Stock Code: 600258

Operational Management Information

Introduction to the Operations, Management and Control System

BTG Hotels has established a three-level structure of "headquarters - hotel management company - individual hotel/outlets" via its operations, management and control system, one of the group's three brand support systems used to manage and control its member hotel service quality and the quality of outlet operations. With this system, BTG Hotels has completed its transition from quantity-oriented development to quality-oriented development. Furthermore, BTG Hotels strives to effectively manage and control member hotel routine operations, including the monitoring of service quality, the management of fixed assets (energy consumption), the construction of internal control systems and the management of securities.

1. Monitored Service Quality

In line with its strategy of "Chinese Service" and with an aim to improve the customer experience, BTG Hotels focuses on improving product quality and begins with service standardization. By drawing on successful experiences in the international hospitality industry and referring to international standards, BTG Hotels continues to carry out R&D and innovation, integrating Chinese characteristics with a taste for high culture. BTGHotels continues to focus on customer needs and market changes and establish a sound management system to ensure high-quality service. By developing a mechanism for on-line comments and feedback and both public and private investigations, BTG Hotels continues to improve its level of service so that customers can enjoy worthwhile services.

2. Innovative Operations

Faced with new market conditions and new changes in the modern hospitality industry, and to accomplish the tasks posed by "Chinese Service", BTG Hotels continues to build an innovative, service-oriented and learning hotel brand. On the basis of the principles of being practical and sustainable, BTG Hotels focuses on solving its weaknesses and management bottlenecks, continues to make product, management, and service innovations so as to enhance the core competitiveness of its member hotels.

3. Fixed Assets

In line with the principle of comprehensive budget management and the various sub-brand standards, BTG Hotels instructs its subsidiaries to overhaul fixed asset investments so that member hotel operations and especially their project investment are in line with BTG Hotels’ long-term strategic plans. While decorating and renovating its projects, BTG Hotels strives to keep their functions, layout, style and positioning consistent with its brand strategy. In doing this, BTG Hotels can fundamentally eliminate short-termism in project investment and increase investment returns.

4. Saving Energy and Reducing Consumption

Saving energy and reducing consumption is not only a necessity of Chinese macroeconomic policy but also helps to maximize member hotel revenue. As a listed company, while pursuing economic returns, BTG Hotels commits itself to saving energy and reducing consumption in line with China's 12th Five-Year Plan for energy-savings and consumption-reduction. For this reason, BTG Hotels continues to strengthenthe management and control of member hotel brand energy consumption. By combining its own development and the comprehensive and balanced development of society, BTG Hotels strives for sustainable development.

5. Network Operations

To realize BTG Hotels' strategic objectives, its information center has established a complete set of cloud-based customer sharing platforms, i.e., the central reservation management system. In accordance with this system, BTG Hotels has also established a virtual call center and cloud-based data center. The system guarantees BTG Hotels’ smooth, reliable and comprehensive operations. Human resources, tools and procedures will play pivotal roles during the construction of the system. By learning from the operational experiences of international brand hotels, BTG Hotels has established the most local and diversified brand hotel operations website, thus developing a new business model, a perfect combination of on-line marketing and off-line products.