Hotel XYZ: PESTEL, Recruitment, Culture, and Performance

This report provides a comprehensive analysis of Hotel XYZ, a multinational hotel chain. It begins with a PESTEL analysis of the external environment, examining political, economic, social, technological, environmental, and legal factors impacting the business. The report then delves into the importance of effective recruitment and selection processes within the hotel industry, highlighting their role in hiring the right candidates and achieving organizational goals. It further evaluates the principle factors affecting organizational culture, equality, and diversity, emphasizing their impact on decision-making and productivity. The report also identifies and describes the main methods of performance management utilized by organizations to gain a competitive advantage, such as Management by Objectives and 360-degree feedback. Finally, it submits an outline plan offering recommendations on issues related to service quality, customer satisfaction, and global awareness. The report emphasizes the need for market research, updated management strategies, and effective performance management to address the challenges faced by the hotel and maintain a competitive edge.

The Hotel XYZ report
Table of Contents

INTRODUCTION.................................................................................................................................3
TASK 1.................................................................................................................................................3
Produce a PESTEL Analysis of external environment in relevance with chosen organisation............3
TASK 2.................................................................................................................................................4
Using examples from hotel industry discuss the importance of effective recruitment and selection
process...............................................................................................................................................4
TASK 3.................................................................................................................................................5
Analyse and evaluate principle factors that affect the culture, equality & diversity of organisation..5
TASK 4.................................................................................................................................................5
Identify and describe the main method of performance management utilised by organisation to
target for achieve and organisation competitive advantage maintained.............................................5
TASK 5.................................................................................................................................................6
Submit an outline plan which offers recommendations on issues......................................................6
CONCLUSION.....................................................................................................................................8
REFERENCES......................................................................................................................................9
Books & Journal:...................................................................................................................................9

INTRODUCTION
Hospitality sector is changing at rapid scale which shows that it is becoming difficult
for other hospitality industry to survive in this competitive era. Fairmont hotel and resorts,
which is the multinational hotel headquartered in Canada. The hotel deals in variety of
services and provides different degrees as well as goods to the consumer’s interest it have
many competitors like Hyatt hotel, the Ritz Carlton, and many more. This report includes
PESTEL analysis, recruitment and selection process, performance management and outline
plan.
TASK 1
Produce a PESTEL Analysis of external environment in relevance with chosen
organisation
In organisation, there environment plays vital role in business and which is also
known as external environment. To determine the factors related to environment, PESTEL
Analysis is being used by organisation for examining the external factors. Through this tool it
is easier to make decision making in most effective manner. This includes several; factors
which are described below-
PESTEL Analysis- It is tool which is used by marketers as well as enterprise so that
factors affects the business externally are examined effectively. It is time consuming process
and required management skills & knowledge for positive results (Martínez-Martínez, 2019).
Political factors- These are those factors which includes labour law, governmental
law etc. In relation with Fairmont hotel and resorts, they are also affected be these element as
they labour law is strict in the country.
Economic factors- In this, it involves inflation and deflation rate, tariff and non-tariff
rates etc. In relation with selected hotel, they involvement of government is high and which
have deep impact on business (Nicula, 2019).
Social- This includes religion, culture, etc. which affects the hotel industry. As, the
chosen hotel focus on such factors it becomes easy for them to target the audience for their
services. These are important as they examine help firm to understand the customers and
market in most effective manner.
Technological- This involves advance of use technology, software, hardware etc. It is
also seen that Fairmont hotel & resort use updated technology for their online management
system. This assist them in maintain a relationship with customers properly.
Environmental- In this, it includes pollution, weather, waste management etc. They
also affect the business and in relevance with selected hotel manager of firm make ensures
that all they run their function and operation’s without harming the environment.

Legal- Contracts, agreements, etc. which are enacted by government are included in
this factor. It is crucial to have proper knowledge of legislation and rules of government so
that problems do not occur in near future. So, Fairmont hotel & resorts assures that legal team
make decision in most efficient manner.
After examining the above matter, it is seen that it is also seen that it is crucial to
determine the external factors so that factors affecting the business are analysed & it is easy
to make decision making. Also, to conduct the specified tool reliable information is required
so that the elements are being understood in proper way (Paramadita, 2019).
TASK 2
Using examples from hotel industry discuss the importance of effective recruitment and
selection process
In an organisation, recruitment as well as selection plays vital role in business as they
are the process or say tool through which it is easy to hire or select the right candidate for
their operations and service. In relevance with Fairmont hotel & resorts, they also choses
these tools so that goals and objectives are achieved within a period of time.
Recruitment- In this, it is process through which hiring and searching of candidate
for a specified job is being done. It is time consuming process but is used at wider scale so
that jobs are being filled with correct candidate. In relation with chosen hotel, HR manager of
firm make ensure process is being carried out properly (Abraham, 2020).
Selection- This is a process in which all screening and elimination is done of
candidates from the recruited process. It is also negative approach as in this candidates are
being chosen and rest are eliminated. In context to Fairmont hotel & resorts they select the
candidates on the basis of their skills and knowledge as well as qualification. Both the
recruitment and selection are crucial as they help in attracting of workforce who will help in
increasing the productivity of firm and other functions.
Importance-
 Both approaches provide consistent results and also this will leads to adopting the
most appropriate candidate for operations.
 They also help in creating and managing the appropriate policy for the job and other
requirements.
 Further reason for having recruiting and selecting process to depict that enterprise is
capable enough to apply and acquire effective workforce.
 Also, with help of both the approaches it becomes easy to examine the jobs and roles
which are to be filled by firm.
After a brief analysis of above matter, it is analysed that recruitment as well as
selection are essential fort an organisation for achieving objectives in given period of
time. Without these two approaches, it is not possible to run business and activities in
appropriate manner.

TASK 3
Analyse and evaluate principle factors that affect the culture, equality & diversity of
organisation
Diversity, quality and culture all these three are crucial for business so that mission
and vision of firm achieved without facing any problem or issue. In relevance with selected
hotel, they manage and follow them properly so that a positive environment is established
within the organisation. There are many principle factors which affects the culture, diversity
and equality and which are discussed below-
 Cost argument- In business sector, there are many firms in which rate of poor job in
integrated worker is increasing at larger scale and which shows that Fairmont hotel
and resorts need to be manage diversity in effective manner.
 Promotion and appraisals- In many organisations, they equality is not given to
everyone and due to which business operations are affected at deeper level. As
because in this Fairmont hotel and resorts gives more authority and power to those
who have higher position or is skilled in special field.
 Problem solving argument- Thus, depicts that workforce is diverse and culture as
well as equality in an organisation solve problem in an effective way which also
results in positive decision making and new ideas (Franco, 2019).
After a brief analysis of above specified matter, it has been stated that diversity,
equality and culture have deeper impact on organisation decision making as well as
productivity of firm. The specified principle factors also show that by analysing them
properly it will be easy to use these elements in an organisation in most efficient way. It is
duty of manager to assure that these principles are being followed and accepted so that d
conflicts or errors do not arise (Holm, 2019).
TASK 4
Identify and describe the main method of performance management utilised by organisation
to target for achieve and organisation competitive advantage maintained.
There are various types of method of performance management adopted by
organisation in order to accomplish goal as well as objective in order to gain competitive
advantage over rival firm at marketplace that is going to be mentioned below:
Management by objectives: Management by objective is considered as the method
in which manager as well as subordinate focuses on planning, organising and communicate
goals for achieving them in stipulated period of time. It is necessary for organisation to set
objective which is achievable in timely manner. In context of Marriott international, the
manager provide incentive to its employees based on their level of performance in order to
accomplish best outcome in future period of time.

360 Degree feedback: In this method, the performance of employees is assessing
from taking feedback from manager, customer as well as peers. It helps Marriott in
understanding the competence of individual person in an effective manner. It increases
productivity as well as performance level in future period of time (He, 2019).
Assessment centre method: This method is used for understanding how other
individual person observe them which imposes direct influence on performance level of
employees at workplace. The main benefit is using this method is it helps in identifying
present level of performance in order to anticipate performance level in future period of time.
In context of Marriott international, they focuses on increasing productivity as well as
profitability level in upcoming period of time by measuring performance of employees in an
effective manner. It also helps in increasing brand image and reputation of organisation in
future period of time.
Behavioural anchored rating scale: It is considered as a process in which both
quantitative as well as qualitative advantage is taken for increasing performance level in
future period of time. In context of Marriott International, they take feedback for clear
understanding regarding the performance of employees during the period of time. It helps in
increasing sales in future period of time (Ren, 2019).
Psychological appraisal: This method is used for measuring the performance level
of employees in future period of time not for past work. It is adopted to assess major elements
of the performance of the employees which include interpersonal skill & leadership skill.
So, after analysing the above paragraph it is seen that with help of performance
management it is easier manage and maintain the management as well as employees within
the firm. Therefore, it is also concluded that the stated techniques are also crucial so that it is
easy to determine the performance management of firm as well as employees. Moreover,
through PM resources and manpower is used efficiently and which also help examining the
TASK 5
Submit an outline plan which offers recommendations on issues
Objective- Main aim of firm is to provide quality of services and increase the visit if
customers and enhance the productivity of enterprise.
To deliver a total satisfaction to the customers and guest
To maintain and increase awareness of hotel across the globe
Recommendations-

 From the specified matter, it is recommended that it is crucial to examine the factors
which affect the business operations.
 To solve the external environment factors issue it is also necessary that they are able
to determine the market conditions so that decision making is done properly.
 Furthermore, it is also seen that to achieve the goals and objectives it is crucial to
conduct a proper market research so that reliable information is acquired regarding the
issues or situations.
 It is also recommended that to the chosen hotel have to be more active towards their
recruitment and selection process.
 Then, it is also recommended that they need to update their management so that it
become easy for management to take necessary decision for regarding the issues.
 Moreover, it is also recommended that Fairmont hotel and resorts need to be more
focused towards their performance management so that they use their manpower
accordingly.
 Then, to deal with their competitors they have to implement effective strategies and
tactics so that competitive advantage is taken properly and at wider level (Tajeddini,
2020)
The above stated recommendations show that it is essential to make the decision
making properly so that firm carry out their functions and operations effectively.
Furthermore, it also depicts that there are various issues which are faced by chosen firm & it
is duty of manager to assure that correct measures are being adopted so that it is possible to
run the business in effective way (Song, 2020).

CONCLUSION
After a brief analysis of above report, it has been concluded that hospitality industry
contributes major profit ratio to economy. Also, it is seen that they have to follow and have
proper market information so that it is easier for firm to make decision related to management
and employees. External factors are to be analysed so that issues related with them are
specified appropriately. It is also examined that recruitment and selection process are carried
out properly so that effective workforce is able to adopt by organisation. Issue need to solved
properly so that resources as well as capital is used by management in efficient way.

REFERENCES
Books & Journal:
Martínez-Martínez, 2019. Knowledge agents as drivers of environmental sustainability and
business performance in the hospitality sector.Tourism Management,70, pp.381-389.
Nicula, 2019. Pestel Analysis Applied In Tourism Evaluation In Braila County.Revista
Economică,71(3).
Paramadita, 2019. Using PESTEL Framework to Analyze User-Generated Content Usage on
Social Media: The Case of Indonesian Tourism and Travelling Business on Instagram.
InThe 1st Workshop on Multimedia Education, Learning, Assessment and its
Implementation in Game and Gamification in conjunction with COMDEV 2018.
European Alliance for Innovation (EAI).
Abraham, 2020.Strategic recruitment and selection in Malaysian small and medium
enterprises: unravelling the evidence of fit(Doctoral dissertation, University of
Nottingham).
Holm, 2019. e-Recruitment and selection. InE-hrm. Routledge.
Franco, 2019. Are you good enough? CSR, quality management and corporate financial
performance in the hospitality industry.International Journal of Hospitality
Management, p.102395.
He, 2019. Improving Millennial Employee Well-Being and Task Performance in the
Hospitality Industry: The Interactive Effects of HRM and Responsible
Leadership.Sustainability,11(16), p.4410.
Ren, S. and Chadee, D., 2019. Influence of guanxi on hospitality career performance in
China: Is more necessarily better?.International Journal of Hospitality Management,
p.102420.
Song, 2020. The relationship between board diversity and firm performance in the lodging
industry: The moderating role of internationalization.International Journal of
Hospitality Management,86, p.102461.

Tajeddini, 2020. The importance of human-related factors on service innovation and
performance.International Journal of Hospitality Management,85, p.102431.