Putrajaya Corporation's wholly-owned subsidiary PJ Hotels & Resorts Sdn Bhd has been recommended to ensure its activities are in accordance with its objectives through its business plan and framework for effective governance.
The 2015 Auditor-General's Report Series 2 released here today said PJ Hotels should carry out market research and promotions to ensure continuity and to avoid further losses.
According to the report, the financial performance of PJ Hotels' business activities was less than satisfactory compared to the target set for 2013 to 2015.
"It did not achieve the targeted gross profit due to a decline in profit from RM9.39 million in 2014 to RM8.14 million in 2015," it said.
The average occupancy rate (OR) from 2013 to 2015 was between 52.8 per cent and 58.4 per cent, lower than the targeted range of 60.2 per cent to 68 per cent.
"The OR achieved was also lower than the OR set by the Ministry of Tourism and Culture of between 64.8 per cent and 67.9 per cent for the last three years," said the report.
To further improve its performance, the report said PJ Hotels should ensure ORC International provides complete analysis and explanation of customer feedback to assist management in evaluating the performance of the service and make improvements accordingly.
"The Chairman of PJ Hotels should also carry out an assessment of the effectiveness of the Board to ensure that each appointed member of the Board of Directors helps to enhance the company's performance," said the report.
It said PJ Hotels should ensure that its debtors pay the service charges immediately to avoid arrears and write-offs.
The total debts as at June 30, 2016 amounted to RM697,221, with debts exceeding the 60-day period, accrued by government agencies in the form of various charges, rentals and other receivables, amounting to RM249,676. --Bernama
Bernama
Mon Nov 21 2016
The 2015 Auditor-General's Report Series 2 released here today said PJ Hotels should carry out market research and promotions to ensure continuity and to avoid further losses.
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