University Business Case Study: Hotwire.com and CRM Solutions

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Case Study
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This case study analyzes Hotwire.com's challenges with data management using shared Excel spreadsheets, which led to errors and maintenance difficulties. The analysis explores the implementation of Customer Relationship Management (CRM) systems to improve efficiency and data security. It defines CRM, identifies different types of CRM software (operational, analytical, and collaborative), and justifies the selection of Salesforce as the best option for Hotwire.com. The study highlights the advantages of introducing CRM, including enhanced customer service, customer acquisition, increased revenue, and improved sales team performance. It also discusses the importance of system engineers investing in information systems development, the benefits of Salesforce over the previous system, and considerations for choosing between hosting a system and outsourcing to a vendor. The document provides a comprehensive overview of the case, its problems, and proposed solutions for enhanced business operations and customer relationship management.
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Running head: MANAGEMENT INFORMATION SYSTEMS
Management Information Systems: Hotwire.com
Name of the Student
Name of the University
Author’s Note:
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MANAGEMENT INFORMATION SYSTEMS
Table of Contents
1. Introduction..................................................................................................................................2
2. Discussion....................................................................................................................................2
2.1 Brief Idea of the Case Study Objectives................................................................................2
2.2 Description of the Problem presented in the Case Study......................................................3
2.3 Definition of Customer Relationship Management with Identification of Different Types
of CRM Software and Selection of the Best Ones for meeting Business Needs with Proper
Justification..................................................................................................................................3
2.4 Reason of Advantage of introducing CRM Systems into the Business.................................6
2.5 System Engineers determining a good time for Investing in the Information Systems
Development Project...................................................................................................................6
2.6 Advantages of Salesforce to Hotwire.com over the Previous System...................................7
2.7 Considerations required for deciding whether to host the Own System or Outsource to a
Vendor like Salesforce.................................................................................................................8
3. Conclusion...................................................................................................................................9
References......................................................................................................................................10
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MANAGEMENT INFORMATION SYSTEMS
1. Introduction
An information system could be stated as the software, which is extremely helpful for an
organization to organize as well as analyze the confidential data or information (Nyadzayo and
Khajehzadeh 2016). The most distinct purpose of information system is to turn the raw data into
specific information, which could be utilized for proper decision making process within a
company. Information systems are formalized and organizational systems that are being designed
for collecting, handling, storing and even dispersing confidential data. For the socio technical
perspective, these distinct information systems are being comprised of four components of
technology, structure, people and tasks (Bhat and Darzi 2016). The report provides a brief
description on the case study of Hotwire.com and with relevant details related to customer
relationship management introduced in a new business.
2. Discussion
2.1 Brief Idea of the Case Study Objectives
Hotwire.com has gained control of hotel partner information. It advertises about four star
hotels at the price of two star in the entire Europe and North America. They have made
partnerships with more than seven thousand hotels and they also assist the hotel partners in
filling empty rooms for these hotels. The web site also maintains such data regarding the total
number of available rooms within the respective hotels. They have ensured that the data they
have maintained are updated and are shared on Excel spreadsheets. However, there had been
certain errors in the system and these had been quite difficult to maintain. The analysts have
considered this particular problem for finding suitable solutions (Hassan et al. 2015). There is an
issue in the storage of data. As a result, they have decided to implement customer relationship
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management or CRM in their business for better effectiveness and efficiency. It would be
feasible and cost effective for them and Salesforce would reduce the existing issues as well.
2.2 Description of the Problem presented in the Case Study
The main problem that the organization of Hotwire.com is facing in their business is that
there had been issues in the systems and maintenance (Baran and Galka 2016). The major
applications, which drew information from the spreadsheets are required to be analyzed properly,
so that the data becomes safe and secured and the organizational maintenance becomes easier for
them. The analysts of the web site has identified that the data and processes were well defined;
however there was a problem in the manner, by which the confidential data is being stored as
well as accessed. A proper centralized database driven system is effective in this purpose and
would be allowing Hotwire.com to gain better control on the data. These analysts have also
considered that the benefits and costs to design the own database and database management
system compared to the service outsourcing to a specific provider (Soltani and Navimipour
2016). Customer relationship management software would be highly effective for them and data
management would be easier.
2.3 Definition of Customer Relationship Management with Identification of Different
Types of CRM Software and Selection of the Best Ones for meeting Business Needs with
Proper Justification
Customer relationship management could be defined as a distinct method for better
managing the organizational interactions with the potential as well as current customers (Badwan
et al. 2017). This particular approach is responsible for utilizing data analysis about the history
of the clients within a specific organization for improving business relationships with the clients,
mainly focusing on the customer retention and finally driving sales growth and development to a
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high level. An important aspect of the CRM methodology is the systems of CRM, which
subsequently collect data from several communication channels like the organizational web site,
telephone, emails and many more (Navimipour and Soltani 2016). With the approach of CRM
and the systems used in facilitation, different organizations can learn about the target audiences.
Different suitable types of CRM software for the new business are provided in the
following paragraphs:
i) Operational CRM: The first or the foremost type of CRM is the operational CRM. It is
responsible for supporting the front office procedures, which include direct interactions with the
clients via any specific communication medium like emails, fax and phone (Rahimi and Kozak
2017). The major details of each communication with the clients like their requirement,
discussion topic and preferences. Since, the new organization is for providing customers with
subsequent knowledge, it is required to store the contact history of customers to be retrieved by
the organizational staff. This particular type of CRM type also presents a unified overview of the
customers within the business (Tseng 2016). The most distinct and important examples of
operational customer relationship management is sales force automation, customer service and
support and EMA. As a result, issues or complexities related to data management becomes
almost zero for the business.
ii) Analytical Customer Relationship Management: The second vital and significant
type of CRM is the analytical CRM (Abu Amuna et al. 2017). It is responsible for enabling to
analyze the customer data that are being produced by the operational CRM application and
understand the behavior of the customers for deriving proper value to the company. It is helpful
for the customers for satisfying the needs (Thakur and Workman 2016). There can be maximum
improvement in the performances of the business.
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iii) Collaborative Customer Relationship Management: The third vital and noteworthy
type of CRM is the collaborative CRM. It is responsible for allowing easier collaboration with
the clients, suppliers as well as business partners for successful enhancement of the sales and
customer services for every specific marketing channel (Rahimi and Gunlu 2016). The new
business would be able to manage their various departments like HRM, finance, supply chain
and many more through this particular software.
The best options for the CRM software for the new business are provided below:
i) Salesforce: The first suitable and effective option for the CRM software for the new
business would be Salesforce Desk. It is the leading web based CRM software, which is being
considered by several companies (Orenga-Roglá and Chalmeta 2016). It comprises of a variety
of products for the organizations of different sizes and hence helps them in boosting the sales,
closing of sales, management of leads as well as boosting of the productivity.
ii) Freshdesk: The second suitable and effective option for the CRM software for the new
business would be Freshdesk. It is a customer support as well as helpdesk solution that is
responsible for helping businesses in management of their customer relations through the social
helpdesk, community engagement and knowledge base (Santouridis and Veraki 2017). It is being
utilized in more than 80000 businesses in the entire world and few of the most distinct features
of the software include automation tools, easy customization, multi channel conversation support
and many more. Hence, the new business would be able to ensure third party integration
successfully.
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Amongst the above two solutions, Salesforce would be the best option for the new
business as it would cover sales force automation, increase customer services and help in
campaign management and marketing (Bhakane 2015).
2.4 Reason of Advantage of introducing CRM Systems into the Business
The new business would be gaining few of the most distinct and vital benefits in their
business after introducing CRM and these are provided in the following paragraphs:
i) The first and the most significant advantage to introduce CRM software in the new
business is enhancement of better customer services in the business (Baran and Galka 2016).
They would be able to ensure that all the customers are served subsequently and effectiveness is
gained.
ii) The second important and significant advantage to introduce CRM software in the new
business is facilitation of discovery of new customers and ensure customer loyalty. They would
be able to attract new customers in the process.
iii) The next distinct and noteworthy advantage to introduce CRM software in the new
business is increment of the customer revenues (Bhat and Darzi 2016). It would be extremely
helpful for the business and they would get advantages in terms of both finances and popularity.
iv) The sales team and different departments of the business would be benefitted and
product selling would be easier.
2.5 System Engineers determining a good time for Investing in the Information Systems
Development Project
The respective system engineers of the organization have considered to invest more in the
project of information systems development (Nyadzayo and Khajehzadeh 2016). It is needed
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since an information system is responsible for aligning all types of vital and significant
requirements, in comparison to others. The databases, business models and processes are
properly aligned with this particular system and hence it becomes quite easier to manage or
manipulate data or information (Navimipour and Soltani 2016). Moreover, the business is able to
execute their business processes and strategies successfully without much complexity. The
information system is the subset of information and communication technology, which a
company uses and also the methodology, by which people eventually interacts with the
technology in support of the business procedures. This type of systems are different from the
business procedures and they help in managing the performances of the business processes
(Rahimi and Kozak 2017).
A work system is the distinct system, in which different individuals can perform various
activities or procedures with resources for creating respective products and services for the
clients. This particular system is responsible for processing or interpreting information and using
to run a computerized database for understanding the computer system (Thakur and Workman
2016). Various contemporary networks of hardware and software are being included in the
system for ensuring that a proper emphasis is kept on the information system with a definite
boundary, processors, inputs, outputs and storage as well as different communication networks.
There are some of the most distinct and important advantages and benefits of information
systems, which are needed to be considered on top priority (Rahimi and Gunlu 2016). As a
result, it becomes quite beneficial for any business to ensure that proper investments are made to
the system to ensure error free services and better data analysis under every circumstance.
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2.6 Advantages of Salesforce to Hotwire.com over the Previous System
The analysts of Hotwire.com have taken the decision to implement Salesforce CRM in
their business for better analysis of data and information and to ensure that the services and
systems are error free (Orenga-Roglá and Chalmeta 2016). The main advantages of Salesforce to
Hotwire.com over their previous system are provided in the following paragraphs:
i) The first and the foremost advantage of Salesforce to Hotwire.com over their previous
system is that the employees would be able to access data of the hotels through the most user
friendly web based interface from any specific internet connected system.
ii) The second distinct and important advantage of Salesforce to Hotwire.com over their
previous system is that the employees would be data security (Bhakane 2015). The data is
securely stored in this particular CRM software and maintained on the servers; hence relieving
Hotwire from the expensive storage devices.
iii) Moreover, the organization would be able to customize the CRM software for
delivering the reports and information required by the systems and managers. This is yet another
vital and noteworthy advantage of Salesforce to Hotwire.com over their previous system.
iv) The next distinct and important advantage of Salesforce to Hotwire.com over their
previous system is that the employees would be improved data reliability as well as accuracy for
better management of information and ensuring that data is not lost under any circumstance
(Santouridis and Veraki 2017).
v) The fifth important and noteworthy advantage of Salesforce to Hotwire.com over their
previous system is that the employees would be that there are happier customers as well as
improved relationships with the partners of Hotwire.com.
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2.7 Considerations required for deciding whether to host the Own System or Outsource to
a Vendor like Salesforce
The new business should outsource to a vendor, similar to Salesforce for ensuring that all
the existing complexities and issues are eradicated on time. It would increase the vendor
management by ensuring that contract management and financial analysis (Orenga-Roglá and
Chalmeta 2016). Proper business continuity as well as disaster recovery would be included in the
process and hence the new business would be able to deal without any issue. Vendor outsourcing
would be helpful for the business since performance and relationship management with the
customers would be effective and the business would be able to maintain contact with the
customers eventually. Moreover, the vendor outsourcing like Salesforce would be extremely
helpful for the new business in overcoming internal vendor management hurdles and hence
better effectiveness would be gained (Tseng 2016). Moreover, vendor outsourcing is a pay as
you go service. As a result, costs would be saved to a high level and the organizational
departments would be benefitted.
3. Conclusion
Hence, a conclusion can be drawn that a proper information system comprises of the core
objective to support different operations, decision making process and subsequent management.
Any type of activity to the information system is being done by the information system. CRM is
one of the most basic and significant types of information system that has the responsibility to
provide knowledge about customer data and process to provide major advantages to the
customers within any particular organization. It is also responsible for reducing the overall
impact of information loss to a high level and ensure that the respective customers are extremely
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satisfied under every circumstance. The above provided report has clearly outlined a detailed
analysis of the case study of Hotwire.com with successful deployment of CRM software.
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References
Abu Amuna, Y.M., Al Shobaki, M.J., Abu-Naser, S.S. and Badwan, J.J., 2017. Understanding
Critical Variables for Customer Relationship Management in Higher Education Institution from
Employees Perspective.
Badwan, J.J., Al Shobaki, M.J., Naser, S.S.A. and Amuna, Y.M.A., 2017. Adopting technology
for customer relationship management in higher educational institutions.
Baran, R.J. and Galka, R.J., 2016. Customer Relationship Management: the foundation of
contemporary marketing strategy. Taylor & Francis.
Bhakane, B., 2015. Effect of customer relationship management on customer satisfaction and
loyalty. International Journal of Management (IJM) Volume, 6, pp.01-07.
Bhat, S.A. and Darzi, M.A., 2016. Customer relationship management. International Journal of
Bank Marketing.
Hassan, R.S., Nawaz, A., Lashari, M.N. and Zafar, F., 2015. Effect of customer relationship
management on customer satisfaction. Procedia economics and finance, 23(1), pp.563-567.
Navimipour, N.J. and Soltani, Z., 2016. The impact of cost, technology acceptance and
employees' satisfaction on the effectiveness of the electronic customer relationship management
systems. Computers in Human Behavior, 55, pp.1052-1066.
Nyadzayo, M.W. and Khajehzadeh, S., 2016. The antecedents of customer loyalty: A moderated
mediation model of customer relationship management quality and brand image. Journal of
Retailing and Consumer Services, 30, pp.262-270.
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