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THE INTERNATIONAL INSTITUTE OF PLANNING AND MANAGEMENT

Summer Internship Training Report In Accounts Department

Project Report

By

Rajwin Patel

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Acknowledgement

The special thank goes to my helpful manager, Mr. Manish Shrivastava. The supervision and the support that he gave truly helped in the progression and smoothness of the internship program. The co-operation is much indeed appreciated.

I am grateful to both Accounts Department and Accounts supervisor Mr.Vipul Patel. A big contribution and a hard work from them during my internship program is very great indeed and for their whole hearted co-operation and guidance.

I will remain indebted to all the above mentioned people whose contribution in the completion of this internship program.

I would also like to thank my internal guide, Mr. Harsh Motwani for his advice and guidance throughout the program.

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Table Of Contents

Sr.No Topic Page No1. Overview Of Hotel Industry 4-82. Introduction 93. Roles And Responsibilities 104. Summary 11-125. Result And Conclusion 13

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Overview Of Hotel Industry

History & Evolution

The hotel industry that exists today can be traced back to 3000 B.C. where the earliest inns were homes with rooms provided for travelers. Conditions improved in 1700s England when the renaissance sparked the desire to travel. The United States saw its hotel industry created a century later. By this time they had revolutionized many firsts in the industry including private rooms with locks and doors, free soap, a trained staff, and a pitcher of water in each room. Indoor plumbing and the creation of the lobby followed shortly thereafter. The business of providing strangers with hospitable means has come along way. What once was a service to fellow man is now the foundation numerous economies throughout the world.

The modern era of the hotel industry saw its beginnings in 1794 New York where the first ever hotel was built. Profit potential was recognized with the inception of the industrial revolution. Stock companies invested in hotels seeking profit from property value appreciation and room occupancy revenue. Surrounding communities were promised increase in sales by means of higher volume of people passing through., the industry creates a multitude of opportunities that now saturate the industry in the form of spin-offs of these top four hotel companies creating the most common chains we know of today. History has proven that the success of this industry has largely to do with two factors, location and innovative integration, the combination of these two has created a margin between the larger chains and those who operate on a smaller scale. Soap and locks on doors were the innovation for their day. Strategic placement and product differentiation once again guide the success of this industry.

The word hotel is derived from the French hôtel (coming from hôte meaning host), which referred to a French version of a townhouse or any other building seeing frequent visitors, rather than a place offering accommodation. A hotel is an establishment that provides paid lodging on a short-term basis.

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The provision of basic accommodation, in times past, consisting only of a room with a bed, a cupboard, a small table and a washstand has largely been replaced by rooms with modern facilities, including en-suite bathrooms and air conditioning or climate control. Additional common features found in hotel rooms are a telephone, an alarm clock, a television, and Internet connectivity; snack foods and drinks may be supplied in a mini-bar, and facilities for making hot drinks. Larger hotels may provide a number of additional guest facilities such as a restaurant, a swimming pool or childcare, and have conference and social function services. Some hotels offer meals as part of a room and board arrangement.

Hotel Industry in India has witnessed tremendous boom in recent years. Hotel Industry is inextricably linked to the tourism industry and the Growth in the Indian tourism industry has fuelled the growth of Indian Hotel industry. The thriving economy and increased business Opportunities in India have acted as a boon for Indian hotel industry. The Arrival of low cost airlines and the associated price wars have given domestic tourists a host of options.

The 'Incredible India' destination campaign and the recently launched 'Atithi Devo Bhavah' (ADB) campaign have also helped in the growth of domestic and international tourism and consequently the hotel industry. According to a report, Hotel Industry in India currently has supply of 110,000 rooms and there is a shortage of 150,000 rooms fuelling hotel room rates across India. According to estimates demand is going to exceed supply by at least 100% over the next 2 years. The future scenario of Indian hotel industry looks extremely rosy. It is expected that the budget and mid-market hotel segment will witness huge growth and expansion while the luxury segment will continue to perform extremely well over the next few years.

Rate of Growth

According to a report, Hotel Industry in India currently has supply of 10,000 rooms and there is a shortage of 150,000 rooms fuelling hotel room rates across India. According to estimates demand is going to exceed supply by at least 100% over the next 2 years. Five-star hotels in metro cities allot same room, more than once a day to different guests, receiving almost 24-hour rates from both guests against 6-8 hours usage. With demand-supply disparity, hotel rates in India are likely to rise by

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25% annually and occupancy by 80%, over the next two years. This will affect the competitiveness of India as a cost-effective tourist destination. To overcome, this shortage Indian hotel industry is adding about 60,000 quality rooms, currently in different stages of planning and development, which should be ready by 2012. Hotel Industry in India is also set to get a fillip with Delhi hosting 2010 Commonwealth Games. The future scenario of Indian hotel industry looks extremely rosy. It is expected that the budget and mid-market hotel segment will witness huge growth and expansion while the luxury segment will continue to perform extremely well over the next few years.

The hotel industry in India is going through an interesting phase. One of the major reasons for the increase in demand for hotel rooms in the country is the boom in the overall economy and high growth in sectors like information technology, telecom, retail and real estate.

Rising stock market and new business opportunities are also attracting hordes of foreign investors and international corporate travelers to look for business opportunities in the country. The arrival of low cost airlines and the associated price wars have given domestic tourists a host of options. The opening up of the aviation industry in India has led the way for exciting opportunities for the hotel industry as it relies on airlines to transport 80% of international arrivals.

Moreover, the government’s decision to substantially upgrade 28 regional airports in smaller towns and privatization and expansion of Delhi and Mumbai airport will improve the business prospects of hotel industry in India. Substantial investment in tourism infrastructure is essential for Indian hotel industry to achieve its potential.

The upgrading of national highway connecting various parts of India has opened new avenues for the development of budget hotels here. The Government of India’s Incredible India destination campaign and the Atithi Devo Bhavah campaign have also helped the growth of domestic and international tourism and consequently the hotel industry.

In order to increase the stock of hotel rooms, the Federation of Hotel and Restaurant Associations of India suggested to the government that the floor area ration of the existing hotels should be increased. This was a couple of years

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before and will help create additional rooms in the existing properties and ease the burden of shortage of hotel rooms in the country. The proposal is yet to be implemented.

Growth Determinants

Location

Location is a critical consideration because if affects hotels ability to draw customers. It is important that hotel location be visible, accessible, convenient and attractive to market. Surrounding land uses are important for all types of lodging operations. Aesthetics of the area, noise, safety and other factors should be considered.

Commercial Locations

By location along major highways or in business or industrial districts, hotels and motels benefit from high visibility and proximity to generators of room night demand. Local colleges, hospitals, attractions, services and entertainment are examples of “room night” demand generators.

Resort Locations

Hotels and motels in resort areas generate most of their business form leisure travelers who see the lodging facility and surrounds area as their “destination.” Access and visibility, while important, are secondary to the quality of the facility, services, amenities, and nearby attractions.

Local Market Area

A lodging facility must be located in a market area that attracts overnight visitors.

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Business Climate

Hotels and motels that primarily serve business travelers usually rely on the strength of the local business community.

Tourism Activity

Hotels and motels in resort areas typically rely on local attractions to bring in customers. Attractions can include both natural and man-made places of interest.

Business Travelers:

Business travelers represent a large portion of lodging demand in many market areas. They include people traveling on business representing commercial, industrial and governmental organizations. Peak business demand is usually experienced Monday through Thursday nights.

Leisure Travelers:

Leisure travelers may visit an area for a vacation, to attend sporting or social events, to shop, or to visit friends and relatives. They might be staying over simply because they are traveling to other destinations. Leisure travelers may be individuals, couples, families, or small groups. Travelers visiting hospitals and universities are typically included in this market segment. Leisure room demand is often seasonal. In larger, more urban market areas, leisure room demand may be limited to weekends, summer months and holiday periods.

Other Travelers:

Various lodging customers cannot be classified under the categories of business, leisure, or group. These travelers may include construction workers, truckers, utility crews and others.

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Introduction

Rajkot is well placed in the saurashtra region of the Gujarat state. Rajkot is a major industrial town in Gujarat .

Situated in the midst of prominent business & commercial area of Rajkot city, just 5 Km from Airport & 3 Km from Railway Station. The Grand Regency Hotel in Rajkot is the ideal destination for Corporate Gatherings, Strategic Planning Sessions & Board Meetings.

Hotel The Grand Regency opened its doors on 15thjuly 2002. The concept & feel of the hotel is to create an oasis of comfort and luxury in the hub of heightened commercial activity. The accommodation options at the Grand Regency Hotel are a plenty to offer a wide choice to the tourists. The comfort and the luxury at The Grand Regency makes you feel at home even if you are away from your home. It offers quality business services and facility including a business center , executive lounge , health room and recreational room.

It has 48 elegant rooms with ample seating including the splendid Gardenia Floor having a lush & rich garden with 19 rooms surrounding it, offers all the requirements of a Modern Business Traveler. Rest are Executive Room , Elegance Room , Suite Room. It has much more to offer than just accommodation, it has 2 Banquet and conference halls , and also used as Social gathering ,

The Swagat Hall :- Accommodating 150 persons Regent Room :- Accommodating 350 persons

It offers fine dining experience With 2 Restaurants,

Dhola Maru:- This elegantly appointed 100 covers Multi-Cuisine Restaurant serving authentic cuisine ushers in slow concept in fine dining for a delightful dining experience.

Dosa Hut:- It offers south Indian Cuisine (simply south) , appointing 65-70 cover.

The restaurants are one of the leading restaurants in Rajkot according to FHRAI survey. The hotel is also FHRAI registered member.

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Roles And Responsibilities:

Job Description

Job Title: Trainee in Accounts Department

Objective: To learn accounting using Tally software and working of account department.

Responsibilities:

Daily invoices, receipts, Process accounts transactions. Dealing with book keeping. VAT & legal regulations. Evaluate weekly sales performance. Day to day cash handovers. Processing day to day purchase bills.

Extra Activity:

Inventory Management for various departments. Managing conferences and banquets. Customer Relationship Management.

Summary:

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The main area of training was Accounts department (Finance). The role that was given to me had many various task in it but the main aim was to learn computer accounting using Tally software. It was a big challenging and responsibility, step by step had to many various task.

The training started with understanding the basic Tax system that the hotel has to follow, which includes VAT, Luxury Tax, Service Tax and other rules and regulation.

I was under training for two weeks; starting with the daily cash handover my job was to collect the sales bill and the money from the various departments like, F & B, Front Office and Banquet. Then I had to cross check the amount of money received with the bills and hand over to accountant. I had to keep the record of the daily sales of each department.

The second task which i learned was daily invoice and processing the daily expenses or purchase bills. People from various department used to come and give me the purchase bills and I had to check bills and see if the item purchased item has been added to the following inventory or not, after checking if the following item is added in the inventory I had to pay the following person the bill amount and even keep check and record the outflow of the money. I was even tough how to charge VAT, Service Tax and Luxury Tax on the bills.

Till i was unaware of using tally I had to do book keeping which means every payment and the inflow and the outflow of money I had to record it manually in the books of accounts.

Then at last I was taught account using tally software which was little difficult for me because I was totally unaware of it. I got started with the basic part of it how to feed in the bills ant the accounting transactions which made my work more easy and helped me to work efficiently because my half of the account work was minimized. It was easy for me to keep record on each and everything.

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I was under training for 2weeks after two weeks I had to do work alone on my on which was very challenging for me. When the last week of my training program was left I was offered some extra activities by mu Manager, which was not related to accounts department. I was taught inventory management for various departments like, F & B and housekeeping. They even taught me CRM which they follow ant how they go about doing it, which was quite helpful to me and I took it as an additional learning.

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Result And Conclusion

The Internship period at Hotel The Grand Regency was an excellent opportunity for me to gain some hands on experience in the Accounts department. It gave me an opportunity to work as an accountant and not just a student. Besides, this internship program makes me realized the value of working together as a team and as a new experience in working environment, which challenges us every minute.

The experience I have got is huge and useful. The result I had got was better than I ever expected. Advantages of this experience made me stronger in work and more flexible. After this job I know what I need to expect in the future career in hospitality industry. Skills I get learned will give me the chance of future personal and professional growth. A careful analyze of the internship program gave me the clear picture how the Account Department should be working and controlled.

I thoroughly enjoyed my internship program and learned about all various aspects which helps in effective and efficient working if Accounts department. For me it was a good training and opportunity to learn.

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