Internship on Hotel Industry

INTERNSHIP REPORT SUBMITTED IN PARTIAL FULFILMENT OF THE REQUIREMENTS FOR THE DEGREE OF BACHELOR OF BUSINESS ADMINISTRATION DONE BY HARIPRASATH M 11BBA0071 IN HOTEL SHEVAROYS PRIVATE LIMITED. UNDER THE GUIDANCE OF PROF. C. M. MARAN Professor, VIT Business School SEPTEMBER 2012 CERTIFICATE This is to certify that the Internship report submitted by Hariprasath, Reg. No 11BBA0071 to VIT Business School, VIT University Vellore in partial fulfillment of the requirements for the degree of Bachelor of Business Administration is a bonafide record of work carried out by him under my supervision.The contents of this thesis, in full or in parts have not been submitted in any form to any other institute or university for the award of any degree or diploma. Faculty Guide Programme Manager Internal Examiner External Examiner DECLARATION I, Hariprasath M, Reg. No 11BBA0071, a Bonafide student of the VIT Business School, VIT University, Vellore, hereby declare that the Internship Report submitted in partial fulfillment of the requirements of the Degree of Bachelor of Business Administration of the VIT University, is my original work. Date: Place: VELLORE Hariprasath. M ACKNOWLEDGEMENT I would like to extend my sincere thanks to Prof.J. Naga Venkata Raguram (Programme Manager), VIT Business School, VIT University, Vellore. I would like to express my sincere gratitude to my company guide, Mr. Umar sheriff, General. Manager, Hotel Shevaroys. , Yercaud for guiding me throughout my summer internship work. His encouragement, time and effort are greatly appreciated. I would like to thank my faculty guide, Prof. C. M. Maran , Professor, VIT Business School for all his valuable inputs and constant support towards me throughout my internship and providing me an opportunity to learn outside the class room and constantly motivating me to give my best.It was a truly wonderful learning experience. I would also like to thank my parents for supporting and encouraging me to complete the projec t. I would also like to thank all the respondents who offered their opinions and suggestions and sometimes critical views throughout the internship tenure which made me constantly update and made myself to undergo a successful training. Date: Place: Vellore Hariprasath. M CONTENTS 1. Introduction| 06| 2. Industry profile| 07| 3. Company Profile| 08| 4. Major players in hotel industry of Yercaud| 11| 5.Organizational structure of Hotel Shevaroys. | 12| 6. Several Departments of Shevaroys| 13| 7. Finance and Human Resources Department| 14| 8. Food and beverages department| 15| 9. Housekeeping department| 18| 10. Marketing department| 20| 11. Front office department| 24| 12. SWOT Analysis| 26| 13. Recommendations | 27| 14. Conclusions| 28| 1. INTRODUCTION Hotel Shevaroys is one of the finest restaurants in the hill station of Yercaud. It scores seventh rank in performance in compared with other the hotels in Yercaud surveyed by a traveler website.Since in the year 1971 in earns good na me in the society by providing quality food as well as taste. This report provides you the story Indian hotel industry and a detailed view of hotel Shevaroys. The study report makes a way to comprehend the structure and functions of the organization in a restaurant. The internship report pacts with the organizational functions and performance of hotel Shevaroys In this report, I have studied the performance process that is being carried out in the company. The first part of my report shrinks with a detailed organization study.It includes the industry profile, company’s profile, company’s activities and operations, organizational structure, etc. This section gives a exhaustive information about the company and the nature of its functioning. The second part deals with performance and functioning of various departments such as finance, human resources, food and beverages, front desk, resident departments sections. In this section, I have given a brief description towards the sections of functioning. In the third part of my report contains my findings, suggestions and conclusion. 2. INDUSTRY PROFILEThe size of Indian hotel industry is $20 billion. Thirty percent of the sector is organized. An additional 20 international brands are expected to come to India in the next two years. Within the sector that is organized, the 5-star hotel segment contributes 58 per cent. After witnessing exceptionally bad years in FY09 and FY10 due to the global economic slowdown and terror attacks, the Indian hotel industry appears to be now on a path of slow recovery. Foreign tourist arrivals (FTAs) to India surged from 5. 11 m in 2009 to 5. 58 m in 2010, thereby resulting in an increase of 9. 3% Yo-yo.India occupies the sixty-eighth position among the top tourist destinations in the world, according to the travel and tourism competitiveness report 2011. To encourages the tourism sector, the government in recent times, has taken some measures which will benefit the sector . In the general budget for 2011-12, Rs 11. 7 bn for development of tourism infrastructure and promotion of tourism was allocated. This figure is higher by Rs 1. 0 bn compared what was allocated in the previous year. The Centre and states are also working out a PPP (Public-Private-Partnership) model to increase hotel capacity.Government of India increased spend on advertising campaigns (including for the campaigns ‘Incredible India’ and ‘Athithi Devo Bhava’ – Visitors are like God) to reinforce the rich variety of tourism in India. The ministry granted tourist visa on arrival (T-VoA) for the citizens of tourist destination and undertook various measures, such as stepping up vigilance in key cities and at historically important tourist sites. The tourism ministry has envisaged a budgetary allocation of Rs 200 billion in the Twelfth Five Year Plan.According to the latest Tourism Satellite Accounting (TSA) research, released by the World Travel and Tour ism Council (WTTC), the demand for travel and tourism in India is expected to grow by 8. 2% between 2010 and 2019. This will place India at the third position in the world. India’s travel and tourism sector is expected to be the second largest employer in the world. Capital investment in India’s travel and tourism sector is expected to grow at 8. 8% between 2010 and 2019. The report forecasts India to get more capital investment in the travel and tourism sector and is projected to become the fifth fastest growing business travel estination from 2010 through 2020. 3. COMPANY PROFILE The beginning: In the year 1971, Mr. N. Ramasamy Udayar, a freedom fighter and industrial list of Salem bought a British Bungalow situated amidst 14 acres of lush green coffee plantations and converted it into a guest house with just 4 rooms and a small kitchen to cater to the then rare visitor of Yercaud. Being a strong visionary, he sensed the potential for growth of the tourism industry i n Yercaud which inspired him to set path in the expansion of the property.Consequently, in the year 1972-73, the small guest house blossomed into a hotel with the addition of 8 more rooms and a restaurant making Hotel Shevaroys the first fully operational hotel on the hills. At the advent of 1979, Mr. Udayar introduced the concept of individual cottages to accommodate the elite and wealthy who sought luxurious accommodation. With the commencement of 11 uniquely designed and well-appointed cottages, Hotel Shevaroys set the trend of offering villa style accommodation which became the most sought after and favorable type of stay in Yercaud.By this time, Hotel Shevaroys was the first to have its own licensed permit room and added more food & beverage outlets to its portfolio. The journey: The year 1991 witnessed the succession of the management by Mr. R. Devadass, the third son of Mr. Ramasamy Udayar. Being a young and energetic graduate in Arts as well as Law, Mr. Devadass spruced up t he operation of the entire hotel. This paved way for Hotel Shevaroys to grow leaps and bounds to be the premier hotel of Yercaud today standing with 80 rooms, 11 cottages, 4 food & beverage outlets, the majestic Lantana convention hall and an in-house supermarket.Stepping Ahead: The gradual transition of the management from Mrs. & Mr. Devadass to Mr. Prabhu Ram and Ms. Swathi Virutha is paving way for yet another era of enviable growth for this wonderful haven of hospitality. As an initial step, the hotel is undergoing a major up gradation of its appeal to meet out the demands of the modern traveler and provide the ultimate hill resort experience. Super Market: The Shevaroys Super Market, located within the hotel premises, is the ideal place to shop for your daily requirements and also grab souvenirs for your family and friends back home.Items native to Yercaud such as coffee, pepper, medicinal herbal oils and homemade chocolates are some of our best sellers. Internet & Browsing: Br oad band connectivity is available at the browsing centre here and enables you to stay connected even while on vacation! The browsing center is also equipped with photo-copying and printing facilities. In addition, an exclusive train ticket booking system is available for your convenience. Bonfire Sitting around a warm fire outdoors is a greater way to socialize and cozy up on a cool night.For those guests who’d like to enjoy this experience, we can arrange for a bonfire on the lawn (charges apply). An outdoor buffet dinner can also be organized for a group of guests. Plantation Walk Coffee is grown extensively in the Shevaroyan Hills and walking through the plantations is a great way to experience the freshness of the coffee bloom. The plantation Walk, located within the hotel, is a trail that leads its way into the vast coffee plantations and provides a close look at the coffee shrubs, the tall Silver Oak trees with Pepper vines climbing around their trunks, various ornamen tal and medicinal plants.The tall trees and shrubs are home to many birds like the bul-bul, myna and sparrows. The squirrels found here are high on caffeine-just saying†¦ Children’s Play Park An open children’s play area complete with swings, slide and see-saw et al lets your wee ones have their share of holiday fun! Recreation Room An indoor games facility located at the basement of the Lantana Hall will interest those who would like to engage themselves in a game of table-tennis, carom, chess or a host of other board games Beauty Parlor and Massage RoomHolidaying in a hill station does not have to mean forgoing the regular facial, hair cut or trim. Separate beauticians for gents and ladies are available throughout the day at your service. The masseurs are experts in massaging your body to rejuvenate and tone up your tried muscles with a wide assortment of Ayurveda and Swedish massages OBJECTIVES OF HOTEL SHEVAROYS: Hotel Shevaroys’s objective is to provid e the best, comfortable . memorable and luxurious trip to Yercaud. Hotel provides easy access to an excellent variety of facilities. MISSION STATEMENT:To be recognized as one of the best first-class hotels in Yercaud and to constantly strive to improve, allowing us to prosper as a business for the benefit of our guests, our employees and our owner. VISION: The success of any business is contingent on the ability to meet and exceed customer expectations. At the Hotel Shevaroys, we are proud of our strong commitment to both our guests and our team members. We recognize that the delivery of exemplary guest services dependent on a group of caring team members who share common goals and a true spirit to serve.Those goals and service spirit are expressed in Our Big Three, which lies at the heart of our hotel mission statement our hotel is a place where every guest receives100% satisfaction in the service, products and environment we proudly provide. VALUES: It is one of our main values th at our guest should enjoy luxurious time in our hotel. SUBSIDARIES: The subsidiaries of Hotel Shevaroys are * Malar Mess Pure vegetarian hotel located in Yercaud. * Karupaiah hotel. Spicy non vegetarian hotel in Yercaud. * Shevaroys institute of hotel management, Yercaud. * Hotel Salem Shevaroys. 4.MAJOR PLAYERS OF HOTEL INDUSTRY IN YERCAUD 1. The Regent Hill Side Resort. 2. Grand Palace & Spa. 3. GRT Nature Trails Hotel. 4. The Lake Forest Hostel Yercaud. 5. Grange Resort 6. Sterling Resort 7. Classic Cottage 8. Wellington Hill Resort 9. Hills Resort 10. Yercaud International 11. Tamilnadu Tourism Development Corporation. 12. Silver Holiday Cottages 13. Ponkailash Holiday Home 14. Star Holiday Inn 5. ORGANIZATIONAL STRUCTURE OF HOTEL SHAVEROYS 6. FUNCTIONS OF THE DEPARTMENT The major departments of the restaurant are: * Food and beverages department * Service department House keeping * Accounts department * Marketing department * Front desk (reception) department. The five departme nts are actively working with the co-ordination. These five departments come under general manager Mr. Umar Sheriff. The operational departments of the hotel are * Housekeeping department * Food and beverages department * Front office department The strategic departments of the hotel are * Marketing department * Finance department 7. FINANCE DEPARTMENT: * The H. R united finance and human resources departments are managed by Mr. Kailasm with two assistant’s graduates. The finance department inclined purchases, sales, and salaries of the employees. * A key area in accounting, accounts payable ensures that all bills are paid on time and all discounts are taken minimizing the costs of the hotel. * Accountants work closely with the purchasing department to verify that all invoices to be paid are indeed invoices of the hotel. * The assistant accountant divides the various functions to be performed so that the workload will be even. * Assistant might be responsible for daily transa ctions while another works on special projects, budgets, analyses. Shevaroys keeps two ledgers: the guest ledger is associated with the guests staying at the hotel while the city ledger contains all other billings. * The accounting department has a person in accounts receivable working with the city ledger so the hotel is able to bill and collect revenues due. Human Resource * The company recruits the employees directly from their own hotel institute and other institutes. * The employees are trained as per the performance appraisal. * The work securities provided to employees specially women. * The company provides monthly groceries to the employees from their supermarket. Free medical checkups facilities are provided to the employee 8. FOOD AND BEVERAGES DEPARTMENT * Food and Beverage Department (F&B) is responsible for maintaining high quality of food and service, food costing, managing restaurants, bars, etc. * Food and Beverage Service is the service of Food made in the Kitchen and Drinks prepared in the Bar to the Customers (Guest) at the Food & Beverage premises, which can be: Restaurants, Bars, Hotels, Airlines, Cruise Ships, Trains, Companies, Schools, Colleges, Hospitals, Prisons, Takeaway, etc * Mr. Raja prakash is the manager of the department. Food and beverages department includes: * Bar * Kitchen * Red dragon Resto-bar Duties of Food and Beverages Department: * The Food & Beverage department is the largest department on board comprising of various areas working together to cater to our guest’s food and beverage needs. * From mouth-watering meals to deliciously refreshing cocktails. * Entry level positions within this department include waiters, cooks, bar servers, hotel stewards. * Prepare tables or counters for meals. * Stock the service area with supplies (for example,  coffee, glassware). * Greet customers; present menus and help customers select menu items. Inform customers about daily specials. * Record orders and place them with th e kitchen and bar. * Pick up and serve orders. * Check that customers are enjoying their meals and correct any problems. * Suggest and serve desserts and beverages. * Clean and reset tables. Bar: * Mr. Neelakandan manages the bar. * Mr. Shakhi is the assistant manager of the bar. * The bar timings from 11am to 10 pm. * Local liquors are supplied. * Chicken and veg items are provided as side dish. * Liquors include 14. 5% taxes extra and service charges. Kitchen: * Here kitchen is maintained in good hygienic conditions. Mr. Rajaappa is the chief chef of the hotel. * The kitchen of Shveroys divided into Chinese and Chettinadu styles. * Kitchen consists of dish wash as sub department. * Over 20 chefs are working in a team in the kitchen. * Chefs in the hotel are well trained as well as experienced. * Shevaroys has repeated customer for its tasty food. * The kitchen is vast spacious with modern cooking articles. Resto-bar: A restobar is a pub, bar, and mini club all combined into one bu ilding. Including the huge couches and a small dancing floor. * In Shveroys resto-bar is named as Red Dragon. In this bar foreign liquors are served. * Price of the liquors includes all the taxes. * The bar fully air conditioned. * It opens at 10. 30 in the morning and at 12. 30 at night. * The bar has more local customers than tourists. * The bar is decorated with mirrors, wooden handicrafts. * The bar is also maintained in hygienic conditions. * Waiters are well trained to serve the custom. ORGANISATIONAL CHART OF FOOD AND BEVERAGES DEPARTMENT 9. HOUSE KEEPING DEPARTMENT * Housekeeping is the department that deals essentially with cleanliness and all ancillary service attached to that. The customer feels comfortable only in the environment which is clean and well ordered, so cleanliness is important for health foremost also for well-being. * Accommodation in hotels tend to be the largest part of the hotel, it is the most revenue generating department, the housekeeping department t akes care of all rooms is often largest department in Shevaroys. * The rooms in hotels are offered as accommodation to travelers/ guest as individual units of bedroom. * Hotel offer laundry, dry leaning facilities for guest clothes, shoe polishing facilities also.Hotel aims to make environment comfortable and offer specialized service to the guest. * Shevaroys make the ambiance as pleasant as possible by nice colour scheme, attractive furnishing and a well-kept efficient staff. * The fine accommodation and service are provided to the guest so they are pleased with the hotel. * The guest satisfaction is its primary object and the hygiene factor is always being present in the hotel. * The manager of housekeeping department is Mr. Raman a postgraduate is hotel management. * The department includes linen department, Mr.Govindarajan manages the linen department * The linen department is the Centre stage for the supporting role that the Housekeeping Department plays in the hotel. Most lin en rooms are centralized and act as a storage point and distribution center for clean linen. * Over 25 employees are working in housekeeping department of Shevaroys. ORGANISATIONAL CHART OF HOUSEKEEPING DEPRARTMENT KEY: *1 – Standard, Bougain, Old archit villas *2 – Cottage, Dalia, New archit, rooms 10. Marketing department Marketing mix: The hotel Shevaroys’s is integrating all elements of marketing mix successfully. Promotion: The basic way of promoting the hotel is by phone calls and then the personal meeting by the marketing staff, added to that they value customer’s comments too and it’s very important for promoting hotel. * Marketing staff’s public relation is very strong they meet the corporate people on a very friendly way. * Public relation in local market will remain an important element in them marketing mix presenting the hotel as a supportive member of the communicating and participating in significant local events. * For advert isement they publish broachers, and if there any new packages comes then they make it in broacher, Buffet packages etc. Words of mouth are very important for promoting any hotel but for this the hotel staff needs to be very punctual and good, added to that their services need to be very quick. * Primary focus will remain on mass communication with via print ads in trade publications and on the internet. * Direct mails campaigns to existing prospective client will increase as a cost effective meaning of target campaigning Product: * Hotel’s products are its rooms and services and better the room and services will behigher the reputation of the hotel and the quality of product. High quality services accompanied by exemplary personal service, differentiated from competition quality with an overall brand strategy, has proven to be the successful approach, generating high level of repeat business. Rooms: There 73 rooms available for cutomers with 6 types namely * Luxury Villa * De luxe Villa * Orchid room * Dahlia room * Rose room(deluxe double bedded) * Bougainvilla room (standard four bedded) * Standard double bedded room All of the rooms are calm best place to spend the time. Conference hall: * There is a conference hall called Lantana with a capacity of three undred members. * Vast spacious with wooden flooring. * Food and beverages are supplied as per the request of the customer. Price: As Shveroys is a three star hotel price of the rooms are moderate and comfortable to the travelers. * Luxury VillaRs. 5200 * Deluxe VillaRs. 4200 * Orchid roomRs. 2800 * Dahlia roomRs. 2300 * Rose roomRs. 2011 * Bougainvilla room Rs. 1700 * Standard double bedded roomRs. 1100 * The above quoted tariff is on double occupancy basis and exclusive of taxes. * Luxury & service tax 17. 65% on the published tariff. * Extra person charges Rs. 650 + taxes. Rates are inclusive of complimentary buffet breakfast served at the Silver Oak restaurant. Features: * Comprehensive variety o f rooms and luxury cottages available at wider range of prices. * Luxury and deluxe villas have individual car parking facilities. * Active room service. * 24 hour travel desk ( including air and trail travel). * Doctor on call. Marketing plan: The marketing plan of Shevaroys’s is structured to enable them to achieve the strategic goals we have set for them, in terms of increasing overall revenue as a result of differentiating their  products and services from the competition. Our marketing team of Shevaroys will ensure that the plan is implemented to the best of their ability and with the highest levels of efficiency and accuracy. Website Plan: Website plan of Shevaroys is already up and running but needs to be redesigned to give it an updated look and feel, as well as to secure interactively. The content is good but just need a refresher. Website goals of Shevaroys: The website needs to be able to do the following: * Convey our messaging of high quality, luxury business a ccommodation. Being able to make reservation online able to make changes online. Sales plan: * The sales plan hinges upon our sales strategy, sales process and, prospecting plan. * As long as we follow the plans laid below we should be in good shape. 11. FRONT OFFICE DEPARTMENT The Front Office is the nerve center of a hotel. Members of the front-office staff welcome the guests, carry their luggage, and help them register, give them their room keys and mail, answer questions about the activities in the hotel and surrounding area, and finally check them out.In fact, the only direct contact most guests have with hotel employees, other than in the restaurants, is with members of the front-office staff. . The front office functions can be divided into five general areas: 1. Reception 2. Bell service 3. Mail and information 4. Concierge 5. Cashiers and night auditors Duties of front office department: * The Front Office function of a Hotel is to act as the public face of the hotel, prima rily by greeting hotel patrons and checking in guests. * It also provides assistance to guests during their stay, completes their ccommodation, food and beverage, accounts and receives payment from guests. * Sell guestrooms; register guests and design guestrooms * Coordinate guest services * Maintain guest account statements and complete proper financial settlements. * Receive and process reservation requests for future overnight accommodations. * It also provides assistance to guests during their stay completes their accommodation, food and beverage accounts and receives payment from guests. ORGANISATIONAL CHART OF FRONT OFFICE KEY: H. K-House Keeping 12. SWOT ANALYSISStrength: * Unique taste. * Financial strength. * Talented employees. * Brand name. * Repeated customers. * Centre of the hill station. * Good leadership with the locals & travelers. * Sundry types of rooms. Opportunities: * Can become no. 1 restaurant in yercaud * Can expand branches all over Tamilnadu. * Can improve the hotel facilities into five star range Weakness * Old infrastructure * More competitors * No air condition rooms * No Wi-Fi facilities * No swimming pool * Very few indoor game facilities * Diversity among the workers Threats Lack of picking up of new technology new hotels will occupy the market. * Fewer travelers during winter season. * Few rooms are filled during week days. * Travelling facility is very poor during rainy season * No other entertainment except site seeing RECOMMENDATIONS: * The quality of food must be improved in hotels. * Prices of food must be reason able according to their food standard and services. * The hotels should follow new technological trends. * There must be proper marketing and sales promotion for hotel industry. * Hotel should be constructed at beautiful locations. They must raise their voice and negotiate with government for chalking out sound policies for the improvement in hotel and tourism industry. * Parking facilities must have ample space. * Room services should be according to needs of customers. * Attendants must be adequately trained, educated, well behaved and efficient. KEYS TO SUCCESS: * Continue to develop ongoing relationships with frequent and new guests. * Continue to develop and implement a strong communications plan in both national and international markets. * Leverage our strength in the local market as a member of the community by supporting local events. Identify new markets for our services such as University-based target groups. * Continue ongoing staff training and skill development to ensure the highest standards of  service. CONCLUSION This is sure that positive learning’s are more than negative learning because internship is an important part of the BBA, it has includes many learning’s including these. Confidence of the important learning of the internship because in class room we didn’t learn how to talk and conversation with the customers especially in English language s o, the internship has given us the chance to do that.Because is something that I learned with the meeting with different types of peoples exclusively for marketing peoples. Through this Internship Training, I have secured a deep practical & theoretical knowledge about the functions of various departments of Shevaroys and I am able to gain various managerial functions and how the employees are trained and how they are benefited in the company learned after this training experience.