1. Management of Data-Generating Front Office Subsystems
Chapter 8
Management of Data-Generating Front Office Subsystems

2. Overview of Front Office Data Sub-Systems
Revenue-generating sub-systems
Non-revenue-generating sub-systems

3. Management of Interfaced Sub-System
Telephones
Recodable locks
Pay-per-view services
In-room vending
Point of Sale (POS) systems
Property-specific interfaces
Credit/T&E/debit card payments

4. Telephones
Auto-attendant: A system in which incoming calls transferred from the telephone system are answered automatically as they are received.
Automated Wake-up: A system in which guests (or front office staff) may use the hotel’s telephone system to program a pre-recorded call to be received in a guest’s room at a time requested by the guest.
Message on Hold: A system that eliminates the silence that occurs when guests are required to wait for their call to be picked up by the party the caller is attempting to reach.

5. Telephones Telephone systems can include:
Wireless and/or voice-over technology capability
Caller I.D.
Caller-auto call-back capability
Conference call capability
Telephone volume control
Speed-dialing
Call forwarding, hold, transfer, and “do not disturb”
Voice messaging

6. Telephones The call accounting system must:
Make a record of all incoming and outgoing calls
Choose the least cost method of sending outgoing calls
Maintain records of who will be charged for calls
Maintain records of how much should be charged for calls
Post appropriate telephone charges to the proper guest’s folio

7. Telephones
Smart Switch: A device that detects detailed information about the destination of a telephone call when it is made.
Least Cost Routing: A system using a pre-programmed, interfaced smart switch to select the telephone route that charges the least based upon a call’s specific destination.
Dial-up Internet: A method of Internet connection that utilizes a standard telephone and telephone call for connection to the worldwide-web.

8. Telephones
Call Records: A listing of the source, length, and destination of each call made within a hotel during a specific time period.
Local Call: A telephone call typically made within a small geographic area.
Long Distance Call: In general, a call made to a telephone extension located in an area code outside of the call’s originating area code.
International Call: A call made to a telephone extension located in a country code outside that of the call’s originating country code.

9. Telephones
IT: Short for “Information Technology”; a broad term used to identify areas of management related to the design and administration of computer-related hardware and software programs.
Move/Add/Change: The process of re-configuring or re-programming a call accounting system to, for example, move an extension from one location to another, add an additional extension, or change a line from one that posts charges for usage to one that does not.

10. Recodable Locks
Recodable Locking System: A hotel locking system designed so that, when a guest inserts a key card into a lock for the first time, it is immediately recoded, and entry authorization for the previous guest is cancelled.

11. Pay-per-View Services
These systems began by offering movies, but now they also allow access to pay-per-use:
Video games
Music
High-speed Internet access
Live sporting events
Concert broadcasts

12. In-Room Vending
E-fridge: A cabinet usually including both refrigerated and nonrefrigerated sections designed with an electronic processing unit that allows direct PMS interface.
Wi-Fi Certified: (Wireless Fidelity Certified) Refers to any products tested and approved as “Wi-Fi Certified” by the Wi-Fi Alliance and certified as interoperable with each other.
Hot Spot: A Wi-Fi area that allows for high-speed wireless Internet access or other data transmission.

13. Point of Sale System
POS: Short for “Point of Sale”; a location within the hotel (excluding the Front Desk) at which hotel goods and services are purchased. In many hotels, the POS is interfaced with the PMS.

14. Point of Sale System
POS Terminal: A computer system containing its own input and output components and, perhaps, some memory capacity without a central processing unit.
Used to record:
Name of the item(s) purchased
Quantity of item(s) purchased
Price of each item purchased
Total costs of all items purchased
Amount of applicable taxes (if any)
Total to be entered into the folio and to be collected from the guest at check-out

15. Property-Specific Interfaces
Most popular/common include:
Ski lift tickets
Green fees
Posting of charges related to the hotel’s:
Internet access
Health club
Spa/salon
Beauty shop
Barber shop
Florist

16. Credit/T&E/Debit Card Payments
Credit Card: A system by which banks loan money with interest to consumers as purchases are made. Merchants accepting the cards for payment are charged a fee by the banks for the charges made by their customers with the credit card.

17. Credit/T&E/Debit Card Payments
T&E Card: Short for Travel and Entertainment card; a payment system by which the card issuer collects full payment from the card users each month. The card companies do not typically assess interest charges to consumers. Instead, they rely on fees collected from merchants accepting the cards.

18. Credit/T&E/Debit Card Payments
Debit Card: A payment system in which money collected by a merchant (hotel) is automatically (electronically) deposited into the merchant’s local bank account. As with bank and T&E cards, merchants accepting the cards are assessed a fee for the right to do so.

19. Credit/T&E/Debit Card Payments
Smart Card: Payment card in which user information such as demographics, purchase history, and product preferences is contained within a computerized “chip” imbedded in the card.
Merchant Service Provider (MSP): An entity that, for a fee, manages payment card acceptance and funds collection for businesses (hotels).

20. Credit/T&E/Debit Card Payments
Discount Fee: The amount (percentage) payment card issuers charge merchants for the right to accept their cards. Discount fees may range from 1-5% of a consumer’s total purchase.
Electronic Funds Transfer (EFT): The electronic movement of money from one bank account to another.

21. Management of Non-Interfaced Sub-Systems
Telephones:
Messages
Wake-up calls
Internet access
Pay-per-view (in-room)
In-room vending
POS systems
Guest laundry
Credit/T&E/debit card payments
Holds

22. Management of Non-Interfaced Sub-Systems
Back office accounting
Reasons for not interfacing with PMS include:
Multi-brand ownership
Financial confidentiality from external-hotel entities
Financial confidentiality from internal-hotel entities

23. Management of Non-Interfaced Sub-Systems
Centralized Accounting System: A financial management system that collects accounting data from one or more hotels and then combines and analyzes the data at a different (central) site.
Decentralized Accounting System: A financial management system that collects accounting data from an individual hotel site and combines and analyzes that data at that same site.