Strategic Information systems Management plan for Tsenden Travel Service
About the Company:
The name of the company is Tsenden Travel Service with its head office in Thimphu, Bhutan. It is into the tourism business with its specialization in tours, treks and air ticketing. It is in the business for the past 8 years.
The company is a sole proprietorship kind of business with the owner as the manager. There are six permanent employees and more than 100 part time employees depending upon the inflow of tourist. The company faces the following challenges in tours and treks division:
1. Effective marketing
2. Promote travel services to customer
3. Up-to-date information to customer
Due to the above challenges in the business, Travel Service has decided to use information technology, especially the website for advertisement, to confront the challenges faced by them.
Therefore, following strategic information systems management plan for the company is drawn based on the tools as mentioned by Buhalis (2003):
Stage one: Evaluation of existing situation
Tsenden Travel Service has generated sales volume of US Dollar 80000 last year. The company is doing marketing through people to people and advertisement through local papers and television for the ticketing services; and it is using the website for the global marketing for tours and treks. The ticketing business is doing fine as the return on investment is high. But the tours and treks business is not generating profit as compared to the market trend. The company has so many competitors to compete with in terms of service and cost.
Therefore, they have decided to restructure its business plan to promote only one segment of clients to have a clear reference group to use as a benchmark for marketing decisions (Powers 1997). After the proper analysis, it is found that the maximum tourist visiting Bhutan is above the age of 60 years. Hence, the business is positioned to provide travel services to senior adult only for tours and treks.
Stage two: Define strategy and their objectives
After studying the strategic options, the company has opted for market development through website (Buhalis 2003). Hence, the development of effective website (Cao, Zhang, Seydel 2005) that is accessible and compatible to the senior adult keeping in mind the limited resources of the company is deemed necessary for the company.
Stage three: Implementation of the strategy
The company recruits the web designer, who could design the effective website for Senior Adults (the National Institute of Aging and the National Library of Medicine: Online). Moreover, they look for an effective search engine to have the website marketed for accessibility to the ultimate client. However, the websites need to be updated every day, for which a permanent staff has to be trained to update the site.
Stage four: Control and improvement
This stage aims at addressing the changes in the external environment and at improving the implementation process to combat the unpredictable situation (Buhalis 2003). During the implementation process the control is required until the time the goal is achieved. And simultaneously the continuous improvement in the strategy is required due to the trend in the global market (Pearce and Robinson 2000).
References:
Buhalis, D. 2003, eTourism: Information Technology for Strategic Tourism Management, Pearson Education Limited, UK
Cao, M.,Zhang,q. and Seydel, J. (2005) ‘ B2C e-commerce web site quality: an empirical examination.’ Industrial Management & Data System, Volumn 105, Number 5, pp. 645-661.
Making your Website Senior Friendly. the National Institute of Aging and the National Library of Medicine. (Online), Available:http://www.nih.gov/icd/od/ocpl/resources/wag/documents/checklist.pdf (Accessed 21 October 2009)
Pearce, John A. & Robinson, Richard B. 2000, Strategic Management: Formulation, Implementation and Control, 5th Edition, pp 3, McGram Hill, USA,
Powers, Tom 1997, Marketing Hospitality, 2nd edition, pp 51, John Wiley & Sons, Inc, USA
About the Company:
The name of the company is Tsenden Travel Service with its head office in Thimphu, Bhutan. It is into the tourism business with its specialization in tours, treks and air ticketing. It is in the business for the past 8 years.
The company is a sole proprietorship kind of business with the owner as the manager. There are six permanent employees and more than 100 part time employees depending upon the inflow of tourist. The company faces the following challenges in tours and treks division:
1. Effective marketing
2. Promote travel services to customer
3. Up-to-date information to customer
Due to the above challenges in the business, Travel Service has decided to use information technology, especially the website for advertisement, to confront the challenges faced by them.
Therefore, following strategic information systems management plan for the company is drawn based on the tools as mentioned by Buhalis (2003):
Stage one: Evaluation of existing situation
Tsenden Travel Service has generated sales volume of US Dollar 80000 last year. The company is doing marketing through people to people and advertisement through local papers and television for the ticketing services; and it is using the website for the global marketing for tours and treks. The ticketing business is doing fine as the return on investment is high. But the tours and treks business is not generating profit as compared to the market trend. The company has so many competitors to compete with in terms of service and cost.
Therefore, they have decided to restructure its business plan to promote only one segment of clients to have a clear reference group to use as a benchmark for marketing decisions (Powers 1997). After the proper analysis, it is found that the maximum tourist visiting Bhutan is above the age of 60 years. Hence, the business is positioned to provide travel services to senior adult only for tours and treks.
Stage two: Define strategy and their objectives
After studying the strategic options, the company has opted for market development through website (Buhalis 2003). Hence, the development of effective website (Cao, Zhang, Seydel 2005) that is accessible and compatible to the senior adult keeping in mind the limited resources of the company is deemed necessary for the company.
Stage three: Implementation of the strategy
The company recruits the web designer, who could design the effective website for Senior Adults (the National Institute of Aging and the National Library of Medicine: Online). Moreover, they look for an effective search engine to have the website marketed for accessibility to the ultimate client. However, the websites need to be updated every day, for which a permanent staff has to be trained to update the site.
Stage four: Control and improvement
This stage aims at addressing the changes in the external environment and at improving the implementation process to combat the unpredictable situation (Buhalis 2003). During the implementation process the control is required until the time the goal is achieved. And simultaneously the continuous improvement in the strategy is required due to the trend in the global market (Pearce and Robinson 2000).
References:
Buhalis, D. 2003, eTourism: Information Technology for Strategic Tourism Management, Pearson Education Limited, UK
Cao, M.,Zhang,q. and Seydel, J. (2005) ‘ B2C e-commerce web site quality: an empirical examination.’ Industrial Management & Data System, Volumn 105, Number 5, pp. 645-661.
Making your Website Senior Friendly. the National Institute of Aging and the National Library of Medicine. (Online), Available:http://www.nih.gov/icd/od/ocpl/resources/wag/documents/checklist.pdf (Accessed 21 October 2009)
Pearce, John A. & Robinson, Richard B. 2000, Strategic Management: Formulation, Implementation and Control, 5th Edition, pp 3, McGram Hill, USA,
Powers, Tom 1997, Marketing Hospitality, 2nd edition, pp 51, John Wiley & Sons, Inc, USA
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