Contemporary Hospitality Industry Report: Thistle Hotel Analysis, UK

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This report provides a comprehensive analysis of the contemporary hospitality industry, focusing on Thistle Hotel. It begins with an overview of the industry, detailing different types of businesses within hospitality, including food and beverage, travel and tourism, lodging, and entertainment. The report then examines the operational and functional departments within Thistle Hotel, followed by an assessment of the industry's contribution to local, national, and international economies. It further explores various operational roles and the skills required in the hospitality sector, addressing current skill shortages. The report also delves into the political, economic, social, technological, legislative, and environmental (PESTEL) factors impacting hospitality organizations, culminating in a SWOT analysis of Thistle Hotel. Finally, the report discusses current and potential trends in the hospitality industry, offering insights into its future development. The report references several academic papers and industry reports to support its findings.
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CONTEMPORARY
HOSPITALITY
INDUSTRY
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Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Different types of business within the hospitality industry and their diverse products and
services...................................................................................................................................1
P2 Range of operational and functional departments in Thistle hotel....................................2
TASK 2............................................................................................................................................3
P3 The contribution of the hospitality industry in local, national and international economies.3
P4 Range of different operational roles within the hospitality industry.................................4
P5 The skills required with in the hospitality industry and current skills shortage................4
TASK 3............................................................................................................................................5
P6 Political, economic, social, technological, legislative and environmental factors that affect
the development of organisation operating within the hospitality industry...........................5
P7 SWOT analysis Of Thistle hotel.......................................................................................6
TASK 4............................................................................................................................................7
P8 Implications of current and potential trends in the hospitality industry............................7
CONCLUSION................................................................................................................................8
REFERENCES..............................................................................................................................10
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INTRODUCTION
Hospitality industry is a very broad industry and it is not easy to describe in hospitality
industry. In hospitality industry including broad category of fields that are related to service
industry and it is included restaurants, conveyance, loading, event planning and additional fields
(Kim, Vogt and Knutson, 2015). According to scenario Thistle hotel is based on UK with a
portfolio of 8 central London hotels. In the report consist of the current structure, scope and size
of the hospitality industry in UK, identify current and anticipated skills requirements in the
hospitality industry. Review the internal and external factors that impact the hospitality industry
and they are relate to current issues are facing by industry. The project provides specific
information about the internal and external factors that can impacts the hospitality sector and
their related current issues are covered under this report. Apart from this, analysis of the current
and potential trends and development those are affecting the hospitality industries are examining
under this project effectively.
TASK 1
P1 Different types of business within the hospitality industry and their diverse products and
services
In the world, the hospitality industry is one of the most different and multifaceted
industries that hiring million of peoples and accounting for trillions of dollars in revenue in each
year. It is a part of the larger service supplying industry and it is mainly based on meeting the
inevitably and desires. This industry also based on availability of leisure time, customer
satisfaction and disposal income. In order to succeed in hospitality industry, there is need to
holistic business and an efficient hospitality team. Working in the different sectors of the
hospitality industry gain many rewards. There is different sectors of hospitality industry, they are
as follows -
Food and beverages
The food and beverage industry is a important sector of the hospitality industry, and has
many different types of businesses. These are divided in different types of business and related to
every type such as luxurious Michelin star restaurant, relaxed coffee shop to a high end cocktail
bar and different types of establishments. Through food & beverages provided services are -
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Catering business – In this category these services are provided for any special occasion like as
– wedding, reception, birthday party and many more.
Quick service establishments – This category include in commercial food services that prove
those customer who look to quick drinks, snacks and meals (Wang, 2016). For providing
services they are hiring few peoples because they are focusing on self services. These types
restaurants are – KFC, McDonald's, subway and pizza hut.
Full service restaurants – These are related to typical restaurants and providing features are
drinks, meals and a plethora of other food service. In these types hotels waiters are take order on
table and served. These types of restaurants are mostly establish in more numbers.
Travel and tourism
It is a large sector of the hospitality industry with several key players across the globe.
For this sector mostly including airlines, trains and cruise ship. In this sector players play role to
moving people from one place to another place. But this segment of hospitality industry based on
others and without them the region of industry won't grow.
Lodging
It is providing camping and caravan and it is related to lavish resorts, luxurious hotels and
camp grounds. In this sector mainly including accommodation that is providing all basic
facilities that are related to the ranging from bed & breakfast enterprise and other facilities
related with lodging. There is main focus on customer services and in this including
accommodations are world class amenities, efficiency and integrate comfort. There is main types
hotel that providing services are – Lodging, suites and resorts.
Entertainment industry
This industry analysis that on its customers having disposable income so it comes to
bringing laughter and enjoyment to customers and sphere with all other sectors with in the
hospitality industry (Rothfelder, Ottenbacher and Harrington, 2012). In present time in travel it
plays important role because without fun travel experience is not good and feel like empty. In
this industry providing services like – pictures, sports and gaming, bars and night clubs.
P2 Range of operational and functional departments in Thistle hotel
Range of operational department – In operational department of hotel including sales,
finance, security, housekeeping and public relations. In this hotel the operational department
manager of this department deal with customers, staff workers and bosses while keeping the
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hotel running smoothly. Operation department of Thistle hotel conduct all activities in effective
way and aware for each activity that will happen regarding to customer perspective.
Range of functional department – In functional department including Room and
division, sales and division, general management, housekeeping, food & beverage and sales and
marketing division and the maintenance department. These are department are inter related to
each and provide all functions in efficient manner. The functional department of Thistle hotel
divided all activities according to skills and appoint a leader who take all responsibilities
regarding to each section of hotel.
TASK 2
P3 The contribution of the hospitality industry in local, national and international economies
In present time hospitality industry play essential part of world economy and there
contribution are shows in local, national and international economies. They are as follows -
Local economies –
It is important for local economies and helping to generate revenues in directly way like
when tourist are spend money in hotels, entertainment venues and restaurants. These money are
using by local economy for building of infrastructure like as public transportation and roads. It is
also important because it helping to create offers of the job (Jayawardena and et. Al 2013) .
Hospitality industry are using as tool to promote economic development and
National economies –
The hospitality industry provides benefits to almost every sector of the economy of
nation. When nations are developing and developed so worlds are try to working to promote this
industry to intensify development and growth in their individuals nations and in the world as a
entire. It is helping to provide development on economic way and increases rank on world
economy.
International economies -
In hospitality industry After analysis it is getting that it will helping to economic growth
and it is helping to growth of the nation on international way. If hospitality industry contribute
on international way that is increases the rank in world economy and it is also helping to
development.
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P4 Range of different operational roles within the hospitality industry
There is different operational role that is play by hospitality industry, they are as follows -
Hotel general manager – The general manager helping to arrange all general activities that are
happening in hotel.
Executive chef – This is execute all activities on specific level and see all foods quality it is also
helping to guide all sub chef those are follow their rules (Daskin and Tezer, 2012).
Event planner – It is plan every event in systematic way to execute in effective way and when
any event organise in hotel so that time it plan event and execute in specific way in effective
manner.
Housekeeping management - It is related to all room services, beds, pillows and manage all
quality of services.
Food & beverage managers – It is handle all food & beverage related quality to provide in foods
and the are care of customers according to their interest and wants.
Operations managers – It is handle all operation that are conduct by hotel and it is included those
operations that are helping to execute those operations need for hotel (Yen and Teng, 2013).
P5 The skills required with in the hospitality industry and current skills shortage
For hospitality industry there is need required skills that is important in present time, they
are as follows -
Communication skills – For hospitality industry need to effective communication skills that are
effected to their profile. It is required to in present time for present their products in effective
way and communicate with customers to attract for products.
Interpersonal skills – In hospitality industry must have interpersonal skills because the nature of
business provide outstanding customer services.
Leadership – It is very important skill that must be in everyone because when starting new
business in hospitality industry so there is need to this quality because it is helping to organize
business in effective way.
Knowledge of safety – Successful hospitality employees are familiar so set rules according to
their business because when survive hotels, restaurants and cafe so there is people spend their
time.
Organized – For hospitality industry need to organized tasks in systematic way and multi task
without difficulty.
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Team work – Successful members of hospitality work in a team and coordinate with each
member of the group.
In present time shortage of skills of leadership and organized and commitment and
communication skills (Amin and et. Al, 2013).
TASK 3
P6 Political, economic, social, technological, legislative and environmental factors that affect the
development of organisation operating within the hospitality industry
It has been seen that the assessment of the potential trend and development in the
hospitality sectors in UK is essential for every organization or an individual. As, it has been
found that hospitality sector has growing more rapidly across the nation. One of the major reason
of the changing business environment in hospital sectors has become interesting facts to observe
the trends and development that can impact the area more effectively. In strategic planning,
external analysis of hospitality sector has been key aspects for an any hotel group. Thistle Hotel
has been made with the motive of fulfilling the desire to provide luxury and comfort to the guest
as well as outside visitors (Clevenger and Singh, 2013) . The best ways are to determine the
implication is by using PESTEL analysis:
Political factor: It plays an eminent role in determining the factors that can impact the
Thistle hotel in order to gain long term profitability in certain nation or market areas. The
operating in food & Beverage in more than dozen nation and expose themselves to various types
of political environment and political risk systems. Political stability and its significant of food
and beverage sector in the nations. Level of corruption, especially levels of rules in relation to
consumer good sectors.
Economic factor: The macro environment facts such as inflation rate, saving rate and
foreign exchange rate and economic cycle examine the aggregate demand in an economy.
Because of government intervention in the free market and its associated client good are needed
to be determine so that proper exchange rate and stability of host nation currency. Infrastructure
quality in food & Beverage industry.
Social factor: It is one of the crucial factors that can be eventually impact the culture of
Thistle hotel with proper shared beliefs and attitude of the population plays an environment role
in overall success of the hotel sector. It is the company that can understand the customer of a
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given market and how they used to design the marketing operation for food & Beverage industry.
Some of the crucial factors are mentioned below: Demographic as well as skilled level of the
overall population is been determine in this factor. Education level as well as standard in Thistle
hotel is also another factors (Line and Runyan, 2012) .
Technology factor: It has been seen that with the help of latest technology the hotel
industries can increase total number of sales during the period of time. As it has been found that
instead of having minimum capital support of technological advancement, Small hotels are
working drastically to sustain in the market for the longer period of time. The accommodation
services that are provided by the hotel can easily be book through using online sources such as
net-banking and e-mobile apps.
Environment factor: There are various norms and regulation which can impact the
overall profitability position of the Thistle hotel in all over the nation. In nowadays, the
government is much more concern about the environment as the waste that comes out from the
hotel is tolerate from the society and have direct negative impact on the brand image. In order to
overcome this, they have to implement proper waste emission system.
Legislation factors: There are numerous legal factors prevail in UK regarding
operational functional and safety which governs the obligation upon the authority of hotel to
consider all these laws otherwise they have to face the situation of hefty fines which results in
diminishing of their overall profitability. In this regard, it is must for an organization to have
legal team that complies with all the legal laws and standards (Shani and et. al., 2014) .
P7 SWOT analysis Of Thistle hotel
Strengths
People oriented hotel. It has always put
customers and employees forefront.
Ability to satisfy the target by it.
Technical innovations to improve the
services.
Good employee retention.
Weaknesses
Competition from established hotel
chains.
Expansion may result in high expenses
and limited opportunities.
Rising cost of land will impact the long
run survival.
Opportunities
Changing market trends will make it
Threats
High competition in the hospitality
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earn more profits.
High potential in emerging markets.
Innovation in customer services.
sector.
Stagnated growth.
Entry of international brands.
A decision making process in any organization is very important. The management is
required to make correct decision for various organizational matters. Similarly, the management
of Thistle should also make decisions by considering the strengths, weaknesses, opportunities
and threats (SWOT) of Thistle. The SWOT analysis holds great importance. The strengths can
help the hotel to know its market standing. This will enhance the effectiveness of services to be
presented to the customers. SWOT analysis will be used for assessing the opportunities by which
profits can be increased. Decision to reduce the weaknesses will depend on the SWOT analysis.
Various external opportunities can be identified where the company can make more profits.
Further, the analysis help in identifying the challenges it is facing or may face in future. The
advance analysis will prevent the harm, losses or disadvantage to Thistle. The weaknesses should
be fixed by the hotel to survive in the long run (Huang and et. Al 2016).
TASK 4
P8 Implications of current and potential trends in the hospitality industry
Technology Trends in the Hospitality Industry
In current time hospitality industry mainly focus on technology trends because they are
helping to achieve sustainable growth and fulfil their aims and objectives. For future time
hospitality industry modified their services in specific way so they are applying advance
technology to
Artificial intelligence: This is one of the recent trend which is analysed in terms of
managing the functions and operation of business in various international hospitality industries.
This is also considered with analysing the quires and formation in term of determine the
belligerency with proper interactions.
Big data analysis: In large organisation it is essential in terms of inlying the financial
information with great strategic and decision making process. In hospitality organisation various
type of financial and non financial data related to determine the gender, budget and visited
locations with various recommendations with data and trends with revenues. Big data driven has
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been analysed in terms of determine the leaders in understanding the business performance of
organisation.
Internet of Things: This is on one of the essential trend that is associated with analysing
the interest things. The collection of data mainly evaluate and communicate the business ideas
for better analysis and evaluation. The concept mainly analysed with creating the temperature for
better employed (Williams, 2012) .
Recognition technology: Specifically, statistics is being utilized to introduce another
time of consistent validations, and this could profit inn procedures and client buys. Acceptance
innovation is a standout amongst the most imperative developing tech drifts when all is said in
done, yet its potential uses in the friendliness business are particularly intriguing. For instance,
envision if unique finger impression or facial acknowledged innovation could be utilized in your
lodging to open rooms. Presently think about the employments of a similar innovation for
registration and registration purposes. Later on, this innovation is likewise liable to take into
consideration totally consistent buys, with instalments being verified by contact.
Robots: Another energizing tech incline has been the development of robots and
numerous cordiality organizations are putting them to great use as of now. Yet, this is a long way
from the main such model. Knightscope robots are being sent in a few air terminals for security
purposes, while the Henn-na Hotel in Japan has drawn features for being the world's first robot-
staffed lodging, with robots being utilized as front work area staff, client data apparatuses and
even as gear watchmen. Maybe the most popular case of this is the Hilton robot attendant
'Connie', which utilizes discourse message and AI to react to questions from clients and wisely
gain from associations (Zaibaf, Taherikia and Fakharian, 2013).
CONCLUSION
As per the above report it is concluded that hospitality industry is the important pillar of
UK and the economic operator of almost every part of the country. These industry provided
many benefits and its divided in different segments that are also important from different aspects.
It is play crucial role in operational and functional department and it is contribute their role in
local, national and international economies. For hospitality industries included some skills that
are must for this but in present time few skills are shortage. PESTLE analysis know about those
factors are effected to the company in direct and indirect way. SWOT analysis helping to know
strength, weakness, threat and opportunities of the hotel. Hospitality industry identify of
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implications that are shows current and potential trends of hotel. It is understand with specific
examples because it is helping to understand in effective way.
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REFERENCES
Books and Journals
Kim, M., Vogt, C.A. and Knutson, B.J., 2015. Relationships among customer satisfaction,
delight, and loyalty in the hospitality industry. Journal of Hospitality & Tourism
Researc. 39(2). pp.170-197.
Wang, C.J., 2016. Does leader-member exchange enhance performance in the hospitality
industry? The mediating roles of task motivation and creativity. International Journal of
Contemporary Hospitality Management. 28(5). pp.969-987.
Rothfelder, K., Ottenbacher, M.C. and Harrington, R.J., 2012. The impact of transformational,
transactional and non-leadership styles on employee job satisfaction in the German
hospitality industry. Tourism and Hospitality Research. 12(4). pp.201-214.
Jayawardena, C., and et. al 2013. Trends and sustainability in the Canadian tourism and
hospitality industry. Worldwide Hospitality and Tourism Themes. 5(2). pp.132-150.
Yen, C.H. and Teng, H.Y., 2013. The effect of centralization on organizational citizenship
behavior and deviant workplace behavior in the hospitality industry. Tourism
Management. 36. pp.401-410.
Amin, M., and et. al, 2013. Service quality dimension and customer satisfaction: An empirical
study in the Malaysian hotel industry. Services Marketing Quarterly. 34(2). pp.115-125.
Daskin, M. and Tezer, M., 2012. Organizational politics and turnover: An empirical research
from hospitality industry. Turizam: međunarodni znanstveno-stručni časopis. 60(3).
pp.273-291.
Tesone, D. V. and Ricci, P., 2012. Hospitality industry expectations of entry-level college
graduates: Attitude over aptitude.
Clevenger, L. and Singh, N., 2013. Exploring barriers that lead to the glass ceiling effect for
women in the US hospitality industry. Journal of Human Resources in Hospitality &
Tourism. 12(4). pp.376-399.
Line, N. D. and Runyan, R. C., 2012. Hospitality marketing research: Recent trends and future
directions. International Journal of Hospitality Management. 31(2). pp.477-488.
Shani, A., and et. al., 2014. Emotional labor in the hospitality industry: The influence of
contextual factors. International Journal of Hospitality Management. 37. pp.150-158.
Huang, J., and et. al 2016. The impact of CEO servant leadership on firm performance in the
hospitality industry. International Journal of Contemporary Hospitality Management.
28(5). pp.945-968.
Williams, A., 2012. Understanding the hospitality consumer. Routledge.
Zaibaf, M., Taherikia, F. and Fakharian, M., 2013. Effect of perceived service quality on
customer satisfaction in hospitality industry: Gronroos’ service quality model
development. Journal of Hospitality Marketing & Management. 22(5). pp.490-504.
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