Hotel Operations-1 (Chapter-6)

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Introduction to Hotel Operations -1

Prepared by: Vishnu Narayanan.V


Course Code: TMgt1032
Program Name: BA in Tourism Management
Chapter -6

Syllabus
Hotel Terminologies

Various Hotel Terminology


Hotels are an integral part of ones travels and with the on-going boom of the
internet, accessibility to hotel related sources has never been greater. For the
frequent traveller, the language used in regards to hotels maybe of second
nature. However, for the less frequently travelled, terminology used in hotel
descriptors, advertising, and any other interaction, may not be all that straight
forward.
This is a short compilation of hotel terminology, which is commonly used
worldwide. The purpose is for Tourism and Hotel management students to
obtain a better understanding of the day-today activities of the hotel
operations.

Hotel Terminology
Active Reservation - Any current or future reservation in the hotel computer system,
which has not been cancelled.
Adjacent Rooms - Is a phrase used to describe any two rooms within immediate
proximity of each other. These rooms do not have to be side by side, and can be
across the corridor.
Adjoining Rooms - Is a phrase used to describe two rooms side by side, which
does not have an internal doorway (not to be mistaken with Interconnecting)
Advance Rates Discounted rates to encourage guests to book in advance, but
comes with stringent Terms and Conditions.
1

Introduction to Hotel Operations -1


Prepared by: Vishnu Narayanan.V
Course Code: TMgt1032
Program Name: BA in Tourism Management
Chapter -6

All Inclusive - A package plan, that is inclusive of all main meals (breakfast, lunch
and dinner), set types of beverages, and some activities in the room rate.
All-Suite A hotel whereby all rooms have a defined and separate living area, to the
sleeping area. This does not necessarily mean the sleeping area is separated by a
wall (as in a 'bedroom') as a Studio styled room can still be classified as a 'Suite'.
Unless specified, it is best not to assume it comes with kitchen facilities.
Amenities Commonly used to describe hotel facilities, the correct use of this term
is for personal toiletry items such as shampoo, toothpaste, mouthwash, shoe shine
kit, sewing kit, and shower cap, with no additional cost to the guests.
American Plan A now disused term to describe a package plan that includes
meals, (usually breakfast, lunch and dinner) in the room rate.
Atrium An interior design in which there are public areas, that overlooks the lobby
from anywhere above
Average Daily Rate (ADR) Is the term for the hotels' internal average rate
calculation, which is the total rooms only revenue for the day, divided by the number
of rooms sold
BAR - Best Available Rate, is the lowest advertised non discounted rate by the hotel
for a specified date
Back of House A term used to describe the functional areas of the hotel, in which
employees have limited to no guest contact. These include areas such as kitchen,
engineering
and
housekeeping
departments.
Back to Back A dual term used in housekeeping and for staff rostering. For
housekeeping, a 'Back to Back' is a room assigned for checkout, and assigned for
same day check in. For rosters, a 'Back to Back' is an assigned shift, with only one
shift separation between the end of a shift, and the commencement of the next shift.
Banquets An older term, still used for conferences and events that requires any
form of catering (the catering does not have to be food).

Introduction to Hotel Operations -1


Prepared by: Vishnu Narayanan.V
Course Code: TMgt1032
Program Name: BA in Tourism Management
Chapter -6

Blacklist - Is a term used for a list of guests who are no longer welcome at a hotel,
due to previous bad behaviour or indiscretions. Also refer to 'Red Alert'.
Blackout Dates A term used to describe dates that are unavailable to the public
for reservations. It is used by hotels and travel agents, to prevent reservations of
lower rates (such as loyalty points redemption), over known periods of high
occupancy.
Block A group of unassigned rooms, set aside for a specific purpose
Breakfast Cards Cards hung by guests on the doorknob of guest room doors to
pre order Room Service breakfast for the following morning.
Bump - Refer to 'Overbooking'
Business Centre - Is a dedicated office space for guest use. It is commonly
equipped with machinery found in a typical office, such as photocopier, fax,
computer terminal, telephone etc. Some hotels have manned Business Centres, who
offer secretarial services.
Butler Service - Is a dedicated service which assists guests with all manner of
requests like a personal assistant. Their position involves everything from light
housekeeping, unpacking guest cases, preparation of light meals, and usually
available 24hrs a day. This is a service usually only found in the highest standard
hotels.
C&C - Conference and Catering. Refer also to 'Banquets'
C&E - Conference and Events. Refer also to 'Banquets' and 'C&C'
Cancellation Number - Is a number generated by the hotel computer system, when
a reservation has been cancelled. This is the corresponding opposite to a
Confirmation Number, and should always be requested by the guest when cancelling
a reservation.
Cashier A term used for a Front Desk staff, designated specifically to process
guest check outs, and handle legal tender for guest.

Introduction to Hotel Operations -1


Prepared by: Vishnu Narayanan.V
Course Code: TMgt1032
Program Name: BA in Tourism Management
Chapter -6

Charge Back - Is a payment authorisation, which permits specified costs to be


billed elsewhere, other than the guest. This is usually only permitted for companies
and clients with established line of credit with the hotel.
Commissionaire - Is a French term for a designated staff member, who is
effectively the 'captain' of the driveway. This term is often used instead of a
doorman, which is technically incorrect, as positional hierarchy places a
Commissionaire much higher than a door person. This position is usually only found
in the top end hotels, and are easily distinguishable as their uniforms often include
top hat and tails.
Compendium - An in room directory folder, containing information about services,
facilities and features within the hotel, as well as associated and nearby services.
Also commonly referred to as a 'Service Directory'.

Competitor Set - A group of hotels who are direct competitors, in a set category of
hotels, within a defined region/area.
Complimentary Rate A rate in which there is no charge to the guest. This can
refer to rooms and any other specified service, such as breakfast, internet, valet
parking.
Concierge A designated staff member, who can provide a vast amount of
information and assistance, on the hotel, local, and nearby services of the city. Often
mistaken as a mere 'information' person, a good concierge can mean the difference
between an average and extraordinary stay. Some of the best concierges around the
world, have networking to access even the most difficult items to obtain, such as
restaurant reservations, theatre tickets and invitation only events.
Confirmation Number - This is a number generated by the hotel computer system,
when a reservation is entered. Please note that when a reservation is made via a
third party, the agent will provide a confirmation number - which is not the same as
the hotels.
Continental Breakfast A term used to describe a light breakfast, which does not
include cooked dishes. Generally includes tea/coffee, juice, fruit, sweet roll and/or
cereal.
4

Introduction to Hotel Operations -1


Prepared by: Vishnu Narayanan.V
Course Code: TMgt1032
Program Name: BA in Tourism Management
Chapter -6

Corporate Guest A term used to describe business guests, who are employees of
a company and entitled to a negotiated room rate.
Corporate Rates A rate offered to corporate guests, which is unavailable to the
general public. These are usually through negotiation, based on a guaranteed
number of nights annually.
Credit Card Authorisation Form - Is a form document supplied by the hotel, which
can be completed to obtain permission, for charges to be paid for by a person other
than the registered guest. This is commonly requested for those who do not have
credit cards, surprise gifts, or company employees whereby the company wishes to
pay in advance.
Daily Rate - A term used for the room rate breakdown for each day, for a particular
room type over a specific set of dates
Day Use - A reservation that is for a specified time period, with the arrival and departure on
the same date.
DND Sign/Card Is a 'Do Not Disturb' card, which is hung outside the room to inform hotel
staff or visitor that the occupant does not wish to be disturbed. Some hotels no longer use
these signs, and now have moved onto light indicators outside the room door.
Door Person - Is a term often used for a staff member, assigned to greet and assist guests
at the entrance of a hotel. The term varies according to region, and in many cases, based on
the standards and level of the hotel. Some hotels employ door persons specifically for the
purpose of opening doors only.
Double Double - Refers to a 'Twin Room' configuration, whereby the bedding configuration
contains two beds where the minimum bed size is a Double Bed.
Double Room - Is a room configuration, whereby the regular bedding layout contains one
bed where the minimum bed size is a Double Bed.

Double Locked (DL) An occupied room in which a secondary locking mechanism,


has been turned by the guest to prohibit entry. Only a management level override
key or an emergency key can open it.

Introduction to Hotel Operations -1


Prepared by: Vishnu Narayanan.V
Course Code: TMgt1032
Program Name: BA in Tourism Management
Chapter -6

Electronic Key - A plastic key with electronic codes embedded. There are two
types of electronic keys; the more common keys with the magnetic strip, and the less
common Proxy Cards, which are internally wired with an electronic chip, and
requires no swiping or contact with the locking mechanism.
European Plan - A now disused term which describes a Room Only rate.
Express Check Out Is a form authorisation given by the guest, for the hotel to
process a checkout, without the attendance or presence of a guest at the Front
Desk.
FIT - Free Independent Traveller. It is a loosely used term by hotels and travel
agents, to generally refer to guests that are not part of any package or tour.
Fitness Centre - Gym. There are many varying sizes of hotel fitness centres
available, from the most basic, to some of the most advanced exercise equipment.
Many of the top end hotels have fulltime Personal Trainers on duty.
Front of House (FOH) A term used to describe any functional and visible areas of
the hotel, in which employees have extensive guest contact. These include but not
limited to Front Desk/Reception, Restaurant, Bars, Lobby, and any accessible areas
to the public.
Floor Pantry A service room provided on each floor for housekeepers and service
staff, to store cleaning agents, equipments, guest supplies, guest room linen and
housekeeping trolleys.
Free Cancellation - Is a booking condition, which permits cancellation without
penalty or charges, provided the reservation is cancelled before a specified
date/time.
Full Breakfast - Is a term used for a breakfast, which has the inclusion of a cooked
component (in contrast to a Continental Breakfast).
Full Kitchen - Is a phrase used to describe an apartment styled room, which
contains a designated area, with comprehensive kitchen facility, usually including a
stove.

Introduction to Hotel Operations -1


Prepared by: Vishnu Narayanan.V
Course Code: TMgt1032
Program Name: BA in Tourism Management
Chapter -6

Full Service A term used to describe a level of service, provided by a hotel with
the widest possible range of services and conveniences for the guest.
GDS Global Distribution System is a network of electronic reservation systems
used worldwide by travel agents to book hotel and airlines. Well known GDS's
include Sabre, Galileo and Amadeus.
Group Rate Room rate offered to groups of people visiting the hotel as part of a
common party. Group Rates are often determined not by the number of persons, but
by the total number of rooms required.
Group Reservations Is a term used for a reservation, with a specified minimum
number of rooms over a set date period. Larger hotels have a separate designated
department, which specifically deals with groups. Commonly mistaken understanding
of what constitutes a 'Group Reservation', is that it is determined by the total number

of rooms, not the number of persons.


Guaranteed Reservation - An internal hotel term used to describe a reservation
which has a method of payment confirmed. This term is often incorrectly interpreted
as meaning 'a guaranteed room' - which is not the case. Although in most cases the
reservation is secure, technically speaking, all it implies is that the reservation has an
acknowledged method of payment.
Guest Essentials Are items for the guestrooms, that are not expected to removed
by the guest. These include but not limited to such items such as glasses, iron,
pillows, kettle, coat hangers, hairdryer, and bathrobes.
Guest Expendables Are supplies that are expected to be used up or taken away
by guest on leaving the property. These include but not limited to such items as
bathroom toiletries, tea and coffee satchels, stationery, magazines, slippers, laundry
bags, and tent cards.
Guest Folio A term used for a print out of a guests' room account.
Guest History Are a vast collection of guest stay details, recording everything
from average stay expenditure, to notes and comments from previous stays.

Introduction to Hotel Operations -1


Prepared by: Vishnu Narayanan.V
Course Code: TMgt1032
Program Name: BA in Tourism Management
Chapter -6

Guest Profile - Is a database of guests' history, plus the guests' preferences,


status, personal details such as contact information, and any other collated
information for 'profiling'.
Guest Relations Officer/Manager - Are designated staff who deal exclusively with
handling of guest specific matters and nothing else. Although they are Front Office
based, they technically do not fit into Front Office, Concierge or Food & Beverage
department, float in all areas, and have very different set of tasks to either
department.
Guest Service Agents - The current term for receptionist/front desk
clerk/cashier/telephonist. It was brought about to reflect the multi-tasking capacity
and expectations of these staff. (many hotels have a separate Communications
Department, who still have a designated position of a Telephonist/Switchboard
operator)
Handle With Care (HWC) An American term, designated to guests who may
have had some unpleasant experiences in the hotel genuine or otherwise. This
designation is given to the guest in the hotels computer system, for reminder of their
stay, and remains in the 'Comments/Notes' field for future stays. The other common
term used is 'Complaint Guest'
Hard Key A traditional metal door key.
Hard Refurbishment - Is a phrase used to describe the re-decorating of the room,
that involves changing of fixtures, fittings and furniture.
Inbound - Is a multiple use term, originally used to describe an overseas guest,
which has now expanded to cover all manner of reservations. Travel agents still use
it in the original sense, but hotels now use it to describe almost any independent
online reservation.
In House Laundry Service (Dry Cleaning Service) A hotel-operated department
that launders guest washing, as well as all internal linens and uniforms. Note, this is
not the same as a self-use or coin operated laundry facilities.

Introduction to Hotel Operations -1


Prepared by: Vishnu Narayanan.V
Course Code: TMgt1032
Program Name: BA in Tourism Management
Chapter -6

In-Room Guest Checkout A feature of the hotel that allows the guest, to use a
guest room television or portable device to settle their account, and check out of a
hotel.
In-Room Safe - Is a safe located in a guest room, of varying design. Usually fitted in
the wardrobe or out of direct line of sight.
Interconnecting Rooms - Is a phrase used to describe two or more rooms with a
common internal doorway.
Inventory Is a term used by both travel agents and hotels, to describe a product
such as a room. Internally, a hotel can use this as a term to describe any stock or
merchandise, operating supplies, and other items held for use in a hotel.
Kitchenette - Is a term used to describe a smaller or partial kitchen facility in an
apartment styled room. A kitchenette does not have to be in a separate area to the
living area.
Late Charges - Is a term used for any charges, added to the guest account after
Check Out. This could be due to charges not disclosed by the guest (such as
minibar), or not added due to hotel oversight.
Lead Time The length of time between when a booking is made and the date of
arrival.
Limited Service A term used to describe a level of service provided by a hotel. A
limited service hotel may not have the full range of services that a traditional full
service hotel may provide, such as 24hr Room Service, Overnight Housekeeping,
Valet Parking, Conference Facilities, and Porterage.
Maximum Occupancy - Is the maximum number of occupants permitted by Fire &
Safety regulations for any given room type. This is normally determined by the local
fire chief or specialist for the local governing bodies, and takes into account the ratio
of available space vs the safe direct passage to an exit point. It is not determined by
how many persons that can fit into a room, nor how many persons it can sleep. The
term 'persons' is always used, as the regulations do not distinguish age, size,
capability of individuals. It is total number of 'persons'.
9

Introduction to Hotel Operations -1


Prepared by: Vishnu Narayanan.V
Course Code: TMgt1032
Program Name: BA in Tourism Management
Chapter -6

Merchant Model - Business model where the hotel offers net rates so that a
merchant can add their profit margin (mark up the rates) for sale to the public. Most
commonly used by online resellers, wholesalers and tour operators.
Message Centre - Is a variation of Voicemail, accessed by the phone in the guests
room.
Meta-Search Engine - Is a search engine where different OTA websites are
consolidated, so that rates and listings can be compared. Often referred to as
'Comparison', 'Consolidator' and/or 'Aggregator' sites.
MICE Meeting, Incentives, Conference, Exhibitions. It is a Sales & Marketing
segment, of high importance to hotels, that focuses entirely on the business
segment. Some hotels are designed and geared specifically to cater for the MICE
clientele.
Mini Bar Is an in-room fixture, which is a miniature refrigerator stocked with juices,
liquor, and snack for the convenience of guests. The more modern versions have
sensors, which detect the removal of items, and automatically charges the guest for
that item.
Motels Traditionally were any accommodation that are predominantly located
primarily by the roadside. An evolvement of the phrase 'Motorway Hotel', they were
originally focused on providing lodgings to road travellers, although the term is now
more widely accepted as lodgings of slightly lesser services than a 'Hotel'. One
notable aspect about motels, is that they often provide ample parking.
Night Audit Is the financial controlling process, whereby the financial activity of
guests accounts is maintained and balanced on a nightly basis. It is during this
overnight process, where room charges are added to the guest account.
Non Refundable Rate - Is an advertised rate offered at a heavy discount, however
the attached condition is that the room rate will be charged, regardless of
cancellation or changes. The terms is often interchanged with 'No Cancellation'
policy.

10

Introduction to Hotel Operations -1


Prepared by: Vishnu Narayanan.V
Course Code: TMgt1032
Program Name: BA in Tourism Management
Chapter -6

No Show - Is a term used for a guest who did not arrive to honour their reservation
on the specified date. Technically, a reservation is 'deactivated' when the Night Audit
staff roll the computer system to changeover dates to the next day, which is
traditionally done just after midnight. However, the general rule, is that the room
must be held, until checkout time the following day. From that point forth, a charge is
processed, and any remaining dates are then cancelled.
No Show Charge/Fee - Is a term used for a pre-specified fee, charged to the guest
who did not arrive, to honour their reservation.
Opaque Model - Business model where the guest does not know which product or
brand being booked before purchase. They know the rate, but not the product.
Alternately, the phrase may be used whereby the guest may not know the individual
component price of a bundled package.
O.O.O - Out Of Order. Is a room status, that has been removed from any form of
guest use. When a room is placed on this status, it is physically not counted as part
of the room count.
OTA - Online Travel Agent. This is a very broad term, that generally refers to a
travel related booking platform. They are not like a traditional a High Street agent, in
that you don't receive advice. Best interpreted as 'booking sites' rather than a 'travel
agent'.
Overbooking Is a term used for a situation, whereby reservations are taken for
more rooms than are available. This is mostly a deliberate action by the hotel, by
trying to forecast the number of no show reservations, stay overs, under stays, and
walk ins, with the goal of achieving a 100% occupancy. The definition also refers to
the terms 'Bump' and 'Walk'.
Package Rate A term used to describe a room rate that includes goods and
services in addition to a room.
Paid Out - Is a charge processed to a guest account, whereby external services are
paid for by the hotel on the guest behalf, and then charged to the guest account.
This accounting process is also used to refund, cash balances left on a guest
account at time of checkout.

11

Introduction to Hotel Operations -1


Prepared by: Vishnu Narayanan.V
Course Code: TMgt1032
Program Name: BA in Tourism Management
Chapter -6

Point of Sale Any outlet within the hotel that generates income, such as
restaurant, bar, room service, gift shop, and spa. Also referred in accounting terms
as a 'revenue centre' (as opposed to a 'cost centre')

Porterage - Is a fee paid for luggage services at a hotel, as part of a group


tour.
Residence Hotel A dual use term, used to describe both hotels that provide long
term accommodations for guest, and for a mixed use property (hotel guests,
timeshare, and permanent tenants)
Room Allocation - Is the task of assigning a specific room number to a reservation.
This is generally partially performed the night before, with the exception being
reservation with approved special requests attached - which may be allocated much
earlier. The task is usually done on the basis of 'top down', meaning the suites and
higher room types are assigned first.
Room Move - Is the task of having to change the guest room, whether it may be by
guest request, or for other hotel reasons.
Room Service - The original and still the most common term, for the service of
ordered food within a guest room. Also now commonly referred to as 'In Room
Dining'.
Room Status - Is a Housekeeping and Front Office term used to describe the state
of readiness for use, of a specific room. The most common used status terms are;
Vacant Clean, Vacant Dirty, Occupied Clean, and Occupied Dirty.
Run Of House - This is a term used for the sequence in which the rooms are sold
and used. Although it sounds rather vague, it is commonly used to describe a
'bottom to top' sequence of room types, but functionally, it actually means 'whatever
room type is best available for use at that time' - so it does not necessarily mean the
worst room type.
Safety Deposit Box - Is a safety deposit service located at or in a nearby room
from the Front Desk of a hotel, operated on a sign in basis, with a key held by both
the hotel and the guest.

12

Introduction to Hotel Operations -1


Prepared by: Vishnu Narayanan.V
Course Code: TMgt1032
Program Name: BA in Tourism Management
Chapter -6

Sales Completion - Is the act of finalising a Pre-Authorisation, from a 'hold' to a


'completed' charge.
Self Parking - Is a hotel car park facility, offered to all guests to park their own
vehicle.
Single Room - Is a room configuration, whereby the room is specifically designated
for a one person occupancy, and usually only contains a Single Bed.
Soft Opening Partial launch of a hotel property, often at a reduced service level,
to test and gauge equipment and the service offering, prior to a Grand Opening.
Soft Refurbishment - Is a phrase used to describe the re-decorating of the room,
which only requires the changing of the 'soft' furnishings, such as linen, curtains,
painted surfaces, cushions, and carpet.
Stay Overs In-house guests who are not due to checkout on any given date.
Studio - Is a term most commonly used for room types, whereby there is a
designated living area and sleeping area, but does not have walls separating them.
Suite - Is a term most commonly used, for any room type that has a wall separating
the sleeping area from the living area.
Triple Room - Is a room configuration, whereby the normal bedding layout has the
capacity to sleep three persons. This does not necessarily mean the room contains
three beds.
Turn Down Service Is an early evening courtesy service, provided by the
housekeeping department. The guest room is refreshed, restocked with supplies,
and bedcovers are removed in preparation for guest sleep. Guests often receive
'gifts' such as sweets, bottled water, mints, as part of the Turn Down service.
Twin Room - Is a room configuration, whereby the normal bedding layout contains
two beds of any size.
Under stay Guest who registers on the specified date, but checks out before their
stated date of departure.

13

Introduction to Hotel Operations -1


Prepared by: Vishnu Narayanan.V
Course Code: TMgt1032
Program Name: BA in Tourism Management
Chapter -6

Upgrade - Is a term used for a room reservation, whereby a guest is provided


complimentary, or paid for, a room type above what was originally booked.

Valet Dry Cleaning - Is a charged laundering and dry cleaning service for guest
clothing and garments.
Valet Parking - Is a hotel parking service for all guests, whereby the vehicle is
parked on the guest behalf by a designated staff member.
Walk In A guest who arrives in anticipation of a room, without having made a
reservation.

---------------The End--------------

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