Front Office Case Study

784 Words4 Pages

Student Number: 21269959
Module Leader:
Module Code: TH5BA390
Level: 5
Module: Front Office
Assessment: 1 A
Date of Submission: 07-11-2014

The essay discusses about revenue per available room (RevPar) and gross operating profit per available room (GOPPAR) as comparing, contrasting and appraising one of the topic with specific reasons. The essay elaborates starting from a comparison between the two topics and later moving into contrast and appraisal for anyone with justification.
GOPPAR or gross operating profits an evaluation of GOP (sales – cost per good sold), in which the GOP is identical to total income subtracted from the total department and other operating expenses (Robert Woods, 2007). And as per RevPAR or room’s …show more content…

As per David K. Hypes GOPPAR as such is seen as the most prominent and efficient tool use now days in hotel industry as it takes into account the cost that is spend in earning the room and non-room revenue.(It allows to satisfied or sometimes exceeds the set target or bench mark that is said by a property which helps in establishing focus and strategic analysis for further progress. According to ( ) GOPPAR has becomes a field topic of discussion for corporates and CEO of the company for deciding on their profit circle with respect to different areas which has now enlarged to a bigger picture of concern whenever deciding on the profit or loss of the organization. As checking on the flows of the staffs working under the operation and sales section as one consider the cost and the other relies only on the profit without checking on the income incurred as cost (James A. Bardi, 2012). As per Allisha A. Miller GOPPAR helps the hotel in understanding its fluctuating cost of different department which could be taken into consideration as increasing the revenue in the long term by controlling the extra cost incurred, gross operating profit does calculates the hotel’s total revenue through expenses (that could be directly controlled by the …show more content…

The conclusion is built upon the study and research made on both the topics, favoring gross operating profit per available room with detailed justification.

BIBOLOGRAPHY
Bardi, James, A.(2011).Hotel Front Office Management, 5th Edition, John Wiley and Sons, Inc., Hoboken, New Jersey, Canada.
Hayes, D.K. & Miller, A.A. (2011) Revenue management for the Hospitality Industry, Hoboken: John Wiley & Sons.
Robert H. Woods, Jack D. Ninemeier, David K. Hayes, Michele A. Austin, (2007), Professional Front Office Management. Dorling Kindersley (India) Pvt. Ltd, New

Open Document