How do hotels control costs?

As we all know, the competition in the hotel industry is becoming increasingly fierce. If hotels want to survive and develop in this industry, they must keep a close eye on the market. But I want to emphasize that while paying close attention to market sales, we should also pay enough attention to reducing internal costs. Only by doing both internal and external repairs can we really improve the profitability and competitiveness of hotels.

The meaning of cost control

Cost control is to ensure that the cost is within the budget estimate. Check the actual cost according to the budget, mark the actual or potential deviation, prepare the forecast and give measures to keep the cost in line with the target. Mainly includes:

(1) Supervise the implementation of the cost and find the deviation between the actual cost and the plan;

(2) include some reasonable changes in the benchmark cost;

(3) Prevent incorrect, unreasonable and unauthorized changes from being included in the benchmark cost;

(4) Notify all parties involved in the project of reasonable changes. In cost control, we must also combine its scope control, schedule control and quality control.

The main structure of cost control

The subject of cost control can be roughly divided into three types from the perspective of enterprise organizational structure.

Decision-making subject: the senior manager who decides the way of enterprise cost occurrence and the overall goal, and is responsible for selecting and making decisions on the schemes involved in enterprise cost control.

Organization main body: it is the control main body responsible for organizing and coordinating the cost control of the whole enterprise, implementing specific implementation steps, division of responsibilities and control requirements, processing cost control information and assessing cost control results according to the cost decision results.

Execution entity: the entity that controls the costs incurred by various departments, links, stages and positions. All links and aspects involving the occurrence of costs and expenses have control subjects at the implementation level.

The executive subject of cost control is related to the establishment of functional departments, division of responsibilities, division of levels, post setting, scale and management system of enterprises. Generally speaking, the main body of cost control mainly includes: relevant departments and personnel who control the scale of production factors. Because production factors are the basis of product cost, period cost and other expenses, such subjects have a decisive influence on the effect of cost control.

element task

The starting point or platform of cost control process is the basic work of cost control. Cost control does not start from the basic work, and the effect and success possibility of cost control will be greatly affected.

Quota setting

Cost control quota is the quantitative limit reached by the consumption of various resources such as manpower, material resources and financial resources under certain production technology level and organizational conditions, mainly including material quota and man-hour quota. Cost control is mainly to formulate consumption quota, and only by formulating consumption quota can cost control be achieved. The formulation of working hours quota is mainly based on the income level of each region, enterprise wage strategy, human resources situation and other factors. In modern enterprise management, the labor cost is increasing, and the man-hour quota is particularly important. In practice, according to the production and operation characteristics of enterprises and the needs of cost control, there will be power quota and cost quota. Quota management is the core of basic work of cost control. The establishment of quota acquisition system, the control of material cost, fuel power cost, the establishment of labor contract system, the control of man-hour cost and manufacturing cost all depend on quota system. Without a good quota, the production cost cannot be controlled. At the same time, the quota is also the main basis for cost prediction, decision-making, accounting, analysis and distribution, and it is the top priority of cost control.

Standardization work

Standardization is the basic requirement of modern enterprise management and the basic guarantee for the normal operation of enterprises, which promotes the rationalization, standardization and high efficiency of enterprise production and operation activities and various management work, and is the basic premise for the success of cost control. In the process of cost control, the following three standardization tasks are extremely important.

First, measurement standardization. Measurement refers to the measurement of quantitative and qualitative values in production and operation activities by scientific methods and means, so as to provide accurate data for production and operation, especially cost control. If there is no unified measurement standard and the basic data is inaccurate, it is impossible to obtain accurate cost information, let alone control it.

Second, price standardization. In the process of cost control, two standard prices should be set. One is the internal price, that is, the internal settlement price, which is the' value scale' of simulating market exchange between accounting units and between accounting units and enterprises; The second is the external price, that is, the settlement price of supply and marketing with external enterprises in the purchase and sale activities of enterprises. Standard price is the basic guarantee of cost control operation.

Third, quality standardization. Quality is the soul of products. Without quality, even the lowest cost is futile. Cost control is cost control under quality control. Without quality standards, cost control will lose its direction, not to mention cost control.

Fourth, data standardization. Formulate the collection process of cost data, clarify the responsibilities of the submitter and bookkeeper of cost data, ensure that cost data is submitted on time and recorded in time, so as to facilitate data transmission and information sharing. Standardize the cost accounting method and clarify the cost calculation method; The written documents of cost should be in the form of national official documents, with a unified header and a unified cost calculation chart format, so as to ensure the accuracy of cost accounting results.

Institution building

In the market economy, the basic guarantee of enterprise operation is system and culture. System construction is fundamental, and cultural construction is a supplement. Without system construction, it is impossible to solidify the operation of cost control and ensure the quality of cost control. The most important systems in cost control are quota management system, budget management system and expense audit system. In practice, there are two problems in system construction. First, the system is not perfect. In terms of system content, system construction is more from the perspective of norms, which looks like an order. The correct approach should be to start from the operation of the system construction, so that the person in charge can find the correct positioning and facilitate the operation. Second, the implementation of the system is weak, always emphasizing the objective reasons such as poor management foundation and personnel restrictions. The content of interest adjustment shrinks as soon as it appears, which leads to the system being ineffective.

Importance of cost control

1, cost control is the fundamental way for enterprises to increase profits.

In any case, reducing costs can increase profits. Saving a penny means creating a penny of profit.

2. Cost control is the main guarantee to resist internal and external pressure and survive.

Outside the hotel, there are unfavorable factors such as horizontal competition, government taxation, and the reversal of economic environment. There are pressures from employees to improve their treatment and shareholders to demand dividends. The main weapon for enterprises to resist internal and external pressures is to reduce costs and improve service quality.

The commercial war of price reduction is essentially an efficiency competition. On the surface, it is price competition, but in essence, it is cost competition and the competition of hotel's comprehensive strength. Realize the survival of the fittest in the commercial war of price reduction, realize the optimal allocation of social resources, and promote the transformation of the economic growth mode of hotel industry. The practice of many hotels shows that strengthening cost control is an effective way to improve the viability and development of hotels.

3. Cost control is the foundation of enterprise development.

The operating cost of the hotel is low, and it can also reduce costs and expand capacity. Only with a solid operating foundation can we have the strength and capital to improve the quality of hotel software and hardware products, expand the development of stores and promote the development of chain stores.

4. Cost control is an important embodiment of hotel management level.

The premise of cost control

1. Cost control is based on the premise of not affecting service quality.

The traditional cost management is based on whether the hotel is economical or not, starting with reducing costs or even avoiding some expenses as much as possible, emphasizing saving and saving. The purpose of traditional cost management can be simply summarized as reducing expenditure and cost. This is a narrow concept of cost theory. Under the guidance of this concept, many hotels have fallen into the misunderstanding and strange circle of cost control. For example, in order to reduce costs, cancel service projects at will; Blindly purchase all materials at low prices; Aging equipment is not updated in time; Unseasonable articles are not replaced; Reduce the maintenance, training and promotion expenses necessary for the normal operation of the hotel; Reduce employees' wages and benefits. As a result of this short-term behavior, although the cost was reduced at that time, it eventually affected the service quality of the hotel and made the hotel lose its market.

2. Cost control is based on the premise of not squeezing and reducing employee welfare.

Main composition and control method of operating expenses

1, rent and fixed assets and depreciation

2. Cost of sales

(1) advertising fee

(2) Business reception fee

3. Energy consumption

Energy mainly refers to water, electricity, coal, oil and gas. Mainly through the following measures to implement:

(A) the development of management system

Mainly use the responsibility system, maintenance system, supervision system, reward and punishment system.

(2) Establish scientific, meticulous and strict energy consumption standards.

Mainly based on fair use. Each area is equipped with an independent water meter and electric meter, which is recorded by a special person every day and the equipment is counted every month. For special situations, such as peak and trough periods, it is necessary to strengthen dispatching.

(3) to publicize and instill the concept of energy conservation.

Encourage employees to put forward reasonable suggestions on energy conservation and implement the responsibility system of two-way scientific research projects for energy conservation and consumption reduction.

Dynamic energy management

According to the change of objective conditions, the energy use mode can be flexibly adjusted.

(v) Technical transformation

4. Costs of materials and supplies

1, cost of low-value consumables

(1) Establish warehousing and distribution procedures.

Suppliers-put in storage (put in order and set up charge cards)-collect 80% of rooms every day and return them to the warehouse before the end of the day.

(2) The room uses the remaining consumables with use value for recycling.

Such as soap, leftover roll paper, etc. , can be collected and used in staff toilets, toothbrushes, combs and nurses' clothes can be recycled and reassembled without pollution, and can also be sold as waste.

1, room consumables cost

(1) Establish warehousing and distribution procedures.

(2) Comprehensive utilization form management

(3) Summary inventory and analysis

3, cleaning supplies costs

(1) Use a new comprehensive cleaner.

(2) Control of detergent concentration ratio

(3) Management and distribution of cleaning agents

4. Washing costs

(1) Reasonable distribution ratio of linen and grass to ensure turnover.

(2) control and eliminate secondary pollution

(3) Management of dirty linen

5, maintenance costs

(1) When purchasing, consider the function, cost and grade, pay attention to the cost performance and durability of materials, and prevent inferior materials from causing poor engineering quality and repeated procurement.

(2) Every day, the maintenance personnel are required to record all the maintenance materials used, write down the relevant information such as the place of use, the name of the materials, and the quantity used, and do a good job in managing the daily maintenance files.

5. Restaurant fees

(1) The key to managing the price, quantity and weight of food raw materials is to manage "people" and "scales".

(2) Control the processing and production, comprehensively utilize the leftovers, and improve the food yield. Among them, the guest cost is separated from the employee meal fee, and the proportion is better.

(3) Utilization of smokeless kitchens and semi-finished products

(4) Restaurant outsourcing

6. Labor costs

It mainly includes salary, social security, employee welfare, employee housing, working meals, work clothes and others, accounting for about 15% of the total operating expenses of the hotel.

(1) The organizational structure has been decided, with emphasis on streamlining and high efficiency.

The organization of budget hotels should fully consider economy and practicality, fully consider the needs of work, and reduce unnecessary post setting and unnecessary management levels. The most suitable is to adopt a "flat" organizational structure, and its staffing standard is between 1: 0.3-0.5.

(2) Reasonable dispatching system

(3) Advocacy and supervision of piecework wage scheme

(4) Cultivate employees' versatility and versatility.

We should pay attention to the training of employees' skills such as "multi-functional in one post" and "multi-functional in one specialty", such as cross-training. Every employee is a generalist, and one person has several jobs. At the same time, these trainings are systematically linked with employees' career planning to fully mobilize employees' enthusiasm.

(5) Employment criteria suitable for the post

(6) In the process of personnel management, pay attention to details, do enough work, enhance the company's self-protection and reduce unnecessary expenses caused by personnel disputes.

7. Other management financial expenses

Bad debts and inventory losses, travel expenses, sewage charges, taxes and fees, rental fees, bank charges, management fees, commission expenses, etc.

(1) operating income point control

(2) Under the premise of not violating the company's financial policies, according to the local tax policies, reduce taxes as much as possible through flexible financial means.

Several important links of cost control

1, advocate of total cost control

(1) Brainstorm

(2) Incentive mechanism (ranking)

(3) Cultivate the cost consciousness of the guests.

2, procurement-warehouse control

(1) Control the purchase price.

When purchasing goods, we must choose suppliers with reliable reputation and guaranteed quality, and it is best to have a certain scale of operation. Be sure to choose more than three suppliers for comparison, and choose the cheaper supplier under the same quality and specifications.

(2) Check the quality of incoming goods

According to the demand of the store, the supplier is required to deliver the goods to the door within the specified time. After purchase, we should strictly check the quality, quantity or weight of the goods according to their categories, so as to avoid wasting money.

(3) Reasonable inventory

In order to meet the needs of hotel management, according to the actual situation of the warehouse scale of each hotel, we should rationally allocate the inventory, prevent the backlog of inventory from affecting the capital flow, grasp the principle of first in first out, avoid the waste of expired food and save money.

(4) Storage quality and safety

According to the requirements of different goods storage, the warehouse should do a good job of moisture-proof, anti-corrosion, anti-mildew, anti-loss, anti-deterioration, etc. At the same time, it should be equipped with appropriate fire-fighting supplies to prevent accidents.

(5) Make regular inventory, and the accounts are consistent.

A subsidiary ledger should be set up for all kinds of articles, and the income, delivery and balance should be recorded on time. At the same time, it is necessary to regularly check and verify the current accounts, and regularly clear the warehouse to ensure that the accounts, cards, goods and funds are consistent. The flow and turnover of goods in the warehouse is very busy. According to the actual consumption of goods in the off-peak season of the hotel, it is necessary to make an inventory to control the storage quantity of goods and prevent unnecessary losses.