Northstar

The Indispensable Travel Industry Read Feature Highlight Hospitality companies continue expanding in China Vol. 2 Issue 21 | 21 June 2011 | www.travelweeklyweb.com | Published by Travel & Meetings Group, Ten Alps Communications Asia Pte Ltd Hotels must align strategic business and IT Priorities Editor's Pick Sofi tel Bora Bora Marara Beach & Private Island News Page 3 Hotels are keen to seek growth. BANGKOK – A new report launched by Amadeus, titled Transform Your Growth Strategy Now, says that if hotels are to secure growth in the next three years they must align strategic business and IT priorities now. The report, in conjunction with industry expert Robert Cole, identifies gaps that exist between hotel technology, marketing and operations that are currently blunting growth strategies and ambitions. The report introduces the concept of the IT Path- fi nder as a means of bridging the gap between corpo- rate business and technology objectives. An IT Path- finder can be defined as a role, function or approach that uses a common language to unite IT and business needs; focusing on mutual areas of benefi t which deliver the greatest economic value. Based on extensive research and qualitative inter- views with leading industry fi gures, the report provides insights into how hotels groups can fast-forward growth between 2011 and 2014 and better understand the cur- rent barriers to organisational performance. The risks and opportunities facing the hospitality industry in the next three years are also examined. "In the last 12 months we have seen customers take a more optimistic, determined approach to se- curing growth. This paper looks at what can be done in the next three years to catalyse this growth in the hotel industry," said Jérôme Destors, director of Hotel IT, Amadeus. "Gaps between technology, marketing and operations can inhibit global expansion and dam- age brand value, which is why it's so important to align technology to core strategic priorities. Amadeus' ex- perience of the marketplace has shown us that fl exible, open IT platforms are favoured by hoteliers because they help break down these barriers to success." Robert Cole, author of the report, said, "Follow- ing the challenging market conditions of the last three years, now is the time to focus on growth. For most hotel groups the priority is how to deliver this growth by expanding into new territories, attracting new cus- tomers and improving service offerings. Underpinning these strategies with the right tech- nology infrastructure and systems requires a new ap- proach which can be embodied by the concept of the IT Pathfi nder. Hopefully this report will stimulate discus- sion and offer a roadmap for those tasked with realising business transformation." Bringing together business needs and IT: The report suggests only by fully aligning business and IT priorities can hotel groups implement corporate strategy effectively. This involves greater defi nition of strategic business priorities and strategic IT priorities using a common language and vocabulary. By viewing IT through the lens of the guest experience, real innova- tions can be found. Cebu Pacifi c fl ies fl ag for Philippines tourism in China Page 6 Introducing the IT Path- finder: Introducing the concept of the IT Pathfi nder, the report explores the options for greater streamlining of a hotel's approach to technology. The IT Pathfi nder can be viewed either as a role, function or approach, but its pur- pose is three-fold: to understand how the operating environment impacts key business drivers; to link IT initiatives to corporate strategy; and to roadmap ways to create economic value from IT initiatives. Delivering business trans- formation: The report recognises every hotel group is different, with different product portfolios, competi- tive positioning and shareholder objec- tives. However, the report identifi es the common characteristics to optimising technology investment which include eliminating dangers and risks, capitalis- ing on opportunities and leveraging organisational strengths.

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