Index

Operations Management in the Hospitality Industry

ISBN: 978-1-83867-542-4, eISBN: 978-1-83867-541-7

Publication date: 10 June 2021

This content is currently only available as a PDF

Citation

(2021), "Index", Szende, P., Dalton, A.N. and Yoo, M.(M). (Ed.) Operations Management in the Hospitality Industry, Emerald Publishing Limited, Bingley, pp. 243-252. https://doi.org/10.1108/978-1-83867-541-720211012

Publisher

:

Emerald Publishing Limited

Copyright © 2021 Emerald Publishing Limited


INDEX

ABC analysis for ordering and prioritizing
, 130–133

Accessibility
, 47

Accor
, 26–27

Accountability
, 223

Actual capacity
, 171

Adjustable capacity
, 183

Admission
, 33

Agglomeration effect
, 47–48

Airbnb
, 39, 199

Airlines
, 87

Amadeus
, 87

Ambience design
, 60

colors and finishes
, 61

FF&E
, 62

lighting
, 61

American Automobile Association (AAA)
, 15, 201, 204

American Hotel and Lodging Association (AHLA)
, 66

American Society for Quality (ASQ)
, 224

Americans with Disabilities Act of 1990 (ADA)
, 58–59

Analysis ToolPak
, 84

Analytical queuing models
, 52

Appraisal costs
, 203

Arrival process
, 172, 175

Arrival rate
, 172

Artificial intelligence (AI)
, 62, 120

Assembly line
, 55

Assurance
, 193

Attrition
, 149–151

Auditing
, 199–200

Availability
, 15

Avero
, 88

Back-of-house staff (BOH staff)
, 155

Balanced scorecard
, 233

Balking
, 180

Bottlenecks
, 28–29, 55

Bottom-up method
, 75

Brainstorming
, 230

Brand experience
, 35

Branding
, 26

Breaks
, 157

Building information model (BIM)
, 65

Bundling
, 33

Business analytics
, 232–233

Business process management system (BPMS)
, 233

Capacity
, 73, 96, 170–172

analysis
, 28

management
, 170

planning
, 52

Case by case
, 205

Causal models
, 77–79

Cause-and-effect diagrams (see Fishbone diagrams)

Central reservation system (CRS)
, 106

Change

guidelines
, 235

motivators and hindrances
, 234

natural
, 233–234

pitfalls
, 234–235

theory and management
, 233

Channel placement
, 32

Channels
, 174

Chase demand strategy
, 74, 102, 181

Chautauqua Institution
, 25–26

Chili’s Grill & Bar
, 14, 184

Chipotle Mexican Grill
, 55, 122

Choice Hotels
, 47

CitizenM
, 55

CLEAR
, 186

Close-out or block (see Stop-sell)

Closed inventory
, 102

Closed to arrival (CTA)
, 102

Closed-loop feedback
, 205

Cloud Kitchens
, 57, 102

Colors
, 61

Competitive analysis
, 87

Competitive dimensions of operations strategies
, 15–16

Complementary services
, 184

Conditional spillover
, 204

Constant level strategy
, 102

Constraints
, 170–172

Continuous innovation
, 35–36

Control limits
, 222

Convenience
, 15

Coproduction
, 29

Cost of poor quality (COPQ)
, 203–204

Cost of quality (COQ)
, 203

Cost of walk (COW)
, 101

Cost per occupied room (CPOR)
, 147

Cost–benefit analysis(seeDisplacement analysis)

COVID-19
, 2

crisis
, 66

pandemic
, 119–120

Critical adjacencies
, 56

Cross-impact analysis
, 76

Cross-training
, 157

employees
, 182

Cues
, 28, 61

Customer
, 202–203

expectation–management perception
, 193–194

interface
, 35

journey maps
, 36

loyalty
, 9–11

participation
, 183

satisfaction
, 10–11

Customer and delivery routes
, 57

Customer engagement
, 198–199

CE11
, 198

Customer experience management (CEM)
, 24, 34

framework
, 34

Customer relationship management (CRM)
, 29

Cut-off date
, 99

Daily schedules
, 155–156

Data requirements for layout decisions
, 49–52

Decision matrices
, 123, 224

Decision support system (DSS)
, 96

Defects (see Service—problems)

Define, Measure, Analyze, Improve, and Control (DMAIC)
, 220–222, 224–232

Delphi method
, 76

Demand
, 73

management
, 172

Dependability
, 15

Design capacity
, 170

Detractors
, 199

Dettol
, 66

Disney
, 31, 183, 186

Disney’s free model
, 183

Disneyland Resort
, 31

Displacement analysis
, 106

strategic capacity inventory with
, 104–106

Disruption
, 119–120

Distribution channels
, 103

principles of distribution channels management
, 106–108

DoorDash
, 57

Downstream flows
, 118

Duetto’s Scoreboard
, 83–84

Dunkin
, 3

Duration
, 174

Early intervention
, 205

Econometric models
, 79

Economic order quantity (EOQ)
, 127

formula
, 127–130

Economic standards
, 147–148

Economies of scale
, 126

Education
, 25–26

Effective capacity
, 171

Efficiency
, 171

80/20 rule (see Pareto principle)

Empathy
, 193

Empirical rule
, 228

Employees
, 30

retention and productivity
, 10

satisfaction
, 10

Enterprise resource planning systems (ERP systems)
, 134

Entertainment
, 26

Environmental psychology
, 61

Ergonomics
, 58

Errors
, 87

Escapism
, 26

Esthetic
, 26

Evaluation scoring
, 123

EVEN Hotels
, 61, 87

Excel
, 84

Excess demand
, 73

Excess supply
, 73

Experience realms
, 25

Experiential platform
, 34–35

Explicit services
, 8

Exponential smoothing
, 81–82

with trend adjustments and/or seasonal adjustments
, 82–83

External accountability
, 201

External factors
, 47, 76

External failure costs
, 204

External service value
, 10

Facilitating goods
, 7

Facility layout
, 53

process flow analysis
, 55–57

space allocation strategies
, 53–55

Factic
, 84

Fairmont Washington, D.C., Georgetown
, 27, 63

Fair Labor Standards Act (FLSA)
, 155

FASTPASS
, 183

Finishes
, 61

First come, first served (FCFS)
, 175

First in, first out (FIFO)
, 175

Fishbone diagrams
, 218–219

Five Whys
, 218

Fixed labor hours
, 146

Fixed payroll costs
, 146

Flexible schedule techniques
, 156–157

Flowcharting
, 215

Flowcharts
, 36

Fluctuating demand
, 85

Food and beverage (F&B)

labor strategies
, 152–155

outlets
, 54

Forbes Travel Guide
, 15, 201

Forecast errors
, 83

Forecasting
, 72, 75

factors
, 76

hospitality demand and supply
, 73–74

methods
, 76–84

Four Seasons Hotels & Resorts
, 15

French Laundry
, 15

Front-of-house staff (FOH staff)
, 155

Full-pattern length of stay
, 103

Full-time equivalents (FTEs)
, 149

Furniture, fixtures, and equipment (FF&E)
, 62

Galaxy’s Edge
, 31

Gamechanger by Duetto
, 83–84

Gemba walks
, 219–220

Generation Z
, 55

Ghost kitchens
, 57

Global distribution system (GDS)
, 87, 107

Global Entry
, 186

Google
, 15

Grand Hyatt Baha Mar
, 61

GrubHub
, 57

Guest experiences

analyzing experiential world of customer
, 34

brand experience
, 35

components of
, 24–34

continuous innovation
, 35–36

customer interface
, 35

designing
, 34–36

experiential platform
, 34–35

modeling and visualizing
, 36–37

Guest problems

causes of
, 202–203

consequences
, 203–204

resolution of
, 204–206

Hard costs
, 204

Hard Rock Café
, 27, 38

Hawthorne effect
, 220

Hillstone Restaurant Group
, 61

Hilton CleanStay Initiative
, 66

Hilton Gro
, 87–88

Hilton Hotels & Resorts
, 8, 27, 66

Historical analogy
, 77

Holding costs
, 126, 128

Homes & Villas by Marriott International (HVMI)
, 39

Hospitality

characteristics
, 73

decisions and processes
, 8

demand and supply
, 73

industry
, 2

managing demand
, 74

managing supply
, 74

operations management
, 2

service concepting
, 8–9

service-profit chain
, 9–11

supply chain management
, 118–120

Hôtel Ritz Paris
, 18

Hurdle prices
, 88

Hyatt Hotels & Resorts
, 66

Hybrid layout
, 57

IDeaS G3 by SAS
, 83

Ideation
, 202

Implicit services
, 8

Incidental fees
, 33

Innovation
, 202

Inspecting
, 199–200

Instrumental experiences
, 196

InterContinental Hotels Group
, 61

Internal accountability
, 201

Internal factors
, 47, 76

Internal failure costs
, 203

Internal service quality
, 10

International Organization for Standardization (ISO)
, 123, 195

Internet of things (IoT)
, 65

Inventory control

allocating capacity among different customer groups
, 99

main products and ancillary products and services
, 99–100

management and principles of space inventory
, 102–108

overbooking
, 100–102

and planning
, 98–102

and space optimization
, 96–98

Inventory management, 125 (see also Project management)

alternative methods
, 133–135

optimizing
, 127–133

role and scope
, 125–127

Inventory profile
, 127

Inventory-based restrictions
, 102–103

Irregular shift scheduling
, 156–157

Jamba Juice
, 34–35

Jockeying
, 180

Kaizen
, 35, 215

Key performance indicators (KPIs)
, 233

KFC
, 17

Kitchen United
, 57

Labor hours
, 146

Labor investment
, 158

Labor productivity
, 144–146

Labor scheduling

effective planning of
, 155

flexible schedule techniques
, 156–157

FLSA
, 155

labor investment
, 158

lateral service
, 157–158

managing scheduling challenges and real-time decision making
, 158

scheduling
, 155–156

Labor standards
, 148–149

Labor strategies
, 151

food and beverage labor strategies
, 152–155

lodging labor strategies
, 151–152

Lag capacity strategy
, 181

La Quinta Motor Inns
, 48

Lateral service
, 157–158

Layout decisions, data requirements for
, 49–52

Lead capacity strategy
, 181

Leadership support
, 223

Lean
, 215–220

applying
, 224–232

blending
, 222

implementing
, 223

manufacturing
, 215

production
, 215

toolbox
, 224

tools
, 215–220

Level capacity strategy
, 74, 180–181

Lighting
, 61

Little’s Law
, 52, 178

Location decisions
, 46

location selection
, 46–48

site selection
, 48–49

Lodging labor strategies
, 151–152

Long-term forecasting
, 75

Low variable to fixed cost ratio
, 86

Lysol
, 66

Malcolm Baldrige National Quality Award
, 239

Man-hours per occupied room (MHPOR)
, 151

Management by walking around (MBWA)
, 219

Management perception–service specification
, 194

Manufacturing resource planning II systems (MRP II systems)
, 134

Markovian queueing models
, 174, 176

Marriott International
, 15, 27, 29, 39, 62, 66–67, 87–88, 151

Marriott’s Global Cleanliness Council
, 66–67

Mass services
, 4

Match capacity strategy
, 181

Material requirements planning system (MRP system)
, 133–134

Maximizing efficiency during peaks
, 181–182

Maximum length of stay (MaxLOS)
, 103

Mayo Clinic’s Infection Prevention and Control team
, 66

McDelivery
, 17–18

McDonald’s
, 15, 17–18, 29, 126, 185

Mean absolute deviation (MAD)
, 83

Mean absolute percent error (MAPE)
, 83

Mean squared error (MSE)
, 83

Michelin Guide
, 201

Medieval Times Dinner & Tournament
, 26

Medium-term forecasting
, 75

Midwest hotel
, 165

Millennials
, 55

Minimum length of stay (MinLOS)
, 102–103

Minute per room (MPR)
, 148

Moments of truth
, 28

Mood
, 26–27

Moxy Hotels
, 55

Multiple regression models
, 78–79

21c Museum Hotels
, 26

Mystery shopping
, 199–200

N-period moving average
, 80

Naive approach
, 80

Near-field communication (NFC)
, 133

Net Promoter Score (NPS)
, 199

No-shows
, 74

North American Association of Food Equipment Manufacturers (NAFEM)
, 53

Objectives of business
, 50

Occupancy
, 98

Offshoring
, 120

Olive Garden
, 29

On-call employee
, 157

One Yield
, 87

Online reputation management
, 200

Online travel agencies (OTAs)
, 106

Open inventory
, 102

OpenTable
, 200

Operating supplies and equipment (OS&E)
, 31

Operations strategy
, 13

for hospitality services
, 13–16

Opportunity costs
, 204

Ordering costs
, 128

Organizing idea
, 8

Overbooking
, 74, 100–102

Overtime
, 157

Pain points
, 36

Panera Bread
, 29

Pareto principle
, 130

Pars
, 126

Part-time employees
, 156, 182

Payroll expenses
, 145–146

Perception management
, 180

Performance improvement
, 202

Perishable inventory
, 85

Personal protective equipment (PPE)
, 119

Personalization
, 15

Physical environment
, 31, 60

Physical ergonomics
, 58

Physical inventory
, 125

Plan, Do, Check, Act cycle (PDCA cycle)
, 222, 237–238

Planning for expansion
, 59–60

Point-of-sale systems (POS systems)
, 88, 155

Poisson process
, 173, 175

Prevention costs
, 204

Price
, 15

Pricing
, 184

Prioritization matrix
, 231

Process flow

analysis
, 55–57

diagram
, 36

Process mapping
, 215–216

Process-oriented layout
, 56

Procurement
, 120–122

Product, process, people, physical evidence, place, promotion, and price (Seven Ps)
, 25–34

Product sold in advance
, 86

Product-oriented layout
, 55

Productivity
, 144–145

standards
, 147–148

Professional services
, 4

Project charter
, 220

Project management, 235(see also Inventory management)

five processes
, 235–236

project formation
, 237–238

unique aspects of projects
, 237

Promoters
, 199

Promotion
, 184

Property management system (PMS)
, 96–97, 155

Proprietary reviews
, 200–201

Props
, 31

Psychology of waiting
, 179–180

Public goods and services
, 48

Purchasing cost
, 130

Quality
, 15

control
, 195

improvement
, 195

management system
, 195

Quality assurance

alternative tools and methods
, 200–201

auditing, inspecting, and mystery shopping
, 199–200

customer engagement
, 198–199

external accountability
, 201

ideation and innovation
, 202

internal accountability
, 201

for management
, 201

for measurement
, 195

NPS
, 199

performance improvement
, 202

SERVQUAL
, 196–197

surveying
, 196

Quantity demanded
, 50

Queue

discipline
, 175

management
, 180

moderating capacity
, 180–183

moderating demand
, 183–184

Queueing

fundamentals of queueing theory
, 172–175

mathematical models for
, 175–178

Queuing theory
, 52

Quick-service restaurant (QSR)
, 53

Rack rate
, 98

Radio-frequency identification (RFID)
, 65, 133

Rainforest Café
, 27

Rate fences
, 103

Rate parity
, 107

Real-time decision making
, 158

Regression models
, 78–79

Relative location problem
, 56

Relatively fixed supply
, 85

Reliability
, 193

Renaissance Hotels
, 27

Reneging
, 180

Rental equipment
, 182

Reputation
, 15

Request for proposal (RFP)
, 97

Reservations systems
, 183–184

Reshoring
, 120

Residence Inn
, 27

Resolution of guest problems
, 204–206

Resources
, 223

Responsiveness
, 193

Restaurants
, 88

Return on investment (ROI)
, 158, 222

Revenue
, 87

Revenue management (RM)
, 96

Revenue per available room night (RevPAR)
, 87

Revenue per available seat hour (RevPASH)
, 87, 152

Revenue per available seat mile (RevPASM)
, 87

Revenue per available time-based inventory unit (RevPATI)
, 97–98

Ritz London, The
, 18

Ritz-Carlton Hotel Company, The
, 7–8, 18, 27, 32, 157, 181, 199, 239

Root cause analysis (see Five Whys)

Routing
, 50

Royal Caribbean
, 240

Sabre reservation system
, 87

Safety
, 15

stock
, 120

Sample business analytics tools for forecasting
, 83–84

Sample sizes
, 221

SAS
, 84

Scheduling, 155–156 (see also Labor scheduling)

challenges
, 158

systems
, 183–184

work shifts
, 182

Scorecard by Duetto
, 83–84

SeaWorld
, 186

Segmentation
, 196

Segmented markets
, 85

Self-service concept
, 183

Sell-through
, 103

Server utilization
, 176

Servers
, 174

Service availability
, 5

matrix
, 6

Service delivery
, 4

matrix
, 5

Service delivery–external communication
, 195

system
, 13–14

Service demand
, 6

matrix
, 7

Service environments
, 202

additional workflow considerations
, 57–60

ambience design
, 60–62

data requirements for layout decisions
, 49–52

facility layout
, 53–57

location decisions
, 46–49

Service experiences

components of guest experiences
, 24–34

designing guest experiences
, 34–36

modeling and visualizing guest experiences
, 36–37

Service failures and recovery
, 202

causes of guest problems
, 202–203

consequences of guest problems
, 203–204

resolution of guest problems
, 204–206

Service nature
, 4

matrix
, 5

Service process
, 3

matrix
, 3–4

Service quality
, 192

dimensions
, 192–193

gap model
, 193–195

Service standards
, 146

attrition
, 149–151

labor standards and staffing models
, 148–149

productivity and economic standards
, 147–148

service standard–service delivery
, 194–195

Service(s)
, 3

agents
, 174

blueprint
, 36

capacity
, 6

concept
, 11–13

concepting
, 8–9

dimensions
, 3–6

encounters
, 28

execution
, 5

expectation–service perception
, 195

factories
, 3

information
, 7–8

itself
, 202

losers
, 16

marketing mix
, 25

mode
, 5

object
, 4

package
, 6–8

problems
, 202

product
, 14

provided
, 8–9

provider
, 202

qualifier
, 16

received
, 9

recovery paradox
, 205

result
, 4

scheduling
, 4–5

service-profit chain
, 9–11

setting
, 5, 14

shops
, 4

winner
, 16

Servicescape
, 31

SERVQUAL
, 196–197

Sheraton Hotels & Resorts
, 29–30

Sharing capacity
, 183

Short-term forecasting
, 75

Simple linear regression models
, 78

Site selection
, 47–49

Six Flags Entertainment Corporation
, 33, 183

Six Sigma
, 220–222

applying
, 224–232

blending
, 222

implementing
, 223

toolbox
, 224

Smoothing constant
, 82

Social media
, 200

Soft costs
, 204

Sort, set-in-order, shine, standardize, sustain (five Ss)
, 215

Sourcing
, 120

procurement and
, 120–122

suppliers management
, 124–125

suppliers selection
, 122–124

Space
, 50

optimization
, 96–98

Space allocation strategies
, 53–55

Space inventory

inventory-based restrictions
, 102–103

management and principles of
, 102

principles of distribution channels management
, 106–108

strategic capacity inventory with displacement analysis
, 104–106

strategic pricing
, 103–104

Spatial layout
, 49

Spatial program
, 51

Speed
, 15–16

Spirit Airlines
, 16

Split shifts
, 156

Staff organization

effective planning of labor scheduling
, 155–158

labor productivity
, 144–146

labor strategies
, 151–155

service standards
, 146–151

Staffing models
, 148–149

Standard deviations
, 220

Standard operating procedures (SOPs)
, 214

Starbucks Coffee Company
, 9, 183–184, 202

Starbucks’ Mobile Order & Pay program
, 183–184

STARR Restaurants
, 88

Statistical process control (SPC)
, 222–223

Statistically significant findings
, 226

Statler Hotels
, 46

Stay-through (see Sell-through)

Stimulus-organism-response paradigm (SOR paradigm)
, 61

Stop-sell
, 103

Strategic capacity inventory with displacement analysis
, 104–106

Strategic pricing
, 103–104

Strategic service vision
, 11

elements
, 11–13

St. Regis Hotels & Resorts
, 8

Subjective models
, 76–77

Substitute service recovery
, 206

Supplier

assessment
, 123

management
, 124–125

selection
, 122–124

Suppliers, Inputs, Processes, Outputs, Customers diagram (SIPOC diagram)
, 221

Supply
, 73

shocks
, 125

Supply chain

resilience
, 120

risk
, 119–120

Supply chain management (SCM), 118(see also Yield management)

hospitality supply chain management
, 118–120

inventory management
, 125–135

sourcing
, 120–125

Supporting facilities
, 7

Supporting services
, 50

Surveying
, 196

Sustainability
, 123

Systematic layout planning process
, 50

Systematic response
, 205

Tangibles
, 193

Target market segment
, 11

Terminal experience
, 196

Test for conformity
, 228

Test of proportions
, 227

THE FLASH Pass
, 33, 183

Theming
, 27

Three-sigma rule(seeEmpirical rule)

Throughput rate
, 28

Throughput time
, 28

Time series models
, 79–83

Timing
, 51

Top-down method
, 75

Total annual inventory cost
, 130

Total production system (TPS)
, 215

Total quality management (TQM)
, 214–215

Total relative cost
, 127

Touchpoints
, 28

Toyota
, 215

Training
, 223

Travelport
, 87

TripAdvisor
, 15, 200

Uber
, 7–8, 18, 57, 183

UberEats
, 18, 57

UberPool
, 183

Unbundling
, 33

Unconstrained demand
, 103

Union Square Café
, 40

Union Square Hospitality Group
, 88

Universal Orlando Resort
, 31

Unrestricted demand
, 104

Upstream flows
, 118

Urban development
, 48

U.S Bureau of Labor Statistics (BLS)
, 144

Utilization
, 171

Variable labor hours
, 146

Variable payroll costs
, 146

Variation
, 228

Virtual queueing
, 183

Visual management tools
, 216–218

Voice of the business (VoB)
, 192

Voice of the customer (VoC)
, 192, 226

Voice of the employee (VoE)
, 192

Voice of the process (VoP)
, 192

Vrbo
, 39

Walt Disney World Resort
, 16, 26, 31

Wash
, 99

Weekly schedules
, 156

Weighted moving average
, 80–81

Weighting models
, 123

Wolfgang Puck Restaurants
, 88

Work in progress (WIP)
, 125

Worldbuilding
, 31

Yelp
, 200

Yield management
, 85

applications
, 87–88

basic yield management math
, 86–87

benefits
, 87

YOTEL
, 29, 55