"Frequently asked questions"

What is an Operations Review? 

If your profits and market share are under threat, an operations review will give you the edge when it comes to minimising any damage the economic downturn might bring and helping you optimise your turnaround activities. 

 

In the current economic times, independent owners / hotel management companies are working hard to generate revenues and control costs with even more vigour. An operations review has been developed by CML to give owners and operators of hotels, an independent view of the business. The service provides short, sharp, pragmatic and impartial advice for a fixed price. 

 

An operations review will help you look at every aspect of your business, identifying where you need to focus your efforts (and those of your distribution partner(s)). 

 

What do the consultants do? 

 

This will be tailored to the hotel’s product and positioning and is likely to include:-  

  • Revenue:- Analysis of trend of (a) rooms and (b) food and beverage revenue 

  • Review of channels of distribution for all revenues including website 

  • Review of key accounts, segmentation, sources of business 

  • Review of key account management, sales and marketing action plans 

  • Review online and offline customer satisfaction 

  • Costs and cash flows 

  • Review of historic P&L cost centres focusing on key operating margins 

  • Review of balance sheet and cash flow 

  • Benchmarking P&L on a per available room and per occupied room basis 

  • Review Capital Expenditure Plans (Capex) 

  • Organisation and people 

  • Review organisation chart and senior job descriptions

  • Interview leadership, management and other team leaders 

  • Review performance management programmes and rewards programme 

  • Review staff satisfaction survey 

  • Competitive position 

  • Visit competitor hotels 

  • Visually review front and back of house 

  • Undertake the customer journey 

  • Review customer satisfaction surveys 

How long does it take? 

In respect of a hotel of between 40 and 100 rooms, the CML team of two will work for 1 day on desk work responding to data and information sent by the client in advance and then 2 days at the hotel. At the end of the visit (i.e. on the evening of Day 2 or the morning of Day 3) the team members will feedback their findings and recommendations as a collective deliverable presented to the client by way of a 1 hour presentation and Q&A.

 

Smaller hotels may require less time - Larger more complex hotels may require additional resource.

 

Who will benefit?

Independent hotels, management companies, and hotel owners are all likely to benefit and in particular in situations where the Owner or Board believes there is room to improve.

 

Additionally the hotel operating team will also benefit by being exposed to best practice, to independent advice and to highly knowledgeable advisors.

 

What are the key benefits of undergoing an Operations Review? 

It is likely that the assessment of the business adopting the operations review format will suggest both strategic and tactical changes - these are likely to be in the areas of operational excellence, asset management and brand management. The business leadership will see opportunities to build revenue, profit, guest experience, employee engagement and much more - taking our experience, skills, knowledge and abilities and placing a financial value on the information gained.

 

What can we expect as a report? 

We will customise our report to the hotel’s issues but it is likely to feature sections on indicators, solutions and recommended course of action to address organisation and people issues, process issues and technology issues within the property, organisation management and asset management.