Hotel Front Office Management, 5th Edition , James A. Bardi Solution Manual

Type:

Solution Manual

Resource:

Hotel Front Office Management

Edition:

5th Edition

Author(s):

James A. Bardi

Instructor’s Manual to Accompany

HOTEL FRONT OFFICE MANAGEMENT Fifth Edition

Dr. James A. Bardi

JOHN WILEY & SONS, INC.

Copyright © 2011, 2007, 2003 by John Wiley & Sons, Inc. All rights reserved Published by John Wiley & Sons, Inc., Hoboken, New Jersey Published simultaneously in Canada No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, scanning, or otherwise, except as permitted under Section 107 or 108 of the 1976 United States Copyright Act, without either the prior written permission of the Publisher, or authorization through payment of the appropriate per-copy fee to the Copyright Clearance Center, Inc., 222 Rosewood Drive, Danvers, MA 01923, (978) 750-8400, fax (978) 646-8600, or on the web at www.copyright.com. Requests to the Publisher for permission should be addressed to the Permissions Department, John Wiley & Sons, Inc., 111 River Street, Hoboken, NJ 07030, (201) 748-6011, fax (201) 748-6008, or online at http://www.wiley.com/go/permissions.

Limit of Liability/Disclaimer of Warranty: While the publisher and author have used their best efforts in preparing this book, they make no representations or warranties with respect to the accuracy or completeness of the contents of this book and specifically disclaim any implied warranties of merchantability or fitness for a particular purpose. No warranty may be created or extended by sales representatives or written sales materials. The advice and strategies contained herein may not be suitable for your situation. You should consult with a professional where appropriate. Neither the publisher nor author shall be liable for any loss of profit or any other commercial damages, including but not limited to special, incidental, consequential, or other damages.

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This material may be reproduced for testing and instructional purposes by instructors using the text, Hotel Front Office Management, Fifth Edition by James A. Bardi (ISBN: 978-0-470-63752-4).

Library of Congress Cataloging-in-Publication Data:

Printed in the United States of America 10

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Contents To the Instructor

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Chapter 1

Introduction to Hotel Management

1

Chapter 2

Hotel Organization and the Front Office Manager

10

Chapter 3

Effective Interdepartmental Communications

18

Chapter 4

Property Management Systems

24

Chapter 5

Systemwide Reservations

33

Chapter 6

Revenue Management

46

Chapter 7

Guest Registration

55

Chapter 8

Managing the Financials

64

Chapter 9

Guest Checkout

70

Chapter 10

Preparation and Review of the Night Audit

80

Chapter 11

Managing Hospitality

103

Chapter 12

Training for Hospitality

113

Chapter 13

Promoting In-House Sales

121

Chapter 14

Security

128

Chapter 15

Executive Housekeeping

138

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To the Instructor Thank you for choosing Hotel Front Office Management, Fifth Edition for your students.

You will find some new aspects of this text that will assist you in presenting cutting-edge hotel management concepts in your class.

I have maintained the pedagogical features of the Fourth Edition that have allowed faculty to present lively lectures and encourage active learning with updates to Opening Dilemmas, Solution to the Opening Dilemma, Hospitality Profiles, International Highlights, Front Line Realities, and Case Studies. I have also added an additional case study to each chapter.

This edition includes some additions to reflect trends in the industry such as: • •

Applications to social media Updates to security measures Management engineering concepts to the housekeeping department such as use of technology, energy management, greening, and Leadership in Energy and Environment (LEED)

If you have any questions on Hotel Front Office Management or this Instructor’s Manual, feel free to send an email to me at jxb21@psu.edu.

Yours in hospitality education, James A. Bardi, Ed.D., CHA, CHE Author

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Chapter 1 – Introduction to Hotel Management I.

Instructor to Instructor Chat – This chapter will lead students into the organizational concepts of the hotel industry. We begin by talking about the founding leaders of the hotel industry and their impact upon today’s modern day hotel business. Then the classification system that I have included in this chapter will allow students the opportunity to make some sense of the vast differences and similarities of various lodging properties, their services, and locations. The section on trends that foster growth is a lead into understanding the societal and financial aspects that will not only support the continued ability of our hotel industry to flourish, but to also assist the student into seeing just where he or she will fit into the hotel industry.

I have included student learning activities both for inside and outside the classroom. These active learning concepts rely on student involvement with the text material and real-world applications. I encourage you to consider using them to support your efforts in the classroom.

II.

Opening Dilemma – This opening dilemma helps to focus the student’s attention on careers in the hotel industry. The information in this chapter will assist the student in learning the various types of hotels and his or her future career path in the industry.

III.

Chapter Focus Points A. Historical overview of the hotel industry B. Hotel classification system C. Trends that foster growth and employment in the hotel industry D. Career Development

IV.

Classroom Presentations A. Discuss your background in the hotel industry 1. Various jobs you held 2. Your career path 3. Your continued interest in hotel management 4. How your educational experience assisted you B. Discuss founders of the Hotel Industry 1. E.M. Statler 2. Conrad Hilton 3. Cesar Ritz 4. William Waldorf Astor and John Jacob Astor IV 5. Kemmons Wilson 6. J.W. Marriott and J.W. Marriott, Jr. 7. Ernest Henderson and Robert Moore 8. Ray Shultz

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C. Discuss historical Developments 1. Atrium concept a. refer to Figure 1-1 2. Select -service hotels 3. Technological advances a. refer to Figure 1-2 4. Marketing emphasis 5. Total Quality Management 6. Major reorganization 1987-88 7. Hotel investment 8. September 11, 2001 attack on the U.S. 9. Economic downturn of the late 2000s D. Discuss overview of the hotel industry 1. introduce Figure 1-3; this figure will anchor the discussion on the various ways the hotel industry can be discussed 2. discuss types of lodging properties – refer to description and photos in textbook a. hotels b. motels c. all-suites d. select service hotels e. extended-stay hotels 3. discuss market orientation – types of properties and who they serve a. residential b. commercial 4. discuss sales indicators a. occupancy percentage b. average daily rate c. yield percentage d. Revenue Per Available Room (RevPAR) e. Gross Operating Profit Per Available Room (GOPPAR) f. Revenue Per Available Customer (RevPAC) 5. discuss levels of service – explain various market segments a. full-service b. all-suites c. select -service d. extended –stay 6. discuss business affiliations – and these concepts as they relate to hotel ownership and management a. chain affiliation b. company-owned c. referral property d. management contract property e. brands – refer to listing in text book f. independent property

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7. discuss trends that foster growth – as they apply to a hotel ‘s financial success and a student’s personal career a. leisure time b. me/pleasure concept c. discretionary income d. family size/household size e. business travel f. female business travel g. travel as an experience 8. discuss career development – how a student of today is the professional of tomorrow and how career planning is important a. establishing career goals b. educational preparation c. work experience d. professional memberships i. American Hotel & Lodging Association ii. Hotel Sales and Marketing Association International iii. National Restaurant Association e. ports of entry i. marketing and sales ii. front office iii. food and beverage iv. controller 9. discuss researching growth areas in the hospitality industry a. Trends in the Lodging Industry by Pannell, Kerr, and Forster i. Use of the Interne Hotel On-line http://www.hotel-online.com ii. Hotel Business http://www.hotelbusiness.com iii. Hotel Magazine http://www.hotelsmag.com b. Trade journals i. Hotels ii. Hotel & Motel Management iii. Lodging Hospitality V.

Supplementary Student Materials to Enhance Active Learning Inside the Classroom A. Review the following inserts in Chapter 1 1. Hospitality Profile – Joseph Longo 2. International Highlight – international employment opportunities 3. Frontline Realities – preparation for a meeting to discuss offering longterm stays for visitors 4. Solution to Opening Dilemma – discuss questions to ask of career fair recruiters B. End of Chapter Questions 1. Answers will vary depending upon student’s experience. Guide student’s answers to follow the front office procedure through reservations, registrations, services at the property, etc.

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2. Answers will vary according to student’s research.

3. Answers will vary according to student’s research.

4. Residential properties are marketed to people who want a long-term residence. Commercial properties are marketed to people who need accommodations for a short stay. Therefore the design of the services at these properties would differ.

5. The four most common locations for lodging properties are center city, suburban, airport, and highway. The end destination of the guest is determined by the purpose of the visit.

6. Sales indicators are factors that tell the management and owners of hotels how profitable a property is. Occupancy percentage (how many rooms were sold), average daily rate (the average room rate), yield (how successful the hotel marketing staff and front office staff were in obtaining the highest room rate and most profitable guest), and RevPAR (the amount of dollars each hotel room produces for the overall financial success of the hotel) are examples of sales indicators. Other examples include (GOPPAR) as total gross operating profit per available room per day and RevPAC revenue per available customer.

7. Social media can be used by the reservation department to promote social networking of groups who could use hotel facilities for meetings and room nights. The current technology allows hotels to link their reservation system to the social media technology to provide flexibility for the consumer and thus increase revenues. Encourage students to think of how they would reach out to potential market segments.

8. The four levels of service are full-service, all-suites, select service, and extended stay. Full-service usually refers to offer reservations, wellappointed room furnishings, dining rooms, banquet rooms, health facilities, concierge, etc.). All-suites refers to a property that offers guests more than just a room. It offers expanded floor space to include a living area, separate sleeping areas, kitchen facilities, etc. It may also include, in addition to reservations, well-appointed room furnishings, health facilities, etc. Select-service properties offer the guest a sleeping room and a continental breakfast and or complimentary beverages and snacks along with a sophisticated reservation service. Extended stay properties offer similar services as do limited-service properties, but they offer full-kitchen facilities and upscale room furnishings and appointments. Also they go above and beyond in offering a “home away from home” type services that include shopping for groceries, more complete breakfast and snack services. However, their real competitive edge is offering a scaled rate that goes down as the longer the guest stays at the hotel.

9. Hilton offers Homewood Suites, Embassy Suites Hotels, Hampton Inns, Doubletree, and Hilton Hotels; Marriott offers Courtyard by Marriott and Residence Inns; InterContinentals Hotels offers Holiday Inn Express.

10. Hotels that are operated under a franchise chain have the rights to operate a hotel under a major hotel brand. The franchisee agrees to operate the hotel under rigid conditions that will insure standard service at hotels

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operating with that particular brand name. The franchisee agrees to pay royalty fees to the franchisor. Hotels that are operated under a franchise chain that are designated company-owned, indicate that the franchise chain operates these hotels with company hired staff to obtain a profit.

The franchise company owns the property and hires the management team and employees to produce a profitable income. A referral group usually buys into the franchise reservation service only. They too must adhere to the stringent standards of service and cleanliness. A royalty fee is paid to the franchise based upon the number of room reservations received and other services provided by the franchise organization.

11. Chain properties have the advantage of professional management expertise and a reservation system. Independent properties have to work very hard to develop an effective management system and maintain a satisfactory level of occupancy. However, the independent property usually has the advantage of offering a unique hospitality experience.

12. Answers will vary.

13. Answers will vary.

14. Answers will vary.

15. Answers will vary.

16. Answers will vary.

17. Answers will vary.

C. Case Studies 1. Case Study 101 – This case study was prepared to allow the student to recall the various types of lodging properties as described in Chapter 1.

The instructor may want to ask students to role play the various characters in the case study as they describe the results of their field trip.

2. Case Study 102 – This case study will highlight the concept of market segmentation and how hotels respond to a new market segment.

3. Case Study 103 – This case study will encourage students to blend tourism concepts and review various types of hotels in the local area.

VI.

Supplementary Student Activities to Enhance Active Learning Outside the Classroom A. Assign students the following project to assist them in gaining additional information on the topics presented in class: Go to the website http://www.hotel-online.com, http://www.hotelbusiness.com, http://www.hotelsmag.com/, http://www.google.com, or http://www.yahoo.com and ask them to look for a recent article on any of the following topics and bring into class for “show and tell.”

1. Conrad Hilton 2. Cesar Ritz 3. Waldorf=Astoria 4. Kemmons Wilson 5. J.W. Marriott 6. Total Quality Management

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7. RevPAR 8. REIT 9. Recovery of hotel industry from September 11, 2001 attack on U.S. 10. Extended-stay Hotel 11. Yield Management 12. Hotel franchise 13. Discretionary income 14. Female travel in hotel industry B. Assign students a project that allows them to explore professional membership.

1. Go to the website of the American Hotel & Lodging Association http://www.ahla.com and determine what advantages hoteliers would gain if they belong to this association.

C. Assign students the task of developing a panel for a classroom presentation that focuses on the Ports of Entry. Roles include: moderator, food and beverage director, front office manager, controller, and director of marketing VII.

Supplementary Website Resources to Enhance Student Active Learning A. Any of the following websites are very good resources for students to gain exposure.

1. http://www.hotel-online.com 2. http://www.hotelbusiness.com 3. http://www.ahla.com An instructor may want to assign the student a particular website and ask them to list some features that they found useful.

B. Any of the following website are very good resources for students to gain exposure.

1. http://www.hilton.com 2. http://www.marriott.com 3. http://www.ichotelsgroup.com/ An instructor may want to assign the student a particular website and ask them to list some features that would assist a traveler.

VIII.

Supplementary A/V Material Resources to Enhance Student Active Learning A. The following website of the Educational Institute of the American Hotel & Lodging Association provides a listing of videos and other educational material that may supplement the student’s active learning.

1. http://www.ei-ahla.org/productshowcase.asp

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IX.

Quiz Questions – Chapter 1

1. Central heating, the elevator, and electric lights were first adapted to the lodging industry in what era? a. mid 1800’s b. late 1800’s c. early 1900’s d. middle 1900’s 2. Conrad Hilton entered the hotel industry during the post World War II era? a. true b. false 3. Kemmons Wilson founded the Sheraton Chain in the 1950’s? a. true b. false 4. Market orientation of a hotel refers to which of the following? a. the ability of the hotel to attract guests b. the stores surrounding the hotel c. the type of guests attracted to a hotel d. the geography of the hotel’s location 5. Example(s) of a hotel’s market orientation is (are) which of the following? a. J.C. Penney and Sears b. commercial and residential c. advertising with a local travel agent d. none of the above 6. Total Quality Management focuses upon employee morale issues. a. true b. false 7. This concept measures a hotel manager’s efforts in achieving maximum occupancy at the highest room rate possible. a. Occupancy percentage b. Average rate c. Yield percentage d. Franchise agreement 8. If a hotel sells 300 rooms in one night and has 400 rooms available to sell, and attracts 600 guests for that night, the single occupancy for that night is? a. 75% b. 100% c. 50% d. 35%

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9. The double occupancy rate for the night listed in question number 8 is which of the following? a. 75% b. 100% c. 50% d. 35% 10. A hotel has collected $10,000 in revenue for the night. They sold 200 rooms.

What is the average room rate? a. $100 b. $50 c. $75 d. $85 11. Levels of service of a hotel are indicated by which of the following? a. Full-service, all suites, limited-service, extended-stay b. Franchise and independent services c. Luxury, independent, top rated d. Franchise, referral, limited-service 12. Affiliation of a hotel is indicted by which of the following? a. Franchise b. Company-owned c. Referral d. All of the above e. Luxury 13. Concepts that support growth in the lodging industry include, but are not limited to, leisure time, discretionary income, and number of one and two person households. a. True b. False 14. This type of property is a hotel which is operated by a consulting company that provides operational and marketing expertise and a professional staff. a. Management contract b. Franchise c. Select -service d. Full-service 15. Concepts that support career development in the hotel business include which of the following? a. Educational preparation and continued in-service education. b. Work experience c. Membership and participation in professional hospitality organizations d. All of the above e. Franchise agreements 8

16. Marriott founded his hotel empire in 1957 with which hotel? a. Twin Bridges Marriott Motor Hotel b. Marriott Hotel c. Washington D.C. Manor d. Waldorf=Astoria 17. This person is associated with developing a market segment for the cost conscious business and pleasure travelers in the early 1980’s. a. Tom Bradley b. Ray Schultz c. Gordon Hilton d. Mary Carlton 18. This atrium concept allows a guest a to overlook the lobby of a hotel from the first floor to the roof. It was first used by a. Marriott b. Holiday Inn c. Hyatt d. Waldorf=Astoria 19. The concept “demographic” refers to which of the following? a. size, density, distribution, or vital statistic of a population b. emotional and motivational forces that affect a service or product c. data which represent hotel services d. chain concept 20. The money remaining from wages after paying for necessities such as food, clothing, and shelter is referred to which of the following? a. vacation savings b. discretionary income c. flexible income d. extra revenue Answers to Exam – Chapter 1 1. B 2. A 3. B 4. C 5. B 6. B 7. C 8. A 9. B 10. B

11. A 12. D 13. A 14. A 15. D 16. A 17. B 18. C 19. A 20. B

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Chapter 2 – Hotel Organization and the Front Office Manager I.

Instructor to Instructor Chat – This chapter focuses on the organizational features of the hotel, the front office, and the front office manager. This may be the first time a student has ever looked behind the scenes of a hotel to view the various departments and their nuances. It may be the first time the student is exposed to the titles of the department heads and the various responsibilities that accompany those titles. Reviewing the positions found in the front office assists the student in learning how team work will produce service to the guest. The intricacies of producing service in a hotel are all held together with good communication skills and the front office has that as its number one responsibility. Guests don’t want to hear excuses, they want service. It is our role as their instructor to show them how the front office manager must produce results with the resources available.

I have included student learning activities both for inside and outside the classroom. These active learning concepts rely on student involvement with the text material and real-world applications. I encourage you to consider using them to support your efforts in the classroom.

II.

Opening Dilemma – This opening dilemma helps to focus the student’s attention on the importance of team work among departments in the hotel and interdepartmental cooperation which is essential in delivering products and services to guest.

III.

Chapter Focus Points A. Organization of lodging properties B. Organization of the front office department C. Staffing the front office D. Function of the front office manager

IV.

Classroom Presentations A. Organization of lodging properties 1. Explain how hotels are organized by function and the flexible duties of typical managers in those departments 2. Introduce the typical managers found in a hotel i. General manager ii. Front office manager iii. Controller iv. Director of marketing and sales B. Discuss organizational charts 1. Describe the organizational structure of a large full-service hotel (refer to Figure 2-1 for positions within the organization) 2. Describe the organizational structure of a smaller size, fullservice hotel (refer to Figure 2-2 for positions within the organization)

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3. Describe the organization structure of a select-service hotel (refer to Figure 2-3 for positions within the organization) 4. Contrast the positions found in full-service and select service facilities C. Discuss typical job responsibilities of departmental managers 1. Hotel positions: a. General Manager b. Assistant General Manager c. Food and Beverage Director d. Physical Plant Engineer e. Executive Housekeeper f. Human Resources Manager g. Marketing and Sales Director h. Front Office Manager i. Controller j. Director of Security k. Parking Garage Manger D. Discuss organization of the front office department 1. Refer to Figure 2-5 and discuss the various positions found in a front office and their respective duties a. Desk clerk b. Cashier c. Reservations manager d. Night auditor e. Telephone operator f. Bell captain and Bell staff g. Room Key clerk h. Elevator operator i. Traffic manager j. Concierge E. discuss select -service hotel front office organization 1. Refer to organization chart – Figure 2-7 to contrast the modest workforce required at a select -service property F. discuss function of the front office manager 1. Elements that enable the front office manager to effectively supervise a. employees b. equipment c. inventory (rooms to be sold) d. budgeted finances e. sales opportunities

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2. Discuss job analysis and job description a. Discuss the importance of job analysis in preparing a job description. b. Review job analysis of a typical front office manager. c. Relate the job analysis to the job description in Figure 2-8 3. present the following insights into The Art of Supervising a. Examine the front office manager’s position in the hotel’s management team. b. Apply motivational strategies c. Discuss the process of orchestrating employee personalities in a group work setting d. Review strengths and weaknesses of employees e. Discuss the conflict of the supervisor’s use of authority and the definition of supervision as “working through others.” f. Discuss the importance of training g. Discuss the value of handling special requests from employees h. Discuss the communications center role assigned to the front office G. Discuss staffing the front office 1. Forecasting - preparation of Table 2-1; allows the front office manager to prepare a schedule for the front office staff 2. Scheduling a. Review Table 2-1; this allows students to gain insight into how a schedule is written and costs are determined and b. Review Table 2-2 to relate projected labor costs with the projected revenue V.

Supplementary Student Materials to Enhance Active Learning Inside the Classroom A. Review the following inserts in Chapter 2 1. Hospitality Profile – Eric Long 2. Frontline Realities – highlights cooperation between front office and marketing and sales office 3. Solution to Opening Dilemma – discuss the importance of communication between departments 4. International Highlight – importance for preparing hotel staff to communicate with international guests 5. End of Chapter Questions 1) Answers will vary 2) Review the organization charts as presented in Figures 2-1 and 2-3.

The select-service hotel doesn’t require food and beverage services.

3) Answers will vary 4) Refer to Figure 2-1 5) Answers will vary 6) The resources available to the front office manager include the following

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a. Employees – Provide proper training, motivating, and career development. b. Equipment – Provide adequate equipment which will assist employees to do the job. c. Inventory of rooms to be sold – These products and service provide income for the hotel. d. Budgeted finances available – The front office manager has to work within budgetary guidelines to achieve financial and managerial goals. e. Opportunity for sales – A conscientious effort must be made to assist other departments in their efforts to increase sales.

7) The front office manager relates to other departments in the following ways. a. General manager is the goal setter for all departments b. Assistant manager refines the operational goals and procedures c. Controller provides financial feedback d. Food and beverage manager, housekeeper, and engineer provide hotel services for the guest f. Director of marketing and sales develops programs which insure financial success g. Human resources manager provides an adequate for force and employee management program 8) A job analysis lists the jobs performed by an employee. Therefore an accurate starting point in preparing a job description can be obtained.

Refer to text on job analysis of a front office manager and Figure 2-8.

9) The steps in preparing a front office schedule include estimating daily needs, preparing employee schedules that consider estimates, and apply pay rates. Refer to Table 2 10) Answers will vary.

11) Answers will vary.

12) You will be able to look at an employee as individual and work with his or her needs. When you can blend an employee’s needs with those needs of the organization, then a strong employee is developed and a successful organization is continued.

13) Answers will vary.

14) Answers will vary. Building skills, minimizing the little annoyances of human error, dispelling the gray areas of the job, and communicating financial goals and objectives of hospitality and service are a few of the benefits of a well-trained employee.

15) Examples of front office communications include the following: a. Communication transfer to other departments i.e., change of meeting room assignments, availability of guest room for check in, and feature room menu items in the restaurant and personalities in the lounge. b. Communication transfer to hotel guest i.e., messages from outside callers or other guests in the hotel.

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B. Case Studies 1. Case Study 201 – This case study was prepared to allow the student to apply the functions of a front office manager and the art of supervising discussion that is provided in the textbook in Chapter 2.

2. Case Study 202 – This case study will highlight the importance of using a job analysis prior to preparing a job description as discussed in Chapter 2. The instructor may want to assign each management position to various students and have them “trail” that manager for a few hours to obtain valuable insights into a job analysis.

3. Case Study 203 – The material presented in this chapter on The Art of Supervising will assist students in developing the training program for new supervisors. Students can brainstorm ideas on how new supervisors can effectively manage employees, equipment, inventory, budgets, and sales opportunities to achieve the goals of the organization and individual growth of employees.

VI.

Supplementary Student Activities to Enhance Active Learning Outside the Classroom A. Assign students the following project to assist them in gaining additional information on the topics presented in class: Go to the website http://www.hotel-online.com, http://www.hotelbusiness.com, http://www.hotelsmag.com/, http://www.google.com or http://www.yahoo.com and ask them to look for a recent article on any of the following topics and bring into class for “show and tell.”

1. Hotel organization charts a. Full-service hotels b. Select service hotels 2. Front office manager 3. Art of supervising 4. Food and beverage director 5. Plant engineer 6. Executive housekeeper 7. Human resources manager 8. Marketing and sales director 9. Controller 10. Director of security 11. Front office staff B. Assign students a project that allows them to explore professional membership.

1. Go to the website of the American Hotel & Lodging Association http://www.ahla.com/ and determine how the Educational Institute of the American Hotel & Lodging Association can assist a front office manager in training his or her staff.

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C. Assign students the task of designing an organization chart for a full-service hotel that offers 350 guest rooms.

D. Assign student the task of organizing how they would write a job description for a front office manager.

VII.

Supplementary Website Resources to Enhance Student Active Learning A. Any of the following websites are very good resources for students to gain exposure to industry relevancy and networking.

1. http://www.hotel-online.com 2. http://www.hotelbusiness.com 3. http://www.ahla.com An instructor may want to assign the student a particular website and ask them to list some features that they found useful.

VIII.

Supplementary A/V Material Resources to Enhance Student Active Learning A. The following website of the Educational Institute of the American Hotel & Lodging Association provides a listing of videos and other educational material that may supplement the student’s active learning: http://www.ei-ahla.org/productshowcase.asp

IX.

Quiz Questions – Chapter 2 1. Who sets the tone for delivering hospitality in a hotel? a. Front desk clerk b. Bell captain c. Front desk manager d. All of the above 2. The functional role of the front office manager include(s) which of the following? a. Directing employees b. Operating equipment c. Maintaining accurate inventory of rooms to be sold d. Operating within available financial resources e. All of the above 3. A concierge is part of the housekeeping staff a. True b. False 4. A job description is prepared before a job analysis. a. True b. False 5. A job analysis lists all the jobs performed by an employee as they occur. c. True d. False

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6. Forecasting room sales is performed by a desk clerk. It is not an important part of the front office manager’s job. a. True b. False 7. The employee schedule needs to be compared to projected room sales. a. True b. False 8. Supervising front office employees include(s) which of the following? a. Accurate forecasting of room sales b. Scheduling employees c. Employee motivation and understanding group personalities d. Training employees e. All of the above 9. The above information is taken from which of the following managerial tools? a. Job description of a front office manager b. Job analysis of a front office manager c. Job organization of a front office manger d. None of the above 10. Which of the following position(s) is not commonly found in a select service lodging property? a. General manager b. Housekeeper c. Human resource manager d. Front office manager

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Matching 11. General manager _____ 12. Front office manager_____ 13. Food and beverage director_____ 14. Physical plant director_____ 15. Executive housekeeper_____ 16. Marketing and sales director_____ A. Operating and monitoring the reservation system; developing and operating an effective communication system with front office staff and other department directors; supervising daily registrations and checkouts; establishing in-house sales programs at the front desk; forecasting room sales.

B. Oversees a team of electricians, plumbers, heating, ventilating, and air conditioning contractors, and general repair personnel to provide behind-thescenes services to the guests and employees of the lodging property C. Orchestrates the department directors in their efforts to meet the financial goals of the organization through their employees; performance is judged according to how effectively supervisors are directed to meet the goals of the organization.

D. Constantly evaluating new markets, reviewing the needs of existing markets, watching new promotions by the competition, organizing sales blitzes, working with community and professional groups to maintain public relations, working with other department directors to establish product and service specifications and in-house promotional efforts.

E. Responsible for the upkeep of the guest rooms and public areas of the lodging property; survival fluency in foreign languages is important accurate scheduling of employees is also necessary to maintain control over labor costs.

F. Responsible for the efficient operation of the kitchen, dining rooms, banquet service, room service, and lounge; managing a multitude of details including food quality, sanitation, inventory, cost control, training, room setup, cash control, and guest service.

Answers to Exam Questions – Chapter 2 1. C 2. E 3. B 4. B 5. A 6. B 7. A 8. E

9. B 10. C 11. C 12. A 13. F 14. B 15. E 16. D

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Chapter 3 – Effective Interdepartmental Communications I.

Instructor to Instructor Chat – This chapter features the important interdepartmental communications that need to occur to provide hospitality to the guest. The front office is viewed as pivotal in disseminating information to guests and other members of the hotel staff. The concepts of Total Quality Management are discussed to provide a management tool for future front office managers.

The material from this chapter can be used as a springboard for discussions, role playing, and insightful questioning that will help students to anticipate customer needs. Many students in our courses have part-time jobs and you can urge them to share their stories with each other. Sharing is one thing, but asking students to analyze “where the communication process broke down” or “what would I have done if I were the manager” are the essential elements of having them understand the focus of this chapter.

II.

Opening Dilemma – This opening dilemma helps the student to focus on how essential the staff is in the communication process. Each front desk clerk must take the initiative to understand the guest’s needs and offer a solution to meeting his or her needs. This “understanding” is developed through training sessions were sensitivity is stressed and solutions to problems are through a process of analyzing the situation.

III.

Chapter Focus Points A. Role of the front office in establishing and maintaining effective communications with other departments B. Discussion and application of Total Quality Management techniques used in improving interdepartmental communication

IV

Classroom Presentations A. Discuss the role of the front office in interdepartmental communications 1. Discuss the pivotal role in communication played by the front office staff between a. Guests and staff b. Front office manager with other staff B. Discuss front office interaction with other departments in the hotel 1. Discuss the various departments that interact with the front office as listed in Figure 3-1 a. Marketing and sales: i. Provide data on guest histories to marketing and sales ii. Process requests for reservations for sleeping rooms from marketing and sales iii. Good first impression to the public iv. Relay messages to marketing and sales v. Meet information requests of guests for meetings, seminars, and banquets 18

b. Housekeeping: i. Receive housekeeping room status from each other ii. Report potential house count to each other iii. Relay guest requests for amenities and supplies to housekeeping iv. Requests room sales projections v. Relay accurate housekeeping status vi. Relay security concerns to front office c. Food and beverage: i. Relaying messages to food and beverage ii. Accurate information on vouchers and subsequent postings iii. Reporting predicted house counts to food and beverage iv. Processing requests for paid-outs from food and beverage personnel v. Point-of-sale terminals d. Banquets: i. Relay information to guests about scheduled events for banquet department ii. Process payment of guest charges for scheduled events for banquet department iii. Prepare daily announcement board and marquee for banquet department e. Controller: i. Provides a daily summary of financial transactions through a wellprepared night audit for the controller ii. Provide information for billing and maintenance of credit card ledgers via the PMS to each other f. Maintenance i. Provide room status to maintenance ii. Relay information on requests for guest room maintenance g. Security i. Maintain guest security – fire safety, emergency communication systems, and routine investigation of guest security h. Human resource management i. Relies upon front office staff to do initial screening of candidates a) Distribute application forms b) Directions to personnel office C. Analyze the lines of communications 1. Discuss the following case studies by tracing the source of miscommunication, analyze the communication system, and supply methods that will help improve communications. a. Case #1 – Marketing and Sales Knows It All – But Won’t Tell Us b. Case #2 – Peace and Harmony in 507 c. Case #3 – I Know What You Said & I Think I Know What You Mean D. Present the role of Total Quality Management (TQM) in effective communication

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1. Define Total Quality Management as a management technique that encourages managers to look with a critical eye at processes used to produce products and services 2. Discuss examples of the processes of delivering service 3. Discuss W. Edwards Deming efforts in developing TQM 4. Ask students what they think is the most important result of TQM a. Discuss the importance of the interaction between employees which is an essential part of TQM 5. Review and discuss the example of TQM in a hotel 6. Elicit examples of similar situations from students in their workplaces V.

Supplementary Student Materials to Enhance Active Learning Inside the Classroom A. Review the following inserts in Chapter 3 1. Hospitality Profile – Michael DeCaire 2. Hospitality Profile – James Heale 3. Frontline Realities – This challenge highlights the importance of attention to every opportunity for communication between the guest and the front desk clerk.

4. International Highlight – Communicating to international employees and guests requires an extra effort to all front desk staff. Something as simple as using phonetics as described in this International Highlight will assist students in thinking how they will handle situations when they are in industry.

5. Solution to Opening Dilemma – The previous emphasis on TQM is applicable to resolving this situation. Ask students how they would apply TQM to this situation.

6. End of Chapter Questions 1) Positive first impressions of hospitality by helping guests will set the tone for a good visit. It tells the guest we care about their stay with us.

2) Marketing and sales and front office communicate through: a. providing data on guest histories to marketing and sales b. processing requests for reservations for sleeping rooms from marketing and sales c. making a good first impression to the public d. relaying messages to marketing and sales e. meeting information requests of guests for meetings, seminars, and banquets 3) Communication occurs through frequent reporting of guest departures and room releases. They can insure they are effective by developing systems that feature frequent reporting of rooms vacated and rooms released.

4) The banquet department interacts with the front office in the following manner. a. relaying information to guests about scheduled events for the banquet department

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b. processing payment of guest charges for scheduled events for the banquet department c. preparing the daily announcement board and the marquee for the banquet department Note: Answers will vary on the last part of this question but they should reflect the cooperation members of the front office share.

5) The controller expects a daily summary of financial transactions through a well-prepared night audit and information for billing and maintenance of credit card ledgers. It is important for the financial management of the hotel (cash flow and account maintenance).

6) The front office relays information concerning requests for guest room maintenance to the maintenance department.

7) The human resource department can rely upon front office staff to do initial screening of candidates (after proper training), distribute application forms, etc.

8) Answers will vary but they should reflect the sources of miscommunication, analyze the communication system, and supply methods that will help improve communications.

9) Answers will vary.

10) Answers will vary.

7. Case Studies a. Case Study 301 – This case study supplies an outrageous view of everyday life in a hotel. Communication between departments is at the source of producing hospitality for the guest. It asks the student to handle the problems immediately and analyze the situation later on. b. Case Study 302 – This case study affords the students the opportunity to participate in a staff meeting and analyze the lines of communication. I have used this case study in my classes with good results. This method is also useful for students who will probably find themselves at a staff meeting in a few short years better prepared to interact with other supervisors and department heads. c. Case Study 303 - The focus of case study will promote opportunities for listening to guests and changing operations.

VI.

Supplementary Student Activities to Enhance Active Learning Outside the Classroom A. Assign students the following project to assist them in gaining additional information on the topics presented in class: Go to the website http://www.hotel-online.com, http://www.hotelbusiness.com, http://www.hotelsmag.com/, http://www.google.com or http://www.yahoo.com 1. Total Quality Management applications B. Assign students a project that allows them to training aids in developing good communication skills.

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1. Go to the website of the American Hotel & Lodging Association http://www.ahla.com/ and determine how the Educational Institute of the American Hotel & Lodging Association can assist a front office manager in developing good communication skills in his or her staff.

C. Assign students the task of using Total Quality Management to analyze a communication challenge at the hotel where they work.

D. Ask students to choose an international language where they could apply phonetic concepts to assist them in communicating with international guests and staff.

VII.

VIII.

Supplementary A/V Material Resources to Enhance Student Active Learning A. The following website of the Educational Institute of the American Hotel & Lodging Association provides a listing of videos and other educational material that may supplement the student’s active learning: http://www.ei-ahla.org/productshowcase.asp Quiz Questions – Chapter 3 1. The marketing and sales department asks the front office which of the following communication opportunities? a. efforts to produced a good first impression b. relay of messages c. data on guest histories d. reservations for sleeping rooms e. all of the above 2. Room status is supplied by the housekeeping department. The front office staff has no input into this. a. True b. False 3. The food and beverage department have no need to communicate with the front office. Usually restaurant personnel in a hotel are very self-sufficient. a. True b. False 4. The controller asks the front office to do which of the following? a. provide a daily summary of financial transactions b. relay payments and charges through the posting machine or PMS c. both A and B d. supply them with room status e. keep room reservations to a minimum

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5. If the director of human resource management was going to include the front office staff as extensions of his or her department, which of the following would it include? a. he or she would have to offer an incentive program b. there would have to be a policy set by the general manager c. it would be necessary to provide a training program in how to conduct initial screening sessions d. none of the above 6. Total Quality Management focuses upon which of the following? a. processes b. people c. services d. duties e. payroll 7. The food & beverage manager and front office manager are discussing the upcoming events for the weekend. This is an example of intradepartmental communications. a. True b. False 8. The front desk clerk and the bellhop are discussing the expected checkouts for tomorrow. This is an example of interdepartmental communications. a. True b. False 9. Computerized cash registers that interface with a property management system, and information on guest charges is automatically posted to a guest’s folio are referred to as which as the following? a. software -terminals b. point-of-sale terminals c. ready-terminals d. cash terminals 10. The original intent of Total Quality Management was for American manufactures a. to decrease defects in merchandise produced b. to improve worker productivity c. to improve the quality of their products by reducing defects through worker participation in the planning process d. to improve net profit Answers to Exam Questions – Chapter 3 1. A 2. B 3. B 4. C 5. C

6. A 7. B 8. B 9. B 10. C 23

Chapter 4 – Property Management Systems I.

Instructor to Instructor Chat – This chapter lays the foundation for understanding the physical structure and positioning of the front desk and the nuisances of that positioning. It continues with alerting the student to the importance of the factors necessary to select a property management system (PMS). And finally it covers the numerous generic PMS applications in various modules. In that section it explains and provides visuals of the various computer applications. The instructor who does not have access to demonstration PMS software and hardware will find this method of presentation quite adequate. The purpose of exposing students to the computerization of a hotel is to build upon a framework of the student’s understanding of control systems.

The layout of this chapter is deliberate in that it doesn’t go with the bells and whistles until the student has taken the time to go through a needs analysis that call his or her attention to the fact that placing the guest first will direct their choice of computer system. One of the thoughts we as hospitality and tourism faculty have to remember is that we are providing learning opportunities for students that will last throughout their career. If we focus on the current technology only, we are not allowing our students to gain that important ability to discern operational needs versus competitive stance.

II.

Opening Dilemma – This dilemma is one that will face the student when they become hoteliers. There is always a hotel show where new products are offered for sale. This dilemma urges the student to develop a framework for making a decision on updating a PMS.

III.

Chapter Focus Points A. Physical structure and positioning of the front desk B. Selecting a property management system (PMS) C. Using PMS applications

IV.

Classroom Presentations A. Introduction 1. discuss the term interfacing 2. discuss the term point-of-sale 3. discuss the term Property Management System (PMS) B. Physical structure and positioning of the front desk 1. refer to Figure 4-1 to orient the students to placement of equipment in a front office 2. stress the role of the front desk in creating a guest first impression a. first point of contact b. sets ambience tones for the hotel

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3. explain importance of creating a balance between guest flow and employee work a. Equipment guest safety i. Review Figure 4-2 for security considerations C. Selecting a Property Management System 1. Perform a needs analysis a. Stress importance of performing a needs analysis first b. Review steps as outlined in this chapter for performing a needs analysis: i. select a team ii. analyze the flow of guests through the hotel iii. analyze flow of communication from other departments to the front office iv. review previous (ii, iii, and iv) v. evaluate needs that have been identified vi. combine needs to determine desired applications (modules) D. Review software options in Figure 4-3 1. marketing and sales 2. night audit 3. accounting 4. human resources management 5. electronic mail 6. security 7. reservations 8. front desk 9. call accounting 10. housekeeping 11. maintenance 12. food and beverage 13. discuss examples of software options/modules 14. discuss importance of maintaining library of current PMS vendors a. example – Web browser key phrases “ property management system,” hotel pms” hotel computer,” or “HITEC” (Hospitality Industry Technology Exposition and Conference” or attend local and regional trade shows 15. review Fig. 4-4 Examples of Property Management Systems Vendors

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E. Review hardware needs 1. Stress that hardware is secondary to the software choice 2. Review hardware terminology a. processor speed b. disk drives c. megabytes d. gigabyte e. access time f. Internet g. intranet h. I/O ports i. monitors j. keypad k. keyboard l. printers (ink jet, laser, letter quality, single sheet) m. modem n. cps o. computer supplies p. megahertz q. ppm r. modem G. discuss ergonomics – how people relate physiologically to machines H. Other PMS considerations 1. discuss vendor claims 2. discuss hardware installation plans 3. discuss computer training programs 4. discuss backup power sources 5. discuss maintenance agreement I. Financial Considerations 1. discuss purchasing or leasing options a. cost of purchase b. related finance charges c. discount for cash d. depreciation e. cash flow implications f. application of lease payments to purchase price g. tax advantages of leasing h. payback period J. PMS Applications 1. discuss concept of main menu (Figure 4-7) 2. describe reservation module (Figure 4-8) 3. describe revenue management module (Figure 4-9)

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4. describe registration module (Figure 4-10) 5. describe room status module (Figure 4-11) 6. describe posting module (Figure 4-12) 7. describe call accounting module (Figure 4-13) 8. describe checkout module (Figure 4-14) 9. describe night audit module (Figure 4-15) 10. describe inquires/reports module (Figure 4-16) 11. describe back office module (Figure 4-17) 12. describe housekeeping module (Figure 4-18) 13. describe food and beverage module (Figure 4-19) 14. describe maintenance module (Figure 4-20) 15. describe security module (Figure 4-21) 16. describe marketing and sales module (Figure 4-22) 17. describe personnel module (Figure 4-23) 18. describe electronic mail module (Figure 4-24) 19. describe time clock module (Figure 4-25) V.

Supplementary Student Materials to Enhance Active Learning Inside the Classroom A. Review the following inserts in Chapter 4 1. Hospitality Profile – Kevin Corprew 2. International Highlight – translations cards emphasizes the importance of assisting international guests in the delivery of hospitality 3. Frontline Realities – allows students to apply the concepts of lease versus purchase options in utilizing a property management system 4. Solution to Opening Dilemma – this solution should focus on the importance of reviewing the steps in a needs analysis as previously discussed in the chapter 5. End of Chapter Questions 1) Equipment should be positioned so that it accommodates the guest while enabling employees to work with it easily.

2) The front desk clerk and the night auditor must be able to see anyone who enters the hotel, to ensure a safe environment for the guest.

3) New properties include computers as standard pieces of equipment.

These computers referred to as Property Management Systems (PMS) assist the management in operations of such departments as front desk, food and beverage, maintenance, etc.

4) Property management system is a generic term used to describe the applications of computer hardware and software in managing the interface of the departments of a hotel.

5) The needs analysis indicates the flow of information and services of a specific property to determine if the new equipment can improve the flow. It also makes the purchaser aware of initial and long term costs vs. service expected. The components of a needs analysis include selecting a team to determine the reports and information being generated, analyzing the flow of the guest through the visit to the

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property, reviewing the information coming from other department s to the front office, reviewing the administrative paperwork produced in the hotel that is necessary to assist management, review all information complied to determine if needs are not being met, and combining various operational and administrative needs to determine which computer applications are appropriate for the property.

6) Software is the part of the PMS that allows the operator to input and retrieve data that is useful to the operation.

7) Answers will vary.

8) Answers will vary.

9) Interfacing of computer hardware and software allows the operators to share information. It saves labor because the data would have to be entered twice. An example of interfacing would be the information entered into the point of sale register in the dining room would automatically be posted to the guest folio.

10) Ergonomics is a study of how people relate psychologically and physiologically to machines. Considerations for glare and flicker from cursor movement on screens can cause eyestrain, improper positioning of the monitor can cause neck pain, or incorrect positioning of the keyboard can cause wrist pain.

11) Verifying vendor claims can be accomplished by telephoning current users of the system and asking them relevant questions. A visit to the hotel property that uses the PMS is also suggested.

12) A well-developed installation plan for a PMS will help the management of hotel maintain guest service and employee morale during the installation. It will also answer questions on who (purchaser or seller) is responsible for the installations and related costs.

13) The staff that uses the computers must be thoroughly trained so the equipment is put to its best use. Documentation of procedures will also assist the staff in developing an awareness of the system’s capabilities.

14) Power failure for a PMS system can be prevented by use of batterypowered temporary energy sets.

15) Answers will vary.

16) Purchase considerations include the outright cost of purchase, related finance charges, and discount for cash and depreciation. Lease considerations include continuance of cash flow, application of lease payments to purchase price, and tax advantages of leasing.

17) The main menu of a PMS lists the available individual programs that are included in the system. They are organized according to the flow of the guest stay.

18) Answers will vary but student should review each application and then verbalize how that particular module would assist in delivering hospitality to the guest and improved financial control in the hotel.

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19) An intranet is a computer network for in-house users to share timely operational information to conduct business. It is used by personnel within a department to share information such as front office staff leaving a note for the next shift.

20) Hotels can develop Facebook pages to encourage direct communication with the hotel and to promote specials.

B. Case Studies a. Case Study 401 – This case study will require the student to go through the chapter and lecture notes to develop a plan when requesting funds for a “good idea.” The plan developed by the students should include the following points. i. Perform a needs analysis ii. Analyze software applications iii. Analyze hardware considerations iv. Verify vendor claims v. Develop a plan for hardware installation vi. Develop a training plan vii. Develop a power back-up system viii. Analyze a maintenance agreement ix. Prepare a financial plan for purchase or lease x. Determine a payback period b. Case Study 402 – Students should form groups to discuss the importance of each module as it relates to delivery of hospitality to guests and producing a favorable bottom line. c. Case Study 403 - Students will have to rely on the information found in section on “Procedure for Forming a Needs Analysis” to discuss this case. It forces them to rely on: i. Group decision ii. Guests’ needs iii. Other departmental interactions iv. Analysis and evaluation of information to make good decisions.

VI.

Supplementary Student Activities to Enhance Active Learning Outside the Classroom A. Assign students the following project to assist them in gaining additional information on the topics presented in class: Go to the website http://www.hotel-online.com, http://www.hotelbusiness.com, http://www.hotelsmag.com/, http://www.google.com or http://www.yahoo.com and ask them to look for a recent article on any of the following topics and bring into class for “show and tell.”

1. Role of computers at the front desk 2. Importance of a needs analysis in purchasing a property management system 3. Current names of property management systems 4. Ergonomics of using property management systems

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5. Components of training front desk staff to use a property management system 6. Purchase vs. lease consideration in using a property management system.

VII.

Supplementary Website Resources to Enhance Student Active Learning A. Any of the following websites are very good resources for students to gain exposure.

1. http://www.hotel-online.com 2. http://www.hotelbusiness.com 3. http://www.ahla.com B. An instructor may want to assign the student a particular website and ask students to list some features that they found useful.

2. current brand names of property management systems 3. procedures to follow when considering adopting a property management system 4. description of the various modules included in a property management system 5. listing of hardware features of various property management systems

VIII.

Supplementary A/V Material Resources to Enhance Student Active Learning A. The following website of the Educational Institute of the American Hotel & Lodging Association provides a listing of videos and other educational material that may supplement the student’s active learning: http://www.ei-ahla.org/productshowcase.asp

IX.

Quiz Questions – Chapter 4 1. Front desk set-ups just happen. There doesn’t need to be any consideration to how the equipment is arranged. a. True b. False 2. Front desk should be positioned in the lobby so the guest can see who is on duty. a. True b. False 3. This concept includes analyzing time with regard to purchase price, installation charges, and financing fees in determining if the purchase of a computer is feasible. a. owner’s rights b. time share options c. lease arrangement d. payback period e. none of these

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4. If the front office manager fails to do the following management procedure, computerization implementation will surely be in jeopardy. a. cost analysis b. needs analysis c. night audit d. software evaluation e. hardware analysis 5. The choice of software is more important that the selection of hardware. a. True b. False 6. Software program option(s) for a Property Management System include(s) which of the following? a. night audit b. reservations c. registrations d. all of the above e. use of a computer 7. Input terminals, cathode ray tubes, disk drives, and printers are classified as which of the following? a. software b. hardware c. programs d. analysis devices e. none of the above 8. The front office manager should telephone current users of a similar PMS that he or she wishes to purchase and ask relevant questions concerning which of the following? a. the ease of operation b. usefulness of the reports obtained c. training and emergency service d. all of the above e. the amount of down payment required or leasing options 9. The intranet is a computer network for in-house users to share monthly meeting operational information only. a. True b. False

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10. Which department in the hotel would use social media applications for tracking guest communications through Facebook, Twitter, LinkedIn, YouTube, message boards, websites, and blogs? a. housekeeping b. maintenance c. sales & marketing d. registration Matching – Computer Applications 11. Reservations

A.

insures accuracy of guest charges to the folio

12. Registrations

B.

room types and locations, room rates, and special requests can be matched with existing room inventories

13. Room Status

C.

produces totals from departments and guest folios

14. Posting

D.

supplies information on rooms to be sold, maintained, and cleaned

15. Night Audit

E.

desk clerk verifies the information captured during reservation or uses it to process a walk-in request

Answers to Exam Questions – Chapter 4 1.

2.

3.

4.

5.

6.

7.

8.

9.

B B D B A D B D B

10. C 11. B 12. E 13. D 14. A 15. C

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Chapter 5 – Systemwide Reservations I.

Instructor to Instructor Chat – This chapter keys-in on the lifeline of the hotel reservations and the many opportunities guests have to make reservations. The technology such as a hotel’s primary efforts (via marketing and sales and use of their own brand reservation system), their toll-free number, global distribution systems (GDS), travel agents, and third party sources such as wholesalers who buy rooms from the hotel and resell them on the Internet is immense. However, all of this needs to be explained to the student because it has a ripple effect on the financial bottom line.

This chapter will also help to expand students’ understanding of the sources of reservations (corporate clients, group travelers, leisure travelers, etc.) as they develop their marketing expertise.

Students can tryout their hand at preparing a rooms forecast which will help them understand this concept. Also, overbooking or occupancy management is discussed to help students comprehend the components of this cautious practice.

Sections on the processing of guest reservations via systemwide reservation systems and outsourcing reservations (via Internet and GDS) is provided. The process of completing a reservation through a property management system is detailed.

II.

Opening Dilemma This dilemma addresses the importance of having a well-constructed policy and procedure for occupancy management (overbooking) which is covered later in the chapter.

III.

Chapter Focus Points A. Importance of guest reservations to travelers and lodging establishments B. Overview of reservation system C. Sources of reservations D. Forecasting reservations E. Overbooking (occupancy management) F. Processing guest reservations via a PMS

IV.

Classroom Presentations A. Introduction 1. Discuss how reservations are a necessity for travelers 2. Discuss how reservations are a necessary marketing tool for hotels B. Importance of a reservation system 1. Discuss the customers who rely upon a reservation system 2. Discuss the role of reservations in producing a profit in a hotel

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C. Overview of reservation system 1. Discuss the following national hotel reservation systems a. Choice Hotels International i. 5900 franchisees ii. 30 countries iii. Brand names a) Comfort Inn b) Quality c) Clarion d) Sleep Inn e) Econo Lodge f) MainStay Suites g) Rodeway Inn h) Comfort Suites i) Cambria Suites j) Suburban Extended Stay Hotel k) Ascend Collection iv. By fall 2007, central reservation system handled six $10 million days and two $11 million days of gross revenue. b. Hilton Hotels i. 3,000 hotels ii. 74 countries and territories iii. 500,000 guest rooms iv. Hilton Reservation & Customer Care – reservation system (workat-home program call center staff) c. Marriott International i. 3,200 lodging properties ii. 66 countries and territories iii. seeking marketing analysis with TravelCLICK, Inc. a) guest-stay b) forecasting making c) evaluating competition D. Global Distribution Systems (GDS) in securing reservations 1. Discuss refining GDS as distributors of hotel rooms to corporations such as travel agents that buy rooms in large volume.

2. Examples – Amadeus, Galileo, SABRE, and Worldspan 3. Discuss best available rate (BAR) display in their ads.

4. Discuss TravelCLICK reference

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E. Discuss role of the Internet in securing reservations 1. Impress upon the students that it is a “buyers” market (because of overbuilding and economy) for the consumer when it comes to making room reservations. They come to the marketplace with a. television promotions b. direct mail c. airline frequent flyer incentive plans d. social media e. Internet suffering 2. Discuss Jerome Wise’s comment about social networking going to be the second-most popular online activity by 2012 F. Discuss background on room rates offered via the Internet 1. Review McAuliffe article concerning room rates offered via the Internet. a. dot.com mania with its free offers to entice consumers to use the Internet left an impression on consumers’ purchasing manner b. initial wholesaler offered to take empty hotel rooms into their inventory on the Internet; hoteliers were grateful to sell the rooms at low sale prices c. other Internet sites developed similar models d. transparency or rates resulted 2. Review Max Starkov’s article on customer relationship management (CRM). a. CRM allows travel companies (travel suppliers and online travel agencies to engage customers in strong, personalized and mutually beneficial interactive relationships, increase conversions and sell more efficiently.

G. Effect of Internet on pricing rooms 1. Review Carol Levitt’s article “SynXis Guest Connect Improves Look-toBook Conversion and Increases Bookings for Hotel Groups” a. Guest Connect templates guide the flow of the booking process and enable the hotelier to incorporate the specific product elements that will best merchandise their property or chain b. At Remington Hotels at its Inn at Key West by comparing before and after statistics, they found that the Guest Connect booking engine produced over 250% more bookings than the old booking engine when compared on a weekly basis. This increase resulted in more than $45,000 in incremental revenue each week for the 100-room property.

H. Consumers’ response to use of the Internet – third-party Websites 1. Introduce the term third-party web sites with examples of Expedia and Travelocity

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2. Consumer response a. (TravelCLICK) i. 14,000 customers ii. 140 countries b. Price and Starkov i. $116.1 billion on line [2009] [grow another 11% in 2010] ii. This growth is primarily the result of the dramatic shift from the offline to online channel. iii. In 2009, more than 55% of all travel bookings and up to 40% of all hotel bookings in North America will be generated from the Internet. However, at least another 33% of hotel bookings will be directly influenced by online research, but booked offline. iv. Over 65% of online hotel bookings will come from the direct online channel, i.e., via the hotel’s own website (76% for the major hotel brands). The hotel website has become the first, main, only and in many cases last point of contact with past, current and potential guests.

I. Social Media 1. Establish opportunity for reaching consumers via technologies a. Facebook b. Twitter c. LinkedIn d. blogs 2. Review John Davies’ article on pursuing the use of social media to attract customers to a lodging property. a. Define your strategy and long- term objective. b. Make sure there is a commitment to Social Media Marketing (SMM). c. Social media should not be the anchor to your marketing plan. d. Make it a team effort with the unique applications of social media. e. Seek out the experts and observe those having success with SMM. J. Financial effects of third-party reservations on bottom-line to a hotel 1. Discuss the math effects of 10% travel agent commission vs. an 18% commission from a third-party reservation.

2. Encourage students to consider the non-sale of rooms if they were not placed on the third-party reservation site.

K. Types of reservation systems 1. Discuss franchisee 2. Discuss referral member of a reservation referral system 3. Discuss franchisee fees a. royalty b. marketing c. reservations

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L. Sources of Reservations 1. Discuss corporate clients’ room bookings and how this provides continuous business for a hotel. a. secretaries club b. toll-free phone number c. reservation/referral system d. travel agent e. hotel’s web site f. social media - LinkedIn 2. Discuss Social/Military Educational/Religious/Fraternal (SMERF) and how this segment provides opportunities for room nights.

3. Discuss Meetings/Incentive/Conference/Event (MICE) and how this segment provides opportunities for room nights.

4. Discuss group travelers and opportunities to secure bookings a. group planner b. bus association network c. travel directories d. hotel representative e. hotel broker 5. Discuss leisure traveler and the methods they use in making reservations a. travel agencies b. toll-free numbers c. reservation/referral systems d. Internet e. social media - Twitter and You Tube [Marriott promotion] 6. Discuss current guests as an overlooked marketing opportunity a. check-in b. check-out M. Forecasting Reservations 1. Discuss rooms forecast (refer to Figure 5-2).

2. Discuss term “house count” and “full house.”

3. Discuss procedure to determine forecast (refer to Figure 5-3).

N. Overbooking (Occupancy Management) 1. Discuss the term overbooking – accepting reservations for more rooms that are available by forecasting the number of no-show reservations, stayovers, understays, and walk-ins, with the goal of attaining 100% occupancy.

2. Discuss the legality of overbooking. a. Gould et al. b. Toh 3. Discuss the components of overbooking. a. confirmed reservations b. guaranteed reservations c. stayovers d. understays e. walk-in guests 37

4. Explain occupancy management formula as listed in chapter.

5. Explain example of how to use formula as listed in chapter.

6. Discuss revenue management. a. Restate the role of revenue management in the reservation process (this topic will be covered in detail in Chapter 6) – a management technique of planning to achieve maximum room rates and most profitable guests.

O. Revenue Management 1. Introduce the term revenue management as the technique of planning to achieve maximum room rates and the most profitable guests.

2. It requires aggressive strategies to target sales periods and to develop sales programs that will maximize profit for the hotel.

3. Let students know this topic is appropriate to introduce now because of discussion of rates, but will be more fully explored in chapter 6.

P. Processing Guest Reservations 1. Discuss procedure to process a reservation on a systemwide reservation systems a. lodging property connected to national reservation system i. connected via toll-free number ii. telephone number is widely marketed iii. greeted by an operator at central reservation headquarters where computerized data bank of rooms at all participating properties is maintained iv. guest places request for dates and accommodations v. operator checks availability of request with room data bank vi. arrival time is established 2. Discuss outsourcing reservations a. Service providers who processes voice, Internet, and Global Distribution System–based reservations on behalf of hotels providers of central reservation systems that are not owned by the hotel operation b. Provides reservation systems to clients to manage closely their reservation processing i. Internet ii. Global Distribution System (GDS) iii. Web-enabled application-service provider (ASP) iv. Doug Kennedy example - how “to establish a proactive, positive relationship that perpetually views CenRes [Outsourced-Central Reservation] as being an invaluable partner.” a) Use Descriptions That Allure and Entice. b) Update Your Property Information. c) Keep Room Inventories Loaded and Updated. d) Keep the Lines of Communication Open.

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3. Pegasus Solutions serves: a. 11,000 hotels b. 130 countries c. the hotel industry’s largest third-party marketing and reservations provider Q. Types of reservations 1. Discuss confirmed reservation a. Discuss implications on profit and loss statement 2. Discuss guaranteed reservation b. Discuss implications on profit and loss statement R. Reservation codes for confirmed or guaranteed reservations 1. Discuss components a. ID number of property b. initials of reservationist c. date of arrival d. date of departure e. type of credit card f. room rate g. type of room h. sequential reservation number S. Cancellation code 1. Discuss components a. ID number of property b. initials of person who processed the reservation c. date of arrival d. date of departure e. sequential number of cancellation T. Blocking procedure 1. Discuss blocking – removing rooms from the available room data bank for the dates involved 2. Discuss blocking on the horizon – in the distant future 3. Discuss daily blocking assigning guests to their particular rooms on a specific day of arrival U. Completing reservations through a PMS 1. Figure 5-4 – (guest data screen) 2. Figure 5-5 – (room inventory screen) 3. Figure 5-6 – (guest deposit screen) 4. Figure 5-7 – (special requests screen) 5. Figure 5-8 – (blocking report screen) 6. Figure 5-9 – (arrival report screen) 7. Figure 5-10 – (departure screen)

39

8. Figure 5-11 – (VIP information screen) 9. Figure 5-12 – (projected occupancy screen) 10. Figure 5-13 – (travel agent screen) 11. Figure 5-14 – (guest message screen) V.

Database interfaces A. Define as transferring of computer information between computers 1. Discuss examples a. marketing and sales office b. housekeeping staff c. maintenance crews d. food and beverage advertising e. controller’s office B. True Integration 1. Define as integration of central reservation system and property management system data 2. Discuss how it allows for real-time reservations via the Internet 3. Discuss benefits a. consumer b. less investment for data storage

VI.

Supplementary Student Materials to Enhance Active Learning Inside the Classroom A. Review the following inserts in Chapter 5 A. Frontline Realities – allows student to use the occupancy management formula B. Solution to Opening Dilemma – this solution allows the student to apply the “reality” of dealing with overbooking that is out of control. It encourages future front office managers to understand the importance of training desk clerks in occupancy management and the need to have an alternative plan in place – room availability of other hotels in the area.

C. Hospitality Profile – Gary Budge D. End of Chapter Questions 1) Travelers depend upon a well-organized reservation system that is easily accessible to insure a well-planned trip.

2) The lodging industry provides toll-free phone numbers, computerized reservations systems, a network of travel agents who have access to computerized reservation systems, hotel representatives, hotel brokers, and the Internet to offer assured reservations for travelers.

3) The advantages for a hotel in participating in a reservations system include access to a national reservation system, management expertise, financial backing, national advertising, group purchasing, and interhotel property referrals.

40

4) The major sources of guest reservations include corporate clients, SMERF, MICE, group travelers, and leisure travelers. This information reveals the potential financial results a hotel may gain by advertising to these markets.

5) The corporate client’s travel plans are based upon a system that relies upon other people to plan the transportation and room accommodations. Therefore the hotel must reach these people (administrative assistants, secretaries, etc.) to encourage reservations for room accommodations. Easy access (toll-free phone number, reservation/referral system travel agents), familiarity with the property (Secretary’s Club), and the Internet are some of the ways to obtain a corporate client’s room reservation.

6) Tour and meeting planners seek group reservations which will provide the hotel with a large number of guests at one time and income for a long period of time. Reservation access methods include bus association network, directories listing various lodging properties, hotel representatives, hotel brokers, and the Internet.

7) The leisure traveler is unrestricted by deadlines or schedules and is more flexible in their travel plans. They are more willing to stay along the way. Some of the reservation access methods include travel agencies, toll-free numbers, reservation/reservation systems, and the Internet.

8) Answers will vary concerning the potential reservation market of current guests. Discussion should focus upon lack of training to approach a guest, lack of incentive to make the offer, rush at a busy check-out time, etc.

9) The rooms forecast allow management to see the effects of reservations on the profit and loss statement, labor scheduling, and use of facilities. Other departmental managers, i.e. food and beverage, housekeeping, maintenance, etc. need this information for scheduling employees and use of facilities.

10) Overbooking is taking reservations for more rooms that are available on any given night. American courts seem to agree in many instances, overbooking to overcome the problem of no-shows and late cancellations may produce advantages by way of operating efficiencies that far outweigh the occasional inconveniences to guests and travelers. They have held hotel overbooking to be a customary and justifiable practice for offsetting the losses from no-shows.

11) The historical data on no-show factors for confirmed reservations and guaranteed reservations, predicted stayovers, predicted understays, and predicted walkins are the components of an aggressive occupancy management procedure. Use math model in textbook for application.

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12) The major steps involved in processing a reservation is securing guest data, checking room request against existing data base, determining room rate, determining type of reservation (confirmed or guaranteed), establishing method of payment, blocking, and configuring confirmation and cancellation codes.

13) The guest’s request is received from a toll-free phone number and is checked against a computer data bank. Personal data and credit information is obtained and entered into the computer data bank. A type of reservation (confirmed or guaranteed) is established and a confirmation number is issued.

14) A confirmed reservation requires the hotel to hold the reservation until 4:00 p.m. or 6:00 p.m.; the guaranteed reservation is held until the guest arrives. If the guest with a guaranteed reservation does not arrive, then the hotel may process the payment.

15) Answers will vary but they should focus upon identification number of the property in the chain, initials of the clerk, arrival date, departure date, credit card type, room rate, type of room, and sequential reservation number.

16) Answers will vary but should focus upon identification number of the property in the chain, initials of the clerk, date of arrival, and sequential number of the cancellation.

17) Blocking of rooms means to take rooms out of the existing data bases of room inventory. There are two types of blocking – blocking on the horizon and daily blocking of rooms.

18) True integration of the central reservation system and the property management system will allow a guest to make real-time reservations via the Internet. This type of technology will allow for less data storage and thus involve less investment in technology for hotel owners.

1. Case Studies 1. Case Study 501 – This case study allows the student to focus upon the occupancy management concept. It makes the student look at the legal and moral aspects of overbooking, the financial impact of a “room unsold is a room night lost forever,” and the type of definitive information (confirmed and guaranteed reservations, stayovers, understays, and walkins) that is required to maximize room sales and guest satisfaction.

2. Case Study 502 – This case study provides an opportunity for students to prepare a rooms forecast. Use the format suggested in Figure 5-3 to complete the assignment.

3. Case Study 503 - This case study encourages students to look at the marketing opportunities presented by social media. Even with the sketchy data presented, students can use information found in this chapter to develop a start-up strategy.

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Case Study 502 - Proof 1-May

2-May

3-May

4-May

5-May

6-May

7-May

Depart:

200

50

200

50

300

50

200

Arrival: Conf.

Guar.

Total Walk-ins Stayovers No-Show TOTAL

140 60 200 40 100 4 336

60 40 100 10 286 2 394

50 50 100 20 194 2 312

20 80 100 10 262 1 371

21 49 70 25 71 1 165

161 14 175 10 115 7 293

18 162 180 25 93 4 294

VII.

Supplementary Student Activities to Enhance Active Learning Outside the Classroom A. Assign students the following project to assist them in gaining additional information on the topics presented in class: Go to the website http://www.hotel-online.com, http://www.hotelbusiness.com, http://www.hotelsmag.com/, http://www.google.com or http://www.yahoo.com and ask them to look for a recent article on any of the following topics and bring into class for “show and tell.” a. Status of reservation systems in hotels b. Reservation systems offered in chain hotels c. Travel directories d. Professional associations for group planners, bus associations, travel agents, etc. e. Overbooking f. PMS – reservation modules

VIII.

Supplementary Website Resources to Enhance Student Active Learning A. Any of the following websites are very good resources for students to gain exposure.

1. http://www.hotel-online.com 2. http://www.hotelbusiness.com 3. http://www.ahla.com An instructor may want to assign the student a particular website and ask students to list some features that they found useful.

IX.

Supplementary A/V Material Resources to Enhance Student Active Learning A. The following website of the Educational Institute of the American Hotel & Lodging Association provides a listing of videos and other educational material that may supplement the student’s active learning: http://www.ei-ahla.org/productshowcase.asp

43

X.

Quiz Questions – Chapter 5

1. A house count is used by which of the following manager(s)? a. food and beverage manager b. housekeeper c. marketing and sales director d. all of the above e. front office manager only 2. Sources of reservations include(s) which of the following groups? a. corporate clients b. group travelers c. leisure travelers d. current guests e. all of the above 3. A guaranteed reservation is held until? a. the guest arrives b. 6:00 p.m. c. 4:00 p.m. d. midnight e. according to the policy of the hotel 4. A confirmed reservation is held until the guest arrives. The hotel has a firm contract with the guest to hold that room for the guest. a. True b. False 5. A guaranteed reservation code will include which of the following? a. color of hotel’s exterior b. direction to find the hotel c. date of arrival d. list of amenities e. all of the above 6. The PMS reservation option allows for the processing of guest reservations. a. True b. False 7. The PMS reservation module includes a projected occupancy screen. a. True b. False 8. True integration includes the PMS and central reservation system data. a. True b. False

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9. Components of an aggressive Occupancy Management program include(s) which of the following? a. historical data on no-show factors of confirmed and guaranteed b. reservations c. historical data on predicted stayovers and walkins, and understays d. both A and B. e. recapture of guest data. f. a lawyer on retainer 10. A rooms forecast includes which of the following? a. uses current data only b. is used only by the front office manager c. is not used when you have a PMS d. allows management to preview room sales and its effect upon the profit and loss statement e. makes good use of current data 11. Which strategy is not suggested in developing adoption of social media? a. Define long-term objectives and goals. b. Go to seminars on the topic to gain an understanding of the topic. c. Social media should be the anchor to a marketing plan. d. Work with a team.

12. How many additional room reservations are needed to achieve 100 percent occupancy for February 18?

Times Hotel 925 rooms available 100 Confirmed reservations (5% no-show rate) 350 Guaranteed reservation (2% no-show rate) 4 predicted stayovers 8 predicted understays 25 predicted walk-ins a. b. c. d.

488 463 456 393

Answers to Exam Questions – Chapter 5 1.

2.

3.

4.

5.

6.

D E E B C A

7. A 8. A 9. C 10. D 11. C 12. B

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Chapter 6 – Revenue Management I.

Instructor to Instructor Chat – The purpose of this chapter is to present the components of revenue management in hotels to future professionals. Students should know the basics of revenue management and be able to apply these concepts in developing an efficient reservation system. Revenue management has been adopted by many hotels as a means of maximizing the opportunity to produce a profit.

Note: this concept was previously addressed as yield management.

II.

Opening Dilemma – Front office managers have to make decisions at a moment’s notice. Using a yield management system will allow students to think through “a quick decision.”

III.

Chapter Focus Points A. Occupancy percentage B. Average daily rate C. RevPAR D. History of revenue management E. Use of revenue management F. Components of revenue management G. Applications of revenue management

IV.

Classroom Presentations A. Concept of occupancy percentage 1. Review definition of occupancy percentage – reveals the success hotel’s staff in attracting guests to a particular property a. Occupancy percentage formula

of a

__Number of rooms sold__ × 100 Number of rooms available b. Allow students to work through several examples B. Concept of double occupancy percentage 1. Define double occupancy percentage – a measure of a hotel staff’s ability to attract more than one guest to a room a. Double occupancy percentage formula Number of guests – Number of room sold × 100 Number of rooms sold b. Allow students to work through several examples

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C. Concept of average daily rate 1. Define average daily rate (ADR) – a measure of the hotel’s staff efforts in selling available room rates a. Average daily rate formula __Total room sales__ Number of room sold c. Allow students to work through several examples D. Concept of RevPAR 1. Define RevPAR – ability of a hotel to produce income; how many dollars is each room producing 2. Rev PAR formula Room Revenue Number of Available Rooms or Hotel occupancy % × ADR 3. Segue into revenue management a. hotel’s marketing staff to produce sales based upon customers’ needs, not just accept reservations. i. rooms occupied because of lower rate ii. rooms occupied because of attractive amenities E. History of revenue management 1. Discuss the airline industry’s use of yield management 2. Compare similarities of the airline industry and hotel industry 3. Indicate differences of the airline industry and hotel industry in using revenue management F. Use of yield management 1. Discuss the goals of yield management a. maximize profit for guest room sales b. maximize profit for hotel services c. discuss yield management software examples in chapter i. NORTHWIND-Maestro PMS G. Role of revenue manager 1. Introduce revenue manager as a new position in the hotel as a person who works closely with the marketing and sales department and consults with the front office manager. The role is to oversee the room inventory and room rates that are offered to groups and individuals and through various channels – central reservations systems, GDS, third-party reservation systems, toll-free reservation number, etc., and identifies trends and methods to match those trends

47

2. Review management job listing in text.

3. Review Hospitality Profile - Debra Kelly H. Components of revenue management 1. Define the term yield a. the percentage of income that could be secured if 100% of available rooms are sold at their full rack rate 2. Define revenue realized a. number of rooms sold × ADR 3. Define revenue potential a. number of rooms available for sale x rack rate i. Present yield formula Yield = Revenue Realized Revenue Potential ii. demonstrate yield formula iii. allow students to work through several examples of using the yield formula to determine yield iv. discuss the impact of this concept v. compare and contrast the concepts of occupancy percentage and yield (refer to Tables 6-1 and 6-2) I. Components of optimal occupancy and optimal rate 1. Define optimal occupancy a. achieving 100% occupancy with room sales which will yield the highest room rate 2. Define optimal rate a. a room rate which approaches the rack rate i. present scenario #1 in chapter and discuss its financial and marketing implications J. Revenue Management Strategies 1. Discuss components and strategies to employ when using yield management (refer to Table 6-3) a. High demand = maximize room rates b. Low demand for rooms = maximize room sales b. Carol Verret’s article “…sales, manipulating the GDS, controlling the allocation and rate in the electronic distribution channels, etc.” c. Neil Salerno’s article “Most hotels should take a picture of reservations at least six months in advance; many hotels should look out a year or more into the future.”

H. Forecasting 1. Discuss the importance of accuracy in forecasting a. Orkin - daily decision orientation rather than a seasonal decision-making scheme 48

I. Star Report 1. Highlights: a. produced by STR Global b. offers monthly, weekly, and daily STAR benchmarking reports to more than 38,000 hotel clients, representing nearly 5 million rooms worldwide b. www.strglobal.com/Resources/Resources.aspx J. Block-out periods 1. Define block-out periods a. tagging certain dates in a time period when rooms have to be sold at a certain rate and/or certain number of minimum room rental nights K. Systems and Procedures 1. Discuss the importance of using computers and standard operating procedures when using yield management 2. Discuss the importance of training to use a yield management system L. Channel Management 1. Define “channel management” as sales channels or approaches which afford the hotel with maximum opportunity for financial gain via central reservation system, GDS, third-party reservation system, toll-free phone reservation, travel agent, or in-house marketing activities.

2. Discuss Kim Stephenson’s article on channel management with its importance of technology to aid in this endeavor.

M. Feedback 1. Discuss the importance of feedback on turn-a-way business in a revenue management system (refer to Table 6-4) N. Management Challenges in Using Revenue Management 1. Discuss alienation of customers a. block-out policies b. minimum stay requirements c. price gouging O. Considerations for Food and Beverage Sales 1. review Table 6-5 P. Applications of Yield Management 1. present Scenarios #1, #2, and #3 as listed in chapter 2. allow student to work through each scenario in groups 3. encourage students to explain the implications of each scenario

49

V.

Supplementary Student Materials to Enhance Active Learning Inside the Classroom A. Review the following inserts in Chapter 6 1. Frontline Realities – this scenario provides an opportunity for students to perceive the concept of revenue management as a practical opportunity to manage the financial outcome of a hotel 2. Solution to Opening Dilemma – discuss the components of utilizing a revenue management concepts 3. Hospitality Profile – Debra Kelly 4. End of Chapter Questions 1) Answers will vary but they should contain concepts as presented in the chapter such as maximize room rates, maximize room sales, block-out periods, consideration for food and beverage sales, etc.

2) A revenue manager is a person who works closely with the marketing and sales department and consults with the front office manager. The role is to oversee the room inventory and room rates that are offered to groups and individuals and through various channels – central reservations systems, GDS, third-party reservation systems, toll-free reservation number, etc., and identifies trends and methods to match those trends.

3) Answers will vary, but should focus on the goals of revenue management: maximize profit for guest room sales and maximize profit for hotel services. These terms are inter-changeable.

4) Occupancy percentage tells the owner of the hotel what percentage of rooms was sold on a particular night. Occupancy percentage does not tell the owner which rooms and a corresponding rate were sold or unsold. The general manager’s achievement of occupancy alone does not present a total picture because it does not include ADR and yield 5) ADR provides an average figure of room rate achieved on a particular night. This figure alone does not present a total picture because it does not include occupancy and yield 6) RevPAR asks the question “How many dollars is each room producing”? The administration of the hotel can ask itself why each room is or isn’t producing the maximum rate (rack rate). Is it the efforts of the marketing and sales staff that are not sophisticated or don’t the front office staff practice good salesperson skills at the time of booking the room or at check-in (more information presented on check-in practices in the next chapter).

7) Concepts of similarity between airlines and hotels include volatile, fixed number of products to sell, perishability of products on a particular day, market segmentation, demand periods, various rates, reservations, and use of computerized data base of products to sell.

8) The goals of yield management are to maximize profit for guest room sales and to maximize profit for hotel services.

9) 200 × $75 = $15,000 = 93.75% Yield 200 × $80 $16,000

50

10) 150 × $75 = $11,250 = 69.23% Yield 275 × $60 $16,500 11) 850 × $100 = $ 85,000 = 63% Yield 1000 × $135 $135,000 12) Yield tells the owner what could have been achieved while occupancy reports only historical concept 13) When demand is high, maximize room rates.

14) When demand is low, maximize room sales.

15) Setting daily rate strategies allows for greater flexibility in strategizing for a volatile market.

16) Answers will vary, but the concept of specifying length of stay during a certain time period should be included.

17) There are many details to maintain in operating a yield management system and staff needs to be aware of how these details interact with each other.

18) During low demand periods, transients can provide the needed room sales and specified prices to earn a high yield. If accurate forecasting is in place, marketing and sales can develop promotional packages to this group.

19) This information will tell the hotel which percentage of rooms with corresponding room rates was sold. The front office manager may want to investigate why higher priced rooms were not sold.

20) A review of the sales channels will help to determine which approach would have afforded the hotel with maximum marketing opportunities for financial gain. Technology is necessary to review these channels.

21) This helps to assess the viability of revenue management and to update revenue management and marketing strategies for the future.

22) The minimal profit achieved from food and beverage sales can add to the achievement of profitability for a hotel.

B. Case Studies 1. Case Study 601 – The concepts presented in this chapter will assist students in developing format to use yield management. Students should work in groups to prepare a defense for the use of revenue management.

They could develop various scenarios to determine why occupancy percentage and ADR alone do not present the total status of financial success.

2. Case Study 602 – The two scenarios in this case study will allow students to practice developing policies and consider their implications on utilizing revenue management.

3. Case Study 603 – The first scenario encourages students to develop policies and practices utilizing yield management. The second scenario encourages students to consider food and beverage sales in revenue management practices.

51

VI.

Supplementary Student Activities to Enhance Active Learning Outside the Classroom A. Assign students the following project to assist them in gaining additional information on the topics presented in class: Go to the website http://www.hotel-online.com, http://www.hotelbusiness.com, http://www.hotelsmag.com/, http://www.google.com or http://www.yahoo.com and ask them to look for a recent article on any of the following topics and bring into class for “show and tell.”

1. Applications of yield management 2. RevPAR 3. Current national occupancy percentages by category 4. Current national ADR rates by category 5. Revenue manager 6. Reservation channel management B. Assign students to the website of the American Hotel & Lodging Association http://www.ahla.com/ and determine how the Educational Institute of the American Hotel & Lodging Association can assist a front office manager in training his or her staff in yield management principles. http://www.ei-ahla.org/productshowcase.asp C. Assign students a project to utilize an electronic spread sheet to understand the financial implications of hotel occupancy percentage, ADR, yield management, and RevPAR such as one that follows.

Hotel Occupancy Percentage, ADR, Yield, and RevPAR Comparison

Hotel

No. Rooms

No. Rooms

Available

Sold

Arlington

400 Totals

VII.

Rate

Rack

Income

Rate

Occupancy

ADR

Yield

$101.18

57.97%

RevPAR

Percentage

175

$95.00

$120.00

$16,625.00

100

$112.00

$120.00

$11,200.00

275

$27,825.00

68.75%

$69.56

Supplementary Website Resources to Enhance Student Active Learning A. Any of the following websites are very good resources for students to gain exposure.

1. http://www.hotel-online.com 2. http://www.hotelbusiness.com 3. http://www.ahla.com An instructor may want to assign the student a particular website and ask them to list some features that they found useful.

52

VIII.

Supplementary A/V Material Resources to Enhance Student Active Learning A. The following website of the Educational Institute of the American Hotel & Lodging Association provides a listing of videos and other educational material that may supplement the student’s active learning: http://www.ei-ahla.org/ei1/product_display.asp

IX.

Quiz Questions – Chapter 6 1. A hotel has sold 100 rooms from its 200 room inventory on Tuesday. Determine its occupancy percentage or Tuesday. a. 100% b. 50% c. 30% d. 200% 2. A hotel has sold 100 rooms for a total of $10,000. What is the ADR for that night? a. $10,000 b. $1,000 c. $500 d. $100 3. One of the goals of revenue management is to maximize room rates. a. True b. False 4. A hotel has 85% occupancy and an ADR of $75 on Saturday. What is the RevPAR for Saturday? a. $63.75 b. $88.23 c. $62.25 d. $75.00 5. Optimal occupancy and optimal room rate are similar to occupancy percentage and ADR. a. True b. False 6. If the League of Mayors convention is coming to your community and they are expected to take every hotel room available in the town, the hotel management should do which of the following? a. maximize room rates b. maximize room sales c. do not use block out periods d. promote a special package deal for mayors and their families e. both a. and b.

53

7. Determine the yield of a hotel for Monday with the following statistics: 400 rooms in inventory; 325 rooms sold @ $75; and a rack rate of $90. a. 43% b. 76% c. 68% d. 89% 8. A turnaway business report is useful to which member of the hotel management team? a. marketing and sales director b. front office manager c. both A and B d. executive housekeeper e. maintenance director 9. Food and beverage sales should not be used to determine the profitability of a group requesting a block of rooms? a. True b. False 10. Guest alienation is reason enough not to use yield management. a. True b. False 11. The Star Report would be used by a revenue manager to determine which of the following? a. guest concerns for airlines b. weather conditions c. hotel competitors’ room occupancy d. hotel design trends Answers to Exam Questions – Chapter 6 1.

2.

3.

4.

5.

6.

B D B A B A

7.

8.

9.

10.

11.

54

C C B B C

Chapter 7 – Guest Registration I.

Instructor to Instructor Chat – This chapter reviews in great detail the minute or so it takes for a desk clerk to register a guest through a PMS. Those details are the cornerstone for developing a student’s understanding of delivering hospitality, making a profit for the hotel, and organizing their thoughts on how to train a front desk staff to deliver hospitality.

II.

Opening Dilemma – This situation alerts the student to the need for an organized registration system that involves not only front office personnel but other departmental staff as well.

III.

Chapter Focus Points A. Importance of the first guest contact B. Capturing guest data C. Guest registration procedures D. Registration with a property management system

IV.

Classroom Presentations A. Importance of the first guest contact 1. Discuss tone which is set at registration 2. Chat about student’s feeling of what constitutes warm hospitality 3. Talk about student’s recent experiences during registration at a hotel B. Capturing guest data 1. Discuss the importance of capturing this data for guest messages, guest requests for service from other departments, and credit verification C. Guest registration procedures 1. Review components of Guest Registration Procedure as listed in the text a. Guest hospitality b. Inquiry about reservation c. Completion of registration card (note some hotels do not use a registration card and confirm the details of the registration with an electronic folio) i. Refer to Figure 7-1, Registration Form d. Review completeness of registration card (see note above) e. Discuss extension of guest credit i. Define credit card types a) Bank cards (VISA, MasterCard, or JCB) b) commercial cards (Diners Club) c) private label cards (J.C. Penney) d) intersell cards (Ramada)

55

2. Define discount as the fee the hotel has to pay the issuing credit card agency based upon the volume of sales transactions, amount of individual sales transaction, expediency of vouchers turned into cash, and other factors 3. Discuss related economic impact upon the profit and loss statement (refer to math model in textbook) 4. Discuss credit card processing and 5. use of credit card imprinter and credit card validater a. how this step establishes credit limit for the guest stay 6. Discuss proof of identification a. outline the importance of this step 7. Outline process of using a bill-to-account a. Define as a personal extension of pre-approved credit with the hotel; the hotel processes the bill after the sale b. Discuss advantages and disadvantages to the guest and the hotel i. guest perceives bill-to-account as prestigious ii. hotel saves discounting of guest bill iii. hotel must act as billing and collection agency D. Room selection concepts 1. Review blocking procedure example in text 2. Review confirmed and guaranteed reservations 3. Review expected check outs for a particular day E. Guest requests 1. Discuss requests for the following items: a. special accommodations (bed requirements) b. location c. layout and décor d. ancillary equipment (such as high speed Internet access) e. special needs f. availability g. price F. Components of a well-organized room inventory system 1. Discuss housekeeping room status update a. available, clean, or ready b. occupied c. stayover d. dirty or on change e. out of order 2. Note differences between reservation and housekeeping statuses; reservation status: a. open b. confirmed 4 pm c. confirmed 6 pm d. guaranteed e. repair 56

3. Discuss importance of communication system between the front desk and other departments (housekeeping, maintenance, and reservation staff) G. Room rate establishment 1. Present Figure 7-3 as it relates to the projection of a hotel’s income 2. Discuss general rule-of-thumb method that stipulates that the room rate should be two dollars for every thousand dollars of construction costs 3. Note that Hubbart formula that takes into consideration such factors as operating expenses, desired return on investment, income from various departments in the hotel and room income 4. Compare and contrast insights into each of these methods 5. Use math models in text to demonstrate each formula 6. Present Figure 7-4 room rate survey as a method of maintaining current on the room rates of competitors 7. Discuss types of room rates a. rack rate – highest rate charged by the hotel b. corporate rate – offered to business persons of a corporation or frequent visitors c. commercial rates – rates offered to infrequent business persons d. frequent guest marketing program, i.e. Preferred Guest type of program e. military/educator rate – rates offered to a price sensitive market yet attractive for a large volume of repeat business f. group rate – offered to travelers who attend en masse g. family rate – rate which is price sensitive yet attractive for many families h. package rates – rates used to lure guests into a hotel during low sales periods i. American plan – includes meals with room rate quote ii. Modified American plan – includes one meal with room rate quote iii. European plan – room rate and food and beverage sales are kept separate iv. Half-day rate – room rate for half-day rental v. Complimentary rate – no charge to the guest H. Maximizing room rates 1. Define as presenting various room rates in a manner that reflect the positive features of the product 2. Discuss a pre-planned sales pitch based on product knowledge a. room furnishings, special features, layout, and rate ranges 3. Discuss desk clerk training in use of descriptive words 4. Discuss desk clerk practice sessions in salesperson ship techniques 5. Encourage desk clerk training in picking up on subtle cues from guests 6. Discuss development of incentive programs for desk clerk motivation 7. Discuss bottom-up and top-down sales methods 8. Discuss sales opportunities

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9. Discuss opportunities to promote sales a. hotel services b. additional reservations during the registration process 10. Discuss management’s plan to sell additional room reservations a. salesperson skills b. incentive programs c. complementary in-house advertising from other departments I. Room key assignment 1. Impress need for accuracy 2. Mention need for discretion for security in issuing key J. Security and maintaining the keys 1. Discuss maintenance of security of keys (refer to figures 7-5 and 7-6) 2. Indicate area for holding keys – key drawer 3. Show hard key – proof of guest identification required 4. Show electronic – new combination for each new guest 5. Indicate request for proof of registration for duplicate key requests K. Registration with a PMS 1. Talk about steps a. retrieval of completed version of guest data reservation on a PMS (Figure 7-7) b. advance registration form (Figure 7-8) c. retrieval of reservation d. group registration (Figures 7-9 and 7-10) e. checking of room inventory options for guests who have a reservation but the room has not been blocked f. room inventory reservation data bank (Figure 7-11) g. room inventory housekeeping status (Figure 7-12) h. walk-in registration (Figure 7-13) i. walking a guest when a reservation cannot be honored h. verifying room rate with guest i. issuing electronic key (Figure 7-14) j. various reports that assist in PMS registration i. registered guests (Figure 7-15) ii. guest arrival report (Figure 7-16) iii. group arrival report (Figure 7-17) iv. vacant room report (Figure 7-18) v. room status report (Figure 7-19) L. Self-check in 1. Discuss reasons for consideration of offering self-check in a. capital expenditures b. decreased labor costs c. increased speed of registration d. delivery of hospitality e. opportunity for selling additional hotel services within the hotel 58

2. Go over procedure a guest would use (Figure 7-20) a. use of personal credit or debit card b. registration by a wireless communications device M. Discuss Ariane Systems Group article concerning technology applications to guest checkin/checkout.

V.

Supplementary Student Materials to Enhance Active Learning Inside the Classroom A. Review the following inserts in Chapter 7 1. International Highlight – stresses the economic importance of international visitors to a hotel who use the JCB credit card 2. Frontline Realities – encourages students to develop the “what would I do if I were the manager” attitude in organizing and resolving the delicate concepts of delivering hospitality at the time of registration 3. International Highlight- this Judy Colbert reported information allows students to gain an insight on how to “think like a guest” and not take anything for granted when organizing for delivery of hospitality at the time of registration 4. Solution to Opening Dilemma – this scenario highlights the importance of good communication systems between housekeeping and front office departments 5. End of Chapter Questions 1) Answers will vary, however they should focus upon this experience that sets the tone for hospitality and establishing a continuing business relationship. It is important to have students to fully explore this issue; it is the beginning of forming a professional management view from the guest perspective.

2) This guest data is needed to locate a guest and to properly bill a guest after the check out. It is also used for the guest history by the marketing and sales department. Incorrect data may hinder the switchboard operator from locating a person or communicating a message. The hotel may also experience an unpaid outstanding balance if guest credit is not established.

3) The major parts of the guest registration process include the following. a. Project a feeling of hospitality b. Retrieve guest reservation c. Complete guest registration cards d. Establish guest credit e. Determine room selection f. Determine room rates g. Develop sales opportunities h. Complete room key assignment 4) Each credit card has a specific discount rate. Examples should reflect the difference the discount rate has upon the total guest bill (gross bill minus discount rate equals net amount remaining for the hotel).

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5) The hidden costs in using a bill-to-account system include processing costs (forms, computer hardware and software, labor, postage, etc.), credit research, and collection of non-payment of accounts.

6) Guest requests for room selection include bed requirements, room location, floor plan arrangements, ancillary equipment, rooms designed and equipped for special needs, immediate availability, and price. The front desk clerk can be aware of the guest’s nuances of business appearance, family ties, and pleasure traveler, etc. and listen to guest’s and then match room needs.

7) Room rates set the tone for a hotel to produce income; it becomes an integral part of the marketing and sales department and the profit and loss statement. Monitoring room rates is part of the front office manager’s job in keeping current with the room rates of the competition.

8) The rule-of-thumb method for setting room rates states that for every $1000 in room construction costs, $2 in room rate can be set. The Hubbart formula takes into consideration such factors as operating expenses, desired return on investment, income from various departments in the hotel, and room income. Answers will vary but they should focus upon the room rate (and thus room income) as the sole means of supporting the hotel’s profitability.

9) Refer to Figure 7-4 as an example of a means of monitoring room rates. Answers will vary but should focus on a process that allows the front office manager to be competitive with its competition.

10) The various types of room rates include but are not limited to rack rate, corporate rates, commercial rates, government and educational rates, group rates, family rates, package rates, American plan, modified American plan, European plan, half-day rate, and complimentary.

11) Answers will vary but should focus upon the ability of the front office manager to use all possible methods to be sure each room is sold. The room rate maximization program will assist in producing a profitable profit and loss statement. The components of the program include the guest participating in the sales decision and the desk clerk being knowledgeable of room furnishings, special features, layout, and rate ranges. The desk clerk must also know how to entice guests with positive descriptions and be trained in salesperson ship. Also an incentive program needs to be developed in a room rate maximization program.

12) Desk clerks are able to sell hotel services at registration (future reservations, food service, entertainment, lounge, and health facilities) and at check out (additional reservations). Answers will vary but should focus upon the structure of building a successful program (knowledge of products and services in the hotel, training, and incentive program). Additional room sales and sales in other areas will be generated.

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13) The key to be issued must be checked against the room number assigned on the registration card before it is handed to the guest. Use utmost discretion in communicating the room number to the guest (guest safety). Replace keys as they are returned. Do not issue a second key to a guest without identification.

14) The following steps are used to register a guest with a reservation using a PMS. a. Retrieval of advance registration form b. Room inventory and room status options of the registration module are checked to determine if rooms are available c. Guest signs registration card d. Additional hotel services are presented for sale e. Room key is issued 15) The advantages of registering a guest with a PMS are speed and accuracy. The reports produced with a PMS registration module are clearly a great advantage for the front office manager B. Case Studies 1. Case Study 701 – The report justifying the upgrade of the PMS will begin with an outline of the guest experience to include the many opportunities the front office staff has to deliver hospitality. Will the upgrade allow the hotel to organize, to retrieve, and to analyze reservations for individuals and groups? Will it simplify the room status reporting procedure between departments? Will electronic room keys provide greater security for the guest? In general will the registration process be enhanced by the upgrade?

3. Case Study 702 – This case study emphasizes the importance of communication as it interfaces with technology. Students should work through the details of establishing a workable procedure to communicate housekeeping status via a PMS. 4. Case Study 703 – This case study encourages students to review the steps in the registration process and to ask critical questions along the way.

VI.

Supplementary Student Activities to Enhance Active Learning Outside the Classroom A. Assign students the following project to assist them in gaining additional information on the topics presented in class: 1. Go to the web site http://www.hotel-online.com, http://www.hotelbusiness.com, http://www.hotelsmag.com/, http://www.google.com or http://www.yahoo.com and ask them to look for a recent article on any of the following topics and bring into class for “show and tell.” a. registration process b. American plan c. delivery of hospitality at check in d. registration module of a PMS

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e. f. g. h.

discount rates for credit cards JCB International types of room rate categories from various hotel websites high Speed Internet Access

VII.

Supplementary Website Resources to Enhance Student Active Learning A. Any of the following websites are very good resources for students to gain exposure to further information contained in this chapter.

1. http://www.hotel-online.com 2. http://www.hotelbusiness.com 3. http://www.ahla.com An instructor may want to assign the student a particular website and ask students to list some features that they found useful.

VIII.

Supplementary A/V Material Resources to Enhance Student Active Learning A. The following website of the Educational Institute of the American Hotel & Lodging Association provides a listing of videos and other educational material that may supplement the student’s active learning: http://www.ei-ahla.org/productshowcase.asp

IX.

Quiz Questions – Chapter 7 1. An American plan rate includes the room rate and food and beverage. a. True b. False 2. All credit cards offer the same discount rate. Therefore it does not matter to the hotel if the guest uses VISA, MasterCard, or JCB. a. True b. False 3. A bill-to-account is more profitable to the hotel because they do not have to discount their own statements. a. True b. False 4. Reservation room status description(s) include(s) which of the following? a. occupied or available b. stayover c. on change d. all of the above e. none of the above

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5. Traditional methods for establishing room rates include the Hubbart formula.

This method uses $2 of room rate for each $1000 of construction costs. a. True b. False 6. The Hubbart formula takes into consideration such factors as operating expenses, desired return on investment, income from various departments in the hotel, and room income. a. True b. False 7. A room rate survey is done as frequently as once a week in a hotel. a. True b. False 8. The highest room rate offered at a hotel is which of the following? a. rack rate b. military rate c. corporate rate d. complimentary rate e. half-day rate 9. Maximizing room rates involves a plan that include(s) a. knowledge of room furnishings b. knowledge of special features c. training in salesperson ship d. incentive program for desk clerks e. all of the above 10. If a general manager and front office manager are considering the adoption of self-check in their discussions should include which of the following? a. capital expenditures b. decreased labor costs c. increased speed of registration d. lack of opportunity for selling other services of the hotel e. all of the above Answers to Exam Questions – Chapter 7 1.

2.

3.

4.

5.

A B B E B

6. A 7. A 8. A 9. E 10. E

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Chapter 8 – Managing the Financials I.

Instructor to Instructor Chat – This chapter helps the student get into managing guest-financial transactions and guests expect these at a moment’s notice. The information presented in the chapter will assist students in applying accounting terminology in the various stages of the guest cycle.

II.

Opening Dilemma – This situation allows the student to note how important even a single posting error can cause someone else a challenge later on in the day other than the guest

III.

Chapter Focus Points A. Common booking practices performed B. Forms used to process guest charges and payments C. Account ledgers D. Procedures for processing guest charges and payments E. Procedures for transferring guest and city ledgers to accounts receivable F. Importance of standard operating procedures for posting and the night audit

IV.

Classroom Presentations A. Common bookkeeping practices 1. Discuss “posting process” a. Standard procedures need to handle financial transactions b. Explanations of bookkeeping practices in training programs assists desk clerks in understanding the importance of correctly entering financial data i. Assets – monetary value ii. Liabilities – financial or contractual obligations 2. Explain bookkeeping “power” of debits and credits to increase or decrease assets and liabilities a. Refer to Table 8-1 i. Relate examples to guest ledger B. Forms used for posting 1. Explain folio and transactions affecting it – refer to Figure 8-2 3. Discuss transfers – some hotels use these; most of this is done electronically via a point-of-sale system 4. Discuss paid-out slips – some documentation required as a paper trail C. Account ledgers 1. Explain accounts receivable – amounts guests owe the hotel 2. Describe guest ledger – a collection of folios of current guests of the hotel 3. describe city ledger – a collection of folios of unregistered hotel guests who maintain accounts with the hotel 5. Describe folio well or bucket 6. Discuss Table 8-2 – Transactions Affecting the Guest Ledger 7. Discuss Table 8-3 – Transactions Affecting the City Ledger 64

D. Posting guest charges and payments through PMS 1. Discuss Figure 8-3 and how point-of-sale interfaces with it a. Point-of-sale - allows the front office computer to interface with the computers in the various departments in the hotel 2. Discuss Figure 8-3 and how point-of-sale interfaces with it a. Interface – defined as computers passing along information to each other or electronic transfer i. refer to Figure 8-4 – photo of point-of-sale terminal in use at food beverage terminal 3. Discuss room and tax posting procedure 4. Discuss transfers and adjustments posting procedure 5. Discuss paid-out posting procedure 6. Discuss miscellaneous charges posting procedure 7. Discuss posting phone posting procedure 8. Discuss posting display folio posting procedure 9. Discuss reports posting procedure a. Present Figure 8-5 – reports created with the posting module E. Transferring guest and city ledgers to accounts receivable 1. Explain accounts receivable a. Review concept of accounts receivable – monies owed to the hotel i. Types of accounts receivable a) Bank cards b) Commercial cards c) Private label d) Intersell cards e) Bill-to-account ii. Provide examples of transactions 2. Explain accounts payable a. Review concept of accounts payable – amounts of money prepaid on behalf of the guest for future consumption of goods or services (sometimes referred to as back office cash accounts) b. Provide examples of transactions 3. Note relationship of guest ledger and city ledger as temporary holding facilities for guests’ accounts receivable F. Importance of standard operating procedures for posting and the night audit.

1. Discuss how the night audit is dependent upon standard posting procedures a. Errors due to transposing dollar figures i.e., $23.31 as $32.31 b. Errors due to posting charges to an incorrect folio, i.e. room 423 instead of 422 c. Errors due to posting charges to an incorrect departmental account, restaurant charge to bar charge d. Necessity of developing and administering a training program to ensure accurate posting procedures 65

V.

Supplementary Student Materials to Enhance Active Learning Inside the Classroom A. Review the following inserts in Chapter 8 1. Frontline Realities – this challenge underscores the importance of posting to the guest.

2. Solution to Opening Dilemma – this scenario highlights the importance of standard operating procedures for posting and the night audit.

3. End of Chapter Questions 1) Answers will vary, however they should focus upon assets having monetary value and liabilities having financial or other contractual obligations or debts.

2) Answers will vary, however they should focus upon debits as having the power to increase an asset or decrease a liability; credits having the power decrease an asset or increase a liability.

3) Folio (lists the date of transaction, item, transfer slip number for referral, debit or credit amount, and updated balance), transfers (allows the desk clerk to transfer an amount of money from one account to another while creating a paper trail), and paid-out slips (a numbered form that authorizes cash disbursement from the front desk clerk’s bank for products on behalf of a guest or an employee of the hotel).

4) An electronic folio (see Figure 8-3) is a standard folio that lists the date of transaction, item, transfer slip number for referral, debit or credit amount, and updated balance.

5) A guest ledger is a collection of folios (guests’ charges and payments) of current guests of the hotel. Use the city ledger account; credit.

6) A city ledger is a collection of folios of unregistered hotel guests who maintain accounts with the hotel.

7) Examples that may occur during a guest stay include (refer to Table 82). a. Deposit on future reservation b. Prepayment of account c. Charge for room and tax d. etc.

8) Examples of the financial transactions in which the nonregistered guest may be involved include (refer to Table 8-3) a. Deposit on upcoming function b. Charge for food and beverages c. Rental charge d. Parking charge 9) Answers will vary.

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10) These financial records must be transferred to the master accounts receivable for the hotel; if a guest’s folio shows a debit balance (an amount owed to the hotel) and he or she wants to pay that off by charging it to his or her Visa Card, then that amount is transferred to the Visa Card accounts receivable. The back office is the permanent area for financial processing.

11) It is not uncommon for a night auditor to spend many hours looking for a small or large dollar amount to correct a discrepancy in the accounts. Because of the tedious effort required to resolve posting errors, front office managers must thoroughly train front office personnel to process guest charges and payments correctly.

B. Case Studies 1. Case Study 801 – This case study emphasizes the importance of preparing an initiating a training program for a. a property management system. Front desk clerks need b. initial training and practice in the elements of posting and c. the operation of the PMS system.

2. Case Study 802 – This case study encourages students to think about adjustments and how a policy should be developed to handle such situations. The PMS can easily handle the situation, but a policy must be developed to allow a certain financial range allowed for each cashier to credit a guest’s account.

3. Case Study 803 – This case study encourages students to understand the importance of a sound training program. Students will have to go back through the chapter and outline the concepts and prepare bullet points to include in a training program and how to present them to a trainee. This will strengthen the student’s understanding of the material.

VI.

Supplementary Student Activities to Enhance Active Learning Outside the Classroom A. Assign students the following project to assist them in gaining additional information on the topics presented in class: Go to the web sites http://www.hotel-online.com, http://www.hotelbusiness.com, http://www.hotelsmag.com/, http://www.google.com or http://www.yahoo.com and ask them to look for a recent article on any of the following topics and bring into class for “show and tell.”

1. Property Management Systems 2. Point-of-Sale systems

VII.

Supplementary Website Resources to Enhance Student Active Learning A. Any of the following websites are very good resources for students to gain exposure.

1. http://www.hotel-online.com 2. http://www.hotelbusiness.com 3. http://www.ahla.com An instructor may want to assign the student a particular website and ask students to list some features that they found useful.

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VIII.

Supplementary A/V Material Resources to Enhance Student Active Learning A. The following website of the Educational Institute of the American Hotel & Lodging Association provides a listing of videos and other educational material that may supplement the student’s active learning: http://www.ei-ahla.org/productshowcase.asp

IX.

Quiz Questions – Chapter 8 1. Assets are items that have contractual obligations a. True b. False 2. Which of the following items is considered as an asset to a hotel? a. guest charges b. fountain in lobby c. both A and B d. insurance payment 3. A debit is used to decrease a liability. a. True b. False 4. An example of a liability is a contract to pay for a mortgage on a hotel. a. True b. False 5. This form allows cash disbursement from the front desk clerk’s bank. a. transfer slip b. paid-out slip c. folio adjustment d. none of the above 6. Chef Louise needs 4 bottles of red wine for her special soup. She sends her assistant to the front desk for cash to pay for it. Which of the following forms will the front desk clerk have to complete? a. transfer slip b. paid-out slip c. folio adjustment d. none of the above 7. The front desk clerk has to post a check for the wedding of Mr. Jake’s daughter.

The desk clerk would post it to Mr. Jake’s city ledger account. a. True b. False

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8. Which of the following errors are common posting errors? a. transposing dollar amounts b. transferring charges to incorrect accounts c. using an incorrect folio d. all of the above 9. Eugene posted $10.91 for a breakfast charge as $10.19. This type of error is referred to as which of the following? a. transposing dollar amounts b. transferring charges to incorrect accounts c. using an incorrect folio d. all of the above 10. This type of ledger is a collection of folios of current guests in the hotel. a. city ledger b. reservation ledger c. guest ledger d. Face Book ledger 11. This type of ledger is a collection of folios of unregistered hotel guests who maintain accounts with the hotel. a. city ledger b. guest ledger c. LinkedIn d. hotel notebook Answers to Exam Questions – Chapter 8 1. B 2. C 3. A 4. A 5. B 6. B

7. A 8. D 9. A 10. C 11. A

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Chapter 9 – Guest Checkout I.

Instructor to Instructor Chat – This chapter reviews the procedures to process a guest check out. There are many details for a procedure that takes only moments to complete, but all of the details have to be properly executed. The concept of a guest history is introduced that ties the front office into the marketing and sales department’s marketing efforts.

II.

Opening Dilemma – This situation allows the student to be prepared to discover the many practical applications of the guest history data that can be garnered when using a checkout module of a PMS.

III.

Chapter Focus Points A. Organization of late charges to produce an accurate guest folio B. Procedures necessary to perform the guest checkout C. Transfer of guest accounts to the back office D. Checkout reports available with a property management system E. Guest histories

IV.

Classroom Presentations A. Organizing late charges to ensure accuracy 1. Review financial significance of assembling late guest charges (refer to Table 9-1) 2. Discuss POS/PMS interface with other departments that aid in accurate and complete processing of late charges B. Guest checkout procedure 1. Discuss inquiring about quality of products and services a. relay of problem areas to various departments 2. Discuss this important part of the checkout process a. Guest security b. Cost involved in replacement of hard keys 3. Retrieving and reviewing the electronic folio a. Procedure to retrieve electronic folio b. Importance of reviewing the electronic folio i. Room and tax for number of nights spent ii. Incidentals iii. Inquiry for late charges 4. Discuss empowerment concepts for staff members when guests question postings to their accounts 5. Discuss in-room guest checkout a. Procedure for the guest to use in-room guest checkout i. Guest views a final version of the folio on television set ii. Front office prepares a hard copy of folio and delivers it to guest’s room early in the morning

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iii. Credit card imprint made at time of registration is used to process charges iv. Refer to Figure 9-2, hotel guest reviewing folio on television screen in guest room 6. Discuss method of payment and collecting a. Credit cards i. Review various types of credit cards a) bank b) commercial c) intersell ii. Procedure to suggest tot the guest to use a certain credit card with a lower discount rate for the hotel iii. Procedure to process a credit card as listed in chapter b. Explain bill-to-account (direct billing) i. Concept of direct billing ii. Concept of house limit of credit iii. Procedure to process direct bill as listed in chapter c. Cash and personal checks i. Cash option is not favored a) No credit rating has been established ii. Procedures to process a cash payment and personal check as listed in text d. Traveler’s checks i. Tips on accepting traveler’s checks ii. Ask for proof of identification iii. Guest signs in presence of cashier iv. Compare signatures v. Check list of traveler’s check numbers which are non-negotiable vi. Procedure to process traveler’s checks are identical to cash method e. Debit cards i. Debit card is a card which authorizes the hotel to deduct money directly from the guest’s checking or banking account in payment of a bill ii. Float is a delay in payment that allows the guest to charge now and pay several days later.

7. Discuss assisting the guest with method of payment a. Money wire b. Establish as an option prior to the need of this option c. Phone number and address of nearest money wire center should be posted for front desk clerks’ reference d. Travelers Aid Society i. Establish as an option prior to the need of this option ii. Phone number and address of nearest Travelers Aid Society should be posted for front desk clerks’ reference

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e. Auto clubs i. Establish as an option prior to the need of this option ii. Phone number and address of nearest club should be posted for front desk clerk’s reference f. Explain international currency exchange i. Information site where daily international currency rate can be found ii. Wall Street Journal iii. Explain method used to convert international currency into native currency as listed in text iv. Demonstrate formulas v. Allow students compute examples 8. Discuss obtaining future reservations a. Follow procedure to follow in obtaining future reservations as listed in text b. Employee training program to learn this procedure c. Include incentive program for employee motivation 9. Discuss filing documents a. need to properly file paperwork (folios, transfers, paid-out slips, etc.) with regard for the night audit preparation 10. Discuss relaying of guest departures to other departments a. Importance of this communication process for effective operations of the hotel b. Housekeeping and front office communication via the PMS c. Guest departures, stayovers d. Room availability status e. Other details as they occur f. Food and beverage department, gift shop, and other departments and front office communications g. Guest’s checkout to prevent him or her from charging to folio; personal efforts of staff to make the communication system work 11. Discuss removing guest information from the system a. Define “sleeper” – rooms that appear to be occupied but are in reality vacant b. Financial implications c. Checkout in a PMS automatically deletes the guest from the database and the call accounting system 12. Discuss transfer of guest accounts to the back office a. Role of the back office in the accounting process i. Provides a billing service for bill-to-accounts ii. Monitors the accounts receivable process for credit card receivables and aging accounts iii. Allows for adjustments and transfers to guest accounts

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13. Discuss checkout reports available with a property management system a. Report options available with a PMS to monitor and track guest checkout i. Refer to Figure 9-3 (method of payment) ii. Refer to Figure 9-4 (room sales report) iii. Refer to Figure 9-5 (room status report) iv. Refer to Figure 9-6 (understay reservation report) 14. Discuss guest histories a. Define as guest histories – a marketing analyses of guests’ geographic and demographic information and guest activities during their stay. b. Components i. Obtained from reservation forms and registration cards ii. Business affiliation iii. Date of arrival iv. Date of departure v. Length of stay vi. Zip code vii. Telephone exchange viii. Method of arrival ix. Type of room and amenities requested c. Uses of guest history i. Zip code provides geographical indicators of people who have tried your products and services ii. Match with media used for advertising a) Demographics (age, sex, income, occupation, marital status, etc.) b) Psychographic (life style) c) Group sale contacts d) Corporate client needs for meeting space e) Origin of reservation from certain travel agents f) Origin of reservation from certain administrative assistants or secretaries g) Advertising methods used to obtain sales (refer to Figure 9-7) h) Frequency of visit (refer to Figure 9-8) i) Type of rooms frequently requested j) Acceptability of room rates k) Occupancy patterns for scheduling personnel 15. Tracking Social Media a. Discuss LinkedIn, Facebook, Twitter, and Flicker b. Opportunity to capture data of users’ email addresses and personal interests i. Provides advertising opportunity within certain occupational, sporting, or social segment

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16. Discuss Last Impressions of the Hotel a. Responsibility of front desk staff at departure c. Refer to Marriott International, Inc.’s At Your Service efforts at the front desk of Internet resources of local weather reports, information on airport shuttle, and prior downloading of a future guest’s email.

V.

Supplementary Student Materials to Enhance Active Learning Inside the Classroom A. Review the following inserts in Chapter 9 A. Frontline Realities – this scenario allows the student to understand the importance of a well-developed policy on 100% satisfactory guarantee that includes guest satisfaction, employee empowerment, and financial considerations for the hotel B. Frontline Realities – this frontline reality encourages students to see the practical aspect of a good training program for computing international currency C. International Highlights – this international highlight focuses upon the importance of delivering hospitality to international guests (international languages, cultural concerns, and international currency D. Solution to Opening Dilemma – this dilemma encourages the student to take a practical view of how the PMS guest history module will assist the marketing and sales department.

E. End of Chapter Questions 1) The guest may try to charge a late breakfast or phone call before this information is posted to the guest folio.

2) This is a quality control procedure on products and services that the guest has tried. Manages of various departments will want to use this information to improve operations or reward employees for a job well done.

3) The retrieval of a hard room key provides security for the next guest to enter the room. Keys (hard and plastic) that are not returned will have to be replaced at an expense to the hotel.

4) The guest who reviews the folio may see incidental charges that can be debated at the time of checkout as opposed to have them challenged with the back office staff at a later date.

5) Answers will vary but should focus upon the service this feature offers to the guest.

6) Guest may pay by credit card, cash, or bill-to-account. The discount rate offered by the various credit card issuing agencies to the hotel are not the same.

7) Bank cards, commercial cards, and intersell cards are typical types of credit cards. The advantage to the guest is that is gives them the luxury of float and not having to carry cash. The hotel likes a guest to pay by credit card because it assures the hotel the bill will be paid, establishes credit worthiness, and may induce impulse buying.

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8) The bill-to-account means the guest has established a line of credit with the hotel. The hidden costs involved are the processing fees and collection for nonpayment of accounts.

9) Cash does not insure that the guest will be able to pay beyond the credit limit set at registration.

10) A debit card looks like a credit card but when it is used it automatically deducts payment for the bill from the holders checking or savings account. With a credit card the holder can use float where payment is not required for several days or not until the next billing period.

11) Use information as listed in the chapter to process guest payment from credit cards, bill-to-accounts, cash, checks, and traveler’s checks.

12) The cashier should consult a local bank or the current edition of the Wall Street Journal for conversion rates of international currency. The cashier then divides $439 US by that exchange rate. The answer to that math procedure will tell the guest how many Canadian dollars are required to pay the bill at a US hotel.

13) Answers will vary but the instructor should restructure student’s response to determine why they feel awkward in doing this. If the student would be trained and incentive program were offered, would the student feel differently?

14) When the night auditor has to cross reference amounts, it will be necessary to have all like charges in order.

15) The housekeeping department will need to service rooms as soon as they are vacated. The food and beverage department will want to know the guests who have checked out so they do not accept additional charges from them.

16) Use formula in text: US $395/1.592 euro = 248 euro needed to pay hotel bill 17) Bill-to-accounts or folios charged to a credit card are the types of accounts that would be transferred to the back office for processing.

18) Review PMS report screens in chapter.

19) The guest history provides current information on the customers and the people and methods that have brought those customers to the hotel.

20) Facebook can supplement guest history tactics in a hotel by providing an opportunity to capture data of users’ email addresses and personal interests. Certain social segments may alert the marketing department to develop additional advertising opportunities.

B. Case Studies 1. Case Study 901 – This case study encourages understanding the importance of each desk clerk following the step-by-step process for checking out a guest. Students can review those steps in the chapter.

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The second part of this case study will force the student to take a look at what “to motivate” means in a job situation. Motivation can provide magic for acceptance and further implementation of any policy that is developed for streamlining operations and increasing financial success of the organization. A good front office manager will ask his or her desk clerks what concepts would motivate them to do the job.

2. Case Study 902 – This case study will encourage a good classroom discussion on what are the needs of the international guest and how the front desk clerks can meet those needs. Obvious concepts to discuss will include, but not be limited to the following. a. Language – common phraseology b. Currency – computing exchanges from one international currency to another c. Cultural issues – location of religious services, location of cultural organizations that will aid an international guest for a long-term visit, international requests for food, etc.

3. Case Study 903 – This case study will encourage a good classroom discussion. This case study will provide a fun challenge for students to apply concepts of guest history to something they know a lot about – social media concepts such as Facebook, LinkedIn, and/or Twitter. Ask them to develop niche markets for reservations.

VI.

Supplementary Student Activities to Enhance Active Learning Outside the Classroom A. Assign students the following project to assist them in gaining additional information on the topics presented in class: Go to the web site http://www.hotel-online.com, http://www.hotelbusiness.com, http://www.hotelsmag.com/, http://www.google.com or http://www.yahoo.com and ask them to look for a recent article on any of the following topics and bring into class for “show and tell.”

1. Checkout module of a PMS 2. Guest history module of a PMS 3. Traveler’s checks 4. Debit cards 5. VISA or MasterCard 6. JCB International 7. Credit card float 8. Travelers Aid Society 9. American Automobile Association 10. International Currency Exchange B. Ask students to check out the following website that will assist them in making international currency exchanges: http://www.exchangerate.com/quick_calculator.html?amount_from=1.00&cal c_short_from_iso=USD&calc_short_to_iso=DEM&Submit=Convert

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VII.

Supplementary Website Resources to Enhance Student Active Learning A. Any of the following websites are very good resources for students to gain exposure.

1. http://www.hotel-online.com 2. http://www.hotelbusiness.com 3. http://www.ahla.com An instructor may want to assign the student a particular website and ask students to list some features that they found useful.

VIII.

Supplementary A/V Material Resources to Enhance Student Active Learning A. The following website of the Educational Institute of the American Hotel & Lodging Association provides a listing of videos and other educational material that may supplement the student’s active learning: http://www.ei-ahla.org/productshowcase.asp

IX.

Quiz Questions – Chapter 9 1. Late guest charges feature which of the following? a. can be controlled by a good communication system between departments b. can become quite a large amount of loss to the hotel over time c. result as a failure to be posted in time of the guest’s checkout d. all of the above e. result as a failure to be posted in time of the guest’s checkin 2. The objective of the checkout process is to check the guest out as quickly and efficiently as possible. a. True b. False 3. It is advised not to inquire about quality of products and services at check out because it holds up the line. After all who wants to handle complaints anyway? a. True b. False 4. The room key is to be retrieved from the guest because of which of the following concerns. a. the hotel will incur costs to replace unreturned keys. b. the security of the next guest is in jeopardy if it is not returned c. both A and B d. the hotel will lose points with the credit card issuing agency e. the guest will need to get back into the room later 5. Review of the folio at checkout will help the accounting process as well as customer service. a. True b. False

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6. In-room guest checkout is a novelty and does not provide any benefits to the hotel. a. True b. False 7. Front office managers should review the discount rates on various credit cards because of which of the following reason(s)? a. some credit card issuing agencies will offer a lower discount rate and thus provide more net income for the hotel. b. front office managers will find there is no major effect on the net income to the hotel c. guests use credit card float to their advantage d. none of the above 8. Debit cards are becoming more popular because they operate on the concept of float – delay in payment of a bill. a. True b. False 9. Future reservations at checkout result from which of the following reasons? a. the need to increase business b. an favorable experience for the guest c. a last resort when the marketing and sales office cannot find additional business sources d. a trendy, but not practical concept e. a program where training and incentives are included 10. Other departments that need to know if a guest has checkout are housekeeping and food and beverage. a. True b. False 11. Sleepers are characterized by which of the following? a. guests who sleep late b. rooms that look like they are occupied but are really vacant c. difficult to monitor d. a service to the guest e. all of the above 12. Guest histories are characterized by which of the following? a. an essential review of the data generated by the guest stay b. provide the marketing and sales office with information for choice of advertising methods c. include information on zip code d. obtained from the registration cards and reservation forms e. all of the above

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13. The current international exchange rate for Canadian dollars is $1.00 Canadian to a. $.85 US and a guest wants to pay a $600 US hotel bill in Canadian dollars. b. Determine the amount of Canadian dollars a cashier should collect. c. $705.88 Canadian d. $600.00 Canadian e. $105.88 Canadian f. answer can’t be computed with information provided Answers to Exam Questions – Chapter 9 1.

2.

3.

4.

5.

6.

7.

D A B C A B A

8. B 9. E 10. A 11. B 12. E 13. A

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Chapter 10 – Preparation and Review of the Night Audit I.

Instructor to Instructor Chat – This chapter allows the student to have a upclose and personal look at the night audit. This document has become a mainstay control feature of the hotel industry and students can become familiar with its use by knowing how it is produced. The night audit process is detailed and insights into the daily flash report and reading the night audit are offered.

II.

Opening Dilemma – This situation alerts student to the bullet points required to prepare a training outline for a night auditor.

III.

Chapter Focus Points A. Importance of the night audit B. Night audit process C. The daily flash report D. Reading the night audit

IV.

Classroom Presentations A. Importance of the night audit 1. Define night audit as the control process whereby the financial activity of guests’ accounts are maintained and balanced 2. Stress the night audit will provide the necessary objective overview to evaluate the hotel’s financial activity a. Ability to monitor hotel revenues b. Effect of marketing plans on related goals c. Provides day to day monitoring, not just end of period review B. Role of the night auditor 1. Discuss duties of the night auditor a. Checking in late check-ins b. Checking out early check outs d. Processing reservations e. Performing the duties of security guard f. Monitoring fire safety systems g. Performing cashier duties for banquet functions h. Acting as manager on duty C. The night audit process 1. Define the night audit process as a series of financial checks and balances that need to be performed on the various departments and front office staff 2. Review the process to post room and tax charges 3. Discuss of assembling guest charges and payments 4. Discuss the importance of reconciling departmental financial activities a. Importance of this process as a necessity to insure that all posted guest charges and reported departmental balance b. Origin of departmental balances c. Review Figure 10-2 – Departmental Totals d. Review Figure 10-3 – Cashier Report 80

5. Review procedure to reconcile account receivable a. City Ledger is an accounts receivable - a collection of guest accounts of persons who are not registered with the hotel b. Contents of accounts receivable i. Direct billings ii. Master credit card accounts (Visa, MasterCard, JCB) c. Verification of these totals against departmental i. Totals 6. Explain the trial balance a. Define the trial balance as the first step in determining if posted guest charges and reported departmental charges balance b. Figure 10-4 – Trial Balance c. Importance of training front desk clerks in the posting process 7. Explain the preparation of the night audit report a. Goal of preparing the night audit is to provide financial feedback for an immediate opportunity for managers to react and respond to variances as well as accurate guest folios and accurate city ledger folios b. Review importance of departmental totals d. Introduce concept of bank deposit. e. Review concept of accounts receivable f. Review cashier’s report g. Define manager’s report as a listing of occupancy 8. Statistics from the previous day, such as occupancy 9. percentage, yield percentage, average daily rate, RevPAR, and number of guests 10. Review formulas for balancing the night audit report. a. Guest Ledger b. City Ledger c. Bank Deposit 11. Explain components as well as origination of figures found in Figure 10-5 – Night Audit Report a. Note and explain columns titled actual, budget, and goal b. Room and tax – this figure originates as a total of posted daily guest room charges; it is a cumulative total from the PMS room total feature c. Total restaurant sales and sales tax – the origin of this total is by meal period in the various food outlets in the hotel. The dollar figure can be verified against the daily sales reports with accompanying cash register tapes or point-of-sale audit trail tapes from each of the food outlets. The corresponding tax total is obtained by the sales tax figure on the daily sales reports d. Tips for restaurant, room service, banquet, and lounge employees – the origin of this figure is service fees paid to food and beverage employees.

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e. The dollar figure can be verified against paid out slips (tips paid immediately to service employees from the desk clerk’s cash drawer) and room service guest checks and credit card vouchers (charged tips) f. Room service – the origin of this figure is a total of sales by meal period for room service. The dollar figure can be verified against the daily sales reports with accompanying cash register tapes or point-ofsale audit trail tapes from the room service food facility outlet. This figure is reported separately from restaurant sales to reflect marketing and merchandising campaigns. g. Banquet sales – the origin of this figure is a total of guest checks that tally the individual banquet charges per meal category. The completeness of the total reported can be checked against daily function sheet. The dollar figure can be verified against the daily sales report of the banquet department. This figure is used to evaluate the effectiveness of the food and beverage manager in controlling relate expenses. It is also used to evaluate the effectiveness of the director of marketing and sales in generating business. Finally it is used to indicate cash flow. h. Banquet Bar and Total Lounge Sales – the origin of this figure is from the point-of-sale cash registers in these areas. The dollar figure can be verified against the daily sales report and cash register tapes or audit trail tapes. This figure is used to determine how well cost control efforts have been maintained in this department. It is also used to determine the success of certain marketing and merchandising campaigns. i. Room Rental – this figure originates from meeting and function room rentals. The night auditor can verify the completeness of total rentals by cross-referencing the function sheet listings. The dollar figure is verified against the room rental departmental daily report. This figure is used to determine if room rentals have been maximized during slow banquet sales by the marketing and sales department. j. Valet – this figure must be closely monitored because the hotel pays cash to the off-premises dry cleaner of laundry service when clothing is returned. This total represents costs plus mark-up posted to guest folios from transfers. The dollar figure can be verified against the valet or dry cleaning/laundry journal. k. Telephone Charges – the origin of this figure is from telephone charges reported for local and long distance telephone calls that have been posted to the guest account through the PMS interface with the call accounting system. The dollar figure can be verified against the telephone charges printout received through the call accounting system. This figure allows management to determine the profitability of this service.

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l. Gift Shop Sales and Tax – the origin of this figure represents sales and tax from this department. The dollar figure can be verified from the gift shop daily sales report and cash register tapes or point-of-sale audit tapes. Management uses this information to examine profitability of this area and to predict cash flow. m. Vending – the origin of this figure is from sales from various vending machines in the hotel. The dollar figure can be verified from the departmental vending daily report. Management compares inventory usage with cash collected to monitor the integrity of cash collection and reporting activities. n. Spa – the origin of this figure is sales posted to guest folios and cash sales in that department. The dollar figure can be verified from the departmental spa daily report and vouchers posted to the guest folios.

Management needs this information to examine profitability of this area, to predict cash flow, and to determine the effectiveness of marketing and merchandising campaigns. o. Parking – the origin of this figure comes from sales received in cash, business checks, debit cards, credit cards, and transfers for guest parking. The dollar figure can be verified from departmental parking garage daily report and transfer slips posted to guest folios, parking tickets, cash register tapes, and monthly parking permit renewals that accompany the daily report. p. Total Revenue and Total Write-offs – these figures represent all the cash and charge transactions for the day that reflect all the previously reported figures. Management will compare the actual and budgeted figures to determine how well operations have met financial goals. q. Cash Sales and Accounts Receivable Balance i. Explain the Cash Sales figure. ii. Explain the Charge Sales figure. iii. Explain the Accounts Receivable Balance r. Credit Cards and Cash Applied to Accounts Receivable – these figures represent payments that have been received for application toward outstanding accounts receivable (credit card companies, direct billing accounts, and city ledger accounts). Management monitors this figure to determine cash flow. s. Analysis of Accounts Receivable – These figures are maintained to determine the source of the account receivable. Various sources will allow the controller to monitor cash flow. The controller will be able to determine the effects of various discount rates on the profit and loss statement. The controller will also use this information to age accounts. t. Bank Deposit and Amount Transferred to Accounts Receivable – The total bank deposit figure represents cash, Visa, MasterCard, and JCB. The analysis of bank deposit provides sources of bank deposit (cash sales, credit cards and cash from accounts receivable). The total bank deposit figure must match the total cash sales plus the cash received

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and applied to outstanding accounts receivable (cash received on accounts receivable minus total paid-outs). The total of actual cash and credit card payments received (from the cashier’s report) will match the total bank deposit figure. The amount transferred to accounts figure will match today’s outstanding accounts receivable (today’s outstanding accounts receivable). u. Cashier’s Report – This figure provides a cumulative total of the cash, credit card vouchers, and checks from credit card companies (from outstanding accounts receivable). This is the amount of cash the desk clerk or cashier is responsible to produce in the deposit. It provides differences between actual and machine total. v. Operating Statistics – these figures provide a quick summary of the activities of the day and the success in meeting financial budget targets. Management will be able to take quick action to catch unprofitable trends. i. Rooms Available – these are the number of rooms in the hotel which were operable for sale; if a room was out of order because of redecorating, plumbing, etc., then it is not to be included in this figure; sometimes students think if a room was occupied by a stayover, it was not available for sale. ii. Rooms sold, rooms Vacant, and Rooms Out-Of-Order – these numbers are cross-referenced by assessing the Housekeepers Module (refer to Figure 10-6). iii. Rooms Comp – this figure is reflected in the guest registration card and folios. iv. Occupancy Percentage – this figure is determined by dividing the number of rooms sold by the number of rooms available and then multiplying that figure by 100 (Refer to Figure 10-7). v. Double occupancy percentage – this figure is determined by dividing the number of guests minus the number of rooms sold by the number of rooms sold, then multiplying that figure by 100 (Refer to Figure 10-7). vi. Yield Percentage – this figure is determined by multiplying the number of rooms sold by ADR and dividing that figure by the number of rooms available times the rack rate and multiplying that figure by 100. (Refer to Figure 10-7). vii. RevPAR – this figure is determined by multiplying the times occupancy percentage by the average daily rate. (Refer to Figure 10-7). viii. Room Income – this figure is obtained from the total room rate postings. ix. Number of Guests – this figure corresponds to the registration module. x. Average Daily Rate – this figure is computed by dividing the room income by the number of rooms sold. (Refer to Figure 10-7).

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xi. No-shows – this figure is complied by tallying the number of reservations with a confirmed status that did not show; guaranteed reservations are not included in this figure.

D. Daily Flash Report 1. Define as a PMS listing of departmental totals by day, period to date, and year to date, is useful to general managers and department managers and supervisors to indicate how successful a department managers was the previous day in achieving sales. (Refer to Figure 10-8.)

2. Discuss revenue types – major source of income 3. Discuss selected departmental totals – such as food & beverage on a daily basis 3. Discuss importance of occupancy totals – provides feedback on the effectiveness of advertising in influencing patronage to the hotel E. Reading Night Audit 1. Go over each of the concepts as described in the text and elaborate the importance of each item in hotel operations a. Room sales r. Today’s outstanding b. Restaurant sales accounts receivable c. Room service s. Total revenue d. Banquet sales t. Yesterday’s e. Banquet bar sales outstanding accounts f. Room rental receivable g. Lounge sales u. Total outstanding h. Valet accounts receivable i. Telephone v. Credit card received j. Gift shop accounts receivable k. Vending w. Cash received l. Spa accounts receivable m. Parking x. Balance accounts n. Total paid-outs receivable i. Total discounts y. analysis of bank o. total write-offs deposit p. Total paid-out and z. Bank deposit Noncollect Sales aa. Cashier’s report q. Total cash sales bb. Analysis cash report cc. Manager’s report V.

Supplementary Student Materials to Enhance Active Learning Inside the Classroom A. Review the following inserts in Chapter 10 1. Frontline Realities – this scenario encourages the student to start to think of possibilities of where an error can occur from posting and how to trace it.

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2. Frontline Realities – this frontline asks students to review the steps in completing the night audit.

3. Frontline Realities – this provides the opportunity for a student to realize how important it is to know the basics of the night audit just how to operate an electronic machine to complete it. It will also give them an opportunity to understand the night audit and become better hotel managers.

4. Solution to Opening Dilemma – A training outline for a night auditor should include the following concepts. a. Posting room and tax charges b. Assembling guest charges and payments c. Reconciling departmental financial activities d. Reconciling the accounts receivable e. Running the trial balance f. Preparing the night audit report B. End of Chapter Questions 1) The hotel needs to balance its financial transactions each day because guests checkout of the hotel at any time and guests who are not registered in the hotel want access to their folio at any time.

2) The night audit is the control process whereby the financial activity of guests’ accounts is maintained and balanced. The following steps are involved. a. Posting room and tax charges b. Assembling guest charges and payments c. Reconciling departmental financial activities d. Reconciling the accounts receivable e. Running the trial balance f. Preparing the night audit report 3) The manager’s report is a listing of occupancy statistics from the previous day, such as occupancy percentage, yield percentage, average daily rate, RevPAR, and number of guests. Occupancy percentage indicates the success of the marketing and sales office in selling rooms. Yield percentage indicates the percentage of income that could be secured if 100 percent of available rooms were sold at their full rack rate. Average daily rate is a measure of the hotel staff's efforts in selling available room rates.

RevPAR asks the question “How many dollars is each room producing?” because of a lower rate, attractive amenities, or other reasons, then the hotel's administration may want to duplicate those sales to similar markets.

4) The night audit must be prepared systematically because each step relies upon the next in providing data for the next step.

5) A trial balance is a first run on a set of debits to determine their accuracy compared to a corresponding set of credits. The trial balance helps the night auditor focus on accounts in which charges may have been posted or reported incorrectly.

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6) The accounts receivable is an ongoing listing of outstanding amounts owed to the hotel and are usually quite a large sum of money. They include deposits for receptions, advance deposits on rooms, and other deposits on future events.

7) The night audit is very important in providing control feedback for the general manager and his or her department heads and their supervisors.

This information revealed in the Manager’s Report and Flash Report allow immediate opportunity to remedy a food cost, beverage cost, labor cost, or low room sales situation.

8) Review the “Restaurant Sales” individual meal periods to determine if the restaurant managers met their sales goals a. Review “Total Paid-Outs” to determine what amount of money was paid out on behalf of the food and beverage department on the previous day for miscellaneous sales to the grocery store. b. Review the “today’s outstanding accounts receivable” to determine the amount charged by guests on their folio from all departments. The (Today’s) and (Yesterday’s) Outstanding Accounting Receivable makes-up the Total Outstanding Accounts Receivable.

9) There are various sources of the Accounts Receivable – city ledger, direct billing, and credit cards. Also, these balances have to be aged for collection purposes.

10) The cash, credit card voucher, and charges received during the business day from cash, charge, and accounts receivable transactions must be deposited in the hotel’s bank accounts or transferred to the hotel’s internal accounts receivable. The night auditor provides a summary of the components of the bank deposit because all of this goes through the front desk clerks’ cash drawers – total bank deposit. a. The amount transferred to accounts receivable corresponds to today’s outstanding accounts receivable.

11) The front office manager controls the cash in the front office by using a Cashier’s Report which reviews the amount of cash, credit cards, and vouchers, and checks variances against daily departmental daily reports from PMS and point-of-sale systems.

12) The operating statistics review the hotel’s success in meeting financial budget targets; hotel general managers and their supervisors rely on them as operational feedback mechanisms and historical data.

13) Refer to Figure 10-7 for operating statistics formulas.

14) Refer to Figure 10-7 for formula to determine Yield. Yield is very important to the general manager because it is the percentage of income that could be secured if 100 percent of available rooms were sold at their full rack rate.

15) Refer to Figure 10-7 for formula to determine RevPAR. 16) The Daily Flash Report assists general manager, front desk manager, and food and beverage manager in that it point out how successful the department manager was the previous day in achieving sales. Refer to Figure 10-8.

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C. Case Studies 1. Case Study 1001 – Times Hotel Case 1001- Times Hotel Night Audit - Proof

Date _____________ $ Actual

$Budget

ROOM TAX

$4,500.00 $450.00

$7,500.00 $750.00

60.00% 60.00%

Restaurant #1 Restaurant #2 Restaurant #3 TOTAL RST SALES SALES TAX

$299.57 $500.00 $1,200.00 $1,999.57 $99.98

$825.00 $1,500.00 $1,500.00 $3,825.00 $191.25

36.31% 33.33% 80.00% 52.28% 52.28%

Rest Tip #1 Rest Tip #2 Rest Tip #3 TOTAL RST TIP

$44.94 $75.00 $180.00 $299.94

$123.75 $225.00 $225.00 $573.75

36.31% 33.33% 80.00% 52.28%

Room Srv #1 Room Srv #2 Room Srv #3 TOTAL ROOM SRV SALES TAX

$45.00 $200.00 $135.95 $380.95 $19.05

$350.00 $300.00 $250.00 $900.00 $45.00

12.86% 66.67% 54.38% 42.33% 42.33%

Room Srv #1 Tip Room Srv #2 Tip Room Srv #3 Tip TOTAL ROOM SRV TIPS

$9.00 $40.00 $27.19 $76.19

$70.00 $60.00 $50.00 $180.00

12.86% 66.67% 54.38% 42.33%

$0.00 $675.00 $3,021.45 $3,696.45

$350.00 $500.00 $6,500.00 $7,350.00

0.00% 135.00% 46.48% 50.29%

Banq Bkfst Tip Banq Lunch Tip Banq Dinner Tip TOTAL BANQ TIP

$0.00 $121.50 $543.86 $665.36

$63.00 $90.00 $1,170.00 $1,323.00

0.00% 135.00% 46.48% 50.29%

Banq Bar Lunch Banq Bar Dinner TOTAL BANQ BAR

$85.00 $587.25 $672.25

$200.00 $400.00 $600.00

42.50% 146.81% 112.04%

Banq Bkfst Banq Lunch Banq Dinner TOTAL BANQ

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Goal %

ROOM RENTAL

$100.00

$250.00

40.00%

Lounge #1 Lounge #2 Lounge #3 Lounge #4 TOTAL LOUNGE SALES

$165.00 $346.75 $295.00 $420.00 $1,226.75

$85.00 $950.00 $450.00 $575.00 $2,060.00

194.12% 36.50% 65.56% 73.04% 59.55%

Lounge Tip #1 Lounge Tip #2 Lounge Tip #3 Lounge Tip #4 TOTAL LOUNGE TIPS

$16.50 $34.68 $29.50 $42.00 $122.68

$8.50 $95.00 $45.00 $57.50 $206.00

194.12% 36.50% 65.56% 73.04% 59.55%

VALET

$45.00

$250.00

18.00%

Tele Local Tele Long Dist TOTAL PHONE

$125.00 $87.90 $212.90

$125.00 $300.00 $425.00

100.00% 29.30% 50.09%

GIFT SHOP GIFT SHOP SALES TAX

$150.68 $7.53

$350.00 $17.50

43.05% 43.05%

VENDING

$86.25

$100.00

86.25%

SPA

$211.00

$500.00

42.20%

PARKING

$397.50

$350.00

113.57%

TOTAL REVENUE

$15,420.02

$27,746.50

55.57%

Less Paidouts valet tips TOTAL PAIDOUTS

$85.00 $0.00 $85.00

Less Discounts room food TOTAL DISCOUNTS

$0.00 $15.00 $15.00

Less Write-offs rooms food TOTAL WRITE-OFFS

$0.00 $122.89 $122.89

Total Paid Out and Noncollect Sales

$222.89

Total Cash Sales

$2,906.98

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Today's Outstd A/R

$12,513.04

Total Revenue

$15,642.91

Yesterday's Outstd A/R

$43,900.11

TOTAL OUTSTD A/R

$56,413.15

CREDIT CARD REC'D A/R

$7,034.76

CASH REC'D A/R

$2,098.63

BAL A/R

$47,279.76

ANALYSIS OF A/R City Leger Direct Bill Visa M/C JCB Total A/R

$3,078.00 $5,901.00 $15,623.01 $15,540.45 $7,137.30 $47,279.76

BANK DEPOSIT

$75,000.00

63.04%

ANALYSIS OF BANK DEPOSIT

Cash Visa M/C JCB

$5,005.61 $3,532.98 $1,656.69 $1,845.09

TTL BANK DEP

$12,040.37

AMT TR A/R

$12,513.04

Total Cash Sales Credit Card Rec'd A/R Cash Rec'd A/R

$2,906.98 $7,034.76 $2,098.63

$12,040.37

Cashier's Report

POS Amount

Actual Amount

Difference

Shift #1 Cash Cr Cd TOTAL #1

$3,754.21 $5,276.07 $9,030.28

$3,755.21 $5,276.07 $9,031.28

-$1.00 $0.00 -$1.00

Shift #2 Cash Cr Cd TOTAL #2

$1,001.12 $1,406.95 $2,408.07

$1,002.50 $1,406.95 $2,409.45

-$1.38 $0.00 -$1.38

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Shift #3 Cash Cr Cd TOTAL #3

$250.28 $351.74 $602.02

$250.28 $351.74 $602.02

$0.00 $0.00 $0.00

TOTALS

12040.37

12042.75

-2.38

Analysis Cash Report Cash Sls Crd A/R Cash A/R

$2,906.98 $7,034.76 $2,098.63

TOTAL

$12,040.37

Manager's Report Actual ROOMS AVAIL ROOMS SOLD ROOMS VAC ROOMS O-O-O ROOMS COMPS OCC% DBL OCC % YIELD % REVPAR ROOM INC NO.GUESTS AV.RATE RACK RATE NO-SHOWS

125 60 65 0 0 48.00% 55.00% 45.00% $36.00 $4,500.00 93 $75.00 $80.00 1

Budget 125 85 40 0 0 68.00% 11.76% 75.00% $60.00 $7,500.00 95 $88.24 $80.00 1

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Difference 0 25 -25 0 0 20.00% -43.24% 30.00% $24.00 $3,000.00 2 $13.24 $0.00 0

2. Case Study 1002 – Barrington Hotel Case 1002 - Barrington Hotel Night Audit - Proof

Date _____________ $ Actual

$Budget

ROOM TAX

$6,500.00 $650.00

$8,200.00 $820.00

79.27% 79.27%

Restaurant #1 Restaurant #2 Restaurant #3 TOTAL RST SALES SALES TAX

$500.00 $650.00 $1,905.00 $3,055.00 $152.75

$475.00 $755.00 $2,100.00 $3,330.00 $166.50

105.26% 86.09% 90.71% 91.74% 91.74%

Rest Tip #1 Rest Tip #2 Rest Tip #3 TOTAL RST TIP

$75.00 $97.50 $285.75 $458.25

$71.25 $113.25 $315.00 $499.50

105.26% 86.09% 90.71% 91.74%

Room Srv #1 Room Srv #2 Room Srv #3 TOTAL ROOM SRV SALES TAX

$235.00 $120.00 $458.00 $813.00 $40.65

$300.00 $250.00 $700.00 $1,250.00 $62.50

78.33% 48.00% 65.43% 65.04% 65.04%

Room Srv #1 Tip Room Srv #2 Tip Room Srv #3 Tip TOTAL ROOM SRV TIPS

$47.00 $24.00 $91.60 $162.60

$60.00 $50.00 $140.00 $250.00

78.33% 48.00% 65.43% 65.04%

Banq Bkfst Banq Lunch Banq Dinner TOTAL BANQ

$579.00 $2,458.00 $5,091.00 $8,128.00

$250.00 $3,500.00 $7,250.00 $11,000.00

231.60% 70.23% 70.22% 73.89%

Banq Bkfst Tip Banq Lunch Tip Banq Dinner Tip TOTAL BANQ TIP

$104.22 $442.44 $916.38 $1,463.04

$45.00 $630.00 $1,305.00 $1,980.00

231.60% 70.23% 70.22% 73.89%

Banq Bar Lunch Banq Bar Dinner TOTAL BANQ BAR

$326.00 $2,987.50 $3,313.50

$450.00 $3,950.00 $4,400.00

72.44% 75.63% 75.31%

ROOM RENTAL

$725.00

$1,000.00

72.50%

Lounge #1

$350.00

$400.00

87.50%

92

Goal %

Lounge #2 Lounge #3 Lounge #4 TOTAL LOUNGE SALES

$2,104.00 $581.00 $695.50 $3,730.50

$2,000.00 $675.00 $850.00 $3,925.00

105.20% 86.07% 81.82% 95.04%

Lounge Tip #1 Lounge Tip #2 Lounge Tip #3 Lounge Tip #4 TOTAL LOUNGE TIPS

$35.00 $210.40 $58.10 $69.55

$40.00 $200.00 $67.50 $85.00

87.50% 105.20% 86.07% 81.82%

$373.05

$392.50

95.04%

VALET

$210.00

$350.00

60.00%

Tele Local Tele Long Dist TOTAL PHONE

$68.00 $201.00 $269.00

$125.00 $300.00 $425.00

54.40% 67.00% 63.29%

GIFT SHOP GIFT SHOP SALES TAX

$277.00 $13.85

$450.00 $22.50

61.56% 61.56%

VENDING

$121.00

$100.00

121.00%

SPA

$293.00

$500.00

58.60%

PARKING

$417.00

$350.00

119.14%

TOTAL REVENUE

$31,166.19

$39,473.50

78.95%

Less Paidouts valet tips TOTAL PAIDOUTS

$132.00 $0.00 $132.00

Less Discounts room food TOTAL DISCOUNTS

$0.00 $32.00 $32.00

Less Write-offs rooms food TOTAL WRITE-OFFS

$0.00 $87.97 $87.97

Total Paid Out and Noncollect Sales

$251.97

Total Cash Sales

$2,906.98

Today's Outstd A/R

$28,259.21

Total Revenue

$31,418.16

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Yesterday's Outstd A/R

$57,880.11

TOTAL OUTSTD A/R

$86,139.32

CREDIT CARD REC'D A/R

$12,091.50

CASH REC'D A/R

$3,522.65

BAL A/R

$70,525.17

ANALYSIS OF A/R City Leger Direct Bill Visa M/C JCB Total A/R

$13,278.00 $15,999.00 $25,623.01 $11,487.34 $4,137.82 $70,525.17

BANK DEPOSIT

$80,000.00

88.16%

ANALYSIS OF BANK DEPOSIT

Cash Visa M/C JCB

$6,429.63 $7,509.34 $2,828.00 $1,754.16

TTL BANK DEP

$18,521.13

AMT TR A/R

$28,259.21

Total Cash Sales Credit Card Rec'd A/R Cash Rec'd A/R

$2,906.98 $12,091.50 $3,522.65

$18,521.13

Cashier's Report

POS Amount

Actual Amount

Difference

Shift #1 Cash Cr Cd TOTAL #1

$4,822.22 $9,068.63 $13,890.85

$4,822.50 $9,068.63 $13,891.13

-$0.28 $0.00 -$0.28

Shift #2 Cash Cr Cd TOTAL #2

$1,285.93 $2,418.30 $3,704.23

$1,286.00 $2,418.30 $3,704.30

-$0.07 $0.00 -$0.07

Shift #3

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Cash Cr Cd TOTAL #3

TOTALS

$321.48 $604.58 $926.06

$321.48 $604.58 $926.06

$0.00 $0.00 $0.00

$18,521.13

$18,521.49

-0.36

Analysis Cash Report Cash Sls Crd A/R Cash A/R

$2,906.98 $12,091.50 $3,522.65

TOTAL

$18,521.13

Manager's Report Actual ROOMS AVAIL ROOMS SOLD ROOMS VAC ROOMS O-O-O ROOMS COMPS OCC% DBL OCC % YIELD % REVPAR ROOM INC ROOM TAX NO.GUESTS AV.RATE RACK RATE NO-SHOWS

143 92 51 0 0 64.34% 8.70% 47.85% $45.45 $6,500.00 $650.00 100 $70.65 $95.00 2

Budget 143 112 31 0 0 78.32% 42.86% 60.36% $57.34 $8,200.00 $820.00 160 $73.21 $95.00 1

Difference 0 20 -20 0 0 13.99% 34.16% 12.51% $11.89 $1,700.00 $170.00 60 $2.56 $0.00 -1

3. Case Study 1003 – Canton Hotel Case 1002 - Canton Hotel Night Audit - Proof

ROOM TAX Restaurant #1

Date _____________ $ Actual

$Budget

$10,500.00 $1,050.00

$11,200.00 $1,120.00

93.75% 93.75%

$850.00

$650.00

130.77%

95

Goal %

Restaurant #2 Restaurant #3 TOTAL RST SALES SALES TAX

$1,034.00 $2,896.00 $4,780.00 $239.00

$1,200.00 $3,200.00 $5,050.00 $252.50

86.17% 90.50% 94.65% 94.65%

$127.50 $155.10 $434.40 $717.00

$97.50 $180.00 $480.00 $757.50

130.77% 86.17% 90.50% 94.65%

$456.87 $355.00 $760.75 $1,572.62 $78.63

$500.00 $450.00 $1,000.00 $1,950.00 $97.50

91.37% 78.89% 76.08% 80.65% 80.65%

$91.37 $71.00 $152.15 $314.52

$100.00 $90.00 $200.00 $390.00

91.37% 78.89% 76.08% 80.65%

Banq Bkfst Banq Lunch Banq Dinner TOTAL BANQ

$890.00 $1,785.71 $4,951.76 $7,627.47

$450.00 $2,500.00 $7,500.00 $10,450.00

197.78% 71.43% 66.02% 72.99%

Banq Bkfst Tip Banq Lunch Tip Banq Dinner Tip TOTAL BANQ TIP

$160.20 $321.43 $891.32 $1,372.94

$81.00 $450.00 $1,350.00 $1,881.00

197.78% 71.43% 66.02% 72.99%

Banq Bar Lunch Banq Bar Dinner TOTAL BANQ BAR

$508.75 $1,907.25 $2,416.00

$350.00 $2,500.00 $2,850.00

145.36% 76.29% 84.77%

ROOM RENTAL

$2,000.00

$500.00

400.00%

Lounge #1 Lounge #2 Lounge #3 Lounge #4 TOTAL LOUNGE SALES

$495.00 $2,951.50 $724.75 $805.00 $4,976.25

$500.00 $3,500.00 $450.00 $750.00 $5,200.00

99.00% 84.33% 161.06% 107.33% 95.70%

Lounge Tip #1 Lounge Tip #2 Lounge Tip #3 Lounge Tip #4 TOTAL LOUNGE TIPS

$49.50 $295.15 $72.48 $80.50

$50.00 $350.00 $45.00 $75.00

99.00% 84.33% 161.06% 107.33%

$497.63

$520.00

95.70%

VALET

$350.00

$400.00

87.50%

Rest Tip #1 Rest Tip #2 Rest Tip #3 TOTAL RST TIP Room Srv #1 Room Srv #2 Room Srv #3 TOTAL ROOM SRV SALES TAX Room Srv #1 Tip Room Srv #2 Tip Room Srv #3 Tip TOTAL ROOM SRV TIPS

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Tele Local Tele Long Dist TOTAL PHONE

$85.00 $241.00 $326.00

$150.00 $350.00 $500.00

56.67% 68.86% 65.20%

GIFT SHOP GIFT SHOP SALES TAX

$650.00 $32.50

$500.00 $25.00

130.00% 130.00%

VENDING

$190.00

$250.00

76.00%

SPA

$293.00

$650.00

45.08%

PARKING

$627.00

$750.00

83.60%

TOTAL REVENUE

$40,610.56

$45,293.50

89.66%

Less Paidouts valet tips TOTAL PAIDOUTS

$256.00 $0.00 $256.00

Less Discounts room food TOTAL DISCOUNTS

$85.00 $46.95 $131.95

Less Write-offs rooms food TOTAL WRITE-OFFS

$0.00 $0.00 $0.00

$90,000.00

81.15%

Total Paid Out and Noncollect Sales

$387.95

Total Cash Sales

$3,759.32

Today's Outstd A/R

$36,851.24

Total Revenue

$40,998.51

Yesterday's Outstd A/R

$64,258.18

TOTAL OUTSTD A/R

$101,109.42

CREDIT CARD REC'D A/R

$22,681.15

CASH REC'D A/R

$5,390.97

BAL A/R

$73,037.30

ANALYSIS OF A/R

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City Leger Direct Bill Visa M/C JCB Total A/R

$14,671.05 $12,784.09 $29,712.01 $10,254.81 $5,615.34 $73,037.30

BANK DEPOSIT

ANALYSIS OF BANK DEPOSIT

Cash Visa M/C JCB

$9,150.29 $15,685.26 $4,230.88 $2,765.01

TTL BANK DEP

$31,831.44

AMT TR A/R

$36,851.24

Total Cash Sales Credit Card Rec'd A/R Cash Rec'd A/R

$3,759.32 $22,681.15 $5,390.97

$31,831.44

Cashier's Report

POS Amount

Actual Amount

Difference

Shift #1 Cash Cr Cd TOTAL #1

$6,862.72 $17,010.86 $23,873.58

$6,861.05 $17,010.86 $23,871.91

$1.67 $0.00 $1.67

Shift #2 Cash Cr Cd TOTAL #2

$1,830.06 $4,536.23 $6,366.29

$1,829.83 $4,536.23 $6,366.06

$0.23 $0.00 $0.23

Shift #3 Cash Cr Cd TOTAL #3

$457.51 $1,134.06 $1,591.57

$457.51 $1,134.06 $1,591.57

$0.00 $0.00 $0.00

TOTALS

$31,831.44

$31,829.54

$1.90

Analysis Cash Report Cash Sls Crd A/R Cash A/R

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$3,759.32 $22,681.15 $5,390.97

TOTAL

$31,831.44

Manager's Report Actual ROOMS AVAIL ROOMS SOLD ROOMS VAC ROOMS O-O-O ROOMS COMPS OCC% DBL OCC % YIELD % REVPAR ROOM INC NO.GUESTS AV.RATE RACK RATE NO-SHOWS

200 135 65 0 0 67.50% 14.81% 50.00% $52.50 $10,500.00 155 $77.78 $105.00 4

Budget 200 150 50 0 0 75.00% 50.00% 53.33% $56.00 $11,200.00 225 $74.67 $105.00 2

Difference 0 15 -15 0 0 7.50% 35.19% 3.33% $3.50 $700.00 70 -$3.11 $0.00 -2

VI.

Supplementary Student Activities to Enhance Active Learning Outside the Classroom A. Assign students the following project to assist them in gaining additional information on the topics presented in class: Go to the web site http://www.hotel-online.com, http://www.hotelbusiness.com, http://www.hotelsmag.com/, http://www.google.com or http://www.yahoo.com and ask them to look for a recent article on any of the following topics and bring into class for “show and tell.”

1. Night audit module of a PMS 2. hotel occupancy percentage 3. hotel double occupancy percentage 4. hotel average daily rate 5. revenue management 6. RevPAR

VII.

Supplementary Website Resources to Enhance Student Active Learning A. Any of the following websites are very good resources for students to gain exposure.

1. http://www.hotel-online.com 2. http://www.hotelbusiness.com 3. http://www.ahla.com An instructor may want to assign the student a particular website and ask students to list some features that they found useful.

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VIII.

Supplementary A/V Material Resources to Enhance Student Active Learning A. The following website of the Educational Institute of the American Hotel & Lodging Association provides a listing of videos and other educational material that may supplement the student’s active learning: http://www.ei-ahla.org/productshowcase.asp

IX.

Quiz Questions – Chapter 10 1. The night audit is prepared on a __________ basis. a. daily b. weekly c. bi-weekly d. monthly 2. The front office manager uses the results of the night audit in which of the following way(s)? a. monitors credit activity of guests b. projects daily cash flow from room sales c. monitors projected and actual sales for the various departments d. all of the above

3. Which of the following steps in the night audit process is out of order? a. Step 1 – Assembling guest charges and payments b. Step 2 – Reconciling departmental financial activities c. Step 3 – Reconciling the accounts receivable d. Step 4 – Running the trial balance e. Step 5 – Posting room and tax charges 4. If a hotel holds a credit balance on a guest folio, this means it owes a guest for future services. a. True b. False 5. A trial balance helps the night auditor focus on accounts in which charges may have been posted or reported incorrectly. a. True b. False 6. The goal of preparing the night audit report is which of the following? a. to compare historical data b. to log data for future reference c. to react to the operational financial feedback to improve situations d. to use information for budgeting

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7. The cashier’s report is composed of which of the following? a. cash b. credit cards c. PMS totals d. all of the above e. none of the above 8. A manager’s report contains occupancy statistics such as occupancy percentage, yield percentage, average daily rate, and RevPAR. a. True b. False 9. The daily flash report is a listing of departmental totals by day, period to date, and year to date. a. True b. False 10. A manager’s report contains less data than a night audit, but still is helpful to a general manager? a. True b. False 11. The correct formula to balance a bank deposit is as follows?

Total bank deposit – total cash sales + credit card received A/R – cash received A/R _____________________ =0 a. True b. False 12.

400 rooms were sold on May 1 out of 500 rooms available. What is the occupancy percentage? a. 1.25 b. 20 c. 80 d. 35

13.

$45,345 room income was received on May 1. What was the average daily rate in question 12? a. $113.36 b. $90.68 c. $75.75 d. none of the above

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14.

What is the RevPAR for the hotel in question 12? a. $113.36 b. $90.68 c. $85.25 d. none of the above

Answers to Exam Questions – Chapter 10 1.

2.

3.

4.

5.

6.

7.

A D E B A C D

8. A 9. A 10. A 11. B 12. C 13. A 14. B

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Chapter 11 – Managing Hospitality I.

Instructor to Instructor Chat – This chapter looks at management’s role in the delivery of hospitality in a hotel front office. It establishes the framework that must be present for the continual delivery of hospitality.

II.

Opening Dilemma – This situation sets the stage for examining the delivery of hospitality. Hospitality just doesn’t happen; it results from a well-developed system of people, polices, and procedures.

III.

Chapter Focus Points A. Importance of hospitality to the hotel guest and the hotel entrepreneur B. Managing the delivery of hospitality C. Total Quality Management (TQM) applications D. Developing a service management program

IV.

Classroom Presentations A. Importance of hospitality 1. Define hospitality as the generous and cordial provision of services to a guest 2. Discuss examples of hospitality. a. Room accommodations b. Food and beverages c. Meeting facilities d. Reservations e. Information on hotel services f. Information on local attractions 3. Explore subjective nature of hospitality 4. Discuss the financial effect of delivery of poor hospitality - (quotes from Service America! by Albrecht and Zemke) a. 96% of unhappy customers are never heard from b. For every complaint received, the average company in fact has 26 customers with problems, 6 of which are serious problems c. Complainers are more likely than non-complainers to do business again with the company that upset them, even if the problem isn’t satisfactorily resolved d. The average customer who has had a problem with an organization recounts the incident to more than 20 people e. Customers who have complained to an organization and had their complaints satisfactorily resolved tell an average five people about the treatment they received f. Review the math model in the text of 68,985 people who will receive a negative impression from the nine people who did not bring their complaint to the surface, yet told their take to other people

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B. Financial effect of delivery of poor hospitality. (Quotes from Service America! by Albrecht and Zemke).

1. Define service management program as a program which highlights a company’s focus on meeting customers’ needs and allows a hotel to achieve its financial goals.

2. Discuss components of management’s role: a. Long range commitment to delivery of hospitality as opposed to a short range quick fix. b. John W. Young’s statement from Four Seasons Hotels “General measurement (of general managers) is based on detailed employee attitude surveys, conducted by an outside firm as well as such factors as employee turnover, employee promotions, both within the hotel and to other hotels. Also, specific people related goals are set according to the hotel’s needs or the manager’s personal needs, and measured, e.g., implementing a planned change in response to concerns in an attitude survey.” c. Management’s financial commitment to the success of the program. d. Employee motivational programs as part of management’s responsibility to ensure the success of the program e. Mark Heymann’s insights on the importance of satisfied workers in delivering customer satisfaction point out the job advertisement for a total quality manager offered by InterContinental Hotels Group (see footnote 2 in textbook) C. Service strategy statement 1. Define service strategy statement as formal recognition by management that the hotel will strive to deliver the products and services desired by the guest in a professional manner 2. Explain components of the service strategy statement a. Identification of guest needs based upon the customer’s view point and student’s experience i. Examples of customer’s needs a) Quick and efficient delivery of products and services b) Avoid long lines c) Information on hotel and immediate vicinity d) Product performance e) Security in the hotel f) Albrecht and Zemke’s identification of guest needs g) Care and concern from service providers h) Spontaneity – people are authorized to think i) Problem solving – people can work out the intricacies of the problems j) Recovery – will anybody make a special effort to set a problem right 3. Johnson and Layton’s quote “It is only through the eyes of a customer that definition of service quality can be obtained.”

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4. Figure 11-3 customer comment card survey.

5. Figure 11-4 hotel guest service survey.

6. Cadotte and Turgeon’s survey results a. Dissatisfiers – complaints for low performance, e.g., parking b. Satisfiers – unusual performance elicits compliments, but average performance or even the absence of the feature will probably not cause dissatisfaction or complaints, e.g., atrium type lobbies c. Critical variables – capable of eliciting both positive and negative feelings, depending on the situation, e.g., cleanliness, quality of service, employee knowledge and service, and quietness of surroundings d. Neutrals – factors that received neither a great number of compliments nor many complaints are probably either not salient to guests or easily brought up to guest standards 7. Discuss developing the service strategy statement a. Commitment from top-level ownership and management that service is a top priority in the company b. Commitment to develop and to administer a service management program c. Commitment to train employees to deliver service efficiently d. Commitment of financial resources to develop incentives for the employees who deliver the services e. Service strategy statement of the Four Seasons as listed in the chapter f. Service strategy statement of the fictitious Times Hotel in the chapter g. Students develop a service strategy statement for the hotel where they work 8. Discuss the financial commitment necessary to develop a service management program D. Total Quality Management Applications 1. Review concept of Total Quality Management (refer to chapter 3) 2. Introduce the topic of flow chart which analyzes the delivery of a particular product or service.

E. Developing a service management program 1. Discuss involve employees in planning to ensure acceptance 2. Discuss the importance or reviewing the guest cycle (refer to Figure 11-6) 3. Discuss “Moments of Truth” in hotel service management. a. (Albrecht and Zemke) – “Episodes in which a customer comes into contact with any aspect of the company, however remote, and thereby has an opportunity to form an impression.” b. Examples of moments of truth 5. Guest report card (Albrecht and Zemke) “which is the basis of a grading system that leads the customer to decide whether to partake of the service again or to go elsewhere.”

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F. Employee buy-in concept 1. Discuss last four feet (Albrecht and Zemke) -“it’s up to the people in the store to take over at the last four feet.”

2. Discuss how the employee is the is the vital link in the service management program.

3. Discuss “To have a high standard of service, it is necessary to create and maintain a motivating environment in which service people can find personal reason for committing their energies to the extent that what they do brings them what they want. What want may be psychological or material.” (Albrecht and Zemke) 4. Discuss “Motivate your employees the deliver the required level of service to your customers, and do it consistently.” (John Young) 5. Discuss ways to have employees buy in to the concept of hospitality a. Money b. Gifts c. Employee stock ownership d. Preferential treatment in scheduling shifts f. Longer vacations g. Extra holidays h. Promotions i. Tuition reimbursement G. Screening employees who deliver hospitality 1. Discuss “A service person needs to have at least an adequate level of maturity and self esteem. He or she needs to be reasonably articulate, aware of the normal rules for social context, and be able to say and do what is necessary to establish rapport with a customer and maintain it.

And third, he or she needs to have a fairly high level of tolerance for contact.” (Albrecht and Zemke) H. Empowerment 1. Define empowerment as management’s act of delegating certain authority and responsibility to front-line employees 2. Discuss methods of adapting empowerment into front office management 3. Discuss setting of parameters of employee empowerment 4. Discuss importance of training for empowerment.

I. Training for hospitality 1. Discuss the need for employees to be trained in the delivery of hospitality.

J. Evaluating the service management program 1. Use moments of truth as identifiers 2. Discuss the use of customer comment cards 3. Direct inquiry by front desk clerk during check out 4. Discuss immediate inquiry as the service is being provided

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K. Follow-through 1. Discuss management’s continued implementation of the program over time 2. Discuss how a service management program will allow continued implementation to occur 3. Review components of a successful service management program a. Management’s role b. Development of a service strategy statement c. Involvement of employees d. Determination of moments of truth e. Establishment of employee buy in concept f. Screen employees who deliver hospitality g. Train for hospitality h. Evaluate service management program L. Interfacing with other departments in delivering hospitality 1. Discuss a “fringe benefit” of total quality management is learning to understand fellow employee’s job 2. Discuss the service management program “Hilton Pride Program” as outlined in the chapter M. Customer Relationship Management 1. Define as Customer relationship management (CRM) a system that allows hotel managers to integrate technology with to support customer service techniques that lead to top-notch customer service.

2. Stress technology is secondary to demonstration of hospitality.

3. Discuss Neil Holm, president of hypen philosophy of CRM an enabler of technology to produce guest satisfaction.

4. Discuss five elements of CRM: Haley and Watson list (1) guest recognition, (2) data capture and maintenance, (3) channel integration and consistency, (4) ranking and discrimination, and (5) two-way personalized dialogs.

V.

Supplementary Student Materials to Enhance Active Learning Inside the Classroom A. Review the following inserts in Chapter 11 1. Hospitality Profile – Patrick Mene 2. Frontline Realities – This situation will allow students to understand the importance of being prepared to delivery hospitality (guest with chest pain).

3. Frontline Realities – This situation focuses on the reality of convincing an owner to place financial resources in a budget to support a service management program for incentives.

4. Frontline Realities – This scenario allows students to use the concepts of Total Quality Management.

107

5. Frontline Realities – This situation allows students to understand the importance of using Total Quality Management in developing a camaraderie among employees.

5. Frontline Realities – This situation encourages students to see how employees who have participated in Total Quality Management can be aware of fellow employees’ jobs and work with them in providing service to the guest.

6. Solution to Opening Dilemma – This scenario focuses on understanding how important employee motivation and empowerment are to make a service management program work as well as the effectiveness of Total Quality Management teams. Quality service is planned, not happenstance.

7. End of Chapter Questions 1) Answers will vary but they should focus upon the guest’s needs, an eventual return visit, and referrals.

2) The components of a service strategy statement include the following. a. identification of guest needs based upon the customer’s view point and student’s experiences b. commitment from top-level ownership and management that service is a top priority in the company c. a commitment to develop and to administer a service management program d. a commitment to train employees to deliver services efficiently e. a commitment of financial resources to develop incentives for the employees who deliver the services 3) This will assure employee acceptance of the program and act as quality control in the development of the program.

4) Answers will vary, but should include developing a team to review various processes which produce guest services and products.

5) Answers will vary, but should follow a similar sequence as outlined in Figure 11-6.

6) Moments of truth are defined as from Albrecht and Zemke’s work as “episodes in which a customer comes into contact with any aspect of the company, however remote, and thereby has an opportunity to form an impression.”

7) The employee buy, in concept, taps into a motivational system of the employee. This will assist in the delivery of hospitality on a continued basis.

8) Albrecht and Zemke tell us some of the qualities include an adequate level of maturity and self esteem, reasonably articulate, aware of the normal rules for social context, be able to say and do what is necessary to establish rapport with a customer and maintain it, and have a fairly high level of tolerance for contact.

9) Training is important because it forces management to look at the parts of the service cycle and develop, set standards of acceptable level of behavior, and training methods to meet these standards.

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10) Effectiveness of a service management program can be measured by using moments of truth as identifiers (refer to Figure 11-6), discussing use of customer comment cards, and direct inquiry by front desk clerk during check out, and immediate inquiry as the service is being provided.

11) Follow-through allows the continued operation of a program.

Delivering hospitality is not a one-shot effort.

B. Case Studies 1. Case Study 1101 – This case study emphasizes the zest of an owner to implement a service management program and the need for a long range plan. It requires the students to go through the chapter and outline the components of a successful service management program that include the following concepts. a. management’s role b. development of a service strategy statement c. involve employees d. determine moments of truth e. employee buy in concept f. screen employees who deliver hospitality g. train for hospitality h. evaluate the service management program 2. Case Study 1102 – This case study will allow future professionals to apply the concepts of service management and Total Quality Management. It will give them the opportunity to realize the vast number of details involved when defining hospitality to international visitors and working with many hospitality providers in delivering service.

3. Case Study 1103 – This case study will encourage students to work in groups to apply the many concepts found in this chapter on service management. A good place to start would be developing a service strategy statement and motivating employees.

VI.

Supplementary Student Activities to Enhance Active Learning Outside the Classroom A. Assign students the following project to assist them in gaining additional information on the topics presented in class: Go to the web sites http://www.hotel-online.com, http://www.hotelbusiness.com, http://www.hotelsmag.com/, http://www.google.com or http://www.yahoo.com and ask them to look for a recent article on any of the following topics and bring into class for “show and tell.” a. developing a service strategy statement b. motivating employees c. moments of truth in delivering service d. screening employees who deliver hospitality e. training to deliver hospitality f. evaluating the service management program g. Total Quality Management 109

VII.

Supplementary Website Resources to Enhance Student Active Learning A. Any of the following websites are very good resources for students to gain exposure.

1. http://www.hotel-online.com 2. http://www.hotelbusiness.com 3. http://www.ahla.com An instructor may want to assign the student a particular website and ask students to list some features that they found useful.

VIII.

Supplementary A/V Material Resources to Enhance Student Active Learning A. The following website of the Educational Institute of the American Hotel & Lodging Association provides a listing of videos and other educational material that may supplement the student’s active learning: http://www.ei-ahla.org/productshowcase.asp

IX

Quiz Questions – Chapter 11 1. Hospitality can be defined as which of the following? a. a very subjective concept b. the generous and cordial provision of services to a guest c. a very “iffy” happening in our hotels d. useful in providing continued financial growth 2. Hospitality is important to which of the following? a. guests b. hotel owners c. both A and B d. front office managers e. none of the above 3. A financial commitment on the part of management is an essential part to the success of a service management program. a. True b. False 4. Component(s) of a service strategy statement include which of the following? a. commitment from top-level ownership and management that service is a top priority in the company b. commitment to develop and to administer a service management program c. commitment to train employees to deliver service efficiently d. commitment of financial resources to develop incentives for the employees who deliver the services e. all of the above

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5. It is not necessary to include employees in the planning stages of a service management program. a. True b. False 6. Studying the cycle of service in the lodging industry encompasses which of the following? a. the services the guest will receive b. highlight the inefficiencies built into the system c. an effort that is best left to the marketing and sales department d. both A and B e. both A and C 7. When the guest comes in contact with a hotel service it is referred to as which of the following? a. disaster b. moment of truth c. employee buy in concept d. a challenge e. none of the above 8. The last four feet was a term used to highlight which of the following concepts? a. moment of truth b. guest cycle c. employee buy in concept d. a carpenter’s dream e. all of the above 9. Employees should be screened for positive traits that express their ability to deliver hospitality. a. True b. False 10. Employees can be trained to deliver hospitality. a. True b. False

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Answers to Exam Questions – Chapter 11 1. B 2. C 3. A 4. E 5. B 6. D 7. B 8. C 9. A 10. A

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Chapter 12 – Training for Hospitality I. Instructor to Instructor Chat – The “people intensive” industry we manage requires the future professional to be skillful in understanding and applying the definition of management – supervising through others. This chapter will highlight those vital concepts which underlie the delivery of the concept of hospitality.

II. Opening Dilemma – Determining the real root cause of a hotel’s service takes some thinking. Students will be encouraged to see if the ad agency’s recommendation of a publicity campaign is the answer.

III. Chapter Focus Points A Determining employee hospitality qualities B. Screening for hospitality qualities C. Developing an orientation program D. Developing a training program E. Cross-training employees F. Developing a trainer G. Practicing empowerment H. Applying the Americans with Disabilities Act (ADA) IV. Classroom Presentations A. Determining employee hospitality qualities 1. Ask students to describe their qualities as an employee 2. Discuss use of job analysis and job description 3. Ask students to describe the ideal employee 4. Compare “self” and “ideal” responses.

5. Stress importance of imaging an ideal employee B. Screening for hospitality qualities in people 1. Discuss developing a list of questions for the interview which highlight “ability to deliver hospitality” a. Outgoing personality b. Patience c. Ability to accept constructive criticism d. Interest in selling C. Orientation program 1. Define orientation process as a program to introduce new hires into the organization and work environment; it is vital in providing employees with background information about the property 2. Discuss how an employee in the front office must have instant knowledge of the people and the property 3. Discuss the components of an orientation program a. Economic position of the property in the community 113

4.

5.

6.

7.

b. Overview of the lodging establishment i.

Discuss physical features of the hotel ii. Discuss tour of the facilities with a map iii. Discuss list of services offered in the hotel iv. discuss the organization chart and the people in those jobs Discuss components of employee handbook. a. Discuss how the contents of this publication will provide the new hire with general guidelines of continued employment i.

Pay categories ii. Evaluation procedures iii. Vacation time iv. Sick leave v.

Holidays vi. Paydays vii. Use of controlled substances viii. Social interaction with guests ix. Resolving disputes with guests and other employees x.

Insurance benefits xi. Uniform requirements Discuss components of policy and procedure manual a. Operation of PMS and other equipment in the front office b. Reservations c. Registrations d. Posting e. Written and verbal communications with guests and other employees of the hotel f. Checkouts g. Preparation of the night audit h. Safety and security measures Discuss importance of introduction to the front office staff a. Bonding employees to the current staff and sets the stage for sound training programs and employment. b. Other points to include: i.

Equipment at the front office ii. Checkin and check out on a time clock iii. Location of schedule iv. Interdepartmental cooperation Administration of the Orientation Program a. Part of the planning process i.

Figure 12-1 provides a means for the front office manager to use in planning process.

D. Developing a training program 1. Discuss identification of task/job management skills. a. Basis for a suitable training program.

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b. Review text for identification of tasks listed in a job analysis for a front desk clerk.

2. Preparation of step-by-step procedures for performing tasks a. Based upon the job analysis and allows a structure for thorough training 3. Management concepts a. Employee self-management skills such as stress management, time management, and organizational skill are topics that may also be included in a thorough training program for front office staff.

E. Steps in the training process 1. Discuss “Preparation: Get Ready” a. Set behavioral objective b. Think through presentation skills c. Assemble presentation materials d. Consider use of technology 2. Discuss “Deliver: Show Me” a.. Methods of presentation i.

Skill demonstration ii. On-the-job training iii. Role playing iv. Commercial videos 1. Educational Institute of the American Hotel & Lodging Association 3. Discuss Trial and Error: “Let Me Do It” 4. Discuss Follow Up: “Check My Progress” a. discuss use of training tickler file (refer to Figure 12-2) F. Administering a training program 1. discuss the coordination of details a. flexible training schedules b. progress charts c. content preparation and duplication of training materials d. delegation of responsibility G. Cross-training employees 1. stress the importance of cross-training of employees as a technique for good management H. Developing a trainer 1. Discuss the concepts to include when selecting the trainer a. Experienced in job skills b. Ability to teach c. Planning the session d. Good communication skills e. Professional attitude

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I. Training for empowerment 1. Review definition of empowerment as the act of delegating authority and responsibility concerning specific tasks to frontline employees 2. Discuss importance of empowerment 3. Discuss importance of trainer relating empowerment policies in a training session.

J. Discuss Americans With Disabilities Act 1. Relate the Americans With Disabilities Act (ADA) to the title of this chapter – “Training for Hospitality” 2. Discuss background of the ADA as a law which protects people with disabilities from being discriminated against when seeking accommodations and employment a. Discuss providing accommodations for the physically challenged b. Discuss employment practices of the physically challenged 3. Discuss how the law provides an opportunity to employ an individual because of his or her talents 4. Discuss management’s challenge to provide a workplace which will accommodate the physically challenged 5. Discuss the training process which will be used to train the physically challenged 6. Discuss The Marriott Foundation for People with Disabilities 7. Discuss Marriott’s application of “Seven Fears vs. Realities About Employing People with Disabilities” V. Supplementary Student Materials to Enhance Active Learning Inside the Classroom A. Review the following inserts in Chapter 12 1. Frontline Realities – This situation encourages students to refer to Figure 12-2 on how to prepare for an orientation of new employees.

2. Frontline Realities – This scenario asks students to review the fourstep process of training employees.

3. International Highlight – This training situation asks students to think “out of the box” and anticipate that delivering hospitality to international guests takes practice.

4. Frontline Realities – This situation allows students to apply the importance of preparation for an interview: determining desirable employee hospitality qualities and screening question which reveal “ability to deliver hospitality.”

5. Solution to Opening Dilemma – The focus of this opening dilemma is to stress to students that the underlying challenge in delivering hospitality is the people who are on the front line. It begins with determining and screening hospitality qualities in candidates.

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B. End of Chapter Questions 1. Assessing personal needs helps to choose the right candidate for a particular position and assigning tasks to employees that match their abilities.

2. Preparation for the interview of front office job candidate will include identification of qualities desired in an employee, review of the job specification or job description, and determination of the skills and character traits the applicant must possess to handle the duties effectively. Lists of questions to use in the interview of the front desk clerk will vary. However, they should focus on the attitude desired and job skills required to do the job.

3. Answers will vary on the type of orientation students have experienced. Potential components of an orientation program include economic position of the establishment in the community, overview of the lodging establishment, employee handbook, policy and procedure manual, and introduction to the front office environment.

4. Answers will vary on the type of training experienced by students.

Discussion should focus upon identifying the tasks performed by the front office staff, preparing step-by-step procedures for each task, determining who will train employees, administrating the training program, and reviewing the steps in the training process.

5. Demonstrations will vary, but they should include the four-step training process: get ready, show me, let me do it, and check my progress. Students will probably use various methods of presentation.

Question students on the administration of the program.

6. Answers will vary, but should include using the Internet as a 24/7 resource such as HSA International’s international language programs 7. Answers will vary, but should include the concept of preparing a versatile staff.

8. Answers will vary, but should include concepts of professional attitude, ability to instill positive and attitudes and enthusiasm for their position, working in a management or senior staff employee, well versed in all job skills and able to use various training methods.

9. Responses should be based upon the definition of empowerment – the act of delegating authority and responsibility concerning specific tasks to front-line employees.

10. Managers should focus on the abilities of the job applicant and use the job description to outline the specific tasks required to perform the job.

The work environment may have to be reorganized so the applicant can successfully complete certain tasks.

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C. Case Studies 1. Case Study 1201 – This case study allows the student to anticipate a similar situation where a front office manager has prepared an orientation program and has faced obstacles to administer it. It will make the student trace the concepts presented in the text and determine how well Ana Chavarria has organized an orientation program.

2. Case Study 1202 – Team members should go through a brain storming process which paints the picture of an ideal employee. The list should include desirable personal qualities, skills, experience needed to perform job duties, positive character traits necessary to deliver hospitality on a daily basis, and sales skills.

3. Case Study 1203 – This case study will challenge students to apply the concepts of the American Disabilities Act as well as their good will to accommodate this person into the hospitality industry.

VI. Supplementary Student Activities to Enhance Active Learning Outside the Classroom A. Assign students the following project to assist them in gaining additional information on the topics presented in class: Go to the web sites www.hotelonline.com, www.hotelbusiness.com, www.hotelsmag.com, www.google.com, or www.yahoo.com and ask them to look for a recent article on any of the following topics and bring into class for “show and tell.”

1. screening for hospitality qualities 2. orientation programs in hotels 3. training programs in hotels 4. training techniques 5. training adults 6. cross-training employees 7. developing a trainer 8. empowerment training 9. Americans with Disabilities Act VII.

Supplementary Website Resources to Enhance Student Active Learning A. Any of the following websites are very good resources for students to gain exposure. a. http://www.hotel-online.com b. http://www.hotelbusiness.com c. http://www.ahla.com An instructor may want to assign the student a particular website and ask students to list some features that they found useful.

VIII. Supplementary A/V Material Resources to Enhance Student Active Learning A. The following website of the Educational Institute of the American Hotel & Lodging Association provides a listing of videos and other educational material that may supplement the student’s active learning: http://www.ei-ahla.org/productshowcase.asp 118

IX.

Quiz Questions – Chapter 12 1. Identification of the qualities desired in front office employees is part of the preinterview process. a. True b. False 2. Pre-thinking of the interview questions is not required to produce a good interview. Questions should be natural. a. True b. False 3. An overview of the lodging establishment should be part of the policy and procedure manual. The new employee is expected to read it and therefore it shouldn’t be part of the orientation program. a. True b. False 4. An effective orientation program will result when the job of orientating anew hire is left to the desk clerk on duty for a particular shift. a. True b. False 5. The four steps in the training process include which of the following? a. Train, retrain, follow-up, explain b. Get ready, show me, let me do it, and check my progress c. Train the trainer, show me, show me again d. None of the above 6. List and discuss three concepts that you would include in an orientation program

7. Discuss the four-step training process.

8. How would you use commercially prepared videos in a training session?

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9. What administrative techniques can a trainer use to keep track of training sessions?

10. Discuss Sternberg’s quote on the importance of empowerment. “…contemporary management thinking is that the greatest gains in efficiency, productivity, and guest satisfaction are generated by making improvements in the system. Those improvements are most likely to occur when employees are empowered to recommend and implement changes on their own.”

11. How has the American with Disabilities Act affected employment practices in the front office of a hotel?

Answers to Exam – Chapter 12 1. A 2. B 3. B

4. B 5. B

6. - Economic position of the - Employee handbook property - Policy and Procedure manual - Overview of the lodging - Introduction to front office establishment staff 7. - Get Ready - Let Me Do It - Show Me - Check My Progress 8.

Preview tapes and prepare a list of discussion questions which highlight goals for the training session.

9. tickler files 10.

Empowerment allows the delivery of hospitality to occur in an unobstructed manner.

11.

– focus is on abilities of the job applicant – use of well-written job descriptions – revamping of the work environment

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Chapter 13 – Promoting In-house Sales I.

Instructor to Instructor Chat – This chapter will assist the future professional in understanding the structure which is necessary to develop a front office staff that assists the marketing and sales office in their efforts to promote various areas of the hotel. This structure includes focusing on areas for promotion, developing objectives and procedures, incentive programs, training programs for personnel, budgets, tracking systems for feedback from employees, and profitability.

II.

Opening Dilemma – This challenge in a hotel needs to be resolved. Many potential dollars of income are lost because employees are not part of an income generating team.

III.

Chapter Focus Points A Role of the front office in a hotel’s marketing program B. Planning a point-of-sale front office

IV. Classroom Presentations A. Role of the front office in marketing 1. Discuss the traditional role of the front office staff as information givers and order takers 2. Discuss Narula’s comments “As market conditions have changed, the nature and importance of the functions performed by the front office have also changed from being an order-taking department to an order-generating or sales department.”

B. Planning a “Point-of-Sale” Front Office 1. Define point-of-sale front office as a front office staff which promotes other profit centers of the hotel 2. Discuss importance of employee involvement 3. Discuss Narula’s goals for the front office a. Sell rooms to guests who have not made prior reservations b. Up-sell to guests who have made prior reservations c. Maintain the inventory of the product d. Convey information to guests about other products available for sale at the property 4. Discuss setting specific financial objectives 5. Discuss brainstorming areas for promotion in the hotel (refer to list in chapter). a. Front office b. Food and beverage department c. Gift shop d. Health facilities 6. Discuss process of evaluating alternatives generated in previous step.

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7. Discuss role of incentive programs in assuring a point-of-sale front office can be operational. a. Define -incentive program as a program which entails understanding employees’ motivational concerns and developing opportunities for employees to achieve their goals. b. Define motivation and understanding employee needs and desires; and developing a framework for meeting them. c. Need for incentive program to assist employees in carrying out the point-of-sale front office program. d. Examples of incentive programs as listed in chapter. e. Table 13-1.- Theories of Motivation 1. McGregor’s Theory X and Theory Y 2. Maslow’s theory of motivation 3. Mayo’s theory of motivation 4. Herzberg’s theory of motivation f. Application of motivational theories listed above.

1. Maslow – each employee requires a different style of motivation; does an extra financial compensation meet everyone’s needs?

2. Mayo – explore the connections among communication, satisfaction, and cost savings; a few words of encouragement and group camaraderie may work 3. Herzberg – self-actualization (personal growth and fulfillment) improves performance, not an adequate salary, job security, benefits and the like C. Training programs for a Point-of-Sale Front Office 1. Discuss need for training in sales skills a. fear of rejection 2. Point out objective of training “to develop and teach employees methods to use to promote various profit centers of the hotel.” a. Allow employees to experience various profit centers of the hotel 3. Adopt the attitude of “presenting opportunities to the guest to improve or enhance the guest visit.”

4. Detail training concept needed for each product or service to be promoted. a. What to say b. How to say it c. When to say it 5. Summarize methods for training a. Videotaping of role-playing episodes 1. Outline the skills and behaviors needed to promote various products and services 2. Schedule production time for video filming 3. Planning session in chapter for video production

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6. Discuss budgeting for a “Point-of-Sale Front Office” a. Cost of incentive programs b. Cost of producing training materials c. Cost of planning time d. Budget math model in text 7. Stress importance of feedback a. Objective for feedback system “to develop feedback systems concerning employee performance, employee attitude, guest perception, and profitability.” b. Methods to attain feedback as a system 1. Standard guest test – an outside person (known as the plant) is hired by the hotel to experience hotel services and report the findings to management.

2. Development of pointed questions concerning point-of-sale promotion techniques on comment cards.

3. Evaluating the actual financial results it achieves 8. Discuss planning example included in the chapter. a. Brainstorming b. Incentive programs c. Video training program d. Budget e. Feedback mechanisms V.

Supplementary Student Materials to Enhance Active Learning Inside the Classroom A. Review the following inserts in Chapter 13 1. Hospitality Profile – Lee Johnson 2. Frontline Realities – this scenario encourages students to face the reality of employees not wanting to cooperate with “pitching a sale for the hotel.

Previous information presented in this chapter should allow students to think through this dilemma.

B. Solution to Opening Dilemma – The focus of this opening dilemma is to stress the importance of front line employees buying into a point-of-sale front office.

Without their cooperation through incentive programs, the concept will not work.

C. End of Chapter Questions 1. The front office staff has the opportunity to influence the purchase of products and services in the hotel at registration and throughout the guest’s stay.

2. Yes, it is possible to direct the energies of the front office staff to become aggressive in promoting products and services of the hotel through development of incentive and sales training programs. The incentive program will assist the employee to “buy-in” to the concept and the training program will help develop salesmanship skills.

3. Answers will vary, but they should focus on why they do not feel they are members of the sales and marketing team.

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4. A “point-of-sale” front office is a term which indicates a front office staff that has been prepared to sell the products and services of the hotel at registration. This preparation includes development of an incentive program and a training program in salesmanship skills.

5. The procedure begins with a thorough review of the products and services which are offered for sale in all departments in the hotel, i.e. food and beverage, health facilities, gift shop, etc.

6. The major objectives of a “point-of-sale” front office include Narula’s goals for the front office. a. sell rooms to guests who have not made prior reservations b. upsell to guests who have made prior reservations c. maintain the inventory of the product d. convey information to guests about other products available for sale at the property e. ensure that maximum revenue is generated from the sale of rooms by striking a balance between overbooking and a full house obtain guest feedback 7. Answers will vary but they should reflect the student’s understanding of the many opportunities available for promotion throughout the hotel.

8. Incentive programs provide the energy for the program to be successful; it taps into the motivational concerns of the employee. Examples will vary, but they should reflect the incentive designed according to meet the need of the employee.

9. A plan for videotaping of role-playing episodes includes the following. a. outline skills and behaviors needed to promote various products and services b. schedule production time for video c. review planning session in text for video production 10. Answers will vary.

11. Budgeting for a successful “point-of-sale front office is necessary because of the costs of planning, incentives, and training will have to be recaptured from the additional sales produced.

12. Well-constructed feedback systems help the “point-of-sale office “to develop feedback systems concerning employee performance, employee attitude, guest perception, and profitability.” They should track the sales activity of products and services that were designated for promotion. These feedback systems tell the managers how successful employees have been in promotion, if the employees are participating in the promotional program, and how successful incentive and training programs have been.

13. Answers will vary but should relate to the financial and marketing goals of the hotel.

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D. Case Studies 1. Case Study 1301 – This case study encourages students to use the material in the text to plan a “point-of-sale” front office. The plan should include but is not limited to reviewing products and services in the hotel, targeting certain ones, and developing incentive programs, training programs, feedback mechanisms, and budgeting costs.

2. Case Study 1302 – This plan developed by Lorraine DeSantes, director of marketing and sales, seems to have been developed without the involvement of front desk clerks and the full cooperation of Ana Chavarria, front office manager. Students should revisit the importance of employee “buy-in” and incentive programs that are attractive to people in frontline jobs.

3. Case Study 1303 - This discussion featuring feedback on why guests don’t use in-house amenities provided useful information at a staff meeting. It provides students with information on how they can approach a practical challenge to increase point-of-sales at the front office. The challenge reveals it is a team effort.

VI. Supplementary Student Activities to Enhance Active Learning Outside the Classroom A. Assign students the following project to assist them in gaining additional information on the topics presented in class: Go to the web sites www.hotelonline.com, www.hotelbusiness.com, www.hotelsmag.com, www.google.com, or www.yahoo.com and ask them to look for a recent article on any of the following topics and bring into class for “show and tell.”

1. point-of-sale front office 2. upselling hotel rooms 3. hotel front office room promotions 4. incentive programs 5. motivation 6. training for increasing sales at front desk 7. guest test VII. Supplementary Website Resources to Enhance Student Active Learning A. Any of the following websites are very good resources for students to gain exposure. b. http://www.hotel-online.com c. http://www.hotelbusiness.com d. http://www.ahla.com An instructor may want to assign the student a particular website and ask students to list some features that they found useful.

VIII. Supplementary A/V Material Resources to Enhance Student Active Learning A. The following website of the Educational Institute of the American Hotel & Lodging Association provides a listing of videos and other educational material that may supplement the student’s active learning: http://www.ei-ahla.org/productshowcase.asp

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IX.

Quiz Questions – Chapter 13 1. The ultimate goal(s) of a sales-oriented front office is (are) which of the following? a. to increase room sales b. to increase food and beverage sales c. to increase sales in the gift shop d. all of the above e. to increase sales activity in groups 2. Incentive programs are costly and therefore should not be used as a method to operate a “point-of-sale front office. a. true b. false 3. Training programs will not assist the front office manager in operating a “pointof-sale” front office. They slow down the process of checkin. a. true b. false 4. Budgets for a “point-of-sale” front office include which of the following? a. anticipated increase in sales b. anticipated increase in costs c. both A and B d. none of the above 5. Feedback mechanism(s) include which of the following? a. guest test b. well-planned questions on customer comment cards c. both A and B d. employee test e. monitors at front desk 6. Feedback mechanisms provide which of the following? a. give the guest information b. give the front office manager information c. track employee participation and training success d. track the appropriateness of incentive programs e. answers B, C, and D

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Matching 7.

8.

9.

10.

Theory X Theory Y Hygiene factor Mayo

A. B. C. D. E.

physical working conditions employee has an inherent dislike of work employee seeks responsibility treat a person “special” basic need is safety

Answers to Exam – Chapter 13 1.

2.

3.

4.

5.

6.

7.

8.

9.

10.

D B B C C E B C A D

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Chapter 14 – Security I.

Instructor to Instructor Chat – The purpose of this chapter is to impress upon the student the importance of the security department, its organization, hotel law, room key security, and security and safety related concepts and programs.

II.

Opening Dilemma – This opening dilemma will alert students to issues that are involved in planning an in-house security department.

III.

Chapter Focus Points A. Importance of a security department to effective front office management B. Organization of a security department C. In-house security department versus contracted security services D. Hotel law E. Room key security system F. Fire safety G. Emergency communication procedures H. Employee safety programs

IV.

Classroom Presentations A. Introduction 1. Discuss the role of the front office as a communication center for guests 2. Discuss the proactive role of the security department. a. guest and employee safety b. room key security c. fire safety systems d. bomb threat action e. emergency evacuation plans f. employee safety training plans g. emergency communication plans 3. Discuss Rolfe Winkler’s article a. Hotels becoming popular target for militant attacks b. Example of bomb attack on Islamabad’s Marriott hotel – c. 2009 d. Example of siege of the Taj Mahal and Oberoi hotels in Mumbai – 2009 e. Example of Peshawar’s Pearl Continental – 2009 f. Example seven bombings of Jakarta’s Ritz Carlton and Marriott - July 1, 2009 B. Discuss importance of a security department 1. Discuss Marriott International’s adoption of Crime Prevention Through Environmental Design (CPTED). a. entrances to the building b. hotel lobbies c. guestrooms 128

d. guest amenities e. exterior or property f. parking 2. Discuss the Connie Francis high-visibility hotel crime of 1974 as a wakeup call to the hotel industry C. Discuss organization of a security department 1. Discuss Figure 14-1 (organization chart for a security department).

2. Review job analysis of the director of security. a. Discuss the text narrative of the job analysis of a director of security b. Relate the administrative and supervisory role. c. Note the interaction with various department directors, employees, governmental officials, and guests d. Note the hotel’s obligation in the area of guest safety to protect guest from negligent or deliberate acts of hotel employees, acts of other guest, and acts by non-guests committed on the premises D. Discuss in-house security department versus contracted security services 1. Discuss the gap created by contracted security services. a. Foot patrol – walking the halls, corridors, and outside property of a hotel to detect breaches of guest and employee safety b. Escort service – a uniformed security guard escorting a hotel employee to a financial institution to make bank deposits, for performing regular hall patrol, and for maintaining surveillance of the parking garage c. Fire safety and security equipment maintenance d. Record keeping for fire safety and security equipment e. safety committee f. security guidelines for departmental operation g. training programs h. Mary Gostelow’s article on the importance of security E. Discuss Room Key Security 1. Control access to keys for entrance to guest rooms and public areas 2. Court decision found that “as a general proposition, a guest has an expectation of privacy in his or her room and a hotel has an affirmative duty not to allow unregistered guests, unauthorized employees, and third parties to gain access to a guest’s room 3. Hard key system – traditional large key in a mechanical lock with preset tumblers inside the lock a. Considerations i. Initial investment i. Replacement costs ii. Guest security

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4. Electronic Locks System a. Battery-powered or hardwired locks b. Host computer – produces new combinations, and a. maintains master list of combinations c. Keypuncher d. Key template e. Electronic lock with microchip to accept new key and registering all previous combinations unacceptable f. New combination for each guest is issued g. Initial investment has to be evaluated over the low cost of replacement of keys and locks and increased guest security h. Produces an audit of who opened the locks (guest, front staff, housekeeping personnel, maintenance staff, etc.)

5. Smart Card a. Define it as an electronic device with a computer chip that allows a guest or employee access to a designated area, tracking, and debit card capabilities for the hotel guest b. Explain biometrics as a measurement of uniqueness of a human being such as voice, hand print or facial characteristics i. Refer to Terence Ronson’s report in textbook 6. Contactless Electronic Locks a. Key fobs, and key cards have use Radio Frequency Identification (RFID) as a form of electronic keys b. Discuss articles on contactless electronic locks in text F. Discuss fire safety 1. Discuss the development of effective fire safety plans. a. Interpret and apply municipal fire safety codes. i. Construction materials ii. Interior design fabrics iii. Entrance and exit requirements iv. Space limitations v. Smoke alarm installation and maintenance vi. Sprinkler system installation and maintenance vii. Fire drill testing viii. Fire alarm operation and maintenance b. Discuss guest expectations of a safe environment i. Room on a lower level ii. Smoke alarms present in rooms iii. Count number of doors to nearest exit c. Discuss proactive measures to ensure guest fire safety – develop a fire safety plan i. Equip all guest rooms and public areas with smoke detectors and tied into a central communications area. ii. Regularly test and maintain smoke detectors (refer to Table 14-1).

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iii. Install, maintain, and test fire alarms as required by local fire code regulations (refer to Table 14-2). iv. Constantly monitor smoke detectors and fire alarms. v. Prepare and post floor plans showing fire exit location by area (refer to Figures 14-3 and 14-4) vi. Notify employees and guest where the nearest fire extinguishers and fire alarms are located, and how to evacuate the building; instruct them in fire safety guidelines (refer to Figure 14-5) vii. Develop a fire action communication procedure for front office personnel 2. Discuss training programs in fire safety and evacuation a. Instruct employees on locations of fire exits, fire extinguishers, and fire alarms, and methods of building evacuations b. Spot-check employees for knowledge o f these locations c. Ask for assistance from local fire departments to develop and offer training d. Instruct guests on fire safety i. Inform guests at time of registration that all rooms are equipped with smoke detectors, location of nearest fire exit from guest room, location of a fire extinguisher on guest floor, and method to report a fire ii. Encourage guests to read the fire evacuation guidelines posted on the door of the guest room with enticing promotions a) Example – special coupons attached to guidelines on door (2 for 1 breakfast, free newspaper, etc.)

G. Fire communication training plan 1. Discuss components of Fire communications training plan a. After a fire report is received, information on its location is reported to the fire department b. Management and security are alerted c. Guest and employee evacuation procedures are initiated and organized d. Prior established procedures on communications are initiated e. Front desk clerk will produce a list of occupied guest rooms f. Inform fire fighters of fire room location, and distribute duplicate copies of occupied rooms, and location of children or handicapped guests g. Switchboard operator handles calls from inside and outside the hotel h. Monitor the security of guest rooms, cash drawer, and inventory to avoid looting and pilfering 2. Discuss James T. Davidson’s story about importance of planning for emergencies in a hotel.

H. Emergency communication procedures 1. Discuss Embassy Suites Outdoor World at Dallas/Ft. Worth International Airport disaster incident

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2. Discuss the emergency communication plan (nonemergency situation such as bomb threat, fire in adjacent building, gas leak, or electrical power outage) as listed in textbook a. Include director of security front office manager, and civil authorities in planning b. Development of the Emergency Communication Plan c. Develop a communications hierarchy – Emergency Communications Manager on Duty (refer to listing in textbook) d. Responsibilities of the Front Office e. Refer to listing in textbook f. Responsibilities of Other Hotel Departments g. Refer to listing in textbook h. Training I. Employee safety programs 1. Discuss establishing a safety committee a. Discuss the innkeeper’s responsibility in providing a safe environment “…the innkeeper must periodically inspect the facility to discover hidden or latent defects and then to remove or repair those defects.” b. Discuss the importance of front line employees knowledge of the details of day-to-day hazards i. representatives from very department c. Discuss management’s participation needed to carry out long-range plans and clout needed to implement the procedures d. Discuss the notes from a safety committee as listed in Figure 14-7 e. Discuss department director’s encouragement of a safety-conscious attitude in employees f. Discuss how managers set safety attitude by example. i. Through proper operation of equipment ii. Through scheduling of adequate staff during busy time periods iii. Through follow-up on requests for repairs J. Departmental safety training programs.

1. Review areas for concern specific to the department a. Develop orientation program to highlight safety i. Films ii. Handouts iii. Booklets b. Importance of maintaining integrity of regularly scheduled training sessions with detailed progress of participants c. Importance of preparing a budget to include funds for additional labor hours, if needed, to offer training sessions at off-time periods

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V.

Supplementary Student Materials to Enhance Active Learning Inside the Classroom A. Review the following inserts in Chapter 14 1. Frontline Realities – this scenario encourages students to appreciate the value of being prepared for the many instances when delivering hospitality is a challenge such as this one with a guest not returning from the vending area. A well-organized security department can assist in handling such situations 2. Hospitality Profile – John Juliano 3. Frontline Realities – this all too often situation alerts the student of hospitality management to review the fire communication training plan.

4. Hospitality Profile – John Juliano 5. Frontline Realities – The employee attitude is a result of many concepts.

A thorough review of the section on employee safety programs.

B. Solution to Opening Dilemma – This opening dilemma allows the student 1. to evaluate the pros and cons of an in-house vs. contracted security 2. department. Perhaps this is the first time a student has ever investigated 3. the ramifications of security and hotel law as presented in the chapter.

C. End of Chapter Questions 1. The interaction is based upon establishing a safe environment for guests; it’s part of the delivery of hospitality. Examples include room key security, fire safety systems, bomb threat action, emergency evacuation plans, employee training plans, and emergency communication plans.

2. Answers will vary but they should reflect the organizational principles and job analysis as outlined in this chapter.

3. The services provided would probably include escort service to the bank for deposits and foot patrol.

4. Answers will vary.

5. Although the initial expense of an electronic key or smartcard system is more than a hard key system, the security features of a new key combination for each guest and the audit trail far outweighs the initial costs.

6. The hard key system requires a low initial investment and heavy maintenance of the keys and tumblers. Security is compromised if a previous guest fails to return a key at check out.

7. The electronic key system consists of the following. a. battery-powered or hardwired locks b. host computer – produces new combinations and maintains master list of combinations c. keypuncher d. key template e. electronic lock with microchip to accept new key and register all previous combinations unacceptable

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8. The features of a smartcard system include the following. a. allows a guest or employee access to a designated area b. creating an audit trail c. debit card capabilities 9. Biometrics is measurement of uniqueness of a human being such as voice, hand print or facial characteristics. This uniqueness will allow only authorized persons to enter designated areas and maintain an audit trail without the hassle of keys.

10. A proactive stance on fire safety can be adopted by planning for fire emergencies by the following concepts. a. Equip all guest rooms and public areas with smoke detectors and tie them into a central communications area. b. Test and maintain smoke detectors. c. Install, maintain, and test fire alarms as required by local fire code regulations. d. Monitor constantly smoke detectors and fire alarms. e. Prepare and post floor plans showing fire exit location by area. f. Tell employees and guest where the nearest fire extinguishers and fire alarms are located, and how to evacuate the building; instruct them in fire safety guidelines g. Develop a fire action communication procedure for front office personnel..

11. Guest fire safety relies upon the practice of maintaining the operation of smoke detectors and fire alarms. A regular procedure to test these devices will insure that they are operational.

12. Answers will vary on the degree of detail but it will make the students think through a fire emergency procedure. Incentives to encourage guests to read the fire safety procedure might include a free dessert, free newspaper, etc.

13. Employees are on the front-lines every day and see the hazards that they and guests will encounter.

14. Answers will vary but should reflect the interaction of employees and management in producing a safe environment.

15. It would be used when a bomb threat is reported, a nearby fire that would threaten the guests and the hotel, etc.

16. An emergency communication plan as presented in this chapter includes the following. a. Development of the Emergency Communication Plan b. Emergency Communications Manager on Duty c. Responsibilities of the Front Office d. Responsibilities of Other Hotel Departments e. Training

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D. Case Studies 1. Case Study 1401 – This case study allows the student to review the features of an emergency communication plan for a hotel. Concepts to include are the following. a. Development of the Emergency Communication Plan b. Emergency Communications Manager on Duty c. Responsibilities of the Front Office d. Responsibilities of Other Hotel Departments e. Training 2. Case Study 1402 – This case study will alert student to the importance of discussing and communicating safety concerns to departmental supervisors and outside municipal sources. In-house assistance will certainly provide the front line training needed, but municipal services may also need to know information for the sake of safety of guests in other hotels.

3. Case Study 1403 - This case study will encourage students to search industry web sites for product information on contactless locks to obtain information on product description, possible vendors, and the cost ranges.

Students will also want to use the technology-information presented in this chapter to support their report.

VI.

Supplementary Student Activities to Enhance Active Learning Outside the Classroom A. Assign students the following project to assist them in gaining additional information on the topics presented in class: Go to the web sites http://www.hotel-online.com, http://www.hotelbusiness.com, http://www.hotelsmag.com/, http://www.google.com or http://www.yahoo.com and ask them to look for a recent article on any of the following topics and bring into class for “show and tell” 1. security department in a hotel 2. in-house security 3. out-sourcing of security 4. laws on hotel security 5. smartcards 6. electronic locks 7. fire safety 8. emergency communication procedures 9. employee fire safety

VII.

Supplementary Website Resources to Enhance Student Active Learning A. Any of the following websites are very good resources for students to gain exposure.

1. http://www.hotel-online.com 2. http://www.hotelbusiness.com 3. http://www.ahla.com An instructor may want to assign the student a particular website and ask students to list some features that they found useful.

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VIII.

Supplementary A/V Material Resources to Enhance Student Active Learning A. The following website of the Educational Institute of the American Hotel & Lodging Association provides a listing of videos and other educational material that may supplement the student’s active learning: http://www.ei-ahla.org/productshowcase.asp

IX.

Quiz Questions – Chapter 14 1. Hospitality management also includes providing a safe environment. a. True b. False 2. The security department of a hotel includes which of the following? a. sets policies for safety b. organizes programs for safety c. trains employees in safety practices d. should be directed by a trained professional e. all of the above 3. An in-house security department includes which of the following? a. is cost effective b. works with other members of the management staff to develop safety programs c. parcels out the role of security to other management staff members d. both A and C e. performs hall patrol only 4. The initial cost of an electronic key system is perceived as a disadvantage by some hoteliers. a. True b. False 5. Battery-powered, hardwired, host computer, keypuncher, and templates are used to describe which of the following? a. electric security b. hard electric key c. electronic key system d. hard key system e. none of the above 6. Guest should be encouraged to read the fire safety instructions posted on guest room doors by offering an incentive which can be redeemed at the gift shop, lounge, or restaurant in the hotel. a. True b. False

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7. Developing a fire action communication procedure for front office personnel should be performed prior to the emergency and communicated through training to all personnel. a. True b. False 8. Employee safety programs begin with which of the following? a. buying pamphlets on fire safety b. use of a hired consultant to deliver training sessions c. supervising with a safety conscious attitude d. establishing a safety committee e. both C and D 9. Participation by management in a safety committee is optional. a. True b. False 10. The case which is considered a “wake-up call” in terms of legal liability to the hotel industry involved which of the following? a. the 1924 abduction of a child from a hotel b. the 1974 rape of singer/actress Connie Francis in a Westbury, NY hotel c. the 1982 fire in a Clifton Heights, AZ hotel d. the 1983 crash of a hotel’s plate glass window e. none of these 11. The hotel is not the insurer of guest safety but it must exercise the care of a reasonable and prudent operator in protecting the guest. a. True b. False 12. If a hotel security department wanted to stop using plastic keys for room key security and start using a measurement of uniqueness of a human being such as voice, hand print or facial characteristics, this would be referred to as _________. a. facial security b. finger print security c. biometrics d. voicemetrics e. all of the above Answers to Exam Questions – Chapter 14 1.

2.

3.

4.

A E B A

5.

6.

7.

8.

C A A E

9. B 10. B 11. A 12. C

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Chapter 15 – Executive Housekeeping I.

Instructor to Instructor Chat – This chapter sets the tone for what an executive housekeeper is expected to do in today’s current hotel industry. The executive housekeeper is part of the management team and is expected to assist in making a profit for the organization as well as producing hospitality for the guests through the management of many, many operational details of his or her department. This chapter also includes the executive role of the chief engineer with attention to managing inter-departmental departmental communications, energy management, and greening concepts.

II.

Opening Dilemma – This opening dilemma catches the essence of the profit requirement of the executive housekeeper’s role. This should spark an interest in students’ interest in realizing that the role of the housekeeper is business related.

III.

Chapter Focus Points A. Importance of the housekeeping department B. Overview of a housekeeping department C. Relationship of an executive housekeeper to the general manager D. Managing a housekeeping department E. Role of chief engineer in a lodging property F. Managing maintenance inter-departmental communications G. Energy management H. The greening of the lodging Industry

IV.

Classroom Presentations A. Introduction 1. Discuss reason guests return to a hotel a. Cleanliness 2. Stress the focus of chapter as: a. Executive housekeeper’s management i. People ii. Processes iii. Communications iv. Interactions that affect the guests’ stay 3. Discuss the two articles included in the text a. Importance of quality of housekeeping staffs’ work b. Relate Worcester’s article- importance of soft goods and the bottom line B. Overview of housekeeping department 1. Refer to Figure 15-1 – Organization Chart – large hotel 2. Refer to Figure 15-2 – Organization Chart – limited-service property 3. Explain the roles of the various personnel listed 4. Explain the shifts

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C. Relationship of the executive housekeeper to the general manager 1. Refer to listing of job analysis of executive housekeeper to trace the administrative and supervisor tasks of a member of the management team D. Management of a housekeeping department 1. Discuss room assignment/workload a. Significance to hotelier and general manager – measure of effective use of human resources, daily income, and guest hospitality b. Executive housekeeper – an indicator of how efficient his or her staff in meeting daily goals and providing guest hospitality c. Room attendant – the work of the day 2. Discuss method to determine the number of rooms a room attendant can clean a. Design of room b. Room furnishings c. Fabrics d. Number of people occupying the room e. Nature of the guests in the room f. Training provided for employees g. Incentives h. Usual number of rooms is 15–20 per room attendant i. Retrieve number of rooms occupied the previous night and divide by the number of rooms assigned to each room attendant; quotient equals the need for the number of room attendants; refer to Figure 15-4 Room Attendant Staffing Requirement Chart 3. Relate technology to assist in assigning room attendants with MTech’s REX’s software as.

4. Discuss importance of training to increase efficiency a. Time, labor, safety, and cost savings b. Develop a plan (refer to Chapter 12 – Training) c. Areas for training – Martin – Professional Management of Housekeeping Operations i. Bed making ii. Vacuuming iii. Dusting iv. Window and mirror cleaning v. Setup awareness of the room vi. Bathroom cleaning vii. Daily routine of the worker viii. Caring for and using equipment ix. Industrial safety E. Room inspection 1. Define room inspection as a final review of the room to assure that all housekeeping tasks are completed and room furnishings are in order

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2. Discuss types of room inspections a. Supervisor-inspected b. Self-inspected i. Advantages saves time ii. Advantages builds employee confidence iii. Requires motivational system iv. Evaluation mechanism must be in place 1. Guest comment cards 2. Front desk staff asking random questions at check out concerning cleanliness of bathroom, bedding, proper working of electronics, etc. v. Maintenance department 1. Refer to article “Zero Defects Program” F. Outsourcing Housekeeping Activities 1. Review Carol Kendrick article a. Allows housekeepers to concentrate on the core competencies of their job, like delivering a well-kept house and keeping the areas maintained b. Allows flexibility of operations in terms of utilizing and rotating the manpower c. Offers specialized and expert guidance for the maintenance of different areas. d. Reduces staff problems in recruitment, training, allocation, appraisals, increments, and dismissals. e. Allows housekeepers to concentrate on the core competencies of their job, like delivering a well-kept house and keeping the areas maintained f. Allows flexibility of operations in terms of utilizing and rotating the manpower g. Offers specialized and expert guidance for the maintenance of different areas. h. Reduces staff problems in recruitment, training, allocation, appraisals, increments, and dismissals.

2. Refer to Werner Knechtli, general manager at the Radisson SAS Hotel in Berlin insights on outsourcing of housekeeping.

G. Housekeeper’s Report 1. Review definition of housekeeper’s report as the report that verifies the number of rooms sold on a particular night as well as rooms vacant and rooms out of order 2. Stress that it is needed by the night auditor to compile the financial data for the current day’s activities 3. Discuss its origination from communications that are relayed to the front office throughout the day i. PMS ii. Telephone calls iii. Voice messages

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iv. Text messaging v. Emails vi. Electronic data submission vii. Visits to front desk 4. Refer to Figure 10-6 – Housekeeper’s Report H. Communication Methods 1. Review English as a Second Language (ESL) a. Melting pot history of the hospitality industry b. Strategies to assist personnel with English as a second language i. Locate an English-speaking group leader who the minority feels comfortable and communicate with that person to get your strategy developed with others in the minority-speaking group ii. Use English as second language resource on the market as a reference for the minority-speaking employees iii. Discuss developing foreign language training aids with assistance from resources on the market (refer to Figure 15-5 – Spanish numerals –English phonetics pronunciation) 2. Importance of communication between front office and housekeeping departments a. Discuss room attendants completion of work b. Review scenario “Situation 1: “Why Can’t Room Attendants Get Those Rooms Cleaned More Quickly, or, If That Guest Asks One More Time…” c. Evaluate analysis of the scenario in textbook I. Inventory control 1. Discuss linen control system a. Par system – an established level of inventory that provides adequately for service i. Example of par – one set of sheets in the wash, one set of sheets on the bed, and two sets of sheets on the shelf ready for use ii. Based upon level of service desired iii. Allowable expenses in budget 2. Discuss guest supply (guest amenities) control a. Guest amenities – personal toiletries or care items i. Examples – shampoo, hair conditioner, lotion, soap, mouthwash, shoeshine cloth, and mending kit b. Math example of cost of supplying guest amenities c. Importance of controlling costs with Figure 15-7 – Inventory Requisition for Amenities and Figure 15-8 – Weekly Inventory – Guest Supplies

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3. Discuss cleaning supplies control a. Types for guest rooms i. Cleaners ii. Disinfectants iii. Polishers for windows iv. Tile v. Bathroom fixtures vi. Office furniture vii. Kitchen equipment viii. Living room furniture b. Purchase sizes i. One-gallon ii. Five-gallon iii. Larger industrial size iv. Aerosol cans c. Dispensing of cleaning supplies i. Figure 15-9 – Requisition Sheet – Cleaning Supplies ii. Figure 15-10 – Weekly Inventory – Cleaning Supplies 4. Discuss fixtures control a. Examples – light bulbs, batteries b. Regular preventative maintenance program for batteries i. smoke alarms b. System needed for replacing batteries in remote controls for TV c. Use of computerized spreadsheet to track replacement trail of light bulbs and batteries 5. Discuss furniture control a. Examples i. Pictures ii. Beds iii. Headboards iv. Desk chairs v. Tables vi. Arm chairs vii. Desks viii. Portable closets ix. Televisions x. Televisions xi. Computers xii. Armoires b. System to identify each piece of furniture i. Date of purchase ii. Cost iii. Location/relocation iv. Refurbishing v. Other data

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6. Discuss theft control of inventory article by Mark Snyder of Holiday Inn a. Theft costs the lodging industry $100 million annually b. 560,000 towels are stolen per year c. Turn the challenge over to the employees to reduce theft and return a percentage of savings to employees J. Cleaning control 1. Differentiate between standardized routine/daily cleaning and deep cleaning – a more thorough cleaning of furniture and accessories, windows, flooring, and walls 2. Deep cleaning a. Guest rooms b. Public areas c. Communicate with i. Front office manager for low occupancy ii. Maintenance engineer to identify schedule repair dates iii. Food and beverage manager to identify down times for banquet rooms d. Develop a spreadsheet (refer to Figure 15-11 – Deep Cleaning Log) K. In-house laundry versus outsourced laundry 1. Discuss items laundered a. Linens b. Uniforms c. Other fabric items 2. Planning an in-house laundry includes Martin’s list of concepts: a. Determination of needs b. System definition and space allocation c. Equipment layouts d. Equipment selection, specifications, and budgets e. Detailed drawing and specification f. Equipment procurement and shipment coordination g. Installation scheduling and supervision h. Start-up, test, and demonstration i. Operator training, maintenance j. After-sale service 3. Discuss disadvantages of in-house laundry a. Required capital investment for equipment and replacement of that equipment b. Cost of personnel to operate the facility c. Cost of training personnel d. Initial investment in linen and uniform inventory i. Discuss advantages of in-house laundry e. Provides greater control of where and when the inventory will be laundered, stored and ready for use

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4. Discuss outsourcing of laundry a. Eliminates planning – except storage b. No initial cash outlay for equipment and inventory and replacement costs of linens c. Preventive and emergency maintenance of equipment is not a concern d. Irregular pick-up and deliveries may occur L. Occupational Safety and Health Administration (OSHA) 1. Discuss goal of this agency – to send every worker home whole and healthy every day 2. Review tasks as listed in textbook 3. Review employee responsibilities as listed in textbook M. Material Safety Data Sheets (MSDS) 1. Define as a listing of the chemical contents, relative hazards to the users, and name and address of the producers of the contents 2. Indicate they must be made readily available to employees 3. Review the specific requirements of the MSDS as listed in textbook 4. Indicate a reference to the history of the MSDS as listed in textbook N. Americans with Disability Compliance (ADA) 1. Alert students to the section of the ADA – adapting accommodations for people with physical challenges – to help them prepare their future housekeeping staffs for compliance with this law and delivery of hospitality.

2. Discuss the Curtis article on suggestions on assisting guests with disabilities O. Professional Associations 1. Engage students in the importance of membership in professional organizations a. Networking b. Continuing education c. Professional recognition d. Trade journals e. Annual conventions 2. Discuss American Hotel & Lodging Association’s Educational Institute offering of Certified Hospitality Housekeeping Executive (CHHE) program a. http://.www.ahla.com/ b. http://www.ei-ahla.org/ 3. Discuss the International Executive Housekeepers Association offerings of Certified Executive Housekeeper (CEH) and Registered Executive Housekeeper (REH) a. http://www.ieha.org/ b. Executive Housekeeping Today

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P. Role of Chief Engineer 1. Stress management functions a. manages employees b. develops preventatives maintenance and energy savings plans c. interacts with all departments d. provides overall knowledge of building structure, equipment, and environment control.

Q. Job analysis of chief engineer 1. Review job analysis of chief engineer R. Job description of chief engineer 1. Review job description of chief engineer S. Technology 1. Discuss information on Minteck Mobile Data Solutions a. Preventive maintenance b. Asset management c. Capital expenditure planning d. Work orders e. document and contract management f. Track documents such as warranties, architectural designs and, maintenance contracts T. Managing Maintenance Inter-Departmental Communications 1. Point out chief engineer takes pro-active role between departments 2. Provide examples a. Planned electrical outage b. Deep cleaning of floors c. Disaster preparation i. Review Marla Cimini’s article, “When Disaster Strikes Immediate response is the key to recovery” U. Energy Management 1. Relate energy costs to budget 2. Review material from Phil Sprague’s article on energy control a. Lighting b. Heating c. Air conditioning d. Venting The Greening of the Lodging Industry 3. Define as the responsible use of environmental resources 4. Discuss this responsibility with students as “future business persons” 5. Discuss money saved a. Laundry cleaning products b. Energy to operate i. Washers ii. Dryers iii. Other pieces of equipment in laundry 145

c. Water to launder i. Bedding ii. Towels d. Labor in person-hours 6. System to Go-Green a. Place printed card on pillow of unmade asking guests to indicate their preference for bed making as an option 7. Discuss Ishmael Mensah article a. Marketing factor b. Cost savings is the prime motivator for adopting environmental management practices 8. Note that 2007 was the year the hotel industry went “green” a. product line of its own b. investment and property managers started to manage costs c. chief engineers started to find ways to conserve water, electricity, and ecological friendly products 9. Discuss the Cre 8 Hospitality program for implementing a green cleaning program as listed in the text 10. Note that Marriott was the first major hotel company in the U.S. with a LEED certified hotel in October 6, 2005 - The Inn and Conference Center

by Marriott at the University of Maryland in College Park V. Leadership in Energy and Environmental Design (LEED) 1. Discuss the focus of LEED as outlined in the text a. Internationally recognized green building certification system, providing third-party verification, etc., b. It provides concise framework for identifying and implementing practical and measurable green building design, construction, etc., c. Applicable to commercial and residential properties and retrofit d. Promotes a whole-building approach to sustainability - sites; water efficiency; energy and atmosphere; materials and resources; indoor environmental quality; locations and linkages; awareness and education; innovation in design; and regional priority e. Point system based on environmental impacts with bonus for regionally specific environmental issues V.

Supplementary Student Materials to Enhance Active Learning Inside the Classroom A. Review the following inserts in Chapter 15 1. Hospitality Profile – Marti Cannon 2. Frontline Realities – this opportunity of employees dissatisfied over rate of pay focuses upon the management opportunity that an executive housekeeper faces in his or her role. It should alert students to the challenge in this particular job.

3. International Highlight – this opportunity for the housekeeping staff to accommodate international guests is an excellent opportunity to involve them and it points out how important they are in not only delivering hospitality, but making a profit for the hotel.

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4. Frontline Realities – this insight focuses on the MSDS that were previously explained in the text and will be a good review for the students.

5. Solution to Opening Dilemma – this solution directs students to return to earlier presented material to justify why the system is breaking down – lack of proper training, adequate supervision and motivation, or adequate tools and equipment.

6. End of Chapter Questions 1) Refer to the information in the text where return visits are made because of cleanliness of rooms.

2) Answers will vary, but the organization chart listed in the text should provide some guideline.

3) Answers will vary, but the organization chart listed in the text should provide some guideline.

4) The job analysis of the an executive housekeeper reveals the job is focused on the small details of running a department, interaction with others such as front office and security. The department provides a service to the guest, good communication is essential.

5) Assignment of work load significance: a. to hotelier and general manager – measure of effective use of human resources, daily income, and guest hospitality b. executive housekeeper – an indicator of how efficient his or her staff in meeting daily goals and providing guest hospitality c. room attendant – the work of the day 6) List of skills to train a room attendant: a. bed making b. vacuuming c. dusting d. window and mirror cleaning e. setup awareness of the room f. bathroom cleaning g. daily routine of the worker h. caring for and using equipment i. industrial safety 7) Answers will vary on self-inspection but should include time saving, building employee confidence, and requirement for motivational system. Evaluation mechanism must be in place such as guest comment cards or front desk staff asking random questions at check out concerning cleanliness of bathroom, bedding, proper working of electronics, etc. Students should include comments on “Zero Defects Program.”

8) It is needed by the night auditor to compile the financial data for the current day’s activities.

9) Answers will vary, but answers should focus on the composite of international personnel that are hired in the housekeeping department.

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10) A par system is an established level of inventory that provides adequately for service set upon level of service desired and allowable expenses in budget. Example of par – one set of sheets in the wash, one set of sheets on the bed, and two sets of sheets on the shelf ready for use. Raising the par by one will cost money in the budget.

11) Refer to Figure 15-7 – Inventory Requisition for Amenities and Figure 15-8 – Weekly Inventory – Guest Supplies for cost control of amenities.

12) Refer to Figure 15-9– Requisition Sheet – Cleaning Supplies and Figure 15-10 – Weekly Inventory – Cleaning Supplies for cost control of cleaning supplies.

13) A computerized spreadsheet program to control the maintenance of the fixtures in a hotel would track dispensing of replacement trail of light bulbs and batteries.

14) Answers will vary, but should reflect thoughts on article by Mark Snyder of Holiday Inn. 15) Deep cleaning – a more thorough cleaning of furniture and accessories, windows, flooring, and walls. Executive housekeepers communicate with front office manager for low occupancy, maintenance engineer to identify schedule repair dates, and food and beverage manager to identify down times for banquet rooms.

Executive housekeepers also maintain a spreadsheet – Deep Cleaning Log. 16) Include the following in planning an in-house laundry: a. determination of needs b. system definition and space allocation c. equipment layouts d. equipment selection, specifications, and budgets e. detailed drawing and specification f. equipment procurement and shipment coordination g. installation scheduling and supervision h. start-up, test, and demonstration i. operator training, maintenance j. after-sale service 17) The pros and cons of an in-house versus an outsourced laundry include the following. a. disadvantages of in-house laundry i. required capital investment for equipment and replacement of that equipment ii. cost of personnel to operate the facility iii. cost of training personnel iv. initial investment in linen and uniform inventory b. advantages of in-house laundry i. provides greater control of where and when the inventory will be laundered, stored and ready for use c. disadvantage of outsourcing laundry

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i. irregular pick-up and deliveries may occur d. advantages of outsourcing of laundry i. eliminates planning – except storage ii. no initial cash outlay for equipment and inventory and replacement costs of linens iii. preventive and emergency maintenance of equipment is not a concern 18) The main features of the Occupational and Health Administration law of April 28, 1971 include the following. a. goal of this agency – to send every worker home whole and healthy every day b. refer to listing in text for agency and employer 19) Material Safety Data Sheets (MSDS) are a listing of the chemical contents, relative hazards to the users, and name and address of the producers of the contents. They must be made readily available to employees.

20) Ways to comply with the Americans with Disability Act include – refer to Curtis article in textbook: a. hand-on training – wheel chair experience b. leave personal belongings precisely where they were found c. do not relocate hand-held showerhead d. do not reposition furniture e. keep hallways clear f. explain where emergency exits are located g. etc.

21) Answers will vary on the opinions of the requirements of the certifications for executive housekeepers from these professional associations. Have students justify their opinions.

22) Job analysis reveals the chief engineer is actively involved with the maintenance staff and the hotel staff. Planning, supervising, and communicating on are essential aspects of this person’s role in the management team.

23) Answers will vary on software that is found that will assist chief engineers in managing their department.

24) The chief engineer has to take the lead in communications with employees when maintenance projects involve guest safety, security, and their lodging and food services. Examples are provided in text.

25) Controlling energy begins with an energy audit. It can also begin with an employee committee to discuss ways to save on energy.

26) Answers will vary. Students can refer to ideas presented in text.

27) It provides a providing third-party verification system and a vast resource for builders, contractors, and operators who want to be responsible environmental stewards.

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B. Case Studies 1. Case Study 1501 – This case study emphasizes the fact that the executive housekeeper is a part of the management team. He has to develop a plan to involve his staff to help bring those corporate guests back for multiple visits with clean rooms. The hotel is spending a large sum of money to attract the guest the first time and the only way they will return is through the housekeeping department’s effort. Students will have to go back through the chapter and choose various sections from management to devise a plan of action.

2. Case Study 1502 – Students should review the pros and cons of in-house versus out-sourcing laundry.

3. Case Study 1503 - Students can determine research more details of this case by logging on to the LEED web site in addition to the material found in this chapter. Students should focus upon the following concepts: background of granting agency; levels of certification; and point system.

VI.

Supplementary Student Activities to Enhance Active Learning Outside the Classroom A. Assign students the following project to assist them in gaining additional information on the topics presented in class: Go to the website http://www.hotel-online.com, http://www.hotelbusiness.com, http://www.hotelsmag.com/, http://www.google.com or http://www.yahoo.com and ask them to look for a recent article on any of the following topics and bring into class for “show and tell.”

1. executive housekeeper 2. material safety data sheets 3. par stock of linens 4. hotel toiletries 5. English as a Second Language 6. Going Green 7. inventory control 8. Occupational Safety and Health Administration 9. Americans with Disabilities Act of 1990 10. chief engineer 11. Leadership in Energy and Environmental Design (LEED)

VII.

Supplementary Website Resources to Enhance Student Active Learning A. Any of the following websites are very good resources for students to gain exposure.

1. http://www.hotel-online.com 2. http://www.hotelbusiness.com 3. http://www.ahla.com An instructor may want to assign the student a particular website and ask students to list some features that they found useful.

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International Executive Housekeepers Association (IEHA): http://www.ieha.org/ VIII.

Supplementary A/V Material Resources to Enhance Student Active Learning A. The following website of the Educational Institute of the American Hotel & Lodging Association provides a listing of videos and other educational material that may supplement the student’s active learning: http://www.eiahla.org/productshowcase.asp

IX.

Quiz Questions – Chapter 15 1. Executive housekeepers have become members of the executive teams in hotels. a. True b. False 2. Which of the following concepts are included in determining the number of rooms a room attendant can clean during a day? a. design of the room b. room furnishings c. number of people occupying the room d. training provided for employees e. all of the above 3. Zero Defects Program of self-inspection of guest rooms should include which of the following for room attendants? a. instructions on how to clean a room b. instructions on how to repair a broken television set c. incentives d. instructions on how to repair major appliances 4. The housekeeper’s report verifies the number of rooms sold on a particular night as well as rooms vacant and rooms out of order. a. True b. False 5. A “par of two” sheets indicates which of the following? a. one set of sheets on the bed and one set of sheets in the wash b. one set of sheets on the bed and one set of sheets on the shelf c. one set of sheets in the wash and one set of sheets on the shelf d. none of the above 6. Deep cleaning is a term that indicates a thorough cleaning of expensive rugs only. a. True b. False

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7. Some of the advantages of in-house launder is greater control of where and when the inventory will be laundered, stored and ready for use. a. True b. False 8. The goal of the Occupational Safety and Health Administration is to send every worker home whole and healthy every day. a. True b. False 9. Material Safety Data Sheets only list chemical contents, not relative hazards to the users. a. True b. False 10. Going Green is a term that incorporates which of the following concepts? a. saving money in laundry cleaning products b. saving money in energy to operate washers and dryers c. saving labor to launder bedding and towels and labor d. conserving natural resources of water and energy e. all of the above 11. This professional association offers Certified Executive Housekeeper certification. a. American Hotel & Lodging Association b. American Executive Housekeepers Association c. International Housekeepers Association d. International Executive Housekeepers Association 12. A typical responsibility of a chief engineer would be which of the following? a. managing electricians b. developing preventative maintenance and energy saving plans c. providing overall knowledge of building structure equipment, and environment control d. all of the above e. none of the above 13. The first major hotel company in the U.S. with a LEED certified was which of the following? a. The Inn and Conference Center by Marriott at the University of Maryland in College Park b. Tacoma Hilton, Tacoma, Kansas c. Greater Sheraton, NY, NY d. Ritz Carlton, Hawaii

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14. The acronym LEED indicates an internationally recognized green building certification system. a. True b. False 15. LEED applies to commercial buildings only. a. True b. False 16. LEED uses a rating scale based upon which factors? a. water efficiency b. energy & atmosphere c. both A & B d. materials & resources e. all of the above Answers to Exam Questions – Chapter 15 1. A 2. E 3. C 4. A 5. A 6. B 7. A 8. A

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9. B 10. E 11. D 12. D 13. A 14. A 15. B 16. E