Rooms Division Management
A.M. Jansen
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Colofon Publisher: Author: Editor: Photos:
Uitgeverij Edu’Actief b.v. Meppel A.M. Jansen Uitgeverij Edu’Actief b.v. Meppel, Jan Chris Pennekamp Bilderberg Hotels & Restaurants, Edu’Actief, A.M. Jansen, Mövenpick hotel Amsterdam, Sjoerd Gehrels, Steve Woods/www.sxc.hu Text and cover design: Studio Imago, Amersfoort Illustrations: Herman Schouwenburg Printed by: Agora b.v., ’s-Graveland
Rooms Division Management ISBN 978 90 6053 749 7 NUR 780 Copyright © 2008 Publisher Edu’Actief b.v. Meppel Postbus 1056 7940 KB Meppel tel: 0522 – 235235 fax: 0522 – 235222 e-mail: info@edu-actief.nl internet: www.edu-actief.nl First print/first edition All rights reserved. No part of this book may be reproduced in any form, by print, photoprint, microfilm or any other means, without written permission from the publisher.
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Contents Preface
4
Study tips
11
1
The guest’s experience
1.1 1.2 1.3 1.4
Selection and reservation Guest’s arrival Guest’s stay Guest’s departure
14 25 40 75
2 Working in Rooms Division 2.1 Why choose for a career in the hospitality industry 2.2 Working in Housekeeping 2.3 Working in the Front Office 2.4 Communication skills
88 118 174 217
3 Capital investment and management 3.1 Investors and management 3.2 Yield and revenue management 3.3 Human Resources 3.4 Quality management
236 253 275 303
Index
315
Literature list
324
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Preface Many people use the word hospitality but few of us are able to explain the exact meaning of the word. Webster’s dictionary gives the following translation: “Hospitality is the act, practice or quality of receiving and entertaining strangers or guests in a friendly and generous way.” Perhaps it is easier to answer the question: “What makes someone hospitable?” We all know examples of people who love to entertain, who are a master at making guests feel at home and who are the star at any party. These persons spread an atmosphere around them of well-being, a sensation of a warm bath for the guests. It is a particular talent, which few of us possess. What makes the definition of hospitality more complicated, is the fact that hospitality in the hotel industry is provided for money. Hospitality at home should be altruistic, whereas commercial hospitality is a service rendered for profit. One of the definitions of the hospitality industry is: A company that provides lodging, meals and drinks (or any combination of these three services) for financial gain. The services are provided to all kinds of travellers. Those coming from abroad, from another town, or even people who visit a restaurant or bar in their own hometown. Commercial hospitality is no longer exclusively provided in hotels, bungalow parks, catering companies, restaurants and bars. It is available in any institute where care is provided to people for financial gain. Hence it even includes hospitals, retirement homes et cetera. The main focus of this book will be on the hotel industry.
Keeping up with ever-changing guest wishes Today’s hotelier must be creative and continually invent new ways in order to attract new guests and to retain the regular customers. As soon as a location becomes popular and attracts ever growing streams of tourists, developers will invest capital in the construction of hotels. A hotel company may be the first to discover a certain attractive location, do market research about the possibilities, build a hotel on the most scenic point that will meet the expectations of the tourists. When the quality standards are kept at a consistently high level, the hotel probably will be successful and make a profit for its shareholders. This advantageous situation will not last, no matter if the hotel keeps on satisfying every wish of its guests. Circumstances may drastically change as soon as other companies are attracted by the success and build a hotel in the same area. These companies will copy the attributes the guests of the first hotel rave about and will improve those features and points in the strategic plan that may need some improvement.
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!
“When successful in a given field,” said Gérard Pélisson, one of the founders of Accor, “letting people know about it isn’t always to your advantage. You have to learn how to control what’s being said about you: your banker has to be the first to hear about your success, and your competitors have to be the last, or else they’ll home in on your niche. But if you keep a low profile, by the time your imitators wake up to what you’re doing, it will be too late – you’ll be the king of the roost.” Source: Virginie Luc, Never take no for an answer.
In order to make it worthwhile for the tourists to choose the new hotel, it will offer special low rates for the first year. This means that tourists travelling to that location are able to choose between several hotels and compare the facilities each hotel offers and at what price. At that moment in time, the management of the original hotel is faced with stiff competition by hotels offering tourists the most modern facilities and latest gadgets. The management of the first hotel must invent new ways and means to persuade guests to return and resist the temptation of trying one of the new hotels. They cannot afford to tear down the building and start with a new and better equipped hotel. However, they have one advantage over the newcomers in that they know the guests’ expectations and wishes. They will do everything in their power to not only match these expectations but even surpass them. They may also consider making special offers during these competitive years. Good service and anticipating the guests’ wishes is the best way to stand out from the rest of one’s competitors. Good, personalized service is much harder to copy than fashionable furniture in a lobby or luxury bath amenities. Moreover, guest comment cards completed by guests confirm that guests appreciate good service more than luxury amenities.
Interaction between the hospitality provider and the guest Model of hospitality In 1979 Ruud Reuland and Ewout Cassee introduced a model of hospitality to illustrate the interaction between the hospitality provider and the guest. On the one hand, there is a vast variety of hospitality institutes: restaurants, bars, hotels, motels, catering companies, bungalow parks, retirement homes or any other institute where hospitality is given on a commercial basis. The hospitality industry offers: – products: lodging, food and beverages – service from associates – environment: location, exterior and interior decorations, furniture and fixtures. All three aspects are important to a guest. The beds must be comfortable, the food delicious and the drinks of good quality and served at the right temperature.
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But even if all these conditions are met, the guest still will leave the establishment dissatisfied when the lovely food and drinks were served by a grumpy, unshaven waiter with dirty fingernails and a stained uniform. On the other hand, dissatisfied guests are more willing to give a restaurant a second chance if the waiting staff acted correctly and in a friendly manner when they complained about the food and drinks. A hotel guest will also be likely to forgive a hotel when it is overbooked and no room is available for him, if a pleasant, well groomed and immaculately dressed receptionist finds him an alternative in a similar hotel at short notice. The associates in the service industry can make all the difference in the guest satisfaction process. The entourage must also be to a guest’s liking. He must feel comfortable in a particular style of the building, old or modern, its furniture and fixtures and the decorations. On the other hand we have guests with their: – needs – objectives – expectations. In order to find out about the needs, objectives and expectations of potential guests, hospitality companies do regular research and have ongoing quality measurement programmes. At the conclusion of their stay, guests are requested to fill out questionnaires in which they are asked to rate the quality level of several aspects of their stay. After an important event most hotels also phone the guests to find out if their stay has met all their needs, objectives and expectations. If managers have not received any complaints or suggestions for improvement for a considerable time, they have every reason to become worried. Either their associates are hiding the completed questionnaires or the hotel staff is not sincerely interested in whether the guests are satisfied or not. The needs of guests depend on their mood of the moment, their moral code, their judgement of value, tastes, their background and upbringing. Put someone who hates modern art in a boutique style hotel room with precious modern paintings and he will not feel comfortable in his room. If a guest has just had a flaming row with his wife, you can present him with food and drinks fit for a king, served by well meaning, friendly staff and still you will not be able to satisfy him completely. Maybe you can just make him feel a little better. The objectives, which a guest has in mind before entering a hotel, also determine whether he will be satisfied. A businessman expects to be treated differently than a tourist, who is more likely to appreciate a chat with one of the associates about tourist attractions. A businessman wants to be checked in and checked out quickly and efficiently, so that he will not lose too much precious time and may appreciate a friendly chat with the barman after his work is finished. A couple in love, who have only eyes for each other, does not appreciate it when a wine waiter gives a long explanation about the wine to be served. They prefer to concentrate all of their
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attention on one another. An older couple, on the other hand, might appreciate an interesting wine story. Business people discussing deals certainly do not appreciate being asked too often during the meal whether they like the food, wine and service. Each guest has different objectives for coming to a hotel or restaurant. A businessman who wants to impress a new client will invite him for a meeting and/or a meal in an impressive, luxurious hotel or restaurant. The entourage of a business hotel adds value to the meeting, giving the client the impression that he is dealing with a representative of a successful company. The business deal he wants to make is worth spending extra money on an impressive location. Yet, it is unlikely that the same businessman will choose the expensive business hotel for a family holiday when has to pay the bill himself. In such a case, his objectives are quite different. He will choose a hotel in beautiful surroundings and with many tourist attractions, a swimming pool, sports facilities. Of course, all of this has to be available at a reasonable price. It is uncanny how quickly experienced employees recognize the expectations of different target groups. As soon as the main objectives and expectations are known, hotels will enter and classify them in the computer system – business or leisure guest, preferred accommodation, favourite drink, newspaper, et cetera. At his next visit, this information will pop up on the screen as a source of information for all associates concerned. Guests are pleasantly surprised when hotel staff remember their name and other personal preferences even if they know that the source of information is the computer. A hotel offers hospitality to a guest from the moment he makes a reservation to the moment that he will leave the hotel. A guest makes use of this hospitality during his entire stay. If the hospitality offered agrees with the guest’s needs, objectives and expectations a monetary transaction will taken place. If the guest had different expectations of the hotel he will complain and pay reluctantly. He will certainly not come back, which means that the hotel has lost a valuable guest. The monetary transaction is the link between the offer of hospitality and the demand for hospitality. It is made conditional on both the offer and the demand and ultimately the guest’s experience. The monetary aspect is important for the survival of the business. Investors and owners need a return on investment in order to pay for refurbishment, repairs, improvements and further expansions.
Guest experience in restaurants In 1984, psychologist Ans Fagel studied the experience of restaurant guests. She divided the restaurant visit into three stages: – before entering the restaurant – first five minutes after entering – transaction of hospitality.
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She ascertained that all guests have different objectives and needs. The guest may gather information about the restaurant, its specialities, the chef, the ambiance and the price before his visit or he may just look at the building and the menu in the window. The better he is informed, the more likely he will be satisfied. With little information to go on, the more likely he will be disappointed. The next stage comprises the welcoming of the guest. The guest is greeted, his coat is collected and he is directed to his table. Results of the research showed that a guest passes judgment on a restaurant during these very first five minutes. So even before he has tasted the food or any beverages. This is a firm warning to busy restaurants not to ignore guests, but to welcome them immediately. The same goes for hotel guests. Arriving tired from their trip they hate to queue up for registration and also at check-out time when they are in a hurry to be on their way. Hotels have found some very creative solutions for this problem. Some hotels offer arriving guests a seat and a welcome cocktail. Resort hotels may entertain waiting guests by showing on a big screen a video of tantalising places of interest they may visit during their stay. During the third stage, the guest will taste the food, the drinks and enjoy the hospitality of the restaurant associates. But his mind has already been made up about the quality. It will be very hard for the staff to change the guest’s mind if he has had a negative experience during those critical first five minutes. On the other hand it will be much easier for the restaurant staff to satisfy the guest’s needs and expectations if he is already in a positive frame of mind. “True happiness comes from making others happy” Bharavi, Sanskrit, poet and author of Kiratarjuniya, 6th century AD As a student at the hotel management school, I was working as a server during one of the Christmas holidays. At the end of the holidays, as I collected my wages, the owner made me a job offer. Surprised, I pointed out that I had not finished my studies yet. The hotel owner told me that he was not impressed by any degree. He needed associates who loved serving his guests and who shared this pleasure with colleagues and guests alike. The technical side of the trade like knowledge about wines and serving techniques he could easily teach me himself. I realised that I had had so much fun working in that hotel that this feeling was conveyed to everybody working with me. More importantly, it was conveyed to the guests who had recommended me to management. Needless to say that I felt very flattered. Much to my parents’ relief I did not accept the job but focused on finishing my studies and graduation. I did not regret the decision, but I always remembered the wise lesson of this manager who taught me how important commitment and having plain and simple fun serving guests is for a successful career in hospitality.
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Research has shown that you use only 15 muscles for a smile and 72 for a frown, which makes smiling so much easier than frowning. Researchers have also proved that smiling is good for your health. The opposite is also true. People with a negative frame of mind who hate their job will become ill sooner or later. A positive life attitude is not only good for your own health, it has also a beneficial influence on people in your surrounding and makes the communication with your colleagues and guests a lot easier. To stress the importance of international orientation I have chosen the newly opened Marco Polo Hotel at Shenzhen, China as a model for this book. The General Manager, J.H. Meyknecht, and his management team have generously contributed material and advice for this book and I am deeply grateful for their contribution. Management and staff of Hotel Wyswert of the CHN University, in Leeuwarden, graciously allowed us to shoot the scenes of the instruction films on their premises. They made our team feel quite welcome with their warm hospitality.
Acknowledgements As with my previous books, the suggestions and linguistic contributions of Jan Chris Pennekamp have been indispensable and I am extremely grateful for his assistance. Many international experts have given their precious time to contribute to the contents of this book and to suggest improvements. I particularly would like to thank the following persons and organisations for their learned input: Ruud M.J. Bausch, International Hotel Consultant Janet Besmer, Executive Housekeeper, Marco Polo Wuhan Jacqueline A. Cannon, VP Human Resource, Château Élan Hotels & Resorts, U.S.A. Ann Chanthanalert, International Office, Rangsit University, Bangkok Bernadine Egbring, Front Office Manager, Radisson SAS, Amsterdam Schiphol Henk H. Evers, President and CEA of Château Elan Hotels and Resorts and Chairman of EIP Inc, Wim N.M. Fagel, General Manager, Amari Rincome Hotel, Chiang Mai Hillegonda Jager, Practical instructor Housekeeping, CHN University Leeuwarden Harriët C. Koopman, General Manager, Radisson SAS Hotel Amsterdam Airport Harald Kniss, International Consultant Jan-Ale Kort, Lecturer Hotel Management, Rijn-IJssel Vakschool Wageningen Andy Lam, Front Office Manager, Shenzhen Marco Polo Hotel Jacco van Lubeck, Manager Six Sigma, Black Belt Amsterdam Hotels, Starwood Hotels and Resorts Anita van der Meer, Practical Instructor, CHN University Leeuwarden Henk J.H. Meyknecht, General Manager, Marco Polo Wuhan Wilma Pecht, Manager Industrial Placements, Rijn IJssel Vakschool Wageningen Saskia Penninga, Lecturer Rooms Division, CHN University Leeuwarden Lucas L. Petit, Director of Hoscom B.V. Ingrid M.V. Roekens, General Manager, Sheraton Brussels Airport Hotel & Conference Center
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RenĂŠ J.M. Schillings, Director for Greater China, HESS Global-Hospitality Executive Search, Hong Kong Machteld Schol, PA to Jan van der Putten, General Manager, Hilton Amsterdam Airport Schiphol Fred Slagman, Training & Project Manager, ECOLAB, Nieuwegein, Gomathy Suppiah, Director of Business Development, Hilton Hanoi Opera Joke Talsma, Rooms Division Manager, Hotel Wyswert, Leeuwarden Benjamin L. Tam, Revenue & Reservations Manager, Park Plaza Hotels Amsterdam Elly van de Wouw, Director of Human Resources Amsterdam Hotels, Starwood Hotels and Resorts Betty Xu, Director Sales & Marketing, Marco Polo Shenzhen and last but not least, Alie Mud and her colleagues at the library of CHN University Leeuwarden, who were most helpful and all the other kind persons who contributed time and shared their knowledge with me. I dedicate this book to my sons Mark and Eric with love.
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Study tips How to use this book The purpose of this book is to provide an introduction to Rooms Division management. The book highlights the following three aspects of hotel management: – the guest’s experience – the associates’ working experience – management and shareholders. The text integrates the latest theories, research and examples of several international hotels, in particular the Shenzhen Marco Polo Hotel. In order to facilitate the learning process each chapter starts with a chapter outline and ends with a number of review questions.
How to use the DVD For some subjects, audio-visual aids are a highly effective tool that enhances learning. Short instruction films on the DVD highlight practical learning objectives. Assignments enable students to apply the theory presented in the book. Many owners, managers and consultants had a role model they admired at the beginning of their career in the hotel industry. Realising the importance of having a role model, they kindly provided their resumes for the DVD, so that aspiring hoteliers may study their paths to success.
The place of women in the hotel industry Please note that for convenience sake the author has used the ‘he’ form in this book. Of course she realises that women have taken an important place in the international hospitality industry, although women in management positions are still scarce. At least hotel managers have realised that it pays to take account of women travellers’ particular wishes and needs. Some hotels have even started to plan accommodation specifically for businesswomen travelling alone. For example: The new five-star 300-room Grange City Hotel, which mainly serves executives visiting London, will have a wing catering only for women guests. Men will be barred from the seven floors of the wing, creating privacy and security for the ladies who will not encounter any men in the corridors. The room service associates will all be women. And the Kempinski Hotel Beijing Lufthansa Center will offer four female-friendly guest rooms specifically designed for the businesswomen travelling alone. Besides unlimited internet access, the women will be offered a range of beauty
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Kempinski Hotel Beijing.
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products, an extra strong hairdryer, herbal teas, welcome fruit and flowers on arrival, silk pyjamas and a choice of glossy magazines.
Globalization in the hotel industry Future hotel managers must take into account the globalization of the hotel industry which has taken flight since the mid eighties. It is no longer possible to exclusively concentrate on one’s own country and culture. Nowadays, people travel extensively for business and pleasure. International hotel chains are expanding their business all around the world and require associates to know different languages who are able to function in foreign countries and work with colleagues with a diversity of cultural backgrounds. Even the small number of hoteliers that never leave their own country have to deal with international guests and associates working in their hotel. To stress the importance of international orientation the author has chosen the newly opened international five star Marco Polo Hotel at Shenzhen as a model for this book. The General Manager, J.H. Meyknecht, and his management team have generously contributed material and advice for this book. I am deeply grateful for their contribution.
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CHAPTER
1
The g ues t’s e xper ien ce
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1 .1 s e l e c t i o n a n d r e s e rvat i o n
1.1 Selection and reservation Hotel associates must look at a guest’s stay from the guest’s perspective. How does the guest experience his stay at the hotel? What does the guest need and what are his wishes? In order to fulfil these needs and wishes, hotels must gather as much information about the guest as possible. Therefore it is essential that hotel associates know about the different reservation possibilities the guest can choose from, understand the importance of a full house, know what causes an overbooking and how the Front Office deals with this problem. A hotel without guests cannot survive and will soon go bankrupt. Therefore, it is essential for hoteliers to make the whole process from reservation to checkout run smoothly for their guests. Management is responsible for enabling these processes to produce the desired results. They must manage the human resources, the infrastructure, security, the building and equipment, the communication etc. In order to add value a process must improve a product or service in order to satisfy guests at a price they are willing to pay. A typical hotel has the following core processes: – guest’s selection of a hotel – guest’s arrival at the hotel – guest’s stay at the hotel – guest’s departure.
DEFINITION: A process is a series of related tasks that yields a product or service to satisfy a guest.
Selection A selection process may differ from guest to guest. The first introduction to a hotel can be: On Internet through the hotel’s website PhoCusWright Inc., an independent travel, tourism and hospitality research firm, predicts that the Internet will contribute over 27% of all hotel bookings by 2007. This means that Internet has become one of the most important sources of reservations for hotels. An advertisement in a newspaper or magazine Special offers which include travel and hotel accommodation are popular during the holidays. Business hotels have a low occupancy during the holidays, when businessmen tend to return home. The hotels like to offer these vacant rooms for reduced prices to tourists, who might like to visit a certain town for a weekend or short holiday. These special offers are very popular around Christmas and 14
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1 .1 s e l e c t i o n a n d r e s e rvat i o n
Easter, especially in cities like New York, Hong Kong, Brussels, London and Amsterdam. Hotels also like to advertise in in-flight magazines and other magazines read by tourists and representatives of the tourist industry.
Hotel guides Countries and even towns have their own electronic guides. The advantages for the guest are: – 24-hour simple, fast and secure reservation with instant confirmation by email – electronic hotel booking systems are connected directly to large hotel reservation systems, Global Distribution Systems (GDS) – most guides inspect the quality of the hotels regularly – some hotels add photos of their properties, a map of its surroundings and driving directions – the guest is charged no booking fee. The hotel pays a commission to the hotel guide for every reservation made through the guide’s website. Some countries have special government rates which are not commissionable, such as Australia and Canada.
SOME
EXAMPLES
OF GUIDES:
Master Key, published by the World Association of Travel Agents (WATA), JP Moser Hotel & Château
Global Distribution Systems (GDS)
Guide for Europe
In 1953 American Airlines CEO C.R. Smith happened to sit next to a senior sales representative of IBM, R. Blair Smith, who was on the same flight. During their talk they came up with the idea of an automated airline reservation system. This resulted in a Semi-Automatic Business Research Environment or SABRE, which was launched in 1960. Soon other airlines were developing their own computerized reservation systems or CRS. Originally these systems were operated by airlines only, but later they were also used as a sales channel for travel agents. Since Global Distribution System companies have taken over the management of these systems, the systems are known as Global Distribution Systems or GDS. These systems linking buyers to sellers have made the reservation process quick and efficient. Many of these systems are now also accessible to consumers for airline tickets, hotel reservations, rental cars, excursions and other services. The four major GDSs are: Amadeus serving many companies, which include airlines, hotel operators, travel agents and car rental companies. Galileo, which serves airlines, travel agencies, hotels, tour-operators, car rental companies and cruise lines. Additionally, Galileo has sponsored membership to the THOR Worldwide Negotiated Hotel Rates Program, providing agencies with an easy-to-use hotel directory and booking capability in all four GDS systems. It also has a development centre which supplies information and systems support to travel agencies linked to the Galileo’s Data Centre.
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