Managing Front Office Operations

by Kasavana, Michael L.; Brooks, Richard M.

• ISBN13: 9780866122252
• ISBN10: 0866122257
• Edition: 6th
• Format: Paperback
• Copyright: 2001-09-01
• Publisher: Educational Inst of the Amer Hotel

Author Biography

Michael L. Kasavana, Ph.D., is the National Automatic Merchandising Association (NAMA) Professor in Hospitality Business in The School of Hospitality Business at Michigan State University. Dr. Kasavana did both his undergraduate and graduate work at the University of Massachusetts -- Amherst. He received a bachelor's degree in hotel, restaurant, and travel administration; a master of business administration in finance; and a doctorate in management information systems. He has written several books, instructional software packages, and a host of research journal and trade industry magazine articles. Dr. Kasavana's teaching and research efforts have been sharply focused on computers in hotels, restaurants, casinos, vending, and clubs. He is an active consultant and a recipient of the MSU Distinguished Faculty Award, MSU Teacher-Scholar Award, and the Eli Broad College of Business Withrow Teacher/Scholar Award. He has presented numerous seminars on a variety of topics in the United States, Canada, Hong Kong, and other areas of the world. Dr. Kasavana is also a member of the Hospitality Financial and Technology Professionals (HFTP) International Technology Hall of Fame and a recipient of the Distinguished Achievements Award from the Food Service Technology Exhibition and Convention (FS/TEC) consortium. In addition to his responsibilities at the MSU hospitality business school, Dr. Kasavana serves as the university's Faculty Athletic Representative to the NCAA, Big Ten, and CCHA athletic conferences and chairs the MSU Athletic Council. Richard M. Brooks, CHA, currently serves as Vice President, Service Delivery Systems for MeriStar Hotels and Resorts, Inc. and is responsible for the development, implementation, and maintenance of the company's operations policies, procedures, standards, and best practices. Before joining MeriStar, Mr. Brooks was Vice President of Operations for BridgeStreet Accommodations, Inc. Mr. Brooks was previously Vice President of Rooms Management for Renaissance Hotels and Resorts, and Stouffer Hotels and Resorts. Mr. Brooks has also held positions with Fidelity Investments, The Boca Beach Club, Hyatt Hotel Company, NCR Corporation, and Purdue University. Mr. Brooks received B.A. and M.B.A. degrees in lodging management from Michigan State University. He has also been designated a Certified Hotel Administrator by the Educational Institute of the American Hotel and Lodging Association and is a member of the International Technology Hall of Fame sponsored by Hospitality Financial and Technology Professionals (HFTP). Mr. Brooks is a member and past co-chairperson of the AHandLA Technology Committee and a past member of the AHandLA Strategic Planning Committee. In addition, Mr. Brooks has been a guest speaker at recent International Hotel and Motel Expositions in New York and many International Hospitality Technology Expositions and Conferences.

Table of Contents

About the Authors	p. xiii
The Lodging Industry	p. 3
The Hospitality Industry	p. 3
Defining the Term Hotel
Classifying Hotels
Size	p. 5
Target Markets	p. 6
Commercial Hotels
Airport Hotels
Suite Hotels
Extended Stay Hotels
Residential Hotels
Resort Hotels
Bed and Breakfast Hotels
Vacation Ownership and Condominium Hotels
Casino Hotels
Conference Centers
Convention Hotels
Alternative Lodging Properties
Levels of Service	p. 18
The Intangibility of Service
Quality Assurance
Rating Services
World-Class Service
Mid-Range Service
Economy/Limited Service
Ownership and Affiliation	p. 24
Independent Hotels
Chain Hotels
Reasons for Traveling	p. 28
Business Travel
Pleasure Travel
Group Travel
Buying Influences
Multicultural Awareness	p. 32
Hotel Organization	p. 45
Organizational Missions	p. 45
Goals
Strategies and Tactics
Hotel Organization	p. 48
Organization Charts
Classifying Functional Areas
Rooms Division
Food and Beverage Division
Sales and Marketing Division
Accounting Division
Engineering and Maintenance Division
Security Division
Human Resources Division
Other Divisions
Front Office Operations	p. 64
Organization
Workshifts
Job Descriptions
Job Specifications
Model Job Descriptions	p. 78
Front Office Operations	p. 91
The Guest Cycle	p. 91
Pre-Arrival
Arrival
Occupancy
Departure
Front Office Systems	p. 98
Non-Automated
Semi-Automated
Property Management Systems
Front Office Processes	p. 102
Pre-Arrival
Arrival
Occupancy
Departure
The Front Desk	p. 104
Functional Organization
Design Alternatives
Telecommunications	p. 107
Telecommunications Equipment
Property Management Systems	p. 112
Reservations Management Software
Rooms Management Software
Guest Account Management Software
General Management Software
Back Office Interfaces
System Interfaces
Reservations	p. 127
Reservations and Sales	p. 128
Types of Reservations	p. 130
Guaranteed Reservations
Non-Guaranteed Reservations
Reservation Inquiry	p. 132
The Seven Step Reservation Sales Process
Central Reservation Systems
Global Distribution Systems
Intersell Agencies
Property Direct
Reservations Through the Internet
Group Reservations	p. 141
Reservation Availability	p. 147
Reservation Systems
The Reservation Record	p. 150
Reservation Confirmation	p. 151
Confirmation/Cancellation Numbers
Reservation Maintenance	p. 153
Modifying Non-Guaranteed Reservations
Reservation Cancellation
Reservation Reports	p. 155
Expected Arrival and Departure Lists
Processing Deposits
Reservations Histories
Reservation Considerations	p. 156
Legal Implications
Waiting Lists
Packages
Potential Reservation Problems
Registration	p. 169
Preregistration Activity	p. 169
The Registration Record	p. 172
Room and Rate Assignment	p. 174
Room Status
Room Rates
Room Locations
Future Blocks
Method of Payment	p. 179
Cash
Personal Checks
Credit Cards
Direct Billing
Special Programs and Groups
Denying a Credit Request
Issuing the Room Key	p. 187
Fulfilling Special Requests	p. 188
Creative Options	p. 189
Self-Registration
Selling the Guestroom	p. 191
When Guests Cannot Be Accommodated	p. 193
Walk-In Guests
Guests with Non-Guaranteed Reservations
Guests with Guaranteed Reservations
Front Office Responsibilities	p. 207
Front Office Communications	p. 207
Guest Communications
Log Book
Information Directory
Mail and Package Handling
Telephone Services
Interdepartmental Communications	p. 215
Housekeeping
Engineering and Maintenance
Revenue Centers
Marketing and Public Relations
Guest Services	p. 219
Equipment and Supplies
Special Procedures
Guest Relations	p. 221
Complaints
Identifying Complaints
Handling Complaints
Follow-Up Procedures
Security and the Lodging Industry	p. 235
A Growing Concern	p. 235
Developing the Security Program	p. 236
Doors, Locks, Key Control, and Access Control
Guestroom Security
Control of Persons on Premises
Perimeter and Grounds Control
Protection of Assets
Emergency Procedures
Communications
Security Records
Staff Security Procedures
Management's Role in Security	p. 246
The Need for Effective Management
Areas of Vulnerability
Security Requirements
Setting up the Security Program	p. 249
The Importance of Law Enforcement Liaison
Security Staffing
The Elements of Security Training	p. 254
Who is Responsible?
The Authority of a Security Officer
The Team Concept
Security and the Law	p. 262
Legal Definitions
Front Office Accounting	p. 277
Accounting Fundamentals	p. 277
Accounts
Folios
Vouchers
Points of Sale
Ledgers
Creation and Maintenance of Accounts	p. 283
Recordkeeping Systems
Charge Privileges
Credit Monitoring
Account Maintenance
Tracking Transactions	p. 288
Cash Payment
Charge Purchase
Account Correction
Account Allowance
Account Transfer
Cash Advance
Internal Control	p. 292
Cash Banks
Audit Controls
Settlement of Accounts	p. 295
Check-Out and Settlement	p. 307
Check-Out and Account Settlement	p. 307
Departure Procedures	p. 308
Methods of Settlement
Late Check-Out
Check-Out Options	p. 312
Express Check-Out
Self Check-Out
Unpaid Account Balances	p. 316
Account Collection	p. 317
Account Aging
Front Office Records	p. 321
Guest Histories
Marketing Follow-Through
The Role of Housekeeping in Hospitality Operations	p. 331
Communicating Room Status	p. 331
Housekeeping and Maintenance	p. 333
Communicating Maintenance Work
Types of Maintenance
Teamwork	p. 338
Identifying Housekeeping's Responsibilities	p. 339
Planning the Work of the Housekeeping Department	p. 342
Area Inventory Lists
Frequency Schedules
Performance Standards
Productivity Standards
Equipment and Supply Inventory Levels
The Front Office Audit	p. 359
Functions of the Front Office Audit	p. 359
The Role of the Front Office Auditor
Establishing an End of Day
Cross-Referencing
Account Integrity
Guest Credit Monitoring
Audit Posting Formula
Daily and Supplemental Transcripts
Front Office Audit
The Front Office Audit Process	p. 365
Complete Outstanding Postings
Reconcile Room Status Discrepancies
Balance All Departmental Accounts
Verify Room Rates
Verify No-Show Reservations
Post Room Rates and Taxes
Prepare Reports
Deposit Cash
Clear or Back Up the System
Distribute Reports
System Update	p. 375
Night Audit Problem	p. 380
Planning and Evaluating Operations	p. 385
Management Functions	p. 385
Planning
Organizing
Coordinating
Staffing
Leading
Controlling
Evaluating
Establishing Room Rates	p. 387
Market Condition Approach
Rule-of-Thumb Approach
Hubbart Formula Approach
Planned Rate Changes
Forecasting Room Availability	p. 397
Forecasting Data
Forecast Formula
Sample Forecast Forms
Budgeting for Operations	p. 406
Forecasting Rooms Revenue
Estimating Expenses
Refining Budget Plans
Evaluating Front Office Operations	p. 412
Daily Operations Report
Occupancy Ratios
Rooms Revenue Analysis
Hotel Income Statement
Rooms Division Income Statement
Rooms Division Budget Reports
Operating Ratios
Ratio Standards
Revenue Management	p. 433
The Concept of Revenue Management	p. 433
Hotel Industry Applications
Measuring Yield	p. 437
Potential Average Single Rate
Potential Average Double Rate
Multiple Occupancy Percentage
Rate Spread
Potential Average Rate
Room Rate Achievement Factor
Yield Statistic
Equivalent Occupancies
Required Non-Room Revenue Per Guest
Elements of Revenue Management	p. 447
Group Room Sales
Transient Room Sales
Food and Beverage Activity
Local and Area-Wide Activities
Special Events
Fair Market Share Forecasting
Using Revenue Management	p. 456
The Revenue Meeting
Potential High and Low Demand Tactics
Implementing Revenue Strategies
Hurdle Rates
Minimum Length of Stay
Close to Arrival
Sell-Through
Revenue Management Software	p. 466
Managing Human Resources	p. 477
Recruiting	p. 477
Internal Recruiting
External Recruiting
Selecting	p. 482
Selection Tools
Evaluating Applicants
Interviewing
Hiring	p. 495
Job Offers
Processing Personnel Records
Orienting	p. 496
Skills Training	p. 497
Prepare to Train
Present the Training
Practice Skills
Follow Up
Staff Scheduling	p. 510
Alternative Scheduling Techniques
Staff Motivation	p. 513
Training
Cross-Training
Recognition
Communication
Incentive Programs
Performance Appraisals
Task List and Job Breakdowns	p. 523
Index	p. 563
Forms for Night Audit Problem	p. 569
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