Chapter 4 Managing Lodging Operations Learning Objectives 1. 2. 3. To explain to you the four major functions of management. To show the organizational structure of different-size hotels. To describe in detail the five major parts of a hotel general manager’s job. Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. Learning Objectives 4. 5. To describe how managers function when they are employed by a management company. To describe how managers interact with their hotel’s owners. Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. The Role of Lodging Managers Management: The coordination of individual efforts to achieve established goals. Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. The Role of Lodging Managers ◼ Roles lodging managers’ encounter might include: ◼ opening or remodeling a hotel ◼ increasing an existing hotel’s revenue Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. The Role of Lodging Managers ◼ maintaining a swimming pool ◼ cleaning rooms ◼ improving the overall quality of a guest’s experience. Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. The Role of Lodging Managers Management Functions ◼Four basic functions of management: ◼ Planning ◼ Organizing ◼ Directing ◼ Controlling Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. The Role of Lodging Managers Management Functions Planning Planning: The process of considering the future and establishing goals for an organization. Short-term goals: Goals that are to be achieved in the very near future (usually less than one year). Sometimes called short-term goals. Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. The Role of Lodging Managers Management Functions Planning Long-range goals: Goals that are to be achieved over an extended period (usually longer than one year). Sometimes called long-term goals. Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. The Role of Lodging Managers Management Functions Organizing Organizing: Actions designed to bring together and arrange the resources of a group to help it achieve its goals. Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. The Role of Lodging Managers Management Functions Organizing ◼ When managers organize resources, they answer questions such as: ◼ ◼ Who will be responsible for making organizing decisions? Which managers will be in charge of meeting specific goals? Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. The Role of Lodging Managers Management Functions Organizing ◼ ◼ ◼ Who will determine the number of additional workers needed to achieve our goals? Who will identify other additional resources needed to achieve our goals? What organizational business structure will best help us meet our goals? Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. The Role of Lodging Managers Management Functions Directing Directing: The process of supervising staff members in the workplace. Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. The Role of Lodging Managers Management Functions Directing ◼ This involves: ◼ leading and inspiring others ◼ teaching new skills and attitudes ◼ helping workers develop through their own efforts ◼ creating systems that compensate workers fairly Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. The Role of Lodging Managers Management Functions Controlling Controlling: The process of comparing actual results to planned results and taking corrective action as needed. Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. The Role of Lodging Managers Management Functions Controlling ◼ This involves: ◼ checking-up or following-up on assigned tasks ◼ comparing actual results with planned results ◼ comparing progress with projections ◼ eliminating obstacles that hinder goal achievement. Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. Management Principles ◼ ◼ The most important thing managers can manage is their own time. Sample Management Principles: 1. The good of the organization must be put before the good of the organization’s individual members. Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. Management Principles 2. 3. 4. The responsibility to achieve organizational goals should be accompanied by the authority to do so. Discipline in an organization is necessary but must be impartially applied. A worker should have one (and only one) immediate supervisor. Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. Management Principles 5. 6. Pay rates within an organization should be established fairly. There should be clear lines of authority for use in achieving organizational goals. Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. Management Principles Authority: The power or right to direct the activities of others and to enforce compliance. Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. Management: Science and Art ◼ ◼ The "art" of management consists of an individual manager's creative power and personal skills. While the “science” of management teaches a manager to know, the art of management teaches a manager to do. Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. Lodging Management Structure Organizational chart: A visual portrayal of the jobs and positions of authority within an organization. Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. Lodging Management Structure Larger Hotels As the number of rooms in a hotel increases, so too does the number of staff employed, and the staff members work in increasingly more specialized positions. ◼ Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. Lodging Management Structure Smaller Hotels Most employees at a limited service hotel must be multi-skilled and thus able to perform several tasks well. ◼ Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. The Role of a Hotel General Manager ◼ Key responsibilities of a Hotel General Manager: ◼ ◼ ◼ ◼ ◼ Owner relations Staff development Property management Brand affiliation management Community relations Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. The Role of a Hotel General Manager Owner Relations GMs inform owners of the condition of the operating business and the real estate value of the hotel. ◼ Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. The Role of a Hotel General Manager Owner Relations FF&E: The furniture, fixtures, and equipment used by a hotel to service its guests. ◼ American Hotel Register Company is one of the world's largest suppliers of hotel FF&E products. www.americanhotel.com Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. Lodging Goes Green! ww.clearedgepower.com Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. The Role of a Hotel General Manager Staff Development Role model: An individual who displays positive personal and professional characteristics that others find desirable. Mentor: To serve as a personal teacher. Also known as a guide or coach. Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. The Role of a Hotel General Manager Property Management The general manager must know or be able to readily determine: ◼ ◼ ◼ ◼ ◼ The number of guests that will be arriving The number of guests that will be departing The total number of rooms to be sold That a record of each arriving guest’s name has been created and is readily available Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. The Role of a Hotel General Manager Property Management ◼ ◼ ◼ The room rate to be paid by each guest That all room amenities promised by the hotel will be provided That all services typically provided by the hotel will be available Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. The Role of a Hotel General Manager Property Management ◼ ◼ That each room to be used has been thoroughly cleaned That the hotel’s physical plant will supply the necessary heating or cooling of air, water (at the proper temperature and in sufficient quantity), and power required by guests Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. The Role of a Hotel General Manager Property Management ◼ ◼ That the hotel’s guests and their property will be safeguarded during the guest’s stay That proper procedures are in place to record the daily financial activity of the hotel Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. The Role of a Hotel General Manager Property Management Line-level: Employees whose jobs are nonsupervisory. These are typically positions where the employee is paid a per-hour wage (not a salary) and performs a recurring and specific task for the hotel. Sometimes referred to as an “hourly” employee. Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. The Role of a Hotel General Manager Property Management General Managers identify that: ◼ ◼ ◼ cleaning procedures used in the breakfast area must be improved the maintenance-tool storage area should be reorganized Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. The Role of a Hotel General Manager Property Management ◼ ◼ ◼ room attendants must be better trained in the proper disposal of hypodermic needles found in guest rooms the guest room preferences of the hotel’s best clients should be kept in a location easily accessible to the front desk staff “comp” room reports need to be recorded, with a justification for each comp, on a daily basis Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. The Role of a Hotel General Manager Property Management Comp: Short for “complimentary” or “nocharge” for products or services. Rooms, food, beverages, or other services may be given to guests by management if, the “comp” is in the best interests of the hotel. Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. The Role of a Hotel General Manager Brand Affiliation Management Quality Inspection Scores: Sometimes called Quality Assurance (QA) scores, these scores are the result of annual (or more frequent) inspections conducted by a franchise company to ensure that franchisor-mandated standards are being met by the franchisee. Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. The Role of a Hotel General Manager Community Relations ◼ General manager’s relations include: ◼ ◼ ◼ ◼ ◼ owner relations staff development property management brand affiliation local communities Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. The Role of a Hotel General Manager’s Supervisor ◼ General Managers will be supervised by one of the following: ◼ Management company ◼ Property owner Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. The Role of a Hotel General Manager’s Supervisor Management Company Supervision Regional Manager: The individual responsible for the operation of multiple hotels in a designated geographic area. In some companies, the person’s title may be area or district manager. ◼ Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. The Role of a Hotel General Manager’s Supervisor Management Company Supervision ◼ Line of Authority: A direct superiorsubordinate relationship in which one person (the superior) is completely responsible for directing and exercising control over the actions of another (the subordinate). Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. The Role of a Hotel General Manager’s Supervisor Property Owner Supervision ◼ When reporting directly to the hotel’s owner, the advantages include: ◼ ◼ ◼ Better understanding of ownership goals and objectives Direct access-rapid answers to operational questions Clear Lines of Authority Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved. The Role of a Hotel General Manager’s Supervisor Property Owner Supervision ◼ When reporting directly to the hotel’s owner, the disadvantages include: ◼ ◼ ◼ Lack of owner experience in hotel operating methods Multiple lines of authority-for example, ownership of a hotel is held by two or more partners or by a company with many owners Issues of multiple loyalties Foundations of Lodging Management, 2e David Hayes © 2012, 2008 Pearson Higher Education, Upper Saddle River, NJ 07458. • All Rights Reserved.
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