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Report on Holiday Inn

Chapter No. 1
EXECUTIVE SUMMARY
Holiday Inn Multan is only international standard hotel in Multan.

Structure at Holiday Inn Multan is divided into eight

departments. The management of hotel is used strategic

management concept and they find their strength and weaknesses

through the process of internal assessment. The tools for

gathering the data is feed back from Guest Comment Cards,

Inspection by head office, complaints, Inspections by G.M.,

Manager on special duty and this data is assimilated and

evaluated in meeting where the strategies are built to eliminate

the problems and gain competitive edge over competitors.

Chapter No. 2 Literature


Review
INTERNAL ASSESSMENT
Internal Audit is the part of the strategic Management process. All organizations
have strengths and weaknesses in the functional areas of business. Internal
strengths /weaknesses coupled with external opportunities/Threats and a clear
statement of mission are establishing objectives and strategies. Objectives and
strategies are established with the intention of capitalizing upon internal strength
and overcoming weaknesses.

The key internal forces include.

 Management

 Marketing.

 Finance/Accounting

 Production/Operations

 Research and development.

 Computer information system

There are many areas with in these function, such as customer

service, warranties, advertising, packaging under marketing.

REASON FOR AUDITING


A FIRM STRENGTH THAT CANNOT EASILY MATCHED WITH

COMPETITORS ARE CALLED DISTINCTIVE COMPETENCIES

.BUILDING COMPETITIVE ADVANTAGES INVOLVES

TAKING ADVANTAGE OF DISTINCTIVE COMPETENCIES.

FOR EXAMPLE, 3M EXPLOIT ITS DISTINCTIVE

COMPETENCE IN RESEARCH AND DEVELOPMENT BY

PRODUCING A WIDE RANGE OF INNOVATIVE PRODUCTS.

STRATEGIES ARE DESIGNED IN PART TO IMPROVE ON A


FIRMS WEAKNESSES, TURNING THEM INTO STRENGTHS,

AND MAY BE EVEN INTO DISTINCTIVE COMPETENCIES.

THE PROCESS OF PERFORMING AN INTERNAL AUDIT

Representative managers and employees from throughout the

firm need to be involved in determining a firms strengths and

weaknesses. The internal audit requires gathering and assimilating

information about the firms management, marketing,

finance/accounting, production/operations, research and

development, and computer information systems operations.

Compared to the external audit, the process of performing an

internal audit, provides more opportunity for participants to

understand how their jobs, departments, and divisions fit into the

whole organization. When marketing and manufacturing managers

jointly discuss issues related to internal strengths and

weaknesses, they gain a better appreciation of issues, problems,

concerns, and need in all the functional areas. In organizations

that do not use strategic management, marketing, finance, and

manufacturing managers often do not interact with each other in

significant ways. performing an internal audit thus is an excellent

vehicle or forum for improving the process of communication in

organization.
MARKETING

Marketing can be described as the process of defining,

anticipating, creating and fulfilling customers needs and wants

for products and services .

There are the nine basis functions of marketing.

1. Customer Analysis

2. Buying Supplies

3. Selling Products/Services

4. Product And Service Planning

5. Pricing

6. Distribution

7. Marketing Research

8. Opportunity Analysis

9. Social Responsibility

MANAGEMENT

The function of management consists of five basic activities.

Planning
planning consist of all those managerial activities related to

Preparing for the future.

Organizing

Include all those managerial activities that result in a

structure of task and authority relationships.

Motivating

Motivating involves efforts directed towards shaping human

Behavior.

Staffing

Staffing activities are centered on personal on human

resource management.

Controlling

Controlling refers to all those managerial activities directed

towards assuming that actual results are consistent with

planned results.

Finance / Accounting

Financial condition often considered the single best measure of a

firms competitive position overall attractiveness to investors


determining an organizations financial strengths and weaknesses

is essential to formulating strategies effectively. A firm’s

liquidity, leverage, working capital, Profitability, asset utilization,

cash flow and equity can eliminate some strategies as being

feasible alternatives financial factors often alter existing

strategies and Change implementation plans.

Production/ Operations

The production/operations functions of a business consist of all

those activities those transform inputs into goods and services

production/ operation management deal with inputs

transformations and outputs that vary across industries and

market Production/Operations management comprises five

Functions or decision areas.

 Process.

 Capacity.

 Inventory.

 Workforce.

 Quality.

Research And Development


The fifth major area of internal operations that should be

examined for specific strengths and weaknesses is research and

development.

Many firm conduct research and development. The best managed

firms today seeks to organize research and development

activities in a way that break the isolation of R&D form the rest

of the company and promote a sprit of partnership between R&D

managers and the others managers of firm. Research and

development in firm can take two basic forms

Internal research and development in which an organization

operates its own R&D department.

External research and development: in which a firm hires

independent researchers and independent agencies to develop

specific product.

Computer Information Systems

Computer information systems purpose in to improve the

performance of an enterprise by improving the quality of

managerial decision.

A computer information system receives raw material from both

the external and internal evaluation of an organization. It gathers


data about marketing, finance, production and personnel matters

internally and social ,cultural, demographic, environmental and

other technological and competitors factor externally. Data are

integrated in ways needed to support managerial decision making.

Chapter No. 3 Organization’s


History
HOLIDAY INN
History of hotel industry

The Hotel industry is among the top three constituents of the

world economy after oil and autos growing faster than the

petroleum and arms. It is larger than automobile industry in

Japan, agriculture in the U.S.A. and banking in Switzerland.

Although service concern industries are contributing for the comfort and
business provision for the people all over the world but it took long time to
recognize hotels as the main and most useful industry in Pakistan. The path
of recognition to this industry was paved in 1980 when Prime Minister of
Pakistan “ Benazir Bhutto’ declared it as a industry under certain act.

It leads to the development of hotel industry. It helped the

owners of the hotel to think more seriously so that hotel can

provide the benefits to the economy of our country through

attracting foreign tourists in this region.


The industry in Pakistan is not very large to begin with . The

major player are of course the Pearl Continental, Sheraton,

Marriott and Holiday Inn chains and then there is a Serina hotel

chain which is basically at the more prominent tourist spot.

 PEARL CONTINENTAL.

 SHERATON.

 MARRIOT.

 HOLIDAY INN WORLD WIDE.

Introduction of Holiday Inn world wide

HIWW is the largest hotel chain offers the exceptional value

service in more than 80 countries of the world with more than

1900 resorts world wide. With 5 hotels types. HIWW is was

established in 1950 . There is also a Holiday Inn hotel for every

travel occasion. It is owned by Bass International based in

America .

MAJOR TYPES OF HOLIDAY INN

1. Holiday Inn Crowne Plaza

These are Holiday Inn World wide premier properties located in

major gateway cities and designed primarily for business


travelers. These include Crown Plaza club floors, lounges, and

comprehensive meeting rooms, executive rooms, and health club

with pool. Holiday Inn Crowne plaza hotels in Europe , Africa and

Asia pacific provides outstanding sport for business travelers ,

superior meeting facilities and a professional conference staff ,

plus intensive business services .

2. Holiday Inn Crown Plaza Resort

Crowne Plaza Resort in Europe , Africa and Asia Pacific also

provide extensive health and fitness facilities as well as leisure

service/concierge desk to assist in arranging resort activities

which include supervised programs. These hotels are located in

premier resorts destination worldwide. They offer high caliber

resorts experience at excellent value for money.

3. Holiday Inn Hotels

Holiday Inn hotels are Conveniently located in small towns,

gateways near airports for business and shopping throughout the

world. They provide a restaurant , a lounge ,Business Center and a

range of different facilities .

4. Holiday Inn Resort


Holiday Inn Resort located in inviting resort destination around

the world. Holiday Inn resort features a full array of activities

for families including children’s club .They are also known as

Holiday Inn “Sunspree Resort” in America.

5. Holiday Inn Express.

Holiday Inn Express are simplified version of traditional hotels

designed for travelers who do not want or need full service. In

Asia Pacific each hotel has a restaurant , a breakfast bar and a

rapid check in/out .

Asia Pacific

Asia Pacific region offers around 77 hotels situated in 16

countries of Asia offering about 21,000 guest rooms. Asia

Pacific countries are controlled by the head office situated in

Hong Kong.

Holiday Inn In Pakistan.

In Pakistan HIWW has a chain of 4 hotels.

1. Holiday Inn Crowne Plaza Karachi.

2. Holiday Inn Islamabad.

3. Holiday Inn Multan.


4. Holiday Inn Lahore

Holiday Inn Multan


Established in October 1994, situated at 76-Abdali Road

Holiday Inn Multan is the only international standard hotel in

Multan. It is a beautiful combination of quality and business

facility for travelers and business community. Being situated in

the business locality of Multan it is now approaching towards the

international standard by attracting the business of

Pharmaceutical Companies, Embassy, and Foreign Travelers and

has opened its gate for the tourists in this region . Holiday Inn

Multan is working with 216 employees , has 98 rooms and 3

banquet halls with a very little parking lot .It is almost a three

star hotel having an area of 2000 yards.

ORGANIZATION SETUP OF HOLIDAY INN MULTAN

Holiday Inn Multan officially announced in July 95 have adopted a

functional structure . Basically HIWW is a “Franchised System”

in which a main quality control head office is established and the

Franchise is granted to different owners of the hotels. The hotel

, in turn pays the royalty for the name “Holiday-Inn” and strictly

implement the standards.


Structure of HIM is divided on the basis of functions. Following

departments are presently working in the hotel .

 General Account Department


 Front Office and Reception

 Food & Beverages

 Sales & Marketing


 Engineering
 Laundry
 House Keeping
 Human Resource Department

Beside this, hotel has 3 major outlets

 Mehfil Restaurant

A buffet corner for Continental and Pakistani dishes.

 Shang Palace

Offering typical Chinese food in sophisticated ambience with

moderated price.

 TGI-76
It provides 24-hours service , Hi-tea, snacks and ice-cream to

customers.

Hotel has overall 98 rooms with 5 suits. It also has 3 banquet

halls, 5 small meeting rooms, swimming pool and direct access to

the world wide reservation through Holidex System.

Chapter No. 4 Case Study


Internal Assignment in Holiday
Inn Multan
This report covering the procedure of internal assignment at

Holiday Inn Multan. For different types of organization such as

hospital universities Govt. agencies and hotels the functional

business areas of course differ. So structure at holiday Inn

Multan is divided on the basis of function following department

are presently working in the hotel.

 General Account Department


 Front Office and Reception

 Food & Beverages

 Sales & Marketing


 Engineering
 Laundry
 House Keeping
 Human Resource Department

There are many sub-area in these department like in HRM

department the sub-area is security checkup and in general

account department sub-area is purchase department.

As in one country majority of population proves to be laggards

this is all become of literacy rates and limited scope. Especially in

Multan people still think a hotel to be a luxury because of social

back ground Holiday Inn Multan had to face great problems in the

beginning but its management tried hard to change the concept of

management and making them aware of “what is called

International STD” people are only price conscious not quality so

business is not growing much faster.

As requirement of our , we first give process of performing

internal and audit then there strength and weakness overall and

with respect to every department.

Process of Internal Audit at Holiday Inn Multan


The process of internal audit at Holiday Inn Multan carried out in

different ways. First the information are gathered them

assimilated and evaluated.

Following are the ways through which information are gathered in

the organization.

Forms

The head office send form to Holiday Inn Multan. The main

content of this form is about all services and product offering in

the hotel. Guest fill this form at the time of check out. These

forms are only available in room. The management of Holiday Inn

Multan take special care of these form because it is necessary

for them to send same number of form back to head office at the

end of month which he was received at the beginning of month.

Guest Comment Card

It is also a tool for estimating the level of service at the hotel.

These cards are provided at each outlet with related question to

that outlet. This gives a quality of data about strength and

weakness.

Inspection By the Head Office


Generally once a years team from head office visit the hotel and

sometimes it is unannounced. He prepares the detail report of

each and every practice during their two days stay. This report is

presented to General Manager and Head Office in Hong Kong

Copy of this report is distributed among department and target

date for adjustment and rectification is set General Managers

periodically reviews the progress and keep contact with Head

Office.

Complaints

It is also a source of identifying the weaknesses. The manager of

every department take action to reduce these complaints.

Inspection by the General Manager

As far as thorough check up of processes at all departments is

concerned General Manager carries out the unannounced

inspection at various unit along with the head of department

Quality Std are checked and deviation from standard is recorded

personal manager prepare the Discrepancy Report and head of

department is given a target data for rectification and constant

follow is maintained.

Manager as Special Duty


Management of Holiday Inn Multan has implemented a nice

procedure for regular inspection covering each and every section

of Organization Department Head are assigned a duty of “MOSD”

on one a week. This schedule is rotated by the personal manager.

Each department head performs MOSD duty in addition to his

regular working hours.

Assimilating and Evaluating the Information

Once the information is gathered it should be assimilated and

evaluated for the purpose of assimilated and evaluated of

information the tow types of melting held in Holiday Inn Multan.

1. Routine meeting

2. Special meeting

Routine Meeting

Every day from 9:00 to 10:00 O’clock a meeting held in Holiday

Inn Multan. In which General Manager and all head of

department participate. In this meeting the manager

collectively identify the most important opportunities and

threat facing the firm and assimilated evaluate the issues

problem concern and need of all department and give same

measures.
Special Meeting

Special meeting occur when team from Head Office visit the

hotel on any big discrepancy occur.

Now here is some important Internal strength and weakness of

the organization.

Strengths
1. Holiday Inn Multan is the only International Std hotel in Multan.

2. No risk factors is involved because the organization is

supported by Holiday Inn world wide (HIWW).

3. The technology using at the hotel is latest one.

4. Expenses one very limited because the company is spending is

spending very little on advertisement but gaining much sale on

the other hand and salaries are very low.

5. The organization is financially strong.

6. Holiday Inn Multan is situated at very good place. The location

is prime commercial area.

7. Holiday Inn Multan is beautiful model of typical local touch of

architecture with blues tiles combination.


8. The employees of the Holiday Inn Multan are mare skillful as

compare to other hotel in Multan.

9. The Holiday Inn Multan offers mare services and product as

compared to any other organization.

Weaknesses
1. The major weakness is the parking problem. Management has

constructed an underground parking area but it is also limited

space.

2. No direct entry far shag palace guests have to pass through

lobby main gate.

3. The reception disk is quite distant from main gate. It is better

to make reception center near the entrance.

4. Inter-distance between the table is very little mart guest

complaint about it.

5. Swimming pool is not available to the guest. Yes complete

arrangement such as attendant desk, chair, bed are present

but there is a constant problem of water purification. Rusty

water has damaged the titles of swimming pool.


6. The employee of the organization do not have required

knowledge and proficiency in English. As there employees have

direct contact with the customer.

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