evaluating technology
TRANSCRIPT
School of Hospitality Management
Evaluating Technology in the Industry
School of Hospitality Management
3 key questions
• Does it provide a competitive advantage/s?
• Does it improve productivity?
• Does it enhance profit?
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• Choosing the right technology for your organization is a key management process that can help the company move up in the industry
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Does it Provide Competitive Advantage?
• How can the technology give us an edge over our competitors?
– Product Differentiation
• Unparalleled Service
• Market Segmentation
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Does it Provide Competitive Advantage?
– Cost Differentiation
• Creation of product with lower cost
• Creation of better product at the same cost
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Product Differentiation
• Unparalleled Service
– Service that is present only in your organization that provides a distinct identity for the company in the industry
• Specific Item Freebie / Unique Customer Service etc.
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Product Differentiation
• Market Segmentation
– Is a marketing strategy in which there is a specific group in the market that is being “targeted” by the company’s core product or service
– This “target” has at least a common characteristic present in all its members
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Product Differentiation
• Cost Advantage – Lower of Costs
– The cost of producing the same product or level of service is lower than that of the competition.
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Product Differentiation
• Cost Advantage – Higher level Product for the Same Price
– The level of the product is higher than that of the competitions, even if the price is the same
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Does it increase productivity
• How can the technology increase our productivity?
– Workflow Processing
• Task Sequencing
• Space Management
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Does it increase productivity
• How can the technology increase our productivity?
– Data Processing
• Input – output time is minimized
• Minimization of data handling
• Streamlining the output
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Does it enhance profit?
• Does the use of technology produce rewards that outweigh the risks?
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New Products in the Industry
• E-commerce (electronic commerce or EC)
– the buying and selling of goods and services on the Internet, especially the World Wide Web.
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New Products in the Industry
• This term and a newer term, e-business, are often used interchangably.
• For online retail selling, the term e-tailing is sometimes used.
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Division of E-Commerce
• E-tailing or "virtual storefronts" on Web sites with online catalogs, sometimes gathered into a "virtual mall"
• The gathering and use of demographic data through Web contacts
• Electronic Data Interchange (EDI), the business-to-business exchange of data
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Division of E-Commerce
• E-mail and fax and their use as media for reaching prospects and established customers (for example, with newsletters)
• Business-to-business buying and selling
• The security of business transactions
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Forms of E-Commerce
• Distribution Channels
• Social Networking
• Internet Marketing
• Enterprise Systems
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Electronic Distribution Channels
• Provides communication linkage to the hotel to its potential guests through multiple exposure alternatives
– Internet Booking – Booking websites
– Global Distribution Systems
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Agoda.Com
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Asia Travel. Com
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Global Distribution Systems
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Social Networking
• The use of Social Networking sites has been an alternative way of exposing the organization in a more “personal” approach, allowing management to reply to customer queries in a conversation type public forum setting
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Internet Marketing
• Online Ads
• Site Banners
• Free Selling Sites
• Pop Ups
• Collaborative Sites
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Enterprise Systems
• ES addresses the needs of Multi Property organizations by providing a central system accessible to the different establishments
– This allows elimination of central and regional office operation costs as well as increasing efficiency in transfer of data
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CONVENTIONAL TECHNOLOGYTourism Industry
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• Property Management Systems
• Airline Reservation Systems
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Property Management Systems
• Is a system application that gives automated information about a facility and directly relates to the front and back office operations in the establishment
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Property Management Systems
• This system connects and coordinates several modules in the establishment
• Reservations
• Rooms Management
• Guest Accounting
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What does Property Management Systems do?
• Tracking of Availability of rooms / facilities
• Tracking of guest information and reservation details
• Guest consulting
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What does Property Management Systems do?
• Registration and check in facilitation
• Guest Accounting services and balances
• Housekeeping room status and services monitoring
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