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Computer Application in Front Office


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Introduction Computer Application in Front Office Every organisation requires computers to run its operations smoothly and hotels are not an exception. Hotels working world over have been revolutionized by new innovations in information technology and adoption of computers. Computers have long been a part of hotel industry offering a way organized data in doing business transactions. Front office is the core back bone of the hotel where computers are well equipped with dedicated software called property management system. Computer applications are central to front office operations in today’s modern hotels. For new properties,computers are standard pieces of equipment; for existing hotels, computers are being integrated into everyday operations to assist in providing hospitality to guests. Computer applications include routinely processing reservations as well as handling registrations, guest charges, guest checkout, and the night audit. Interfacing, electronic sharing of data, of hotel departments such as food and beverage and the gift shop through point-of-sale, an outlet in the hotel that generates income (restaurant, gift shop, spa, garage); maintenance through monitoring of energy and heating and cooling systems. The positioning of the hardware at workstations is based on the same work flow analysis used for any new process or equipment. Considering the needs of the guest (who will be the end user), the employee who will operate the equipment, and the other staff who will want access to information. The information one has gained from the needs analysis will assist in explaining particular needs to the computer consultants who will install the required property management system. The installation of the electronic cables that connect all of the hardware need also to be analyzed. Installation and replacement of cables that run through walls and floors can be costly for a hotel property. The requirement for air conditioned atmospheres for proper computer functioning should also be investigated; in guest service areas, this may not present a problem, but in other areas, it may pose difficulties. Computer system – consists of 3 interrelated and interdependent components namely hardware  software  users. Computer Application in Front Office Operations – replacing manual, mechanical work or use of electric Devices. Choosing Hardware Choosing hardware for a PMS is not as difficult as choosing software. Today most available hardware is compatible with standard computer operating systems (such as Microsoft Windows). This consideration is essential because most software programs are written to run on these standard operating systems. Hence one must choose hardware based on its ability to handle the software that needs to be checked with the hardware vendor. Other technology factors to consider include the following working concepts: Processor speed: It helps to know, how fast a central processing unit (CPU) makes calculations per second; expressed in MHz (the abbreviation for “megahertz”) Disk drive: It’s a place in the computer where data is stored or read; hard or floppy—31⁄2-inch versus Zip drive Megabyte: 1,024 kilobytes of formatted capacity Gigabyte: 1,024 megabytes of formatted capacity Access time: the amount of time required for a processor to retrieve information from the hard drive; recorded in milliseconds Internet: a network of computer systems that share information over high-speed electronic Connections I/O ports (input/output devices): keyboards, monitors, modems, mouse, joystick, light pen, printers, and track balls Monitor: It’s a television screen with color or monochrome capacity to view input and output data,

control column width and line length of display, adjust height of character display, and allow visual Control. ADOPTION OF COMPUTERS IN FRONT OFFICE: SELECTION OF PMS The steps involved in selection of a Property Management System are: STEP 1: Identification of Need Firstly an analysis is done by hotel operators/management to determine whether there is a need of computerized system or not. The following steps are followed in this process: Selection of a team is done, comprising the representation from all the departments at all levels from all the shifts to analyze the needs. b. Analyze the flow of guests that could be done by an analysis of the guest cycle. c. Analyze the flow of information from other departments to the front office e.g. billing information, room status information etc. d. Analyze the administrative paper work produced in other departments. e. Evaluate the needs that have been identified in terms of importance. f. Combine the needs to determine the desired applications. STEP 2: Software Selection - Today, software is available in modules to cater to different areas in a hotel. - Based on requirement, as deduced from the needs analysis in step 1, a hotel may go in for the entire PMS or parts thereof. - Proper software selection is very important, as it involves a, heavy investment. - Configured or customized as per the need of the hotel. STEP 3: Hardware Selection - The hardware should be selected to run the needed software. - the basic factors to consider here are the Processor speed, Disc drives, I/O Port for connecting peripheral devices & for networking, Monitors/touch screens, Keyboards, Printers, Modems and Supplies: paper, forms, ribbons, ink, toner, cartridge, floppies, DAT, CD-RW etc. The other factors to be kept on mind while selecting the hardware are: a. Positioning of hardware: based on the work flow analysis done during needs analysis. b. Does it benefit the guest, who will operate it, who all will require access to the system at that position? c. Climatic condition: whether air-conditioning required/not especially in back-of-the-house areas. d. Ergonomics: psychological & physiological effect of computers on people. STEP 4: OTHER CONSIDERATIONS 01. Vendor Claims: Before selecting a PMS, claims made by the supplier need to be enquired. That could be done by inquiring about the product from the current users of the same; whether they are satisfied using the system, problems faced by them in using the system. 02. Installation plans: Proper planning of installation is essential for maintaining guest services & one must have a complete plan laid out for installation of hardware & cabling in different areas of the hotel; also, who shall be installing the hardware & who shall be installing cables. 03. Training: One needs to enquire about the classroom & on-the-job training provided by vendor or not. 04. Back-up power sources: Provision of UPS. 05. Maintenance agreement: The cost of repair and replacement of hardware & software should be known. STEP 5: FINANCIAL CONSIDERATIONS - The decision regarding purchase or rental of a PMS needs to be taken because of heavy investment that could tie-up the cash flow of an organization. - And if the cost benefits are not realistically projected, profits may difficultly to be achieved. - Analyze the savings in terms of overtime paid to the employees, losses due to late charges, cost of marketing database collection, wastage of energy. - Advantages of outright purchase, discount for full payment in cash, finance charges,

depreciation. - Advantages of lease: continuance of cash flow, application of lease payments to purchase price, tax advantages of leasing etc. COMPUTER APPLICATION IN FRONT OFFICE: The Computers are used in various sections of Front Office in a Five Star Hotel from pre arrival to the post departure of the guests in following ways: Reservations 1. Guest data 2. Room inventory 3. Deposits 4. Special requests 5. Blocking 6. Arrivals 7. Departures 8. VIP 9. Projected occupancy 10. Travel agents 11. Guest messages 12. Reports Registration 1. Reservations 2. Guest Data 3. Room inventory 4. Room status 5. Security 6. Reports 7. Self check-in Room status 1. Room inventory 2. Availability 3. Reports Posting 1. Point of sale 2. Room 3. Tax 4. Transfer 5. Adjustments 6. Paid out 7. Miscellaneous charges 8. Phone 9. Display folio 10. Reports Call Accounting 1. Guest information 2. Employee information 3. Post charges 4. Messages 5. Wake-up calls 6. Reports Checkout 1. Folio 2. Adjustments 3. Cashier 4. Back office transfer 5. Reports 6. Guest History Night Audit

1. Guest charges 2. Department totals 3. City ledger 4. Cashier 5. Financial reports 6. Housekeeping Inquiries! Reports 1. Reservations 2. Registrations 3. Checkouts 4. Housekeeping 5. Credit balances Back Office 1. Accounts payable 2. Accounts receivable 3. Payroll 4. Budgets 5. General Ledger Reservations The reservations module in computers consists of subsystems that can receive individual guest or group data, check a guest’s booking request against a data bank of available rooms, and store this information for future usage. The guest data are received through a personal phone call or through another computer in the referral system. All of the possibilities or room types and locations, room rates, and special requests can be matched with the existing room inventories. This information can be stored for up to 52 weeks (or more) in most systems. Information concerning guarantees with credit cards or confirmed reservations is captured at time. Details on deposits, blocking, times of arrival and departure, VIP guest lists, projected occupancies and reports on these reservation functions assist the front office manager. The guest who is checking out of the Taj-Mumbai, and wants to make a reservation at the Taj-Chennai for that evening can have the reservation confirmed within seconds. The guest information already available in the data bank, and through electronic transmissions, the request is verified (via a check of the existing room inventories held in the data bank for the Taj-Chennai) by a central computer. Similar procedures can be followed by other referral agencies. Registration Computerized guest registration modules have greatly improved the check-in process. Because information is already been captured at the time of reservation, hence less time is required for registration. The front desk clerk need only verify the guest’s request for room type, location, and rate with room inventory and room status. Similarly provisions for walk-in guests without reservations are even handled. Method of payment is also established easily. The hard-plastic key can be issued after the security module has changed the entrance code for the room. The guest registration procedure can also be completed by the self-check in process, a procedure that requires the guest to insert a credit card having a magnetic stripe containing personal and financial data into a self-check-in terminal and answer simple questions concerning the guest stay. Call Accounting The call-accounting module of a property management system automatically posts telephone charges and a predetermined markup to a guest’s folio. The individual subscriber to the telephone system (the lodging property) can charge a service fee for any local or long-distance call. The hotel can now use the telephone system to generate profit rather than to simply supply service to the guest. Further, the ability to make a profit through adding service charges, combined with the increased frequency and accuracy of electronic posting, has made the call-accounting option very desirable. Checkout The PMS has played a commendable job during checkout procedure. The inconvenience of guest checkout (long lines, disputes over charges) is greatly reduced with the PMS checkout feature, which prints out an accurate, neat, and complete guest folio within seconds. Disputes over guest charges still occur at the time of checkout, but not as often. The posting of a long-distance telephone call to room 201 instead of room 209 is less likely to occur with a PMS, because the PMS interfaces with the

call accounting system and the phone charge cab be automatically posted to the guest’s electronic folio. Efficiency at time of checkout is also improved when the desk clerk retrieves a hard copy of the folio and presents it for review to the guest. The PMS monitors already indicated method of payment made by guest at check-in, an imprint of the credit card, the floor limit, an amount of credit allowed by the credit-card agency, and house limit and an amount of credit allowed by the hotel. These controls help to avoid high debit balances; the amount of money the guest owes the hotel. Last-minute purchases of products or services are automatically posted at the point-of-sale terminals. Night Audit The night auditor acts as a desk clerk and posts the room and tax charges, the night auditor even balances the guest transactions of the day. To extend credit to guests, debits and credits, the amount of money the hotel owes the guests, must be balanced on a daily basis. The debits originating from the various departments must be checked against the totals posted to the various guest folios. The credits, in the form of guest payments, must be accounted for by reviewing the guests’ outstanding balances. Inquiries/Reports The inquiries/reports feature of the property management system allows management to retrieve operating or financial information at any time. The front office manager may want to check the number of available rooms in the room inventory for a particular night, the status of the number of guests to be checked in, the number of guests to be checked out for the day, the current room status from the housekeeping department, or the outstanding balance report, a listing of guests’ folio balances. These reports can be produced easily on a PMS. The inquiries/reports feature of the PMS enables management to maintain current view of operations and finances. Back Office The hotel’s accounting office, known as the back office, uses the accounting module of a property management system, which assists in the overall financial management of the hotel. PMS simplifies the accounting processes. These include: the labor-intensive posting procedure of accounts payable, which is the amount of money the hotel owes vendors; the transfer of accounts receivable, which is the amount of money owed to the hotel Different Systems Used in Front Office by Hotels: FIDELIO is one of the world’s bestselling front office systems, and it is the system of choice for many hotels like Hilton International, Inter Continental, Mandarin Oriental, Forte and many other chains and independents around the globe. Fidelio was able to create the original electronic room rack. Complete,graphical plan illustrations of each floor allow front office staff to monitor and control the occupancy of every room in the building. Using a system of twelve different colour codes, the status of each room is visible at a glance – either currently, or at some future date. Yellow indicates a room is “clean and vacant”, blue is “dirty and arrival expected”, and so on. Reservations data can also be shown in tabulated form to give an overall occupancy picture for any specified day. For group bookings, from the most complex convention to airline allotments, the group and block management functions handle it all. Master billing, split rates, staggered arrivals, package plans, group history, room type control, block forecasts and traces – they all help to optimize group business, without the time consuming paperwork. As well as handling room management, FIDELIO Front Office maintains all guests’ accounts, and offers numerous other facilities such as mailing, word processing, and customized printout of confirmation letters, guest messages and other documents. MICROS HOTEL PROPERTY MANAGEMENT SYSTEMS AND POINT OF SALE SOLUTIONS One of the oldest and leading software developer can help in operating a single boutique hotel or an international hotel chain, MICROS hotel property management systems are robust enough to handle all of the elements involved in hotel revenue management with the flexibility one needs for day-to-day operations. Our restaurant point of sales systems integrate with the OPERA Enterprise solution, allowing to link Point of sale transactions, back office functions, and guest management capabilities in a single system. All of the systems are modular, so one can take the solutions required.

HOST: The-Host Hospitality Management System will transform the way one manages hospitality business for good. It is powerful, feature-packed, user-friendly hotel management software that empowers staff to take complete control of inn keeping business - no matter the size. The software can handle from 300 room Hotels to small cozy Bed & Breakfast retreats. Moreover, onsite-training ensure that staffs have the tools and confidence to use the system to its absolute maximum. The-Host Hospitality Management System provides the following: Reservations, real time online web reservations, front desk, back office, guest billing, reporting, point of sale and a lot more. Everything one would require as an hotelier, innkeeper or lodging provider. It is a business management system, not just a reservation system. The-Host not only successfully covers every aspect of conventional guest and property management systems, but goes beyond with features only associated with systems costing many times more. OPTIMA PROPERTY MANAGEMENT SYSTEMS Optima PMS is a state of the art; Windows based Property Management System that incorporates the latest in advanced technology. It is designed to provide all the features of a sophisticated Front Office system linked with other computerized hotel applications on the same relational SQL database. Optima PMS places all the vital information needed for optimum operation at the manager's fingertips. All information can be viewed on-line, printed in a large variety of reports or shown on graphs. Advanced icons and color-coding give the managers an excellent overview of all hotel operations and allow them to maintain precise management controls. It is a profitable marketing tool, as it captures a wide range of data needed to make the correct marketing analysis. Information analysis is simple, quick and precise, emphasizing revenues, budgets and yearly comparisons in combination with data of occupancy, segmentation and other guest information. The Optima Property Management System enables maximum performance, utilizing the latest technology. Together with the use of a modern GUI it offers the ultimate system for any Front Desk. Optima is a most powerful and advanced Front Office system based on years of experience and on highly sophisticated development and focus teams, including superior hoteliers, engineers and front office specialists. These teams have researched and 'brainstormed' to meet the highest standards of the hospitality industry for the next century. ADVANTAGES OF COMPUTER APPLICATIONS IN FRONT OFFICE: 1. Data Storage 2. Guest History 3. Call Accounting 4. Express Check in and Check Out 5. Night Audit. 6. Time Saving 7. Storing Of Guest Preference and Sharing with Chain Hotels. 8. Less Paper Work. 9. Better Coordination with Other Departments. 10. Personalized Service. Summary: The role of computers in any organization is increasing rapidly. Proper selection of hardware and software becomes significant in terms of cost and the operational efficiency. For utmost satisfaction of the guests it becomes important to save time and have accurate data in relation to guests needs and other operational aspects related to front office as well as overall hotel property. Hands on training needs to be provided to the staff members for staying updated with any changes or prevailing trends int he market.