Hotel Organisation

HOTEL ORGANISATION
Introduction
Hotel organization is the framework in which various activities operate. It is concerned with such
matters as:
- The division of tasks
- Positions of responsibility and authority
- Relationship between the positions
Some Concepts in the Organisation Framework
i. Span of control – refers to the number of subordinates supervised directly by an
individual
ii. Levels of management – the number of tiers through which management operates
iii. Delegation – this is the allocation of responsibility and authority to designated
individuals in the line of ‘command’
Organization is a function of purpose and the complexity of hotel business arises because it is
concerned with several distinct products, services and facilities which are offered in various
combinations.
Classification of Activities of the Hotel Business
A. Operated Departments (Revenue Earning)
i. Major (Primary) Departments
These are;
- Rooms
- Food
- Beverages
ii. Minor (Ancillary) Operated Departments
These include;
- Guest telephone
- Guest laundry and valeting
- Other guest services
B. Support Service Departments (Undistributed Overheads)
These include;
- Administration and general
- Marketing
- Property operation, maintenance and energy
1. ROOMS
The accommodation function of the hotel is described in terms of reception, uniformed services
and housekeeping
Typical Organisational Approaches
- All the three activities operate as separate departments with their own heads of
departments
- Reception and uniformed services are grouped together as the front hall or front house of
the hotel under an assistant manager for whom this is the sole or main responsibility
- Reception or uniformed services are grouped together as front hall or front house
department with its own head of department
- All the three activities are grouped together as the rooms department under an assistant
manager for whom this is the soul or main responsibility
- All three activities are grouped together as rooms department with its own head of
department
Some Activities Connected with Rooms
- In most hotels advance reservations form an integral part of hotel reception and the same
employees deal with them and with other reception tasks.
- In smaller hotels guest accounts are normally handled by bookkeeper/receptionists
however, this is an extension of the accounting function.
- In some hotels room service is provided by housekeeping staff, though this function is
clearly part of the food and beverage function of the hotel.
2. FOOD AND BEVERAGES
Food and beverage function of the hotel is described in terms of the food and beverage cycle, the
main sales outlets, and the related support services.
- Each sales outlet and supporting service operates as a separate department with its own
head of department
- Several departments are grouped together under an assistant manager for whom they
represent the sole or main responsibility eg purchasing and storage bar etc
- Several of these departments are grouped together as one department under its own head
of department
- All food and beverage activities are grouped together under an assistant manager from
whom they represent the sole or main responsibility
- All food and beverage activities are grouped together as a food and beverage department
with its own head of department
Aspects of Food and Beverage Function
- Most hotels have facilities serving both food and beverages although in some of them
food or beverages may predominate.
- Food and beverage control based on the food and beverage cycles may be appropriately
seen as part of the total accounting function of the hotel
- Where there is a separate sales department, food and beverage sales are usually closely
monitored by that department.
3. MISCELLANEOUS GUEST SERVICES

These may be presented in such terms as telephone and laundry
- The services are operated under direct management of the hotel as minor operated
department
- The services are operated under rental and concession arrangements with hotel by another
firm.
The Following Services may be provided under this arrangement;
- Beauty shop and hair dressing
- Florist
- Garage
- Laundry and dry cleaning
- Newspapers and magazines
- Secretarial services
- Squash courts and tennis courts
- Gifts and souvenirs
- Swimming pool tobacconist
Factors Influencing the Type of Approach Adopted
- Size of the operation
- Availability of suitable operators of particular services
- Operational philosophy of the hotel or hotel groups
- Quality of the services
- Financial return to the hotel
HOTEL SUPPORT SERVICES
In practice the non-revenue service activities are organized in one of the three main ways.
- Retained among the hotel managers own responsibilities
- Assigned to an assistant manager as one of his or her responsibility
- Assigned to separate department with its own head of department
Specialist activities which may be organized in the hotel
Specialist Activity Source
Accounting and Hotel accountants and consultants, public accountants and auditors,
Finance professional stock-takers
Personnel Services Personnel recruitment and selection specialist; work study, human
resource and industrial relations advisers; training boards and other
agencies
Purchasing Hotel accountants and consultants; furniture and equipment
specialists; various suppliers
Sales and marketing Market research agencies; advertising agencies; public relations
consultants
Property operation, Architects, builders, designers; consulting engineers; utility
maintenance, energy undertakings
THE MANAGEMENT STRUCTURE

According to the size of the hotel and the particular arrangement in operation, the hotel chief
executive may be variously designated as managing director, general manager or simply hotel
manager.
The complexity and continuity of the hotel activities normally give rise to the need for one or
more deputy or assistant managers.
Those in positions of heads of departments fall into two distinct categories;
Line managers – Heads of operated departments with direct lines of responsibility and authority
to their superiors and to their subordinates. E.g. head receptionists, head housekeepers, head
chefs and restaurant managers.
Heads of service departments – these are specialists who provide advice and service to line
management. They have no direct authority over employees other than those of their own
departments. E.g. accountants, buyers, personnel and purchasing officers.
NOTE: ORGANISATION STRUCTURE OF A LARGE HOTEL (Copy organization

chart, page 159)
INFORMATION TECHNOLOGY IN HOTELS

Main Areas of Application of Information Technology in Hotels
i. Administration – word processing, spreadsheets, data storage and manipulation
ii. Communications–fax, e-mail, telephone, messaging, pagers
iii. Control – reservations, billing, telephone charging, in-room entertainment
iv. Finance – budgeting, accounting and taxation
v. Internal Systems – property and energy management, security and fire control
vi. Management – management information and decision making, project management
systems
vii. Marketing – internet selling, customer profiling
Advantages of Technology
- Speed – the new technology is fast and speed is important in hotels, for example, in
responding to a guest, travel agent etc
- Accuracy – the new technology is accurate and accuracy is important in hotels.
- Cheap – the new technology is becoming cheap to use, cheaper than ordinary office
machinery, and with rising costs of clerical labour in hotels, the scope for saving may be
considerable.

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HOTEL ORGANISATION

3. MISCELLANEOUS GUEST SERVICES

THE MANAGEMENT STRUCTURE

NOTE: ORGANISATION STRUCTURE OF A LARGE HOTEL (Copy organization

INFORMATION TECHNOLOGY IN HOTELS

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