Has the original PMS concept been outgrown by the lodging industry?
The Property Management System (PMS) has been the backbone of the lodging industry for decades. It is a software system that is used to manage all aspects of a hotel's operations, including reservations, guest information, room inventory, billing, and accounting. The original PMS concept was created to help hoteliers manage their properties more efficiently and provide better customer service.
A property management system (PMS) is software that streamlines the administrative and reservation administration processes for hotels. Front-desk operations, reservations, channel management, housekeeping, rate and occupancy management, and payment handling are among the most crucial duties. Even though PMS software primarily manages reservations and financial transactions, it might also let you handle housekeeping and manage your employee resources. In general, PMS streamlines a hotel's key internal and external operational processes.
However, as technology has advanced and the industry has evolved, the question arises: has the original PMS concept been outgrown by the lodging industry?
To answer this question, we must first understand the original PMS concept and how it has evolved over time. The original PMS was a desktop-based software that was installed on a single computer in the hotel's back office. It was designed to help hotel staff manage guest reservations and check-ins, track room inventory, and handle billing and accounting. The system was not connected to the internet and had limited integration with other hotel systems.
As technology advanced, the PMS evolved to include more features and capabilities. The software became web-based, allowing hotel staff to access it from anywhere with an internet connection. It also integrated with other hotel systems, such as point-of-sale systems, housekeeping management systems, and revenue management systems. The PMS became more sophisticated, with features such as mobile check-in, automated messaging, and real-time reporting.
However, despite these advancements, some argue that the original PMS concept has been outgrown by the lodging industry. Here are a few reasons why:
1. Limited Integration
While modern PMS systems have made strides in integrating with other hotel systems, there is still room for improvement. Many hotels use multiple systems to manage their operations, such as a separate system for housekeeping management or revenue management. These systems often do not integrate seamlessly with the PMS, requiring hotel staff to manually transfer data between systems. This can be time-consuming and prone to errors, leading to inefficiencies and poor customer service.
2. Lack of Personalization
One of the biggest trends in the hospitality industry today is personalization. Guests expect a personalized experience, tailored to their individual preferences and needs. However, traditional PMS systems do not have the capabilities to provide this level of personalization. They may store guest information, such as room preferences or past stays, but they do not use this data to personalize the guest experience in real-time. This can lead to missed opportunities for upselling or providing a memorable experience for guests.
3. Limited Mobility
While modern PMS systems have become web-based, they are still largely designed to be used on desktop computers. This can limit mobility for hotel staff, who may need to access the PMS while on-the-go or away from their desk. Mobile devices, such as smartphones and tablets, have become ubiquitous in our personal lives, and many industries have embraced mobile technology to improve productivity and customer service. The lodging industry could benefit from similar advancements in mobility for their PMS systems.
4. Lack of Data Analytics
In today's data-driven world, businesses rely on data analytics to make informed decisions and improve operations. However, traditional PMS systems often do not provide robust data analytics capabilities. They may provide basic reporting, such as occupancy rates or revenue by room type, but they do not provide the advanced analytics that can help hoteliers optimize pricing, staffing, and other operational decisions. This can lead to missed opportunities for revenue growth and cost savings.
5. Integration with Guest-facing Technology
In recent years, guest-facing technology has become more prevalent in the lodging industry. Hotels are using technologies such as mobile apps, self-check-in kiosks, and in-room tablets to improve the guest experience. However, traditional PMS systems are not always designed to integrate with these technologies.
These issues are caused by outdated PMS that don't offer possibilities for innovation and integration. To summarise, accommodations with an outdated PMS are unable to:
- Technology is not easily integrated (it is either too expensive or takes too much time).
- Information exchange between networks
- Run reports to obtain a comprehensive picture of their company.
Switch to a contemporary cloud-based CMS
Thankfully, hotels around the globe can operate with agility, simplicity, and efficiency thanks to modern, web-based PMS systems. Although switching from a legacy PM system to a new cloud PMS can be a significant endeavour at first, the advantages far outweigh the disadvantages. Following a cloud migration, hotels can anticipate:
- Regular, quick, and consistent software upgrades
- Open-source APIs to facilitate and reduce the expense of integration
- Quick and effective staff instruction (some providers even offer on-demand courses to speed up training times even further)
- Reliable assistance and service (typically accessible 24/7 via a variety of platforms)