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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