TECHNOLOGY MANAGEMENT

E-tourism

The introduction of digitalisation in the tourism in the tourism industry

Roles Of Technology In The Hospitality And Tourism Industry

 Technology- Free Encounter Service; it involves face-to-face interactions,

without technology, like tour guiding services at the attraction.
 Technology-Assisted Encounter Service: it involves service provider using
technology to enhance face-to-face interactions, like a travel agent booking
hotels.
 Technology-Facilitated Encounter Service: this involves both service
provider and customer accessing and using the same technology, like at
check-out in hotels where computer terminals display bill information and
front desk agents assist with card payment.
 Technology-Mediated Encounter Service: it involves no physical co-
location between customers and service providers, requiring communication
through mediums like telephones for customer inquiries.
 Technology-Generated Encounter Service: it involves the customer using
self-service technology, including ATM’s, internet, check-in kiosk, and
mobile devices.

Technology Applications To The Tourism And Hospitality Services

Technology can be used by the following department in the industry.

 Finance and Accounting

 Accounting software packages like NetSuite Financials, Microsoft dynamics
GP, and hospitality businesses in producing statutory accounts and reports
for stakeholders.
 Communication And Marketing
ICT is crucial for tourism and hospitality businesses to communicate
information to customers, suppliers, and the public. Website enable quick
information access, while mobile devices enable advertising and online
marketing. Consumers spend time utilizing emails, mobile devices, and
social media for communication.

 Security
Tourism and hospitality industry innovations focus on security measures,
including key cards, CCTV cameras, metal detectors, security gates, and
biometric systems.
 Customer relationship management
Technology enhances customer relationship management (CRM) in the
tourism and hospitality industry by obtaining customers profiles and
understanding their socio-demographic characteristics, eCRM, using has
been developed by companies like Oracle and Microsoft. Cloud CRM,
where hardware and software are housed remotely, offers better accessibility
and efficiency compared to in-house databases.
 Environmental Management
Tourism and hospitality businesses are implementing technology for
environmental management, focusing on energy and water efficiency.
Equipment like water flow-controllers, tap aerators, and low-flow shower
heads reduce water pressure and consumption. Other technologies include
 push buttons, egg timers, infrared sensors, low flush toilets, and dual flush
toilet.
 Reservation And Property Management
Reservation systems such as CRS, GDS, and IBS, store and retrieve
information about airlines, hotels, and car rentals. CRSs were initially
designed for airlines but later extended to travel agencies. Global GDSs like
Amadeus, Galileo, Sabre, and Worldspan manage reservation, sales, ticket
and accounting for airlines and hotels.

position Roles IT knowledge

requirement

General manager Overseeing the entire  Balanced

operation of the scorecard
business  Microsoft office
 Business
intelligence
Controller Responsible for the  Payroll
financial and  Intranet
accounting aspect of  Microsoft office
the firm.

Director of rooms Responsible for all  Microsoft office

operations guest service in a hotel;  Reservation
front desk, bell staff systems
etc.
  Guest lock system
Revenue manager Responsible for setting  Microsoft office
rates, restriction and  Reservation
setting strategy for system
selling hotel rooms.  Business
intelligence

Food and beverage Oversees all food and  Point of sale

director beverage operations technology
 Microsoft office
 Table management
 Restaurant
reservation
Director of security Oversees the security  Biometric
operations of business.  Microsoft office
 Fire alarm system
Director of engineering Oversee the facility,  Microsoft office
maintenance, and  Preventative
equipment. maintenance
system
 Energy
management
system
 Work order
management
 Director of Oversees cleanliness of  Microsoft office
housekeeping the facility.  Property
management
system
 Labour forecasting
and scheduling
Director of sales and Oversees the marketing  Social media
and sales operations of
marketing  Microsoft office
the firm.
 Reservation
system

Oversees and secures  Microsoft office

IT manager the various computer
systems used in the  System security
organization.  Technology trends

BENEFITS OF TECHNOLOGY IN THE HOSPITALITY INDUSTRY

 Digitisations of operations and creation of new job.
 Faster service
 Improved knowledge about customers
 Economic of scale
 Customer quality service
 Reduced labour cost
 Enhance employees efficiency
 Solution to seasonal employment and seasonal turn over \
 DISADVANTAGES OF TECHNOLOGIES IN THE HOSPITALITY
INDUSTRY

 Unemployment And Loss Of Job Position

 Financial cost
 Issues with rapid changes
 Safety and security concerns
 Resistance by employees
 Customers reluctancy in using the technology

RESTAURANT MANAGEMENT SYSTEM (RMS)

Component

 The point-of –sale system (POS)

 The kitchen management system
 Inventory and menu management systems
 Reservation and table management system

POINT-OF-SALE SYSTEM (POS)

Can be described as a computerized system that businesses can use to process

payment, track sales information, collect and manage associated data and much
more.

Functions

 Decreased service time

 Accuracy of orders
 Reduced training burden
 Labor scheduling and performance control
  Analytics

KITCHEN MANAGEMENT SYSTEM

Is concern with displaying and tracking food orders.

INVENTORY AND MENU MANGEMENT

An inventory and menu management system is a software program that helps

business to keep track of their products and ingredients, as well as create and
manage menu.

Inventory and menu management systems are primarily concern with the following
themes

 Inventory levels and consumption

 Theft
 Purchasing

Benefits of inventory and menu management systems

 Saves time and money by reducing waste, improving efficiency, and

increasing accuracy.
 It can also help businesses make better decisions by providing detailed
reports and insights into sales trends and inventory levels.
 Improves customer satisfaction by ensuring that they always have the
products and ingredients they need to create their menus.
 It can also help businesses reduce the risk of food waste and spoilage by
providing real-time tracking of inventory levels and expiration dates.

Reservation and table management system

A reservation and table management system is a piece of software that aids in
managing bookings and seating plans for restaurants and other establishments.
They can manage waitlists, assign tables to customers, and keep track of the
available tables. Example OpenTable.

Table management software

Table management software (TMS) is designed to allocate the reservation list with
appropriate tables or locations and services within the establishment.

TMS standard functionality includes the following:

 A map view of the entire front-of-the-house seating

 Alerts on open, long-duration, and dirty tables
 Reservation assignment to tables
 Track covers for more efficient kitchen and server management
 Record and view shift notes for each day

OTHER RESTAURANT MANAGEMENT SYSTEMS

1. The Delivery Restaurant Management System (DRMS) is a software and

hardware package that works with the POS and other systems with an
emphasis on the delivery of orders.
Components of DRMS
 Storefront operation
 System function
 Back office
2. SELF-ORDERING SYSTEMS
 A self-ordering system is a digital platform that allows customers to place
their orders through a kiosk, tablet or mobile device, without interacting with
a cashier.
Self-ordering kiosk
Self-ordering kiosks are stand-alone or networked devices that mainly allow
for order-taking in food and beverage settings.
Table Ordering systems
Table ordering systems are digital platforms that allow customers to order
and pay for their meals directly from their tables, with the use of touch
screen battery-operated computing devices with wireless connections, tablet
PCs or even electronic readers (e-readers).
Widget
In the food and beverage business, widgets can be used for a variety of
purposes such as online ordering, reservation management, menu display,
and customer feedback. For example, a restaurant could use a widget to
allow customers to place an order directly from their website or to display
their menu.

SECURITY AND COMPLIANCE

Ways to ensure security of credit card safety.

 Another layer of security can be added if the credit card never leaves the
customer’s sight.
 Using the advanced capabilities in digital video surveillance and exception-
monitoring software to keep a closer eye on their business.
Major card carriers mandate specific steps for restaurants accepting credit cards,
addressing vulnerability to credit card breaches in the Payment Card Industry Data
Security Standard (PCI DSS). They are summarized here:

1. 1. Maintain a firewall
2. Change vendor-supplied passwords
3. Protect customer data
4. Use encryption
5. Use and update antivirus software
6. Develop and maintain secure systems and applications
7. Reduce access to data by a need-to-know basis
8. Assign a unique user ID to each computer user
9. Restrict physical access to cardholder data
10.Track and monitor access to all card holder data
11.Regularly test security systems
12.Maintain a policy that addresses information security

REASON HOTEL AND RESORT USES TECHNOLOGY FOR

OPERATION

 To improve profitability by driving revenues and/or reducing operating

costs.
 To enhance and personalize service to wow guests and build loyalty.
 To extend marketing reach (especially globally) to new and existing guests
in a cost-effective manner.
 To address labour shortages and labour quality issues so that services can be
delivered in a consistent manner.
 To collect, analyze, and communicate data.
  To provide managerial controls and reporting needed to maintain the health,
strength, and integrity of the business.
 To provide a safe and secure environment.• To differentiate and create
strategic competitive advantage.
 To maintain competitive parity.
 To assist with legal and regulatory compliance.

PROPERTY MANAGEMENT SYSTEM (PMS)

This system is essentially the nervous system that runs the hotel or resort and the
system with which most other property-based systems must connect or interface to
exchange data.

Functions

1. Enable guests to make reservations.

2. Enable guests to check-in/register when they arrive and check-out/pay when
they leave.
3. Enable staff to maintain guest facilities.
4. Account for guests’ financial transactions.
5. Track guests’ activities for use in future sales efforts
6. Interface with other systems.

ABBREVIATION

Property management System - PMS

Global Distribution System - GDS

Central Reservation System - CRS

Revenue Management System - RMS

Point-Of Sales System. - POS

Restaurant Management Systems. - RMSs

Kitchen Management System. - KMS

Table Management software - TMS

Table Ordering Systems - TOS

GLOBAL DISTRIBUTION SYSTEMS

The term global distribution can be defined as attaining the broadest possible
reach to the largest available audience / meeting a company’s target market
segments at the most affordable cost and with the highest potential for winning
conversion (i.e., generating bookings).

OR

Is all about selling the right products and services to the right guests at the right
times and prices under the right set of circumstances in ways that are convenient to
guests.

CORE VALUES OF GLOBAL DISTRIBUTION

The thrusts of distribution are

1. market reach and penetration,

2. branding,
3. merchandising, and
4. revenue generation.

WHAT IS GDS ( Global Distribution System)

It is the entire network of people, systems, technology, and distribution channels
that are used to help hospitality providers sell their products and services.

OBJECTIVES OF GDS

 it must provide distribution channels that allow customers the ability to

easily and quickly search for products and services they are willing to
purchase
 it must provide a means to conveniently conduct the transaction on the spot,
with immediate confirmation that the transaction has been successfully
completed.

To achieve these objectives, a GDS requires:

1. a clear strategy,
2. dedicated resources,
3. Effective management, and
4. a sound IT infrastructure

Core competencies of GDS for competitive advantage

 Transaction processing
 Speed
 Brand Management
 Relationship Management
 Channel management
 Demand Management
 Owner Relations

ROLES/IMPORTANCE OF GDS
 1. Inventory control and rate management
2. Data repository
3. Information Dissemination
4. Revenue generation

CHALLENGES OF GDS

1. Displaying detailed property information in an easy-to-use format

2. The delays in transmission between airline GDSs and a hotel/resort GDS,

GDS PAYMENT MODULES

1. Commission-based agency model: The agent or booking entity receives a

commission
2. Merchant or wholesale model: A booking service negotiates room rates
with a hotel or resort in advance of sale
3. Opaque pricing model: It allows hotels and resorts to discount rates while
shielding their brand identities and maintain rate integrity.
4. Auctions: Selling hotel and resort accommodations using a traditional
auction model in which guests bid on rooms or a reverse auction model in
which rates gradually decline until someone makes a purchase.
5. Pay per click

Challenges facing the adoption Of GDS today

1. Inadequate GDS technology infrastructure,

2. inventory and rate management issues,
3. commissions and transaction fees erode profit margins,
4. the rise in number of electronic intermediaries,
5. a shift in balance of power from supplier to customer,
6. new models of distribution and pricing,
 7. accelerated rates of change, and
8. relinquished control of the customer relationship.

TRENDS IN HOTEL AND RESORT GDS

1. Disintermediation and Reintermediation

2. Digital Divide
3. Transparency: A Hope for the Future
4. Bypassing Airline GDSs
5. Mobile Apps (Applications)Shopping Bots

TECHNOLOGY FOR MEETINGS AND EVENTS

Technological tools and components for meeting and event

1. Audio and Visual Equipment

2. Desktop and Online tools
3. Communication Devices

AUDIO AND VISUAL EQUIPMENT

 Audio
Audio systems help set the tone for the meeting/event and can evoke a
variety of emotions.
 Visual
When selecting visual equipment consider the following:
 1. The event location
2. The room size
3. The projection area
4. The location of the projector
5. The amount of natural lighting and room lighting
 Virtual Meetings
1. Audio conferencing is connecting two or more sites via audio or a
phone connection.
2. Video conferencing involves connecting two or more sites via video
transmission.
3. Web conferencing allows two or more sites to connect via audio and
visual mediums over the Internet.

DESKTOP AND ONLINE TOOLS

 High – speed internet access

 Desktop applications
 Social networking
 Portal and online searching

COMMUNICATION DEVICES

Many networking terms see usage in the meeting and events arena along with some
new additions including voice over Internet protocol (VoIP), radio frequency
identification (RFID), audience response system (ARS), personal digital assistants
(PDA), and Bluetooth.

 VoIP ( Voice Over Internet Protocol)

Voice over Internet protocol is used to make phone calls over the Internet.
 RFID ( Radio Frequency Identification )
 Radio frequency identification can be used in attendance management for
meetings, events, and exhibits, as well as head counts in food and beverage
operations.
 Audience Response Systems
Allows the audience to participate in a presentation or for the speaker to
survey or poll the audience.
 PDA ( Personal Digital Assistants)
Personal digital assistants can be used as an ID badge on-site at meetings or
events.
 Bluetooth

Cross selling is where you offer customers extra services or product that enhance
something they’re already buying

Up selling is the practice of offering guest additional features to enhance their stay
for an extra cost.