FRONT OFFICE OPERATIONS

FRONT OFFICE is a very important department in the hotel, making direct contact

with guests. The main function of this department is Reservation, Guest service, Check-
in, Check-out, Telephone, Finance & Cashiering, Foreign Exchange, Room
Assignment, Inquiry etc.
The Front Office is also called the nerve centre of a hotel. It can be defined as a front of the
housing department located around the foyer and the lobby area of a hospitality property. As
this department is located around the foyer area of the hotel and is visible to the guests,
patrons and visitors, they are collectively called “Front Office”.

Should guests have any problems or require to appreciate or comment, they would normally
go directly to the Front Office, because it is convenient to contact and converse with other
departments. Therefore, this department is the direct delegate to link the work and report the
consequence to other departments.

This department is one of the major operational and revenue-producing departments of the
hotel which generates two-thirds of the revenue earned by a hotel from the sale of the guest
rooms. It involves in providing valuable services to the guests during the entire guest
cycle consisting of Pre-arrival, Arrival, Occupancy and Departure.

Traditional Front Office functions include reservation, registration, room and rate

assignment, guest services, room status, maintenance and settlement of the guest account, and
creation of guest history records.

The Front Office develops and maintains a comprehensive database of guest information,
coordinates guest services, and ensures guest satisfaction. These functions are accomplished
by personal in diverse areas of Front Office Department.

The front office is also known as the face of the hotel. It is the first guest contact area and
also the nerve centre of the hotel. All the activities and areas of the front office are geared
towards supporting guest transaction and services.

OPERATIONAL FUNCTIONS OF THE DEPARTMENT

Guest Registration: Does all guest registration-related activities like Check-in, room

assignment, welcoming, room rate etc.

Guest Service: Fulfils any Guest Services related activities.

Guest History and records: Creates and maintains a guest profile, history, likes and dislikes,
collect feedback etc.

Guest Database: Develops & maintains a Comprehensive Database of Guest Information

Updates Room Status: responsible to update the correct room status like CI,
CO, DNCO, DND etc.

Reservation: This section is responsible in registering the room reservation from various

sources, with recordings, filing of reservation records, and revise on the appropriate time to
make sure that guests would have their rooms upon entering the hotel.

Postage and Parcels: This section is to facilitate guests pertaining to the posting of letters,
telegrams, and parcels.

Telephone: This section is to facilitate guests pertaining to the telephone both internally and
externally, and to wake guests up in the morning upon request.

Finance and Foreign Exchange: This section relates with the Accounting Department,
through the collection from guests through their services, and also give the foreign exchange
service.

Inquiry: This section is to answer questions and inquiries of guests. Therefore, this section
would have to be alert with all the movements of the hotel.

Bell Desk and Concierge: Provide all services related to Bell desk and Concierge.

STAFF ALLOCATIONS UNDER FRONT OFFICE

Front Desk Agent: Registers guests and maintains room availability information.

Cashier: Maintains and settles guest folios, and properly checks out guests.

Night Auditor: Controls the job of the Accounts Receivable Clerk and prepares daily reports
to management (ex: Occupancy Report and Revenue Report).

Mail & Information Clerk: Takes Messages, provides Directions to Guests, and maintains

Mail.

Telephone Operator: Manages the Switchboard and coordinates Wake-up Calls.

Reservation Agent: Responds to Reservation Requests and creates Reservation Records.

Uniformed Service Agent: Handles Guest Luggage, escorts Guests to their Rooms, and

assists guests for any bit of information requested.
KEY TERMS USED IN FRONT OFFICE DEPARTMENTS

American Plan (AP) - A billing arrangement under which room charges include the

guestroom and three meals, also called as full board / full pension.

European Plan (EP) - A billing arrangement under which meals are priced separately or
room only plan

Modified American Plan (MAP) - A billing arrangement under which the daily rate is
including room and two meals, generally Breakfast and dinner.

Continental Plan (CP) - One of the most common/preferred billing arrangement which

includes room and continental breakfast.

All-Inclusive (AI) - AI normally stands for all-inclusive rates i.e., rates which are inclusive
of all applicable taxes and service charge. E.g.: CPAI, MAPAI, APAI etc.

Rack Rate - The published tariff for each room type/category in a hotel.

Logbook - Located at reception containing instructions/information/ happenings/handover of

the day to know of.

Registration Card - A printed form for a registration record, in most countries, the guest's

signature on a registration card is required by law.

Reservation Status - An indicator of a room's long-term availability for assignment.

Room Rate - The price of hotel charges for overnight accommodations.

Skipper - A guest who leaves with no intention of paying for the room.

Scanty Baggage - A guest who checks in to the hotel with very less or no luggage.

Walk-in - A guest who arrives at a hotel without a reservation.

Walking - Turning away a guest who has a reservation because of a lack of room
availability.

Due outs - Guests expected to check out on a given day who have not yet done so.

Credit limit/house limit - A limit assigned by the hotel to guest or company accounts.

Upselling - A sales technique whereby a guest is offered a more expensive room than what
he or she reserved or originally requested, and then persuaded to rent the room based on the
room's features, benefits, and his or her needs.

Block - An agreed-upon number of rooms set aside for members of a group planning to stay

in a hotel.

Book - To sell or reserve rooms ahead of time.

Confirmation Number - A code that provides a unique reference to a reservation record and
assures the guest that the reservation record exists.

Confirmed Booking - When Reservation is guaranteed with a Credit card, Deposit,

Company / TA voucher etc.

Tentative Booking - When the reservation is waiting for bookers confirmation.

Waitlisted Booking - Reservation kept on hold due to the hotel is overbooked.

Cut-off date - The date agreed upon between a group and a hotel after which all unreserved
rooms in the group's block will be released back to the general availability.

Cancellation date - Indicates the date when the reservation was manually cancelled.

No-Show - A guest who made a room reservation but did not register or Check-in.

Long Stay - A Guest who stays more than a certain number of days, E.g.: More than 7 days
etc.

Overbooking - accepting more reservations than there are available rooms.

Wash down - Blocking fewer rooms than the number requested by a group, based on
previous group history.

Guest Cycle - A division of the flow of business through a hotel that identifies the physical
contacts and financial exchanges between the guests and the hotel.

Guest Folio - A form (paper or electronic) used to chart transactions on an account assigned

to an individual person or guest room.

Late Charge - A transaction requiring posting to a guest account that does not reach the front
office for posting before the guest had checked out or done the final settlement.

No Post - Special functionality on Property management systems (PMS) to activate a 'NO

post' on reservations this will stop any extra charges from other outlets or connected systems
to be charged to the guest room. Example a No Post flag can be activated for interfaces like
Telephone, Wi-Fi or Internet, Point of Sale (POS), SPA systems etc. 

Global Distribution System (GDS) - A distribution channel for reservations that provides

worldwide distribution of hotel reservation information and allows selling of hotel
reservations around the world, usually accomplished by connecting the hotel reservation
system with an airline reservation system (E.g. - Amadeus, Saber, Galileo/Apollo or World
span)

IDS - Internet Distribution System OR ADS - Alternate Distribution System - This refers

to Online Travel Agents like Agoda, Booking. com, Expedia etc. Additionally, your own
hotel's booking engine also comes under IDS. Any Channel Manager Like TravelClick,
SynXis, STAAH, Siteminder etc. is a tool which can handle these IDS or ADS channels.
PMS - Property Management System

POS - Point of Sale Systems (Used in Restaurants / Outlets)

TA - Travel Agent who receives the commission for the bookings.

OTA - Online Travel Agents

IDS - Internet Distribution System

Void - Reversal of Charges which was posted on the same day

Allowance - Reversal of charges which was posted before the current system / PMS date.

ACC - Accommodation Charges or Revenues related to Room.

F&B - Food and Beverage Charges or Revenues generated from Food and Beverage Outlets.

Misc. - Miscellaneous Charges, Like Paid out, Postage, Photocopy, Medicine, Courier etc.
come under Miscellaneous charges.

ARR - Average Rack Rate (Average Room Rate (ARR) = Total Room Revenue / Total
Rooms Sold)

ADR - Average Daily Rate (Average Daily Rate (ADR) = Total Room Revenue / Total
Rooms Sold)

AGR - The Average Rate Per Guest (Average Rate Per Guest= Total Room Revenue / Total
Number of guests)

APR - Average Guest Per Room (Average Guest Per Room = Total Amount of Guests /
Number of Rooms Sold)

DBR - Daily Business Report or DRR - Daily Revenue Report

Occ. Percentage - Hotel Occupancy Percentage or Occupancy Ratio Calculation 

Rev. Par - Revenue Per Available Rooms (RevPAR = Total Room Revenue / Total Number
of Available Rooms for sale)

TRevPOR - Total Revenue per Occupied Room (TRevPOR = (Room + F&B + Other

Revenue) / Total occupied rooms)

AF / RAF - Room Achivement Factor (Room Achievement Factor = Actual Average Rate /

Potential Average Rate) 

RRS - Room Rate Spread (Room Rate Spread = Potential Average Double Rate - Potential

Average Single Rate)
HotRevPAR - Hotel Revenue Per Available Room (HotRevPAR= (Room + F&B + Other
Revenue) / Total Available Rooms)

BELL DESK OPERATIONS

1) Luggage handling, 
2) Paging and Message Handling, 
3) Delivery of newspaper, 
4) Collection of Room Keys at departures, 
5) Miscellaneous Jobs- Left luggage /lost baggage service

RESERVATIONS

The term reservation is defined as ‘blocking a particular room type for a guest, for a definite
period of time, for a particular guest'. To ensure a safe and secure place to stay during their
visit to another town, guests generally prefer to make advance reservations in hotels and other
types of accommodation units.

A reservation, therefore, is this bilateral contract between a hotel and a guest, according to
which the hotel must provide the specified room type to the guest and the guest must agree to
pay all relevant charges. This is also known as a contract of booking or a confirmation
letter for the reservation.

A reservation, therefore, is this bilateral contract between a hotel and a guest, according to
which the hotel must provide the specified room type to the guest and the guest must agree to
pay all relevant charges. This is also known as a contract of booking or a confirmation
letter for the reservation.

IMPORTANCE OF THE RESERVATION DEPARTMENT FOR GUESTS

Ensures room on arrival - A guest who makes a prior reservation is ensured of the required
type of room, no of rooms for his entire stay in the city. This saves him from the difficulty of
finding accommodation on arrival especially during peak seasons when most of the hotels are
full.

Budgeting - As he is informed of the tariff at the time of reservation, he is able to budget his
holiday or tour, taking in account the amount he spends on his stay, food, entertainment etc.

Plan Holiday or Rooms - He is able to plan his holiday or tour without worrying about the
basic needs of accommodation and food. Any business trip, sightseeing tour or excursions
may be planned separately after fixing the accommodation.

Other facilities - The guest is ensured of certain facilities offered by the hotel which can be
confirmed by making the reservation e.g., sightseeing tours, a business centre offering
secretarial services, entertainment etc. He is also able to give the hotel address to his
associates for any meetings, correspondence transfers to and from the hotel.
IMPORTANCE OF THERESERVATIONS DEPARTMENT FOR HOTEL

Forecasting - Prior reservation gives the hotel an indication of the level of business likely to
be encountered during any particular period. The reservations manager knows the amount of
business ensured during that period from the confirmed reservations. It enables him
to forecast future revenue generation and take necessary action to improve the amount of
revenue expected.
Rate Floating - The reservation department make sure that the hotel's rates are available on
online and offline channels without any rate parity.
Availablity - The reservation department is also responsible to maintain the hotels available
on all online and offline channels.
Guest satisfaction - The hotel is able to plan its activities and be prepared to receive an
expected guest. They are able to provide the necessary services and facilities like security,
transfers, preference of rooms to known guests, providing complimentary and any particular
service asked by the guest at the time of making the reservation.
Planning - The front office manager is able to make the necessary decision regarding the no
of walk-instant that can be accommodated on a particular day. Rooms requiring be repairing
or taking off for redecoration can be blocked during the slack period as shown by the
reservations. The no of rooms to be blocked for such purposes will also be determined
according to the expected guest arrivals.
Scheduling of staff - Hotel staff may be scheduled more accurately to void understaffing or
overstaffing problems.

MODES OF RESERVATION

The mode of reservations tells the hotel management how the reservation has reached the
hotel. For example, a reservation request may reach the hotel through traditional methods like
a written mode such as letter, fax, telex or e-mail or through a verbal mode like telephone or
in-person etc. In this modern era, the majority of the reservation is via online modes like
website, OTA, mobile apps, social media etc.
1. Written Mode:
Letter - This mode is commonly used by travel agents, tour operators, companies and
corporate houses who send in their reservation request to the hotel on their company
letterheads. The hotel will make the reservation as per the details are given in the letter.
Fax - Fax or facsimile transmission uses electronic scanning technique to send copies of a
document over an ordinary telephone line over a special machine that prints identical copies
of the document. This makes it possible to send a reservation request instantaneously. Hotels
process the request as per details and send the confirmation letter to the guest.
Telex - or Tele Printer Exchange involves the use of specialized telephone lines, where
the message is communicated in a written form.
E-mail - The most common method of communication E-mail is an electronic mail that
makes it possible to contact the hotel instantaneously. The hotel will process the reservation
request on the basis of the details given. This mode of reservation is fast and very convenient.
2. Verbal Mode:
Reservation requests may also reach the hotel through verbal mode or oral communication
i.e., in person or over the telephone. The advantage of oral communication is that it generates
immediate response and feedback and is very fast and convenient. Additionally, the guest can
get complete information and clear any doubts through oral communication.
The disadvantage of the Verbal mode is that it does not provide a permanent record or
correspondence of the agreed booking terms and conditions.
In-Person- If an individual or a representative goes to the hotel to book rooms for future it is
termed as an In-Person reservation. When an individual comes to the hotel and requests a
room for the day it is termed as a Walk-In Reservation. The hotel processes the rooms
according to the details given by the guest and issues a confirmation number and a letter if
the reservation is made for future and assigns a room if the guest requests for one for the
same day.
Telephone- The most common method of direct reservation communications, a prospective
guest may telephone the hotel directly. The reservation assistant takes the information
sequentially as per the script. Most of the hotels these days have high-end systems that record
a call which can be used later on for training purpose.

3. Online Mode:
The online mode is the preferred mode of booking in this era of internet, web and mobile.
The main advantage of the online mode is that the hotels are always available for reservations
and generate an instant confirmation voucher as per the real-time availability.
Other advantages with the online mode are that the hotel can also ask the guests to make a
prepayment for the reservations well in advance and reduce the chance of no-shows.
Web: Guest making a booking via a web browser like hotels website or booking engine,
different online travel agent - OTA's, review sites like TripAdvisor etc.
Mobile App: Bookings delivered via hotels own or third-party mobile apps.
Social Media: Bookings made via different social media like facebook, twitter, Instagram
etc.
DIFFERENT BOOKING SOURCES OF RESERVATIONS

Personal approach: They may directly give their reservation to the hotel. They are also
termed as FITs (Free individual travellers) or chance guest. Those guests are also termed
as walk-in guests.
Travel agent: Travel agent acts as a middleman between guest and hotel by making a
reservation for a guest. A travel agent may make a reservation for FITs (Free individual
travellers) or chance guests.
Tour operator: These are wholesalers who coordinate with a different mode of
transportations, hotels, tour, associations, tourist offices etc.
Airlines: Different airlines book hotel rooms for their regular crew members or for their
clients in case of cancellation of their onward flights and also for the use of their executives.
Central reservation system: There are two basic types of central reservation system.
a) Affiliate network - An affiliate network is a hotel chains network where all individual
units are linked through the central network. Chain hotels link their operations to streamline
the processing of reservations and reduce overall system costs and at the same time, it also
allows the non-chain properties to join the system as overflow facilities. Overflow facilities
receive reservation requests only after all room availabilities in chain properties within a
geographic area are being exhausted
b) Non-affiliated network - A non-affiliated reservation system connects non-chain
properties and enables independent hotel operators to get the benefit of reservation which the
units of the chain get, and this system also takes care of the advertising of the properties.
Global Distribution System (GDS): Most modem hotel central reservation systems, whether
they are affiliate or non-affiliate reservation network connection with one of the global
distribution systems (GDS). The largest and the best known GDSs include SABRE, Galileo
International, Amadeus and Worldspan (Travelport). GDSs provide worldwide distribution of
hotel reservation information and allow selling of hotel reservations around the world.
Companies/corporate houses: The companies may book rooms or other services for their
visitors, executives, delegators or clients in a hotel at special rates.
Embassies/consulate offices: They provide large business in capital cities for their visiting
dignitaries, executive, officers etc
NGOs/INGOs: These group book hotel rooms directly for conducting seminars, research,
training programmes etc.
Universities and other educational institutions: These are also good of reservation
students’ associations. professors, technicians and employees are the reliable sources to the
hotel.
Government Office and Ministries: They can be a good source of reservation of rooms for
several visiting dignitaries, executive, officers from different countries to participate
conference and seminars conducted and hosted by government officials.
Inter-sell agencies: They are two or more business organisations, like Airline and Hotels,
promoting each other’s business for mutual gain. Hotels and car rental companies may also
be inter-sell partners.
Referral groups: They are an informal or sometimes formal association of hotels who refer
guests to each other in case of sold-out status or if a guest is travelling to another city where
the hotel does not have a branch.
Online: Bookings made directly via hotels website, social media, chat widget on the hotel
website, instant messaging platforms like Whatsapp, Facebook Messenger etc.

DIFFERENT STAGES OF RESERVATION PROCESS

1. Identification of the sources of business:

The hotel normally identifies two major sources of business: Free Independent Travellers
(FIT) and associated Travellers (Groups). The FIT component is simply a non-group
affiliate seeking overnight accommodations. Regardless of whether a request is made by an
individual, a family or a collection of friends, a request may still be termed as
FIT reservation if it meets certain qualifications.
When meeting groups, convention groups, and the like are seeking guest room space in the
hotel, these types of requests are referred to as group reservations. The groups are
differentiated from the FIT reservations based on 1.) Whether a group coordinator is
involved 2.) Whether the group will pick up some or all of its member’s charges 3.) Whether
special room rates, services and/or room types apply.
Group reservations typically require that a block of rooms (allocation) be initially reserved
for the group with a specific rooming list following at a later date. It should be noted that if a
group does not have all of its blocked rooms booked by a reasonable date, most hotels will
release the uncommitted rooms from the group’s block. FIT reservations, however, usually
allow for both blocking and booking to take place simultaneously. Regardless of its source of
business, a reservation request begins the hotel’s reservation process read more
about different source of reservation.
2. Communication with the Hotel:
There are numerous ways a hotel can learn about the guest’s request for available space. The
potential guest can connect with the hotel via a telephone, email, online, Social Media, other
devices or referral systems may all become important, communication links between the
sources of business and the hotel property.
It is important that the potential customer be aware of how to contact the hotel in order for
lodging management to maximise guest room sales. A property receives reservation inquiries
in a variety of ways. The reservation request may be made in person, over a telephone, in a
mail, via facsimile or telex, though the internet or online, social media, mobile apps, instant
messaging systems (Whatsapp, Telegram, Facebook Messenger) through a central
reservation system, global distribution system or through an inter sell agency.
3. Formulation of the reservation request:
Once a hotel is contacted by a guest about reserving space its staff must intelligently
formulate the reservation request and complete a reservation record. The reservation record is
the permanent file form used to store all the information pertinent to a specific reservation or
in current era creating a computerised reservation record in the hotel management software
or PMS.
In formulating the reservation request, the three most important factors are a) the expected
date of arrival and departure b) the desired room type c) the number of rooms needed. Using
this information, the hotel staff can search the room availability file via the designated arrival
date. If the date is not closed the reservation agent proceeds by checking room type and the
number of rooms available.
Along with this preliminary data, a reservation record will usually be judged complete when
it includes the following information:
 Guest’s Profile Data.
 Guest’s group/company affiliation.
 Arrival date and time and departure date.
 The number of nights.
 Number of Pax.
 Room type requested.
 The number of rooms required.
 Type of bed.
 Rate quoted / Rate Code.
 Date reservation received
 Reservation Status.
 Billing Instruction
 Pickup Details.
 Any other Details or special remarks.
 Source Code
 Market Code
4. Reservation Acceptance:
A reservation can either be accepted or denied or turned away based on the availability of
rooms in the day(s) in question. An acceptance would lead the receptionist into the
confirmation phase, while a denial or turn away could cause a series of other options to be
exercised like for example recording the turn away reason etc.
5. Confirmation notification:
The acceptance of the reservation is followed by a notification confirming the blocking of a
room or group of rooms. The reservation confirmation is sent to the booker or guest by email,
fax, SMS, social media or online chat (Instant messenger).
The confirmation establishes:
  A check on the entered reservation request data and satisfaction of the reservation
request.
 An agreement of room rates.
 An agreement of method of payment.
 A statement of the hotel’s cancellation procedure.
6. Modification and pre-arrival activity:
Once the reservation has been accepted and confirmed many changes to reservation record
can occur prior to the guest’s arrival. Changes in the arrival or departure dates, number of
rooms required, adding pickup details, reconfirmation, updating deposit status, number of pax
and outright cancellations are examples of common pre-arrival activities. Any time a change
in a reservation record is required, the reservation record must be pulled and updated
according to the guest request to keep the reservation-related data up to date.
Also searching and retrieving the correct reservation record for any modification and
cancellation request is crucial to an effective reservation process. Also. while processing the
cancellation below details need to be updated on the reservation record for any future
reference.
 Caller Name.
 Caller contact details.
 Reason for Cancellation.
 Cancellation reference number.
 Date of Cancellation (Recorded automatically by the hotel software or enter
manually).
 User or Reservation Agent Name Who processed the cancellation (Recorded
automatically by the hotel software or enter manually).

FRONT OFFICE KPI INDICATORS

KPI  Formula
Average Room Rate (ARR) = Rooms
Average Room Rate (ARR/ADR)
Revenue / Number of rooms sold
Average Rate Per Guest= Total Room
Average Rate Per Guest (AGR)
Revenue / Total Number of guests
Bedroom occupancy rate = % of Number
Bedroom Occupancy Rate of rooms sold / Number of rooms
available x 100
Total Room Revenue / Total Number of
Revenue per Available Room
Available Rooms for sale
Total rooms department cost / Number of
Cost per Occupied Room
rooms sold
Single Room Revenue at
Potential Average Rate Single and Double Rate Published Tariff or Rack Rate / Number
of Rooms sold as singles
Room Achievement Factor AF (Rate Potential Actual Average Rate / Potential Average
Percentage) Rate
 % Rooms Payroll & Related expenses x
Labour Cost Ratio
100 / Room Revenue

FIXED AND VARIABLE COSTS OF THE HOTEL

The terms Variable costs and fixed costs in hotel operation is used to distinguish between
those costs that have direct relationship to Hotel occupancy and those that has no relation to
occupancy and business.
Fixed Costs: Fixed costs are normally not affected by changes in occupancy or sales volume.
They are said to have little direct relationship to the business volume because they do not
change significantly when the number of sales increases or decreases.
The term fixed should never be taken to mean static or unchanging, but merely to indicate
that any changes that may occur in such costs are related only indirectly or distantly to
changes in volume.
Examples of Fixed costs are:
 Land, Building Taxes to government.
 Wages to employees.
 Hotel employee’s health premium.
 Outsourced services contracted for fixed amount in a month e.g.: - security services.
 Yearly maintenance contract fees (AMC) for all equipment’s, machineries and Hotel
Management software's.
 Fixed internet, telephone plans.
 Advertising cost.
 Yearly external auditing cost.
 Payroll.
 Provision.
 In house moves / satellite TV.
 Music entertainment.
 Reservation expenses.
 Subscription - Newspaper, magazine etc.
 Human resources.
 Sales & marketing.
 Interest on loan.
 Other fixed charges etc.
Variable Costs: Variable costs are clearly related to hotel occupancy and business volume.
As business volume or occupancy increases, variable costs will increase; as hotel occupancy
decreases, variable costs should decrease as well. 
Examples of variable costs are:
 Food, beverages, housekeeping cleaning supplies.
 Flower arrangements.
 Guest room amenities.
 Guest room, restaurants and banquets linen.
 Banquet HVAC costs.
 Stationeries used in Front desk and restaurants.
 Chemicals for laundry and water treatment plants.
 T/A commission.
 Flower & decorations.
 Guest supplies -amenities.
 Guest relations.
 Laundry operations.
 Laundry Uniform.
 Printing supplies.
 Entertainment.
 Telephone & Fax.
 Transportation.
 Other operating supplies.
 Administration & General.
 Human resources.
 Sales & Marketing.
 Management Fees etc.

HOTEL CHECK – IN PROCESS

The hotel guest check-in procedure involves all stages from arrival of a guest to the issuance

of the room key to the guest; 1) Receiving and Registration 2) Allocation of the room 3)
Secure advance Payment 4) Information service 5) Complete the check-in formalities 6)
Open the guest folio.
In case of manual or semi-automated operation systems, the process begins as the guests
arrive at a hotel and are greeted by the front office staff, subsequent to which they complete
the registration formalities, and finally the guests are assigned rooms and issued the room key
by the front office personnel. In a fully automated system, the same activity is performed
automatically by self-service terminals located in the hotel lobby.
The procedure for normal check-in may be summarised in the following 6 stages:
Stage 1: Receiving and Registration
Receive the guest in front of the house
 Open the door and welcome the guest.
 The doorman informs the bell desk to pick-up the guest baggage.
 Bring the luggage and baggage into the lobby (Incase the bell desk team not available
then the doorman should assist with the baggage.)
 Escort the guest up to reception desk (usually done by the bellboy/porter)
 Provide welcome drink and welcome gift if any (Like Spice Garland, Spice box, Juice
etc.)
Receive the guests at the reception
 Welcome the guest promptly with a cheerful and pleasant smile.
 Address with the appropriate surname, if known.
 Request for the reservation details like guest last name, confirmation no., booking
source etc.
 Request for the guest id card or passport.
 Request for the guest business card.
Register the guest - Complete the registration card or register the guest
 Verify the information on the registration against the reservation ensuring the
accuracy of name, date, and payment mechanism.
 Stamp check-in time on the registration card.
 Show check-in in the hotel software/PMS.
 Carry out the final check of the registration card for the guest signature.
 Discuss room preference with guest as per the availability or select an available room
which is "ready to let” and allocate the room.
 Take a note of the expected departure details.
 Take note of the airport drop, any special request etc.
Stage 2: Allocation of the room
 Allocation of the room means assigning a vacant and ready (VR) room to the guest
for staying (if this was not done already).
 For repeat guest assign room as per the preference.
 In order to allocate a guest room, accurate room status information is required. For
this purpose, a room status board or room rack is kept in the reception.
 When the room has been allocated, the reception should; Block or code the room as
sold.
 Prepare key card of related room number by entering the arrival and departure date,
rate and offer it to the guest for signature.
 Give the room key to either the guest or the bellboy.
 Record guest arrival on daily arrival list.

Stage 3: Secure Advance Payment

 Advance payment should be done for security purpose. It is usually done by accepting
a cash deposit or taking a credit card.
 While handling advance deposit, whether cash/ cheque, always:
 Issue a receipt for cash/ cheque and record the payment in the guests ‘ledger.
 Accept credit card and evaluate for its credit limit and availability.
 Get the imprint of the card and obtain a guest signature.
 Get a pre-authorization (pre-auth) from the Credit Card company or EDC machine for
the required amount and record the same to the reservation.

Stage 4: Information Service

The receptionist is responsible for informing guest about the facilities and services offered by
the hotel. This helps the guest to familiarize about the hotel facilities and also to increase the
sale. At this point, the receptionist should.
 Acknowledge the guest about the hotel's activities, facilities, and service with
direction and location.
 Enquire if the guest requires a wake-up call. If so, record it correctly.

Stage 5: Complete the check-in formalities

After the check-in formalities are completed.
  The bellboy or the GRE should escort the guest up to the allocated room.
 Inform other departments and sections about the guest arrival by arrival notification
slip.

Stage 6: Open the guest folio

 Open guest bill/ folio/folder and clear any old bill copies.
 Record the key information for billing purpose (room rate, number of nights,
departure date and mode of payment).
 File the bill in the guests' folio box together with the completed registration card.

HOTEL NIGHT AUDIT PROCESS

The Front office Audit is usually referred as Night Audit because hotels generally perform it

during the late evening hours. Before the implementation of automated front office systems,
the most convenient time to perform the audit was during the late evening and early morning
hours, this helps the front office personal to work with minimal interruption and also most of
the hotel outlets and revenue centres are closed during this time.
The audit is a daily review of guest account transactions recorded against revenue centre
transactions. The routine helps guarantee the accuracy, reliability and thoroughness of front
office accounting.
Night audit is generally comprised with the below functions:
Shift Commencement:
 Taking the shift handover from the evening shift.
 Counting and tallying the cash float.
 Printing essential Shift reports.
 Opening the Night audit Cashier.
 Reading the Logbook and also listing down any pending tasks / follow ups from the
evening shifts.
 Look for any uncleared traces for the day and take necessary actions.
Balance Food and Beverage outlets:
 The Outlets will close their day, hand over the Check copy and drop the cash
collection at front desk.
 Print the Outlet wise sale report from the Front office software (PMS) and tally /
balance the revenues with similar report from the Point of Sale (POS) software. This
will ensure that all revenues generated at the POS has been captured by the PMS.
  If there are any missing checks then the same has to be posted manually, like wise any
duplicate postings has to be voided.
 Tally the cash posting in PMS and print the cash receipt for the dropping done by
restaurant team.
 Check if there is any Tips for the restaurant staff on credit card, Handover the same
after making the corresponding paidout entry on the system.
 Once all restaurants had dropped their cash check out the Payment Master room (PM)
for Cash, Credit Card and City Ledger. (E.g.: 9001, 9010, 9015 etc.)
 Check the lost posting PM to see if there is any lost interface posting lying on
the folio. 
 Check-out the Lost posting PM room after taking any corrective / allowance.
Audit and keep things ready for the End of Day:
 Keep the duplicate copy of restaurant checks sorted according to the floor number /
Room number and place them on to the respective room’s folders / slots.
 Print the Payment made today by all Method of Payments (Cash, Credit card, Bill to
Company etc.) and tally the same with corresponding payment for the day.
 Take out all Invoice generated for the day and Tick mark net to the amount on the
'Payment report' for the day to indicate that payment type and the amount appearing
on the folio is matching with the amount and type on the report.
 Reconcile all Bill to company settlement for the day and make sure that the
corresponding billing letter and copy of the restaurant checks are attached to the same.
Print Reports for all interfaces from PMS:
 Posting report for Telephone postings.
 Posting report for Internet postings.
 Posting report for In Room Movie rentals.
 Refer the server report for all the above interfaces and tally the revenue with those
posted on the PMS.
 Circle the last transaction to verify and also to ensure that the last charges have posted
in the evening and not stopped sometime during the day.
 Reconcile all posting these must balance guest accounts.
 Sign all the posting reports.
Log all Vacant Rooms, resolve room status and discrepancies.
Count the Key's in the slot (For hotels using Manual Metal keys)
Check the Rate check report / Rate variance report:
 Make sure that the correct room rate is entered on to the reservations.
  Any Zero rate rooms to be investigated and identified for Sharer, Complementary,
House user or PM rooms.
 Investigate all Rate discrepancy.
 Check for correct assignment for Market and source segments to the reservation.
 Verify all correct by ticking or highlighting both the rate and the reservation / billing
instructions.
 Sign off on the report once completed.
Balance Credit Cards:
 Print the 'Payment report only Credit Card' report from PMS.
 Perform the Batch closing on all EDC / CCD machines.
 Compare the settlements on the Batch close report with the 'Credit Card' report
printed from PMS.
 Place a tick next to the amount of the report to indicate that paperwork is in order and
complete.
 Do this for ALL payments made today. All paperwork must be filed in order of the
report.
 Please ensure the end of day credit card terminal docket says settlement successful.
 Complete the Credit Card Reconciliation Form.
 Both PMS and credit card MUST balance to each other.
 Complete settlement on all the credit card terminals – after midnight
Check Pending Arrivals:
 Check all pending arrivals left.
 Show check in for those rooms which has been prepaid or has a guaranteed payment
form agent or Company.
 All non-arrivals that have not been prepaid need to be processed as a no-show during
EOD.
Check Pending departures:
 Review pending departures.
 If there are any departures left cross check the same with the bell boy errand card for
departures to make sure that the room has departed. And show check out for the same
on the system.
Balance Cash:
 Retrieve the Payments as at now sorted by MOP printed earlier
 Verify all cash drops
  Balance any paid outs from same or previous days
 Prepare deposit slip and express banking bag for net cash and cheques
Cash Register closure:
 Cash Register / Cash register closure. You must ensure all cash registers are closed
(the only way to do this is to ensure you have all the cash register closure reports).
 You must ensure that there are no outstanding departures/arrivals (including group
masters).
 Print Shift Reports before closure.
 Ensure that all postings are accounted for.
 Close Cash Register.
 Sign on the report printed while closing cash register.
Pre-Endof Day Final Check:
 ALL Cash registers are CLOSED (reopen and close all registers to ensure they are
closed)
 There are NO departures still to depart.
 There are NO non-guaranteed arrivals still to arrive (including group masters). 
 Check if there is a printer connected with enough paper loaded on to the computer
you are running the EOD on.
 Log out all computers except the one on which the EOD will be performed.
 Inform all outlets to not to settle any checks till the time the EOD is completed.
Start End of Day / Night Audit Process on the Front office software.
 
After EOD Process is completed:
 Print Newspapers Report and complete daily newspaper order form. 
 Hand over the Newspaper report to the Bell Desk team.
 Report set to be printed for General Manager and all HOD's.
 Re check-in all PM rooms for the POS postings (Cash, Credit Card, City Ledger, Lost
posting)

BILLINGS TERMS USED IN FRONT OFFICE

Short Code Description
   
BD   Bill Direct
BTC   Bill To the company
WIFI   Internet
LNDRY   Laundry
POA   Pay Own Account
PREPAID   Pre-Payment is done
CTC   Charge to Company
CTA   Charge to Travel Agent
CTCC   Charge to Credit Card
BTTA   Bill to Travel Agent
RD   Rest Direct
DPMT   Direct Payment
CC   Credit Card
TEL   Telephone Calls
TRNSFR   Airport Transfer
ALLCHGS   All charges to
DEP DUE   Deposit Due
COLVCHR   Collect voucher
RM   Room 
RM BTC   Room Bill to Company
RM BTTA RD   Room Bill to Travel Agent Rest Direct
BFST   Breakfast
MEALS   All meals
EB   Extra Bed
EP   European Plan
CP   Continental Plan
MAP   Modified American Plan
EBTC   Entire Bill to Company
RBTC   Room Only Bill to Company
LQ   Liquor
FD   Food
BV   Beverage
SM   Smokes
LD   Laundry