Analysis of the Contemporary Hospitality Industry: Whitbread PLC

This report provides a comprehensive analysis of the contemporary hospitality industry, using Whitbread PLC as a case study. It begins with an introduction to the hospitality sector, defining its scope and services, including lodging, food and beverage, travel and tourism, entertainment, and time-share. The report then explores the operational and functional departments within Whitbread PLC, such as front office, housekeeping, finance, and HR. It examines the direct and indirect impacts of the hospitality industry on the UK economy and other countries. Furthermore, the report delves into various operational roles within the industry, including room division managers, receptionists, and housekeeping staff, and reviews the required skills for each role. The report also analyzes macro-environmental factors influencing the hospitality industry and conducts a SWOT analysis of a hospitality organization. Finally, it examines current and potential trends affecting the hospitality industry in the UK, offering insights into future developments. The report concludes with a summary of the key findings and a list of references.

Contemporary
Hospitality Industry

Table of Contents
INTRODUCTION...........................................................................................................................1
TASK 1............................................................................................................................................1
P1 Different types of business within hospitality and products and services offered.................1
P2 Range of operational and functional department...................................................................2
P3 Direct and indirect impacts of hospitality industry on UK economy and other countries.....3
TASK 2............................................................................................................................................4
P4: Range of different operational roles within industry............................................................4
P5 Review the skills requirements for the roles mentioned above for hospitality industries.....5
TASK 3............................................................................................................................................6
P6 Macro environment factors and their impacts on hospitality industry..................................6
P7 SWOT analysis of a hospitality organisation.........................................................................7
TASK 4............................................................................................................................................8
P8 Analysis the implication of current and potential trends affecting the hospitality industry in
UK...............................................................................................................................................8
CONCLUSION................................................................................................................................9
REFERENCES..............................................................................................................................10

INTRODUCTION
Hospitality industries is defined as the service industry which deliveries number of
facilities to its guest. The services which are included in hospitality sector is event planning,
lodging, theme parks, cruise lines and many more services within the field of tourism industry.
The main purpose behind preparing this project is to give wider range of knowledge to the
student who are planning there career within the field of Hotels industry. The chosen
organisation in this particular project is Whitbread. It is one of the British multinational hotel and
restaurant industry. In context of the project, discussion will be on current structure, scope an
size of the hospitality industry. Skills required within the hospitality field will also be described.
In addition, discussion will relate to the internal and external factor that can impact in the field of
hospitality sector. Also, there will be detail analysis on current and potential trend which is
affecting hotel industries.
TASK 1
P1 Different types of business within hospitality and products and services offered
In present scenario, hospitality sector is one of the most important sector for any of the
country because it directly impact on the services which any of the country can deliver to the
person who comes from another nation (Blanchard and Higgins-Desbiolles eds., 2013). Any of
the hotel industry have huge responsibility that is required to be fulfilled as it has been demanded
by the tourist. For the taking additional benefit within the marketplace it is necessary that all of
the services must be fulfil delivered in specific time period. Some of the services which is
required to be delivered by any of the hospitality industry is explained below:
Lodging Accommodation: It is one of the most important which is considered by any of
tourist as they want comfort zone while travelling to any of the place. In this field, luxury hotels,
resorts, camp ground and many more are included which delivers the better food and
accommodation services to the guest. Here, hospitality industry provide the quality of services to
customer as per their expectation. This is the only way to increase the size and scope of
organisation.
Food and Beverage: Here, the main target is to deliver the food services to customer as
per their want and desire. Various categories are there in it which is explained below:
1

 Quick Service Establishment: Under this form of services, guest receives faster form of
service which includes different drinks, snacks and mini meals which can be served in
quick succession (Connell, 2013). Catering Businesses: The main motive of this form of service is to deliver services ion
different occasion like birthday party, wedding ceremony. Full Service Restaurants: It is one of the finest way to deliver the services to the
customer where food is and services are delivered on the table for visitors. Here,
customer have the option to select any of the food product of their own choice.
Travel and Tourism: Number of field are included in it for the purpose of giving better
services to traveller. It do not focuses on any of the single area as it includes travelling facilities,
food services and many more.
Entertainment: Whenever any of the person visit new place they want some of the
extraordinary things which helps them to feel more comfortable. Here, services which is mainly
focused is games, marines etc.
Time share- It is one of the most important aspect for customer because here they try to
book villas, convention and different resorts for the purpose of spending quality time for short
period time.
P2 Range of operational and functional department
In any of the organisation there are several department are required through which goals
and target can be easily accomplished on specific time period. This is even more important for
those organisation that are involved within the field of hospitality because number of works are
there which need to be conducted in specific manner (Dasgupta, 2011). In context of Whitbread
Plc, they have also categorised several department through which there working environment
becomes more easier and smoother. Different department which have been managed in
Whitbread is listed below: Operational Department: This department have to focus on designing and controlling
of daily basis activity for the purpose managing business smoothly. This segment also
consist of different departments in it which is discussed below:
◦ Front Office: In this department, the reception department of Whitbread Plc is
required to tackle with guest who visit the hotel. The main motive of this department
is to solve any of the problem and queries of visitors and even detail information is
2

required to deliver to them if it is necessary. Some of the department of Whitbread
Plc who works in front office is cashier, reservation desk, reception desk . They are
required to give any of the relevant information about the hotel if customer wants to
know.
◦ Housekeeping: It is one of the most important department of Whitbread Plc as they
are the one who tries to keep hotel neat and clean so that any of the guest doesn't feel
any kind of problem when they stays within the hotel. It plays the vital role for the
overall growth of the company (Falk and et. al., 2012). Functional Department: It is the crucial department for Whitbread Plc as they have the
major responsibility to run the hotel in smoother manner. Some of the department which
are covered in it is finance department, HR department and many more.
◦ Finance Department: in this, management of Whitbread Plc is required to keep each
and every information related to income and expenses of the company through which
actual revenue can be calculated at the end of year.
◦ HR Department: It is the department of Whitbread who is required to hire the bes
candidate for the hotel who can help to accomplish the goals of an organisation.
P3 Direct and indirect impacts of hospitality industry on UK economy and other countries
In present situation, hospitality industry is one of the fastest growing industry which even
helps to demonstrate the culture and believes of any of the nation. If company wants to expand
its business at bigger platform it is necessary that they need to think that how business can be
expended at greater platform. The main benefits of hospitality industry is that it helps to bring
positive impact on local, national and even international economics. The detail description about
this economy have been explained below:
Local economy- In this, hospitality sector tries their best to deliver the best form of
services to the guest who visits the hotel in very quick succession that helps to grow the overall
economy at local level. In the recent report of UK market, it has been found that hospitality
industries try to satisfy need and wants to customer where they try to convince customer for
spending higher amount of money for providing the best form of services. This is one of the
reason which proves that hotel industries do have positive impact on local economy when it is
compared with other sector industries.
3

National economy- Hotels and travel & tourism industry do have great influence with in
the market of UK as it increasing day by day and even it is capable of influencing the tourist. As
per the report of ONS, hospitality sector is the third largest sector when it comes to generate
employment within UK. It is helpful for Great Britain in generating more revenue (ECONOMIC
CONTRIBUTION OF THE UK HOSPITALITY INDUSTRY, 2018).
International economy- There are thousand of multinational organisation do exist within
the premisses of UK whose main motive is to give qualitative services to customer. This is
helpful for the purpose of contributing in the growth of global economy. It is helpful in
generating morejob opportunity within the premisses of UK and even many of the people do
apply from other nation for joining hospitality industry in Great Britain.
TASK 2
P4: Range of different operational roles within industry
There are number of departments which can be formed within the premisses of
hospitality industry and it is necessary because it helps to manage each and every work in
systematic manner (Long, 2013). Also, it tries to give clear idea and vision through which goals
and target of organisation can be easily accomplished. There are various operational role within
this industry and it is the responsibility of the management team of Whitbread Plc that every
work must be managed systematically.
Role of room division manager: The room division manager of Whitbread Plc have the
major responsibility to give proper training and guidelines to the employee's who are working
under him. Here, manager is required to delegate the roles and responsibility in the department of
housekeeping and front office. It is helpful because the customers who visits the premisses of
hotel do get the best from of services through which goals and targets of Whitbread Plc can be
easily achieved. Also, it is beneficial in solving any of the queries which arises in the mind of
visitors.
Role of Receptionist: In hotel industries, role of receptionist increases significantly as
they are the one who have to provide all the basic information to guest. In context of Whitbread
Plc, their reception department is required to provide all the relevant information to the client by
including the services which they provide the guest with room keys. Even they are required to
coordinate with all of the other department such as coordinating with housekeeping that when
4

room is required to be clean. Also, they are required to maintain the detail information about the
guest who comes in the hotel.
Role of Housekeeping: This is the department of Whitbread Plc which need to keep
rooms and premisses of Hotel clean so that any of the guest who visits the hotel do not face any
kind of issues (Hall, 2013). They are the one who helps to maintain the reputation of Whitbread
Plc.
P5 Review the skills requirements for the roles mentioned above for hospitality industries
There are various skills which is required by any of the individual through which each
and every work can be concluded in systematic manner. The skills which are required to have in
every individual within the premisses of Whitbread have been categories below:
Technical skills: Hospitality sectors is improving every single and it is necessary every
department must have technical skills as it helps to accomplish the target in easiest form. In
context of Whitbread, they are required to give appropriate training session where they can guide
there employee's that how technical work helps the organisation. It is mainly helpful for
reception department because they can easily maintain the records as they are the one who have
to deal with technical equipments like computers, printers and many more.
Management skills: This department is very helpful for organisation because it tells that
how any of the work is required to be managed how long it will take to complete any of the
particular work. In context of Whitbread, their management team required to have detail
information about each and every department through which every work can be managed easily.
This skill will helps to know what is the actual want and desire of customer so that they can be
fulfilled with in the specific time period (McWha and et. al., 2016).
Communication skills: It is one of the most important skill which is required in any of
the field. It is necessary for Whitbread Plc because it will help they to understand about the need
and wants of guest. Even it is beneficial because it will help to provide relevant information to
the customer. Housekeeping department have the major role in it because they are the one who
needs to provide information that how premisses of hotel can be kept clean.
5

TASK 3
P6 Macro environment factors and their impacts on hospitality industry
A Pestle analysis is a tool used to examine the external environmental factor that impacts
the hospitality industry. This tool is used when a new hotel is entering into industry or
collaboration of two hotels to understand the situation which is affected by internal and external
factors (Hospitality Industry Pestle Analysis, 2018). These factors are explained with broad
framework such a demographic, intercultural, ethical and ecological. Whit bread uses Pestle to
analysis detail about operating challenges which the hotel will face other than competitive forces.
The brief explanation of these factor and impact on Whitbread Plc-
 Political- This factor states that how much degree a government interface in the
economy or to certain industry. This include all the policies made by government such
as tax policy, foreign trade policy etc. It is important to understand the factor which can
impact long term profitability in a country. Whitbread is working in Travel & leisure in
many countries and expand in different political environment so to diversify the risk
related to political environment the aspects are taken into consideration which are
Political stability of that particular environment, level of corruption , legal framework
and property protection right etc (Minca and Oakes, 2012).
 Economic factor- These factors determine the performance of economy which are
economic growth, exchange rates, inflation rates, disposable income of consumers and
unemployment. Whitbread use these economic factors to estimate growth rate of the
hospitality sector . The Factor which are required to take into consideration are the type
of economic system, exchange rates & stability, efficiency of financial market,
education level,skilled workforce. If growth rate is high then the company can enter into
that market.
 Social Factor- These factors are important to examine the customers that are to be
targeted. The factors are population growth rate, age distribution, income distribution,
career attitudes, safety emphasis and cultural barriers. Society. Whitbread Plc examine
customer by understanding belief and attitude of customer to design the marketing
message of company. The factors that Plc analyse are demographic of population, class
structure, education level, culture, attitudes and leisure interest (Moutinho and Vargas-
Sanchez, 2018).
6

 Technological factors- Technology is growing rapidly. It is transforming very fast that
even no one is able to cope up with it. Whitbread perform technological analysis to
examine the speed of technological transformation as slow speed will give time to cope
with it.
 Environmental Factors- Before entering in a market The analysis of environment
factors are needed for proper functioning. As different market have different impact on
profitability. Whitbread analysis weather, climate change, laws & regulation and waste
management to operate in that market without any risk or enhancing profitability.
 Legal Factors- The legal framework overlap with political factor. It contain specific
laws such as discrimination law, employment law, consumer protection law, patent and
copyright etc. which are requires to examine to be aware about their importations. Whit
bread evaluate these factors to obtain competitive advantage. Their primary focus on all
these laws to gain leadership in the market (Chen and Shen, 2012).
P7 SWOT analysis of a hospitality organisation
SWOT analysis is one the topic which tells that what are the current strength and
weaknesses of organisation and how they are required to work in future so that better results can
be achieved. In context of Whitbread, if they can be able to find there actual weaknesses then
they can easily work on it through which they can enhance there performance. Below SWOT
analysis has been done on Whitbread Plc.
Strengths Weakness
 They have maintain the price of due to
which customers are easily attracted
towards the company.
 They conduct various programs in
which they give loyalty through which
various offers can be avail (Hall and
Gössling, 2013).
 There is poor communication system in
company .
 Room and services which are offered to
customer are not well satisfying for
customer.
Opportunities Threats
 They have the opportunity to expand  The biggest threats for the company is
Crown Plaza, Hilton as they are
7

their business at greater platform.
 They can do joint venture with some of
the renounce hotel through which they
can enhance their profit.
performing well in the market.
 Willingness of the customer changes in
every short period of time but
Whitbread is unable to adopt those
changes.
Influence of SWOT in decision-making – This will help organisation to perfomr thweir
task easily and even this will help them to improve on all those week area from whicvh targets ca
can be easily accomplished.
TASK 4
P8 Analysis the implication of current and potential trends affecting the hospitality industry in
UK
Number of present and future trends are there which can can the overall structure of the
organisation and all those trend have been explained below:
Current trend Internet services – In this Whitbread Plc provide internet facilities to there customer
through which work customer is able to advice about the services which is required to
be improve (Jones, Hillier and Comfort, 2016).
 Tech explosion: In this trend any of the customer do not want to disturb any of the guest
of hotel. It is one of the user friendly experiences which is being delivered to customer.
Future trends Direct Booking – In many of the hotels direct booking is not possible but in future it
can be changed which will directly help customer.
 Tracking facilities – In this, hotels will be able to deliver the services to customer they
will be able to track them up to that they in which they are connected with company.
8

CONCLUSION
It can be concluded from the above file that hospitality sector is one of the most advance
industry which is being able to generate more number of job opportunity for individual. Every
year number of tourist are increasing due to which this field is being able to achieve more
success. Even hospitality industry can easily conduct PESTLE and SWOT for the purpose of
finding internal and external impact on organisation through which different problem can be
created. Also, trends do changes on short period of time and it is important that organisation
must work as per the requirement of market trends for future growth.
9

REFERENCES
Books and journals
Blanchard, L. A. and Higgins-Desbiolles, F. eds., 2013. Peace through tourism: Promoting
human security through international citizenship. Routledge.
Connell, J., 2013. Contemporary medical tourism: Conceptualisation, culture and
commodification. Tourism management, 34.pp.1-13.
Dasgupta, D., 2011. Tourism marketing. Pearson.
Falk and et. al., 2012. Travel and learning: A neglected tourism research area. Annals of Tourism
Research. 39(2). pp.908-927.
Hall, C. M., 2013. Wine, food, and tourism marketing. Routledge.
Long, L. M., 2013. Culinary tourism (pp. 1-8). Springer Netherlands.
McWha and et. al., 2016. Writing for the anti-tourist? Imagining the contemporary travel
magazine reader as an authentic experience seeker. Current Issues in Tourism. 19(1).
pp.85-99.
Minca, C. and Oakes, T. eds., 2012. Real tourism: practice, care, and politics in contemporary
travel culture (Vol. 26). Routledge.
Moutinho, L. and Vargas-Sanchez, A. eds., 2018. Strategic Management in Tourism, CABI
Tourism Texts. Cabi.
Chen, T.L. and Shen, C.C., 2012. Today's intern, tomorrow's practitioner?—The influence of
internship programmes on students' career development in the Hospitality Industry.
Journal of Hospitality, Leisure, Sport & Tourism Education. 11(1). pp.29-40.
Hall, C.M. and Gössling, S. eds., 2013. Sustainable culinary systems: Local foods, innovation,
and tourism & hospitality. Routledge.
Jones, P., Hillier, D. and Comfort, D., 2016. Sustainability in the hospitality industry: Some
personal reflections on corporate challenges and research agendas. International Journal
of Contemporary Hospitality Management. 28(1). pp.36-67.
Online
ECONOMIC CONTRIBUTION OF THE UK HOSPITALITY INDUSTRY, 2018. [Online].
Available through: <https://www.ukhospitality.org.uk/>
Hospitality Industry Pestle Analysis. 2018. [Online]. Available through:
<https://www.cheshnotes.com/2017/03/hospitality-industry-pestel-analysis/>
10