Assessment Case Study – The Imperial Hotel, London

The assessment is based on a business and management case study which requires a team-based approach to identifying and problem-solving a range of business and management challenges within the case. Throughout the term you will undertake research and analysis which will inform your individual report. Within the individual report you will include a summary and key justifications for the resolution of one of the problems in the case.

 

The report will be an individual 2,000 words report which will address one of the six specific ‘problems’ identified in the case (e.g. a human resource management challenge, an ethical problem, a performance and productivity issue, etc). You will receive an initial briefing about the case study in week 1 seminar and a full briefing in Week 4..

 

Students will be expected to apply management theory to practice throughout the report.

 

Case Study – The Imperial Hotel, London

The Imperial Hotel is a London 500 bedroom hotel, which is owned and managed part of a well-known international branded chain of hotels in the 4 star market – Star Hotels which operates 25 hotels in the UK. The Imperial Hotel, located in the heart of London’s West End, caters for mainly international business and tourists guests who have high expectation in terms of service standards.

The facilities at the hotel include the following:

  • 500 bedrooms, all with en-suite facilities.
  • Conference facilities for 1,000 people
  • Leisure centre with swimming pool
  • 3 Bars and 4 restaurants
  • 12 conference rooms

Staff

  • 6 Heads of Departments: Food and Beverage; Housekeeping; Guest Services & Concierge; Front of House & Reception; and Human Resources & training.
  • 450 staff in total (300 full-time and part-time)
  • Outside contractors (for specialist cleaning; laundry services; management of the leisure centre;)

A new General Manager, Peter Farnsworth, has recently taken over the management of the whole hotel. He is an experienced manager having worked in several of the other Star city centre hotels outside London.  The previous General Manager, who had just retired, had been experiencing a range of problems in managing the hotel, namely that: there was a very high turnover of staff in all the departments running around 80% a year mainly due to poor staff morale;  the hotel was graded the lowest in the whole Star chain in terms of overall guest satisfaction running at a rate of 65% in the company’s benchmark grading system; the overall sales in the hotel are improving, and although the hotel occupancy (the ratio of rooms sold against the total number of rooms available) was running at 90% for the year, the actual average room rate (ARR) achieved, currently running at £95 per room per night was relatively low compared to the local competition. This poor performance is having a direct negative effect on the costs of the hotel and the hotel’s overall profitability.

The Imperial is an old hotel having been in operation for nearly 100 years. The hotel was last fully refurbished some 8 years ago but is now in need of some restoration and redecoration. There is a programme of staged refurbishment in place which means each floor of the hotel is being closed for building work to be undertaken. The consequence of this is that, at any one time for the next two years, 60 rooms will be out of action. This is putting the hotel under budgetary pressure due to the ongoing building costs as well as the loss of income from the 60 rooms out of action at any one time.

 

 

ACED ESSAYS