Strategic Hospitality Management: Implementation and Challenges Report

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This report provides a comprehensive analysis of strategic hospitality management, focusing on the application of strategic management processes within the industry. It explores the environmental scanning, mission and vision development, corporate analysis, strategy formulation, implementation, and evaluation, using the Marriott Group as a case study. The report delves into the process of implementing a corporate strategy, including evaluation, communication, implementation structure development, policy development, budgeting, and resource allocation. It also identifies and discusses the challenges faced during the implementation of corporate strategies within hospitality organizations. Furthermore, the report examines the effectiveness of corporate strategy implementation, offering insights into how companies can overcome obstacles and achieve their strategic goals. The report concludes with a discussion of the use of SWOT analysis and strategic theories to aid decision-making and ensure the attainment of overall goals and objectives.
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Strategic
Hospitality
Management
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Contents
INTRODUCTION...........................................................................................................................................3
MAIN BODY.................................................................................................................................................3
Application of strategic management process in hospitality industry.....................................................3
Process of implementing a corporate strategy........................................................................................5
Challenges in the implementation of Corporate Strategy.......................................................................6
Effectiveness of implementation of Corporate Strategy in hospitality organizations..............................7
CONCLUSION...............................................................................................................................................8
REFERENCES................................................................................................................................................9
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INTRODUCTION
Strategic Hospitality Management refers to the use of a wide range of approaches,
methods and techniques which are quite helpful in ensuring that the attainment of the strategic
goals and objectives can be done in the future in the right manner (Adeyinka-Ojo, 2018).
Therefore, in this way it can be said that the use of these approaches, methods and techniques
can be done so that the overall level of efficiency and effectiveness can be enhanced in a proper
manner. For this report, Marriott Group has been selected. It is an American Multinational
Company which operates its hotels all over the world in different countries. In this assignment,
detailed focus will be made on determination and application of knowledge/understanding of the
concepts and theories, synthesize the application of technology and service delivery processes.
Additionally, specific analysis on contribution and assessment of role of creative and ethically
informed leadership skills will be made as a part of this project.
MAIN BODY
Application of strategic management process in hospitality industry
The application of the strategic management process can be done within the hospitality
organizations by ensuring that the strategic assessment can be carried out (Ahammad, Glaister
and Gomes, 2020). Therefore, this will be quite helpful in ensuring that appropriate actions can
be taken. The strategic management process is as follows-
Environmental scanning- It is the primary step in the strategic management process.
This refers to identification of the wide range of business opportunities which exist in the
Business Environment which can be used by the Business Firms in a proper manner (Alamu and
Dwyer, 2017). Therefore, it can be said that the Marriott Group has to make sure that it identifies
the wide range of opportunities which exist within the dynamic business environment so that the
use of these opportunities can be made by it appropriately for the purpose of ensuring the
attainment of the goals and objectives in the future. The opportunities can be bringing of
innovation in the processes for attaining the goals and objectives, enhancing the quality of
service, use of new technology which is available in the market and identifying the scope for
expansion in the other countries of the world.
The management of the firms needs to make sure that the use of the opportunities which
are available in front of it can be made so that the appropriate decisions can be taken by it in the
right manner. Marriott Group therefore is required to make sure that the environmental scanning
can be done by it properly.
Developing Mission, Vision and Objectives- It is important for the companies that they
are able to develop the Mission, Vision and Objectives which they have to use in order to
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formulate the strategy appropriately (Cunill and et.al., 2019). Therefore, in this way it can be said
that the development of Mission, Vision and Objectives can be extremely helpful for the
organizations in ensuring that the formulation of the strategy can be done highly appropriately.
For the managers of Marriott Hotel it is crucial that they develop Mission, Vision and Objectives
in an appropriate manner so that the strategic goals and objectives can be attained.
Debarking to Corporate Analysis- The organizations are required to do a Corporate
Analysis as a part of the Strategic Management Process (D’Annunzio-Green, 2018). This can be
done by ensuring that the overall situation in the market is analyzed and the dynamic changes
which can occur are identified quickly. Therefore, this will be quite helpful in ensuring that the
preparation of the Corporate Strategy to be applied in the future can be done which will be quite
helpful in ensuring that the attainment of the overall goals and objectives in the future can be
done in the right manner. Thus, it is important for the management of Marriott Group that
Corporate Analysis is done so that the preparation of the Corporate Strategy to be applied in the
future can be done a proper manner.
Strategy Formulation- It is quite important for the firms that the Strategy Formulation
can be done so that a proper strategy can be implemented in the right manner (Kale, Aknar and
Başar, 2019). Thus, in this way it can be said that for the management of Marriott Group it is
quite important that the methods can be used for the purpose of preparation of strategy so that the
strategic goals and objectives are attained.
Strategy Implementation- It is crucial for the organizations that the Strategy
Implementation can be done by them in a proper manner so that the attainment of the goals and
objectives can be done effectively and efficiently. For the managers of Marriott Group it is quite
crucial that the implementation of the strategy can be done by them by identifying the scope
where their strategy can be implemented. In this way, they can make sure that they are able to
attain a competitive and strategic edge over the various competitors in the market quite
effectively and efficiently.
Strategy Evaluation and Control- For the organizations, it is quite important that the
Strategy Evaluation and Control can be done by them to find out whether the strategy which they
are using will be successful in the future. This process can be done by making the use of specific
techniques and methods like KPIs, Benchmarking and Balanced Scorecard which will lead
towards ensuring that the problems and issues which are related with the strategies can be
identified and therefore the appropriate measures can be taken for the purpose of solving out
these problems and issues quite effectively and efficiently. Therefore, the management of
Marriott Group has to ensure that through making the use of the appropriate strategic methods
and techniques the conclusions and recommendations can be drawn which can be applied so that
the application of the strategy is done for the attainment of the overall goals and objectives in the
future.
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Further, the use of a strategic theory can be also made so that the strategic decisions are taken in
a right manner effectively and efficiently. For this purpose, the use of SWOT analysis can be
made by the management of Marriott Group. It can be explained in the following manner-
SWOT analysis
Strengths Weaknesses
It has a wide range of customers within
the market and therefore in this way it
can manage the target market in a
proper manner effectively and
efficiently.
It has operations spread all over the
world and therefore it can enhance its
overall level of profitability in the right
manner.
It is weak in the application of the
marketing strategies which is making it
go behind the competitors in the terms
of marketing.
It is not applying the appropriate
strategies and techniques in a proper
manner and therefore this is creating a
particular level of impact on its
functioning.
Opportunities Threats
It needs to make sure that it identifies
the opportunity to expand its operations
in the different countries of the world
which will help it in maximizing its
profits.
It has to ensure that it is able to make
use of innovation in the right manner to
target the customers.
Several new players have entered into
the market which is creating a threat for
the Marriott Group as its profits can
decrease,
There has been an increase in the tax
rates by the Government and therefore
this can reduce the overall level of
profitability of the organization.
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Process of implementing a corporate strategy
For the purpose of implementation of Corporate Strategy it is quite important that the
identification of the corporate goals and objectives to be attained in the future can be done.
Therefore, the process which has to be used for implementation of corporate strategy is
explained as follows-
Evaluation and Communication of the Strategic Plan- It is quite important for the
management of the companies that the evaluation and communication of the strategic plan can be
done which will be helpful in the future. The use of appropriate strategic plan is required to be
made by the management of Marriott Group so that the approach to be adopted in the future can
be developed effectively and efficiently.
Development of Implementation Structure- It is also necessary for the organizations
that they are able to prepare a detailed implementation structure which has to be followed by
them so that the Corporate Strategy can be implemented quite effectively and efficiently. In the
context of Marriott Group, it is quite crucial that the Development of Implementation Structure
can be done which will lead towards ensuring that the implementation of the strategy can be
carried out in a proper way.
Development of implementation-support policies and programs- In the organizations,
the requirement is to ensure that the development of these policies and programs can be done
which will lead towards ensuring that the maximization of the profits can be done (Konovalova
and et.al., 2018). Therefore, for Marriott Group it is quite important so that the methods and
techniques can be applied to get ahead of the competitors in the market for the enhancement in
the overall level of profits which will help the company to progress in a right way. In this way,
the management of the group can make sure that the Corporate Strategy can be applied in a right
way effectively and efficiently in a proper manner.
Budgeting and allocation of resources- In the firms, it is quite crucial that the use of
Budgeting process can be made so that the preparation of the budgets can be done and therefore
the allocation of resources can also be done effectively and efficiently in the right manner
(Köseoglu and et.al., 2019). For the management of Marriott Group, it is crucial that the use of
Budgeting and allocation of resources can be made by it so that the implementation of the
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Corporate Strategy can take place in a proper manner quite effectively and efficiently in the right
manner.
Discharge of functions and activities- In the organizations, it is important that the
functions and activities which are essential for the purpose of implementation of Corporate
Strategy are identified so that they can be arranged in a right manner so that the attainment of the
goals and objectives in the future can be done. The management of Marriott Group is required to
make sure that the use of functions and activities can be done properly so that the desired level of
success can be attained in the future effectively and efficiently in a proper manner. Therefore, it
can be said that the management has to ensure that it applies the Corporate Strategy
appropriately for ensuring that the enhancement of the overall efficiency and effectiveness level
can be done.
Challenges in the implementation of Corporate Strategy
There are different types of challenges which are faced by the organizations in the
implementation of a Corporate Strategy in the future. These challenges create an impact on the
implementation of the strategy and can affect the Corporate Strategy. Therefore, these types of
challenges can affect the organizational processes as a whole and therefore affect the functioning
of the organization. Marriott Group, as a large hospitality organization also faces these
challenges and therefore this can create an overall level of impact on the functioning of the
organization. Therefore, it is important for the management of the company that it is able to take
all the necessary actions which will be helpful in ensuring that these challenges can be met out in
the right way. This will be helpful in ensuring a successful implementation of the Corporate
Strategy. Thus, it can be said that the company has to make sure that it uses the challenges as a
particular parameter through which it is able to measure success of its strategies. Therefore, in
this way a strategic and competitive edge can be obtained over the different types of competitors
in the market quite effectively and efficiently. An explanation of some of these challenges is as
follows-
Poor goal setting- In some organizations, the challenge which is faced in the
implementation of Corporate Strategy is Poor goal setting (Kuo, Chen and Tseng, 2017).
Therefore, this can create an overall level of impact on the organizations because inappropriate
goals can create a lot of problems and difficulties for the management of the firm. For the
management of Marriott Group this act like a challenge because when the goals are not set in a
proper manner this can create an overall level of impact on the strategy which is being used to
attain them effectively and efficiently.
Lack of alignment- In some organizations, the challenge which is faced in the
implementation of Corporate Strategy is Lack of alignment (Legrand and et.al., 2020). This can
create difficulties in the attainment of the goals and objectives in the future and can affect the
strategies to be implemented by the company. Therefore, it can be said that this can affect the
organization and its processes. The managers of Marriott Group face this challenge because
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some of the goals and objectives of the company are not in line with the strategy which it is
using.
Inability to track progress- Some organizations are unable to track the progress which
they are making and thus are unable to draw the conclusions and recommendations which are
required for the future (Martin-Rios, Pougnet and Nogareda, 2017). Thus, in this way it can be
said that this can affect the organization and its processes and thus the implementation of
corporate strategy can be affected as a result. In the context of Marriott Group, it can be said that
this is a particular challenge which is faced by it because it affects the ability of the company to
grow in the future as the appropriate rectifications which are required to be carried out are
affected.
People are not connected with the strategy- Some organizations do not take the
opinion of the people before making their strategy (Noone, Enz and Glassmire, 2017). Thus, in
this way their strategy implementation faces a challenge as the people are not connected with the
strategy which has been prepared by the and therefore this creates an impact on them. The
managers of Marriott Group are affected as a result and therefore this acts as a challenge for
them because the customers are not connected with the strategy which has been prepared by
them.
No measurements or leading indicators- Some organizations do not make the use of
measurements or leading indicators for the purpose of measuring the performance of their
strategy. Therefore, when the tools like KPIs, Benchmarking and Balanced Scorecard are not
used by the firms this can affect the implementation of the Corporate Strategy. For the managers
of Marriott Group, it acts like a challenge because the lack of use of these tools leads towards
different types of problems and issues for the company and thus can affect its level of operations.
Effectiveness of implementation of Corporate Strategy in hospitality organizations
Increase in efficiency and effectiveness- When a Corporate Strategy is implemented in
the hospitality organizations it can lead towards an increase in the level of efficiency and
effectiveness (Poddubnaya, 2019). Therefore, in this way it can be said that for the
management of Marriott Group it is quite important that it is able to enhance the
efficiency and effectiveness in this way which will help in the attainment of the goals and
objectives in the future quite effectively and efficiently.
Increase in productivity- The use of Corporate Strategy can be helpful in ensuring that
there can be an increase in the level of productivity (Turner and et.al., 2017). For the
management of Marriott Group it is quite crucial that there can be an increase in the
overall level of productivity so that the future goals and objectives in the short-term,
medium-term and long-term can be attained in the right manner.
Better management of the operations- In a hospitality organization, there are a lot of
functions which are required to be managed in a proper manner. The managers of
Marriott Group has to make sure that by making the use of appropriate strategies and
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methods the better management of the operations can be done so that the goals and
objectives can be attained. This will lead towards attainment of a strategic edge over the
wide range of competitors in the market in the future.
Improvement in the goods and services- In the hospitality organizations, the use of
Corporate Strategy can be helpful in ensuring that the improvement in the goods and
services can be brought. For Hospitality Organizations like Marriott Group, this can be
helpful in ensuring that the customers and clients are highly satisfied and therefore
provide positive reviews about the company in the future.
Optimum utilization of resources- The resources which are available with the Business
Organizations are quite limited. Therefore, it becomes quite important that the optimum
utilization of resources can be made so that the level of efficiency and effectiveness can
be enhanced in a proper manner (Wadhwa and Guthrie, 2018). In this way, it can be said
that for the managers of Marriott Group it is quite important that through making the
optimum utilization of resources the attainment of the goals and objectives in the future
can be made which will be helpful in ensuring that the level of efficiency and
effectiveness can be enhanced.
Solving of problems- Big companies face different types of problems which create an
impact on their business operations. Therefore, it can be said that for the management of
Marriott Group it is quite crucial that the identification of the problems can be done and
an appropriate approach can be adopted so that these problems can be solved in the right
manner effectively and efficiently.
Strategic edge- It is important for the Big Companies that they make the use of
Corporate Strategy so that a strategic edge can be obtained over the competitors in the
market. For the managers of Marriott Group, it is crucial that the attainment of a strategic
edge over the competitors can be done by ensuring that the use of appropriate methods
and techniques is made in a right manner. Thus, in this way the company can progress in
the market.
Therefore, in this way it can be said that for the management of the companies it crucial
that they are able to make use of Corporate Strategy so that improvement in the
organization can be done in a proper manner.
CONCLUSION
From the above report, it can be concluded that Corporate Strategy refers to the
application of various types of methods and techniques through which various improvements can
be done within the organization quite effectively and efficiently. Therefore, it is important for the
managers of the companies that they make the use of Corporate Strategy so that they are able to
ensure that the attainment of the short-term, medium-term and long-term goals and objectives
can be done in the future within the company. Also through the use of this strategy it is possible
for the organization to attain a desired level of strategic and competitive edge over the different
types of competitors who are present in the market in a right way.
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REFERENCES
Books and Journals:
Adeyinka-Ojo, S., 2018. A strategic framework for analysing employability skills deficits in
rural hospitality and tourism destinations. Tourism Management Perspectives. 27. pp.47-54.
Ahammad, M. F., Glaister, K. W. and Gomes, E., 2020. Strategic agility and human resource
management. Human Resource Management Review. 30(1). p.100700.
Alamu, A. P. and Dwyer, R. J., 2017. Strategic steps for Nigerian hospitality human capital
development. World Journal of Entrepreneurship, Management and Sustainable Development.
Cunill, O. M. and et.al., 2019. Thirty-fifth anniversary of the International Journal of Hospitality
Management: A bibliometric overview. International Journal of Hospitality Management. 78.
pp.89-101.
D’Annunzio-Green, N., 2018. Conclusion: is talent management a strategic priority in the
hospitality sector?. Worldwide Hospitality and Tourism Themes.
Kale, E., Aknar, A. and Başar, Ö., 2019. Absorptive capacity and firm performance: The
mediating role of strategic agility. International Journal of Hospitality Management. 78. pp.276-
283.
Konovalova, E. E. and et.al., 2018. Forming approaches to strategic management and
development of tourism and hospitality industry in the regions. Journal of Environmental
Management & Tourism. 9(2 (26)). pp.241-247.
Köseoglu, M. A. and et.al., 2019. Intellectual structure of strategic management research in the
hospitality management field: A co-citation analysis. International Journal of Hospitality
Management. 78. pp.234-250.
Kuo, C. M., Chen, L. C. and Tseng, C. Y., 2017. Investigating an innovative service with
hospitality robots. International Journal of Contemporary Hospitality Management.
Legrand, W. and et.al., 2020. Strategic and Operational Innovations in the Hospitality
Industry. The Routledge Companion to International Hospitality Management. p.161.
Martin-Rios, C., Pougnet, S. and Nogareda, A. M., 2017. Teaching HRM in contemporary
hospitality management: a case study drawing on HR analytics and big data analysis. Journal of
teaching in travel & tourism. 17(1). pp.34-54.
Noone, B. M., Enz, C. A. and Glassmire, J., 2017. Total hotel revenue management: A strategic
profit perspective.
Poddubnaya, N. V., 2019. Corporate culture as an effective instrument of strategic development
of tourism and hospitality enterprises. In Актуальные проблемы развития сервиса и
туризма (pp. 133-135).
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Turner, M. J. and et.al., 2017. Hotel property performance: The role of strategic management
accounting. International Journal of Hospitality Management. 63. pp.33-43.
Wadhwa, P. and Guthrie, J. P., 2018. Strategic human resources management and organizational
effectiveness in hospitality settings. American Journal of Management. 18(1). pp.10-24.
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