Travel and Tourism Business Toolkit Report: Titan Travel Analysis

This report provides a comprehensive analysis of the Travel and Tourism Business Toolkit, examining key concepts such as revenue management, HR life cycle, and financial statements within the context of the travel and tourism industry. The report delves into the rationales and principles of revenue management, exploring its application through tools like discount allocation and capital utilization. It also outlines the stages of the HR life cycle, emphasizing their importance in talent retention and development, along with the significance of performance management. Furthermore, the report discusses relevant legislation, including employment and contract law, and their impact on business decision-making. It also covers financial statements, reporting mechanisms, and the importance of budgeting for controlling business performance and identifying variances. The report uses Titan Travel as a case study, illustrating the practical application of these concepts. The report concludes with a comprehensive overview of business strategies and their analysis.

Travel and Tourism
Business Toolkit

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Explain rational and principle of revenue management for the travel & tourism industry....1
P2 Application of revenue management tool to generate more sale or maximise profitability...2
TASK 2............................................................................................................................................3
P3 Stages of HR life cycle and it's importance to retaining and develop talent..........................3
P4 Performance management .....................................................................................................4
TASK 3............................................................................................................................................5
P5 Specific legislation that organisation of the travel and tourism industry have to adhere to...5
P6 How company employment and contract law has a potential impact on business decision-
making in the travel and tourism industry...................................................................................6
TASK 4............................................................................................................................................7
P7 Explain different types of financial statements and reporting mechanism in context of
Tourism industry..........................................................................................................................7
P8 Importance and value of budget to control business performances and identify variances.. .8
CONCLUSION................................................................................................................................8
REFERENCE...................................................................................................................................9

INTRODUCTION
Travel and Tourism business toolkit is the process of providing services to their customer
and it will be differentiate according to their functions they offer or perform. It is one of the
growing service sector business in the world. It include various activities related to travelling that
elated by the customers (Ambrose, 2012). Travel and Tourism industry plays important role
where it provide employment opportunities, awareness about that local area where people wants
to visit. With the help of this, it provide revenue, it helps in developing economy of the UK and
infrastructure. Titan Travel company chose for the better understanding of this concepts and it is
UK based organisation. It's headquarter in Cross Oak Lane which is one of the best holiday
escorted company. Titan Travel get the British Travel Awards because of high satisfaction level
of customers during travelling. This report include the various topics such as key principles of
this business, HR life cycle in context of HR strategies, legal and ethical impact and manager
budget, statistical records & financial records.
Learning Outcomes 1
P1 Explain rational and principle of revenue management for the travel & tourism industry
Revenue management: It is a application which is used for the prediction of consumer
behaviour at micro level. It also provide the facilities to optimize the availability from revenue to
price and growth. This process help the Titan and Travel to identify or analyse the average daily
rate, difference between standard and available rate of products & services (Truong and Hall,
2013). In the Titan Travels context, manager have to analyse the demand of customer and it will
be managed through human resources. Basically this management approach help the organisation
to identify their over expenses and try to reduce through effective human resource management.
It focuses on improving their food & beverages quality, their accommodation facilities,
customer services and other entertainment activities which make customer experience more
valuable. For this, manager have to build effective strategies that attract customers & guest to
provide their services and increase their revenue by adopting this revenue management
strategies. It further helps in increasing their brand value and occupied with different manager of
the hotels for the purpose of maximising their productivity or profitability and achieve their goals
& objectives.
Rational of revenue management in context of Travel Travels business:

 It is helpful in measuring customer behaviour regarding their services which they going
to offer to maximise their business revenue.
 It will helps in to maintain Titan and Travels operational work by adopting this strategies
in context of charges of particular services and sold to the right client by use of their
human resources.
 Revenue management help the Titan and Travels to provide various improvement in
respect of quality, services, designing, updating and train their staff members to enhance
their performances.
 By use of this strategies, Travel Travels company can reduce their unwanted expenses
which automatically increase the revenue.
Principle of revenue management in context of organisation:
Market segmentation: By use of this principle, Titan and Travels divide their customers
into various sub-groups on the basis of their behaviours or similarities in their taste & interest
area. Manager have to analyse the demand and understand the perception and build suitable
service according to each segments (Beirman, Ritchie and Campiranon, 2014). It helps the Titan
Travels company to increase their sales and maximise the productivity as well as profitability.
Overbooking: It is related to the over acceptance of clients where organisation need to
increase their capacity to provide services to each customer. In this case, manager of Titan
Travels have to increase supply of rooms to fulfil the requirements because most of the
consumers cancel their reservation in the last point. So they have to manage and build effective
strategies, so they can able to reduce this problem and boost the organisation to increase their
sales and revenue.
P2 Application of revenue management tool to generate more sale or maximise profitability
Revenue management tool is the method to predict clients demand in order to various
services, price optimisation and increase the commission from different suppliers. To maximise
their productivity as well as profitability, manager of the Titan Travels adopt this strategies and
implement effectively. Their are some tool which is discussed below:
Discount Allocation Tool: By use of this tool, organisation provide the various
discounted offers to the customers. It will applicable through various ways such as online
booking, loyalty cards, advance booking, new clients and various offers on the bases on different
age categories (Kasemsap, 2018). It is a kind of promotional activity to attract more customers in

order to achieve their goals and objectives. Which further helps in Titan Travel company to
increase their sale and revenue. Basically, manager of the develop these types of offers to
maximise their sales and also measure the demand & desire on the basis of geographical area.
Capital Utilization Tool: In the Titan Travels organisation, some of the part or
proportion is in demand to increase efficiency as well as effectiveness. This tool help the
manager of company to identify the utilization of capital which is going to be used for the further
investigation. Manager of Titan Travels use this approach and apply in appropriate manner to
increase the capacity of production (Morgan Hastings and Pritchard, 2012). For example:
company have 200 rooms vacant, so buy use of this management tool, manager have evaluate
their capacity and develop strategies according to it. Attract more customers through attractive
offers and facilities offer by them.
Learning Outcomes 2
P3 Stages of HR life cycle and it's importance to retaining and develop talent
Human resources is the essential requirement of any business to perform their operational
or other functions. It help the organisation to achieve their business goals & objectives by
increasing their capacity in term or productivity which automatically provide the profitability.
HR life cycle is the process where different stages included and it provide the various benefits
along with this various challenges and opportunity. Titan Travel follow this HR life cycle and
implement in their organisation for the effectiveness. Company required Business developer for
the vacant position and the stages are required to follow and it is discuses below:
Recruitment: This process include the hiring process for the organisation where they
recruit new people for the vacant position. Manager of Titan Travels company use the talent
acquisition software to hire new process and it include recruiting, tracking and interview. With
the help of this manager get the talented candidates. Company hire new candidates for the role of
Business developer who can build strategies regarding attract more customers and increase
profitability. Candidates must have experience in hospitality sector and have knowledge about
market so they can build effective strategies and further it helps in retain their talent and
development. Titan Travels hire new candidate for the fulfilment of their goals & objectives.
Education: It is the stage, where Titan Travels provide training to the new candidates to
enhance their skills according to the role they going to play. Basically it include the training and

development of an individual, manager of Titan Travel company provide required training to the
post of business developer so they can perform their duty in well manner. In this process
manager of the company provide the information regarding their role and responsibility which
they have to perform. As well as provide training to enhance their skill to fulfil their duties,
increase their knowledge and develop the efficiency for the future work. In the Titan Travels,
manger focuses on visible skills for the development and retail their talent for the longer period.
Motivation: In this process, Titan Travels motivate the new candidates in order to
perform their task and retain in the same company for the longer time. In the context of Titan
Travels, manager timely evaluate the performance in order to identity the results and provide
various training & development programs to enhance their skills because when employee satisfy
with their work then they will be retain for the longer period. So it is manager's responsibility to
motivate them and provide all required facilities which is necessary for the completion of task.
Motivation build a strong relation among the organisation between employer & employee
(Thomas, 2015). Manager have to motivate their staff members because because with the help of
this, workers able to achieve their task or maximise the productivity as well as profitability.
Evaluation: It is the important stage of the HR life cycle where manager of the company
evaluate the performance of individual and then compare that weather it is meet with
organisational objectives or not. In the Titan Travels company, manager evaluate the
performance of each employee and analyse weather it is beneficial or not. If it is beneficial then
provide rewards or incentives or if not then provide relevant training to enhance their
performances. After retaining employee, manager of Titan Travels evaluate the performance of
business developer and identify that whether performance is good or not up to the mark. If
performance of employee not meet with Titan travels goals & objectives. Then company provide
other relevant training and develop their skills for the further task.
Celebration: This the stage where whole staff celebrate the success of completion of
their task or specific projects. Manager of Titan Travel adopt various strategies to provide
appreciation to their employees so they further motivate or perform well in their work. It will
include the monetary or non monetary benefits which build a confidence and capabilities or
achieve their business goals & objectives. After analysing the performance through evaluation
Titan Travels provide various compensation and incentives to employee and motivate them. It
will help the organisation to increase their employees effectiveness for the further development.

P4 Performance management
Performance management is the process of developing effective working environment for
those workers who enable to perform well and show their ability. It is the framework which help
the manager of Titan Travels organisation to identify the strength or weakness of the an
individual in the business. It will be done by the top management to build strategies according to
it and then evaluate for the further success or improvement (Torres-Delgado and Palomeque,
2014). Titan Travel company use this performance management framework and develop various
plans and it will discuses below:
Performance management Plan
Assess current performance management process
With the help of performance evaluation, manager identify the strength as well as weakness of
an employee and it will also analyse the current management system to set a proper goal &
targets. Manager of Titan Travels analyse the performance and set the standards according to
this. Like company may evaluate the performance by comparing the actual performance with
the standards. For example one employee is expected to give the sell of £ 250 in a month. If
employee offers the only income of £ 180, then performance will be low.
Setting Goals and objectives
After evaluating the performance of an individuals, manager have to build goals & objectives in
respect of the Titan Travels to achieve this. Management or employees have to be shared
common goals for the successful achievement. Basically, it is used to set standard to enhance
their worker's skill & performance. For example company may set the goal of completing the
target of minimum 10 travel events in a month from each employee.
Creating action plan
When manager of Titan Travels set the common goal after this, they have to build action plan to
increase performances. It will include the detailed description of or specific role, responsibility
and objectives to fulfil (Sun, Ryan and Pan, 2015). It will provide the work transperson among
employer and employee. For example the action plan may consists the different kind of policies
and plans to improve the performance of the employees. Like use of 360 degree appraisal
system.
Tracking

In Titan Travel company, after implementing performance management plan manager have to
evaluate the performance, monitor and find the problems which occur in the duration of
providing their services to the customers. Manager monitor the performance through supervisor
report and it will provide directions to achieve business goals & objectives. For example the
performance of the employees by effective implementation of techniques like observation
method, graphical rating scale etc.
Learning Outcomes 3
P5 Specific legislation that organisation of the travel and tourism industry have to adhere to
Every industry works within the legal and regulatory framework and so does travel and
tourism industry. The Titan travel industry operates within a developed legal and regulatory
framework which the players in the industry need to follow for the smooth working of the
company. The regulatory framework of the the authority comprises of the following:
The Tourism Act 2011
The Tourism Act 2011 provide for the development, management and marketing of
sustainable tourism related services. It outlines the role of various tourism player toward
execution of new policies. It also encourages the people to participate in tourism matter to spread
its benefit through active come to.
The Tourism Regulatory Authority Regulation 2014
The purpose of this authority is to regulate the tourism sector. It develops certain
guidelines for sustainable tourism throughout the country. It also display tourist activities and
services to enhance continuous improvement of tourism activities and also implement the code
of conduct for tourism sector.
Development of Tourism Act, 1969
This act to provide for the establishment of British tourist Authority for England,
Scotland and Wales with the responsibility for promoting the development of tourism within
Great Britain and providing financial assistance for the provision of new hotels and extension,
alteration and improvement of existing hotels. The act aim was also to bring all organisation
together that makes up a proper tourism sector.

Transport Act 1980 and 1985
This act brought wholesale deregulation. It Deregulation occurs when a government
decide to remove restriction on operation of business to allow competition. This means that
private can now easily operate on any route. This advantage help the tourist as they are able to
find new cheaper transport than before and this allow more people to have possibility to travel.
P6 How company employment and contract law has a potential impact on business decision-
making in the travel and tourism industry
Titan Travel company follow above mention legislation because it is compulsion for the
organisation to follow this. If company not follow these legislation it will affect the society as
well as whole industry. With the help of Development of Tourist Act, 1986. it will develop the
opportunity for the local area to grow. It also has the impact on the health and safety of its staff
employees because their loss can be a result of poor health practices. This overall will impact the
business reputation and confidence of shareholders in the business.
Tourism and hospitality industry rely on common laws when dealing with each other.
Contract law is basically a legal document which is associated with exchange of goods and
services, money and property (Richards, 2014). If any business is preforming any illegal things
another party can file a lawsuit and can take a case to the court. The legal system provides a
equitable environment in which company has to follow employment laws, contract laws and
other laws that help to ensure that both seller and buyer of good and services are free from
unfair, illegal and unsafe practice and knowledge of this law will help to understand the legal
obligations.
Learning Outcomes 4
P7 Explain different types of financial statements and reporting mechanism in context of
Tourism industry
Financial statements produce by the finance department where they collect information
through operational activities and then converted into valuable form. It will help the organisation
to identify their position that further help the manager to build strategies which maximise the
productivity or profitability. With the help of this, owner identify the their brand value in the
national or internation market (Piboonrungroj and Disney, 2015) . These financial statements
used by the various stakeholders such as internal or external parties. With the help of this,

company identify their profit or loss occur through production, helps in building secretaries and
decision making process. Titan and Travel organisation produce various financial statements and
reporting mechanism for the further decision making process and it will be discuss below:
Income statements: It is also called profit and loss statement, where organisation record
all the relevant incomes & expenses which occur at the time of performing their duty. Include the
sales, expenditures and revenue generated by the organisation. In Titan Travels company,
management develop this statement which help manager to take further decision and build
effective strategies. It is considers to be important make manager to take their decision and
evaluate the performance.
Balance sheet: This statement help the organisation to analyse their financial position in
term of liability and assets company have (Zhang and Xu, 2012). It will provide the overview of
the Titan Travels regarding their short or long term investment, their borrowing, assets and
shareholders of the company. It also show the liquidity or the company through their cash and
bank balance.
Statement of cash flows: Cash flow statement clearly show the inflow or outflow of cash
which include the all activities in form of operating, investing and financing. It is not so
important for the internal users but essential for the external users. Because on the basis of this
potential investors can invest their money after analysis each activity. If they find Titan Travel
company benefit to invest then they take decision according to it.
P8 Importance and value of budget to control business performances and identify variances
Budget is very important for successful planning of a business as it controls the finances
of business and ensure that business is having money for its future projects.. Successful business
assign time to manage budget as budgeting identifies the current available capital with the
company and measures the performance against expenditure and restricts any spending which is
not a part of the plan (Peric and Djurkin, 2014). The process of creating budget involve staff
which results in sharing the organisation's vision. It also enables the business to improve the
profit and increasing returns on investment and also help in decision making and enhances
management responsibility. Budget also helps in improving performance as it provides a
common base on how goals can be met easily by the manager. A well communicated budget
helps everyone to understand the priorities of business. Without a proper budget Titan Travel
company is not able to meet its long term goal as budget highlights bothy the strength as well as

weakness of the business. Variance analysis help in managing the budget and comparing it with
actual cost or revenue and it also identifies the relationship between a pair of variance.
Eventually, the budgets manage the performance of the business by comparing actual
performance with the budgeted targets. For example if company estimate the income of £ 5000
in the budget and if they earns just £ 4500 then it will evaluate the performance. As well as
difference between actual income and budgeted income will be the variance. Like in this
example variance is of £ 500. So ultimately budgets are useful in managing the performance as
well as identify the variance. Herein, a table is presented which shows about the role of budget in
identify the variances:
Particular Actual Budgeted Variance
Income £5200 £6000 £-800
Expenditure £4000 £5000 £1000
So this table is showing the variance as well as level of performance. Like income is low
that is indicating that performance is low. Same as expenditures are occurring less in compare to
budgeted expense.
CONCLUSION
From the above discussion, it has been concluded that travel or tourism business toolkit
required for the company to analyse the performance or operational activities. Where revenue
manager help to generate more profit by using revenue management tools as well as HR life
cycle help to build effective life of an individual employee. In addition, performance
management plan help the organisation to identify problem. As well as specific legislation is
required to follow by the travelling company and manager need to produce financial statements
for the identification of their performance.

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