The Importance of Distribution Management in a Hotel


The first hotel was built in England in the 17th century. It was known as the “cottage”. Then, as the number of travelers increased, the hotel was required to expand. The hotel was the only way to cater to the increasing demands. Today, hotels serve as a center of social and business life. They have many functions, including sales and personal relations, marketing, getting MICE business, and advertising. Its function is to sell and market the products of the hotel. A purchasing manager is in charge of the department, reporting to the financial controller. It is also responsible for procuring the items for departmental inventories.

The financial control department, also known as the controls department, oversees the finances of the hotel. It is responsible for ratifying inventory items in the operational departments and finalizing budgets prepared by other departments. This department is responsible for maintaining the accounts of the hotel. It is responsible for billing, processing payments, and processing bank transactions. It also processes the payroll data of hotel employees. Its duties may vary, depending on the needs of the hotel.

The controls department is responsible for keeping accounts for the hotel. Its primary function is to finalize the budgets prepared by the other departments. This department also handles the hotel’s accounts. It is responsible for processing bank transactions, settling invoices, and collecting payments. It may also process employee payroll data. It is an essential part of the operations of a hotel. It is important to remember that, with the help of distribution management, you can increase the rate of sales.

In addition to ensuring a healthy profit, the control department plays an important role in a hotel. It ratifies inventory items of operational departments, oversees inventory control procedures, and reviews budgets prepared by other departments. It also maintains the hotel’s accounts, which include processing payments against invoices, making billing and collecting payments, processing bank transactions, and processing employee payroll data. It is crucial for the survival of a hotel. And if you are planning on a stay, it is important to consider the distribution strategy.

Another critical aspect of distribution management is ensuring that the hotel’s rooms are sold efficiently. A hotel needs to advertise the rooms through several channels and online travel agencies to get the most potential customers. The distribution manager will also calculate the minimum number of rooms it needs to sell to maintain a certain level of profit. Once that is done, the control department will be in charge of all of the accounting. The controls department is also responsible for handling the management of the hotel’s finances.

A control department is an important department in a hotel. The financial controller is responsible for ratifying the items of the operational departments and finalizing budgets prepared by other departments. Lastly, the controls department handles the accounts of the hotel. Other activities of the controls department include making payments against invoices, processing bank transactions, and preparing employee payroll data. It is the most crucial area in the administration of a hotel. Then, there is the finance and accounting management.