DEPARTMENT OF HOSPITALITY AND TOURISM MANAGEMENT

KNUST, KUMASI

COURSE EXAMINER: T. E. KWOFIE, PhD, AGIA

DEPARTMENT OF ARCHITECTURE- KNUST KUMASI -GHANA
 Assessment Requirement
 Class Attendance – 5%

 Mid-Semester – 10% + 15% =25%

 End of Semester Examinations - 70%.

 Hospitality Facility Design Project* (Group or Individual)

Note!
 Assignments must be done on an individual basis unless
otherwise specified by the examiner.
 Cheating during Class Quizzes/Mid-Semester and Assignment
must be avoided.

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  Course outline
 UNIT 1: Understanding Hospitality Facility Design
 Facility Design
 Objectives and purpose of facility design
 Principles and layout of facility design

 UNIT 2: Hospitality Facility Design: Tools, Principles and Skills

 Hospitality facility design: development, principles and concepts
 Prepare design projects including design of guest rooms, guest room,
floors and public space and back-of-house functions.
 Discussions of site analysis, target markets, architectural choices, and
the use of inspirational precedents.

 UNIT 3: Appraisal of Hospitality Facilities Design [Configuration &

Financial]
 Maintenance as a concept

 UNIT 4: Hospitality Facility Design – Project [Group Studio]

• Explain key principles
20/02/2025 of Hospitality Facility Design
T. E. KWOFIE 3
 Further Reading list
1. Heragu, S. S. (2016) Facilities Design, 4th eds, Taylor and
Francis UK

2. Francis, R. L., L. F. McGinnis, and J. A. White, 2nd Edition

(1992). Facility Layout and Location: An Analytical Approach.
Prentice-Hall, Englewood Cliffs, New Jersey.

3. Tompkins, J. A. et al., (1996), Facilities Planning, 2nd Edition,

John Wiley & Sons, New York, USA.

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 LEARNING OBJECTIVES
The course shares the primary objective of:

 Introducing students to understanding of hospitality

facilities design

 Equip students with graphic skills necessary for design

and experience in applying these skills in hospitality
planning and design.

 Conduct an appraisal of hospitality facility design and

design a project etc

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 LEARNING OUTCOME
To equip students to be able to:

 Explain the term hospitality facilities design and related

concepts.

 Apply basic skills to develop a sample hospitality

facilities design planning and layout

 Develop a hospitality facilities design and a project

assignment and conduct an appraisal.

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UNIT 1: Understanding
Hospitality Facility Design

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Facility Design
Facilities are buildings where  higher quality using least
people utilize material, machines amount of natural resources,
and other resources to make a
tangible product or provide  Reduce conflict in activities and
service objectives

A facility must be properly

planned & managed to achieve its In facilities , some objectives
purpose in a manner that several conflict each other so it is
objectives are satisfied important to understand the
underlying decision problems

Some objectives include:

 producing a product or
providing a service at relatively So, what then is facility design?
lower cost,

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Chronological list of facilities planning
and design activities
Date Event
4000 B.C. Egyptians developed expertise in finding suitable locations for pyramids according to
their astrological calculations
100 B.C. - 100 A.D. Romans developed full-fledged methods for the construction of temples, arenas, and
other buildings. Detailed planning of public and residential buildings

1700 - 1900 Industrial revolution period

1910 First industrial engineering textbook Factory Organization and Administration
published by Hugo Diemer.
1913 First moving automotive assembly line introduced by Henry Ford.

1954 Quadratic assignment problem for micro- and macro-level location problems
introduced by Koopmans and Beckman
1955-1995 Optimal and heuristic algorithms for the quadratic assignment problem

1959 Systematic layout planning approach introduced by Muther

1963 CRAFT (Computerized relative allocation of facilities technique) introduced by Armour
and Buffa
Early 1980s The flexible manufacturing system concept is introduced, and attention shifts towards
achieving plant-wide flexibility via medium-volume, medium-variety production using
cellular manufacturing techniques

1985-present Modern software for facilities design problems

1990s-present Research on new layout concepts including dynamic layouts, robust layouts, and
reconfigurable layouts introduced to support mass customization techniques
Facility Design [FD]
Refers to the planning and design The activity can take various
of the physical environment of an forms eg. Manufacturing (plant
activity to best support the layout), Health care (hospital
execution (operation) of this layout), Hospitality (hotel layout)
activity [LSD, 2020] service (bank layout),
transportation(airport layout) etc
In other words, FD attempts to
Objectives of a Good Facilities
organize the fixed assets of an
Design
activity in such a way as to provide
maximal support for the  Must support and enable the
achievement of the activity's activity ie enable throughput
objectives at the present and in requirement, storage
the future at the least possible requirement and flow time
cost. requirement.

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Objectives of Facility Design c’td

 Execute activity at minimal Costs Associated with FD

cost for a given set of
throughput, storage, response
time requirement. fixed variable Cost

 Be flexible and robust enough

so as it can accommodate Fixed Cost: Incurred if the activity
server and material handling is executed at all
device breakdowns ie adapt to
different product mix Variable Cost: Depends on the
intensity of executed activity

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Characteristics of a Facility Design Project
Facility Design is a complex
problem. The problem is ill- No single engineer, architect,
defined, the objectives and service provider can do all the
constraints are fuzzy work or has all the expertise

Different people have different

Activities and supporting facilities
definitions and objectives
change constantly over time and
FD projects will be redefined
Some constraints are implicitly accordingly
assumed

Mathematical models for such a

Facility design are complex, fuzzy, and dynamic
interdisciplinary team effort problem are hard to formulate and
solve

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Characteristics of a Facility Design Project
A good FD will always be
Most computer algorithms for FD characterized by a simple and
require a clear and precise intuitive material flow
statement of the problem,
objectives and constraints
In most cases FD tries to
minimize the distances travelled
Main principle in FD is: between processing operations

Optimize and minimize Steps in Facility Design Process.

material flow
 identify the major ‘material
handling flows’ in the project
One of the major objectives in FD
is o arrange the processing centres
The material flow can be many
in a manner to optimize or reduce
different things depending on
cost of materials handling
facility design application
between the centres
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Steps in Facility Design Process
In a hospital – patients, medical Eg. Customers dinning in a
personnel, drugs and medical restaurant, luggage carousel in an
supplies are all important material airport, drug storage in a
flows. pharmacy.

In an airport – passengers The processing steps are executed

(arriving & departing), crew, in the activity centres or
planes, luggages are all important departments
material flow

 Develop a multi-product
What about a hotel? process chart and monitor

 identify the major ‘processing

Construct a graph with a column
steps’ in each of the material for each of the materials handling
handling flows in step 1 flows and a row for each of the
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activity centres 14
Steps in Facility Design Process
For each of the materials handling  Compute the number of
flows, a line is drawn between the individual servers required in
activity centres to indicate the each activity centre, given the
order in which the centres are material handling flows that
visited. need to be processed in each of
the activity centres
 From the material handling
flows and activity centres CHARACTERISTICS OF GOOD A
‘determine the affinities between FD
the centre activities’ in a  Growing cost of modification
common unit The cost of making changes to a
design project grows
If materials flows are present, exponentially over time
then this is a relatively easy step

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CHARACTERISTICS OF GOOD A FD
Future expansions, contractions,
and relocations of the material
flow should be anticipated and
planned for.

 Design for Flexibility

To adapt to the constantly
changing environment, business
 Design for integration systems themselves must also
current facilities design project change.
should be integrated with the
overall spatial and temporal The changes in product,
master plan of the organization. production techniques and
equipment have accelerated in the
recent years
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CHARACTERISTICS OF GOOD A FD

To minimize the long-term costs

the facilities should accommodate One might call such easily
this change. reconfigurable facilities agile
facilities.
Hence facilities should be
designed with flexibility and Designing for future flexibility
change in mind. must be traded off with designing
for maximal efficiency for the
current system.

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Typical Design and Planning Problems
Tooling, fixture Determining flow of
Facility Location
determination products (people)

Type, volume of
products to be Determination of Scheduling and
manufactured or machine (service) planning of jobs
service to be cells (service steps)
provided

Manufacturing
Layout of machine Overall system
(service) processes
(service) cells design
required

Design of Layout of
components equipment within Inventory control
(service) each cell

Determining
Type, number of Distribution of
material handling
equipment required Goods
methods

Type, number of
Quality control and
Process Planning material handling
customer service
devices
Product, Process, Schedule, and Facilities
Design
Product Design
Includes the classical "make-or-
Product design involves both the buy" decision. It answers the basic
determination of which products
question HOW will be produced.
are to be produced and the
detailed design of individual Schedule Design
products.
Involves the determination of
It answers the basic question which quantities at what times will
WHAT will be produced. be produced.

Process Design Schedule design philosophies such

Process design involves the as "Material Requirements
determination of required type Planning" (MRP) and "Just In
and sequence of production steps Time" (JIT) can help answer these
to manufacture a product. questions.

T. E. KWOFIE 19
20/02/20
Product, Process, Schedule, and Facilities
Design Integrated Design
To achieve the highest efficiency,
It answers the basic question the design of product, process,
HOW MUCH and WHEN will be schedule and facilities should
produced. occur concurrently and in an
integrated way.
Facilities Design
Facilities Design involves the This principle is also partially
determination of the design of the expressed by "designing for
physical environment of an manufacturability" concept.
activity.
The principle is illustrated
It answers the basic question graphically by Figure 10.2.
WHERE will be produced.

T. E. KWOFIE 20
20/02/20
Product, Process, Schedule, and Facilities
Design

T. E. KWOFIE 21
20/02/20
Facilities Design Phases
Facility Design predominantly This placement is
has about four (4) phases. important with respect to
customers, suppliers, labor
 Facility Location force, and other facilities with
 Conceptual Block Layout
which it interfaces.
 Material Handling Layout
 Detailed Technical Layout
Facilities location decisions are
often made by the highest level
of management and are based
Facility Location very often on political and
financial considerations.
Facility location determines the
location of the production
facility to be designed.

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Facilities Design Phases

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Facilities Design Phases
Conceptual Block Layout
Based upon the major flow
patterns and the required areas,
the general shape, relationships
and location of each department
are established.

Each functional unit or

department is represented by a
simple block without any further
details.

The design of the conceptual

block layout is the major task .
20/02/2025 T. E. KWOFIE 24
Facilities Design Phases

Material Handling Layout

This shows the block layout of
the departments and the major
material handling areas such as
aisles and storage systems,

and the location of the interface

points between the departments
and the material handling
system.

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Facilities Design Phases
Detailed Technical Layout many engineering disciplines
such as civil, electrical,
This layout is based on the industrial, mechanical, etc
material handling layout and
includes all the details such as Facilities Design Types
construction materials.
Manufacturing Facilities
Details exact position of
production and material Warehousing Facilities
handling equipment, support
networks such as electricity, Office and Service Facilities**
water, sewer, local area
networks, etc
Military Facilities
The detailed technical layout is
the result of a teamT.effort
20/02/2025 E. KWOFIEof 26
Layout Types in facility design
In most production operations causes very long production flow
there is always a tradeoff between times for the wafers and complex
the conflicting objectives of material flows.
maximizing the utilizations of
the production equipment versus On other side of the spectrum,
maximizing the throughput and the overriding concern in the
minimizing the flow time of the manufacturing of incandescent
products. light bulbs is maintaining the
high production volume, without
Eg., the extremely expensive product delays or detours.
processing equipment
in the manufacturing of printed This is the major factor in the
circuit wafers focuses all the layout choice. There are various
attention on its utilization and types of layouts
20/02/2025 T. E. KWOFIE 27
Layout Types in facility design

 Continuous Production Continuous Production Layout

Layout Here the products flow through a

series of directly connected
 Product Layout processes or operations, without
intermediate storage or material
 Process Layout
movement.
 Cellular Layout

 Fractal Layout This type of operation is very

common in the chemical
 Holonic Layout industry, like refineries and
chemical processing plants.
 Project Layout

20/02/2025 T. E. KWOFIE 28
Layout Types in facility design
Continuous production is usually The material flow is very
only applicable to bulk, gas, or inflexible and there is no
liquid products, but it is the goal intermediate storage of products
for many of the current day (i.e. all products are always being
discrete part manufacturing worked on or change status).
philosophies.
The number of different products
that can be manufactured is very
JIT (Just-In-Time), POU (Point- limited and determined at the
Of-Use) time the plant is build.

All attempts to produce a product Manufacturing efficiency is very

in one smooth and uninterrupted high (96 %) since very large
sequence. quantities of each product are
manufactured 24 hours a day, 7
20/02/2025 T. E. KWOFIE days a week. 29
Layout Types in facility design
processing equipment is
arranged in the sequence
required for producing the
products.

The manufacturing environment

consists of large quantities
Product Layout manufactured on specialized
The overall production planning machines for mass production.
and layout is determined by the
product. There is a limited number of
different products with only
Successive production units minor variations.
undergo the very similar
sequences
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of operations and the
T. E. KWOFIE 30
Layout Types in facility design
The material flow diagram Manufacturing efficiency is high
follows the production process for discrete parts manufacturing,
and is very simple and linear in up to 22 % for each shift.
most cases.

No back flow of products is

allowed, i.e. units never visit the
same machine twice during the
production process and there is
minimal distance between
equipment that executes
successive operations.

An example is the transfer line in

a car assembly line.
20/02/2025 T. E. KWOFIE 31
Layout Types in facility design
Process Layout used because of resistance of the
The overall layout is determined higher labor grades.
by the different processes.

Machines are grouped by

function to produce a multitude
of products and they are located
without regard for the material
movements of the products.

The actual manufacturing

efficiency is very low (around 6
% for each shift) and only one
shift is usually

20/02/2025 T. E. KWOFIE 32
Layout Types in facility design
Cellular Layout The efficiency is the highest for
Clusters of machines are discrete parts manufacturing, up
grouped together into machine to 25 % per shift (usually two to
cells to perform a specific group three shifts are in operation
of operations on a specific group because of the large degree of
of similar products, which is automation).
called a product family.

This operation is associated

with batch production, where a
limited number of similar
products based on group
technology is manufactured
intermittently in limited
quantities.
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Layout Types in facility design
Fractal Layout The main advantage of a fractal
In a fractal layout near-identical layout is that it remains efficient
and heterogeneous cells of when the product families
machines are repeated in the change.
manufacturing plant.

Since each cell has nearly all of

the machines, it can handle any
product in the plant.

A new product or a product with

expanding volume can be
assigned to a cell that is less
utilized.

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Layout Types in facility design
Holonic/holographic Layout its proximity and utilization.
In the process layout the
principle was to concentrate all The main advantage of the
servers of a particular type in one holographic layout is that it can
region of the layout. handle varying and
unpredictable product mixes.
The holonic layout has exactly
the opposite principle in that all
servers of a particular type are
uniformly distributed
throughout the plant.

When a particular product needs

a server of a particular type, such
a server is assignment based on
20/02/2025 T. E. KWOFIE 35
Layout Types in facility design
Project Layout
Typical examples are ship
Manufacturing of a unique or building, diesel engine assembly
immobile product. Instead of for locomotives, or satellite
the product being transported to assembly.
the machines, the machines are
being transported to the Efficiencies are very hard to
product. measure, but are considered to
be even lower than with process
layouts.
The material flow is radial, i.e.
like the spokes of wheel, towards
the product that is located in the
hub of the wheel.

20/02/2025 T. E. KWOFIE 36
Layout Types in facility design
Comparison of Product and Comparing of Product and
Process Layouts Process Manufacturing

Two main criteria for judging

manufacturing operations are
flexibility versus efficiency.

Flexibility is ability to make

many different products in
different order quantities.

Efficiency is the ability to make

products at a low marginal cost
and high throughput rates.

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 Course Assignment
a) Visit the New

20/02/2025 T. E. KWOFIE 38
 UNIT 2: Hospitality
Facility Design: Tools,
Principles and Skills

20/02/2025 T. E. KWOFIE 39
 The development process  pre-opening activities, and
 finally, opening the hospitality
A hospitality facility facility for operations
development process typically
involves:

 identifying a concept and

location,
 conducting feasibility analysis,
 securing financing,
 acquiring land,
 designing the facility,
 obtaining necessary permits,
 construction,
 selecting an operator,
 equipping the facility,
20/02/2025 T. E. KWOFIE 40
 The development process Terms and definitions

All while considering market  Conceptualization and Market

demand, brand standards, Analysis: The first task in the
and local regulations development process is to
throughout the process. envision, in conceptual terms,
how the finished product might
This shows the five stages in the
look and what market it might
development process.
serve.

Defining the type of hospitality

facility (hotel, resort, restaurant,
etc.)

Market Research: Assessing local

Fig. 1.8: Revised model of the demand, competition, and
development
20/02/2025
process
T. E. KWOFIE
economic factors 41
 The development process Design Considerations:
Site Selection: Identifying a Exploring preliminary design
suitable location considering concepts and potential
accessibility, visibility, and challenges.
surrounding amenities.
 Land Acquisition and
 Feasibility Study: Financing:
Financial Projections: Estimating Land Purchase: Negotiating and
potential revenue, operating acquiring the necessary land.
costs, and return on investment.
Secure Funding: Obtaining loans
Legal and Regulatory Review: or investments to cover
Examining zoning, building development costs.
codes, and environmental
regulations.

20/02/2025 T. E. KWOFIE 42
 The development process
 Permits and Approvals:
 Design and Planning: Zoning and Building Permits:
Detailed Design: Developing Obtaining necessary permits
comprehensive blueprints from local authorities.
including room layouts, public
spaces, and operational systems. Environmental Clearances:
Complying with environmental
Architectural and Engineering regulations.
Drawings: Creating detailed
plans for construction. Construction Phase:
Site Preparation: Clearing the
Interior Design: Selecting land and preparing for
finishes, furniture, and decor construction.
aligned with the brand identity.

20/02/2025 T. E. KWOFIE 43
 The development process Staff Recruitment and Training:
Hiring and training staff for all
Building Construction: departments.
Following design plans to build
the facility. Equipment Procurement:
Acquiring furniture, fixtures, and
System Installation: Installing operational equipment.
necessary utilities, HVAC
systems, and technology Marketing and Branding:
infrastructure. Developing marketing strategies
to promote the new facility.
Operator Selection and Pre-
Opening Activities: Opening and Operations:
Operator Agreement: Choosing a Soft Opening: A limited-capacity
hospitality management trial period to test operations.
company to operate the facility.
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 The development process
Accessibility: Designing the
Full Opening: Commencement facility to be accessible for guests
of regular operations and guest with disabilities.
service.
Ongoing Management: Technology Integration:
Maintaining quality standards, Incorporating technology
guest satisfaction, and financial solutions for guest experience
performance. and operations.

Important Considerations: Local Community Engagement:

Sustainability: Integrating eco- Building relationships with the
friendly practices and design surrounding community.
elements.

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Appraisal of concept to attain set The latter may entail
goals (Operation) refurbishment or re-positioning
of the product, and so the cycle
Once complete and operational, will begin again.
the trading and efficiency of the
product needs to be periodically However, at the end of the cycle,
reviewed to ensure that the unit the following questions needs to
is attaining its planned be address:
performance, and whether this  How does the process of
can be enhanced to capitalize on developing a hospitality
changes or perceived trends. property work?
These may include changes to  Who should be consulted at
the environment, market the different stages of the prjt?
conditions, organizational needs,  What are the challenges which
corporate strategy or property need to be resolved?
value.  What must happen for the
project to succeed?
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 Concept normally conceived by an
From any design model, the individual or resultant of a
conceptual stage is the first in the collective group's analysis of a
cycle, because this is where the challenge or recognition of an
vision for the property begins to be opportunity.
articulated on its long journey to
become reality.  So what constitutes a concept?

Consider: The Concise Oxford Dictionary of

 Historical perspective Current English (1996:274) defines
 The conceptual process the word concept as:
 Practical considerations
 Examples 1 General notion

 Any development process 2 An abstract idea.

usually starts with a concept,
20/02/2025 T. E. KWOFIE 47
 Concept The hospitality concept
The origins come from the Latin,
and, more particularly the French
word 'concevoir', meaning to
formulate in the mind or imagine
a plan or scheme.

In Hospitality, concept is defined

as:

An idea with definition and

identity that defines an image
Source: (Lundberg and Walker, 1993)

In hospitality a 'concept' normally consists of a service delivered in a

purposely-designed property, whose quality, atmosphere, service style
and content, supported by a specified operation and management in a
specific
20/02/2025 location determine
T. E. KWOFIE price and define the product. 48
Historical perspective  elsewhere in the world where the
 From the days of travel by coach great cities were joined by steel
and horses, rails.
 followed by the age of steam  Travel then was still a luxury, but
trains Henry Ford changed that forever,
 to the advent of the car, with the introduction of the
 the aeroplane and now, mass-produced car.
perhaps, the spacecraft
 Volume of production at
 The hospitality industry has affordable prices led to volume of
historically been driven by accommodation at comparative
evolution in modes of travel. pricing in hotels.

 Coach travel was synonymous  Market segmentation focused on

with the coaching inn; trains gave quality of accommodation and
rise to the great railway hotels in pricing.
Europe,
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the Americas and
T. E. KWOFIE 49
Historical perspective Similarly, the post Second World
By the 1950s Holiday Inn had War rebuilding programmes,
opened their first motel and, in largely funded by the Marshall
the UK, the Automobile plan, led to an increase in
Association (AA) introduced its international business travel.
quality star rating system.
Owners just signed a
Travel by most people, however, management contract and
was primarily still undertaken effectively handed over the asset
within national boundaries. for periods of up to 25 years, and
looked for a return from the
In the 1960s, the growth of the hotel property's turnover.
airline industry led to the
development of the package To increase their expansion in
holiday with its consequential the mid-scale hotel sector,
boom in resort developments in Holiday Inn used the franchise
the Caribbean and
Mediterranean.
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Historical perspective France, Scandic in Scandinavia.
The airlines became active in
hotel ownership and operations, Meanwhile, the USA in the 1960s
boasted 23 000 hotels, 40 000
developing their own
motels and 170 hotel chains.
international chains in
competition with the expanding
US chains such as Holiday Inn, It was to the USA that the world
Hilton and Sheraton. looked for the development of
new concepts and operational
In Europe, Lufthansa owned management systems, not least
Penta Hotels, KLM funded because of their economic
Golden Tulip, and US carriers prosperity and widespread
expanded Intercontinental. Each internal travel.
country saw growth of its local
national chains, Trusthouse
Forte and Grand Metropolitan
Hotels in the UK, Accor in
20/02/2025 T. E. KWOFIE 51
Historical perspective Initially conceived to service
The development of US hotels home market customers when
outside of the motherland travelling on business or
was funded, not by those leisure, the hotel facilities
companies, but by local provided were similar to those
investors, while the hotel built at the beginning of the
companies provided the twentieth century.
operational expertise, the
distribution systems and most These included bedrooms
importantly, the product. with en-suite facilities,
conference and banqueting
These hotel products were rooms, bars, restaurants and the
established concepts originally ubiquitous coffee shop.
developed in the USA and
standardized to facilitate ease in
expansion and operations
internationally.
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Historical perspective Although the format of
Designed to be self-sufficient, standardization was primarily a
the back of house facilities management tool to control and
included a bakery, butchery, ease the process of development,
laundry, extensive storage areas it also offered great reassurance
and a range of kitchens with to the guest because it ensured a
their associated preparation and recognized and consistent
chilled storage areas. standard of service and facilities.

With computerization in its These were designed to be

infancy, administrative similar, or of an aspirational
processes, while standardized, standard, to those experienced at
lacked the centralization of today the guest's home.
and, consequently,
administration, management
staff and their facilities were
much more extensive
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than today.
T. E. KWOFIE 53
Historical perspective  Differentiate its full service
These standards evolved into one brands between each other
of the early benefits of brand and those of the competition
value for the home market
 Standardize product and still
customer, identified by the
reflect local culture and
immortal quote from an
environment
unnamed hotel guest:
 Obtain funding for global
‘I'm not sure whether I'm in Paris
expansion
or Berlin, but I am staying
in a Holiday Inn!’  Establish a management
structure for a worldwide
Consequently, as the twentieth multi-product, service and
century drew to a close, the operating group
industry faced a series of
dilemmas. These included issues
of20/02/2025
how to: T. E. KWOFIE 54
Historical perspective aspirations

 Maintain short-term returns

on capital intensive and long-  Address the increase in
term development projects competitive distribution
requiring individual systems available through the
management internet

 Raise staff skill and retention Other external factors that have,
levels while maintaining and will continue to impact on
affordable staffing costs the industry's development
 Maintain or extend planned include:
product life cycles
 Environmental considerations
 Deal with rising market and consumer expectations
fragmentation in terms of age,
culture and consumer lifestyle
20/02/2025 T. E. KWOFIE 55
Historical perspective The conceptual process
 Increased consumer Form the historical perspective,
protection legislation and the hospitality industry is an
liability claims evolving system which needs:

 Increased recognition of  adaptation and the

minority group requirements application of greater
and legislation aimed at flexibility to its existing and
reducing discrimination new products.
against, e.g. disabled persons
This will entail the development
 Increased employment of new concepts with inherent
legislation. ways or means to change
content, service or image in an
economical way.

20/02/2025 T. E. KWOFIE 56
The conceptual process On a smaller scale the
The more difficult element are, Bi-annual drive down
will be the ability to create International Drive in Miami
flexibility in the physical dramatically illustrates how a
property. serviced building shell can have
its restaurant product completely
However, two aspects can altered on an economical basis.
influence this:
The challenge therefore is
Construction systems are perhaps not so great as the need
becoming more systemized to alter the established process of
and manufacture-based: management thinking.

The provision of flexible The new century may be more

internal space is no longer about innovation in
revolutionary at airport management than the
terminals.
20/02/2025 T. E. KWOFIE management of systems 57
The conceptual process Value increases in all types of
Bricks and brains: property when they are located
where the most people want
From an investment point of them to be.
view, the industry has already
seen a divergence of operations
Therefore today's office
and property; the infamous
is tomorrow's hotel or vice versa.
'bricks and brains' headline.

Provide a versatile serviced and

This, however, suggests that, if
the `brains' or operation does flexible building shell, and
not deliver suitable returns, building use can be adapted to
those managing the asset have maximize inherent value,
no hesitation in changing the thereby investment risk is
nature of the operation, as the inherently lower.
inherent value in property still
tends to revolve around
20/02/2025 location.
T. E. KWOFIE 58
The conceptual process is to fulfill the basic requirement
From a 'bricks' or property of one simple equation:
investor's perspective, the
increased capital cost to attain Profit = (Selling Price * Volume)-
such flexibility delivers longer- Cost
term returns and control of, or
exposure to, non-performing
'brains' or operations. The hospitality viability cycle

Ideas, like potential sites, are

Before this idea or 'concept' can plentiful, less available are the
be progressed, it must pass resources to test each and
the test of the financial concept everyone, hence the need to have
viability cycle. initial hurdle tests to select those
ideas and concepts that warrant
further investigation and
While financial viability can be
development.
tested in many ways, the acid test
20/02/2025 T. E. KWOFIE 59
The hospitality viability cycle brief'?

This is where the development of

a concept brief or project
brief is vital.

The concept brief defines the

concept in relatively detailed
written form, combining the
context of a new hotel concept
with the operational philosophy
and area standards.

The five elements that form the

cycle shown in Figure below may
seem self-explanatory at first
glance,
20/02/2025 but what isT.aE.'project
KWOFIE 60
The hospitality viability cycle

At the concept development stage it can be a relatively simple

document that sets out the idea or concept.

However, as it entails physical property being developed, it is

essential that it incorporates an 'area schedule' to determine, in
principle, the total area to be developed.

Such a schedule can be developed relatively easily for any property

concept using the format brief'?

20/02/2025 T. E. KWOFIE 61
A typical hotel area schedule (150 Key Bedroom Hotel)

20/02/2025 T. E. KWOFIE 62
A typical hotel area schedule (150 Key Bedroom Hotel)

20/02/2025 T. E. KWOFIE 63
A typical hotel area schedule (150 Key Bedroom Hotel)

20/02/2025 T. E. KWOFIE 64
A typical hotel area schedule (150 Key Bedroom Hotel)

20/02/2025 T. E. KWOFIE 65
A typical hotel area schedule

As can be seen from the example, Building costs for relevant

each operational and public area building types can be accessed
seen as required for delivering from benchmark data published
the relevant service and product by such companies as Davis
is scheduled and an appropriate Langston Everest {International
space allocated. Cost Consultants. Or

The total building area can then For the hotel sector they
be estimated in a simple manner publish Quality Time Cost,
by multiplying the area with the which is updated annually and
benchmark building cost per gives benchmark-building costs
square foot/metre for the for each hotel market segment
relevant location. type.

20/02/2025 T. E. KWOFIE 66
A typical hotel area schedule condition and other aspects,
There is lack of a uniform system many of which need to be
of definitions for such elements considered.
as Furniture, Fixtures and
Equipment (FFE) in the hotel It is therefore advisable to obtain
industry. local professional advice.

The effect is that caution must be Most experienced industry sector

used in elemental figures for cost consultants should be able
comparative purposes. to prepare a preliminary cost
plan based on a schedule of areas
The total costs per square metre
and basic knowledge of the site
or square foot are satisfactory for
constraints and other conditions,
an initial capital cost estimate.
without the building having to
It should be noted that such data be designed in detail.
are based on various
assumptions
20/02/2025 related
T. E.to the site's
KWOFIE 67
A typical hotel area schedule
Similarly, potential earnings in
The criteria that will normally any given location will be
affect cost levels include: influenced by:
 Site area { storey height
 Demand and supply
 Unit size { staffing
 Brand and pricing policies
 Location { labour costs
 Competitive supply
 Construction time { volume
 Brand and product suitability
 Building services { quality
standards.  Size and facility mix.

20/02/2025 T. E. KWOFIE 68
Viability of Concept

A simple and useful way to

evaluate hospitality concepts can
be undertaken by defining a
project brief with schedule of
areas, resultant capital costs and
running a financial feasibility
model.

This is shown in the alternative

catering concepts in Illustration
Remember that Concept 2
utilizes a traditional format while
Concept 1 introduces 'flexibility'
in terms of location so the
traditional financial model will
20/02/2025 T. E. KWOFIE 69
Viability of Concept

Before embarking on a new campaign, will want to ensure that the

strategy, based on the information available.

20/02/2025 T. E. KWOFIE 70
Viability of Concept

20/02/2025 T. E. KWOFIE 71
After the most careful planning, all that can be expected is the
unexpected!

Development, whether that of a new concept or refurbishment of

an existing property, presents the same dilemma to the manager.

One can plan and assess risk in depth, only to find as the process
evolves that the unexpected arises to present a challenge.

Experience teaches some to plan for the things that most often go
wrong and we can briefly look at a few examples,

However, it should be remembered that by acknowledging that the

unexpected will arise some contingency planning should always be
provided for, predominantly in terms of costs and time.

20/02/2025 T. E. KWOFIE 72
The conceptual process & Documentation (records)

 Development is exciting, demanding and usually involves large

expenditure.
 Funding normally comes from third parties and when things go
dramatically wrong it inevitably ends in legal action.

20/02/2025 T. E. KWOFIE 73
The conceptual process & Documentation (records)

 At that point the paper trail through the brief, meeting notes,
agreements, day-file notes, correspondence, and so on, is of most
weight in the process of adjudication, as the law prefers the
written word to the spoken.

Surprisingly, those involved in the process more and more fail to

keep proper records.

NOTE:
If things do go wrong, records are essential to attain quick
settlement. More importantly, a good paper trail, reviewed
regularly, can prevent many human errors.

20/02/2025 T. E. KWOFIE 74
Professionals Construction and construction
Many people remark that management has become more
standards appear to be dropping. complex compared to fifty years
ago.
Perhaps they are, but it is more
relevant to observe the world is It involves more people
getting a little more complex (stakeholders, interest groups)
each day, and everything has to with high interest in complex
move much faster. relationships

It is unrealistic to expect an So far as planning the hotel is

architect to know the concerned, the development
requires more specialized skills
developer's business, or in a tam format including the
necessarily to rely on his or her architect to understand the
management skills. operational requirements in
detail.
20/02/2025 T. E. KWOFIE 75
Professionals Culture and context can affect
Selecting the professional team communication and lead to
should, therefore, be undertaken misunderstanding.
with a proper understanding of
the skills required, and those Review Questions
parties should be managed in a  What are the main differences
formal way. between the historical
hospitality industry and that
of today?
Communication in development
 Suggest some of the current
The most common reason for challenges for concept
project failure, especially in an development.
international industry, is
through a poor communication.  Outline some practical
considerations for developing
concepts.
20/02/2025 T. E. KWOFIE 76
Feasibility  Information review
Before developing any property,  Financial analysis: volume,
this fundamental question must price and revenue, costs,
be answered: income projections
 Reporting
Is the project feasible?
 Conclusions.

We will explores some of the

Objectives of a feasibility
issues of feasibility in hospitality
study
development, based on:

Feasibility study is an
 The objectives of a feasibility assessment of the
study practicality/viability of a
 Feasibility methodologies: proposed project, plan or
 Site appraisal method.
 Market research
20/02/2025 T. E. KWOFIE 77
Feasibility assessment the management company and any
other parties involved with the
Main objective is to evaluate a project.
proposed project or idea,
considering factors like market To provide information to the
potential, technical viability, project promoter regarding the
financial implications, and legal
environment in which the project
considerations, to determine will be operating.
whether it is likely to be successful
and should proceed further, The promoter needs to understand
providing decision-makers with a where the proposed project fits
thorough analysis to guide their
decision-making process. into the market as a whole, in terms
of supply and demand, govt policies
This Feasibility studies is not towards the hospitality sector, and
undertaken in isolation, but factors external and internal to the
prepared by a specialized consultant sector that will affect operations and
in conjunction with the architect, therefore profitability and viability.
the client, the source(s) of funding,
20/02/2025 T. E. KWOFIE 78
Feasibility assessment competitive with the project, and
will discover the strengths and
The various risks to which the weaknesses of the existing
project will be exposed {political, facilities.
commercial, environmental,
construction-related etc. The study will also investigate
- will be identified and demand characteristics - both for
quantified, for the promoter to the existing facilities and for the
assess and more importantly proposed facility.
understand.
This includes examining the
To provide a brief to the architect market's opinions of the existing
as to what the market requires supply, and how users' needs
from the project. might be changing, and therefore
The market research that is factors
undertaken for the study will which the new project can
look at the current supply of exploit.
20/02/2025 T. E. KWOFIE 79
facilities of relevance and
Feasibility assessment facilities of relevance and
competitive with the project, and
The various risks to which the will discover the strengths and
project will be exposed {political, weaknesses of the existing
commercial, environmental, facilities.
construction-related etc.
- will be identified and The study will also investigate
quantified, for the promoter to demand characteristics - both for
assess and more importantly the existing facilities and for the
understand. proposed facility.
To provide a brief to the architect This includes examining the
as to what the market requires market's opinions of the existing
from the project. supply, and how users' needs
The market research that is might be changing, and therefore
factors which the new project
undertaken for the study will
can exploit.
look at the current supply of
20/02/2025 T. E. KWOFIE 80
Feasibility assessment
Feasibility methodologies
To present the case to the The methodology for carrying
planning authorities in support out a market and financial
of planning applications. An feasibility study has five main
analysis of the market may be components:
required where change of use of a
building or site is required, for
example.  Site appraisal

To assist in negotiations with  Market research

management companies. In the
hotel sector, operators are often  Information review
approached by promoters of
new hotels seeking their services.  Financial analysis

 Reporting.
20/02/2025 T. E. KWOFIE 81
Feasibility methodologies Feasibility methodologies: Site
appraisal
The methodologies inherent in a
feasibility study can be used for a It is widely held that 'location,
variety of investment proposals: location and location' are the
three most important factors for
 A new build facility the success of hospitality
facilities.
 An acquisition
A restaurant in a prime location
 An extension to an existing should do better than one less
facility favourably located (so long as the
food, the service, the ambience,
 A refurbishment proposal are all equally good!), and a
poorly-located restaurant
 A renovation programme, to may not do well.
reposition a facility.
20/02/2025 T. E. KWOFIE 82
Feasibility methodologies: Site appraisal

But, if the food, the service, the ambience are superb, then the
location may become less important.

Notwithstanding these comments, the location proposed for the

project needs to be suitable for the use proposed.

The appraisal will conclude with a summary of the site's strengths

and weaknesses, and therefore its competitive positioning in
relation to other facilities.

20/02/2025 T. E. KWOFIE 83
Factors to consider in site appraisal for hospitality facilities

20/02/2025 T. E. KWOFIE 84
An example of a strengths and weakness summary

20/02/2025 T. E. KWOFIE 85
Feasibility methodologies: Market research

This will start before the site appraisal, and will continue
afterwards.

The objective of the market research is to identify and gather

sufficient information to enable the consultant to reach conclusions
regarding the project proposal as to its appropriateness for the
market,

Its likely acceptance, demand characteristics and the facilities

demanded by the market, competition, and so on.

20/02/2025 T. E. KWOFIE 86
Market research: Types, uses and sources of information

20/02/2025 T. E. KWOFIE 87
Feasibility methodologies: Financial analysis

Financial projections for a proposed new hospitality facility will

normally comprise estimated statements of profit and loss, and of
cash flow, based on which an investment analysis is prepared.

Will focus on methodology of projecting estimates of income and

expenditure, which form one part of the investment analysis (the
others being capital expenditure and the financing plan).

A projection of profit and loss will have three main platforms

{ volume, price and cost.

Using a proposed hotel development as an example, the

methodologies of calculating these three components are discussed
below.

20/02/2025 T. E. KWOFIE 88
Feasibility methodologies: Financial analysis

Volume:
This means the number of rooms sold by the hotel, the number of
covers served in the restaurant, the utilization of the hotel's
business centre, the number of members in the leisure club, and so
on.

(It can be noted that a hotel is a conglomeration of a number

of hospitality outlets, and therefore the principles described apply
to appraisals of stand-alone restaurants, health clubs and other
projects.)

For a hotel, the selling of bedrooms is normally where the majority

of the profit is generated (the exceptions being hotels, normally
small ones, where the restaurant and bar are the main activity).
20/02/2025 T. E. KWOFIE 89
Feasibility methodologies: Financial analysis

Thus the appraisal will start with an analysis of how many

roomnights can be sold.

The assumption in this case is that a developer wants to build a

100-room 4 star hotel at Hightown, where there are already five
hotels of that quality, which would be directly competitive.

20/02/2025 T. E. KWOFIE 90
Feasibility methodologies: Financial analysis

Thus the appraisal will start with an analysis of how many

roomnights can be sold.

The assumption in this case is that a developer wants to build a

100-room 4 star hotel at Hightown, where there are already five
hotels of that quality, which would be directly competitive.

20/02/2025 T. E. KWOFIE 91
Feasibility methodologies: Financial analysis

The next step is to project how this market is expected to grow (or
decline) in the future.

This is a judgment call, to be based on the research undertaken,

and the information gathered.
20/02/2025 T. E. KWOFIE 92
Feasibility methodologies: Financial analysis
Historic performance will always be a guide to future performance,
but by
no means the only factor on which to make a judgment. Here are
some of the factors to consider:

 What are transport links like to Hightown, and what is

happening in the future? Are any major new roads being built,
which might make Hightown easier to get to (and easier to
leave!).

 What's happening at the airport, are there any new flights

scheduled for the future?

 Is the ferry service at the harbour doing well, and likely to

increase its frequency of sailings? What is the rail service like?
20/02/2025 T. E. KWOFIE 93
Feasibility methodologies: Financial analysis
In other words, is Hightown
 As well as transportation links, hotels depend on there being a
reason for guests to visit the hotel and its locale.

 What is the health of the local economy? Is there an inward

trend of investment and businesses to Hightown?

 What is the local or regional authority doing to attract inward

investment, and how successful are they?

 How are the local tourist attractions doing, the theatres, the
nightclubs, and so on?

 Is Hightown a regional or national retail centre?

20/02/2025 T. E. KWOFIE 94
Feasibility methodologies: Financial analysis
What is the local and national tourism board doing about
promoting Hightown?

How is the town's convention centre doing, and what are they
doing to promote greater utilization, particularly during
periods of low demand?

Are the airlines using the airport increasing their need for
accommodation for flight crew?

How do the existing hotels market themselves, and create

demand for their facilities through their marketing activities?

20/02/2025 T. E. KWOFIE 95
Feasibility methodologies: Financial analysis
Is it based on their specific product offering, for example their
leisure facilities, or a terrific spa product, or

perhaps their excellent conference facilities, or is it based on the

attractions in and around Hightown?

Future demand projections for Hightown:

20/02/2025 T. E. KWOFIE 96
Feasibility methodologies: Financial analysis

20/02/2025 T. E. KWOFIE 97
Feasibility methodologies: Financial analysis
The analysis presented is simplistic, in order to demonstrate the
methodology;

in practice, information on the demand volumes by market sector

will be obtained from the existing hotels, demand growth will be
considered and projected separately by market sector, as will the
new hotel's market penetration.

Based on the following factors, the consultant makes a judgment

of the new hotel's market penetration:

 The hotel has a highly desirable location

 It will offer more up-to-date conference facilities than those

offered by the competition
20/02/2025 T. E. KWOFIE 98
Feasibility methodologies: Financial analysis

 It will be a new hotel, and therefore of better quality than most

of the competitive hotels

 It will not have a feature spa, which two of the other hotels have

 It will adopt an aggressive pricing strategy, discounting where

necessary to gain a greater share of demand

20/02/2025 T. E. KWOFIE 99
Feasibility methodologies: Financial analysis

Proposed new hotel, Hightown: occupancy projections

20/02/2025 T. E. KWOFIE 100

Here are some factors to consider when assessing demand for the
other facilities of the proposed new hotel:
 Restaurants: A hotel situated in an area with other restaurants
and bars will achieve a lower utilization from hotel guests of its
in-house facilities than one which is isolated (e.g. a country
house hotel).

 Bars: Similar considerations will apply. A resort hotel might find

that guests on package holidays from one country will use the
bars more than those from another country.

 Room hire: This will be generated by conferences, banquets and

other events.

 Telephone: Usage of telephone networks in hotels has been

declining due to the use of mobile phones. A business and
conference hotel is likely to have higher usage of telephones than
a leisure hotel.
20/02/2025 T. E. KWOFIE 101
Here are some factors to consider when assessing demand for the
other facilities of the proposed new hotel:
 Laundry: Usage will depend on the type of guest, and their
length of stay. Guests using the hotel for one night before
departing from the local airport are unlikely to use laundry
facilities, while a business visitor staying for one night will use it
more.

 Health club and leisure facilities: Utilization will be generated by

residents of the hotel, and also by non-residents, on a daily or
membership basis. Observation of other clubs in the area will
indicate the demand for hotel club facilities.

 Rentals: This will be earned from shops, showcases, airline desks

and the like. The demand for such space in the hotel will depend
to a large extent on the types of resident guests, and the local
offer of shopping facilities.
20/02/2025 T. E. KWOFIE 102
Price and revenue
Combining projections of volume with assumptions regarding
price, one can project revenues for the proposed hotel.

As with the section on volume, we will concentrate here on the

pricing of rooms, with indicators as to factors affecting the prices
for other facilities.

As noted previously, the projections of occupancy (roomnights

sold) cannot be made without some reference to the price to be
charged for the rooms.

The intended quality of the hotel will be a reference point, as will

the recommended pricing strategy which becomes one of the
assumptions underlying the market penetration factors.

20/02/2025 T. E. KWOFIE 103

Price and revenue

The research will reveal the published prices (tariff) of the existing
hotels, and will also ascertain the prices actually charged { most
often very different.

Thus the amount of discounting being applied to each market

sector can be calculated, and the pricing strategies of the
competition determined.

The practices vary { there are hotels which 'never' discount,

although in practice that means that they offer corporate rates, and
other special rates, which are not regarded as being 'discounts'.

20/02/2025 T. E. KWOFIE 104

Price and revenue

There are those hotels which discount to almost every guest, and
therefore their published tariff is an aspiration, and part of their
marketing message.

And there are those hotels, such as resort properties, which

contract all their rooms to tour operators and travel agents at
negotiated rates, and do not even have a published tariff

as resort properties, which contract all their rooms to tour

operators and travel agents at negotiated rates, and do not even
have a published tariff
.

20/02/2025 T. E. KWOFIE 105

Price and revenue
To project prices and therefore revenues for our proposed
hotel in Hightown, there are a number of methods which can
be adopted:

 Investigate the average room rates achieved by the existing

competitive hotels, and assume an achieved average rate relative
to those benchmarks. That rate, multiplied by the number of
roomnights sold, equals rooms revenue

 Assume sector rates, again by reference to the competitive set,

and from interviews with demand generators, and calculate
rooms revenue by each market sector

20/02/2025 T. E. KWOFIE 106

Price and revenue
Adopt a more complex model, making assumptions regarding
the published tariffs by room type, the discounts to be offered
to each market sector, the proportion of each market paying
rack rate, and the utilization of each room type.

From this devolve the total rooms revenue, and the average rate is
calculated by dividing that figure by the total number of
roomnights sold.

20/02/2025 T. E. KWOFIE 107

Income projections
Revenue less operating costs equals gross operating profit. Does
that give any indication as to the feasibility of the project? No, not
really.

Feasibility will normally be defined as meeting a predefined

measure of return on investment, along with other measures such
as debt service coverage and equity payback.

These, and the whole subject of investment appraisal.

20/02/2025 T. E. KWOFIE 108

Reporting

This final stage in the feasibility process provides a report with the
Study findings back to the client, usually in written format and
presented at a meeting.

20/02/2025 T. E. KWOFIE 109

Conclusions

A feasibility study is an assessment of supply and demand, the

factors affecting the market, and how the proposed facility can fit
into and exploit the market for profit.

It is suggested that experienced consultants are used to undertake

feasibility studies, and that they use a logical and tested method,
such as has been suggested: site appraisal, market research,
information review, financial analysis and reporting.
Feasibility studies are 25% information, 25% common sense,
25% experience and judgment, and 25% analysis.

Maybe not in that order, or in those exact proportions, but without

them all, the study will lack the robustness it needs to satisfy
the client.
20/02/2025 T. E. KWOFIE 110
 UNIT 3: Hospitality
Facilities Design
[Configuration &
Financial]

20/02/2025 T. E. KWOFIE 111

Design

What is design?

The word design comes from the French word meaning to draw, and
can signify a `drawing that shows how something is to be made'
(Hawkins, 1988:218). Design has also come to be understood as a
`model, pilot, purpose or plot' (Oxford University Press, 1971:698).

A third meaning for this word is the general form or arrangement,

especially of a building.

Thus design incorporates the planning, drawing and arrangements

of properties, and the design process represents the
operationalization of a project from ideas to drawings and reality.
20/02/2025 T. E. KWOFIE 112
Design

The role of the designer: The role of the designer in the

hospitality industry is to provide a commercial design service to
individual managers or owners, or to multi-unit organizations.

Successful designs are those that find favour primarily with the end
user; the hospitality customer, as customer acceptance and repeat
purchase behaviour will result in a financial return on the
development investment.

The task of the designer is to establish a harmonious balance

between the following factors:

Image, Style, Operating efficiency, Customer comfort.

20/02/2025 T. E. KWOFIE 113

The designer is responsible for the following elements:
 Space planning

 Form and colour

 Finishes and durability

 Lighting and audio-visual systems

 Technology

 Costs.

The design incorporates all these elements, and the designer acts as
the interface between the building form, structure, building services
and the operation, in order to turn a concept into reality.

20/02/2025 T. E. KWOFIE 114

Design

The components of design:

 Capacity of bedrooms, public areas and food and beverage
facilities
 Layouts of table groupings

 Anticipated product and service turnover, and consequent

flexibility of accommodation and seating

 Method of food and drink service, staffing and support

arrangements.

20/02/2025 T. E. KWOFIE 115

Design

A model of the design process

20/02/2025 T. E. KWOFIE 116

Factors affecting design

A hospitality design concept can be affected by a number of factors,

particularly:

 Company policy. Product style, brand and future dev’t strategy

 Concept. Objectives and market orientation

 Location. Type of premises, surroundings and constraints

 Function. Space usage, seating capacity and operational needs

 Aesthetics. Style, character and design features

 Budget. Investment criteria, payback, financing and resources

 Business. Strategy: planned life cycle and future changes

 Logistics. Critical dates, stages and contractors.

20/02/2025 T. E. KWOFIE 117
The project brief
A project brief is the pivotal document that establishes the project's
objective and parameters for all the parties concerned, including
owners, managers/operators and design team.

The project brief should address a number of key issues:

 Objectives of the development: why a change is needed and what is

required

 Budget: spending limits and the required rate of return

 Time: desired start and finish date to maximize selling

opportunities and minimize disruption

 Quality: standards and durability required from the development.

20/02/2025 T. E. KWOFIE 118

Design

Fundamentals

 Objectives: These should be sorted into priorities, for example

costings, marketing, operational and maintenance issues

 Resources: Budgets and content, timescale, planned life cycle,

operational elements and staffing levels

 Context: Scope, relevant legislation, technical facts, nature of site,

building fabric and area specifications

 Planning: Services, space relationships, function, operational

methods and seating capacities

 Marketing: Market segments, customer prole, spend per head and

duration of stay, service standards, usage and entertainment.
 Engr.
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Project Finance

Project finance is the art and science of securing the funds

necessary to develop, acquire, renovate, and recapitalize hospitality
assets.

What are the sources of project finance?

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Managing construction
Construction represents the physical implementation of the design
and decisions regarding a hospitality facility development.

The construction process is a complex one which can be affected by

a variety of factors affecting handover, such as quality, budget and
operational capability.

This process must, therefore, be carefully managed and understood

to avoid potential problems.

Such an examination may lead to the conclusion that improvements

are needed in:
 Planning, programming and monitoring to achieve on-time
completion
 Procurement, supervision and inspection to produce a compliant
and quality product.
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The building team (Organization: Contract management)

Regional building contractor's office organization chart:

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Site organization chart

Site organization chart for a medium- to large-sized contract:

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Organization chart for a design and build contract

o activities to restore the equipment to as-built functions.

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Planning and programming
The planning and programming of work for a typical medium to
large design and construction building project involves the
coordination of many human and material resources to ensure
economy and efficiency. The more detailed the planning and
programming, the less likely it is that unforeseen circumstances may
upset either the intentions or timetabling of a project, thereby
reducing the chances of frustration and delays.

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The 'master' programme:

A Highly sophisticated programmes can be produced to provide a

visual representation of the interrelationships between design
information production, material and component deliveries,
subcontract and trade related work.

These can provide more accuracy and are based on the critical
path method.

This method is sometimes considered too complicated for practical

use in small to medium sized projects because of the frequent
reconstruction, which may be necessary as a result of updating.

Nevertheless, the critical path method reflects actual site techniques

more accurately than bar charts.
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Master Programme

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Design information

Design programmes can take the form of a bar chart and are often
called pre-contract programmes. They are prepared by the design
team in order to establish how long it will take from the beginning
of the design process in order to start (procurement, purchasing
etc.) and construction activities on-site.

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The amount of 'detail' will be contract specific and full
consideration is needed of the following:
 The full scope of the project

 All activities listed on the construction programme

 All major procurement and 'purpose-made' items

 All 'provisional sums' in detail subcontractor requirements.

Programmes must provide the information necessary for

management to carry out its functions in:

 Establishing the suitable timing of information requirements and

monitoring cash ow labour and staff requirements

 Scheduling material supplies

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 Coordinating the activities of subcontractors and statutory

undertakers and controlling performance

 Assessing the effects of variations and change

 Reviewing assumptions

 Costing (and bonusing or performance-related pay).

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Construction programme bar chart

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 UNIT 4: Hospitality
Facility Design –
Project [Group Studio]

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Thank You

KNUST, KUMASI-GHANA