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How Important Is a PMS in Helping with Day-to-Day Hotel Operations?


How Important Is a PMS in Helping with Day-to-Day Hotel Operations? | Hotelogix

Hospitality management software has advanced a lot in recent years, including the types available to you. In the past, you might have been able to get by with just a front desk management tool and other elements cobbled together from different platforms, like Excel and HR software. Today, there are better options.

One of those is a property management system (PMS). Of course, chances are good that if you’re used to doing everything manually, you might be on the fence about the benefits of a hotel PMS. Is one really necessary?

In a word, yes. However, it’s not that simple. You need to ensure that you’re investing in the best PMS for your needs, and that requires an understanding of what a cloud-based PMS can bring to the table in the first place. These systems are much more than glorified front desk management tools. They provide the capability to manage virtually all aspects of your property.

Why Do You Need a Hotel PMS?

Before you can choose the best hotel PMS, you need to understand a bit more about how this type of hotel management software works and the needs it can address for your property.

The Functions You Expect

Most property managers and hotel owners have specific expectations when it comes to a hotel PMS. These features and functions include the following:

1. Guest Reservations – Yes, your PMS can handle making reservations. However, this goes beyond empowering guests to book via your website. You should be able to centralize all guest bookings in a single location no matter what third-party channel they originated from. Having access to everything within one place saves your team members time and effort while streamlining the guest experience.

2. Third Party Channels – These days, most hotels use a wide range of third-party channels to cast a wider net and reach potential guests. This includes OTAs, as well as sites like that offer deeply discounted rates. Managing these manually can be a nightmare and takes an inordinate amount of time. With the right hotel PMS, you can easily manage all of those channels.

3. Front Desk Operations – Finally, the right hotel PMS will give you access to standard front desk functions and features, such as viewing and updating room reservation statuses, managing check-ins, processing payments, and more, while also connecting the spa, hotel activities, housekeeping, and other departments.

The Unexpected

In addition to the expected features we just discussed, the best PMS will go beyond front desk management capabilities and should provide some unexpected features and capabilities.

1. It Acts as an ERP – One feature that often takes hotel managers by surprise is the ability of the PMS to act as an ERP and record all transactions. This is not just important for ensuring that important financial data is captured, but for gaining greater visibility into your bottom line and for ensuring that all costs are captured at the right time and tied to the guest’s account.

2. Revenue Management – In addition to capturing all financial transactions, your hotel PMS can also provide revenue management capabilities that allow you to determine the overall performance of the property, dive into important KPIs like ADR and GOPPAR, and then respond to changes promptly based on accurate information.

3. Reporting – The best PMS will be able to offer fast creation of detailed reports that allow you to answer management’s questions and provide critical information at a glance. It’s all about finding ways to leverage the data that you already possess and transform it into new insights that fuel better decisions for the property as a whole.

4. Smoothens Guest Stay Cycle – Your hotel management software is a powerful tool for creating a positive guest experience and alleviating or avoiding any potential pain points. This ranges from creating a cohesive experience at every touchpoint to ensuring that guests are never checked into rooms that haven’t yet been cleaned and so much more. Today, the goal is to deliver an outstanding guest experience. It’s not about booking rooms for a night or two. The hotel industry is more competitive than ever and if you don’t give your guests a reason to come back, they’ll find a reason to go elsewhere.

5. Contactless Experience – COVID-19 has accelerated existing trends in the hospitality industry toward more and more contactless processes. With the right PMS software, you can not only capitalize on those trends but help your guests enjoy a safer, more private stay at your property. Some of the features that should be supported include digital check-in and check-out, digital room keys, automatic occupancy updates from a mobile app, and more.

6. Manage Rates – We’ve moved well beyond the time when hotel managers and decision-makers could set rates and then maintain them for an entire year. Today’s industry requires more, and your guests expect more, too. With the right hotel property management software, you can manage rates easily. You’re able to define room rates per season or per package, set special rates, and even vary your rates based on occupancy. The best thing about it? Many of these functions are automated, saving you and your team time and hassle.

Finding the Best Hotel PMS

Now that you understand how a hotel PMS can benefit your day-to-day activities, it’s time to consider what goes into making an informed decision. How do you choose the right hotel management system software?

The first thing is to make sure that the software you’re considering offers the features and capabilities that we’ve discussed. There is no shortage of cloud-based PMS options on the market, but they are far from created equal. Some are nothing more than glorified front desk software, while others are focused more on back-of-the-house needs. Neither is the right choice. You want a cloud-based PMS system that delivers on both of those while providing plenty of automation to free up your employees to focus on the guest experience.

Finally, make sure that you have access to a free trial. This allows you to put the software through its paces and get a feel for how it will work for your property. The trial should be full-featured, as well. Limited function trials don’t really let you explore the software and get to know it.

At Hotelogix, we’re proud to offer an industry-leading hotel PMS that combines front desk and back-office modules, as well as smart technology and automation designed to help you run a profitable, successful hotel and deliver a satisfying guest experience. Contact us today, request a demo, or sign up for a free trial .