Front Office And Hotel Organization (upd.)

Front Office And Hotel Organization (upd.) Casa High School Andreas Kassinos 2018-2019

Competencies for this lesson Explain what a mission is, and describe how goals, strategies, and tactics are used to accomplish a hotel s mission. Describe how hotels are organized and explain how functional areas within hotels are classified. Describe the functions performed by departments and positions within the rooms division.

Competencies for this lesson Explain what a mission is, and describe how goals, strategies, and tactics are used to accomplish a hotel s mission. Describe how hotels are organized and explain how functional areas within hotels are classified. Describe the functions performed by departments and positions within the rooms division. Identify the functions performed by other divisions and departments within a full-service hotel. Describe the organization of the front office, including traditional work shifts, alternative scheduling practices, and the purpose of job descriptions and job specifications.

Hotel s Mission A hotel is an establishment that provides paid lodging on a shortterm basis. Facilities provided may range from a modest-quality mattress in a small room to large suites with bigger, higher-quality beds, a dresser, a refrigerator and other kitchen facilities, upholstered chairs, a flat screen television, and en-suite bathrooms.

Etymology Hospital, Hostel, Hotel, Host. Interesting that these words are derived from Latin "hospes," which confusingly means "guest; host". More on that below. Hospital - "shelter for the needy" Old French, hospital ("hostel, shelter, lodging") Latin, hospitale ("guest-house, inn") Latin adjective hospitalis ("of a guest or host") - from hospes "guest; host" Hostel - "inn, house of entertainment," Old French ostel, hostel ("house, home, dwelling; inn, lodgings, shelter") Hotel - "public official residence" French hôtel ("mansion, palace, large house") Old French ostel, hostel ("a lodging"). The same word as hospital. Host - "person who receives guests"

Global Issues and Challenges in the Hospitality Industry Global uncertainty Economy Human resources issues Labor intensive Branding issues Financial viability Technology Driving force for efficiency improvement Yield management Customer relationship management Operating costs Supply issues Distribution channel issues Airlines in the 21st century

Global Issues and Challenges in the Hospitality Industry Safety and security Diversity Changes in demographics Customer issues Value for money Sanitation issues iso endorsement Sustainability issues If room is not sold cannot be stored - Perishability issues A room purchase does not give ownership to the customer The customer must go to the Hotel in order to make the purchase contrary o the purchase of other goods

Hotel Organization

LODGING OPERATIONS This lesson will focus on the function and operation of hotels. Although hotels range in size from under 100 rooms to over 5,000 rooms, functions remain essentially the same Size does affect how responsibilities are separated however (and staffing) Hotels are generally divided into three major functional areas

HOTEL OPERATIONS Rooms Division Includes Front Desk, Reservations, Uniform Services (Security, etc.), and Housekeeping Food and Beverage department Includes Restaurants, Bars, Banquets and Room Service Staff and support departments Includes Accounting, Engineering, Marketing, Human Resources and Contracted areas

ROOMS DIVISION The Rooms Division is an important part of the hotel It is the main business of the hotel and the main source of revenue Rooms can contribute 70 percent or more to overall revenue and even more to profit

ROOMS DIVISION The Rooms Division is overseen by the Resident Manager (or Assistant General Manager) and various department heads

ROOMS DIVISION The center of activity in the Rooms Division is the Front Office The Front Office is responsible for checking guests in, checking them out, securing payment, listening to complaints, communicating with other departments, determining room availability, and selling additional rooms, among other responsibilities

ROOMS DIVISION The Reservations department is responsible for taking reservations. Reservations can be made by the guest via other methods but many requests are still made through the hotel s reservation department Reservations must maintain contact with other departments as well as other reservations channels to be able to forecast available rooms

ROOMS DIVISION The Reservations department attempts to maximize (1) room rate and (2) occupancy rate This is known as Yield Management maximizing these two at any given time Reservations departments must consider city wide events, competition, minimum stays, etc.

HOUSEKEEPING The essential requirement that guests have is to be able to check into a clean room The Housekeeping Department is responsible for cleaning of guest rooms, stocking essential supplies and amenities, laundry (sometimes) and maintenance of public areas Housekeeping is one of the largest departments in the hotel (up to 50 % of all employees)

HOUSEKEEPING The Executive Housekeeper is the head of the department He or she must be adept at scheduling, coordinating, managing people, etc. A primary responsibility is overseeing room attendants Room Attendants are responsible for cleaning of individual guest rooms Housekeepers work from a Rooms Report which provides them with the status of all guest rooms from which they can prioritize their work

HOUSEKEEPING The Housekeeping Department must know at any given time, the occupancy of the hotel, the number of guests checking in, the number of guests checking out, the number of guests staying over, late check-outs, etc. Rooms can take as little as 20 minutes or as much as 1 hour to clean and prepare for the next guest Check-in and Check-out times are based in large part on the time it takes to clean a room

UNIFORMED SERVICES The Uniformed Services Department is another important department in the Rooms Division of a hotel It consists of the Bell Staff, Valet, Security and Concierge The bell staff assists with luggage, acts as an escort and answers questions The valet assists with parking

UNIFORMED SERVICES The Concierge is the resident expert in activities, events, restaurants and attractions The position of Concierge is becoming more important as hotels try to offer a higher level of guest services There is an international association for concierges (Les Chefs d Or) Sometimes this responsibility falls to the bell staff or the front desk clerks in smaller hotels

SECURITY This department as well is becoming more important Crime is increasing in many areas, particularly downtown areas Hotels are required to provide reasonable care of their guests which includes general security, locks and lighting and security of guest belongings

SECURITY New security measures that have been introduced in recent years include: In-room safes Keyless locks (with magstrips) Tighter security at the front desk Redesigned hotels where guests (and others) must pass through the lobby

FOOD AND BEVERAGE The Food and Beverage department can contribute 15 to 20 percent of overall revenue It should be a profit center but does not always make money for the hotel This department is headed up by a Food and Beverage Manager who oversees both Front-of-the- House and Back-of-the-House functions

FOOD AND BEVERAGE Banquets are often profitable for hotels. Can support meetings and conferences or outside functions Restaurants hotels are changing their views of their restaurants. Some are limiting what they offer and others are outsourcing Bars, room service, food production, stewarding are other areas

STAFF AND SUPPORT DEPARTMENTS Sales and Marketing Responsible for creating customers Largely revolves around selling blocks of rooms Can be a large department in convention hotels specialized by market Accounting Role is moving beyond just bookkeeping Includes overseeing the house ledger and the city ledger Also, includes the night audit

STAFF AND SUPPORT DEPARTMENTS Human Resources Labor intensive industry requires progressive H/R Responsibilities include supporting line departments in all H/R related activities (hiring and recruiting, training, staffing, etc.) Engineering Oversees Heating, Cooling, Water, Lighting, Telecommunications, Energy Management, Electric, other

FINANCIAL MANAGEMENT Income and Expenses Revenue and profit Changes in income and expenses over time Outsourcing as a strategy to cut costs Cost of maintaining a hotel

KEY OPERATING RATIOS Occupancy percentage = Rooms sold Total rooms available Example: 500 room hotel sells 300 rooms Average rate = Dollar sales Number of rooms sold Example: $18,000 in sales

KEY OPERATING RATIOS Number of guests per occupied room = Number of guests Number of occupied rooms Revpar revenue per available room = Rooms revenue Available rooms or Paid occupancy percentage * ADR (Average Daily Rate) Average rooms cleaned per room attendant day = Number of rooms occupied Number of eight-hour shifts

CAREER ENTRY POINTS Front office Accounting Sales and marketing Food and beverage

Front Office Functions Casa High School Andreas Kassinos 2018-2019

Front Office Operations & Administration Advanced Bookings: 1. Enquiries 2. Reservation Forms 3. The Black List 4. Offering Alternatives 5. The Bookings Diary 6. Room Availability Records 7. Computerized Reservations

Front Office Operations & Administration Check-In, Check out & Related Issues: 8. Arrival & Registration 9. Guest in Residence STATUS 10. Departures 11. Guest Accounting: 12. Guest Accounting 13. Methods of Payment

Front Office Operations & Administration Security: 14. Protecting the Guest 15. Protecting the Hotel Hospitality: 16. Guest Needs 17. Service 18. Roles 19. Communication

Front Office Operations & Administration Social Skills: 20. Behavior 21. Transactional Analysis 22. Role Playing Sales: 23. Increasing Occupancies 24. Increasing Average Room Rates 25. Marketing Aspects: 26. Reaching the Customer - Advertising 27. Reaching the Customer - Intermediate Agencies 28. Selling to Intermediaries

Front Office Operations & Administration Tariffs: 29. Cost-Based Pricing 30. Market-Based Pricing 31. Inclusive/Non-Inclusive Rates 32. Yield Management, Groups etc. 33. Yield Management 34. Groups 35. Conferences 36. Timeshares

Front Office Operations & Administration Control: 37. Verification 38. Night Audit 39. Computerized Control Systems 40. Occupancy & Revenue Reports 41. Forecasts 42. Other Statistics 43. Assigning Guest Satisfaction Staffing & Equipment: 44. Staffing

Front Office Operations & Administration Function of the Front Office Manager A successful front office manager conveys the spirit of a particular lodging property to the customer. By applying management principles, he or she works through the front office staff to communicate feelings of warmth, caring, safety, and efficiency to each guest. The front office manager must train personnel in the technical aspects of the property management system (PMS), a hotel computer system that networks the software and hardware used in reservation and registration databases, point-of-sale systems, accounting systems, and other office software.

Front Office Operations & Administration Function of the Front Office Manager He or she also must maintain the delicate balance between delivery of hospitality and service and promotion of the profit centers, and maintain the details of the communication system. This manager is responsible for coordinating these basic elements to achieve the profit goals of the lodging property. Front office employees must be trained properly to function within the guidelines and policies of the lodging establishment. The front office manager cannot assume that an employee knows how to do certain tasks. Every employee needs instructions and guidance in how to provide hospitality; front office employees attitudes are of utmost importance to the industry.

Front Office Operations & Administration Function of the Front Office Manager To ensure that the proper attitude prevails, the atmosphere in which employees work must motivate them to excel and nurture morale and teamwork.

Front Office Operations & Administration FO Manager Job Analysis and Job Description A job analysis, a detailed listing of the tasks performed in a front office manager s job, provides the basis for a sound job description. A job description is a listing of required duties to be performed by an employee in a particular position. Although almost nothing is typical in the lodging industry, certain daily tasks must be performed. A job analysis is useful in that it allows the person preparing the job description to determine certain daily procedures.

Front Office Operations & Administration The following is the job analysis daily time table of a typical front office manager: 7:00 a.m. Meets with the night auditor to discuss the activities of the previous night. Notes any discrepancies in balancing the night audit. 7:30 Meets with the reservation clerk to note the incoming reservations for the day. 8:00 a.m. Greets the first-shift desk clerks and passes along any information from the night auditor and reservation office. Assists desk clerks in guest check- out. 8:30 Meets with the housekeeper to identify any potential problem areas of which the front office staff should be aware. Meets with the plant engineer to identify any potential problem areas of which the front office staff should be aware. 9:00 Meets with the director of marketing and sales to discuss ideas for poten- tial programs to increase sales. Discusses with the banquet managerdetails of groups that will be in-house for banquets and city ledger accounts that have left requests for billing disputes. 9:30 Checks with the chef to learn daily specials for the various restaurants. This information will be typed and distributed to the telephone operators.

Front Office Operations & Administration 9:00 Meets with the director of marketing and sales to discuss ideas for poten- tial programs to increase sales. Discusses with the banquet managerdetails of groups that will be in-house for banquets and city ledger accounts that have left requests for billing disputes. 9:30 Checks with the chef to learn daily specials for the various restaurants. This information will be typed and distributed to the telephone operators.

Front Office Operations & Administration 9:45 Meets with the front office staff to discuss pertinent operational information for the day. Handles guest billing disputes. 11:00 Meets with the general manager to discuss the development of the next fiscal budget. 12:30 p.m. Works on forecasting sheet for the coming week. 1:00 Has a lunch appointment with a corporate business client.

Front Office Operations & Administration 2:15 Works on room blocking reserving rooms for guests who are holding reservations for group reservations with the reservations clerk. 2:30 Works with the controller on budgetary targets for the next month. Receives feedback on budget targets from last month. Checks with the house- keeper on progress of room inspection and release. 2:45 Checks with the plant engineer on progress of plumbing repair for the eighteenth floor. 3:00 Greets the second-shift desk clerks and relays any operational information on reservations, room assignments, room inventory, and the like.

Front Office Operations & Administration 3:15 Assists the front desk clerks in checking in a tour group. 4:00 Interviews two people for front desk clerk positions. 4:45 Assists the front desk clerks in checking in guests. 5:15 Reviews trade journal article on empowerment of employees. 5:45 Telephones the night auditor and communicates current information pertinent to tonight s audit. 6:00 p.m. Checks with the director of security for information concerning security coverage for the art exhibit in the ballroom. 6:30 Completes work order request forms for preventive maintenance on the front office posting machine. 6:45 Prepares things to do schedule for tomorrow.

Front Office Operations & Administration This job analysis reveals that the front office manager has a busy schedule involving hands-on participation with the front office staff and communication with the various department heads in the lodging establishment.

Front Office Operations & Administration JOB DESCRIPTION of FO MANAGER Based on this job analysis, a job description for a front office manager would be easily prepared, The job description is an effective management tool because it details the basic tasks and responsibilities required of the front office manager. These guidelines allow the individual to apply management principles in the development of an effective front office department. They also challenge the person in the job to use prior experience and theoretical knowledge to accomplish the tasks at hand.

Front Office Operations & Administration JOB DESCRIPTION of FO MANAGER Title: Front Office Manager Reports to: General Manager & Typical duties: 1. Reviews final draft of night audit. 2. Operates and monitors reservation system for guest room rentals. 3. Develops and operates an effective communication system with front office staff. 4. Supervises daily operation of front office reservations, registrations, and checkouts. 5. Participates with all department heads in an effective communications system facilitating the provision of guest services.

Front Office Operations & Administration JOB DESCRIPTION of FO MANAGER 6. Plans and participates in the delivery of marketing programs for the sale of rooms and other hotel products and services. 7. Interfaces with various department heads and controller regarding any billing disputes involving guests. 8. Develops final draft of budget for front office staff. 9. Prepares forecast of room sales for upcoming week, month, or other time period as required. 10. Maintains business relationships with various corporate community leaders. 11. Oversees the personnel management for the front office department. 12. Performs these and other duties as required.

Front Office Operations & Administration FRONT OFFICE STAFF The staff includes: 1. desk clerk 2. cashier 3. reservations manager 4. concierge, night auditor 5. telephone operator 6. bell staff 7. room key clerk 8. elevator operator

Front Office Operations & Administration Not all of these positions are found in every lodging establishment. In some operations, the front desk clerk acts as desk clerk, cashier, telephone operator, and reservations clerk, as required by the volume of business. Many large, full-service hotels employ the complete staff as listed. Staffing the front desk positions incurs a cost to the lodging establishment. The front office manager, in consultation with the general manager, usually prepares a personnel budget that is related to salary levels throughout the lodging establishment

Front Office Operations & Administration The responsibilities of the front office staff are quite varied. The position of the desk clerk can encompass many duties, which typically include verifying guest reservations, registering guests, assigning rooms, distributing keys, communicating with the housekeeping staff, answering telephones, providing information about and directions to local attractions, accepting cash and giving change, and acting as liaison between the lodging establishment and the guest as well as the community.

Front Office Operations & Administration The position of cashier includes processing guest checkouts and guest legal tender and providing change for guests. This position is found in a number of lodging establishments, and it helps to make the front desk workload manageable when a full house, a hotel that has all its guest rooms occupied (sometimes referred to as 100 percent occupancy) is checking out. Think of the possibility that a 400-guest convention could all check out in a short time period, this division of labor is a well-planned concept. Even with the best- planned systems such as express checkout, whereby the guest uses computer technology in a guest room or a computer in the hotel lobby to check out; prior approved credit, the use of a credit card to establish credit worthiness; or bill-to-account, an internal billing process the lines at the cashier station can be long when a guest is in a hurry.

Front Office Operations & Administration The reservations manager is a position that can be found in many of the larger lodging establishments. This person is responsible for taking incoming requests for rooms and noting special requests for service. The particulars of this position are endless, aimed at providing the guest with requested information and services as well as accurate confirmation of these items. The reservations manager is responsible for keeping an accurate room inventory by using a reservation module of a property management system. This person must communicate very effectively with the marketing and sales department.

Front Office Operations & Administration The night auditor balances the daily financial transactions. This person may also serve as desk clerk for the night shift (11:00 p.m. to 7:00a.m.). He or she must have a good grasp of accounting principles and the ability to resolve financial discrepancies. This position requires experience as a desk clerk and good communications with the controller. The telephone operator has a very important job in the lodging establishment. This person must be able to locate the registered guests and management staff at a moment s notice. He or she is also expected to be able to deal with crises such as life-threatening emergencies.

Front Office Operations & Administration The bell captain, with the entourage of bellhops and door attendants, is a mainstay in the lodging establishment. The bell staff starts where the computerized property management system stops. They are the people who lift and tote the baggage, familiarize the guest with his or her new surroundings, run errands, deliver supplies, and provide the guest with information on in-house marketing efforts and local attractions. These people also act as the hospitality link between the lodging establishment and the guest. They are an asset to a well-run lodging establishment.

Front Office Operations & Administration The elevator operator, a person who manually operates the mechanical controls of the elevator, is almost an extinct species in the lodging establishment. This person has been replaced by self-operated elevators and escalators. Some of these people have been relocated to serve as traffic managers, who direct hotel guests to available elevators in the lobby. In large, full-service hotels, the traffic manager can be a welcome sight; often the confusion of check-ins and checkouts can be lessened when he or she is on duty.

Front Office Operations & Administration The concierge provides extensive information on entertainment, sports, amusements, transportation, tours, church services, and baby-sitting in the area. He or she must know the area intimately and must be able to meet the individual needs of each guest. This person also obtains theater tickets and makes reservations in restaurants. In most cases, the concierge is stationed at a desk in the lobby of the lodging property.