Hospitality Industry: Operations, Franchising, Economy and Skills

This report provides a detailed analysis of the contemporary hospitality industry, covering various aspects such as different types of businesses, operational and functional departments within a chosen hospitality company (Western House Hotel), and the industry's contribution to local, national, and international economies. It explores the interrelationship between operational and functional units, discusses the influence of franchising and licensing agreements on global development, and evaluates the contribution of these development models to the industry's economic worth. The report also examines different operational roles, the skills required for these roles, and the skills gap within the hospitality industry, providing recommendations for addressing these gaps to improve organizational performance and customer satisfaction.

The contemporary hospitality
industry

Table of Contents
INTRODUCTION...........................................................................................................................3
Analysis of different kinds of Businesses in hospitality industry and product, services they
offer.............................................................................................................................................3
The range of operational and functional department within the chosen hospitality company....4
Critical review of The contribution of hospitality industry to the local, National and
international economy.................................................................................................................5
Interrelationship between operational and functional unit of hospitality organisation...............6
Discussion on how the franchising, licensing agreement influence the development of
hospitality industry at global level..............................................................................................6
Discussion on the contribution of franchising and licensing development towards the
economy worth of hospitality industry.......................................................................................7
Different operational role within the hospitality industry...........................................................7
Skills required for performing different roles and responsibilities and hospitality industry......8
Discussion on skills gap within hospitality industry in context to different roles 100...............9
Evaluation of skills gap impact over hospitality organisation, along with the recommendation
for addressing those skills gap....................................................................................................9
CONCLUSION..............................................................................................................................10
REFERENCES..............................................................................................................................11

INTRODUCTION
Hospitality industry is involving multiple types of businesses in context to the huge
variety of business options related to the customer hospitality needs and demand (Ali, F., Park,
E.O., 2019). Hospitality industry is very big due to the different and innovative service
opportunity related to logistic and hospitality services. Innovation in the business sector of
hospitality make it more bigger by helping the entrepreneurs to offer the unique hospitality
services by their unique business (Chon, K.K.S. and Zoltan, J., 2019).major type of businesses
and hospitality industry is related to food, beverage and accommodation, donate for the elaborate
to events and parties. Some example of hospitality business are restaurant, hotels, resorts and
tourism. Hospitality industry is one of the most effective contributor for UK economy, because
that is the industry which offer different range of jobs and increase employment in country due to
which GDP of the country increase. Western house hotel, this is a luxurious hotel in United
Kingdom having a 49 four star bedroom, offer luxury accommodation and food. This
organisation is a winner of wedding venue due to its attractiveness located At the edge of Ayr
Racecourse, United Kingdom. In this report is involving the analysis and evaluation of all
important units of hospitality industry in order to make a effective presentation report, which
can help to make investors understand about the hospitality industry. Such as analysis of
different hospitality businesses, operations and functions. Skills required for those operations and
functions, skill gap and recommendation.
Analysis of different kinds of Businesses in hospitality industry and product, services they offer
Is there in the market customers are having different Hospitality Services needs in
context to which there are the huge range of hospitality business with creative and innovative
approach to meet their needs and demand.
Accommodation
This is the type of hospitality business which provide customers place to stay and enjoy quality
of time in highly facilitated rooms.
 Hotels- This is a type of big hospitality service business which involves multiple room
for a condition along with higher security and services.
 Motels- This is the type of small scale hospitality business with some selective
accommodation rooms and services (Baum, T., 2019).

 Food and beverage- Another important field of hospitality business is food and
beverages which is involving the different business outlets for satisfying the needs of
customer. Such as restaurants and café.
 Restaurant- This type of the hospitality business is having big and good infrastructure
for customers food and beverage services, along with the facilities of multiple variety
cuisines and drinks.
 Café- This is the type of small hospitality business which involves small interactive
infrastructure along with some selective snacks services.
Tourism
This is one of another most important hospitality business which is involving the different
services related to tourist needs and requirements. Which further cover the all other hospitality
business services along with transportation.
Event
Each and every country have their own culture and occasions, due to which customers need for
event management and organization is higher. This business sector of hospitality industry is
involving both accommodation, food and beverages along with other enjoyment services such as
music, game, stage etc.
Western house hotel is right to the four star for its luxurious room and it is also known for
effective wedding event services along with food and beverage (Goryushkina, N., Voinova, N.,
2019).
The range of operational and functional department within the chosen hospitality company
Operational department
 Front desk office department- This is one of the most important operational department
of hospitality organisation (Basak, A. And Khanna, K., 2017). Which deals with the

customer check in check out. Hotel visit, taking them into the room, take care of their all
problems. Monitor calls for booking. Collect booking charges etc.
 Housekeeping department- This is another most important department of hospital
business, which deals with the cleaning hotel by managing all cleaning and environment
safety standards to meet customers satisfaction.
 Food processing and serving department- One the most essential department is food
processing and serving, which play important role in in preparation and serving of
healthy tasty food to their customers (Breier, M., Kallmuenzer, A., 2021).
Functional department
 Finance department- in order to manage the revenues, profit and payroll of organisation
one of the most important department is financial which manage all financial statements
and cash flow (Jiang, L. And Alexakis, G., 2017).
 Security department- hotels are offering services to different types of customers due to
which it is important to have highest security with the proper implementation of cameras
and security guards.
 Maintenance department- managers of the department have to monitor organisation
infrastructure, in order to manage its attractiveness and improve if it’s required any
modification and renovation.
 Human resources management- this department deals with the recruitment and training of
hospitality staff in order to achieve success in customer satisfaction with best
management skills (Jones, P. And Wynn, M.G., 2019).
Western house hotel is having best operational and functional department due to which
organisation is having higher market value which influence them to expand in Asia with their
best services.
Critical review of The contribution of hospitality industry to the local, National and international
economy
According to the world travel and tourism council (WTTC) hospitality industry is the main
driver of global value development. Because it has contributed 8.8 trillion USD to bubble
economy in 2018. All these benefits to the global economy is done by the industry due to their

higher employment practices which increase the financial stability of local and national economy
by reducing me unemployment. And it contribute at global level economy by expanding the
hospitality businesses at global level because its development to the foreign country contributes
benefits of higher trading text to the government of that country along with the benefits of higher
revenue to their native nation (Porcu, L., del Barrio-Garcia, S., 2019).
Interrelationship between operational and functional unit of hospitality organisation
Hospitality organisation have to conduct various operational and functional activities in order to
meet their customers demand with effective services and facilities. And in order to do this each
and every operational and function work interconnected (Lee, I. Ed., 2017).
Maintenance and housekeeping department- That is the housekeeping department which
inform the maintenance department about any damage in room, washrooms and electronic
systems of rooms. Along with this they asked the maintenance department for or housekeeping
facilities. Another hand maintenance department take help of housekeeping to manage the
problem.
Marketing and finance department- Marketing department is involving different
advertisement and promotional activities in order to make awareness among the customers about
new facility is of organisation, So in order to make it successful marketing department have to
work with financial department for getting the financial support.
Housekeeping and front desk department- The responsibility of front desk executive Mr
monitor all needs of customers such as they have to co-ordinate with housekeeping department
regarding customers needs for cleaning (Murphy, J., Gretzel, U. And Pesonen, J., 2019).
Discussion on how the franchising, licensing agreement influence the development of hospitality
industry at global level
In order develop at global level hospitality industry want to implement in their business plan,
some effective way and methods of entering into the international market, which help to get easy
access to the resources and legal authorities of running the business on that country. There are
some methods of market expansion which influence the organisation to develop at global level.
Franchising- This is the most common method adopted by the business organisation to expand
their business at international level. In this process of expansion franchisor provide licence to
the franchisee for the use of there intellectual property, procedure, brand And right to sale their
product and services (Williams, C.C. and Horodnic, I.A., 2017). In exchange of profit share and

franchise agreement. Some of the leading example of franchising influence to the global
development of hospitality industry is dominos, McDonald’s, hotel Hilton etc. This provide the
easy brand expansion method to de organisation. Without the need of any investment
organisation can grow their brand name at global level by the help of franchise who uses the
organisation name products and processor with the exchange of some profit shares and money.
This is influencing because it’s required zero investment of organisation.
Licensing- This is a type of legal expansion strategy which provide right to the organisation for
their product and services selling into the selected market and country. There are two different
types licence according to the different countries, which help the organisation to develop their
branch over that country by the easy e use of resources. This influence to expand business at
global level, because it aid to get legal access for the use of that selected country resources for
running the organisation over there (Jones, P., Hillier, D. And Comfort, D., 2017).
Discussion on the contribution of franchising and licensing development towards the economy
worth of hospitality industry
In order increase the worth of particular industry at global level businesses of those industries
have to contribute at the higher economy development of local, National and global economy.
The expansion of business related to that industry at multinational level increase the employment
rate and government benefits which contribute into the higher GDP of industry at global level
(Baum, T., 2018). Such as good hotel facilities interact tourism along with that it increased
employment, financial stability is and values of the country, the increasing benefits of hospitality
industry for local, National and international economy is the factor which represent the economic
word of industry. But the initial step for achieving this economic worth is expansion of
hospitality business throughout the different countries which is possible Due to the Franchising
and Licensing. These two 2 methods are important mode of hospitality industry global
development due to which organisation increase the economical benefits at each level and make
the industry economical worth (Goh, E. And Lee, C., 2018).
Different operational role within the hospitality industry
In the hospitality the different types of operational role and responsibilities in context to the
organisation operational department. Such as in context to front office, food and beverage,
housekeeping.

Managers- One of the most important operational rule is manager of each operational
department such as manager of front office, food and beverage and housekeeping. Which take
care of the team performance and resources flow for their task accomplishment.
Receptionist- This is another important operational role related to the front office department
which involves the proper management of customers booking, visit, payment, queries and
facilities related to the room and other information (Gierling, F. And Blanke, M., 2021).
Chef and waiter- Another of the most essential operational role in the hospitality industry which
serve food, is chef and waiter. Chef is the person with responsibility of processing healthy and
tasty food for customers along with the consideration of attractive presentation. Another hand
waiter is the individuals who serve the food with decent and logistic skills which help to satisfy
the customers (Kruesi, M.A., Hemmington, N.R. and Kim, P.B., 2018).
Housekeepers- In housekeeping department housekeepers are the individuals with responsibility
of cleaning all area of hotel on daily basis and according to the customers requirement.
Skills required for performing different roles and responsibilities and hospitality industry
In hospitality industry each and every business organisation need to recruit and manage attractive
employees with all essential skills because that is the important factor which help to satisfy the
customers. Western house hotel is having multiple departments which uses the different skills of
employees for the satisfaction of each and every customers needs along with the management of
organisation functions. Blue order explanation of some important skills required for the different
roles and responsibilities (Hudson, S. And Hudson, L., 2017).
Teamwork skill- hospitality industry is having very complicating work role responsibilities
because it involves the different range of responsibilities within one category. As hospitality is
related to various services. Teamwork is one of the important skills but have to be there in
organisation staff, true verge each and every workers can be achieve smoothly by supporting
each other.
Leadership skill- manager of the each department have to possess effective leadership skills,
which help to effectively co-ordinate with the subordinates. It aid to guide and motivate team
along with the proper training.

Multitasking skill- best hospitality services are very complicated because it needs n different
variety at particular period of time due to which chef, waiters and receptionist how to be
multitasking. Helps to impress customers and reduce the delay of services.
Communication skill- manager, receptionist and waiters have to poses effective communication
skills, which help to manage customers by understanding their needs and requirements. It also
play an important role to convince the customers for taking different services of organisation.
Customer service skill- each and every employee of the organisation should know that how to
treat customers with the correct services and facilities (Kenyon, A., Robinson, P., 2020).
Language skill- language is one of the most important skills and hospitality organisation should
have employees who poses the effective languages skills of different nation.
Discussion on skills gap within hospitality industry in context to different roles
Hospitality industry is constantly growing with the different and unique innovative approaches
along with the new and innovative technologies. These technologies make changes in
operational and functional activities of organisation along with the need of new to management
skills and knowledge. Staff of the operational and functional unit with the older skills are in
appropriate for the organisation because this makes skills gap due to the need of new and
innovative management skills which is not acquired by the older staff. The developing needs of
the customers and innovation create the skills gap which have to be fulfilled with the proper
management strategy of HR manager (KHAN, Y.H., HAKEEM, 2018)..
Evaluation of skills gap impact over hospitality organisation, along with the recommendation for
addressing those skills gap
Re-evaluate recruitment strategy- At this situation of serious skills gap, HR manager have to re-
evaluate employment practices that how they used to recruit there employees. Manager have to
make improvement on their strategies and recruit employees with 80% good skills.
Work on adaptability- Sometimes organisation is having the enough staff with effective skills but
it’s wrong please make analysis of employees adaptability that how many skills they are having
and how it can be used indifferent work role. Engage them in different work role related to their
skills (Carr, M. And Tanczer, L.M., 2018).

Training- In order to address the skills gap of hospitality organisation that is important to
monitor the performance of employees and train them with new skills and working style. By
giving the training on regular basis skill gap is can be reduce (Koo, B. And Curtis, C., 202).
CONCLUSION
From above study and analysis it has been concluded that hospitality industries biger with use
types of products and services with different innovative and creative approaches. The most
common type of hospitality is related to accommodation, food and beverage, such as hotels,
resort, pub, tourism. Business organisation of the industry involves different units of operation
and function, such as food processing and serving, housekeeping, front desk service along with
functions like finance department, human resources management, maintenance and security.
Hospitality industry is one of the important economy development contributor due to its higher
employment function, which benefits each local, national and international economy. There are
the different way of hospitality industry development at global level such franchising, licensing
which also contribute in economy by facilitating the trading charges to de export and import
country. The most important skills for hospitality as communication along with some other
important skills which consider under the set of, operational, front office and housekeeping
manager. Hospitality industry is having skills gap which can be recovered by proper training and
development.

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