Business Environment Report: Sheraton Hotel Analysis

This report examines the business environment, using the Sheraton Hotel as a case study. It begins with an introduction to the business environment and its internal and external factors, emphasizing the importance of strategic frameworks. The report then performs a PESTEL analysis of the external environment, considering political, economic, social, technological, legal, and environmental factors affecting the hotel. It also discusses the significance of effective recruitment and selection processes for acquiring a skilled workforce and achieving competitive advantages. Furthermore, the report delves into organizational culture, equality, and diversity, outlining the factors that influence these aspects within a business. The analysis covers how these elements impact the organization's operations and overall success, concluding with a summary of the key findings and recommendations.

Business Environment

Contents
INTRODUCTION...........................................................................................................................3
TASK 1............................................................................................................................................3
Importance of effective recruitment and selection process..........................................................5
Factors that affect the culture, Equality and Diversity in an organization...................................6
The performance management.....................................................................................................7
CONCLUSION................................................................................................................................8
REFERENCES................................................................................................................................9

INTRODUCTION
Business Environment is the factors which affects the working and the operations of the
organization. Business Environment consists of the internal and the external factors. In internal
factors, those factors are included which can get control by an organization, for example
employees, system, structure, suppliers, missions, visions and so on. Whereas external factor are
the factors which are out of control of any organization but these do affects the business in a
prominent way (Percy and Shortland, 2013). For example political factor, economic, social,
technological, environmental and legal factors. Any organization before setting up their plans
they evaluate and analyses these factor and environment and then they form their objectives. For
evaluate they use many strategic framework theories and methods which help the business them
in conducing the above factors. For reference purpose this report has taken an example of a
company Sheraton Hotel. Sheraton Hotel is a multinational company it is in the hotel chain
business (Ballard and et. al.,2012). The company operates at 441 hotels with around 1,55,617
rooms globally. The company was founded in the year 1937.
This report discusses about the pestel analyses of the external environment which helps
the company in ascertaining the external environment. The report also includes the effective use
for hiring the talented workforce to gain competitive advantage is also been discussed. Apart
from this the report also discusses about the culture, equality and importance of diversity in the
organization.
TASK 1
PESTEL Analysis
Macro environment is a piece of environment which is connected with outer components
of the air, these elements are wild and they legitimately or in a roundabout way influence the
dynamic procedure of the association. In this manner it is fundamental for supervisor to take
brief examination of each piece of the environment and afterward detail arrangements with
respect to their future. Sheraton Grand London Park Lane additionally influenced from their
outside environment factors (Campling, 2012). At present they experiences misfortune and
decrease in productivity rate, negative picture among open to defeat these whole issue their
director's utilization PESTLE examination procedure to check the macro environment factor.
PESTLE: It is a system of strategic management which has been utilized for environmental
examining process. It will help in distinguishing circumstance of political, affordable, legitimate,
environment and social variables of the association. This method utilized for detailing of
methodologies and hazard management reason (Bansal and Hoffman, 2012). Following are the
PESTEL examination of Sheraton Grand London Park Lane.
Political: These factors incorporate activity taken by government for definition of approach, or
changes on money related and monetary arrangements. The Sheraton Grand exploit their

political factor as it was most seasoned inn and it connect with the renowned government
officials of London therefore the generosity of this inn is high, and political gatherings visitor
will like to remain here and sort out gathering and occasion in this inn, It will help in expands
brand estimation of the lodging in world. As it is poplar inn and the majority of countries remain
here it will be possibility of psychological oppressor assault on this inn (Cascio, 2015). Due to
BREXIT agreement universal connection are break and it will bring about decrease of deals. So
the human resource should be adjustable and adaptable the changes which the organization
brought in its system.
Economical: This factor of external environment have basic impact as it incorporates the interest
and gracefully of client, manufacturing rate, procedure, worldwide and national economic
situation which straightforwardly influence the association factors. With the impact of BREXIT
understanding the nation lessen their pace of enthusiasm for speculation; in this manner Sheraton
Grand can without much of a stretch grow their business (Crane and et. al.,2019). The estimation
of UK pound was decrease because of the downturn and the understanding consequently they
can't concede more pay as contrast with past years.
Social: Clients are the ruler of market, this social elements incorporates the way of life,
inclination, taste, impression of open with the association, generosity of society toward the
association, their relationship, all these calculate help taking choice whatever association get by
for extensive stretch of time inside the association of not Sheraton Grand recruit individuals from
various set to offer best assistance to their vacationer, it hence the pace of traveler which remains
in Sheraton Grand lodging has been increments in past year (Chetwood, and et. al., 2014). The
hotels utilizes old methodologies and offer poor assistance it will influence clients decision as
they have to appreciate advances and advance offices.
Technological: It incorporates that component which is connected with the technologies, skills
and knowledge. Proposals factor straight forwardly impact on level of profitable and its quality,
just as valuable for advancements of association. Management office utilizes computerized plate
from to advance their lodging just as they book rooms in cutting edge through online mode by
their clients. Cyber wrong doing has been increment lately and because of the esteemed inn of
London it has been consistently a hazard to spare information on online mode (D’Haen and Van
den Po, 2013).
Legal: Clients are the ruler of market, this social variables incorporates the way of life,
inclination, taste, impression of open with the association, generosity of society toward the
association, their relationship, all these figure help taking choice whatever association make due
for significant stretch of time inside the association of not (Geigenmüller, Ata and Toker, 2012).
Sheraton Grand recruit individuals from various put to offer best support to their visitor, it along
these lines the pace of vacationer which remains in Sheraton Grand lodging has been increments
in past year. The lodging utilizes old techniques and offer poor assistance it will influence clients
decision as they have to appreciate advances and advance services.

Environment: Each business association needs normal elements to run their association.
Environment factors incorporate woods, mineral, pants, tree, every one of these elements
legitimately influence the association. Sheraton Grand is arranged in London which pulls in the
overall touristic along these lines due to build up a popular place of interest the acquiring
increment of the Sheraton Grand. With the impact of worldwide pandemic COVID 19, all the
urban areas are lockdown it will legitimately influence the got pattern of the Sheraton Grand as it
isn't open for their clients finishing off with up and coming months it will be diminishes because
of establishment of global voyaging.
Importance of effective recruitment and selection process
The Recruitment process is the process in which the organization analyzes the number of
workforce required into the workplace, identify the skills and knowledge which is required to
have in the employee to perform the work, spending of the applications or the invitations to the
people and the so on (Groebner and et. al., 2013). Whereas selection process refers to the process
of selecting the candidates which the organization believes that they suits best for the position
and would be an asset to worth invest in. New and unique workforce helps the organization in
attaining competitive advantages into the market.
Recruitment: Recruitment is a procedure of finding and pulling in the potential assets for
topping off the empty situations in an association. It sources the applicants with the capacities
and demeanor, which are required for accomplishing the goals of an association. Recruitment
process is a procedure of recognizing the occupations opening, examining the activity
necessities, investigating applications, screening, short listing and choosing the correct
competitor (Weinstock, and et.al.,2013). To expand the productivity of employing, it is
suggested that the HR group of an association follows the five accepted procedures. These five
practices guarantee fruitful recruitment with no interferences. What's more, these practices
likewise guarantee consistency and consistence in the recruitment procedure.
The recruitment process has various advantages; some of them are as follows:
Identifying the needs: Through the recruitment process the organization recognize the need
about the total number of employee would need for work. As in the case with hotel Sheraton the
hotel would perform this process to know about the total number of workforce that would be
needing by the organization. The Human resource department would maintain the link with all
other departments and ask them about the shortages that they are facing regarding the workforce.
According to this the Hotel HR department performs its process. They also ask to each
department about the skills and traits they want that employee to posses so that they can carry
out the work accordingly (Hair, 2015). The invitations which are sent by the company are
according to the specifications given by the departments.
Determining the personnel planning: From the recruitment process the organization determines
the plans which are related to the employees. In that they decided the skills set that the

organization is need in achieving their goals regarding the human resource planning. The same
applies with Hotel Sheraton, as they also plan goals regarding the employees which they have
plan for them.
Selection: Selection is the way toward picking or picking the correct applicant, who is generally
appropriate for an empty activity position in an association. In others words, selection can
likewise be clarified as the way toward talking the applicants and assessing their characteristics,
which are required for a particular activity and afterward picking the reasonable possibility for
the position (Johnson, Clark and Barczak, 2012). The selection of a correct candidate for an
empty position will be an advantage for the association, which will help the association in
arriving at its targets.
Importance of selection process:
Procurement of Suitable Candidate is Possible: Just reasonable up-and-comers who are fit for
the activity are chosen from among the forthcoming possibility for work. Along these lines,
selection is a procedure by which just attractive competitors are recruited and others are denied
the chance.
Reduces the cost of training and orientation: Legitimate selection of up-and-comers diminishes
the expense of preparing on the grounds that certified work force has better getting a handle on
power (Fleisher and Bensoussan, 2015). They can comprehend the strategy of the work better.
Accordingly, the association can create diverse preparing programs for various people based on
their individual contrasts, subsequently diminishing the time and cost of preparing impressively.
Factors that affect the culture, Equality and Diversity in an organization
Organizational culture is an arrangement of shared suspicions, qualities, and convictions,
which oversees how individuals carry on in associations. These mutual qualities affect the
individuals in the association and direct how they dress, act, and play out their employments.
Each association creates and keeps up an extraordinary culture, which gives rules and limits to
the conduct of the individuals from the association (Koh, Fichman and Kraut, 2012).
Factors which affects the culture in an organization
Nature of the business: The type or characteristics of business has too much to say about its
culture. If the business is at global level, the most diversity it would have in its system. And
more the size of the business is more equality it would exercise in its operations. The same
applies with Hotel Sheraton, the hotel plays fare and just with all the employees by treating them
fare and just. The culture of organization is also very much flexible and safe for all the
employees.

Company value and vision: The values refer to the ethical policies which the company has in its
system. In this the company values does also form the culture. Apart from this the company’s
vision is also matters into the construction of culture. The Sheraton Hotel’s values which they
follows into their system and the vision they carry for their business does matters in forming the
culture.
Equality is the reasonable treatment of individuals paying little heed to their sex, race,
inability, religion, nationality, sexual direction or age (Skersys and et. al., 2012). At school or in
the working environment, equality implies ensuring individuals are given equivalent chances,
equivalent compensation and are acknowledged for their disparities.
Factors affecting equality in organization are:
Stereotypes: Stereotypes are the people who have the rigid thinking for a particular topic. There
thinking gets generated from their past experiences. These people do create an unequal
environment into the work place which is damage the organization.
Attitude: If the attitude of the employer towards an employee is totally different because of
many personal factors such as egoistic nature, any conflict into the thoughts and so on can results
into inequality. The hotel Sheraton tries its best to eliminate it as by taking proper steps.
Organizational diversity in the working environment alludes to the absolute cosmetics of
the representative workforce and the measure of diversity included. Diversity alludes to contrasts
in different characterizing individual attributes, for example, age, sexual orientation, race,
conjugal status, ethnic source, religion, training and numerous other auxiliary characteristics
(Tutunea, and Rus, 2012).
Rigid culture: Rigid culture refers to an organization where the culture system has not changed
from times. The organization is stick to their old culture and does not brought any upgradation
regarding that.
The performance management
Performance management is a procedure of guaranteeing that arrangement of exercises
and yields meets an association's objectives in a viable and effective way. Performance
management can concentrate on the performance of an association, a division, a representative,
or the procedures set up to oversee specific errands. Performance management norms are
commonly sorted out and dispersed by senior initiative at an association and by task proprietors,
it can incorporate determining undertakings and results of work, giving opportune criticism and
instructing, contrasting representative's genuine performance and practices and wanted
performance and practices, establishing rewards, and so forth (Sodeyfi, 2016).
Define wining and goals: The organization should define the goals and objectives, by doing so
they the employees would be very much clear about the purpose of their work and they would

also gain confidence into their work. The Sheraton Hotel specifies the goals and how they would
going to achieve it, this would help the employees in determining the level of work they need to
perform.
Access performance: The performance of the employee need to get accessed at every month so
that the manager gets to know about the actual performance contribution of each employee and
take necessary steps (Weinstock and et.al.,2013).
CONCLUSION
From the report presented above, the external analysis has been done through PESTEL
analyses. The report also includes the importance of recruitment and selection programs some of
them includes determining the personnel planning, identification of needs, reduction of cost of
training and development and so on. Apart from this the approaches of performance management
is also mentioned some of them includes performance access, defining the wining and goals and
etc.

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