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The hospitality industry is in a unique position for the creation of an automated supply.


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The hospitality industry is in a unique position for the creation of an automated supply.

... I. Introduction The hospitality industry is in a unique position for the creation of an automated supply Chain. Most hospitality organizations function with two units, franchise locations and corporate owned locations. Currently most corporate-owned hotels procure their goods through the headquarters, and franchise hotels procure goods independently. If hotels integrated the entire spend of every hotel, franchise or corporate, they would stand to save substantially on purchases. However, hotels must make the procurement process simple and cost-attractive to the franchises in order to ensure their participation. Of the hotel chains that currently do this, virtually all use horribly outdated business practices, intensive manual labor, and time-wasting paperwork and processes. These can be easily replaced today with automated, electronic processes. In hospitality organizations (hotels, casinos, resorts), the overall emphasis has been moving towards automating the purchasing and receiving process. In fact, many hotels are now electronically ordering directly to corporate offices and

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