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Chapter 5 Lodging Operations

Chapter 5 Lodging Operations. After Reading and Studying This Chapter, You Should Be Able to:. Outline the duties and responsibilities of key executives and department heads Draw an organizational chart of the rooms division of a hotel and identify the executive committee members

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Chapter 5 Lodging Operations

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  1. Chapter 5Lodging Operations

  2. After Reading and StudyingThis Chapter, You Should Be Able to: • Outline the duties and responsibilities of key executives and department heads • Draw an organizational chart of the rooms division of a hotel and identify the executive committee members • Describe the main functions of the rooms division department

  3. After Reading and Studying This Chapter, You Should Be Able to: • Describe property management systems and discuss yield management • Calculate occupancy percentages, average daily rates and actual percentage of potential rooms revenue • Outline the importance of the reservations and guest services functions • List the complexities and challenges of the concierge, housekeeping and security/loss prevention departments

  4. Functions of a Hotel • Lodging accommodations • Revenue centers • Cost centers • Serve and enrich society • Profit for the owners • Exceed Guest Expectations

  5. Role of a General Manager • Chief Operating Officer (COO) • Ensuring highest level of associate and guest service • Overseeing and coordinating operations • Increasing profitability John Handlery- General Manager

  6. Qualities of Successful Hospitality Leaders • Leadership • Attention to detail • Follow-through • People skills • Patience • Ability to delegate effectively . J. W. "Bill” Marriott

  7. Executive Committee • General Manager • Director of Human Resources • Director of Food and Beverage • Director of Rooms Division • Director of Marketing and Sales • Director of Engineering • Director of Accounting

  8. Executive Committee Chart

  9. Rooms Division • Front office • Reservations • Housekeeping • Concierge • Guest services • Security • Communications

  10. Rooms Division Organizational Chart

  11. Front Office Manager (FOM) • Enhance guest services • Ensure the desired percentage of each market segment is achieved • Make and exceed budget forecasts

  12. Basic Functions of theFront Office • Review previous night’s occupancy/ADR • Review arrivals/departures/VIP rooms • Staffing adjustments/scheduling • Look over Market Mix • Meet with lead GSA’s • Sell rooms • Maintain balanced guest accounts • Offer services such as faxes, mail, messages, etc.

  13. The Guest Cycle

  14. Duties of aGuest Service Agent • Guest Service Agent • 7:00 am - 3:00 pm shift • Check-outs • Guest inquiries • Room changes • Work with housekeeping • 3:00 pm - 11:00 pm shift • Check-ins • Reservations

  15. Night Auditor • Posts charges • Closes the books on a daily basis • Balances guest accounts • Completes daily report

  16. Night Audit Process in Simple Terms • Add yesterday’s closing balance of accounts owed by guests • Less payments received today against accounts • Plus all charges made today to guests’ account • Equals day’s closing balance of accounts owed by guest

  17. Different Room Rates • Rack rate • Corporate • Government • Entertainment cards • AAA • Group rates • AARP

  18. Hotel Occupancy Statistics • Occupancy Statistics • Percentage of occupancy = Rooms Occupied Total Rooms Available

  19. Hotel Occupancy Statistics • Occupancy Statistics (cont.) • Double/Multiple Occupancy Percentage = Total # of Guests - # of Rooms Occupied # of Double Occupied Rooms

  20. Hotel Revenue Statistics • Revenue Statistics • Average Daily Room Rate (ADR) = Total Rooms Revenue Total Number of Rooms Sold

  21. Property Management Systems (PMS) • PMS • Computer-based applications • Reservations management • Rooms management • Guest account management • General management

  22. Yield Management • Increases room revenue by using demand-forecasting technique • Based on the economics of supply and demand • Pricing is based on • Trends of demand • Type of room to be occupied • Rev Par = Dividing room revenue by number of rooms available

  23. Reservations • Internet • First area of guest contact • A sales position • Telephone skills • Central Reservations System (CRS)

  24. Reservation Definitions • Confirmed reservation • Guaranteed reservation • Advance deposit/advance payment • No show • 6 pm release

  25. Typical Reservation Screen

  26. Communications or PBX/CBX • Public/CentralBranch Exchange • Profit center • Includes many types of communication • Faxes • Messages • Pagers and radios • Emergency center

  27. Guest ServicesUniformed Service • Uniformed Service • Bell Captain or Guest Services Manager • Door attendants • Hotel’s unofficial greeters • Bell persons • Escort guests to their rooms • Transport luggage

  28. Concierge • Part of guest/uniformed services • Elevate properties marketable value • Typically in a luxury hotel • Unique requests • Knowledge of city • Several languages preferred

  29. Housekeeping • Largest department in terms of people • Executive Housekeeper • Cleanliness is the key to success

  30. Duties of the Executive Housekeeper • Leadership of people, equipment and supplies • Cleanliness and servicing the guest rooms and public areas • Operating the department according to financial guidelines • Keeping records

  31. Housekeeping Personnel

  32. Breaking the House Down • Assignment of sections for cleaning • SC - Checks out that day • SS – Stay-over • XX - Out of order • Based on standard of rooms cleaned per day by each housekeeper

  33. Other Duties of Housekeeping • Turndown service • Hotel laundry • Laundry and dry cleaning for guests • General hotel cleaning • Linen room

  34. In-House Laundry • Advantages • 24 hour anytime laundry service for guests • Smaller par-stock of linen • Full control over quality of laundered linen

  35. Contract Laundry Service • Advantages • No maintenance costs for equipment • No labor costs for training/staffing • Lower overhead costs of energy/water • Fixed projected expense

  36. Security and Loss Prevention • Providing guest safety and loss prevention • Security officers • Equipment • Keys • Safety procedures • Identification procedures • ADA compliance

  37. Food and Beverage Division • Kitchen • Catering • Banquet • Restaurants • Room Service • Mini-bars • Lounges • Bars • Stewarding

  38. Stewarding Department • Responsibilities of Chief Steward: • Cleanliness of back of house. • Cleanliness of glassware, china, and cutlery. • Inventory of chemical stock. • Sanitation. • Maintenance of dishwashing machines. • Pest control. • Forecasting labor and cleaning supply needs.

  39. Catering Department • Catering: • Includes a variety of occasions when people may eat at varying times. • Banquets: • Refers to groups of people who eat together at one time and in one place. • Terms are used interchangeably.

  40. Trends • Diversity of workforce • Increase in use of technology • Continued quest for increases in productivity • Increasing use of yield management to increase profit by effective pricing of room inventory • Greening of hotels and guest rooms

  41. Trends • Security • Diversity of the guest • Compliance of the ADA • Hotel companies are trying to persuade guests to book rooms via the company website instead of an internet broker

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