Hospitality Management: Financial, HR, and Legal Analysis at Rosewood

This report investigates financial management principles, HR life cycle stages, and legal compliance within the hospitality sector, using Rosewood Hotel as a case study. It examines the application of double-entry bookkeeping, trial balance creation, and the importance of managing and monitoring financial performance. The report reviews the HR life cycle, focusing on recruitment, selection, and performance management, with strategies for staff retention and addressing negative behaviors. It identifies relevant legislation impacting hospitality organizations, including employment, company, and contract law. Furthermore, it explores the interrelation of functional roles within the hospitality sector and different methods of communication and coordination within departments. The analysis provides insights into optimizing financial performance, enhancing HR practices, and ensuring legal compliance in the hospitality industry. Desklib provides more solved assignments for students.

Hospitality
Organisation

Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK 1............................................................................................................................................3
P1 Investigation of the principles of managing and monitoring financial performance........3
P.2. Application of double entry booking keeping system of debits and credits to record sales
and purchases transactions in a general ledger? ...................................................................4
P.3. Produce a basic trial balance applying the use of balance off rule to complete the ledger?8
TASK 2..........................................................................................................................................11
P.4. Review the different stages of the HR life cycle applied to a specific job role and their
importance for retaining and development talent? ..............................................................11
P.5. Develop a performance management plan for specific hospitality job role applying
techniques to resolve both negative behaviour and outcomes issues of staff retention......12
TASK 3..........................................................................................................................................13
P.6. Identify specific legislation that hospitality organisation has to comply and adhere to 13
P7 Illustration of the way in which employment, company and contract law has potential
impact upon business decision making................................................................................14
TASK 4..........................................................................................................................................15
P8 How different functional roles in hospitality sector interrelate.......................................15
P9 Different methods of communication. Coordination and monitoring in specific department
..............................................................................................................................................16
CONCLUSION .............................................................................................................................17
REFERENCES..............................................................................................................................18

INTRODUCTION
Hospitality industry is so wide as large number of activities are included in this. It tends
to provide services related to food, stay and services related to comfort, leisure of visitors and
travellers. It is a part of tourism industry as it caters their services to both travellers as well as to
tourists. This industry is divided into two segment. First one is related to accommodation and
lodging industry and other is concerned to food & beverages ( Shi, 2019).The company that was
selected in this report is Rose Wood as it is luxury five-star hotel located in London. In the year
2013 it is opened in location 252 High Holborn, London. The topics that were included in this
assignment are investigate how to manage finance and record transactions to minimise cost
responsibility with in the hospitality sector. How to manage human resource life cycle within the
context of human strategy are also explain in the project. Importance of coordinating and
integrating various functions of departments with in the hospitality sector are explain in detail in
this project. Potential effect of ethical and legal consideration on hospitality sector are also
mentioned in this report.
TASK 1
P1 Investigation of the principles of managing and monitoring financial performance
It is necessary to monitor & manage financial performance in every organisation. For this
appropriate principles are followed by the company. Rose wood Hotel make concentrate on
various principles as these are explain in detail in below mentioned bullet points.
Documentation:It is another essential principle that organisation Rose wood Must follow
to monitor financial performance and on continuous basis make control over it. It help to make
record of all important transactions which are exist during the year.
Timelines: the principle explains that in the company all managers are responsible to
complete their activity/ task at certain period of time and meet timeline of the task. Rose wood
accounting professionals use timelines so it can easily manage business performance and time to
time analyse whether properly task is performed or not (Baum, 2019)
Justification: Justified information should be recorded in the books of accounting as per
this principles. To manage financial performance respective principle is focused by Roose wood

because allows management team to analyse accurate as well as actual information and
according to that effective decision making is done.
Consistency: This is most important principles in which all the entities tends to be focus
with the intention to control financial performance. Consistency taken into consideration by
Hotel Rose wood for the purpose of monitoring and managing business presentation in monetary
terms
P.2. Application of double entry booking keeping system of debits and credits to record sales
and purchases transactions in a general ledger?
Statement of Profit & Loss :- As it is prepare for every Financial year and in this all the
transactions are recorded that are made during the year. It is also called as income statement. As
well as booking keeping is another name of double entry system. In this all the entries are done
by recording amount in the coloum debit or credit . At last the balance of both the columns are
equal.
Effective recording of debit and credit:- It is known as the process to record all the
transaction through using debit and credit account . In the form of Journal entries recording is
done. For that various are followed to do entry. Examples of these rules are debit what comes in
and credit what goes out; Debit the giver & credit the receiver. And the last rule is that all
expenses are entered in DR. and incomes are recorded in CR (Adeyinka-Ojo, 2018)
Manual addition to computer software to record financial data together with
information
For accounting period Financial statement are prepare by staff of finance team as it is
helps to reflect the financial position of business. It is signed by CA in practice that gives
ensurity that all the informations are true and fair. It also supports outsiders to take correct
decisions regarding investment. Nowadays, with the changing atmosphere and introduction of
modern advance technologies people start to do accounting by using smart software which make
out work simple and also consume less time to recordings. The activities which performed by
using computer such as recording of transactions reflects truth & fare representation. As the
accountants of hotel rose Wood record their accounting transaction by using the Software SAP in
the business. It is most commonly used software (Dirisu and et. al, 2018).

P.3. Produce a basic trial balance applying the use of balance off rule to complete the ledger?

Trial Balance
It is the collection of ledger account formed as well as arranged in this statement by
maintaining Debit and Credit Account. At the end of accounting year it is mostly prepare, The
balance off rule is the process to record total debit account and credit account equally. And at the
end of accounting period ledger are to be balanced by showing same figure at both the sides
(Khan and Hossain, 2018)

Elements of Trial Balance : It is in the form of statement in which details of account
name and numbers are involved along with the columns of particular, Date, Debit and Credit
column. Name of the enterprise are mentioned on the top of the trial Balance.
Role of trial balance in identifying rectification of errors- Only with the help of trial
balance it become possible to do rectification of errors. By using suspense account it match both
debit and credit side. With taking prompt decision errors can be rectified by smart finance team
of Hotel Rose wood
Uses of Budget for the purpose to plan and control.
Variable cost , Fixed cost and semi variable cost: Variable cost is the cost which is
vary as per the chance in production unit on the other hand fixed cost is the price which is not
effective due to increase or decrease in output. And semi variable cost are those in which some
factors prices are fixed up to certain context and after that it is fluctuates. Direct material, labour
, rent, light expenses etc are the few example of these costs that are observe in Rose wood hotel.
Pricing strategies and setting realistic goals: The pricing strategies are the cost which
is incurred to produce a particular item as this cost is changed by customer by adding profit-
margin in it. Hotel Rose Wood manager implement cost plus pricing strategy as it tends to
describe that cost plus profit-margin leads to profits maximisation (Kotera, Adhikari and Van
Gordon, 2018)
Income Stream: It shows the profit margin due to this revenue is generated by
organisation. Managers of Hotel Rose wood consists of income as their capital generation
through different modes such as high rate of return ,investment, involvement of risk, etc.
After analysis it is conclude that in organisation whether big or small , investigation is
necessary to perform regarding principles so that it become possible for finance team to make
control over the financial performance. Also to appropriate recording of transaction it is
necessary for organisation to do effective book keeping so that important financial information
are not to be loose because these are consider as most crucial part of business. As singe mistake
can change the whole financial results as it tends to make impact on the profitability of the
organisation. With the help of proper book keeping, company can estimate their budgets and on
the basis of that by making comparison financial analysis is done.

TASK 2
P.4. Review the different stages of the HR life cycle applied to a specific job role and their
importance for retaining and development talent?
Life cycle is implemented by Human Resource Manager to control or manage its role for
the purpose to achieve targets effectively and efficiently on time.
HR life cycle: It is explain as the various stages of employee goes to perform their work
for specific organisation. Rose wood Human resource manager concentrates on workforce for
internal strength so that they can easily compete with their competitor. Respective life cycle is
tends to classify further with the help of different states as it is describe as follows
Recruitment- It is the process in which various activities are perform such as identifying,
screening , short-listing, interviewing for selecting most suitable candidate to fill the vacant
position. Hotel Rosewood use this process to appoint appropriate person who can perform many
actions such as staffing, housekeeping, chef, reception etc.(Watson amd et. al, 2018)
Selection- In this unsuitable candidate is weeding out and most suitable one is chosen on
the basis of their experience, knowledge and skills. Various steps are followed by Rose wood to
select most appropriate person like Preliminary interview, receiving application, screening,
employment test, interview, medical examination, group discussion and at last final selection.
On boarding as well as Orientation- In this process activity is to be describe which is
perform by selected candidate on their job. In this designation is given as well as job role and
responsibility is also explain to the selected employee. HR manager of Rose wood acknowledge
the workforce with their hotel atmosphere along with description of rules and regulations.
Exit and Transition- On superannuation employees separate from the job whether they
are interested or not. Replacement can also be done if employee not perform well
Different Recruitment Method: Performance management, succession planning,
training & development and maintaining workforce motivation to retain staff are the various
methods to recruitment process. As performance management is the tool that are used by
organisation Rose Wood to analyse the performance of the employees .Training and