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Unit 9 Emerging Business Trends

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Introduction

Leadership is very essential and crucial for every business working in each sector. There are different leadership styles have been followed by leaders working in hospitality industry but their motive remains the same i.e. to enhance the workforce motivation and loyalty (Al-Asfour and Lettau, 2014). In this context, focus of following assignment is to analyse and discuss types of leadership styles within hospitality operations. A demonstration of understanding of leadership traits by using example of Thomas Cook which is one of the leading travel and tourism organisation in United Kingdom. Examples of leadership characteristics will be provided in order to anticipate effectiveness in leadership. Furthermore, an analysis of management process within hospitality industry will be made in this assignment. Eventually, an example from the hospitality industry demonstrate how organisational responsibility and responsible leadership leads to corporate leadership systems that support corporate social responsibility will be provided in this assignment.

Main Body

1. Leadership styles at hospitality industry

In order to accomplish the goals and objectives of the organisation, it is very essential and crucial for management to follow appropriate leadership style. In this way, the business can drive towards growth and development (Beverborg et al., 2015). Hospitality industry in United Kingdom is flourishing due to effective leadership each and every organisation follow within their framework. There are different types of leadership styles that could follow in hospitality industry. These are described below:

Authoritarian or Autocratic Leadership

Figure 1: Authoritarian or Autocratic Leadership:

(Source: Leadership Styles, 2015)

Authoritarian or autocratic leadership style has been used when leaders tell their employees what have to do and how they accomplish it. Here leaders won’t allow employees to participate in decision making process and just order them to do specific task at particular time (Arnold et al., 2015). This style can be appropriate in hospitality industry where leaders have all the information and all they have to do is just to put it in precise way to solve a particular problem. Some employees misinterpret this style as a vehicle for yelling, using demeaning language and leading by threats. But authoritarian style is different from what they perceived (Giltinane, 2013). Leaders put faith in employees and entrusted them task which they can fulfil in effective and efficient manner. There are lots of tasks in hospitality industry say for instance formulating polices for fostering organisation culture, leaders just articulate policies to employees and they have to follow it precisely.

Democratic or Participative Leadership style

Figure 2: Participative or Democratic Leadership

(Source: Leadership Styles, 2015)

Participative leadership or democratic leadership style is most popular and most followed leadership style in hospitality industry. This style involves leaders to include one or all employees in the process of decision making. This is done in order to foster effective relationship within the organisation and to enhance the motivation of employees. However, the final decision is made by leader only (Yahaya and Ebrahim, 2016). The motive of participative leadership style is to gain reviews of employees regarding particular situations. As hospitality industry is merely service based industry that provides services to customers to thrive in the competitive environment. Thus, leaders involve employees in various areas to enhance the profitability, goodwill and productivity of the organisation. For example, in hotels leaders involves employees to gain their reviews and opinions to develop policies to foster effective relationship within hotel which enhance reputation of hotel (Du et al., 2013). This style is usually utilised when leaders have some part of information and other part of information is possessed by employees. Thus, style is beneficial for hospitality industry as it promotes employee motivation and satisfaction.

Laissez-faire Leadership

Figure 3: Delegative or Laissez-faire Leadership

(Source: Leadership Styles, 2015)

Under Laissez-faire leadership, leaders allows employees to make their own decision however, leaders will be responsible for their decisions (Komives, 2016). This style is utilised when employees are able to analyse the situations and identify the precise solutions to cope up with the situations. This style is not directly followed within the organisation but in indirect ways leaders allow their team to make decision in order to cope up with certain situations. In hospitality industry leaders allow employees to make decision at various levels such as employees allowed making decision to do their task in their own way, formulation of various team activities, etc. Thus, laissez faire leadership style is considered as motivation boosting leadership style (Korotov, 2013). Employee sense of belongingness increased and they become more committed to the organisation. In this context, it can be understood that laissez faire leadership style can be optimum in hospitality industries. Employees come up with innovative and new tactics to deal with tasks and responsibility thus boosting up the productivity and profitability of the organisation.

Thus, in order to sustain in competitive environment and to lead the organisation towards success and growth it is essential for the organisation working under hospitality sector to utilise appropriate leadership styles (Clarke, 2013). Leadership is complex and challenging task and it is rudimentary for the organisation to follow precise leadership styles to thrive in competitive environment.

2. Leadership traits, characteristics which anticipate effectiveness in leadership

Leadership Traits

Leadership traits are referred to personal qualities that shape effective leader. Leadership traits are transferable across industries. The increasing pace of transformation in environment of businesses is dominating factor in this new emphasis on leadership (DuBois et al., 2015). Leadership traits are defined as integrated paradigm of personal characteristics that depicts range of individual differences and promote consistent effectiveness in leader across variety of group and organisational situations. According to trait theory leadership is based on characteristics of many leaders including both successful and unsuccessful (Yahaya and Ebrahim, 2016). In order to become a sacksful leader it is essential for an individual to have certain qualities such as emotional stability, enthusiasm, social boldness, self-assurance, dominance, compulsiveness, conscientiousness and tough-mindedness. Thomas Cook which is one of the biggest tourism organisation incorporated in United Kingdom prefer to develop leaders in a way that helps them to sustain in competitive environment. There are different types of leaders for different types of tasks. Thomas Cook management prefer to select leader which have strong decision making skills, confidence and team building skills as they have to deal with large amount of team and employees (Bolman and Deal, 2017). In this context, the traits that required to be leader at Thomas Cook are described below:

  • Emotional Stability: Effective leaders must be able to tolerate frustration and exasperation and stress. There are loads of circumstances leaders have to deal with while working at Thomas Cook thus it is essential for them to have robust emotional stability.
  • Dominance: Leaders needs to overcome obstacles and challenging situations. They have to be assertive in their cognitive styles and must have effective attitude while dealing with other members.
  • Conscientiousness: Leaders needs to be dominated by their sense of duty and always be enthusiastic in order to boost up the motivation of employees and team members (Al-Asfour and Lettau, 2014). They have a very his standard of excellence and an inward desire to do one’s best.

Leadership characteristics that anticipates effectiveness in leaders

“A leader is one who knows the way, goes the way, and shows the way.” An effective and good leader has futuristic vision and knows how to turn his or her ideas into real world success stories (Aydin et al., 2013). Leadership characteristics are qualities that good leaders must possess to lead their team. In this context, the qualities of good leadership that anticipates effectiveness in leaders are described below:

  1. Honesty and Integrity: A good leader must be honest with his or her work, task, team and organisation (Al-Asfour and Lettau, 2014). Honesty and integrity are rudimentary characteristic which must be possessed within leader.
  2. Self Confidence: A good leader must have self confidence in him or herself. It is essential as many time leaders have to deal with tasks which are beyond their level. They must have effective confidence in themselves which helps in accomplishing that task effectively and efficiently.
  3. Inspiring aura: Good leaders must inspire their team in the right direction so that common organisational goals and objectives can be accomplished in effective and efficient manner.
  4. Committed and passionate:Leaders must be committed and passionate towards their work. This indeed motivates team members by seeing their leader is committed and passionate (Heifetz and Linsky, 2017). They will also give their best shot to assist leader in difficult task.
  5. Effective Communicator: A leader must be effective communicator. Leader is the spokesperson of organisation and he or she must have effective communication skills in order to enhance the reputation of organisation.
  6. Decision making capabilities: Leaders have to make quick decision at certain time. They must have adequate decision making skills so which helps them to make decision quicker and efficient.
  7. Accountable: Leaders are accountable for their team. A good leader takes little more than his share of the blame and little less than his share of the credit.
  8. Delegation and empowerment: Leaders have to allocate work in their team in effective and efficient manner so that task can be accomplished efficiently (DuBois et al., 2015). Leaders must also empower others in various areas in order boost their motivation.
  9. Creative and innovative:Hospitality industry requires innovative and creative leaders in order to maximise employee motivation and customer attraction.
  10. Empathy: Leader should develop empathy with their followers in order to gain their trust and support.

3. Overview of the Management process

Hospitality industry plays crucial role in providing growth to the economy of UK, as it is continuously introducing new and major trends for attracting target customers. Management is analysed as important aspect of business which involves some important functions and processes that needs to be followed by managers in Thomas cooks for regulation of business operations effectively (Yahaya and Ebrahim, 2016). Managers need to have a much broader set of skills which the tasks ranging depends on the business. Thomas cook is an international business enterprise which aims to sustain their business operations in market by analysing and meeting current trends in hospitality industry. Below given is the process of management in hospitality industry such as:

  • Planning: Planning is important part of process that involves setting objectives and determining a course of action for achievement of those objectives. In this context, Management of Thomas cooks have also developed an objective of maximizing high profitability and markets share in hospitality industry (Komives, 2016). It also focuses of broader perspective of the business along with taking in to consideration, the tactical methods to achieve expected outcomes. In order to achieve these objectives, management is required to meet the requirement of customers. This aids them in increasing their sales in market. Managers in organizations required to perform an effective market research to analyse needs of customers and changing trends in industry.
  • Organising: Organizing implies to establishment and sustaining the internal organizational structure in accordance with the objectives mentioned in planning stage. It also involves assigning tasks to different individuals in for larger goals of organization’s mission and goals. In this context, For achievement of high profitability and increasing market share, employers of Thomas cook have assigned different roles and responsible to managers in different department which they needs to perform such as analysing customers requirement, current trends, pricing policies, strategies development and competitor analysis (Bolman and Deal, 2017). Findings of research states that customers requires online facilities through which they can easily get information about holiday packages and tourist destinations along with service of Thomas cook. Therefore, it is essential for Thomas cook to implement digital technologies in business operations to meet the requirements of its visitors.
  • Coordinating: It is also important part of process which implies to development of team between functions of different department and employees together for accomplishment of goals and objectives of Thomas cook. Employers tend to create teams in different department to raise the productivity and performance of organization in market.
  • Staffing: It is considered as process of selecting right people for business enterprise. Human resource department in Thomas cook needs to analyse requirement of employees in different and also hire qualified employees which are capable in accomplishment of business requirement. Training will also be provided to new recruited employees in Thomas cook in order to raise their competencies in management of business operations.
  • Leading: It implies to guiding people in the organization through the means of counselling, instructing and motivating (Giltinane, 2013). Moreover, leaders in Thomas cook needs to provide guidance to team members for promotion of new products and service in market and attracting customer to raise sales and operations. They also provide them guidance for development effective customer relationship along with using digital technologies for providing various online facilities to customers.
  • Controlling and evaluating: At last. Manager needs to control and evaluate the activities by making comparison between expected and actual results for analysing of requirement of improvement in process. Evaluation will helps in optimizing positive results and increase in business performance.

4. How organisational responsibility and responsible leadership leads to corporate leadership systems that support corporate social responsibility

Corporate social responsibility consists of ethical and non-profitable responsibilities of companies because they relate to society in general. It implies the needs for Thomas cook to contribute to the local communities and markets in based on travel and tourism which has made them successful. They also take effective measure for development of societies by providing various employment and growth opportunities for people. As per Pereira-Moliner and et.al.., (2012), organizations in hospitality industry are also focusing on increasing of life style of people in country. For this, they have provided major support to government so that they will be able to develop infrastructure of local communities at tourist’s destination. Value of CSR is in achievement of corporate sustainability for creating long term shareholders value. This also involves of exploiting market potential for sustainable products and services while effectively decreasing and associated cost as well as risk.

For example: there are various hospitality business in UK including Sandals and star wood hotel are developing CSR programs and strategies as an attempt to boost the consumer loyalty, sustaining environments, reducing social problems and contribution towards development of local communities. Moreover, Thomas cook has also take several initiatives includes adaptation of programs of linen exchange, use of environment friendly service and conservation of energy nu installing energy saving devices. In addition, Organization has also developed training centres for increasing capabilities of individuals to work in organization and achievement of growth. Through this, company has achieved strong brand image, recognition rise in sales, more visibility to investors and continuously increasing customer’s loyalty (Mok, Sparks and Kadampully, 2013). Thus, it is can be said that by performing important business functions, organization tends to provide contribution towards development of society.

Conclusion

From this report, it is concluded that management of business is a process that involves of planning, organizing, coordinating, staffing, directing and controlling of important business activities. Different leadership styles have been followed by leaders working in hospitality industry but their motive remains the same i.e. to enhance the workforce motivation and loyalty. Management of Thomas cooks have also developed an objective of maximizing high profitability and markets share in hospitality industry. It also focuses of broader perspective of the business along with taking in to consideration, the tactical methods to achieve expected outcomes.

References

  • Al-Asfour, A. and Lettau, L. 2014. Strategies for leadership styles for multi-generational workforce. Journal of Leadership, Accountability and Ethics. 11(2), p.58.
  • Arnold, K.A., Connelly, C.E., Walsh, M.M. and Martin Ginis, K.A. 2015. Leadership styles, emotion regulation, and burnout. Journal of Occupational Health Psychology. 20(4), p.481.
  • Aydin, A., Sarier, Y. and Uysal, S. 2013. The Effect of School Principals’ Leadership Styles on Teachers’ Organizational Commitment and Job Satisfaction. Educational sciences: Theory and practice. 13(2), pp.806–811.
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