Leadership and Management in the Hospitality Industry

This report explores leadership and management theories within the service industry, focusing on the InterContinental hotel group. It analyzes classical management theories such as bureaucratic, scientific, and administrative management, and discusses various leadership styles including transformational and democratic leadership. The report examines crisis management strategies employed by InterContinental hotel, particularly in response to the COVID-19 pandemic, and evaluates the advantages and disadvantages of their autocratic leadership style. Furthermore, it identifies internal and external factors influencing management structures, including human resources, technology, competitor strategies, and government regulations. The report also assesses the strengths and weaknesses of crisis management factors, emphasizing the importance of communication and technology. Finally, it analyzes existing and future leadership and management skills required in the hospitality industry, highlighting hard skills like food and beverage management and soft skills like communication, along with future skills such as resilience and multi-tasking. Desklib provides access to this full report and many other solved assignments for students.

LEADERSHIP AND
MANAGEMENT FOR
SERVICES
INDUSTRIES
Table of Contents

INTRODUCTION ..........................................................................................................................3
TASK 1 : VARIOUS CLASSICAL MANAGEMENT THEORIES AND LEADERSHIP
STYLES OF BUSINESS : ..............................................................................................................3
TASK 2 : FACTORS WHICH INFLUENCE THE VARIOUS MANAGEMENT
STRUCTURES AND STYLES : ...................................................................................................7
TASK 3 : ANALYSIS OF EXISTING AND FUTURE LEADERSHIP AND MANAGEMENT
SKILLS FOR HOSPITALITY INDUSTRY : ................................................................................8
TASK 4: COMPARISON IN DIFFERENT ORGANISATIONS FOR IMPLEMENTATION OF
CHANGES IN LEADERSHIP STYLES AND CRISIS MANAGEMENT MODELS................11
CONCLUSION .............................................................................................................................12
REFERENCES..............................................................................................................................13

INTRODUCTION
Leadership is considered as an important aspect of business. It plays an essential role in
formulating the business strategies and also help in day to day decision making. In hotel
industry, it allows the business to gain a competitive advantage in the market. This report will
discuss the management and leadership theories used by Inter Continental hotel in its business.
This hotel has its headquarter in Denham, Buckinghamshire, UK. It will also analyse various
classical management theories which can be used by the company. This report will also examine
the impact of pandemic on the hospitality industry and the ways by which these issues can be
overcome by the businesses(AnningDorson, 2018).
TASK 1 : VARIOUS CLASSICAL MANAGEMENT THEORIES AND
LEADERSHIP STYLES OF BUSINESS :
The classical management theories are very important for every business since there is division
of labour and each employee has his role clearly defined in the organisation. There are 3 main
classical management theories which are used by the hospitality industry to achieve their target.
 BUREAUCRATIC THEORY :
This theory relates to the formal hierarchy where different assignments are allocated to different
individuals and departments. It also includes a central manager which supervises the work of all
departments and hold them together in the organisation. It is very beneficial for hospitality
industry since proper division of work is crucial. All the employees working in this industry are
governed by the rules and regulations of the organisation. In the today's world, there are very few
companies in the market which use this management theory in their business(Brock and
VonWangenheim, 2019).
 SCIENTIFIC MANAGEMENT THEORY :
This theory focuses on simplifying the complex tasks into smaller and easier tasks. It also helps
the employees in specialization. This theory increases the efficiency of the organisation since it
focuses on overall picture of the organisation. This can get harsh on employees sometimes
because of the workload in peak seasons in the hospitality industry.
 ADMINISTRATIVE MANAGEMENT THEORY :

This theory of classical management was founded by Henry Fayol. It focuses on coordination
among the organisation. This theory provides a proper administration on the employees which
includes various aspects like the remuneration, centralisation and proper communication. The
hospitality industry is very demanding in its services since the administration is formed(Carreiro
and Oliveira, 2019). The employees require a lot of patience in their working.
ROLE OF A LEADER :
The role of leader is very important in the hospitality sector as they provide a strong base in the
management of operations . For the strong working of the hotel the leader should plan the
policies properly. This explains the role of leader in the Intercontinental Hotels which will help
the company in achieving its objectives.
 In the current situation of pandemic, the leader has to influence the employees in order to
improving the performance of the hotel(Crase, 2020).
 The hotel industry is hugely affected by the pandemic, so it becomes the duty of leader to
boost the moral of the employees.
 The hotel has made changes in its decision making keeping in mind the pandemic, the
leader has to properly communicate all the changes to the employees in a effective
manner.
 It is the role of the leader to properly communicate the changes to the other team
members so that they can adapt to these changes as soon as possible.
VARIOUS LEADERSHIP STYLES :
 TRANSFORMATIONAL LEADERSHIP :
It can be defined as a style which creates and bring a positive change in the employees. In this
style, the main focus is on helping each other so that the performance of the organisation can be
improved. After facing the effect of pandemic, the Intercontinental hotel is focusing on
improving the image by bringing change in the culture as a whole. This leadership style brings to
make transformation within the organisation. It changes the working of the management which
brings a huge impact on the overall performance of the organisation(Farrell, 2022) .
 DEMOCRATIC LEADERSHIP :

This style of leadership is also known as participative or facilitative style of leadership. This
style focuses on maintaining democracy within the organisation. The hotel is currently focusing
on improving the services provided by the staff with the help of collective engagement of all the
employees. The focus is on the leaders to create a positive environment in the organisation to
maintain a healthy relationship among all the team members(Ghobakhloo, 2020) .
CRISIS MANAGEMENT IN INTERCONTINENTAL HOTEL:
It can be defined as a process in which the management of the organisation plans to deal with
unexpected and contingent events. The issues faced by Intercontinental hotel are :
 There has been a low occupancy of customers in the hotel after the pandemic which has
affected the sales of the company in the pandemic.
 The hotel is not able to get a clear a idea of the pricing after the pandemic
 Since the hotel are offering personal services to the customers, the trust of customers is
build again after the pandemic.
 The hotel is not getting enough chance to interact with the customers due to the
restrictions of pandemic(Golensky and Hager, 2020).
 The hotel is not able to create that impact in the industry which can improve its
performance.
 The promotional and advertisement system of the hotel is also hampered since it cannot
make appeal to large number of customers in the market.
LEADERSHIP STYLE USED BY INTERCONTINENTAL HOTEL :
The Intercontinental hotel uses autocratic style of leadership in their business. It is because the
demands of the customers is really unpredictable in the hotel industry after the pandemic. It
discourages the creativity level in the services provided by the hotel. The hotel need to change
their strategies in order to cop[e up with the issues it is facing. Autocratic style of leadership
allows the company in making clear communication with its employees and forming a clear
chain of thoughts. The hotel should reconsider its style of leadership so that it can improve its
performance and make its position strong in the hotel industry(Guthey, Ferry and Remke, 2019) .
ADVANTAGES OF AUTOCRATIC LEADERSHIP STYLE :

 The most important advantage is that time is saved while making important decisions.
 It helps the hotel in achieving the desired objectives in the pandemic.
 During the pandemic, it helps the hotel in forming a clear chain of communication.
 This style of leadership helps in the employees in reducing their stress in the current
scenario of pandemic(Hassi, 2019).
DISADVANTAGES OF AUTOCRATIC LEADERSHIP STYLE :
 The employees of the hotel may feel demotivated by the following this style after the
pandemic.
 Pandemic has affected the working of hotel and this style has created more dependence
on the leaders.
 This style of leadership leads to resentment in the employees due to lack of authority in
the decision making(Karatepe, Aboramadan and Dahleez, 2020).
CURRENT CRISES MANAGEMENT IN INTERCONTINENTAL HOTEL :
The Intercontinental hotel is currently experiencing the issue of not able able to retain existing
employees and attract new employees. The hotel should perform these actions in order to solve
this issue.
 The employees should be involved in the decision making process of the hotel
 The hotel should give various benefits to the employees in order to boost the moral
 The employees should be given some freedom to express their views
 The management should try to impart various trainings to its employees in order to
increase their loyalty towards the organisation.
TASK 2 : FACTORS WHICH INFLUENCE THE VARIOUS
MANAGEMENT STRUCTURES AND STYLES :
INTERNAL FACTORS :
 The human resources available with the hotel directly make an impact on the services
provided to the customers after the pandemic. It is to be keep in mind that Covid-19
pandemic has reduced the performance of the employees.

 The pandemic has negatively impacted the operations of hotel, the hotel should use
advance technology to cope up with the customers(Moradi, Zandipak and Ghazvineh,
2020).
EXTERNAL FACTORS :
 The hotel should identify the strategies used by the competitors sine it influences the
decision making of the hotel.
 Pandemic has resulted in various restrictions in the hotel industry by the government, so
hotel should try to fulfil these requirements in order to run its business smoothly.
Strengths and weakness of factors of crisis management in hotel :
The hotel is facing various issues which needs to be addressed. The strengths and
weaknesses of factors influencing crises management are discussed below :
STRENGTHS :
Communication- The management of hotels should trust only the accurate sources for
any information. Since misleading information can lead to miscommunication and wrong
decision making.
Technology- The hotels should try to increase their promotion on social media platform
during the current pandemic(Najmi, Kadir and Kadir, 2018).
WEAKNESSES :
Ignorance of minor issues- The management of the hotel should not ignore minor
problems since it can have a huge impact in the future.
Illegal behaviour- The company should maintain professional behaviour with all of its
stakeholders. It should not indulge in any illegal activities due to the losses in the
pandemic(Nash, 2019).
Crisis management strategy
For building as crisis management strategy there are some steps which are-
Checking of core values and collecting information- The leader of the hotels should
identify the information needed to prepare the strategies.

Setting goals-The hotel must set the goals which its want to achieve in the specified
time period.
Formation of team- The management of the hotel should form the team after analysing
the goals and resources available(Reilly, 2022).
Take actions- Actions should be taken so that the leaders can communicate the
instructions to the team members.
TASK 3 : ANALYSIS OF EXISTING AND FUTURE LEADERSHIP AND
MANAGEMENT SKILLS FOR HOSPITALITY INDUSTRY :
SOFT AND HARD SKILLS IN MANAGEMENT :
HARD SKILLS :
The management of hotel is currently possessing these hard skills in its business which are
discussed below :
 Food and beverage management : The hotel is currently focusing on providing best
quality food and beverages to its customers after the pandemic.
 Sales and marketing skills : The hotel is giving importance to the sales and marketing
strategies so that it can attract new customers and also successfully retain the existing
employees during the pandemic.
 Human resource management : The Covid-19 pandemic has reduced the staff in the hotel
industry due to lack of revenues of the hotels. The Intercontinental hotel is recruiting new
staff which will improve the working of the business.
SOFT SKILLS :
 The hotel is providing training to its employees for inheriting basic etiquettes in them so
that they can present themselves well in front of customers.
 The hotel is also focusing on improving the communication of the staff.
FUTURE SKILLS REQUIRED BY LEADERS IN HOSPITALITY INDUSTRY :
 Resilience : The staff of the hotel have to maintain their patience every time in order to
satisfy each customer properly. It builds a professional image of the hotel in front of their
customers.

 Initiative : The employees of the hotel should always actively respond to the customers. It
impresses the customers and creates a positive environment between them.
 Multi-tasking : The staff should be properly trained to performing various activities
simultaneously. The employees should be alert and attentive in all their working(Telegina
and Stepnov, 2022).
WAYS TO ACHIEVE THESE SKILLS :
 The leaders and employees of the hotel should try to remain focus while doing their
work. This will increase the concentration level of the team.
 The management should focus on providing various trainings and development programs
to the employees in order to improve their existing skills.
 The hotel should give importance to the improvement of morale of employees so that the
overall productivity of the hotel increases.
IMPORTANCE OF PANDEMIC IN TRANSFORMATION OF CRISIS MANAGEMENT :
 The pandemic has helped the hotel industries in providing the system to deal with the
crisis as hotels are now focusing on all the issues they are facing currently.
 Hotels now pay more attention on their quality of services provided to the customers
 The covid pandemic has resulted in changed leadership styles adopted by the
management of the hotel
 They are now focusing on identifying various new opportunities in the market to gain the
first mover advantage among the competitors.
 The hotels are building a strong foundation so that their business can expand and grow in
the market.
HOTELS CAN OVERCOME THESE IMPACTS THROUGH SUSTAINABLE TOURISM :
Sustainable tourism has helped the hotel industry in tackling with these issues. These issues can
be overcome by the hotels after following the actions discussed below ;
 Sustainable Tourism has helped the hotels in reducing their costs and also in reducing
their energy consumption.
 It has promoted the development of new hotels in the hospitality industry.

 It has created awareness among the market regarding the needs and issues of the
environment
 It has improved the life of the local population by conducting the operations of the
business in a sustainable manner(Yang, Luu and Qian, 2021).
MANAGEMENT SKILLS CHANGED BY INTERNAL AND EXTERNAL FACTORS :
These factors have changed the skills needed for effective management. The following skills
have been influenced by the internal and external factors :
 Time Management : Earlier the management does not concentrates on time management
skill. But now with these factors, the management of the hotel is giving importance on
the value of time management in the business. It has done various things in order to
effectively manage the working time of the employees.
 Customer Management : These factors have changed the thinking of the management of
hotel. Now they pay attention in providing quality services to their customers in order to
increase the customer engagement.
 Sales Management : The management of hotel previously ignored the importance of sales
management. The hotel is very much indulged in improving the sales so that the
objectives of the business can be achieved. It has launched various advertising campaigns
on the social media platforms in order to broad its customer range.
 Business Management : These factors have make the hotels realise the advantages of
business management. The hotels are now concentrating more on forming strategies and
preparing action plan for the business in order to run its business operations in a effective
and efficient manner.
TASK 4: COMPARISON IN DIFFERENT ORGANISATIONS FOR
IMPLEMENTATION OF CHANGES IN LEADERSHIP STYLES AND
CRISIS MANAGEMENT MODELS
There are various systems for crises management which involves budgeting techniques,
crises management software and recreational strategy and other activities. The
Intercontinental hotel should try to implement these systems in the business in order to
effectively deal with the pandemic and other crises. The company need to address the

issues which are affecting its performance and identify the different ways to run its
business properly. In this current situation, Lewin model can be used which will be very
beneficial for the organisation in order to adapt to the changes and focus on long term
sustainability of the business. The company should also focus on its growth and
expansion aspect.
Discussion on how change in management impact the leadership skills & styles examining how
the pandemic has transformed change in management.
The change management can directly impacts the styles and skills of the leaders. It
affects the way in which the leaders think. The business should try to make different policies and
strategies so that the impact of these does not bother the decision making skills of the leader.
Since the hotel industry is facing various issues due to the pandemic, it needs a strong and
effective plan to counter these issues. The main problem faced by the hotel is loosing customer
engagement due to the restrictions of the covid-19 pandemic. The Intercontinental hotel must
examine the reasons and prepare their plans accordingly. The hotel uses autocratic style of
leadership which allows the company to take more informed decisions. With the use of this
leadership style and the crisis management policies, the hotel can overcome all the issues and
perform the business in a effective and efficient manner. The will increase the performance of
the employees as well as the business. The hotel should take certain decisions regarding the
changes in its policies which can bring a revolutionary change in the performance. The company
needs to stay patient and look to overcome these problems of the business.

CONCLUSION
From the above report it can be concluded that Intercontinental Hotel should keep in mind all the
factors which can affect its performance. This report also includes the various leadership styles
which can be practised by hotels in the pandemic. The hotel should continue its business
operations in a sustainable manner in order to sustain in the market for a long period of time. The
report has also stressed on how the pandemic has changed the role of leader and has influenced
their decision making skills. The hotel has to form strategies and policies so that it can maintain
its position in the market.

REFERENCES
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