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 dayto-
day 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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