Monday, May 6, 2019
IT Hilton Case Coursework Example | Topics and Well Written Essays - 1000 words
IT Hilton Case - Coursework ExampleGood brands foster customer loyalty and loyal customers atomic number 18 more willing to increase their frequency of purchase or number of purchases in addition to bonny marketers for the hotel through word of mouth. Brand is therefore an important asset to any company. 2. Evaluate the performance of the Customers authentically Matter initiative to date. Calculate an ROI for the project as (Total number of calls * increase modulation ratio * lettuce revenue per call) / OnQ CRM investment. Support this analysis with qualitative rationale. Note the difference between OnQ (the entire infrastructure for caterpillar tread Hilton that cost $100m) and the OnQ CRM which is the focus here. From the chart above that has been derived from the ROI equation it is evident that the Customers Really Matter initiative has been having an change magnitude positive impact to Hilton. The positive slope manifests an increasing return on investment. From the chart we can resolve that Hiltons managers have been effectively using the investment in OnQ CRM to produce more income. Another dash of looking at this chart is that the numerator has been increasing more rapidly than the denominator. This implies that many calls were closed (as shown by conversion ratio increases), Hiltons efficiency increased (as shown by net revenue per call increases) and increase in customers/potential customers (as shown by increase in total number of calls). In summary it means that Hilton is modify its ability to extract value from its investment in the OnQ CRM system. 3. What do you think Hilton leadership should do aft(prenominal) the Blackstone acquisition? Should they further invest in CRM or simply maintain the term quo? What aspects of Hiltons CRM should be strengthened, if any, and how? Hilton leadership should focus their efforts on using the resources obtained from the Blackstone acquisition to tackle their threats and weaknesses. For starters Hilto n is aware that consistency and delivery in service is heavily dependent on their front-end staff. Secondly, with the CRM Hilton is tardily losing the chance to interact with its customers i.e. human touch is slowly being replaced by IT systems. Hilton is in the hospitality industry and in as much as IT systems may be effective they lack the capacity to create personal relationships with customers. Furthermore, too much investment in the CRM would create too much reliance on it, which implies that it could be a single point of failure. This only increases the risk associated with using the CRM. From the points raised above we believe that Hilton would be better off in maintaining the status quo than in over-investing on the CRM. The funds obtained from Blackstone could instead be used to improve the groups instruction system, front-end staff skills acquisition and to support the elaborateness drive towards increasing its hotels to increase its market share. From Exhibit 1 (Appl egate, Piccoli, and Dev 7) we can see that Hilton is the fifth largest hotel group. Blackstones funds should be used to continue the aggressive expansion program. 4. Briefly evaluate the potential value of CRM for one of the firms a team process works for. How significant could CRM be to the firm? Does CRM raise any potential customer data solitude concerns in this example? Dell is a leading PC manufacturer in the world and as such requires the services of a robust CRM that can handle over three
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