BUS4010: Contemporary Business Environment on Hilton Case Study

Introduction: Hilton's Digital Strategies and Economic Impact in Hospitality

A. Overview Of The Organization Along With Its Forms, Aims, Objectives Legal Structures And Key Stakeholders

Hilton is international hospitality firm that operate a chain of full service and luxury resorts that offers hotel services to customers in the global market. The firm offers food, restaurants, dining, loyalty, boarding as well as various loyalty initiatives. The hotel has introduced various leading technology enhancements to enhance customer experience such as automated room upgrades, digital key share and the capability to book confirmed room connectivity to the large number of customer globally (Hilton, 2023). The vision of the company is to provide warmth of hospitality by offering exceptional services to every guest. Hilton mission is to be the foremost global hospitality firm.

Hilton offers unforgettable experience as well as commitment to personal services in various locations around the globe (Menz et al, 2021). The company has various luxury resorts and hostels that provide singular service as well as remarkable local expertise within the global locations. The company offers seamless service, leading edge designs and inspiring relations at urban locations with the best view. Operation management of Hilton includes hotel services in the global market that helps company in maximizing their assets value. Hilton operations are accountable for strong communication, transparency as well as responsiveness to the customers' requirements. Hilton has talented employees that offer the best services to the guests and enhance their experience. The company has the capability to leverage their resources as well as tools most efficiently that helps them in gaining competitive advantage (Möller et al, 2020). The firm operates through franchise model where third parties own the hotel at the same time as Hilton gathers a fee for facilitating the owner to use the asset.

Key stakeholders

• Guests: They are the prime stakeholders within the Hilton and their perception of quality shapes their future decisions as well as satisfaction levels. Visitors seek comfort accommodations, efficient operations, personalized services as well as satisfying experience.
• Employees: They play a vital role in offering quality services. Employees are accountable for ensuring promptness, guest interactions, attentiveness as well as personalized care. Employees who are empowered and engaged are more probable to offer exceptional services that contribute in overall guest satisfaction. Hotel team develops the policies, maintain quality standards and create a culture of excellence. They track and monitor service delivery, adopt training initiatives as well as offer resources to make sure that the quality is upheld constantly.
• Investors: They are interested in maintaining high quality standards that are directly linked with long term viability as well as financial performance of the hotel. Quality influences, revenue, tenancy rates and hotel reputation within the global marketplace.
• Local community: Hilton has a major impact on the local communities as well as maintain quality that reflects social responsibility (Gardaševi? et al, 2021). The company support local firms, offer employment opportunities as well as engage in sustainable initiatives that helps the company to build strong brand reputation in local community.

B. Discussing The Role And Impact Of Digitisation On The Business Structure, Operations, And Strategies

Digitalization is an important tool to accomplish success within any business. This consists of automation of marketing operations that are backed up by the digital tools and technologies. The adaptation of digital technologies results within transition of Hilton from analogue to digitalization (Grant, 2021). Digital technologies allows Hilton to automate tasks, minimize labour as well as streamline procedures that lead to enhanced productivity as well as cost savings. The hospitality sector is evolution within digital landscape in the way guests interact with customers, enhancing convenience as well as deliver customized services according to the needs and preferences of the customers.

Online Booking And E-Commerce Services

Ecommerce makes the online booking as well as payment of hospitality services easy. Hilton makes the booking process faster as well as more convenient for guest. This allows Hilton to increase their visibility in the market which offers company to engage large number of customers. Online booking is allowing Hilton to encourage their operations of the global level with minimum costs (Ruel et al, 2021). To generate more profit Hilton is discovering the authority of selling discounts and gift vouchers for its services. E-commerce has immensely impacted Hilton by revolutionizing booking accommodation and enhances customer experience. The increase in online travel agencies made it more convenient for the guests to compare amenities, prices and review of other hotels. The use of online booking has made the procedure more easily using mobile apps, website & other technologies that allows guests to find check rates, available rooms and make reservation easily. This has also helped Hilton to streamline their business operations as well as enhance their profit management.

Hyper Personalization

Hilton is navigating of data to gather into preferences as well as customer behaviour. The foremost groundbreaking development is the realm within hyper personalization through data analytics. This approach is rising the way Hilton interacts with guests by offering personalized experience. Hyper-personalization has made it cornerstone of customer centric approach the power of data analytics to offer customized experience to every guests. Hilton use advanced data analytics strategies to offer highly customized experience for clients. This helps company to look at online behaviours as well as social media interaction for customer support engagement and transaction history (Ritter and Pedersen, 2020). Hilton is tapping into diverse data sources to construct comprehensive point of every guest. To make sense of the huge amount of data generated Hilton turn big data technologies to analyze patterns and get full insight.

Internet of Things (IoT)

IoT within Hilton includes connecting a range of systems as well as devices within the hotel to improve guest experience and operational efficiency. This is significant for personalized guest experience, automating procedure, optimize resource management as well as provide data insights for improved decision making within Hilton. IoT allows guests to carry out room features such as TV and temperature to offer a personalized staying experience. This technology also offers timely, appropriate information as well as endorsement to guests on the basis of their locations (Becker and Schmid, 2020). This technology makes aware employees to handle potential appliance problems that allow for timely repair as well as uninterrupted customer services. IoT assists to handle energy with more efficiency that reduces costs as well as environment impact. Hilton has used connected room concept where customers can control room functions within their mobile phone that allows visitors to control room temperatures. Hilton uses Bluetooth and GPS to send message to guest such as menu items and various updated information. Company also use location data to optimize staffing needs.

Digital Communication

Hilton thrives upon guest satisfaction as well as offering a best home experience. Digital communication is the most efficient way to get feedback on customer experience. Emails facilitate the company to grow subscriber list, handle communication with guest, personalized touch as well as perform targeted marketing without disturbing Hilton guests. The company also use social media to connect with customers and build strong relationship with them. This also helps Hilton to lead and boost sales (Seyedghorban et al, 2020). This helps Hilton to understand guest by tracking and monitoring their comments, feedbacks and queries. The company segment their customers, invest in CRM as well as add personal touch within their emails to attract large number of customers.

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Conclusively, in order to implement these technologies company is required to conduct training sessions for personnel. Further, effectual communication and leadership is also highly required for the execution of digital technologies successfully.

Task 1:

Explain The Key Components Of Micro & Macroeconomics Theories And Their Impact On Organizational Behavior As Well As National Economy

Microeconomic

• Economic problem: This is a major challenge faced by the society because of scare resources. The hotel industry has faced socio economic impact with increasing employment, greater tax revenues, enhanced standard of living and development of local communities. The labor market has increased labor costs. It is significant for the company to look after their staff on working conditions, avoid burnout and reorganization (Grabowska et al, 2020). Hilton increase sales by providing additional services including family packages and various other facilities to satisfy its customers.
• Supply and demand: The law of demand & supply contributes the two economic principles that evaluate the change in price of products and services. The demand of the rooms within Hilton depends on the factors such as preferences, income level and behaviour of customers. This is also based on the attractiveness and availability of accommodation alternatives. To evaluate the demand of hotel, Hilton needs to qualify and recognize various segments of customers. The company also require monitoring external factors that impact the demand including political stability, economic situation, health and safety regulation, cultural events as well as environmental problems. The supply of hospitality depends upon the planned and existing ability as well as costs on entry and exit. The company needs to consider the factors that influence the supply including labor market, land availability, regulatory framework, competitive pressure and technological innovation.

Macroeconomics

• Monetary and fiscal policies: Monetary policies includes central bank activities that are forced by influencing the quality of credit and money in an economy (Haynes and Alemna, 2022). Fiscal policy signifies government decisions regarding spending and taxation that used to regulate economic tasks. Tighter monetary and fiscal policy causes the economy to signify with reduced demand and spending. Fiscal policy also contributes in increasing saving rate by offering stimulation to reduce imbalance in distribution of wealth and income.
• Circular flow: This is an economic model that reflects the way income flows by the various sectors of the economy. This is defined as the flow of receipts as well as payments of products and services among the firms and households industry of the economy. The circular flow of income offers spending as well as income within the economy. Revenue earned by companies by selling their output flows which spend this revenue on the output produced by company.

Task 2:

A. Presenting The Leading Theories Of Management, Leadership And Control And Discuss The Challenges Posed By Contemporary Business Models

• Transactional theory: This theory was developed to boost company's productivity. This is an leadership approach that focuses on the value of hierarchy for improving company's effectiveness. Hilton place high significance on the structure as well as use the authority to enforce rule to inspire employee to perform at the best. Corporate structure as well as culture is higher on the list of significance within transactional leadership. The leaders of company focus on accomplishing short as well as long term objectives (Belas et al, 2022). They provide clear guidelines as well as expectations for the other members of staff. This transparency assists in establishing a structure for working environment. On the contradictory note, transaction approach also focuses on short term goals but the company should also consider long term goals such as key results and objectives.
• Classical management theory: This management theory emphasize on hierarchy, single leadership and specialized role for optimizing efficiency within the place of work. This theory is used to determine the better way to do job and workers are chosen to perform activities on the basis of specialization and skills. This theory includes three levels of management that provide clear picture of objectives and responsibilities for every member of organization (Niamir et al, 2020). This theory allows clear labor division that structure the staff expectations as well as duties. Activities are typically easy to understand and staffs are given particular projects to finish with expertise. Hilton implements this management theory for regular opportunities for staff to be benefited for their presentation with incentives. This enhances their feeling of approval by acknowledgment of their activities.
• Situational leadership theory: This theory of leadership works on the assumption that the most successful style of leadership change from the various situations. To become most successful as well as effective leaders must be capable to implement and adapt various styles and strategies to various situations. These leaders adapt their style on the basis of commitment as well as competency level of workers (Dosi, 2023). These leaders adopts flexible style that is used to enhance staff potential while meeting corporate targets, there are four styles of situational leadership. first one is telling and directing that offers specific guidance, support and close supervision. These leaders make decisions through interactions and communication with staff. Next is selling and coaching style that consider persuading and explaining that accept input form team members and promote them to put their own suggestions and thoughts. The third is participating and supporting style of leaders that offers less direction as well as leave the decisions on others. Thee last is delegating style that tend to limit participation as well as leave the accountability to the team. These leaders pass decision making to the group members.

Challenges Within Contemporary Business Models

• Globalization: global leaders work within multiple groups and face various situations that might create conflicts. Hilton build a culture of respect to handle culture conflicts. Cultural assumptions as well as behaviours play a vital role in leaders, they require being highly aware on the influence of culture (Boikova et al, 2021). Leaders and managers in the global company need to build strong trust within their groups as well as understand various cultural perspectives that create alignment with mission. Efficient leaders learn to overcome cultural, geographical and language obstacles to make sure that their virtual image communicates effectively.
• Digitalization: the digital transformation has placed various challenges for leaders that include implementing changing technologies, dealing with data privacy, handling remote team and cybersecurity issues. Leaders by adapting the culture of constant learning as well as innovation can stay updated with emerging technologies and embrace digital change. The digital advancement raised the ethical issue regarding AI, data privacy as well as automation impact on the work. Leaders should make ethical decisions that link with company's value to gain trust of all stakeholders.
• Diversity and inclusivity: The major challenge in leadership includes the managing diverse team within the organization (Gierlich-Joas et al, 2020). Diversity concludes collaborating with individuals with distinct work abilities, styles, genders, generations, language and many more.

B. Investigate And Analyze Real World Businesses Using Relevant Tools Such As: Responsible Global Citizen

Understanding Global Issues

Hilton is focusing on destination and climate action by protecting planet and preserves the locations for future generations. The company is committed to lead the hotel sector towards a net zero and reduce carbon emissions. The company has implemented more renewable power and focus on energy efficiency that minimize the costs and gas emissions from hotel operations. The company is also focusing on reducing waste by using waste prevention, food upcycling, recycling as well as donation for creating greener hospitality industry (De Angelis, 2021). The company works with nonprofits organizations and teams to improve environmental sustainability, community resilience and career development within local community around the globe. Hilton's travel with purpose initiative focuses on environment, governance and social strategies to drive accountable tourism and travel internationally. The company seeks to offer positive social and environmental impact across its supply chain, operations and local communities. The company's major focus is to promote team members and local communities around the world. The company also concentrates on diversity and inclusivity to protect rights of human (Obrenovic et al, 2020). As a part of their commitment with local communities Hilton operate in food donation programs, global volunteer initiatives as well as disaster relief projects.

Ethical Decision Making

Ethical decision making within company can enhance efficiency as well as productivity that focuses upon ethical options. The company strictly follows regulations, laws as well as internal guidelines in the area of employment, healthy, labor, safety as well as protecting environment. The company code of conduct holds ethical standards within the challenging situations. The company suppliers follow principles in code of conduct for responsible sourcing. Supplier of the company is encouraged to have suitable management system and maintains transparency policies and practices related to staff education (Biloslavo et al, 2020). The company is committed for upholding global human rights standards, social responsible practices as well as ethical trading processes. The company is responsible for human rights of their staff in supply chain and operations.

Accountability

Hilton provides their sustainability report by disclosing as well as communicates their environment, social as well as governance goals for the progress in long term. Hilton serves an a leader in hotel sector for driving environmental and social impact by disclosing their reports. The company is continuously working on ESG strategies to serve local communities and guests worldwide. Travel with purpose allows leaders of Hilton by using innovation as well as influence to make major variations in the communities and destination (Chin et al, 2021). The company's annual report share their progress in the worldwide path. Hilton is accountable for constantly growing ESG strategies to make sure that they link with practices and climate. The company is focusing on its team members as well as communities to offer meaningful impact along with opportunity. The company's robust governance structure advance and measure their goals with transparency and integrity.

Self-Awareness, Openness, And Sensitivity To Diversity In Culture

The significance of culture awareness allows company to communicate with individuals more efficiently. Language plays a huge role in building the cultural awareness. Culture is a collective term used to recognize the social behavior, customs and thoughts of the society for the long period of time. Globalization has lead to the major impact of growth and expansion of companies globally (Landoni et al, 2020). Hilton needs to be aware of cultures for dealing with international customers. Culture awareness encourages helps individuals to build professional and successful relations with diverse backgrounds. This leaves a positive impact on every individual's responsibilities and role to avoid misunderstanding from different cultural backgrounds.

Conclusion

In conclusion, companies by encouraging competition with no fraud as well as using its all resources can engage within activities that enhance the profits. The company by using innovative technologies can allow management team to streamline employees and improve productivity. It is essential for Hilton to analyze market trends and advancement in technologies to improve their performance in global marketplace. Hilton by creating a culture that suits with staff and guest preferences and demands can improve their brand reputation and image. Leader should implement and adopt better decisions to boost the morale of employees and create diverse team within organization.

References

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Online

• Hilton, 2023. Online. Available through. :<https://www.hilton.com/en/>