CHP Operations Management & Efficiency 3 — Questions and Answers
Question 1: A resort experiences a 30% spike in demand every July. Which operational strategy best prepares the property?
- Hiring full-time staff in June to be ready
- Developing a seasonal surge plan with pre-trained on-call staff and pre-ordered supplies (Correct answer)
- Raising rates to reduce demand to manageable levels
- Closing non-essential outlets to focus resources
Correct answer: Developing a seasonal surge plan with pre-trained on-call staff and pre-ordered supplies
A documented surge plan with pre-trained flexible staff and inventory buffers ensures readiness without permanently inflating fixed costs.
Question 2: Which of the following best describes 'yield management' in a hotel context?
- Maximizing employee productivity per shift
- Selling the right room to the right guest at the right price and time (Correct answer)
- Reducing the cost of supplies through bulk purchasing
- Managing guest complaints to minimize compensation payouts
Correct answer: Selling the right room to the right guest at the right price and time
Yield management (revenue management) optimizes revenue by dynamically pricing inventory based on demand, timing, and guest segment.
Question 3: A food & beverage manager wants to reduce the cost of goods sold (COGS). Which action has the most direct impact?
- Increasing menu prices across all items
- Tightening portion control and reducing over-purchasing (Correct answer)
- Running more promotional discount events
- Expanding the menu with higher-cost ingredients
Correct answer: Tightening portion control and reducing over-purchasing
Portion control ensures each dish uses only the budgeted amount of ingredients, while right-sizing orders prevents costly spoilage.
Question 4: What is the key advantage of cross-training employees across multiple departments?
- It reduces the need for department managers
- It increases scheduling flexibility and reduces reliance on overtime during peak periods (Correct answer)
- It lowers the base wage rate for all positions
- It eliminates the need for seasonal hiring
Correct answer: It increases scheduling flexibility and reduces reliance on overtime during peak periods
Cross-trained employees can be deployed where needed most, reducing overtime costs and service gaps during unexpected demand shifts.
Question 5: Which tool is most commonly used to track and compare a hotel's performance against its competitive set?
- The property management system (PMS) dashboard
- The STR (Smith Travel Research) competitive benchmarking report (Correct answer)
- The daily flash report
- The annual capital expenditure plan
Correct answer: The STR (Smith Travel Research) competitive benchmarking report
STR reports provide aggregated market data that allows properties to compare their occupancy, ADR, and RevPAR against a defined competitor set.
Question 6: A hotel's GOPPAR (Gross Operating Profit Per Available Room) declined despite RevPAR growth. What does this indicate?
- The property is attracting the wrong guest segments
- Operating expenses grew faster than revenue (Correct answer)
- The revenue management strategy is ineffective
- Occupancy declined below the break-even point
Correct answer: Operating expenses grew faster than revenue
GOPPAR measures profitability after operating expenses, so revenue growth paired with falling GOPPAR signals that costs are rising faster than income.
Question 7: What is the primary reason hotels conduct regular preventive maintenance (PM) programs?
- To meet insurance underwriting requirements
- To extend asset life, prevent costly emergency repairs, and maintain guest experience consistency (Correct answer)
- To comply with franchise brand standards inspections
- To provide structured work assignments for engineering staff
Correct answer: To extend asset life, prevent costly emergency repairs, and maintain guest experience consistency
Preventive maintenance proactively addresses wear before failure, reducing expensive emergency repairs and guest dissatisfaction from broken amenities.
A resort experiences a 30% spike in demand every July.
Which operational strategy best prepares the property?