Delivery in day(s): 5
Unit 12 Essay on Hospitality Assignment
This unit 12 essay on hospitality assignment has been prepared over the topic Hospitality Provision in Travel & Tourism, so as to analyse and evaluate the various aspects related to hospitality provisions in travel and tourism industry. This report discusses the role of hospitality industry in tours and travel industry. Both these industries are interlinked with each other. Analysis has been done over the implications of integration in hospitality industry and discussion has been made over the manner in which integration affects the hospitality business. A rationale will be developed for the hospitality business so as to open a new organisation in the hospitality industry. Tour and travel is one of the most important sources of income for every organisation. Hospitality industry renders accommodation services, food and beverages and pick and drop services to the customers so as to enhance the experience of the customers. With the changing environment technology is changing and the services offered by hospitality industry are also changing. This essay on hospitality assignment will help in providing knowledge of these aspects in a better manner.
This section of the report discusses the relationship between the hospitality and travel and tourism business so as to identify the interdependence of these industries on each other. For this purpose a hotel chain of London, United Kingdom has been selected named as “Novotel”. Novotel is having around 400 hotels and resorts in 60 countries of the world.
1.1 Discuss the interrelationships between hospitality and wider travel and tourism businesses
Hospitality industry and tour and travel industries are most important sources of income for a country. Both the industries are dependent on each other as tour and travel industry is linked with the hotel industry (Franco, et. al., 2013). Hospitality industry provides Accommodation, food and beverages, restaurants, nightclubs, contract food service providers, pubs and bars, membership clubs, events, hospitality services.Pick and drop services and various other services to the people who are travelling from one place to another. All these services are the sum total of hospitality industry and its activities. These services satisfy the needs of the customers while travelling. Tour and travel industry provides travelling services to the customers so as to make their tours comfortable. Hospitality services and tour and travel services together provides a comfortable and memorable experience to the customers.Hospitality industry plays a vital role in the execution of the operations of Tour and travel industry. During travel period the most important concern of the travellers is about the stay facilities and food facilities. These services are required so as to provide services of tour and travel (McKercher, et. al., 2014). Hospitality services are targeted towards providing quality services to the customers who are travelling so as to ensure the quality of the experience they are deriving from the consumption of the goods and services. Hospitality services are not limited to the accommodation facilities, meals and pick and drop services but it also includes providing a safe and healthy environment to the customers. The main focus of hospitality industry is to maintain the hygienic environment at the place customers or visitors are staying. The main aspect which a visitor keeps its focus is the quality of the services and the behaviour of the service providers towards them. Hospitality industry offers wide range of services which helps in satisfying the customers so as to provide a better feeling and stress free tour (Eid, 2015).Hospitality industry offers various services at different prices according to the requirement of the different customers as income level of people differs. Tour and travel industry provides travel services, tourism services, accommodation services, transportation services, visitor attractions and conferences and events. These services are the sum total of the tour and travel industry and its various operations.Hospitality industry provides services to the different types of tour and travel (Eid, 2015). These types of tour and travel can be conferences and exhibitions, visitor attractions, theme parks, aviation and business travel. The requirement of these types of tour and travel differs and hospitality industry focuses on meeting these different requirements. Tourism sector is incomplete without hospitality industry as all the services of tour and travel industry are dependent on the services provided by hospitality industry. These services are offered by the staff or employees, which need to be provided proper training and guidance so as to enhance the quality of the services and experience derived by the customers from both the industries. Hotel Novotel is operating its hotel in various countries so as to provide its customers quality services and to attract more and more customers for expanding the customer base. It is located in UK, Russia, Canada, Lithuania, Poland, Romania, Hungary and many more countries. The choice of the hotel is based on the services offered and suggested by the other tourists or staff of the hotel. Novotel hotel offers various services to its customers which fulfils their needs and focuses on maximising the satisfaction level of the customers (McKercher, et. al., 2014). Various employees are involved in the execution of the activities of the hotel as there is a need to focus over the need of every customer. It is very difficult for the hospitality industry and tour and travel industry to meet the requirements and expectations of every customer as the expectations of every customer is different from each other. Novotel hotel offers the following services and products to its customers.
- It is located in 60 countries and having 400 hotels all over the world.
- For the customers it is providing pick and drop services.
- It offers cab facilities for its customers who want to visit some places.
- It arranges meetings and conferences for the customers who are on a business tour.
- It provides gym, swimming pool facilities as well as gaming zone for the children.
- It provides internet access to the customers, wakeup call services and baby-sitting services.
- It offers high class accommodation services and other services which are provided well trained staffs (Franco, et. al., 2013).
- It also makes arrangements for the weddings and other functions.
- It also arranges guides for the purpose of making the tour easy and comfortable.
- It has linked with various tour operators who offer discounts to the customers so as to attract new customers by retaining the existing customers (McKercher, et. al., 2014).
Both these industries have direct impact over each other. Increase in the number of tourists in tour and travel industry results in increase in the number of customers in the hospitality industry. For the expansion of one industry there is a need to provide quality services by both the industries. Novotel is making efforts to attract customers by offering wide range of hospitality services to them so as to enhance their experience. All these services are provided to the tourists who are travelling at different places for different purposes. When a customer gets personal attention it feels satisfied and valued. This results in expanding the customer base of the business. Novotel focuses on every customer and over its expectations so as to provide good impression of the hotel as well as of the place. It also takes care of every aspect of the services which can create an impact over the satisfaction level of the customers (Eid, 2015).
In this task of the report discussion will be made over the integration in hospitality industry and its impact over the hospitality industry. Integration affects the operations of the hotels as well as of the industry. It also provides knowledge of the different types of integration which can be used by the hospitality industry so as to expand the business and to provide better services to the customers. It can be an effective measure for the expansion of the area of operation of the business. This report will help in identification of the implications of the integration over the hospitality industry (DiPietro, et. al., 2010).
2.1 Analyse the implications of integration to the hospitality industry by including a range of examples.
The process of integration has been used by the industries for the purpose of expansion of the business or for the purpose of reducing the operating cost for attaining economies of scale. Various organisations use this technique for the purpose of better execution of the functions of the business. The main motive of using integration is to reduce the cost so as achieve maximum benefits. It reduces the dependency of the organisation over others so as to conduct the activities of the business in a better manner. There are two types of integration used by the organisations. These are vertical integration and horizontal integration. Vertical organisation can be understood as the integration when a business purchases or buys the suppliers or other companies in the distribution in which it is dealing (Tsang, 2011). The main purpose of using this type of integration is to reduce the cost involved in the activities of the business and to increase the self-dependency. This technique helps in increasing the profit margin of the business by controlling the operating cost. Hotel Hyatt has purchased Braniff Airlines so as to provide airlines services to its customers. Hospitality industry uses vertical integration strategies so as to enhance the services provided to the customer. Hyatt has used this strategy for the purpose of maximisation of the benefits and to reduce the operating cost of the hotel. Another type of integration is horizontal integration which can be understood as a merger of two organisations into one so as to form a larger organisation. This is done so as to attain the common objectives of both the organisations (Claveria, et. al., 2015). The outcome of using this strategy is expansion of the customer base and attracting new customers. Horizontal integration provides the resources of both the organisations which help in attaining the targets. It provides funds which helps in reducing the burden of the organisations. It contributes towards the better attainment of the goals of both the organisations. TUI and first choice are the tour and travel companies which have gone for horizontal integration so as to expand the area of operation of the business as well as to attain the objectives by using the resources of each other and to expand the customer base. TUI and first choice have benefited from this integration as it has enabled it to cover a wider market (DiPietro, et. al., 2010). Novotel can use these types of integration for the expansion of the areas of operation as well as for gaining benefits from the synergy benefits. Novotel can reduce its operational cost and maximise its profit. These types of integration can help Novotel to get self-dependent so as to fulfil its own requirements without depending on others. Novotel need to adopt these strategies for better utilisation of the resources available with it. These are the strategies which are adopted by the organisations so as to expand their area of operation and to perform the activities in an effective manner. Novotel can go for integration so as to identify the future scope so as to grow and to cover the market and for the increase in the value of the share in the market. It affects the operations of the business at large by affecting its size, scope, resources and various aspects related to the business (Tsang, 2011).
2.2 Discuss how integration has affected a hospitality business.
Integration has benefited the organisation in various ways. Both vertical as well as horizontal integration creates huge impact over the functioning of the organisations. In hospitality industry integration has helped the hotels to attain the objectives in a better manner. It affects the performance of the organisation by improving the quality of the services. These types of integration have affected the hospitality business in numerous ways. These are discussed below:
- Improvement in the quality of the services: the quality of the service is the main aspect which creates an impact over the performance of the business. It helps in attracting the new customers by retaining the existing customers. This aspect of the business affects the satisfaction level of the customers and affects the functioning of the business. Novotel can enhance the quality of the services and products offered by it so as to enhance the satisfaction level of the customers. Improved quality of the services increases the satisfaction level of the customers (How has the use of technology in the US hospitality industry, 2010).
- Increase in the market share: market share of the business affects its profit, survival and growth of the business. Market share helps in improving the survival, profit and growth of the business. Market share increases the value of the business in the market which helps in expanding the area of operation of the business as well as increase in the customer base. Novotel can increase its market share and value of the share by adopting these techniques so as to grasp the opportunities available in the environment in a better manner.
- Synergy benefits: Synergy benefits can be understood as the benefits derived by two organisations from combining with each other and utilising their resources in a better manner and achieving the objectives in a better manner. Novotel can use horizontal and vertical integration so as to gain various advantages from the resources available with it and with the other organisation or business. Novotel if offering hospitality services to the customers so as to satisfy them. For providing better services there is a need to utilise the resources in an effective manner (Owusu-Mintah, 2013).
- Reduction in the cost: cost of the operations affects the profit of the business. Change in the technology and environment has affected the prices of the goods and services. This increased cost has resulted in decrease in the profit margin of the business. Novotel can reduce the cost involved in the operations as well as increase the profit margin there is a need to adopt the integration strategies (Improving the hospitality sector, 2012).
- Competitive advantage: with the changing technology and environment the competition is increasing. This has given rise to the need of strategies which helps in coping with the competition. Novotel can gain competitive advantage so as to enhance the performance of the business. For dealing with the competition there is a need to adopt strategies which helps in the better execution of the activities or operations of the business (Cheng-Hua, 2015).
- Monopoly: conversion of two organisations into one reduces the competition in the market and increases the customer base as well as increases the market share of the organisation. This helps in attracting the customers towards the business. Novotel can use this strategy so as to establish monopoly and to use the opportunity by grasping this strategy.
- Economies of scale: for the attainment of economies of scale there is a need to reduce the cost of operation and to increase the profit margin. Novotel can gain economies of scale by adopting this technique and enhancing the capabilities of the business.
- Expansion of the area of operation: for the expansion of the business the most suitable alternative is using the strategy of integration. This strategy helps in the expansion of the area of operation. Novotel can expand its business and area of operation by using the strategy of integration (J. Harrington, et. al.., 2014).
This section of the report discusses a project which covers the different aspects which need to be considered while conducting the activities or operations of the hospitality industry. A project has been developed or prepared related to the hospitality industry for the better understanding of these aspects. It also discusses the organisational structure so as to identify the human resource allocation. And this project is focused over the targeted market which is required to be identified so as to attract them and to offer services according to the requirements of the customers.For the purpose of understanding of the different aspects of the hospitality industry a project has been developed. The project is developed which discusses the development of a plan for opening a new restaurant in United Kingdom (Sconfienza, 2015).
3.1 Develop a rationale for a project, clearly justifying decisions linked to target market
- Development of idea: for the purpose of the establishing a business there is a need to develop an idea for the business. For this project the idea is being developed for the opening of a new restaurant in United Kingdom. The reason behind generation of this idea is the increasing demand of the quality food by the customers in United Kingdom. There is an increasing trend in the industry to provide wide range of dishes which are from different places. This trend helps in attracting the customers as the people are fond of food. The main issue which need to be considered is the increasing competition in the market. There are various restaurants which are providing quality services to the customers in United Kingdom. The main aspect which is considered is to offer quality services to the customers at affordable prices so as to attract the customers. This has been considered as the starting point and further expansion will be planned after setting the restaurant in an effective manner in the market. The idea of the business is generated in this stage of the project where the product or service which will be offered to the customers will be decided (Watson, et. al., 2015).
- Market survey:The most important stage for the development of a plan is to conduct a market survey. Market survey helps in identification of the various aspects present in the market which can create an impact over the idea of the project or over other activities of the project. In this stage of the project information is collected from the people so as to analyse therequirements of people so as to develop the business on the basis of their requirements. These requirements help in estimating the demands of the people. Market survey is conducted with the help of interviews and questionnaires from the tourists visiting United Kingdom and from the local people of United Kingdom. The main focus of the market survey is on the analysis of the demand of the people so as to develop the business according to the demands of the customers.
- Targeted market: the targeted market refers to the people to whom products and services will be offered by the business so as to satisfy their expectations or demands. These targeted markets help in the evaluation of the market conditions and identification of the people to whom services or products will be offered. The targeted market for the purpose of this project is the tourists coming to United Kingdom and the local people who are fond of food (Seilov, 2015).
- Targeting the location: There is a need to identify the location where the services and products will be offered to the customers for the purpose of meeting their requirements. These locations help in the establishment of the business in the market in a better manner. For the purpose of this project the targeted locations are the famous destinations of United Kingdom which helps in promoting the restaurant as well as attracting the customers towards the business. There is a need to evaluate the location after considering the supply of the required products and services to the business is in an effective manner. location should be decided after the proper evaluation of the geographical conditions of the place which will be selected for the establishment of the business (Thieffry, 2014).
- Size of the business: size of the business and area of the operation of the business affects the success of the business at large. Size of the business determines the customer base and the size of the targeted population to whom business will offer the services. For this purpose the size of the premises of the business will be decided and the locations where business is about to get established will be decided. Arrangement of the services or facilities in the business also depends upon the size of the business. Larger the size of the business, larger will be requirement of the resources or vice-versa.
- Estimation of the investment: the requirement of the funds for the business will be estimated by the estimation of the idea of the business, targeted market, targeted location of the business, size of the business and requirement of the resources by the business. These aspects need to be considered while making an estimate regarding the establishment of the business. For the establishment of the restaurant various aspects will be considered which will help in providing the idea of the funds required by the business (Thieffry, 2014).
- Documentation: for the implementation of the project there is a need to collect licenses for the execution of the project. This aspect of the project will help in attainment of the documents required for the opening of the restaurants. There is a need to comply with the requirements of the law so as to avoid the legal consequences which may arise due to non-compliance of the laws. For the purpose of this project there is a need to take food license so as to operate the activities of the restaurant (Seilov, 2015).
3.2 Develop a plan for a hospitality business which includes the operational requirements of the business’ organisational structure in relation to human resource allocation
The most important aspect of hospitality industry is the ambience and culture of the organisation. These aspects help in attracting the customers and creating an image in the mind of the customers. So it is important to provide an attractive design to the interior of the hotel. These designs and ambience of the hotel is decided by the identification of the targeted market so as to form an idea of the design. The main focus is on the design of the interior according to the customers of the hotel. Most of the customers get attracted towards the hotel with the help of the interior of the hotel, with the help of the services offered by the hotel and with the help of the behaviour of the staff of the hotel towards the customers. For providing quality services to the customers there is a need to provide training to the employees of the organisation as their attitude towards the customers determines the future scope of the business. For the purpose of retaining the existing customers andfor attracting the new customers, there is a need to offer the services which matches with the expectations and requirements of the customers by the hotels.And the next aspect which needs to be considered by the hotel is to decide the manner in which the activities or operations of the business will be carried out (Seilov, 2015). There is a need to clearly define the roles and responsibilities of every employee so as to ensure the execution of the activities or operations of the hotel in an effective manner. The employees need to be well trained and guided so as to provide them an idea of the manner in which guest should be treated. For the identification of the requirements of the human resource there is a need to properly evaluate the requirement so as to estimate the number of employees required for the execution of the activities or operations of the hotel. For the purpose of promotion of the hotel there is a need to promote it with the help of the mediums of mass media which includes television, radio, newspapers and pamphlets. And promoting the hotel over the internet, which is one of the cheapest as well as effective methods for reaching the large number of customers. Discount and offers need to be offered by the hotel to attract the customers (Tuna, et. al., 2011).
This essay on hospitality assignment discusses the various aspects related to the hospitality industry and tour and travel industry. This report covers the impact of hospitality industry in the development of the tour and travel industry. It also provides knowledge about the role of the hospitality industry in the development of the tour and travel industry. It also discusses the integration and the types of integration which helps in the expansion of the business. a project has been prepared which includes various stages which are required to be prepared by an organisation to develop or establish a new business.
"How has the use of technology in the US hospitality industry affected human resource practices and guest satisfaction levels in the industry?", 2010, Worldwide Hospitality and Tourism Themes, vol. 2, no. 1.
"Improving the hospitality sector", 2012, Human Resource Management International Digest, vol. 20, no. 3, pp. 6-8.
Cheng-Hua, T. 2015, "Organizational Strategy toward Core Competency Workforce in Hospitality Industry",International Review of Management and Business Research, vol. 4, no. 2, pp. 469.
Claveria, O., Monte, E. & Torra, S. 2015, "A new forecasting approach for the hospitality industry: 1",International Journal of Contemporary Hospitality Management, vol. 27, no. 7, pp. 1520.
DiPietro, R.B. & Wang, Y.(. 2010, "Key issues for ICT applications: impacts and implications for hospitality operations", Worldwide Hospitality and Tourism Themes,vol. 2, no. 1, pp. 49-67.
Eid, R. 2015, "Integrating Muslim Customer Perceived Value, Satisfaction, Loyalty and Retention in the Tourism Industry: An empirical study", International Journal of Tourism Research, vol. 17, no. 3, pp. 249-260.