Outrigger Hotels and Resortsc Harvard Case Solution & Analysis

Outrigger Hotels and Resortsc Case Study Analysis

Offering a mobile customized app could be the growth driver in the industry and through providing the a mobile app to the customer to encourage them to perform its actions such as; viewing images of the hotel, browsing through hotel services, checking availability, reading reviews and booking rooms. It is one of the ongoing trends that provides seamless browsing experience to customers through smartphones. The customers would able to check whether their hotel is hosting any event, providing any offers & so forth through app notification. The mobile app allows hotel to promote their amenities & properties in an engaging and unique way (Porter, 2015).

Alternative analysis

In order to effectively deal with the issue of lack of communication and integration, various alternatives are discussed below along with their rationale in order to choose the optimal one.

Alternative 1: Expansion of Stellex

Pros

  • As the company was aggressively expanding the business operations and had yet to find the integrated solution for the global properties, the decision of reinvesting in Stellex would be viable and feasible as it would allow data gathering on consistent basis.
  • Through analyzing the customer and business centric information the company would be able to meet the needs of the customers and increase profit returns.

Cons

  • The company could need considerable amount of money on the expansion of the Stellex software for the global properties.
  • Theexpansion of the Stellex software would tends to create challenges and difficulties due to the differences in needs between properties in the internationalproperties and Hawaii properties.

Alternative 2: Develop new CRS/PMS

Pros

  • The new CRS/PMS database systemwould allow the company to reach the international distribution system and effectively manage marketing avenues and online sales.
  • It would make the company standout from the competitors.
  • It would be better suited for the different needs between different properties.
  • It would combine the multiple work environment (as the company operates in number of locations) in a single piece of the software.
  • The database of the information of guest would help the company in developing marketing strategies and loyalty and membershipprograms for better personalized guest experience.

Cons

 The development of the new CRS/PMS platform would be complex, complicated and expensive for the company due to the degree of the customization.

  • The option of developing CRS/PMS platform would lead to more decentralized structure whereas the company intends to achieve the increased centralization of the operations.

 Alternative 3: Cloud based information system

Pros

  • The sharing of information between the properties in different location would enable better communication.
  • It would be less expensive and less complicated for the company as compared to the other alternatives.
  • The properties in different location would be able to share customer and business information(Pierri, 2018).

Cons

 The analysis about the customer and business information would be limited because of the difference between the customer data and data gatheringtechniques and tools that each system of individualproperty is collected.

  • It would not help the company in meeting the needs of the diversified product markets.
  • It would not lead to greatest potential value for the company.

Recommendation

Taking into consideration the analysis of available options, the company is recommended to go with the alternative 2 and develop new CRS/PMS system as it would enable better integration of properties and creates more centralized IT systems. It would also help the company in consolidating and securely keeping all the customer and business data which in turn would provide the solid foundation of forming the rich profiles of guests to develop the more targeted services and packages (TECHNOSOFT, 2016).

In addition to this, the company is advised to be equipped to initiate and respond to disruptive innovation with the digital and IT knowledge of threats. The digital strategy of the company needs to be geared toward developing new business models and developing more personalized customer relationships to create the sustainable business. The company should use the data driven insights and feed them into the business strategy to enable agility and real time feedback, hyper-personalization and relevancy. Additionally, the company should respond to and adopt feedback of customer, promote USPs, being flexible to change and provide exceptionaland hassle-free guest experience.

Consequences of recommendation

Through developing the new CRS/PMS platforms, the company would be benefited from the computerized reservation system and 24/7 online sales. It would provide leverage to company to attract maximum number of customers and connect the hotel with the global distributed system as well as makes the visibility of the hotels among thousands of travel agents al around the globe, this in turn would provide the unparalleled benefit through which the company could increase its sales. In doing so, the online presence of the company would be accelerated in the market.

Conclusion

Offering excellent location & value, the company is all set to accommodate the adventures of its customers. The company enjoys a competitive edge over market competitors due to itsdiverse portfolio, flexibility, amenities and location.To deal with the issue of better integration of the propertiesand creates more centralized IT systems, the company is recommended to develop the central reservation system and property management system due to the trend of online booking. Additionally, with the effective implementation of such sort of services, the guests become able to makea request for services or amenities, update their preferences & check their bills & a lotmore. The customization would help the company to meet the unique and wide variety of needs of different properties allaround the globe.................................

 

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