UNIVERSITY OF LINCOLN HIRE ME PROGRAMME 2016

GROUP EXERCISE
CANDIDATE BRIEF

University of Lincoln| Group Exercise

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Group Exercise
As part of your participation in the Hire Me Programme, you are invited to take part in a group exercise.
The exercise has been designed to enable you to demonstrate some of the behaviours and skills that are relevant
when applying for Graduate Programme, Year in Industry and Summer Internship roles.
During this exercise, you will work with the other candidates in your group.
For the purpose of the group exercise, you (as a group) will assume the role of Bailey Randal.
You are a newly appointed Graduate Management Trainee within a business consultancy organisation. You have
been tasked to make a recommendation for a global hotel chain who currently manages a substantial property
estate. They hold ambitious plans to increase the size of their property estate within the next two years. Their
preference is to have hotels situated slightly out of town but with easy access to cultural cities and attractions.
As part of the fast-track graduate programme, you are often asked to input in a variety of projects.
Later today, you will have a meeting with Reese Dawson who is a representative from the hotel chain. He is a
newly appointed Regional Manager for Scotland (played by the Assessor). Reese has sent you some information
ahead of the meeting and is very interested in which site near Edinburgh you recommend for developing a new
hotel.
The meeting with Reese will begin directly after your preparation time has finished and is scheduled for up to
10 minutes. Reese has another appointment immediately after your meeting, so use your time carefully to
ensure you talk through your recommendation ensuring you provide the detail to support it.
The assessor will introduce themselves as Reese to start the meeting and will stay in role until the meeting has
finished.
If you have any questions, please ask the Assessor during this briefing time.
To clarify, the exercise is schedule for 40 minutes. You may allocate the first thirty minutes as you wish but a
guide is provided for your reference as follows:

Reading Time 10 minutes.

Discussion Time 20 minutes.
Meeting Time 10 minutes.

University of Lincoln| Group Exercise

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From:

Reese Dawson <reece.dawson@globalhotels.co.uk>

To:

Bailey Rhodes <bailey.rhodes.1.@businessconsultancy.co.uk>

Date:

Monday 24 November 2014 09:04

Subject:

Confidential: Site for New Hotel

Hi Bailey,
I have a task for you to complete ahead of our meeting later today. I would like you
to review the attached data and recommend which of the four proposed sites
should be considered for the new hotel within the Scotland Region. Following our
meeting, I am seeing the Executive Committee to recommend which site we
progress so your insight will be really valuable in supporting my proposal.
Ive attached a summary of all the relevant data that should help you make your
recommendation.
Thanks for looking at this for me and I look forward to our meeting.
Regards,
Reese

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Figure 1: Predicted Expense and Total Sales Figures

SITE

Marchmont

Southside

Bruntsfield

Newington

LEASE
(ANNUAL)

195,000

154,000

135,500

335,000

INSURANCE
(ANNUAL)

25,000

23,000

15,500

22,500

ESTIMATED
SALES
(WEEKLY)

25,000

35,000

20,000

60,000

OTHER
ANNUAL
OPERATING
COSTS

STAFFING COSTS

145,000

General Manager x 1 @ 32,500

Assistant Manager x 1 @ 26,000
Front of House/Bar & Waiting
Staff/Other roles x 15 @ 14,000

135,000

General Manager x 1 @ 33,000

Assistant Manager x 2 @ 27,000
Front of House/Bar & Waiting
Staff/Other roles x 18 @ 14,000

75,000

General Manager x 1 @ 31,500

Assistant Manager x 2 @ 26,000,
Front of House/Bar & Waiting
Staff/Other roles x 15 @ 14,000

290,000

General Manager x 1 @ 43,500

Assistant Manager x3 27,500
Front of House/Bar & Waiting
Staff/Other roles x 24 @ 15,000

Estimated operating costs relate to utility bills, cleaning products and general administration costs. These
figures do not include food and drink stock costs.
Figure 1 refers to the predicted expense and sales figures for each site.
Figure 2: Area Economic Growth Projections

POPULATION

SIZE OF LOCAL
ECONOMY

PREDICTED GROWTH

Marchmont

12,000

900 million

STATIC

Southside

21,200

1.2 billion

SLOW

Brunstfield

8,700

450 million

REGENERATION

Newington

23,620

2.0 billion

SLOW

Figure 2 provides economic data for each area.

The locations are close to Edinburgh and information is provided for reference only.
The regions total Gross Value Added (GVA) in 2011 was 41.4 billion, 3.2% of the UKs GVA. GVA is an economic
measure of the value of goods and services produced in an area.

University of Lincoln| Group Exercise

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Figure 3: Information on each area provided by users of Trip Advisor

Trip Advisor captures comments from customers who have visited these areas in Edinburgh.

Marchmont

Very swanky place full of posh snobby types. Nice local shops.

Southside

Lovely parks within walking distance. Handy access to city centre.

Bruntsfield

Bit of a dump but area provides handy base for beautiful local attractions
within easy driving distance.

Newington

Ideal city centre location. Loads of cool bars and restaurants all close to each
other

Figure 4: Information on each area regarding competition and markets

COMPETITOR VOLUME IN THE

AREA

MARKET OPPORTUNITIES

Marchmont

Area occupied by many competitors

having great accommodation capacity

Accommodation, Conference ,
Weddings

Southside

Area occupied by some competitors

having average accommodation
capacity at the higher end of the
market

Accommodation, Weddings,
Conference, Business Centre,
Weekend/Mini Breaks

Brunt field

Area occupied by a couple of

competitors offering budget
accommodation

Accommodation

Newington

Area occupied by many competitors

having average accommodation
capacity

Accommodation, Business/Conference
Facilities

University of Lincoln| Group Exercise

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Edinburgh tourism numbers up following campaign

THE NUMBER of visitors to the Scottish capital has increased significantly following a new drive to promote the citys assets and
enhance the visitor experience.
The total number of visitors in 2012 was up 11 per cent compared to two years before, with total spending rising by 16 per cent.
The average spend also increased to 321.46 per person, up four per cent on 2010, and there was a four per cent rise during the
key winter months.
Yearly figures are drawn from a variety of sources and take almost a year to calculate, but tourism chiefs said that the indications
were that 2013 had seen further growth in terms of spending and visitor numbers.
Footfall up in 2013
The results come as early indications show that Edinburgh experienced its busiest Christmas in several years in 2013, boosted by a
range of attractions and streets clear of tram works and disruption.
Footfall on Princes Street rose by 16.8 per cent in December and 7.6 per cent across the city centre, with the Star Flyer and Big
Wheel attractions drawing in tens of thousands of visitors.
Those figures were released at the annual meeting of the Edinburgh Tourism Action Group, which brings together firms across the
industry.
Councillor Frank Ross, the citys economy leader, said: These figures suggest that 2013 in general was a very good year for the
sector and that we are successfully addressing the seasonality issues for the city, increasing visitor numbers and spend in what
were traditionally the quieter times of year.
However, it is vital that we do not get complacent and continue to invest in success.
We need to get the mix right to ensure Edinburghs competitive position is maintained by building capacity in transport,
accommodation and facilities, create and communicate reasons to visit and provide a great quality, value for money visitor
experience.
Hotel occupancy rates highest ever
Edinburgh Castle saw a 26 per cent rise in visitor numbers in the summer months alone, and said that guides in a range of languages
such as Mandarin and Hindi have been well received.
In November hotel occupancy was 80.6 per cent the highest figure on record. This is significant as hotels have typically struggled
with far lower occupancy rates outside the summer Festival and winter Christmas and Hogmanay celebrations.
Businesses cross-promoting one another, such as hotels partnering with tour firms or recommending restaurants, have been
credited with higher spending.
Robin Worsnop, owner of the Rabbies tour group and chair of ETAG said: Whilst we will be able to celebrate some milestones on
our journey to 2020, our focus remains very much on maintaining momentum on the road ahead.
2014 is undoubtedly a huge year for Scotlands tourism industry; however, we must learn from the experience of others that
hosting these major events is a potential springboard for future success.
Edinburgh wins conference deals
Marketing Edinburgh, the council-owned tourism body tasked with promoting the city to visitors, also yesterday announced that
Edinburgh has won three major conference contracts worth 8m to the local economy.
This includes the Festival of Neuroscience, one of the largest science festivals in Europe, which will be held in April 2015 and
attended by 1,500 top academics and scientists.
John Donnelly, chief executive of Marketing Edinburgh, told delegates at the ETAG meeting yesterday: Business tourism is worth
11 Ryder Cups on any given year, 14 Commonwealth Games and 16 Six Nations championships. Thats serious amounts of money
that it brings to this country.
But he cautioned against the city taking for granted its appeal abroad.
He said: In 2012 Edinburgh only received 1 per cent of business meetings and conferences in Europe. That means there are a lot
of cities in Europe getting an awful lot more. We need to be careful about being too self-congratulatory competition is fierce
and its getting harder all the time.He also suggested that hotels and other tourism businesses had to be realistic about pricing.
He said: Coming to the UK, including Edinburgh, is very expensive relative to other European cities up to 57 per cent more
expensive than going to another city in Europe, particularly if youre going to London - something to be aware of.

University of Lincoln| Group Exercise

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MISSION STATEMENT
To be the market leader in hospitality services ensuring the philosophy of serving
the customer is the core of our culture
TARGET MARKET
Global Hotel Group is interested in reaching the next generation of customers with a new
mindset about work, life and travel. This target audience of global travellers are younger,
knowledgeable, sophisticated, warm, caring and genuine. They are ambitious travellers with a
purpose who multi-task, blending work and leisure seamlessly. These travellers have no
constraints and are highly tech-engaged and tech-enabled. They deserve and need a brand that
can deliver true hospitality in a more relevant way

University of Lincoln| Group Exercise

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FROM THE OFFICE OF BUSINESS INNOVATION AND SKILLS

1st November 2016

Regional Manager
Global Hotel Group
Hospitality House
Grey Street
Edinburgh
Dear Regional Manager,
I am writing to you about the Bruntsfield Regeneration Project. As you know, this
government has invested significant funds into supporting a sustained economic
recovery, particularly in Scotland.
Last year, the area underwent substantial investment and the result is a bright new
development including a shopping centre and leisure facilities ready to serve the
local community. Many large organisations are committing to long term leases in
the area and the Centre will enjoy a mix of local small and medium enterprises
working alongside large organisations.
To celebrate the completion of this development and to encourage local
entrepreneurs to bring their businesses to the area, we are currently working with
larger organisations to offer incentives to join this exciting development
I would like to invite you to review the deals available; principally a 15% reduction
on your first three years of a ten year lease or 25% reduction on the first five years
of a fifteen year lease. As a Government, we are committed to supporting the
Regional Development Agencies create prosperity, jobs and growth to the
Bruntsfield area.
I welcome the opportunity to meet and discuss further and accompany you around
this superb development.

Yours faithfully

Secretary of State

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NEWINGTON

TO LET
RENT 335k p.a.
SPACE USE: LEISURE
LEASE TERM 2018
FLOORS: THREE

PROMINENT POSITION
SOUTHSIDE

BRUNTSFIELD

TO LET
154k p.a.

Excellent position
Close to upmarket
bars and
restaurants
Great potential
Enquire within

MARCHMONT
LEISURE SPACE AVAILABLE TO LET
195K p.a.
Long Lease Available
Excellent position in a picturesque area

DISCOUNT
AVAILABLE VIA
REGENERATION
PACKAGE
*
RENT 135.5k
p.a.
*
NEW UNIT
WITHIN NEW
RETAIL &
LEISURE
DEVELOPMENT

University of Lincoln| Group Exercise

Designed by Smart Resourcing Solutions Ltd 2015