2000 words or more

College of Southern Nevada

Responsibilities and Roles of Assistant Director of Business Transient Sales: Analysis of Role, Description and Specification, Impact to Hotel Sales

Student Name

HMD 259

Professor Michelle Scher

24 October 2016

Responsibilities and Roles of Assistant Director of Business Transient Sales: Analysis of Role, Description and Specification, Impact to Hotel Sales

Introduction

The goal of this paper is to thoroughly and adequately provide a job description and specification while presenting a short internal analysis of the importance of the role to a fictitious hotel. Using the lessons learned throughout the semester, an attempt will be made to outline the role and the requirements of the position using a description and specification as well as a short argument as to the value, importance and justification for the role. After completion of the paper, a conclusion will rectify the job description, job specification, and internal justification.

Analysis of and B.T.S. Deployment

Business Transient Sales efforts to date play an integral role in the success in achieving stated budgets for the hotel brand. Travelers in this segment include corporate and local negotiated rate programs, corporate project programs, extended stay, and government including state and federal. Overall revenue for the brand for all classified rate programs will account for 23% of sales revenues and 20% of available inventory. There are currently 19 properties within the brand accounting for 7,000 room nights per day with an additional 3 properties coming on line in 2017 with an additional 500 rooms of total per night inventory. Business travelers book through multiple channels with the current mix of sales indicated in the chart below for the entire brand portfolio. Although business travelers primarily book through special rate program tools, travelers are also able to book through travel agencies, direct using a special rate code, or through various outlets through the GDS. In total, business transient sales will generate over $30 million in revenue for the brand.

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OTA 20%

Web Direct 40%

BTS 15%

RCC 9%

GDS 8%

GR/WH 8%

Data reported from PMS and Onq internal data system YTD thru September 30, 2016

Current Deployment and Efforts

In 2004 there were 6 properties within the brand portfolio accounting for 3,000 rooms. In 2016 there is 19 properties with 7,000 room nights and although the amount of properties and rooms have increased by over two-fold, additional headcount has not kept pace and today there is still only one sales person responsible for this market, Manager Business Transient Sales. The graph below outlines the growth of the hotel portfolio while headcount has remained static.

Amount of properties reported from internal PMS system as of September 30, 2016

The weekly breakdown of work efforts by the current sales manager are as follows:

Review RFP’s and qualifiers for upcoming rate programs – 60%
Review production of corporate and local account – 10%
Define overall market strategy for each property while working with revenue team – 10%
Support each defined segment within the program through tradeshows, agent training, and conferences – 10%
Locate new accounts for share-shift opportunities and untapped markets – 10%

In order to continue to grow this market an Assistant Director of Business Transient Sales is needed in order to define brand rate strategy, lead the efforts for corporate and local negotiated accounts, represent the brand while vetting new technology impacting the Brand Performance Team, discovery of new trends and reporting back to the Senior Director of Sales. Based on company needs and appropriate historical surveys related to similar positions within the comp set and positions with similar responsibilities, the appropriate candidate will need to exhibit outstanding sales and negotiating skills, understand and report revenue and data tracking, and have the ability to communicate effectively with various departments. Without the proper skill set or position in place, additional revenues and missed opportunities from lack of role focus and share shift opportunities are estimated at $1 million in lost business transient sales room revenue for 2016 and continued losses beyond.

Without a focus on transient hotel guests in the future, market share and new account development will be affected. In addition, a current tertiary issue of additional work load with existing sales team members through the adding of new accounts, properties, and sales related business trips will be challenged, leading to possible turnover and employee retention. The possible addition of unannounced property developments will continue to add to an already stressed work load. By ensuring an additional senior sales position, delegation of duties and the splitting of responsibilities will ensure the brand and company is poised for the future as well as allowing the current sales team to focus on new and existing customers. Responsibilities outlined in the Job Description and Specifications of a Assistant Director of Business Transient Sales are outlined below.

Description

Position Title: Assistant Director Business Transient Sales

Department: Hotel Sales

Wage Category: Exempt

Organizational Unit: Hotel Operations

Reports To: Senior Director Hotel Sales

Position Location: Las Vegas Sales Office

Date Written: October 1, 2016

Business Transient Sales travelers are one of the most important guests for our hotel company. The Assistant Director of Business Transient Sales ensures current strategies align with goals of the hotel, reviews future potential partnerships for opportunities, and aligns efforts with operations and finance departments to ensure proper goals are met. The role will include contact not only with internal team members across all departments but also all valued partners through digital and face to face communication. The ability to negotiate, present solutions to challenges, and find win-win scenarios to internal and external partners is imperative for success in this role. Guest interaction, timely, attentive and responsible responses to ensure business partner, team member and guest immersion in the company’s core values is instrumental in insuring budgeted room revenue as well as team member and guest satisfaction. Regular office attendance in conformance with the brand standards is essential to the successful performance of this position.

Subordinate Staff: 1 staff member reporting directly to Assistant Director of Business Transient Sales and 1 staff member working in conjunction with sales team and reporting non-directly to Assistant Director in a support role.

Internal Contacts: Contacts include: revenue management, multiple hotel operations teams, accounting and corporate finance, other brand performance team members within parent company, Senior Director of Hotel Sales, sales managers, and personnel within the brand’s corporate offices that assist to ensure proper strategies, budget performance, protocols, and education is in place.

External Contacts: Government travelers and contractors, national brand sales manager representatives, national business travel managers, travel consortia representatives, strategic partners, local CVB’s and local travel managers or designated company travel arranger.

Position Purpose: Manages, leads, and directs the development and execution of strategic sales plans and efforts as it pertains to business transient sales, goals and initiatives to maximize profitability for the BTS market for all properties within the brand and to achieve budget, revenue and market share, and share-shift targets. Commitment and dedication to hospitality culture and company core values are an expected behavior to be displayed towards our guests and team members at all times. Lead direct report team along with revenue team in overall performance strategy. This may include points of contact for government booking platforms, business travel accounts, negotiated and dynamic pricing corporate account leaders, and penetration of local market for local negotiated rates for a cluster or multiple hotels within the brand.

Job Duties and Essential Functions (broken down by percentage of weekly tasks):

50% Hotel and Brand Sales Efforts

Directs sales efforts departments in the development, implementation and achievement of their annual business and market plan objectives in conjunction with the Senior Director of Sales.
Provides leadership, guidance and assistance relating to the execution of sales functions, efforts, policies and standards as established by the company for support and direct report staff
Capitalizes on parent company sales programs, and resources when appropriate including review of dynamic pricing strategy, promotions, and any future program or resource that is identified
Actively participates in the sales process via customer meetings, entertainment and attendance at client and other relevant industry events.
Directs coordination of cross-selling between resorts, joint marketing initiatives and other hotel/brand synergies to maximize exposure and profitability including agency contact, media planning and hotel communications for Business Transient Sales.
Directs the solicitation efforts of the sales staff through effective oral and written communication while providing strategic direction of rate, date and space commitments for room sales of the properties.
Develops and implements strategic and tactical plans to maintain current base and increase each hotel’s share in new markets.
Directs the coordination of ongoing research of the travel industry local and national market to detect market trends.
Directs the efforts to Business Transient Sales internally and externally.
Works with the local CVB to locate and track sales opportunities.

20% Revenue Management

Works in tandem with the Director of Revenue Management to provide strategic revenue management plans within the resort to include; rate development, establishment of group thresholds, space utilization policy, deployment strategies through the review of competitive data, demand analysis and market mix management.
Establishes appropriate qualifiers for targeted local and national accounts in order to attract corporate travelers to brand and to specific hotels.
Presents business case to revenue teams for each account for rate strategy.
Discovers and presents market shifts along with revenue team to develop strategies to meet assigned goals.

20% Leadership

Works directly with Senior Director Hotel Sales to ensure meeting or exceeding specified budget.
Leads all efforts pertaining to the BTS market segment.
Outlines guidelines, tasks, objectives, yearly reviews, and tracking of challenges and opportunities for all direct reports.
Oversees the management, training and career development of sales staff within the framework of the local competitive marketplace and recommends appropriate sales compensation.
Manages personnel functions such as selection, orientation, training, performance reviews, discipline, counseling, scheduling, pay and recognition for direct reports.
Maintains a positive cooperative work environment between staff and management.
Helps develop management talent by acting as a mentor for direct reports and other team members within and outside the department.
Attends management meetings and conducts departmental meetings.
Tracks marketing and travel spend for fiscal year budgets. Establishes and presents to senior leadership overall revenues generated and spend for the market segment during quarterly and year end meetings.
Meets regional leaders and general managers to review quarterly results, challenges, and opportunities specific to their property.

10% Sales Systems

Assures effective utilization and adherence to standards relating to current systems such as sales information systems, e-mail, internet accessibility, PMS systems, GDS, and any future identifiable technology systems that impact the company, the hotels, and roles.
Oversee new hotel builds within the system and initiates sales and marketing programs to support new resorts brought online.

The team member may be required to do other duties and special projects as assigned by the Senior Director of Hotel Sales including but not limited; to support of group sales efforts, assistance with tracking brand performance and representation of sales office as well as brand performance trade show and event support during internal and external meetings.

Supportive Functions

In addition to performance of the essential functions, this position may be required to perform a combination of the following supportive functions, with the percentage of time performing each function to be solely determined by the supervisor based upon the particular requirements of the company.

Set up sales systems, processes, and partnerships internally and externally for newly opened hotels.
Oversee client and internal sales familiarization events for greater sales and property exposure.
Represent brand within as well as outside of given market at sales industry events.
Demonstrates working knowledge of the service standards set forth by company guidelines.

Job Environment:

Office location within a hotel property in Las Vegas.
Sales calls and office visits required and not limited to the following:
- Government agencies, contractors, and support centers
- Local corporate offices
- Travel consortia and call support centers
- National sales offices
- Area CVB’s
- Properties within the brand outside of the Las Vegas area

Corporate office visits based outside of Las Vegas for brand and parent company.

Benefits and Compensation

Our hospitality company offers competitive benefits and wages. A benefits package is available after the first 90 days that includes paid vacation time, health, dental, vision and life insurance as well as a matching 401K program. In addition, annual bonuses based on company performance are currently available and commission based sales opportunities allow for increasing the salary base throughout the year. We are an Equal Opportunity employer.

Specifications

The individual must possess the following knowledge, skills and abilities and be able to explain and demonstrate that they can perform the essential functions of the job.

Ability to perform critical analysis and to read, and analyze sales data and financial data reports.
Possesses a comprehensive knowledge of negotiating skills and sales procedures associated with the hotel/resort industry.
Commitment to excellence and professionalism at all times.
Ability to delegate, manage and organize complex projects and establish priorities consistent with department, brand and hotel objectives.
Excellent listening, speaking and presentation skills.
Ability to manage multiple projects, meet deadlines and work effectively under time and resource constraints.
Ability to manage and lead each discipline of the department independently.
Demonstrates excellence in service quality standards that affect guest satisfaction, responding to guests in a timely and professional manner. A courteous and professional demeanor must prevail when handling upset guests, customers, and difficult situations.
Excellent English language communication skills in order to communicate both verbally and in writing with guests, clients, and team members.
Knowledge and ability to demonstrate the use of Word, Excel, and PowerPoint.
Knowledge of booking platforms and systems specific to hospitality.

Minimum Qualifications

Minimum 7 years substantial operations/sales experience in a comparable hotel.
Minimum 4 years in hospitality management leadership position.
Four-year college degree preferred; additional advanced degree coursework in business administration, marketing and communications a plus.
Understanding of hotel sales systems and tools.
Proven track records of successes in achieving revenue objectives.
Proven ability to recruit, motivate and train hospitality sales teams.
Must be able to travel to various parts of the country for up to two weeks each month and attend sales and marketing conventions approximately every other month requiring long periods of standing, sitting, speaking, and listening.
Must be able to travel internationally for external and internal meetings to foreign destinations as well as site visits to current properties within the portfolio located outside of the state as well as outside of the United States.
Ability to travel between resort locations to oversee sales operations.
Ability to travel between base office and corporate office located out of state for internal meetings.

This role is an integral part of our company’s success. Come join a dynamic and exciting organization that is a market leader in customer and team member focus.

Conclusion

Given the scope of the role as well as the unique attributes to the sales engine it is somewhat challenging to compare competitor pay scales in market. For instance, the role of the position will mimic a regional sales office however responsibilities will be brand-wide. Given the phenomenon of this duality and using competitor pay scales along with the current company pay grade policy that includes a factor comparison model, a base pay grade and compensation was concluded. The pay grade for this position falls within the realm of a higher tiered assistant executive level position as the title indicates. The higher level of pay is justified by the increased sales responsibility for the entire brand. Main Competitor X has a similar title with reduced responsibilities at $60,000-70,000 per year base salary with an additional potential pay out of bonus of up to 20%. Main Competitor Y does not have a similar role as the responsibilities are handled from a centralized regional office that is not brand centric. However, base salary for a regional Director position that carries a similar size and scope in responsibilities, is rated higher in base pay and potential bonus and, for Competitor Y, includes a base salary of $90,000 - $110,000 and up to 25% bonus pay out based on performance. Benefits will add an additional 40% of base salary on to the total compensation package and does not include any training costs associated with the role. Given the need for this role for the company and in order to ensure attraction of the most qualified candidate a recommended base salary of $75,000-$80,000 per year with bonus pay out that follows a corporate plan that is based on overall company performance, currently 11% of base pay, is recommended. This position will add a much needed role to an important segment while ensuring a return on investment.

Without an Assistant Director of Business Transient Sales the brand and the hotels within the brand will continue to lose opportunities to drive new account development and revenues. Estimated revenue impact above and beyond additional revenues from the opening of new properties and outside of the expected revenue influence of a new property inventory through chain-wide agreements (capturing revenues through this market by additional inventory accessible through GDS or direct bookings) by adding additional leadership position is as follows:

2017 +$1.4 million
2018 +$1.9 million
2019 +$2.5 million
Total $5.8 million within 3 years

With salary, benefits, and wages estimated to be $125,000 with the estimated return on investment in year 1 will at the ratio of 11.2:1. By year 3, increases in adjustments to salary, benefits and wages, estimated at $133,000 using inflationary rate increases of 3% per year, will be mitigated by additional actualized revenue performance with year 3 R.O.I. estimated with a ratio of 18.9:1. Additionally, greater efficiencies will be achieved by ensuring responsibilities for this market is spread across the sales team and limit the impact of job “burn-out” and allow for an appropriate succession plan without losing momentum due the natural course of employment fall-out and team member attrition. The outlined Description and Specification will ensure the right candidate is located for the requested position. In conclusion, an Assistant Director of Business Transient Sales for the brand is needed in order to achieve revenue goals and team success today and into the future. The thorough and cohesive outlined job Description and Specification ensure the right candidate is selected for this important position.