Front Office Terminology

Front Office Terminology AAAAmerican Automobile Association. AARPAmerican Association of Retired Persons. accidentterm used to describe employee injuries. accounting equationAssets = Liabilities + Owners Equity. accounting transferused when a charge or credit needs to be sent elsewhere within the guest ledger. aging statementwithin the city ledger, the aging statement tracks how long each receivable has remained uncollected. all suitehotel type that offers suites as the primary room type. ancillaryhotel revenue sources outside of sleeping rooms or food/beverage. anticipated usage amountcash deposit required covering the estimated use of hotel facilities and services (e.g., in-room phones, in-room movies, room service, etc.). arrival chronologythe term used to categorize the stages a transient or group guest go through upon arrival to a hotel. arrival/departure reporta night audit report that summarizes all the check-ins and checkouts that occurred in the course of a day. arrivals reporta front office report that lists every guest due to arrive that day; a front office report that lists only those check-ins yet due to arrive at that specific time. This report can be run at anytime during the day. assetan economic resource. audit trailserves as documented history of transactions. automated call distributor (ACD)routes reservations calls to available agents. automatic postingthe transfer of guest charges to an account as they are incurred. average daily rate (ADR)an average of all the rates sold at a hotel on a given night. B back of the househotel departments with traditionally low amounts of guest contact. bag deliveryterm used when a groups luggage

is delivered to individual rooms at some point after the group has checked into the hotel. bag pullat a predetermined time in the day (usually when all group attendees are in session), the bellstaff go into each room and pull each attendees luggage. This luggage is then stored until the group is ready to depart. balance sheetserves to summarize a hotels financial situation on a given date. banka cash reserve assigned to individual front desk employees/managers to handle daily transactions. bellcaptainthe leader of the bellstaff. bellcarta large metal cart on rollers that bellstaff  use to carry luggage to and from a guest room. blockingprocess of holding or reserving a specific room based on room preferences and other factors. brand loyaltythe institutionalized preferences of a consumer for a product or service based on a brand name or logo. bundlingthe process of combining one or more hotel products or services together to make the new entity more attractive; most commonly used with package rates. business transienttransient market subset comprised of guests traveling on business. buyer confidencea hotel guests predetermined desire to book a room at a hotel at almost any cost. C captive audiencecustomers who are staying at the hotel and will, for convenience and lack of  other options, partake in the outlets the hotel has to offer. card approvalprocess to ensure that each credit card is valid and that a sufficient amount of  credit is available on the card. central reservations system (CRS)provides the consumer with an avenue to locate a hotel of  choice in a certain location. charge/credit slipsused when the entry in the guest account menu has a net effect on the overall guest ledger. chief engineercoordinates the day-to-day maintenance

of the hotels physical structure. city ledgertracks revenues due to the hotel. closed to arrival (CTA)a useful restriction in slowing demand on one night while increasing demand on the prior night. commission(usually 10 percent of the rate for hotels) paid to travel agents by hotels, airlines, and other travel related suppliers to induce further bookings. common areashotel spaces where most, if not all, guests may walk through. comp rooms reportthe night auditors must verify each room that has no rate posted to it. This report will include a reason for the complimentary status (e.g., per group contract, VIP, distressed guest, etc.). competitive sethotels of similar product type, location type, and size. compression of demandthe theory that the need for hotel rooms in a city or geographical region will remain static and fairly constant in spite of what the occupancy level is. In effect, if  one part of an area is sold out, the demand for rooms will compress in such a way as to drive those looking for rooms elsewhere. connecting roomshave doors between them that can be opened. contract roomsa block of rooms set aside for an organization each and every night, whether they are occupied or not. controllerperson in charge of the hotels financial reporting and cash flow management. convention centera locally funded, or privately owned structure that caters to large groups and conventions for meetings of all kinds. conversion ratiothe number of transient bookings made versus the number of calls received. core competencyan organizations strengths. correction entryis used to correct a mistake in the posting process. cost rate formulamethod of determining initial hotel rates based on construction costs. This formula determines the average room rate by allocating $1 towards the rate for each $1,000 spent in construction.

credithas a negative effect on the total balance of a guest account. credit card transaction reportconducted so that accounts receivable can verify the allowances and revenue due from each credit card company on the city ledger. credit limit reportThis report is run to verify that guests within the hotel have not exceeded their credit card limits or cash balances on hand. The information from this report should be shared with accounts receivable and the front office manager. credit riskcredit extended to an individual or organization that may be unable to pay. crosstrainingemployees learning other jobs within the hotel. cutoff datethe last possible date the hotel can hold contracted rooms for a group before releasing them. D date rollhotels must designate a certain point in the night to establish a change in date. debithas a positive effect on the total balance of  a guest account. deep cleanthe process of completely cleaning a room. department headsmanagers who are most directly involved in an areas day-to-day operations. departures reporta front office report that lists each guest who is due to check out that day; a front office report that lists only those checkouts yet due to leave the hotel at that specific time. This report can be run at anytime during the day. direct billinga process in which payment of a portion or all of a groups or guests charges are deferred in some way. direct billing applicationa form requesting some level of credit from a hotel. director of cateringresponsible for the catering side of the hotel sales effort. director of engineeringinvolved in the physical aspects of the hotels operation. director of food and beverageruns each department that sells, buys, or prepares food and

beverage products for hotel guests. director of groundsunique to the resort hotel, the director of grounds is in charge of landscape and the surrounding area. director of human resourcesin charge of all hotel personnel. director of loss preventionmain priority is the safety and security of all hotel guests and employees. director of marketingoversees the hotels sales and marketing operation, directing the group and transient sales efforts to maximize room revenue. director of operationsis in charge of the fundamental operational functions of the hotel in a revenue-based deployment structure. director of recreationis in charge of a resorts signature attraction. director of servicesresponsible for the hotels housekeeping and laundry operations. disabled access configurationsleeping rooms that are ADA (Americans with Disabilities Act) compliant. discrepant codeexists when housekeeping and the front desk have different information on the status of a guest room. displacementoccurs when lower-rated group rooms are booked in place of higher-rated transient rooms. diversity trainingteaches employees that they must understand and appreciate the differences in people. double occupancytwo occupants in a guest room. driving ratewhen demand dictates, a hotel may never even begin selling discounted rates, and thus have them restricted from the start. This practice attempts to maximize revenue when demand is known to be forthcoming. E employee shift closing reportoutlines each transaction a front desk agent completed within the guest ledger. empowermentthe ability and authority to satisfy guest complaints/requests within preset

parameters. enhanced configurationunderstood to include more amenities and/or services than the standard guest room configuration. entriesupdate the guest accounting menu. executive chefresponsible for the hotels overall food production. extended stayhotels that provide their guests with services, amenities, and facilities that they want or need to facilitate a long-term stay in one location. F FF&Efurniture, fixtures, and equipment. food and beverage potential reportreconciliation of what was sold in the outlets to what price it was sold at. food/beverage audit reporta night audit report that summarizes the outlet/ancillary report and the F&B potential report. food costthe cost of a particular food item in relation to the price for which it is sold. forecastingthe task reservations performs of  providing information on forthcoming occupancy levels. franchise companyacts as an agent on behalf  of the owner and implements the franchise agreement between the owner (franchisee) and the hotel chain (franchiser). franchisedhotels that are independently owned hotels and affiliate themselves with a chain. In a franchise agreement, the owner (franchisee) pays a franchise fee to the chain (franchiser) in exchange for the rights to use their name. frontterm used to alert the bellstaff that a guest is ready to be escorted to the room. front log sheetrecord kept at the bellstand of  all activity by each bellperson; used to ensure parity in all assignments. front office managerresponsible for a large portion of the most visible aspects of a hotels daytoday operations. He or she directs the day-to-day activities of the front desk, the bellstand, and the concierge staff. front of the househotel departments with traditionally high amounts of guest contact.

full servicehotels that by definition provide their guests with services, amenities, and facilities that they want or need to complete a total hotel experience. G gateway citiestraditionally those located in an area that makes them the first practical stop for an international flight coming in to a country. general cashieran accounting employee who maintains the cash supply inside the hotel. The cashier audits each bank to ensure that proper accounting procedures are adhered to and to avoid fraud. general managerthe person ultimately responsible for the hotel. group arrivaloccurs when a large number of  guests from the same group arrive at once. group basethe measurement of how many group rooms are on the books on a given night. group blockthe number of rooms the hotel is contractually required to provide a group. group cateringfunctions such as meetings, events, and meal functions tied to a block of group guest rooms. group catering contributiondefined as the catering business acquired by a hotel that has all, or a major portion of, the attendees staying at the hotel itself. group functioncan be a meeting, meal, dance, or any other gathering of more than one person. In addition, a group function must have at least 10 sleeping rooms per night associated with it. group roomsoriginate from reservations that are made to bring more than one guest into the hotel (usually 10 or more rooms per night). group rooms worksheeta tool the reservations department uses to aid in forecasting. group résuméa hotel document that communicates to all vital departments any aspect of a group that may affect them. guaranteed no-show (GNS)guaranteed reservation that is not occupied. guest accounttracks all the data that pertains to an individual guest in a PMS system. guest accountingthe tracking of debits and

credits within the front office. guest accounting menua PMS menu used to track all credit/debit transactions related to a guests stay. guest history accountrecords details of a hotel guests stay. Room preferences, rates paid, outlet and ancillary usage, and other details are tracked for future marketing and guest service uses. guest ledgeran all encompassing term used to track hotel transactions primarily before and during a guests or groups stay. guest registration menua PMS menu that contains all the pertinent information garnered from the initial reservationi.e., name, arrival/ departure, room preferences, method of payment, and other miscellaneous information. guest room buyback processallows housekeepers to purchase guest rooms over and above the number assigned to them in their initial section. guest supply usage per occupied roomthe measurement of housekeeping supplies used in a guest room averaged over time. H hard goodsguest room items that are difficult or expensive to replace, such as TVs or furniture. historythe documented record of historical data. house accountserves as a perpetual account to track recurring transactions that occur within the hotel. house countlooks at how many rooms are inhouse, how many are due to arrive, and how many are due to check out. That number, less any OOO rooms, yields a house count. housekeepers caddiea handheld carrying case that can be easily brought into a guest room. Each caddie will consist of glass cleaner, bathroom cleaner, multipurpose cleaner, bath amenities (shampoo, conditioner, soap, etc.). housekeeping cartcart that holds the caddie, towels, linens, glasses, vacuum, and miscellaneous items needed to clean a guest room. housepersonthe housepersons role is to support the housekeepers and maintain the cleanliness

of guest hallways. hybrid marketscombined target markets. I IATAInternational Association of Travel Agents. incident reportreport used to make documentation of any calls made to police, fire, or ambulance services and a summary of the circumstances surrounding said incident. incidentalsnonroom and tax charges. independentIn these hotels, the owner has no role in management or day-to-day operations. An independent group of managers are responsible to the owner for the hotels performance. individual booking cyclethe time between when an individual reservation is made and when that reservation is due to arrive. individual market potentialthe number of  rooms a hotel has for sale within a give time frame. in-house reporta front office report that lists each room that was occupied and not due to check out. intermediaryperson or entity that acts as a liaison between a guest and the hotel. J  journey segmentis the maximum reasonable distance traveled in one day along trade or travel routes using the transportation of the day.  junction pointsAreas where different trading routes intersected also became favored stopping points. K key control systemsensure guest safety by changing the access to a guest room between guests. L liabilityan economic obligation. limited servicehotels that do not offer food and beverage outlets as well as meeting space. local cateringnon-group catering. location typesclassified by physical positioning in relation to the customers in the area and to their tangible locale. lodging management associationthe relationship between ownership and management.

M management contractis similar to a franchise in that it is supplied with standard operating procedures as well as quality and service level targets. However, these hotels differ in that they are actually operated by the company that supplied those standards. management feefee paid by a hotel owner to a chain or management company in return for operational and management services. manual postingoccurs when an individual must apply a charge to an account by hand. market segmenta portion or segment of the actual or potential business mix at any given hotel. market sharea hotels occupancy performance in relation to other hotels within a predetermined competitive set. market tolerancemethod of determining average room rates by surveying rates offered by other hotels in the competitive set. marketing plana document put together by a hotels senior management to chart a course for the next year. It summarizes departmental goals, advertising schedules, financial targets, and market conditions. A marketing plan is sometimes referred to as a budget. master accountencompasses registration/ accounting information for an entire group, not individual attendees. message reportprints out all the reports that were delivered via the PMS message system in the day. It is a backup document that serves as a permanent record. mid-marketlisted as being part of both the limited- and full-service hotel classifications because these hotels can vary from one place to the other. minimum length stay (MLS)a restriction that mandates that all new reservations stay at the hotel for a minimum number of nights. MODmanager on duty. MOD reporta summary of all guest interaction and general hotel conditions during a given shift. This report serves as documentation for the general manager. MSDSMaterial Safety Data Sheet.

Murphy bedbed that is stored in the wall of a guest room and pulled out when needed. N national accountspreapproved direct billing can be extended to large accounts a hotel chain may do business with. These accounts do not have to go through the billing approval process at each individual hotel they wish to do business with. needs analysisthe process where hotel owners and senior managers determine the required scope of a potential large purchase. night audita department of the front office that assumes the role of reconciling a hotel=s daily activities and transactions. night audit reportdata compiled by the night audit team for management review. no-show reportThis report is also run for the benefit of the accounts receivable department. The verification of who had a guaranteed reservation and did not show up will assist in determining who needs to be billed. nonaffiliated management companiesorganizations with no tie to a chain, but who also offer hotel management and operational expertise in much the same way a chain would. O occupancyis the measurement of how many rooms are sold each night versus how many rooms the hotel has available to sell. occupancy drivenmanagement philosophy that may forgo a higher average rate for greater occupancy levels. opportunity costSleeping rooms at a hotel are considered a perishable commodity. Each night, when a room goes unsold, the hotel loses that opportunity to ever sell it again. A hotel cannot regain that opportunity. out of order rooms reportAny room that cannot be sold must be listed. The reason for the OOO status (e.g., leaky shower, renovation) should be listed and an indication of action taken (notified engineering) should accompany it. outleta food and beverage point of sale. outlet/ancillary reconciliation reporta report

incorporated into the night audit report that must match the total sales reports of each outlet/ ancillary venue. outsourcingutilizing an outside vendor for products or services. oversellinga hotel may sell more rooms than are actually in inventory. owner-managedconsist of hotels where the owner has hired additional (nonfamily) personnel to help run the property. owner-operateda hotel that is run by an owner and the owners family. owners equitythe level of ownership the owner has in the operation. P paid out slipdebits an account (charges) in return for cash paid out on the guest=s behalf. paran inventory of supplies. pass on logguest information that requires indepth explanation or other hotel issues that may impact the desk are often communicated via the pass on log. per diemtypically applies to governmental employees traveling on business. Usually covers hotel, meals, and other out-of-pocket expenses. perfect sellreached when every room is occupied and no guest was walked. petty cash slipslip used for nonguest-related expenses incurred by the hotel. pleasure transienttransient market subset comprised of guests traveling for pleasure. PMSproperty management system. PMS summary-posting reportall the posting activities conducted during the course of business at the front desk is verified against individual bank outs and then included into the night audit report. PMS hierarchythe organization of specialized menus within a Property Management Systems software. PMS workstationsArea where a hotel employee or manager can access the Property Management System. Each workstation includes the software, hardware, and monitor. POSpoint of sale. postingthe act of applying a debit or credit to an

account. pre-key/key packcheck-in system that begins the check-in process before guests arrive. To prekey is to pre-assign guests a room and issue a key. The actual key pack is simply a document to hold the key. prime selling timethe specific hours during the day when the transient guests are most likely to call in for a reservation. product typesdefine a hotels service level as well as its target market. profit margindetermined by comparing the sales revenue versus the costs incurred in providing a service or product. Q  quad occupancyfour occupants in a guest room. R rack rateunderstood to be the highest published rate a hotel can charge for a specific room. rate averagingsimply averaging the target rates for any multiple-night reservation. rate drivenmanagement philosophy that may forgo occupancy levels for higher average rates. rate restrictionsyield management tools that hotels use by limiting options available to the hotel guest for transient reservations. rate spreadthe difference between the single and double occupancy rates. rate structurecombination of all the rates offered at a hotel. rate triggera signal programmed into the reservation computer system that instructs it to change the rate based on preset criteria. readerboarda listing of meetings taking place at the hotel. Often posted throughout the facility and available on in-room closed-circuit TV channels. receivablesrevenue due to the hotel. receptive customerone who is more likely to be interested in a product or service than the general population due to personal interest or need. referral organizationan association of nonchain affiliated hotels who pool marketing and other resources for mutual benefit. registration carda preprinted card that summarizes

much of the information contained in the guest registration menu of PMS. It is used to verify the accuracy of the information. remote check-inusing signage identifying a group, a separate table is set up to accommodate the arrivals and check guests into the hotel; sometimes referred to as satellite check-in. reservation avenuea means by which a guest is able to make a reservation at a hotel. reservation carda preprinted form that group guests would fill out to make reservations. reservations mapused to determine what types of rooms are available and when they are available. resident managerin charge of all rooms-related functions. rev-parrevenue per available room. revenue sourceis the result of a product or service a hotel makes available to guests for a price. rightful market sharereveals how much of  the total market potential is made up by its own individual potential. ROIreturn on investment. room costcalculation of fixed costs a hotel incurs in preparing a room for sale. Room cost is incurred whether the room is sold or not. room designationidentifies whether the sleeping room is a smoking or non-smoking room. room rackprior to the integration of PMS systems, hotel rooms were laid out behind the front desk in a room rack. The room rack would identify each room type and configuration at a glance. room ratethe price of hotel accommodation units. room rate designationthe term used to specify the rate threshold within the overall structure. room rate posting reportgenerated for inclusion into the night audit report that verifies the rates for all the rooms within the hotel occupied nightly for management review. room status codedescribes a guest rooms readiness for occupancy by combining both occupancy and cleanliness information. room status reconciliationensuring that

rooms are properly designated by their current status, and assigned a new status as it changes. room preferencesdefined as the individual guests choice of room type, configuration, and designation. room typesbased on the intended number of  occupants. rooming a guestescorting a guest to the room. rooms controllerreservations employee tasked to block rooms for arriving group and transient guests. rooms inspectorperson assigned to a group of  eight housekeepers to inspect the cleanliness of  guest rooms at random. routingthe process where credits/debits incurred by one account are manually or automatically transferred to another account. run of house (ROH)another way of describing the standard sleeping room configuration. S seasonalityterm used to define the time of year when a special attraction is open or at its peak level. (Terms also used to describe seasonality are in season and off-season.) sectionthe assignment of rooms to an individual housekeeper. series groupsgroups who book several programs at one time. service levelis measured by the amount of  actual and perceived consideration a guest can reasonably expect to receive. service mission statementserves as the rule and/or goal of the guest service philosophy of a hotel. sign all charges (SAC)this billing arrangement allows for each member of a group to sign all their charges to the group. The group will pay for everything. sign room and tax (SRT)this arrangement allows for the group to pay the room and tax charges for the attendees. The guest is responsible for their incidentals. signature attractionshotel features that are unique to the property.

single occupancyone occupant in a guest room. sleeping roomtraditionally the main product for sale at any hotel. slippagethe term used when analyzing the group room performance. It is the difference between what is contracted and what actually arrives. SMERFmarket segment encompassing the Social, Military, Educational, Religious, and Fraternal markets. soft goodseasily replaced and relatively inexpensive guest room items, such as bedspreads and draperies. special attractiona service or facility that attracts guests for a reason other than the hotel itself. standard configurationdefined as the room configuration that makes up the majority of the sleeping rooms at a particular hotel. state of cleanlinessa room status code describing a guest rooms cleanliness standing. Those states are (1) Dirty (applies to a room that has not been cleaned by housekeeping); (2) Clean (room has been cleaned but not yet inspected). state of exceptiona room status code describing the reason a guest room is not available for sale. That state is Out of Order (room was removed from inventory for a specific reason such as repairs or renovation). state of occupancya room status code describing a guest rooms occupancy standing. Those states are (1) Occupied (applies to a room that has been assigned to a guest and that guest has checked in; (2) Vacant (the guest has checked out of the room); (3) Ready (room is available for new occupancy). suburbana hotel location type identifying nonresort hotels that are not in the downtown or airport areas. suite configurationinvolves a larger room (in terms of square footage) than the standard configuration. T target ratean average rate goal a hotel sets to achieve for a certain day or market segment.

target marketa (combination of) market segment( s) the hotel wants to penetrate. tariff sheetdocument posted on the back of  guest room doors that indicates what the rack rate is for that particular room. 10x10 rulehas two parts. The first part states that a guest=s perception of the entire stay is, in large measure, instilled in the first 10 minutes upon arrival. The other part states that the front desk must greet a guest 10 feet before he/she approaches the front desk. total market potentialthe total number of  available hotel rooms within the competitive set. transient roomsrooms that originate from individual reservations. triple occupancythree occupants in a guest room. turnHousekeeping is said to turn a room when it goes through the act of cleaning and preparing it for resale. turndown servicethe process by which the guest room is made warm and inviting for the evening. U upgradesthe process of offering a better room type than initially reserved. upsellingthe ability to move a guest from a lower-priced product to a higher-priced product. USALIuniform system of accounts for the lodging industry. W walk-in reservationsmade by guests arriving unannounced at a hotel looking for rooms. walked reservationa guest who must stay at some location other than where they were initially booked to be. walkoutsthose who leave a hotel before properly settling their accounts. Y yield managementthe pricing strategy managed by a hotels reservations department. Because a hotel has a group base before the booking cycle starts, the reservations department can charge room rates based on how many rooms are available.

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