Contemporary Hospitality Industry

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Contents
Task-1..........................................................................................................................................................3
1.1 Scale, scope and diversity of the hospitality industry in UK...................................................................3
1.2 Organizational structure of the hospitality industry of UK with reference to the Ritz Hotel, London
and the type of structure it has...................................................................................................................3
1.3 Assessment of the role of hospitality related organizations and professional bodies...........................5
Task-2..........................................................................................................................................................5
2.1 Assess the staffing requirements of different hospitality business........................................................5
2.2 Roles, responsibilities and qualification requirements for hospitality staff...........................................6
Task-3..........................................................................................................................................................7
3.1 Analyze operational, managerial and legislative issues resulting from recent developments affecting
the hospitality industry................................................................................................................................7
Operational Issues:..................................................................................................................................7
Managerial issues:...................................................................................................................................8
Legislative issues:....................................................................................................................................8
3.2 Current image of the hospitality industry........................................................................................9
Task-4..........................................................................................................................................................9
4.1 predictions for potential trends and developments in hospitality.........................................................9
Capitalize on technology:......................................................................................................................10
More emphasis on health and well-being:............................................................................................10
Green living:..........................................................................................................................................10
4.2 Impact analysis for the predicted trends and developments..............................................................10
Demand analysis:...................................................................................................................................11
Financial analysis:..................................................................................................................................11
Fiscal impact analysis:............................................................................................................................11
Likelihood studies:.................................................................................................................................11
Environmental impact evaluation:.........................................................................................................11
Conclusion.................................................................................................................................................12
Reference..................................................................................................................................................12
Bibliography...............................................................................................................................................12

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Task-1

1.1 Scale, scope and diversity of the hospitality industry in UK

The hospitality industry is widely popular in entire UK from many years. So many occupations
are involved with this sector even it was found more than 80 occupations are involved with this
sector. Though hospitality industry is developing very rapidly there has created so many
occupations as well as here creates different opportunities from top to bottom.

There have many jobless persons in UK who just find a new employment opportunity through
hospitality industry. Fresher’s are getting opportunity to do something through hospitality
industry and improving themselves as well as does lot for the entire economy.

An economy where have 89% labor force, 43% of self catering lodgings, advanced technology
people finds here comfort to work and also involving them for long term basis.

1.2 Organizational structure of the hospitality industry of UK with

reference to the Ritz Hotel, London and the type of structure it has

The Ritz hotel London is a well known 5-star hotel of London located in Piccadilly in London,
England. This hospitality industry is a member of the international consortium which is the
leading hotels of the world.

It was opened in 24may, 1906 and owned by Ellerman Group. It offers 111 well furnished
comfortable rooms where has 23 number of suites this company also has 3 big restaurants.

The main structure of this hotel is not different from other hotels who are also serving the same
quality services. With the initiation of a corporate body they just manage the whole structure of
the hotel where have good cooperation between all member from top to bottom. At first it just

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focus on the existing labor it has and then it links between them to make a good control all over
the world. They just follow the synchronized marketing to look the demand of each and every
customer who looks for their services.

In the hospitality sector the organization was structured to fulfill the following aims:

1. Maximizing the revenue

2. Offering safe quality services
3. Gaining competitive advantages over the competitors

But the main part how they structures their organization is:

Commercial or service sector: they are offering services for both commercial and service
sector identifying the core needs of the customers they are just serving desired needs relentlessly.
But they mainly focus on making this business to a commercial organization by making long
term customers. In such purpose they segment the market intensively to identify needs and wants
of customers which they love to gather with cheapest cost and offer them in a daily basis.

Financial profit margins: creating a proper financial plan they segment each and every part of
their services which is highly profit oriented. It needs to say each and every industry established
up to generate profit and they are not different from this. They initiate several price setting
strategies for different offerings to obtain maximum profit from any service served by them.
Once they determine the financial plan for the organization they do works to meet its goal.

Constrained clients to the local community: most procedures of the hospitality are put on the
market by anybody but only few are limited to promotion to a tiny fraction of this community.
Where budget based working, commercial purposes, core general public, profit making projects,
restricted customers as well as services are well defined in a sequential manner. By providing
superior infrastructure quality they provide employment opportunities to new job seekers who
want to grape the opportunity with easy requirements. In this purpose they also segment the area
of their operation by some monitor whose main focus in on accomplishing the desired objective
made by the entire organization to reach its goal. This organization also focuses on creating
community development by providing job offerings to rural areas for their own development.

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But it does not tell that it is always busy in making employment opportunity eventually there
focus is always on profit making for their development.

They just maintain their activities with the help of some interrelated team works where some
people remain busy to communicate with people who don’t know about their offerings and some
others makes proper financial plan by which they understand how much profit need to achieve to
get their objective at certain time period.

1.3 Assessment of the role of hospitality related organizations and

professional bodies

Hospitality related organizations as well as professional body’s plays vital role for the
contribution of hospitality sectors in UK. They just involved in doing so many activities which
drag them to a higher level.

 The main role of the hospitality sector is to ensure the accommodation safety when guests
or tourists stay overnight and also ensures their stay satisfactory.
 Ensuring that guests liked the environment where they stayed and finds it a safe and
friendly place for living.
 Protecting the privacy of the visitors and not being attached with any kind of occurrences.
 Protecting people from any kind of human trafficking that sometimes arises but not
necessarily happens always.
 Showing friendly attitude towards them and make them bound to understand that we are
always with them as well as responsible to take steps according to their rights at any
uncertain circumstances.

Task-2

2.1 Assess the staffing requirements of different hospitality business

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Recruitment for a well known 5-star hotel like The Ritz hotel has always been an important task.
While recruitment they try to identify some distinctive characterized people who has good
bargaining power, nice tone of voice, who has enough ability to get attention of the customer
easily. In such purpose the concerned authority of Ritz hotel uses both internal and external
activities to get the right person for their desired post. As they need so many employees they try
to recruit young people who have enough knowledge about customer’s choice and can
communicate well. As the Ritz hotel is serving their services with large area they need many
employees to make their works done. And we know this hotel also arranges different events that
are why only for maintaining the general operations they recruit many employees every year.
Thus they give opportunity to those people who have such skills. These members are always
busy in paying their maximum effort for the betterment of this hotel industry.

2.2 Roles, responsibilities and qualification requirements for hospitality

staff

The Ritz hotel appointed large number of employees from which each and every staff has
specific roles and responsibilities and obviously they need to have specific qualifications to do
those activities. Every staff must be aware about the customers preferences their responsibility is
to fulfill requirements asked by those consumers. They must be always responsible to make
consumers clear about any issue. These staffs will work for the industry relentlessly to help the
organization to get its desired goal easily. But eventually all these aspects can be expected from a
staff when he/she is enough qualified for his post. Generally those peoples who interact with
customers in a daily basis they need to have good communicative power who will understand
what customers want and what they prefer in which circumstances. But it is not necessary that
every customer’s choice would be matched with one another eventually this is the condition
where people can understand what customers want when they have enough qualification. That’s
why the recruited people should be aware about different languages for easy communication in
their work place.

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Task-3

3.1 Analyze operational, managerial and legislative issues resulting from

recent developments affecting the hospitality industry

The recent development of hospitality industry greatly affected the operational, managerial and
legislative issues in the economy of UK.

Operational Issues:
Labor scarcity: the scarcity of labor is existed in almost every economy and results a bad
impact where organizations doesn’t get enough labor force to make their work done within the
specified time period. Another big problem which also hampers the development of the
hospitality industry is that most industries suffer from lack of resources. Though they don’t have
modern automated machinery equipment they need to depend on labor force for any kind of
operational activity. But in the economy of UK labors are very expensive as well as people just
don’t like to involve them with such kind of job thereby hospitality industries suffers from lack
of enough man power which greatly affects the development of hospitality sector.

Cost suppression: high cost charged by any hospitality industry will make consumers bound for
further re-think, are they getting services at a reasonable price or not. In any economy price
sensitive customers are most in number. They are very conscious about prices of the product.
Actually they just want to get good quality product with reasonable price. Marketer usually sets
market penetration and market skimming method for setting the price but for a developing

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industry like hospitality here market skimming method doesn’t results well in near future. The
Ritz hotel is not different from others in this position. They may charges more sometimes which
discourages people towards them. But the main reason for such high price is that there has some
off seasons in the hospitality industry where they just doesn’t get profit but starts loosing profits
that’s why authority charges high price sometimes but whatever happens to exist in the market
for long term they should think from the view point of customer and should offer reasonable
price for each and every classes of people to make them long term customer specially to survive
in the market.

Increased competition: as market competition is now in an extent level the authority of any
hospitality industry should not undermined competitors. Being different from ones position one
should introduce them and try to make people understand that they are serving well than any
other industry on the market and this will obviously help them to get competitive advantage
early in near future. But how increased competition affects the hospitality industry is that, as
there entered so many new competitors in the market so the concerned people should not
undermined any industry but must look through their initiatives.

Managerial issues:
Managers play very vital role for the organization but if they fail in filling their duty there crates
different problems between managers and stockholders. Managers think all rules and regulations
are not according to their right on other side stockholders argues that they are not getting
everything for which they are accountable. And obviously they don’t want to be laughing stock
for people or don’t want to be in people’s gossip for any silly matter.

Legislative issues:
All rules and regulations need to be implemented by the legislature of the organization where
everything should be properly maintained by all. Variety of legislative terms and conditions are
available in the hospitality industry that defends its employees, workers and customers.
Legislative issues cover the first aid facilities, cleanliness, sound environment, safe workplace
etc. there need to have both smoking and non smoking zone separated and should be far enough
from one another. First aid boxes should also be ensured by the industry. A separate welfare
officer can be appointed who will looks for the safety of the workers. Fitness and security also
need to be ensured by the hospitality industry. Eventually cleanliness and hygiene is the main

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focus of the hospitality industry they should make specific rules and regulations to their
amendments according to the rights of workers.

3.2 Current image of the hospitality industry

The growing hospitality industry is getting acceptance from different group of people by
providing excellent performance. Keeping the focus on customer’s choice they initiate different
strategies to exist in the market. Though they always worked for getting acceptance from
customers but their main motive is on profit making. Their innovative techniques to introduce
their services to customers mind drag them to the next level. The hospitality industry attempts
constant steps to remain different into the customers mind. They believe that excellent service is
the fundamental for success of this industry and taking strategies to uphold them to the broader
market to achieve a positive image for their organization. As kidnapping, terrorism, robbery are
increasing day by day people just looking for safe place and therefore hospitality industry is
getting acceptance by most people rapidly. The present hospitality industry offers an
extraordinary chance to understand customers more friendly by identifying their problems more
intensively.

Today’s hospitality industry comes into a dynamic position where they are completely aware
about their operations. Though customer’s expectations are increasing day by day but they are
not stable in their position. They are always searching for new ideas how they will serve more
than the competitors.

Task-4

4.1 predictions for potential trends and developments in hospitality

Since long time period the hospitality industry is in stable condition where progress is steady and
revenue is upward slopping day by day, year in and year out. Big named companies come bigger
by widening their market share and tightening their position in the market. But such expansion
occurs only for few companies which are more passive than proactive in their business approach.

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But this condition was more than five years ago. Today’s traditional organizations in hospitality
industry are very conscious about their threats as well as opportunities. They learnt how to
convert their strengths into opportunities by reducing the threats. Their main focus is only now in
upholding the trends moving forward and make sure all the requirements they listed are properly
checked before they take place.

Capitalize on technology:
The hotel industry changes some of their business patters from before like today’s young
generation likes to order, payment and looks for any service via mobile phone. It occurs because
more people using their smart phones than their desktops these days. But hotel industry need to
guarantee their website is up to date and user friendly and they are capable in delivering the same
product which they presented in the advertisement. Even there also have some people who love
to unlock their hotel room door via mobile phone.

More emphasis on health and well-being:

In the modern time of technology it’s the only mean which allows us to promote ourselves in our
comfort zone. Technology just made simple things simpler. Today’s modern technology is
capable in telling us how many kilo-calories we should burn for an existing day. Though the
human race is getting more and more healthy conscious different organizations are adding
innovative technologies in their production setup. Hospitality industry is also not different from
this point of view they also sends different short messages time to time just like notification.
They just want to take the attention of the users.

Green living: Living a healthy lifestyle and green living both are correlated with each other.
Today’s hospitality industry is taking steps in making their environment green and eco friendly.
A study found that a healthy person is 87% more eco friendly in their nature. Yes obviously its
good news for the environment but the main fact is hospitality industries are also now very
conscious about greenery. There have some hotels which made such green environment in their
roof and offers people to take the advantage. Restaurants are managing rooftop restaurant to let
their customers enjoy the green.

4.2 Impact analysis for the predicted trends and developments

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Different impact analysis for the predicted trend and development in the hospitality industry are
presented here below:

Demand analysis:
The demand analysis is constructed considering the available current demand in the tourism
sector. Conducting surveys or researches the market demand can be determined but as we know
research or survey is a predicted result presented by sample collection it can be changed in
different scenario. But the modern method of demand measurement is able to show the almost
close expected demand for given condition.

Financial analysis:
The financial analysis for a classified company is similar to analyzing the fiscal impact of the
study. Proper financing analysis helps in making a proper predicted trend in financial position of
the industry. Prior financial records can be a problem solving tool in this regard.

Fiscal impact analysis:

It classifies whether direct or indirect taxes generated by the government are able to meet the
charges for infrastructure and administration services? Fiscal analysis recognizes those
transactions in demand for administrating demand functions to measure the capacity.

Likelihood studies:
Aim of the study is to determining the likelihood of a specific action comprising social,
economical, psychological, political feasibility. It’s conducted to identify the potential
cost/benefit of the study. Likelihood study is completely different strategy undertaken to solve
specific problem arisen from the hospitality industry.

Environmental impact evaluation:

Environmental impact can be a big term to determine the potential predicted trade and
development for the hospitality industry. Environmental factor affect because there has some off
seasons in the hospitality industry. Demand may not be same or upward at every time. The
hospitality industry will be developed when the actual profit of the industry will intersect the
required rate of profit.

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 Conclusion

The global hospitality industry offers vast opportunity for employment that will helpful in
promoting the position of the people changing their life style and way of living. In recent
decades hospitality industry will be very efficient to promote the market into world standard.
Though there have still some limitations in the hospitality sector but this position will be solved
within very few years. Government is also playing vital role in promoting the position of the
hospitality industry. Different private commercial companies are also come forward in the same
manner. Actually people just identified that there has wide opportunity in the hospitality industry
of UK. This industry is providing wide opportunity to those who just looks for an opportunity
and those who encompasses the opportunity to change themselves.

Reference

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Hospitality schooling. (2012). Retrieved 1 5, 2017, from education.org

Lndons collaborative agreement with the Ritz. (2014, April 30). Retrieved 2017

Matejczyk, L. (2012, manuary 31). staffing need in the hospitality. Retrieved 2017

Michigan State University. (2017). bisk education. Retrieved 1 4, 2017

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