The Front Office Management Simulation (FOMS) Chapter 15 The Front Office Management Simulation (FOMS)

Learning Objectives To explain the need for an effective front office management training tool and how the Pearson Higher Education Front Office Management Simulation (FOMS) fills that need. To describe the Revenue Management-related content of Lessons 1and 2 in the FOMS. To describe the Reservation Management-related content of Lessons 3 through 5 in the FOMS.

Learning Objectives To describe the Guest Stay Information-related content of Lessons 6 and 7 in the FOMS To describe the Guest Departure and Payment-related content of Lessons 8 and 9 in the FOMS To describe the Accounting and Financial Summaries-related content in Lessons 10 through 12 in the FOMS

Front Office Management Training Challenge 20 years ago it was fairly effective to use basic forms and visual illustrations of the reports utilized at the front office to help students learn about the kinds of management activities that occurred there. Today, however, the operation of the front office in all but the very smallest of hotels is highly (nearly 100%) automated.

The Front Office Management Simulation The FOMS authors have developed supplemental user guides for: The Instructor The Student

The Front Office Management Simulation Information for the Instructor Topic Area Lessons 1. Revenue Management 1-2 2. Reservation Management 3-5 3. Guest Stay Information 6-7 4. Guest Departure and Payment 8-9 5. Accounting and Financial Summaries 10-12

The Front Office Management Simulation Information for the Student

Revenue Management Lessons Enter Occupancy Forecast Data Lesson 1 Main: Estimate Future Rooms Revenue Lesson 1 Advanced: Manage Group Block Data Lesson 2 Main: Modify ADR Estimates Lesson 2 Advanced:

Revenue Management Lesson 1 Main: Enter Occupancy Forecast Forecast (rooms): An estimate of the number and type of rooms to be sold on specific future dates. Also referred to as a “demand” forecast or “occupancy” forecast.

Revenue Management Lesson 1 Advanced: Estimate Future Rooms Revenue Forecast (revenue): An estimate of the rooms revenue to be achieved on specific future dates.

Revenue Management Lesson 2 Main: Manage Group Block Data In this lesson students learn how to modify an occupancy forecast by entering information about group room sales into the forecast.

Revenue Management Lesson 2 Advanced: Modify ADR Estimates In this lesson, students learn how to develop an accurate rooms revenue forecast after they have modified ADR estimates based upon total room demand.

Reservation Management Lessons Make Individual Room Reservations Lesson 3 Main: Modify Individual Room Reservations Lesson 3 Advanced: Make Group “Master” Reservations Lesson 4 Main:

Reservation Management Lessons Modify Group “Master” Reservations Lesson 4 Advanced: Learn Revenue Management Principles Lesson 5 Main: Determine Room Rates to Be Charged Lesson 5 Advanced:

Reservation Management Lesson 3 Main: Make Individual Room Reservations In this lesson students learn and extensively practice the procedures front office agents use when making guest room reservations.

Reservation Management Lesson 3 Advanced: Modify Individual Room Reservations In this lesson students learn and practice the proper procedures for retrieving a reservation from the PMS and then modifying (or canceling) that reservation.

Reservation Management Lesson 4 Main: Make Group “Master” Reservations In this lesson students learn about and practice making group master reservations.

Reservation Management Lesson 4 Advanced: Modify Group “Master” Reservations In this simulation students learn how to modify group master reservations in the PMS

Reservation Management Lesson 5 Main: Learn Revenue Management Principles In this lesson students will learn how and why hoteliers use demand for rooms (as measured by the number of reservations made) to determine their room rates.

Reservation Management Lesson 5 Advanced: Determine Room Rates to Be Charged In this simulation students apply what was learned in the previous lesson (Lesson 5 Main) to modify room rates to be charged on future selected dates, based upon the room demand levels forecasted for those dates.

Revenue Management Lesson 5 Advanced: Determine Room Rates to Be Charged Room Rate Strategies

Guest Stay Information Lessons Update Room Status Reports Lesson 6 Main: Schedule Room Attendants Lesson 6 Advanced: Assign Guests to Specific Rooms Lesson 7 Main: Make Alternate Room Assignments Lesson 7 Advanced:

Guest Stay Information Lesson 6 Main: Update Room Status Information In this lesson students learn how to read a housekeeping report and use the information in it to update guest room status in the PMS.

Guest Stay Information Lesson 6 Main: Update Room Status Information In this lesson students learn how to use that feature to schedule room attendants. Lesson 7 Main: Assign Guests to Specific Rooms In this lesson students learn how to assign arriving guests to their requested room types at the time of guest arrival.

Guest Stay Information Lesson 7 Advanced: Make Alternate Room Assignments In this lesson students practice the techniques front office agents use to assign arriving guests to “Ready and Vacant” rooms when the room type originally requested on the guest’s reservation in not available at the time of the guest’s arrive.

Guest Departure and Payment Lessons Post Folio Charges Lesson 8 Main: Adjust Folio Charges Lesson 8 Advanced: Split Charges and Close Folios Lesson 9 Main: Manage Payment Disputes Lesson 9 Advanced:

Guest Departure and Payment Lesson 8 Main: Post Folio Charges In this lesson students will learn how front office staff keeps in-house guests’ financial records up-to-date by manually posting (recording) transactions on the guests’ folios.

Guest Departure and Payment Lesson 8 Advanced: Adjust Folio Charges In this lesson, students learn how to use the PMS to modify the folio of a guest whose bill is to be adjusted. They will do so by: Retrieving the guest’s folio by referring to a list of In-House guests Choosing the appropriate guest folio Entering (posting) the correct amount of the adjustment

Guest Departure and Payment Lesson 9 Main: Split Charges and Close Folios In this lesson students learn how to close (accept full payment for) guest folios, and if needed, split guest charges among various hotel accounts when checking guests out of the hotel

Guest Departure and Payment Lesson 9 Advanced: Manage Payment Disputes In this lesson, students will learn about the techniques and actions front office agents should take when they encounter guests who dispute all or parts of the charges that appear on their folios.

Accounting and Financial Summaries Balance and Close Out a Shift Lesson 10 Main: Balance a Full Day’s Shift Reports Lesson 10 Advanced: Reconcile a Guest Ledger Lesson 11 Main:

Accounting and Financial Summaries Reconcile a City Ledger Lesson 11 Advanced: Complete a Manager’s Daily Lesson 12 Main: Assess Competitive Set Data Lesson 12 Advanced:

Accounting and Financial Summaries Lesson 10 Main: Balance and Close Out a Shift In this lesson students learn how to balance and close a single work shift; thus generating an accurate shift report.

Accounting and Financial Summaries Lesson 10 Advanced: Balance a Full Day’s Shift Reports In this lesson students learn how front office agents balance and summarize a full day’s financial transactions, thus generating a Full Day’s Shift Report.

Accounting and Financial Summaries Lesson 11 Main: Reconcile a Guest Ledger In this lesson students learn how a hotel’s Guest Ledger accurately maintains the purchases and payment transactions of its registered guests.

Accounting and Financial Summaries Lesson 11 Main: Reconcile a Guest Ledger Non-Guest Payments Non-Guest Accounts Receivables Non-Advanced Deposits Sales

Accounting and Financial Summaries Lesson 11 Main: Reconcile a City Ledger City Ledger: The set of accounts used to record charges to and payments from a hotel’s nonregistered guests; (for example, food or beverage purchases made by a person who is not a registered guest of the hotel).

Accounting and Financial Summaries Lesson 11 Main: Reconcile a City Ledger Non-Guest Payments Non-Guest Accounts Receivables Non-Advanced Deposits Sales

Accounting and Financial Summaries Lesson 12 Main: Complete A Manager’s Daily In this lesson students will apply what they have learned about hotel operations by inserting missing data into (and thus completing) a Manager’s Daily report.

Accounting and Financial Summaries Lesson 12 Advanced: Assess Competitive Set Data In this FOMS lesson students will learn about, and demonstrate understanding of, the following concepts: Competitive Sets ADR Index Occupancy Index RevPAR Index

Front Office Management Simulation (FOMS) Your Resume Successfully completed the Pearson Higher Education Front Office Management Simulation (FOMS) training program.