Unit 7: Managing Accommodation Services in HND Hospitality

This report provides an overview of managing accommodation services within the hospitality industry, focusing on the size and scale of accommodation services, different ownership forms (sole trader, limited company, partnership), and purchase methods (cash, loan, franchise). It emphasizes the significance of online reviews, classification, and grading systems in influencing customer choices. The report also details key roles within the front office department, including front office managers, reservation managers, guest service managers, porters, and concierge, highlighting their importance in ensuring customer satisfaction and efficient operations. The document is available on Desklib, a platform offering study tools and resources for students.

Managing Accommodation
Services

INTRODUCTION
 Accommodation is defined as the service provided for satisfying the needs which
can enhance convenience of an individual.
 The services like lodging, food and related services are essential part of the
accommodation. The hospitality services primarily consist of travelling, tourism and
accommodation and plays great role in improving quality of life and economy of the
nation.
 The presentation will discuss the various scope and types of accommodation
services and impact of grading on their performance.

LO 1
Size and scale of accommodation services within hospitality

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Different ownership forms and purchase methods within accommodation
Type Description Advantage Disadvantage
Sole trader This type of ownership has a
single owner.
 Tax relaxation
 Simple accounting method and
less paper work.
 Limited capacity to raise
capital.
 Unlimited liability.
Limited company The accommodation is owned
by a minimum of 2 owners and
can be extended up to 200
members (Tussyadiah, 2016).
 Separate identity helps to grow
fast.
 Higher stability and flexibility
 Share transfer is prohibited.
 Limited number of members
Ordinary business Along with the owner
stakeholders have fix
proportion of say in decision
making.
 Potential loss is restricted to
only investment without huge
loss.
 Beneficial for the investor with
large share.
 Limited risk and liability (Wirtz
and Lovelock, 2016).
 Delay in decision making
 Higher risks of conflicts

Different ownership forms and purchase methods within
accommodation
Partnership Owned by two or more
individuals with equal share of
investment.
 Equal sharing of loss
 Equal rights in making decision
 Difficulty in transferring
shares without mutual
consent of all partners.
 Unstable
Limited partnership It has at least one general and
one limited partner.
 Easy to have investors
 Limited liability
 General partner is
completely liable.
 Complex processing and
taxation system
Limited liability
partnership
All partners share limited
liabilities
 No personal liability of partners
 Perpetual success
 Difficulty in ownership
transfer
 Similarity with private
limited ownership
Unincorporated association Ownership as an agreement
between groups which work
together for a specific purpose
instead of profit making.
 More power as compare to
other ownerships
 Tax relaxation
 Lack of liquidation
procedures
 Formal contracts cannot be
made

Different ownership forms and purchase methods within
accommodation
Purchase method Advantage Disadvantage
Cash purchase  Make purchase manageable
 Easily available
 Difficult to track flow
 Risk of being stolen
Bank loan Huge investments can be made  Higher interest rates
 Complex process to assure
availability
Family loan  Lower or zero interest rates.
 Less pressure in terms of time
limitations
 Tax issues
 Less clarity
Joint purchase with friends/ family/
business associates
 Limited liability
 Easy to manage
 Higher risks of conflicts
 Difficulty to make decisions
Franchise  Easy to expand network
 Higher probability of success
 Limited control
 Slow growth rate
 Royalty payments and strict
regulations
Re-mortgage own home  Effective utilisation of resources
 Low investment and taxation
 Challenging to manage quality of
accommodation services

Significance of online reviews, classification and grading systems
• Before making decision to choose any hotel for the accommodation along with
security people also prefers to pay attention to the online reviews and classification of
the system.
• For instance individuals and groups who desire accommodation for vacation and
enjoyment purpose prefer resort hotel instead of choosing any airport hotel.
• A negative remarks on such sites can create negative impression on people and they
may avoid preferring such organization. Thus Premier Inn must assure and regularly
monitor that online reviews for it are good enough and its negative reviews are
addressed on urgent basis.

LO 2 Managing front office functions in accommodation
services
 Front office department is one of the most important functional unit of Premier
Inn as it interacts first with the customers. The efficiency and coordination of
front office executives is vital for the quality of accommodation services.
 Front desk manages transaction with guests and helps them in checking in for
accommodation. In order to assure the satisfactory customer services front office
executives manages the customer records and share with housekeeping and
inventory department
 From legal and safety purpose it is essential that Premier Inn must maintain the
proper records of its guest before making them to enter the hotel premise.
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Key roles within front office department
 Front office manager: These managers supervises front office operations and
administrates the policies and other front office executives.
 Reservation manager: Reservation managers and clerks communicate with
the people via online and telephonic tools and make their advanced bookings.
They also convey the same information to housekeeping department so that
suitable arrangements can be made prior to the arrival of guests.
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