APPLIED MATHEMATIC

FOR HOSPITALITY
CASE 4 : MONITORING HOTEL &
RESTAURANT PERFORMANCE
 MENU OF
THE DAY

1) Purpose of measuring performance

2) Mathematic skills required to measure performance

3) Practice Measuring Performance : Occupancy rate, Hotel
Average Stay, RevPar, Table Turnover, Average Revenue Per Guest
 LEARNING CHECK LIST

CASHIER REPORT

- Cash Issuance

- Cash Return

- Sales/Revenue Report

- Card Revenue Report

- Cashiering Report

- Cash Balance Issue

- Cash Bill Balance Issue

- Charging card issue

- Closing Bill Issue

 1) WHAT IS HOTEL & RESTAURANT PERFORMANCE

Why Measure Hotel & Restaurant Performance ? :

- Hotel and restaurant have one and only one purpose : generate always
more profit. To try to always increase their profit, managers need to
measure the performance of their property to find what can improve, to reach
higher profitability.

What indicators can help measure performance ?

- Occupancy rate : It shows how occupied (full) is your hotel. It is measured in

%
- Hotel Average Stay : It is how long on average guest stay at the hotel. It is
measured in amount of nights
- Revenue per Room Available (RevPar): It is how much revenue your room
generates. It is measured in RM per room.
- Table Turnover : It is how many times the tables are used per service (lunch
or dinner). It is measured in frequency (for example : a table is used 2 times
per service)
- Revenue per Guest: It is how much a guest spend on average when dining at
a restaurant. It is measured in RM.
 2) MATHEMATIC SKILLS REQUIRED TO MEASURE PERFORMANCE

Performance indicators used more complex calculation mostly based on

percentage. They are :

-Addition
-Division
-Calculate percentage
-Calculate Average
 3) PRACTICE MEASURING PERFORMANCE

Using the document given to you, you must complete :

- Room Status Report

- Room Booking Schedule
- Hotel Revenue Report
- Restaurant Revenue Report

What Formula do you need ? :

OCCUPANCY RATE
REVPAR
TABLE TURNOVER
AVERAGE REVENUE PER GUEST
HOTEL AVERAGE STAY
 OCCUPANCY RATE

Number of Room (or Table) Occupied

X 100
Total Number of Room Available
 HOTEL AVERAGE STAY

Total Number of Night Stay

Total amount of Guest

 REVPAR
Total Room Revenue

Total Number of Room in the hotel

 AVERAGE REVENUE PER GUEST TABLE TURNOVER
Total Restaurant Revenue Number of table served

Total Number of guest served Number of table in the restaurant