Lord Wolseley Hotel: Strategic Management & HOTS One-Year Plan

This report provides a comprehensive one-year strategic management plan for Lord Wolseley Hotel in Sydney, incorporating a critical analysis of the micro and macro environments using SWOT and PESTLE frameworks. It delves into theoretical analyses using total quality and strategic management theory, as well as the theory of planned behavior and reasoned action, to argue for the transformation of strategy into strategic management. The report discusses the influence of this transformation on strategic direction, including mission, vision, CSR, ethics, and objectives, and provides practical examples within HOTS decision categories. Recommendations are made, emphasizing the importance of training and the implementation of Hotel Operation Training Simulation (HOTS) to enhance employee performance and customer satisfaction. The document is contributed by a student and available on Desklib, offering valuable insights for students studying strategic hotel management.

Running head: STRATEGIC HOTEL MANAGEMENT AND HOTS
One-year strategic management plan for Lord Wolseley Hotel, Sydney
Name of the student:
Name of the university:
Author note:

1
STRATEGIC MANAGEMENT AND HOTS
Executive Summary
Strategies make the companies and organizations aware of the areas, which they have to cover
for achieving success. In other words, strategy can also be considered as the action plan, which
the companies and organizations make for altering the current business scenario. Every
personnel are entrusted with the responsibility to act according to the developed strategies.
However, the role of the managers is crucial in terms of regulating the performance exposed by
the staffs. These aspects reflect the significance of strategic management in the workplace. This
assignment, through the example of Lord Wolseley Hotel, makes the personnel aware of the
ways and means for managing the compliance towards the developed strategies. One year
strategic plan is the main highlight of this assignment. Along with this, Hotel Operation Training
Simulation (HOTS) gains an important position in the assignment in terms of enhancing the
professional career of the staffs.

2
STRATEGIC MANAGEMENT AND HOTS
Table of Contents
1.0 Introduction................................................................................................................................3
2.0 Theoretical analysis of the micro and macro environment of Lord Wolseley Hotel.................3
2.1 Micro environment................................................................................................................3
2.1.1 SWOT.............................................................................................................................3
2.2 Macro environment................................................................................................................4
2.2.1 PESTLE..........................................................................................................................4
2.3 Theoretical analysis...............................................................................................................4
2.3.1 Total quality and strategic management theory..............................................................4
2.3.2 Theory of planned behavior and Theory of reasoned action..........................................5
3.0 Argument for transformation of strategy into strategic management........................................5
4.0 Influence of transformation on strategic direction.....................................................................7
5.0 Recommendation.......................................................................................................................8
5.1 Hotel Operation Training Simulation....................................................................................9
6.0 Conclusion...............................................................................................................................10
7.0 References and bibliography...................................................................................................12

3
STRATEGIC MANAGEMENT AND HOTS
1.0 Introduction
Strategies or action plans are essential documents for the companies and organizations.
This is in terms of enhancing the productivity in an efficient and effective manner. The role of
the manager is important because, they are the ones in charge of managing the performance and
estimating its effectiveness towards the fulfillment of the identified goals and objectives (Enz,
2009). This assignment attempts to prepare one year strategic plan for Hotel Wolseley. One of
the typical components of this plan is Hotel Operation Training Simulation (HOTS). The word
“simulation” can be correlated with the managerial role of controlling the performance of the
staffs.
2.0 Theoretical analysis of the micro and macro environment of Lord Wolseley Hotel
2.1 Micro environment
2.1.1 SWOT
Provision of accommodation in the close proximity of bars and restaurant makes Hotel
Wolseley a popular name among the customers. Sydney City Centre adds to the geographical
location of the hotel, enhancing the brand image of the hotel. Renovation of the rooms and
restaurant in the recent past has generated high revenue (Lordwolseleyhotel.com.au, 2018). The
major drives behind this are preservation of traditional values, old school, amusement parks for
children and well ventilated rooms. Viewing from the financial perspective, the travel agencies
do not bear the accommodation costs within the travel packages. This issue compels the
tourists to try alternative payment options. Indulging in partnerships with the travel agencies,
for sponsoring the accommodation cost would reduce customer worries regarding payment.

4
STRATEGIC MANAGEMENT AND HOTS
Exposing negligence attitude towards upgrading the financial parameter would add vulnerability
to the market position of the hotel in the competitive ambience (Lordwolseleyhotel.com.au,
2018).
2.2 Macro environment
2.2.1 PESTLE
Political unrest along with harsh policies heavily influences the smooth functioning of the
business activities in Hotel Wolseley. However, governmental initiatives regarding the tie up
between the hotel and the travel agencies enable the hotel personnel to serve the customers
efficiently and effectively. These initiatives act assistance for the hotel in terms of achieving
loyalty, trust and dependence from the customers. However, a vulnerable finance is an
obstruction towards this achievement (Lordwolseleyhotel.com.au, 2018). The administration of
the hotel indulges in partnership with the members of trade union, but there is an absence of
strategic planning. This is the reason for failing in terms of luring the customers with prospective
offers, schemes and discounts. Not using the latest and modern software aggravates the
complexities in terms of fulfilling the needs, demands and requirements of the stakeholders and
shareholders. Non-compliance to the standards and protocols of the legislations is an addition to
these complexities. This non-complaince is also an evidence for contributing to the
environmental pollution. The presence of non-smoking rooms contradicts the previous
proposition (Lordwolseleyhotel.com.au, 2018).

5
STRATEGIC MANAGEMENT AND HOTS
2.3 Theoretical analysis
2.3.1 Total quality and strategic management theory
Planning establishes a relationship between the two variables “quality” and
“management”. For developing effective plans, appropriate approach is needed, which is lacking
in the personnel of Lord Wolseley Hotel personnel, towards the execution of the business
activities. The typical components of this planning are- the current market environment;
competitors; potential risks; the resources available; competencies of the hotel staffs and the
scope and arena of the competitors. The creation of action plan is the keystone for the personnel
in terms of systematizing these considerations according to their priorities (Enz, 2009).
Implementation of these action plans depends on the criticality of the hotel requirements.
Monitoring the effects after implementation makes the personnel aware of the changes, which
needs to be made for altering the business scenario.
2.3.2 Theory of planned behavior and Theory of reasoned action
Planning, before exposing a certain kind of behavior, results in the undertaking of
appropriate action. In view of the previous sentence, planning can be considered as the medium
between behavior and action. These aspects seem true for the personal as well as professional
life. Planning done by the managers of Hotel Wolseley, before the development of strategies, is
their “reasoned action” in terms of achieving efficient execution of the business activities
(Gamble, Thompson & Peteraf, 2014). Delving deep into the aspect, this planning may be the
outcome of a failure or an urge towards upgrading the current business scenario. This type of
behavior, exposed by the manager, aligns with the advanced stages of developed as proposed by
Freud.

6
STRATEGIC MANAGEMENT AND HOTS
3.0 Argument for transformation of strategy into strategic management
The top level managers, middle level managers and the low level managers equally hold
significant position in the strategic management. The three level of management have different
function towards the execution of the business activities. The low level managers are entrusted
with the responsibility of planning the strategies. The middle level managers assess the planned
strategies and direct these strategies to the top-level managers for final evaluation.
Taking the initiative towards making rough drafts of the plans and strategies is the
reasoned and planned behavior of the low-level managers. Organizing meetings with the top
level managers is a reasoned and justified behavior of the middle level manager. Taking prior
permission and appointments from the top level managers is accounted as a planned behavior in
terms of exposing strategic approach towards the enhancement of the hotel’s productivity
(Frynas & Mellahi, 2011). Involvement of the managers from all the three levels aligns with the
approach, which possesses flexibility towards the achievement of large-scale customer
satisfaction. Unity and coordination ties the managers of three levels. Consistency in this unity
and coordination proves beneficial for the exposure of collaborative output.
Consciousness towards enhancing the quality of the services directly aligns with the
aspect of enhancing the corporate social responsibility. This consciousness is accounted as one of
the essential responsibilities of the manager. Quest for serving quality services to the customers
enhances the professionalism of the managers. Giving proper shape to this quest through the
creation of prospective strategies provides competitive advantage to companies and
organizations like Hotel Wolseley in Sydney (Lordwolseleyhotel.com.au, 2018). However, it
needs to be the collaborative effort of the managers of all the three levels. Therefore, strategies

7
STRATEGIC MANAGEMENT AND HOTS
attain the prime position in terms of enhancing the standards and quality of the services offered
by the Hotel.
Unity and coordination is one of the other components, which assist the managers to
manage the proper implementation and execution of the developed strategies. This is applicable
for the managers of all the three levels. As a matter of specification, coordination between the
managers results in the smooth functioning of the business activities. Difference of opinion is
common between the managers and staffs of all the companies and organizations. However,
strategic planning can resolve this differentiation. Lack of immediacy in adopting the means of
negotiation can adversely affect the productivity of the hotel (Lordwolseleyhotel.com.au, 2018).
The impact can be serious in terms of conflicts, discriminations and harassments between the
managers, employees of Lord Wolseley and the employers.
4.0 Influence of transformation on strategic direction
Planning gives shape to the developed strategies and management is the assessment of
their effectiveness, appropriateness and feasibility in terms of the identified and specified goals
and objectives. One of the essential considerations of this planning is the mission. Identification
of the mission makes the personnel aware of the objectives, which needs to be achieved. Herein,
the theory of planned action and reasoned behavior can be brought in. This is in terms of
assessing the approach of the personnel towards making the plans for strategic management
(Gamble, Thompson & Peteraf, 2014).
Example of “planned action” is strategic planning results in the enhancing the efficiency
of business activities. Here, consciousness towards making plans and strategies reflects the kind
of training received by the personnel for enhancing their professionalism. Taking into

8
STRATEGIC MANAGEMENT AND HOTS
consideration the training received by the employees of Lord Wolseley is the reasoned behavior
of the managers regarding estimation about the labor to be extracted from them. This estimates
leads towards ensuring whether the identified mission would be achieved or not.
Along with mission, vision occupies a significant position in planning. Vision enhances
the focus of the personnel in terms of reaching to the benchmark level of performance.
Identification of vision enables the personnel to envision themselves in future (Gupta,
Wakayama & Rangan, 2012). The result of this is the exposure of planned and reasoned behavior
in terms of securing their market position in the competitive ambience. Delving deep into the
issue, this exposure would be ethical, if the personnel develop plans and strategies regarding
maintenance of transparency in the business activities. Displaying inquisitiveness in luring the
customers possesses flexibility towards enhancing the parameter of corporate social
responsibility of the hotel personnel. Consciousness towards the responsibilities, which the
personnel have towards the stakeholders and shareholders, enhances the corporate image of the
personnel (Wheelen et al., 2017). This enhancement achieves perfection upon the presence of
rationality within the thinking towards execution of the allocated duties and responsibilities.
5.0 Recommendation
In view of the current competitive ambience of the market, training seems to be one of
the most important recommendations for the companies and organizations. This is in terms of
gaining the capability to confront the competitions imposed by the contemporary brands.
Training enhances the preconceived skills, expertise and knowledge of the employees of Lord
Wolseley for enhancing the productivity of the companies and organizations (Barney & Hesterly,
2015). Apart from this, training results in the knowledge transfer from the managers to the

9
STRATEGIC MANAGEMENT AND HOTS
employees of Lord Wolseley. This motivates and encourages the employees of Lord Wolseley to
expose better performance. The following section shed light on the concept of Hotel Operation
Training Simulation (HOTS).
5.1 Hotel Operation Training Simulation
This concept perceives training as a game, where the participants are divided into groups.
After this, the team members are instructed to conduct virtual operation for the hotels having 500
rooms. The nature of this operation is competitive due to the participation of the contemporary
hotels. The operation is monitored by the managers. This operation is tagged as a game in terms
of detecting the winners for achieving large scale customer satisfaction through the generation of
high revenues.
Monitoring of the performance, exposed by the team members, needs to be done
strategically. Inclusion of CCTV cameras within the strategies would act as an innovative step
towards controlling the employee performance. Along with this, taking post training tests is also
an effective means for assessing the capability of the employees of Lord Wolseley. This is in
terms of making practical application of the learnt skills in the execution of the workplace
operations.
The grounds of the competition are generation of high revenue for achieving financial
stability. This is through the means of providing quality products and services. Viewing it from
other perspective, through this assessment, the managers attempt to enhance the professionalism
of the employees of Lord Wolseley. Here, training occupies an important position.
Creation of the team is an important aspect, which also needs to be strategic. Taking into
consideration Tuckman’s stages of team development would help the managers of Lord

10
STRATEGIC MANAGEMENT AND HOTS
Wolseley Hotel to select rightful candidates in business operations. The effectiveness of this
selection can be assessed through the performance of the candidates in the tests. Here, the
perception of “game” is questioned. On the contrary, the concept can be considered as the
strategic approach towards preparing the employees of Lord Wolseley for facing the challenges
from the contemporary brands.
Here, training involves various aspects- management, communication, approach to the
assigned duties and responsibilities among others. The responses of the employees of Lord
Wolseley need to be appraised in the performance appraisals. Attention needs to be placed on the
ways and means adopted by the employees of Lord Wolseley for the carrying out the assigned
duty. This would act as a kind of valuation for the efforts they put in for exposing better
performance. Transparency needs to be maintained in this appraisal for maintaining the stability
in the relationship between the employees of Lord Wolseley and the managers.
The employees of Lord Wolseley need to be encouraged regarding the planning which
they need to do for approaching the duties and responsibilities. Telling them about the
significance of setting goals would make them aware of self-organization. Herein lays the
appropriateness of evaluation, which would help the employees in upgrading the standards and
quality of the performance of Hotel Wolseley as a whole.
6.0 Conclusion
Strategic management is an important aspect among the business issues. This
management needs effective planning for the achievement of positive results. Rationality in this
planning helps the personnel to achieve loyalty, trust and dependence from the clients and
customers. This aspect brings the behavioral theory into the discussion on the application on

11
STRATEGIC MANAGEMENT AND HOTS
strategic management into the workplace of Hotel Wolseley. Micro and macro environment of
the Hotel enhances the clarity of the readers regarding the background of the Hotel and its
compatibility with the competitors. Recommendation of training seems beneficial towards
preparing the staffs for confronting the bigger challenges in the market.