Hospitality Business Toolkit: Financial, HR, and Legal Insights

This report delves into the intricacies of the hospitality business toolkit, offering a comprehensive analysis of key aspects relevant to the industry. It begins by defining the principles of monitoring financial performance, including inventory records, time management, and cost control. The report then explores the application of double-entry bookkeeping and the preparation of trial balances. Furthermore, it examines the HR life cycle, with a focus on recruitment, selection, boarding, and orientation, while also proposing a performance management plan tailored for the service industry, addressing staff retention issues. The report also covers the types of legislation that hospitality businesses must adhere to, analyzing the impact of company and contract law on decision-making. Finally, it examines the various roles within the hospitality industry, analyzing communication and coordination methods. The report is based on the case study of Club Quarter Hotel, providing practical insights into the application of these concepts within a real-world setting.

THE HOSPITALITY
BUSINESS TOOLKIT

Table of Contents
THE HOSPITALITY BUSINESS TOOLKIT......................................................................................1
INTRODUCTION................................................................................................................................3
TASK 1 ................................................................................................................................................4
P1 Define the principles of monitoring financial performance.......................................................4
P2 Use double entry book system to maintain record transaction in ledger....................................4
P3 Prepare a trial balance by using balance off rule to complete the ledger...................................5
TASK 2.................................................................................................................................................6
P4 Explain the HR life cycle in context with HR strategy .............................................................6
P5 Prepare a performance management plan in relevance with service industry and use
techniques to resolve the overcome issues of staff retention .........................................................7
TASK 3.................................................................................................................................................8
P6 Explain the types of legislation that a service industry has to follow........................................8
P7 Analyse how company and contract law affect the decision making........................................8
TASK 4.................................................................................................................................................9
P8 Explain the various types of roles performed by hospitality industry........................................9
P9 Analyse the communication and coordination method in service industry...............................9
CONCLUSION..................................................................................................................................10
REFERENCES ..................................................................................................................................11
BOOKS &JOURNAL:...................................................................................................................11
INTRODUCTION
Hospitality is very essential for service sector for the success of business organisation in
order to achieve goal and objective within given time period. In addition to this, it is described as a
process in which the relationship among service provider as well as guests. Along with this, it is the
responsibility of manager to maintain healthy environment within hospitality sector. In business
organisation, there are different kind of activities as well as functions that is execute in an
appropriate manner. In this report, Club Quarter hotel is taken which is located in London, UK. It is
one of well reputed hotel of UK which emphasised on boosting their business function at extensive
level. Beside from this, the management team of this hotel focuses on offering high quality services
to its customer in order to satisfy them. It helps them increasing the goodwill and reputation of
company. The HR manager of this hotel hire talented subordinates in order to increase the reliability
within marketplace. This report shows the principles use for monitoring and controlling financial
performance as well as book keeping system , make ledger and trial balance and HR life cycle and
so on which directly impact on the decision making of hotel in effective manner.
TASK 1
P1 Define the principles of monitoring financial performance
The principles are usual guidelines and regulations which helps the company to accomplish

goal within stipulated period of time. It is very essential for business firm to comply
principles which are necessary for them. In order to monitor and control financial
performance it is vital to minimise discrepancies and error in well defined manner in order to
take effective decision for future success and growth of company. There are various number
of principles which is going to be mentioned below:
Inventory record: It is necessary for every organisation to invest their money in buying
machines, equipment as well as raw material. In assistance of this, it is the responsibility of
financial manager to keep record of stock so that appropriate estimation is done on continuous
basis. This helps the organisation to assess the requirement and need of inventory in future
period of time. In context of Club Quarter Hotel, the management team focuses on
maintaining proper record of inventory in order to make comparison between actual and
expected inventory.
Time management: Time management plays a very important role in monitoring and
controlling financial performance. (Zvereva, 2019). The organisation follow various rules and
regulation in order to manager time in proper manner in order to monitor the financial
performance of company. It will help in future growth and success of company in stipulate
period of time. In discourse to Club Quarter Hotel, they adopt the values if time management
in order to offer superior quality products and services to its buyer within given time manner.
In addition to this, it maintain the healthy relationship between business firm and its user.
Staff, food and Labour cost: It is essential for every company to have an appropriate control
over staff, labour as well as food cost. In addition to this, the change in these costs imposes
direct impact on financial performance of business organisation.(Sriprahastuti,2018). In
context of Club Quarter Hotel, the management team focuses on managing cost in appropriate
manner so that organisation activities and functions operate smoothly. The Bargaining power
of customer is also included in these cost which keep financial performance of business
organisation.
P2 Use double entry book system to maintain record transaction in ledger
Accounting plays a very important role for success and growth of business organisation. In
addition to this, the company adopt double entry as well as book keeping system in order to
operate its business activities and functions. Both these system is important for keeping
record of every deal within business. In assistance of this, it shows the credit amount is equal
to debit amount so that outcome is appear in appropriate manner. The manager of the
company use double entry system to record transaction in suitable manner. There are different
type of principles of both double entry and book keeping system which is going to be
discussed below:
Principle of revenue: This principle follow book keeping system for increasing revenue in
their business organisation. In addition to this, the income earn is recorded in book keeping
system in proper manner. It is important for manager of company to follow principle in order
to distribute revenue among the employees in equal proportion.,(Gibson, 2017). In reference
of Club Quarter hotel they comply principle for encouraging employees in order to perform
better within workplace. In addition to this, the manager of company focuses on allocating
profits to its employees equally that helps them in achieving goal and objective of business
organisation. Therefore, it motivate subordinates to boost their performance in order to
increase productivity as well as profitability level.
Principle of understanding different accounts: In accounting, there are various kinds of
account which includes personal, real as well as nominal account. In assistance of this, there
are various rules which is followed in accounting. Therefore, these principles assists in
increasing the awareness of business firm to follow all the rules and regulations. In reference

of Club Quarter Hotel, the financial manager adopt different accounting concepts in order to
handle various activities and functions in appropriate manner. Thus, it is necessary for
manager of company to understand different concept of accounting in order to run its business
activity in efficient manner.(Jain, 2017).
Principle of recording expenses: Herein, it is vital for business manager to maintain proper
record of expenditure that helps in handling the financial condition in appropriate manner.
Along with this, the financial manager of company predicting the expenses which occur in
future period of time. In context of Club Quarter Hotel, the management team emphasised on
maintaining proper record of expenses that arise in future time period. Therefore, they
maintain balance between the profit and loss which is incurred within organisation. In
assistance of this, the company adopt this principle in order to monitor and control the
additional expenses that is arise within the business firm.
On the basis of above mentioned principles it has been analysed that the financial manager of
company monitor and control the financial performance of business organisation. Along with
this, the company must follow principle related to concepts of accounting. This principle are
like a guidelines that helps business to operate its activities and function in appropriate
manner.
P3 Prepare a trial balance by using balance off rule to complete the ledger.
In accounting, both leader as well as trial balance is interconnected with each other. For
instance, Trial balance is a kind of arrangement in which leader accounts are developed in
appropriate manner. The use of trial balance helps the business firm to assess the suitable
creditability of firm in order to eliminate error and deviation and take corrective action.The
structure of trial balance which is going to be mentioned below:

Balance Off rule- It refers to the situation when accounting year is finished within business
firm as well as some accounts are moved to next year so that appropriate evaluation of whole
account are prepared in efficient way. It assists business organisation to keep appropriate records of
important information in ledger, trial balance and journal. In context of Club Quarter Hotel, they
adopt this method for maintaining accounting and financial performance in suitable manner. It can
be defined as both trial balance as well balance off rule plays important in organisation in order to
undertake different activities and function properly. This is very essential for business firm to
monitor and control the different activity of company.(Ma, 2016).
TASK 2
P4 Explain the HR life cycle in context with HR strategy
HR is important part of company becuase human resource of the organisation perform
multitasking operations and with help of HR efficient resosurces are acquired. Human resource in
the organisation perform various tasks such recruitment, selection, hiring, etc. They are responsible
for the overall development as well as growth. In relation wih Club Quarter, there HR management
is well is organised and wotrks with ethics and discipline. With help of HR organisation structure is
well mananged and which reflect the activeness of firm towards their employee as well as business.
HR life cycle is important because it drives the managment of the firm and increases productivity of
business. Hr life cyle of Club Quarter is mentioned below-
 Recruitment and selection- Recruitment refers to process through which appicants/
candidates are hired in the organisation after considering all the policies asnd procedures of
the firm. Recruitment is essential for business as well as management as they help the

organisation to get the right candidate for the right job and for right role..(Prikshat, 2018).
So, it helps in reducing the stress of the firm so that organisation is able to focus on their
activities. Further comes the selection in which HR selects the candidate after qulaifying the
stages of recruiting process. It is responsibility of the recruiters to hire the right candidate so
that resources in firm are used in efficient manner. In relation with Club Quarter, they select
the candidates who are able to deal and manage the customers in proper manner.
 Boarding and orientation- Boarding is the process of making employees about
organisation culture, works, system from first day to the end of orientation period
consdiered by the company. In context to Club Quarter, boarding is essential because it
assits the employeee to know about their work and goals and make personnel attached to
the company. Orientation refers to grooming of employees in the firm so that roles and
responsbilities are analysed in proper manner. In context to Club Quarter, they provide
orientation to employees so that employee are able to cope up with the firm.
P5 Prepare a performance management plan in relevance with service industry and use techniques
to resolve the overcome issues of staff retention
A performance management is important for both firm as well as service industry.
Performance managment is essential for every firm so that job role and responsibilities are
examined and progress of job role assigned to staff and employees are examined in proper manner.
In relation with Club Quarter, performance level plan is managed and maintained by marketing
team so effective decisions is made. The performance management plan of Club Quarter is given
below-
 Potential- It is important to analyse the potential of employee or staff who are assigned with
job roles and responsibilities. Evaluating and determining the potential of employees is
crucial which helps in analysing the calibre of staff as well as employee.
 Expertise- In context to Club Quarter, they hire the expertise people who have skills and
knowledge about a particular field. (Sato, 2019).
 Results- Further comes the results which shows that task completed by employee is positive
or negative. This helps in kdetermining the accuracy level of subordinates.
 Focus- In this, manager of the firm evaluate that how much an employee or staff is focused
towards the roles and responsibilities. In relation with Club Quarter they give multitasking
role to employees so that focus of each personnel is analysed. (Hussain, 2019).
 Opportunities- Another important element of performance managment plan is identification
of opportunities by the employees and staaff so that growth is increased at rapid level.
 Resources- Resources are important in performance management plan becuase without
allocation proper resources business and employee cannot fulfill their roles as well as
responsibilities.
 Motivation- Employees without motivation are unable to achieve the goals and objectives
in proper manner. So, for better performance management it is essential for Club Quarter to
increase motivation amongst the members in the firm.
Other than above points, Club Quarter also use performance management plan by using and
implementing Plan, Mnitor and review.
Staff retention is necessary so that goals as well as objectives are achieved in proper manner.
By providing retention to both employees as well as staff increases the performance level of both
business and members in the entity. Retaining is important because it motivates staff to maintain
their stability within the firm for longer period of time.
Issues of Staff retaining:

 Groupism- When retaining is used within the firm most of the time it happens that
groupism is done and it leads to negativity in organisation. Making groupism withing the
firm divide the managment and work which results in conflicts.
 Loss of good performers- In this retaining process, employees who does not perform stay
in the organisation and good performer leave the organisation.
TASK 3
P6 Explain the types of legislation that a service industry has to follow
In firm, government involvement is at broader and wider as laws, rules and regulations are
to be followed by enterprises. Legislation play vital role in business and it is crucial for every
organisation to maintain laws and legislation so that business run in smooth manner. Club Quarter,
follow all the rules and regulations which are stated by government. Types of legilation which are
essential for firm are discussed below-
 Food Act – This act states that industry who are providing food and beverages or say who
are in FMCG sector, they should maintain the quality of food and raw materials so that
people remain healthy and fit. In context to Club Quarter, manager of organisation make
ensures that substance and raw materials which are used in the firm are of good quality and
hygienic. This increases goodwill of the firm in the market and profit is increased at higher
level. (Frew, 2016).
 Liquor Control Act- In this act, consume of alcohol is prohibited and restricted for the
industry who are producing alcohol. Alcohol affect the health and environment of society is
disrupts. In relation with Club Quarter, they provide alchol in the hotel but with licensed
and does not allow adults to consume alcohol in the hotel. Such policies by service industry
makes them responsible towards the society.
 Employement act- Another legislation which is to be followed firm is employement act
under which rules and regulation regarding the employees such as bonus, insurance policy,
pay and leaves etc. are defined. In context to Club Quarter, HR manager of the hotel
perform their roles and responsibilities in appropriate manner so that all the policies as well
as procedures are well maintyained and followed by HR team. (Khoshab, 2017).
After analysing above legislation it is stated that it is important to focus and follow
legislation for the continuity of business. Legislation guides the service industry to work with ethics
and respect the government laws. Service industry who does not follows legislations are not trusted
by customers as well as end users. Without legislations, no firm can carryout their business
activities in proper manner.
P7 Analyse how company and contract law affect the decision making
Decision making play vital role in service industry because without decisions firm cannot
operate their business in proper manner. Government involvement in business affect the decision
making process at deep level. Every organisation require decision making at every phase of
business so that changes are made in the business whenever there is requirement. In relation with
Club Quarter, they maintain relationship with government by working under rules and regulation
which are govern by government. There are various laws which affect the decision making which
are mentioned below-
 Contract Law- Organisation includes various functions as well as operations and business
is not run by solely individual. When organisation wants to expand business or to divide the
business than with other people than it requires an agreement called contract. So, contract
law refers to agreement between two or more than two people who come for mutual or

common purpose and agreement is enforced by government. When contract is established
decision making in the firm is affected because of people involved in agreement and
difference in their ideas. In context to Club quarter, decision making in firm involves all the
members and employees so that everyone get equally participation within the organisation
and ideas of every individual is considered in appropriate manner.
 Company Law- Another form of law which affect the organisation decision making is
company law. This law depicts that firm should get raw materials, resources and important
credentials which is required by by them in the business. So, company law have policies
and procedures which is to be followed by every firm. In relation with Club Quarter, they
perform their business activities as well as functions in proper manner. Firm lgal team make
ensure that organisation is following comany law in appropriate manner. So, company law
also have a impact on decision making because acquiring of resources and manpower is
maintained and managed by company law.(Demieva, 2016).
After evaluating the company and contract law it is anlayse that firm should work under the
rules as well as regulations which are govern by government. Laws affect the decision making and
also slowdown the progress level of organisation.Thus, legislations are important to adopt and
follow.
TASK 4
P8 Explain the various types of roles performed by hospitality industry
In hospitality sector, staff and employees perform various types of roles
according to their traits, skills and knowledge. Club Quarter includes various roles lin
the firm which are discussed below-
 Low level- Hospitality sector perform ample number functions and operations.
Low level includes gatekeepers, bodygaurds, housekeepings etc. These are the people who
are involved in small works to fulfil their basic needs (Easton,2017).
 Middle Level- Further role perfomed by hospitality sector lies in the middle level. This
level includes managers, clerks, chefs etc. In context to Club Quarter, they provide power
authority to these people to maintain and manage the low level people.
 Top Level- In the Top level, people who are involved are department head, general manger
etc. Legitimate power flow in this level from top to down. These people ae responsible for
growth and development of business.
After analysing the role performed by service industry it is stated that roles of every
individual is crucial in hospitality. Roles depicts the employee traits and skills that is being
preferred and used by organisation to achieve the goasl as well as objectives within a period of time.
P9 Analyse the communication and coordination method in service industry
In hospitality, communication and coordination both are essential because functions and
operations can operate in proper manner only when firm manges these two factors in appropriate
manner. It is important for hotel industry to meet the demand and requirements of customers and
this is only possible when use of communication and coordination is done in proper way. In context
to Club Quarter, they use these both as tool to so that outcomes comes are positive. Various types of
commnication as well as coordination methods are used which are mentioned below-
 E-mails- It is form of communication method is used through network and message is send
in both formal as well as informal depending upon the requirement of receiver and sender. In
relation with Club Quarter, they use e-mail when online transactions, business presentations

are to be done. With help of e-mail it become easy for management to communicate the
message in effective manner.
 Text Messages- Another communication method is text messages in which message is send
via mobiles and it is much easier and faster way of communicting as compared to E-mails.
CONCLUSION
From the above mentioned topics, it has been examined that the organisation follow
different principles such as time management in order to achieve goal and objective of business
organisation in effective way. In addition to this, it is important to manage and handle the financial
performance in order to increase the credibility in the marketplace. It is essential for business firm
to follow principles in order to provide guidance to its business firm. Therefore, it is vital to assess
the performance management to assess whole progression of company. In addition to this, the firm
also follow the rules, regulations and legislation for the success and growth of business
organisation. In hospitality sector, there are various person who execute different role and functions
allot to them. At last, the business also take use of different method such as message as well as mail
in order to coordinate and communicate various activities of business firm. The main purpose of
manager of this hotel is to earn more and more revenue as well as increasing future sales and
growth of business organisation.

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