Unit assessment pack (UAP) Assessments SITXFIN005 SITXFIN005 – MANAGE PHYSICAL ASSETS Assessment Instructions The assessment task that you need to complete for this unit is as follows: Assessment Task...

case study


Unit assessment pack (UAP) Assessments SITXFIN005 SITXFIN005 – MANAGE PHYSICAL ASSETS Assessment Instructions The assessment task that you need to complete for this unit is as follows: Assessment Task 1: Case Study Assessment Task 1: Case Study 1) This assessment task requires you to assume/ take on the role of Asset manager of Marriot International 2) You must develop practices for systematic maintenance, repair and purchase of physical assets, monitor the condition and performance of physical assets, coordinate financing and purchase of physical assets. 3) For the meeting and roleplay, you will join with other students of class, assigning designated roles to each person. After the scenario, each student will switch roles with other students to ensure everyone experiences each role fully. 4) Part B Q2 and Part C Q3 (a-c) must be done by each student in front of trainer/assessor on the due date set by the trainer. 5) Students must use professional language, involve class mates to seek feedback and use appropriate body language in accordance with the Manager role they are portraying. 6) Your assessor will use an observation sheet and provide feedback whether your meeting and roleplay is satisfactory or not satisfactory. 7) Read the case study and answer all questions satisfactorily in order to be marked as satisfactory for this assessment. 8) Time frame: You will need approximately 16 hours to complete this assessment task. 9) Assessment site: WAIFS campus and independent learning environment Equipment/Resource Required: · Laptop/PC with Microsoft Office installed · Learner Guide · Class mates to conduct roleplays Competency outcome: There are two outcomes of assessments: S = Satisfactory and NS = Not Satisfactory Trainer feedback will be provided within 14 calendar days after assessment submission. Declaration I declare that no part of this assessment has been copied from another person’s work with the exception of where I have listed or referenced documents or work and that no part of this assessment has been written for me by another person. I also understand the assessment instructions and requirements and consent to being assessed. Signed:____________________________________________________________ Date:____________________________________________________________ If activities have been completed as part of a small group or in pairs, details of the learners involved should be provided below: This assessment has been completed by the following persons and we acknowledge that it was a fair team effort where everyone contributed equally to the work completed. We declare that no part of this assessment has been copied from another person’s work with the exception of where we have listed or referenced documents or work and that no part of this assessment has been written for us by another person. Student 1: …………………………………………………………………………………………… (full name) Signed: ………………………………………… Date: ……………………… Student 2: …………………………………………………………………………………………… (full name) Signed: ………………………………………… Date: ……………………… Student 3: …………………………………………………………………………………………… (full name) Signed: ………………………………………… Date: ……………………… Student 4: …………………………………………………………………………………………… (full name) Signed: ………………………………………… Date: ……………………… If you have any questions at all please discuss them with your trainer – we are here to help Assessment Task 1: Case study Marriot International has a long and successful history of serving customers beyond their expectations. The company commenced as a nine-seat AW root beer stand in 1927 and has grown to become the leading and one of the most recognisable brands in the hospitality industry. Headquartered in Bethesda, Maryland, the US, Marriot International has a presence in North America, Middle East, Europe, Africa, Asia Pacific, Caribbean and Latin America. Thanks to the imperishable and competitive values that J. Willard Marriot International has left on the genes of the company, the company’s success at present is the outcome of the application of those values. The core values that guide Marriot International are “We put People first”, “We pursue Excellence”, “We Embrace Change”, and “We Act with Integrity”. Marriot International’s financial success also shows the commitment and capability of the company in maintaining mutually beneficial relationships, whether it be with the franchisees, employees or customers. Customers highly regard the loyalty program of Marriot International named as Marriot International rewards as more than 120 million active customers are part of the program. For the 20th consecutive year, Marriot International could find a place on the Fortune’s 100 Best Companies to Work For. Physical assets of Marriot International Marriot International is operating many branches in the Australia and provide wide range of services to their customers. Currently, Marriot International has ten branches in Australia and having more than $500 million dollars of investment on physical assets. Following are the the tangible and intangible assets of the company- Tangible Assets Intangible Assets Cash Patents Furniture Logo Plants and Machineries Copyright Buildings Brand value Vehicles Self-developed softwares Stock Customer data Equipments Trademark Computers and other technical devices Goodwill Asset management plan Marriot International prepare an Asset Management Plan, driven by an understanding of the owner’s objectives for the asset and the specific needs of the property as identified during the strategic review. During initial strategic review, Marriot International undertakes following tasks: · a comprehensive physical property review; · a detailed market review and competition benchmarking; · a review of historic operational and financial performance; and · a review of operator contracts, agreements and compensation. Performance Monitoring of Assets Following the initial Strategic Review and preparation of the Asset Management Plan, Marriot International implement a performance monitoring and reporting regime, based on regular property visits and interaction with operator. This will involve, as a minimum: · market supply and demand updates · competitive benchmarking analysis · performance analysis against budget and prior years · review of sales and marketing activities · revenue analysis and cost control · review of operator charges, contract compliance and compensation · review of guest satisfaction surveys Planning and Budgeting Short- and long-term planning includes both operational and capital budgeting. This includes: · monthly forecast, annual business plan and budget reviews; · asset register maintenance Asset management procedure Effective asset management is essential for the business growth of Marriot International . The purpose of assets management procedure is to ensure that expenditures by the Marriot International is planned, evaluated, authorised, monitored and implemented in a systematic manner to meet the objectives of the best practice. Methods of Measurement: Asset Class Model of Measurement Cycle Furniture and Equipment Cost 3 yearly Building Revaluation 3 yearly Vehicles and vessels Cost 5 yearly Computers and other technical devices Cost 1 yearly Machineries Cost 3 yearly Depreciation Depreciation is charged on fixed assets to allocate the cost of the assets over their estimated useful lives. The depreciation charge for each period is recognised as an operating expense and is charged to the budget centre that holds the asset. The depreciation method reflects the pattern in which the asset’s future economic benefits are expected to be consumed by Marriot International hotel. Asset Type Date Acquired Method Rate or Life Asset cost ($) Residual value ($) Depreciation in prior years ($) Building with pool and garden 1/2/2020 SL 3 years 250,000 50,000 75,000 Furniture and Equipments 1/2/2020 SL 3 years 100,000 25,000 10,000 Vehicles and vessels 5/3/2020 SL 5 years 25,000 5,000 1,000 Computer and other technical devices 1/2/2020 SL 1 years 12,000 2,000 1,000 Machineries including ride and game machines 1/2/2020 SL 3 years 70,000 20,000 8,000 Goals and Business Objectives of asset management 1. To improve efficiency, performance, and utilization: Asset management provides business with a clear picture of their total owned assets at any given time. This bird’s-eye view into your capital investments can reveal some valuable insights, such as areas in which assets are sitting idle and areas in which assets are at maxed-out capacity. 2. To facilitate Data Collection: Asset management provides a plethora of data that drives decision-making. For instance, data showing that a particular class of assets performs better or has a longer lifespan when purchased from a specific vendor can help you make more informed purchasing decisions. Over time, these types of decisions have a substantial impact on the bottom line by allowing you to make sound investments. 3. Maximizing Return on Investment: Asset management aids businesses in maximizing the return on every investment. When you rely on asset management to inform purchase decisions and stay on top of ongoing maintenance, you’ll get more life out of your expensive assets. Part A This assessment will provide complete procedure for managing physical assets for Marriot International hotel. As mentioned in the above case study, Marriot International has different types of assets having different life span and depreciation of each asset. It is required to manage physical assets in a timely manner to improve performance and efficiency of the business. In this task, you will be playing the role of Asset manager of Marriot International and develop practices for managing the physical assets of the company. Subsequently, it is essential to create procedures or practices for maintenance, repair and purchase of physical assets. To develop the practices for managing physical assets, you are required to answer below questions: Q1: Create physical asset register for 4 different types of physical assets and explain how frequently you will update register to ensure data accuracy. (Use Template 1) Template 1- Physical Asset Register Physical Asset Register Company Date Prepared by Location Asset Number Asset Description Purchase Price Depreciation Method Depreciation Rate Tangible/Intangible Asset . Date for update of Asset Register: Q2: (a) Create procedures for managing physical assets such as maintenance, repair and purchase. (Use Template 2) Template 2- Develop procedures for managing physical assets Procedures for systematic asset maintenance Procedures for asset repair Procedures for asset purchase 1. 2. 3. 4. 5. (b) Explain how the procedures for managing physical assets in Q2 (a), are related to below objectives of the business: •Profitability •Growth •Providing quality products and services to customers •Code of conduct •Environmental Sustainability · industry accreditation Q3: (a) Create maintenance and repair strategy and asset condition report that minimise work disruption and loss of Marriot International revenue. (b) Implement maintenance and repair strategy using maintainence and repair register (Template 3). Template 3- Maintenance and Repair