Factors Affecting Hospitality Sector in Terms of Management
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Contemporary Hospitality

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Introduction to Hospitality Industry

The hospitality industry includes hotels, restaurants, and additional fields within the tourism industry. The hospitality industry is very old and it has changed over time. This industry is the most flourishing sector in the contemporary world. Thus, it has improved and has an efficient structure in the organization with continuous improvement in the services of customers. In contemporary hospitality, the customer has become the main focus of every organization. For this, the firm has to adopt several changes to cope with the challenges.

This report is mainly focused on the scope and scale of the hospitality industry and for a clear understanding of this report, Hotel Marriott has been chosen. Marriott is an American diversified company that was founded by John Willard Marriott in 1927 when the couple opened the root beer stand in Washington D. C. Now Marriott manages and franchises a broad portfolio of hotels and also some related lodging facilities. This organization owns more than 4,087 premises in around 80 countries. In Hotel Marriott, the management structure is effectively organized. Moreover, discussion has been made about the emerging trends of demand and supply for the hotel staff and also about meeting the staffing requirements of Hotel Marriott. The recent development in the staff of the hospitality firm has affected the legal, management, and operational areas of Hotel Marriott in both a negative and positive manner. The overall image of the hospitality industry and that of hotels is very good in the minds of customers as this sector provides a high level of satisfaction to them. The potential trends and development may have positive or negative effects on Hotel Marriott.

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Task 1

1.1 Scope and scale of the hospitality industry and management structure of different hospitality organizations

The hospitality Industry is one of the fastest-growing sectors in the World. The scope of this industry has become very wide. Scope refers to the range of business that provides services and facilities which include accommodations, food and beverages, entertainment, etc. The UK hospitality industry has represented itself in every country in the world and is diverse and complex. From a global perspective, the scale and scope of this industry are widening over time. Many firms have entered in this industry and still, many opportunities are prevailing in this market for new enterprises to establish their business. Many hotels and restaurants have globalized themselves to expand their business. This has provided jobs to many candidates and people have gotten the exposure to world by doing jobs in the globalized organization of the hospitality industry.

The major contribution to the UK economy is made by this industry alone. Overseas visitors have spent £21.01 billion in the past years and show a 12% increase every year. 32.8 million people visited the UK from overseas which shows a 5.6% increase from the previous years. Year by year, the number of visitors is increasing in this sector. People who visit the UK, provide benefits in every field or aspect of this industry such as the tourism sector, hotel industry, restaurants, amusement parks, entertainment sector, heritage and museum, etc. Thus, it increases the scope and scale of this industry every year. Data shows that the future scope is very wide in this industry.

1.2 Discussing the management structure of different hospitality organizations

The management structure of Hotel Marriott consists of a General Manager under whom housekeeping, maintenance, sales, Human Resources, Food and Beverages, front desk, and audit departments are there. Sub-departments are there who report to their supervisors and then final reporting is sent to the general manager. Thus, it can be assessed that an effective management structure has been designed so that the needs of employees can be assessed and satisfied easily.

1.3 Assessing the role of professional bodies and hospitality organizations

The role of professional bodies such as the Institute of Hospitality is very crucial in the development of contemporary hospitality. These bodies provide various courses and practical aspects to people who aspire to pursue their careers in the hospitality industry. They perform several roles in bringing efficient human resources to this sector. Some of the roles are discussed as follows...

Preparing Future Managers

Professional bodies such as the Institute of Hospitality provide admission to students in their institute and teach those including theories and practical aspects of the hospitality industry. They provide the highest quality management education to them based on the recent trends in the industry. These bodies help people to become the best managers in the industry. Various courses are provided to them such as hotel management, customer relationship management, tours and travel management, etc. It would help the students in getting opportunities in Hotel Marriott.

Matching the Demand and Supply

These bodies for example, the British Hospitality Association, HOSPA, and the Institute of Hospitality, help Hotel Marriott meet the demand for human resources by supplying efficient human resources to them. These institutes provide placement facilities to those who acquire education from such institutes. They get placed in Marriott. Whenever the organization requires human resources, they provide resources to them. It provides international hospitality professionals with the highest professional standards of management. Thus, it helps the economy and Marriott in matching the demand and supply of human resources.

Contribute to the UK Economy

By providing large employment opportunities to people, the Institute of Hospitality and other professional bodies help the economy maintain equilibrium. Thus, they encourage people to pursue a career in hospitality because there is a wide scope in such an industry and they make candidates efficient in influencing the customers for repeat purchases in Hotel Marriott thus, contributing to the UK economy by generating great business.

Task 2

2.1 Emerging trends in demand and supply for hospitality staff

In the present scenario, the hospitality industry is facing an issue of demand and supply of hospitality staff. The type of staff required at Hotel Marriott as per the staff hierarchy are as follows...

Top Management

In this, senior managers of each department marketing, HR, finance, and operations are included. Their responsibilities are to make strategies for their department and the hotel as a whole.

Tactical Management

In this, teams of functional specialty, and other employees are formed. They implement the decisions taken by the top management of Hotel Marriott.

Operational Management

Skilled and semi-skilled employees, supervisors, management trainees, apprentices, and part-time employees are grouped and they work to carry out the operations of a hotel.

According to this hierarchy, hotels demand the staff for these posts thus, staff requirements can be met in Hotel Marriott by doing tie-ups with the hospitality placement agency that may provide the personnel whenever required to meet the demands of the organization. They can also meet the requirements of employees by doing campus placement in institutes of hospitality. Further, they can recruit people by giving website advertisements about recruiting.

2.2 Skills and Qualification requirement for the Personnel

Skills and qualifications are essentially needed to work efficiently in Hotel Marriott. Without this, any candidate cannot even get the job. This is required because hotel employees have to perform multiple tasks in the industry. Thus, the person should have the required skills and qualifications based on the roles and responsibilities of Hotel Marriott. There are several roles and responsibilities of the staff of Hotel Marriott. Some of them are discussed as follows...

Operations

Every employee of the hotel has to perform his work as housekeepers have to perform their assigned duties, the assistant general manager has to do the reporting work and needs to allot the daily tasks to employees. Kitchen staff and waiter staff have to cook the food and need to serve the customers accordingly.

Customer Interaction

The role of every employee of the hotel irrespective of their job profile is that they have to communicate with the customers at one or the other point. Their responsibilities are that customers should be satisfied in every context whether in maintenance, laundry, food, or other services.

Technical Role

Hotel staff has to work on computers while performing their duty. They have to maintain the records of customers, records of rooms occupied or vacant, customer footfall, records of inventories, providing cash or credit/debit card receipts to customers, etc.

Sales and Marketing

Employees of this department have to perform the operations as well as fieldwork by doing marketing of the hotel. Responsibility is that the goals of the organization should be met within a given time line. Based on these roles and responsibilities, personnel require various skills and qualifications to perform their work effectively and efficiently. Some of the skills are listed below...

Communication Skills

While interacting with customers, the communication skills of an employee should be highly effective. This is because the hotel's main focus is customer satisfaction and repeat business which can be achieved through effective communication skills by which customers can be influenced for doing the repeat business.

Interpersonal Skills

To be successful in the hotel industry, one must possess interpersonal skills as in this sector, the main task is to provide customer service and without this, customer relations cannot be maintained.

Excellent organizational and administration skills

This is required to perform the role of operations in hotels in effectually. Qualifications required for getting placed in Hotel Marriott are a Diploma or full-time course in hospitality, an apprenticeship in any major hotel, other vocational qualifications, etc.

Task 3

3.1 Recent developments affecting the hospitality industry in the areas of legal, operations, management

Recent developments in the hospitality industry have affected three different sectors of Hotel Marriott in both positive and negative manner...

Legal

The recent developments in the UK are improved customer services, high level of employee and customer satisfaction, intense competition in the industry, customer awareness, safety regulations, etc. Due to this, the government of the UK has introduced various laws in the hospitality sector which have an impact on the working of Hotel Marriott. The government has introduced the Health and Safety Act, of 1974, the Occupiers Liability Act of 198the 4, the Equality Law, the Customer Protection Act, etc. This has impacted the hotel's working after the implementation of laws and regulations. Unfair trading has been avoided, sex discrimination cannot be done, healthy and safe environment has to be provided to customers as well as employees who come under this. It has helped to maintain the decorum of the hotel but also government interference have been increased which may hinder the performance of the hotel's working.

Management

Along with the recent development, management efficiency can be developed over time. Recent developments in the hospitality industry have put a challenge on the hotel to survive in the competitive market. The management of Hotel Marriott makes strategies to achieve a competitive edge and to meet customer satisfaction by employing and retaining highly qualified personnel. This has made the management efficient and effective. Many times, a shortage of qualified employees leads to difficulty for the managers to cope with the recent developments.

Operations

The operating activities are the main task of Hotel Marriott. Many recent trends have impacted the operating activities of hotels. Development is needed like providing delightful services to customers by using the latest technologies such as electronic check-ins, providing privileged and luxurious services to high-end customers, mobile-enabled front desk management, etc. To adopt such development, the hotel has to hire highly skilled and qualified personnel and timely recruitment has to be done as well.

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3.2 Creating and managing the overall image of the hospitality industry

The image of hospitality can be created by providing excellent services to customers, by satisfying their needs, and through attracting the customers towards products and services of hospitality such as luxurious facilities at hotels, good food at restaurants, recreational facilities at parks, etc. Customers and employees should be provided with health and safety as well and proper rights to customers should be provided. Through this, overall a positive image of the hospitality industry can be created in the minds of customers. The good image of the hospitality industry should be maintained to widen the scope of hospitality and grow the economy of the UK. This can be managed by doing effective communication with the customers. By hiring efficient employees, the needs of customers can be satisfied. People can be influenced by making healthy relations with the customers to have repeat purchases from them. Also providing safety to customers during their visit by following the laws and regulations is initiated by the government. These may help in maintaining the overall positive image of the hospitality industry.

The current situation of Hotel Marriott is that management and employees are highly efficient and this has helped the hotel to obtain a competitive advantage in the industry. They provide high-end customer services and satisfy the needs of customer services. 97% of customers are truly satisfied with the services of Hotel Marriott. The employees' behavior and communication process with the customers are up to the mark. This can be continuously improved by providing training and development to the hotel staff. The image of Hotel Marriott in the hospitality industry is quite good. To maintain this image, hotels should continuously develop and improve their performance by coping with the recent changes and by assessing the potential changes as well.

Task 4

4.1 Potential trends and developments in the hospitality industry

Recent trends in the hospitality industry have been discussed in the former question. The organization has to make predictions for potential trends and development to achieve a competitive advantage, provide customer satisfaction through effective management, capture the first mover advantage, etc. Some of the predictions have been made which are discussed as follows:

Young Customers

There will be a new segment of young customers in the future which may change the trends of the industry. These people will have new needs and demands that have to be fulfilled by Hotel Marriott to be successful in the future. This can be achieved by searching for and adopting the measures that will satisfy their needs. There is a great chance that Millennials will be the new customer segment because the main focus of this group is on exploration, interaction, and experience which can be achieved by visiting and traveling to a new city or country.

High-tech Customer Service

Services to customers will be provided by using excellent technologies and high-tech instruments such as customers will be provided with a Tab or Smartphone by their hotel for placing an order, room services, calling housekeeper, etc. This would be done by selecting the options on Tab. Moreover, automated services will be provided such as automatic cleaning of rooms by pressing the button. To cope up with such changes, Hotel Marriott has started planning to adopt these changes.

Political Uncertainty

Due to the adverse economic conditions of the UK, political issues are arising every day. Thus, there is a possibility of political uncertainty which may hinder the performance of Hotel Marriott. Firms should prepare themselves to cope with the unfortunate trends.

Expectations of more international visitors

With changing trends, people are visiting foreign countries, and with the gradual development of the UK; people are keen to visit the UK. Thus, it states that international visitors will be increased in the coming years. Hotel Marriott may generate maximum profit through foreign exchange and by incoming more visitors. So, planning for this may be done in advance.

4.2 Impact analysis of potential trends

In a former question, potential trends have been discussed. These trends may have positive or negative impacts on Hotel Marriott. For this purpose, impact analysis should be carried out so that hotels can prepare them in advance to avoid the negative impact or to convert them into an opportunity. Some of the impacts are as follows:

Positive Impact

If there is a chance of having a young segment of customers in the future then it will be advantageous for the hotel as they can get the new variant of the customer segment and this will enable the hotel to develop an effective strategy. It will be easier for the hotel to make strategies for them as the hotel is already aware of the recent trends and satisfaction sources are known as well. For providing high-tech services to customers, technological advancement can be brought into the organization. This will aid the company to become automated and technologically upgraded. This will reduce the training and development of personnel as they have to interact less with the customers because most of the work will be done by the machines. If more international visitors will come then the firm may generate more profits through foreign exchange and there will be an inflow of international currency.

Negative Impact

The younger customer base will be more aware of their services and rights and thus any mistake from the hotel may impact badly as they can file suit in court for any mis-happening. This will generate a negative image in the minds of consumers. For this purpose, the hotel has to take due care of the consequences and needs to prepare themselves in advance. Installation of high-tech machines may result in over-expenditure for the hotel which may exceed the budget of the firm. This may result in a loss for the hotel. Political uncertainty may hinder the performance of hotels because there will be more interference from the government and economic imbalance may affect the profitability of the organization.

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Conclusion

After preparing this report, it has been concluded that contemporary hospitality is the most flourishing industry as it generates the maximum profit and helps the economy to grow. This industry has a wider scope for new firms and also for new candidates. The emerging trends and developments in this industry have affected Hotel Marriott in both a positive and negative manner. The professional bodies are playing a crucial role in providing efficient employees to Hotel Marriott and also it has solved the problem of matching the demand and supply of human resources. There is a great chance of having potential trends and developments in this industry that will impact the hotel and for this, the hotel may prepare itself in advance.

References

  • Anderson, W., 2013. Leakages in the tourism systems: case of Zanzibar. Tourism Review.
  • George, E., 2010. Intangible cultural heritage, ownership, copyrights, and tourism. International Journal of Culture, Tourism and Hospitality Research.
  • Hudson, S., 2011. Working together to leverage film tourism: collaboration between the film and tourism industries. Worldwide Hospitality and Tourism Themes.
  • Murphy, P. E., 2013. Community-driven tourism planning. Science Direct.
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