ICTs (Information and communication technology) in the travel and tourism industries

The travel industry already uses a wide range of ICT systems. The importance of ICTs lies less in the technology itself than in its ability to create greater access to information and communication in underserved populations.The Internet in particular allows them to demonstrate their competencies widely as well as to communicate directly with their prospective customers. Increasingly, intranets are used to offer user-friendly access to employees of organisations, as well as extranets which provide authorised partners with the ability to use company data to transact online. In addition, several internal-management applications facilitate the strategic and operational management and marketing of travel organisations.



ICTs support all business functions and are critical for operating in the travel industry as a whole. Few other industries rely on so many partners to collaborate closely for delivering their products and few other value chains are as elaborate as the one for travel. ICTs provide the tools to search for meaningful and profitable niche market segments, to identify value added components for the product and to promote differentiated products through specialised media to particular market segments. Cost effectiveness and flexibility are critical assets contributed by ICTs in this process, as they assist cost reductions and maximise efficiency. The influence of ICTs on travel organisations is pervasive, as information is critical for both day-to-day operations as well as the strategic management of organisations. On the strategic level, travel organisations have to continuously assess all elements of their external environment, as well as their competition and customer needs, and consequently, adapt themselves in order to enhance their competitiveness. Using ICTs, tourism organisations can differentiate their product customising the final product and adding value according to individual requirements.



ICTs support the strategic management of travel organisations by empowering long-term decision making and by providing a platform for collaboration and transactions between partners. They also help the entire industry to operate by empowering internal processes, co-ordinating partners, as well as by interacting with prospective travellers and the general public. As a result, the recent ICT developments have revolutionised the entire system and have profound implications for both the strategic and tactical management of travel organisations. More importantly they have dramatically changed the industry structure and altered the competitiveness of all players in the marketplace.



 Source from : http://epubs.surrey.ac.uk/1120/1/fulltext.pdf 

 

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