Hotel and Lodging Management

Alan T. Stutts is President of Brown College. He has received the Stevenson-Fletcher Academic Excellence Award from the Counsel of Hotel, Restaurant, and Institutional Educators International (CHRIE), and the Lamp of Knowledge Award from the Educational Institute of the American Hotel and Lodging Association. He is the author of four books and numerous articles, and is the editor of several publications.James F. Wortman is a lecturer at the Conrad N. Hilton College of Hotel and Restaurant Management at the University of Houston, where he teaches hotel management and is Director of the Office of Gaming Education and Research.

• Preface xiiiIntroduction xvChapter 1 Growth and Development of the Lodging Industry 1Travel and Tourism 2The History of Lodging 4Growth and Development 4Box 1–1 Kemmons Wilson’s Holiday Inn 5Innovations in Lodging Management 6Lodging Industry Classification 7Quality of Facilities and Services 7Target Market 9Comparative Statistics 11Types of Service Provided 11Summary 18Review Questions 19Activities 19References 20Appendix 1–1 AAA Lodging Classifications 21Chapter 2 Organizational Structure 27Overview of Organizational Design 28Job Specialization 28The Organization of a Lodging Establishment 29Rooms Department 30Food and Beverage Department 33Marketing and Sales Department 35Human Resources Department 35Accounting Department 35General Manager 36Resident Manager 37Patterns of Authority 37Span of Control 39The Pros and Cons of Functional Organization Design 41Meetings and Committees 42Box 2–1 Conrad N. Hilton 44The Future Organization of Hotels 45The Hotel Staffing System 47Career Paths and Opportunities 49Summary 50Review Questions 51Activities 52References 52Chapter 3 The Front Office 53Organization 54Reservations 56Reservations Department Staff 56Future Room Availability 57Reservation Sources 58Other Reservation Sources 60Convention or Group Reservations 60Guaranteed Reservations 60Box 3–1 J. Willard Marriott 61Reservation Processing 62Reservation Revisions 63Registration 63Registration Department Staff 65Arrivals 67Group Arrivals 69Overbooking 71Guest Services 72Guest Services Staff 72Telecommunications 74Night Audit 75Checkout 77Settlement 77Room Status Change 78Preparation of Guest History 78Guest Relations 78Summary 80Review Questions 81Activities 81References 82Appendix 3–1 Projecting Hotel Occupancy, Establishing Room Rates, and REVPAR 83Chapter 4 Housekeeping 87Housekeeping Staff 88Executive Housekeeper 88Box 4–1 Curtis Leroy Carlson 89Assistant Housekeeper 91Inspector 92House Staff 92Laundry Supervisor 92Guest Room Attendants 93Runner 93Linen Room Supervisor and Attendants 93Scheduling 93Turnover 95Guest Room Cleaning 96Public Area Cleaning 99Inventory and Control 99Employee Safety 105Responsibility, Reputation, and Quality of Service 107Economics 107Accident Prevention 107Summary 109Review Questions 109Activities 110References 110Appendix 4–1 Sample Housekeeping Routines 111Chapter 5 The Marketing and Sales Department 117The Sales Staff 118Characteristics of a Successful Sales Department 119The Telephone Survey 121The Sales Call 122Convention Bookings 123Confirmation Letter 124Booking Follow-Up 125The Weekly Report 125Cancellations 126The Monthly Forecast 126Convention Instruction Memos 127Marketing Functions 127Box 5–1 Eric M. Hilton 128Advertising 129Brochures and Collateral Materials 129Database Mailings 129Packages 130Promotions 130Public Relations 131Rate Management and Pricing 132Summary 133Review Questions 133Activities 134Chapter 6 Human Resource Management 135What It Is and What It Is About 136Environment 137Legal Environment 137Laws Against Discrimination 137Affirmative Action 140Laws Relating to Insurance Programs 142Laws Relating to Pay 143Laws Relating to Permission to Work 143Company Environment 145Work Environment 145Work and People 145Analysis of Work 146Job Descriptions 146Recruiting and Selecting Employees 149Matching and Training 152Motivating and Paying 154Relationships 156Employee Relations 156Labor Relations 158Other Issues 159Workplace Diversity 159Globalization of the Industry 159Alternative Forms of Employment 160Computers, Technology, Change 160Summary 160Review Questions 161Activities 162References 162Chapter 7 Hotel Food and Beverage 163Introduction to Hotel Food and Beverage 164Fun and Excitement 164Opportunity for Growth 164Challenge 164Box 7–1 Lord Charles Forte 165Dynamic 165Creative 166Teamwork 167The Operational Areas of the Food and Beverage Department 167Hotel Restaurants 167Hotel Room Service 170Hotel Bars and Beverage 171Hotel Banquet and Catering Department 173Hotel Food Production 175The Management of Hotel Food and Beverage 177Food Production Management 177Restaurant Management 182Beverage Management 184Catering Management 184The Director of Food and Beverage 186Summary 186Review Questions 187Activities 187Chapter 8 Loss Prevention and Security 189Loss Prevention 190Guest Room Safety 190Safety in Public Areas 192Safety in Banquet Areas 192Swimming Pool Safety 192Loss Prevention Committee 193Hotel Inspection 195Accident Investigation 195The Security Department 197Director of Security 197Security Planning 198Box 8–1 Gerard Ferdinand Pélisson and Paul Jean-Marie Dubrule 200Emergency Plans 201Summary 202Review Questions 203Activities 203References 203Appendix 8–1 Hotel Security Audit 205Chapter 9 The General Manager 217Operational Control, Organizational Development, and Business Maintenance 218Box 9–1 Ellsworth Statler 219Total Quality Management 221The Importance of Communication 223The Development of a Performance Culture 226Summary 228Review Questions 229Activities 229References 229Appendix 9–1 A Day in the Life of a General Manager 231Chapter 10 Yield Management 235Introduction 236Fundamentals 239Market Segmentation 239Demand and Booking Patterns 239Pricing Knowledge 240Integrated Information 240Responsibility 240Mathematics of Yield Management 241Ways to Achieve Yield Management 241Rate Controls 241Box 10–1 Stephen F. Bollenbach 242Allocation Controls 243Availability Controls 243Summary 243Review Questions 244Activities 244References 245Chapter 11 Management Contracts and Franchise Agreements 247Management Contracts 248Advantages of the Management Contract 249Disadvantages of the Management Contract 249Types of Management Company 249Selection of a Management Company 250Management Contract Fees 252Other Agreements Included in the Management Contract 252Focus in the New Century 254Franchise Agreements 255Franchise Operating Procedures 257Franchise Technical Assistance 257Marketing a Franchise 258Box 11–1 Howard Johnson 259Advantages of a Franchise 260Disadvantages of a Franchise 260Franchise Fees 261Franchise Financing 262Other Stipulations of the Franchise Agreement 263Franchise Selection 264Summary 265Review Questions 266Activities 267References 267Appendix 11–1 Sample Draft of a Franchise Agreement 269Chapter 12 Time-Share and Vacation Ownership 285History of the Time-Share Industry 287Resort Sales and Financing 289Target Market 289Sales 289Box 12–1 J.W. Marriott Jr. 290Financing 292Resort Amenities and Fees 294Amenities 294Fees 294Management of a Vacation Resort 295Rules and Regulations of Vacation Ownership 296Summary 298Review Questions 299Activities 299References 299Chapter 13 Resorts, Themed Lodging, and Special Lodging Environments 301Recreation and Leisure Activities 302Leisure and Recreation Customers 302Leisure Activities 303Activity-Based Lodging 304Themed Lodging 305History-Themed Lodging 306Eco-tourism 306Casino Resorts 307Box 13–1 Barron Hilton 310Cultural Lodging Opportunities 313Leisure-Only Facilities 313Senior Living 314Unique Facilities 314Other Types of Nontraditional Lodging 316Summary 318Review Questions 318Activities 319References 319Glossary 321Index 331