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ACRONYM LISTING
Joining a new company can be like sitting in a new country and not
un dersta nding the local la nguage.
So, to make your first few weeks easier below are some of the com mon
acronyms that we use at InterContinental Hotels Group. We have listed
these alphabetically as well as un der each fun cti on to make this docume nt as easy as possible to use.
We really only have one rule when using acronyms. This is that for all external correspondence acronyms are not used and we never abbreviate
our bran ds.
Finan cial Acronym s
ADR
Average Daily Rate. The average realised price per room sold in a hotel or cha nn el. Total room s reve nue divided by total rooms sold.
ARI
Average Rate In dex
Calculated by dividing the hotel s average rooarte by the average of the
com petitor set m arket rate.
CAM
Capital Asset Man ageme nt
CAP
Complia nee Assura nee Process.
CCP
Custom er contribution to Profit. The revenue supplied by a custom er in
a yield con tributi on model, minus the cost un dertake n to com plete the
sale.
CMH
Compa ny Man aged Hotel. I ncludes hotels that are owned and operated hotels, and those operated un der man ageme nt agreem ent.
COS/COGS
Cost of Sales or Cost of Goods Sold
CROCCE
Cash Retur n on Cash Capital Employed.
CRM
Cluster Reve nue Man ager. A Reve nue Man ager with resp on sibilities for more tha n one hotel.
CTP
Contribution to Profit
The hotel s contribution to IHG s P(ofital of n— anagement and
incen tive fees).
FAM
Finance and Asset Man agem en t (1 of 8 bus in ess un its). Resp on sible for
corporate man agem ent report ing, exter nal finan cial report ing. Tax,
Treasury, IR capital and project appraisals.
Flow-through
The perce ntage of cha nge in reve nue that flows through to profit aga inst last year or budget. GOP is usually used as the profit m easure. Also
known as drop through.
GDS
Global Distributi on System
GOP
Gross Operat ing Profit before fixed costs and overheads, i.e. before man ageme nt fees, re nt/lease expe nse,
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