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Room Division Management > Progress Test > Flashcards

Progress Test Flashcards

1
Q

What is the main KPI in RDM?

A

Occupancy

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2
Q

Rooms Division facts

A
  • Generate revenue through room sales
  • Two departments: FO + HK
  • Might include security and spa
  • RD manager in charge of FO manager and executive housekeeper
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3
Q

Who creates the rates?

A

Sales

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4
Q

What is the revenue departments main concern?

A

Occupancy

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5
Q

General manager

A
  • Achieving profitability (cost control, guest satisfaction and development)
  • Leading and managing: mission
  • Achievable budgets + strategic goals
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6
Q

Director of operations / Deputy GM

A
  • Operational management
  • Manage property issues with GM
  • Cost control and result analysis
  • Career progression and succession planning
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7
Q

Rooms Division Manager

A
  • Oversee rooms and related area operations
  • Build and foster division staff
  • Operational and financial performance
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8
Q

FO Manager

A
  • Meet and exceed guest and staff satisfaction
  • Daily operations (policies)
  • Recruit, train, motivate and develop
  • Monitor systems, scheduling, forecasting
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9
Q

Guest Relations Manager / Bell Captain

A
  • Upscale guest experiences
  • Ensure knowledge of products and area
  • Supervising, training and development
  • Analyse customer feedback
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10
Q

Executive housekeeper

A
  • People, equipment and supplies
  • Keeping records
  • Cleanliness and servicing
  • Financial guidelines
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11
Q

Reservations Manager

A
  • High levels of customer service
  • Contribute to maximum occupancy
  • Work with sales team
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12
Q

Management functions

A
  • Planning
  • Organising
  • Coordinating
  • Leading
  • Controlling
  • Evaluating
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13
Q

Planning steps manager

A
  1. Forecasting
  2. Setting objectives
  3. Developing strategies
  4. Programming
  5. Budgeting
  6. Setting procedures
  7. Developing policies
  8. Communication

SMART goals

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14
Q

Organising

A
  • establishing an organisational structure
  • delineating relationships
  • creating position descriptions
  • establishing position qualifications
  • distribution of the work to be done
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15
Q

Coordinating

A

Organise individuals’ efforts

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16
Q

Staffing

A
  • selecting employees
  • orienting employees
  • training
  • developing
  • scheduling
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17
Q

Leading

A
  • Delegating
  • Motivating
  • Coordinating
  • Managing differences
  • Managing change
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18
Q

Controlling

A

SOPs to be objective and fair

  • Establishing a report system
  • Developing performance standards
  • Measuring results
  • Taking corrective action
  • Rewarding
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19
Q

Evaluating

A

Reviewing, revising or helping to revise goals
Forecast KPIs
- occupancy
- ADR
- RevPar
- Net Promoter Score

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20
Q

Management Attention

A
  • Guests’ satisfaction
  • Financial sustainability
  • Product quality
  • Employee’s satisfaction
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21
Q

Roles FO

A

○ Organise, prioritise
○ Solve problems, make decisions, take actions
○ Budgeting, controlling, expenses, goals
○ Comply with hotel’s policies and procedures (data privacy more strict)
○ Ensure that local registration law is respected
○ Quality/Guest service
○ Training, supervise staff, lead by example
Deal effectively with guests and employees/Communication

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22
Q

Resources to manage

A

○ Employees
○ Equipment (PMS)
○ Inventory (Rooms)
○ Budget (Revenue FO / Expenses HK) –> cross-selling
Sales Opportunities

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23
Q

FO Management Communication

A
  • Guests communication
  • Appropriate language and body language
  • Several channels to communicate with guests
  • Every FO member may access to events, requirements, decision or incidents occurred in every shift
  • One of the most important skills that a FOM should have
  • Professional approach
  • Logbook/briefing reports/transaction file
    Work transactions systems and devices
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24
Q

FO with Housekeeping

A
  • Changes in room status
  • General guest’s requests
  • Cleaning common areas
  • Review upcoming hotel activities
  • Special requests
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25
Q

FO with maintenance

A
  • Repair work orders
  • Tracking maintenance problems recorded by guests
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26
Q

FO with revenue centres

A
  • Communication with guests
  • Special guests’ requests
  • Transactions charged to rooms
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27
Q

FO with HR

A
  • Coordination in case of misconduct
  • New personnel
  • Event cultural
  • Training hours (SOP)
  • Performance evaluation results
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28
Q

FO with security

A
  • Theft or law & order situation
  • Health and safety related issues
  • Suspicious characters
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29
Q

FO with Accounting

A
  • Daily accounting reporting FO
  • Cash bank controls
  • Credits payments and billing control
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30
Q

FO with marketing and sales

A
  • Groups and events information
  • Special promos and advertising
  • Special VIP treatment or events
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31
Q

Staffing & Employee scheduling

A
  • Payroll costs
  • productivity
  • Morals
    Mainly impacted by occupancy
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32
Q

Factors to consider during FO staffing

A
  • The occupancy rate
  • Arrivals and departures
  • Average length of stay
  • Patterns of activity
  • Type of hotel
  • Available technology
  • Check in and check out
  • How many workstations?
  • Main peaks
  • Always manager on duty
  • Night shift days to be covered
  • Keep a pattern in work shifts
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33
Q

FO staffing scheduling techniques

A
  • Part-time scheduling
  • Flextime scheduling
  • Compressed schedule
  • Job sharing
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34
Q

Revenue centre

A

Sells goods or services to guests and thereby generates revenue for the hotel

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34
Q

Support centre

A

Do not generate revenue directly but play a supporting role to the hotel’s revenue centre

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35
Q

Three service-level categories

A
  • Economy
  • Mid-market hotels
  • Luxury hotels
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35
Q

Occupied

A

A guest is registered to the room

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36
Q

Complimentary

A

The room is occupied, but the guest is not charged for its use

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37
Q

Stayover

A

The guest is not checking out today

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38
Q

On-change

A

The guest has departed, but the room has not yet been cleaned

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39
Q

Sleep out

A

A guest is registered to the room, but the bed has not been used

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40
Q

Skipper

A

The guest has left the hotel without making arrangement to settle the account

41
Q

Sleeper

A

The guest has settled the account and left the hotel, but FO has not updated the room status

42
Q

Vacant and ready

A

Room has been cleaned and inspected

43
Q

Out-of-order

A

The room cannot be assigned to a guest

44
Q

Lock-out

A

The guest cannot re-enter

45
Q

DNCO

A

The guest made arrangement to settle the account but left without information FO

46
Q

Due out

A

The room is expected to become vacant

47
Q

Types of maintenance

A
  • Routine Maintenance
  • Preventive Maintenance
  • Scheduled maintenance
48
Q

Operations within the hospitality industry

A

Lodging operations
F&B operations

49
Q

Hotel

A

Establishment whose primary business is providing lodging facilities for the general public and that furnishes one or more of the following services: F&B, room attendant (HK), concierge, bell, door attendant, laundry or dry cleaning, use of furniture and fixtures.

50
Q

Classifying hotels

A
  • Size
  • Target Market
  • Level of service
  • Ownership and affiliation
51
Q

Classifying guests

A
  • Business
  • Leisure
  • Hybrid
  • Group
  • International
52
Q

Buying influences on travellers

A
  • Travel management company
  • Ease of making reservations
  • Staff friendliness, quality of services, overall cleanliness and appearance
  • Chain and brand loyalty (frequent traveller and electronic marketing programs)
  • Website design, site navigation, social media
  • Blogging and social networking
53
Q

Control methods in FO

A
  • FO SOPs
  • Cashier’s Audit
  • Credit control
  • Rooms discrepancies
  • Night Audit
54
Q

FO Accounting functions

A
  • Guest and non-guest accounts
  • Financial transactions of guests
  • Credit limit of guests
  • High balance report for management
  • Effective control over cash and credit transactions
  • Settlement for all goods and services
55
Q

FO incentive program actions

A

Tools used to encourage your staff promoting sales and having guests satisfied
- Establishing objectives
- Determining strategies
- Training programs (procedures)
- Budgets

56
Q

A well designed incentive program should

A
  • recognise and reward exceptional staff performance
  • increase staff productivity
  • demonstrate commitment to guest satisfaction
  • promote staff participation in revenue and service through suggestions
57
Q

Revenue manager

A

Responsible for forecasting demand for each target market segment the hotel seeks to attract (corporate, transient, group, leisure, and others) as well as determining the guestroom rates that will provide sufficient room revenues and occupancies.

58
Q

Activities associated with the reservations process

A
  • Formulating the reservations inquiry
    • Determining room and rate availability
    • Creating the reservations record
    • Confirming the reservations record
    • Maintaining the reservations record
    • Producing reservations reports
    • Researching, planning, and monitoring
      reservations
59
Q

Guaranteed reservations

A

Assures the guest that the hotel will hold a room until a specific time of the day following the guest’s scheduled arrival date
○ Prepayment
○ Credit card
○ Advance deposit
○ Voucher or miscellaneous charge
order
○ Corporate

60
Q

Non-guaranteed reservations

A

The hotel agrees to hold a room for the guest until a stated reservations cancellation hour on the day of arrival

61
Q

Overbooking

A

A strategy aimed at helping the hotel to achieve 100 percent occupancy by hedging against guests who do not arrive or cancel their reservations.
Based on historical data and the experience of knowledgeable managers, reservations systems may be able to forecast cancellations, early check-outs, and no-shows with a high level of accuracy.

62
Q

Reservation manager duties & responsibilities

A
  • Overseeing room bookings
  • Inventory management
  • Revenue and forecasting
  • Guest communication
  • Reporting and analysis
  • Maintain relationships with travel agents and corporate clients
  • Develop and implement procedures to streamline the reservations process
63
Q

Length of stay

A

How long does each customer stay at the hotel?
§ Useful for rate controls set up
§ Segment analysis
§ Impacts every factor of the hotel

64
Q

No-show

A

Client with a booking that finally does not show up
○ The follow-up of this is important

		§ Segment analysis
		§ Overbooking
		§ Day of week analysis
65
Q

Cancellation

A

Reservation cancelled before arrival
○ Reason of cancellation should be recorded
○ What is it useful for?
§ Segment analysis
§ Overbooking
§ Day of week analysis

66
Q

Lead time

A

Time in advance when the booking is made (booking window)
○ We need to prevent losses; so we set a deadline for the cancellation (cancellation policies)
○ Lead time is connected to the rates (dependent on when you book, you have a certain rate)
○ What is it useful for?
§ Different per segment
§ Rate control
§ Mark forecast
§ Marketing decisions

67
Q

Walk-in

A

Guest arriving to hotel without reservation but wants to stay
○ Direct check-in: different SOP
○ What is it useful for?
§ Used for overbooking
§ Increase ADR

68
Q

Booking pace

A

Speed of reservations requests reaching the hotel
○ If the booking pace is unusually fast, then there might be something happening in town or our rate is too low
○ Look at the booking pace by market segment
○ Behavioural of a clientele

69
Q

Overbooking

A

Sale of more rooms than available
○ Types of overbooking:
§ Room type
§ House
○ Report behaviour of guests/tour operators to predict no shows

70
Q

Why would a reservation or revenue manager decide to overbook the hotel?

A

To maximize revenue by compensating for cancellations, no-shows, and early departures, ensuring high occupancy

71
Q

What is less risky: room type overbooking or house overbooking?

A

Room type overbooking is less risky because guests can be shifted to other available room categories, whereas house overbooking risks displacing guests entirely.

72
Q

What factors would the reservation manager need to consider before overbooking?

A

They must evaluate historical data on cancellations and no-shows, guest preferences, available alternatives for displaced guests, and potential reputational impact

73
Q

Revenue

A

The total amount of sales achieved in a specified time period
○ Number of units sold x Unit price

74
Q

Profit

A

Resulting amount after deducting expenses out of the revenue
○ Revenue - Expenses

75
Q

Occupancy

A

Percentage of the rooms occupied in a period with reference to the total rooms available of the period
○ Total occupied rooms/Number of available rooms x 100%

76
Q

Average Daily Rate

A

Average rate sold in a period; actual revenue of the period divided by the total number of rooms sold (how expensive or cheap we are compared to the rest of the competition or compared to yourself in the past)

	○ Total rooms revenue of the day/number of rooms sold of the day
77
Q

Average Room Rate

A

Average rate sold in a day; actual daily revenue divided by the total number of rooms sold
This is the average rate in general/over a longer period
○ Total rooms revenue of the period/number of rooms sold on the period

78
Q

Revenue per Available Room

A

Revenue generated by the sales of rooms in a period divided by the total rooms available of the period
○ Total rooms revenue for the period/number of available rooms for the period
○ ADR * %Occupancy

79
Q

Revenue per Available Customer

A

Revenue generated by the sales of rooms in a period divided by the total guests of the period
○ Total departmental revenue for the period/number of guests for the period

80
Q

Total revenue per available room

A

Total amount of revenue generated by a property in all its services, per room basis
○ Total revenue (all services) for the period/number of available rooms for the period

81
Q

Reservations task

A

Forecasting room availability
Rates
Types of reservations
Guaranteeing a reservation (to ensure the sustainability of our revenues)

82
Q

Forecast

A

A projection based on the data available at the moment of its preparation

83
Q

Availability of forecast

A
  • Knowledge of the hotel and its surrounding areas
    • Occupancy data for the past several months and for the same period of the previous year
    • Reservation trends and history of reservation lead times
    • Business and historical profiles of specific groups booked for the forecast dates
    • Number of GTD and non GTD reservations and an estimation of the number of expected no shows
    • % of rooms already reserved and the cut-off date for group room blocks held for the forecast dates
    • Special events scheduled in the surrounding area
    • Plans for remodelling or renovating the hotel that would change the number of available rooms
    • Construction or renovating plans for competitive hotels in the area
84
Q

Rack rate

A

Is the Standard rate or Published tariff defined by the hotel management for a particular room category/type.
This is generally printed on the tariff sheet of the hotel and these details are also submitted to the local government authorities for hotel licensing and in some countries for Gov. tax compliance. In other words, these rates are the maximum rates that can be applied. (just accommodation)

85
Q

Corporate/Commercial/Negotiated Rate

A

These are rates offered to companies that provide frequent business for the hotel or its chain. This rate may vary according to the volume of business guaranteed by the companies.
○ Negotiated in advance in a contract

86
Q

Group Rates

A

These are rates which are offered to groups, meetings, and conventions using the hotel for their functions.
Negotiated in advance in a contract

87
Q

Promotional Rates

A

These rates are generally offered during low occupancy periods to any guest to promote occupancy. E.g. Stay for 3 and pay for 1, etc. These rates may also include certain add-ons to attract the customers like free Wi-Fi for 24 Hrs, free buffet dinner, etc

88
Q

Package Rates

A

Rates that include a guest room in combination with other available events or activities. ( E.g. Best of London package which includes room rental, all meals, site seeing, airport transfers, etc.)

89
Q

BAR Rates

A

These rate codes are the lowest discounted rate available for a day which can be
offered to the guest.

90
Q

Tour Operator Rates (TTOO rate)

A

This type of rates are offered in a signed contract with large agency groups. These rates are net rates and not final but marked up by the intermediary. They can be applied to touristic groups and series.

91
Q

FIT rate

A

Free independent traveller / foreign independent traveller / free individual travel rate. People who make reservations individually, not in groups through a TTOO or travel agency. When tour operator contract rates are applied to individual clients

92
Q

Methods to guarantee reservations

A
  • Pre-payment
  • Credit or debit card
  • Advance deposit
  • Travel agent voucher (other support/guarantee: email)
  • Corporate (company guaranteed)
93
Q

Property Reservations Department Channel

A

§ Telephone
§ Mail
§ Property - to - property
§ Fax and other methods of communication account for a small proportion of total reservation transactions
§ Hotel booking engine

94
Q

Central Reservations Systems (CRS)

A

§ It is a computerised system used by hotel companies to store and retrieve information and conduct reservation transactions
§ A CRS assists hotel managers in managing their online marketing and sales, allowing them to upload their rates and availabilities to be seen by sales channels that are using the CRS
§ Types:
□ Affiliated reservation network
□ Hotel chain reservation system (all participating properties are contractually related)
□ Non-affiliated reservation network
□ Subscription system (designed to connect independent or non-chain properties)

95
Q

Cluster reservation office/centre

A

§ It is a single reservations office serving several hotels
§ All the direct calls or requests to each hotel are channelled to the cluster office from where the reservations are made and again redirected to the concerned hotel

96
Q

Global distribution systems (GDS)

A

§ A worldwide computerised reservation network used, by travel agents, as a single point of access for reserving airline seats, hotel rooms, rental cars
§ It facilitates the sale of hospitality products to travel agents

97
Q

Internet Distribution System (IDS)

A

§ Travel agencies (OTAs) which specialises in internet marketing of travel and related services directly to consumers
§ They enable travellers from many different market segments to use desktop and mobile devices to reserve hotel rooms, book flights and rental cars

98
Q

Tour Operators

A

§ An entity that purchases blocks of hotel rooms and in turn sells them directly to the final customer
§ Always with contracts between tour operator and hotels
§ A tour operator typically combines tour and travel components to create a holiday. They prepare the itinerary
§ The most common example of a tour operator’s product would be a flight on a charter airline plus a transfer from the airport to a hotel and the services of a local representative, all for one price

99
Q

Wholesalers

A

An entity that purchases blocks of hotel rooms and in turn sells them to travel agents
□ Step 1: A hotel sells rooms to a travel wholesaler
□ Step 2: The travel wholesaler sells rooms to a travel agent
□ Step 3: The travel agent sells rooms to an individual guest (or group)

100
Q

Travel agencies

A

§ A corporation with travel agents that have full knowledge of tourist product - destinations, modes of travel, climate, accommodation, and other areas of the service sector
§ They act on the behalf of product providers/principles and in return gets a commission

101
Q
A

Room Division Management (1 decks)

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