H04FO01 - Functions of Front Office department

This module on functions of front office department will enable the learners to

understand the different sections of the front office department

describe the meticulous task of employees at the front desk operations

INTRODUCTION

The front office is part of a larger division called accommodation or room division

headed by a director accommodation division and has many other services that support

guest stay. These include services such as bell desk, concierge, telecommunications,

cashiering, housekeeping, engineering, information technology, laundry and business

centre. Small hotels may call the front office as simply “Hotel Reception” that reports

directly to the general manager and manages all functions of front office as small team.

The front office as the name suggests is the first and last point of a contact for a guest and

its unique roles are to:

1) sell hotel rooms through systematic methods of reservations as revenues from the sale

of rooms contribute to fifty percent or more to a hotel’s profit.

2) register guest and assign rooms to them.

3) create the image of the property as it is the first and as well the last point of guest

contacts with the hotel

Items Description of Module

Subject Name Home Science

Paper Name Front Office and House Keeping

Module Name Functions of Front Office department

Module ID H04FO01

Pre-requisites Front office departments

Objectives This module on functions of front office department will enable the learners to

understand the tasks performed by the staff at the front office department and

describe the meticulous task of employees at the front desk operations

Keywords Bell boys, telecommunication, paging, concierge

1. FUNCTIONS OF FRONT OFFICE DEPARTMENT

The essential functions of the front office department are to

1. Sell rooms

2. Reserve rooms for guests prior to their arrival

3. Register guests into the hotel.

4. Assign rooms

5. Co-ordinate with other services of the hotel

6. Control guest room keys

7. Provide in-house and external information to guests

8. Maintain guest accounts and settle their bills accurately

To fulfill these responsibilities the front office is divided into different sections each with

distinct roles. These sections are :

Reservation

Reception

Telecommunication

Mail and Information service

Guest Relation desk

Uniformed Services – Lobby desk, concierge, bell desk

Transport Section

Foreign currency exchange

Safe deposit lockers

Security Services

Accounting

2. RESERVATION

Most hotel bookings are made through reservations because travelers come from

outstation. Very few would be “walk in” guests without prior reservations. Large chain

may have its own centralised reservations system which is a single point where all

reservations of the chain are made while independent hotels may subscribe to an

international reservations system that is open to any hotel who subscribes to it.

2.1 THE PRINCIPLE ROLE OF RESERVATIONS IS TO

1.Book room in advance

2. Maximise the sale of rooms

3. Process properly document store and retrieve reservations information’s from

various sources to ensure a guest gets the room at the time of arrival.

4. Up sell rooms to the extra cost and earn high revenue

5. Work closely with sales of marketing division to ensure that room sales are

maximized.

2.2 RECEPTION

The receptionist registers guest and assign rooms. The main tasks of reception are

to

1. welcome guests on behalf of the hotel.

2. Complete registration formalities especially the billing information for the

cashier to process during a guest stay and upon him or her leaving the hotel.

3. Reception must issue keys and receive them back after a guest stay.

4. Be the constant source of guest information mail and messaging.

5. Multi task in small hotels.

2.3 TELECOMMUNICATION

Telecommunication section is usually near the reception section and is normally

involved in operating incoming and outgoing calls of the hotel. It is of a paramount

importance as the operator attends the call promptly and link with appropriate

departments for the requested service by the guest.

1) Make local and international calls directly onto on-line guest office rooms.

2) Post call charges automatically directly into guest folio accounts

3) Play an important role in the case of fire and keep the hotel connected within

and outside the hotel in case of emergency.

4). Have message indicators or telephone instructions.

-Voice mail services

- caller ID

- Do Not Disturb

- Room to room connections

- Call waiting options

- Wake- up call and alarm systems.

2.4 MAIL AND INFORMATION

Handling mails, messages and information on behalf of a guest and the

hotel is an important responsibility of the staff. All incoming mails are divided into three

categories

1. Hotel mail , which is normally distributed to the departments concerned

2. Staff mail, which is generally put on a mail board through the personnel office

3. Guest mail, which consist of resident guest mail, past guest mail and future guest

mail

2.4.1 Mail for the resident guests

Letters should be placed in the key racks. If there are parcels that is bigger in size,

these have to be kept in appropriate places and a note has to be put on the key rack

and delivered to the guest when he comes to the room.

2.4.2 Mail for the past guests

Guests prior to departing are required to complete a mail forwarding card which

contains the address. This helps to redirect the mails to the given address in the

card

2.4.3Mail for the future guests

Details of the guest arrival data are obtained from the reservation file and this date

is written on the cover of the guest. A note is also recorded in the guest

registration file. The mail is then stored in a secured cup board and then given to

the guest on arrival.

2.5 GUEST RELATION DESK

The guest relations executive is the representative of the management that ensure

the comfort and convenience of all guests and is normally well groomed and is

personable.

The principal task of the Guest Relations Executive (GRE) is to

1.Attend to the comfort of VIP’s and other important guests

2. Provide internal PR to enhance the perception of the hotel in the guest eyes.

3. Maintain guest history cards either manually or electronically and respond to

the guest needs and behavior to a height of personalisation.

4. Co-ordinate well with the concierge in procuring city services like ticket

reservations, table reservations and so on.

2.6 UNIFORMED SERVICES

2.6.1 LOBBY DESK

The lobby manager is the representative of the General Manager at all times

during the day and night. These main tasks are to

1.Co-ordinate all guests services from a central point.

2. Handle all guest complaints and disputes

3.Interpret and safeguard house polices with guests.

4. Evict undesirable guest from the premises

5. Ensure proper baggage handling services to guest.

6. Ensure efficient transportation service to guest.

7. Maintain order in the lobby and

8. Be the sole representative of management at night.

2.6.2 CONCIERGE

The concierge was a castle door keeper who was responsible to ensure that guest

were properly roomed for the night. The concierge accompanied the travelling royalty

and provided them with security lodging arrangements and entertainments sites . His

main tasks are to

1. Provide information to guest about the city.

2. Facilitate guest acquire box office tickets.

3. Offer mail and messaging services.

2.6.3 BELL DESK

Its main tasks are to:

1. co-ordinate the movement of guest baggage this is a real challenges as the volume of

baggage during a single day is very large for busy hotel.

2. carry out errands for the guest and management within the hotel prescripts.

3. sell postage stamps.

2.7 TRANSPORT SECTION

It is common nowadays to see hotel’s transport waiting at airports for guests with

reservation at the property. This is a service for VIP’s and other important guests.These

transports may be owned by the hotel or leased or contracted out to transport companies.

As the drivers then become the first physical point of contact with the guests and hence

the drivers have to be knowledgeable about the hotel property.

2.8 FOREIGN CURRENCY EXCHANGE

Many hotels have a high proportion of overseas guests and have foreign currency

exchange service. Hotel exchanges the foreign currency for the local currency. Hotel

updates the currency exchange rates from reliable sources usually banks and transact

accordingly. Exchange rates of foreign currencies are to be displayed on a board with the

authorization number given to the hotel by Reserve Bank of India. It is important for the

staff in this section know the common currencies and procedure in handling foreign

currency.

While handling foreign currency, the cashier should

1. Check the current exchange rate

2. Issue a report to the guest and a copy at the desk quoting each transaction, guest

name, room nuber, passport number and the exchange rate

3. Arrange for the foreign currency to be banked on the following day on a separate

pay in slip as the exchange rates may vary for each currency everyday.

2.9 SAFE DEPOSIT LOCKERS

A hotel is liable for the loss of guests property while they stay and hence the

facilty of the safe deposit lockers are available. This is kept under the control of the

assistant front office manager in a safe place usually near to his cabin. The guest may

keep under lock and key the valuables such as passport, jewellery, currency and so on.

2.10 SECURITY

Security is the protection of all assets including hotel property and guest’s

property. Hotels have different types of security alerts which the front office staff should

know and give importance. The guest’s belongings in the hotel is important and hence a

safe key control systems must be adopted. These include the conventional key system and

the electronic key system.

2.10.1 CONVENTIONAL KEY SYSTEM

When a guest checks in, they are usually given a key card, key envelope by the

receptionists along with the room key. A hotel will often issue a room key to a room even

if there are more number of guests in a room. Duplicate keys must be kept separately and

the front desk staff should have a record of keys and that all keys are accounted and none

is missing. If the key is lost, it must be informed at the front desk immediately.

2.10.2 ELECTRONIC KEY SYSTEM

Most of the hotels now use the electronic key system. The keys are generated with

the master control at the front desk during check in. These keys are randomly coded and

the unique code is transmitted to the room lock. This key card is similar to a credit card

and also serves dual purpose as key and also power tag. The electrical based operations

in the room is activated only when the tag is inserted in the point. Thus saves electricity

and undesired use of the equipments in the room such as televisions, air conditioners and

so on. The key is active till the check out and is reprogrammed with another code for the

next check inn if the same room. Thus has a good control on the security aspects to guest

belongings in the room.

2.11. FRONT OFFICE ACCOUNTING

The objective of a hotel is to provide facilities and services for guests in

return for money, ultimately to make a profit, and to ensure that guest’s all bills are

properly settled, hotels need to have an accurate and constantly updated record of all

guest financial transactions.

Every staff in front office should learn the

1. main functions of accounts

2. different types of guest accounts

3. basic accounting cycle

4. procedure in maintaining accounts

5. posting of charges

6. credits to guest accounts

7. verification of posting

2.11.1 MAIN FUNCTIONS OF ACCOUNTS AND ITS SYSTEMS

Each and every day hotel engages in a large number of transactions with guests in

addition to using rooms, food and beverage services during their stay, such as laundry,

room service, business centre, telephone etc. on most occasions guests do not have to pay

for the services immediately after its use. Instead they may be provided with services on

credit and pay for it at the end of their stay during check out.

THE MAIN FUNCTIONS OF THE FRONT OFFICE ACCOUNTING SYSTEM IS TO

1. maintain an accurate and current record of all guest transactions.

2. provide an effective internal control by monitoring credit given to guests and

prevent fraudulent staff practices and

3. provide management information on department revenue.

2.11.2 SPECIFIC DUTIES OF A FRONT OFFICE CASHIER

1. prepare and compile guest accounts.

2. administer the safe deposits system

3. offer foreign currency exchange facility

2.11.3 TYPES OF ACCOUNTS MAINTAINED BY THE FRONT OFFICE

CASHIER

2.11.3.1. RESIDENT GUEST ACCOUNTS

Most of the accounts held by the front-office cahier are the resident guest accounts

which show the financial transactions with guests who have registered and currently

staying in the hotel. Some of the resident guest may have their accommodation charges

settled by their company or by travel agent and guest settle incidental expenses

themselves. In these situations the resident guest has to have two folios namely master

folio and incidental folio. Master folio is settled by the company or travel agent and an

incidental folio is settled by the guest.

2.11.3.2. CITY ACCOUNTS

City accounts are records of financial transactions between the hotel and

non-resident guests. Local business people who are not resident in the hotel but who use

the hotel facilities and services for entertainment or business meetings.

2.11.3.3. MANAGEMENT ACCOUNTS

Management accounts are expense accounts or allowances given by some

hotels to the executives and managers of the hotel. These accounts are used to

entertain guests or potential clients.

2.11.3.4 FRONT OFFICE ACCOUNTING CYCLE

The first important function of the front office accounting systems is to

maintain an accurate and up-to-date record of all the financial transactions between hotel

and a guest so that all outstanding accounts are settled without delay. From this, it can be

seen that the front office accounting process can be divided into three main phases

1. Creation of accounts

2. Maintenance of accounts

3. Settlement of accounts

1. CREATION OF ACCOUNTS

A guest account or folio is usually created immediately after the guest checks in.

Part of check-in-procedure is to enter the guest details into the computer which

automatically opens an account or to open a guest account manually. Credit limits or

house limits are often set which means the guests may not go beyond a pre-set amount to

their accounts.

2. MAINTENANCE OF ACCOUNTS

Once the guest account has been opened, all financial transactions between the

hotel and the guest will be recorded on the account. The act of recording the transactions

onto the guest account is called posting.

3. SETTLEMENT OF ACCOUNTS

The accounts are settled by cash and credit settlements. Cash settlements include

settlement by local currency, foreign currency, traveller’s cheques, personal cheques and

bank cards. Credit settlements include corporate or travel agent settlements.

CONCLUSION

The importance of delivering quality service in hotels is very much important and

is a much more important task of the front office department. Therefore the front office

department has to function round the clock with effective service for the guests. The

commitment of the staffs will directly benefit to the success of the hotel and gain a good

repute among the people. The review of the resources available in the hotel must be

considered to meet the objective of making profits by the hospitality to the guests.