Orange Resorts International - Case Study Example

Orange Resorts International Case Study Deliverable Planning: New System Definition Problem The key problem identified in Orange Resorts International (ORI) is its downfall to obtain its desired business goals. The organization has undergone the challenges mainly due to a major transition in the economy between the year 2008 and 2009. The downfall of stock market, increasing unemployment rate along with significant decline in the US annual household income have substantially reduced the business performance of ORI along with other organizations in the travel and leisure business industry. In addition, the failure of the current information system in ORI has further reduced its operation in terms of maintaining appropriate data management functions along with Customer Relationship Management activities. Although the integration of new system may increase potential opportunity for ORI, the new system could also face major obstacles to perform the increased level of marketing along with sales and service functions of the organization. The existing limitations in the current system may create major constraint for ORI to perform its marketing, sales and service related activities, which impose major risks for ORI. In addition, the unsatisfactory facets along with inadequate attributes in the new system may also reduce the capability of ORI to make appropriate decisions or taking effective measures in accordance with the current trend in the tourism business industry. Proposed Solution and Description In order to deal with the current problem of managing information system in ORI, an effective planning and execution process of system development lifecycle should be duly recognized. An effective planning and implementation of the newly developed system development lifecycle would enable not only to improve business efficiency of ORI, but also to provide adequate opportunities to the organization in terms of obtaining its desired business goals and avert potential challenges. The newly developed system will significantly focus on managing, controlling and directing key operational activities of ORI and help it to advance in decision-making processes. In this regard, appropriate management and evaluation of data would be a major supportive attribute of the proposed system plan. The process of evaluating data management and controlling process in line with the current trend will substantially improve the decision making process in ORI to accumulate growth even during the transitional economy. Sponsor The system will be sponsored by system administrators of ORI with a strategic team, who will be accountable to report each function to the board of directors of the company. Moreover, individual management along with non-IT stakeholders who have conferred their interest towards the successful operation of the new system will also be considered as a major group of sponsors in the proposed plan. The association of the non-IT stakeholders such as management and individuals from different segments of the business has been considered as they substantially help ORI to gain number of valuable stakeholders along with potential fund required for continuous improvement of the business operations. Start Date Being as an organization in the global tourism and leisure industry, the start data of this proposed system will be effective for ORI on the eve of Christmas 2014. The key rationale of selecting the day is that majority of the global visitors more likely to visit tourism destination during this time. In order to grasp the attention of the global visitors, the internal event will be focused on promoting key brands and facilities of the ORI for building strong relationship with the global customers through exclusive offers and exciting plans. The external event to collect large numbers of customers will focus on communicating customers with best holiday plans and different facilities such as online registration of hotel booking and availability of air tickets among others. Completion Date In order to accomplish each activity associated with the newly developed plan, the overall duration of the project has been considered to be 30 days. As per the starting day of the initiative, the project has been estimated to complete its final activities within January 23rd 2015 with the grand celebration of New Year eve 2015. This particular season will enable ORI to obtain a large number of potential customers from different parts of the world. Estimated Cost The estimated cost for this particular initiative has been identified to be US$ 5 million that will be spent in different planning, implementing and controlling of system development functions from the starting to the closing of events. In relation to the activities planned for the initiative, the project includes a wide range of activities ranging from planning to closing stage of the project. Estimated Benefits The key benefit to be derived from this particular initiative is to obtain wide range of valuable customers across different global locations. Moreover, the initiative will also render adequate options to communicate with valuable customers and offer them with exciting promotional offers in each business season. The initiative will also increase the business competency of ORI to meet the changing needs and expectations of the customers by delivering wide range of products and services. In addition, the initiative will lead ORI to develop effective strategic measures and identify the most valuable groups of global clients along with their desires (King, 2009). Feasibility The potential risk that can be assumed in this initiative is the initial financial investment. The initiative may include different other events in order to meet the desires and expectations of the customers that can result to problem for ORI. Corresponding to the risk of financing, the proposed information system may also undergo the risk associated with security of information associated with data management and process control of different strategic measures of the organization. In addition, the risk may evolve in the data management procedures regarding the records of the travel agencies located across different nations of the world. In this regard, the system may often involve inadvertent flaws due to the misrepresentation or recording error of the users (Newkirk et al., 2003). Overall Assessment According to a brief overview of the planning of new system in ORI, it can be stated that estimation of cost required to implement the initiate can reduce the efficiency of the organization. However, the benefits to be derived from the initiative can help ORI to mitigate any type of future obstacles that can reduce its operational efficiency. In order to avert the risk from security related concern, the application will focus on managing threats from the external users or clients. In order to prevent unauthorized or suspicious users, the system will be incorporated with advanced security and user-id verification process. Furthermore, the strategy of providing adequate training to each user from different supply chain entities of the organization can also help the system to avert the risk of misrepresentation or data management flaws. In this regard, an online service regarding detail information about the system will enable the information system of ORI to avert future challenges. Deliverable 2 Analysis: Problem Statement and Business Requirements a. Problem Statement According to the assessment of the deliverable 1, it has been estimated that the costs required for each activity to be performed in the planning and execution strategy of the initiative may compel ORI to undergo major challenges in its business operations. Although the existing information system provides a major advantage to manage data of the organization, the limitations in managing and controlling data acquired from different segments of the travelling business may substantially lower the competency of ORI to stimulate growth. In addition, complexities in terms of evaluating data is one of the major shortcomings of the current system that can negatively affect the organization to make appropriate business decisions. The current system has been also recognized to have major issues for ORI to successfully perform its valuable sales and marketing activities that substantially influence the organization to develop new base of customers or retain the existing clients. With regard to the existing shortcomings of the current information system, it can influence ORI to obtain its business goals and objectives. The inadequate capability of managing and evaluating data can lower the potential of ORI to make competitive decisions. The consequences may further lead the organization to face major challenges in terms of meeting its business commitment to its IT and non-IT stakeholder groups. Nevertheless, the inappropriate or major complexities in managing sales and marketing data may also cause ORI to incur major loss or increase the cost of its business operations. b. Interview Question The interview questions regarding the requirement for the new system development life cycle have been provided hereunder: What are the key deficiencies of the current system? Does the current system provide more convenience in managing and controlling data? The newly developed information system incorporates each business segment of ORI Yes No Somewhat The newly developed information system enables easy data sharing process to each authorized users of the organization Yes No Basic elements required to design an effective system development lifecycle for ORI a. Operating system c. Programming communication b. Hardware components d. Network security issues d. All above e. None of these Is the newly developed system development life cycle requires training and development programs for the users? What are the other required features you feel to integrate in the current information system? c. Interview Answers In response to the first question of the interview, the deficiencies described by the users regarding the operating efficiency of the system to meet goals associated with each organizational activity. Correspondingly, each of the system users have significantly answered that all the basic elements such as hardware components, operating system, network security issues along with programming communication tools are required to effectively perform the newly developed system in ORI. In addition to the last question, it has also been observed that the organization will also require an effective training and development session for each individual system user to successfully implement and operate system in ORI. The interview results obtained from the system administrator and users revealed that the incorporation of the newly planned information system would streamline the data managing and controlling process. In this regard, it can be assumed that the installation of the new system would help leaders and/or managers of ORI to improve their decision making process. Moreover, the system would also enable each business segment to share data and information that can also help the organization to administer performance of each individual or group. Moreover, the results also revealed that the inclusion of the new system would help the organization to enhance its customer relationship management activities. d. Business Requirements/Rules Business Requirements. The business requirements designed for the newly developed system are likely to protect the technical performance in accordance with the business goals and value of ORI. Moreover, the IT based functions of the system are determined in terms of meeting strategic and operational goals of different hotel and resort business operations of the organization. The business requirements developed for the new information system also focus on justifying the satisfaction level of the customers along with IT and non-IT stakeholder groups along with their interest and association. Business Rules. The proposed information system for ORI would also require a set of strong business policy and standard. The business rules will be developed in the context of the operational aspects of the information system along with different security related concerns. Deliverable 3: Design: Systems Solution Fig 1: Data Flow Diagram of the Design Phase of the Systems Development Lifecycle a. Solution Statement In order to deal with the specified problem in the deliverable 1, the solution development will basically represent the function and feature of the newly developed system. In relation to the major functions and features, the newly developed system will be designed with five major characteristics including, customer database management, promotion of the ORI services, offering detail booking or reservation services, customer relationship management and customer retention activities. b. Process Model The process model of the proposed information system of ORI will be primary based on five major stages. In order to access each business function of ORI, the operational stages of the information system will focus on system conceptualization, system analysis, system design, coding and testing. c. Detail Explanation of the DFD Model In order to create a clear justification of the variables associated with the data flow management functions of the new system, a relevant waterfall model has been developed. The selection of the model has been considered as the requirements of ORI are quite clear and relevant to the model. Moreover, the IT operations of the organization are observed to involve significant complexities that can be addressed through the implementation of the proposed information system. d. Data Model The data model structure of the proposed system generally includes detail assessment of the data inflow and outflow functions of each business segment of the organization. According to the structure of the proposed information system, the IT functions of ORI will be demarcated into a few primary sub-systems for addressing operations in different segments of the business. For instance, the primary information system will include separate system entities for each business function including finance, sales, marketing and promotion, ORI reservation, customer relationship and human resource management. e. Input-Output Design In relation to the ERD structure of the system (refer to Fig.2), a detailed functional process of the entities associated with the booking system of the customers in ORI. With regard to the diagram, each entity significantly relates to the functional process of another activity. Fig 2: Entity Relationship Diagram of the Design Phase of the Systems Development Lifecycle Deliverable 4: The New System The deliverable selected in this part of discussion tends to represent the complete project by addressing results from the other deliverables considered across different stages of the project. The discussion made in this section includes what and how the measures would be undertaken to improve the performance of ORI to deal with each business entity. The deliverable 4 of the project tends to cover the essential processes and functions ranging from planning, analysis, design, implementation along with maintenance and support activities of the newly developed information system for ORI. 1. Planning a. Problem Description: It has been identified that the organization has been facing major problems with its current IT system ‘ORIS’ in terms of managing or controlling data related to each business entity of the organization. Inappropriate managing and controlling process in the current system develops major complexities for the organization to perform its range of sales, marketing and reservation operations, which are related to certain problems that further resulted to undergo major financial loss during the fiscal years. b. Solution Description: According to the understanding of the aforesaid deliverable analysis, designing and appropriate implementation of an effective system with adequate features will be a major solution for ORI to avert its future risks. c. Sponsor: The sponsor committee for the implementation of the newly designed information system will be designed with the key strategic and operational department of the organization. Moreover, management and individuals along with non-IT members and groups among the valuable stakeholders of the company will be considered as the key sponsors for this proposed system information in ORI. d. Start Date: Regarding the starting date, 25th of December 2014 has been determined for implementation of the newly developed information system in ORI. The date has been selected, as the day is celebrated across the global nations that can enable ORI to successfully obtain a large group of customers. e. Completion Date: The projected completion date is January 23rd 2015. The date has been identified in accordance with the completion of each activity during the closing stage of the project. f. Estimated Cost: The estimated cost from the designing to implementation stage of the proposed information system is US$ 5 million. g. Estimated Benefits: The implementation of the newly developed initiate will offer a wide range of benefits to ORI. In this context, the implementation of the newly developed system will help the organization in managing, controlling and filtering of data to be gathered from different strategic and operational segments. Moreover, it will help ORI to improve its customer relationship management activities by analyzing and offering appropriate services as per their needs or expectations. h. Feasibility: In terms of identifying feasibility, the data storing and analyzing process of the newly developed system may face major risks associated with the financing system of the organization. Moreover, issues relating to security of the information system from unauthorized users or misrepresentation of data can create significant error. 2. Analysis: Problem Statement and Business Requirements a. Detailed Problem Statement: With regard to the identification of the problems in the above variables, it has been identified that the resort and tourism operations in ORI have undergone major challenges due to the poor information system and data management process. In addition, the complexities in filtering and controlling the data function in different business segments also enabled ORI to face major obstacle in making decisions. In addition, customer relationship of the business deteriorates due to the ineffective management of data and information obtained from the current information system ‘ORIS’. b. Interview Questions& Answers: List the key deficiencies of the current information system in ORI. Is ORIS provides appropriate management of data? Does the current information system cover each business entity or segment? Yes No May be Does the current system provide appropriate service for online reservation to the global customers? Yes No Identify the key practices that are required to integrate in the current information system Recording and maintaining data from each business entity Providing online reservation facilities to the customers Evaluating data and reporting key necessary measures to the system development team Providing continuous online supports to the customers All above c. Interview Answers According to the analysis of the results procured from the existing system administrator and users, majority of the feedbacks claimed regarding the sluggish performance of the current information system i.e. ORIS. The feedbacks of the system users and administrator of the company revealed that ORIS incorporates a number of deficiencies in the context of managing, controlling and evaluating raw data that are gathered from different strategic and operational segments of the organization. Moreover, the current system also has major flaws in terms of providing online reservation service to the customers. The deficiency of providing online reservation services may substantially lower the financial performance of ORI and it can be a major constraint for the organization to maintain its long-term sustainability in the competitive hotel and resort business industry. Business Requirements/Rules Business Requirements Ensure that the system guidelines are aligned with the vision, goals and objectives of ORI Determine that each system activity meets operational efficiency of the business Ensure that the customers and other stakeholder groups are satisfied with the system Maintaining a shared vision of maintaining adequate care with the technical functions of the system Continuous training and development of the system administrator and users associated with the proposed information system Business Rules Confidentiality and reliance regarding system policies and principles Maintaining required transparency and easy of accessing the system Appropriate recording and reporting of data to the board committee for improving decision making efficiency Clear reporting of any technical and non-technical issues associated with the system Frequent assessment of the performance and quality of the information system in accordance with business requirements of the organization Integrating adequate involvement of the IT and no-IT stakeholder groups in terms of making any system development related decisions 3. Design: Systems Solution The solution statement for the proposed information system is to develop and execute effective IT infrastructure for ORI with minimum or less technical flaws that can positively impact on the organization to obtain its commercial goals and objectives. Moreover, the solution statement of the new system also encompass aspects associated with the security issues, customer relationship along with ease reporting process that can enable ORI to formulate competitive business decisions. The data management process of the system integrates a simple and quite effective mechanism that can help the organization to avert various potential challenges. In this context, it can be stated that the data or solution development model of the proposed information system will be structured into few essential factors that are essential for ORI to minimize flaws in its IT operations. The key factors and their association with the proposed information system have been demonstrated by the following pictorial illustration. Fig 3: Data Solution Development of the Proposed Information System Plan b. Process Model: With regard to the key business entities of ORI, the process model of the system includes five major operational stages such as system conceptualization, system analysis, system design, coding and testing. The following illustration and detail analysis provide a better understanding about each operational stage of the proposed information system. Fig 4: Waterfall Model of the Data Flow Diagram (DFD) System Conceptualization Includes all aspects associated with the business and develops strong relationship among all aspects along with their determined goals System Analysis Gathering of required system components including software program(s), hardware equipment, and communication programming tools among others System Design Identifying and detailing each aspect associated with the operation of the organization and planning effective system structure Coding Developing competent system software and analyzing system requirement for deciphering organizational information into machine readable language Testing Ensuring that the software and hardware components are performing as per the estimated plan. Source: (Schwalbe, 2013) c. Data Model The data model of the newly developed information system generally provides an integrated service to ORI irrespective of its different hotel and resort service facilities. According to the key function of the system, the data from different operational and strategic segment of ORI will be stored in the central data bank system wherein the information will be managed, controlled and decoded into readable form to make effective decisions. The reservation process of the hotel and resort service facilities in ORI has been demonstrated through the following illustration. Fig 5: Entity Relationship Diagram (ERD) of the System The ORI reservation system is one of the major entities in the proposed information system of ORI. With regard to the aforesaid illustration, the data management process for the reservation segment of ORI will follow a simple structure with few key system entities. According to the observation of the above ERD structure, the ORI reservation segment of the proposed system will be accountable to collect, store and manage data procured from different online and offline reservation activities of the organization. The ORI reservation entity will be liable to manage and control data and information relating to booking, payment and schedule of each customer of the organization. Moreover, the entity will be liable to decode data information and provide continuous assistance to the strategic department, which can substantially help ORI to formulate different marketing, sales and promotional strategies. d. Input-Output Design Input-Output design structure of the proposed information system will operate among different sub-systems by connecting with the primary information system of ORI. According to the system design structure, the data and information of different operational segments of ORI will be stored, controlled and managed in each respective sub-system. The input and output dataflow processes will be separately structured in accordance with the type of data and information required for each sub-system of the primary information system. 4. Implementation Process of the System The operational stages in the DFD model of the proposed information system tends to represent the process of data management functions of ORI irrespective of its diverse strategic and operational departments. The system conceptualization stage in the DFD model includes collecting data and information from each operation of the organization and managing them in line with the operational goals. The system analysis stage of the model depicts about the process of gathering required system components with the aim of controlling and decoding data information. On the other hand, the system designing stage in the DFD model tends to identify and detail aspects associated with the operational process of the organization. The coding process involves transforming organizational information into readable language for the system to analyze information and offering appropriate results to the strategic department. The testing process in the DFD model significantly ensures that the components including both hardware and software applications are performing in accordance with the overall planning of the system. It also helps administrator or users to assess the performance efficiency of each system component. 5. Maintenance & Support With due regards to the aforesaid design and implementation plan of the newly developed information system, the business functions of ORI will be determined to successfully improve its performance. A maintenance and support strategy for the system is also a major consideration of the organization. In order to gain the benefit from the proposed plan, the organization would require strategic measures regarding the function of each practice of the business entities. In this regard, a strategy relating to administer the functions of the system along with taking adequate measure to develop competency levels of the system components would be a major strategic process of ORI. Moreover, the strategy of streamlining system related knowledge and skills of the administrator and users would be major set of activities for ORI to stimulate continuous efficiency of the system performance. References King, W. R. (2009). Planning for information systems. New York: M.E. Sharpe. Newkirk, H. E., Lederer, A. L., & Srinivasan, C. (2003). Strategic information systems planning: too little or too much? Journal of Strategic Information Systems 12, 201-228. Schwalbe, K. (2013). Information technology project management. USA: Cengage Learning. Read More