practical steps for the hotel to overcome its managerial obstacles and enhance its competitive position in the market. Desklib provides access to similar solved assignments and study resources for students.

Consultancy project report for
Hospitality management
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EXECUTIVE SUMMARY
Management is the continuous process of planning, organising, and controlling the
organizational resources which used by organization for the purpose of developing their business
and maintain higher performance. Hospitality sector is defined as business industry that offers
accommodation services like as food, staying, visiting and others that supports to business and
increase productivity. As Covid-19 occurred in whole world which is a serious pandemic
created problems for all businesses as government has declared lockdown where all business has
been closed. In this situation, it became difficult for companies to operate business offline so
that economic condition of business industry being affected negatively. The present report is
based on hospitality industry that faced issues relation to management such as time management,
communication, competition, unskilled staff, shortage of workers and technology that create
challenges to operate their business regularly. To overcome the challenges and issues there are
different type of management theories such as Taylor scientific management and human relations
management theory sued for different purpose and supports to develop the organizational
productivity. The management is a person who plays important role at the workplace as it
decides goals and allocate the work between staff who work by using their skills and abilities
that can help to perform well and maintain higher productivity. Human relation theory is used by
management of Cavendish London to solve business issues as it keeps good relation between
employer and employees that can help to get work complete on time and bring changes
accordingly.
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Contents
Consultancy project report for Hospitality management EXECUTIVE SUMMARY...................1
INTRODUCTION...........................................................................................................................4
MAIN BODY...................................................................................................................................4
Root cause and effects of managerial challenges in hospitality sector..................................4
Critical analysis of management theory.................................................................................7
Action plan...........................................................................................................................11
Strategic planning and recommendations.............................................................................16
RECOMMENDATION.................................................................................................................21
CONCLUSION..............................................................................................................................22
REFERENCES..............................................................................................................................24
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INTRODUCTION
Hospitality industry refers to different variety of businesses and services associated to
leisure and satisfaction of customer. In addition to this, it is one of the growing industry but due
to Covid-19 its overall growth and success is declined. This sector mainly emphasis on ideas of
pleasure, luxury, enjoyment as well as experiences which is opposed to catering for essentials
and necessities. One of the major factor that plays an important role within growth of hospitality
industry is meeting with requirements of customer needs and market trends as well. It is the level
of assistance given by staff members in order to facilitate purchase by the customers or guest. It
also involves efforts made by hotels in order to attain pleasant customer experiences. For the
present study, The Cavendish London is taken into consideration. It is a modern 4-star luxury
hotel that was established in year 1966. It is situated in central London and involve 230 luxurious
rooms (Alrawadieh, Alrawadieh and Cetin, 2021). From the year 2012, Cavendish London is
operated as well as managed by Ascott Limited and has one restaurant, one bar, meeting rooms
and business centre. It is close to various tourist attractions that is Big Ben, Buckingham palace
and many more and is one of the main reason of its increase in customer base level and
profitability. It is the first hotel of London that receive Gold Grading by Green Tourism for
London scheme and is also feature with Carbon neutral meeting rooms which is rare and Unique
in Hotels prevailing in UK. The report will cover the root cause & effect of managerial challenge
in context to chosen organisation. In addition to this, there is a discussion about management
theories for resolving managerial issues faced by company. Moreover, actions and initiatives are
discuss to evaluate the influence of issues and outcomes in real life. In the last, strategic planning
and recommendations will be develop that help in dealing with issues and overcome with the
challenges associated to chosen organisation.
MAIN BODY
Root cause and effects of managerial challenges in hospitality sector
Managerial challenges refer to team based leadership development experience where leaders
practice their management skills within realistic scenarios with employees. There are various
managerial challenges that includes shortage of workers, technology, unskilled staff, competitors
along with sustainability which have high impact on the business of Cavendish London. In
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business environment there are different types of businesses exists, operating their business by
filling customer demand and needs that can help to increase organizational performance. The
business organization have different aspects as it is used to develop the functions and brings
changes accordingly. There are some of the impact of these challenges are discussed further
(Singh and Singh, 2020).
Shortage of workers- To run any hospitality organisation, there is need for sufficient
working staff that can help to focus on the quality of services delivery without getting lack of
staff member to delivery the services within organisation. Getting shortage of staff member can
impact the organisation negatively. This is one of the managerial challenges which needs to
resolve within time. In this, there shortage of worker can create negative impact on the
Cavendish London organisation. Shortage of worker can be harmful for the running businesses
and can lead getting out form the choice of customer interest. There can be delay in service
delivery due to shortage of worker within organisation. Cavendish London needs to focus on the
sufficient number of worker which may impact positively through fulfil the needs of worker for
delivery of services to the customers. In Cavendish London, there are many of business operation
which requires some specific number of worker to perform various operation on time. Shortage
of worker can impact the services delivery and there is higher chance of getting service not on
right time which can create negative impact in eyes of customer which customer many don't like
this. There can be chance of getting delay in services and such type of condition on longer time
may create huge negative impact on business. There can be higher chance of not getting
customer for longer who may have experience consequences due to shortage of sufficient
customer (Meng, Sundstrup and Andersen, 2021).
Unskilled staff- In hospitality sector, Cavendish have good impact within customer and due
to hiring unskilled staff may cause negative impact on the organisational brand value. There can
be negative consequences of hiring unskilled staff member within hotel to deliver services to
their precious customer. There can be negative impact on the customer experience due to
interaction with unskilled staff. There can be lack of interpersonal skill which may lead to
negative impact the organisation which may further lead to financial loss due to loosing their
valuable customer. Due to unskilled staff, organisation is not able to delivery their quality
services to customer which can create bad experience for customer and lead to not visiting hotel
again. This can cause loss of finance and profit of the Cavendish London. There can be huge
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impact on the quality delivery of services within customer due to not having proper skill to the
staff which may further impact the profitability of organisation (Tajeddini, Altinay and Ratten,
2017).
Technology – The business environment is changing day by day where it is important for
organization to understand what changes should be introduced for the purpose of developing
business organization. If company is running from traditional method and strategy, then has to
face different challenges that directly affects business industry. Technology is the application of
scientific knowledge for practical purpose that used for introducing something new and attractive
helps to develop business productivity. Cavendish London, is the large size hotel that runs
according to new trend or environment by introducing new services that helps to run business
and maintain higher performance. The management of chosen organization introduce chatbots,
digital entry, booking, robotics delivery and others which influenced number of customers in
changing environment that supports to increase organizational productivity. It has seen that while
adopting the changes or new technology, cost of business industry increases which directly
affects business industry negatively. This could be creating the challenges for Cavendish London
as employees do not accept the changes and cost of organization increases while researching
market and bringing new technology (Bas Collins, Gunduz Songur and Dogan, 2021).
Competitors – This means having other businesses in market that offers similar kind of
products and services at different prices, directly affects business industry. A competitor is a
person, business team, and group of people that understand the environment and formulates plans
to grow their business. Having competitor of business organization created many challenges to
run or operate their activities regularly. Cavendish London is the large size organization, faced
the challenges of competition that directly affects the business industry and its profitability. The
main competitors of Cavendish London are Hotel Emperador, Kingsmills Hotel, Brehon Hotel
and Clayton hotel Belfast that all are providing similar kind of hotel services to their customers
that created the challenges for selected hotel to operate or run their business in environment.
Sustainability finding the root causes – Sustainability is the capacity to showing a
relatively ongoing way across different domains of life where each organization wants to
establish their business and run effectively. This is important for each organization to
understands happening in market and introduce the products that influence number of people and
supports to run activities. Sustainability means people meet with own needs without
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compromising the ability of future generations to meet their needs. Cavendish London is a
hospitality industry faced challenge of sustainability after finding business problem that directly
affects the business organization and industry in changing environment. For company
sustainability is important as it identifies needs of people who wants different products and
services which are provided accordingly and supports to develop the business productivity. If
organization is able to provide required products and services, then it will be good opportunity to
grow business and attain higher performance. Cavendish London faced issues of sustainability
because needs of guests is changing, behaviour and culture is also changing which make difficult
task for organization to maintain sustainability in environment. This created challenges for
chosen organization to run or operate their business (Belarmino, Demirciftci and Zhang, 2021).
From the above it can be evaluated that Cavendish London faced different challenges
while running their hotel such as competition, sustainability, technology, unskilled workforce
and shortage of workforce that directly impacts on business industry as low number of guests and
lack of profitability. The cost of organization increases continuously that created challenge to
continue their business effectively.
Critical analysis of management theory
Management theory is defined as main practices which use by organization for the purpose
of running their business and increase productivity. The management theory relates to
organization where it focuses, evolve, and communicate the activities for the purpose of bringing
changes and maintaining higher performance. Management involves planning, organising,
directing, and controlling the business functions which can help to managing all activities
accurately. In business environment there are different types of management theories that allows
individual to better communicate with employees who works at the workplace and manage each
function effectively. It has seen that once goals have been decided by organization then next task
is to use management theory which can help to operate the business and bring changes to attain
competitive advantages. In relation to Cavendish London, different management theories are
used by management for running its business such as:
Taylor Scientific theory – This theory is related to promoting the idea that there is one
right way to do something and managing higher performance. This theory is given by Frederick
Winslow Taylor that focused on beliefs that make people work hard by using their skills and
complete the goals. The main purpose of using Taylor theory is to improve labour productivity,
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employee’s participation and economic efficiency which supports to bring changes and maintain
higher performance. This is based on some principles which are followed by Cavendish London
such as:
 Science, not the Rule of Thumb – This principle is related to increasing efficiency of
business organization through scientific analysis of work and not with “Rule of Thumb”.
This states even a small activity of organization can be planned scientifically which
provides good results. The management understand the requirement and work
scientifically which can help to manage each function as well as activity. The
management of Cavendish London can use this principle to maintain good relationship,
saving time and human energy that supports to complete all task.
 Harmony, not Discord – In this, Taylor indicates and believed that relationship between
management and workers should be cordial and completely harmonious that can help to
understand requirement and complete functions. According to this, management and
employees should have good knowledge and understanding to understand goals and work
collectively. The management of Cavendish London use Harmony principle for the
purpose of maintaining good relations between employer and employees that can help to
develop business performance (Brink, 2020).
 Co-operation, not Individualism – This principle is related to Harmony’s principle which
is used by organization to maintaining collaboration between worker and management
that can help to develop business productivity. In relation to Cavendish London,
managers and workers should have mutual cooperation and confidence that can help to
compete effectively by offering kind of products and services (Okoro, 2021).
 Development of Every Person to his/her Greatest Efficiency and Prosperity – This
principle relies on skills and abilities of its employees who work effectively at the
workplace. The employee who is working in Cavendish London have good skills and
ability to work where it implements training session to adopt new technology that could
help to develop business activities and performance effectively (Olatunde and Odeyinka,
2021).
 Maximum, not Restricted Output – This principle states a shift of management and
workers towards each other that bring cooperation in their work and maintain
effectiveness. Cavendish London brings change and participate each employee in
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organizational working that can help to boost company profits and supports to
accomplish business goals (Crespí-Cladera, Martín-Oliver and Pascual-Fuster, 2021).
Human relation management theory – This is defined as premise of organizational
psychology from the early twentieth century, suggest that employee productivity and motivation
can be increased through positive social bonds at the workplace. For each organization it is
important to maintain good relations with their staff that can help to understand requirement and
complete the goals effectively. The theory mainly focuses on worker satisfaction, informal
workplace organization, and managing talent at the workplace that influence employee
productivity. The main components of human relation theory are self-respects, motivation,
mutual respect, group dynamics, and self-awareness that directly affected the business industry.
In relation to Cavendish London, human relation management theory is being used by employer
in which it creates good relationship with employees and managing higher performance. This
also helps to bring changes at workplace and manage effectiveness. The management create self-
awareness between people and formulate effective plans which supports to attain business goals
(Darvishmotevali, Altinay and Köseoglu, 2020).
From the above it has been evaluated that management theory is the collection of ideas
and information that recommends how an organization adopt changes for the purpose of develop
the organizational productivity. Cavendish London uses Taylor’s scientific management theory
by following the Science, not the Rule of Thumb, Harmony, not Discord, Co-operation, not
Individualism, Development of Every Person to his/her Greatest Efficiency and Prosperity and
Maximum, not Restricted Output that can help to bring changes in their performance and
maintain higher productivity. The management is responsible for deciding goals after researching
market which can help to allocate the work between staff as per their skills and ability that can
help to complete the work and develop business performance. Moreover, Human relation
management theory is used to creating good relations between employer and employees which
can help to managing all requirement and supports to boost organizational profitability (Perera,
Sirimewan and Senadeera, 2021).
The managerial problems and issues faced by Cavendish London
Management is the important function for each organization as it considers identification,
planning, organising, directing, and controlling activities which used to manage functions.
Cavendish London is service proving industry that wants to improve their performance by
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managing all functions. The organization fails to accomplish their goals due to managerial issues
that are as defined below:
Lack of communication – It has seen that number of employees who works in
Cavendish London faced issue of communication as there is lack of clarity, language barrier, and
lack of communication resources which directly affects business organization and affected
productivity negatively. This created the challenges for company to operate or regulate their
business continuously (Robinson, Lück and Smith, 2020). Communication is important task for
each individual as information is shared with the help to maintaining clear communication. If
people is not able to communicate effectively then became difficult to manage functions and get
work done.
Time management – While working it is important to manage each activity according to
time that can help to develop business activities. If activities are not properly managed, then it
creates challenge to run business. Cavendish London faced issue of time management as multiple
task is given to staff that create confusion to perform task. Hence, organization cannot perform
its functions or activities effectively.
Pressure to perform – This is a business problem faced by Cavendish London as
employer pressure their staff to perform particular task in limited period that directly that keep
pressure resulting mistakes in work. This affected the organizational performance and
productivity negatively (de Vasconcelos and et.al., 2021). This issues created the challenges for
people who works at the workplace that how to perform assigned task in certain time and they
fail to manage work.
Poor team work – Team work is defined as collaborative efforts of group of employees
who ready to work and manage functions effectively. For each organization it is important to
build a team that accept changes at the workplace and perform well. In relation to Cavendish
London, there is poor team work as they behave differently that directly affects business
organization and performance negatively. The management does not follow the team
development theory which created the threat for running or managing business activities.
Inadequate support – In an organization number of employee is working who needs a
support from top management so that they will perform their task and activities effectivity. The
management plays an important role as it researches market and decide goals which can help to
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bring changes accordingly. Cavendish London faced issue such as lack of support from their
senior or managers that directly affected business industry and profits (Fisher, 2020).
In discussion, Cavendish London faced different types of managerial issues while
running their business where it became important to solve such issues by managing all functions
and activities. To solve problems Taylor scientific management theory, and human relation
management theory should be adopted by management in their workplace which can help to
perform well and increase organizational performance. To boost company profits and developing
team work there is need to focus over motivation, time management and allocation of work
which supports to fill demand and develop business productivity.
The chosen organization is related to management theories where it identifies challenges
and business problem then made efforts to overcome them. The management allocates work
between staff as per their skills and abilities which supports to develop the business productivity
by managing changes and each issues smoothly. This also build confidence level of their staff
and they get ready to accept changes.
Action plan
Once strategy is formulated by organization then next phase is to implement by designing
action plan that can help to understand how each task will be done. Action plan is detailed plan
outlines actions needed to reach one or more goals. This is important for organization to have
clear understanding about customer choice in hospitality sector that could help to develop the
organizational performance and productivity. If organization fails to use action plan, then it will
be challenging situation to grow their business and manage each function properly. In other
words, an action plan is a proposed strategy or course of action that used by organization for the
purpose of developing business. This is a document that lists what action must be taken for the
purpose of achieving specific goals. Cavendish London faced many challenges or business issues
while offering products and services, an action plan is prepared for the purpose of solving issues
and resolving business problems (Francis and Nair, 2020). An action plan is prepared by
management for overcoming their issues such as:
Issues/Challenges Action Time Cost
Shortage of workers
(It has seen that number
 To take right action and
recruitment and selection
6 months to £50000-
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of employees in
Cavendish London are
not enough as it needs
more employees who
could ready to work and
manage each function.)
strategy should be use by
management.
 There is need to use job
description where
organization can place the
requirement of candidates
with skill set that can help to
influence number of
candidates and they appear
in job interviews (Saleh and
et.al., 2020).
1 year 60000
Unskilled staff
(It has seen that
employees who is
working in Cavendish
London is unskilled or
lack of skillset in
relation to hospitality
industry where it fails to
fill customer demand
and choices that directly
affects the business
industry and
 As working and function of
each industry is different
where it became difficult to
manage their roles as well
responsibilities. Moreover,
employees feel uncomfortable
while adopting changes,
recruited newly and sharing
their information where it is
important to create good and
supportive working
environment that could help to
make feel good their staff.
3 month £3000-8000
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