introduction about first hotel

Management Planning Practices: Long- term quality plans, tactics, programs and systems for implementationthroughout the organization can maximize the competitive advantage of an enterpri

PART 1 INTRODUCTION 1.1 INTRODUCTION ABOUT FIRST HOTEL

The First Hotel is ideally located near the main International Trade Fair Center:Tan Binh Exhibition and Convention Center – TBECC (500m); Phu Tho Stadium &Exhibition Center (2km) and shopping centers: Maximark (800m); Superbowl (1km);Parkson C.T Plaza (1,5km); Parkson Flemington (2km); Lotte Mart (2km) and sportcenters: Tan Binh Sport Center (500m) and National Defence Sport & GymnasiumCenter II (800m)

- Telephone: (848) 3844 1199 - 3844 1175 - 3844 1167

- Fax: (848) 3844 4282 - 3811 4984

- Email: sales@firsthotel.com.vn ; first.hotel@hcm.vnn.vn

- Website: www.firsthotel.com.vn ; www.denhat.vn

1.1.2 History of First Hotel

First Hotel was built from 1969 to 1970, which is operated with the first name

is Đệ Nhất Hotel on March 14th 1977 Over 35 years of property development, theFirst brand has created trust of our customers, has been steadily on the domesticmarket and a hotel 4 star standard with 152 bedrooms and 01 center First PlaceBanquet

Looking back 35 years blocking tough challenge but with the strategic directiondeveloped in the right direction so the hotel has continuously achieved manyaccomplishments in business and received many prestigious honors awarded by the State as:

- From 1999 to 2011 the City People's Committee Hotel Merit increasesachievement for successfully completing the assigned tasks.

- In 2002 the Hotel Prime Minister merit awarded for achievements in serving thenational Sports Festival 2002

- 2003 President Hotel was awarded the Labor Medal Third Place Finish forexcellent achievements duty from 1997 to 2001

- In 2004 the Hotel Prime Minister awarded certificates of merit for outstandingachievement Completed service tasks Seagame 22, 2003

- In 2007 , 2008, hotel was in Thailand ASEAN Secretariat decided green hotelawards outstanding achievement in the use of natural resources , energy andenvironmental protection of Vietnam Due to the successful implementation ofenergy saving measures in 2011 to First Hotel Area B was awarded the Ministry ofTrade and Industry Building (building renovation) energy saving and efficiency inmovement conference to review the details power consumption by the Ministry ofTrade and Industry and held city People's Committee, First Hotel is one of 22 units

in the City People's Committee has awarded the city of Merit

- Facilities & services

• Turn-down service

• 24-hour room service

• In-room safety box

• Express & same day laundry and dry cleaning service

• Business center with Internet ADSL and Email

• Ticketing and Tour arrangement

• Mailing service

• Conference rooms and facilities for up to 600 guests

• Car rental service

• Doctor on call

• Restaurants and Bars

• Banquet and wedding facilities for up to 1000 guests

• Outside catering services

• Currency exchange

• Major credit cards accepted: AMEX, VISA, MASTER, JCB, DINERS

1.2.1 Front Office:

- Sell guestrooms; register guests and design guestrooms

- Coordinate guest services

- Provide information

- Maintain accurate room statistics, and room key inventories

- Maintain guest account statements and complete proper financial settlements

1.2.2 Reservation:

- Receive and process reservation requests for future overnight accommodations

GENERAL MANAGER

GENERAL MANAGER

EXE CHEF

EXE CHEF

EXE SOUS CHEF

EXE SOUS CHEF MAIN CHEF MAIN CHEF

ACCOUNTING HR

SECURITY MANAGER

SECURITY MANAGER

CHIEF ENGINEER

CHIEF ENGINEER RECREATION

EXECUTIVE SECRETARY EXECUTIVE SECRETARY

- With technology development, the Reservation Department can, on real time,access the number and types of rooms available, various room rates, andfurnishings, along with the various facilities existing in the hotel

- There should be close relation-ships with Sales and Marketing Division concerningLarge Group Reservations

1.2.3 Housekeeping:

- Inspects rooms before they are available for sale

- Cleans occupied and vacant rooms

- Communicates the status of guestrooms to the Front Office Department

- Cleans and presses the property’s linens, towels, and guest clothing (if equipped to

do so, free of charge or for a pre-determined fee)

- Maintains recycled and non-recycled inventory items

1.2.4 Food & Beverage Department:

According to U.S Lodging 1995 statistics, F&B Department constitutes thesecond largest revenue generator of a typical hotel with an average of 23.1 for Foodsales, and 8.6 % for Beverage sales In a five-star hotel, Food and Beverage outletsmight have the following forms: Quick Service, Table Service, Specialty Restaurants,Coffee Shops, Bars, Lounges, Clubs, Banquets, Catering Functions  Wedding,Birthdays…

1.2.5 Sales & Marketing Division:

A typical hotel should usually have Sales & Marketing division However, ifthe staff size, volume business, hotel size, expected group arrivals is low enough, thehotel might have marketing staff placed under the reservation department (i.e No needfor a Sales & Marketing Division)

A typical Sales & Marketing Division is composed of four differentdepartments: Sales, Convention Services, Advertising, Public Relations

1.2.6 Accounting Division:

The Accounting Division monitors the financial activities of the property Some

of the activities that are undertaken in the Accounting Division are listed: Paysoutstanding invoices, Distributes unpaid statements, Collects amounts owed, Processes

payroll, Accumulates operating data, Compiles financial reports, Makes bank deposits,Secures cash loans, Performs other control and processing functions

1.2.7 Engineering and Maintenance Division:

This is very department maintains the property's structure and grounds as well

as electrical and mechanical equipment Some hotels might have this very divisionunder different names, such as maintenance division, property operation andmaintenance department…

1.2.8 Security Division:

Security division personnel are usually screened from in-house personnel,security officers or retired police officers, across certain physical skills, and priorexperience

Some of the functions of the security division are listed: Patrols the property,Monitors supervision equipment, Ensures safety and security of guests, visitors and employees

1.2.9 Human Resources Division:

Some of the duties of the human resources division are listed below:

- Responsible for external & internal recruitment

- Calculates employees' salaries, compensation, and tax withholding…

- Administrates employees' paperwork, monitors attendance…

- Maintains good relations with Labor Unions

- Ensures employees' safety and working conditions

1.2.10 Other Divisions:

All the above mentioned departments and/or divisions should exist in a typical five-star hotel; however there might be some revenue generators that are specific to certain hotels but not existing in others Below is a list of some possible extra or other divisions that might exist in a hotel:

- Retail Outlets (i.e.: Shops rented to outsiders or managed by the hotel)

- Recreation Facilities (ex: Fitness Center, Tennis Courts, and Cinema Saloons…)

- Conference Centers

- Casinos

PART 2 THEORETICAL BASIC FOR QUALITY MANAGEMENT

AND ISO 14001:2004 QUALITY MANAGEMENT SYSTEM

2.1 BASIC CONCEPT

2.1.1 Other factors affect the quality of service in hotel

2.1.1.1 Customer Services

Offering superior services acts as a competitive advantage for some hotels and

by emphasizing customer service and building strong relationship the business canwiden its market share and profits A relationship exists between customer’ssatisfaction levels, loyalty and company profits which increase with the length acustomer remains in a relationship The failure of most businesses is a result of lowcustomer satisfaction service level Lower relative costs can also be a source ofcompetitive advantage either by focusing on a particular group of buyers orgeographical market and the business gains a cost advantage in the target market

- Satisfaction of customer:

It is essential to meet customer anticipations at each phase of service provided,but most important is to meet customers’ expectations in hotel

The quality of service provided by attendants/waiters, techniques to handleclients and flexibility influence customers gratification

- Overall quality of the hotel (outside landscaping, interior space, architecture ):

The customers are conscious about cleanliness and environment of hotel,outside landscaping, interior space so there is a need to keenly observe the hygiene.Moreover, temperature and environment should be comfortable for visitors

- Service quality at reception hall and guestroom:

The overall impression of hotel impacts customers’ expectations that alsocomprise of impression of reception hall and guestroom Therefore, the hotel designand interior architecture is also important The customers intention to re-visit hoteldepends on many elements, among them comfort and impression of guestroom playsthe significant role

- Behavior of waiters/waitress, food variety and quality

The implications of meeting expectations of customers have always been achallenging Therefore, providing catering and hospitality of the hotel staff is veryimportant, demonstrating professional and bring satisfaction to customers Relativelysignificant in this competitive environment to set targets for customer satisfactionspecially related to hotel industry in this area

2.1.1.2 Human and Capital Resources:

Superior human skills and capital resources can influence the performance ofhotels by providing satisfactory services to the customers and as the service industrylabor intensive Quality control among the hotels and restaurants can be addressed byrecruiting right employees and providing them with excellent training Better trainedemployees are competent, courteous, and trustworthy and make fewer mistakes Topmanagement must develop a commitment to quality and provide a system to supportthis commitment that involves all employees and this cannot happen withoutorganizational change Moreover, there is a need for hotel managers to gather up-to

date and accurate information about changing environment and present enticements tocapture the attention of maximum customers.

Addition to, Arthur et al (2008) argues that competent, trained and wellinformed employees with the right attitude to offer prompt and reliable services withthe help of modern equipment and information technology can be a source ofcompetitive advantage and success to organizations

2.1.1.3 Management Planning Practices:

Long- term quality plans, tactics, programs and systems for implementationthroughout the organization can maximize the competitive advantage of an enterpriseand enable it to achieve its objectives (Gurley et al, 2008) Plans need not only be wellunderstood and known but realistic and effectively implemented by managers whomust be champions of customer experience by example and emphasis

2.1.2 The concept of Environment Management System (EMS)

An Environment Management System (EMS) is a tool for managing theimpacts of an organization's activities on the environment It provides a structuredapproach to planning and implementing environment protection measures

An EMS monitors environmental performance, similar to the way a financialmanagement system monitors expenditure and income and enables regular checks of acompany's financial performance An EMS integrates environmental management into

a company's daily operations, long term planning and other quality managementsystems

Components of an EMS:

Environmental Policy: this is a statement of what an organization intends to achieve

from an EMS It ensures all environmental activities are consistent with theorganization’s objectives

Environmental Impact Identification: identification and documentation of the actual

and potential environmental impacts of an organization’s operations need to beundertaken This can be achieved through undertaking an environmental audit

Objectives and Targets: an environmental audit forms the basis of determining an

organization’s environmental objectives and targets An organization can find benefits

in adopting more stringent longer term objectives to encourage it to improve itsperformance To continually improve, targets should be regularly reviewed

Consultation: staff and community consultation should be undertaken before, during

and after establishment of an EMS This is necessary to ensure that all staff areinvolved in, and committed to the EMS It can also help to improve public perception

of the company, one of the benefits of implementing an EMS

Operational and Emergency Procedures: all procedures should be reviewed to

ensure they are compatible with the organization’s environmental objectives andtargets Any changes should be included with the documentation

Environmental Management Plan: this details the methods and procedures which an

organization will use to meet its objectives and targets

Documentation: all objectives, targets, policies, responsibilities and procedures

should be documented along with information on environmental performance.Documentation is useful for verifying environmental performance to staff, regulatorsand the community

Responsibilities and Reporting Structure: responsibilities need to be allocated to

staff and management to ensure the EMS is implemented effectively

Training: staff should undergo environmental awareness training to familiarize them

with their responsibilities for implementing the EMS and with the overallenvironmental policy and objectives of the organization This provides staff with thenecessary skill and motivation for the effective implementation of the EMS

Review Audits and Monitoring Compliance: review audits should be undertaken

regularly to ensure the EMS is achieving its objectives and to refine operationalprocedures to meet this goal In order to ensure regulatory and other requirements arebeing met, it is often necessary to undertake regular environmental monitoring

Continual Improvement: an important component is continual improvement An

EMS comes into its best use when used to review progress towards the targets andobjectives set by a company to protect the environment The procedures set in place to

meet these objectives should be constantly examined to see if they can be improved or

if more effective systems can be introduced

Benefits of an EMS

 Minimize environmental liabilities

 Maximize the efficient use of resources

 Reduce waste

 Demonstrate a good corporate image

 Build awareness of environmental concern among employees

 Gain a better understanding of the environmental impacts of business activities

 Increase profit, improving environmental performance, through more efficientoperations

An EMS can be a powerful tool for organizations to both improve theirenvironmental performance, and enhance their business efficiency An EMS is notprescriptive; rather, it requires organizations to take an active role in examining theirpractices, and then determining how their impacts should best be managed Thisapproach encourages creative and relevant solutions from the organization itself

International Environmental Standards - ISO 14000

The ISO 14000 series, currently being developed by the InternationalOrganization for Standardization (ISO), is a collection of voluntary standards thatassists organizations to achieve environmental and financial gains through theimplementation of effective environmental management The standards provide both amodel for streamlining environmental management, and guidelines to ensureenvironmental issues are considered within decision making practices

ISO 14001 is the standard for Environment Management Systems Many largebusinesses, particularly overseas, have obtained certification under the standard

2.2 ISO 14001: 2004

2.2.1 The establishment of ISO 14000

The ISO 14000 series emerged primarily as a result of the Uruguay round of theGATT negotiations and the Rio Summit on the Environment held in 1992

In 1992, SAGE's recommendations created a new ISO technical committee, TC

207, for international environmental management standards

The ISO 14000 series of standards were first published in 1996 They weredesigned to cover:

• environmental management systems

• environmental auditing

• environmental performance evaluation

• environmental labeling

• life-cycle assessment

• environmental aspects in product standards

ISO 14000 Environment Management Systems 2.2.2 ISO 14001:2004

The establishment:

- In 2004, the revised ISO 14001:2004 and ISO 14004:2004 standards werepublished, bringing a great improvement from the 1996 version, with ease ofunderstanding, clearer requirement intent, an emphasis on compliance, andcompatibility with ISO 9000:2000

- As of 2010, ISO 14001 is now used by at least 223 149 organizations in 159countries and economies

- ISO 14001 has been approved to become TCVN ISO 14001:2005 and symbol Environmental Management Systems - Requirements (equivalent internationalstandard ISO 14001:2004) in Viet Nam

-ISO 14001 is known as a generic management system standard, meaning that it

is relevant to any organization seeking to improve and manage resources moreeffectively This includes:

• Single-site to large multi-national companies

• High-risk companies to low-risk service organizations

• Manufacturing, process, and the service industries, including local governments

• All industry sectors including public and private sectors

• Original equipment manufacturers and their suppliers

Figure 2.3: Model of environmental management system ISO 14001:2004

Plan - Establish objectives and processes required

Prior to implementing ISO 14001, an initial review or gap analysis of theorganization’s processes and products is recommended, to assist in identifying allelements of the current operation and, if possible, future operations, that may interactwith the environment, termed "environmental aspects" (Martin 1998) Environmentalaspects can include both direct, such as those used during manufacturing, and indirect,such as raw materials (Martin 1998) This review assists the organization in

establishing their environmental objectives, goals, and targets, which should ideally bemeasurable; helps with the development of control and management procedures andprocesses; and serves to highlight any relevant legal requirements, which can then bebuilt into the policy (Standards Australia/Standards New Zealand 2004).

Do - Implement the processes

During this stage, the organization identifies the resources required and worksout those members of the organization responsible for the EMS’ implementation andcontrol (Martin 1998) This includes establishing procedures and processes, althoughonly one documented procedure is specified related to operational control Otherprocedures are required to foster better management control over elements such asdocumentation control, emergency preparedness and response, and the education ofemployees, to ensure that they can competently implement the necessary processes andrecord results (Standards Australia/Standards New Zealand 2004) Communicationand participation across all levels of the organization, especially top management, is avital part of the implementation phase, with the effectiveness of the EMS beingdependent on active involvement from all employees (Federal Facilities CouncilReport 1999)

Check - Measure and monitor the processes and report results

During the 'check' stage, performance is monitored and periodically measured

to ensure that the organization’s environmental targets and objectives are being met(Martin 1998) In addition, internal audits are conducted at planned intervals toascertain whether the EMS meets the user's expectations and whether the processesand procedures are being adequately maintained and monitored (StandardsAustralia/Standards New Zealand 2004)

Act - Take action to improve performance of EMS based on results

After the checking stage, a management review is conducted to ensure that theobjectives of the EMS are being met, the extent to which they are being met, and that

communications are being appropriately managed; and to evaluate changingcircumstances, such as legal requirements, in order to make recommendations forfurther improvement of the system (Standards Australia/Standards New Zealand2004) These recommendations are incorporated through continual improvement:plans are renewed or new plans are made, and the EMS moves forward.

Continual Improvement Process

The core requirement of a Continual Improvement Process (CIP) is different fromthe one known from quality management systems CIP in ISO 14001 has threedimensions (Gastl, 2009):

 Expansion: More and more business areas get covered by the implementedEMS

 Enrichment: More and more activities, products, processes, emissions,resources, etc get managed by the implemented EMS

 Upgrading: An improvement of the structural and organizational framework ofthe EMS, as well as an accumulation of know-how in dealing with business-environmental issues

Overall, the CIP concept expects the organization to gradually move away frommerely operational environmental measures towards a strategic approach on how todeal with environmental challenges

2.2.3 Application of ISO 14001:2004 in the world

ISO 14001 is an environmental management standard It specifies a set ofenvironmental management requirements for environmental management systems Thepurpose of this standard is to help all types of organizations to protect theenvironment, to prevent pollution, and to improve their environmental performance

We all know all types of businesses and organizations that are active inproduction or service including hotel are causing environmental impacts with differentlevels of influence, the problem is that businesses have to do something to manage and

minimize the impact of operation on the environment That is the reason of theintroduction of the ISO 14001 environmental management system Was first issued in

1996 by the International Organization for Standardization (ISO), ISO 14001 isavailable now in 138 countries and territories and has over 140,000 businesses /organizations certified

With rising public awareness of the need to protect our environment,governments and businesses are under increasing pressure to minimize theirenvironmental footprint and promote sustainable development

The Environmental Management Systems (EMS) Standard has been developed

to help organizations identify, manage and control those activities that have anenvironmental impact Every organization, whether it's involved in manufacturing,services or trade, has an impact on the environment and can therefore benefit from ISO14001

In over 150 countries around the world, industrial companies, serviceorganizations including hotels, utilities and public bodies have embraced ISO 14001 astheir preferred model for environmental management They range from giantmultinational corporations to the not-for-profit sector, from national governments tosmall family businesses

The reason for the success of the popular application of ISO 14001 in manycountries with different economies, with different level of development and differentcultural characteristics, because the ISO 14001 standard has only require in setting up

a system to manage environmental issues for organizations/businesses but not yetspecifically how to achieve it

Because of the flexibility that these types of businesses ranging from small andmedium enterprises to multinational corporations can find their own way in definingenvironmental objectives for improvement and how to achieve the requirements of theenvironmental management system

Figure 2.4: Top Ten countries for ISO 14001 certifications

ISO 14001 Fast Facts:

 More than 5,000 organizations in the United States are ISO 14001 certified

 More than 7,300 organizations in North America are ISO 14001 certified

 More than 223,000 organizations worldwide are ISO 14001 certified

 There are ISO 14001-certified organizations in 159 countries/economies

 Worldwide, ISO 14001 certifications grew by more than 34,000 from 2008

to 2009 – an increase of more than 18%

 Forty-eight certification bodies are accredited by ANAB for ISO 14001

environmental management systems

2.2.4 Application of ISO 14001 in Viet Nam

Figure 2.3: Numbers of ISO 14001 certificates in Viet Nam

In Vietnam, ISO 14001:1996 certificates had been issued for the first time in

1998 (two years after the introduction of ISO 14001:1996) and since then, the number

of hotels applying ISO 14001 and certified keeps growing At first, the hotels inapplying ISO 14001 Vietnam mostly is of Vietnam tourist or joint ventures withforeign countries, especially Japan

In Vietnam today, ISO 14001 certificates have been issued for manyorganizations with the type of production, business and services, which the industriessuch as food processing (sugar, seafood, wine beer beverage ), Electronic Chemicals(oil, paint, plant protection), building Materials, Travel-hotel is a large proportion

In a total of nearly 60 hotels from three to five stars in the HCM city, there are

15 hotels with ISO 14001 The 25% reflects a reality that methods to protect theenvironment at the hotel have not been pay appropriate attention The hotel is the placewith highest amount of household waste, but if this situation does not improve, theenvironment will be affected seriously There are four possible reasons for the hotelnot applied environmental management system ISO 14001

• The hotel is not really aware of the importance of environmental protection , notconcern about the potential threat, still putting the profit at the top

• The investment for ISO 14001 certification require a big budget, while the hoteldoes not have enough financial ability to implement the "green revolution"

• The government does not have much attention to the difficulties of hotels, theyonly interested in the huge benefit of travel services , moreover , Vietnam’s lawabout the protection of the environment of the hotel is still not strictly, so themanager of hotel still thought " to pay a penalty better than environmentalprotection ", it lead to serious consequences

• ISO 14001 is actually not a brand to compete in Vietnam hotel market

But 25 % is a positive sign for the protection of the environment in the hotelservice industry, but in fact, the hotel has ISO 14001 almost are the hotel of Saigontourist, will be better supported in the process built management system environment But with other individual hotels, or of the foreign corporation is still obey to thegeneral standards and it is very difficult to assess the level of protection of theirenvironment…

Sheraton Hotel is the hotel "green" first in Vietnam who has completed theexamination for ISO certificate and will get ISO 14001:2004 certificate onenvironmental management on 14/7/2010 by TUV Rheinland - the organization theevaluation and independent ISO certification, ISO 14001:2004 certification onenvironmental management Currently, the world's only seven the hotel were TUVRheinland certified ISO 14001:2004.This success makes the Sheraton Hanoi become a

“green destination” that welcomes the tourists to the 1000th anniversary of ThangLong - Hanoi Festival ahead The ISO certificate has once again confirmed theSheraton Hanoi’s commitment in sustainable environment protection In the comingtime, besides maintaining the environmental standards of ISO, the hotel is willing toshare best practice on the application of ISO 14000 to other properties withinStarwood Hotels & Resorts as well as to all other hotels who are interested

In addition, some hotels as Saigon Morin Hotel- belongs to Saigontourist andThe Caravelle Hotel was received ISO 14001:2004 certification demonstrate

commitment to protecting the environment through eco-friendly operation of the hotel.