Hospitality Information Hospitality Information Systems and Systems and TechnologyTechnology

Back Office SystemsBack Office Systems

Systems Security & Systems Security & MaintenanceMaintenance

DowntimeDowntime

Back Office systemsBack Office systems

Generally consists of four typesGenerally consists of four types• Payroll/personnel systemsPayroll/personnel systems• Accounting systemsAccounting systems• Marketing systemsMarketing systems• Executive Information SystemsExecutive Information Systems

Payroll/Personnel SystemsPayroll/Personnel Systems

Usually starts with an electronic time Usually starts with an electronic time clockclock

Time clocks now allow easier Time clocks now allow easier transferring between departmentstransferring between departments

Have multiple ratesHave multiple rates Allow for instantaneous reporting of Allow for instantaneous reporting of

wageswages

Up to date reporting is importantUp to date reporting is important

Full service hotels generally spend 32% to Full service hotels generally spend 32% to 36% of revenue on direct labor36% of revenue on direct labor

Just reducing labor is not the answerJust reducing labor is not the answer Managing labor to make sure an Managing labor to make sure an

organization has the right amount on hand organization has the right amount on hand to provide the necessary level of serviceto provide the necessary level of service

Labor is often viewed purely from a cost Labor is often viewed purely from a cost standpoint – which can have negative standpoint – which can have negative impacts on guest satisfactionimpacts on guest satisfaction

Use Your ToolsUse Your Tools

Design a broader approach taking Design a broader approach taking into account these key areas of into account these key areas of impactimpact• Guest service levels and guest Guest service levels and guest

satisfactionsatisfaction• Internal service levelsInternal service levels• Employee satisfaction and retentionEmployee satisfaction and retention

Determine Your Objectives Up Determine Your Objectives Up FrontFront

Focus on:Focus on:• Cost reduction expectationsCost reduction expectations• Integration of service standardsIntegration of service standards• Impact on employee satisfaction / Impact on employee satisfaction /

retentionretention

Keep in mind the Keep in mind the following factors:following factors:

Executive sponsorship and supportExecutive sponsorship and support Review labor cost figures continually on a Review labor cost figures continually on a

departmental and classification basisdepartmental and classification basis Departmental benchmarkingDepartmental benchmarking Skill assessments and effective trainingSkill assessments and effective training It’s good for the employees – let them It’s good for the employees – let them

know itknow it Do it nowDo it now

Key to effective labor Key to effective labor management through uses management through uses of technologyof technology

Eliminates unnecessary work through Eliminates unnecessary work through processesprocesses

Helps organizational structures find Helps organizational structures find opportunities to improve effectivenessopportunities to improve effectiveness

Sets and monitors labor standardsSets and monitors labor standards Assists in forecasting & schedulingAssists in forecasting & scheduling Helps in analyzing dataHelps in analyzing data

Accounting SystemsAccounting Systems

The back bone of financial reportsThe back bone of financial reports Usually contains:Usually contains:

General ledgerGeneral ledger Statement of operationsStatement of operations Departmental statementsDepartmental statements Balance sheetsBalance sheets Accounts receivableAccounts receivable Accounts payableAccounts payable

Marketing SystemsMarketing Systems

Sales & Catering SystemsSales & Catering Systems Internet / Web SitesInternet / Web Sites

Executive Information Executive Information SystemsSystems

Gives management the ability to turn large Gives management the ability to turn large amounts of operating statistics & property data amounts of operating statistics & property data transactions into consolidated informationtransactions into consolidated information

Quick overviews for better, timely decisionsQuick overviews for better, timely decisions Can be important as revenue management, Can be important as revenue management,

guest satisfaction and properly targeted CRM guest satisfaction and properly targeted CRM marketing campaignsmarketing campaigns

Types of ReportsTypes of Reports

Daily Revenue ReportsDaily Revenue Reports ForecastingForecasting Payroll ManagementPayroll Management Consolidated ReportingConsolidated Reporting

Some Topics to Address in an EIS Some Topics to Address in an EIS SystemSystem

Infrastructure neededInfrastructure needed What level of approval and ROI is What level of approval and ROI is

needed to get the project rollingneeded to get the project rolling Any new emerging technology?Any new emerging technology? Maintaining your competitive Maintaining your competitive

advantageadvantage

InfrastructureInfrastructure

The best systems are built from the The best systems are built from the ground upground up

Connect all systems together – PMS, Connect all systems together – PMS, POS, CRS, GDS, Sales & Catering, POS, CRS, GDS, Sales & Catering, PayrollPayroll

Making a More Efficient ManagerMaking a More Efficient Manager

Instant access to dataInstant access to data• Yesterdays payroll costsYesterdays payroll costs• Bookings by market segmentBookings by market segment• ForecastingForecasting• Average check trendsAverage check trends

What ROI might you expect?What ROI might you expect?

PayrollPayroll AutomationAutomation Productivity enhancementsProductivity enhancements Forecasting and budgeting processForecasting and budgeting process

Systems Security & Maintenance

Detailed guest and operational statistics are among the most valuable of any property’s assets

Computer data is much more comprehensive than manual data, but can be much more vulnerable

Dangers to All Types of Data

Dangers to electronic data– Physical dangers

Fire, flood, etc.

– Additional dangers Flexibility and interconnections open databases up to

more outside threats, either deliberate or random Need to reach a happy medium in security &

functionality

“ The only completely secure system has no inputs or

outputs, is encased in concrete, and lies at the bottom of the

sea”

Real world systems interact with the outside world

Main Threats to Computer Systems

Human fallibility

Environmental

Electronic

Operational

Human Fallibility

The weakest link in system security– Software is written by people– Data entry errors– Dishonesty

Environmental

Situations or events that threaten the structure of the system– Fire– Flood– Wind– Rain– Power losses– Loss of network connections

Protections Against Environmental Concerns

Fire – basic physical security. Smoke detectors, fire suppression systems

Floods/Water Damage – Locate the computer room away from outside walls or in the basement. Install double ceilings.

Power failures – UPS, backup generators, dedicated power circuits, line conditioners, surge protectors

Protections Against Environmental Concerns

Network communications – include a secondary means of communication

Practice – learn to run on a manual system

Protections Against Electronic Concerns

Outside attacks from hackers or viruses receive the most publicity

Most successful attacks are “in house” by someone exploiting holes in standard software, or taking advantage of “wide open” PC’s and servers

Protections Against Operational Concerns

Data entry errors Carelessness E-mail attachments

Patches to fix software holes are readily available, yet not

kept up to date

It is important to keep up to date on software developments and

should be a vital part of any property’s system maintenance

plan

Security in Everyone’s Responsibility

Security is not just the system administrators job

Even with the most current updates, anti-virus software & PC browsers set to identify risky attachments, all users must be trained to be aware & exercise good judgment about security risks.

Stay alert !

Scan any and all attachments with anti-virus software before opening

Precautions to Take Against Electronic Attacks

Anti-virus software

Firewalls

Security patches

Anti-virus software

Install it and use it! Update files should downloaded regularly Every two weeks is not too often Updates should be distributed to all

workstations via sign on scripts

Hoax Viruses

Chain letter type e-mail Do not contain damaging codes Like regular chain mail, clogs up the system

by urging the recipient to keep passing it on

Firewalls

A separate device or a software program (or both) that separates the property network and the Internet

Restricts the types of messages sent in and out, and/or restricts access to certain web sites based on pre set parameters

Can mask the availability of com ports on the server & IP addresses on network PC’s, hiding them from potential hackers

Denial of Service Attacks

One of the most useful things a firewall can prevent

Denial of service attack – small software programs downloaded by hackers to unsuspecting company servers, all triggered to activate at once sending messages to a single target server

Mobile Users

Access through the firewall must be subject to specific authentication procedures, i.e. tightly controlled passwords, physical keys plugged into their laptops

Can use a Virtual Private Network– Encrypts all messages using any Internet

connection

Firewalls can track user activity

A good monitoring system helping to keep everyone “honest”

Should something go wrong, can be a very useful tool in tracking down the source

Security Patches

Security patches are corrections to software code to close any “loopholes” that may be found by hackers to a system

Should always be put in place as soon as they become available

Never put a PC or server into service with default configurations or passwords

Other Items

Modems – Individual workstations should not have local modems. All outside access should be routed through the company HSIA with the firewall in place

Only exception – mobile users.

Network Documentation

Network mapping software applications – auto detect and record all parts of the network, identifying which PC’s and servers are connected

It has been known to find system parts in place but totally unsecured

Electronic Security is a never Electronic Security is a never ending processending process

Keep up to dateKeep up to date Monitor developmentsMonitor developments Prioritize them for your propertyPrioritize them for your property Keep a sense of awareness about Keep a sense of awareness about

real versus suspicious threatsreal versus suspicious threats Periodically invest into a security Periodically invest into a security

consultant to check vulnerabilities of consultant to check vulnerabilities of your systemyour system

Security is Everyone’s Security is Everyone’s ResponsibilityResponsibility

All users are responsible to some All users are responsible to some extent for maintaining the integrity extent for maintaining the integrity and usefulness of the property’s dataand usefulness of the property’s data

Education and reinforcement = Education and reinforcement = policies and procedurespolicies and procedures

Multiple levels of securityMultiple levels of security

Restricted AccessRestricted Access

All good systems can be set to restrict All good systems can be set to restrict individual users access to various individual users access to various combinations of menu functionscombinations of menu functions

Don’t want to restrict too much. Users Don’t want to restrict too much. Users must have access to all areas that affect must have access to all areas that affect their worktheir work

Set up audit trails for program accessSet up audit trails for program access Immediately remove password privileges Immediately remove password privileges

for terminated employeesfor terminated employees

Policies and ProceduresPolicies and Procedures

Establish and maintain written Establish and maintain written policies and procedures on system policies and procedures on system useuse

Require all users to sigh agreements Require all users to sigh agreements on established policies and on established policies and proceduresprocedures• Raises security awarenessRaises security awareness

Typical Policies and ProceduresTypical Policies and Procedures

Standard software only (company Standard software only (company provided)provided)

No personal storage devicesNo personal storage devices Personal usagePersonal usage Responsible use of passwordsResponsible use of passwords

Computer Room SecurityComputer Room Security

Computer room security must be Computer room security must be maintained at all timesmaintained at all times

Locate away from heavy traffic areas Locate away from heavy traffic areas if possibleif possible

Access on an “as needed” basisAccess on an “as needed” basis Self locking doorSelf locking door

General Security PrinciplesGeneral Security Principles

Regular system backupsRegular system backups

Complete system documentationComplete system documentation

Security audit checklistSecurity audit checklist

BackupsBackups

Two typesTwo types• Manual operational proceduresManual operational procedures• ElectronicElectronic

Software & data backups – essentialSoftware & data backups – essential• Can get you up and running with Can get you up and running with

minimal loss of information and revenueminimal loss of information and revenue Manual backupsManual backups

• For severe emergencies onlyFor severe emergencies only Downtime reportsDowntime reports

DocumentationDocumentation

Gain efficiency and peace of mindGain efficiency and peace of mind Makes it easier to parts of the Makes it easier to parts of the

network & rebuild if necessarynetwork & rebuild if necessary• One to cover hardware – physical One to cover hardware – physical

schematicschematic• One to cover software – different One to cover software – different

applications and their interfacesapplications and their interfaces

Security AuditSecurity Audit

Checks to see that every aspect of Checks to see that every aspect of the operation is recognized and the operation is recognized and coveredcovered• Backup proceduresBackup procedures• DocumentationDocumentation• Physical accessPhysical access• Password managementPassword management

Downtime ProceduresDowntime Procedures

No matter what precautions we take, there No matter what precautions we take, there will eventually be a need for computer will eventually be a need for computer systems to be downsystems to be down It’s not a matter of if, but of whenIt’s not a matter of if, but of when

Two Types of DowntimeTwo Types of Downtime

Short duration – less than 8 hoursShort duration – less than 8 hours

Long duration – greater than 8 hoursLong duration – greater than 8 hours

Short Duration DowntimeShort Duration Downtime

Causes / ReasonsCauses / Reasons Regular system maintenanceRegular system maintenance System errors of short durationSystem errors of short duration Power outages / weatherPower outages / weather

Long Duration DowntimeLong Duration Downtime

Causes / reasonsCauses / reasons Major system errors/ maintenanceMajor system errors/ maintenance Weather – hurricanes, tornadoes, floods, etc.Weather – hurricanes, tornadoes, floods, etc.

Short Duration Downtime ReportsShort Duration Downtime Reports

These reports should be run every day, at These reports should be run every day, at least twice a day, “just in case”least twice a day, “just in case”

Downtime reports should provide all Downtime reports should provide all essential hotel status & guest billing essential hotel status & guest billing informationinformation

Run sufficient copies for each departmentRun sufficient copies for each department

Reports to run at a minimumReports to run at a minimum

In-house guest listIn-house guest list

Room availability listRoom availability list

Expected departures listExpected departures list

Expected arrivals listExpected arrivals list

Guest ledgerGuest ledger

Guest credit statusGuest credit status Cash basisCash basis Approved creditApproved credit

Reports to run at a minimumReports to run at a minimum

Guest messagesGuest messages

Room availability at least one month outRoom availability at least one month out

Vacant room status (housekeeping)Vacant room status (housekeeping)

Guest foliosGuest folios

Room change reportRoom change report

Early departuresEarly departures

All room statusAll room status

Extended Downtime StatusExtended Downtime Status

Guidelines – each property is different, o Guidelines – each property is different, o there is a need to “fine tune” guidelines to there is a need to “fine tune” guidelines to the specific propertythe specific property

Key to running manually – GOOD Key to running manually – GOOD COMMUNICATIONCOMMUNICATION

Maintain guest service as much as Maintain guest service as much as possiblepossible

Quick Response ChecklistQuick Response Checklist

Alert all management staffAlert all management staff

Shut down all systems as quickly as Shut down all systems as quickly as possiblepossible

Distribute the most recent downtime listsDistribute the most recent downtime lists

Prepare for a manual auditPrepare for a manual audit

Issue radios to management staffIssue radios to management staff

Key management Staff RolesKey management Staff Roles

General ManagerGeneral ManagerSystems ManagerSystems ManagerFront Desk managerFront Desk managerFront Desk SupervisorsFront Desk SupervisorsFront Desk AgentsFront Desk AgentsReservations ManagerReservations ManagerPBX SupervisorPBX SupervisorOutlet ManagersOutlet ManagersHousekeeperHousekeeperControllerControllerNight ManagerNight Manager

General ManagerGeneral Manager

Oversees operationsOversees operations

Makes and approves all operational Makes and approves all operational decision – especially those affecting guest decision – especially those affecting guest issuesissues

Systems ManagerSystems Manager

Determines magnitude of problem – Determines magnitude of problem – estimates down timeestimates down timeMaintains status of all correctional Maintains status of all correctional activities in processactivities in processNotifies response team of severity of Notifies response team of severity of situation, and recommends degree of situation, and recommends degree of contingency to implementcontingency to implementSupervises repairsSupervises repairsKeeps management updatedKeeps management updated

Front Desk managerFront Desk manager

Coordinates front office activity with Coordinates front office activity with systems & reservations mangerssystems & reservations mangersSupervises all front desk activitySupervises all front desk activityMonitors controls & audit trailsMonitors controls & audit trailsSupervises runnersSupervises runnersKeeps outlets updated with guest Keeps outlets updated with guest informationinformationDocuments observed / perceived Documents observed / perceived operational problems for review / revisionoperational problems for review / revision

Front Desk SupervisorsFront Desk Supervisors

Monitor and control registration functionsMonitor and control registration functions

Maintains room status control sheetMaintains room status control sheet

Maintains walk in listMaintains walk in list

Communicates status changes to Communicates status changes to housekeepinghousekeeping

Supervises re-entry of data to systemSupervises re-entry of data to system

Front Desk ClerksFront Desk Clerks

Control filing of guest charges and Control filing of guest charges and maintenance of current balancesmaintenance of current balances

Supervise generation of source Supervise generation of source documentsdocuments

Assist with posting of chargesAssist with posting of charges

Reservation ManagerReservation Manager

Distributes updated room availability reports to Distributes updated room availability reports to all agentsall agents

Supervises manual booking of reservationsSupervises manual booking of reservations

Maintains manual reservations filesMaintains manual reservations files

Maintains manual future rooms availability chartMaintains manual future rooms availability chart

Maintains communication with outside Maintains communication with outside reservation systemsreservation systems

Supervises re-entry of reservationsSupervises re-entry of reservations

PBXPBX

Maintains and updates telephone Maintains and updates telephone reference list with help of front deskreference list with help of front desk

Maintains manual message logMaintains manual message log

Assures that messages are distributed to Assures that messages are distributed to guestsguests

Forwards any phone charges to front desk Forwards any phone charges to front desk for postingfor posting

Outlet ManagersOutlet Managers

Coordinate contingency plan with systems Coordinate contingency plan with systems managermanager

Supervises manual operation of outletsSupervises manual operation of outlets

Assists in balancing processAssists in balancing process

Responsible for manual check distributionResponsible for manual check distribution

ControllerController

Coordinates accounting activity with the Coordinates accounting activity with the system managersystem manager

Supervises accounting contingency planSupervises accounting contingency plan

Supervises all data reconstructionSupervises all data reconstruction

Assists front desk with maintaining guest Assists front desk with maintaining guest ledgerledger

Monitors all cash and credit card activityMonitors all cash and credit card activity

HousekeeperHousekeeper

Coordinates manual room status control Coordinates manual room status control with front deskwith front desk

Establishes initial room status reportEstablishes initial room status report

Supervises vacant room inspectionsSupervises vacant room inspections

Supervises distribution of updated room Supervises distribution of updated room status listsstatus lists

Supervises manual assignment of room Supervises manual assignment of room attendantsattendants

Night ManagerNight Manager

Performs regular audit functionsPerforms regular audit functions

Generates manual audit reportsGenerates manual audit reports

Balance all hotel accountsBalance all hotel accounts

Assists in restoration of dataAssists in restoration of data

All Management StaffAll Management Staff

Remain in constant communicationRemain in constant communication

Regular inter department meetingsRegular inter department meetings

Keep guests updated as much as possibleKeep guests updated as much as possible

Returning to Automated Operations• Process the first days work• Make sure that any interface

systems that were not down did not buffer information & begin automatic posting

• Perform a full rooms & operations audit

• Run a night audit process