Analysis of Human Resource Department in the Hospitality Industry

This report provides a comprehensive analysis of the human resource (HR) department within the hospitality industry. It examines the crucial role HR plays in managing employees, fostering efficient operations, and contributing to overall revenue generation. The report delves into the organizational structure of hotels, highlighting the hierarchy from top management to various departments like food and beverage and front of house. It explores the significance of human resource planning, outlining processes such as environmental scanning and internal audits, while also considering internal factors like organizational strategy and culture, and external factors such as legislation and economic changes. Furthermore, the report discusses job analysis, a critical step in identifying the requirements of a position, and the processes involved. The analysis emphasizes the importance of effective HR practices in achieving customer satisfaction and maintaining a competitive edge in the hospitality sector.

Human Resource Department
Hospitality industry constitutes of many major and minor departments who work together
towards the same goal, i.e. to generate revenue directly or indirectly. The job of the Human
resource department is to create a harmony between these departments to make the service
process and more efficient. To survive in the competitive environment, human resource
management is considered as an important aspect of the industry. Without human resource, it is
very difficult to operate the activities in an effective manner.
In any hotel, there are many employees who work in their respective departments hence there is
a dire need to look and control them so that they carry out their tasks efficiently and at the same
time Human resource department makes sure that the employee gets something back as well.
Human resource is a bridge between the departments and the top management of the hotel. In the
hospitality industry, it is analyzed that the main focus is on the customers and on the quality. The
staff is in direct contact with the customers and also it is seen that it plays a great role in attaining
the objectives of the hotel. The quality that is offered to the customers not only involves the
skills of the staff but also the attitude is taken into consideration at the time of availing the
services.
The human resource department is also termed as employee relation department in the
organization. Human resource department considers the essential role in conducting the
operations of the hotel in an efficient manner. It also performs functions like employee training,
recruitment and also helps to solve the disputes of the staff. It also takes into consideration
various issues related with people in an organization. The human resource department considers
the method of recruiting the best candidate in the organization and also assists in meeting the
training requirements of existing staff.
Hotel Hierarchy

Every organization considers the hierarchy structure to conduct the day to day operations. The
tasks are divided and also the job is specified for each department and the authority is delegated
to the departments. It is evaluated that effective job specifications enhance the productivity and
efficiency of the work. Every hotel classifies the staff in different ways. The hierarchy can be
elaborated in following way. The top management is the food and beverage manager and the
front of house manager is divided into two subparts:
a.) Food and beverage manager: The food and beverage department is liable for all the
dining rooms, bars, and kitchen and cleans up services. The food and beverage manager
gives direction and instructions to the restaurant manager and head chef. In this, the
department is also divided into two parts: Kitchen and Restaurant. The kitchen
department is liable for preparing the food like beverages, main course. The head chef
gives considers that the apprentices are handled with proper care and also the correct
directions are given to them so that they can conduct their operations in an effective
manner. Next is restaurant manager who gives suggestions and directions to the captain.
Then the captain focuses on the food and beverage attendants, that they are conducting
their work in a proper way or not.
b.) Front of house manager: The front of house manager handles the customer service that
consists of front desk services, laundry, and telephone and housekeeping service. A front
office is a place where the guests are greeted and they register themselves and take a
room. It is considered as an important department, as the customers are in touch every
time. The receptionist conducts the operations under the front house manager. Under the
head receptionist, the guest service associates perform the activities. The control is taken
General
Manager
Food and
Beverage
Manager
Head Chef
Apprentices
Restaurant
Manager
Captain
Food and
Beverage
Attendents
Front of house
Manager
Head
resceptionist
Guest Service
Associates
Housekeeper
Housekeeping
Associates

by the head and also the correct direction is given to carry the activities in an efficient
way. The housekeeping takes care of the housekeeping associates that help the industry to
enhance the satisfaction level of the customers. The best services are offered to the
consumers.
Human resource planning
Human resource planning is the main aspect of the human resource department. Its main job is to
forecast the organization's future needs with respect to the employees the organization will need.
To fulfill the rights of the candidate for the role the human resource department follows either
recruitment or selection process. Human resource planning is important for following:
Future employee needs for the organization
To employ highly talented staff
Plan ahead and cope up with the changes
Work towards the expansion of the company.
Human resource planning process (Rahman bin Idris & Eldridge 1998):
 Environmental scanning: this is the first step towards human resource planning process
which involves scanning and analyzing the current market trends and finding the external
forces that may have an effect on the process. This process requires the human resource
department to make a consistent pattern. All the changes which are happening in the in
different streams like technological, sociocultural, economic are monitored and also how
they may impact on the human resource strategies. This helps the human resource
department in planning the strategies keeping in mind the external forces.
 Interpreting the strategic objectives: The Changes in the organization may result in the
change, in demand and skill of the employees. This might be affected by the quality and
quantity of the employees the organization currently has or the external market of the
organization. The role of this analysis is to define the skill set required in the employees
to implement the organizational strategies in order to attain a sustainable success.
 Auditing the internal human resource
This analysis is similar to keeping an inventory. Two analyses are made namely micro and
macro. Micro analysis reports the number of employees, their skills, level of productivity, the
potential of productivity, attitude etc. whereas macro analysis records the organizational
philosophy, organizational structure, quality of work life, absenteeism, the effectiveness of the
personnel system, climate and work environment. This helps the firm to set a bottom-line of the
capabilities of the human resource in a firm which could be available for future organizational
requirements.
The factors that influence the human resource planning are divided into two segments, internal or
external (Norhidayah, Kasim & Shamsudin 2012).

Internal factors
a.) Organization strategy: These are the strategies that the organization follows in terms to
the employee management. These are the strategies that the firm puts together to generate
revenue and grow.
b.) Organizational changes: when a firm first starts to operate the primary task is to try and
stay afloat and reach the breakeven point as soon as possible. However, as the
organization starts to grow it has to make some changes; these are called the
organizational changes.
c.) Organizational culture: the organizational culture is influenced by two major factors, the
location of the firm and the workforce. Emphasis on training the workforce can help
majorly in attaining a desired culture in the organization. Organizational culture is a
system that gives emphasis on the shared assumptions, values and beliefs. The shared
values give influence on the people in the company and also various things are taken into
consideration that how they dress, act and conduct their activities. (Rameezdeen and
Gunarathna, 2003).
d.) Leadership and experience: leadership and experience play a major role when it comes to
human resource management. Leaders motivate the employees which in term determine
the attitude of the employee. Leaders should emphasize on the tasks and the
understanding between the employees and their reporting managers by bridging the
communication gap between the two (Panthi et al., 2008).
e.) Empowerment: empowerment is the way of encouraging the desire of learning amongst
employees and thinking of new and more efficient ways of doing things. Employees can
be empowered by helping them learn new skills which will help them finish their task
more efficiently.
f.) Nature of work: Human resource planning helps in attaining the right candidate for the
job by assessing their skills with the nature of work. The work should be assigned by
considering the right person for the right job.
External factors
a.) Legislation: Government laws and regulations in terms of the labor laws have a major
effect on human resource planning. Human resource department has to keep updating
their policies with regards to the change in government laws. The laws and regulations
are important that should be taken into consideration by every organization. The
regulations give influence on the process of the human resource department. It consists of
training, recruitment, compensation. The company should take into consideration that the
operations are conducted under the rules and regulations of the organization. The
regulations of the company give focus on conducting the day to day activities in an
effective manner (Sung and Choi, 2014).

b.) Economic changes: change in the economy means a change in the firm's expenditure
which directly affects the human resource planning. Also, it is the important external
influence that takes into consideration the current economy. It gives impact on the
talented candidate and also affects the ability to hire the candidate. The human resource
planning should be planned by considering the economic downturn. Economic changes
affect the operations or the activities of the organization (Breaugh, 2017).
c.) Technology changes: technology changes with time and this is an important factor as a
change in technology could help in reducing the prices and cost saving. If the industry
adopts latest technology, then it can be easy to attain the goals and objectives and also to
finish the work on time. It is considered as a revolutionary way to operate the activities
the industry. It is seen that updated technology gives enhancement in the profitability and
also the human resource of the organization feel comfortable to conduct the day to day
operations (Benavides-Velasco, Quintana-García and Marchante-Lara, 2014).
d.) Demographic changes: demographics help in determining the baseline of the employee
profile. The change in the profile of the workforce in terms of age, literacy, gender
participation and technical input can pose implications in human resource planning. It is
analyzed that the old generation's takes retirement and new generation enters the industry
to conduct the operations of the business. The human resource department should give
focus on appointing the new set of candidates. They should hire the candidates by
considering the experience, qualification and also the pay should be according to the
qualities that are possessed by an individual. At the time of human resource planning, it is
essential that effective working environment should be provided so that the workforce
can conduct their work in a proper manner (Wilson, 2014).
In order to get the perfect candidate for the position, human resource department has to analyze
the position available. This process is called job analysis.
Following are the steps which are required to carry out job analysis as mentioned by (Chang &
Kleiner 2002).
 Job analysis: it is a systematic process which helps the management in making decisions.
The purpose of the job analysis is to provide information about the job which in turn
helps the human resource department to look for employees with skills to execute those
tasks.
The main process of job analysis can be divided into following:
a.) Identification and isolation the components of a job:
This step involves determining all the components of a job by finding out the tasks which are
required to be done. Some jobs may have many tasks and sub tasks; in this case, the author
suggests that these tasks can be grouped into task taxonomies when the tasks have sufficient
similarities. This helps in simplification of the analysis.
b.) Examining how the tasks can be performed:

This step involves finding out the skills required to do a task, the order in which the skills have to
be implemented and to identify if the task is isolated or if it's a team process, etc.
c.) Identifying the main areas of responsibility:
This step involves in finding out the main duties which are involved in doing a task and also if
it's regular or occasional. Then scaling the duties on the basis of their difficulty, how frequently
they are happening and the importance of those duties to fulfill the job as a whole.
The information collected from job analysis can further help in evaluating the job. This process
is called job evaluation.
According to (Chang & Kleiner 2002) the main purpose of carrying out job analysis is that it
provides information for job evaluation.
According to the author (Chang & Kleiner 2002) following are 4 different ways in which the job
evaluation can be done.
The Ranking System
The Point System
Factor Comparison
Combination Systems
The job evaluation system that we will be using for out hotel would be combination system. The
reason for using combination systems is that the advantages of all the systems can be combined
and the disadvantages of the systems can be removed.
The combination system involves five major steps. Firstly all the factors are selected and
defined. The major 5 factors are authority, knowledge, skills, responsibility and working
conditions. Then the jobs are selected and priced according to the market rate if there is any
market rate available and each benchmark job is ranked under each of the five factors. This
process includes both the jobs which were priced and which were not. After the jobs have been
ranked, points are assigned to each degree to each factor in accordance to the standard system.
The weight of each factor is a function of number of degrees assigned in the ranking process.
Next step is to define each degree. The final process includes evaluation of all the jobs by
comparison against each other on the basis of degree definition and job versus job ranking
system.
Once the jobs have been evaluated next step is to look for right candidates to fill up these
positions.
Recruitment process
According to (Dickinson & Ineson 1993) recruitment is simply a process of searching for the
right people for the job out of which the right candidates can be selected for the job. Recruitment
is conducted so that effective candidates can be selected for the job.

According to the author (Carroll et al. 1999) factors that affect recruitment are follows:
Internal factors
a.) Recruitment Policy: The recruitment policy of the industry affects the recruitment
process. The policy gives focus on the objectives and also provides a framework that
helps in implementing the recruitment program. It consists of an organizational system
that should be developed for implementing the programs related to recruitment and also
for filling the vacant position in the organization. The factors that affect the recruitment
policy are organizational objectives, sources of recruitment, recruitment costs (Purce,
2014).
b.) Human resource planning, government policies that are related to reservations. If the
human resource planning is done in an effective manner then it will assist in covering the
gaps in the organization. It also assists in determining the candidates, so that the job can
be offered in a proper manner (McPhail, Patiar, Herington, Creed and Davidson, 2015).
c.) Size of the firm: The size of the industry gives direct impact on the recruitment process.
If the organization is trying to enhance the operations and also to expand the business,
then the focus should be given to employees for the organization. If more employees are
appointed then the operations can be operated in an effective manner and also the success
can be attained by the organization.
d.) Cost: The process of recruitment also incurs the cost of the employer. So the organization
tries to recruit the candidates with the source that is reasonable. The industry should give
focus on the considering the recruitment process that does not incur a huge cost.
e.) Growth &Expansion: By employing more employees in the organization it can easy to
conduct the day to day activities of the organization. For expanding the activities it is
essential for the organization to consider effective strategies so that the goals and
objectives can be attained (Kavanagh and Johnson, 2017).
External factors
a.) Supply &Demand: In the recruitment process, the availability of the workforce is an
essential aspect. It is evaluated that if the organization has a more demand of the
employees and it is very difficult to employ the appropriate candidate then the company
will depend on the internal sources by giving them effective training and development
programs.
b.) Unemployment: It is considered as an essential factor that gives influence in the
availability of the candidates. It is analyzed that when the company is not recruiting the
new candidates, there is an oversupply of the qualified labor. Then the qualified labor is
included in the unemployment rate (Storey, 2014).
c.) Labor: At the time of recruitment, if the organization evaluates that there is the surplus of
manpower in the market, then the organization consider the informal attempt of recruiting
the employees. The company tells about the job opening through the notice board or by
announcing in the meeting. It will help to attract and induce more applicants to apply for
the job (Dhar, 2015).

d.) A market where a hotel is located: Location also plays a great role at the time of
recruiting the candidate. If the industry is set up in a good location then it will attract
more applicants towards the company.
e.) Political-social environment: There are various government regulations that give direct
impact on the process of recruitment. The trade union plays a significant role in
recruiting the candidates who are efficient towards the work. The management put
restrictions that only the individual who is considered as the best performer should be
selected (Sparrow, Brewster and Chung, 2016).
f.) Image of the firm: Image of the firm is an important aspect that gives influence on the
process of recruitment of the industry. If the organization has a positive image in the
market, then it will directly impact appropriate candidates towards the organization and
also it will retain more candidates. The organization can enhance the goodwill in the
market by taking into consideration effective public relations and also by offering
services like building roads, hospitals can give success to the organization. If the
effective strategies are adopted by the organization, then it will help the organization to
attain the profitability and also assist in making appropriate decisions that are beneficial
for the organization. It is essential that the organization should have a positive image in
the mind of the people so that the negative impact cannot be given on the activities of the
organization (Paillé, Chen, Boiral and Jin, 2014).
According to the author (Carroll et al. 1999) the recruitment process includes five steps which
are inter related, which are planning, strategy development, searching, screening and evaluation
and control. The main task of human resource department is to make the recruitment process an
ideal one and to attract a large number of qualified candidates which can accept to work with the
hotel when they are offered the position.
Selection process
According to (Bernroider & Koch 2001) selection is a process of picking specific candidates
from a large number of applicants that have a specific skill set desired for the job. Unlike
recruitment, the Selection process is a long process which includes many rounds and is usually
used for hiring managerial positions. However, it depends on the factors like the size of the
organization and the company policies.
For our hotel, we have used recruitment process for hiring executive level employees and
selection process for supervisor and managerial level employees.
Training and development
Training and development is the part of human resource department which helps employees in
learning specific skills, knowledge, and abilities. Training employees play a major role in the
success of the hotel. Training helps to enhance the knowledge and skill of the employees who are
working in the organization. By training the employees feel satisfied and also the efficiency is
increased. When effective training is given to the employees of the organization, then it is
evaluated that productivity and success of the organization is attained (Marchington, Wilkinson,

Donnelly and Kynighou, 2016).The main role in the hospitality industry is to serve the customers
whether it is related with food or other services. The importance of training and development
can’t be ignored because it is analyzed that the job gives main focus on the satisfaction level of
the customers. Training can be expensive but it is considered as an important element for the
organization.
Types of training methods:
On the job
Off the job
On the job training: on the job training is a form of training where employee learns new skills
while working (learning by doing). On the job training is the most efficient form of training and
requires proper planning, structuring, and supervision for it to be successful. It is method by
which the employees ensure that they will get the learning content when they will go. To
enhance the knowledge the company should show them effective videos that will give direct
impact on the working operations. In this form of training the technology is used to track the
progress and also to enhance the learning strategy that gives encouragement to the employees to
learn something new (Bamberger, Biron and Meshoulam, 2014).
Off the job training: Off the job training provides a wider learning and gives more clarity to the
employees. In this form of training such an environment is created where an employee can learn
and the mistakes made while learning is not costly. The training is conducted in a location that is
specifically designed for training. The place can be near the workplace or away from the
workplace. The employee goes for taking training, so that the knowledge can be increased of the
employees who are working in the organization (Beardwell and Thompson, 2014).
There are three different types of off the job training namely: independent, external and in-house.
In our hotel, we have planned to keep 2 training sessions per fortnight so that every department
(food and beverage service, housekeeping, food production and front office) gets the chance to
learn new skills every month.
Employee benefits
Health insurance for the employee and family.
Sick leave: The sick leaves are given to the employees who are working in the organization. It is
considered as an extra benefit for the employees. It is considered as a paid leave.
Maternity leave: This is the benefit that is availed by the female employees. The period is
decided according to the organization. So, in this period the amount is given to the employees.
Paid leaves: This is considered as an employee benefit in which the employee can easily take
leave.
Over time penalty pay rate: This is the benefit which is given to the employee who work extra in
the day. The wages are given according to the extra work done (Aswathappa, 2013).
Competitive salary package: Employees are motivated by money, and the employers give focus
to consider the best employees who don’t take extra profits. When the employer selects the

specific employee, then there is a good chance that they will negotiate a competitive salary
package.
Discounts on rooms and food and beverage outlets: The Company offers various discounts
vouchers to the employees like food and beverage vouchers that enhance the motivation level of
the employees to work efficiently towards the work. The employees can easily avail the
discounts at the time of visiting. This is the benefit that is offered by the organization to its
employees (Armstrong and Taylor, 2014.).
Employee welfare
Employee safety and health issue: as employees are the assets of our hotel. The safety procedures
like HACCP (Hazard Analysis Critical Control Point) will be implemented to ensure the
wellbeing of the employee.
Performance appraisals: employees will be rewarded for extra efforts and exceptional work
ethics. This helps in motivating employees and improves productivity.
Day care center: this is an added service for the employee welfare.
Employee Retention
Employee retention is an integral part of the organization. As attracting new skilled employees
are one of the major tasks of the Human Resource Department but at the same time, it is the
priority of the Human resource department to retain the employees who have worked with the
hotel.
As explained by ("Putting people first" 2011) if an employee quits the organization there are
many cost factors that follow like setting up interviews, hiring, training. At the same time losing
an employee may also impact the performance of the firm as there might be a reduction in the
output.
As suggested by (Kundu & Lata 2017) following are few retention strategies that will be
implemented:
Career path: providing essential training time to time helps the employee in attaining new skills
which in turn helps them in moving upwards in the hierarchy. This is beneficial for the hotel as
the HR department does not have to hire a new employee which reduces the cost factor. Also, it
helps in motivating the employee and creating employee loyalty.
Recognition: acknowledging the employee for their extra efforts helps in motivation. We will set
up an employee of the month where employees that have shown dedication will be rewarded.
Regardless of the department, they work in. also, we will put "team member of the season"
where each member will be encouraged to vote for the member they think have put in extra
efforts and the winner and runner-up will be rewarded with vouchers.
Remunerations: employees will be offered with competitive salary packages, this keeps the
employee motivated and create a sense that the hotel values them. The human resource will do
constant market analysis and the employees will be given bonuses.

Exit interviews: in an occasion where the employee wants to leave the organization. An
interview will be held with the HR manager to ask them about why they want to leave, what
made them leave and what would be their feedback for improvements.
References:
 "Putting people first" 2011, vol. 25, no. 1, pp. 25-27.
 Bernroider, E & Koch, S 2001, "ERP selection process in midsize and large
organizations", in , Business Process Management Journal, vol. 7, no. 3, pp. 251-257.

 Carroll, M, Marchington, M, Earnshaw, J & Taylor, S 1999, "Recruitment in small
firms", in , Employee Relations, vol. 21, no. 3, pp. 236-250.
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Research News, vol. 25, no. 3, pp. 73-81.
 Kundu, S & Lata, K 2017, "Effects of supportive work environment on employee
retention", in , International Journal of Organizational Analysis, vol. 25, no. 4, pp. 703-
722.
 Norhidayah, Kasim, N & Shamsudin, A 2012, "Framework of human resource planning
(HRP) influencing factors for local workforce supply in Malaysian construction
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 Panthi, K., Farooqui, R.U. and Ahmed, S.M. (2008), “An investigation of the leadership
style of construction managers in South Florida”, Journal of Construction Management
and Economic, Vol. 11, pp. 455-565.
 Rahman bin Idris, A & Eldridge, D 1998, "Reconceptualising human resource planning
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