TRENDS TO INFLUENCE MENA HOSPITALITY INDUSTRY IN 2020

With the Year 2020 around the corner, the hospitality industry is all set to welcome the New Year with great optimism & even greater goals for growth. As per a UAE based Hotel Management Company – Aleph Hospitality, the following 5 factors at large are going to impact the development & performance of the MENA hospitality industry in 2020.

Saudi Arabia’s New Visa Regulations

The impact of Saudi’s new tourist visa shall continue to bear positive changes on the Saudi Arabian economy especially the Hospitality Industry. The opening of the vast Kingdom has incited interest in the leisure travelers from GGC & beyond. For Hospitality Industry, this will lead to a flow of huge investment opportunities & also prompt hotels to diversify their product offerings to meet the needs of the new demographic.

Profitability As A Center Of Focus For Hotel Owners

Expenses shall continue to be a point of stress as hotel owners will continue to seek high profitability from their assets. In order to protect the bottom line, the hotel owners will be open to new management models ranging from white-label to franchising. Expect 2020 to witness a spike in such agreements to manage costs and stay profitable.

Adoption Of Smart Solutions

With Digital Transformation making sweeping changes in many industries, the Hotel Industry seems to be a bit slow towards the adoption. The advent of facial recognition or biometrics boarding now enables passport-free travel which has made the travel, thus the life of tourists easy. Hotels businesses should think on similar lines for customer service and make activities such as hotel reservations, check-in or check-out personalized and easy. After all, convenience is key for the ultimate guest experience.

Commitment To Reduce Plastic Usage

 The initiative of plastic-free UAE taken by UAE Government is finding increasing popularity & foothold across the emirates.  Big chains like Jumeirah, Marriot, and Hilton announced plastic-free initiatives this year and the trend is expected to intensify in 2020. The Hotels & Restaurants can help a lot in the coming year if they decide to go full throttle on this.

Lucrative African Market Penetration

Africa is not just land with exquisite natural beauty; it’s full of opportunities to grab as far as the hospitality & tourism industry is concerned. Ethiopia, for instance, saw a growth of around 48.6% in the travel & tourism economy in 2018 and this growth is expected to continue. So, Africa is going to be an investment magnet in 2020.

PRAXIS: ERP TAILOR-MADE FOR HOSPITALITY & RETAIL

Enterprise Resource Planning is a centralized system that allows tight integration between different departments of an organization & enables them to work as one. ERP system tracks business resources such as cash, raw material, payroll, order, purchase & so on and facilitates the information sharing between different departments such as HR, Sales, Accounting, Purchase etc.

There are a number of ERP software programs efficiently designed to tackle the demanding everyday operational needs of a business. Among them, the one to reckon with is Praxis ERP.

Praxis ERP is designed specifically to cater to Hospitality & Retail. Developed with the best industry practices, it’s scalable to meet the evolving demands of the business. Here are the key benefits

1. Replaces Multiple Systems as One Scalable ERP Solution 2. Eradicates Interface Issues 3. Lower Vendor Maintanenace Fee & Server Storage Cost 4. Delivers Quick Return on Investment

STANDOUT FEATURES

1. Multiple Location Control 2. User-Friendly Interface 3. Modular Design 4. Universal Standard of Design & Coding 5. Highest Security 6. Fully Integrable with POS Solution

COVERAGE

1. Integration With POS     2. Financial Management System 3. HR Management System 4. Fixed Assets 5. Employee Self Services 6. Financial Budgeting System 7. Manpower Budget

INTEGRATION WITH POS  

This module is designed to integrate the Sales System of a POS with the Financial System. The Functions are as follows:

a. Import of Sales and Collection information from POS Software as per the defined schedules. b. Generation of extended reports related to sales and collection.

FINANCIAL MANAGEMENT SYSTEM

The Financial and Accounting System are tweakable to meet the needs of a customer. Following are the major modules here:

Chart of Account-It entails features to setup organization structure, company, subsidiary company, cost center, units and income expense groups. Further, the nominal accounts enable to maintain five levels of account details.

General Ledger-General Ledger allows a user to input Journal Vouchers in the system. A user can also read data from other integrated modules such as Payroll, Accrued EOS, Vacations and Food Cost. Then one can generate vouchers for Accrued Expense / Accrued Income or use Period Control to close financial month and year. Batch generation of monthly reports in pdf is also available which saves time.

Accounts Payable-Account payable offers functionality to maintain complete payable sub-ledgers information. It’s integrated with the Material Management System (MMS) to book the supplier invoices using material receiving from inventory and includes posing of all MMS transactions to financials

Accounts Receivable-Account Receivable is used to maintain complete receivable sub-ledgers information. Customer ledger, statements, aging, and other reports can be generated.

Cash Management-The module deals with Bank & Cash related transactions entailing customer receipts, cash receipts, daily sales receipts (integrated with POS sales system), supplier payments and GL to GL Payments. 

Reporting-Comprehensive reporting is available to meet the business intelligence demands of users on different levels.

HUMAN RESOURCE MANAGEMENT SYSTEM

HRMS module is coded considering the local and customized requirements of Multiple Markets. Following modules are included in HRMS:

Employee Personal-Employee Personal system is for maintaining Employee Related Information including Employee Personal Information, Government Documents, Education/Experience, Dependents, Administrative and Employee Assets. A robust reporting module is available to generate admin and legal reports.

Leave Management-Employee leave Module provides facilitates maintenance of Employee Vacation Information including employee travel destination and ticket information.

Payroll– Payroll Module maintains employee salaries data with a full cycle of payroll generation. The major processes include earning entitlements, due deduction, loans GOSI module, monthly timesheets, and payroll generation.

FIXED ASSETS

The system offers a complete module with Asset Tracking System. It allows a company to maintain asset information and capacitates it to classify Asset-based different factors such as Asset Types, Categories, Physical Location, and Integration with GL Chart. The System can generate and post depreciation on an actual basis.

FINANCIAL BUDGETING SYSTEM

Budget System provides a forecast of revenues and expenditures i.e. enables the construction of a financial model depicting the business performance if certain strategies, events, and plans are carried out. It’s efficient in the following ways: a. Ascertain the difference between the actual & the forecasted business trajectory by comparing actual financial operations against the forecast.  b. Maintain monthly financial budget on multiple levels such as cost center, department/unit, and nominal account.

MANPOWER BUDGET

The payroll system has the capability to maintain manpower budget based on departments and positions. Here are a few pointers on the significance: 1. Manning Charts 2. Retention Support Scheme 3. Learning & Development 4. Downsizing 5. Succession Planning

           

 

 

 

    

     

  

RISE OF SELF ORDERING KIOSKS

Automation! The very word has fascinated us and continues to mesmerize with the spectrum of possibilities. Every Industry seeks automation that can lead to enhanced customer experience. And the restaurants have found their answer in the form of Self Ordering Kiosk.

Self-Ordering Kiosk is a piece of technology that allows customers to order and pay on their own. So the entire hassle of standing in a queue, if there is one, is circumvented. On top of that, the kiosk has an interactive screen that is ideal for running promotions or upselling.

Coming to the architecture of the Self-Ordering Kiosk, it consists of an interactive screen encased in a robust case, a scanner, a printer and finally a payment module. The customer journey is pretty simple.

The journey involves customers taking a series of easy steps to place an order followed by making the payment on the kiosk. A payment receipt is printed along with the order number. The customer can then simply present the order number at the counter to collect the order. The interactive screen also offers a perfect medium to run a number of promotions for enticing customers or upselling an offer while they are placing an order.

Talking about the kiosk software, it shall possess the following must-have features:

Single App & Multi App Modes, Web-based Kiosk Lockdown, Control Peripheral Function; Access to Enterprise App Store; Custom Branding; Remote View & Control; Lock, Swipe, Shutdown & Restart over-the-air; and so on.

Self-Ordering Kiosk has been immensely successful & popular in fast food chains like McDonalds & KFC. And its popularity among customers is also on the rise. More restaurants are opening up to the idea of placing the kiosk at a strategic position on the premises. The self-service kiosk market is expected to reach an estimated $30.8 billion by 2024, as per new research from Tillster, which surveyed 2,000 QSR and fast-casual customers with the assistance of SSI.

The self-ordering kiosk is an evolving technology and is expected to bring more functionality onboard. So, there eventual dominance in the restaurant vertical especially QSR is eventual.