ABC Management currently oversees the operation of ten very large, independent, world-class hotels. These hotels are located throughout the Midwest, and each targets business travelers as its primary market. All the properties are doing well and the owners are more than satisfied with the ability of the management company to meet their profit requirements. The president of ABC Management attributes much of the company's success to the efficiencies gained by managing hotels of similar size and service levels.

The owners of one hotel currently operated by ABC Management recently approached the company about managing three mid-range service properties. These properties are located in Midwest suburban areas and cater to the business traveler. All three hotels are chain-affiliated. The hotels range in size from 350 to 450 rooms and have limited meeting room facilities. Each hotel has a single dining room that provides breakfast, lunch, and dinner. Room service is also available.

Discussion Questions

1. List some of the important organizational and service factors that the executives of ABC Management should consider before responding to the owners of the three mid-range service properties.

2. Create an organization chart that ABC Management could use to identify management positions for the operation of a 450-room, mid-range service hotel. Aside of the organization chart, briefly describe each management position's primary responsibilities.

3. Create an organization chart that ABC Management could use to identify front office positions for the operation of a 450-room, mid-range service hotel. Aside of the organization chart, briefly describe each front office position's primary responsibilities.