COMPUTER APPLICATION IN FRONT OFFICE OPERATION

Role of Information Technology in the Hospitality Industry

The ever-blooming hospitality industry is one of the major contributors to the

economy of developed and developing countries and with the introduction of IT
in this sector it has been fortified than ever. With the IT (information &
technology) sector undergoing tremendous changes in last 20 years, it is
revolutionizing world hospitality industry with innovative technologies that has
made landmark setting various benchmarks and breakthrough for future
advancements in coming years with automation and mechanization.

Whole IT structuring and the hospitality industry procedure seems to be changed

as result of the onset of internet and the IT world. As of now, the IT sector has
secured a very vital role in the hotel industry and it will be incorrect to associate
it without data processing in hospitality. We have seen that the hospitality
industry has revolutionized their customer’s journey from travel to hotel with the
help of improved information technology solutions. The enhancement and
dynamic process occurring change in the industry is a result of agile amelioration
which has brought revolution in globetrotting.

We all know that the hospitality industry is often defined as the sectored system
of innovation and production! Technology has played a substantial role in
achieving economic growth by garnering economic means for consumers to
travel. The augmentation and contribution of air travel as a means of transporting
tourists to different locations is an important contribution of technology to the
hotel industry. The evolvement and progress of AI with information technology
has had a tremendous impact on the hotel industry which also includes the world
of hotels.

This, in turn, has helped airlines to reduce costs and get closer to the customers
by increasing their outreach. The boundless public use of the Internet has created
a number of conditions that have been game-changers in both beneficial and
detrimental ways to the modern travel agency. While computers have been an
integral part of the hotel agency, since their widespread adoption, the Information
Age has brought considerable new benefits. Few enterprise-level software allows

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hotels under specialized programs which are dedicated exclusively to managing
their businesses and organizing their database.

Both customers and business can benefit from advances in communication,

reservations and guest services systems. Technology’s greatest impact can be
seen on front desk where property management has quickened over the years, the
speed of service, reduced labor cost, improved accuracy and modernized look and
flow of lobby. Point of sale one of the most important technique for speedy
transactions makes payment to the merchant in exchange for goods or services.
Under the hospitality industry, the tourism suppliers like British Airways have
started applying e-commerce operations thereby allowing their customers to
directly access the reservations systems. The approach and application of mobile
technologies have further impacted the hospitality industry. It is now possible for
customers to view and choose various travel and tourism options by surfing the
internet through their cell phones.
Hotel managers everywhere are acknowledging the fact that the internet provides
a good alternative to take bookings for their establishments. Although many are
still skeptical about its capability to increase travel purchases and hotel bookings,
many agree that online promotions are a great way to create interest and
awareness among guests.

Hotels can attract a new breed of customers (millennial travelers) by integrating

technology in all aspects. However, technology is in an invariable state of flux
and is constantly unlocking new opportunities aimed at improving customer
satisfaction and boosting internal efficiency.

How IT has affected the realm of Hospitality Sector: -

1. Reservations Systems: You can easily book a hotel room for anyone via the
booking facility available online which allows easy access to consumers and
travel (millennial) professionals; the systems enable individuals to make
reservations and compare prices online. Many, like Expedia, make my trip and
Orbitz, are available through online interfaces. Now, major hotels have a 24*7 AI
Powered chatbot to increase direct bookings on website.
2. Mobile Communication: To keep customers updated of changes many
hospitality businesses use mobile communication; they send delay notices, offer
deals and sponsor location-based advertising. Depending on the type of business
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the reach can be increased through emails, text messaging or GPS tagging. Most
of the travelers take some form of a mobile communication device with them on
the road, whether it is a tablet computer or a mobile phone.

3. In-Room Technology: Nowadays traveler carries numerous electronic devices

and reliable, wireless Internet connectivity ranks at the top of the list for customer
needs. Guests can use the hotel’s Web application to access room service options
via online or an e-dining Internet site, or use an interactive service that finds
nearby restaurants, transportation or shopping stops for them.
Areas where IT has impacted the most
1. Organization: While computers have been vital part of the hotel business since
their widespread adoption, the Information Age has brought considerable new
benefits. Data can be stored more quickly than in the past, just because of high-
speed hardware and better software. Some of the latest enterprise-level software
allows travel agencies specialized programs dedicated exclusively to manage
their businesses and organize their data and process them accordingly. This
organization allows agencies to run more efficiently, preventing capacity losses
due to input time and other tedious tasks.

2. Coordination: Improved communications technology has greatly widened the

ways in which a travel agency can communicate not only with customers but also
with business connections and partner services and sponsors. High-speed Internet
connections allow almost-instant video, voice, and text communication around
the world often at considerably less expensive than traditional methods such as
long-distance telephony and cell phone can offer. Data can be sent almost
instantaneously from the agency to an airline, hotel or other services, then
reverted to customers. This allows bookings and coordination that might have
taken hours or days to be processed almost instantly, greatly reducing wait times
and lost productivity in an organization.

3. Self-Service Booking: One of the largest impacts on the travel industry (which
comes under the hospitality industry) has been the rise of online or e-booking.
Customers looking to book a trip no longer need to visit an agency they can go
online to companies such as Expedia, Make my trip or Priceline and book an
entire trip themselves. Airlines and hotels themselves also have cut off the travel

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agent altogether by allowing customers to book tickets and lodging directly from
their sites.

Information Technology in the Hotel Industry- The Competitive Edge

The hospitality industry is facing cutthroat competition. The Hotel industry is
extremely competitive. Thus, Information technology in the Hotel industry is
more important than ever today.

Each of the Hotel brands has to come up with a unique pitch and specialized
services which can cater and appeal to customers in a range of ways.

In the eyes of most consumers, most services offered by hotels are relatively the
same so hotels must strive to find a competitive edge as a way of standing out
from the crowd. As a means of attracting repeat business, a key weapon in most
hotels’ arsenal is technology.

Hotels can attract a new breed of customers by integrating technology in all

aspects. However, technology is in an invariable state of flux and is constantly
urnlocking new opportunities aimed at improving customer satisfaction and
boosting internal efficiency.

As such, although the technology is there, the hotels themselves have their task
cut out when it comes to leveraging technology to beat the competition.

Information Technology used in the Hotel Industry

1. Online Bookings
The most obvious manifestation of information technology in the hotel industry
is in the bookings. The internet has helped to make it easy to access information.

Data containing the check in and check out times, hotel rates, facilities and
amenities on offer, as well as other vital information allows guests to make
informed choices.

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 2. Online Reputation
Let’s discuss the numbers before we start the discussion of the importance of
Online reputation management for the Hotels.

93% of people use online reviews while deciding to book a hotel.

53% of the potential guests would not book a hotel if there are no online reviews.

Today’s contemporary clientele is a lot more tech-savvy than it was a couple of

years ago.

Customers now see beyond the self-marketing pitches and are more likely to take
official communication, even if it is accurate with a grain of salt.

Guests are increasingly relying on reviews and recommendations from genuine

travellers. Because of this, hotels are increasingly investing in enhancing their
social media presence by hiring brand ambassadors, advocates and social media
influencers.

3. An Enhanced Guest Experience in Hotels

The latest advancements of IT in the hotel industry have played an instrumental
role in enhancing the guest experience.
The hotels can now grab the attention of the guests right from the time they visit
the website. Winning customers loyalty is now within reach of all the hotels.
Information Technology in the Hotel industry has made it easy to cover all the
touch points for Guest experience.

Guests are more in charge of their check out processes, and they can also make
online payments if they wish to.

Some hotels even allow guests to unlock their rooms using their smartphones,
which eliminates the long and tedious check-in process.

Likewise, it is also easier for guests to check out, which allows them to avoid the
reception altogether.

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4. Information Systems in the Hotel Industry
Greater use of IT in the Hotel industry has ensured easier entry of the Information
Systems even in Budget hotels.
Information systems were previously a thing only in the reach of luxury hotels.
Commoditization of software has made it easier for even Limited Service Hotels
and Select Service Hotels to have guests experience enhancing and analytics
software installed on top of the regular point of sale software.
We have another post dedicated to the Information Systems in the Hotel industry
that discusses this in detail.

Conclusion

Information Technology in the Hotel Industry is becoming more and more

important to gain a competitive edge.

Hoteliers are becoming more and more competent in terms of handling IT to

skyrocket their businesses. The Hotel industry has acknowledged the importance
of IT which is a win-win situation for all.

Hotels can now focus on providing quality Hospitality services and best
experience and leave the rest to the Information Technology.