Rooms Division Operations

6.The primary purpose of guest accounting menu is: a) to document every financial transaction of the guest b) to charge the guest

c) to offer discounts to the guest

d) to record the employee who made transactions

7.There are 100 rooms at $140, 10 rooms at $250, 250 rooms at $160, and 50 rooms at $125. What is the average daily rate?

a) $153 b) $1530 c) $123 d) $1500

8.A system of maximizing revenue through adjusting room rates according to demand is known as:

a) ADR

b) occupancy percentage c) yield management

d) the meal plan

9.The mid-range strategy is the strategy when:

a)the agent quotes a rate from middle room type, going either up or down according to the situation

b)rooms are offered only to middle class people

c)the agent offers middle prices and then upsells

d)none of the above

10. A “manual” hotel is a hotel which uses:

a)PMS

b)POS

c)RM

d)no any computerized systems

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3.Terminology

1.A.m. room status report is a report detailing the status of each room at the beginning of the day.

2.Amenities are features that add material comfort or convenience to a guest’s stay; for example, hair shampoo, an iron and ironing board in each room, and an in-room coffee maker.

3.Area inventory list is a list of all items within a particular area that need cleaning by or attention of housekeeping personnel.

4.Average daily rate (ADR) is one of the key operating ratios that indicates the level of a hotel’s performance. The ADR is calculated by dividing the sales by the number of rooms rented.

5.Bartering is a method by which hotels can exchange vacant rooms in low season for advertising in magazines, for purchasing housekeeping supplies, for stationary and so on.

6.Blackout is a total loss of electricity.

7.Bottom line is a net profit or a result in a transaction.

8.Bottom up is a sales method that involves presenting the least expensive rate first.

9.Brownout is partial loss of electricity.

10.Call accounting system (CAS) is a system that tracks guest room phone charges.

11.Card entry is a system when a person staying in the hotel room uses a card which is set to function till the time when the client checks out.

12.Central reservations office (CRO) is the central office of a lodging company where reservations are processed.

13.City ledger is a client’s account whose company has established credit with a certain hotel. Charges are posted to the city ledger and accounts are sent once or twice monthly.

14.Client profile is a record, usually in a computer reservation system that shows a traveler’s basic information, frequent traveler numbers, and preferences.

15.Commercial rate is a reduced room rate given to selected business persons to promote occupancy.

16.Comps are favors in the form of money, drinks, or other services offered free usually to important customers.

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17.Concierge is a uniformed employee in the hotel who has a separate desk in the lobby or on floors and answers questions, solves problems, and performs the services of a secretary for the hotel’s visitors.

18.Confirmed reservation is a reservation made by a guest that is confirmed by the hotel for the dates they plan on staying.

19.Credit-card validator is a computer terminal linked to a credit-card data bank that holds information concerning the customer’s current balance and security status.

20.Customer base is the group of customers that a business serves. The group is made up of repeat customers with a high ratio of purchase over time.

21.Customer relationship management (CRM) is business attempting to manage the relationship with their customers or guests for long-term mutual benefit.

22.Day rate is a reduced charge for occupancy of a room for less time than overnight. It is used when the guest arrives and departs the same day.

23.Daily report is a report prepared each day to provide essential performance information for a particular property to its management.

24.Desk clerk is an employee who works at the front desk to register guests, supplies rates, information, and guest reports.

25.Discrepant code exists when housekeeping and the front desk have different information on the status of a guest room.

26.Due out is a room status when the room is expected to become vacant after the following day’s check-out time.

27.Electronic point of sales (terminals) is computerized cash registers which are linked to Front Office system.

28.Empowerment is the act of giving employees the authority, tools, and information they need to do their jobs with greater autonomy.

29.Energy management system controls the mechanical equipment in the hotel for saving utilities such as gas and electricity.

30.En suite – literary “in the room” – means that the room has a private bathroom.

31.Extended stay is a hotel stay of 7 or more nights.

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32.Fair market share is the ratio of a hotel’s available guest rooms and the total number of rooms on the market.

33.Family plan is a special room rate that allows children to occupy their parent’s room at no additional charge.

34.FIFO is first in – first out; a method for rotating inventory to make sure that the items that arrive first are used first.

35.Flat rate is a fixed rate that may include fees for several different services.

36.Folio is the account for a hotel guest during his or her stay.

37.Frequency schedule is a schedule that indicates how often each item on an area inventory list needs to be cleaned or maintained.

38.General cashier is an accounting employee who maintains the cash supply inside the hotel. The cashier audits each bank to ensure that proper accounting procedures are adhered to and to avoid fraud.

39.Government rate is a discount room rate offered to government employees which tries to match the per diem offered to government employees.

40.Group rate is a discount room rate offered to someone reserving a block of rooms at the same time, usually requiring a minimum number of room reservations.

41.Guaranteed reservation is a reservation in which the guest has presented a credit card, advance payment, or direct billing to ensure that the room will be held for a guest who arrives late, and ensures that the hotel will be paid for the room even if the guest does not show up.

42.Guest is a person who is the recipient of hospitality in the form of entertainment – at someone’s home, as a visiting participant in a program, or as a customer of an establishment such as a hotel or restaurant.

43.Guest accounting module is a system that increases the hotel’s control over guest accounts and significantly modifies the night audit routine.

44.Guest cycle is an overview of the physical contacts and financial exchanges between the hotel and its guests.

45.Housekeeping is considered to be back-of-the-house department, responsible for cleaning and servicing guest rooms.

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46.Hubbart formula is a method used to compute room rates that considers such factors as operating expenses, desired return on investment, and income from various departments in the hotel.

47.ID (identity document) is a document used to verify aspects of a person’s identity. Usually it is a small card with a photo of a person. In some countries the possession of ID is compulsory while in others it is voluntary. Driving license tends to be accepted as the most effective proof of identity.

48.Inventory is stocks of merchandise, operating supplies, and other items held for future use in a hospitality operation.

49.Job rotation is the systematic movement of workers from job to job to improve job satisfaction, reduce boredom, and enable employees to gain a broad perspective over the work processes within the entire organization.

50.Lead time is the amount of time between the notification that a task must be undertaken and the time it is completed.

51. Local area network (LAN) allows employees of an organization to communicate and work with each other simultaneously through different computers inside a complex or building.

52.Lost & Found is a section where misplaced guest belongings are stored.

53.Maid service is a room cleaning service.

54.Maintenance work order is a request, usually made by a housekeeper, to have maintenance or repairs performed on a room.

55.Market penetration is a growth strategy to boost sales of current products by more aggressively permitting the organization’s current markets.

56.Moment of truth is any contact between a customer and a business and from which the customer makes judgments about the business and its service quality. A customer views an organization in terms of the chain events from the beginning of his experience to the end of the experience.

57.Night auditor is the individual who verifies and balances guests’ accounts.

58.No-show is a passenger who doesn’t arrive for a flight or a guest who reserves a hotel room but never arrives.

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59.Non-guaranteed reservation is a lodging reservation for which the guest has not offered guaranteed payment, usually held until some set time in the evening, and then given to someone else if needed.

60.Non-recycled inventories are those items that are consumed or used up during the housekeeping operation.

61.Occupancy percentage is the number of rooms sold divided by the number of rooms available.

62.Occupancy rate is the number of rooms that are occupied in a lodging facility on average.

63.Organizational chart is a schematic drawing that lists management positions in an organization.

64.Out-of-order (OOO) describes a room that cannot be used because of a maintenance or other problem.

65.Overstay describes a room in which the guests have decided to stay longer than originally intended.

66.P.m. room status report is a report detailing the status of each room, created by a housekeeping supervisor from section housekeepers’ reports, usually created at the end of the day.

67.Private automated branch exchange (PABX/PBX) stands for private automated branch exchange. The area is commonly referred to the switchboard and it is staffed by telephone operators.

68.Par is the standard quantity of a particular inventory item that must be on hand to support daily routine housekeeping operations.

69.Par level is the amount of supplies needed to stock the hotel for one night.

70.Per diem is a sum of money allowed to government and business travelers by their employers to cover their food and lodging expenses.

71.Preventive maintenance is ongoing repairs to a facility’s buildings and equipment that prevent breakdowns, slow deterioration, and maintain the quality of the facility.

72.Promotional rate is a discount offered at a hotel to boost room occupancy in times of low demand, such as weekends; sometimes offered to honeymooners or for other special promotions.

73.Property management system (PMS) is a computerized system that integrates all systems used by a lodging property, such as

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reservations, front desk, housekeeping, food and beverage control, and accounting.

74.Rack rate is a price a hotel charges for a room before any discount has been taken into account.

75.Recycled inventories are those items that have limited useful lives but that are used over and over again in housekeeping operation.

76.Revenue centre is an operating division which sells goods or services to guests and thereby generates revenue for the hotel.

77.Revenue per available room (RevPAR) is total rooms revenue for period divided by total rooms available during a period.

78.Room block is a given number of rooms that are held in reserve, to ensure that overstays and clerical errors do not result in overbooking.

79.Room management module is a system that tracks the status of rooms; it assists the housekeeping department and the front desk with their duties.

80.Room occupancy percentage (ROP) is a key operating ratio for hotels that is calculated by finding the number of rooms occupied and dividing by rooms available.

81.Room rates are the various rates charged for hotel rooms.

82.Room service is a meal service to a hotel room.

83.Room status is housekeeping terminology that indicates availability of guest rooms.

84.Rooms division is made up of the following departments: front office, communications, reservations, guest services, concierge, and housekeeping.

85.Rooms inspector is a person assigned to a group of eight housekeepers to inspect the cleanliness of guest rooms at random.

86.Routine maintenance is the general upkeep of the property, occur on a regular basis.

87.Section is the assignment of rooms to an individual housekeeper.

88.Section master key is a key that opens all rooms in a section assigned to one housekeeper.

89.Senior rate is a discount room rate offered to guests over a certain age, usually 55 to 65.

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90.Scheduled maintenance is an upkeep of the property based on a formal work order or similar document.

91.Skip is a guest who departs secretly without intention to pay.

92.Speciality rate is a discount rate offered to airlines, employees, or other preapproved groups.

93.Stabilized occupancy refers to the level of occupancy that a hotel must achieve to be profitable over its economic life.

94.Stayover (S/O) describes a hotel room in which the guest is expected to stay another day.

95.Support centre is an operating division which does not generate direct revenue but plays a supporting role to the hotel’s revenue centers.

96.Total quality management (TQM) is a managerial approach that integrates all of the functions and related processes of a business such that they are all aimed at maximizing guest satisfaction through ongoing improvement.

97.Travel agent discount is a room rate discount offered to travel agents for their personal use.

98.Turndown service is a special service provided by the housekeeping department in which a room attendant enters the guestroom in the early evening to restock suppliers, tidy the room, and turn down the covers on the bed.

99.Understay describes a room in which the guest checked out before they were scheduled.

100.Upgrade is to sell a guest a room with additional features or amenities (and usually a higher price).

101.Upselling is the ability to move a guest from a lower-priced product to a higher-priced product.

102.Vacant and ready (V/R) describes a room that the guest has checked out of and the housekeeping staff has cleaned.

103.Valet service is a laundry service offered to hotel guests.

104.Waiting list is a list of people waiting for something that is not immediately available such as a table in a restaurant, a seat in an airplane or an appointment.

105.Wake up service (or alarm call) is a service provided by lodging establishments, it is similar to alarm clocks via a telephone.

106.Walk-in is someone who wants to stay in a lodging, but does not have a reservation.

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