A Comprehensive Report on The Travel and Tourism Business Toolkit

This report provides a detailed analysis of the travel and tourism business toolkit, with a specific focus on revenue management principles, financial statements, and pricing strategies, using Thomas Cook as a case study. The report delves into the importance of market segmentation, inventory pooling, and the impact of various pricing strategies on profitability. Furthermore, it explores the HR lifecycle, including induction, career planning, retention strategies, and separation phases, and how these relate to strategic talent management and staff retention. A performance management plan is outlined, emphasizing planning, monitoring, and review stages. The report also examines relevant legislation and regulations within the travel and tourism industry, and their potential impacts on business decision-making. Overall, the report aims to provide a comprehensive overview of the key elements essential for success in the travel and tourism sector.

THE TRAVEL
AND
TOURISM BUSINESS
TOOLKIT

Table of Content
INTRODUCTION...........................................................................................................................7
PART 1:...........................................................................................................................................7
P1 Revenue management principles............................................................................................7
Key principles of revenue management in travel and tourism........................................................7
Rationale and principles of revenue management.......................................................................8
Impact of different pricing strategies...........................................................................................8
Financial statements.........................................................................................................................8
Importance and value of budgets.................................................................................................9
Financial reports..........................................................................................................................9
Part 2..............................................................................................................................................11
P3 HR Life cycle.......................................................................................................................11
P4 Performance management plan............................................................................................11
Part 3..............................................................................................................................................13
P5 Explore specific legislation that organisations in the travel and tourism industry...............13
P6 Potential impacts of regulations, legislation on business decision-making in the travel and
tourism industry.........................................................................................................................15
CONCLUSION..............................................................................................................................16
REFEENCES.................................................................................................................................18

INTRODUCTION
Tourism industry refers as a set of industries which offers infrastructure and goods
services to customer as well provide travel facilities for different purpose. In simple word, the set
of overall business activities which fulfil the needs of tourist by offering desirable products while
they visit various places by way of tourism. Travel & tourism industry is essential because it give
contribution in countries economy. Additionally, it helps to generate more employment and
revenue. It also plays important role in development of countries GDP. To understand travel and
tourism industry there is an example of Thomas Cook Group. It is a british global travel group
which is established in London, UK. It includes concept of revenue management and principles
of revenue management for travel and tourism industry.
PART 1:
P1 Revenue management principles
Key principles of revenue management in travel and tourism
Revenue management is an integral decision important for Thomas cook company who
has large operations spread in all over world in the travel and tourism industry offering tourism
packages to people at beautiful destinations. The key principles of revenue management analysed
by top management of company are Market segmentation which enables the managers to
segregate the finance tools utilized for segmenting the people country wise and continent wise.
The promotion criteria can be established by effectively targeting the people into various
segments, company finalizes the finance pooling accordingly. Proper segmentation of capital
allows proper utilization of resources and minimum wastage. Inventory pooling is also an
important principle of revenue management which enables managers to finalize the inventory
and capital funds required by company management for various function such as marketing
activities, organizing proper destinations for tourists (Mariani and Guizzardi,2020).Thomas Cook
has established goodwill among customers all over the world when it comes to offering high
quality destinations holidays and tourism packages. The company manages the revenue by
plotting down the demand in coming period and supply forecasting which enables detailed
analysis on all criteria. Thomas cook company lays high importance to proper facilities in
accommodations and various amenities provided to all guests who take travel packages based on

various offers by company. It has established high brand value among people globally by high
quality performance delivery to people who look for holidaying in beautiful destinations with
family and friends (Aratuo and Etienne,2019).
Rationale and principles of revenue management
Thomas Cook gives high importance to revenue management as the company top
management believes in serving people as their comfort demands and beautiful stay with high
quality facilities. There are various sectors where proper finance distribution is required
efficiently which enables company to segregate marketing functions, promotion and advertising
all over the world and reaching out to new segments of customers inn various counties. Proper
distribution of revenue along with strong management helps company to expand its business
operations into new counties efficiently and minimum wastage of resources which highlights the
coapnys goodwill as an effective output (Ozdemir, Ar and Erol,2019).
Impact of different pricing strategies
Thomas cook has attractive price strategies for all customers and people from all over the
world who look for quality comfortable holidaying experience in reasonable pricing structure.
There is high importance of different pricing strategies and various offers given to propel to
attract them towards company travel and tourism services (Semenz and Ebi, 2019). Thomas cook
has various offers such as Christmas and new year offers for people, and other vouchers and
discounts facilities which enables to attract large pool of people. Different pricing strategies is
highly important for company management and high profitability margins as it enables to create
competitive benchmarks among other brands emerging in tourism industry. The travel and
tourism industry is facing high competitiveness from last recent years which highlights the major
importance of building different pricing strategies for Thomas Cook.
P2 Financial statemnents
Financial statements have huge importance for Thomas Cook whee the operational
details regarding their management structure and percentage of people opting for company
packages graphics can be analysed in detail. The stakeholders as well as shareholder highly look
forward to annual balance sheet and profit and loss reports,which highlights company
performance in diversified sectors. Financial statements explain in detail how much capital is
pooled in resources and what departments are functioning to optimum levels with high
efficiency. The company can use financial reports for comparing its performance from last years

which also enables people to get clear idea of company operational efficiency standards (Taheri,
Hosany and Altinay, 2019).
Importance and value of budgets
Thomas Cook maintains proper records of all financial statements on the official websites
which can be seen by people and shareholders, interested in investing in company or seeking for
travel packages. Financial statements reports allows people to compare the performance and
benchmarks set by the high quality services offered to people all over the world,as compared to
other companies and brands In travel industry. The company has strong goodwill among people
globally in serving strong quality and high comfort according to people desire who opt for travel
packages. The detailed reports also enable top management to evaluate the company
performance in various sectors variably and how it can reach new benchmarks and expand into
untapped economies. Graphics determine the potentiality benchmarks of company in reaching
new sectors of customers globally and the partnerships with other global brands on business
arena (Vogel,2016).
Financial reports
The graphics and statistics of previous years performance and currently years revenue
delivery enables clear structure of company finance magenta,how strongly it has been able to
sustain it in the business of travel industry. People all over the world can have direct view ton
company operational efficiency for investment decisions. High profitability margins show the
high vitality if business operations of company and how much it created business globally by
attractive new segments of customers and expansion into new sectors.

Source: Jennifer Luty,2020
The company statists of report show that the company was facing fluctuation in revenue scale
during the Brexit decisions between Europe and UK. From recent years the profit margins has
been again boosting which highlights the company management is determined to reach the set
targets with high efficiency and strong customer services delivery. The company has strong
parameters to check its yearly performance of capital utilization and hope much revenue it has
been generating from various operations. The raising margins of revenue profits areas strong
determinants of company performance within the years and how much it has captivated the
market share in travel industry. Top management can use the statistics to garde the weaknesses
analysed and operate new technology equipments to maintain proficiency levels in company
operational structure (Treiblmaier and Önder,2019).
Thomas Cook revenue report

Part 2
P3 HR Life cycle
Induction, orientation, on-boarding
It is second stage where HR introduces new joiners form their job responsibility and their
staff who works with them. Travel agent plays essential role in organization because they
appreciate employees to sell travel holiday package to customer on wide scale (Victorovna and
Ivanovich, 2019). So HR offers open communication facilities were new joiners can direct
communicate with HR related their job issues, salary issues and others.
Career planning
It is another stage of HR where conduct training & development session for new joiners
and existing employee so that each employee communicates to each other and improves their
performance by understanding their job responsibility clearly. Even manager offer incentive to
those employees who gives high efforts and achieve large number of tasks. This strategy inspires
employees to give high performance and become efficient to take incentives except salary as
well.
Retention
It is fourth stage where HR offers various polices such as health and insurance policies, job
securities, Compensation policy etc. which inspires employee to retain within company. Apart
from this, HR involves employee in decision making process gives values to listen them
properly. Thus, HR connects them emotionally and make them satisfy from their job.
Separation and termination phase
It is last stage where HR analyse effectiveness of operation within organization when they find
operation unable to meet desirable objectives then terminate it. As same for employees when HR
finds that some employees doesn’t comply with job profile then terminate them and recruit
talented employees.
P4 Performance management plan
Performance management plan cab be defined as the procedure which organization uses
to line up their employees and resources for strategic objectives. In simple word, the procedure
of helping and make efficient employees to work in such a way that company meets their

objectives over the period (Sato, Kobayashi and Shirasaka, 2019). HR develops performance
management plan for travel agent. Performance management plan contains three components
such as:
Plan
Human resource management initially makes specify job role form travel agent and keeps
their requirement which must be meet job profile. Apart from this, manager creates a goal and
sets SMART objectives which is used by recruiting travel agent for travel and tourism industry.
Smart objectives is the one of the effective way which clearly defines that which needs is more
crucial and needs to be done. SMART objectives means specific, measurable, attainable, relevant
and time bound which helps company to meet their goals over the period. Human resource
designs training session which requires to train new candidates within company. Thus, HR
creates theme for developing performance management plan.
Monitor
It is second stage of performance management plan where human resource measures
effectiveness of plan which they prepare for giving training of new joiners and comply with
other existing employees within workplace (Hessand, Kelman, 2017). Human resource
communicates with other departments on weekly basis to know about tourist agent’s
performance within workplace. Apart from this, HR gathers information to customer as well
about their performance. thus, manager monitors tourist agent’s performance.
Reviews
It is third stage where HR assigns challenging task to new joiners along with time
deadline and sets priorities which should complete within given time period. The main goal of
challenging task is that to analyse potential level of employees within workplace while dealing
with task. Apart from this HR gathers feedbacks from trainer who helps manager to give score
sheet as well aware employees about their strength and weakness.
Thomas Cook Group Plc is travel and tourism company which faces various issues like
employee’s retention within workplace. There are various methods which is used by human
resource to resolve negative behaviour of employee. For example, human resource management
offers two-way communication to employees where they can directly communicate with HR
related their issues such as salary issue, work pressure issues and others (Ert, Fleischer and