CHTP REVIEW: Hotel Technology

Cihan Cobanoglu, Ph.D., CHTP University of South Florida Sarasota-ManateeMay 5, 2011

HFTPWhat To Expect

Multiple Choice and True/False

4 Sections

250 – Choose most correct answer

75% Passing grade in each section

HFTPReview Topics

General Technology: Network Administration Emerging Technologies Telecom System Architecture

Targeted Technology: Facilities Club Applications Resort / Spa Marketing / Web Applications

Hotel Technology: Accounting / Payroll / HR Food and Beverage Lodging Applications

Managing Technology: Time and Attendance Systems General Management System Strategies System Analysis and Selection

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Hotel TechnologySection Two

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POLL QUESTIONHow many systems are there in a full service hotel?a) Less than 10b) 11-25c) 26-50d) 51-75e) 75 or more

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PMSCORPORATEACCOUNTING

SYSTEM

CORPORATERESERVATION

SYSTEM

E-MAIL, WWW, DSS, EIS

FORECASTING&

SCHEDULING

TIME &ATTENDANCE

GLOBALRESERVATION

SYSTEM

TRAVELAGENTS

CORPORATEGUEST

HISTORY

PURCHASING&

INVENTORY FOOD &BEVERAGE

INVENTORYSYSTEM

RESTAURANTMANAGEMENT

SYSTEM(POS)

ELECTRONICBAR

DISPENSER

MINIBAR

CALLACCOUNTING

SYSTEM(CAS)

LD

YIELDMANAGEMENT

PAY PERVIEW /

CHECK OUT

CREDIT CARDAUTHORIZATION

& EFT

PBX(SWITCH

MAIDDIAL-IN

VOICEMAILMESSAGE

HANDLING

WAKE-UPSYSTEM

SALES &CATERINGSYSTEM

REMOTESALES

MARKETING

MAINTENANCEENERGYFIRE &

LIFE SAFETY

ELECTRONICLOCK &

SECURITYSYSTEM

INROOMENERGY

CONTROL

INTERFACE WITHDIRECTION OFDATA FLOW

Internet/Intranet

SWITCHCOMPANY

Hotel System Map

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HFTPCentral Reservation Systems

Affiliate Systems System that services an entire chain All properties are contractually related CRES systems handle all reservations with some

type of charge or cost.

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Central Reservation Systems Non-Affiliate Systems Contracted to individual properties Subscription based service Apply to independent hotel properties Have some type of charge or cost

Interfaces One-Way verses Two-Way The properties inventory may not reflect the same as

the Central reservations depending on the interface to the property.

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Global Reservation Systems (GDS) International joint ventures of diverse

companies Direct linking of: hotels, airlines, car rental

companies, and travel agencies using the internet or other private computer networks

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Poll Question

Which of the following is an example of a global distribution system?a) Expediab) Sabrec) Galileod) A and Be) B and C

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GDS

HFTPRevenue and Yield Management Systems

Revenue Management Program helps hotel managers determine whether

a reservation request should be accepted or rejected in order to maximize revenue for a specific period of time.

Takes advantage of rate hurdles

Yield Management The ratio of actual revenue to potential revenue. Room rates should be higher when demand

exceeds supply. Oversell Guidelines maximize revenue potential by

selling all available rooms.

HFTPProperty Management System (PMS)The computer-based lodging

information system that helps track guests and their special request or inquires.

HFTPPMS Front Office Applications

Reservations Module Used to process room requests. Most helpful in forecasting occupancy

Revenue Management Module Maintains the room and package rates

Rooms Management Module Maintains current room status information.

Guest Accounting Module Maintains the guest charges and payments

HFTPProperty Level

Reservations Module An integrated module of the PMS Reduces paperwork, redundancy, clerical Interface point to CRS Quick access to reservation information

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Rooms Management Module Strengthen communications between

Front Office and Housekeeping Current room status information Room assignment and check-in In-house guest information Organize Housekeeping activities Management reporting

HFTPGuest Accounting Module

Enables posting directly to guest and non-guest accounts

Enables management control over financial aspects of the guest cycle

Eliminates the need for guest folio cards and posting machines

Monitors credit and sets the folio at a no-post status when charges approach the house limit

HFTPThe Audit Trail

Cross references from: source document serial number work-shifts cashiers POS terminals departmental accounts

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Credit Card Processing

Interface to Systems Reduces Cost Insures Accuracy Non-repudiation a solution that offers

protection against disputed charges to the merchant.

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Interface vs Integration

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Interface

TRANSLATOR

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Call Accounting to PMS Interface

Call Accounting

PMS

HFTPIntegration

• Common platform

•Common database

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Integration

Call Accounting

PMS

COMMON DATABASE

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• OPEN TRAVEL ALLIANCE (OTA)– Opentravel.org

• HOTEL TECHNOLOGY NEXT GENERATION (HTNG) – Htng.org

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Integration v. Interfacing Integrated Systems: A systems which

contains a number of subsets that perform separate tasks yet operate within the same structure.

Interfaced Systems: More than one system that are linked together through the use of hardware and software in order to provide communication between separate programs.

HFTPPMS Interfaces

Point-of-Sale Call accounting systems Electronic locking systems Energy management systems Auxiliary guest services Guest-operated devices

HFTPCall Accounting System (CAS)

Designed to place and price outgoing calls, and post telephone charges to guest accounts. Not a guest’s credit card

Interfaces to PMS and Telephone Switch Automatic ID of outward dialing (AIOD)

immediately identifies the extension from which a call is placed

Least cost routing Directs calls over the least-cost available line, regardless of carrier. When this line is busy, the device prompts the system to use the

next least expensive line.

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HFTPCall Accounting System (CAS)

Performs the following functions call placement call distribution call routing call rating call recording

Preferred Features Separate guest calls from admin calls Long-duration calls can be priced at flat rate Area codes can be updated by hotel management

Reasons for reduced telecom revenue Increased use of Email Calling Cards/Pre-Paid Cards Growing cell phone usage High mark-ups on long distance phone calls

HFTPAccounting Modules / Systems Accounts Receivable Accounts Payable Payroll Accounting Inventory Accounting Purchasing Financial Reporting

HFTPAccounts Receivable Module

Maintains account balances Processes billings Monitors collection activities Generates aging of A/R reports Audit reporting on all A/R

transactions

HFTPA/R Ledgers

Guest Ledger Lists all accounts for in-house guests

City Ledger Lists all accounts receivable balances of

guest who have checked out guest folio balances non-guest accounts bill-to accounts credit card billings group accounts

Advance Deposit Ledger

HFTPAccounts Payable Module

Contains Vendor Master File Posts vendor invoices Monitors payment discount periods Determines amounts due Cuts checks for payment Check reconciliation Management reporting

HFTPOther Accounting Topics

Payment Terms 2/10 Net 30 Days (2% discount in 10 days,

otherwise, pay in 30 days)

Blind Drops Basic Posting Formula in

Audit Process

HFTPPayroll Module

Employee master file Gross and net pay for salaried and

hourly employees Cuts paychecks Payroll and tax registers and reports Labor and cost reporting for

management

HFTPInventory Module

Inventory Master File Inventory Status Inventory Valuation

HFTPInventory Valuation

FIFO (First in First Out - Latest)

LIFO (Last in First Out - Earliest)

LIPO (Surgical Removal of Subcutaneous Fat)

Actual cost Weighted average

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Poll Question

Which of the following valuation method is the most commonly used in hospitality industry?A) FIFOB) LIFOC) Actual CostD) Weighted Average

HFTPPurchasing Module

Purchase Order File par levels

lead time quantity reorder point

Telecommunication of P/O’s

Bid Specification File

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Financial Reporting Module

Chart of Accounts Trial Balance File Financial Statements Balance Sheet Income Statement Statement of Cash Flows

Ratio Analysis

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Auto-Coursing - time dependent circle of service Forced Modifiers - automatic prompts for order

detailsMenu Engineering - profitability and sales analysisPrechecking - authorization for production/servicePostchecking - check totaling for print/settlementReports - server, day part, shift, terminal, outletServer Banking - reconciliation by server, not cashierHand Held – remote input device

POS Terminology

HFTPFood and Beverage

Management Applications Process data related to back-of-the-

house food service activities Common management applications Recipe Management Sales Analysis Menu Management, Engineering and Costing

HFTPThe Menu Engineering Grid

Contribution Margin $

Puzzle Star

Dog Plowhorse

$ $ $

70%Menu Mix %

HFTPF&B Cost Control

Standard Recipe Benefits

Net Weight/Volume Standard Portion

Cost #60 Scoop

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Questions

HFTPReview Materials

CHTP Study Guide Volumes I & II

How Networks Work

The Essential Guide to Internet Business Technology

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Good Luck!