Hospitality Problems of Hilton - Assignment Example

Module Question New York is one the most prestigious cities in the world. The has one of the largest urban populations, with greater population living in the available residential houses. New York is a beehive of activities and attracts millions of people annually, with the hotels benefiting from increased tourist inflows. To ensure that visitors understand the meaning of ambiance, the hotels have managed to meet and even exceed the tourists’ expectations as they visit New York (Gee and Singh 269). They have marketed New York as a premier city to conduct business in as well as seek accommodation or even meals at reasonable prices with great service provided at all times. To understand the impact these hotels have in the city, the four set of hotels chosen include Four Seasons Hotel New York 57th Street, Tribeca Grand Hotel, DoubleTree New York at Times Square, and The Hilton Hotel on 6th Avenue. These hotels have a variety of features that make them standout among the best in the city as well as possess an increased number of reviews from enthusiasts across the world. They have set the standards that ought to prevail when one is setting up shop in the city as well as increased the number of options for visitors. Hilton is a brand that has managed to elicit much excitement in the world based on its increased number of locations. Its stellar performance in the area of service delivery has made it one of the premier hotels in the world with a high number of visitors happy with the services provided. The one at the 6th Avenue is one of the best in the city, with the hotel boasting of a 15,000 square feet of space. It has one of the largest hotel spaces in the city with 47 suites that house 1,932 rooms. Initially, the hotel started out with more than 2,000 rooms but had to decrease them in 1990 at a cost of $100 million. The hotel has improved on its presence in the world. It is the tallest hotel in New York and 101 in the world. It is located at the heart of the city, with easy access to the area. It is ideal for business people due to the rating as one of the strongest Wi-Fi connected hotels ideal for ardent internet users. It is a walking distance from the Times Square and Central Park amongst others. It boasts of having had the pleasure of hosting many presidents, something that tells of its stature and excellence in service delivery (Gee and Singh 272-5). Name of hotel Four Seasons Hotel New York Tribeca Grand Hotel DoubleTree New York at Times Square The Hilton Hotel on 6th Avenue Year built 1993 2000 1963 Last renovation 2004 - 2007 Number of rooms 400 201 468 1,932 Meeting room capacity - - 10,000 sq. ft. 15,000 sq. ft. Target customers Business/leisure Leisure Business/leisure Business Question two Property rooms require greater attention to ensure that people deal with issues as they arise. The impact this room has on a hotel as big as the Hilton is profound given the number of properties that require attendance. The hotel is situated at the middle of the city, something that makes it have so much to deal with as a way of getting better outlook on its features. The best way of dealing with such issues is by creating an organizational chart that details the main attributes within the organization. The main aim is to recreate a new chart that organizes the property room to meet the demands of the massive investment (Gee and Singh 278). The power aspects of this organization will be an ideal means to define what is needed and the structure in use for the sake of meeting the demands that comes with the job. The first person involved will be the managing director in charge of the maintenance department. This department is responsible for any renovations, buying and prospecting of the right properties, maintenance of the hotel’s premises, maintenance of the furniture and cars that belong to the company, as well as the growing need for replacement of some of the materials that have been in place for the last 50 years (Gee and Singh 288). Under this person will be another one who deals with issues that arise due to the maintenance of the bought properties as well as ensuring that everything can be accounted for. This individual will be directly answerable to the managing director. Under this, the head of department will be the supervisor general who deal with issues that regard the maintenance of properties within the organization. The role is to make sure that other supervisors perform their work as stipulated. The other rank is that of supervisors assigned to various departments to ensure there is a proper documentation practice that is taking place across the hotel. The role is to ensure that the employees assigned to deal with properties in the hotel are on time, trustworthy and are doing their work as expected. The main objective is to create a new platform where all employees can assure the company of their commitment towards protecting hotel property. The organizational chart will look as follows: Organizational chart showing the ranks within the property’s room at Hilton Hotel. Question three When making any sales, it is always important to have the best advice from experts. Sometimes, the outlook of any property could look or seem quite appealing whereas it is bound to result in losses if not inspected. The work of an Asset Management Cycle Manager is to maximize the value of assets by advising the organization on how to track assets throughout their lifecycles. This manager is a good addition to the negotiation team in any transaction because of the impact attained after making the right choice and basing every purchase on the objectivity of experts in that particular field. Furthermore, having such an asset management expert within the organization makes it very easy to deal with the arising issues within the organization (Harlow and Caldwell 2). They are very important when making choices to sell a property. They will provide the management with accurate data regarding the strategic placement of properties to assure the company of greatest profits. They also provide up to date information regarding the total cost of the asset. This allows the company to make better choices and define what is important for the growth of the organization at all times. This also allows them to keep track of the asset so as to improve on accountability and transparency issues (Harlow and Caldwell 3-5). This asset management manager is essential in benchmarking the asset management activities to maintain a clean bill of health within the industry. This allows them to make better choices when it comes to dealing with the timely decisions that define the role of the organization. The idea is to create a new platform for mitigating risks, maintaining a better balance at the costs and improving on the benefits of the assets over their lifecycles. When The Waldorf Astoria Hotel was recently sold by Blackstone to Anbang Insurance Group, the life management manager was a good addition that the new owner got. The owner was aware that the only of making sure that the property is worth the amounts stated would be by carrying out an inspection of all the properties owned previously by The Waldorf Astoria Hotel. This allowed the new owner to ascertain that the reports giving during the negotiation were correct. This will be only possible if the manager follows the steps of asset management. The first step is the acquisition that involves data importation and the analysis of the key performance indicators. The second step involves the implementation or the assignment process that involves tracking the assets within their geographic location. The third step is the reporting step. This involves the reporting of designs, remote collection of data as well as locating the geo-fences for all the properties. The fourth step involves maintenance that deals with the work order generation and tool tips customization processes. The last step deals with the disposal process that looks at the asset’s depreciation calculator and asset retirement process (Harlow and Caldwell 5). This process was important because it dealt with the viability of the investment being made then. The new owner needed some assurance that the process was legit. Question four The period of recession that characterized the period between 2008 and 2009 is slowly fading away as spending starts to increase, and business begins to boom (Gomez-Mejia, Balkin and Cardy 74). Despite the slowdown in the pace of room revenue in the years following the recession, the hotel industry has remained strong and has established new methods of sustaining their profitability. The average daily rates are rising albeit slowly due to the low inflation environment present and the expectation is for continued profit growth in the excess of 10% by the end of this year. The implication is that the period between 2011 and 2015 has been quite essential in boosting the performance of hotel industry as a whole (Mandelbaum & McDade). The double digits gain will be a long streak that will see the hotels benefit hugely from this, allowing them to participate in the expansion programs that some are undertaking to venture into new avenues for the growth of their business. The global market is opening up and providing more hope for a full recovery (Lattin 59). Despite the recession, resurgence in occupancy has been noted in some of the areas, with many big hotels managing to recall some of the staff to deal with the increasing numbers of guests that were checking in. the hoteliers were doing all they could to entice and appeal to their guests, and the trend has been impressive so far. Signs of improvement show an increase of close to 5.9% of combined revenue, something that shows a good way of dealing with the slowdown in RevPar gains, the goal has been to increase their performance and increase on hotel revenues from all departments (Mandelbaum & McDade). Question five With a union property in one’s possession, one of the best ways of managing it would be leasing it. This is a more cost-effective method that will gain the more money without having to strain. Provided the owner meets all the requirements, it is very easy to run this business, making it easy to deal with the emergent issues. The goal is to create a new platform for the growth of the business, and provide it with the properties that identify the growing markets (Gee and Singh 123-2). The services provided will be within the law and will assist in the achievement of the ideal goals of the owner. With leasing services readily available within the New York City, it will be quite easy to get clients, and this will make the business prospective since it will look for the highest bidder (Chen 196-8). Leasing has several benefits. One of them is that it is less capital intensive. This allows an owner to make more money while spending less time monitoring the premise. It cushions the owner from ant fluctuations in capital assets. This allows for the shifting of risks to the individual that leases the premise. The depreciation of capital assets also shifts considerably from the owner of the premise, and that is an important way of looking at it. The only problem that may occur for the owner is whether the resale value will increase or decrease when the time for this sale happens. The goal should not be to limit the owner when he or she seeks to end the lease process and resell the premise for personal benefits. This is something that owners need to reassure themselves for the sake of creating a strong business opening. For this option, leasing rather than the offering of three meals per day would be a better option. Works Cited Chen, Joseph. Advances in Hospitality and Leisure. Boston, MA: Emerald Group Publishing, 2009. Print. Gee, Chuck Kim, and A. J. Singh. International Hotels: Development and Management. Thousand Oaks: Prentice Hall PTR, 2012. Print. Gomez-Mejia, Luis R., David B. Balkin and Robert L. Cardy. Management: People, Performance, Change, 3rd edition. New York, New York USA: McGraw-Hil, 2008 Harlow, Brown K. and James Caldwell. Asset Management: The Life-Cycle Approach. Irvine, CA: McGraw Hill, 2011. Print. Lattin, Gerald W. The Lodging and Food Service Industry. New York: Pearson College Division, 2012. Print. Mandelbaum, Robert and McDade, Gary. U.S. Hotels In Profitable Portion Of Business Cycle. 2014. Web. 22 March 2015. Read More