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2 posts from August 2009

August 21, 2009

7 Benefits of Having a System Evaluation Team for Your Hotel

The main objective of the system evaluation team is to complete the evaluation and to help select the property management system that will offer the best all round business solution for your hotel.

TeamBenefits The Evaluation Team, led by the Project Manager may consist of operational managers, supervisors and front-line staff.  These team members may be representatives from departments such as Front Desk, Reservations, Housekeeping, Sales, Accounting, Concierge and the Information Technology Department.

Benefits of the Evaluation Team include,
  1. Confirming existing known needs and uncovering further needs.
  2. Reducing the risk of missing any business, staff and guest needs during analysis.
  3. Improving communication between departments.
  4. Working as a group to cover the bases and ensure objectives are met.
  5. The Evaluation Team may be reassembled to become the Implementation Team for next stage. 
  6. The Evaluation Team may be reassembled to work together on continual process improvement.
  7. The Evaluation Team may be reassembled to create departmental teams to provide staff training programs that will be needed once the property management system in place and staff turnover occurs.
There are extended benefits of an Evaluation Team.  Since this team has worked together and knows each other and the business needs, they can easily transition to assist with phases that follow the purchase of the property management system, such as the implementation and maintenance phases.. 
  1. Phase One, selection and purchase of a property management system.
    The property management system evaluation process ends with the selection and purchase of a property management system for the hotel.

  2. Phase Two, Implementation of the property management system.
    The system is installed at the hotel, staff training is completed and the system goes live and is in full use at the hotel. The Implementation Team work on improving business processes.

  3. Phase Three, Maintenance.
    The maintenance phase is ongoing and managed by the Maintenance Team/Training Teams. It is here that staff training programs address staff turnover and also to work with existing staff that may need re-training.  This training would involve re-visiting areas that staff are familiar with but need work on in order to maintain their knowledge as well as learning new areas in order to build their knowledge.  The objective of ongoing training is to help the staff continue to make the most of the system while being efficient in their roles, as well as using the property management system and processes consistently throughout your organization.

Good luck with the process!


Jeff Sefton

August 11, 2009

Pro and Cons of Web Based Versus Server Based Property Management Systems

Web Based or Server Based?

Now it’s time to decide the best option for your property. Will it be a web based or server based solution?

Thinkingcloudquestions2 There are pros and cons to each, it depends entirely on your business needs and situation as well as your budget, and which property management system offers your business the best all round solution based on your business requirements.  It is best to have an understanding of these options prior to the evaluation process of property management systems for your Hotel.

Your business needs should have been determined prior or during the first stages of the system evaluation process. 

Your budget is something that should be determined at the beginning stages as well.  If you have an existing system what are you currently paying and for your future system, what will the additional benefits mean to your business and are these benefits worth paying for?  If the property management system is replacing a manual system or your hotel is new, you may be unsure what your budget figure is, get your accountant involved.  Work with your potential property management system vendor to provide alternatives such as monthly invoicing instead of quarterly or yearly.  Perhaps paying higher payments during peak business months and lower payments during slow season is a possibility.  Some vendors that provide web based hosted solutions may also provide pay per use/transaction billing with low upfront costs, so again this may be a solution where your budget is concerned.    

Looking at your current situation, if you are replacing an existing system can some of your current computer hardware be used with the new property management system or is it proprietary?  In the event you have a restaurant or phone system in place, can you just interface this existing equipment without having to upgrade?  Write down the makes and models and if you need help, ask your current restaurant system or phone vendors for the information and supply this information to your potential property management system vendor to check interface compatibility.  If your head is spinning at this point, get an experienced technician involved and one that has experience dealing with hotel property management systems.

Web Based:

A  web based, hosted solution is one in which the server is located off site, not at the hotel but typically at a secure data centre. When the employee accesses the property management system data such as looking up an existing reservation or checking in a guest at your hotel, they do so using a personal computer or laptop and access the data via the Internet.  

Advantages of web based property management system

  • Typically less cost involved with computer equipment compared to server based.
  • Full time IT department at the hotel may not be necessary. 
  • Remote access is easy when owner, manager or reservationist is not at the property and they need access to the property management system from a different location. 
  • Consistent Data backup is completed at the data centre.(You need to verify this with your vendor, see the Service Level Agreement provided by your vendor for more information.)
  • Software enhancements and upgrades are typically done regularly and easily.
  • Quick deployment.

Disadvantages of web based

  • Does not work optimally without a good quality high speed Internet connection.
  • Data access is dependent on the Internet connection being available.
  • Not a good choice for areas that have unreliable internet connections.

Server Based:

A server based system is one in which the server is on-site at the hotel. When an employee accesses the property management system data such as looking up an existing reservation or checking in a guest at your hotel, they do so using a terminal that provides access to the data on the server.  

Advantages of server based

  • Internet not needed.
  • Data is physically located at the hotel.
  • Have more control over data? (This is debatable)

Disadvantages of server based

  • Costs to setup and maintain are typically higher than web based systems
  • Backup is done at the property and may not be tested for integrity or may be forgotten.
  • Data is physically located at the hotel; data security may not be as high.
  • Software enhancements and upgrade need to be applied via modem, internet or CD and are done less frequently due to the slower procedure.

Notes:

With Web based hosted solution property management systems now being readily available, reliable and proven, having a server based system with data located on-site may no longer be deemed an advantage.

A server based system may crash or a web based system may not be available due to an internet outage. In both cases, a manual backup plan is key to carrying on with crucial business until the system is once again available. Having the front desk staff run reports on a regular basis or having automated reports print at regular intervals throughout the day/night is always a good idea. 

There are web based systems that create an auto backup of reports locally on each personal computer that is logged into the property management system application.  

In the event of an internet outage with a web based system, guests can be checked in and out from another physical location in order to keep the property management system records current, and reports can also faxed to the Hotel during the internet disruption.  It is also possible to have two different internet providers so if one goes down, it is possible to switch over to the other.

With a server based system there may be a backup server that take over in the event of a server crash or in the event of a hard drive crash another hard drive that kicks in as a replacement.  During the evaluation process is the time to ask questions about backup and the options that the vendor has available to your business.

I will say here that I am not an expert in the field of data security however I do know that the key to data security with either type of system is defined by the policies and procedures that are in place throughout your organization.  For server based systems, if a server room is not secure, then your data is not secure. For both web and server based, if someone has unauthorized access to the property management system then your data/guest data is not secure.

There are both server based and web based systems that meet the Payment Card Industry, Data security standards so I can't say one is more secure than the other.  It would however be advisable that the property management system you decide to purchase meets the payment card industry data security standards.


Good luck with the evaluation process.

Jeff Sefton

See article on PCI DSS

PCI DSS = Payment Card Industry, Data Security Standards "The PCI DSS, a set of comprehensive requirements for enhancing payment account data security, was developed by the founding payment brands of the PCI Security Standards Council, including American Express, Discover Financial Services, JCB International, MasterCard Worldwide and Visa Inc. Inc. International, to help facilitate the broad adoption of consistent data security measures on a global basis." Source: PCI Security Standards Council