The Key to a Successful Hospitality Business

How to Turn Around a Failing Business - MasterclassPresented by: Monica Or

Monica Or MA, FIH, MCIPD

Founder of:Star Quality Hospitality Consultancy assisting hospitality businesses and aspiring hospitality managers to unlock their potential

Best Selling Author of: “Star Quality Hospitality – The Key to a Successful Hospitality

Business” Available on Amazon

Welcome to The Hospitality Industry

• Hospitality is the 4th largest industry in the UK

• Hotels, Restaurants and Pubs make up to 58% of the hospitality sector

• The industry is predominantly made up of small businesses

• 45% are owner / operators of guest houses and bed and breakfasts

Questions for Hoteliers and Restaurateurs to answer….

• What made you decide you wanted to run your own business?

• What experience do you have of working in the hospitality industry?

• What makes your business successful?

• What are the signs that your business is failing?

Most common answers….

“My business is successful when

I have people staying”

“I had some spare money so decided

to invest it in a hotel / guest house /

restaurant / pub”

“I can hire people who have worked in the industry”

“I don’t understand

why I am not making a

profit”

“I have never worked in

hospitality”

The Key to a Successful Hospitality Business

The Business of Hospitality

Answer the following:

Why do people stay in hotels and eat in restaurants?

What business are you actually operating? – describe this in less than 7 words

Most common reasons hotel businesses failThe owner does not have a

clear identity of what business they are running

The hotel does not have a clear vision, mission or values

This is therefore not instilled in everything that the organisation does

This affects the culture of the company

Example Vision Statement:

“To be the number one 5 star luxury hotel in the county”

For more information refer to Section 1 – The Business of Hospitality in:

Your Mission StatementYour mission statement is a concise statement of business strategy which is put together from your customer’s perspective and fits with the vision of your business. It should answer these three questions:

What do you do – how will you fulfil the psychological needs of your customers?

How do you do it? – how your physical products and service fulfil your customer needs

Who you do it for – identify who your customers are

Create your mission statement taking in to account the above and the vision you have just created

Example mission statement

“To provide outstanding accommodation and dining facilities for our guests. Our hotel welcomes both business and leisure guests and we specialise in corporate events and weddings. We pride ourselves on our high quality standards and continue to delight our customers in everything we do”

For more information refer to Section 1 – The Business of Hospitality in:

Missionary Goals You should now break your mission down in to achievable goals:

Use the above table format to do this for your mission statementFor more information refer to Section 1 – The Business of Hospitality in:

Sample Mission Statement Sample Goals

To provide outstanding accommodation and dining facilities for our guests.

To maintain 5 star status To gain 1 Michelin star in the

restaurant

Our hotel welcomes both business and leisure guests and we specialise in corporate events and weddings.

To cater for one wedding a week To increase corporate bookings by

10%

We pride ourselves on our high quality standards and continue to delight our customers in everything we do.

To increase repeat guest business by 10%

To reduce staff turnover by 20%

Identify your Company Values

Your company values are 3-5 key areas which you as the business owner feel are important in order for you to run a successful business.

Once these have been identified it is important that whoever you employ also has the same values so they can share in your belief of your business

Write down what your company values

Example Company Values

“Product, People and Profit”

For more information refer to Section 1 – The Business of Hospitality in:

Building a Culture

Now that you are clear about your vision, mission and values from this you will start to build your company culture as everything you do should tie in with this.

Work out how your values will be demonstrated through the culture you will be building.

Example Culture built through values

5 star luxury hotel

Product – interior design, quality furnishings, food choice

People – recruit customer focused staff

Profit – demographic of customers attracted by the facilities providedFor more information refer to Section 1 – The Business of Hospitality in:

Match your Star Ratings to your Products and Services

Consider the physical structure of your establishment and how this will be utilised to meet your guests needs through the products you can offer them

Product + Service = Experience

Note: Just because you may not have a 5 star rating does not mean you cannot deliver a 5 star service

For more information refer to Section 1 – The Business of Hospitality in:

The Key to a Successful Hospitality Business

Your Customers are your Lifeline

• Internal Customers

• External Customers

• ALL customers should be treated with the same respect and courtesy with consistent service being delivered throughout

Your Supplier Choice

• Sourcing suppliers – quality, price, consistency, reputation

• Attend trade shows to be kept up to date

• How often do you change suppliers?

• How much do you charge your customers?

For more information refer to Section 2 – Customers are you lifeline in:

Look after your staff• Use your company values to recruit

• Induct them so they can understand your business

• Train them so they are competent in their role and to ensure consistency in your standards

• Appraise them so they know what they are doing well and how they can improve

• Reward them

• Recognise and celebrate success

For more information refer to Section 2 – Customers are you lifeline in:

Surprise and Delight your Guests

Work out the following:

• A basic guest need

• A basic guest expectation

• How would you exceed that expectation?

• What else could you do to ensure you are remembered for all the right reasons?

For more information refer to Section 2 – Customers are you lifeline in:

The Key to a Successful Hospitality Business

Measure Your Success

• Be your own guest

• Listen to your staff

• Talk to your guests

• Add some mystery

• A helping hand along the way – the best businesses have coaches

For more information refer to Section 3 – Measure Your Success to Remain Profitable in:

Find out more here:

Email:monica@starqualityhospitality.co.uk

Twitter: @monica__or

Website: www.starqualityhospitality.co.uk

“Star Quality Hospitality – The Key to a Successful Hospitality Business” is an Amazon Best Seller