Analysis of Tour Operation Management Strategies and Practices

This report delves into the intricacies of tour operation management, focusing on the functions and roles of tour operators, the scale and structure of the tour operating industry, and the development of holiday packages. The analysis examines the various stages and components involved in creating attractive holiday packages, considering changes in consumer demand through research and market analysis. The report also reviews package tour programs and evaluates tactical and strategic decision-making within tour operations, using TUI as a case study. It covers aspects like reservation, planning, promotion, and package creation, as well as the influence of economic, social, and environmental factors on the industry. The report concludes with insights into how tour operators adapt to challenges and make strategic choices to meet consumer needs and achieve business goals. The provided solution is a comprehensive report that offers insights into the tour operation management, encompassing its functions, scale, and strategic decision-making processes.

Tour Operation
Management

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1. Different functions and roles of a huge tour operators.........................................................1
P2. Scale and structure of tour operating industry......................................................................3
TASK 2............................................................................................................................................4
P3. Various stages and components for developing holiday package of several tour operator
needs............................................................................................................................................4
P4. Changes in consumer demand by using several various sources of research.......................5
TASK 3............................................................................................................................................6
P5. Review on the package tour programmes which provide same product in market..............6
TASK 4............................................................................................................................................7
P6. Tactical and strategic decision making within the tour operations with particular
examples......................................................................................................................................7
CONCLUSION ...............................................................................................................................9
REFERENCE.................................................................................................................................10

INTRODUCTION
Tour operation management define different kinds of tour topics within the operation
management. Tour and travel industries always provide lots of facilities to customers so that they
can make their trip easy, memorable and comfortable as well. Within the changing environment
competition is enhancing every day so that travel and tourism companies are required to have
unique and effective technologies for gaining future growth in a perfect way. In order meet these
kind of changes leaders and managers both are needed to analyse their overall functions by
which they can easily overcome these issues in a perfect way. For more discussion this
assignment is depends on TUI which is a UK based travel industry was formed in 1965 by
Thomson corporation in Luton England. Along with it deals with charter and passenger airline,
package holidays, resorts, hotels and cruise lines. More discussion will be made on functions and
roles of tour operators as well as structure and scale of tour operating industries. Than it will be
conduct several stages for generating package holidays. Tour package programmes in order to
meet market needs and evaluation of tactical and strategic decisions made by tour operator will
get covered in this assignment (Redjem and Marcon, 2016).
TASK 1
P1. Different functions and roles of a huge tour operators.
Tour operator management is an very effective and essential term by which all companies
who are dealing with these sort of sector always makes better goals and fulfil consumers needs.
Along with this they always makes better package of tour with affordable prices so that people
can easily purchase it and able enjoy their future. Now tour operator is responsible to have all
kind of solutions in order to face any challenges within the marketplace. In regards with TUI,
assistant product manager has duty to examine overall functions for developing a product
department so that they can easily gives facilities to customers (Caber and Albayrak, 2018). For
making it more effective tour operator plays some functions and roles, those are given below:
Functions of Tour Operator
Tour operator are also the service provider within the travel and tourism industry who
always makes effective plan and visits in the different countries. On the basis of service
providing system they are the owner of facilitating different kind of services in which customers
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can get facilities such as food, transportation etc. In TUI tour operator following some functions
are as follow:
Reservation: According to this function tour operator is able to reserve all seat for
different passengers by which they can make better impression on people and able to achieve
goals and objectives in a perfect way.
Planning a Tour: It is very important function in which they decide that where they
want to go and how can they fulfil people desires. Therefore, they make effective tour and plan
for customers holidays by giving them full facilities during the time of tour so that they can
enhance their values and productivity of firm.
Promotion: Tour operator are always think deep for making their services better so that
they always conduct national and international tour. By making this strategy they can promote
their services at higher level and able to achieve goals perfectly.
Making Tour Packages: For people convenience tour operator always make unique tour
package with normal price so that people can get motivated and able to enhance the firm's
productivity in a perfect manner (Flores-Garza and et. al., 2017).
Roles of Tour Operators
Tour operators always plays very important role within the TUI organization by which
they can develop their goals and fulfil them. Tour operators are the only one who increase
growth of travel and tourism. For this there are some role of tour operator, following as under:
 Tour operator mainly provide good advice to company so that they can reach their goals
with in a different ways.
 He is the best operator of travel and tourism company because he always arrange better
services for people so that they can impress and meet their organizational targets.
 Tour operator generally focuses on their overall management programmes in which he
offers different kinds of accommodations to people and giving them transport facility as
well (Jabbour and Sousa Jabbour, 2016).
 By taking help from tour operator respective company can easily overcome their issues
within the market such as budget, taxation and exchanges rates. Therefore, he is much
helpful for companies.
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 Tour operator always makes different kind of alternatives and solution of every problems
so that he can easily develop proper strategies for satisfying customers, so that that they
can make better arrangements for their holiday packages.
Now this can be said that tour operator are the best part of this tourism industry who
always develop new ideas and thoughts by which they can impress their customers in an
effective manner. On the basis of this they can increase their market value and able to manage
system effectively with lots of motivations (Lin, Yu and Chang, 2018).
P2. Scale and structure of tour operating industry.
Tour operating companies are known as the sum total of holiday packages because they
always develop effective ideas for holiday packages and promote their services at higher level.
For this can be said that if tour operator will promote their different services such as
transportation and charter airline so that it also effects people in a positive way. In regards with
TUI, there are scale and structure for operating travel and tourism industry, those are given
below:
Scale of Tour Operating industry
According to the national and international tourist destination TUI is required to fulfil
their consumer needs and demand in a specific time frame. In order to improve this scale
respective company is able to adopt unique strategies for betterment of future. Along with this
they are also responsible to offer better facility to people so that they can easily enjoy their
holidays package in an effective manner. In the present context this respective organisation TUI
is operating their business at higher level by giving them overall facilities in a good manner. By
using this scenario this company can get higher opportunities in the market and able to stay for
long term for gaining better opportunities (Lin and Tseng, 2016). Apart from this respective
tourism organisation also contributes for maintaining balance of payment in a good way.
Structure of Tour Operating industry
For making effective organisational structure this TUI company based on the different
kind of components by which they can attract people by giving various services. There are some
attraction points of view from the organisational structure, those are mentioned below:
Attractions: It refers to the natural factor which is prepared by human so that people can
get influence in a good way. Generally it involves in the different size, shape, design and colour
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of an organisations. Herein, TUI generate attractive services for customers to accomplish their
needs.
Tourism development: As per this structure of organisation TUI depends upon the
different kind of guidelines and system for their employees so that they can give them better
knowledge at higher level. For more improvements in the structure of respective company they
also conduct training and development programmes so that they can learn different skills and
able to achieve desired goals (Celik, 2017).
TASK 2
P3. Various stages and components for developing holiday package of several tour operator
needs.
In the present time, travel and tourism industries have different kind of holiday packages
by which they can give better attraction to customers. In reference with TUI, in this tour operator
always make effective and unique strategies and meet consumers needs so that they can make
accordingly. By using unique and effective techniques they can make potential customers in
order to build their strong relationship with different customers. Apart from this there are several
kind of distribution channels and components in order to develop effectiveness within the
business industry. Distribution channels are given below in detail:
Direct channels: There are are different kind of selling channels for developing
awareness in regards with tourism sector. By using direct channels tour operator can easily meet
their consumers demand and makes strategies effectively. Therefore, TUI using this aspect for
managing their business as well as while doing this company can get lots of feedback in a
positive way.
Indirect channels: On the basis of these channels company is not able to communicate
with their customers in a direct way. This is because there are so many mediators and other
person who does not allow to respective company TUI to contact with their customers.
Therefore, in order to overcome this factor company required to prepare different strategies for
customers.
Now this can be said that on the basis of both channels, company can get achieve their
goals by giving different kind of services to their customers. Therefore, it is necessary for
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companies to make their targeted goals and strategies as well for accomplishing consumers
requirements perfectly.
P4. Changes in consumer demand by using several various sources of research.
As per the changing environment customers have different kind of demand and
expectation from companies. So that in context with travel and tourism they also focuses on their
customer demand and make good strategies as well. In which TUI also giving their services in
urban and rural areas both by which customers are able to get satisfaction in a perfect manner.
There are some issues and challenges which can be face by this organisation, given below:
Economic effects: According to this factor most of the companies are needed to follow
several changes in the country. Wherein, TUI can be influence by this effect in both negative and
positive way (Sheng, Amankwah-Amoah and Wang, 2017).
Positive: In the positive influence tourism sector can easily formulate new plan for
country's economy in a perfect way. Along with this TUI is able to operate their overall activities
of business for giving better services to people.
Negative: Within the travel and tourism sector, there are several kind of issues by which
they can get impacted. In TUI as they always develop effective strategies so that they can
influence customers but some time this company charges higher from customers so that it
influence customers in a negative way. Not helpful for company to achieve their goals.
Social effects: These factors influence company in a both negative and positive way. In
context with TUI they always makes effective and useful techniques by which customers can get
satisfied and able to achieve goals in a systematic manner.
Positive: As per this impact respective company can easily develop new services in
tourism sector for making customers happy.
Negative: While planning the different kind of strategies and services than company is
needed to have lots of resources and budget plan so that they faces lots of issues in country and
try to make good techniques.
Environmental effects: This kind of factors directly impact on the business environment
so that all companies are needed to protect their goods and services from weather changes and
climate as well. According to TUI they always makes better services to influence people.
Positive: By applying effective tools and techniques within the travel and tourism
industry company can easily promote their effective services to customers.
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Negative: During the time of apply new strategies and approaches TUI faces some
challenges like traffic emission and so on.
Economic effects: It focuses on the sales, profit and revenue within the company. In
regards with TUI they make better services and able to gain better profits in a perfect way.
Positive: According to the economic factor TUI is always available to make their tools
and strategies for operating their tour and travel systems in order to achieve desired goals.
Negative: As per this they get loss in their sales because travel is always depends upon
the customers mood if they are able to give huge capital than company is not able to run their
business like before that's why it influence in a negative way.
Now it has been analysed that there are different kind of influence or barriers who always
reduces the company sales. But in the case of TUI they have good courage to face all kind of
challenges and issues so that they can easily make better goals and meet potential customers,
therefore, this travel and tourism industries almost based on the customers demand as per
different climate effectively (Leung and et. al., 2018).
TASK 3
P5. Review on the package tour programmes which provide same product in market.
TUI is a UK travel and tourism company founded in 1965 headquarters is in Luton
England. As the TUI group is providing the various facilities such as Accommodation meals, and
transportation facilities, as this is very beneficial for traveller as they are getting many facilities
at one place. The travel agency is providing the facilities to it clients to attract and even by
proving the best facilities including meals and lodging requirements not also this it also help the
clients to its basic needs and desire which they like . Some time due the large families members
accommodation facility helps the clients in proper time. TUI group aim is to become
multinational agency which can aid many clients and there growth in the hospitality sector.
Travel agency is one the best hospitality sector which aid many company. Hospitality sector is
growing faster now a day due which the service can be availed in an appropriate manner to the
company (Maylor, Blackmon and Huemann, 2016). The goal of the organisation is attract more
customer and making an attractive package for the clients to make in an effective path. Customer
service is necessary in the hospitality sector. In context to TUI group is working best way in a
creative manner to grab the market place .
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TUI personally hand pick the hotels in order to make sure get avail best possible holiday
package. This include everything from party package, holiday package and family destination
holiday package. They package services are according to the price, TUI mainly have 3 tour
packages, which include gold, platinum and silver. Gold package include classic holiday specific
designed for adults. Platinum package include chilled days, and lively nights and sliver package
have small and friendly package. When it comes to booking a holiday, TUI is one of the best in
class to provide hospitality service across UK. TUI have SENSATORI resorts provide the best
luxury services to there respective customers. They indulge in different destination range from
Italy to Spain and far from St Lucia to Mexico. There services are one of the kind in tourism
industry, as well as they are award-winning airlines of UK. Company have 24/7 customer
support service and websites in order to book the tickets (Lemmey and et. al., 2016). The tour
and holiday packages of TUI Group are compatible with the needs and demands of customers as
the entity makes use of latest technological resources and innovations. Further, the packages
consist of services pertaining to an array of services such as sight seeing, transportation,
accommodation, food & beverages in order to attract the attention of a large number of people at
a single point of time. Further, they market these packages over social media through which they
are able to gain a competitive edge over rivals prevailing in market place.
TASK 4
P6. Tactical and strategic decision making within the tour operations with particular examples.
According to the TUI tactical decision making is an effective approach by which business
can get better achievement within the competitive environment. Herein, leaders are one of the
best approach who always trying to develop different aspects like tactical pricing, response and
planning as well (Kew and Stredwick, 2016). Along with this decision making process is also
very important which helps TUI to grow their functions and management operations in an
effective manner. There are some tactical strategies which are given below:
Tactical Response: It can be defines as the instant action for particular solutions within
the business industries so that it affects businesses in a positive manner. In reference with TUI
they always give better response to people in order to improve their sales and management
programmes. With the help of this they can get benefits and good image in marketing terms.
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Tactical Pricing: The tactical planning revolves around forecasting of cost incurred in
producing goods and providing benefits to primal and existing customer of any organisation. In
regards with TUI manager could estimate price of product that could generate revenues and also
satisfy the demand of consumers. This initiatives will result in improving sales profits of TUI in
tourism industries (Pearson, 2016).
Tactical Marketing: The marketing field involves various function, process and plans
which will result in successful growth of business of any organisations. When talking about TUI,
manager need to give emphasis on effective marketing process that will result in improving
brand image of company at global market.
Tactical Planning: This strategy is very important as planning is the base of every
function in an organisations. In regards with TUI, managers have to forecast the planning process
in a systematic manner that will help in operating business activities. Thereafter communication
plays an effective role in organising and managing different department in TUI. There should be
clear transparency between employees, so that a strong bond should be developed and completed
in organisation. This initiatives will result in improving sales profits of TUI in tourism industries.
Strategies of decision making
It is the process of achieving the organisational goals properly. It is a very important
process for every organisation wherein TUI also use it. This organisational structure is depends
upon the needs of people. TUI always have this kind of strategies in order to fulfil business
demand. Along with this it is an effective part of this respective company which helps them to
make good decision (Gizyatova and Voskolovich, 2017). There are some strategies for decision
making, those are listed below:
Pricing strategy: pricing of a products is totally dependent on the quality and quantity of
the product. TUI also follow this strategy. They provides all the information to the customer.
Basic knowledge of there organisation is necessary to busy that product. That amount is called as
a price. This strategy decided in its business area for developing proper goals.
Image production and branding: It is all about the product image and company which
is necessary for organisation. Brand image is helpful for customer loyalty with the product as
well as brand also. On the basis of this customers can get influence and able to take these sort of
services in an effective manner.
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CONCLUSION
As per the above assignment scenario it has been concluded that Tour operation
management refers to the different kind of facility to customers in order to make effective
relationship with them and arrange holiday packages accordingly. In regards with TUI as this is
the travel agency who always fulfil consumer's needs by giving some facilities during their
holiday time. On the basis of different facilities this company is able to achieve their effective
target by giving better quality of services to customers. Along with this it also gives several offer
on their prices so that customers can select accordingly. This impacts on people in a positive way
so that they can achieve their aims. Therefore, making good relationship with customers always
helpful for this respective company for increasing opportunities and growth.
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