Wednesday, September 22, 2010 @ 9:16 AM
* project
Title: how information communication tecgnology (ICT) has changed the operations of the hotel operations?
Definition:
transaction broker
A transaction broker assists buyers, sellers, or both during the transaction without representing the interests of either party. Furthermore, they sell others products rather than their own product only. Transaction brokers receive commissions for every transaction that had been successfully made in order to sustain their business.
Example:
AsiaRooms.com work completely independently from any hotel groups; so all types of accommodation providers from large hotel chains, to independent hotels, apartments and guest houses can be found in their website. All hotels listed on the site update their own prices and availability therefore the information provided are reliable.
Information and Communication Technology (ICT)
Definition:
ICT is defined as any technology that facilitates communication and assists in capturing, processing and transmitting information electronically.
Examples of ICT:
Some commonly used ICTs in many developing countries include Radio, television and print media (Parliamentary Office of Science and Technology, 2006). Modern ICTs such as software, mobile phones and associated applications such as ‘VOIP’ (transmitting telephone calls over the internet) have become available to many countries worldwide in recent years. However, the most rapid growth is in mobile phone usage (Parliamentary Office of Science and Technology, 2006
Function of ICT:
Information and Communication Technology (ICT) provides enormous opportunities such as storing, processing, retrieving, disseminating and sharing of information
ICT has become a major catalyst and enabler of organisational change (Hazbo et al., 2008). ICT increases richness and reach (Evans & Wurster, 1997). This refers to the way companies communicate, collaborate, and conduct transactions with their customers, suppliers and distributors via the internet and the ability for local SMEs to participate in the digital economy (Golding, et al., 2008).
How adoption of ICT works
Ongori (2009) states that the adoption of ICT would change the way businesses operate in this era of globalisation by changing business structures and increasing competition, creating competitive advantage for businesses and by changing business operations
Hence, for hotels to grow and become successful, they must have the ability to compete and dynamically respond to rapidly changing markets. This implies that companies need to
be connected to the digital marketplace.
Changes in hotel operations especially in Room reservation
ICT has been used to change the way businesses are conducted in order to have a strategic advantage in their various operations. People from all parts of the world can assess via their preferred hotel website to check availability dates and rates to make a room reservation anytime and where without having to go down to the hotel location to check more information. This allows customers to gather and compare information from different hotels effectively and efficiently as compared to the past where people have to make payments, reservation of rooms and seek more information by visiting the respective hotels physically where information are in hard copy instead of soft copy.
Moreover, ICT allows faster and more efficient payment of booking of hotel rooms. There are several modes of payment available such as visa and mastercard.
AsiaRooms.com receives only certain credit cards or debit cards to secure your reservation. These cards included Visa/Delta, Mastercards, Diners Club, and Visa Electron
Limitations of the adoption of ICT in changing the operations of hotel
1.wide technological gap between developed and developing countries
Developing countries are far less advanced than developed countries in the areas of technological environment and infrastructure, probably because the technology is produced in developed nations, while the developing nations import it (Ihua, 2009). Beekhuyzen, von
Hellens and Siedle (2005) state that in developing countries, access to ICT continues to
be a major problem. Countries are digitally divided due to lack of access and availability
of ICT.
2.Digital Divide
Cayla, Cohen and Guigon (2005) define digital divide as the unequal access to ICT. This
divide examines the disparity in the diffusion of ICT between developing and developed
countries, well educated and poorly educated populations or between poor and rich
citizens.
3. Unsuitable, remote geographic location of a country
Braun (2003b) argues that the geographic location of a country has an impact on the adoption of ICT. For example, a study conducted by Hung (2003) shows that the regional distribution of internet users in China was found to directly correspond with the disparity of different geographical areas. This implies that being located in peripheral regions where ICT infrastructure, especially broadband, is scarce or very expensive, can affect the adoption of ICT. Lack of supportive organisational culture and structure may hamper technology initiatives in any organisation.
Advantages
The advantages of info-communication technologies help the hotel room reservation services become better and more effective in terms of the customer services. For instance, through the ICT, customers had better understanding of the hotel and manage to reserve the hotel room through online without calling or having to leave the house to the travel agent. In addition, some of the hotels may offer the services such as instant confirmation which that the consumers can book the hotel instantly. Having said that, the payment can also be made through online, customers just have to provide the specific details then the payment will be successfully made.
Disadvantages
Although the customers could reserve the hotel through online and make the payment instantly, there are still got some limitations for ICT of hotel room reservation. Privacy and confidential will be one of the problems, as the customers are giving their particulars like credit cards via online, there is a possibility being hacked by others if the webpage provider do not have the strong security. Hence, this will lead to the problem of trust, as the webpage is not trustworthy enough, the consumers will not giving out their personal details and credit card through internet.
Conclusion
In conclusion, ICT can save cost and make things grow to be effective but it can turn out to the problems as well. The hotel room reservation could use the ICT wisely for making procedures to be done smoothly.
