Implementation of ICT System in a Marston Lodge Hotel - Case Study Example

Implementation of ICT system in a hotel Name Institution Course Tutor Introduction Information technology is the use of computer hardware, software and telecommunication devices to convert, store, manipulate, send or receive data. The way hotel industry sells to their customers has significantly changed over the years (International journal of advanced computer science and application 2012). The geographical location of any hotel will largely influence its operations and the profit they make. In addition the geographical location also influences its visitors, the scope of its market and the competition it’s likely to face. These three factors have a great impact on the adoption of ICT in a hotel (Yousaf 2011). ICT adoption for a hotel is linked to its expectations on the value added to its customers and expansion of its market. A hotel will therefore adopt ICT system if it expects to provide greater competition or reduce the advantage enjoyed by its competitors (Yousaf 2011). According to Baggio (2004) Information and Communication Technology (ICTs) are crucial components of a business culture and is only by using it effectively and efficiently can help to achieve a competitive advantage. When a good technology is in place and it’s correctly applied, the managers are able to obtain organisation benefits which are able to stimulate growth in a company that is in line with the evolving market. The hotel industry is highly sensitive to the ever increasing pressure due to competition and due to the rising need for better effective operational and control tools. In this regard the help that can arise through ICTs is highly sought after as it’s perceived to be able to provide new business development opportunities. The problem is usually to come up with a clear frame work to adopt ICTs (Baggio 2004). Research shows that hotels are using ICTs at a much lower level than expected. This has been found to be true especially in customer relationship management. According to research the role of a computerised system is not considered as important. On the other hand ICTs are seen to be overestimated and as waste of resources in operational activities such as inventories, building automation, check in and check out and cash management (Baggio 2004). Risk matrix In order for Marston lodge to realise increased profits to support its portfolio, then improved ICTs systems must be in place. Following the decline in profits as a result of bookings going down and complaints from the clients as result of long queues at check in and checkout, Marston lodge can address this issues by introduction of better ICTs systems. Marston lodge is strategically located in a tourist destination due the natural beauty of river Dee area, English Heritage Castle that is frequently used for weddings and film shoots and the stunning wildlife. In this regard Marston lodge should put in place ICTs system to address the issue of bookings and check in and checkout complaints which will ensure that the lodge take complete advantage of its strategic location to a tourist destination. Introduction of a ICTs system in any organisation is a project that requires to be well analysed. However an ICT project will involve the installation of a new software product (Acquah 2012). According to Acquah (2012) all projects are unique and this becomes very difficult to clearly define the objectives, cost estimation or to determine the schedule. Unlike construction industry where pricing is done per unit of the building cost either per square feet or per square meters, in ICT projects no history of such pricing and this make ICT projects to be more unique as compared to projects from other industries. For Marston Lodge to adequately and successfully put in place an ICT system that addresses its challenges, first proper project management must be carried out. Westland (2006) defines project management to be a set of skills, tools and the processes required to successfully undertake a project. According to Acquah (2004), every project is restrained in various ways by its scope, time and cost. According to Wysocki (2010), scope constraint can be defined as the activities that require to be done to ensure the project goals are achieved. Scope must be correct as it defines what the project is about. Time constraint is the time required to complete the project and the cost constraints is that budgeted amount available to carry out the project (Wysocki 2009). A change in one constraint may require a change in the other constraint in order to restore the balance in the project (Wysocki 2009). According to Wysocki (2009), the client and the senior management of an organisation own the time budget and the resources, while the project team determines how the time and resources budget will be used. In order to solve challenges in a project the project managers try to look for solutions within the constraints on how time, budget and available resources can be used. Project Manager For Marston Lodge to successfully put in place a new ICT system there must a project manager to ensure that this project is successful. According to Kerzner (2009), project manager is responsible for leading the team in order to achieve the desired outcome. The project manager is also responsible for the overall accomplishment of the set objectives in the project. The project manager make the decisions in the project and the therefore must possess certain qualities and skills. The project manager plans, utilizes and controls all the resources available in the project in order to maximize the likelihood of success of the project (Kerzner 2009). Project managers are administrators; in this regard they must have the right to design their own policies, procedures and guidelines in order to conform to the company policy (Kerzner 2009). Project process groups There are five basic process groups which are common in every project management life cycle (PMLC) ( Acquah 2004 ). First is the initiation process group. This is the group that consists of all the processes that are under taken to define a new project through authorisation from stakeholders. This group mainly deals with what is needed in project (Wysocki 2009). In this stage the initial scope is defined, described and documented. The initial financial resources must be available to commence the project. It is at this stage that a project manager is identified and selected to control the project if not already assigned (Acquah 2004). The second process group is the planning process group. This is the group that involves establishing the scope, defining the objectives and redefining the objectives of the project. The key objective of this process group is the project management plan (Acquah 2004). Although planning is a an ongoing process in every project, essential documents are produced such as procurement plan, financial plan, project plan, resource plan, risk plan, acceptance and communication plan(Acquah 2004). The third process group is the executing process group. This group consists of carrying out and implementing activities defined in the project management plan. This process group also involves coordinating and utilizing resources as has been documented in the project management plan. It is at this process group that the entire project team may come together for the first time (Wysocki 2009). The fourth process group is the monitoring and control process group. This process group involves tracking, reviewing and regulating progress and performance of the project. In this process group, changes are identified and updated to the project plan. The main objective of this process group is to measure and observe the performance of the project (Acquah 2004). The last and fifth process group is the closing process group. This is the group process that contains all the processes that ensure all activities across all management process groups are finalized. These processes are undertaken to complete the project. Closing the project will mean releasing deliverables to the client, surrendering the project documents, termination of suppliers’ contracts, discharging project resources and announcing the closure of the project to all stakeholders (Westland 2006). Cost management This is the management knowledge area that is involved in budgeting, controlling and anticipating the likely cost of the project. According to Kerzner (2009) ICT projects have a poor record in meeting budget goals. Costs are usually determined in monetary values that must be paid in order to acquire goods and services. Project cost management consists of processes that are involved in ensuring that the project is completed with the approved budgeted amount. Communication management This is an area in project management that ensures information is timely and appropriate to the team and all the stakeholders in the project. Communication management also involve proper storage and collecting of information. Proper dispensation of information largely influences the project in terms of schedule and the overall quality of the project. It’s in this area that the stakeholders must be identified, the influence and the impression they have in the project are documented. The expectations of stakeholders are managed through constant communication to them in order to address any arising issue. The project performance is regularly reported to the stakeholders in the form of status report, progress measurement and future forecasts (Acquah 2004). Procurement management This involves all the processes necessary to acquire and obtain products which result to purchase outside the project team (Acquah 2004). Work Breakdown Structure (WBS) This is the process of subdividing the projects objectives and the work to be done into smaller and better manageable units (Acquah 2004). Creation of a work breakdown structure involves the statement of the scope, requirement documentation and the organization process assets (Acquah 2004). There are various ways of creating a work breakdown structure. First the organisation may already have developed and established guidelines, it is usually important to follow such guidelines in developing a work breakdown structure (Acquah 2004). Another way of developing a work breakdown structure is through a top bottom approach where the largest particular of the project is divided into smaller items (Acquah 2004). Implementation of a new ICT system for Marston Lodge is task that shall require a well designed work breakdown structure. Senior management of the hotel must come together define the scope of the project and document the requirements of the project. The management can decide to follow existing guidelines if they exist or use any other appropriate approach in developing a work breakdown structure. For instance Thomas Cranford who has the interest of the hotel at heart can lead the hotel in drafting a team that can be given the mandate to spearhead and carry out the implementation of a new ICT system in the hotel. Initially all the top management in the hotel must be involved in drafting the scope of the project. This is because they understand the challenges facing the hotel. All the managers in the entire hotel should present the area in their departments that must be served with the new ICT system to ensure better services to the customers. After the management analyse the scope of the project should estimate the likely cost of the project. The management should come up with a team that will oversee the implementation of this project. This team should be composed of some members of staff of the hotel as a well other professional who are not staffs. Such members of staffs who would play a key role in the team is Kiri Bawe , the ICT manger following that he is the one in charge of the hotel systems, ICT infrastructure, web site and software. The ICT manger is in better position to understand the ICT needs of the hotel and how they can be improved. Another member of staff who could be involved in the team is Kathryn Hughes who does most of her sourcing overseas. The head receptionist can as well be involved in the project team, this because he has a keen view of the customers likes and dislike and this feedback from the customers will be important in implementing a new ICT system. Sandie sorraya can also be included in the project team since is the one responsible for designing the marketing strategies and marketing the hotel and marketing must move with the technology and for business to withstand competition from other competitors. Other professionals can be sourced from outside especially the project manager. The project manager should posses certain skills, for instance the hotel can source a project manager who has implemented an ICT system in another hotel. After the management design the scope of project, estimate the likely cost of the project and drafts a team to implement the project, they can then forward their findings and recommendation to Musalem Al Arami the owner of the hotel for approval. Challenges faced by Marston Lodge First Marston Lodge is currently facing a decline in the number of customers. Although this could be as result of recession, the problem could have been accelerated by customers’ dissatisfaction as result of long queues at check in and checkout, poorly cleaned rooms and lack of onsite activity. These problems can only be addressed if the management is willing to implement the risk process discussed above. The management must define the scope of the problems, define and redefine objective to ensure customer satisfaction as well as realise profits. The new ICT system should be aimed at solving checking in and checking out problems. If this process is fast the customers would be willing to come again which will result to royal customers. The complaint on poor cleaned rooms should be addressed such that room is cleaned immediately after the customers’ checks out. Proper communication must be put in place between the receptionists and the cleaners to ensure that cleaning is done before checking in. Another problem arising and that could result in customers dissatisfaction is the poor state of laundry in the hotel, proper procurement and replacement of torn, worn out and old laundry must be put in place. Proper communication will play a very important role in alleviating some of these problems. Therefore, the implementation of a new ICT system should address the issue of communication across all the departments in the hotel. The new ICT system should ensure that every department is served by a phone extension for proper, efficient and timely communication. References Ali Yousaf 2011; The impact of ICT in the eyes of hotel manager (Cyprus); Sodertorns hogskola, Sodertorn University Ato kwamena Dum Acquah 2012, Reducing ICT project failure with scope management, Haaga- Helia University of applied sciences (IJACSA) International journal of advanced computer science and applications vol.3, No.3 2012 Kerzner H. 2009, Project Management: A Systems Approach to Planning, Scheduling, and Controlling, John Wiley and Sons Inc. Rodolfo Baggio, Information and communication technology in the hospitality industry: the Italian case; e-Review of Tourism Research (eRTR), vol. 2, No.5, 2004 Westland J 2007, The Project Management Life Cycle: A Complete Step-by-step Methodology for Initiating Planning Executing and Closing the Project. Wysocki R.K 2009, Effective Project Management: Traditional, Agile, Extreme, 5th Edition. Read More