TEST 4 Chapter 16 Hotel Managements Focus Three key constituencies of the hotel business Organization Structure stay o Hotel Guests o Employees Satisfied guests source of revenue hotel profitability Hotels require a dedicated team of productive customer focused employees that consistently meet or exceed guest expectations to be successful o Investors Three Keys to success Without investors a hotel would not exist o Employees seeking intrinsic extrinsic job satisfaction o Investors seeking return on investment o Guests Seeking overnight accommodations and a pleasant productive Full service hotel operations are organized into two primary operating divisions they are room division and beverage division These two operating divisions are supported by administrative team sales and marketing professionals engineering department Rooms division All areas of operation related to providing overnight accommodations to guest These are Guests Service operations Front Office Revenue management reservations and housekeeping operations o Guest Service Primary responsibility is to build positive mutually rewarding relationships with hotels guest The players in this agent include doormen bellmen night auditors concierge staff o Revenue Management1 responsible for assessing guests needs selling accommodations that fulfill requirements at appropriate guestroom rate Revenue managers have a significant impact on profitability the departments function is maximizing sales provide weekly forecasts these are critical for proper staff scheduling and impacts of labor costs o Houskeeping Operations Primary responsibilities are cleanliness of entire hotel property guestrooms stocked appropriately with supplies keep facility clean to guests satisfaction This department may include Laundry operations in large full service hotels processing thousands of pounds of laundry daily and turndown service in upscale luxury properties o Provides meals and beverage service to guests Is complex and challenging to operate due to lower contribution margins than the rooms division Food and Beverage Division Food and Beverage Department outlets any dining provider in hotel along with room service Catering sales Department events and meals planned sold within property o Banquet Department ensures meeting rooms are set to clients specifications Breaks meals events are served executed o Beverage Operations Control and distribution of alcoholic beverage o Culinary Operations Executive chef is responsible for all food Sales and Marketing production Administrative and General Responsible for driving revenue by attracting meetings conventions and individual guests A group is typically defined as clients requiring 10 guestrooms or more Get leads form variety of sources Local chamber of commerce CVB national sales offices and more Oversees local advertising and public relations Many hotels engage in local activities such as charitable events for good corporate citizenship Accounting Responsible for accounts payable accounts receivable financial reporting and cost control Human Resources Oversee all employment processes including raining and development compensation and benefits Security and loss prevention Professionals trained to minimize losses of all kinds responsible for emergency procedures and to ensure safety and well being of guests and associates Engineering Property Operations and Maintenance Oversees the maintenance of hotel Aggressive preventative maintenance program wide range of specialized technicians upkeep for real estate valuation Utility management and sustainability Often a committee function charged with determining strategies to reduce utility expenses improve sustainability practices Senior Management Team at full service hotel properties often called the Executive Operating Committee EOC Comprised of the General Manager GM who oversees rooms division manager Director of food and beverage Director of sales and marketing Controller Director of Human Resources Management Structure CHAPTER 17 FOOD SERVICE SEGMENT First split or Segment The foodservice sector of the hospitality industry is VERY LARGE and includes MANY DIFFERENT TYPES of eating establishments Foodservice segments or categories begin by separating foodservice businesses into 2 broad types 1 Commercial and 2 Non Commercial Commercial is these businesses operate to generate revenue profitability is a primary goal Example are restaurants Commercial Foodservice Non Commercials primary goal is not to generate revenue or profit These businesses may may not make money but it is not their primary purpose for being in business These are often called institutional or On Site operations Example hospital or school foodservices Has three categories within its segment Hospitality Industry Food and Beverage Commercial Non Commercial quick service casual dining fine dining Quick Service known as Fast Food or Limited Service offers only limited number of menu items you have very short amount of wait time for food customer orders either at a counter or drive through and customer pays for food before consuming Their Target Market is individuals seeking low cost value and limited time Casual Dining created to cater to middle class who enjoy going out to eat They provide service without high price of fine dining promote relaxed atmosphere and sometimes may revolve around a theme Red Lobster Seafood Olive Garden Italian Fine Dining Patron expects a high level experience and high degree of service D cor helps to deliver feeling of a superior dining experience and expensive pricing is associated with upscale dining restaurants Bill for this style of dining may exceed 100 per person Other Operations Hotel Foodservice o Extended hours to serve guests on property different menus outlets profit margins usually lower than typical restaurant Country Club Foodservice o Wide range of foodservice concepts offered upscale dining special events casual or family dining or grill pool snack bar cart girls Airlines Airports o Increased costs reduced board service Some terminal foodservice businesses may have increased as result of security restrictions passengers arrive Earlier Cruise Ships o All you can eat inclusive pricing Achieve success by offering wide variety of choices menu variety different themes different segments Quick service casual and fine dining Tourist Attractions Foodservice o Theme parks sport venues Offering a multitude of services at varying price points Ex DISNEY Rays
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