Intro to Lodging Management
A hotel's utilization rate is also referred to as the occupancy percentage
true
Hotels must focus on exceeding the expectations of guests, ultimately to ensure that the hotel is able to meet goals of the hotel's investors
true
Most hotels in the United States are brand-affiliated
true
REITs receive specific tax benefits intended by the United States government to encourage commercial real estate investment
true
The core service offered by all hotels is overnight accommodations.
true
hotels are designed based on the needs of
guests/customers
a market with a strong demand enjoys higher occupancy levels and a _________ ADR
higher
The three distinct business foci within the hotel industry include
hotel investment and ownership, hotel management, and branding
A firm that provides a wide variety of support services to hotels, including multiple hotel brands, is referred to as a
hotel parent company
when considering investing in a hotel, buying or selling, one of the most important considerations is
how to value your property
another term for vacation ownership is:
timeshare
Sunrise Hotel is a 500 room hotel, the hotel sells 127,750 room nights in a year producing $28,563,327 in yearly room revenue. Using this information calculate occupancy %, ADR and RevPAR. Hint: Read the examples used in the Box 5.1 to help you with calculations. Using the information provided calculate the average daily rate (ADR).
$28,563,327 yearly room revenue / 127,750 room nights sold in a year = $223.59 ADR
Sunrise Hotel is a 500 room hotel sells 127,750 room nights in a year producing $28,563,327 in yearly room revenue. using this information calculate occupancy %, ADR and RevPAR. Hint: Read the examples used in the box 5.1 to help you with calculations. using the information provided calculate the Occupancy Percentage (%):
127,750 room nights sold * 182,500 service capacity = 70%
the Age Discrimination in Employment Act of 1967 protects people against discrimination who are ______ or older
40
Sunrise Hotel is a 500 room hotel, the hotel sells 127,750 room nights in a year producing $28,563,327 in yearly room revenue. using this information calculate occupancy %, ADR and RevPAR. Hint: read the examples used in the box 5.1 to help you with calculations. using the information provided calculate the RevPAR (Revenue per available room):
500rooms*365days in the year = 182,500 28,563,327/182,500= 156.51(RevPAR
Which KPI provides the best indicator of a hotel's overall performance
RevPAR
which law makes it illegal to discriminate someone based on their national origin
Title VII of the Civil Rights Act of 1964
a hotel guest room designed for guests with mobility and other challenges that complies with he Americans with Disabilities Act (ADA) is referred to as:
accessible
hotels offer potential to investors of increased cash flows due to
all of the options provided: - proper management can increase occupancy - guests pay rooms in advance - hotels offer other services that generate revenue like f&b outlets
according to many hotel managers, what is the most important question in the guest service quality survey?
assess guest intentions to return to the hotel in the future
vision, mission, and value statements:
clarify organizational goals, and define how associates are expected to behave
the exempt manager that oversees the accounting function at a hotel is typically referred to as the
controller
the two largest expenses in the F&B division are:
cost of goods sold (COGS) and labor
why are hotel F&B departments making changes to their offerings?
customer feedback
ultimately, a successful hotel manager must
deliver a satisfactory return on the investment made by the hotel's owners or investors
a chain of intermediaries though which a product or service passes from the provider to the end user is referred to as a(n):
distribution channel
labor cost per occupied room (COPR) is calculated by
dividing wages incurred by the number of occupied rooms services
once department managers are provided to GSI scores for their department, they re challenged with:
ensuring that scores are maintained or improved
A hotel that offers overnight accommodations and no, or only a limited degree of peripheral services is referred to as a full-service hotel.
false
No-show and cancellation policies, including charging guests no-show charges on the credit card they use to guarantee their reservations, as well as the forfeiture of advanced deposits, must laws be strictly enforced
false
The major hotel chains, including Marriott, Holiday Inn, Hampton Inn, and Hilton, own most of the hotels in the United States
false
a conference services manager really is not a salesperson - his/her role is merely to take the customer's order for food and beverage (F&B) services, whatever they may be
false
a high ADR is the first priority for successful hotel management
false
a hotel may designate some positions, regardless the specific responsibilities of the position, as "exempt" positions, in order to avoid paying employees overtime
false
a large banquet and catering operation has a negative impact on a F&B division's contribution margin
false
according to The Equal Employment Opportunity Act (EEOA) you can ask questions related to the candidates sexual orientation
false
all states prohibit asking salary related questions during the interview process
false
engineering recordkeeping systems rarely provide any insight into whether malfunctioning equipment should be repaired or replaced
false
experiential dining has a significant impact on the food budget of an event
false
hotel investment is like any other real estate investment
false
investment decisions should be made based on the hotel experience the investor finds attractive
false
maximizing the return of investors must always be the priority of management even at the expense of guest satisfaction
false
one of the advantages of marketing hotel accommodations through the GDS is the low cost to the hotel of electronic distribution
false
one problem with user-generated content is that potential guests often view it as less reliable or accurate
false
rather than create detailed processes and systems, management should allow employees to develop their own way of doing most required tasks
false
the revenue manager report directly to the director of guest services or front office manager, rarely having any direct contact with the rooms division manager, director of sales, or general manager (GM)
false
the routine inspection and maintenance of a hotel's escalators and elevators is typically handled in-house by the hotel's property operations and maintenance (POM) department
false
the specific demand generators located in proximity to a hotel property has little impact on the guest segments that may be pursued by the hotel sales and marketing team
false
when interviewing several candidates for the same position you should change the question set for each candidate
false
doors with a specified burn-through rating that close automatically when fire is detected to minimize the spread of a fire and the smoke produced are referred to as:
fire doors
a listing of the required education, knowledge, skills, abilities, and behavioral characteristics an associate needs to be successful in a position is referred to as the
job specifications
the requirement to comply with laws and regulations refers to a hotel's
legal responsibility
resort destinations rely on a higher proportion of ________
leisure travel
a network of visual and audible alarms, as well as fire suppression devices, connected at a central control panel designed to protect human life and physical assets, is referred to as the:
life safety system
an ownership entity in which the investors' risk is typically limited to the amount of their investment in the hotel is often referred to as a(n)
limited liability partnership
one strategy to handle demand during off-seasons (shoulder season) is to entice groups to book during off season by providing them with a ________
lower price
during an economic downturn which hotel type is likely to experience a larger demand drop
luxury
if you were going to summarize the information below in one word. what drives success for a hotel?
managing demand
when the hotel receives payment for the estimated room and tax charges for a guest's entire stay at the time of booking, it is referred to as a:
pre-paid reservation
the cost of labor, couples with the cost of food, is typically referred to as:
prime costs
a labor productivity measure expressed as a ratio of labor hours relative to occupied guest rooms is referred to as
pure measure of productivity
A single hotel accommodation occupied by a guest or guests for one single night is referred to as a:
room night
the process of identifying potential clients, assessing their needs, and evaluating the fit between these needs and the services, products, and experiences offered by the firm is referred to as:
sales prospecting
two or more service products that are offered for purchase in combination with one another for a single price are referred to as a:
service bundle
Ultimately, hotel management must prioritize the needs of the guests, since providing exceptional guest experiences is critical to optimizing the long-term financial success of a hotel
true
a common method to establish realistic expectations for a potential employee is to provide a realistic job preview, which may prevent establishing an unrealistic psychological contract
true
a hotel that sold 240 rooms last night with a total rooms revenue of $24,000 has an average daily rate (ADR) of $100.00
true
a hotel's work order system is designed, in part, to monitor the productivity of each individual engineering associate
true
a strategy that many hotel marketers use to increase a hotel's ADR without altering room rates is to attempt to shift the market or guest mix
true
an important role of the revenue manager is to inform members of the hotel sales team of upcoming group cut-off dates and when it appears a group is not on-pace to pick-up their entire group room block, which may help groups avoid attrition charges
true
higher occupancy leads to additional expenses. Therefore, a successful hotel seeks to maintain an annual occupancy of over 70% to 75%
true
in-room dining or room service operations are inherently inefficient and challenging to staff and manage
true
it is illegal to ask health related questions including pregnancy, illness, operations and recovering alcoholism or other types of addictions
true
it is the responsibility of every member of the hotel's management team to create a positive work environment, ensuring that the hotel is perceived by current and potential employees as an employer of choice
true
many luxury hotels provide twice daily housekeeping service with the evening service, during which the room is refreshed and the bed is turned down, referred to as turndown service
true
many resorts may suffer from seasonality and struggle to sell off-season
true
one of the challenges of vacation rentals within a resort setting is the inconsistency of the accommodations
true
the food and beverage (F&B) division may be thought of as the "personality" of a hotel since the quality and creativity of the hotel's F&B operation can distinguish a hotel significantly from its competitors
true
the greatest benefit of this three-tier inspections process is that it communicates to the room attendants, housemen, and housekeeping supervisors that what they do - each and every day - is important to the hotel's success
true
the guest service index (GSI) is a metric that is used to evaluate guests' perceptions of the service quality delivered by a hotel, often measured as the percentage of positive responses on guest surveys
true
the way that the debt on a hotel is structured typically has a significant impact on the return that investors earn on their environment
true
to optimize a hotel's ADR, occupancy, and RevPAR, the sale of overnight accommodations through the various distribution channels must be thoughtfully managed
true
volume accounts refer to organizations that negotiate a discounted room rate while committing to generate a minimum number of room nights annually
true
when a guest initially selects a hotel, the hotel's location is critical; however, cleanliness is the most important factor regarding whether a guest returns to a specific hotel
true
the proportion of service capacity that is consumed during a specified time period is referred to as:
utilization rate