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The directors of sales should use the ARM as a business partner. Not utilizing Dammars as a business partner can lead to failure ; ; Educate-?The ARM may not have a complete understanding of the sales team’s structure and processes. The director of sales can proactively seek to educate the ARM to ensure they fully understand why the team is set up the way it is and what the sales process entails. How important do you think it is for a company’s revenue manager and its sales and marketing functions to work closely together?

Explain your answer. Revenue management is a vehicle to help hotels to become aware of the rooms they sell, the rates at which they sell, and the pace at which they sell. It is a way hotels can become pro-active in the selling process, rather than simply posting rates and waiting for them to be sold. Revenue management utilizes innate as well as analytical skills; these skill sets develop with practice. The mentality of a good revenue manager or team is focused on producing a good blend of occupancy and average rate.

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The hotel’s mission should be to construct a base occupancy, through a good mix of rates, and then take advantage of having a base by then locking out lower rates to build average rates. The mission is not to only get 100% occupancy; it must be to get occupancy as high as possible, with an average rate as high as possible. For a property with 100 room and occupancy of 85% with an average rate of $140 is far more profitable than 100% occupancy at $110. Although both situations produce approximately the same revenue, what does it cost you to clean 15 rooms?

The aim of revenue management is to assist hotels to “form” their business 2. Assume you were Dammars; what specific ADAIR-related tools might you suggest Pam use to help measure the effectiveness of the proposed campaign? ADAIR does not provide an adequate portrait for a hotel’s performance and should be used along with Occupancy and Revenue per Available Room (Reaper) to make a more accurate judgment on a hotel’s performance. For example, a hotel may have a high ADAIR, but low occupancy rates, meaning that the hotel is not very profitable. . Assume you were Dammars; what occupancy percentage-related tools mighty suggest Pam use to help measure the effectiveness of the proposed campaign? Measuring effectives requires defining the meaning of effectiveness within the context of your organization. In a profit-driven corporation, effectiveness may be defined as revenue generation . Lingering occupancy starts with implementing a creative marketing plan that attracts new and repeat guests.

Hoteliers can use various ideas to create a successful campaign by Group Events Increase your occupancy rate by inviting groups gathered for weddings, retreats business seminars and reunions to stay in your hotel. In the hotel industry, group events are lucrative because you are booking many rooms at one time. Many group events occur annually, and that can mean repeat business for your hotel. Additionally, satisfied guests often return to enjoy the facilities for personal reasons throughout the year, creating additional business.

Package Deals Create various package deals to attract guests to your hotel and increase your occupancy. Package deals are ideal for a “girl’s weekend,” a holiday or an entertainment weekend. For example, a girl’s weekend package would include complimentary wine, chocolates, a massage at the hotel or with a partnering practitioner and a gift basket with spa-themed toiletries. Hoteliers can price these packages slightly higher than normal rates, as the complimentary items add value to the overall experience. 4.

If the proposed ad campaign is implemented and it is effective, what non-rooms-related revenue centers in the resort would likely be affected? How could Pam measure the campaign’s affect on these area? ; Fitness Retail ; Restaurants ; Retail Store ; The Amenities that the hotel offer A customer who doesn’t know much about your business, or doesn’t even know it exists, won’t purchase your products or services. Public relations managing can help get you in the public eye, but for most businesses, effective advertising is critical.

Research Paper

PWS gave an unqualified report on dell’s installs for the years 2003-2005 (Emergent,2007) , PWS discovered the fraud in 2006 audit after reviewing the internal auditor’s report, the report stated that the internal auditors found some errors in the company’s records. (Recall,2007). So after applying the integrated audit by PWS, an unqualified opinion was given for the consolidated financial statements but on the other hand, a qualified opinion was given for internal control over financial records.

PWS of course refused to be held countable for or responsible for dell’s act in misstating their financial, and Baker & Hostler which is a law firm also greed with PWS. (Edward,2006). According to SOX act; the auditors should have some responsibility for their audit work, but the main responsibility is on dell’s management, they must confirm and be sure that the numbers in the financial statements reflects the real numbers. He founder and current CEO Michael Dell and the former CEO Kevin Rollins in addition to some of senior managers committed the fraud, basically what they did is that the company had an agreement with Intel, this agreement forced Dell to use Intel Processors exclusively in their products and in return they will have a erotic payments from Intel (Economist, 2010). Due to the high market competition; The company was having a hard time keeping their sales records up and that considered a motive to find a way to commit illegal action to try to keep their revenue high in front of the company’s investors,(Greenmailing 2).

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According to PWS report in 2007, the internal control for Dell included some material weaknesses. These weaknesses is clear when we review that the manger was asking the finance department employees to post false entries and send incorrect reports to the headhunters and to the external auditors (Emergent, 2007). What they did is accepting the payment from Intel and using it to inflate the revenue in quarterly basis, and that helped to maintain their actual revenue at the same level with their budgeted revenues during the period of 2002 till 2006, and they were able to justify doing that by assuming that they earned that money (Recall,2007).

But the right thing to do and the appropriate accounting procedure is to put these payments in a separate reserve. The total misstated amount overstated the income by $50 million raising It up to SSL 50 million during the period of 2003 to 2007 (Recall, 2007). Considering that the company has made $12 billion for that period this amount is not material, and has an effect on the company share between 2 cent to 7 cent. The fraud was discovered and became obvious when the agreement with Intel ended in 2007 which means no more periodic payments, and that lead to a sharp declining in revenues (Economist, 2010).

And the internal auditors reported that they have found some errors in the accounting records. This report was reviewed by the external auditors (Layton, 2007). At the same time the SEC has declared their own investigation about the company uncial results and the unexpected fail in revenues. The management had to start a formal investigation to look into the company’s financial. The company’s law firm deployed 125 lawyers to help in the investigation process in Dell offices around the world (Recall, 2007).

On the other hand, KEMP assigned 250 accountants to review dell’s financial. Dell did not have a good internal control over the financial statements. The internal control department wasn’t able to keep the company records following the GAP and people who are responsible to do this task did not eave the experience to do so or the required skills. (Emergent, 2007). That fail in internal control affect the journal entries, reconciliations, liabilities, reserves accounts, and expenses. According to (COOS).

It’s the management responsibility to make sure that the internal control for the company is working effectively. As mentioned earlier This situation lead PWS auditors to issue a qualified opinion about dell’s internal control over financial reports (Recall,2007). Dell announced that there will be some changes related to the accounting control procedure and they will be enhancing their computer yester to reduce the level of manual operation in order to reduce the level Of bookkeeping errors. After the CEO Kevin Rollins resigned, Michael Dell took over the CEO position.

Also another decision was made in the management level the SCOFF was dismissed and he was replaced with Carry who is a former board member; also Thomas Sweet was hired as Chief accounting officer (Recall, 2007). After the company law firm interviewed a 146 dell employees, the company decided to dismiss 24 employees and more to come in the future. The law firm who lead the investigation was Willie Afar & Gallagher ALP (district Of Colombia Court, 2010). The 146 individual were interviewed in more than 233 interviews and more than 5 million documents were collected regarding the investigation.

It seems that dell violated SOX act by not disclosing the significant amount of payment they received from Intel (Edward, 2006). Dismissing a top level management and lower level employees, and to make the internal control stronger by changing the accounting process and implementing one with less manual procedure was some of Dell’s big changes that had to be made. (Recall, 2007). These hangers were important and necessary to earn the investors trust again. Regarding the numbers on the financial reports, the company had to restate their financial numbers for the years 2003 to 2007.

This change will affect the company’s earnings, it will be reduced by -roughly- $150 million, this change (reduction) equals almost %1 of the total earnings for the covered period (Golfer, 2007). Because of the small amount of red action; the company stock price went up by 1. 6% after their announcement (Rowlocks, 2010). And this whole issue dell went through cost them the number one rank in the PC racket; they lost it to their first competitor HP, so now they are ranked as number two in the world. The SEC found Dell guilty for not disclosing the significant errors in their financial.

Dell was accused of not being clear and honest with their investors; and let them think that the company earnings are higher than what it really was. And as I mentioned earlier, Dell did that by adding the payment they took from Intel to their operating income (Wyatt, 2010). SEC ordered the company to make a payment of more than $100 million fines to close the case. Also the SEC Ordered the Current CEO and the founder Michael Dell to pay $4 million as a penalty and former CEO Kevin Rollins to pay also $4 million (Hooters,2010).

Other senior managers also were required to pay some fines. Dell agreed to pay the amount and their management as well. In order to get that big amount of money to pay the fines, Dell had a plan to sell as much as they can from their plant assets, especially in the states and close their factory in Irish and move the production of that factory to Poland, other factories might be easier to sell like their factories in India, China, Brazil, ND Malaysia (Check & Perry, n. D). But these plans may take years to be implemented, so the company has other plans for the short run.


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