Hotel industry is a part of the tourism sector, hospitality and presents a factor on whose accommodation capacity and service pricing forms a higher level of value of tourism offer. Every branch of economy has their specific traits, and so the hotel industry differentiate it’s self from the other industry’s. in the example of Olympia Vodice d.d. data processed is from: owner structure, activities and capacity, human potential, mission and vision, management and organizational structure by department and process functions of the hotel. ‘’Olympia Vodice’’ is chosen as a addition to subject of final paper, for the reason because, I consider representative example of a hotel whose management is an example of successful and responsible management toward it’s employees, hotel guests and the rest of it’s business environment. Purpose of this paper is to explain concepts of hotel industry and hotel management, divisions and differences of accommodation capacities, and operating processes in the hotel industry connecting top and lower level management trough process functions, and to see what one hotel has to go trough, what qualities human resources has to possess to accomplish their goals, explain equal value of quality staff in all positions so than every business process can function properly.