Analyzing ICT's Impact on Travel Agency Business Operations

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This report examines the application of Information and Communication Technology (ICT) in the business operations of travel agencies. It highlights the significance of the Internet and ICTs in facilitating global communication among providers, mediators, and customers. The report delves into e-tourism, emphasizing its role in digitizing processes and value chains within the travel industry, and discusses how e-tourism utilizes intranets, extranets, and the Internet for internal process improvements, partner exchanges, and customer interactions, respectively. The report also explores the use of Computer Reservation Systems (CRSs) and Global Distribution Systems (GDSs) by principals to manage inventory and disseminate information. Furthermore, the report underscores the importance of ICTs as essential tools for travel agencies, providing reservation facilities and supporting intermediation between customers and principals, ultimately enhancing business performance. It also references the evolution of the World Wide Web and the impact of ICT on relationship enhancement and performance in tourism channels.
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Running head: THE USAGE OF ICT IN BUSINESS OPERATION OF TRAVEL AGENCY
The usage of ICT in business operation of travel agency
Name of the Student
Name of the University
Author’s note
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1THE USAGE OF ICT IN BUSINESS OPERATION OF TRAVEL AGENCY
The Internet and ICTs are pertinent on all agents, auxiliary, vital and advertising levels to
encourage worldwide communication among providers, mediators and purchasers round the
globe. The ideas and meanings of the important terms identified with the ICTs and the
Internet will be given in this article. This article will highlight the use of information and
communication technology (ICT) in travel agencies for business operations.
This article features e - tourism which mirrors the digital form of all processes and value
chains in the travel, tourism, accommodation and cooking enterprises (Aghaei, Nematbakhsh
& Farsani, 2012); e-tourism plans the intensity of the affiliations by exploring intranets for
revamping inner processes, extranets for developing exchanges with put stock in collaborator
and the Internet for communicating with each and every one of its customers and partners.
The e-tourism plan involves all business capabilities like e-commerce, e-finance, e-
procurement, e-marketing and e-accounting, e-production and also e-planning, e-strategy and
e-management for all sectors of the travel and tourism business, involving tourism,
principals, recreation, travel, transport, open segment involvements, friendliness and go-
betweens.
The article similarly grandstands that principals use CRSs to deal with their stock and
disseminate their ability and additionally to deal with the uncommon development of
worldwide tourism (PhoCusWright, 2012). Carriers spearheaded this innovation, in spite of
the fact that inn networks and visit administrators took after by creating unified reservation
frameworks. CRSs can be described as the "flow framework" of the tourism item.
The article also incorporates that aircraft CRSs formed into GDSs by bit by bit developing
their geological opportunities and in addition by comprehending both precisely, with other
bearer frameworks, and vertically via adjoining the entire opportunities of principals, for
instance- ship ticketing, settlement, amusement, auto rentals and various arrangements
(Ashari, Heidari & Parvaresh, 2014).
As per the author, go-betweens assume an essential portion in the business via offering some
incentive - added exercises and regulations to merchants, purchasers. The most surely
understood mediators in real world are retailers and wholesalers. Basically, middle people of
the tour and travel business have been inbound and outbound travel agencies (Aghaei,
Nematbakhsh & Farsani, 2012). In any case, the Internet regenerates the entire tour and travel
value chain, constraining the modern mediators to take up the new way and to develop
relevant plans of action.
According to author, ICTs are indispensable apparatuses for travel agencies as they give data
and reservation offices and bolster the intermediation amongst purchasers and principals.
travel agencies work different reservation frameworks, which mostly empower them to check
accessibility and reserve a spot for tourism items (Berné et al., 2015). As of not long ago
GDSs have been basic for business travel agencies to get to data and reserve a spot on booked
aircrafts, inn networks, auto rentals and an assortment of auxiliary administrations. GDSs
help develop muddled agendas, while they give forward calendars, costs and accessibility
data, and a compelling reservation strategy. Likewise, they offered inward administration
modules incorporating the "back office" and "front office". Numerous travel agencies
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2THE USAGE OF ICT IN BUSINESS OPERATION OF TRAVEL AGENCY
specifically encounter more advantages by accomplishing better coordination and control
between their remote branches and central station (Opara & Onyije, 2013). Exchanges can
give important information to budgetary and operational control and in addition for
promoting research, which can examine the market variances and enhance strategic choices.
The coordinated research demonstrates tourism area is especially vulnerable to the utilization
of ICT apparatuses. The led inquire about demonstrates the distinctions in the watched points
of interest and boundaries for ICT usage by tourism undertakings, which may speak to the
impact of both the particular idea of performed exercises and the offered item.
References
Aghaei, S., Nematbakhsh, M.A. & Farsani, H.K. (2012). Evolution of the World Wide Web:
from Web 1.0 to Web 4.0. International Journal of Web & Semantic Technology, 3
(1): 1–10.
Ashari, H.A., Heidari, M. & Parvaresh, S. (2014). Improving SMTEs’ business
performance through strategic use of information communication technology: ICT
and tourism challenges and opportunities. International Journal of Academic Research
in Accounting, Finance and Management Sciences, 4 (3): 1–20.
Berné, C., García-González, M., García-Ucedac, M.E. & Múgica, J.M. (2015). The effect of
ICT on relationship enhancement and performance in tourism channels. tourism
Management, 48 (June): 188–198.
Opara, J.A. & Onyije, E. (2013). Information and communication technologies (ICT): a
panacea to achieving effective goals in institutional administration. International
Journal of Management Sciences, 1 (1): 11–15.
PhoCusWright (2012). Raport. Turystyka online na rynkach Europy Wschodniej. Available
at:www.amadeus.com/pl/documents/aco/pl/Amadeus%20Raport%20Phocuswright
%20informacja%20prasowa.pdf (accessed on 22.07. 2015.
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