property management systems
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PROPERTY MANAGEMENT
SYSTEMS
Chapter 7
HISTORY OF AUTOMATION IN HOSPITALITY INDUSTRY
1. At first, automation was a tool for producing and analyzing budgets, reports, statistics, accounts.
2. Then, automation crept into such areas as sales reports, rooms inventory control, timekeeping.
3. Advancements in telecommunications and technology brought reservations systems and their ability to handle transactions.
Source: American Hotel & Lodging Educational Institute
HISTORY OF AUTOMATION IN HOSPITALITY INDUSTRY
4. Further advances came as computers were used to analyze captured reservations data, thus providing important marketing info.
5. Still further advances brought front-office systems that provided guest histories, patterns of use, preferences.
Source: American Hotel & Lodging Educational Institute
INTRODUCTION
What influences technology need for lodging establishments?
- Department needs - Guest amenities
Service level and customer relationships
- Facility size and layout - Organizational structure
INTRODUCTION
Property Management Systems - PMS Evolving Complex Peer to Peer (P2P)
Same application installed on more than one computer
INTRODUCTION
PMS - Centric Model
Property Management systems integrate all of the information needed to manage
PMS FUNCTIONALITY
PMS must be able to provide six basic functions Enable guests to make reservations Enable guests to check-in/register when they
arrive and check-out/pay when they leave Enable staff to maintain guest facilities Account for guests’ financial transactions Track guests’ activities for use in future sales
efforts Interface with other systems
PMS FUNCTIONALITY
Enable guests to make reservations
PMS FUNCTIONALITY
Enable guests to check-in/register when they arrive and check-out/pay when they leave At front desk Remotely
PDA Remote terminal
PMS FUNCTIONALITY
Enable staff to maintain guest facilities Room Type Status Occupant Inspections
PMS FUNCTIONALITY
Account for guests’ financial transactions Credit Card Information Address Information
Business Home
Room Rate Room Charges
Night Audit Collects and Posts Room/Guest Data
PMS FUNCTIONALITY
Track guests’ activities for use in future sales efforts Information relevant and beneficial to
future sales efforts Accessed by:
CRS - Central Reservation System CRM - Customer Relationship Management
PMS FUNCTIONALITY
Interface with other systems GDS - Global Distribution System CRS - Central Reservation
System must integrate seamlessly even if
from different vendors Sales and Catering Applications POS (F&B) Retail Points
PMS FUNCTIONALITY
Interface with other systems HVAC or EMS Systems In-Room Amenities Messaging Security Call Accounting System
FOUR KEY INTERFACES
Real-time interface with the GDS/CRS The activities management system Built-in revenue and yield management The enterprise
REAL-TIME INTERFACE
GDS/CRS Switches
Goal: to generate revenue Complicated due to different business
models and varying relationships between entities
Real-time: greater flexibility Costly to develop systems
INTERNET RESERVATIONS MODULE (IRS) Most PMS have IRS Make reservations online Book through Internet
Eliminate fees –Expedia about %12
REAL-TIME INTERFACE
Tracks guest room and activities Cancels appointments if guest cancels or
checks out Repairs
Pagers, blackberry
REAL-TIME INTERFACE
Revenue and Yield Management Tools Managing room sales to maximize revenue
and profits Examines multiple variables and provides
complex calculations
REAL-TIME INTERFACE
The Enterprise Refers to all systems - front and back
PMS (front) Payroll, Purchasing, HR (back)
EAI - Enterprise Application Integration End goal:
of fewer redundancies and increase in collaborative synergy
ERP - Enterprise Resource Planning BPI - Business Process Integration
GUI - GRAPHICAL USER INTERFACE
Interface Intuitive
Fits naturally with expectations Ease of training Multi-lingual Includes Websites
PMS EVOLUTION
1st Generation: Minicomputers 2nd Generation: UNIX/NOVELL 3rd Generation: Reservation systems 4th Generation: Client-server 5th Generation: GUI 6th Generation: ASP (VPN)
RESERVATION SYSTEMS
Selling individual reservations Selling group reservations Displaying room availability and guest
lists Tracking advance deposits Tracking travel agent bookings and
commissions Generating confirmation slips and
various reservation reports
RESERVATION SYSTEM SCREEN
DISPLAYING ROOM AVAILABILITY AND GUEST LISTS
Today’s inventory
Future date 7 to 14 day
availability Blocked room
RESERVATIONS
CRS (central reservation system)
IRS Voice Center GDS (Global
Distribution System)
COMPANIES
Fidelio
German company World Leader Was bought by Micros, USA based
company Now, Micros/Fidelio
CRS
Decentralize the reservation function Centralizes marketing and sales efforts One way Two way
INTERNET BASED CRS
Started in late 1990s Flexible Cost effective Compliant with GDS
Marriott.com / starwood.com / bestwestern.com
DISTRIBUTION CHANNELS FOR A HOTEL
1. Travel Agency (GDS)2. CRS (800 reservation number)3. Call the hotel directly4. Corporate travel agent5. Hotel website (i.e. Hilton.com)6. Internet travel agency (i.e. Expedia.com)
(Online GDS / ADS/ IDS)7. Walk-in8. Other
GDS
ADS/ IDS
OTHER TRAVEL RELATED WEBSITES
SWITCH
YIELD MANAGEMENT
Yield management rules can be established for:
overbooking discount control length of stay control product class control group evaluation
TRAVELER’S USE OF INTERNET
87% of traveling population in the U.S. are online travelers
88% use the Internet to make travel plans
52% used the Internet to book their travels
GLOBAL DISTRIBUTION SYSTEMS
Joint ventures linking a number of diverse businesses
A big inventory Smart Switch
Translator
GDS
There are 4 major GDS Amadeus Galileo/Apollo Sabre Wordspan
SMART SWITCH
American AirlinesUnix System
MarriottWindows Based System
Hertz Rent a CarOS System
SABRECommon Platform
Access CodesAccess Codes
Access C
odes
SWITCH
Pegasus http://www.pegs.com
Wizcom (Trust) http://hospitality.cendant.com/
technology/
PROPERTY MANAGEMENT SYSTEMS
Property management systems provide data that marketing
can use for:
Revenue maximization
Better rooms inventory control
More accurate management of room blocks
Yield management capabilities
Source: American Hotel & Lodging Educational Institute
PROPERTY MANAGEMENT SYSTEMS
Automation helps hotels provide better guest service and
related recognition programs:
Guests can count on same room, same seat, same car
preference as a result of guest history and preference
systems
Express check-in and check-out
Automated check-in and check-out
Similar technology has provided automated airline ticketing
and car rentals
Source: American Hotel & Lodging Educational Institute
FRONT OFFICE SYSTEM
Guest registration-retrieve reservation-assign a room-collect payment-verify room status
Telephone services
- Phone calls - Wake up call
-Messages
Cashiering and guest check-out
-generate folios -post transactions -open and close cashier shift
-guest check out
Room status and housekeeping management
-room discrepancy report -room status report -etc.
Front office syste
m
NIGHT AUDIT
Recording all transactions Posting of room and tax Producing a trial balance Generating reports and updating
statistics
VIDEO
http://www.youtube.com/watch?v=1OFs7130GKQ
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