Analyzing IT Management Issues in BidTaxi: A Business Case Study

This case study provides an analysis of BidTaxi, a ride-sharing service utilizing a bidding system, focusing on its IT management issues and business operations. It examines the business goals set by the Ministry of Public Transportation for BidTaxi, including online booking, certified drivers, various payment options, a loyalty program, and a star rating system. The analysis identifies strengths in BidTaxi's approach, such as simplified booking and payment processes, and a dual rating system. Furthermore, the study recommends improvements such as incorporating a feedback system, offering long-distance travel services, and reducing bidding times. Additionally, it suggests implementing driver training programs and enhancing customer safety measures through a reporting system within the application. These modifications aim to improve customer engagement, satisfaction, and overall service quality, ultimately enhancing BidTaxi's position in the ride-sharing market. Desklib provides access to similar case studies and solved assignments for students.

Running head: IT MANAGEMENT ISSUES
IT Management Issues
Name of the Student
Name of the University
Author Note

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Table of Contents
Answer 1..............................................................................................................................2
Introduction......................................................................................................................2
Business Operation..........................................................................................................2
Conclusion.......................................................................................................................6
Answer 2..............................................................................................................................7
References............................................................................................................................9

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Answer 1
Introduction
Bid Taxi is a service that has been proposed in order to improve the ride sharing services
for the passenger. As a replacement of the existing system of offering services in a fixed rate, the
Bid Taxi makes use of bidding service for a ride. For availing the Bid Taxi services, customers
will have to state the beginning and end point of the journey, the number of passengers who will
be availing the service and the time for pick up. These data will be broadcasted to all the drivers
or driver providers, and the interested driver provider will bid for the service (Lucas & Lau,
2012). Customers can therefore choose from the available bidding options. This therefore
improves the process of booking the ride. Customers will be able to able to track the responses of
the drivers in real time. Apart from this, the whole journey will be tracked with the help of a GPS
system. The report discusses the working principle and the business operation of Bid Taxi and
recommends certain improvement in the services as well. The business operation of Bid taxi is
discussed in the following section.
Business Operation
In order to provide a hassle free service to the passengers, the Ministry of Public
Transportation has set up certain business goals that give an overview of the business operation
of Ministry of Public Transportation. The business operation of Ministry of Public
Transportation is as follows-
1. The Bid Taxi services provides an option of making and online booking of the taxi
services in the lowest price possible. This is definitely an intelligent business operation as

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undertaken by Ministry of Public Transportation as the ease of booking offered by Bid taxi is
expected to increase the customers’ engagement with the services.
2. Bid Taxi on boards only the certified drivers for offering their services. Furthermore,
the vehicles are thoroughly checked as well in order to verify whether the vehicle has insurance
or not (Lu et al., 2016). This is an important business operation of Ministry of Public
Transportation as it assures the passengers that premium services are provided to the customers.
3. The booking of the taxi services can be done online with the help of the smartphone
application or with the help of the website of Bid Taxi. Majority of the people now a day have an
access to Smartphones and internet and therefore, it would not be difficult to book the services
offered by Bid Taxi (Bai et al., 2014). Apart from the application, the Bid taxi services can be
booked with the help of the website as well. This enhances the process of Taxi booking and
therefore, is expected to increase the customers’ engagement with the services.
4. The payment option for the Bid Taxi services has been simplified as well. The
passengers availing the Bid taxi Service can make their payment through credit or debit card
services. Furthermore, the Osko payment application can be used as well in making the payment.
The payment received from the Osko payment services will be help by the Bid taxi Office. The
passengers who do not have an access to any of the payment method can make use of the gift
cards purchased from the supermarkets. Providing an option for secure payment services is
expected to draw more customers in availing the service, thus increasing the profit margin of the
Ministry of Public Transportation (Weng et al., 2017). This is therefore an important business
operation of Ministry of Public Transportation.

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5. With a view to encourage the customers in availing the Bid Taxi Services, Ministry of
Public Transportation has introduced a service loyalty program. In this program, the passengers
who are paying for the Bid Taxi service are given status points for the rides paid. These points
can be used by the passengers in their next ride as a discount, can be given as a tip to the drivers
or can be donated in charity (Pueboobpaphan, Indra-Payoong & Pueboobpaphan, 2018). It is an
intelligent business operation as the passenger who had paid for the Bid taxi Service once, will
avail the services once again. This will improve the customers’ engagement with the services as
well.
6. A Star rating system has been incorporated in the bid taxi services as well. In this
rating system, the customer and the driver are able to rate each other. A customer rates a driver
on basis of the services provided while a driver can rate a customer on basis of the co operation
offered by the customer while availing the services of Bid Taxi. According to those rating, the
Ministry of public transportation will be able to modify certain services provided to the
customers. This includes removal of the driver or driver provider from service, who is rated bad
consecutively for the rides offered. The rating on the customers will further help the ministry of
public transportation in understanding which customers are offering full co operation to this
service (Wang, Cheu & Lee, 2014). This feedback can be used to provide additional benefits to
the passengers who are rated highest in the list by the drivers. Presence of this star rating system
is therefore an important business operation provided by the ministry of public transportation.
7. Not only the customers who are rewarded for the services offered by the Bid Taxi, the
drivers are also rewarded for providing excellent services to the clients. The driver providers on
completing a pre set timely targets are rewarded with a fuel discount gift cards by the company.
This in turn encourages more driver providers in offering services to Bid Taxi.

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The points give an overview of the business operation of the Ministry of Public
Transportation. Bid Taxi is capable of revolutionizing the way of providing sharing rides to the
passengers across the country (Agussurja & Lau, 2012). The business operation of Ministry of
Public Transportation can be further improved by modifying the certain existing operation and
the services of Bid taxi. The recommendations for improving the business operation of Ministry
of Public transportation are as follows-
1. Along with the start rating system, it is recommended for the Ministry of Public
Transportation to provide a feedback system to the customers and the drivers as well. The
feedback system will enable the customers in providing a public review to the services availed.
Furthermore, since the reviews of the customers and the drivers will be posted in the public
platform, it will enable the new passengers in having a complete understanding of the services
that will be offered by Bid Taxi (Kumar & Kumar, 2016). The Ministry of Public Transportation
will furthermore be able to improve the services according to the customers’ demand. The
feedback system is expected to act as an intelligent marketing tool as well, since the positive
reviews will surely encourage more passengers in availing the Bid taxi services.
2. The Bid Taxi generally offers the ride sharing services across the city. One addition to
the service might be offering services for a long distance journey like he tour travel services.
This is expected to improve the customers’ engagement with this service (Zikeš, 2012). Offering
the tours and travel services to the client can therefore be a suggested addition in the business
operation. With the help of this service, the clients of Bid taxi will be able to avail a cost
effective taxi service for short journeys as well.

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3. Another recommendation to the services and business operation of Ministry of Public
Transportation is that the bidding time can be considerably reduced in order to provide services
to the passengers who are in a hurry. The option of pre booking a particular ride should be
present as well in order to avail the service just in time when it is required the most (Billhardt et
al., 2015). Reduction in the bidding time is necessary to provide quick services to the clients.
The presence of the pre booking services is expected to improve the customers’ engagement with
the business as well. A pre booking charge can be levied from the passengers who are using the
service for the first time (Wang & Cheu, 2013). However, in order to increase the customers’
engagement, it pre booking charges can be dropped for the regular customers.
The above recommendation suggests some critical modification that can be infused in the
existing operation of Bid Taxi (Chen, 2014). These suggestions are expected to improve the
business operation of Ministry of Public Transportation in terms of profit and customers’
engagement of with the service.
Conclusion
Bid taxi is capable of revolutionizing the process of taxi sharing, offering a cost effective
option to the clients in availing a paid taxi service. The report provides an overview of the entire
business operation of Ministry of Public Transportation. The business operation of Bid taxi is
aligned with the business goals identified for the project. The report further recommends certain
modification in the services offered and the business operation of the company. Proper
modification of current business operation is expected to work in favour of the company and in
favour of the customers as well.

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Answer 2
The business operation of Bid Taxi is aligned with the certain business goals identified
for the project. The business operations are so designed keeping in mind the requirements of the
customers and with an aim of customer retention by increasing customer satisfaction. However,
the service of the Bid Taxi can be improved by bringing in certain modification in the normal
operation of Bid taxi. The recommendations for improving the Bid taxi services are as follows-
1. Driver training can be an important addition to the current services of Bid Taxi. Bid
Taxi takes on board only the certified drivers. A training program may improve the possibility of
engagement of more drivers in offering their service to Bid Taxi. A driver who is willingly to
offer services to Bid Taxi will have to attend this training as a mandatory requirement. This is
expected to increase the customers’ trust as well. Not only for driving, the driver and the driver
providers are needed to be trained about the use of the Bid taxi application, the star rating system
and the reward programs (Chen, 2014). The training program will therefore improve the skills of
the drivers thus providing them more job opportunities in future. Taking trained drivers on board
will provide a sense of security to the business as well. The passengers will definitely prefer
trained drivers and therefore the company is expected to offer the training services to the drivers.
2. Customers’ safety should be an important consideration for the Bid taxi services. The
application should incorporate an option for reporting a service or an issue if a customer faces
any such problem. The entire journey of the Bid Taxi will be tracked with the help of GPS and
therefore it may not be a problem for the companies to the send help to the passengers in time of
need (Weng et al., 2017). Therefore, presence of a report button in the application can help the

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passengers in availing emergency services. The report button can be used for reporting certain
other cases such as uncomfortable ride, long waiting time and so on.
These are the two major recommendations for improving the business operation of Bid
Taxi. The business operation of Bid taxi is designed in order to provide a hassle free taxi booking
service to the clients. The operation of Bid Taxi is expected to enhance the ride sharing
experience of the customers. Apart from the ease of booking, Bid Taxi provides a secure option
for making the payment for the ride, which is a major advantage of this service (Debnath et al.,
2014). With the certain modifications that have been proposed, the Bid taxi is expected to target
a larger base of passengers who need to avail Taxi services more often. The online taxi booking
service is expected to enhance and revolutionize the existing ride sharing service.

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References
Agussurja, L., & Lau, H. C. (2012). Toward large-scale agent guidance in an urban taxi
service. arXiv preprint arXiv:1210.4849.
Bai, R., Li, J., Atkin, J. A., & Kendall, G. (2014). A novel approach to independent taxi
scheduling problem based on stable matching. Journal of the Operational Research
Society, 65(10), 1501-1510.
Billhardt, H., Fernández, A., Lujak, M., Ossowski, S., Julián, V., De Paz, J. F., & Hernández, J.
Z. (2015). Towards smart open dynamic fleets. In Multi-Agent Systems and Agreement
Technologies (pp. 410-424). Springer, Cham.
Chen, W. (2014). Technical improvements on mobile app based taxi dispatching system.
In International Conference on Computer Science and Service System (pp. 281-284).
Chen, W. (2014). Technical improvements on mobile app based taxi dispatching system.
In International Conference on Computer Science and Service System (pp. 281-284).
Debnath, A. K., Chin, H. C., Haque, M. M., & Yuen, B. (2014). A methodological framework
for benchmarking smart transport cities. Cities, 37, 47-56.
Kumar, P. K., & Kumar, N. R. (2016). A Study on Factors Influencing the Consumers in
Selection of Cab Services. International Journal of Social Science and Humanities
Research, 4(3), 558-560.
Lu, Y., Chua, G. G., Wu, H., & Ong, C. S. Q. (2016, July). An Intelligent System for Taxi
Service Monitoring, Analytics and Visualization. In IJCAI (pp. 4256-4257).

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LUCAS, A., & LAU, H. C. (2012). Toward large-scale agent guidance in an urban taxi service.
Pueboobpaphan, S., Indra-Payoong, N., & Pueboobpaphan, R. (2018). Information Effect in Taxi
Service Double Auction with Opportunity Cost: An Experimental Analysis. Engineering
Journal (Eng. J.), 22(1), 77-91.
Wang, H., & Cheu, R. (2013). Operations of a taxi fleet for advance reservations using electric
vehicles and charging stations. Transportation Research Record: Journal of the
Transportation Research Board, (2352), 1-10.
Wang, H., Cheu, R. L., & Lee, D. H. (2014). Intelligent taxi dispatch system for advance
reservations. Journal of Public Transportation, 17(3), 8.
Weng, G. S., Zailani, S., Iranmanesh, M., & Hyun, S. S. (2017). Mobile taxi booking application
service’s continuance usage intention by users. Transportation Research Part D:
Transport and Environment, 57, 207-216.
Weng, G. S., Zailani, S., Iranmanesh, M., & Hyun, S. S. (2017). Mobile taxi booking application
service’s continuance usage intention by users. Transportation Research Part D:
Transport and Environment, 57, 207-216.
Zikeš, J. (2012). Auction-based taxi allocation with dynamic pricing. Bachelor Thesis of Czech
Technical University in Prague. Google Scholar.