Management functions and roles

Hospitality Management

Management Defined

“The process of working with and through others to accomplish

organizational goals in an efficient and effective way.”

Three levels of Management Plus Nonmanagerial Associates

General Managers in the Hospitality Industry: pressures, roles, demands

What should GM be able to do/know to deal with all these interest groups?

Managerial Roles

• Figurehead• Leader• Liaison• Spokesperson• Negotiator

Leadership vs. ManagementManagers Leaders

Work in the system Work on the system

React Create opportunities

Control risks Seek opportunities

Enforce organizational rules Change organizational rules

Seek and then follow direction Provide a vision to believe in and strategic alignment

Control people by pushing them in the right direction

Motivate people by satisfying basic human needs

Coordinate effort Inspire achievement and energize people

Key Management Functions

• Planning • Organizing• Decision making• Communicating• HR and motivating• Controlling

Business functions

• Human resources• Sales and marketing• Operations• Customer service• Finance and accounts• Administration and IT

Organization of Hotel Functions

Human resources

• Recruitment and selection• Staff retention• Motivation• Discipline• Training and development• Health and safety

Sales and marketing

• Sales strategies• Pricing decisions• Promotion activities• Market research• Sales team• Product or service development

Operations

• Buying stocks• Planning travel operations• Monitoring costs• Future business planning• Efficiency

Customer service

• Dealing with customer enquiries• Advising customers• Monitoring service delivery• Dealing with customer complaints• After-sales service

Finance and accounts

• Cash flow: monitoring costs and revenues• Preparing accounts• Raising finance for investment• Communication with other areas of firm

Administration and IT

• Internal business communications• Clerical work• Telephone systems• Reservations database• Company Web site• Email system

Administrative tasks are in all business functions:

• Handling telephone enquiries• Processing customer sales• Booking accommodation• Receiving and processing payments• Sending out confirmation letters• Sending tickets by post• Dealing with customer questionnaires and feedback

Problems can occur at all stages

• Getting the wrong information• Getting the information wrong

• Processing details incorrectly• Failing to notify important contacts• Not answering the telephone promptly• Failing to act on customer queries and other

requests for information

Some examples of administrative tasks

Selling a package holiday through a travel agency:– brochure ordered by customer– assistant makes booking on computerised

reservations system– assistant records booking on agency’s internal

system– customer receives confirmation by post– agency confirms booking with tour operator

Management control

• Authority – the right to make decisions and perform tasks

• Span of control – the number of people for whom a supervisor/manager is responsible

• Chain of command – how the layers of authority are organised in a firm

Management control 2

• Hierarchy – who is responsible for whom• Empowerment – responsibility to make

decisions is given to all• Delegation – authority passed from a superior

to a subordinate

Ways to structure a business

• By function: arranging the business according to what each section or department does

• By product or activity: organising according to the different products made

• By area: geographical or regional structure

Ways to structure a business 2

• By customer: where different customer groups have different needs

• By process: where products have to go through stages as they are made

• What are the advantages/disadvantages of different types of business structure?

Trends in Leadership and Management

• Diversity in associates• Lack of basic job skills• Increased need for

training• Need to promote from

within• Managing sales revenue

all the way to the bottom line

Independent business units

Outsourcing Increase in part-time

workers Technological advances Social and

environmental issues Greater emphasis on

ethics