Rooms Division Operations Management: A Comprehensive Guide for Hospitality Professionals

This comprehensive guide delves into the intricacies of Rooms Division Operations Management, exploring the essential aspects of accommodation and front office services, revenue management, and performance indicators. It provides a detailed analysis of the role and importance of the front of house department, the key operational issues affecting effective management, and the legal and statutory requirements applicable to rooms division operations in the UK. The guide also examines the importance of design and development of property interiors, including functionality, and analyzes the operational issues affecting the effective management of the accommodation service function. Furthermore, it explores revenue/yield management activities to maximize occupancy and rooms revenue, discusses sales techniques for promoting and maximizing revenue, and highlights the importance of forecasting and statistical data within the rooms division. This guide is an invaluable resource for hospitality professionals seeking to enhance their understanding of Rooms Division Operations Management and optimize their operations for success.

ROOMS DIVISION OPERATIONS MANAGEMENT
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Table of Contents
Introduction......................................................................................................................................3
Task 1...............................................................................................................................................4
Task 2...............................................................................................................................................7
Task 3.............................................................................................................................................10
Task 4.............................................................................................................................................13
Conclusion.....................................................................................................................................17
Reference List................................................................................................................................18
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Introduction
Hospitality industry is one which is directly involved in providing services to the customers and
affects the national economy of the country in appositive way. In the modern world, there has
been a surge in the number of tourists travelling to different places for variety of reasons like
business, leisure, education and similar ones. In a foreign land, the tourists require access to
services like food, water and shelter, all of which are provided by the hospitality industry. The
organizations are dedicated to provide comfort to the tourists and make their stay at the
destinations memorable and homely. Since the hotels are directly involved in serving the
customers, they require to arrange for and provide such services as are required by the tourists
from time to time, in order to establish their business in the market permanently as well as earn
the revenues. The example adopted for this project is Hillside Hotel, using which the rooms
division operation management and the details that require to be kept in mind while arranging for
guests to be staying at the hotel, in order to provide them all sorts of comfort (Heizer, 2016).
Hillside Hotel is owned by a famous chain of hoteliers, Nazleem Holding; it is situated in the lap
of nature and is surrounded by dainty walkways and gardens, with fountains. Though situated in
the heart of the city, the hotel is spacious and has enough arrangements to accommodate a huge
number of guests as well as the cars of the visitors, in the parking place. Hillside is a small,
historic town and the Hillside hotel prepares to host around 40% of the foreign visitors visiting
the place, owing to some business meets and conferences hosted in the city. Modern facilities for
online booking of the rooms are available with the hotel and a large conference hall is made
available to the business tourists. A coffee bar and continental style restaurant offering exquisite
continental cuisines is present to cater to the requirements of the guests; modern recreational
facilities and amenities like the gymnasium, tennis court, swimming pool and fitness centre are
also present within the premises of the Hillside Hotel (Lu et al., 2016). This ensures that the
needs of the elite and the business class customers are adequately looked after. The occupancy
rate in the hotel had been above 64% in the year 2015 and the net revenues earned by the hotel
also had been high. The modernization of the facilities and he ease with which the guests can
access the modern amenities for free, while in the hotel attributes to the success of the hotel in
the market.
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Task 1
1.1 Given the scope and scale of the Rooms Division operations of the new 4-star property,
identify and discuss the different type of accommodation and front office services needed and
analyse the roles and responsibilities of the accommodation and reception service staff (P1.1)
The accommodation and front office services of any hospitality establishment are highly
dependent on the nature of their clientele (Radojevicet al., 2015). Since this new hotel mainly
caters to business travellers, the accommodations and services will be developed with emphasis
on business needs. The hotel will sport a state of the art conference hall with a seating capacity
of 400 and F&B arrangements. The main services to be provided to the guests have been detailed
below:
Reservations
The hotel must make arrangements for enabling business organisations to book rooms from the
hotel with little effort. Organisations should be able to book rooms for their needs either through
telephone calls to the front desk or through online portals operated by the hotel. Thus, the hotel
requires a front office with telephone facilities and a secure website through which organisations
or guests can book their rooms. It is important that the hotel employs highly trained and
professional people for its front duty services. These staff are often the first point of contact
between the hotel and the guest and are therefore are crucial in building a positive first
impression in the minds of the guests.
Laundry, housekeeping and room services
Hotel guests would require general laundry and housekeeping services to be provided to them as
basic amenities of the hotel. The guests must also be provided with room service that would cater
to their needs. The hotel therefore requires a pantry for stocking food and a laundry room for
washing fabrics. The people employed for these services represent the majority of the people that
would be in contact with the guests, and therefore their conduct is paramount to maintaining a
positive image of the hotel.
Foreign currency exchange and financial services
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The location and the purpose of the hotel makes it a prime choice for business guests.
International guests frequently require foreign currency exchange services. The availability of
these services would be greatly beneficial for the guests and save them hassles at banks or other
financial institutes. These services require a permit from the concerned government agencies and
qualified staff that are trained to handle foreign currency. The hotel must also take measures to
secure their currency stock and would require vaults and other safety arrangements. The financial
services staff must be courteous and professional in demeanour to ensure the complete
satisfaction of the guests.
1.2 Evaluate the type of services provided by the rooms division department in a range of
accommodation facilities such as hotels, holiday camps or university campuses and discuss the
legal and statutory requirements that apply to rooms division operations in the UK (P1.2)
The kind of services provided by the room division department varies wildly depending on the
nature of the establishment to be served and the clientele. The services provided by the room
division department have been briefly discussed below:
The reception desk usually plays the most critical role in accommodating a certain guest. It is
usually the first point of contact between the hotel and the guest and is therefore responsible for
providing the guest with the general expectations of his or her stay.The concierge is responsible
for easing the stay of the guests by assisting them in booking their needed services (Sharma,
2017).The guest is also provided with housekeeping and laundry services to maintain hygiene
and provide a clean stay to the guests.
Additional services such as room services are also under the room divisions department. These
cater to every possible needs of the guests of the hotel.Lastly, the guests are provided with
adequate security arrangements to ensure their utmost safety. Thus, the room divisions
department is responsible for looking after the guest throughout their stay at the establishment
and catering to their every need (Walker, 2015).
The Government of the UK has enacted several laws and legislations that apply to the hospitality
industry. The chief among them that the room divisions department must follow have been
briefly discussed below:
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Reservation contract
The chief operation of the hospitality establishment is to provide accommodation to their guests.
The hotel is therefore legally required to follow the Goods and Services Act and the Unfair
Contract Term (Howellsand Weatherill,2017). These reservation laws ensure that guests are
provided with all the services they are entitled to.
Pricing laws
The hotel has to follow laws that require them to properly and unambiguously provide their
guests with information regarding the prices of the products or services they purchase. This is to
ensure that hotels do not over-charge their guests and provide fair services to everyone.
Consumer protection laws
The guests of the hotel are regarded as consumers and therefore the hotel is required to follow all
the laws relating to the appropriate treatment of consumers (Howellsand Weatherill, 2017). The
guests of the hotel are entitled to all the rights the government allots them and can pursue a legal
action against the hotel if they are not provided with appropriate services according to UK
legislature.
Health and safety laws
The hotel must follow all the laws regarding the health and safety of its employees and guests
alike (Hughesand Ferrett, 2015). The hotel must provide quality services that are in accordance
with the health and safety laws. These include food quality, adequate security arrangements,
ample emergency arrangements such as first aid and fire extinguishers and maintaining
sustainable operations (Wang et al., 2015).
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Task 2
2.1 Assess the role and importance of the front of house department in the effective
management of a hospitality business and discuss the key aspects of planning and
management of the front of house area for your new hospitality operations (P2.1)
The front office is the area which the customers views first after entering into the hotel and is
thus, the first point of impression; trendy front offices impresses upon the customer about the
good services that the hotel offers whereas a clumsy front office renders the impression that the
management is not good enough (Thomson et al., 2015). Hence, designing and maintenance of
the front office area in the Hillside hotel is a very important aspect. This is the place where the
customers enquire about the services of the hotel and hence must be very well-staffed so that the
customers are dealt with effectively and all their queries are answered before they chose to avail
the services of the hotel. A comfortable and interactive front office, dealing with the elite and the
business class customers effectively, explaining them the amenities that they would be able to
enjoy during their stay at the hotel, is what is required to encourage the guests to stay at the
hotel.
Planning and management of the front office area of the Hillside hotel would not only allow
appealing and attracting a large group of customers to stay in the hotel but would also allow to
manage the available resources of the hotel, according to the taste and requirements of the
customers. Some of the major attributes of the Front office of the Hillside hotel at Cambridge
that needs to be planned and managed effectively can be enlisted as follows:
The front office is the place where direct marketing of the products and the services offered by
the hotel are conducted and hence the front office staffs are required to be expert marketers.
The staffs should be linguistically flexible and should be comfortable in speaking the dialects of
the major groups of customers visiting the place, from all around the world. It is an established
fact that interaction in mother-tongue has the capability of winning over the customers like no
other. Communicating in mother-tongue also helps the customers feel homely instantly and they
express their requirements; this would enable Hillside hotel to deliver better services, as per
requirements of the customers and win over them. This would also ensure high recall rates
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among the customers and slowly, the regular customers are expected to become the clients of the
Hillside Hotel and market their services among new groups of travelers as well.
Designing the exterior and the interior of the hotel appropriately, such that the visual appeal
of the hotel to the customers is strong enough to motivate them to stay at the hotel. The front
office needs to be designed in accordance with the design of the exterior of the hotel, in order to
reveal the good aesthetic choice of the management of the hotel and impress upon them the fact
that the services provided by the hotel would be as per their taste
Keeping the front office area clean and stuffed with only the basic necessities like water coolers
and the sofas for welcoming the guests reveals the good taste and choice of the staffs and the
management. This is the first area which the customer sees and builds up an image of the hotel in
their minds and thus, must be kept tidy, so that the customers are satisfied with the service. The
front office must also contain pictures of the interior of the rooms, to help the customers
understand the kind of amenities present in the room as well as in the other parts of the hotel,
before booking their stay. This would also bring forth the transparency of the management and
impress upon the customers.
2.2 Critically discuss the key operational issues that would affect the effective management
and business performance of the front office area for your new hospitality operations (P2.2,
M2, D2).
Operational issues refer to the issues that affect the execution and delivery of the functions and
the services to the customers. There are quite many operational issues which might affect the
working of the front office of Hillside hotel, an effective study of the same would help in
managing the issues well in advance. The significant operational issues to be encountered by the
front office can be enlisted as follows:
 A clear difference between the demand and supply components of the hotel on the wrong
side: When the hotel management is not able to meet the demands in the market, then this
kind of operational issue might occur. If the supply of the rooms is not adequate then the
guests might crowd up in the front office, which would reveal mismanagement on the part of
the hotel and bring up a negative image of the hotel in front of the other customers (Guo et
al., 2016).
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 Cleanliness is another significant operational issue that might crop up in the front office. The
staffs need to be very picky about the cleanliness of the hotel and especially the front office
area. Sometimes, if the front office area is not clean then the customers might grow
displeased with the services or might possess a bad impression about the hotel. This
adversely affects the quality of services rendered to the customers and thus, the sales of the
hotel would also fall.
 The technical problems like slow internet services and other technical services might also
degrade the quality of the services rendered to the customers. Discrepancies in the room
services or the Wi-Fi services offered to the customers might lead to them coming and
complaining in the front office area. These customers need to be handled tactfully and
effectively, so that they do not form a negative impression in their minds. The technical
difficulties also makes the functioning of the front office difficult and sometimes, impossible
to operate.
 The front office must be well-equipped to solve the complaints of the customers and must be
able to redress their grievances effectively, by offering complimentary services in return for
any problems with the services initially offered to them.

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Task 3
3.1 Analyze the role and importance of design and development of property interiors,
including functionality to the effective management of the hospitality operations (P3.1)
Cambridge is a town where there are a number of eminent educational institutions and business
organizations located and thus, the number of business and education tourists visiting the town is
high. The tastes of such tourists are classy and elegant and thus, the hotel needs to adopt
appropriate steps to cater to the same, in order to impress upon them and proliferate their
business. The interior designing renders a classy edge to the services of the hotel; the absence of
the same makes the appearance of the hotel mess and unattractive in the eyes of the visitors
(Ching and Binggeli, 2018). The design of the hotel, both the interior as well as the exterior plays
a major role in visually appealing the tourists and attracting them to stay in the hotel. The
Hillside hotel needs to consult an interior designer who would be able to provide them with
classy and elegant decors for decking up the front office and the rooms. The amenities made
available to the tourists during their stay, in the hotel rooms also needs to be decided by the
designer (Goetsch and Davis, 2014). Provisions like double or single beds, tables and chairs,
wardrobes, bathrooms, televisions and computer tables must be made available to the business
tourists as well as the others visiting the hotel. Besides, there must be separate provisions for
connecting projectors and laptops, for viewing the final presentations of the work, to be made
available to the customers on special request. Wi-fi facilities and telephone facilities, also needs
to be made available to the tourists, for specific purposes.
Role of effective management in the success of Hillside hotel
The managers of the hotel need to be competent and knowledgeable of the demands of the
customers so that they are able to arrange for the same in the hotel (Daft, 2015). The managers
need to carry out market research to gain information about the current trends in the hospitality
sector as well as about the demands and expectations of the customers. Then they need to
strategize effectively, to achieve those endeavors. Providing technologically advanced services to
the customers, catering to the aesthetic sense of the visitors and arranging for providing all
modern amenities to the customers, on demand, to make their stay a happy, memorable and
comfortable one can be brought about by proper and adequate resource management only.
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Besides management of human resources is important too, in order to ensure that the customers
are effectively and politely dealt with (Boella, 2017). Here lies the importance of management in
the functionalities and success of the Hillside hotel.
3.2 Examine the key aspects of planning and management of the accommodation service
function and analyse the operational issues affecting the effective management of the
accommodation service function for your new property (P3.2)
The key aspects that need to be planned and managed effectively, in Hillside Hotel for ensuring
proper execution of the accommodation services can be enlisted as follows:
 Since the Hillside Hotel is mainly focused on serving business and education tourists, the
amenities and services to be made available to them are different from those of the leisure
tourists. The business and education tourists need to be provided with complimentary
services like wake-up calls, early breakfast, arranging for cabs to reach their destinations and
things as such, which would increase their satisfaction in the services received from the hotel.
All the arrangements for providing such services needs to be planned by the management of
Hillside Hotel
 The hotel staffs also need to be competent enough to deliver proper services to such
customers, as per their demands and requirements. Thus the staffs needs to be trained
appropriately and adequately for the purpose.
 The technological advancements needs to be incorporated into the systems of the hotel, for
providing a more enriched experience to the visitors. There must be high speed internet
connections made available to the customers staying therein as well as connections through
telephones. The television and cable services provided to the customers should be such that
they are able to see the programs in their own languages and are able to access their regional
channels.
The operational issues affecting effective management of the accommodation services can be
enlisted as follows:
 The staffs need to be adequately satisfied with the facilities that they are able to enjoy while
working with the organization. If they are not adequately satisfied or if the management is
too strict, then they might function inappropriately, which might displease the customers.
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Also they might choose to quit the organization, which would lead to high staff turnover
rates; this would increase the costs of training the newly recruited staffs in the organization
and thus, increase the operational cost of Hillside hotel (Nica, 2016).
 The technical issues like the improper functioning of the websites, website spam or the
inability of the management to provide promised services to the customers like the high
speed internet or the projector and meeting room facilities also might act as serious threats to
the management of the accommodation functions of the hotel (Patrick and Grumer, 2017).
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Task 4
4.1 Explain how you would perform revenue/yield management activities in order to maximize
occupancy and rooms revenue and discuss what sales techniques that rooms division staff can
use to promote and maximize revenue in your hotel. Provide example using the case scenarios.
(P4.1, D2)
Internal and external activities need to be performed for boosting the revenues earned by the
hotel as well as the room occupancy rates. The different components can be displayed as per the
figure given below:
Fig 1: The internal and external activities
Source: Created by the author
The internal activities are divided into three classes namely the occupancy rates, the average
room rates and the revenue achieved. The occupancy rate of the hotel helps in identifying space
available in a room or a setup, for putting into better use (Powers and Hahn, 2015). The average
room rates refer to the price at which a certain room is made available to the customers for a
certain period of time. This helps in judging the financial performance of the company. The
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Performed
Activities
Internal
occupancy
rates
Room
occupancy
Double
occupancy
Sleeper
occupancy
Average
room rates
Revenue
achieved
External
REVPAR
GOPPAR

revenue achieved refers to the profitability that the company is able to achieve from letting out
the rooms to the customers.
The external activities are not further subdivided into categories and assists in calculation of the
revenue that is generated when the travelers visits the hotel (Rhee and Yang, 2015). They
variables considered can be enlisted as follows:
REVPAR – Revenue per Room Available
This is calculated by multiplying the average rate of the hotel rooms with the occupancy rate of
the rooms of similar kinds in the hotel
RevPar = Average rate × Occupancy %
GOPPAR – Gross Operating Profit per Available Rooms.
This variable helps in getting a clearer view of the profits earned by the hotel
GopPar = Gross operating Profit for the period/Rooms available for the period
REVPAR and GOPAR are comparative tools that are used for comparative performance
measurements of one hotel with another
% Revenue Achieved = Actual revenue/Potential revenue
As per the given case study
Average Room Rates = $ 72.10
Revenue achieved = 8,477,890
Occupancy Rates = 64.4%
So to calculate the REVPAR we need to put the variables in the given formulas.
Calculation of RevPar = Average rate × Occupancy %
$72.10 X 64.4%= $ 46.43
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The external activities mainly help in budget forecasting and in regulating the operational costs
involved with the running of the organization.
The rooms-division staff can resort to direct sales technique for increasing the revenues earned
by the hotel. The sales technique is a way of influencing the customers and convincing them to
avail the services of the concerned hotel, for example Hillside Hotel. The rooms division staff
must be knowledgeable about the kind of amenities that are available in ach of the rooms and
which room would suit the requirements of the customer. For example, in case of a B2B
customer, the room rates should b minimum but the facilities provided should be of superior
quality. The rooms division staff must possess information about the correct ways of influencing
the customers and convince them into staying in the hotel.
4.2 Discuss the importance and use of forecasting and the use of statistical data within the
rooms division in your property and calculate Rooms Division performance indicators to
measure the success of accommodation sales using the appropriate software package as an
example (P4.2)
The process of forecasting assists in the assumption of future trends in the market and thus helps
the managers of the hotel in planning the strategies for further room division depending on the
results that have been obtained in the past. There are two types of forecasting, the statistical
forecasting and the judgmental forecasting. The length of the stay of the guests and the average
expenditure is predicted by the statistical forecasting whereas the origin of the guests and the
source of booking of the hotel is forecasted by judgmental forecasting methods. The statistical
forecasting helps in understanding the future trends by comparing the statistical as obtained in
the company reports and using appropriate statistical tools for calculating the required value. The
judgmental forecasting resorts to qualitative analysis of the mrket data or arriving at conclusions.
Market segment 2012 2013 2014 2015
Corporate/
Business
1,504,160 1,719,000 1,964,200 2,073,240
Conference/
Meeting
1,051,992 1,328,730 1,500,760 2,416,400
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Leisure group 1,642,775 1,907,400 2,066,400 2,304,250
Independent
leisure
1,476,065 1,785,662 2,038,322 1,684,000
Total and ADR $5,674,992 $6,740,792 $7,569,682 $8,477,890
Table 1: Breakdown of Historical revenue by market segments
Source: Case study of Hillside Hotel
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Conclusion
The Room Divisions department in a hospitality establishment is of prime importance since it
caters to the guests every need throughout their stay at the hotel. The different aspects of the
RDM such as the reception desk, housekeeping and laundry, room services and security all work
together towards providing the guest with a pleasurable experience and satisfactory stay. The
division’s smooth operations are paramount to the success of the overall business of the hotel
and it is therefore pertinent that all the necessary factors are given attention to. The staff of the
hotel is responsible for serving their guests and maintaining a positive image of the hotel in the
public sphere. The services provided to guests must be of superior quality and should not leave
something to be desired.
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