HCIMA Unit 3 The Internet Revolution and Electronic Tools Next slide

The Internet It emerged in the 1960s from the US army (Defence Advanced Research Projects Agency). The aim was to link mainframes and communicate/share data through a flexible system, which would be operational if few systems were destroyed or out of order. The system was known as ARPANET and used a Transmission Control Protocol/Internet Protocol (TPC/IP) for linking all computers together. It has spread to other government departments, to non- government organisations, and to the business community and the general public. Next slide

The World-Wide Web Hypertext Mark-up language Server Web browser Hypertext links Search engine Next slide

The Internet and WWW in the Hospitality Industry Push Tour operators or travel agents often expect small hotels to increase their efficiency in order to continue their partnerships. Pull Recognition of the market need to draw on the Internet to use emerging opportunities. Next slide

Internet Business Functions for Hotels Information broker Transaction broker Aggregator Auction Next slide

Small Hotels and the Internet Provide stable employment opportunities and support the integration of local economies Enable the infusion of tourist expenditure at the local level, and enhance all types of multipliers Have an informal organisational structure, and are independent, flexible seasonal Family members form a key component within the decision making process Employ local people and purchase goods and services from suppliers within the local economy Provide tourists with direct contact to the character of the destination Next slide

Integrating ICT Systems and Business Processes 1.Property Management Systems(PMS) - that enables large hotel organisations to link most of their operational departments together 2.Yield Management - for maximising profitability through checking competitive rates and then adjusting rates accordingly 3.Intranets - make information more accessible and improve interfaces within an organisation 4.Enterprise Resource Planning (ERP) - interrelating and integrating the entire range of data and processes in any organisation in order to increase its efficiency 5.Extranets - Information exchange to assist daily operations, between authorised agents, usually clients, suppliers and intermediaries Next slide

Property Management Systems PMSs are Intranets, although they often take advantage of Internet Protocol technologies. Information collected allows hotels to target their customers with or direct marketing campaigns of special offers etc, and helps in different aspects of the business. PMSs can be connected to Global Distribution Systems (GDSs), Central Reservation System (CRSs) and web sites to enhance distribution and promote additional channels. Many PMSs have interfaces to Internet reservation sites. Next slide

Yield Management Hotels have seasonal rates for different times of the year and corporate rates that reflect customers’ loyalty and level of business, and apply some type of Yield Management so they maximise their profitability. This is done through checking competitive rates and then adjusting their own rates accordingly, or through looking at past experience on occupancy and rates that customers are willing to pay. Next slide

An Intranet a universal system remote access an application sharing system a company communication network a uniform web interface to integrate different processes and systems interactivity using a variety of text audio and video access limited to a specific group of internal users only (i.e. hotel staff) Next slide

Enterprise Resource Planning (ERP) An ERP system has the ability to integrate all systems within a hotel. Systems operate from a single comprehensive database, covering the entire organisation. An ERP system offers real time connectivity. Systems are easier to update than the legacy systems used in hotels. An ERP system helps front and back office functions, customer relationship management, accounting and other business functions in a hotel. Next slide

An Extranet An Extranet is a private Internet accessible to authorised people such as suppliers or major customers. Information is not available to everyone with an Internet connection. It can be used for sharing information with trusted partners and for enhancing the interactivity on particular functions. The content of an Extranet is password protected, and only authorised partners can access designated areas relevant to them. A degree of authentication is essential for security reasons. Next slide

The Future for Hotels Hotels can use Internet technology and tools: to reduce communication and co-ordination costs to create interactive products to speed up the distribution of knowledge. Hotels will need Extranets and Intranets: to communicate with their main stakeholders to manage all their affairs. Back to start