FIT PROJECT

Rationalization of Housekeeping components of ITC Maurya

which contributes to cost per room night
Index
Define Analyse

 SIPOC  VA/NVA Identification

 VOC / VOS  Pareto
 4 Key Questions Measure  Fishbone Analysis
 Project Baseline
 Project Charter
 AS-IS Process Map
 PIE & Imp. Opp
Improve  Measurement Control
Metrics
 Action Plan
 UOP
 TO-BE Process Map
 PQIS
 Validation – Improve
 New / Modified SLA
 Visual Control /
 Benefit Reporting
PokaYoke
DEFINE
 SIPOC
Supplier Input Process Output Customer
GSV Amenities Place amenities in Guest room Guest experience Guest
according to WP

SUPERVISOR Requisition Creates requisition on the basis Proper distribution of Guest

of requirement and distributes it amenities

D M A I C
PRODUCT Approval Approves requisition on the Effective usage of Guest
MANAGER basis of stock in hand and amenities
history of consumption pattern &
forecasted occupancy

EHK Final approval EHK approves the final Controlled CPRN Guest
requisition ,keeping budget &
standards in mind
Stores Supplies Issue various supplies on the Well stocked HK store HK department
basis of final requisition

4
SIPOC
Supplier Input Process Output Customer
PURCHASE Odd cupboard Entry made in SAP by Delivering of amenities Hk department
items, linen, managers
newspapers &
magazines
HK STORE Receives Receives all the supplies from Supply items to floors Guest
INCHARGE the stores and segregates it

D M A I C
floor wise

LAUNDRY Linen Provides linen for all the floors Fresh linen received Guest / Room
requirement on the basis of daily attendant
requirement
UNIFORM Fresh & crisp Uniform exchange procedure Adhering to WelcomStyle Staff
ROOM Uniform Standards

FLOWER Flowers Information is given by GRE Enhancing aesthetic Guest

ROOM appeal of the guest areas
VOS

Name Comment Inference

All the department needs to get individual
budget. Show the contribution of
Resident Manager Complimentary rooms should also be complimentary rooms in
taken into consideration while calculating CPRN

D M A I C
CPRN

EXECUTIVE HOUSEKEEPER The purpose of the project is to meet the Reduce cost per room
(Mrs. Gurpreet Chadha) CPRN as per budget and to be at par with night keeping standards in
other hotels like ITC Maratha by doing a mind
comparison on similar prospective.
VOC
Name Comment Inference
Housekeeping department should get
individual departmental budget rather
MANAGERS than giving it cumulative with rooms
division

SUPERVISORS Create parameters which actually shows

that how is the CPRN going high and find
measures to reduce it. Identify parameters to
reduce CPRN

GRA`s There should be proper stock of amenities

in the pantry throughout the week
Create proper process of
giving efficient requisition
4 Key Questions
Why are we doing this project?
To reduce & optimize the cost per
room night for Housekeeping
components.
How can we Succeed?
By putting an efficient process &
suggest measures to control the
consumption and the pilferage.
What will we do?
Collect & analyze data to see what all
things are impacting in efficiencies of
CPRN at ITC Maurya.
D M A I C
How can we fail?
• By not getting accurate data.
• By not implementing suggestive
efficient measures.
8
Project Baseline
CONTRIBUTION OF HOUSEKEEPING COMPONENTS IN COST PER ROOM NIGHT
(2012-13)
ITC Maurya ITC Maratha
139

D M A I C
56

23 168 24
10 17 9 14
82 6
43 41 31 1 3
25 10 19 21
0 0
s s en s ry s es er ry y e
rm i ce l ie
na l ie in d er ar
ifo er
v L in pp o pp az Fl ow un o c k
ss
w
Un s
ts
u ati su ag n/ La Cr a
ac
t s st ng M o Gl
r e st i r/ ati
nt Gu e an pe r
Co Gu Cl
e a co
sp De
w
Ne

9
Project Baseline
COST HEADS ITC ITC Difference in average HK expenses of ITC
MAURYA MARATHA Maurya and ITC Maratha = Rs 138 (<31%)
UNIFORMS 25 10
ITC Maurya
CONTRACT SERVICES 82 56
LINEN 43 23 Average expected occupancy (2013-14)= 65%
GUEST SUPPLIES 168 139
Total no. of rooms = 438

D M A I C
GUEST STATIONARY 41 24
NEWSPAPERS/ 19 17 Total room nights sold in this year at 65%
MAGAZINES occupancy=(65/100X438) X 365= 104025
FLOWERS/DECORATIONS 31 9
GOAL
LAUNDRY 21 14 10% decrease in HK expenses which contributes
to CPRN (i.e. from 440 to 396)
CLEANING SUPPLIES 10 6
CROCKERY 0 1 Profit / night= Rs. 44

GLASSWARE 0 3 Savings for the year

TOTAL COST Rs 440 Rs 302 44X 104025= 45.77 lacs

10
Project Charter

D M A I C
11
Project Charter

D M A I C
 Define Checklist and Toll Gate

If the answer to the statements below is ‘Yes’, then the team is off to a good start
and is now ready to move into the ‘Measure’ phase

Item Y/N
The Project charter has been completed Y
CTQs and project constraints have been identified Y
Benefit assessment has been worked out along with the baseline Y
calculation
The charter has been reviewed with the sponsor and the Unit Financial Y
Controller
The Define phase summary has been completed Y

Signature of Sponsor(s)
with Date
MEASURE
AS-IS Process Map – Guest Amenities

D M A I C
AS-IS Process Map – Uniform, Laundry, Flower & Contract services

D M A I C
P I E – Based on “As is” Map

Problems Issues Expectations

No proper record is Special amenities are kept in Proper record to be

maintained for the stock the guest room keeping in maintained
in hand and for the mind the guest history
consumption of supplies irrespective of the business
he has given to the hotel.

D M A I C
Non smoking rooms are Individual housekeeping Proper labelled shelves
sold to the guest who budget is not given should be provided for each
smokes and every item

No proper tracking of daily No proper record for quantity Proper standards to be

consumption of guest of consumption of the odd made for the maximum
supplies cupboard items & extra number of supplies to be
amenities given to guests are given to guests
maintained

Problem: WP is there but not followed Issues: WP is not defined

17
P I E – Based on “As is” Map
Problems
Items are not kept in
segregated and arranged
manner on floor pantries.
Standard usage of dusters
not followed
Standards of the placement
of magazines in the rooms
are not followed
Par stock of linen in laundry
is only 1.5 but it should be
around 3.5
Problem: WP is there but not followed
Issues
Proper lead time should be
maintained before ordering
new stationeries ,whenever
there is change in logo to
minimize the discard rate of
stationeries.
Issues: WP is not defined
Expectations
Clear instructions to the
guests to be given for not
smoking in the room and
actions to be taken
D M A I C
GSV book should be checked
by the manager on a regular
basis for the guest supplies
placement and consumption.
Requistion should be placed
on the basis of forecasted
room count as well as house
count.
18
Measurement Metrics

SN Name Type Unit Frequency Data Source

1 Rationalization of Housekeeping components Cost RS Yearly ICE Report

of ITC Maurya which contributes to cost per
room night

D M A I C
Cost, Time, Quality

19
 Measure Checklist and Toll Gate

If the answer to the statements below is ‘Yes’, then the team is off to a good start
and is now ready to move into the ‘Analyze’ phase

Item Y/N
Are Project metrics defined for measurement? Y
Are detailed process maps of involved areas done? Y
Is data collection plan developed and data collected accordingly, is data Y
validation done (MSA if required)?
Is process capability , sigma level calculated ? Y
Is benchmarking done? (QFD and VOC drill down with PIE) Y

Is summary of Measure phase completed? Y

Signature of Sponsor(s)
with Date
ANALYSE
VA / NVA Identification
VA NVA
Providing uniforms to employees according to Making requisition
welcom style
Placement of snow white linen in the guest room Approval of requisition

Placement of flowers in the guest room Receiving items from stores

D M A I C
Placement of various supplies and amenities in the Floor wise segregation of items
room
Providing guest request items.

Providing various contract services like carpet

shampooing, window cleaning etc.
Placement of magazines & Newspaper in the room

Placement of candles in the lobby during evening

rituals.

22
Total cost heads affecting CPRN
200
180
160 61
56

140
120

D M A I C
100 31
80 23
ITC Maratha
60 1 ITC Maurya
10
40 73
82
12 7 53
20 0
43 6 43
1 3
25 0
10 8
0 4 2 0 0 0 0
s es nt ) s py tic as s ry
rm nd ie ce ice en ar
e
ar
e
rg Re a pl co an es se v Lin ke
ifo Ch
a (B p t o e y m e r
e r oc
llo
w
as
sw
n t Su ho nv Do Ov tS Cr
U
TV en e n P o e l e l ac Ho Gl
in
m
ar
d y/ lC av av tr
ta G ar oca Tr Tr on
e r / on L C
Ent ure t ati
t t S
es ul e
Gu r tic ous
Ho H

Average expenditure of two years(2011-12 & 2012-13 ) is taken into consideration

23
 Total cost heads affecting CPRN
128 139
300
150
250
95
200
71
80
150

D M A I C
100 16
167 168
24 ITC Maratha
17 9 108 14 113
50 84 ITC Maurya
6 72 61 6 0
41 31 0
10 19 0 21
0 0 0
1 6 1 5 7
es ie
s r y l s
ie
s es er
s rs es o u r on tion phy dry sion rie Fee Fee
s s s
ar
g pl na ea pl w in hei ti ti n d
up atio ry M Sup ag Flo s O az t en H a a
rt ens ogr
a
au i s
u n in e
r g
Ch S t / e m l u b o t L m
m S k in
d t a g A C p p a
Car ues st S ent nin s / M ons ar
g
s & a ns om Pho t Co R et B oo
it G e m lea r ti C h ie T r C n /
r ed Gu pli C a p e o r a ir e t ar st est ge tio
n
C m p c n e u l A a
Co w
s De
H
m
e Gu G ve er
v
e l i r a s
N
m
p T Re
o d
m
C oo
w
o ar
Ro St

Average expenditure of two years(2011-12 & 2012-13) is taken into consideration

24
 Comparison of HK Cost heads of ITC Maurya for the year
200
2011-12 & 2012-13
180
180
168
160

140

120

D M A I C
100
82
80 71 2011-12
2012-13
60
47 43 41
40 35 35
25 31 29
19 16 19 21
20
10 17

0
s s en s y s es s y
rm ice lie ar lie in er dr
ifo r v Lin p n p z w n
n se su
p tio su
p
ag
a lo La
u
U ct t sta g m n/F
r a es t ni
n / o
nt Gu ues ea per r ati
Co G Cl
sp
a co
w De
N e

All the figures are in lacs

25
 Comparison of actual HK Cost heads of ITC Maurya with
budgeted cost for the year 2012-13
180
168
166
160

140

120

D M A I C
100
84
80 82

56 Actual cost
60
43 41 46 Budgeted cost
41
40 31 30
25
16 19 21
20 11 14
10
0
rm ce
s en l ie
s
ar
y
l ie
s es er d ry
ifo vi Lin n in ow un
er pp o pp az l
Un s s u
st
ati
gs
u ag
n /F La
ct st m o
rt a e st ni
n r/ ra
ti
on Gu Gu
e
ea p e o
C Cl s pa De
c
w
* Ne

All the figures are in lacs

26
 Discard rate of Bed linen
120% 3500

3065
3000
100% 99% 100%
93%
88% 2500
80% 81%
73%

D M A I C
2000
65%
60%
56% discard no.
1500
cumulative percentage

40%
1000

20% 482 431 424 379 500

295 289
81
0% 0
white pil- white bed inner white bed inner duvet duvet duvet
low slip sheet sheet sheet sheet cover cover cover
22*35 295*320 large 320*320 medium medium large small
*

Data is taken for year 2012-13

27
 Discard rate of Bath linen
100% 1400
1324
95% 100%
1263 1261
90%
1200
82%
80%

70% 1000
67%
868

D M A I C
60%
800
740
50% Discard no.
45% Cumulative percentage
600
40%

30% 400
313
23%
20%
200
10%

0% 0
Hand towel Bath mat Face towel Bath towel Bath sheet Bath robe
*

Data is taken for year 2012-13

28
 Fishbone Analysis
Guest supplies
 No proper records are
maintained
 No standard fixed for
maximum no. of amenities
given to guest.
 There is no proper storage
and segregation of
supplies in pantry and
trolleys
 No proper standards
are followed while
placement of
magazines in the room
 Indenting of magazines
& international newspaper
is not
done on the basis of
occupancy
Newspaper/magazines
Flowers/ decoration Linen
 Higher expense on  No proper par stock of
cut flowers and linen which reduces the
smoke free candles shelf life of linen due to
over washing
 Misuse of guest room
linen by attendants for
cleaning purpose
D M A I C
High HK CPRN
components
 Higher expenses on man
 Improper storage of guest power due to higher
stationary minimum wages.
 Stationary is not laminated
which leads to wastage
Guest stationary Contract services
 Cost Tree -TOP Costs

D M A I C
High expenses of housekeeping components at ITC Maurya leading to higher CPRN
(Average HK Expenses per RNS is Rs.440)

Guest supplies Contract services Linen Guest stationary Decoration / Newspaper

INR 168 RNS INR 82 RNS INR 43 RNS INR 41 RNS Flowers /magazines
38% 19% 10% 9% INR31 RNS INR 19RNS
7% 4%

Other components=13%
Top Focus Areas
 Analyze Checklist and Toll Gate

If the answer to the statements below is ‘Yes’, then the team is off to a good start
and is now ready to move into the ‘Improve’ phase

Item Y/N
Are performance objectives defined? Y
Are VA / NVA Process steps identified ? Y

DMAIC
Are the sources of variation / defect identified ? Y

Is determination of root cause(s) completed? Y

Is Vital few X’s , Y = F(x) relationship identified ? Y

Signature of Sponsor(s)
with Date
IMPROVE
Brain Storming
 As there is only one budget given to rooms division, its very difficult for individual departments to
control their expenses. Hence ,separate budget should be given to HK department to control the costs.

 Requisition of supplies should be given on the basis of no. of expected pax as well as on the basis of

expected occupancy.

D M A I C
 Proper records should be maintained for the consumption, stock in hand and requisition of the
supplies.

 There should be proper segregated and labelled shelves to keep the supplies in more arranged
manner and to reduce pilferage.

 Most of the time graphics are spoilt by water spillage and improper hanging which can be avoided by
providing laminated graphics and proper hook to hang them.

 Often graphics are spoilt while storage, which can be avoided by providing hard folders to
every attendants to store it.

 International news paper should be ordered according to the number of guest preference.

33
Brain Storming

 Fixed amount of magazines are always ordered irrespective of occupancy which should be
avoided to decrease the cost.

 Magazines placed in the room are not according to standards which should be checked.

 Sufficient standardized dusters are not provided therefore pillow covers and towels are
used for the cleaning purpose, which should be avoided.

D M A I C
 Consumption of smoke free candles per day is around 150+5 which costs us around 27900
per month and this can be avoided by using chargeable low voltage electronic candles.

 Most of the times fresh linen are thrown in dirty linen trolley due to improper pressing which
can be avoided by simply sending it for re- pressing because it increases the laundry cost
and
also affects the shelf life of linen.

 There is no proper par stock of linen maintained which increases the wash cycle and
ultimately affects the shelf life of linen.

 Expenditure of complimentary rooms is part of cost per room night of paid rooms in ice
report which should be avoided to make it more accurate.

34
ITC Maurya Vs ITC Maratha

Contracted services ITC Maurya ITC Maratha

2012-11 2012-13 2012-13

Cost of window Rs.125584/month Rs.125584/month Rs.60000/month
cleaning

D M A I C
Cost of carpet shampoo Rs. /month Rs.85000/month Rs.85000/month

Cost of Pest control Rs.64000/month Rs.79000/month

Marble cleaning Rs.198000/month Rs.220000/month

Minimum wages
Semi-skilled Rs.6304/month Rs.7566/month Rs.5339/month
Skilled Rs.7032/month Rs.8346/month Rs.5389/month

35
ITC Maurya Vs ITC Maratha

Contracted services ITC Maurya ITC Maratha

Number of rooms 438 386

Number of suites 25 10

D M A I C
Room night sold 99296 (2011-12) 100915(2011-12)
101727 (2012-13) 101109 (2012-13)
Service tax 10.3% (2011-12) 10.3% (2011-12)
12.3%(2012-13) 12.3%(2012-13)

36
“To Be” Process Map

D M A I C
“To Be” Process Map

D M A I C
Recommended Action Plan for Improvement
SN Action Plan

1 HK department needs to get their own budget

2 Attendants needs to be given standardized dusters in sufficient quantity and strict actions to
be taken against staffs using guest room linen for cleaning purpose.

3 Grooming check register needs to be redesigned with a extra column for dusters as a part of
uniform to ensure that every attendant has taken it.

D M A I C
4 Proper folders to be given to all attendants to store the graphics properly.

5 Biodegradable laminated graphics needs to be provided.

6 Proper hooks needs to be fixed in all the rooms to hang the graphics like CMR, DND etc.

7 Attendants needs to maintain the record of no. of supplies placed in rooms in their section
book.
8 Supervisors should take proper inventory & maintain record of stock in hand .

9 Proper par stock of linen needs to be maintained according to WP.

39
Recommended Action Plan for Improvement
SN Action Plan
9 Managers should consider expected no. pax as main parameters before requesting for
supplies from stores.
10 Smoking candles needs to be replaced by chargeable candles.
11 A proper format needs to be developed for florists to maintain flower order records.

D M A I C
12 Proper supervision should be provided while pressing guest room linen
13 International News paper should be ordered on the basis of no. of guest preference.

14 Magazines needs to be ordered on the basis of occupancy.

15 Magazines placed in the room should be according to standards.

15 Proper records needs to be maintained for odd cupboard items and extra amenities given to
guest.
16 Discard needs to be converted into dusters.

40
Visual Control / Poka Yoke – Florist register
Before After

D M A I C
41
Visual Control / Poka Yoke – Grooming Register
Before After

D M A I C
42
Visual Control / Poka Yoke – Odd cupboard Register of Runners
Before After

D M A I C
43
Visual Control / Poka Yoke – Candles

Before After

D M A I C
Smoke free candles Chargeable candles

44
Visual Control / Poka Yoke – Candles

Before After

(Smoke free candles) (chargeable candles)

Total small candles used per month=3000 Cost of each candle=Rs.200

Total cost=3000x6.60=Rs.19800 Total candles used

D M A I C
=50(small)+16(big)=66
Total big candles used per month=150
Total cost=150x 54=8100 Total single time expenditure on
candles= Rs.13200
Total cost of candles =19800+8100
= Rs.27900/pm Advantages
= Rs.334800/year • Total backup =10hrs
• Safe To Use Around Fabric and
Drapes
• Cool To Touch
• Total recharges=500

45
Visual Control / Poka Yoke – labeled and segregated shelves to
store supplies
Before After

D M A I C
Visual Control / Poka Yoke – Laminated graphics

BIO-DEGRADABLE LAMINATION SHEETS

 Improve Checklist and Toll Gate

If the answer to the statements below is ‘Yes’, then the team is off to a good start
and is now ready to move into the ‘Control’ phase

Item Y/N
Is brainstorming / DOE done and action plan is in place ? Y
Are potential solutions in place? Y

DMAIC
Are operational tolerance and potential systems identified? Y

Assessment of failure modes of potential solutions done? Y

Evaluate potential solutions / Correct re-evaluate potential solutions Y

Signature of Sponsor(s)
with Date
CONTROL
UOP

D M A I C
UOP is attached separately for this Project

50
PQIS

D M A I C
PQIS to be monitored on monthly basis after implementation of the
recommendations in the Improve phase

51
New / Modified SLA
SN Service Level Agreement With Acknowledg
Whom? ement /
Sign
1 To provide separate budget for HK department Head
Quarters
2 To maintain proper record of each request received Florist

D M A I C
3 Proper record of consumption of all supplies Room
 Proper stacking of supplies in pantry & trolleys attendants
4 To indent newspaper and magazines according to Managers
forecasted occupancy and no. of guest preference
To indent all guest supplies according to expected
occupancy & expected pax.
5 Maintain proper Par stock of linen Laundry
 To provide sufficient amount of dusters to GRA`s.
6 To provide service according to standards. Contract
services

52
Benefit Reporting
There are four major divisions which contributes to CPRN

Cost per room night

D M A I C
Housekeeping Front office Security Horticulture

Our focus is to bring down Cost per room night of housekeeping component
which is Rs.440 as a baseline and the 10% reduction comes to Rs.396.

Benefits are reported by subtracting the actual cost from baseline and
multiplied by number of expected room nights sold in a year.

53
 Control Checklist and Toll Gate

If the answer to the statements below is ‘Yes’, then this project is concluded

Item Y/N
Is control system defined and validated? Y
Are standards and procedures / formats developed ? Y

DMAIC
Is PQIS Defined along with statistical process control required (if any)? Y

Is verification of benefits done and approved benefits being sent to DHQ? Y

Is project summary made and entire presentation sent to DHQ Y

Signature of Sponsor(s)
with Date
 EXECUTIVE SUMMARY
FIT:Rationalization of Housekeeping components of ITC Maurya which contributes to cost per room night
ITC MAURYA, June 2013 to July 2013, Submitted – July2013
Leader: Manjari Jha Sponsor: Ms.Gurpreet Chadha Mentor: Dadasaheb
Problem Statement Key Actions taken
Based on data of last two years, the Cost Per Room Night • HK department needs to get their own budget
(CPRN) of ITC Maurya is consistently higher than other • Attendants needs to be given standardized dusters in sufficient
comparable hotels like ITC Maratha. quantity and strict actions to be taken against staffs using guest
The CPRN of ITC Maratha for year 2012-13 is Rs.968 while room linen for cleaning purpose.
CPRN of ITC Maurya is Rs.1260 which is higher by 23%. • Grooming check register needs to be redesigned with a extra
Housekeeping components of ITC Maurya contributes to Rs.440 column for dusters as a part of uniform to ensure that every
as compared to Rs. 302 at ITC Maratha which is higher by 31% attendant has taken it.
(HK component is 35% of overall CPRN at ITC Maurya) • Proper folders to be given to all attendants to store the graphics
properly.
Goal Statement • Biodegradable laminated graphics needs to be provided.
 To minimize the cost of Housekeeping component by • Proper hooks needs to be fixed in all the rooms to hang the
10% which contributes to CPRN graphics like CMR, DND etc.
• Attendants needs to maintain the record of no. of supplies
Key Actions taken
placed in rooms in their section book.
• Proper supervision should be provided while pressing guest • Supervisors should take proper inventory & maintain record of
room linen stock in hand .
• International News paper should be ordered on the basis of • Proper par stock of linen needs to be maintained according to
no. of guest preference. WP
• Magazines needs to be ordered on the basis of occupancy. • Managers should consider expected no. pax as main
• Magazines placed in the room should be according to parameters before requesting for supplies from stores.
standards. • Smoking candles needs to be replaced by chargeable candles.
• Proper records needs to be maintained for odd cupboard • A proper format needs to be developed for florists to maintain
items and extra amenities given to guest. flower order records.
Thank You!