NHM 467 Hospitality Service Financial Management

NHM 467 IS Sec 1, University of Mississippi
[See UM Catalog for Description]

3 credit hours

Instructor Information:

faculty photo

Instructor name:
Jim Taylor, Ph.D.

James Joseph Taylor, PhD, is a restaurant management specialist. Dr. Taylor completed his doctoral studies at the University of Southern Mississippi in Hattiesburg, Mississippi. Building upon a business administration and food systems management background, his research focuses on financial analysis, menu analysis and development, human resource management, and has recently been researching alcohol-related consumption motivators.

Contact Information:

If you have questions concerning the content of the course, you may contact the instructor directly using the Email Your Instructor link in the Lessons or Content page. NOTE: Whenever sending email, please be sure to indicate your course title and number in the subject line. You can expect a response within 72 hours, although it may be longer on weekends. Many instructors reply within 24 hours.

For lesson or test administration issues, please contact the iStudy department:

The University of Mississippi
Division of Outreach and Continuing Education
iStudy
P. O. Box 1848
University, MS 38677

Phone: (662) 915-7313, toll-free (877) 915-7313
Fax: (662) 915-8826
E-mail: istudy@olemiss.edu

Course Description

This course is intended as an introduction to financial management in the hospitality industry. This includes a review of financial statements as well as an introduction to financial markets. The focus of the course, however, is on capital budgeting. The course will also make use of computer spreadsheets. Prerequisites: Successful completion of NHM 215, ACCY 201, and NHM 210(310).

Textbook Information:

Textbook information will be provided upon enrollment in your iStudy course.

Course Objectives:

Hospitality Management Program Mission Statement
The mission of the Hospitality Management Program is to prepare a diverse community of students to become successful professionals and lifelong learners who aspire to leadership roles in the global hospitality industry and their community.
The HM program is accredited by the Accreditation Commission for Programs in Hospitality Administration (ACPHA) through 2019; therefore, the program must have established Program Learning Outcomes. They are:

Program Learning Outcomes (PLOs)

Students will:

  1. Have knowledge of leadership roles in business that are applicable to managing, controlling, and leading a successful operation in the global hospitality industry.
  2. Demonstrate the technical, social, critical thinking, and communication skills required to be successful in the workplace and to be lifelong learners.
  3. Gain hands-on and real-world experiences necessary to become successful professionals.
  4. Acquire a sense of community and social responsibility.

The main objective of this class is to introduce the student to the process of financial management and the concept that a good financial decision is a good business decision and vice versa.  Upon completion of this course, the student should be able to:

  1. Define the goals of hospitality financial management. (PLO1)
  2. Develop and interpret hospitality financial statements. (PLO1)
  3. Identify financial markets and various financial instruments.(PLO1)
  4. Examine the relationship between risk and return, and quantify different types of risk. (PLO2)
  5. Calculate and analyze present value and future value. (PLO2)
  6. Examine net present value, internal rate of return, accounting rate or return and payback and evaluate cash flows using each method. (PLO2)
  7. Compare lease and franchise options. (PLO2)

Course Outline:

This course consists of 9 instructional lessons, grouped into 4 modules.

You MUST complete the syllabus quiz as soon as you have access to your Blackboard course. This is mandatory to verify your attendance. * NOTE: you must pass the Syllabus and Orientation Quiz for the course materials to appear on the Lessons page

Lesson Reading Assignments Due for Grades Suggested Pacing Guide
(if you want to complete the course in a traditional semester)
Start Here *You MUST complete the syllabus quiz as soon as you have access to your Blackboard course. This is mandatory to verify your attendance.*NOTE: you must pass the Syllabus and Orientation Quiz for the course materials to appear on the Lessons page. Syllabus Quiz Week 1
0 Course Introduction/Resources Introduce Yourself Week 1
Module 1
1 Introduction to Financial Management Review Questions, Journal Week 1
2 Value Creation Review Questions, Journal Week 2
3 Financial Markets Problems, 3.1, 3.2, & 3.3, Journal, Test 1 on Chapters 1-3 Weeks 3 - 4
Module 2
4 A Brief Review of Financial Statements Problems, 4.4, 4.6, & 4.9, Journals Week 5
5 A Brief Review of Financial Statements, Financial Statement Analysis Test 2 on Chapter 4
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Chapter 5 Research Project on Ratio Analysis of three hospitality companies
Weeks 6 - 7
MIDPOINT OF COURSE You are strongly encouraged to reach the midpoint of your course by the date specified in your information. All lesson assignments or exams needed to reach the midpoint of the course The exact date the semester students are encouraged to reach the midpoint is specified in their registration information.
Module 3
6 Risk and Value In the Hospitality Firm, The Timing and Value of Cash Flows Problems, 7.1, 7.2, 7.3, 7.7 and study guide Weeks 8 - 9
7 Other Valuation Criteria Problems 10.1, 10.2, 10.5 (NPV & IRR only) and study guide, Test 3 on Chapters 6, 7, & 10 Weeks 10 - 12
Module 4
8 Leasing Problems 15.2, 15.7 and study guide, Journal Week 13
9 Franchising Problems 16.4, 16.8 and study guide, Journal Weeks 14 -15
Final Exam Final Exam on Chapters 15 & 16
Be sure all work has been submitted and graded prior to taking this exam.
Final Exam
To be submitted
to finalize credit
Week 16

Grading:

Grading Scale:
90 - 100% = A
80 - 89% = B
70 - 79% = C
60 - 69% = D
Below 59% = F

GRADING INFORMATION:
Grading components will be weighted as follows in determining your grade for the course:
Exams: 70%
Journals: 20%
Homework: 10%
Total: 100%

FAILURE TO TAKE THE FINAL EXAM WILL RESULT IN FAILURE OF THE COURSE.