SYSTEM USE IN THE INDUSTRY

POS ( POINT-OF-SALE) SERVICES

Point of sale (POS), a vital aspect of a point of purchase, refers to the location where the payment for the production of
service is executed by a buyer and where sales taxes maybe payable. It may be in physical store where card payment or
virtual sales point such as computer or mobile electronic device, are processed using POS terminal and systems.

Point of sale are important priority for marketers because at these strategic sites, customers prefer to make buying
decision on high -margins good or service. Traditional, when consumers depart, companies set up POSs near Store exist
to maximize the rate of impulse purchase.

WHY is POS System useful? n

 Using the POS system can have a positive effect on your business

It enables you to have greater control over the operation of your company. You know exactly what items you sell on a
daily or monthly basis with a POS system, how many products are in the warehouse or how much you have made.

 It allows doing better analytical thinking and planning.

For instance, the POS framework makes it easier to keep track of your inventory, to identify and evaluate movements and
patterns in sales processes, to analyze your sales reports and other data to more accurately predict future trends and the
requirements of your business.

 It allows you to increase your business efficiency.

The POS method saves more time when handling the company's paperwork. It makes it very easy to handle bills and
orders, sales figures or reports. In addition to the office climate, the POS system, thanks to various POS features such as
bar code scanners or credit card terminals, also improves the productivity of the regular sales environment.

 It allows you to make personal client communication more efficient.

As a POS device, collecting the contact details of your best customers at the same time as the complete their transaction
makes it really simple. In order to create personal offers and improve personal customer contact, this information is
valuable.

Types of POS

1. Restaurant POS System

Accepting cash and credit card payment is the key reason you need a point of sale for restaurant. You need to be
able to monitor all your financial and tax details in addition to collecting payment. In order to track your transaction by
date, time, and form most restaurant POS have reporting features built-in

2. Bar & Nightclub POS Systems

Pre-authorization of payments and liquor inventory monitoring are key features in bar software. Speed functions
like reordering rounds, easy checkout, and 24/7 support are critical. Reporting includes revenue, inventory, sales, tax
reports, and labor costs. Employee management, inventory, customer loyalty, recipes, and fast checkout are important for
bar point of sale apps. Reporting helps track taxes on food and beverages, labor costs, and revenue statistics. Online
access may be needed for labor costs and revenue statistics.

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3. Retail POS Systems

Systems for retail point of purchase (POP) are mainly for retail environments. You won't use a retail store's
restaurant program and vice versa. Some apps claim to be cross-platform, but that doesn't mean you can use them. Retail
companies have unique criteria and features. They include matrixing of color and scale, inventory monitoring, staff
commissions, gift registry, customer database, layaway, and purchase orders.

Here's a summary of the top features a retail POS should offer your company:

Credit card processing Product variants Hardware integrations

Inventory tracking Employee commissions Software customization
Multi-store scalability if you have Customer database Software/hardware support
or plan on having multiple
locations) Gift registry and layaways Mobile and cloud-based
technology like barcode
Color and size matrixing Purchase orders scanners and digital scales
Sales reporting

4. Small Business POS Systems

A small business POS system can vary in shapes, sizes, and flavors. Search online for small business POS systems and
find yourself in a battle over the latest products. Most new small business technology is app-based and on mobile
platforms. An iPad or tablet is suitable for small retail stores, restaurants, yogurt shops, boutiques, cafes, or coffee shops.
These places require quality features and functions that a cash register may not provide.

5. Cloud and Mobile POS Systems

A POS cloud-based framework is a point of sale platform that stores cloud data. Usually, cloud-based systems don't
record much data on your terminal computer. Alternatively, all information is stored in the cloud and synchronized through
different terminals. The terms cloud and mobile point of sale systems are sometimes used interchangeably. Cloud-based
software is generally on a tablet POS that's used on- premise. mPOS is a subcategory of cloud-based POS and is usually
an App on mobile devices like an iPad or Android tablet, and even on smartphones.

Here are a few of the advantages of a cloud or mPOS system:

 Access from anywhere - All your data is stored on a server in "the cloud," which means you always have access to
your data.

 Cost-effective - Cloud POS systems generally cost a monthly subscription fee without any contractual obligations -
this can remove the entry point for a quality system without spending thousands of dollars upfront for software
licensing.

 Easy to use - Tablet and mobile POS are easier to use because the staff is already familiar with using mobile
devices so that the learning curve can be shorter over the traditional point of sale machines and software.

 Software updates - Regular cloud updates can be pushed out to your App or online software, so you always have
the latest and most secure version of the program. Also, most cloud companies offer updates at no additional charge
as part of the service or support agreement.

 Quality support - Most mPOS companies offer support as part of your Saas (Software-as-a-Service) agreement. As
long as you're a paying customer, customer service should be included. 24/7/365 software support is the norm in the
tablet and mobile industry.

 Mobility - mPOS allows you to be "mobile" where you can accept orders and payments at a vendor show, or take
orders on the floor of your restaurant or retail store.

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6. Salon and Spa POS Systems

Nail salons, hair salons, and spas all require a particular set of POS options due to the nature of the business. Options
like the following are all vital to having:

 An online appointment calendar  Retail functionality,

 Appointment reminders  Inventory management,

 Customer database with details for a previous haircut  Online employee scheduling
or nail styles
 Employee management

Property Management Systems

Applications for the running of accommodation businesses are property management systems (PMS). A unified computer
system enables the day-to-day operations and transactions in hospitality accommodation and residential and commercial
rental properties to be coordinated, planned and carried out. It helps property owners, managers, and real estate
professionals monitor property ads, payment processing, maintenance of property, and more.

Most times, the terms are used interchangeably, but we agree that management systems for hotel property should be
differentiated from other applications for property management. Both PMS systems, but of different kinds, help handle
lodgings. For example, to administer schools, sports and athletic facilities, community gardens, and parks, even local
councils may use PMS. PMS solutions for hotels cater primarily to hotel owners and operators, motels, hostels, resorts,
and the like. Hotel PMS end-customers are also different from rental tenants and have different requirements that should
be met by the app.

A hotel PMS has historically been regarded as a software that helps hotel companies to maximize their front-office
capabilities by replacing time-consuming, paper and spreadsheet-heavy processes. These PMS solutions helped with
tasks like reservations, guest check-in/check-out, room assignment, room rates management, and billing. A lot of
hardware that was operated on-site was also needed.

What is the role of PMS systems nowadays in the hospitality industry? The focus remains the automation of traditional
front-office and administrative activities. The essential modules of reservation, front-desk operations and housekeeping
include all hotel PMS. In addition, modern hotel PMS solutions offer a variety of features that enable the delivery of
perfectly tailored guest experiences.

The Features of Hotel PMS Systems

In a single piece of software, a modern PMS incorporates several work environments. The combination of modules in a
system and features inside a module can differ depending on the operating software software provider. However, at a
minimum, the following tasks should be handled by robust hotel

Front-desk Operations

Allows guests to be checked in and out, key cards issued, room allocation monitored, room-related requests handled,
payments processed and guest receipts issued, night and shift audits carried out, and more in one safe system. Up-to-
date information on both existing and future reservations can be obtained by front-office employees. The system should
also make adjusting bookings, e.g., changing a room or date, reasonably simple. The changes should take place
immediately and be mirrored by other modules. Reservations management.

For the website booking engine and other distribution networks, the reservation service containing all inventory
information and dates should be incorporated. The existing and upcoming hotel management reservations are shown on
easy and user-friendly dashboards. They can check the availability and status of rooms, keep track of bookings and
visitors, and transfer them around as appropriate. The booking features should make it easy to handle room reservations,
discounts, inventory and allocation of space, and accept online payments.

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An easy and intuitive user interface enables travelers to quickly book rooms, obtain confirmation by email, securely pay
for their space, and easily self-check-in. Reservations for large groups, gatherings, incentives, conferences, and exhibits,
activity booking, and incorporating hotel amenity packages should be permitted by a good hotel PMS. Ideally, mobile
bookings should also be sponsored.

A central reservation system or booking portal may be part of or may be introduced independently from, the hotel PMS.
The PMS should be able to integrate with the current reservation system in the latter case.

Sales & Catering System

For contact management, contract creation, group room blocks and public space holdings, your group sales are likely to
use some type of software. Convention services may use the same software to assist the setup team with the layout and
equipment needs of the meeting room. When prospecting for new or repeat companies, the data being collected is a key
source.

PMS, POS, spa and even call accounting systems will rely on most discussions about hotel revenue systems. These
traditional systems are where most of sales transactions take place. It takes a substantial investment of time to configure
these systems so that each transaction ends up on the correct revenue line of the financial statement.

In order to develop the terms of a contract for guestrooms, meeting space and banquet activities, sales managers use the
application. The parties sign a legally enforceable contract after the terms have been agreed upon. The catering and
conference services staff will collaborate with the meeting manager to review all the fine details of the event as the event
gets closer. For each of these, this involves final menus, audiovisual needs, special considerations and costs.

Via an interface, room blocks and rates are transferred to the PMS. This, in essence, sets up the PMS to start accepting
group block reservations. Negotiated improvements made in the sales and catering system to the company block would
then update the same data in the PMS. The PMS is the record system for nights and income consumed in the room. Most
sales and catering systems have a two-way interface that allows information from the PMS to flow back from the actual
reservations made and subsequent rooms occupied to update the overall results for that party.

What about all the other revenue associated with the group that we will generate? How do we ensure that all the
information that have been settled upon are posted for payment to a master account?

The method of recording the information and creating a summarized banquet event order (BEO) and a printed banquet
check has mastered most of the sales and catering systems available today.

What happens next can differ according to property, but it is rarely an ideal solution.

Guest Management and Guest Accounting

To keep in touch with current and past guests during and after check-out, it is important for hoteliers to capture and
organize guest data. The CRM module must be integrated with the front desk and reservation system, gathering from
these sources all guest information. It helps to store guest data and offers a database in a format that is available. Also,
before and after their stay, it contains guest contact information. However, the PMS can integrate with it if a hotel already
has its own CRM system.

It will also assist with the coordination of marketing and promotions, guest experience assessment, and pre-and post-stay
services. The CRM module allows owners to tailor the experience of visitors with membership and loyalty programs that
are particularly essential for hotel chains and resorts.

Analytics and Reports

They rely on analytics to monitor current processes and understand business results. A PMS can serve as a platform for
business intelligence, gathering relevant data and delivering different kinds of automated reports to hoteliers. It can
produce night audit reports, room and tax reports, change audit reports, departure/arrival reports, housekeeping reports,
or other continuous reporting, depending on the program.

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FRONT OFFICE MANAGEMENT ( FOLIO SYSTEM)

Accounting section of any business or organization tracks, records, and manages the financial transactions of the
business with its customers and clients. The accounting department handles the financial health and tracks the
performance of any business directly. It is helpful for the management to take appropriate decisions.

When it comes to a hotel business, accounting is managing expenses and revenue. It provides a clear information to the
guests thereby avoiding any unpleasant surprises to the guests.

What is Front Office Accounting? It is a systematic process in which the front office accounting staff identifies, records,
measures classifies, verifies, summarizes, interprets, organizes, and communicates financial information for a hote
business. In the simplest form, a front office account resembles English alphabet 'Block-T'.

ACCOUNT NAME

CHARGES PAYMENT

In the domain domain of front office accounting, the charges are entered on the left side of the 'T'. They increase the
account balance. The payments are entered on the right side of the 'T'. They decrease the account balance.

Basic Front Office Accounting Formula

Net Outstanding Balance = Previous Balance + Debit - Credit
Where debit increases the outstanding balance and credit decreases it.
Most of the contemporary hotel businesses employ automated accounting system.

The objectives of accounting system are:

 To handle transactions between the guests and the hotel accurately.
 To track the transactions throughout the guest's occupancy.
 To monitor the guest’s credit limit
 To avoid possibility of any fraud
 To organize and report the transnational information

Types of Accounts

There are following typical accounts in hotel business dealing with customers -
Guest Account
Non-guest or City Account
Management Account

Difference Between Guest and City Account

Here are some prominent differences between a guest and a city account -

Guest Account City Account

It is the record of transaction between the guest and It is the record of financial transaction between the non-
hotel guest and hotel
It is created when a guest fails to settle the bill completely at
It is created at the time of reservation or registration
the time of check-out

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 It is maintain by the front office completely It is maintained by the account section in the back office.
It records financial dues not paid or partially paid by the
It Record all financial transaction of a guest from check-
guest at the time of check-out from the office to the back
in till check-out
office.
Guest account is compiled on a daily basis City account is compiled on monthly basis.

Management Account
Some hotels allow the managers to entertain the guests' queries or grievances, or any possibility of acquiring a business
deal over a brief interaction with the guests. For example, if a guest has some problem about the hotel policy, the
manager calls the guest for interaction over a coffee or a drink and tries to resolve the same. The expenses towards this
interaction are then recorded on the management account.

Folios and Types

A folio is a statement of all transaction that has taken place in a single account.

The front office staff records all the transactions between the guest and the hotel on the folio. The folio is opened with
zero initial balance. The balance in the folio then increases or decreases depending upon the transactions. At the time of
check-out, the folio balance must return to zero on settlement of payment.

Types of Folios
There are following major types of folios
• Guest - Assigned to charge for individual guests.
• Master - Assigned charge for group/organization.
• Non-guest - Assigned for non-resident guest.
• Employee - Assigned for hotel employee to charge against coffee shop privileges.

Postings and Types

The process of recording the entries on the folio is called 'Posting' of transactions. There are two basic types of postings
• Credit - They reduce the guest's outstanding balance. These entries include complete or partial payment, or
adjustments against tokens.
• Debit - They increase the outstanding balance in the guest account. Debit entries include charges under restaurant,
room-service, health center/spa, laundry, telephone, and transportation.

Vouchers and Types

Vouchers are detailed documentary evidences for a transaction. It transfers the transaction from its source to the front
office. Vouchers are used to notify the front office about guest's purchases or availing of any service at the hotel.

The following typical vouchers are used in the hotel

• Cash Receipt Voucher • Miscellaneous Charge Order (MCO)
• Allowance Voucher • Charge Voucher Paid-out Voucher (VPO)
• Commission Voucher • Petty Cash Voucher Transfer voucher

Ledger and Types

The ledgers are a group of accounts. There are two ledgers the front office handles
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• Guest ledger - A set of all guest accounts currently residing in the hotel.

• Non-guest ledger - A set of all unsettled, departed guest accounts.

There are two other types of ledgers used in the hotel. Both types of ledgers are used by back office accounting section
as given

 Receivable ledger - The back office accounting staff mails the bills and statements to the guests after their departure
without settling the bills and ensures the payments for services provided.

 Payable ledger - The staff handles amounts of money paid in advance on behalf of the guest to the hotel for future
consumption of goods and services.

Account Settlements

There are various issues regarding account settlement -

Orientation of Account Settlement

 By Guest - The guest settles own account by cash/credit card/cheque.

 By Organization - The organization settles guest account by transferring money to the hotel account.

Methods of Account Settlement

There are following popular methods of account settlement

Account Settlement in Local Currency - A guest can pay in terms of a local currency where the payment is not
chargeable with conversion fees.

Account Settlement in Foreign Currency - If the guest prefers to pay in foreign currency, the service of payment by the
bank is chargeable for around 3% to 6% of the total payable amount.

Account Settlement Using Traveler Check - Travelers' cheque, the pre-printed cheques in the denominations of major
world currencies are a good option to paying by cash.

Debit Card - Use of magnetic cards for payment against account is most common today. Paying by debit cards is as good
as paying by cash as the amount of money is instantly transferred from the guest's bank account into the hotel's bank
account. In case of credit card settlement, the accounting staff mails the charge vouchers signed by guests to the credit
card company; preferably within a specified time. The credit card company then settles the guest account by transferring
money against it.

Credit Settlement by Organization - Many national, international, private, or public organizations send their employees
or students for attending workshops, seminar, or meetings. Such organizations tie-up with the hotel for paying the bills of
their employees on credit. The organizations reserve accommodations depending on the number of room nights (number
of rooms x number of nights the representatives are expected to occupy). This is popularly known as account Settlement
using Direct Billing.

In direct billing account settlement, the front office staff verifies guest folios and transfers the guest account to non-
guest or city account. The hotel's back-office accounting verifies the guest folios and is responsible to collect the direct
billing amount from a direct billing agency such as embassy, university, or organizations.

The accounting section also notifies the guests that if the direct billing agency fails or refuses to pay the charges then the
guests need to settle the account by paying them from their pocket.

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Combined Account Settlement - A guest can settle account by paying partial amount in cash and remaining amount on
credit. The front office staff needs to prepare the supporting document for such kind of payment and hands it over to the
back-office accounts.

FOLIO PLUS MANAGEMENT SYSTEM

Folio Plus Hotel Management System is a hotel management software solution that takes care of all hotel marketing,
sales and operations. Folio Plus Hotel Management System is a modern generation of hotel software that includes an
impressive list of features that optimize sales and marketing, spaces, food and drink, finance, and general services
operations.

Folio + addresses the requirements of hospitality employees and managers in their daily operational requirements that
allow task automation. Folio+ manages the needs of hotel managers and staff on their daily task helping them achieve
optimum efficiency and productivity.

With every new construction and release, Folio+ has grown, making it even more robust. These updates are carried out
according to the developers' continuous improvements, as well as the suggestions and demands of customers. Folio
Cloud, a cloud-based hotel management system that provides unique features designed to provide hotel operations with
ease, comfort and greater productivity.

Version

There are two Folio+ versions, the desktop edition and the hotel management system based on the internet. Over the
years, the Laptop edition has been introduced in the Philippines for small and large hospitality firms. The web- based
version is currently being designed for release online in 2014. New features harboring the influence of web technology will
be added.

All the vital features of hospitality management are here. Automating hotel management operations such as room
reservations, room assignments, check-ins and check-outs for visitors, and other activities at the front desk. Folio Plus is
an all-in-one hospitality program that complies with hospitality industry market standards. Here are the division and
branches that are interested in the features of Folio Plus.

1. Sales and Marketing Division

2. Rooms Division • F & B Service • F& B Production

3. Finance Division

4. General Services Division

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Features

• Can generate accurate set of comprehensive reports.

• Can create a multi-user account with multiple roles and security permissions.

• Provides a seamless integration with common desktop utilities. Provides native data integration facility to SAP Financial
(Back Office).

• Built in with a Back-Up Schedule that saves all data in a specific date and time.

• It has a familiar Windows look-and-feel, revolutionary design and graphical data manipulation approach • After Sales
Support

• Affordability • Non-Stop Research and Development

• Tailored-Fit Software • High Standard of Ethics

• Lower Maintenance Cost • Security

• Local Support • Follow World Standard in Business Alignment

Folio Plus Hotel Management System improves flexibility and accuracy of charges posting as well as balancing
guest's accounts.

• Scalable - Multiple site support. In the case of multiple site property, you can define more than one hotel site in a single
application instance.

• Create Productivity - Provides the tools to help you run your operation at a greater level of productivity. It includes an
extensive guest management facility and comprehensive reporting features for in-depth operational analysis.

• SAP Integration - Provides native data integration facility to SAP Financials for direct posting of charges to guest's
account ledger.

Deployment

Usage guides and documentation are incorporated along with Folio Plus deployments and implementation to ensure that
end users have an easy understanding of the flow and process of the system, thereby increasing the understanding of the
operations as a whole.

Academe As part of their hospitality studies program, Folio+ was installed and used by numerous universities and
schools.

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