Report on Holiday Inn

Chapter No. 1

EXECUTIVE SUMMARYHoliday 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. 2Literature Review

INTERNAL ASSESSMENTInternal 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 AUDITINGA F I R M S T R E N G T H T H A T C A N N O T E A S I L Y M A T C H E D W I T H

C O M P E T I T O R S A R E C A L L E D D I S T I N C T I V E

C O M P E T E N C I E S . B U I L D I N G C O M P E T I T I V E A D V A N T A G E S

I N V O L V E S T A K I N G A D V A N T A G E O F D I S T I N C T I V E

C O M P E T E N C I E S . F O R E X A M P L E , 3 M E X P L O I T I T S

D I S T I N C T I V E C O M P E T E N C E I N R E S E A R C H A N D

D E V E L O P M E N T B Y P R O D U C I N G A W I D E R A N G E O F

I N N O V A T I V E P R O D U C T S . S T R A T E G I E S A R E D E S I G N E D I N

P A R T T O I M P R O V E O N A F I R M S W E A K N E S S E S , T U R N I N G

T H E M I N T O S T R E N G T H S , A N D M A Y B E E V E N I N T O

D I S T I N C T I V E C O M P E T E N C I E S .

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. 3Organization’s History

HOLIDAY INNHistory 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 MultanEstablished 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 MultanThis 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.

Weaknesses1. 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.