HRM in the Service Sector: A Case Study of Hilton Hotel Operations

This report provides a detailed analysis of Human Resource Management (HRM) within the service industry, specifically focusing on the Hilton Hotel. The report begins with an introduction to HRM, outlining its roles and purposes, including planning, resourcing, training, and remuneration. It then justifies the importance of HR planning based on supply and demand analysis, considering factors such as new hotel openings and service offerings. The report assesses the current state of employment relations, emphasizing employee empowerment, engagement, and the importance of maintaining positive employee relations. Furthermore, it explores the impact of employment law on HRM, including aspects like non-discrimination, working conditions, and employee rights. The report includes a job description and person specification example for a role within Hilton Hotel and compares selection processes across different organizations. Finally, it highlights the contribution of training and development activities to effective hotel operations. The report concludes with a summary of findings and references used.

HUMAN
RESOURCE
MANAGEMENT
FOR SERVICE
INDUSTRIES

TABLE OF CONTENTS
Introduction......................................................................................................................................4
Task 1...............................................................................................................................................4
1.1 Role and purpose of human resource management...............................................................4
1.2 Justification of human resource plan based on an analysis of supply and demand...............5
Task 2...............................................................................................................................................8
2.1 Assessment of current state of employment relations...........................................................8
2.2 Affect of employment law on the management of human resource......................................9
Task 3.............................................................................................................................................11
3.1 Job description and person specification for Hilton Hotel..................................................11
3.2 Comparison of the selection process in different organization............................................12
Task 4.............................................................................................................................................13
4.1 Contribution of training and development activities for the effective operation.................13
Conclusion.....................................................................................................................................15
References......................................................................................................................................16
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INDEX OF TABLES
Table 1: Comparison in Selection Process.....................................................................................10
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INTRODUCTION
Human resource is the primary resource of any industry without which other resources
such as physical and financial resources cannot be put into use. Moreover, to manage human
resources in the organization, a separate department of human resource management is
established so that job description can be made, recruitment and selection of candidates can be
done, training and development can be provided as well as succession and career planning can be
done (Aladwan, 2014). The proper implementation of human resource management in an
organization ensures the progress of employees and enables the control mechanism. In present
business scenario, HRM is required in each and every type of industry irrespective of the fact
that whether the industry is a manufacturing or service based.
This report has been focused on human resource management in a service industry and
for that purpose, Hilton Hotel has been selected. Furthermore, the report describes the analysis of
roles and purpose of human resource management and the justification of HR planning in the
hotel. Moreover, the report covers the assessment on the current state of employment relations
and effect of employment law on the management of human resources (Bramham, 2000).
TASK 1
1.1 Role and purpose of human resource management
In general terms, human resource management can be denoted as HRM. It is a function in
an organization which is designed to maximize the performance of employees in service sector
against the strategic objectives. HRM has to play several roles in a company in order to manage
workforce (Budhwar, 2000). Further, HRM has not been evolved for a sole purpose of managing
human resource but also there are many purposes to be fulfilled by the HR manager. Moreover,
HRM is highly required in service sector in order to manage employees of a service unit. Roles
and purposes of HRM in Hotel Hilton have been discussed as follows: Planning, Resourcing and Retention: The foremost function or role of HRM is to make
plan for the employment of workforce. For instance, the number of employees required in
the hotel, , supply is more than demand or not (Charles and et. al., 2006). Planning of
these aspects has to be done by the HR manager of Hilton Hotel. Further, after doing
planning, recruitment and selection of employees are done and they are allotted job
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profile as per their qualification and experience. Housekeeping employees, chef, waiting
staff, etc. are the various types of jobs that are available in this industry. Moreover, when
resourcing has been done than employees are motivated and retained in the organization
so as to reduce the rate of attrition and absenteeism. Training and Development: HRM also aims to provide training and development to the
workforce who are appointed. It is provided in order to acquaint people to the hotel and
its rules, provide knowledge about the work profile and train them about how to carry out
work (Christopher and et.al., 2003). Further, development activities are provided to the
hotel staff in order to develop their career as well as also to develop their personality and
professionalism. Remuneration and Reward: HRM also performs the role to remunerate human resource
of the hotel. HR manager provides the best remuneration to the hotel’s staff as per their
qualification, experience and job profile. Further, manager also gives rewards to the
people for their best performance in order to motivate them for getting more effective
performance.
These are some of the roles which a Human Resource Manager plays in order to manage
complete workforce of an organization. Similarly, the main purpose of the evolution of HRM in
Hotel Hilton is to manage human resource so that physical and financial resources can be
optimally utilized (Darrag and et.al., 2010). Further, human resource manager is aimed to retain
skilled and talented staff in the organization. It also has an aim to create such environment in
which teamwork and flexibility can flourish.
1.2 Justification of human resource plan based on an analysis of supply and demand
Planning for human resource is done in order to recognize the existing and future need of
the human resources in Hilton Hotel. After analyzing the supply and demand of human resource,
planning for them is done. This plan should determine the relationship between human resources
of the hotel and the overall strategic plans of the enterprise (Felstead and et.al. 2007). HR
manger do need analysis in the hotel and through which, demand of the hotel’s staff can be
known. For instance, Hilton Hotel is building its new premises at Stratford and for that, it has
planned to provide numerous service and for that purpose, many new staff members are required
to fill those jobs. Thus, planning should be done accordingly. There are different types of
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services including baggage storage, barber shop, foreign currency exchange, gift shop, parking
facility, room service, Spa, Fitness room, etc. For providing all these services,, manager has to
appoint several employees. Through this, demand forecasting has been done and as per the
demand, supply forecasting should be done. In supply forecasting, availability of HR is estimated
in the market from where human resources can be availed. HRM do planning that from which
sources, workforce can be supplied as they can either appoint people from the Institute of
Hospitality or from other renowned institutes or form placement agencies or from web
advertising (Hernandez, 2009). Prior to that, company should analyze that human resource is
available in that sources. Along with that, cost estimation, time estimation and other related
factors are also assessed so that in lesser time and cost, skilled and talented employees can be
appointed. While doing HR planning, manager assesses the whole organization and finds out the
requirement of number of employees for each department and service. For example: there is a
demand of 50 employees for room service and 10 employees are required for salon services.
Further, 8 employees are needed for spa services and so on. For that purpose, supply forecasting
is done as per the skills and qualification requirements of employees. Internal and external
supply forecasting are also done. Internally, employees can be shifted from other branch of hotel
to this newly launched branch. For instance, executive housekeeper can be transferred from
London branch to the Stratford branch. Externally, fresher candidates can be appointed form
renowned institutes.
After making human resource plan, justification of this plan has been done Suggested
plan is quite effective because the source which have been identified are cost effective.
Placement from institutes involves lengthy time but it will provide efficient employees to the
Hotel (Innocenti, Profili and Sammarra, 2013). Further, web advertising source involves least
cost and time. Further, internal supply involves some difficulties as changes have to be
implemented and a well established employee have to be moved to new place. But, this is the
best source through which vacancy can be filled. Thus, it can be said that plan which has been
stated is highly effective and HRM can meet its requirement in an easier manner.
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Illustration 1: organization chart Of Hotel industry
(Hotel Organization: An Introduction. 2016.)

TASK 2
2.1 Assessment of current state of employment relations
Employment relation basically refers to as the industrial relations and it is concerned with
the contractual, emotional, practical and physical relationship among employee and employer.
The employment relation is formed when employee sign the contract with the employer at the
time of joining a job. That contract consist each and every aspect of the organizational activity.
On this aspect, job of HR manager is to coordinate all these activities and make the employee
efficient enough to perform all these activities (Jackson, 2008). Further, the employment relation
can be formed when the employee sign the contract with the employer and they both agree upon
the fact that employee will perform activity as per the organization' requirement and in return for
that employer will pay him the remuneration. The employment relations in the hotel industry is
different that from other industries. It is because the working culture, nature of job, pay scale is
entirely different. Due to which the employment relation in this industry always remain good. In
order to make the good relation with the employees, HR manager make regular contact with the
hotel staff so that attrition rate and absenteeism can be removed.
For establishing new premises of Hilton Hotel at Stratford, HR manager has carried out a
detail analysis in order to assess the emerging trends in the employment relations in the hotel
industry (Lepak and et.al., 2006). In existing situation employment relations have been highly
modified. Mainly, in hotel industry the firm has to maintain good relations with the employees.
Moreover, they have to timely motivate their employees by providing monetary as well as non-
monetary incentives so as to enhance the performance.
Employees empowerment and participation : Participation is somewhat when
employees are involved in decision making processes. This is a part of employee empowerment
in the workplace. Employee empowerment is related to empowering employees in a way by
providing them chance to make their own decisions without consulting superiors. The higher
level of management of Hilton Hotel allows managers to take their own decisions which are
tactical in natures. In addition, the employees are given training to handle their affairs without
consulting superiors which boost the morale.
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Employee engagement: Employee engagement refers to the choices of employees to act
in a way that benefits their company’s interests. An engaged employee is one who is fully
involved and enthusiastic about work. To engage people, Hilton uses one-to-one interaction with
all their employees every month in order to assess their issues and also to resolve them on the
spot.
In a similar aspect, a HR manager has to establish a separate department of training and
development in the Hotel so that proper and timely training about the job and grooming can be
provided. Further, the HRM has to provide excellent working condition and other recreational
activities in order to make them feel relax. In addition to this, work time limit should be
established so that none of the employee feel pressurized (Lewis, 2003). These are some of the
current policies through that effective employment relation can be maintained in Hotel Hilton.
There are three major things that are to be focused on while focusing on employee relations:'
2.2 Affect of employment law on the management of human resource
Employment law is that law which encompasses all the areas of the employee and
employer relationship. The employment relation can be defined through the employment law.
While signing the employment contract, the employment law only defines all the policies which
has been included in that contract. That employment contract make the employment relationship
between employer and employee (McGunnigle and Jameson, 2000). Further, the employment
law is consist of the rights and duties of employer and employee such as the wage rate, working
hours, overtime payment, non-discriminatory behaviour at the organization based on caste, race,
age, gender, color, religion, etc. Moreover, safety should be provided at the working place that is
mental and physical harassment should not be practiced. Hygienic working condition should be
there so that employee's health could not get deteriorated.
The equity at 2010 is designed to reduce socioeconomic inequalities; as well as to
harmonies equality law while eliminating discrimination and other prohibited conduct related to
certain personal characteristics. From an effect of such law, Hilton hotels provide equal chance
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to eligible candidates to be selected at the vacant post (Equality Act 2010. 2016). Manager has to
ensure that mental or physical harassment is not conducting for carrying out the work in each
department. This will impact positively upon the minds of employees and also on the
organization. As this will make a positive image for the prospective employees and pool of
talented employees will get attracted towards this organization. Further, the management of
human resource will become easy because this will reduce the number of conflicts as employees
are already satisfied with the pay scale and working environment (Savage, Fottler and Khatri,
2010).
The Equal Pay Act (EPA) of 1963 prohibits the discrimination in the payment system on
gender basis. The pay scale offered to the employee should be equal for all the employees as per
the employment law irrespective of their caste, religion and nationality. The selected candidate
should be informed about all the policies, procedures, term and conditions in order to avoid
ambiguity in future course of time.
Recent amendment has been made in The Employment Act 2008(c 24) which includes
different provisions of UK labour law. From a major act , If employers not follow the procedure
before dismissing their employees it would be deemed unfair.
The effect of employment law is positive as well as negative while managing the human
resource at Hotel Hilton. While managing the human resource, manager has to keep in mind all
the points and policies listed in this law (Salaman and et.al., 2005). During the recruitment and
selection process, employer has to see that discrimination is not one with any candidate, unbiased
selection of employee is done that is based on their qualification and skills possessed. This law
sometimes affect the management of human resource in a negative manner. It is not easy for the
employer to follow each and every point in every situation. Sometimes, they have to miss any
point in order to carry out the operational activity in a smooth manner. But this practice may
dissatisfy the employees and due to which the brand image of Hilton Hotel may get deteriorated
and customer may avoid to visit this Hotel which will directly impact its profitability. If the
employment law is not is not followed properly than the legal action might be taken against this
hotel which will reduce the corporate image of this hotel in the whole world. Thus, it is advised
that Hotel Hilton should follow the employment law in a proper manner in order to avoid
unfortunate circumstances (Sims, 2007).
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TASK 3
3.1 Job description and person specification for Hilton Hotel
Job Description
Post - banquet manager
Company -Hilton Hotel
Qualification – Degree in event management course
Other requirements: Have the experience of 5 years in this field
 Leadership skills
 Managing skills
 Communication skills
 Presentation skills
Location- UK
Salary – Euro 1500- 2000 (negotiable)
The job description for the banquet manager in Hilton Hotel can be described by the
manager. For this purpose, HR manager will do deep analysis of this post and finds out what are
the requirement for the fulfillment of this post. Thus, it has been assessed that a banquet manager
has to carry out the management of entire banquet (Stephen and et. al., 2008). In that, the person
has to plan the marriage, conference and other parties, he has to ensure the booking, the advances
to be taken from the party, the arrangement of all the facilities to be required by the clients,
provide them excellent wait services, to decorate the entire banquet as per the requirement of
clients. Moreover, it has to do the budgeting of the whole event, do the reporting of the budget
prepared to the senior manager and coordinating of all the activities to be carried out before and
during the event (Varbonava, 2013). Moreover, the coordination has to be maintained with other
department so that waiter staff can be availed in an easier manner.
The overall budget allocated to the recruitment process is Euro 200.
Person Specification
person specification also known as job specification. When the in-depth analysis of job
description is done, after that a person specification is made so that a right person can be
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appointed for the right job (Vencato, 2014). Job specification is a detail description of
qualification, experience, skills, internship, emotional quotient, ability learning, etc.
Hotel Hilton have identified the job vacancy as a banquet manager and the description of
this post have also determined. On the basis of which candidate who is required to fill that job
must possess the qualification of event management and have the experience of 5 years in this
field. Further, the person should have the the leadership skills, managing skills, communication
skills, presentation skills (Bartel, 2015). Moreover, the candidate has a good knowledge of
research and development in order to bring innovative services and also they should possess the
effective analytical skills and negotiating skills. Furthermore, the person should be emotionally
strong and have the ability to deal with behavior of waiting staff and other cleaning staff (Job
Description and Job Specification, 2015).
3.2 Comparison of the selection process in different organization
It is a process of selecting skilled candidates from a pool of applicants for the purpose of
competence to fill jobs of the company.
Table 1: Comparison in Selection Process
Hotel Marriott Hotel Ritz-Carlton
Preliminary Interview: In Marriott, there are
process of taking preliminary interview of
candidates such as group discussion etc.
Analysis of Interview outcome: After taking
preliminary interview, organization examine the
outcome of interview by identifying which
candidates are applicable for next process of
selection (Aladwan, 2014).
Allocations of applications: The candidates
which are selected for next process , should
submit their applicants to the company such as
their qualifications details , personal details etc.
Employment tests: After submitting the the
Receiving applications: in Ritz-Carlton,
HRM firstly focuses on receiving of
application in order to the objectives of
selection process,
Employment test: After receiving the
applications, applicants have to attend written
test of their particular job to the management.
Employment interview: After passing in in
employment test, candidates are elligible for
personal interview with HR management.
Reference check: After selecting in the
interview, candidates will go through
reference check where management verify
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