LESSON 3 - INTRODUCTION TO THE HOTEL INDUSTRY

OBJECTIVES
After this lesson, you should be able to:
 Identify the functions of the hotel and its departments;
 Outline the duties and responsibilities of the key executives;
 Enumerate the major departments in the hotel; and
 Describe the role of the general manager.

What makes a hotel successful? There are a number of factors that contribute to this; one, if a
hotel creates a feeling of "home away from home" among their guests; second, teamwork is
observed among the departments for a smooth operation; and lastly, if the hotel has
competent staff to provide quality service to the guests.

This module describes the main functions of the departments that constitute a hotel. It also
helps to explain why and how the departments are interdependent in successfully running a
hotel.

FUNCTIONS OF THE HOTEL

The primary function of a hotel is to provide lodging accommodations. A hotel is made up of
several businesses or revenue centers and cost counters. A few thousand products and services
are sold every day. Each area of specialty requires dedication and quality commitment for each
department to get little things right all the time. Furthermore, hotels need the cooperation of a
large and diverse group of people to perform well.

Hotels, whether they are chain affiliated or independent properties, all exist to serve and enrich
society, and at the same time make a profit for the owners.

Hotels have been described as people palaces. Some are certainly palatial, and others are more
functional. Hotels are meant to provide all the comforts of home to those away from home. A
gracious feeling of warmth and welcome is a hotel's most valuable asset. Hotels have
personalities that are created by the combined chorus of effort, interest, and sincerity on the
part of every member.

ORGANIZATION CHART
A large hotel is run by a general manager and an executive committee comprised of the key
executives who head major departments:
 Rooms Division Director
 Food and Beverage Director
 Sales and Marketing Director
 Human Resources Director
 Financial Controller
 Chief Engineer
GENERAL MANAGER (GM)
The General Manager is in charge of the operation and thus responsible for overall
performance of the hotel and its employees. His other duties are the following:

10 Ways to Become a Successful Hotel General Manager

1. Treat your Employees Right

Your employees are your most valuable asset. They should always be treated with respect and
dignity. Put yourself in their position and then treat them as you would want to be treated.

2. Encourage Employees to Excel

Making your employees feel like they are part of a team that is working toward a common goal
will make them want to do their best. Put up a suggestion box for employee ideas and get to
know everyone on a first name basis. When they believe in you, they will strive to perform up
to and beyond expectations.

3. Acknowledge, Praise and Reward Exceptional Performance

Greet them with a smile and let them know when they are doing a good job. A few kind words
will go a long way. Offer some type of reward such as a paid day off or a certificate for
Employee of the Month to employee each month. Make sure that the winner is an outstanding
someone different each month.

4. Be a Good Communicator and Good Listener

It is always good to make yourself clear so that everyone understands what needs to be done.
Excellent communicators do not need to yell or threaten employees to get something done.
Instead, be calm, but firm, and allow the employees to ask questions to be sure they know what
to do. Listening is just as important as talking.

5. Make Yourself Available

Make it a point to get out of your office and walk around the hotel. Say hello to the maids and
introduce yourself to the guests. Having a warm and friendly presence is reassuring to
employees and shows guests that you are making a real effort to make their stay a pleasant
one.

6. Identify Problems and Fix them as Quickly as Possible

Do your absolute best to quickly fix any minor problems. It is not acceptable for a guest to go to
their room and find no remote control for their TV or a burned out light bulb in the bathroom.
Have a regular checklist of small maintenance problems and make sure that someone attends
to them promptly.

7. Turn a Problem into an Opportunity to Improve

When you identify a problem with some area of the hotel's operation, don't take it as a
personal offense to your ability to manage. Instead, use the opportunity to improve or do
something better. For example, if guests are complaining that the free breakfast is not up to
par, add more variety to the menu and make the breakfast area more appealing.
8. Pay Attention to Small Details
Small details can be just as important as major issues. Take care of a lock that does not work
right or paint the trim on the door frame. Touches like having all of the soaps and shampoos
displayed in a nice basket, or trimming the low hanging tree branches over parking spaces,
make a difference.

9. Give Guests Quality

It is better to focus on a few areas and do them well, than to spread yourself too thin and only
be average in all areas. Turning an empty meeting room into a gym for guests is fine. Equipping
that room with nothing more than an exercise mat and a few dumb bells is not good. Spend
some money and get a quality treadmill and some other popular workout machines.

10. Pay Careful Attention to Whom you Hire

Hiring the best qualified employees is key component to maintaining and improving the
efficiency and success of your hotel. Search for people with a positive attitude first and then
consider their experience and skills.

EXECUTIVE ASSISTANT MANAGER OR RESIDENT MANAGER

After the GM, the next manager in line may carry the title of executive assistant manager or
resident manager. This person is highly visible to the staff and guests and takes an active role in
the supervision of other managers and the functioning of all departments.

FOOD AND BEVERAGE DIRECTOR (F&B) director

The food and beverage (F&B) director oversees the most labor-intensive part of the operation
which handles everything from purchasing, receiving and storing to preparing and serving food
and beverages. Reporting to this manager may be the following.
 Catering manager
 Banquet manager
 Assistant F and B director B
 Convention coordinator
 Restaurant manager
 Bar manager

ROOMS DIVISION DIRECTOR

The rooms division director is the senior supervisor for that part of the hotel
which handles the daily sales and service of guestroom business.

HUMAN RESOURCES DIRECTOR

The director of human resources, also called the personnel director, is responsible for the
staffing element of the hotel; interviewing, selecting, record-keeping and performance reviews.
recruiting, training, Labor relations, embracing collective bargaining, grievance, and disciplinary
concerns, also belong to this department's responsibilities.
SALES AND MARKETING DIRECTOR
The director of sales and marketing is charged with generating new business for the hotel,
representing the property through public relations activities, and handling advertising,
promotion, and publicity organization of special events.

CHIEF ENGINEER
The Chief engineer looks after the maintenance and repair of the physical plant,
which may include air conditioning, heating, elevator devices, refrigation, lights, fire-fighting
equipment, and anything mechanical.

FINANCIAL CONTROLLER
The financial controller looks after all accounting functions, including payroll, banking, internal
auditing, and various control functions.

SUMMARY
A big hotel is run by a general manager and an executive committee, which is represented by
the key executives of all the major departments, such as rooms division, food and beverage,
marketing, sales, and human resources.

The general manager represents the hotel and is responsible for its profitability and
performance. Because of increased job consolidation, he or she also is expected to attract
business and to empathize with the cultures of both guests and employees.

REFERENCE

Carino, C. E., & Beltran, M. P. N. (2013). Introduction to the Hospitality Industry. In The
Hospitality Industry An Introduction (pp. 3–6). essay, Mindshapers Co. Inc. .