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GROUP PROFILE

Hashoo Group of Companies was established under the leadership of Mr. Sadruddin
Hashwani. In a period of some three decades he through his single handed dedication and
commitment to the Profession has transformed this Group in to a leading industrial group
of Pakistan, well known for its forward-looking approach, and highest standards of
quality and integrity.

Starting with Cotton Trading, Hashoo Group of Companies today boasts the only chain of
Five -Star Hotels in Pakistan namely The Pearl Continental Hotels chain and the Karachi
Marriott and the Islamabad Marriott Hotels with presence in all the provincial capitals
and the Federal Capital except one. Today, Hashoo Group of Companies besides hotel
industry encompasses oil and gas exploration, mining, ceramics, pharmaceuticals,
tourism and travel. It also has considerable investment in real estate. Mr. Sadruddin
Hashwani with his keen eye on the future is now guiding the Group to enter the field of
Information Technology (IT). Towards that end a wholly owned subsidiary of the Group
known as Net 21 (Pvt) Ltd is currently operating as Internet Service Provider that is
planned to serve as springboard to launch substantive IT projects.

The oil and gas exploration is being done under the Orient Petroleum Inc, which has
recently met with successful find. The Group is constantly on its forward march. Some
examples of it are: The construction of Pearl Continental Hotel Bhurban in the
picturesque Murree hills, Construction of new wing called Atrium Wing of The Pearl
Continental Hotel Lahore equipped with the most modern amenities, Continual up-
gradation and modernization of Pearl Continental Hotels and Islamabad as well as
Karachi Marriott Hotels, Acquisitions of the state-of-the-art Ceramics Factory to design
and produce crockery and a plant known as Gelcaps to manufacture halal gelatine
capsules for the pharmaceutical industry according to the most stringent quality
standards. Mr. Hashwani’s Vision knows no bounds and it will be difficult to predict as
to what will be his focus of attention tomorrow. For him time is short and the Art is long.

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Therefore, his philosophy is that each moment of life should go towards advancement of
cause of humanity at large.
Mr. Hashwani runs Hashoo Foundation whose sole objective is to engage in
philanthropic projects in support of social and cultural causes and for the uplift of the
deprived. Through this Foundation he not only fulfils his corporate responsibilities but
also more importantly his unwavering commitment to promoting the good of common
man.

PAKISTAN SERVICES LIMITED:


Pearl Continental Hotels, a chain owned and operated by Pakistan Services Limited, sets
the international standards for quality hotel accommodation in South Asia.

The Company manages 5 luxury hotels at;

 Karachi

 Lahore

 Rawalpindi

 Peshawar and

 Bhurban

Pakistan Services Limited was incorporated in 1958 as a Public Limited Company and is
quoted on the Stock Exchange. It owns and operates the Pearl Continental Hotels
(formerly Inter Continental Hotels) and is recognized as the largest and oldest hotel
company in Pakistan. 

Pearl Continental Hotels is the first Pakistani chain which has achieved excellent
international standards of quality products and services. In recognition of its high
standard, the Pearl Continental Hotel, Karachi was conferred the prestigious membership
of the "Leading Hotels of the World", an exclusive global organization of deluxe hotels
established in 1928.

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 Pearl Continental Hotels, beside in -house reservations network, are also linked with
Utell International to have international exposure and overseas reservation network.
 Investment in people and human resource development is an ongoing process in the
Hashoo Group. New management concepts and intensive training programs have been
introduced at all levels of supervisory and managerial positions through establishment of
an in-house Training School located at Pearl Continental Hotel, Bhurban. The Training
School looks forward to imparting systematic and scientific knowledge of the operations
of both tourism and hospitality business.
 Pearl Continental Hotels have become synonymous with a tradition of personal services,
efficiency, convenience and guest satisfaction.

BOARD OF DIRECTORS:
Mr. Sadruddin Hashwani
Chairman
Mr. Murtaza Hashwani
Chief Executive
Ms. Sarah Hashwani
Mr. Vazir Ali F. Mohammad
Syed Sajid Ali
Syed Aslam Ali
Mr. Shiraz Noordin

AUDIT COMMITTEE
Mr. Sadruddin Hashwani
Ms. Sarah Hashwani
Mr. Vazir Ali F. Mohammad

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COMPENSATION COMMITTEE
Mr. Sadruddin Hashwani
Ms. Sarah Hashwani
Mr. Vazir Ali F. Mohammad

CHIEF FINANCIAL OFFICER


Mr. Shiraz Noordin

 BANKERS

Habib Bank Limited


KASB Bank Limited
National Bank of Pakistan
PICIC Commercial Bank Limited
Saudi Pak Commercial Bank Limited
Union Bank Limited

 REGISTERED OFFICE
A-9 Mohammad Ali Bogra Road
Bath Island, Karachi, Pakistan
Tel  : 021-5872941-4
Tlx  : 21259 HOTEL PK
Fax : 021-5879872-4
http://www.pchotels.com.pk/
http://www.hashoogroup.com.pk/
http://www.pchotels.biz/
http://www.hashoogroup.biz/
 HUMAN RESOURCE AND

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RECRUITMENT COMMITTEE
Mr. Sadruddin Hashwani
Mr. Murtaza Hashwani
Mr. Vazir Ali F. Mohammad
Mr. Shiraz Noordin

COMPANY SECRETARY
Syed Masud Arif
 

AUDITORS
Taseer Hadi Khalid & Company
Chartered Accountants

LEGAL ADVISOR
Liaquat Merchant & Associates

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INTRODUCTION OF PEARL CONTINENTAL LAHORE
In the city of graceful mosques, imposing fortresses, and historic bazaars, Pearl
Continental Hotel, Lahore is located at the most prestigious financial, business and
commercial avenue, Shahrah-e-Quaid-e-Azam.

The introduction of the grandiose project, "The Atrium Wing", is the addition of large
banquet facilities measuring up to 7600 sq ft. along with 287 Deluxe Rooms, including
28 Business Suites and 2 Presidential Suites, to the existing 200 room’s property.
Expertise and luxuries have been gathered from all over the world to make it a venue of
international business activities.

Each room opens with an encoded key card and has the added luxury of a dedicated
butler, to attend to the guest's needs. The rooms are also fully equipped with all modern
gadgets such as Data Port, Electronic in-room Safe and a personal mini bar.

Bukhara is the hotel's specialty restaurant, renowned for its fine barbecue delicacies and
ethnic atmosphere. Marco polo is highly recommended for superb Pakistani and
Continental dishes, whereas Nadia Tea Lounge serves Tea menu and Coffee. The Club
is an exclusive dinning facility for resident guests in the Business Center, While Tai Pan
is the place to sample regional Chinese dishes.

The Atrium Wing's Convention Centre can hold Conferences & Banquets for up to
2000 guests, while the hotel's full fledged Business Center features two fully equipped
board rooms and three private offices. The guests can spend time at the hotel's fitness
center or shop at "Pavilion", the hotel's impressive shopping arcade.

HISTORY OF "PEARL CONTINENTAL" LAHORE


Every body is familiar with the name of Pearl Continental. It has a well-known and
established position in the hotel industry.
Hashwani or Hashoo Group has maintained and improved the position of Pearl
Continental. Initially, Pearl Continental was started with a title of PSL (Pakistan Service
Limited). An organization named as Intercontinental, which was consisted of PIA &

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Intercontinental's group. At that time, Hashoo Group had a major share in International
Group and so they played an influential role for the betterment of Pakistan Services
Limited (PSL) Intercontinental management was given with this opportunity to operate
this hotel (PSL) on contract basis. In 1967, Intercontinental was offered with this contract
to manage the business of this hotel. Pakistan Services Limited PSL) had started its
business with one ninety-eight rooms, & two Restaurants at Lahore. During this period,
Hashoo group performed effective jobs for the development of Pakistan Services Limited
(PSL). As we know, that era of sixties to eightees considers to be on era of development
and progress. Investments were made on these projects and the competition and quality
was improving day by day. Hashoo group contributed a lot in terms of time, experience
and their performance in order to develop integrity for Pakistan Services Limited (PSL).
With the passage of time, they raised their shares in this hotel. When, in 1985, this
contract was expired, Hashoo group owned this hotel and renamed it as Pearl
Continental. AT this time, this was entirely owned by local groups and no foreign
organization was involved. Refurbishment was held of the property and effective steps
were taken to further develop this hotel. So, in 1988, the foundation stone was build for
the extension of the building. This was a huge project and required a lot of supervision,
management and finance for the completion of this project. Finally, with the help of
management and construction team, this project was completed in February 1997. Now,
it has five hundred rooms which includes Deluxe rooms & Suites.
Restaurants are named as, Marco polo Cafe, Taipan, Bukhara, Dumpukht, Nadia.Tea
Lounge and Pavilion Ice Café. Now days a new Thai restaurant is under construction.

THE "NEW" PEARL CONTINENTAL HOTEL LAHORE


If location is really the key to retail success, Pearl Continental Hotel Lahore offers
national and international retailers just that.
Shops are in different sizes and are centrally air conditioned with individual controls.
Display windows and door consists of minimum four beveled glass panes with teak wood
mounting. Display windows have uniform halogen lighting. The installed gypsum board

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ceiling is provided with electrical power points and can be modified according to display
and decorative needs.
Electricity is being provided with separate meter. The Hotel's prime generator plant
provides 100% backup in case of power failure or load shedding. Preparation for
Telephone connections is provided, however the lines are to be obtained by the tenant.
Hotel is equipped with the latest technology in fire detection and alarm system.
Sprinklers are standard features in all areas. An experienced and full fledge security
department is looking after the interest of all.
Hotel operates a small Cafe on the Mezzanine level for the convenience of the retailers. A
tea and coffee making facility is at the disposal of the tenants on the Lawn level. Separate
washrooms for the staff are provided on the Lawn level of the Arcade as well.
An efficient team is ready to provide further information and to schedule a private
showing. The ongoing Festivals, Food Promotions, Musical events and Concerts, Theater
Plays and Puppet Shows, a fine mixture of International and Pakistani origin, make it the
Cultural Centre of Lahore.
Whether one would like to stroll through the lush green Gardens and sit in the gentle
shade of trees there or have its incentive morning workout there with colleagues, from a
leisure weekend, a board meting, a major convention, never has there been a more
versatile venue as this new Pearl Continental Hotel Lahore.
Seventy Boutiques in our Pavilion, The Shopping Mall, crown finally this superb venue
and make it a City within a City where all shopping needs are being taken care of in this
stylish and lavish decorated "City Centre". This hustle and bustle has created a fine
tuned atmosphere of sophistication and elegance, yet informal, only known in centers
such as Paris, New York and London.
Pavilion, the Hotel's Shopping Mall, consists of 70 shops in different sizes, is located in
the centre of the Hotel, adjacent to the Atrium Lobby and around the Hotel's Convention
Centre. Both, the Boutiques and the Convention Centre are accessible by the Hotel's
Main Entrance as well as by the purpose built South Entrance adjacent to the parking area
there.
Access is all in silky white granite flooring and black granite walls. Escalators provide
access to the Foyer of the Convention Centre and Showcase Gallery's balustrade there, is

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a glass creation mounted on a subtle combination of brush finished stainless steel and a
touch of brass.
The Mall corridors themselves are fully carpeted with teak wood paneling, finished with
Lapis Lazuli inlay. The Mall stretches out over two levels like Pavilions, Greece looking
columns and pillars, give the area a classic look. The Mezzanine level has natural light
provided by the glass roof of the corridors there.
20 Showcases are placed around the Mezzanine Gallery of the Foyer, framed with white
Italian marble columns, and finished with Lapis Lazuli, complete this magnificent new
creation.

ACCOMMODATION:
485 Grand rooms including, 32 Junior Suites, 34 Executive Suites, 4 Deluxe Suites, and 3
Presidential Suites. Room measure approximately 450 sq. ft. Featuring, Facsimile
machine, Data Port, Electronic Key System, Electronic in room Safe, Mini Bar, Safety
Alarm, Fire Sprinkler System, Radio and Television with Satellite Channels, In House
Movie Channel, Butler Service, Separate Glazed Shower Compartment, Hair Dryers,
Magnifying Shaving Mirror, and Direct Dial Telephone, etc.

DINING FACILITIES:
 Macro Polo Cafe: Round the Clock, (Capacity 160 Seats)
 Tai Pan: Chinese Restaurant for Lunch and Dinner (Capacity 88 Seats)
 Nadia Tea Lounge: For Hi Tea (Capacity 28 Seats)
 Dumpukht: Royal Mogul Cuisine for Lunch and dinner (Capacity 80 Seats)
 Bukhara: Open air Restaurant for Barbecue Dinner (Capacity 150 Seats)
 Muddy's Place: Theme Restaurant offering Mexican cuisine (Capacity 90 Seats)
 The Employee Cafeteria: In employee cafeteria services are provided to
employees.
 Cyber Cafe: Under construction.
 Mexican Steak House: Under development.

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 The Club: Located in Business Centre, for club members only (Capacity 38
Seats)
 Room Service: Round The Clock

BUSINESS CENTRE
Round the Clock Business Centre consists of 2 Board Rooms and 3 Offices. For in office
dining facilities, "The Club" located in the Business Centre offering dining facilities for
38 persons. (For Members Only, some time for others).

FACILITIES
 Fully Integrated Computer System for Conferences
 Flip Chart
 Video Screens
 Photo Copying
 Most Modern Audio Visual Network
 Full Secretarial Services
 International Dialing
 E. Mail and Internet Access

RECREATIONAL FACILITIES
 Separate facilities for ladies and gentlemen with Steam Sauna, Massage and
Aerobic.
 A large temperature controlled swimming pool with underwater music,
combined with Amphitheatre set in beautiful landscaped gardens.

SHOPPING ARCADE
Located at Mezzanine floor, consists of 70 shops, offering a wide range from High
Fashion to Bukhara Carpets.

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PARKING
Parking area is located at the Southern end of the building, provides the parking facility
for approximately 850 cars.

CURRENCY EXCHANGE
Our cashier at the reception will be pleased to convert your Foreign Exchange into Pak
Rupees. Please note, we do not sell foreign currencies.

DOCTOR
Services of a doctor are available round the clock, through reception, for customers and
one dispensary are for employees.

COURIER SERVICE
Your urgent documents and parcels can be rapidly dispatched Worldwide.

ACCESS:

GUESTS
The convention Centre and the Meeting Rooms are located off the main lobby. Access is
through a special and separate entrance or via the Atrium Lobby with a two-way
escalator.

GOODS
The loading dock is located in the basement, Access to the loading dock is only permitted
for unloading and loading of vehicles during setup and dismantling of the event. Parking
in this area cannot be allowed.

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CONFERENCE & BANQUET FACILITIES:

 The Crystal Room, measuring 11500 sq. ft. can be divided in two sections by
sound proof moveable partition; can accommodate 1350 guests in theatrical style.
 The Emerald Meeting Room, measuring 5100 sq. ft can be divided in three
sections by sound proof moveable partitions; can accommodate 540 guests in
theatrical style.
 Pre Function Area, measuring 7600 sq. ft. can accommodate 540 guests for
reception.

SHALIMAR LAWNS:
 Shalimar Lawns are ideal for open-air banquets, measuring 16000 sq. ft with
capacity for 1250 guests for reception.

WINGS
There are two wings in PC Lahore
 Atrium Wing (New Wing)
 Mall Wing (Old Wing)

AVAILABLE EQUIPMENT
Hotel has the following audiovisual facilities:
 Video Projection System
 Screens
 Magee Board
 Flip Chart
 Laser Pointers
 Overhead Projectors

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 Slide Projectors
 Integrated P/A System
 Data Ports
 Audio Recording Equipments

PHOTOGRAPHER
The Convention department can arrange for the hotel appointed photographer. Subject to
prior arrangement photographs taken during the functions, can be delivered within three
hours.

HOSPITALITY DESK
A hospitality desk can be placed at your disposal in the area designated to that effect. We
would wish for the following rules to be followed by your personnel at the hospitality
desk:
 Proper attire at all times
 No smoking, drinking or eating
 Not engaging in any activity foreign to their duty
 The pattern of the display signs needs prior approval

SAFES
The hotel declines all responsibility for belongings and valuables. Safe deposit boxes are
available at the reception desk.

CREDIT
The hotel for the settlement of hotel bills accepts the following credit cards.
 American Express
 Master Card
 Visa Card
 Diners Card
 JCB

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 Habib Bank
 Muslim Commercial Bank
 Unicard
The hotel controller must approve personal cheques.

HOTEL REGISTRATION / CHECK IN


Hotel Registration Cards are handed over directly to the guests upon arrival, which has to
be filled in complete and presented at the reception desk or at the desk set up for this
special purpose to obtain room keys. Hotel expects to receive detailed group naming list
one month prior to the arrival date

SAFETY REGULATIONS
 Any accident or loss occurred to the exhibitor's personal staff or exhibits will be
the exhibitor's own responsibility.
 Exhibitors will comply with hotel safety regulations specifically in regard to fire
proof decoration or protection against electrical malfunction.
 Any activity threatening fire safety standard or damage to the hotel property will
be discouraged.

RESTRICTIONS
Display of signs or banner is not allowed within all public areas of the hotel.
 Consumable, i.e. Food and Beverage items, may not be brought into the hotel.
Food and Beverage items cannot be served to the exhibit booths.
 The exhibitor can only use the area placed at its disposal and cannot be extended
to the other public areas of the hotel.
 The exhibitor undertakes to return the space in its initial condition, any
requirement regarding setup or display against the walls must require prior
permission from Conventions department.
 The use of nails, tack, stickers etc. is prohibited.

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MISSION STATEMENT:

Every organization has a complete statement of the organization's purpose-what it wants


to accomplish in the larger environment. A clear mission statement acts as an "invisible
hand" that guides people in the organization so that they can work independently and yet
collectively toward overall organizational goals. Organizations have defined their
businesses in service terms or in technological terms, but the mission statement should be
market oriented, have a realistic approach, should fit the market environment, motivate
and has guidance by a vision.

The mission statement of the Pearl Continental almost covers all aspects of an effective
mission statement.
Its Mission Statement can be defined as:

"Our Mission is to be the hotel recognized as leader in the Industry in any aspect. We

are committed to Train & develop all our staff members so that they grow in their

careers and provide services & standards, which exceed guest expectations".

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ORGANIZATIONAL STRUCTURE OF
PEARL CONTINENTAL HOTEL LAHORE

Hotel management and work force is handled by the general manager and has assistance
general manager, directors, managers, supervisors, and workers.
The operational management team consists of assistant general manager, controller
finance, director food and beverage, chief engineer, managers of different departments.

ORGANIZATIONAL CHART

CHAIRMAN

Executive Directors Directors Partners

Director Operation
& Administration

General Manager

Executive Assistant Manager

F.O. Accounts Engineering F&B Purchase Personnel Sales & Mkt. Marcom security

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DEPARTMENTS

MARKETING AND COMMUNICATION

Marketing Manager
(Miss Saira)

Asst.Mak. Manager
Ali But

Mkt. Coordinator
(Ahmad Mala)

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SALES AND MARKETING

It has two parts:

 Regional sales

 Lahore sales

REGIONAL SALES

Corporate Director

Director sales
(Asim)

Reg. Sales Mang.


Regional Manager Marriot (Faisal)
PC (Zeshan)

Sales Coordinator Sales Coordinator


(Ali Zubair) (Ali Zubair)

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LAHORE SALES

Director Sales

Assistant sales Manger


(2)

Senior Sales Manager

Sales Manager
(3)

Sales Coordinator
(6)

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PERSONNEL DEPARTMENT
 Training department

ACCOUNTS DEPARTMENT
 Finance section

 Credit and receiving section

 Payroll section

 Payable section

HOUSE KEEPING DEPARTMENT


 Flower shop

 Room deviation

 Linen

 Laundry

COST INVENTORY CONTROLLING DEPARTMENT


 Food controlling section

 Beverage controlling section

 General store section

 Engineering store section

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PURCHASES DEPARTMENT

PURCHASE DEPARTMENT

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Manager Purchase

Purchase officer
(4)

Purchase secretary

Purchase Assistant

Drivers
(2)

ENGINEERING DEPARTMENT
 Electrical system section
 Telephone section
 Audio, video systems section
 Plumbing system section
 Communication network section

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 Computer system section
 Refrigeration system section
 Kitchen equipment repairing section

FRONT OFFICE

 Reception
 Reservation
 Restaurants
 Concierge
 Guest relation
 Business centre
 Rent a car

Security Manager

Senior Security Off.


(1)

SECURITY DEPARTMENT
Security Officers
(4)

Asst. Security
Officer (4)

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Inspector
(20)
FRONT OFFICE

F O. Manager

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Asst. FO. Manager
(2)

Night Manager

Reception Manager

Shift Leader
(2)

Supervisors

MANAGERIAL POLICIES
Asst. Supervisors

Due to the rapid changes that are taking place the attitude, values, beliefs, ideology and
technology are in a constant state of change. Therefore an organization has to make
policies which can meet these changes. Some of the pearl continental policies about
certain matters are as under

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1) MANAGEMENT
We aim to provide attractive job satisfaction and carrier opening.

2) EMPLOYEES
We wish to enhance the carrier of our employees and we like to think that this a
satisfying company to work where condition are above average for all the
workers.

3) PRODUCT
Our product should meet the customer’s expectation and we should ensure that
our products are not harmful.

4) CUSTOMER
The customer is why we are here. We shell not only giver good value for money
we must satisfy his every demand.

5) COMPETITORS
We should respect the competition and we will compete vigorously but not
illegally.

MANAGEMENT STYLES OF PERSONNEL DEPARTMENT


PEARL CONTINENTAL HOTEL LAHORE

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Personnel department in pc Lahore is working under personnel manager. Other members
of the department include assistant personnel manager, personnel officer and assistant
training manager. Departmental chart of personnel department is as under.

Personnel Manager

Assistant personnel manager

Personnel Officer Assistant Training


Manager

FUNCTION PERFORMED BY THE PERSONNEL


DEPARTMENT IN PEARL CONTINENTAL

In the modern changing environment, the personnel department has gained tremendous
importance in the working of an organization. Functions performed by the personnel
department are as follows

1) SELECTION OF NEW EMPLOYEES

Personnel department plays an important role in the selection of new employees.


From the initial interview to the final selection, personnel manger participates
with the general manger of the hotel in the selection of the employees. His
opinion place a crucial role in selection and rejection of an applicant

2) ORIENTATION OF NEW EMPLOYEES

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After the selection of an employee, the personnel department orients him to the
environment of the organization, organizational requirement, their rights,
privileges

3) TRAINING OF THE EMPLOYEES


Training of new and old employees is basic function of the personnel department.
Training of the employees is the responsibility of assistant Training manager,
training room is equipped with the modern facilities such as computer, audio,
video equipment projectors, and library.

4) EMPLOYEES RATING AND APPRAISAL


Personnel department has also developed an administrator rating plan. The
department appraises the performance of different employees who perform extra
ordinary in a month. For this purpose performance awards are given to one
member of every department.

5) PROMOTION OF EMPLOYEES
Personnel department also manage promotion and upgrading policies. While
recommending a person to be promoting the department sees the sincerity, ability
and other policy element.

6) ENFORCEMENT OF RULE AND DISCIPLINE


Personnel department is also responsible for the enforcement of rules and decline
in the organization. For enforcement of rules and discipline, the department
maintains a close eye on the working of the employees during duty hours.

7) SETTLEMENT OF COMPLAINTS
The personnel department also handles the complaints of different employees.
These complaints may about the behaviors of supervisors or fellow employees.

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8) INTERPRETATION OF MANAGEMENT POLICIES
Personnel department has the responsibility of interpreting and communicating
management policies. In the case of any confusion created among the employees
due to any directive of management, the personnel department by having a
meeting with the employees tries to solve it

9) TRANSFER OF EMPLOYEES
Personnel department also take part in the transfer of employees. In the case a
department needs the services of an employee working in other department
personnel department may transfer the employee after his/ her consent.

10) DOWN GRADING AND LAYOFF OF EMPLOYEES


In case an employee is found indulge in an act which is unlawful or against he
`hotel rule the personnel department may down grade or layoff the employee with
the consent of other authorities.

11) ISSUANCE OF LOCKERS


The personnel department also handles the locker facility. The department issues
lockers to employees and trainees working in the hotel. The employee can not
exchange their locker without personnel office permission.

12) COLLECTION OF EMPLOYEES SALARIES AND WAGES


Personnel department in pc Lahore also has the responsibility of collecting the
employee’s salaries and wages. After the receipts of punch card form the time
office the personnel officer calculate the amount of the salaries to be paid to
employees after considering the late arrivals, leaves, overtimes.
13) HEALTH SERVICES

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Personnel department also provide health facilities to employees. A doctor visit
the personnel office everyday fro whom the employees can get advice on the
problems relating to their health.

14) OTHER FUNCTIONS


Other function of the personnel department includes communication with union,
grant of internship and sending birthday card to employees.

RECRUITMENT

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Recruitment is the term applied to that phase of personnel administration which is
concerned with reaching out and attracting a supply of people from which to select a
qualified candidate for job.
In PC Lahore the task of recruitments is usually undertaken by the general manager,
personnel manager and departmental heads. Methods of recruitment new employee vary
with each company. Pearl continental hotel Lahore used the following techniques to
recruit new employees.

1 NOTICE OUTSIDE THE TIME OFFICE


Notices outside the time office is one source of recruitment in pearl
continental hotel Lahore. Low level jobs are usually filled through these
notices. In these notices, it is notified that such types of jobs are available and
candidates can apply for the job.

2 ADVERTISEMENTS
High level jobs are usually filled through the advertisement in the news
papers. In the newspapers the nature of the job and other condition for the
applicant are notified.

3 PROMISING INTERNEES
In pearl continental hotel Lahore promising internees who perform
`exceptionally well during their internships are also provided with an
employment opportunities.
4 EMPLOYEE REFERENCES
Some time recruitment is also undertaken with the help of employee’s references
regarding a candidate. If the hotel authorities feel that the candidate will be
beneficial for the hotel, the candidate is provided with an employment
opportunity.

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SELECTION PROCEDURE

Selection of an employee in pearl continental Lahore depends upon a number of factors.


The personnel manager and the management need to know a number of factors about the
potential employee. The personnel manager and the management of the hotel have to
consider whether the selection of a potential employee on the current opening will
actually be beneficial for the hotel or not. The selection procedure which is used in pearl
continental hotel to select a potential employee is as follows.

1. PRELIMINARY INTERVIEW
The first step in the hiring of an applicant is the initial interview during which the
attempt is made to screen out considerable candidates. The initial interview is
taken by the personnel manager.

2. APPLICATION BLANK
In case the result of the initial interview is favorable, the applicant is given an
application blank to fill out. This application blank can be filled out in the time office
or at home.

3. SCREENING TESTS
After receiving and reviewing the applicant of a candidate, the personnel manager
calls the applicant to take a number of screening tests such as general intelligence,
English and other languages skills, personality etc.

4 VERIFICATION FROM PRESENT EMPLOYER


In case the applicant is working in an organization, the personnel officer made
contact with the organization and take information about the applicant.

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5 LETTER OF RECOMMENDATION
In the next step the applicant is asked to letter of recommendation from of his
previous employer or teacher.

6 FINAL INTERVIEW
After doing this, a final interview is arranged at which all the facts at hand are
considered and decision is made whether applicant shell be hired or not.
During the final interview the personnel manager negotiate with the applicants
about the matters, type of job, pay, bonuses etc.

7 PHYSICAL EXAMINATION
An applicant is arranged to a physical examination. Employment of course is
based on any applicants passing the physical tests.

8 RULES AND REGULATIONS


After passing the physical examination, the applicant returns to the personnel
officer for a brief discussion concerning rules and regulations.

9 ORIENTATION
An orientation is made in which new employee is introduced to the hotel and
different person working in the hotel.

10 PROBATION PERIOD
New associates have a probation period which can be extended to 9 months.
New associates are not entitled for ant benefits during the probation period
except for pick up and drop of service and free lunch and tea.

TRAINING OF THE EMPLOYEES

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In PC Lahore immense stress is given on the training of the employees. The process
of training an employee does not end with probationary period but it continues during
the whole service of the employee.
The hotel has a training g room which is administrated by the system training
manager. The training room is equipped with modern teaching technique such as
audio, video, TV, projector. It has sitting capacity of around 50 seats. Apart from that
the training room also has a small library. The library contains the books about hotel
management, general management and personality development. These books are
issued to the employees on request.
Training classes for each department are arranged regularly and headed by chief
executive or a senior member of the department. The schedule of the classes is
displayed on the notice board. English classes are also arranging to enhance the
spoken capability of the employees. The training classes are also essential for senior
executive because annual increment is not based only on job well done but also on
learning abilities and enthusiasm to teach others.
At the end of training programme an exam is conducted to assess the learning of
employees.
During the training programme it is the responsibility of the employees to attend and
participate I all classes whether it is about hotel rules and regulation about his job or
English classes. It is also important that the employees should participate in the
classes and pass his exam.

BENEFITS TO THE EMPLOYEES

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Pearl continental hotel in Lahore is offering the following benefits and facilities to the
employees.

1 MEDICAL FACILITY
The hotel is currently providing the medical facility to its employees. A
doctor visits the hotel each day and ill employee can get free medicines
and advice from the doctor.

2 TRANSPORTATION FACILITY
The hotel is also providing the transportation facility to its employees. The
busses of hotel go to different area and provide free transportation to the
employees.

3 CAKE AND BAKERY PRODUCTS ON DISCOUNT


The hotel is also providing cake and bakery products to its employees on
discount. The employee can get these products from the pastry shop at
50% discount.

4 ANNUAL PAY LEAVE


The hotel is also providing the leave facility to the employees. An
employee can enjoy 15 leaves with pay during a year.

5 FREE MEAL
The hotel is also providing free meal to its employees. Each day the
employees enjoy this facility in form of breakfast, lunch and dinner which
is arrange in the cafeteria.

6 FREE TEA

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Tea is also provided free of cost to employees. Tee timing of morning
starts at 10 O’clock and end at 10 .15. Tea timing of after start at 4
O’clock and ends at 4.15

7 LOCKER FACILITIES
The hotel is also providing locker facilities to its employees .the lockers
assigned by the personnel officer and the employees can not exchanges
these lockers with out permission. it is also the duty of employees to keep
their lockers in good conditions

HOUSE RULES

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House rules can be divided in to three parts
1 Probation period
2 Duty hours and other related instructions
3 Rules regarding leaves

PROBATION PERIOD
a. New associate has a probation period which can be extended unto nine month.
b. new associate are not entitled for any benefits during the probation period except
pick and drop services
c. any time off during the probation will be without pay
d. pay day is first of the each month
e. working over time can not be refused
f.

DUTY HOURS AND OTHER RELATED INSTRUCTIONS


a. Working time is nine hours including two fifteen minutes tea breaks and half
hours lunch time.
b. There is one day off in a weak which department head decided the schedule
duties roster.
c. Always remain in the assigned area of the duty.
d. Waking around in the hotel in duty hours is prohibited
e. Before starting duty hours and after finishing duty hours staying in the hotel is
not allowed.
f. Chew gum, smoking taking in high pitch voice is strictly prohibited in the
hotel.
g. Shift and duty hours can not be change without supervisors and manager
approval.
h. Propaganda either religious or political is not allowed in the hotel.
i. When working at pearl continental employees are not allowed to work on any
other job.
j. Employees are not allowed to take out of hotel property

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k. Associate are not allowed to use any of the guest facility.

RULES REGARDING LEAVES

a. Prior approval is required for all time offs.


b. Time off request form is available for the time office.
c. Medical leave is granted only by the house doctor or social security physician.
d. it is important for employee to report personnel officer when he joins back his
duty after remaining absent from duty.

TYPES OF CONDUCT WHICH IS NOT ALLOWED


Following type of conducts are not allowed in the hotel

a. cigarette smoking is prohibited in hotel except in cafeteria and lockers room


b. Associates are not allowed to sue hotel guest facilities, restaurants, telephone.
Laundry and health club.
c. Use service elevators for transporting heavy material and objects.
d. Associate are not allowed to enter in the guest room unless they are called upon
for duty in guest room.
e. In coming and out coming personal phones calls are not allowed on duty.
f. Never mentioned a guest name and room number together whether they can be
over heard by others

IMPORTANT RULES WHICH SHOULD BE FOLLOWED


DURING DUTY HOURS

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a. It is the duty and responsibility of the employee to carry his ID card while on

duty.

b. Don not carry more than three hundred cash

c. Any employee must notify time office when he is carrying more than the said

amount.

d. Don not sue water in the case of electrical or oil fire

e. Any employee should immediately report any lose electric wiring, broken or

defective out let.

f. A telephone has been provided by the management in time office to be used

only in case of emergency.

g. An employee must be very careful when handling room keys.

ACTS AND OMISSION WHICH ARE TREATED AS


MISCONDUCT
a. Theft, fraud or dishonesty in connection with employer business.

b. Willful insubordination or disobedience whether alone or in combinations

with others to any lawful and responsible order of superior.

c. Willful damage or loss of employer good or property.

d. Habitual absence without leave or absence without leave for more than 10

days.

e. Habitual late attendance.

f. Disorderly behavior during working hours.

g. Habitual negligence or neglect of work.

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h. inciting other to strike other in contravention of the provisions of any law or

rule

i. landing and borrowing money from each other

j. leaving duty or work place without permission

k. Improper action or work habits which may endanger the safety or welfare of

the associates, guests, visitors.

l. Lack of respect or courtesy towards the hotel visitors guest, clients, customers

or any other person connected with this hotel

FUNCTIONS OF DEPARTMENTS

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Pearl Continental Hotel is one of the best hotels in Pakistan. All credit goes to the
functional dept. of hotel, whose dedication and dexterity has been the one vital source of
success of this venture. Some major departments and their function are discussed, namely

 PERSONNEL DEPARTMENT

 FRONT OFFICE DEPARTMENT

 MARKETING AND COMMUNICATION

 MARKETING AND SALES

 PURCHASING DEPARTMENT

 COST / INVENTORY CONTROLLER DEPARTMENT

 ACCOUNT DEPARTMENT

 HOUSE KEEPING DEPARTMENT

 SECURITY DEPARTMENT

 ENGINEERING DEPARTMENT

 THE PRIVILEGE CLUB

 RESTAURANTS

PERSONNEL DEPARTMENT

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I foresee a brighter future for the hotel industry and I am determined that Pearl
Continental Hotel will play a vital role in promotion of tourism in Pakistan. I can
accurately state that any organization, which runs excellently, is due to constituted body.
So in this respect personnel department plays basic and effective role in operation of any
institution.

The major role of this department is perhaps, more accurately conveyed by the term
Human Resources Department. At Pearl Continental Hotel, this include,

 Recruitment and Selection

 Training and practice

 Employees benefit schemes

 Salary & payroll fixation

 Employee’s matters

 Termination and turn over

 Performance appraisal

FRONT OFFICE DEPARTMENT


Front office has first impression on numerous customers. Their role is very sensitive that
customers are satisfied. In Pearl Continental Hotel front office is divided in four sections.

1. Reception Counter

2. Reservation Counter

3. Restaurant cashier counter

4. Concierge

RECEPTION COUNTER
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Reception counter perform following functions:
 Information to customers.

 Telephone information.

 Contact with the rooms.

 Scrolling register.

 Preparation of key cards.

 Make up calls.

 Room keys handling.

RESERVATION COUNTER
 Reservations through telephone.
 Reservation through faxes & telex.
 Reservation confirmation.
 Reservation changing.
 Reservation Cancellation.
 Reservation finalization.
 Reservation through sales.
 Hotel-to-Hotel Reservation.
 Confirmed through telex.
 Group handling sales.
 Airport pick & drop service arrangements.
 Reservation correspondence filling.
 Preparation of reservation slips.
 Guest’s allotment.
 Room checking.

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RESTAURANT CASHIER
 Recording bills.

 Meals recording of in house guests.

 Making bills.

 Bills transferring.

 Feeding in computer.

 Outsider's guest cash collection.

 Cash transfer to general cashier.

FRONT OFFICE REPORT


Following office reports maintained by Front office:
1. Making bills of different services
2. Departmental reports
3. Front office cash report
4. Summary of sales report

CONCIERGE
In Pearl Continental Hotel guest are not only treated through accommodation and
dinning but also a parting different services like:
 Room Service dry cleaning facilities

 Room service iron facilities

 Postal service

 Aparting service

 Bellboy part luggage service

 Providing different information

 First Aid

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GUEST RELATION
 Welcome to guests

 Receiving V.I.P's Heartedly

 Advance booking record

 Handling misc. problems

 Room checking

 Proper cards (Time)

 Room service

BUSINESS CENTRE
It has direct relations to different business centers. In-house and other guests find a new
and full fledged round the clock Business Center, conveniently located in the Atrium
Lobby, offering full secretarial services. The professional and well-trained staff of the
Business Center is proficient in the use of computers and complete audiovisual facilities,
available at the disposal of guests. Two boardrooms and three private offices complement
the center. The Club, an exclusive dining facility in the Business Center has been
introduced to provide privacy and recognition in a private Club ambience. It features a
Sam bonnet trolley service for Breakfast, Lunch, Dinner and Snacks with a "Menu Du
Jour" also available. The club is open to members only.

MARKETING AND COMMUNICATION


Hotel business mostly depends on public relations. Management try to have positive
image in public, so because of this Pearl Continental Hotel maintains a separate good
office of public relations department. This department performs following important
functions:
 Organizing advertising companies

 Conveying protocol on arrival of VIP's

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 Publishing pamphlets, bulletin

 Organizing festivals

 Functions

APPROACH TO DIFFERENT ORGANIZATIONS


One thing which I observed keenly in Pearl Continental Hotel that they are very
interested to have approach to National and International Agencies / Organization. Some
special delegation and teams approach to them and express their facilities. Sometime they
give them complimentary lunch or dinner or any other gift etc.

All these works are controlled by,


1. Marketing and communication
2. Sales and marketing
3. Business Promotion office

BANQUET HALL MARKETING


This is treated separately by virtue of the unique nature of the Banquet Halls, and is
handled by another department. As mentioned in the introduction there are a number of
large capacity halls namely, Shalimar Hall, Crystal Hall, Emerald Hall. These are used
for different kind of activities like conventions, conferences, exhibitions and marriage
ceremonies.

To market these sales executive is assigned major customers based on historical data, and
is expected to all upon them regularly. Also there are numerous professional
organizations that have either held conferences or are potential new customers that are
contacted on the telephone.

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PURCHASE DEPARTMENT
Purchase department is a part & parcel of the hotel because every demand of each
department of the hotel in which purchasing is involved is done through this department.
This department deals all the requirements of the hotel. Through purchasing department
all requirements whether inside or wherever needs of anything fulfills the requirements.
Multi needs are for:

General store
Engineering store
Food and Beverage dept
All multi things needed for rooms and requisition of different
departments.

Purchase manager himself visit to the market and collect, different samples and
quotations (at least three) and chooses one for placing order after approval from G.M.
Quotations are also called by advertisement in newspapers. Purchasing manager prepare
lists and give to front receiving office. When order is placed, goods received by front
receiving office. On receiving goods this office clerk tally with the list received from
purchasing department. Then he records in bin cards and kept in the store, (if not
perishable). Same process is adopt by the different dept., (G. store, Engineering etc)

PURCHASE BALANCE
Purchasing dept. is not dependent on other departments. They don't require any report for
submission to accounts department, for final checking. But purchase dept. has to be very
careful about quality control of any thing. Purchase Manager has some particular amount
with himself. This balance serves as payment to the outsider's to seller's and vendors if
something purchased in emergency. End of day he checks and maintained balance as
required.

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PROCEDURE FOR THE APPROVAL OF PURCHASE ORDER (P.O)
When a department has to purchase any thing a purchase requisition rose by the head of
the department and is sent to purchase department. If purchase department have the rate
of the different vendors will quote such product.

These prices will be quoted in the P.O. and approved by the Purchase Manager, then this
is sent to the controller finance who will approve it according to the budget of the
department then P.O. will sent to the G.M. After the approval of G.M. this is sent to the
purchase dept. This P.O. have five copies one copy after approval is given to the head of
the department who raised P.R. and second is given to Account office and third copy is
given to receiving in charge and fourth copy is filed in the purchase department record
and fifth original copy is given to the vendor who has to provide the product.

COST / INVENTORY CONTROLLING DEPARTMENT

Inventory controlling department covers Food & Beverage. It has three sub departments:

1. Food controlling dept.


2. Beverage controlling dept.
3. General store dept.
.
Cost controller receives vouchers from purchasing dept. Two vouchers are used for cost
controlling.

1. General employees
2. From VIP's account

Amount written on it will less from total cost of consumed. While it will be added in total
sale price. Cost controller maintains different types of report and statements.

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1. Food reconciliation report.
2. Beverage reconciliation report.
3. Comparison of consumption.
4. F & B cost march.
5. Food reconciliation report for factor only.
(Further segregation reports are under)

Cost controller collects all documents like:

1. Purchasing & receiving reports from store controller.


2. Sale report e.g. coffee corner, Bar BQ. Bar, Room service,, Banquet,
Health food.
3. Reports or vouches of employees Meal + entertainment. They/he compile
all these reports and make reconciliation statements + price fluctuation
report.

INVENTORY CONTROLLING
Inventory controller generally maintains two types of reports.

1) DAILY RECEIVING REPORTS

It includes:
a) General stores
b) Engineering stores
c) Food stores

2) STORE ROOM REQUISITION

It includes:
a) Issuance of material

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b) Issuance of supplies
He compiles these reports and maintains a final report of reconciliation as per
store requisition.

Explanation
In this report or statement there is written as:
Opening Inventory + purchase - Expenses issues = Balance.
Adjusted entries are recorded as previous three months e.g. if any entry maintain
later on these will be included as adjusted entries.

THE PRIVILEGE CLUB

The Privilege Club of Pearl Continental Hotel provides many privileges to its members. It
issues a Gold Card and supplementary card to attain privileges.

ACCOUNT DEPARTMENTS

Account department plays controlling role in any organization. Hence almost every
documents route through this section. This provides an opportunity to have check and
control on the various departments of the Hotel.

PEARL CONTINENTAL HOTEL ACCOUNT DEPARTMENT


Account department of Pearl Continental works under the supervision of Controller
Finance, who is also the head of Finance Division due to the absence of General Manager
Finance.

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ACCOUNT DEPARTMENT
This department is divided into eight sections
:
1. Finance section
2. Credit receiving section
3. Purchase section
4. Dispatch section
5. Sales section
6. Cash section
7. Income Auditor
8. Payable section

HOUSE KEEPING DEPARTMENT

Housekeeping department is responsible for the cleanliness of the hotel including guest
rooms, public areas, corridors, restaurants, lounges, laundry and uniform dept. are under
their jurisdiction also.

The dept. is functioning with its first and foremost objective to clean each internal and
external corner of the hotel. They look after the banquet lounges, health and VIP rooms.
The dept. has supervisors, sewing machine operators, laundry attendant and assistant
housekeeping manager. Manger of housekeeping dept. is the one who is responsible to
manage in such a manner to provide luxurious housekeeping with minimized costs.

LINEN
Housekeeping is also responsible for all linen arrangements in the hotel. This includes
storage, issuing replacement and repair. Housekeeping manager consider it worthwhile to
do most of their laundry and linens maintenance themselves.

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LAUNDRY MAIDS
Laundry hotel and guest laundry, organizing linen for the laundry
.
HOUSE PORTERS
Moving linen and other housekeeping suppliers, heavy or difficult cleaning light
maintenance.

SECURITY DEPARTMENT
There have always been security needs whenever services are rendered, but traditionally
this has been restricted to pilferage. In modern era service organization have seen
increasing sophistication of the security system offset new and unexpected challenges.

Some of the functions performed by this department are:

* Physical safety of guests.


* Safety of guest's belongings.
* Safety of hotel premises from criminal acts.
* Control of Pilferage.
* Control of illegal occupancy of rooms by guests.
* Control of unauthorized use of rooms.
 Parking control

The Pearl Continental Hotel organization has put into effect procedures where the
security dept is authorized to inspect/search any individual even the Assistant general
manager. The General Manager directly controls the security dept.

ENGINEERING DEPARTMENT
Under the veneer of the hotel facade lies the proverbial engine which keeps the
operations literally afloat. The engineering/maintenance functions not as glamorous as
other functions, but just as important, the engineering department is responsible for:

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1. HAVC (Heating, ventilation and air conditioning).
2. Electrical System.
3. Telephone exchange systems.
4. Audio / video systems.
5. Plumbing system.
6. Communication network?
7. Computer system.
8. Refrigeration system.
9. Kitchen equipment etc.

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MARKETING MIX

Neil.H Bordon gave this concept in 1960’s. Marketing mix is defined as "The set of
controllable tactical marketing tools - product / services, price, place and promotion
- that the firm blends to produce the response it wants in the target market”.

The marketing mix consists of everything the firm can do to influence the demand for its
product. The many possibilities of marketing mix can be collected into four groups of
variables known as the four P's (introduced by McCarthy).

These four P's are as follows:

i) Product
ii) Price
iii) Place
iv) Promotion

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PRODUCT/SERVICE
Product is anything that can be offered to a market for attention, acquisition, use or
consumption that might satisfy a want or need of the person. It includes physical objects,
services, person, places, organization and ideas.

Products contain both tangible and intangible components, predominantly tangible


products are called goods and intangible products are called the services.

Services are the temporary provision of a product or the performance of an activity


intended to satisfy certain needs of buyers. They can avail the services but not in general
own it
.
In our economy many organizations provide services like schools, hospitals, banks,
transportation, hotel services etc. Hotels provide an intangible service for use or
enjoyment, not for the ownership; however they have the product just the same.

SERVICES OF PEARL CONTINENTAL:

In the hotel industry, Pearl Continental has a complete image about its services. Pearl
Continental establishes a complete brand name in the hotel industry. The services of these
hotels are related with the persons, places or organizations or any combination of these.

Pearl Continental & Marriott hotels are under the ownership of Hashwani’s group. The
five Pearl Continental hotels are situated in Pakistan's foremost business. This hotel has a
largest group of five star hotels in the country. The hotel provides the best services
against its competitor. The hotel provides services up to twenty-four hours a day. There

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are different types of services that Pearl Continental provides to its customers. These
services are given below:

DINING FACILITIES
Dining Facilities
Marco Polo Cafe
Tai Pan
Nadia Tea Lounge
DumPukht
Bukhara
Muddy's Place
The Club
Room Service

 Marco Polo Cafe:


The Hotel's Show Place. Is recommended for superb renditions of
Pakistani and Continental dishes. This elegant yet informal restaurant is
open round the clock and serves 3 buffets a day: Breakfast, Lunch, &
Dinner. Aside from the buffet spread , ala carte meals are also available. It
has a seating capacity of 160 seats.
 Taipan:
The Hotel's Noble Venue. Taipan, is the place to sample dim sum
delicacies and regional Chinese dishes served in elegant surroundings. It is
open for buffet lunch, and serves a la carte dinner every night. Seating
capacity 88 seats.
 Nadia Tea Lounge
The Hotel's Living Room. Commands a tremendous view of the lobby
serving Continental breakfast, Hi tea menu and Coffee throughout the day
or evening in a most congenial setting. Seating capacity 22 seats. Open
from 8 AM to 11 PM.

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 Dumpukht:
Royal Mogul Cuisine for Lunch and dinner (Capacity 80 Seats)
 Bukhara:
The Hotel's Terrace restaurant is a specialty restaurant renowned for its
fine barbecue delicacies and ethnic atmosphere. For both indoor and
outdoor dining, with live music. Seating capacity 150 seats. Open from
7:30 to 11:00 PM.
 Muddy’s Place:
Theme Restaurant offering Mexican cuisine (Capacity 90 Seats)
 The Club: Located in Business Centre, for club members only (Capacity
38 Seats)
 Room Service: Round the Clock
 7 to11: Popular priced restaurant
 Ice-Cream Parlor: Round The Clock

BUSINESS CENTRE
Round the Clock Business Centre consists of 2 Board Rooms and 3 Offices. For in office
dining facilities, "The Club" located in the Business Centre offering dining facilities for
38 persons. (For Members Only)

ROOM SERVICES

The PC Lahore comprises of 485 rooms in the new Atrium Wing which includes 28
Business Suites, 24 Deluxe suites and 2 Presidential Suites and 198 rooms in the Mall
Wing which includes 15 suites, which are designed to provide the ultimate in comfort.

Each room features data Port, Electronic Key System, Electronic in-room Safe, Mini Bar,
Safety Alarm, Radio and Television with Satellite Channels, in-house Movie Channel,
Separate Glazed Shower, Compartment Hair Dryers, Illuminated Magnifying Mirror,
Direct Dial Telephone and the Security-conscious can rest assured that all our rooms are

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equipped with smoke detectors and sprinklers. 
No effort has been spared to accommodate the guests, and each beautifully designed
room offers the comforts of home with a full range of modern amenities. Room measure
approximately 450 sq. ft. and are centrally air-conditioned. 
For the comfort of guests not used to Lahore's hot, humid summer climate, all windows
are tinted and double-glazed to minimize the glare and heat. In addition rooms come with
individual air conditioner controls. 
Room Service operates round the clock caring for all the travelers' needs. Fulfilling the
smallest of requests to the most urgent of needs, the room service assures in-house guests
of the best quality of assistance. 
    

SERVICES FOR GUESTS

The guests have access to all kinds of services and facilities so as to make their stay, not
only comfortable, but also a memorable one.

The New Pearl is not simply all that. It has every intention of offering its guests services
and facilities that they expect of genuine first class hotels, services which have not yet
been made available on this scale before in Pakistan.

Besides these the following services and facilities are available to our guests:

 Laundry/Dry Cleaning

 Jewelry and Gem shops

 Travel Desk

 Parking

 Baby Sitting

 Authorized Money Changers

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 Airline Offices

 In-House Doctor

 Florist

 Bookstore

 Business Centre

 Pharmacy

 24 Hour Room Service

 Car Rental

RECREATIONAL FACILITIES

 Separate facilities for ladies and gentlemen with Jacuzzi, Sauna, Tennis and
Squash Courts.
 A large temperature controlled swimming pool with underwater music, combined
with Amphitheatre set in beautiful landscaped gardens.

SHOPPING ARCADE
Located at Mezzanine floor, consists of 68 shops, offering a wide range from High
Fashion to Bukhara Carpets.

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PARKING

Parking area is located at the Southern end of the building, provides the parking facility
for approximately 850 cars.

CURRENCY EXCHANGE

Our cashier at the reception will be pleased to convert your Foreign Exchange into Pak
Rupees. Please note, we do not sell foreign currencies.

DOCTOR

Services of a doctor are available round the clock, through reception.

COURIER SERVICE
Your urgent documents and parcels can be rapidly dispatched Worldwide.

ACCESS

GUEST
The convention Centre and the Meeting Rooms are located off the main lobby. Access is
through a special and separate entrance or via the Atrium Lobby with a two way
escalator.

GOODS
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The loading dock is located in the basement; Access to the loading dock is only
permitted for unloading and loading of vehicles during setup and dismantling of the
event. Parking in this area cannot be allowed.

CONFERENCE & BANQUET FACILITIES


 The Crystal Room, measuring 11500 sq. ft. can be divided in two sections by
sound proof moveable partition; can accommodate 1350 guests in theatrical style.
 The Emerald Meeting Room, measuring 5100 sq. ft can be divided in three
sections by sound proof moveable partitions; can accommodate 540 guests in
theatrical style.
 Pre-Function Area, measuring 7600 sq. ft can accommodate 540 guests for
reception

SHALIMAR LAWNS
Shalimar Lawns Ideal for open air banquets, measuring 16000 sq. ft with capacity for
1250 guests for reception.

WINGS
There are two wings
 Atrium Wing (New Wing)
 Mall Wing (Old Wing)

PASTRY SHOP

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A pastry shop is also situated at Pearl Continental for sweet, different types of cakes &
spicy items.

FLOWER SHOP

You can get different types of flowers to share your pleasure at different occasions.

LAUNDRY/DRY CLEANING

It provides dry cleaning facility not only to the hotel’s guests but also to the outsiders.

AVAILABLE EQUIPMENT

Hotel has the following audiovisual facilities:


 Video Projection System
 Screens
 Magi Board
 Flip Chart
 Laser Pointers
 Overhead Projectors
 Slide Projectors
 Integrated P/A System
 Date Base
 Tape Recording Equipments

PHOTOGRAPHER

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The Convention department can arrange for the hotel appointed photographer. Subject to
prior arrangement photographs taken during the functions, can be delivered within three
hours.

HOSPITALITY DESK
A hospitality desk can be placed at your disposal in the area designated to that effect. We
would wish for the following rules to be followed by your personnel at the hospitality
desk:
 Proper attire at all times
 No smoking, drinking or eating
 Not engaging, drinking or eating
 Not engaging in any activity foreign to their duty
 The pattern of the display signs needs prior approval

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SAFES
The hotel declines all responsibility for belongings and valuables. Safe deposit boxes are
available at the reception desk.

CREDIT
The hotel for the settlement of hotel bills accepts the following credit cards.
 American Express
 Master Card
 Visa Card
 Diners Card
 JOB
 Habit Bank
 Muslim Commercial Bank
 Unicard

SERVICE CLASSIFICATIONS:
Services are related with the intangible products and differ from the tangible products.
Services are classified into the different groups. Classification is important it gives us a
great understanding of the values that we provide to our customers. This understanding
about calcification of services provides the insight needed to create effective marketing
strategies.
Pearl Continental has classified its services on

 Profit Objective
 Customer Type
 Labor and Equipment needs
 Customer Contact

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PROFIT OBJECTIVE
A major distinction among service providers is whether or not they seek financial profit.
Hotel industry makes strategic marketing decisions based on potential return on
investment.

The basis purpose of Pearl Continental in the hotel industry is to achieve


maximum profit out of the business. The location, services, equipment and target
potential groups of the hotel are all chosen with an eye to making a profit.

CONSUMER TYPE
Service firms have both consumers and organizational customers. The services are
identical in some cases, but different marketing strategies are required for the different
type of customers.
Pearl Continental has two types of clients;
 The Regular Corporate Client
 The General Client.

The seventy five percent (75%) of the hotel's business is depend on the corporate client.
Many large organizations have a contact with the hotel and their clients regularly avail
the services of the hotel. Seventy percent (70%) of the tourists are regular corporate client
of the hotel. They come here and avail the services for the business purposes or for
recreation. There is another type of customers that is the general clients of the hotel.
These customers come here for the recreation. So the hotel has a different marketing
strategies for the corporate client and different for the general client.

LABOR BASED SERVICES


Labor-based services are those services that are delivered by the people and are primarily
concerned with the activities of the people.

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Pearl Continental provides services to its customers directly through the people. They
have a direct marketing with their customers. They send their personnel in different
organizations and they give them information about the new service.

EQUIPMENT BASED SERVICE


Equipment based services are those that are delivered by equipment Pearl Continental
also use the equipment based services. They inform the customers about the services
through telephone, fax, E - mail, computers etc.

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PRICE

The amount of money charged for a product or service is called price.

Price, in fact, is probably the most flexible variable in the marketing mix. Marketers can
usually adjust their prices more easily and more quickly than they can change any other
marketing mix variable. However, under certain circumstances, the price variable may be
relatively inflexible.

Price goes by many other names rent tuition, fare, rate, interest, toll premium, and even
bribe. But all these names add up to one thing, what consumers pay for a product or
service. The key to determining a product's price lies in understanding the value that
consumers perceive in the product and that value results from their perceptions of the
total satisfaction provided by the product for service.

IMPORTANCE OF PRICE TO MARKETERS:


The only thing a marketer can change quickly to respond to change in demand or to the
actions of competitors is price, and price is a key element in the marketing mix because it
relates directly to the generation of total revenue. Price, therefore, plays an important part
in efficient marketing.

Price has psychological impact on customers and marketers can use it symbolically. By
raising a price, they can emphasize the quality of a product or service and try to increase
the status associated with its ownership. By lowering a price, they can emphasize a
bargain and attract customers who go out of their way. Price has a strong effect on sales.
Prices help to determine a company's profits. It is profits that enable companies to spend
money for research and development.

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As we know that Pearl Continental has a very strong position in the hotel market. The
success of this organization is due to its effective and efficient policies and its
implementation. Few years ago, Pearl Continental had very low number of competitors
and it had a "Seller Market" which means that it set its own prices according to their
profit margin and whoever could afford that price can avail their services. They did
not bother about the consumer suggestion & concerning prices. This was due to the fact
that Pearl Continental had a few competitors. Their marketing was based on Margin
Strategy i.e. they keep a great profit margin in their prices which reduces the
volume of their customers. They did not believe on volume strategy.

FACTORS TO CONSIDER WHEN SETTING PRICE:


A company's pricing decisions are affected both by internal company factors and external
environmental factors.

Internal Factors Affecting Pricing Decision


Internal factors affecting pricing include the company's;

 Marketing objectives
 Marketing mix strategy
 Organization.

MARKETING OBJECTIVES
Before setting price, the company must decide on its strategy for the product/service. If
the company has selected its target market and positioning carefully, then its marketing
mix strategy, including price will be fairly straightforward. Pricing strategy is largely
determined by decisions on market positioning. At the same time the company may seek
additional objectives. The clearer a firm is about its objectives the easier it is to set price.

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Examples of common objectives are survival, current profit maximization, market
share leadership and product quality leadership.
Few years back, pricing goal of Pearl Continental was current profit maximization. They
estimated what demand and costs would be at different prices and choose the price that
would produce the maximum current profits, cash flow, or return on investment.

But nowadays due to the expansion in hotel market Pearl Continental obtains to
have a market share leadership. They believe that the company with the largest market
share will enjoy the lowest costs and higher long run profits. To become the market share
leader these organizations set prices as low as possible. A variation of this objective is to
pursue a specific market share gain. Although Peal Continental considers to be a leader in
the hotel market, but with the passage of time, competitors has been increased this
industry. it is difficult to maintain "Buyer Market" which means that they adjust their
prices according to their customers. They have to act accordingly to their customers, in
order to remain at top position. Nowadays, their competitors and consumers set mostly
the prices. While setting their prices they keep a complete analysis on the prices of their
competitors and they adjust the prices according to their customers.

MARKETING MIX STRATEGY


Price is only one of the marketing mix tools that a company uses to achieve its marketing
objectives. Price decisions must be coordinated with product/service design, distribution
and promotion decisions to form a consistent and effective marketing program. Decisions
made for other marketing mix variables may affect pricing decisions. Organizations often
make their pricing decisions first and then base other marketing mix decisions on the
prices they want to charge. Hence, Price is a crucial product-positioning factor that
defines the product's market, competition and design. The intended price determines what
product/service features can be offered.

Service costs can be incurred. Pearl Continental develops new services in order to
maintain and attract customers. It always in an effort to come up with a variety of new
services. The pricing of every service offered by Pearl Continental differs from one

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another. The pricing strategy follows that it should cover the cost and also maintains the
due profit margin of Pearl Continental.

ORGANIZATIONAL CONSIDERATIONS
Management must decide who within the organization should set prices. In large
companies pricing strategy typically is handled by divisional or product line managers.
Pearl Continental's management considers its position while setting the prices of its
services. Top management sets mostly the prices, but it considers the suggestions given
by middle level management. Pearl Continental considers its permanent corporate clients
and offer them due concession in prices.

EXTERNAL FACTORS AFFECTING PRICING DECISIONS


External factors that affect pricing decisions include;
 Nature of the Market and Demand
 Competition
 Other Environmental Elements.

MARKET AND DEMAND


Whereas cost set the lower limit of prices, the market and demand set the upper limit.
Both consumer and industrial buyers balance the price of a product or service against the
benefits of owning it. Thus, before setting prices, the marketer must understand the
relationship between price and demand for its product / service. Pearl Continental, while
setting the prices considers the demand for their services. As it was mentioned that few
years back Pearl Continental had a "Seller Market" which means that there was a
demand for their services so they raised their prices. But now due to the expansion hotel
market, there exist a "Buyer Market". This results in less demand for their services so
they try to lower their prices.

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PRICES OF PEARL CONTINENTAL:
As we know that Pearl Continental Lahore has constructed its new wing which generates
an excess capacity for rooms. Previously Pearl Continental had approximately two
hundred rooms which have been increased by approximately five hundreds with the
construction of new wing.

Following are the some prices concerning the room rates of the old & new wing of Pearl
Continental.

The prices of old wing are differed by Rs.700 to Rs.800 with the prices
of new wing:
CLIENT CATEGORY CHARGES
Rank clients Rs.7000- Rs.8500
Commercial clients Rs.5200- Rs.6000
Corporate clients Rs.4000- Rs.4600
Preferred clients Rs.4000

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TARIFF:

Atrium Wing

Single Rs.8500
Twin or Double Rs.9500
Business Suite Rs.12000
Studio Rs.12000
Deluxe Suite Rs.18000
Presidential Suite Rs.35000

Mall Wing
Single Rs.7000
Twin or Double Rs.8000
Standard Suite Rs.12000
Executive Suite Rs.15000

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PLACE
In placing the services the marketing channels decisions are very important decision that
management faces. A company's channel decisions directly affect every other marketing
decision. For the development of the organization, proper marketing channel is very
necessary.

MARKETING CHANNELS
Marketing channel is a system designed to move goods and services from producers to
the customers, which consists of people and organizations supported by various facilities,
equipment and information resources. It is a set of interdependent organizations involved
in the process of making a service available for use or consumption by the consumer or
business user. Marketing channels are a necessary component in the marketing of all
goods and services, in both for profit and nonprofit organization.

The management of Pearl Continental use marketing channels to promote its goods and
services. In the Pearl Continental, marketing channels also benefit customers and giving
organization access to the right services at the right time.

The hotel has a proper marketing channel in the marketing of all services and provides
services to customers. The management of this hotel divides the work of the channel
according to different functions and these functions are assigned to channel members
who perform these works with most efficiency and effectively to provide satisfactory
assortment of goods and services to target consumers.

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CHANNEL LEVEL
Each layer of working intermediaries that performs some work is bringing the
service and its ownership closer to the final buyer is a channel level.

The Pearl Continental has a direct marketing channel with their target class. They have
no intermediary levels in the channels. They aware their customers directly about the new
service package. The marketing channel of this hotel provides customer support and
service. Customer service is a crucial aspect of this hotel. With the help of direct
marketing channel, management of Pearl Continental knows exactly about their regular
clients that what services must be provided to them.

CHANNEL DECISION
The management faces several channel decisions. In designing marketing channels,
management struggle between what is ideal and what is practical.

The management of Pearl Continental designs its channel very carefully so that they
convince the people very easily about the services of the hotel. The Pearl Continental
designs a channel system for analyzing consumer service needs setting the channel
objectives. With the help of properly designed channel system they can fulfill the need of
their customers.

ANALYZING CONSUMER SERVICE NEEDS


Designing a channel begins with the customer. Marketing channel can be thought of as
customer value delivery system in which each channel member adds value for the
customer.

The success of the Pearl Continental depends not just on its own actions, but on how well
its entire channel competes with the channels of other hotels. The P.C has a large number
of corporate clients so they provide a high value of services to their customers. The hotel

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wants to design an integrated marketing channel system that will deliver superior service
value to its customers.
The channel members design services according to the needs and wants of the customers
Like P.C Lahore is a corporate hotel, seventy percent of its business based on corporate
clients. Similarly P.C Bhurben is a recreational hotel, so they design the services
according to the needs of the customer of that location.

SETTING THE CHANNEL OBJECTIVES


Channel objectives should be stated in terms of the desired service level of the target
consumers. A company can identify several segments wanting different levels of
channels service. The company should decide which segments to serve and the best
channels to use in each case.

The Pearl Continental's channel objectives also are influenced by the nature of its
services, hotel policies, competitors and the environment. The management sees the
objectives according to the competitors and environmental factors. They launch new
service in flexible economic conditions, so consumer can avail the services in a very
flexible manner.

RESPONSIBILITIES OF CHANNEL MEMBERS


The management of Pearl Continental gives different responsibilities to each channel
member. The channel members set price polices and specified services to be performed
by each party. The members establish a list price and a fair set of discounts that provide
on different services.

LOGISTIC MANAGEMENT
The tasks involved in planning, implementing, and controlling the final goods and related
information from point of origin to the point of consumption to meet consumer
requirement at a profit. The logistics involves the management of entire supply chains.
The logistics manager's task is to coordinate the whole channel system, the activities of

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channel members and its customers. These activities include forecasting, information
systems, and planning.
The management of Pearl Continental has a greater emphasis on logistics for customer
service and satisfaction, to winning and keeping customers. Hotel is finding that they can
attract more customers by giving better services to them. The management always feels
that they may lose customers when they fail to supply the right services on time.

GOALS OF THE LOGISTICS SYSTEM


The major goal that Pearl Continental management wants to gain through proper logistics
system is to study the service needs of the customers. Customers want several distribution
services from suppliers, fast and efficient order of information or tracking latest
information.

The basic logistics objective of the Pearl Continental is providing maximum customer
service at the least cost and the service must provide to a target level of customers. The
hotel wants to offer at least the same level of services as its competitors. But the basic
objective of the hotel is to maximize profit, so the hotel must weigh the benefits of
providing higher levels of service against cost. So a proper logistics system is very
necessary to attain the goals of the hotel.

LOGISTICS SYSTEMS
The hotel designs a logistics system that will minimize the cost of attaining their
objectives. The major logistics functions in the Pearl Continental are:
 Order Processing
 Inventory Management

ORDER PROCESSING
In the order processing logistics system orders are submitted by mail or telephone
through different channel members. When the management receives orders, then the
orders must be processed quickly and accurately. The management sends information to

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their regular clients about the different services. After receiving the order the
management can quickly process these orders. The Pearl Continental has a direct mail
order processing system in the hotel.

INVENTORY MANAGEMENT
In the inventory management the management of Pearl Continental determines the
customer satisfaction. Through inventory decisions management determine that how and
when services are passed to the customers.

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PROMOTION

Promotion is an assortment of persuasive communications to sell a service, product,


firm, concept or idea.

Every organization wants to make good products and provide good services, they must
inform consumers about product benefits and carefully position services in consumer's
minds. To do this, they must skillfully use the best promotion tools. Every organization
chooses a unique promotional tool depending on its objectives, capabilities and markets.

The ultimate goal of all promotion is to influence the behavior of consumer. Promotion
can also be used to counter the marketing effort of a competitor.

The main purpose of promotion is to change the attitudes and behavior of consumers.
Pearl Continental as a service-oriented organization uses best promotional tools. This
hotel tries to differentiate its hotel through the use of promotion.

The Pearl Continental uses the four basic promotional tools in its hotel. These tools are
Advertising

Sales Promotion

Public Relations

Personal Selling

ADVERTISING

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The most obvious form of promotion is advertising. Advertising is defined as paid, non-
personal communication with a target market; advertising media include television,
radio, newspapers, magazines, billboards and direct mail.
An organization can use advertising to reach a variety of audience ranging from small,
precise groups. In the Pearl Continental advertising is an important element in the
promotional program. The management of Pearl Continental is constantly searching for
new ways to put their messages in front of the target class.

P.C Lahore is a corporate hotel. They used advertising to create awareness about its
packages among corporate clients. The hotel uses print media for the advertising, because
a large number of its target class consists of corporate clients. So they advertise their
services in business newspapers and magazines. Mostly they advertise their service
through direct mail advertising. Direct mail advertising tries to motivate customers to
adopt the services offered by it. Seventy five percent of its advertising consists of direct
mail short, Like they send direct mail to their regular corporate client about a new service
package. They have a full-computerized data about their corporate client so they send
regular mail to them.

They use electronic media for advertisement but to a very little extent. As this hotel has a
complete brand image, so they have not need to advertise their services in electronic
media. Print media and direct mail fulfils their requirements of advertising.

SALES PROMOTION
Sales promotion encompasses a variety of promotional activities and events,
including coupons. The common goal of sales promotion is to convince people to try
new services, encouraging current customers to use a given service more frequently and
moving potential buyers from interest to action.

Sales promotion includes as wide variety of promotion tools designed to stimulate earlier
or stronger market response. The management of Pearl Continental use sales promotion
tools to create a strong and quick response. The management use consumer promotion,

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they provide discount service packages; when they offer a new service they sent sample
by mail to their corporate clients to create awareness about that service.

PUBLIC RELATIONS
It means building good relations with the company's various publics by obtaining
favorable publicity, building up a good "corporate image" and handling or heading
off unfavorable rumors, stories and events.

The Pearl Continental has strong public relations with their audience. This hotel prepares
written materials to reach and influence their target markets. The material that this hotel
uses, includes brochures and different articles relates to the services of the hotel. The staff
people give these brochures and articles to the people who visit the hotel; they fill these
articles and give quick response to them about the service packages of hotel. In this way
management build a strong public relation with their target clients.

PERSONAL SELLING
Personal selling is a personal presentation by the firm's sales force for the purpose
of making sales and building customer relationships. It is the only way to adapt a
presentation to individual customers.

Under this system the clients of Pearl Continental are kept informed with the latest and
new services. The management personally told them about its services.

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MARKETING STRATEGIES
This concept includes
Strategic Planning

Organization’s Mission

Marketing Process

Market Segmentation

Market Positioning

STRATEGIC PLANNING:

“The process of developing and maintaining a strategic fit between the


organization's goals and capabilities and its changing marketing opportunities.”

It relies on developing a clear mission supporting objectives, a sound business portfolio,


and coordinated functional strategies. As we know that Pearl Continental has a strong
image among five star hotels and has an established name in the hotel industry. Pearl
Continental has an effective strategic planning at its centralized and decentralized levels.
It has defined its goals and objectives at every level and tries to compete with the
changing marketing opportunities.

The strategic planning of the hotel is turned into detailed supporting objectives that guide
the whole hotel. Each separate division of the hotel decides what portfolio of businesses
and services is best for the hotel and how much support to give each separate division.
Each separate division and service rate must develop detailed marketing and other
departmental plans that support the wide plan of the hotel.
The effective strategic planning originates:
Customer Satisfaction
Innovation,

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Variation of Services
Provision of Peaceful & Attractive Environment

Due to this strong strategic planning Pearl Continental has achieved a great name &
image in the hotel industry. The planning and control officer of the hotel involves in all
type of strategic planning and looking at what has happened in the past and forecasting
what is likely to happen in the future:
To the Hotel
To its Competitors
To the Market.

The hotel has best strategic planning which involves the hotel's performance and of
conditions in the market place. Among all these conditions involves the needs and wants
of consumers and the activities of competitors to satisfy them.

Forecasting phase is the important aspect of the strategic planning process in this hotel.
Forecasting of the hotel depends on all the future conditions provided by the hotel. Goals
are very important for every organization. The next step of strategic planning process is
the goal setting. This is no easy task. The manager of the hotel must select from a large
number of alternatives and conflicting goals those will most effectively guide the hotel's
effort. The marketing concept suggests that the overall goal of a hotel should be to satisfy
consumer needs at a profit.

The hotel involves issues of organization and scheduling for the implementation of the
strategic planning. All the managers in the hotel are decision makers. They must
implemental all the steps of planning.

ORGANIZATION MISSION:
Every organization has a complete statement of the organization's purpose-what it wants
to accomplish in the larger environment. A clear mission statement acts as an "invisible
hand" that guides people in the organization so that they can work independently and yet

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collectively toward overall organizational goals. Organizations have defined their
businesses in service terms or in technological terms, but the mission statement should be
market oriented, have a realistic approach, should fit the market environment, motivate
and has guidance by a vision.

The mission statement of the Pearl Continental almost covers all aspects of an effective
mission statement.

Its Mission Statement can be defined as:

"Our Mission is to be the hotel recognized as leader in the


Industry in any aspect. We are committed to Train & develop
all our staff members so that they grow in their careers and
provide services & standards, which exceed guest
expectations".

The hotel is trying to achieve their best to attract new customers as well as maintain the
old ones. They believe that customer satisfaction plays a major role in the success of the
hotels. This mission statement describes that they want to catch maximum business out of
the existing market of hotels. They should try to have a position at the top level in the
market and make certain attempts to maintain that post. At Pearl Continental every
department has defined its mission statement separately. Each division of the hotel like
sales & Marketing, Human Resource Development, Research & Development. Food &
Beverage, Front office, Gust Relations Department etc, has its own mission statement.
The motto of each mission statement is:
Customer Satisfaction
To Achieve Maximum Business out of the Existing Market

The hotel is running with the help of the mission statement. The management also
decided that the statement should be specific and attainable. It should set out where, how
and in what markets the hotel will act, and it should describe achievements that are

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feasible. The mission of the hotel is to provide expertise and services to consumers and
corporate customers throughout the greater area.

SETTING ORGANIZATION OBJECTIVES & GOALS


Every organization has some defined objectives and goals in vision because an
organization cannot meet at the customer needs so marketing goals must be elective.

Marketing goals must also be operational and specific, that is useful for developing
specific plans, and because goals in fact communicate to employees what there task and
roles should be. Because of the role goals play in choosing and implementing strategies,
they must be consistent with reality and with each other. Setting unattainable goals can
cause frustration and the misallocation of company resources. Goals of the hotel may also
differ at the same level of the hierarchy.

BASIC GOALS AND OBJECTIVES OF PEARL CONTINENTAL


To attain maximum business out of the hotel industry.
To maintain and add to its identity.
To create variation in services.
The quality of the services must meet the expectation of the consumers.
The standard of services meets the expectations at the international levels.
To launch a new service while holding costs to a minimum.
To create awareness about all services among consumers.
Meeting all the needs of the consumers.

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THE MARKETING PROCESS:
The marketing process influences the organization marketing strategy. There are four
steps in the marketing process

Analyzing Marketing Opportunities


Selecting Target Market
Developing the Marketing mix
Managing the market effort

ANALYZING MARKETING OPPORTUNITIES:


In the marketing process the first step is to analyze the long-run opportunities in the
market for improving its performance as business division.

Pearl Continental keeps its view on all the opportunities of market. This analysis is very
necessary for providing better services to their customers.

SELECTING TARGET MARKETS:


For selecting targets markets, marketing management faces two major types of problems.
(1) How to select a specific market or markets
(2) How to approach that market

The selection of the organization's target market and the creation and maintenance of a
marketing mix that satisfies the market's needs for a specific service is not an easy task.

Pearl Continental sometimes defines the total market for a particular service as its target
market. When hotel select its target market for food and beverage, the whole market like
children, young, old are involved in it. When this hotel taking target marketing to the
extreme, it might choose to treat every customer as an individual market segments. P.C
also targets the corporate clients of multinational organization like, PIA, Nestle, Service
Industries, Packages, ICI, Kohinoor Group etc.

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DEVELOPING THE MARKETING MIX
The marketing mix consists of everything; the firm can do to influence the demand for its
products. The many possibilities can be collected into four groups of variables knows as
the four Ps: Product/ service, price, Place and promotion.

Pearl Continental developed a very effective marketing mix strategy for its hotel.

MANAGING THE MARKETING EFFORT


Marketing effort is the last step in the marketing process. This process involves four
marketing management functions- analysis, planning, implementation and control.

Pearl Continental works according to all these activities. This hotel first develops overall
strategic plans. Then through implementation, the hotel turns the strategic and marketing
plans into actions that will achieve the hotel objectives. The target audience who work
inside or outside the hotel implements these plans.

MARKET SEGMENTATION:
The Market segmentation is “The process of dividing a large market into smaller
segments of consumers or organizations that are similar characteristics, behavior,
wants or needs”.

Each of these marketing segments can then be targeted using variations of the marketing
mix. Market segmentation divides the distinct group of buyers with different needs. In
market segmentation each individual has different need for different things.

Pearl Continental does not see just one big market for its hotel. Yet everyone has to come
here, but hotel management knows that not everyone has same need in its hotel. Some
people come here for attending meeting they are the regular corporate client of the hotel
and are the regular customers, some as tourists, some people come here for attending

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functions, and some spend their leisure time here. So when different people come in this
hotel, they have different needs with similar characteristics. So the hotel divides its whole
target market into different segments.

SEGMENTATION IN CONSUMER MARKETS


There is no single way to segment a market. A marketer has to try different segmentation
variables, along and in combination, to find the best way to view the market structure.
Consumer market is divided into different specific variables. This segmentation includes
different variables.
These include:

Geographic

Demographic

Psychograph

Behavioral Variables

GEOGRAPHIC SEGMENTATION
When marketers define their segments according to where they will market they are using
geographic segmentation. With geographic segmentation you can identify one or more
countries, regions, states, cities, and communities’ even individual blocks, to divide the
consumer market into meaningful subsets.

Pearl Continental divides its total market according to geographic segmentation.


Pearl Continental has its outlays in different cities of the country. Hence according to
geographic segmentation in each outlay services are different. People have different
needs in different regions. This hotel emphasizes the right services in the right
geographical area at the right time.

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DEMOGRAPHIC SEGMENTATION
Demographic segmentation consists of dividing the market into groups based on
variables such as age, gender, family size, family life cycle, income, occupation,
education, religion, race and nationality. Demographic factors are the most popular bases
for segmenting consumer groups. One reason is that wants and usage rates are different
according to the different demographic factors. For each demographic variable service is
different Pearl Continental also divide its market according to the demographic
segmentation. In this hotel, services differ, according to the age, sex, race, religion,
marital status etc. People belong to different age group has different needs.
Services of the hotel differ according to the gender differentiation. Similarly all other
variables are also very important. Many services can be naturally and realistically
targeted for segments define by different demographic variables.

PSYCHOGRAPHIC SEGMENTATION
Psychographic segmentation divides buyers into different groups based on social class,
lifestyles, activities, opinions, beliefs and personality characteristics. People in the same
demographic group can have a very different Psychographic group. A Psychographic
dimension can be used by itself to segment a market, or it can be combined with other
types of segmentation variables. In Pearl Continental Psychographic segmentation is very
necessary. Social class is one of the basic characteristics of Psychographic segmentation.
In this hotel many services belong to specific social class.

For example Pearl Continental offers "The Club" facility, Provided in business centre.
This facility is availed only by the business class.

Hotel also provides different facilities according to the life style of the people. Hotel
Provide "Dumpukht" restaurant according to the Royal Mogul style. So people with this
lifestyle avail this service of the hotel. Different people have different image about the
services provided by hotel. Hence Psychographic segmentation is very necessary in
consumer market.

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BEHAVIORAL ISSUES
When marketers use people's behavior toward service to segment the market, they are
practicing behavioral segmentation. Behavioral variables include product / service usage,
consumer needs for certain benefits, price sensitivity, brand loyalty and different other
characteristics.

All of the above behavioral issues are applied in Pearl Continental. Most of the
consumers are loyal and sensitive about their hotel.

Hence we see that Pearl Continental divide its consumer market into different segments
according to the geographic, demographic, psychographic and behavioral variables.

SELECTING MARKET SEGMENTS


An organization can adopt one of three market coverage strategies. These strategies are
Undifferentiated Marketing
Differentiated Marketing
Concentrated Marketing

UNDIFFERENTIATED MARKETING
At one extreme is undifferentiated marketing in which the organization offer only one
service/product. In undifferentiated marketing strategy, a firm might decide to ignore
market segment differences and go after the whole market with one offer. The offer will
focus on what is common in the needs of consumers rather than on what is different.

DIFFERENTIATED MARKETING
In the differentiated marketing, companies offers many services or service variations
aimed at specific market segments, using various marketing mixes. These organizations
are still attempting to satisfy a large proportion of the total market, but instead of doing it

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with one service offered one way, they market a wide variety of services designed to
appeal to well defined subgroups of the whole.

CONCENTRATED MARKETING
Concentrated marketing which targets a single market segment with a single
product/service or climate line of products/services. There are two basic reason that
organization choose this strategy, either the structure of the market makes the other
approaches impractical, or the organization does not have the resources to pursue the
other strategies.

Among all these three target market options Pearl Continental one of the largest hotel
adopts Differentiated Marketing. As we see that in differentiated marketing strategy a
firm decides to target several market segments and designs separate offer for each. This is
a true case in Pearl Continental hotel. Because this hotel provides several market
segments for their target consumers. This hotel provides many services like restaurants,
banquet and conference halls, sports club, shopping mall, swimming, business centre etc.
Each service in this hotel has its own promotional program designed for its own market.
The hotel is still attempting to satisfy a large proportion of the total market. According to
this marketing strategy hotel create different new services to their consumers.

MARKET POSITIONING:
Market positioning is arranging for a service to occupy a clear, distinctive and desirable
place in the minds of target consumers relative to competing services. In this way
consumers on important attributes define the services. The management of Pearl
Continental plans positions that distinguish their services from competitor's services. The
hotel compares its services to those of various competitors and concludes that they
provide maximum satisfaction to their consumers.

To make great position in the hotel industry, the hotel first identifies possible competitive
advantages about its services. To gain this competitive advantage, the hotel must offer

Institute Of Business Administration 90


greater value to choose target segments, either by charging lower prices than competitors
do or by offering more benefits to justify prices.

Once this hotel has chosen a desired position, it must take strong steps to deliver and
communicate that position to target consumers.

POSITIONING STRATEGIES
Marketers can follow several, positioning strategies. These positioning strategies against
a competitor are:

Product/Service Attributes
Usage Occasions
Users

PRODUCT/SERVICES ATTRIBUTES
In this positioning strategy organization can position their services on specific attribute.
There are certain specific attributes in each service. With the help of this positioning
Pearl Continental has achieved a strong position in the hotel industry.

USAGE OCCASIONS
Usage occasions are very important to make strong position in any field. In Pearl
Continental usage occasions are very important. The hotel can be positioned according to
these usage occasions. The hotel offered different packages in different occasions and in
different seasons.

USERS
It is another approach to position the service for certain classes. This hotel has improved
its position by providing different services to different users.

The hotel has also make its position directly against its competitor. This hotel uses a
combination of all these positioning strategies.

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MARKETING ENVIRONMENT
This portion deals with:

MICRO ENVIRONMENT
MACRO ENVIRONMENT

THE MARKETING ENVIRONMENT:

“The forces outside marketing that affect marketing management's ability to


develop and maintain successful transactions with its target customers”.

Every organization has to face a marketing environment, through which they develop the
ability to remain in business and want to meet target successfully. In any organization
management has the responsibility of identifying significant changes in the environment.

Pearl Continental has a very strong competing marketing environment. It has been
adopting very effective policies & rules in order to achieve a dignity and an identity in
the hotel industry. In each organization, the marketing environment is of two types micro
& microenvironment.

THE ORGANIZATION'S MICROENVIRONMENT:


The microenvironment consists of the forces close to the company that affect its ability to
serve its customers, the company, suppliers, marketing channel firm, customer markets,
competitors and publics.

Pearl Continental has a successful microenvironment in their hotel. The


microenvironment of this hotel depends on all of the above factors. Now we explain these
factors in the aspect of Pearl Continental.

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THE COMPANY
In designing marketing plans, marketing management takes other company groups into
account- groups such as top management, finance, research and development, purchasing,
and accounting. In any organization all these groups are interrelated and form the internal
microenvironment of the company.

In Pearl Continental all these groups are interrelated and they perform their own task. In
this hotel top management sets the organization's mission, objectives, and broad
strategies and polices. Marketing managers make decisions within the plans made by the
tope management. Finance is concerned with the finding and using funds to carry out the
marketing plans. The R&D department focuses on the problems of designing attractive
services. Purchasing department provides best services. Accounting department has to
measure revenue in the hotel. All of these departments have a strong impact on the hotel
microenvironment.

MARKETING INTERMEDIARIES
Marketing intermediaries help the Organization to promote, sell and distribute its goods
to final buyers. They include resellers, physical distribution firms, marketing services
agencies, and financial intermediaries. Resellers are distribution channel firms that help
the organization to find customers and make sales to them.

Marketing service agencies are the marketing research firms; advertising agencies, media
firms and marketing consulting firms that help the organization target customers and
promote its product to the right market.

The business of Pearl Continental depends on the different type of marketing


intermediaries. The major business of this hotel depends on the marketing service
agencies. Marketing services agencies help the hotel to convey the message to the target
consumers. The advertising agencies and media firms help the hotel to convey the
message about promotional strategies to the end users.

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These marketing intermediaries depend on the hotel microenvironment. Because the
major internal business of the hotel depends on these intermediaries.

CUSTOMERS
Every organization needs to study its customer market closely. There are five types of
customer market in any organization. These are:
Consumer Market
Business Market
Reseller Market
Government Market
International Market.

Consumer markets consist of individuals and households that avail services and buy
goods for their personal use.

Business markets avail services for further processing. The business of every
organization depends on the customers.

The major business of Pearl Continental depends on the consumer market, business
market & international markets. Pearl Continental provides many services for the
consumer market. The hotel provides different restaurants, shopping mall, and sports
club, swimming facility for the consumer market. Many individuals and households avail
all these services.

Business market is very important in this hotel. Seventy percent of the business depends
on this market. The hotel has seventy to seventy five percent regular corporate clients.
The corporate clients arrange official gatherings and seminars in the hotel. For official
purposes they stay in the hotel. They avail all the services of the hotel.

The hotel has a wide range of International Market. Several international consumers
come here for the business purpose and avail the services of these hotels. A large number

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of tourists stay in this hotel. The hotel provides all the tourism facilities to them. So the
customer market is very important in this hotel.

COMPETITORS
Every organization must provide greater customer value and satisfaction than its
competitor. This concept is true in Pearl Continental hotel. The hotel always gives great
importance to customer value and satisfaction in all the departments. The management
adopts different strategies according to the needs of the target consumers. The hotel
provides best services than its competitor.

PUBLICS
A public is any group that has an actual or potential interest in or impact on an
organization's ability to achieve its objectives. In any organization there are different
types of Public like;

 Financial Public
 Media Public
 Government Public
 Local Public
 General Public
 Internal Public

Financial Public include banks and different other companies.


Media Public includes newspapers, magazines, radio & television.
General Public is concerned with general public's attitude.
Internal Public includes its workers, managers, volunteers and the board of directors.

Pearl Continental prepares different marketing plans to achieve best publics as well as
achieve best customer market.

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For its general public, hotel provides all the recreational facilities to them. Similarly hotel
would have to design different offers for all of its public.

All of the above factors depend on the microenvironment of the hotel. This hotel has a
best customer and public market, so it has a successful microenvironment in the hotel.

THE ORGANIZATION'S MACRO ENVIRONMENT:

“The organization's macro environment consists of large societal forces that affect
the whole microenvironment demographic, economic, natural, technological,
political and cultural forces”.

As the microenvironment, the organization's macro environment is also very important.


We examine the forces that are included in the macro environment.

DEMOGRAPHIC ENVIRONMENT
Demography is the study of human populations in terms of size, density, location, age,
gender, race, occupation and other statistics.

Pearl Continental has a strong demographic environment. The hotel provides different
services according to its demographic features. Hotel offers special packages according to
different demographic factors. There are special packages for children, for women & for
business people etc.

ECONOMIC ENVIRONMENT
Economic environment consists of the factors that affect consumer buying power and
spending patterns.

The management of Pearl Continental is trying to achieve strong economic environment


in their hotel. They make different efforts, so that consumer effect and avail their

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services. The hotel provides services with respect to the different income level of the
people. So that all the people can avail the services of this hotel.

TECHNOLOGICAL ENVIRONMENT
This environment force creates new technologies, creating new services and market
opportunities. The management of Pearl Continental is always trying to introduce new
services in the hotel. They replace new services to the older one. The new services create
different marketing opportunities to the customer. In recent day hotel has constructed a
new “Crystal Hall". After the construction of this hall there are more marketing
opportunities for the consumer market. In this hotel technological environment takes a
very important place.

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MARKETING
INFORMATION SYSTEM
This portion includes:

Meanings
Developing Information

THE MARKETING INFORMATION SYSTEM:

“A marketing information system (MIS) is an organized set of procedures and


methods designed to capture, sort analyze, store and distribute the continuous
information flow from inside and outside the company”. In any organization the
marketing information system is very necessary. The Pearl Continental has a strong
marketing information system (MIS) in the hotel. There is a continuous information flow
in the hotel .

DEVELOPING INFORMATION:
In the Pearl Continental information is needed by marketing managers can be obtained
from
Internal Company records
Market intelligence
Marketing research

INTERNAL RECORDS
“Internal records information consists of information gathered from sources within
the company to evaluate marketing performance and to identify marketing
problems and opportunities.”

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Marketing managers of Pearl Continental use internal records and reports regularly
especially for making day to day planning implementation and control decisions. In this
hotel accounting department prepares financial statements and keeps detailed records of
sales, costs and cash flows. The marketing department maintains a database of customer
demographics, Psychographics, and buying behavior. The customer services department
of the hotel provides information on customer satisfaction or service problems. The Pearl
Continental has a better internal record system in the hotel.

MARKETING INTELLIGENCE
Marketing intelligence is related with the everyday information about developments in
the marketing environment. Marketing intelligence can be gathered from many sources.
Much intelligence is personnel, executives, engineers and scientists, purchasing agents
and the sales force.

Pearl Continental has a complete marketing intelligence system in the hotel. Each
department organize day-to-day meeting in their department. In this meeting all problems
and happenings regarding previous day was discussed. Marketing department organize its
own separate meeting in the department. Marketing managers prepare and advise day-to-
day marketing plans in this meeting. The Pearl Continental has a complete marketing
information system in the hotel

MARKETING RESEARCH
Marketing research is the function that links the market to consumers and the public
through information. It is used to identify and define marketing opportunities and
problems, to generate, refine, and evaluate marketing actions, to monitor marketing
performance and to improve understanding of the marketing process. Pearl Continental
conducts marketing research inside the hotel.

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FIELD OF ACTIVITIES

FACILITIES AND SERVICES

"Whatever our interest we are never for from it".

Building an image is always easier than maintaining it. Pearl Continental has a global
reputation of being one of the finest hotels in the world. They take great care to up holds
the integrity of that statement, with each new establishment. Their hotels always have
more than the standard requirement for a five star hotel. The regular exterior, elegant
decor, subtleness of taste and so much more.

The beauty of Pearl Continental begins with the exterior of the premises, when we enter
the hotel lobby; the floor is made of glazed brown marble and well carpeted. In the beside
of huge lobby is a reception counter. A black glass is besides the reception, while in front
of it a corridor like hell street can be seen, where some shops, offices of Airlines
(Singapore, Thai, Japan) bank, beauty parlor are there, surrounded by natural plants,
where we find a highly trained staff with their smiling and welcoming faces
.
A highly professional secretarial staff is available for secretarial services for the guests
typing and other official works. International fax and telex with modern are also
available. To park the guests cars, a special valet staff is hired, giving their welcoming
attitude and pleasant appearance

GUEST SERVICES
Cradle of Pearl Continental is open for National and International tourists at any
convenient time. Well-dressed and smiling faces staff always welcome heartedly and
treated and accommodate honourly. The maxims of this hotel express in form of good
management and behave well.

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They can proudly say that there is one thing that other hotels hare and we don't. Small
rooms the only kind they have are large, larger and largest. All furnished with impeccable
taste and with one objective in mind, that being the comfort or our guests.
No wonder some people make their rooms their permanent home.

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FINANCE SYSTEM AT
PEARL CONTINENTAL LAHORE

Finance Department in Pearl Continental Lahore is working under financial controller.


Financial controller is responsible for the overall working of the department. It is the
responsibility of financial controller to have a check on the working of all the sections.
He is also responsible to discuss the matters relating to his department with other
department head in the daily meeting.

DEPARTMENT
1. Accounts

2. Payroll section

3. Cost control section.

4. Purchase section.

5. Credit section.

6. Audit section.

ACCOUNTS SECTION

Accounts section is primarily concern with maintenance of accounts. The accounts


executive is responsible for the overall working of the accounts section.

Accounts section makes the record of each and every transaction which takes place in the
hotel. The sheets showing the expenditure made and revenue generated by various
departments comes to the accounts section and the accounts section makes entries for
these expenditures and revenues in the various accounting records.

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FUNCTIONS PERFORMED BY ACCOUNTS SECTION

1. Recording of accounting transactions.


2. Communicating the results of the different financial statements to the hotel
authorities and the owners of the hotel.
3. Meeting different international standards while preparing the accounts.

PAYROLL SECTION
Payroll section is primarily concern with the distribution of payroll and other benefits
among the employees payroll executive is responsible for the overall working of the
department.

In Pearl Continental Lahore the complete record of employee’s arrival and departure is
kept in the time office. The time office uses a punch card for this purpose. The time
office sends this card to the personnel department. Personnel departments than makes
adjustments about casual leaves, day offs, over time etc. the personnel department than
sends the actual salary sheet to the payroll section which finally makes the payment to the
employees.

FUNCTIONS OF PAYROLL SECTION

1. Payment of salary.
2. Calculation of provident fund to be paid to an employee.
3. Calculation of the contribution to be made by the employer and the employee in
the provident fund.

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COST CONTROL SECTION
Cost control section is basically responsible to check the cost, quantity and quality of the
various articles purchase by the purchase section. Cost controller is responsible for the
overall working of the section.

The articles sent by the different organizations in response to the purchase order made by
the purchase section are receive by the cost control section. Cost control section than
checks the cost, quantity and quality of the articles requested and makes a copy of the
receiving report. One copy of the receiving report are than send to min accounts payable.

FUNCTIONS
1. To receive the purchase articles.

2. To check the quality and quantity of the articles purchase.

3. To verify the cost of the articles purchase.

PURCHASE SECTION
Purchase section is basically responsible for purchasing different articles for the hotel.
Purchase manager is responsible for the overall working of the section. The hotel
purchase majority of the articles on credit.
For purchasing an article, purchase requisitions from different departments come to the
purchase manager. After receiving the requisitions the purchase manager ask quotations
from the market. These quotations are than send to financial controller who makes a final
decision about the suitable quotation. Financial controller is also responsible to get the
suitable quotation finalized from the general manager.

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FUNCTIONS OF PURCHASE SECTION

1. To receive the requisitions from different department.

2. To receive the quotations from different organizations.

CREDIT SECTION
Credit section has the responsibility of verifying the financial position of the companies
to whom the hotel is granting the credit facility. Credit manager is responsible for the
overall working of the credit section.
After receiving the application of a company who wants to do business on credit basis,
the credit section checks its reputation in the market, its financial position and the
business provided by the company. After gathering the above information the credit
section makes a report on the favourable and unfavorable aspects of the organization.
This report is than send to the financial controller for final approval.

FUNCTIONS OF THE CREDIT SECTION


1. To receive the credit application.
2. To check the financial position and reputation of the company.
3. To fixed amount which should be deposited in advance while doing the business
on credit basis.

AUDIT SECTION
Audit section is basically responsible for the internal audit of the accounts. Income
auditor is responsible for the overall working of the audit section.
In Pearl Continental Lahore the procedure use for internal audit is very comprehensive
and modernizes. After the day working the night auditors comes to the hotel. All the
recording sheets of different departments and sections come to the nigh auditors. The
night auditors verify the accounting records and check the rates charge for different
expenses and revenue generation items. From the night auditor these sheets come to the
Institute Of Business Administration 105
income auditor and after again verifying income auditor post these records to the main
ledger A/c.

FUNCTIONS OF THE AUDIT SECTION


1. To check the errors made in any accounting record.

2. To check the misappropriation of any cash.

3. To protect the assets of the hotel.

ANALYSIS OF VARIOUS PROCEDURES


Analysis of different procedures use in the finance department is as under
.
1) DISCOUNT FACILITY
Pearl Continental Lahore is providing discount facility to the companies doing business
with it. The extent of discount facility provided by the hotel differs from organization to
organization. Usually the extent of discount is based on the business provided by an
organization.
For example if an air line guarantees that in a month minimum number of rooms
occupied by its crew and guests will not be less than 100, the hotel may decide to give
him a good discount facility.

2) PROVIDENT FUND
In Pearl Continental Lahore provident fund has been maintained for the welfare of the
employees. General rules have been applied for the contribution of provident fund by
employer and employees i.e. 10% by employee and 10% by employer.

3) FRANCHISE
Pearl Continental Lahore is paying franchise to Pearl Continental international for using
its name. Currently the rate of franchise is 5% of net sales.

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4) BAD DEBTS
In Pearl Continental Lahore a certain amount is received by the hotel as advance even
doing business on credit basis. In case a party is not able to clear its debt, the advance
amount given by the party is held by the hotel and a reminder is sent to the party for
making the payment of remaining amount.

5) DEPRECIATION
Pearl Continental Lahore is using diminishing balance method for charging depreciation
on its assets. Under this method depreciation is charged at fixed rate on the reducing
balance every year. For example if the asset is purchase for Rs. 1000 and 10% p.a
depreciation is to be charged on the assets first year depreciation will be 10% of Rs. 1000
u-e Rs. 100, 2nd year depreciation will be 10% of 900 i.e. Rs. 90 and so on.

6) PAYMENT THROUGH CREDIT CARDS


In case a company, organization or individual makes payment through credit card, the
credit account is posted to a special ledger A/c. Which is given the name of Citi-Ledger?
Payments made through credit cards are collected within 10 days of making the payment.
Usually the payment which can be made thorough credit cards is between Rs. 30,000 to
Rs. 40,000.

7) INVENTORY CONTROL
In Pearl Continental Lahore inventory is valued at historical cost. Currently the perpetual
inventory system is followed by finance department.
Under this method bin cards are maintain which will give the inventory balance at any
time. Bin card are also called stock sheets.

INTERNATIONAL ACCOUNTING STANDARDS


All the accounting records are prepared according to the international accounting
standards.

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BALANCE SHEET

For the year 2002, 2003

LIABILITIES

(Rupees ‘000)

30 June 2003 30 June 2002


SHARE CAPITAL & RESERVES
Authorized share capital
50,000,000 ordinary shares of Rs. 10 each 500,000 500,000
Issued, subscribed & paid-up share capital 295,675 295,675
Share premium 298,991 298,991
General reserve 100,000 100,000
Unappropriated profit 105,280 72,391
504,271 471,382
799,946 767,057
SURPLUS ON REVALUATION OF FIXED ASSETS 3,066,890 3,066,890
REDEEMABLE CAPITAL – non participatory, - 24,785

secured (TFC)
LONG TERM LOANS – secured 535,437 95,415
LIABILITIES AGAINST ASSETS SUBJECT
TO FINANCE LEASE – secured 101,700 109,023
DEFERRED LIABILITIES & LONG TERM 265,682 252,099

DEPOSITS
CURRENT LIABILITIES
Current maturities 155,325 206,425
Finance under mark-up arrangements – secured 6,111 396,143
Creditors, accrued expenses & other liabilities 551,744 548,994
Provision for taxation 116,968 83,186
Unclaimed dividend 1,474 1,474
831,622 1,236,222
CONTINGENCIES & COMMITMENTS
5,601,277 5,551,491
ASSETS

(Rupees ‘000)

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30 June 2003 30 June 2002
TANGIBLE FIXED ASSETS
Operating fixed assets- at cost / revaluation less 4,781,576 4,848,089

accumulated depreciation
Capital work-in-progress – at cost 59,196 38,707
4,840,772 4,886,796
LONG TERM INVESTMENTS – at cost 15,000 24,000
LONG TERM DEPOSITS 19,600 24,696
CURRENT ASSETS
Stock in trade – food & beverages 21,484 22,557
Stores & spare parts 56,446 62,128
Trade debts – unsecured considered good 124,332 108,651
Advances, deposits, prepayments, investments & 365,840 367,419

other receivables
Cash & bank balances 157,803 55,244
725,905 615,999
5,601,277 5,551,491

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PROFIT & LOSS ACCOUNT

For the year ended 30 June 2003


(Rupees ‘000)

Year ended 30 Year ended 30

June 2003 June 2002


Sales & Services 1,932,122 1,932,684
Cost of sales & services 1,352,238 1,316,884
Gross profit 579,884 615,800
Administrative, selling & general expenses 389,427 359,876
Operating profit 190,457 255,924
Financing charges 141,682 172,646
Other income (17,894) (67,909)
123,788 104,737
Profit before taxation 66,669 151,187
Provision for taxation
- current year 9,750 9,864
- prior years 24,030 9,232
- Deferred - 47,200
33,780 66,296
Net profit after taxation 32,889 48,891
Unappropriated profit / (accumulated loss) 72,391 210,800

brought forward
Impact of the addition of International Accounting - (1,700)

Standard 39
Unappropriated profit / (accumulated loss) 72,391 212,500

brought forward – restated


Transfer from general reserve - 200,000
Unappropriated profit carried forward 105,280 72,391
Earnings per share – basic & diluted 1.11 2.87

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RATIO ANALYSIS

LIQUIDITY RATIOS:

A) CURRENT RATIO:
This ratio measures short run debt paying ability.

Current Assets
CURRENT RATIO = ----------------------------
Current Liabilities
615999
" 2002 = ---------------- 0.49:1
1236222
725905

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" 2003 = ---------------- 0.87:1
831622

B) QUICK RATIO:
It compares highly liquid assets, measure short run liquidity of the firm.

Quick assets
QUICK RATIO = ----------------------------
Current liabilities
531314
2002 = ---------------- = 0.86:1
615999
647975
2003 = ---------------- = 0.89:1
725095

Both the ratios are on increasing trend. Theses are because of increasing inflow of cash

and has been put idle which is not good sign for the company. The company should stop

this trend of cash inflow and should invest in the business.

C) RETURN ON ASSETS
Measures the productivity of assets regardless of capital structures.

Net profit after taxes


Return on assets = ---------------------------- x 100
Total assets
84891
2002 = ---------------- x 100 = 1.70%
5551491
32889
2003 = ---------------- x 100 = 0.58%
5601277

It is on decreasing side due to the decrease in net profit after taxes which are because of
high administration Expense. the Company should control it.

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D) ASSETS TURN OVER
Measures firm ability to use assets to generate revenue.

Sales
Asst turn over = ----------------------------
Total assets
1932684
2002 = ---------------- = 34.81
5551491
1932122
2003 = ---------------- = 34.49
5601277
The ratio trend is decreeing which shows that the under utilization of assets. The
company should use assets in appropriate manner. So that business may flourish

PROFITABILITY RATIOS

A) OPERATING MARGIN
Measures margin by which sales can decease as operating expense increase

before break-even.

Operating Profit
Operating Margin = ---------------------------- x 100
Sales
255924
2002 = ---------------- x 100 = 13.24%
1932684
190457
2003 = ---------------- x 100 = 9.85%
1932122

It is on decreasing side because of high liquidity. The company should stop this

trend of being liquid.

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B) RATIO OF RETURN TO SHAREHOLDERS
Indicates earning power of the equity.

Net profit after tax


Ratio of return to shareholders = ---------------------------- x 100
Shareholders fund
66296
2002 = ---------------- x 100 = 9.4%
694666
32889
2003 = ---------------- x 100 = 4.73%
694666
This ratio is on decreasing side because of decrease in net profit.

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SOLVENCY RATIOS

A) DEBT RATIO
Indicates %age of assets financed by debts or extent of leverage use.

Total liabilities
Debt ratio = ---------------------------- x 100
Total assets
1692759
2002 = ---------------- x 100 = 30.49%
5551491
173441
2003 = ---------------- x 100 = 30.96%
5601277

This ratio shows a good sign that company is paying its liabilities which will

reduce its financial expenses also.

B) EQUITY RATIO
It shows protection to creditors funds and use of leverage.

Total shareholder equity


Equity ratio = ---------------------------- x 100
Total assets
776057
2002 = ---------------- x 100 = 13.81%
5551491
799946
2003 = ---------------- x 100 =14.28.9%
5601277

The increasing trend shows that as compare to as compare to equity, assets are not

increased which is unfavourable.

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C) RATIO OF LONG TERM DEBT TO SHAREHOLDERS
FUNDS.
It indicates the extent to which debt financing is used relative to equity.

Long term debt


Ratio of long term debt = ---------------------------- x 100
to shareholders funds Shareholders funds
95415
2002 = ---------------- x 100 = 13.75%
694666
535437
2003 = ---------------- x 100 = 82.41%
694666

The decreasing trend is favourable, because on debt corporation has to pay interest

while dividend is the description of the company to pay or not.

LONG TERM LIABILITIES OVER FIXED ASSET RATIO

= long term liabilities/ fixed asset

200295415 / 4886796 *100

= 1.95%

2003 = 535437 / 4840772 * 100

= 11.06

This means that company fixed assets are financed by long term liabilities. The long term
liabilities ahs been increased almost 5% in 2003 from 2002.

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OPERATIVE RATIO

= operating Expense \ net sale * 100

2002 = 359876 / 1932684 *100


= 18.62

2003 = 389427 / 1932122 * 100

= 20.15

FIXED ASSET TURN OVER RATIO

= Operative cost / fixed assets * 100

2002 = 359876 / 4886796 *100

= 7.36

2003 = 389427 / 4840772 * 100

= 8.04

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BOOK VALUE OF SHARE

= share holder equity / no. of share outstanding

2002 = 295675 / 29567


= 10

2003 = 295675 / 29567


= 10

VERTICAL ANALYSIS

(INCOME STATEMENT)

(All figures are in 000)

Other income
OTHER INCOME = ……………………………….. * 100
Total sales
67909
2002 = ………………………………. * 100
1932684
= 3.51 %

17894
2003 = ………………………………. * 100
1932122
= .926 %

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Cost of good sold
COST OF GOOD SOLD = …………………………… * 100
Total sales
1316884
2002 = ………………………………. * 100
1932684
= 68.13 %
1352238
2003 = ………………………………. * 100
1932122
= 69.98 %

Interest expenses
INTEREST EXPENSES = ……………………………… * 100
Total sales
172646
2002 = ………………………………. * 100
1932684
= 8.9 %

141682
2003 = ………………………………. * 100
1932122
= 7.33 %

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Profit before tax
Profit before tax = …………………………… * 100
Total sales
104737
2002 = ………………………………. * 100
1932684

= 5.41 %

123788
2003 = ………………………………. * 100
1932122

= 6.40 %

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VERTICAL ANALYSIS

(BALANCE SHEET)

(All figures are in 000)

Cash at bank
Cash at bank = ……………………………… * 100
Total asset
55244
2002 …………………………… * 100
5551491
= 10.017 %
157803
2003 …………………………… * 100
5601277
= 2.81 %

Inventory
Inventory = ………………………………. * 100
Total Asset
84685
2002 …………………………… * 100
5551491
= 1.52 %
77930
2003 …………………………… * 100
5601277
= 1.39%

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Fixed asset
Fix asset = …………………………… * 100
Total asset
4886796
2002 …………………………… * 100
5551491
= 88.02 %

4840772
2003 …………………………… * 100
5601277

= 86.42 %

Share capital
Share capital = …………………………… * 100
Total asset
295675
2002 …………………………… * 100
5551491
= 5.32%

295675
2003 …………………………… * 100
5601277
= 5.27%

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General reserve
General reserve = …………………………… * 100
Total asset
100000
2002 …………………………… * 100
5551491
= 1.80 %

100000
2003 …………………………… * 100
5601277

= 1.78 %

Long term loans


Long term loans = …………………………… * 100
Total asset

95415
2002 …………………………… * 100
5551491
= 1.78 %

535437
2003 …………………………… * 100
5601277

= 9.55%

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HORIZONTAL ANALYSIS

(INCOME STATEMENT)

(All figures are in 000)

Current year sales


Sales = [ ………………………… * 100] - 100
Previous year sales

1932122
2003 = (………………………… * 100) - 100 =
1932684

= - 0.02%

Current year amount


Other incomes = [………………………… * 100] - 100
Previous year amount

17894
2003 = (………………………… * 100) - 100 =
67909

= -73.65%

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Current year amount
Cost of goods sold = [………………………… * 100] - 100
Previous year amount

1352238
2003 = (………………………… * 100) - 100 =
1316844

= 2.68 %

Current year amount


Interest expenses = [………………………… * 100] - 100
Previous year amount

141682
2003 = (………………………… * 100) - 100 =
172646

= - 17.93 %

Current year amount


Profit before tax = [………………………… * 100] - 100
Previous year amount

123788
2003 = (………………………… * 100) - 100 =
104737

= 18.18 %

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HORIZONTAL ANALYSIS

(BALANCE SHEET)

(All figures are in 000)

Current year amount


Cash at bank = [………………………… * 100] - 100
Previous year amount

157803
2003 = (………………………… * 100) - 100 =
55244

= 185.64%

Current year amount


Inventory = [………………………… * 100] - 100
Previous year amount

77930
2003 = (………………………… * 100) - 100 =
84685

= -9.7 %

Current year amount


Share capital = [………………………… * 100] - 100
Previous year amount

295675
2003 = (………………………… * 100) - 100 =
295675

= 0%

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Current year amount
General reserve = [………………………… * 100] - 100
Previous year amount

100000
2003 = (………………………… * 100) - 100 =
100000

= 0%

Current year amount


Unappropriated profit = [………………………… * 100] - 100
Previous year amount

105280
2003 = (………………………… * 100) - 100 =
72391

= 45.43%

Current year amount


Long term loan = [………………………… * 100] - 100
Previous year amount

535437
2003 = (………………………… * 100) - 100 =
95415

461.25%

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WORK DONE BY INTERNEE

ORIENTATION

First day in Pearl Continental hotel, I met with Miss Madeeha (Assistant human resource
manager and internship incharge). She introduced me about my internship schedule in
two departments.

(1) MARKETING AND COMMUNICATION

She also gave a project which was about SWOT analysis of above mentioned two
departments. She asked me to submit it at the end of this internship.

Then Miss Shysta introduced me about rules and regulation. Then orientation officer
introduced me about the Hotel and Hotel mission.

WORK DONE IN MARKETING AND COMMUNICATION

I spent two weeks in marketing and communication department. The department head
Modern Saira was a nice and cooperative body. The other two staff members were Ali
But (Assistant Marketing Manager) and Ahmad Maila (Marketing Coordinator). This
department was in shopping arcade. The old name of this department was public relation
department. I performed following duties in this department.

NEWS PAPER READING

Man Saira assigned me duty of studding news papers. Every day, early in the morning, I
start with reading news paper. It was my duty to study all news paper (Three Urdu and
four English). The Purpose of was to find out:

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 News related to Pearl Continental held.
 News related to Hashoo group.
 News related to different activities taking place in Pearl Continental hotel.
 News related to new business for PC Lahore.

After studying, it was my duty to cut there news and paste it on paper and then it was
given GM secretary for his signature. Then it was my duty to bring that papers back and
place them in a life.

STUDY OF FILES IN THE DEPARTMENT

After spending two hours in news paper, it was my duty to study the files in this
department. These files were about different promotional activities preformed by this
department is working efficiently for generating business.

CHECKING OF PROMOTIONAL MATERIAL

It was my duty to visit different part of the hotel to check that promotional material
displayed in hotel is proper or not. It I found that any promotional material is not at
proper place then I inform Madam Saira who give instruction to a department whose
responsibility was to fix that material properly.

PURCHASE ORDER

It was also included in my duty to fill purchase order and get signature from finance
controller and deliver it to purchase office for further process. I collection of these
purchase on the date given by purchase department was also my duty.

WORK DONE ON NEWS LETTER

This department issues a News Letter which is delivered to all privilege club member
through mail when I joined this department, the other two internees were covering news

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letter with envelops having addresses of the members. I joined them and we finished this
task in two days.

Then I participated in preparation of next coming news letter. First we listed all
up-coming event. Then we co-coordinated with different concerning department and
noted their views. Then we listed to contents of for new news letter. Then snaps were
taken from different parts of the hotel. After that a printing agency was called and
informed them all requirement and asked them to bring a sketch for approval.

Following events were in that news letter.

 Wedding Package
 Fashion show of a Turkish designer at Lahore fort.
 New discounts for privilege club member.
 Promotional programme in different restaurants of the hotel.

EVENTS DURING MY STAY

When I was in marketing and communication department, I observed and coordinated in


following promotional went.

MANGO MASTI

People are very fond of eating mangoes. That is why PC launched Mango Masti in which
Mangoes were offered in restaurant after in meal.

ENGLISH HI TEA

This promotional activity was taking place in Nadia. In this activity, the restaurant was
offering discounted rates for it customer. The rate, were very attractive. That is why
people were coming in Nadia at a greater frequency, as compared to regular days.

CONCERT OF HAROON

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When I joined marketing and communication department, the all staff was busy in
arrangements of this concert. This was a promotional activity organized by PSL in all
pearl continental Hotels. During this concert I preformed following jobs.

 Ticket selling
 Delivered passes in different department.
 Called a vendor for Banners.
 Coordinated in fixing of promotional material in hotel.
 Traveled with marketing coordinator for observation of sites to display
promotional banner in different places of the city.
 Traveled with marketing co-coordinator to display promotional material at
selected sites.
 Coordinated with staff in arrangement of sound system.
 Coordinated in printing promotional material.
 Coordinated with staff in receiving VIP guests in this concert.
 Managed the sitting arrangement of VIP guest.
 A flier all these arrangement, I enjoyed the concert with marketing staff.

CONCERT OF FAKHIR

When I was working in sales department, then marketing and communication department
arranged the concert of Fakhir. I also coordinated in some activities of this concert.

REGIONAL SALES OFFICE

I spent two weeks in regional sales office. In this department is responsible for generating
business for other properties i.e.

 Pearl Continental hotel other than Lahore.


 Marriott Hotels.

This department has two small interlinked offices:

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 One is for Marriott hotels and in this office, there as only one employee i.e.
Regional manager Marriott (Faisal Alvi). He was a experienced person having
7 years experience in hotel industry.
 Other office is for the booking of properties other than Lahore. The regional
manager of this office was Zeshan Haider and coordinator was Ali Zubair

. JOBS PERFORMED IN REGIONAL SALES

1) PHONE CALLS:

It was my duty to attend all phone calls from 10 AM to 2 P.M. In these calls I gave
answers to different customer about their queries.

2) BOOKING FORM:

It was my duty to fill booking form the customers for other properties.

3) FAX

After booking filling booking form it was my duty to fax the forms at fax no of different
properties.

4) RECEIVING BOOKING:

I was my duty to receive booking on phone as well as one fax.

5) SALES CALLS:

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Two days I went with manager to observe how they manage their sales calls and how
they convince their corporate customers.

5) CONFIRMATION OF BOOKING

It was my duty to receive confirmation faxed from different properties and inform
corporate customer about confirmation.

6) DEALING WITH CUSTOMER

It was my duty to deal with customer visiting personally in the office whole the absence
of managers from hotel for sales calls.

7) PURCHASE ORDER:

It was included in my duties to get signature on purchase order.

8) MANAGING FILES:

It was my duty to manage files of different properties and corporate customers.

9) DATA ENTRY:

In the evening, I was assigned duty to enter the data of whole data in excel sheets.

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10) BUSINESS CALCULATION:

At the end of the week, it was my duty to coordinate with coordinator in preparation of
reports showing business generated by the department during the week.

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PROJECT DURING INTERNSHIP

During my stay at PC, I observed the two assigned department and prepared a report on
SWOC analysis of these departments. The project is as follows:

SWOC ANALYSIS OF MARKETING

AND COMMUNICATION

STRENGTHS

REVENUE GENERATING STRATEGIES:

The basic strength of Marcom is its strategies for generating revenue in business slump
period. These strategies help different departments in achieving their targets.

MAILING LIST:

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Marketing & communication department compiles a mailing list of potential customer.
This mailing list is a source of direct contact with customers and helps in marketing
research.

NEWS LETTER:

Marketing & Communication informs customers about coming events of next two
months by mailing News Letter.

MARKETING RESEARCH:

This department sends different marketing research reports to PSL. These reports help
PSL in Formulating strategies and policies to generate revenue.

RELATIONSHIP WITH SPONSORED COMPANIES:

This department has direct relationship with companies. These companies sponsor
different events organized by this department which makes these events cost effective.

GOOD WILL IN MARKET:

This department works for the development of positive image of the organization in the
market.

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SUPPORT TO OTHER DEPARTMENTS:

This department gives extended support to different department in preparation of


promotional material which is necessary for the promotion of different packages
launched by these departments.

RELATIONSHIP WITH MEDIA:

This department has strong relationship with media. Media gives full coverage to all
events organized by this department.

COST EFFECTIVE ADVERTISEMENT:

This department works very hard for cost effective advertisement without compromising
on standards. For this purpose department has direct contacts with advertising companies
and other small groups working in this field.

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WEAKNESSES

FORCED STRATEGIES:

PSL formulates different promotions without communication with this department. The
department works hard for the success of these promotions but some time fails because of
unfeasibility of those strategies in the culture of Lahore.

NO FUEL ALLOWANCE:

The employees of this department are dissatisfied because organization gives no fuel
allowance but they visit market regularly

LACK OF COOPERATION:

The department is facing lack of cooperation from other departments. This becomes more
visible on events.

OFFICE DECORATION:

The condition of the office furniture and carpet is miserable. Moreover there is no
cupboard due which promotional material remains scattered and office looks like store.
Institute Of Business Administration 138
CENTRALIZATION OF POWER:

Department wants to be cost effective without compromising on standards. That is why


department gives preference small venders for the preparation of promotional material.
But PSL forces to use costly advertising agencies.

LACK OF COORDINATION:

Department has no co-ordination with marketing and communication department of other


properties.

OPPORTUNITIES:

EXPLORE NEW CUSTOMERS:

Department can explore new customers by updating mailing list.

INNOVATIVE STRATEGIES:

The innovative promotional strategies launched by the department can attract new and
lost customers.

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GROWING COMPANIES:

Strong relationship with growing companies can provide an opportunity to enhance


current market affiliations.

CHALLENGES:

MAINTAIN STANDARDS:

The department should be cost effective but not at the cost of standards maintained by the
organization.

INNOVATION:

The innovative strategies are itself a challenging task for this department.

BUSINESS SLUMP:

Generating revenue in business slump is a challenge for this department.

COMPETITORS:
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Strong promotional strategies of existing and new competitors can offer new challenges.

SWOC ANALYSIS OF SALES AND MARKETING

STRENGTHS

PLATFORM FOR RESERVATION:

Regional sales office serves as platform for booking & other facilities available in other
than Lahore properties. Customers feel comfort when they got surety of conformation of
rooms from regional sales office.

DIRECT RELATIONSHIP WITH COMPANIES:

Efficient staff of regional sales makes regular visit to corporate companies. These
companies are an important source of revenue not only in peak season but also in off
season.

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RATES BARGAINING POWER:

Regional sales office has more bargaining power than their competitors. This thing helps
this department in attracting customers and generating revenue.

SOURCE OF REVENUE:

Regional sales office helps other properties in generating revenue. This office is working
efficiently with limited staff for all properties other than Lahore.

SEARCH FOR POTENTIAL CUSTOMERS:

This department is efficiently working in searching potential customers. During our stay,
we worked with marketing coordinator in preparing a list of well known schools of
Lahore because these schools may be a source of revenue for not Lahore property but
also for other properties.

MARKETING ANALYSIS:

Regional sales office regularly analyses the market, sets target and tries to achieve these
targets.

LOYAL STAFF:

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The basic strength of regional sales department is its efficient staff. They are loyal to their
work. They work very hard to achieve their targets.

WEAKNESSES

POOR EQUIPMENT:

The condition of equipment used by this department is very poor especially computer.
The slow performance of computer wastes precious time and hence productivity of the
department suffers.

OFFICE DECORATION:

The interior look of the office is miserable as compared to other offices. A serious
attention should be given in this regard.

SMALL OFFICE:

Regional sales office is dealing in four Pearl Continental Hotels and Two Marriott but the
area of the office is very small. Office fails to accommodate customers when number of
customer increases more than two or when family comes.

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LOCATION OF THE OFFICE:

The location of the office is not appropriate. It should be near to the Front office because
as per hotel policy, customer must deposit one night advance for Bhurban reservation.
They feel uncomfortable when they are informed that they should go back to front office
to deposit advance.

NO DATA BASE:

The regional sales office has no data base to keep computerized record. If a customer
wants any change in his booking, the poor filing system wastes time and cause customer
dissatisfaction.

NO ONLINE CONTACT WITH OTHER PROPERTIES:

This is the age of computer but unfortunately regional sales office has no online contact
with sales offices of other properties. Customers want confirmation of their reservation
but due to lack of online system regional office is unable to satisfy customer.

EMPLOYEE DISSATISFACTION:

Employees are not satisfied with their salary package and other facilities. The staff has no
urge to stay their.

LACK OF PERSONNEL:

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The personnel of this department visit in market from 10:00a.m to 3:00p.m. During this
time there is only one personnel (sales coordinator) to attend calls and customers. It is
very difficult for one person to deal and satisfy all customers.

OPPORTUNITIES:

EXPLORE NEW MARKET:

Regional sales office can explore new market by attracting growing and newly
establishing companies.

ONLINE SELLING:

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Online selling can increase no. of customers by increasing customer satisfaction.

VARIETY OF PACKAGES:

Variety of packages in different properties can provide an opportunity to attract


customers having different status.

COMPANIES OF OTHER CITIES:

Many potential companies are situated in Faisalabad, Multan and other major cities of
Punjab. Personal visit of these companies can enhance the performance of the
department.

CHALLENGES:

RETENTION OF CUSTOMERS:

Retention of customers is a major challenge for this department because a satisfy


customer is more important than attracting ten new customers.

TOUGH COMPETITION:

Pearl continental is leader of hotel industry but tough competition with existing and
coming competitors can offer new challenges for regional sales office.

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CONSISTENCY:

Regional sales office should show consistency in performance throughout the year.

MOTIVATION:

Keeping the staff motivated through incentives and job promotions.

MAINTAIN FINE TUNE:

During dealings different type of customer come across but maintains fine tune to satisfy
customer.

LAST DAY OF INTERNSHIP

At the last day of my internship, I met with Miss Madeeha and collected my internship
letter after submitting the SWOC analysis of the two assigned department in this way I
completed my internship.

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SWOT ANALYSIS
The evaluation of an organization’s strengths, weaknesses, opportunities and threats
is called SWOT analysis

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STRENGTHS

Internal pros or plus points of pearl continental are as follows:

LARGEST CHAIN:

Pearl continental is the largest hotel chain in Pakistan having five pearl continentals. Two
more hotels are under construction in;

 Muzafrabad
 Gwadar

LARGEST FACILITIES

Pearl continental in Lahore has largest number of rooms and banquet halls. No other
hotel has such large facilities in Lahore.

LARGEST CAR PARKING

Pearl continental has largest parking area than any other hotel in Lahore.

QUALITY PRODUCT

PC is the symbol of quality with respect to its offering i.e.; restaurants

EXCELLENT SERVICES

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PC aims at providing excellent services to all type of customers.

COMPETITIVE ADVANTAGE

PC has an edge over its competitor’s i.e.; it provides executive club services.

FINANCIAL STRENGTH

PC is financially strong hotel because in the current economic conditions it is maintaining


its position because of financial strength.

FAVORABLE REPUTATION/IMAGE

PC has captured the favorable image in the mind of the customers.

CREATIVE/INNOVATIVE

After every 6month, PC launches new offering which is very stylish and eye catching.

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ORGANIZED MANAGEMENT

PC’s management is highly qualified, competent and organized.

MARKET RESEARCH

PC has its own research department, which scans the customers need and their responses
to the different products/services

SERVICES WITH LATEST TECHNOLOGY

PC has its control room in which the rooms and halls temperature is controlled and
maintained according to the environment and customer’s requirement.

WEAKNESSES

Internal cons or negative points of pearl continental are as follows;

LAUNDRY SHOP

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The laundry shop in pearl continental is according to the standard offering pearl
continental hotel Lahore.

HIGH PRICES

PC charges very high prices for all of its services especially room facility and most of the
people in Pakistan can’t afford it.

SECURITY SYSTEM

The security system is insufficient and it is out dated in pearl continental hotel Lahore.

LACK OF CO-ORDINATION

There is much lack of co-ordination among its workers

LOW INCENTIVES

PC offers low incentives to its customers, so fails to attract the middle class

SUFFICIENT SALES FORCE

The sales force of pearl continental hotel Lahore is in sufficient and it is not possible for
them to explore the whole corporate market in Lahore.

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OPPORTUNITIES

External pros or plus points of an organization.

EXPAND PRODUCT LINE

PC can expand their product line by offering other facilities like home delivery of food
etc;

ENTER THE NEW MARKET

PC can enter the new market by opening its branches in cities like Multan, Faisalabad etc;

ATTRACT THE TOURISTS

PC can attract a large number of tourists by advertising in international magazines and


journals.

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DIVERSIFY TO BROAD RISK

PC should diversify their product, production and services as were because you must not
rely heavily and put your resources on one product.

IMPROVE CUSTOMER RELATIONSHIP

PC can improve its relationship with its customers by providing different incentive plans.

THREATS

External cons or negative points for pearl continental are as follows.

NEW COMPETITORS

New competitors are always a threat for every organization, and for PC these threats are;
Sun fort (near Liberty, Lahore)

WORST ECONOMIC CONDITIONS

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Present economic conditions are not favorable for the growth and flourishment of hotel
industry.

INCREASED SALES TAX

Sales tax has increased which results in the increased customer prices and reduced sales
level.

RESTRICT GOVERNMENT POLICY

Restriction imposed by the government regarding tax payment effects profitability of PC.

DECREASE IN CUSTOMERS PURCHASING POWER

Increase in overall prices has decreased the customer’s purchasing power for all the
products.

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SUGGESTIONS AND RECOMMENDATIONS TO

PEARL CONTINENTAL HOTEL LAHORE

 Pearl continental has 3 UN refurbished Mall floors and management


should take this step as early as possible.
 The laundry in the hotel in not offers a good look at the front of the office
so it should be relocated and refurbished.
 The electrical and security system should be improved according to new
challenges.
 The inventory system in food and beverages should be improved.
 The health club should be improved.
 The pearl continental should attract quality brand in shopping Mall.
 The sales team should be improved in number and quality to cover all
corporate customers in Lahore.
 Pearl continental hotel should improve communication and coordination
among all hotels.
 Company policies shall be clearly defined and planned which result in
efficient management and progress over the night.

 Balanced rates for rooms and food items shall be charged, keeping in view
the other competitors in local hotel industry like
 Holiday Inn Lahore
 Avari Lahore

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 Pearl continental Lahore should install reservation software for regional
sales office
 The pearl continental should install software for banquet reservation.
 The management should take steps to control the lobby traffic.
 Pearl continental Lahore should increase and improve its food storage
facilities.
 The management should take steps to improve the condition of the
condition of some offices like

 Marketing and communication


 Sales and marketing

 The management should offer more attractive packages to attract


customers in the hotel restaurants.
 The management should improve the incentive plans for employees.
 There should be some monetary reward for employee of the month in
different department

 Lower workers should be influenced by the higher management for better


results.

 The Pearl Continental Hotel organization doesn't maintain and encourages


performance excellence in form of monetary terms. There is a formal
performance appraisal form for all employees, and this is tied to a reward
system. It is my view that there are severe problems with the performance
appraisal from in that it is very subjective in nature. Because of the
subjectivity the system can lead to gross errors, and since this is linked to
reward system, the error is not only perpetuated but exaggerated.

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The reward system should includes monetary awards such as,

 Employee of the Month award


 Employee of the Year award
 Courtesy award

 The travel guides should be appointed for visitors especially for


foreigners.

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