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Property Management Systems

Explore the history and evolution of automation in the hospitality industry, from budget reports to reservations systems. Learn about the functionality and interfaces of property management systems.

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Property Management Systems

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  1. Chapter 7 Property Management Systems

  2. At first, automation was a tool for producing and analyzing budgets, reports, statistics, accounts. Then, automation crept into such areas as sales reports, rooms inventory control, timekeeping. Advancements in telecommunications and technology brought reservations systems and their ability to handle transactions. History of Automation in Hospitality Industry Source: American Hotel & Lodging Educational Institute

  3. Further advances came as computers were used to analyze captured reservations data, thus providing important marketing info. Still further advances brought front-office systems that provided guest histories, patterns of use, preferences. History of Automation in Hospitality Industry Source: American Hotel & Lodging Educational Institute

  4. What influences technology need for lodging establishments? -Department needs -Guest amenities • Service level and customer relationships -Facility size and layout -Organizational structure Introduction

  5. Property Management Systems - PMS • Evolving • Complex • Peer to Peer (P2P) • Same application installed on more than one computer Introduction

  6. PMS - Centric Model Introduction Property Management systems integrate all of the information needed to manage

  7. PMS must be able to provide six basic functions • Enable guests to make reservations • Enable guests to check-in/register when they arrive and check-out/pay when they leave • Enable staff to maintain guest facilities • Account for guests’ financial transactions • Track guests’ activities for use in future sales efforts • Interface with other systems PMS Functionality

  8. Enable guests to make reservations PMS Functionality

  9. Enable guests to check-in/register when they arrive and check-out/pay when they leave • At front desk • Remotely • PDA • Remote terminal PMS Functionality

  10. Enable staff to maintain guest facilities • Room Type • Status • Occupant • Inspections PMS Functionality

  11. Account for guests’ financial transactions • Credit Card Information • Address Information • Business • Home • Room Rate • Room Charges • Night Audit • Collects and Posts Room/Guest Data PMS Functionality

  12. Track guests’ activities for use in future sales efforts • Information relevant and beneficial to future sales efforts • Accessed by: • CRS - Central Reservation System • CRM - Customer Relationship Management PMS Functionality

  13. Interface with other systems • GDS - Global Distribution System • CRS - Central Reservation System • must integrate seamlessly even if from different vendors • Sales and Catering Applications • POS (F&B) • Retail Points PMS Functionality

  14. Interface with other systems • HVAC or EMS Systems • In-Room Amenities • Messaging • Security • Call Accounting System PMS Functionality

  15. Real-time interface with the GDS/CRS The activities management system Built-in revenue and yield management The enterprise Four Key Interfaces

  16. GDS/CRS • Switches • Goal: to generate revenue • Complicated due to different business models and varying relationships between entities • Real-time: greater flexibility • Costly to develop systems Real-time Interface

  17. Most PMS have IRS • Make reservations online • Book through Internet • Eliminate fees –Expedia about %12 Internet Reservations Module (IRS)

  18. Tracks guest room and activities • Cancels appointments if guest cancels or checks out • Repairs • Pagers, blackberry Real-time Interface

  19. Revenue and Yield Management Tools • Managing room sales to maximize revenue and profits • Examines multiple variables and provides complex calculations Real-time Interface

  20. The Enterprise • Refers to all systems - front and back • PMS (front) • Payroll, Purchasing, HR (back) • EAI - Enterprise Application Integration • End goal: • of fewer redundancies • and increase in collaborative synergy • ERP - Enterprise Resource Planning • BPI - Business Process Integration Real-time Interface

  21. Interface • Intuitive • Fits naturally with expectations • Ease of training • Multi-lingual • Includes Websites GUI - Graphical User Interface

  22. 1st Generation: Minicomputers 2nd Generation: UNIX/NOVELL 3rd Generation: Reservation systems 4th Generation: Client-server 5th Generation: GUI 6th Generation: ASP (VPN) PMS Evolution

  23. Selling individual reservations Selling group reservations Displaying room availability and guest lists Tracking advance deposits Tracking travel agent bookings and commissions Generating confirmation slips and various reservation reports Reservation Systems

  24. Reservation system screen

  25. Today’s inventory • Future date • 7 to 14 day availability • Blocked room Displaying room availability and guest lists

  26. CRS (central reservation system) • IRS • Voice Center • GDS (Global Distribution System) Reservations

  27. Fidelio German company World Leader Was bought by Micros, USA based company Now, Micros/Fidelio Companies

  28. Decentralize the reservation function Centralizes marketing and sales efforts One way Two way CRS

  29. Started in late 1990s Flexible Cost effective Compliant with GDS Marriott.com / starwood.com / bestwestern.com Internet based CRS

  30. Travel Agency (GDS) • CRS (800 reservation number) • Call the hotel directly • Corporate travel agent • Hotel website (i.e. Hilton.com) • Internet travel agency (i.e. Expedia.com) (Online GDS / ADS/ IDS) • Walk-in • Other Distribution channels for a hotel

  31. GDS

  32. ADS/ IDS

  33. Other travel related websites

  34. Switch Switch

  35. Yield management rules can be established for: • overbooking • discount control • length of stay control • product class control • group evaluation Yield Management

  36. 87% of traveling population in the U.S. are online travelers 88% use the Internet to make travel plans 52% used the Internet to book their travels Traveler’s Use of Internet

  37. Joint ventures linking a number of diverse businesses • A big inventory • Smart Switch • Translator Global Distribution Systems

  38. There are 4 major GDS • Amadeus • Galileo/Apollo • Sabre • Wordspan GDS

  39. Smart Switch American Airlines Unix System Hertz Rent a Car OS System Marriott Windows Based System Access Codes Access Codes Access Codes SABRE Common Platform

  40. Pegasus http://www.pegs.com Wizcom (Trust) http://hospitality.cendant.com/technology/ Switch

  41. Property management systems provide data that marketing can use for: • Revenue maximization • Better rooms inventory control • More accurate management of room blocks • Yield management capabilities Property Management Systems Source: American Hotel & Lodging Educational Institute

  42. Automation helps hotels provide better guest service and related recognition programs: • Guests can count on same room, same seat, same car preference as a result of guest history and preference systems • Express check-in and check-out • Automated check-in and check-out • Similar technology has provided automated airline ticketing and car rentals Property Management Systems Source: American Hotel & Lodging Educational Institute

  43. Front Office System Room status and housekeeping management -room discrepancy report -room status report -etc. Guest registration -retrieve reservation -assign a room -collect payment -verify room status Front office system Cashiering and guest check-out -generate folios -post transactions -open and close cashier shift -guest check out Telephone services  - Phone calls - Wake up call -Messages

  44. Recording all transactions • Posting of room and tax • Producing a trial balance • Generating reports and updating statistics Night Audit

  45. http://www.youtube.com/watch?v=1OFs7130GKQ Video

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