Chapter 3 ‘Rooms Division Operations’

Chapter 3, ‘Rooms Division Operations’ focuses on the responsibilities, and duties of employees and management in a hotel. This includes the main functions of room division departments, property management, yield management, calculating room rates,percentages, and occupancy for potential revenue, importance of guest services and reservation functions, and the role of workers in every major department in a hotel.

Revenue centers: department in the hotel business that produces revenue

Cost centers: department in the hotel that costs money to operate

Executive committee: group of executives who’s involved in major departments of the house. These executives provide information on behalf of their department in the hotel which reflects the GM’d decision making

Room division: Overview of the departments managed by the head of front office.

Yield Management: The analysis of hotel room occupancy and prices in effort to reach maximum occupancy rates and profits

Room rates: The price and demand of rooms varying season or special event

Property Management Systems: operating system used in hotels to articulate and organize reservations, front desk, housekeeping, food and beverage control, & accounting.

Point-of-sale terminals (POS): System used to take record of customer charges.

City ledger: A special account owned by a company or client who’s established credit with hotel. Any credit is due by a specific period of time, doesn’t have to be paid up front

Night Auditor: Employer whom verifies and balances guest accounts receivable.

Daily report: Report which contains room occupancy percentage

Room occupancy percentage(ROP): # of rooms occupied divided by rooms available

Average daily rate (ADR)total of Room revenue divided by rooms sold

Revenue Management: the management who’s in charged of maximizing room revenue

Revenue per available room: total of room revenue by the number of rooms available in a period of time

Call accounting system (CAS): tracks guest room phone charges

Global distribution systems (GDS): electronic markers for travel, hotel, car rental, and attesting bookings.

Central reservation system (CRS): System used within large franchises to connect reservation systems between one chain to another.

Central reservation office: where guest reservations are processed

Confirmed Reservation: Reservations done within a period of time for a confirmation slip without paying.

Guaranteed Reservation: person making and paying for reservation all at once.

Uniformed staff: example; the concierge, bell persons, door attendants.

Concierge: uniformed staff with their own section of hotel. In charge of assisting guests with services

Productivity: measurement of a person hours per occupied room

Occupational Safety and Health Administration(OSHA): administration whom ensures safe and healthful working conditions for employees.

Employees Right to know: Senate bill 198, information which developed awareness of storage, handling, and use of dangerous chemicals

Catastrophe plans: Plan developed to ensure staff and guest safety and to minimize cost of any disaster. To

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