Hospitality Business Toolkit Report: Financial, HR, and Legal Analysis

This report provides a comprehensive analysis of a hospitality business toolkit, focusing on the Sweet and Sour restaurant. It begins by investigating the principles of managing and monitoring financial performance, including budgeting, sales analysis, and cost management. The report then delves into the application of double-entry bookkeeping and the creation of a trial balance. The second task explores the HR life cycle, examining recruitment, onboarding, development, and retention strategies. It also includes the development of a performance management plan. Furthermore, the report identifies relevant legislation that hospitality organizations must adhere to, illustrating the impact of company, employment, and contract law on business decisions. The report also explores the interrelation of functional roles and methods of communication within a hospitality setting, concluding with a summary of key findings and recommendations for the business.

Hospitality Business
Toolkit

Table of Contents
INTRODUCTION ..........................................................................................................................3
TASK 1............................................................................................................................................4
P1 Investigate the principles of managing and monitoring financial performance....................4
Hence according to sweet and sour restaurant have to frame budget that increase in their sales
and effective manner to get better results...................................................................................5
P2 Apply the double entry book keeping system of debits and credits to record sales and
purchases transactions in a general ledger..................................................................................5
P3 Produce a basic trial balance applying the use of the balance off rule to complete the
ledger...........................................................................................................................................6
Balance of rule:...........................................................................................................................7
TASK 2............................................................................................................................................7
P4 Review different stages of the HR life cycle applied to a specific hospitality job role and
their importance for retaining and developing talent..................................................................7
P5 Develop a performance management plan for a specific hospitality job role applying
techniques to resolve both negative behaviour and overcome issues of staff retention. ..........10
TASK 3..........................................................................................................................................11
P6 Identify specific legislation that a hospitality organisation has to comply and adhere to.. .11
P7 Using specific examples illustrates how company, employment and contract law has a
potential impact upon business decision in hospitality industry...............................................11
TASK 4..........................................................................................................................................13
P8 Explore how different functional roles within hospitality sector interrelate.......................13
P9 Explain different methods of communication, coordination and monitoring applied in a
specific department to strengthen their value chain..................................................................15
CONCLUSION..............................................................................................................................16

REFERENCES..............................................................................................................................17
INTRODUCTION
Hospitality industry is one of the most important industry which plays vital role in
economic advancement and many types of services includes in it such as lodging, transportation,
event planning and travelling etc.. it mainly focuses on giving services to consumers and giving
satisfaction to consumer base. This industry mainly rely on discretionary income and on leisure
time. This report is based on sweet and sour restaurant that is London based restaurant and
provides all types of services to their consumers by providing fresh food and juices with
travelling and transportation services. This report is based on principles of managing financial
performance with HR life cycle of the industry. Further it explains various development
strategies in hospitality industry. It also includes kinds of functions with communication methods
to coordinate different activities that are obligatory for smooth functioning.
TASK 1
P1 Investigate the principles of managing and monitoring financial performance.
To coordinate and comply with different principles to get desirable outcomes in by
managing and evaluating performance of the organisation. There are some important attributes
that are necessary for sour and sweet restaurant to enhance their performance level that are as
follows:
 obey different rules and regulations: In context of sweet and sour restaurant their all
major work and activities should be based on their prescribed rules and regulations.
These regulations enables in smooth functioning of organisation (Biber and et.al .,
2017).
 Review of budget: It is necessary to review and observe each and every aspect before
entering into an new aspect and expand their functions. In that case review of all aspects
in proper manner proves fruitful (Caliandro and Gandini, 2016).
 Analysis of financial results: Sweet and sour restaurant have to measure each and every
aspect before entering into an new project to get better results.

 Substitution plans and ideas: organisation have to prepare some plan that are substitute of
previous plan so in any case firm easily replace it.
For an example all expenditure and incomes should be based on income and expenditure with the
budget.
Incomings Outgoings
Benefits Food and Drinks
Gifts packages Lunch purchases
Salary and Wages Gifts
Allowances Household utility bills
Weekly food shopping
Clothes and other accessories
Hence according to sweet and sour restaurant have to frame budget that increase in their sales
and effective manner to get better results.
There are some important terms that helps in gain important insights that are as follows:
Sales: Sale is an very important term in finance that give selling no. for goods and
service in a fixed time frame. For instance in case of sweet and sour restaurant focuses on
identification of their target market and helps in gain important goals and objectives for a month.
Purchase: this is another important term which organisation have to take account important
purchases to accomplish goals and objectives (Dahlén and Larsson, 2014.). In case of sweet and
sour they take significant steps to advertise and promote their goods and services that enhance
their sales.
Cost of input: it is one of the important term in which direct cost related to material, labour,
transportation and some other important terms should be included ( Doherty, Meehan and
Richards, 2015). In case of sweet and sour they measure some cost that proved helpful in
gaining important insights and knowledge. They measure cost of fruits, vegetables, spices,
infrastructure and some other important ones.

P2 Apply the double entry book keeping system of debits and credits to record sales and
purchases transactions in a general ledger.
To keep data and information safe and secure, in that case book keeping and trial balance
plays very important role to get important knowledge and insights.
Double entry system:
Book entry system is an security in which stocks and bonds should be record in electronic
way. It reduce the need of issuing paper of ownership. In other words it entry data and
information in safe manner in two accounts (Hanrahan, J. ed., 2017.). In case of sweet and sour
they record all relevant information and data with help of financial statements by bank entry
using assets and liabilities for paying loan.
Particulars Debit Credit
Cash in hand (Overdraft) 10700
Petty cash expenses 750
Cash sales 3350
Credit card sales 14795
Free issues 575
New kitchen equipments 6540
Food purchase 7900
Beverage purchases 12970
Purchase return 200
Discount received 2300
Credit notes 190
Rent 2850
Utilities 475
Functions and events (Income) 5967
Wages 4590

Debtors 700
Till shortage 152
37502 37502
P3 Produce a basic trial balance applying the use of the balance off rule to complete the ledger.
Trial balance:
Trial balance is a chain of recordings various data and information in ledger accounts
stored various information (Häusler, 2017). In that various information of each and every
nominal business should be contain. In that each aspect either debit and credit balance should be
recorded. In case of sweet and sour restaurant they build a trial balance to record important
information.
Particulars Debit Credit Transaction amount
Wages 17589 17589
Gifts 15000 15000
Benefits 25500 25500
Allowances 20000 20000
Weekly food shopping 20005 20005
Clothes 17500 17500
Gifts 16050 16050
Household utility bills 4078 4078
Drinks 10532 10532
Lunch purchases 5455 5455
73620 78089 151709

Balance of rule:
Balance of rule refers to core and conditions at which financial accounts of current time
should be prepare at the end of year and that carry forward to next year (Jauhari, 2014.). Here is
the financial plan that are very important for an organisation.
Particulars Debit Credit Transaction amount
Wages 16489 16489
Gifts 24000 24000
Benefits 25000 25000
Allowances 15900 15900
Weekly food shopping 26415 26415
Clothes 17809 17809
Gifts 15000 15000
Household utility bills 3678 3678
Drinks 10032 10032
Lunch purchases 8455 8455
81389 81389 162778
TASK 2
P4 Review different stages of the HR life cycle applied to a specific hospitality job role and their
importance for retaining and developing talent.
In organisation there are lot of works that should be coordinated with help of HR and employee
life cycle that give important insights and knowledge that are as follows:
Stages of employee life cycle:

Recruit: In that stage organisation after accessing their needs and wants select the best
candidate that match with their standards (Lervik and Sutherland, 2017). In which various steps
should be follow such as talent acquisition, employment screening and tracking system that plays
very important role in organisational growth and enhancement.
Onboard:
In that stage after accepting job offer employee become part of the organisation and
during that stage important insights and knowledge regarding their work should be provided.
Develop:
In that stage employees give revert and important feedbacks by evaluate performance and
one to one meetings. In case of sweet and sour they evaluate performance of employee after
particular time period (Liu and Pennington-Gray, 2015).
Retain:
In that phrase employee become part of the company and the next challenge is to retain it
for long time. So it is very crucial phrase for sweet and sour restaurant.
Off board:
In that final stage of employee life cycle employee leave their job due to different reasons
in which lay offs, their own reasons etc..
In HR some major steps that should be evaluated for HR executive post after selecting candidate
that are as follows:
Box 1
In that phrase advertisement should be reveals at job portal for different job posts with
help of social media.
Box 2:
In that stage candidate should be selected with help of various tools and techniques while
evaluating different aspects.
Box 3:
There are some questions that asked at time of interview that are as follows:
Tell me about yourself?
What you know about that industry?
What is your key strength that proved fruitful in perspective of organisation.
Are you familiar with that working method or style?

Box 4:
In that induction stage all managers and higher authorities commence training and
development plan so that employees feel motivated and engaged (Moratis, Melissen and Idowu,
2018.).
Box 5: To review their performance Sweet and sour restaurant have to evaluate their past
performance with standards that set by organisation so that they can judge each and every person
in well manner.
Box 6: In that phrase learning and development programme should be conducted to get their
important needs and wants by evaluating organisational needs. In case of sweet and sour they
conduct training and development programme at time to time (Richey, 2016).
Box 7:
In that phrase they conduct promotional activities so that an individual get succession and
progress with help of their work and activities. It is very obligatory for an manager to spread
knowledge and information about their products and services.
Box 8:
in that some special circumstances in condition of when employee quit their jobs and
when they feel demotivated and want to disconnect with company. In that case organisation
create proper strategies and plans to get best outcomes.
Box 9:
Questions of exit interview:
Why are you leave your current job?
Do you have any other better opportunity?
Tell grievance or issues that enforce to leave that job?
Importance of HR life cycle to management:
Human resource life cycle plays very important role to manage different to recruit and
attain for long term. In case of Sweet and sour there is no. of HR life cycle to recruit best
employee to achieve desirable outcomes (Silverstein, Samuel and DeCarlo, 2013). In case of
restaurant they adopt different training and development for enhancement of skill set for their
employees so that they can give their best. This also helps in giving suggestions and feedbacks to

improvement in their performance level. Moreover Sweet and sour restaurant can able to recruit
best employee in their organisation.
Judgement and recommendations of HR processes:
There are lot of options to recruit best candidate so it is very necessary to select best out
of them in case of sweet and sour restaurant. It is very necessary to give proper training and
development to employees to give perfect knowledge for accomplishment goals and objectives.
Organisation have to conduct various motivational sessions to keep them motivated and
energetic so that they can give their best in organisational development (Tussyadiah, 2014.). To
keep updated to employees so that they can give best output in organisational development and
enhancement.
P5 Develop a performance management plan for a specific hospitality job role applying
techniques to resolve both negative behaviour and overcome issues of staff retention.
Performance management plan is an management tool and techniques that is conducted
by an organisation to improve performance level of employees. That helps to organisation to
enhance their career graph by giving opportunities to identify different aspects. Sweet and sour
have to plan different management plan to evaluate performance level to give best outcomes.
Sweet and sour restaurant conduct to solve their problem that is issue of late comers in office.
Below is the script which describes about issue that face by them.
Script 1:
Manager: I observing for a long time that Mr. stephen feel very burdened and tiresome, reason
behind that there is lot of work pressure on them.
Employees: Sir, due to overwork he is feel tiring and give not his best in organisational and self
enhancement.
Manager: I understand whole scenario and any one want to suggest about how to resolve that
issue.
Employees: to resolve that problem organisation have to add some more members in stephen
team so that they can give their best.
Manager: then we add some more members in that team to reduce their burden but we have to
give training and development to resolve their issues in better manner.
Employee: thank you sir for understand their problem in clear way.
Script 2:

Manager: From the last few weeks I am observing that Mr. stephen behave very rude and
get irritate on trifles matter.
Employees: yes sir, other employees also discussing about that matter.
Manager: Any one know reason behind to behave like that.
Employees: Everyone ask the reason to behave in that manner but he always replies that he do
not want to take with any one and no one matter for him.
Manager: Alright inform Mr. stephen that else they inform about their problem otherwise
management will take strict action.
Employee: Okay sir, we inform him.
Overview of the issues in talent acquisition and retention with food & beverage sector.
Food and beverages industry is most important and growing industry that emphasis on
needs and wants of consumers at sweet and sour restaurant. Here are some issues that focuses on
employees:
Frequent changes in that industry:
In that scenario the consumers are more demanding and needs changes frequently so that
organisation have to according to their change taste and preference they have to bring best
products accordingly. In case of sweet and sour they have to rectify in their products so that they
can grab large no. of consumers attention.
Relate factors to a specific hospitality job in food & beverage industry.
In scenario of sweet and sour they have to select best candidate because they are in
troublesome situation while selecting candidate's in organisation. The reason behind that
consumers are more demanding and that creates problems in front of HR manager.
TASK 3
P6 Identify specific legislation that a hospitality organisation has to comply and adhere to.
In each industry or business there are sort of legalisations and rules that helps in
achieving goals and objectives in proper way (van der Linden and Hambleton, 2013.). In case
of Sweet and sour they obey various types of legalisations to smooth functioning of activities
that are as follows:
Food act, 1997:

In that act and regulation major attributes that are included that are way of preparing
food, major ingredients and their quantity also, their hygiene factors and main factors that bring
cleanliness in workplace (Van der Wagen and White, 2018). This act is helpful in many industry
type in which hotels, cafes and restaurants to work environment safe and to provide best food
products.
Liquor control act, 1987:
This is another major aspect that evaluate various aspects in which sales control and
consumption criteria for alcohol and focus on to reduce wastage of liquor and many other
resources. It is made by government and other regulatory authorities to sell alcohol.
Employee contract:
Employee contract is contract within employer and employee to deal with various
situation to get best results out of them. To coordinate in various situations organisation have to
follow different types of regulations to get best results.
P7 Using specific examples illustrates how company, employment and contract law has a
potential impact upon business decision in hospitality industry.
Laws and regulations plays major role in organisational growth and enhancement in
smooth functioning of work and activities (Vitikka, 2018). There are lot of laws and regulations
in which company law, employment law and many more. These rules and regulations majorly
impacts on business proceedings. Rules and regulations directly impacts on formulation of
strategies according to different aspects and it also helps in distribute roles and responsibility to
subordinates so that they can give their best in organisational growth. In that LAW should be
formulated in which L refers to designated staff members and A refers to designated personnel
who have certain responsibility and authority to assure about compliances. With W refers to
individuals who are not directly connect with rules and regulations.