Assessor Resource

SITXFIN006
Manage revenue

Assessment tool

Version 1.0
Issue Date: April 2024


This unit describes the performance outcomes, skills and knowledge required to make, implement, and monitor pricing decisions to maximise yield and business profitability.

The unit applies to senior personnel who work autonomously and are responsible for making strategic business decisions.

It applies to supplier organisations in the tourism, travel and hospitality industries, in particular to the accommodation, tour operations and tour wholesaling sectors.

No occupational licensing, certification or specific legislative requirements apply to this unit at the time of publication.

You may want to include more information here about the target group and the purpose of the assessments (eg formative, summative, recognition)



Evidence Required

List the assessment methods to be used and the context and resources required for assessment. Copy and paste the relevant sections from the evidence guide below and then re-write these in plain English.

ELEMENTS

PERFORMANCE CRITERIA

Elements describe the essential outcomes.

Performance criteria describe the performance needed to demonstrate achievement of the element.

1. Analyse and forecast business activity.

1.1.Analyse existing performance data and budget targets.

1.2.Interrogate and compare sources of business activity from different distribution channels and market segments.

1.3.Evaluate external market factors, competitor activity and changing customer demand patterns.

1.4.Develop scenarios and forecasts around future business performance and revenues.

2. Make pricing decisions.

2.1.Confirm net, fixed and variable delivery costs.

2.2.Review and incorporate distributor commissions and mark-ups.

2.3.Set standard and promotional rates for different times, trading periods and market segments based on analysis of forecasts, pricing options and optimum yield.

2.4.Assess the need for special conditions and apply as required.

2.5.Document pricing structures and associated terms and conditions, with consideration of consumer protection requirements.

3. Implement pricing decisions.

3.1.Communicate pricing initiatives to colleagues, internal and external partners, and distribution channels.

3.2.Establish mechanisms and collateral to support pricing decisions in different market segments.

4. Monitor pricing initiatives.

4.1.Monitor revenue results achieved through pricing and distribution initiatives on a timely basis.

4.2.Adjust initiatives based on results and broader business and market analysis.

4.3.Record performance data for future analysis.

Evidence of the ability to complete tasks outlined in elements and performance criteria of this unit in the context of the job role, and:

using each of the following at least once, develop, implement and monitor a total of six different pricing initiatives for:

products

services

trading periods

market segments

demonstrate consideration of the following factors when determining each of the above pricing initiatives:

revenue management principles

industry distribution and marketing considerations.

Demonstrated knowledge required to complete the tasks outlined in elements and performance criteria of this unit:

key principles and terminology of revenue management:

dynamic and static pricing

market penetration index

matching supply and demand

performance metrics

perishability

responsiveness and timing

revenue generation index

shaping demand through price

types of business performance data used in revenue management:

financial reports

historical trends

market analysis

no-show reports

occupancy and load reports

sources of business

supply and demand analysis

mechanisms and collateral that support initiatives in different market segments:

channel management systems

global distribution systems

online requirements:

promotions

proprietary websites

third party websites

types of promotions

sector-specific factors that impact revenue management initiatives:

financial:

fixed and variable operating costs

profit margin requirements

industry commission and mark-up procedures

cost of distribution networks

external market factors:

competitor activity

complementary activity

travel capacity

special conditions:

block out dates

inclusions

payment requirements

stay controls

aspects of consumer protection law that impact on pricing and distribution.

Skills must be demonstrated in an operational tourism, travel, hospitality or event business operation for which revenue management initiatives can be developed. This can be:

an industry workplace

a simulated industry environment.

Assessment must ensure access to:

current information and communications technology

current industry and business data.

Assessors must satisfy the Standards for Registered Training Organisations’ requirements for assessors.


Submission Requirements

List each assessment task's title, type (eg project, observation/demonstration, essay, assingnment, checklist) and due date here

Assessment task 1: [title]      Due date:

(add new lines for each of the assessment tasks)


Assessment Tasks

Copy and paste from the following data to produce each assessment task. Write these in plain English and spell out how, when and where the task is to be carried out, under what conditions, and what resources are needed. Include guidelines about how well the candidate has to perform a task for it to be judged satisfactory.

ELEMENTS

PERFORMANCE CRITERIA

Elements describe the essential outcomes.

Performance criteria describe the performance needed to demonstrate achievement of the element.

1. Analyse and forecast business activity.

1.1.Analyse existing performance data and budget targets.

1.2.Interrogate and compare sources of business activity from different distribution channels and market segments.

1.3.Evaluate external market factors, competitor activity and changing customer demand patterns.

1.4.Develop scenarios and forecasts around future business performance and revenues.

2. Make pricing decisions.

2.1.Confirm net, fixed and variable delivery costs.

2.2.Review and incorporate distributor commissions and mark-ups.

2.3.Set standard and promotional rates for different times, trading periods and market segments based on analysis of forecasts, pricing options and optimum yield.

2.4.Assess the need for special conditions and apply as required.

2.5.Document pricing structures and associated terms and conditions, with consideration of consumer protection requirements.

3. Implement pricing decisions.

3.1.Communicate pricing initiatives to colleagues, internal and external partners, and distribution channels.

3.2.Establish mechanisms and collateral to support pricing decisions in different market segments.

4. Monitor pricing initiatives.

4.1.Monitor revenue results achieved through pricing and distribution initiatives on a timely basis.

4.2.Adjust initiatives based on results and broader business and market analysis.

4.3.Record performance data for future analysis.

Evidence of the ability to complete tasks outlined in elements and performance criteria of this unit in the context of the job role, and:

using each of the following at least once, develop, implement and monitor a total of six different pricing initiatives for:

products

services

trading periods

market segments

demonstrate consideration of the following factors when determining each of the above pricing initiatives:

revenue management principles

industry distribution and marketing considerations.

Demonstrated knowledge required to complete the tasks outlined in elements and performance criteria of this unit:

key principles and terminology of revenue management:

dynamic and static pricing

market penetration index

matching supply and demand

performance metrics

perishability

responsiveness and timing

revenue generation index

shaping demand through price

types of business performance data used in revenue management:

financial reports

historical trends

market analysis

no-show reports

occupancy and load reports

sources of business

supply and demand analysis

mechanisms and collateral that support initiatives in different market segments:

channel management systems

global distribution systems

online requirements:

promotions

proprietary websites

third party websites

types of promotions

sector-specific factors that impact revenue management initiatives:

financial:

fixed and variable operating costs

profit margin requirements

industry commission and mark-up procedures

cost of distribution networks

external market factors:

competitor activity

complementary activity

travel capacity

special conditions:

block out dates

inclusions

payment requirements

stay controls

aspects of consumer protection law that impact on pricing and distribution.

Skills must be demonstrated in an operational tourism, travel, hospitality or event business operation for which revenue management initiatives can be developed. This can be:

an industry workplace

a simulated industry environment.

Assessment must ensure access to:

current information and communications technology

current industry and business data.

Assessors must satisfy the Standards for Registered Training Organisations’ requirements for assessors.

Copy and paste from the following performance criteria to create an observation checklist for each task. When you have finished writing your assessment tool every one of these must have been addressed, preferably several times in a variety of contexts. To ensure this occurs download the assessment matrix for the unit; enter each assessment task as a column header and place check marks against each performance criteria that task addresses.

Observation Checklist

Tasks to be observed according to workplace/college/TAFE policy and procedures, relevant legislation and Codes of Practice Yes No Comments/feedback
Analyse existing performance data and budget targets. 
Interrogate and compare sources of business activity from different distribution channels and market segments. 
Evaluate external market factors, competitor activity and changing customer demand patterns. 
Develop scenarios and forecasts around future business performance and revenues. 
Confirm net, fixed and variable delivery costs. 
Review and incorporate distributor commissions and mark-ups. 
Set standard and promotional rates for different times, trading periods and market segments based on analysis of forecasts, pricing options and optimum yield. 
Assess the need for special conditions and apply as required. 
Document pricing structures and associated terms and conditions, with consideration of consumer protection requirements. 
Communicate pricing initiatives to colleagues, internal and external partners, and distribution channels. 
Establish mechanisms and collateral to support pricing decisions in different market segments. 
Monitor revenue results achieved through pricing and distribution initiatives on a timely basis. 
Adjust initiatives based on results and broader business and market analysis. 
Record performance data for future analysis. 

Forms

Assessment Cover Sheet

SITXFIN006 - Manage revenue
Assessment task 1: [title]

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I declare that the assessment tasks submitted for this unit are my own work.

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Assessment Record Sheet

SITXFIN006 - Manage revenue

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Assessment task 1: [title] Result: Competent Not yet competent

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Overall assessment result: Competent Not yet competent

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