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Technology and Strategic Management Instructor: Mr. Dominique JOLLY Sokly KEAT Gabriela ALVIDREZ Kamolchanok KANWANICH TECHNOLOGY SOURCING FIELD RESEARCH.

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Presentation on theme: "Technology and Strategic Management Instructor: Mr. Dominique JOLLY Sokly KEAT Gabriela ALVIDREZ Kamolchanok KANWANICH TECHNOLOGY SOURCING FIELD RESEARCH."— Presentation transcript:

1 Technology and Strategic Management Instructor: Mr. Dominique JOLLY Sokly KEAT Gabriela ALVIDREZ Kamolchanok KANWANICH TECHNOLOGY SOURCING FIELD RESEARCH

2 Part 1! Company and R&D

3 Air France, Lufthansa, Iberia and SAS joint together in 1987 Amadeus (MNC) The global distribution system (GDS) of travel bookings Worlds Number 1 provider of customer management solution, IT solution in travel industry 217 markets worldwide Your technology partner reflects committed approach towards client relationships Who is Amadeus?

4 Worldwide Technology Network and Regional & Central Offices HQ: Madrid, Spain 6 Development Centers: France, UK, Australia, Germany, Belgium, USA Operation and Data Center: Germany

5 Amadeus in Sophia Antipolis!

6 - Mr. Lennart MODIG Position: Software Development Engineer Phone: Mr. Alphonse Duong Position: Human Resource Administrator Phone: Mr. Frederic GERACI Position: Development Manager Phone: Contacts

7 To retain the position as the worlds number 1 distribution company in airline industry To become the worlds number 1 provider of customer management solutions for airlines To be the travel industrys main technology partner To acquire more market share in North America To keep on being the biggest player in Europe and Asia Mission Of the Company

8 Distribution of flight tickets from airline to customers through different channels the most important source of revenue!! Providing software & infrastructure to travel industry e.g. technologies to control the quality of booking, fee managing, e-retailing Main Activities Software-as-a-Service business model :Lufthansa

9 Number of employee: 7,600 global + 2,500 in Sophia Antipolis Experts dedicated to R&D: Over 2,000 global to 600 in Sophia Antipolis Annual turnover: 2,418.3 million Technological Investment: Nearly 300million R&D spending: million Company Profile 60.73% !!!!

10 Main Customers/ Competitors/ Suppliers Customers Airline companies Travel Agencies Hotels Ground & Maritime Tour Operators Corporations Travelers British Airways Finnair Qantas Airway Competitors Sabre: Worlds number one distributors Galileo: Global Distribution System Worldspan: Global Distribution System Suppliers HP: Hardware and software IBM: Hardware and software Oracle: Database

11 Handle multi channeling: Web, B2B, B2C, TA Compressive integrated content Customized Front office solution Deliver a wider range of superior technology Partnership for technology development Key Success Factors

12 Technology Portfolio Comprehensive content and the means to optimize its distribution through POS network To access, market and sell content across all channels; improve workflows, profitability and customer service Optimize customers' business operations, processes and administration, and maximize customer relationships To yield the full value of customers business processes and IT investments

13 1 Equity R&D Consortia: In In-house R&D: Since 1987 up to now 3 Specialist Recruitment: Along with in-house R&D 4 Takeover: SMART AB: leading travel distribution company in Northern Europe Vacation.com: largest US marketing network for leisure travel e-Travel Inc.: leading supplier of hosted technology products for corporate ICSAT: International Computer Service & Advice on Travel (2001) 5 Equity R&D Joint Venture: Terra Lycos: Online travel services Spanish and Portuguese speaking regions Groupe Galeries Lafayette: A travel portal offering French domestic travel products online Tele2 and SAS: A full service online travel agency for SMEs in Scandinavia ITA, BroadVision, SAP: For e-commerce Mode of Technology Sourcing

14 Part 2! Three Specific Technology and Mode to Achieve

15 Every source is still in used..depends on the situation Open Source is now the most critical mode. Why the company might have decided to give up with some modes and use some others? Mr. Modig: Shifting over to using open source tools gives a big advantage when trouble shooting because there is a big community and you can retrieve a lot of information from Internet. Furthermore you can also participate in the development to be able to implement the functionality that you need.

16 Technology and functional breakthrough in the airline industry Community-based IT platform: consists of three solutions –Reservation –Inventory management –Departure control R&D sourcing modes: In-house R&D, open source Amadeus Altéa Customer Management Solution

17 Since 1987 Experts around in Sophia and >2000 globally Training program for new technology Training time depends on technology type In-house R&D centers: 3 dedicated development centers, State-of-the-art hosting centre, open architecture, own network, and Scalable system In-House R&D

18 dedicated development centers Advantages: Community and tailored solution Disadvantages: Need static staffs, costly State of the art hosting centre Advantages: Secure and control sensitive data Disadvantages: No one can access without rights or permission, too costly Open Architecture Disadvantages: Too new, a lot of error, need to solve the problem together Advantages: Future- proof flexible technology, up-to date

19 In-House R&D Own Network Advantages: Proven and reliable data transfer on departure and arrival of passengers Disadvantages: Costly, need a lot of staffs to support, the service must be real-time Scalable System: Software application Advantages: Easy for small area now Amadeus is developing in big environment Disadvantages: Need the resolvability of software

20 The system to make a travel package for customers technology sourcing Mode: Takeover ICSAT in 2001 Advantage: Amadeus can gain all technology and experts easily Disadvantages: Huge amount of investment and need to downsize the new own company Amadeus Travel Package

21 Takeover SMART AB: 2002 Amadeus buy SMART AB from SAS group Vacation.com: 1999 Amadeus buy Vacation.com e-Travel Inc.: 2001 Amadeus buy e-Travel Opodo: 2002 Amadeus owned 55.4%, to strengthen its position in both the online and leisure travel arenas ICSAT: International Computer Service & Advice on Travel (2001)

22 Sales & E-Commerce Solution Provide e-commerce solutions and IT platforms for airlines and travel providers transform how people and companies buy, sell or manage travel Advantages: improve workflows, profitability and customer service throughout entire sales process Technology sourcing mode: strategic joint venture, partnership

23 Strategic Joint Ventures & Partnership Terra Lycos, the world's third largest Internet portal: joint brand, Rumbo, offers online travel services in Spanish and Portuguese speaking regions Groupe Galeries Lafayette: jointly created Vivacances, a travel portal offering French domestic travel products online Tele2 and SAS: joint venture company, Travellink, provides a full service online travel agency for SMEs in Scandinavia


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