Within the Hospitality Industry, financial reporting is extremely important in terms of analysing how profitable and efficient a business can be. Therefore, as a result of the thematic week, “Viva Espana”, managed by BAIHM group 4 students, a financial report has been created to identify the success of the operation and highlight any remedial action to be taken for the next thematic week, commencing 1st March 2004.
Executive Summary This report aims to identify key financial information from group 4’s thematic week, and analyse the success of Viva Espana from a financial perspective. The report will also include a remedial management action plan to overcome identified weaknesses, as well as consolidating examples of good practise. This will be supported by factual data, and will be used to improve performance in the second thematic week.
Methodology The financial report was formed using factual data from the thematic week from the 26th-30th January 2004 including: – Food cost of sales report – Liquor stock analysis – Sales mix and GP% calculator sheet – Summary operating statement This information was obtained by second year managers on a daily basis during the thematic week; as well as primary market research and financial calculations conducted before the event.
As this report highlights, financial analysis is extremely important within the Hospitality Industry. Financial reporting identifies how profitably and efficiently a business is operating, and can help to improve operation in the future. This financial report has highlighted strengths and weaknesses from the thematic week “Viva Espana” and therefore using a remedial management action plan to identify these areas, will help to improve the operation financially and generally in the second thematic week.
Variance Analysis Strengths ; Weaknesses: 1. Number of covers is not to target. We forecasted covers for the whole week to be 298, yet the actual figure was 254. This is a variance of 44. This was due to a group cancellation on the Tuesday, which decreased our budgeted revenue significantly.