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The Project File Details
For any organization to achieve its goals there must be an effective control mechanism. Internal control exists for the purpose of giving an organizational sense of direction and allowing for its growth. The study therefore sought to find out the role auditing (internal audit) functions play in controlling the activities of a corporate organization with special emphasis on Solrag and Destiny Hotel Ltd, Agbara, Ogun State, Nigeria. To achieve the above objective, primary data was obtained as questionnaires were distributed to the members of staff of the hotel. It was discovered that the internal audit department plays a major role in controlling the activities of the organization thereby making its control system very effective. It is recommended that internal audit departments should seek to create awareness about its functions and importance to the staff of the organization. It is also recommended that internal audit departments should carryout regular review of the internal control systems in the hospitality industry.
Title page……………………………………………. I
Table of content……………………………………. Vi
Review of related literature
2.1 Conceptual framework
2.1.2 The position of the hospitality industry in the Nigerian economy
2.1.3 The hotel industry
2.1.4 Organizational and Staffing Characteristics
2.1.5 Various Types of Hotel
2.2 Theoretical Framework
1.1 Background of the Study
A Customer billing system has a positive on the growth in the hospitality industry system, of interrelated objectives and fundamentals that can lead to consistent standards and that prescribes the nature, function, and limits of financial accounting and financial statements.” they are to be in accordance with standards issued from times to time by Accounting standard.
Hotel is defined by British law as a place where a bonafide traveler can receive food and shelter, provided he is in a position to pay and is in a fit condition to be received. Hence, a hotel provides food and beverages, and lodging to travelers on payment. In turn, it has the right to refuse a traveler is drunk, disorderly, unkempt or is not in a position to pay for the services.
The hotel industry is perhaps, one of the oldest commercial endeavors in the world. The first inns date back to the sixth century be and were the products of the urge to travel, spurred by the invention of the wheel.
The earliest hotels were managed by husband and wife teams, who provided large halls for travelers to make their own bed and sleep on the floor. The entire cooking service and recreation were provided by the husband and wife team and his family.
It was in Europe that the birth of well managed hotel industry took place on the shape of chalets and small hotels which provided variety of services. They were mainly patronized by the aristocracy of the day.
The real growth of the modern hotel industry took place in the United State of America in 1794. The real boom in hotel building came in the early twentieth century. This period also saw the beginning of chain operation under the guidance of E.M stalker. It involved big investments, big profit and trained professional to manage the business.
The management business billing of a hotel system was virtually left in the hands of the front officers. The front office in hotels is the department responsible for the scale of hotel rooms through systematic method of reservation, followed by registration and assigning of rooms to customers, it was usually done manually. This was boring and cumbersome in hotels that still operate manually today. This development in hotel business billing system continued gradually until recently when computer was invented as an electronic method of processing data, computer can be defined as an electronic device that accept input, manipulated data and produces information which is the output, as required. Computerization of hotel business billing system: a focus on the lodging system of a hotel, therefore, the application of computer in the lodging system of a hotel. A hotel which operated a computerized system will ensure that the program carries provision for different tariffs, locations and individual guest preferences. Details of each room are stored within the memory and as a guest registers the guest list is immediately updated while that particular room is removed from the list of those which are available for letting. Because the system is so accurate, there is little chance of two people being given same room.
The lodging system of Soltrag and Destiny Hotels Limited Agbara Ogun State started when this hotel was established in 1990 at its inception, Soltrag and Destiny Hotels Limited inherited three modern hotels. There were ninety three chalets at the time of its establishment. These hotels were located at Abuja, Lagos , Osun. However they have since been improved upon with additional chalets, better management and better services.
1.2 Statement of the Problem
The internal system of any hotel or organization is set to safeguard assets from waste, prevent fraud and avoid inefficient use of resources, promote accuracy and reliability in the accounting records, encourage and measure compliance with policies and evaluate the efficiency to operations. Internal Auditing as a tool helps in ensuring an effective implementation of a good system of internal control. The auditor may experience some problems while doing his work and some of these problems may prevent him from performing his work efficiently.
Specifically the problems perceived which prompted the researcher into this study are as follows:
1.3 Objectives of the Study
This study is undertaken to threw more light on proper effective customer billing system, a panacea for sustenance of growth in the hospitality industry accounting precedes and problems encountered in hotels
The study is intended to take the researcher to the study and understanding the modern accounting theory and practice as well as examines or organization owns.
1.4 Research Question
1.5 Research Hypothesis
With respect to the statement of the study, the hypothesis below can be deducted.
H0: Customer billing system has no positive effect on the growth in the hospitality industry
H1: Customer billing system has a positive effect on the growth in the hospitality industry
Ho: The performance of Soltrag and Destiny hotel on the accounting department is not independent of technical support.
Hi: The performance of Soltrag and Destiny hotel on the accounting department is independent of the technical support.
H0: Customer billing system does not have effect on organizational profitability.
H1: Customer billing system has effect on organizational profitability
1.6 Significance of the Study
The study is significant to hotels with accounting department, most especially soltrag and destiny Hotels of which the management can use to improve efficiency in the day to day running of the hotel, to keep proper books of account and returns.
This can also serve as vital information to the following groups of people.
– Business community
1.7 Scope of the Study
This research work was limited to hotel industry alone and emphasis was laid on the accounting department of soltrag and destiny hotel Limited.
1.8 Definition of Terms
Real Time Processing: Technique by which enter data for immediate processing.
On Line Processing: Also called transaction processing,. It is the collecting and processing of data as transaction occurs.
Information: When data undergoes certain manipulations like calculation, sorting, amending etc. they eventually become useful meaningful. In other words, they become information.
Data: Bit and pieces of fact and figures representing an idea or event needed for processing to give out information.
Field: A unit of information containing a group of related data.
Arrival: Time that a guest registers into the hotels.
Accommodation: The term simply refers to rooms.
Booking: Reservation of rooms.
Cancellation: When a room reservation is with drawn by the guest.
Check-In: Arrival of a guest who has registered at the reception.
Check-Out: Department of a guest who has settled his bills.
Departure: Time when a guest leaves the hotel.
Double Room: Room with one large- size bed.
Guest: Person who uses the services of a hotel.
Reception: Counter in a hotel that registers guests.
Reservation: Counter that receives documents on reservation requests.
Skipper: A guest who departs without paying his bill.
Single Room: Room with one bed.
1.9 Organization of the Study
The computerization of the hotel business billing system is centered on the front office. (i.e. reception and cashier section) of the soltrag and destiny hotel limited. A lot of limitations were encounter during this study. Such limitations are:
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