HND in Hospitality: Tour Operations Management Report

This report, prepared for a Tour Coordinator role at lcb Tours, analyzes the stages and timescales involved in developing holidays, emphasizing negotiation processes with vendors for optimal deals. It covers cost assessment, planning itineraries, and the importance of a skilled administration team. The report evaluates different contracting methods, including fixed, allocation, and ad-hoc contracts, assessing their suitability for various holiday components. Furthermore, it demonstrates the calculation of a holiday's selling price using provided financial information. The report concludes with references to relevant academic sources and a summary of key concepts within tour operations management.

Tour operation management

Negotiations : another process is negotiation with other parties which involves in the business
functions. Such as TUI needs to negotiate with contractors, suppliers, hotels or with the airline
companies as well. It helps to bring new managing or successful holiday packages. TUI should
needs to negotiate with all vendors to get the best deal.
Cost assessment of the package : Cost is generally referred to the total cost which incurred to
managing all tour activities such as local arrangements, marketing cost or additional kind of
expenses.
 2.1 Assessing the stages and timescale involved in developing
holidays

Planning : another step after identifying and measuring the cost is to plan the further all
activities such as where customers going to be stay, accommodation, transportation or prepare
full itinerary of the tour.
Administration staff: to serve best services TUI needs to make strong effective team to take
care of their clients. TUI staff should have full knowledge about the destinations, good
capabilities to deal with uncertain situation etc (Guo, Barnes and Jia, 2017).
Evaluation of developments: After making planning or creating team efforts, next step would
be for TUI is to evaluate or taking reviews information by customers or employees.
To be Continued..

Fixed Contract: in this type of contract company ensure the use of volume based capacity of
the vendors in the off seasons. These contracts have never been changed once they done.
Allocation: allocation is the type of contract approach where tour operators has already been
declared or fix all type of contracts on prior notice in order to meet out the best forming results
and growth.
Ad-hoc : it is the another type of method of contracting which is very much flexible way to male
develop the proper arrangements such as prior booking of hotels etc. this contract cost has been
based on the hours or daily basis.
 2.2 Evaluating the suitability of different methods of
contracting for different components of the holiday.

Price of two adult students would be 60*.84= £50.4
Cost of hotel for 8 rooms for one day would be 50.4*8= £403.2
Price of travelling would be = 630
Cost of 20 seater luxury coach = £1000
Value of local tour guide = ￡ 200
 2.3 Calculating the selling price of a holiday from give
information

Expense type Cost In pound
Cost of luxury coach 1000
Cost of local tour guide 200
Cost of accommodation 2016
Cost of travelling 630
Total 3846

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REFERENCES

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