PRESENTATIONON

FRONT OFFICE

Submitted By:

Gujarati Richa (07)

Gohil Kiran (06)

Shah Monali (11)

Submitted To:

Proff: P. Choudhary

Introduction

Front office is a business term that refers to a company's departments that come in contact with clients, including the marketing, sales, and service departments.

With travel increasing day-by-day, whether it is for business, pleasure or for any other reason, there is a mushrooming growth of hotels-big and small.

In the hotel industry, the front office welcomes guests to the accommodation section: meeting and greeting them, taking and organizing reservations, allocating check in and out of rooms, organizing porter service, issuing keys and other security arrangements, passing on messages to customers and settling the accounts.

The front office of a hotel generally performs the following basic activities:

1. Processing advance reservations

2. Registering guests

3. Rooming guests

4. Handling guests’ luggage

5. Issuing room keys

6. Providing information

7. Handling guests’ mail and parcel

8. Administering telephone service

9. Accounting (making payments and billing)

10. Checking out guests

Front Office Operations

Guest Cycle: Pre-Arrival Arrival Occupancy Departure

1. Pre-arrival: At the pre-arrival stage, the hotel must create for every potential

guest a reservation Record.

2. Arrival: At the arrival stage, registration and rooming functions takes place

and the hotel establishes a business relation-ship with the guest.

a) Personal information:

1. Name and Surname of the guest along with billing address, telephone number, and any other coordinates

2. Passport number, birth certificate, and/or driving license number (whatever applicable)

3. Any special needs or requests

4. Guest Signature

b) Financial information:

1. Date of arrival

2. Expected date of departure or length of stay depending on how the system in the hotel is designed

3. Assigned room number

4. Assigned room rate

5. Guest's intended method of payment

Registration records can be used for various purposes:Satisfy guest needsForecast room occupanciesSettle properly guest accountsEstablish guest history records at check-out [personal &

financial information]

Assign a room type and a room rate for each guestDetermine long-run availability [i.e. reservation information]

versus short-run availability [i.e. room status]Satisfy special categories of guests such as disabled people

through barrier-free designs

3. Occupancy:At the occupancy stage, the front office department shall

coordinate guest services in a timely and accurate manner.Moreover, the hotel shall, at least on a daily basis, collect

comment cards, proceed with their analysis, and provide positive feedback to guest as soon as possible.

Finally, front office clerks shall periodically review Account Balances in coordination with the night auditor.

4. Departure:At the departure stage, the guest shall be walked out of

the hotel. Moreover, front office clerks shall create guest history record. Finally, cashiers shall settle guest account outstanding balances [i.e.: balance the Guest account to 0]

In general, a proper checkout occurs when the guest:

1. Vacates the room

2. Receives an accurate settlement of the guest account

3. Returns room keys

4. Leaves the hotel

Front Office Function

Front Office Manager

The Front Office Manager who comes under the direct supervision of the Director of Rooms and supervises the Front Office Department. The Front Office Manager has to take care of following functions:

Revenue Management ReservationsGuest ServicesNight Audit

CONT..

Revenue Management:- Front office in hotels hold prime importance in view of the basic nature business of a hotel i.e. to sell rooms. Front office generates most of the revenue of the hotel. Front office manager manages revenue generated from sell of rooms.

Reservations:- This section is the hub of the department. Requests for reservation of rooms from various sources are received and information is processed, properly documented, stored and retrieved at the appropriate time to ensure a guest his room upon arrival.

Guest Services:- Front office section actually welcome and receive the guests and assign them a room after a few registration formalities. Front Office Section provides the services to the guest are knowledge of products provided by hotel, types of room, restaurant and bars, city information, desired to help and communication. Guest services include the services like desk staff, concierge and bell staff.

Night Audit:- The night audit is done by night auditor. The night auditor audits all guest bills received by the front office cashier and prepares and proves for the calendar day.

Other duties of the front office manager include the following:

1. Assists in the training and cross-training of front office employees

2. Prepares monthly reports

3. Assists the rooms division manager in formulation and implementation of front office policies and procedures

4. Reviews and approves all room moves and room rate changes to ensure they were necessary

5. Handles guest complaints and follows them up to reduce future complaints

6. Assists the rooms division manager in forecasting room availability to ensure that the optimal level of occupancy is attained

7. Is available to work in the front office area where there may be a shortage of staff

8. Maintains the necessary stock of supplies in all front office areas, while controlling costs in these areas

Front Office Function With Other Position

Reservations Manager

The reservations manager’s basic functions are to supervise and oversee all the operations of the reservations area.

He or she must assure that all reservations, both group and individual, are recorded and followed up on as necessary.

Other duties of reservations manager is to perform the following:

1. Making sure proper telephone etiquette is used and correct information is being given to potential guests

2. Being sure that personal service is stressed and that sales techniques are being used appropriately

3. Following up on tentative booking, watching cut-off dates, and monitoring group tour business accounts blocks for productivity .

4. Training reservation agents and setting up cross-training programs

5. Reviewing all VIP reservations and working with the rooms division manager and the front office manager on assignments

6. Preparing and distributing to concerned departments a weekly, monthly reservations and revenue forecast

7. Handling requests for reservation information and room rates

8.Developing and maintaining a solid working relationship with the central reservations office and travel agents

Concierge

1. Concierge services are common in European hotels and available for over a century.

2. Today, most full-service hotels in America and Asian Countries are also available.

3. The basic task of a concierge is to serve as the guest’s liaison with both hotel and non-hotel services.

4. In a sense, the function of a concierge is an extension of the function of a front desk agent

5. A concierge must be resourceful and knowledgeable about the hotel and the surrounding community. Regardless of whether concern in-hotel or off-premises attractions, facilities, services, or activities, a concierge specializes in providing assistance to guests.

Typical guest requests handled by a concierge include:

1. Providing directions and information

2. Making airplane, theater, train ticket

3. Reservations for dining

4. Arranging for secretarial services

5. Handling mail and parcel services

6. Arranging sightseeing tours

7. Transportation arrangement

8. Limousine services

Night Auditor

1. Checking and completion of guest and hotel accounts

2. Producing statistics and summaries of revenue

Key & Key ControlsDifferent members of the staff according to their job &

responsibility

1. Room Keys:- They are different for each room issued to a guest & it is important that this key is taken back from the guest when checking out.

2. Sub-master Key:- They are issued to room attendant/chamber mates & normally open doors & a section of room

3. Floor-master Key:- They are issued by floor supervisor & open the door for one floor.

4. General-master Key:- These opens the dooe of any room of any floor but doesn’t open double lock door & is carried by assistant house keeper

5. Grand-master Key:- It is carried by executive house keeper & in her absence by security managers & duty manager it opens double lock door from outside.

6. Card system:- Electronic card system replace keys & offers more security as each guest is issued a card with a different programme.

Registration of foreigners (C- form)

Definition:-The registration of Foreigners Act, 1939 section-3 (E)

rule 14, makes it obligatory on the pThe rest houses to send information of the foreigners to registered in such places. In cities like Delhi, Mumbai, Kolkata & Chennai, the hotels are required to send the information to the Foreigners Regional Registration Office (FRRO) within 24 hours.art of hotels/ dak bungalows.

Sources of Reservation

1. Central reservation system (a) affiliated (b) non-affiliated

2. Inter sale agency

3. Travel agency

4. Companies

5. Distribution

6. Government organisation

7. Non government organisation

8. Airlines

9. Global distribution system

10. Direct.

Types of Guest in Hotel

1. FFIT- Free foreign independent traveller

2. FIT- Foreign independent traveller

3. GIT- Group inclusive tours

4. CIP- Commercially important person

5. CVGR- Company volume guaranteed rate

Types of Meal

1. AP-American Plan

2. MAP- Modified American Plan

3. BP- Burmuda Plan

4. CP- Continental Plan

5. EP- European Plan  

Types of Room Rate

1. Rack Rate

2. Corporate Rate

3. Commercial Rate

4. Military & educational Rate

5. Group Rate

6. Family Rate

7. Package Rate

8.Day Rate:

Telephone Etiquette

Services Standards of Incoming calls

1. All telephone calls will be attained before the 3rd ringing

2. Identify the name of hotel & wish time of the day.

3. In case of no further immediate response from the calling party, say “May I help you”.

4. In case the operator is busy in operating other calls all is say “kindly hold on” & promptly attend to them & thereafter by saying sorry to keep on hold “May I help you”.

5. The operator will carefully listen to guest requirement at instantly.

6 .While connecting the call to the room or to the offices give too short rings & wait for 5 seconds for response. In case there is no response repeat the procedure.

Responsibility of Front Office

CONT..To ensure that all service standards are as specified by

the management and implemented.To ensure all staff under his control is properly deployed

or utilized.To ensure that all budget / target sales and occupancies

area achieved and the expenditure is controlled to maximum profitability.

To ensure that all forms registered that is required to be maintained or complete in all respect.

To ensure that all laws applicable to lodging industry.To maintain and guest relation.

To maintain control over special rates offered to various corporate houses / individuals.

To prepare annual budget and forecast occupancy and room revenue.

To make sales efforts at unit level.To prepare and sand all reports pertaining to

the MIS (Monthly Information Statement) and data required by marketing department.

To control advance reservation and room position and maximum selling.

To ensure correct billing and coordination with account department.

CONT..

To exercise credit control and implement credit policy.To coordinate with marketing department for sales

promotion.To coordinate with other department for maximum room

sales and achieving alternative guest satisfaction.To exercise control over expenditure like over time

newspaper and stationary, etc.

Front Office: The PMS and its Management

The PMS is the computerized system which handles and deals with guest histories, Room rates, Reservations, and room assignments, Accounting information, Reservations, management information functions and other selected guest services.

Front Office: Revenue and Reservations Management

To maximize hotel’s revenue per available room increase occupancy % of rooms and average daily rates. To improve revenue per available room do following:

Estimate or forecast guest demand for rooms. Practice yield management Control occupancy

Revenue and Reservations Management: Forecasting Guest

Demand for RoomsKnowing demand for room is key:When demand for rooms is high, drive ADR (Average

Daily Rates) e.g. College football game: sell-out at a high ADR.

When demand for rooms is low, drive occupancy e.g. night before Thanksgiving: offer lower rate.

For forecasting demand, front office should:Keep accurate historical record to understand past

demand.Know of special events or circumstances that impact

future room demand.

Revenue and Reservations Management: Practicing Yield Management

The yield management is control by:A Strategy using demand forecasts to maximize revenue per

available rooms.Demand for room is more than supply then sell at ‘rack rate’Demand for room is less than supply then offer discount.

Revenue and Reservations Management: Managing Occupancy

Room availability strategy:Closed to arrival (CTA): Hotel declines reservations for

guests attempting to arrive on this specific date.Minimum Length of Stay (MLOS): Hotel declines

reservations for guests seeking to stay for fewer days than the minimum established by hotel.

e.g. Forecasted room demand (hotel with 300 rooms) 

Managing Guest Reservation: By Types and Delivery Method

By Types of Reservation:Guaranteed Reservation:-This type of reservation ensure that the hotel will hold

the room for guest for one night following his schedule from the date of arrival and the guest in turned for guarantees to pay for the room.

Method of guaranteed reservation:-Pre PaymentCredit CardAdvance Deposit

Travel Agent Voucher Miscellaneous Charge OrderBill to Company Payment

Guaranteed Reservation:- In this type of reservation, the hotel agrees to hold the

room for the guest until stated reservation cancellation hour usually on the day of arrival. Here, there is no guaranty of payment of No-Show.

By Delivery Method:Global distribution System: Great use by travel agent

worldwide.

Franchise 800 Number: Significant source of transient room reservation.

Internet: Accuracy of current info on web-site is important.

Hotel direct: Effectiveness of the telephone sales is important.

Walk in: “curb appeal” is important.

Managing Guest Reservation: Delivery Method (Global Distribution System)

Managing Guest Services

Variety of guest Services:Airport Transportation Parking CarsHandling luggageProviding direction to local attractionsMaking restaurant reservationsTaking guest messagesRouting mail

Newspaper deliveryManagement of safety deposit boxesSupplying direction for area within the hotelSetting wake-up callsProviding guest security via careful dissemination of

guest related informationHandling guest concerns and guest disputes.

Managing Guest Services: Front Desk-Guest Privacy:-

Guest information

1.Without guest permission, never confirm or deny that he or she is in fact registered.

2.Without guest permission, never release info related to his or her stay.

3.Always be vigilant in informing guests of any third party info request regarding their stay.

Room information

1.Without guest permission, never reveal his or her room number to any third party.

2.Never perform any registration tasks in ways allowing guest room info to be overhead by others.

3.Never write room numbers directly onto keys.

Managing Guest Services: Front Desk-Stay & Departure:-

Accounting for Guests

Front office’s accounting related tasks

1.Accurately collect and post charges to the guest “folios”.

2.Maintain an accurate list, by room number, of guest room occupants.

3.Verify accuracy of the room rates charged to guests.

4.Confirm the check out dates.Billing to Folio

1. The details list of a guest’s room charges as well as other charges authorized by the guest or legally imposed by the hotel.

2. Appropriate guest charges incurred are posted to the appropriate guest’s folio.

Accounting for guest: Room Management / Assignment:-

At front desk check-in1. Guests present themselves to begin registration process.2. Special check in areas may be available,depending on level

of services and priority of guests.3. Front Desk Agents confirms status of selected room prior to

room assignment.

Accounting for guest: Bucket Check:-

Bucket Industry term for location of actual registration cards signed by

guests at check-in Cross referencing method Physically verifies that info on a guest’s registration card is

complete and matches that in the PMSManual procedure for assuring accuracy ofGuest’s actual room assignment / rate to be paid / departure date

/ form of payment /any other accounting-related informationAccounting for guest: Night Audit:- Night audit function: eight keys item1. Posting appropriate room tax and tax rates to guest folio2. Verification of accurate room status (in PMS) of all rooms

Accounting for guest: Check Out:-

Two essential tasks accomplished by desk agent

1. Settlement of guest’s bill

2. Confirmation of guest’s identity

3. Checking for late faxes / messages not yet delivered to guest

4. Inquiring about and returning guest belongings in hotel’s safety deposit boxes

5. Posting any final charges

6. Producing copy of folio for guest’s inspection

Data Management: Credit Cards:- AccuracyCommitment to securityProcessing guest Credit Cards

Data Management: Locking / Security System:-

Recordable locking system:-1. Increasingly utilized to ensure guest safety2. Installed cost is about $300 - $500 per guest room3. Independent & stand-alone (no wiring back to PMS is

necessary)Managing a recordable lock system:-1. Be trained to issue duplicate keys only to confirmed registered

guests2. Maintain an accurate data system that actually identifies

registered guests and their assigned room numbers

Data Management: Telephones:- Private Branch Exchange (PBX) Hotel internal system to process incoming, internal, and

outgoing telephone calls Wake-up callsVoicemailMessage on hold

Data Management: Point of sale (POS):- Point of Sale (POS)Any sales recording system not located at Front Desk( a

location, excluding Frony Desk, at which hotel goods & services are purchased)

Data Management: In-room Services:-

Data Management: Back Office System:-

Back office accounting system

System used by the controller to prepare hotel’s financial documents such as Balance Sheet, Income Statement, etc.

Back office accounting system should offer:

1. good underlying technology

2. strong company behind the product, including good leadership

3. compatibility with popular hardware products

4. sizable customer base

5. good customization capabilities

6. expandability

7. ease of use by non-technological staff

8. excellent support via telephone

9. excellent online support