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Hotel Revenue Centres:

Distinctly identifiable department, division, or unit of a firm that generates revenue through sale
of goods and /or services. For example, rooms department and food-and-beverages department of
a hotel are its revenue centers.
A revenue centre is one of the five divisions of a responsibility centre Cost centre, Revenue centre, profit
centre, contribution centre and investment centre. Cost centres, like revenue centres , only monitor costs,
thereby making them a counterpart to the revenue centre
Revenue centers are solely responsible for activities that bring cash into the business. Because the focus is
on generating gross revenues and not controlling costs, it might seem this goal runs counter to the long-term
success of a business.
Sales or marketing departments are the most common forms of revenue centers in small or large businesses.
The marketing team is responsible for selling products or services that the company produces at a specific
cost. The team sets a selling price based on production costs plus a margin for profit. Its objective is to meet
or exceed revenue targets while maintaining agreed profit margins.
Example: In hotels:

Rooms division

Restaurants

Bars

Lounges

Room service

Banqueting facilities

Telephone

Gift shops

Newsstand

Valet parking

Laundry

In hospitals:

Blood bank

Cardiology

Emergency department

Inhalation therapy

Labour and delivery

Laboratory

Medical/surgical supplies

Operating room

Pharmacy

Physical therapy

Radiology

Cost Centre:
A cost centre is part of an organization that does not produce direct profit and adds to the cost of

running a company. Examples include research and development, marketing, help desks, and
customer service and contact centres.

Although they are not always demonstrably profitable, a cost centre adds value indirectly or fulfills
some other corporate mandate. For example, research and development may yield profitable
innovations, while effective public relations and customer service may lead to more customers and
increased customer loyalty.

DEFINITION of 'Cost Center'

A department within an organization that does not directly add to profit, but which still costs an
organization money to operate. Cost centers only contribute to a company's profitability indirectly, unlike a
profit center which contributes to profitability directly through its actions. This type of department is likely
to be one of the first targets for downsizing because, on the surface, it has a negative impact on profits.
Engineering Department:
Hotels constitute major Part of the hospitality industry. For proper management of hotels the
Hotel Engineering Department plays very important role along with other constituent
departments.
Such scope is very comprehensive and includes several activities like inspections
adjustments, replacements, repairs, keeping records etc., the broad areas of hotel
engineering maintenance work include civil, mechanical, electrical, safety & security, energy
and waste management, fire protection etc.
The role and mandate of any property engineering department is the
protection of the buildings/owners assets; the structure from the faade or building envelope, to the integrity of the
floors, walls, ceilings and all of the furniture, fixtures, and equipment (FF&E) contained therein. This includes the
electrical transformers and the distribution throughout, the domestic water distribution and sewage, the heatingventilation-air conditioning system, (HVAC), the fire alarm system and fire safety components, the vertical
transportation system (elevators), the property surroundings like parking and landscaping and pest control. Utility
management such as electrical, gas, steam, water. Kitchen and laundry equipment. Lighting and sound systems and
on and on.
Hotels are much more extensive and demanding. The engineering department has the responsibility for everything in
the building as well. Depending on the organizational structure of the hotel, some elements are assigned to other

departments. The Security or Loss Prevention department may take on the task of fire systems but ultimately this is
the responsibility of the engineering department as the building operators to monitor for regulatory compliance.

Some important works that fall under the department are as under:

Civil engineering,

Care of grounds and swimming pools,

Mechanical-Maintenance: such as Heating, Ventilation, Refrigeration, air-conditioning etc.

Electrical system and appliances.

Audio-Visual equipments,

Heavy Cleaning,

Communication and networking Systems,

Fire prevention and fighting equipments,

Waste management,

Energy management,

Minor repairs,

Painting and patching works and so on

The department is required to be in constant contact with other departments of the hotel like
Safety & Security, Food & beverage, House Keeping, Kitchen, conference & Banquet, Power Plant,
etc.
Sales & Marketing Department:

Supervision of this area by Corporate Director of Sales & Marketing

Guide development and implementation of Marketing Plan

Coordinate advertising and marketing

Coordinate attendance at appropriate trade shows and share costs with participating hotels

Provide sales and marketing training at regular sales meetings and Annual Hospitality Conference

Provide tools and systems for effective tracking and implementation of programs

Review and approve specific marketing strategies, programs, and print materials (brochures, ads,
flyers, etc.)

Corporate review of monthly sales reports

Participation and membership in key sales related organizations; i.e., National Tour Association,
American Bus Association, Hospitality Sales and Marketing Association, and Society of
Government Meeting Planners

Assist in recruiting, interviewing, developing, and hiring of sales staff

A marketing manager in the hotel industry is responsible for maximizing a hotel's revenues by
developing programs to increase occupancy and make profitable use of its accommodation,
meeting and leisure facilities. A hotel marketing manager must maintain awareness of the
factors that influence the hotel industry and gain a deep understanding of the needs and
attitudes of a hotels customers. A hotel marketing manager will be responsible for
coordinating marketing and promotional activities to meet customer needs, working closely
with other hotel staff to ensure customers are satisfied with the facilities and their time there.

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