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business
management in the hospitality industry

Questions and Answers of Management In The Hospitality Industry

What is a total reward program?
What are the major content theories of motivation?
Hoew does the equity theory relate to compensation in the hospitality industry?What about the expectancy theory?
Some experts criticize Skinner’s reinforcement theory on the basis of its simplicity. Do you believe this theory has applicable value for hospitality managers? Why or why not?
What are the four methods managers can use to evaluate the worth of jobs?
What limitations does the ranking method have?
What factors or policies should a company consider when establishing pay structures?
What are the principal differences between pay-for-performance and seniority-based pay systems?
Why is comparable pay such a hot issue for the hospitality industry? If the courts decide that jobs of similar value and skills must be paid equally, what effect do you believe it will have on the
One of the issues discussed in this chapter was wage compression. How would you address this problem as a manager in the hospitality industry?
Your employees have been incurring a lot of overtime lately for staffing special events. You cannot afford to pay time-and-a-half for overtime, so you make a deal with your employees: if they work
To understand your legal responsibility to admit guests and the circumstances when such admission can be denied.AppendixLO1
To protect the guest’s right to privacy.AppendixLO1
To operate and maintain a facility in a way that maximizes the safety of guests and compliance with the law, including Title III of the Americans with Disabilities Act (ADA).AppendixLO1
To differentiate among various types of nonguests and understand your obligations toward them.AppendixLO1
To generate the procedures required to safely and legally remove guests from a property.AppendixLO1
Identify at least four types of guests who could and/or should be denied service, and the reason for denial in each case.AppendixLO1
Explain how a guest’s room in a hotel is similar to his or her home for purposes of a legal search.AppendixLO1
Create a 10-minute training program to be used to teach new employees the importance of, and procedures for, cleaning up dining room spills and slick spots as quickly as possible. Include a testing
List the four priorities established for ADA compliance, and explain why you agree or disagree with the prioritization.AppendixLO1
Using the checklist provided in this chapter, evaluate the ADA compliance of a public restroom in your local library, museum, or art gallery.AppendixLO1
Exculpatory statements (described in Chapter 2, “Hospitality Contracts”) are often posted in recreational facilities, exercise rooms, pools, and spas. Explain their purpose and identify their
Contact your local small claims court administrator to determine:a. The location of the courtb. The maximum dollar amount of judgment the court can orderc. Any fees required to file a claimd. The
Develop a one-page checklist of actions that should be undertaken by a hotel staff to remove an extremely ill or deceased person from a room.AppendixLO1
To understand fully the responsibility hospitality managers have to safeguard the personal property of their guests.AppendixLO1
To carry out the procedures needed to limit potential liability for the loss of guest property.AppendixLO1
To assess the theories of bailment so as to be able to implement policies that limit potential legal liability.AppendixLO1
To create the procedures required to legally dispose of personal property whose ownership status is in question.AppendixLO1
Discuss the impact that the common law liability of innkeepers had on the development of the early travel industry, and give three reasons why state legislatures have chosen to limit that
Using the Internet, contact the offices of your state hotel and motel association to secure a copy of the current innkeeper’s liability law. Review the document and create a list of posting/notice
Give a restaurant example of a bailment for the benefit of a bailor and one for the benefit of the bailee.AppendixLO1
Innkeepers are generally held responsible for an even higher degree of care than ordinary bailees. Why do you think this came to be under common law?AppendixLO1
When a guest places a coat on a coat rack attached to his or her table in a restaurant, is a bailment created? Why or why not?AppendixLO1
To utilize job descriptions, qualifications, and other tools for legally selecting employees.AppendixLO1
To avoid charges of discrimination by knowing the classes of workers that are protected under the law.AppendixLO1
To understand the procedure for verifying the work eligibility of potential employees before offering them employment.AppendixLO1
To distinguish the rights of both employers and employees under the At-Will Employment doctrine.AppendixLO1
To understand the concept of collective bargaining and the legal obligations when interacting with labor unions.AppendixLO1
Identify at least three exceptions to the at-will employment doctrine, and prepare a rationale for each exception’s existence.AppendixLO1
Create a description for your most recent job. Use that information to create a job qualifications list for the same job.AppendixLO1
Appraise the pros and cons of refusing to supply detailed performance information about past employees to those who call for reference checks on them.AppendixLO1
Use the Internet to determine the union organization in your home state or country that represents the largest number of hospitality workers.AppendixLO1
Discuss the relationship between affirmative action and diversity awareness.AppendixLO1
Develop your rationale for determining whether a visually impaired individual, whose sight is fully corrected by prescription glasses, falls under the protection of the ADA.AppendixLO1
Create a checklist that could be used by a restaurant for complying with the requirements of the Immigration Reform and Control Act (IRCA).AppendixLO1
Using the Internet, find the state or local agency that regulates child labor laws in your hometown, and compile a list of positions in the hospitality industry that could not be filed by 14- and
To differentiate between an employment agreement and an employee manual.AppendixLO1
To establish a nondiscriminatory work environment.AppendixLO1
To implement a procedure designed to eliminate sexual harassment and minimize the risk of penalties resulting from charges of unlawful harassment.AppendixLO1
To legally manage the complex areas of employee leave, compensation, and performance.AppendixLO1
To respond appropriately to unemployment claims.AppendixLO1
To summarize and list the employment records that must be maintained to meet legal requirements.AppendixLO1
Compose an employment offer letter that does not jeopardize the at-will employment status of an assistant manager of a quick-service restaurant.AppendixLO1
Draft a voluntary tip-pooling arrangement for use in a sports bar that employs both bartenders and waitstaff. Assume 75 percent of sales are generated in the seating area and 25 percent are generated
Define the following concepts as they relate to sexual harassment.Zero tolerance Prevention Investigation Resolution AppendixLO1
Use the Internet to look up and identify whether tip pooling is permitted in the state where you work or go to school. Cite your information source and the path to get there.AppendixLO1
Contrast the concepts of at-will employment and wrongful termination.AppendixLO1
List and discuss four advantages of an in-house dispute resolution plan.AppendixLO1
Discuss the pros and cons of tying an employer’s unemployment insurance tax rate to the number of claims successfully filed by ex-employees.AppendixLO1
Identify reasons why accurate revenue forecasts are important.
Forecast restaurant and hotel revenues.
Utilize trend lines in the forecasting process.
“I'm telling you the average is about $18.00,” said Maya Stafford, the head server at the Mountain Grill. Maya and Raktida were talking about the check average achieved by the Grill on the
Mikel Nordsem is the front office manager at the Plaza Hotel. The hotel has 850 rooms and its market consists primarily of business travelers. Mikel has determined to doa better job forecasting the
Tina Bonina owns and operates the Cancun Amigos Mexican Cantina. Business is good and getting better. In fact, based on her carefully maintained sales histories, Tina predicts her sales will increase
Trisha Hanes purchased Casa del Sol, an 85-room full-service hotel on the Pacific coast in Nicaragua, in 2006. She felt then she was ahead of her time when she made the purchase and now she is
Identify the purposes for the various types of budgets used in the hospitality industry.
Create an operations budget and monitor its effectiveness.
Create a cash budget.
Identify the characteristics of a successful internal control program.
Zheng Chung is the managing owner of the Stillwater Grill. This year, 2010, was a good year for him. Now he is preparing his 2011 budget. Using the information Zheng believes will be true, help him
Dee Flowers owns the most successful catering business in town. December is her busiest month, and she has just completed it. Dee now has a chance to take a moment and evaluate the operations budget
Watson Walbert has been the Executive Chef at the Altina Restaurant for five years.Altina Restaurant is located in a “dry” area (alcoholic beverage sales are illegal), so it only sells food. In
Sithabiso’s Wraps is an all-organic restaurant located near State University. It is managed by Eunice Ndlovu, and Eunice is preparing her first-quarter cash budget for 2010.It is important to her
Explain the primary purpose of accounting and each of the five branches of accounting.
Explain why managerial accounting in the hospitality industry is different from managerial accounting used in other industries.
Recognize the Uniform Systems of Accounts appropriate for the hospitality business you manage.
Recognize your ethical responsibilities as a managerial accountant in the hospitality industry.
Match the branch of accounting that would be best used to answer the following questions.How should | record transactions associated with cash, payroll, and short-term debt?How much does it cost to
Richard owns a coffee bean shop that sells gourmet coffee and chocolates. Prepare both weekly and monthly profit formulas so that Richard has a good idea about his Current profit situation.WEEK
Laurie Tenk is a purchasing agent for a restaurant chain. One of her suppliers has been late on deliveries the past two weeks. She has discussed this with the salesperson, and he assures her that the
The chief financial officer (CFO) of a publicly-owned restaurant chain notices that the“bonus” for the chief executive officer (CEO) is much higher than anticipated for the year. She suspects
State the purpose of regularly preparing a balance sheet for a hospitality business.
Explain the way managers and accountants actually prepare a balance sheet.
Analyze a balance sheet to better understand the financial condition of your own business.
Kwan’s boss has asked him to evaluate his current assets on his balance sheet.However, Kwan is not exactly sure what his current assets are. Help Kwan by examining his balance sheet accounts and
Aidan Norton owns Aidan’s Lodge in a rural Midwestern town. His accountant Is out with the flu, and Aidan has to develop his balance sheet without his accountant’s help.Using the following
Rachel owns a franchise restaurant of a large restaurant chain in New England. Help her calculate a vertical analysis of her balance sheet.RACHEL’S RESTAURANT Balance Sheet December 31, 20XX (aa eI
Rachel's regional manager (from Question 3) has asked Rachel to calculate a horizontal analysis of her balance sheet. Help Rachel calculate her horizontal analysis.RACHEL’S RESTAURANT Balance Sheet
State the reason cash flows are critical to the operation of a successful business.
identify sources and uses of funds to assist in the creation of a statement of cash flows.
Create a statement of cash flows using an income statement and two balance sheets.
Analyze a statement of cash flows to better manage the cash flows of your own bs business.
Marvin Pearson is the managerial accountant for Highway Subs, a chain of sandwich shops located at major Interstate highway exits. He is about to begin work on a statement of cash flows for his
The Fred Proffet Company has been in the contract food service management business for many years. Their clients chose the Proffet Company for its creativity and attention to detail. Allisha McKay is
Now that Allisha McKay (see Question 2 above) has compiled the sources and uses of funds information she needs, she is ready to prepare The Fred Proffet Company’s Statement of Cash Flows for the
Victor Ortega is the owner of a very successful small company that operates a carry-out pizza parlor. He also prepares his own financial statements. His task today is the completion of his 2011
ldentify the factors that affect a foodservice operation’s menu pricing strategy.
Utilize the product cost percentage and contribution margin methods of menu pricing.
Utilize matrix analysis and goal value analysis to evaluate menu pricing strategies.

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