HBT THE HOSPITALITY BUSINESS TOOLKIT |Pearson Higher Nationals in Hospitality Management

THE HOSPITALITY BUSINESS TOOLKIT

Table of contents

Activity 1                                                                                                                                          3

Apply the double-entry bookkeeping system of debits and credits to record sales and purchases transactions in a general ledger.                                                                                                                               3

Produce a basic trial balance using balance off rule to complete the ledger making sure that each transaction is recorded in line with accepted accounting principles                                                                   6

Prepare and analyze the profit and loss statement and the balance sheet making sure that each transaction is recorded in line with accepted accounting principles while investigating the principles of managing and monitoring financial performance                                                                                                                   8

Activity 2                                                                                                                                        12

Review different stages of the HR life cycle of F&B supervisor and evaluate the importance of the HR life cycle concerning strategic talent management and overcoming issues of staff retention.                   12

Develop a performance management plan to support the role of F&B supervisor applying techniques to resolve both negative behavior and overcoming issues of staff retention                                              15

Make valid judgments and recommendations on how HR processes and documents can be improved for effective talent planning throughout the HR life cycle                                                                             15

Identify specific legislation that a hospitality organization (F&aB outlet) must comply and adhere to    16

Illustrate how the company, employment, and contract law has a potential impact on business decision-making in your F&B outlet                                                                                                                          16

Examine and critically reflect on the potential impacts of regulations, legislation and ethical principles upon decision-making in the F&B outlet, providing specific examples                                              16

Activity 3                                                                                                                                        17

Explore how different functional roles within F&B outlets are interrelated                              17

Explain and critically analyze the different methods of communication, coordination, and monitoring required in the F&B restaurant with other departments in achieving organizational objectives                  17

References                                                                                                                                      19

 

Activity 1

Apply the double-entry bookkeeping system of debits and credits to record sales and purchases transactions in a general ledger.

 

Bank							Account receivables							PAYG payable
date	particulars	dr	date	particulars	cr		date	particulars	dr	date	particulars	cr		date	particulars	dr	date	particulars	cr
1	to op. bal	$              28,304.00	1	by Prepaid Insurance	$              13,200.00		1	to op. by	$              57,954.00		by bank	$                9,484.00			to wages	$                1,962.00	1	by Op. bal	$                5,924.00
	to sales	$                4,400.00	1	by acc. Payables	$                4,414.00			to bal. c/d	$              45,014.00		by disc.allowed	$                2,370.00			to bal.c/d	$                3,962.00
	to acc. Nrec	$                9,484.00		by office supplies	$                1,100.00						by bank	$              19,030.00
	to acc. Rec	$              19,030.00		by wages	$                3,076.00						by bank	$                2,400.00				$                5,924.00			$                5,924.00
	to acc. Rec	$                2,400.00		by advertising	$        550.00						by bank	$              16,500.00
	to acc. Rec	$              16,500.00		by 3D printer	$                5,522.00						by bank	$              11,554.00
	to acc. Rec	$              11,554.00		by acc. Payables	$                9,878.00						by disc.allowed	$                2,888.00		superannuation payable
	to acc. Rec	$              20,207.00		by acc. Payables	$                4,000.00						by bank	$              20,207.00		date	particulars	dr	date	particulars	cr
	to sales	$              12,496.00		by acc. Payables	$              22,715.00						by disc.allowed	$                5,051.00			to bal.c/d	$                    458.00	1	by Op.bal	$                    458.00
	to acc. Rec	$                7,084.00		by purchases	$                6,336.00						by bank	$                7,084.00
	to sales	$                3,432.00		by telephone	$        826.00						by bank	$                6,400.00
	to acc. Rec	$                6,400.00		by bank fees	$                      40.00
	to int. rec.	$                      84.00		by bank loan	$                6,200.00									Bank loan
				by bal c/d	$              63,518.00									date	particulars	dr	date	particulars	cr
	total	$   1,41,375.00		total	$   1,41,375.00			total	$   1,02,968.00		total	$   1,02,968.00			to bal.c/d	$   6,00,000.00	1	by op. bal	$   6,00,000.00

Table 1: General ledger

(Source: Self generated)

 

Produce a basic trial balance using balance off rule to complete the ledger making sure that each transaction is recorded in line with accepted accounting principles

 

particulars	Debit	credit
bank	$             63,518.00
Account receivables		$             45,014.00
PAYG		$               3,962.00
Provision for bad debt	$         650.00
prepaid rent	$               7,500.00
inventory	$             12,132.00
Accumulated Depreciation – Office Equipment		$             10,390.00
wages	$               1,114.00
return inwards	$         300.00
int. rec.		$        84.00
prepaid insurance	$             13,200.00
office supplies	$               1,890.00
office equipment	$             21,270.00
premises	$ 6,30,000.00
accounts payable		$             28,335.00
GST clearing		$               4,282.00
telephone	$         826.00
bank fees	$        40.00
superannuation payable		$         458.00
Bank loan		$ 6,00,000.00
capital		$ 1,31,100.00
disc. Rec		$               6,010.00
sales		$             36,828.00
purchases	$             26,298.00
Disc. Allowed	$             10,309.00
Advertisement	$         550.00
3D printer	$               5,522.00
bank loan	$               6,200.00
suspense	$             65,144.00
total	$ 8,66,463.00	$ 8,66,463.00

Table 2: Trial Balance

(Source: Self-generated)

Prepare and analyze the profit and loss statement and the balance sheet making sure that each transaction is recorded in line with accepted accounting principles while investigating the principles of managing and monitoring financial performance

 

Revenue
	Sales revenue	$          36,828.00
	(Fewer sales returns and allowances)
	return	$                      -300.00
	allowances	$        -10,309.00
	disc. Rec.	$            6,010.00
	int. rec.	$                          84.00
Total Revenues	Total	$     32,313.00
Expenses
	Advertising	$                       550.00
	Bad debt	$                                -
	Commissions	$                                -
	Cost of goods sold	$          26,298.00
	Depreciation	$          70,000.00
	telephone	$                       826.00
	bank fees	$                          40.00
	prepaid insurance	$                  13,200.00
	wages	$                    1,114.00
	Accumulated Depreciation – Office Equipment	$                  10,390.00
	GST	$            4,282.00
	prepaid rent	$                    7,500.00
	Provision for bad debt	$                       650.00
	Research and development	$                                -
	PAYG	$                    3,962.00
	Software	$                                -
	Travel	$                                -
	Rent	$                                -
	Utilities	$                                -
	Other	$                                -
Total Expenses	Total	$  1,38,812.00
	Net Income Before Taxes	$                                -
	Income tax expense	$                                -
Income from Continuing Operations		$                          -
Below-the-Line Items
	Income from discontinued operations
	Effect of accounting changes
	Extraordinary items
Net Income		$ -1,06,499.00

Table 3: Profit and loss statements

(Source: Self-generated)

Balance Sheet
Assets
Current Assets		Amount
	bank	$        63,518.00
	Accounts receivable	$        45,014.00
	Inventory	$        12,132.00
	Prepaid expenses	$        20,700.00
	Short-term investments	$                       -
	Assets classified as held-for-sale	$                       -
	Total current assets	$     1,41,364.00
Fixed (Long-Term) Assets
	Long-term investments	$                       -
	Premises	$     6,30,000.00
	Office equip	$        21,270.00
	Intangible assets	$                       -
	Available for sale investments	$                       -
	Equity accounted investments	$                       -
	Total fixed assets	$     6,51,270.00
Other Assets
	Deferred income tax	$                       -
	Other	$                       -
	Total Other Assets	$                       -
Total Assets	Total Assets	$ 7,92,634.00
Liabilities and Owner's Equity
Current Liabilities
	Accounts payable	$        28,335.00
	Short-term loans	$                       -
	Current portion of provision for maintenance of aircraft, engines and rotables	$              650.00
	Bank overdrafts	$                       -
	Government grant- unutilized	$                       -
	Current portion of long-term debt	$                       -
	Liabilities directly associated with assets classified as held for sale	$                       -
	Total current liabilities	$        28,985.00
Long-Term Liabilities
	Long-term debt	$     6,00,000.00
	Deferred income tax	$              458.00
	Provision for maintenance of aircraft, engines and rotables	$                       -
	Employees’ end of service benefits	$                       -
	Total long-term liabilities	$     6,00,458.00
Owner's Equity
	Owner's investment	$     1,31,100.00
	Government contribution to equity	$                       -
	Legal reserve	$                       -
	Investments revaluation reserve	$                       -
	Total owner's equity	$     1,31,100.00
	suspense	$        32,090.00
Total Liabilities and Owner's Equity	Total Liabilities	$ 7,92,633.00

Table 4: Balance Sheet

(Source: Self-generated)

Activity 2

Review different stages of the HR life cycle of F&B supervisor and evaluate the importance of the HR life cycle concerning strategic talent management and overcoming issues of staff retention.

The HR life cycles have different stages through which Food Gossip can efficiently hire and manage its HR operations and they are as follows;

Attraction: The first stage is an attraction in which the company tries to attract employees by setting up better wage rates and employee safety commitments. In this way, the firm can attract better and skilled employees.

Recruitment: After this, the recruitment procedure starts in which the firm recruits employees by conducting interviews and by analyzing their respective skills that are needed for the work. In this way, Food Gossip can shortlist people individually that apply for the job based on their skills and abilities (Bratton and Gold, 2017).

Onboarding: After the employees are recruited and selected, an induction program for onboarding is done in which the introduction of the firm's operation to the selected employees is communicated.  This is done to ensure that the work process is properly explained to the employees.

Enablement: Enablement is done after onboarding in which the work and authority of operating are delegated to the recruits to start operating for the company.

Development: After the employees start working the HR management seeks to find the weakness and strength of each employee based on which their development is done to grow the effect of the workforce. This is done by analyzing the performance of employees in the workplace.

Retention: Retention of employees is done to effectively retain employees of the firm by giving recognition to the performance of employees by rewarding them.

Separation: Separation is the last stage of the cycle in which employees having conflict, or unsatisfied job performance and problems should be separated from the  Food Gossip.

Designing an attractive newsletter with job description and person specification for the F&B supervisor

Apply and get an opportunity to work as an F&B supervisor within the newly opened Popup Outlet the opportunity is full of growth and development.

Job Title: F&B supervisor

Location: Camden Market, London

Wage: $ 18,500

Joining date: May 2020

We are looking for an experienced candidate to apply for the Job role of F&B supervisor within our newly established restaurant business. The candidate must have the following skills and abilities to play for the job role:

Secondary and higher secondary education

Degree within Hotel management

Good communication skills

Experience in F&B services and industry

Decision making and time management skills and

Computer skills

The firm will provide the following;

Training

Uniform

Development opportunities

And edges for extra time operations

Recruiting

The interview session conducted with the applicant is as follows;

HR manager	Hello, how did you get to know about our job role?
Applicant	I got to know about your job role given newspaper advertisements. I was interested in Job role so I applied for the interview.
HR manager	Do you have the skills and abilities to operate in our firm?
Applicant	Yes, I have the required skills, education, and ability to efficiently work for your business. I am good at communication and decision making and have fair time management skills. I also have a degree in Hotel Management and I am also good with computers.

Table 4: Interview

(Source: Self-generated)

Evaluate the importance of HR life cycle in relation to strategic talent management and overcoming issues of staff retention

The HR life cycle is a process in which the HR has some responsibilities for the organisation. There are basically five stages of the HR life cycle which includes recruitment, education, motivation, evaluation and celebration. The five stages known as the HR life cycle is important for the strategic talent management as well as overcoming the staff retention issues. The strategic talent management is the process in which the HR of the organisation hires and recruits the right talent for the different types of work for the organisation and helps those employees to upgrade their capabilities which will help the organisation to achieve its goal.

The HR life cycle plays an important role for the strategic talent management for the organisation (Sheehan et. al 2018). The HR helps the organisation by recruiting proper employees who have the capability for a respective position in the organisation. The HR life cycle also helps to provide motivation to the employees for working without any stress. By using the HR life cycle the organisation can deal with the strategic talent management. The HR life cycle model helps the organisation to hire talented and responsible employees who will help the organisation by their capabilities and talent for achieving the goal of the organisation.

In terms of overcoming with the staff retention issues the HR life cycle plays a vital role. The HR of the organisation ensures that each and every employee is important for the organisation and keeping them happy and motivated will help them to stay in the company for a long period of time. The HR with the help HR life cycle ensures that each employee is getting the salary on time and also provides special rewards and bonuses to those employees and staff who perform very well in the organisation. The HR of the organisation helps the staff to manage their issues which they sometimes face in the organisation, and provides a positive work environment so that the staff or employees do not have to face any problem (Wakabi, 2016). With the help of HR life cycle the organisation improves the staff retention procedure as well as maintains a proper strategic talent management.

Make valid judgements and recommendations on how HR processes and documents can be improved for effective talent planning throughout the HR life cycle

In order to develop the HR process for improving effective talent planning there are some recommendations that has been mentioned below:

It is recommended that in order to develop the HR process the HR department should adapt speed in terms of the work. For example if the employee of the company has any query regarding the policy and terms of the company then the HR of the organisation should reply to the employee as soon as possible. The speed will help the HR process much more conveniently and efficiently which will create a positive impact on the organisation. With the adaptation of speed the HR management of the company will be able to solve the queries and problems faster and the person does not have to wait for a long time.

For proper talent planning it is recommended to the HR process that it should conduct a test while the recruitment process of any employees regarding their field of work. For example if an HR is recruiting a software engineer for the organisation then after the interview the HR should ask the interviewee to repair a software of any desktop of the organisation which is not working properly (Xu, 2017). By conducting the test the HR will be able to understand whether the person is really capable of recruitment for the company and whether that person is hired will be able to fulfil the goal of the organisation.

It is recommended to the HR process that they should provide some more skill based training to their employees. It is recommended to the HR process that they should organise competition on duration of every six months between the employees of the organisation which will help them to stay motivated and energized for their work. It is also recommended to the HR Process that in order to develop the talent management they should hire some professionals for providing extra training for developing employee skills in various positions.

Develop a performance management plan to support the role of F&B supervisor applying techniques to resolve both negative behavior and overcoming issues of staff retention

It is important to understand that the performance of an F & B supervisor is to be managed to resolve both negative behavior and issues faced by the following so that staff retention is enhanced. Hence proper training and induction programs will be held after which the employee performance will be monitored. The performance of the employee will be events and strength and weakness will be communicated. The efficient performance of the supervisor will be rewarded in this way the employee will be retained in the business (Elkhwesky et al. 2019).

Make valid judgments and recommendations on how HR processes and documents can be improved for effective talent planning throughout the HR life cycle

The following recommendation can be made to improve the HR process and documents:

 Food Gossip should make sure the performance of the employee is properly documented and the performance is measured to make sure the performance is effectively managed and rewarded.

A workplace risk register should be maintained to properly manage risks in the workplace for the creation of a safe workplace for the employees of the firm.

Identify specific legislation that a hospitality organization (F&aB outlet) must comply and adhere to

The following legislation and laws should be complied by the firm to effectively operate the F&B outlet:

Employee Rights Act of 1996

National minimum wage ACT 1998

Employee relations Act 1999

Maternity and parental leaves Regulation 1999

Agency Worker Regulation 2010

Health and Safety at Work Act 1974.

Illustrate how the company, employment, and contract law has a potential impact on business decision-making in your F&B outlet

The companies Act 2006, Employment Act 1996 and The Contract Law have a very big impact on the decision making process of the F&B outlet. This is because there are frameworks following which the firm can operate its business and the decision is to be made keeping that the firm abides by such laws. For example, for registering and setting up  Food Gossip the management has to make decisions complying to the Companies act whereas for employing employees it has to follow the employee's actions and at last to create contracts between two parties the firm has to follow the contract laws (Salim and Padfield, 2017).

Examine and critically reflect on the potential impacts of regulations, legislation and ethical principles upon decision-making in the F&B outlet, providing specific examples

As discussed above laws and legislation relating to the F&B outlet can affect the decision-making process within the firm this is because the management of the firm has to make decisions by the law that is present. For example, to make employment-related decisions the firm has to follow the Employment Act 1996. In this way, there is an impact that these laws have on the overall decision-making process within the  Food Gossip. It acts as guidance or method through which ethical and legal decision making can be done. 

In the decision making process for any hospitality organisation it is important to maintain the regulations, legislation and ethical principles which help to keep the decision making process legitimate. In terms of regulations the hospitality organisation is bound to follow the regulations of the local laws. Regulations such as employee safety, food safety and hygiene are some of the regulations that the hospitality organisation follows during the decision making procedure. For instance if the hospitality organisation is making any decision regarding the food and beverage then it has to make the decision keeping in mind the food and safety regulations that has been made by the hospitality department and state. The ethics in the hospitality organisation includes maintaining reputation and morals, trust worthiness, commitment to excellence and honesty.

During a decision making process it is important for the hospitality organisation to follow the ethical principles. The ethical principle helps the hospitality organisation to maintain a proper reputation and commitment to the laws. The ethical principles of the hospitality organisation help for betterment and development of the hospitality organisation. The legislation also creates a direct impact on the hospitality organisation (Malik, 2018). The hospitality organisation in different places in the world follows the legislation laws of the local while taking any decision for the business. The legislation of the state or the country creates a positive impact on the hospitality organisation. Maintaining the ethics, regulation and legislation laws creates a positive impact on the hospitality industries. The customers do not have to face any trust issues if the hospitality organisation is obeying the regulation and legislation of the specific country and has its own ethical principles. People do not hesitate to visit hospitality organisations that follow all the rules and regulations. A positive impact is created among the people when the hospitality organisation maintains the ethical principles, follows the regulations and legislation while making any major decision for it. Some of the important hospitality organisations that follow the ethical principles, legislation and regulation during the decision making process are Marriott International, Accor, Fairmont, Hyatt and Ritz- Carlton.

Activity 3

Explore how different functional roles within F&B outlets are interrelated

The different functions roles of Food Gossip are as follows;

Food production

Maintenance and cleaning

Accounting

Customer service

Human resources

All of these functional departments are interrelated to each other. This is because the food production helps in producing the food required by the customer and this food is served and communicated by the customer service whereas the place is cleaned and maintained by the Cleaning and maintenance department and accounting of each operation is done by the finance department. The HR management manages all of these employees to make sure the firm is working in an efficient manner (Noe et al. 2015). In an F & B outlet all the functional departments that are mentioned above are related to each and conduct operation in a coordinated manner. Operations of one department is related and dependent on the other; a combined operations of all these departments lead to the overall operational activities that is conducted by the firm. For example the department of  Customer service and Human resources are very close to each other the human resources department looks after the management of employees within the firm whereas the customer service department manages the quality and standards of customer service provided to the customers. Hence the Human resources department has to manage the employee performance so that the customer service is increased and the HR manager has to look after the wellbeing of the employees as well to make sure they are motivated and enthusiastic to provide high quality of customer service in the operations of the food outlet. It should be understood that through the use of operations that is conducted by each department there is an overall operational procedure that is conducted by the firm. If one of the departments fails to operate in a significant manner the impact of the following will be upon all the other departments as well. In this way it can be stated that all the departments that have been stated above are operationally interrelated to each other and operation of each department is dependent on the operations of the other. Tus all the departments should operate in a coordinated manner to effectively support the interactions of functions that are shared between these companies.

Explain the different methods of communication, coordination, and monitoring required in the F&B restaurant with other departments in achieving organizational objectives

It should be said that the use of verbal, oral, and written methods of communication must be used within the firm to effectively communicate within the operational activities of the firm. On the other hand, coordinating the firm should use the Open Method of coordination as it will be useful for the firm in its operational activities. Communication is an important for the operations of the firm so that there proper flow of information between one department of the company with the other hence in this sense the requirement of an open method communication becomes very important (Shimezawa et al. 2016). Open method of communication is a method of communication in which the employees can openly establish communication with each other in an open manner through formal communication methods. The formal methods include usage of electronic mediums such as Emails, phone calls and text messages. Verbal and physical communication can also be established in the operational activities of the firm.  This helps in extensive communication and coordination between the employees of the firm from the different functional departments. In this way the company will be able to operate in a significant manner through effective communication so that the firm is able to achieve the organizational objective.    

At last for monitoring the performance of the F&B restaurant Key performance indicators will be used to monitor the financial and operational performance of the firm (Sparrow et al. 2016). Key performance indicators are a motoring method through which the company will be able to measure, identify and monitor the operational activities of the firm in an evident manner. In this process of monitoring the company creates some key milestones or indicative measures for example the amount of sales to monitor the sales performance of the company. After this the firm analyzes the and monitors the performance of the company’s operations as per the indicators making sure the following is developed in an evident manner (Oshima et al. 2016).  It is important to consider that this monitoring method will help the company in also monitoring the operations of all the departments that are there in The food outlet. This will help the company in proper monitoring of the activities conducted by the firm to provide good quality service food to their customers and achieve organizational objectives.

Analyse how different methods of communication, coordination and monitoring within a specific department of a hospitality organisation achieves organisational objectives and strengthens the value chain

Communication, coordination and monitoring activities tend to help the hospitality organization in effectively conducting their operations which further helps the organization to achieve its objective and strengthen their value chain.  Implementing effective methods of communication helps the company in creating good flow of information in the operations of the firm this creates a coordination operational performance of different functional deomanet that are present with the hospitality organization. Communication and coordination synchronize the operational activities and help the firm to combine achieve an stated objective. It should be said that the value chain in this process strengths as there is better communication among the employees and stakeholders of the firm to operate in and monitor operations in a coordinated manner.

Critically analyse different methods of communication, coordination and monitoring within a specific department of a hospitality organisation and make justified recommendations

The recommendations that can be made over methods of communication, coordination and monitoring that the firm can use in its customer service departments is as follows. It is important to understand that through the use of effective medium the company will be able to create an effective strategy using which it can communicate and coordinate with the fellow employees to operate in an coordinated way.  manner of communication such an open method can be used to effective communication and coordinate in the operations. It is also recommended that for monitoring performance and operations the department can use KPI and Milestones that will help the organization to effectively monitor the operational activities of the department and quality of service provided to the customer. In this way the firm will be able to create a better monitoring structure that will help the department to easily check their performance in comparison to the milestone which has been set (Rekimoto, 2017).

References

Bratton, J., and Gold, J., 2017. Human resource management: theory and practice. Palgrave.

Elkhwesky, Z., Salem, I.E. and Barakat, M., 2019. Diversity management in hotels. Journal of Hospitality and Tourism Insights.

Noe, R.A., Hollenbeck, J.R., Gerhart, B., and Wright, P.M., 2015. Human resource management. Gaining a Competitive.

Salim, H.K., and Padfield, R., 2017. Environmental management system in the food and beverage sector: a case study from Malaysia. Chemical Engineering Transactions, 56, pp.253-258.

Sparrow, P., Brewster, C., and Chung, C., 2016. Globalizing human resource management. Routledge.

Rekimoto, J., Sony Corp, 2017. Transmission device, transmission method, reception device, reception method, communication system, and communication method. U.S. Patent 9,772,548.

Oshima, M., Nakanishi, K., Aoyama, H., Fuchigami, I., Shin, H., Mukai, T., Matsushita, Y., Iida, S. and Yamada, K., Panasonic Intellectual Property Corp, 2016. Information communication method using change in luminance. U.S. Patent 9,341,014.

Shimezawa, K., Nogami, T. and Yamada, S., Sharp Corp, 2016. Wireless communication system, wireless communication device, and wireless communication method. U.S. Patent 9,350,478.

Malik, S., 2018. CORPORATE SOCIAL RESPONSIBILITY: A TOOL FOR WOMEN EMPOWERMENT IN HOSPITALITY SECTOR.

Sheehan, M., Grant, K. and Garavan, T., 2018. Strategic talent management: a macro and micro analysis of current issues in hospitality and tourism. Worldwide Hospitality and Tourism Themes, 10(1), pp.28-41.

Wakabi, B.M., 2016. Leadership style and staff retention in organisations. International Journal of Science and Research, 5(1), pp.412-416.

Xu, H., Wu, D., Xing, L. and Huang, L., 2017. The talent planning model and empirical research to the key disciplines in science and technology. Cluster Computing, 20(4), pp.3275-3286.