Information Technology in Hospitality Industry

Information systems form a fascinating and rapidly expanding field of study. Hospitality traditionally lags other sectors in adopting information technology (Buick, 2003) but this has changed in recent years and research into its application has followed suit.
In the recent years hospitality industry has realised the importance of technology and its impact. Experts have realised that advanced technology provides competitive advantage to the industry. So how has technology become such a phenomenal factor for the industry?

Accounting is complicated, but advanced accounting software gave that needed boost to the hospitality industry. It helps to enable hotel owners to make smart decisions. Services and products that are no longer used can be quickly cut off to save money, while those who show demand can be increased in quantity or modified so as to reduce the heavy usage.
One of the major turnaround that happened regarding technology is the booking and reservation system. No longer have people had to ring the hotels and do the reservation. Online booking and reservation has completely wiped out those issues. Hotels can now work with various online travel companies and booking services to have their rooms booked online, with no need to employ expensive staff. This also allows a hotel to advertise their open rooms and special deals directly to persons who would be most likely to purchase them, instead of wasting lots of money advertising in a way that might not reach to the targeted market. High quality information technology thus allows for better arrangement and management of bookings in order to allow a hotel to better maximize occupancy.
Internet has proved to be blessing for each and every sector of life regardless of who they are. Be it student or people travelling who wish to be in touch with their offices when abroad. Internet and wireless technology has become a very common and very useful tool for the hotel. Having a wireless internet facilities is seen as one of the major factors for hotels in attracting business people as they could do their official work staying in the hotel. Such services are easy to provide, as all that is required is a wireless router and various devices to ensure the entire hotel is filled with the network. Security cameras, door locks, and other devices essential to hotel security and safety can be wired into the network, so that staffs are alerted whenever a door is propped open, a fire alarm goes off or suspicious activity occurs. Though the hotel guests are wholly unaware of it, this sort of added safety and security keeps them safe, and in the event of a problem they will most certainly appreciate the benefits of such a system.
Hotels with room service or other guest services can offer their menus online, allowing for quick updates, high-quality photos, and other ways to allow guests to see and order services before they even arrive. There are also advances in terms of payroll and inventory which make information technology a valuable asset for saving money and maximizing profits.

Another importanct factor regarding technolgy is Customer Relationship Management(CRM).Two articles investigate the implementation of a CRM system. Based on qualitative and quantitative research with Italian hotel operators, Minghetti (2003) proposes a CRM system and complementary matrix for evaluating guest information, which serve as a convenient blueprint for implementing or evaluating the CRM process. Louvieris and Driver (2004) suggest how the developing XML web standard could enable the CRM process. Consumers increasingly use a variety of devices (for example cell phones, Interactive television and kiosks) to access the web, and need different types of interactions, information and procedures depending on the relationship stage. They show how the current one-size-fits-all approach is unlikely to be successful. However providing the required personalisation to service each situation is difficult using current technology. They propose how the unique characteristics of XML, which uses content specific rather than stylistic tags, could help hotel companies implement the needed device specific and loyalty level personalisation.

The unique nature of the hospitality industry makes it a great place for new and emerging information technology, and forward-thinking hotel owners and managers are always looking for smart equipment and software to invest in.
Reference
Buick, I. (2003). "Information technology in small Scottish hotels: is it working."
International Journal of Contemporary Hospitality Management

Louvieris, P., J. Driver, et al. (2003). "Managing Customer Behaviour Dynamics in the Multi-channel E-business Environment: Enhancing Customer Relationship Capital in the Global Hotel industry." Journal of Vacation Marketing

Minghetti, V. (2003). "Building Customer Value in the Hospitality industry: Towards the Definition of a Customer-Centric Information System." Information Technology and Tourism

Nick Nikolis, Atlantica Hotels and Resorts (2006)