Terms and Terminology, Hotel Front Office, BHMCT IHM Notes, Front Office abbreviation
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| Front Office Terms and Terminology Astro Motive Astrology by Astrologer Dr. C K Singh |
A to Z abbreviation
A
ACCOUNT AGING
A method for tracking past due accounts according to the date the charges
originated. Astro Motive Astrology by Astrologer Dr. C K Singh
ACCOUNT ALLOWANCE
Either a decrease in a folio balance as compensation for unsatisfactory service or
as a rebate for a coupon discount; or a correction of a posting error detected after
the close of business.
ACCOUNT RECEIVABLE
An amount owed to the hotel.
ACCOUNT RECEIVABLE VOUCHER
See Charge Voucher. Astro Motive Astrology by Astrologer Dr. C K Singh
ADJACENT ROOMS
Rooms close to each other, such as across the hall.
ADJOINING ROOMS
Rooms with a common wall but no connecting door.
ADVANCE DEPOSIT GUARANTEED RESERVATION
A type of reservation guarantee that requires the guest to pay a specified amount
of money to the hotel in advance of arrival.
AFFILIATE RESERVATION NETWORK
A hotel chain’s reservation system in which all participating properties are
contractually related.
AIRPORT HOTEL
A hotel located near a public airport. Airport hotels vary widely in size and
service level. Astro Motive Astrology by Astrologer Dr. C K Singh
ALLOWANCE VOUCHER
A voucher used to support an account allowance.
AMERICAN PLAN (AP)
A billing arrangement under which room charges include the guestroom and three
meals. Also called full pension. See also Modified American Plan, European
Plan. Terms and Terminology, Front Office Abbreviation
AUDIT TRAIL
An organized flow of source documents detailing each step in the processing of a
transaction.
AUDIT WORK TIME
The period from the end of day until the completion of the audit.
AUDITING
The process of verifying front office accounting records as to accuracy and
completeness. Astro Motive Astrology by Astrologer Dr. C K Singh
AUTHORIZATION CODE
A code generated by an on-line credit card verification service, indicating that the
requested transaction has been approved.
AVAILABILITY REPORT
A report that contains expected arrival and departure information for the next
several days, typically prepared as part of the night audit.
AVERAGE DAILY RATE
An occupancy ratio derived by dividing net rooms revenue by the number of
rooms sold.
AVERAGE RATE PER GUEST
An occupancy ratio derived by dividing net rooms revenue by the number of
guests. Terms and Terminology, Front Office Abbreviation
B
BACK OF THE HOUSE
The functional areas of a hotel in which personnel have little or no direct guest
contact, such as the engineering, accounting, and human resources divisions.
BED AND BREAKFAST (B&B)
A small lodging operation whose owner usually lives on the premises and serves a
breakfast for guests.
BLOCK
An agreed-upon number of rooms set aside for members of a group planning to
stay at a hotel.
BOOK
To sell or reserve rooms ahead of time.
BOOKING LEAD TIME
A measurement of how far in advance bookings are made.
BUCKET CHECK
The night auditor’s check of room rate postings on guest folio against the
housekeeping department’s report of occupied rooms and the front desk room
rack. Helps ensure that rates have been posted for all occupied rooms and helps
reduce the occupancy errors caused when front desk agents do not properly
complete check-in and check-out procedures.
C
CALL ACCOUNTING SYSTEM
A device linked to the hotel telephone system that accurately accounts for guest
telephone calls by identifying each phone number dialed from guestroom
telephones and tracking charges.
CANCELLATION HOUR
The hour after which a property may release for sale all unclaimed non-guaranteed
reservations, according to property policy.
CANCELLATION NUMBER
A number issued to a guest who has properly canceled a reservation, proving that
a cancellation request was received.
CASH ADVANCE VOUCHER
A voucher used to support cash flow out of the hotel, either directly to or on
behalf of a guest. Astro Motive Astrology by Astrologer Dr. C K Singh
CASH BANK
An amount of money given to a cashier at the start of each workshift so that he or
she can handle the various transactions that occur. The cashier is responsible for
this cash bank and for all cash, checks, and other negotiable items received during
the workshift.
CASH VOUCHER
A voucher used to support a cash payment transaction at the front desk.
CASINO HOTEL
A hotel with gambling facilities.
CENTRAL RESERVATION SYSTEM
A network for communicating reservations in which each participating property is
represented in a computer system database and is required to provide room
availability data to the central reservations center on a timely basis. See also
Affiliate Reservation Network, Non-Affiliate Reservation Network, and
Intersell Agency
CENTRALIZED ELECTRONIC LOCKING SYSTEM
An electronic locking system that operates through a master control console at the
front desk which is wired to every guestroom door.
CHAIN HOTEL
A hotel owned by or affiliated with other properties. See also Franchising,
Management Contract, and Referral Group.
CHARGE VOUCHER
A voucher used to support a charge purchase transaction that takes place
somewhere other than the front desk. Also referred to as an account receivable
voucher.
CHECK-OUT
The procedures involved in the departure of a guest from a property, including
settlement of the guest’s account. Also, a room status term indicating that the
guest has settled his or her account, returned the room keys, and left the hotel.
CHECK-OUT TIME
The hour by which departing guests must check out of a property.
CITY LEDGER
The collection of all non-guest accounts, including house accounts and unsettled
departed guest accounts. Terms and Terminology, Front Office Abbreviation
CLEFS d’OR
The international association of concierges. The title concierge technically
applies only to members of Les Clefs d’Or.
CLOSE TO ARRIVAL
A yield management availability strategy that allows reservations to be taken for a
certain date as long as the guest arrives before that date.
CLOSED
The status of a date for which a reservation system will not accept additional
reservations. Astro Motive Astrology by Astrologer Dr. C K Singh
COMMERCIAL HOTEL
A property, usually located in a downtown or business district, that caters
primarily to business clients. Also called a transient hotel.
CONCIERGE
An employee whose basic task is to serve as the guest’s liaison with both hotel
and non-hotel attractions, facilities, services, and activities.
CONDOMINIUM HOTEL
See Time-Share Hotel.
CONNECTING ROOMS
Rooms with individual entrance doors from the outside and a connecting door
between. Guests can move between rooms without going through the hallway.
CONTINENTAL BREAKFAST
A small meal served in the morning that usually includes a beverage, rolls, butter,
and jam or marmalade. Astro Motive Astrology by Astrologer Dr. C K Singh
CONTROL FOLIO
An accounting document used internally by a front office computer to support all
account postings by department during a system update routine.
CORPORATE GUARANTEED RESERVATION
A type of reservation guarantee in which a corporation signs a contractual
agreement with the hotel to accept financial responsibility for any no-show
business travelers it sponsors. Astro Motive Astrology by Astrologer Dr. C K Singh
CORRECTION VOUCHER
A voucher used to support the correction of a posting error which is rectified
before the close of business on the day the error was made.
CREDIT CARD GUARANTEED RESERVATION
A type of guarantee supported by credit card companies. These companies
guarantee participating properties payment for reserved rooms that remain
unoccupied. Terms and Terminology, Front Office Abbreviation
CREDIT CARD SETTLEMENT SYSTEM
A computer interface that can instantly capture, verify, and authorize credit card
information and settle accounts.
CREDIT CARD VOUCHER
The form designated by a credit card company to be used for imprinting a credit
card and recording the amount charged. Also called a credit card invoice.
CROSS-TRAINING
Teaching employees to fill the requirements of more than one position.
CURRENT ACCOUNT
A city ledger account that is within the current billing period.
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 rooms inventory
for sale.
D
DAILY OPERATIONS REPORT
A report, typically prepared by the night auditor, that summarizes the hotel’s
financial activities during a 24-hour period and provides insight into revenues,
receivables, operating statistics, and cash transactions related to the front office.
Also known as the manager’s report. Astro Motive Astrology by Astrologer Dr. C K Singh
DAILY TRANSCRIPT
A detailed report of all guest accounts that indicates each charge transaction
affecting a guest account for the day, used as a worksheet to detect posting errors.
DAY RATE
A special room rate for less than an overnight stay.
DAY SHIFT
A hotel workshift, generally 7 a.m. to 3 p.m.
DAY USE
A room status term indicating that the room will be sued for less an overnight
stay. Astro Motive Astrology by Astrologer Dr. C K Singh
DELINQUENT ACCOUNT
A city ledger account that has not been settled within the reasonable collection
period, usually 90 days.
DENIAL CODE
A code generated by an on-line credit card verification service, indicating that the
requested transaction has not been approved.
DIRECT BILLING
A credit arrangement, normally established through correspondence between a
guest or a company and the hotel, in which the hotel agrees to bill the guest or the
company for charges incurred. Astro Motive Astrology by Astrologer Dr. C K Singh
DISCOUNT GRID
A grid indicating the occupancy percentage needed to achieve equivalent net
revenue, given different discount levels. Astro Motive Astrology by Astrologer Dr. C K Singh
DISPLACEMENT
The turning away of transient guests for lack of rooms due to the acceptance of
group business. Also called non-group displacement.
DNCO (DID NOT CHECK OUT)
A room status term indicating that the guest made arrangements to settle his or her
account (and thus is not a skipper), but has left without informing the front office.
DOUBLE
A room assigned to two people; may have one or more beds.
DOUBLE-DOUBLE
A room with two double (or perhaps queen) beds; may be occupied by one or
more people. Also called a twin-double.
DUE BACK
A situation that occurs when a cashier pays out more than he or she receives; the
difference is due back to the cashier’s cash bank. In the front office, due backs
usually occur when a cashier accepts so many checks and large bills during a shift
that he or she cannot restore the initial bank at the end of the shift without using
the checks or large bills. Astro Motive Astrology by Astrologer Dr. C K Singh
DUE-OUT
A room status term indicating that the room is expected to become vacant after the
following day’s check-out time.
E
EARLY ARRIVAL
A guest who arrives at a property before the date of his or her reservation.
ECONOMY / LIMITED SERVICE
A level of service emphasizing clean, comfortable, inexpensive rooms that meet
the most basic needs of guests. Economy or limited service hotels appeal
primarily to budget-minded travelers. Astro Motive Astrology by Astrologer Dr. C K Singh
ELECTRONIC LOCKING SYSTEM
A locking system that replaces traditional mechanical locks with sophisticated
computer-based guestroom access devices. See also Centralized Electronic
Locking System and Micro-Fitted Electronic Locking System.
EMERGENCY KEY
A key that opens all guestroom doors, even when they are double-locked.
END OF DAY
An arbitrary stopping point for the business day, established so that the audit can
be considered complete through that time.
EQUIVALENT OCCUPANCY
Given a contemplated or actual change in the average room rate, the occupancy
percentage needed to produce the same net revenue as was produced by the old
price and occupancy percentage. Astro Motive Astrology by Astrologer Dr. C K Singh
EUROPEAN PLAN
A billing arrangement under which meals are priced separately from rooms. See
also American Plan, Modified American Plan.
EXPRESS CHECK-OUT
A pre-departure activity that involves the production and early morning
distribution of guest folios for guests expected to check out that morning.
F
FAMILY RATE
A special room rate for parents and children in the same room
FIXED COSTS
Costs that remain constant in the short run even though sales volume varies.
FLOOR LIMIT
A limit assigned to hotels by credit card companies indicating the maximum
amount in credit card charges the hotel is permitted to accept from a card member
without special authorization. Terms and Terminology, Front Office Abbreviation
FORECASTING
The process of predicting future events and trends in business. Typical forecasts
developed for the rooms division include room availability and occupancy
forecasts. Astro Motive Astrology by Astrologer Dr. C K Singh
FRANCHISING
A method of distribution whereby one entity that has developed a particular
pattern or format for doing business – the franchisor – grants to other entities –
franchisees – the right to conduct such a business provided they follow the
established pattern.
FREE INDEPENDENT TRAVELER (FIT)
A guest coming to the hotel as an individual and not as part of a group. Also
called a transient guest. Astro Motive Astrology by Astrologer Dr. C K Singh
FRONT DESK AGENT
A front office employee whose responsibilities center on the registration process,
but also typically include pre-registration activities, room status coordination, and
mail, message, and information requests.
FRONT OF THE HOUSE
The functional areas of a hotel in which personnel have extensive guest contact,
such as the food and beverage facilities and the front office.
FRONT OFFICE
A department of the rooms division that is the most visible department in a hotel,
with the greatest amount of guest contact. Traditional front office functions
include reservations, registration, room and rate assignment, room status,
maintenance and settlement of guest accounts, and creation of guest history
records. Also, the physical location at which front-of-the-house activities are
coordinated.
FRONT OFFICE ACCOUNTING FORMULA
The formula used in posting transactions to front office accounts;
Previous Balance + Debits – Credits = Net Outstanding Balance
FRONT OFFICE APPLICATIONS MODULES
Computer software designed for specific front office uses. Typical front office
applications include reservations, rooms management, guest account, and general
management modules. Astro Motive Astrology by Astrologer Dr. C K Singh
FRONT OFFICE CASH SHEET
A form completed by front office cashiers that lists each receipt or disbursement
of cash during a workshift. It is used to reconcile actual cash on hand with the
transactions that occurred during the shift. Terms and Terminology, Front Office Abbreviation
FULL HOUSE
A condition in which every room in the hotel has been booked.
G
GENERAL MANAGEMENT SOFTWARE
A front office computer application, usually a report-generating package that
depends on data collected through reservations, rooms management, and guest
accounting modules. Astro Motive Astrology by Astrologer Dr. C K Singh
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 company reservation
system with an airline reservations system. Terms and Terminology, Front Office Abbreviation
GROUP BOOKING PACE
The rate at which group business is being booked.
GROUP RATE
A special room rate for a number of guests who are affiliated with one another.
GROUP RÉSUMÉ
A summary of all a group’s activities, billing instructions, attendees, recreational
arrangements, arrival and departure patterns, and other important information.
Usually stored in a binder at the front desk.
GUARANTEED RESERVATION
A reservation that assures the guest that a room will be held until check-out time
of the day following the day of arrival. The guest guarantees payment for the
room, even if it is not used, unless the reservation is properly canceled. Types of
guaranteed reservations include prepayment, credit card, advance deposit, travel
agent, and corporate. Terms and Terminology, Front Office Abbreviation
GUEST ACCOUNT
A record of the financial transactions that occur between a guest and the hotel.
GUEST CYCLE
A division of the flow of business through a hotel that identifies the physical
contacts and financial exchanges between guests and hotel employees.
GUEST FOLIO
A forth (paper or electronic) used to chart transactions on an account assigned to
an individual person or guestroom. Astro Motive Astrology by Astrologer Dr. C K Singh
GUEST HISTORY FILE
A collection of guest history records, constructed from expired registrations cards
or created through sophisticated computer-based systems, that automatically direct
information about departing guests into a guest history database.
GUEST HISTORY RECORD
A record of personal and financial information about hotel guests that (1) is
relevant to marketing and sales, and (2) can help the hotel serve the guest should
he or she return. State law may require retention of certain guest data for some
period of time. Terms and Terminology, Front Office Abbreviation
GUEST LEDGER
The set of accounts for all guests currently registered at the hotel. Also called the
front office ledger, transient ledger, or rooms ledger.
H
HANDICAP ROOM
A Room with special features designed for handicapped guests.
HIGH BALANCE ACCOUNT
An account that has reached or exceeded a predetermined credit limit. High
balance accounts are typically identified by the night auditor. Also called a high
risk account. Astro Motive Astrology by Astrologer Dr. C K Singh
HIGH BALANCE REPORT
A report that identifies guests who are approaching an account credit limit.
Typically prepared by the night auditor. Terms and Terminology, Front Office Abbreviation
HORIZON
The future time frame for which a property accepts reservations.
HOTELS
A general term used to describe motels, motor hotels, inns, suite hotels,
conference centers, and other operations providing lodging facilities, various
services, and conveniences to the traveling public.
HOUSE COUNT
The forecasted or expected number of guests for a particular period, sometimes
broken down into group and non-group business.
HOUSE LIMIT
A credit limit established by the hotel.
HOUSE USE
A room status term indicating that the room is being used by someone on the hotel
staff at no charge. Astro Motive Astrology by Astrologer Dr. C K Singh
HOUSEKEEPING STATUS REPORT
A report prepared by the housekeeping department that indicates the current
house-keeping status of each room, based on a physical check.
HUBBART FORMULA
A bottom-up approach to pricing rooms. In determining the average price per
room, this approach considers costs, desired profits, and expected rooms sold.
HURDLE RATE
In the context of yield management, the lowest acceptable room rate for a given
date
I
IN BALANCE
A term used to describe the state of accounts when the totals of debit amounts and
credit amounts are equal. Astro Motive Astrology by Astrologer Dr. C K Singh
INCENTIVE RATE
A special room rate for guests in affiliated travel and tourism organizations
because of the potential referral business they can generate for the hotel.
INCENTIVE TRAVEL
Travel financed by a business as an employee incentive
INDEPENDENT HOTEL
A hotel with no ownership or management affiliation with other properties.
INFORMATION DIRECTORY
A collection of information kept at the front desk for front desk agents to use in
responding to guest requests, including simplified maps of the area; taxi and
airline company telephone numbers; bank, theater, church, and store locations;
and special event schedules. Terms and Terminology, Front Office Abbreviation
INFORMATION RACK
An alphabetical index of registered guests, used in routine telephone calls, mail,
messages, and visitor inquiries. The information rack normally consists of
aluminum slots designed to hold information rack slips.
INTERFACE APPLICATIONS
Stand-alone computer software packages that may be linked to a front office
management system, including point-of-sale systems, call accounting systems,
and electronic locking systems. Astro Motive Astrology by Astrologer Dr. C K Singh
INTERNAL CONTROL
The policies, procedures, and equipment used in a business to safeguard its assets
and promote operational efficiency. Terms and Terminology, Front Office Abbreviation
INTERSELL AGENCY
A central reservation system that handles reservations for more than one product
line, such as airline companies, car rental companies, and hotel properties.
K
KING BED
A bed approximately 78 inches by 80 inches
L
LATE ARRIVAL
A guest with a reservation who expects to arrive after the hotel’s designated
cancellation hour and so notifies the hotel.
LATE CHARGE
A transaction requiring posting to a guest account that does not reach the front
desk for posting until after the guest has checked out and closed his or her
account. Terms and Terminology, Front Office Abbreviation
LATE CHECK-OUT
A room status term indicating that the guest is being allowed to check out later
than the hotel’s standard check-out time. Astro Motive Astrology by Astrologer Dr. C K Singh
LATE CHECK-OUT FEE
A charge imposed by some hotels on guests who do not check out by the
established check-out time. Astro Motive Astrology by Astrologer Dr. C K Singh
LOCK-OUT
A room status term indicating that the room has been locked so that the guest
cannot re-enter until he or she is cleared by a hotel official.
LOG BOOK
A journal in which important front office events and decisions are recorded for
reference during subsequent shifts. Terms and Terminology, Front Office Abbreviation
M
MANAGEMENT CONTRACT
An agreement between the owner / developer of a property and a professional
hotel management company. The owner / developer usually retains the financial
and legal responsibility for the property, and the management company receives
an agreed-upon fee for operating the hotel.
MARGINAL COST
The variable or added cost of selling a product that is incurred only if the room is
sold. (fixed costs are incurred whether the product is sold or not). Also called
cost per occupied room.
MARKET CONDITION APPRAOCH
An approach to pricing that bases prices on what comparable hotels in the
geographical market are charging for a similar product. Astro Motive Astrology by Astrologer Dr. C K Singh
MARKET SEGMENTATION
The process of defining or identifying smaller, distinct groups or “segments”
within larger markets – “corporate business travelers.” For instance, as a segment
of “business travelers.” Terms and Terminology, Front Office Abbreviation
MASTER FOLIO
A folio used to chart transactions on an account assigned to more than one person
or guestroom, usually reserved for group accounts. A master folio collects
charges not appropriately posted elsewhere. Astro Motive Astrology by Astrologer Dr. C K Singh
MASTER KEY
A key which opens all guestroom doors which are not double-locked.
MID-RANGE SERVICE
A modest but sufficient level of service that appeals to the largest segment of the
traveling public. A mid-range property may offer uniformed service, airport
limousine service, and food and beverage room service; a specialty restaurant,
coffee shop, and lounge; and special rates for certain guests.
MINIMUM LENGTH OF STAY
A yield management availability strategy that requires that a reservation must be
for at least a specified number of nights in order to be accepted.
MISCELLANEOUS CHARGE ORDER
A type of travel agent guaranteed reservation that uses a voucher issued by the
Airline Reporting Corporation (ARC). ARC guarantees payment if the travel
agency defaults on the payment. Astro Motive Astrology by Astrologer Dr. C K Singh
MODIFIED AMERICAN PLAN (MAP)
A billing arrangement under which the daily rate includes charges for the
guestroom and two meals – typically breakfast and dinner. Also called semipension.
See also American Plan, European Plan.
MOTEL
A Lodging facility that caters primarily to guests arriving by automobile.
MULTIPLE OCCUPANCY PERCENTAGE
The number of rooms occupied by more than one guest divided by the number of
rooms occupied by guests. Terms and Terminology, Front Office Abbreviation
MULTIPLE OCCUPANCY RATIO
Measurement used to forecast food and beverage revenue, to indicate clean linen
requirements, and to analyze daily revenue rate. Derived from multiple
occupancy percentage or by determining the average number of guests per rooms
sold. Also called double occupancy ratio.
MULTIPLE OCCUPANCY STATISTICS
Occupancy ratios, indicating either a multiple occupancy percentage or the
average number of guests per room sold. Used to forecast food and beverage
ratios, indicate clean linen requirements, and analyze average daily room rates.
N
NET CASH RECEIPTS
The amount of cash and checks in the cashier’s drawer, minus the amount of the
initial cash bank. Terms and Terminology, Front Office Abbreviation
NIGHT AUDIT
A daily comparison of guest accounts (and non-guest accounts having activity)
with revenue center transaction information. A night audit, so called because it is
usually performed at night, helps guarantee accuracy in front office accounting.
NIGHT AUDITOR
An employee who checks the accuracy of front office accounting records and
compiles a daily summary of hotel financial data as part of the night audit. In
many hotels, the night auditor is actually an employee of the accounting division.
NON-AFFILIATE RESERVATION NETWORK
A central reservation system which connects independent (non-chain) properties.
NON-GUARANTEED RESERVATION
A reservation arrangement in which the hotel agrees to hold a room for the guest
until a stated reservation cancellation hour on the day of arrival. The property is
not guaranteed payment in the case of a no-show.
NON-GUEST ACCOUNT
An account created to track the financial transactions of (1) a local business or
agency with charge privileges at the hotel (2) a group sponsoring a meeting at the
hotel, or (3) a former guest whose account was not settled at the time of departure.
NON-GUEST FOLIO
A folio used to chart transactions on an account assigned to (1) a local business or
agency with hotel charge purchase privileges (2) a group sponsoring a meeting at
the hotel, or (3) a former guest with an outstanding account balance.
NO-POST STATUS
A term used to indicate a guest who is not allowed to charge purchases to his or
her room account. Astro Motive Astrology by Astrologer Dr. C K Singh
NO-SHOW
A guest who made a room reservation but did not register or cancel.
O
OCCUPANCY PERCENTAGE
An occupancy ratio that indicates the proportion of rooms sold to rooms available
for sale during a specific period of time.
OCCUPANCY RATIO
A measurement of the success of the hotel in selling rooms. Typical occupancy
ratios include average daily rate, average rate per guest, multiple occupancy
statistics, and occupancy percentage. Terms and Terminology, Front Office Abbreviation
OCCUPANCY REPORT
A report prepared each night by a front desk agent that lists the rooms occupied
that night and indicates those guests expected to check out the following day.
OCCUPIED
A room status term indicating that a guest is currently registered to the room.
ON-CHANGE
A room status term indicating that the guests has departed, but the room has not
yet been cleaned and readied for resale. Terms and Terminology, Front Office Abbreviation
OPEN
The status of a date for which a reservation system can still accept reservations.
OUT OF BALANCE
A term used to describe the state of accounts when the totals of debit amounts and
credit amounts are not equal.
OUT-OF-ORDER
A room status term indicating that the room cannot be assigned to a guest. A
room may be out-of-order for maintenance, refurbishing, extensive cleaning, or
other reasons. Astro Motive Astrology by Astrologer Dr. C K Singh
OUTSTANDING BALANCE
The amount the guest owes the hotel – or the amount the hotel owes the guest, in
the event of a credit balance at settlement. Terms and Terminology, Front Office Abbreviation
OVERAGE
An imbalance that occurs when the total of cash and checks in a cash register
drawer is greater than the initial bank plus net cash receipts.
OVER-BOOKING
Accepting more reservations than there are available rooms.
OVERDUE ACCOUNT
A city ledger account that is unpaid beyond the current billing period, usually
between 30 and 90 days. Astro Motive Astrology by Astrologer Dr. C K Singh
OVERFLOW FACILITY
A property selected to receive central system reservation requests after room
availabilities in the system’s participating properties within a geographic region
have been exhausted. Terms and Terminology, Front Office Abbreviation
OVERSTAY
A guest who stays after his or her stated departure date.
P
PAID-IN-ADVANCE (PIA) GUEST
A guest who pays his or her room charges in cash during registration. PIA guests
are often denied in-house credit. Astro Motive Astrology by Astrologer Dr. C K Singh
PAID-OUT
Cash disbursed by the hotel on behalf of a guest and charged to the guest’s
account as a cash advance. Terms and Terminology, Front Office Abbreviation
PICKUP ERROR
An error in manual and semi-automated systems that occurs when the user enters
an incorrect previous balance or transaction value in the process of posting.
POINT OF SALE
The location at which goods or services are purchases. Any hotel department that
collects revenues for its goods or services is considered a revenue center and thus
a point of sale. Terms and Terminology, Front Office Abbreviation
PONIT-OF-SALE (POS) SYSTEM
A computer network that allows electronic cash registers at the hotel’s points of
sale to communicate directly with a front office guest accounting module.
POTENTIAL AVERAGE RATE
A collective statistics that effectively combines the potential average single and
double rates, multiple occupancy percentage, and rate spread to produce the
average rate that would be achieved if all rooms were sold at their full rack rates.
PREPAYMENT GUARANTEED RESERVATION
A type of reservation guarantee that requires a payment in full made before the
day of arrival. Astro Motive Astrology by Astrologer Dr. C K Singh
PRE-REGISTRATION
A process by which sections of a registration card or its equivalent are completed
for guests arriving with reservations. Room and rate assignment, creation of a
guest folio, and other functions may also be part of pre-registration activity.
PRIVATE BRANCH EXCHANGE (PBX)
A hotel’s telephone switchboard equipment.
PROMOTIONAL RATE
A special room rate offered to promote future business.
PROPERTY MANAGEMENT SYSTEM
A computer software package that supports a variety of applications related to
front office and back office activities. See also Front Office Applications.
Q
QUAD
A room assigned to four people; may have two or more beds.
QUEEN BED
A bed approximately 60 inches by 80 inches.
R
RACK RATE
The standard rate established by the property for a particular category of rooms.
RATE POTENTIAL PERCENTAGE
The percentage of the rack rate that a hotel actually receives, found by dividing
the actual average room rate by the potential average rate. Also called the
achievement factor. Astro Motive Astrology by Astrologer Dr. C K Singh
RATE SPREAD
The mathematical difference between the hotel’s potential average single rate and
potential average double rate. Terms and Terminology, Front Office Abbreviation
RATIO ANALYSIS
The analysis of financial statements and operating results using ratios.
REFERRAL GROUP
A group of independent hotels that have banded together for their common good.
Hotels within the group refer their departing guests or those guests they cannot
accommodate to other properties in the referral group.
REGISTRATION
The procedure by which an incoming guest signifies his or her intent to stay at a
property by completing and signing a registration card.
REGISTRATION CARD
A printed form for a registration record. In most states, the guest’s signature on a
registration card is required by law. Terms and Terminology, Front Office Abbreviation
REGISTRATION RECORD
A collection of important guest information created by the front desk agent
following the guest’s arrival. The registration record includes the guest’s name,
address, telephone number, and company affiliation; method of payment; and date
of departure. Astro Motive Astrology by Astrologer Dr. C K Singh
RESERVATION
An agreement between the hotel and a guest that the hotel will hold specific type
of room for a particular date and length of stay. Terms and Terminology, Front Office Abbreviation
RESERVATION CONFIRMATION
An oral or written verification of the information contained in a reservation
record. See also Confirmation Letter
RESERVATION RECORD
A collection of data that identifies a guest and his or her anticipated occupancy
needs before arrival at the property, and enables the hotel to personalize guest
service and accurately schedule staff. Terms and Terminology, Front Office Abbreviation
RESERVATION STATUS
An indicator of a room’s long-term availability for assignment.
RESERVATION TRANSACTIONS REPORT
A summary of daily reservations activity in terms of record creation, modification,
and cancellation. Terms and Terminology, Front Office Abbreviation
RESERVATIONS CONTROL BOOK
A binder with a tally page for each day of the year, used in non-computerized
hotels to track reservations. Astro Motive Astrology by Astrologer Dr. C K Singh
RESIDENTIAL HOTEL
A hotel whose guest quarters generally include a sitting room, bedroom, and
kitchenette for permanent or semi-permanent guests. Many other types of hotels
also offer residential accommodations, and residential hotels may offer short-term
accommodations. Terms and Terminology, Front Office Abbreviation
RESORT HOTEL
A hotel that provides scenery and activities unavailable at most other properties,
and whose guests are typically vacationers. Resort hotels are the planned
destination of their guests. Terms and Terminology, Front Office Abbreviation
REVENUE CENTER
A hotel division or department that sells goods or services to guests and thereby
directly generates revenue for the hotel. The front office, food and beverage
outlets, room service, and retail stores are typical hotel revenue centers.
REVENUE FORECAST REPORT
A projection of future revenue calculated by multiplying predicted occupancies by
current room rates. Terms and Terminology, Front Office Abbreviation
REVPAR
A yield measurement that focuses on revenue per available room.
ROOM RATE RANGE
The range of values between the limits dictated by the cost structure of the hotel.
ROOM RATE VARIANCE REPORT
A report listing rooms that have not been sold at rack rates.
ROOM REVENUE AND COUNT REPORT
A report that shows the rack rate for each room and the actual rate at which the
room was sold, providing an opportunity to analyze room revenues.
ROOM STATUS
A code or description indicating the occupancy and housekeeping status of a
room. Common room status terms include occupied, on-change, out-of-orders,
and check-out Terms and Terminology, Front Office Abbreviation
ROOM STATUS DISCREPANCY
A situation in which the housekeeping department’s description of a room’s status
differs from the room status information which guides front desk employees in
assigning rooms to guests. Astro Motive Astrology by Astrologer Dr. C K Singh
ROOM STATUS REPORT
A report that allows front desk agents to identify vacant and ready rooms,
typically prepared as part of the night audit. Terms and Terminology, Front Office Abbreviation
ROOM VARIANCE REPORT
A report listing any discrepancies between front desk and housekeeping room
statuses. Astro Motive Astrology by Astrologer Dr. C K Singh
ROOMING
The procedures involved in greeting a guest, assigning a room, and escorting or
directing the guest to the room. Terms and Terminology, Front Office Abbreviation
ROOMS DIVISION
The division of a hotel that includes the front office, reservations, telephone
switchboard, housekeeping, and uniformed service departments and functions.
The rooms division plays an essential role in providing the services guests expect
during a hotel stay. Terms and Terminology, Front Office Abbreviation
RULE-OF-THUMB APPROACH
A cost approach to pricing rooms. Using this approach, the room rate is set at $1
for each $1,000 of construction and furnishing cost per room, assuming an
occupancy of 70% Terms and Terminology, Front Office Abbreviation
S
SECOND-PARTY CHECK
A check made out to the person presenting the check.
SECURITY MONITOR
A closed-circuit television monitor that allows front office employees to monitor
security and safety throughout the hotel from a central location.
SELF CHECK-OUT TERMINAL
A computerized system, usually located in the hotel lobby, that allows the guest to
review his or her folio and settle the account to the credit card used at check-in
SELF-REGISTRATION
A computerized system that automatically registers a guest and dispenses a key,
based on the guest’s reservation and credit card information.
SELF-REGISTRATION / CHECK-OUT TERMINAL
A piece of computer hardware typically located in the lobby of a fully automated
hotel. Some resemble automated bank teller machines, while others are unique in
design; some may possess both video and audio capabilities.
SELL-THROUGH
A yield management availability strategy that works like a minimum length of
stay requirement except that the length of the required stay can begin before the
date the strategy is applied. Terms and Terminology, Front Office Abbreviation
SETTLEMENT
The collection of payment for an outstanding account balance, bringing the
balance to zero. A guest can settle an account by paying cash, charging the
balance to a credit card, deferring payment to a direct billing, or using some
combination of these payment methods.
SHORTAGE
An imbalance that occurs when the total of cash and checks in a cash register
drawer is less than the initial bank plus net cash receipts.
SINGLE
A room assigned to one person; may have one or more beds.
SINGLE BED
A bed approximately 36 inches by 75 inches. Astro Motive Astrology by Astrologer Dr. C K Singh
SKIPPER
A room status term indicating that the guest has left the hotel without making
arrangements to settle his or her account.
SLEEP-OUT
A room status term indicating that a guest is registered to the room, but the bed
has not been used. Terms and Terminology, Front Office Abbreviation
SPLIT FOLIO
A folio in which a guest’s charges are separated into two or more folios.
STATEMENT OF INCOME
A financial statement that provides important information about the results of
hotel operations for a given period of time. Terms and Terminology, Front Office Abbreviation
STAYOVER
A room status term indicating that the guest is not checking out today and will
remain at least one more night; a guest who continues to occupy a room from the
time of arrival to the stated date of departure. Terms and Terminology, Front Office Abbreviation
STAY-SENSITIVE HURDLE RATE
In the context of yield management, a hurdle (or minimum acceptable room) rate
that varies with the length of the guest reservation. Astro Motive Astrology by Astrologer Dr. C K Singh
STUDIO
A room with a studio bed – a couch that can be converted into a bed; may also
have an additional bed. Terms and Terminology, Front Office Abbreviation
SUITE
A parlor or living room connected to one or more bedrooms.
SUITE HOTEL
A hotel whose guestrooms have separate bedroom and living room or parlor areas,
and sometimes a kitchenette. Terms and Terminology, Front Office Abbreviation
SUPPORT CENTER
A hotel division or department that does not generate revenue directly, but
supports the hotel’s revenue centers. Support centers include the housekeeping,
accounting, engineering and maintenance, and human resources divisions.
SYSTEM UPDATE
A fully automated audit routine that accomplishes many of the same functions as a
non-computerized night audit routine and more. Daily system updates enable file
reorganization, system maintenance, and report production, and provide an endof-
day time frame. Terms and Terminology, Front Office Abbreviation
T
T-ACCOUNT
A two-column account-recording format (resembling the letter T) in which debits
(charges) are posted to the left side and credits (payments) to the right side.
TARGET MARKETS
Distinctly defined groupings of potential buyers (market segments) at which
sellers aim or “target” their marketing efforts.
THIRD-PARTY CHECK
A check made out to someone who has then signed the check over to the person
presenting the check Terms and Terminology, Front Office Abbreviation
TIME – SHARE HOTEL
A group of condominium units whose owners associate and hire a management
company to operate their units as a hotel. The condominium. Units normally
contain bedrooms, living rooms, dining area, and kitchen.
TOUR GROUP
A group of people who have had their accommodations, transportation, and
related activities arranged for them. Terms and Terminology, Front Office Abbreviation
TRANSACTION
The exchange of merchandise, property, or services for cash or a promise to pay.
TRANSFER VOUCHER
A voucher used to support a reduction in balance on one folio and an equal
increase in balance another. Transfer vouchers are used for transfers between
guest accounts and for transfers from guest accounts to non-guest accounts when
they are settled by the use of credit cards. Terms and Terminology, Front Office Abbreviation
TRANSPOSITION ERROR
An error which occurs when numerals in a figure are reversed. For example, 189
for 198.
TRAVEL AGENCY VOUCHER
A type of travel agent guaranteed reservation in which the agent forwards a
voucher to the hotel as proof of payment and guarantees that the prepaid amount
will be sent to the hotel when the voucher is returned to the travel agency for
payment. Terms and Terminology, Front Office Abbreviation
TRAVEL AGENT GUARANTEED RESERVATION
A type of reservation guarantee under which the hotel generally bills the travel
agency after a guaranteed reservation has been classified as a no-show.
TRAVELER’S CHECK
A prepaid check sold by banks and other financial institutions which is considered
equivalent to cash. Terms and Terminology, Front Office Abbreviation
TRAIL BALANCE
In the night audit, the process of balancing front office accounts with transaction
information by department. Astro Motive Astrology by Astrologer Dr. C K Singh
TRIPLE
A room assigned to three people, may have two or more beds.
TURNAWAY REPORT Terms and Terminology, Front Office Abbreviation
A report that tracks the number of guests refused because rooms were not
available as requested. Also called a refusal report.
TWIN
A room with two twin beds; may be occupied by one or more people.
TWIN BED
A bed approximately 39 inches by 75 inches. Terms and Terminology, Front Office Abbreviation
TWIN – DOUBLE
See Double – Double Astro Motive Astrology by Astrologer Dr. C K Singh
U
UNDERSTAY
A guest who checks out before his or her stated departure date.
UNIFORMED SERVICE Terms and Terminology, Front Office Abbreviation
A department within the rooms division including parking attendants, door
attendants, porters, limousine cavers, and bell persons.
UNPAID ACCOUNT BALANCE
Charges remaining in a guest account after the guest has left the hotel.
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. Terms and Terminology, Front Office Abbreviation
V
VACANT AND READY
A room status term indicating that the room has been cleaned and inspected, and
is ready for an arriving guest.
VOICE MAILBOX
A device capable of storing, recording, and playing back messages for guests
through the telephone system. Terms and Terminology, Front Office Abbreviation
VOUCHER
A document detailing a transaction to be posted to a front office account, used to
communicate information from a point of sale to the front office. Common
vouchers include cash, charge, transfer, allowance, and paid-out vouchers. Also, a
form provided by travel agents to their clients as a receipt for advance registration
payments. See also Credit Card Terms and Terminology, Front Office Abbreviation
W
WAITING LIST
A list of guests desiring rooms who cant be accommodated by hotel
WALK-IN Terms and Terminology, Front Office Abbreviation
A person who arrives at a property without a reservation and who requests a room.
WALKING
Turning away a guest who has a reservation because of a lack of rooms.
WASH DOWN
Blocking fewer rooms than the number requested by a group, based on previous
group history. Also called a wash Terms and Terminology, Front Office Abbreviation
WASH FACTOR
The deletion of unnecessary group rooms from a group block.
WEIGHTED AVERAGE CONTRIBUTION MARGIN RATIO
In a multiple product situation, an average contribution margin for all operated
departments that is weighted to reflect the relative contribution of each department
to the establishment’s ability to pay fixed costs and generate profits. Abbreviated
CMRw Terms and Terminology, Front Office Abbreviation Astro Motive Astrology by Astrologer Dr. C K Singh
WORLD – CLASS SERVICE
A level of guest service that stresses personal attention. Hotels offering worldclass
service provide upscale restaurants and lounges, exquisite décor, concierge
services, opulent rooms, and abundant amenities.
X – Y – Z
YIELD MANAGEMENT
A technique based on supply and demand used to maximize revenues by lowering
prices to increase sales during periods of low demand and by raising prices during
periods of high demand. Astro Motive Astrology by Astrologer Dr. C K Singh
YIELD STATISTIC
The ratio of actual rooms revenue to potential rooms revenue.
ZERO OUT
To settle in full the balance of a folio account as the guest checks out
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