With many guests checking in and out every day each carrying out multiple transactions throughout their stay, the volume of data collected and stored by a hotel can quickly grow at an exponential rate. Effectively managing this data can be key to increasing a hotels’ profitability.
Still using spreadsheets for financial reporting, the vast majority of hotels and hotel management organisations are experiencing challenges with the out of date and inaccurate financial information, leading to a knock-on effect on hotel profitability.
When considering forecasting, historical data is invaluable in allowing for the comparison of past financial results and understanding customer habits. However, it doesn’t allow you to influence current financial data – unlike real-time information reports.
Traditional business intelligence systems, relying on frequent extraction of data from operational applications, are unable to analyse current business performance; creating a picture which is hours or even days out-of date.
In the case of hotel financial reporting, management accounting information is usually presented anything up-to 20 days after the month end. With this information available so late after the fact, it becomes increasingly more difficult to make strategic decisions and take corrective actions to influence performance.
The invaluable nature of historical data in hotel reporting cannot be overlooked but having access to the insights it provides in real time is key.
The Benefits of Real-time Reporting
The invaluable nature of historical data in hotel reporting cannot be overlooked but having access to the insights it provides in real time is key. Being able to analyse hospitality financial data in real-time has the potential to add substantial value; allowing for informed decisions to be made based on real time data. Increasing management’s ability to take control from anywhere in the world.
According to research by the Aberdeen Group, leading companies using real-time accounting witnessed 24% higher accuracy in terms of actual to budgeted revenue, compared to slower counterparts, and were able to close their books 24 times faster as well.
This transparency of data, creates a truer understanding of what is happening within hotel operations and allows for an increase in strategic agility by combining and analysing data so that the right action can be taken at the right time and in the right place.
The FD reporting System, designed for the hospitality industry, quickly generates analytics based on the data it receives.
With the ability to create bespoke reports from a high-level system, the creation of information hubs can be achieved, presenting information in many formats for easy comprehension. Allowing users to keep track of what’s happening within the hotel at all times, whilst also maintain security by restricting access to sensitive data by user access permissions.
The FD real-time financial reporting system, provides visibility to operational information and enables an organisation to re-prioritise tasks and resources to achieve critical objectives. The increasingly detailed financial analysis maximising bookings and increasing occupancy levels, resulting in a growth in revenue.
By choosing to outsource financial reporting, the burden placed on existing finance and accounting teams can be elevated, making the solution both scalable and flexible. Download our free sample hotel report here, to understand how we could transform your hotel reporting.
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