It's a shame there's not more practical advice given here for this problem, anyone can suggest letting the dog sleep in the bedroom and rule the house, very nice but at the end of the day it's a dog and not all households revolve round the dog, nor should they any more than the entire house revolving round a child.
With our pup she went into a cage, on the first night the first time she barked I came down rattled the cage good and hard and 'growled' at her. The OH wondered what on earth was going on, but that was the last we heard of the pup until we got up.
This is an older dog (?) so one thought would be to try to get it to spend time in it's bed in the kitchen during the day, just normal 'stay' stuff, if it comes out put it back in bed until you're ready to call it out, this behaviour reinforced with treats.
Tempting as it might be I wouldn't try to settle it in entirely by giving love and cuddles. Normal training, sit, lie down, stay etc etc with attention given when it's right. Hopefully this will dawn on the dog that this is the way things are done around here and it will fit into things on that basis.
The earlier advice about a cage is good, and will reduce the mess, dogs don't mess in their own space normally.
Probably a bit more difficult with an older dog, don't just put it in and shut the door, take your time introducing it to the cage and being shut into it. The dog will see it as a safe place rather than a 'punishment cell' if you go slowly and use treats.
Have you read a good dog training book, you can pick up some good tips in there and pick out the things that fit in with you, your dog and your home. It's hard to give the full picture here and so hard for advice to be given that fits in with your life.
Good luck.