The hotel. So, the hotel performance as we have discussed in the past previous life can be divided into financial perspective, customer perspective, systems perspective and perspective. So, financial perspective will be dropped off eight maybe revenue target can be a cost saving can be anything related to the violence but customer perspective means is mostly quality related and how we how well we are serving our customers what our sentiments source what our say experiences, what are our food quality, what is the other aspects of the quality rating systems perspective, what how efficient we are in generating in conducting our business how fast we do the check in how fast we do the checkout. So that is me mostly on the internal rating, primitive maintenance plans or other how many times we do the fire drills to build out all the effective ness officer systems and integrate means all productivity for our training reports our employee satisfaction surveys.

So, these are all important aspects of our business. You can learn more about the balanced scorecard KPI in my another course, other aspects of the business that we normally are maintaining is asset control. So, we have to do the asset control data set how many like for our capital expenditure we have learned what where we are adding and most important part of this was the disposals are normally overlooked by most of the hotels and how much disposal is being done. Are the old assets being disposed of properly or not in efficient assets are being disposed or being replaced on time or not, because inefficient assets will lead to higher operating expenses in terms of utilities in terms of other maintenance expenses. So it needs to be reviewed in properly because the disposal of the investments is very useful. Typical aspect of the business check the ROI for all the major capital investments then you have account receivable there is no point in keep on selling the hotel and you are not able to collect the money as we learned return on investment can be is only cash generated not profit generated.

So, how much money but are we able to collect our money in time or not? So, that is the important aspect of our business. So, we can do it by doing this ratio average AR is like a how many how much daily sales is outstanding. How many days of the sales is absurd making our AR so, that is divided by A average year divided by sales multiplied by 265. So, you can look at this issue continuous basis on a monthly or six monthly basis so that you can see the trend is that we are able to improve the situation or not. And then also the quality of the receivables how long they are outstanding.

They are actually for more than 30 days. 60 days 90 days and then you also look at inventory turnover ratio. Every hotel has a useful inventory of beverages of the food or the linens or the other operating equipments, what is that turnover ratio of the inventory? How many times you are able to come around our inventory listed in the stores to sell as a food. So, that is also important aspect of our orders and then we also look at slow moving and non moving assets. What are the slow moving assets inventory that we align again or exciting items that we have been dealing with.

There are a lot of leakages in the hotels in these two areas which are not normally not being looked after by the hotels and management's. And then pending advances capital allowances for a long time, these are again some of the mismanagement that are normally happening in the hotels. liability side we can look for suppliers, finding suppliers. If you Have a long list of finding suppliers in the market the hotel's reputation can be bad. So, you need to be able to get paid and faster. So, that you can you can get a discount and cost of operations can be cheaper, you may be very happy by not paying the suppliers in time, but in that hotel, they suffer when they need it most or they may get a higher prices.

So, after we have identified all these problems, and we have identified the problem, so how we are going to be distributed decision making, decision making, we are normally identifying the problem first and then the goal. So, for identify that problem and then we are what is our goal to achieve so that your problem can be anything for example, your problem is high labor costs, what is the goal to achieve and then we do the information what is the cause what is causing the high labor cost? Is it because of the high employees is it high number of employees is because of excessive employees? Is it because on lower productivity Is it because of the and what are other benchmarks it can be environmental factor can be political factor can be economical factor and what resources and skills do we really have to to achieve to solve the problem, then we identify different choices that we may have we may be doing the reduction in the papers, we may not we may be doing the changing the papers with other newcomers, we may be doing, there are many kinds of ways to reach the goals but what we do is we need to generate all possible solutions first, evaluate them one by one for their possible effects on the business and then choose the selection and then we do monitoring and resource allocation is another important aspect because every decision we have to do is need resources to do time, money.

People's trainee budgeting is another effect. So, if we can To the sometimes we may not be able to implement a decision immediately so we can budget for future and then we do the monitoring. But last, but not the least thing is a monitoring and to the check again so that we can make our made our attack our decisions very fast. So those are all all the strategic decision making. We thank you very much for watching this course.