Increased profitability through efficient, cost-effective control and immediate and accurate reporting is what Greek Peak hopes to achieve by installing a computer system that collects and disburses daily sales information on demand, produces automatic ticketing and payroll and processes financial and condominium reservation information. According to Al Kryger, president of Greek Peak, this represents a significant breakthrough for him as well as other area operators who wish to react to critical management decisions with precise, detailed up-to-the-minute information. Greek Peak’s success is the result of a long and tedious search by Al Kryger and Mike Reilly, Greek Peak’s controller. They wanted to find a computer system to replace antiquated cash registers as well as effectively produce and reconcile tickets for more than 30 ski programs and packages and keep track of daily sales by ticket type. In addition, Greek Peak’s growth necessitated upgrading a Burroughs B-80 computer to a B-800 at a cost of over $30,000. But upgrading the financial and administrative computer would not solve the ticketing problem. Since Kryger and Reilly had no intention of “re-inventing the wheel,” they searched for a computer package already installed at a comparable ski area, that would solve their ticketing and growth problems. They discovered that there were many computers and programs to do the administrative and financial controls, but nothing installed or packaged for ticketing without extensive tailoring at great expense. The logical solution to this problem was to set up a computer programming service to create the system Greek Peak needed. In October 1980, FTS Recreational Data Systems was formed. The organization consists of a team of five people combining skills and experience in ski area management and data processing. Kryger and Reilly have a combined experience of about 15 years in the ski business. Dave Lovenheim, attorney for Greek Peak as well as other ski areas, brought FTS legal counsel. Jim Thornton and Sara Bruce are data processing experts who have consulted, marketed and installed IBM and other computers.
Although FTS was formed in direct response to Greek Peak’s needs, the group intends to offer its specialized services to other ski areas that have similar computer problems. “We recognize that ski areas need to computerize one or more areas of their business,” says Mike Reilly. ““Computerization of ski areas is a long time in coming, especially with all the problems we traditionally face in such a seasonable business. We look for a bright future in aiding ski areas solve their business problems and will offer options that will allow almost any sized ski area to take advantage of our services at a justifiable cost.”
FTS chose the IBM Series/1 computer and printers from other manufacturers to handle Greek Peak’s specialized ticketing and accounting task for three reasons: flexibility and versatility, reliability and cost. Not only could the Series/1 effectively address all of Greek Peak’s data processing requirements for under $60,000, but with FTS’s data processing and area management expertise, the Series/1 could and can adapt itself to any sized ski area that has a payroll, ticketing or administrative problem.
This system also can start small and grow with the ski area’s requirements. For example, if a small ski area is experiencing a ticketing problem, FTS and the Series/1 can accomodate that specific need with a low cost system tailored to handle it. The opportunity to add functions and applications at some future point would simply require additional programs, hardware and installation guidance and support. The Series/1 also has the capability to attach itself to other computer systems that may already be installed. Therefore, if a ski area has a ticketing need, a small Series/1 would be recommended with tailored programs by FTS to pass the sales information to the installed administrative computer for reporting. Installation support, computer maintenance and guidance is totally FTS’s responsibility.
Since the computer was installed at Greek Peak in February 1981, FTS and Greek Peak have worked to convert manual and semi-automatic computer applications to the computer. The initial ticketing program was tested and installed during March and successfully running live through the last week Greek Peak was open for skiing. The reservation system, payroll and administrative ski packages were then tested in parallel with the area’s manual operations to be installed live in phases throughout 1981. Testing and installing one phase at a time ensures a clean transition from manual to computer and promotes the accuracy of information required for success.
According to Greek Peak’s management, savings from automating payroll and ticketing operations will exceed $2,000 per month. Kryger also hopes that within a few years it will be feasible to handle the cash transactions associated with ski rental and ski lessons at the ticket booth, providing one cash-control center. Thus, increased control and productivity will be achieved with still greater savings.
From the automatic ticketing operation the speed at which tickets are generated (about 15 per minute for each display station) shortens ticket booth waiting lines. In the past, ticketing produced major backups, especially when tour buses came off weekends. With volumes up to 4000 tickets per hour on busy days, Greek Peak lost money in ticket errors and cash tendering. It is anticipated that beginning next season, tickets for pre-sold packages will be processed by the system prior to the arrival of tour buses.
Each ticket clerk will have a display station which allows him to enter the regular ticket type and quantity. The display calculates the amount owed for the lift passes and after cash or credit cards exchange hands, figures the change due. Before the ticket or tickets are produced, the operator verifies the transaction and either ok’s or voids the sale. Once the transaction is verified, the ticket is printed with the time (in 1½ inch numbers), date and ticket type. The transaction is also recorded by the computer. For ticket clerks, the transactions are virtually error-free and cashing out is easier and quicker. Management also has the opportunity to review and verify each ticket clerk’s performance upon demand by checking cash by ticket type and voided entries.
About 40 percent of Greek Peak’s expenses during the season are payroll. Area management wanted immediate information regarding the time, department and location of each employee on the hill to make critical labor decisions. Greek Peak and FTS chose to solve this problem by installing four time and attendance data collection terminals at specified locations throughout the area. Each employee will be given an ID card which is recorded in the computer. He or she enters the card into one of the data collection stations when arriving at the job and punches in his location on the keyboard. The information is accessed by the computer and verified in a report for the hill supervisor. Any time an employee is moved during the day, he records this change of location in the terminal. Time-out is also recorded. The computer updates the payroll daily, so that at week’s end only management approval is necessary to run reports and payroll checks. Security codes make access into payroll files by unauthorized personnel virturally impossible.
The Series/1, because it can accomplish specialized computer functions required by ski areas is the key to Greek Peak’s success. One computer center eliminates diversified management control and results in increased productivity from fast and accurate reporting. Ultimately this system will promote better management decision making through immediate inquiry capability into any problem area. Exception-reporting of unusual situations allows management to focus its attention to troubled areas and correct potential problems quickly. The end result is bottom-line increased profit.
