Dear Students,
This is the 3rd Case study. Good luck.Case Study 3
The airport had a Web site but not a clearly defined Web strategy. The company saw the potential of the Internet to implement a simple to use document publishing system; the development of a major customer-focused Web presence; and to integrate partners’ systems to provide services to customers.
In essence the Airport wanted to develop online services that would generate income and ultimately increase profitability. In addition, it was thought that the Web site should offer local residents information in relation to the ways in which the airport might affect them as one way to maintain and improve community relations.
As the Airport has complex relationships with the companies that operate within its boundaries it was clear that the business objectives of the airport would need to be handled sensitively in order to maintain the high level of rapport enjoyed between all parties.
The Airport considered the Web site to be fundamentally important and so decided it should host the system. The Web site had to integrate with existing systems such as CRM database and messaging systems along with the platforms used by partners and suppliers. The preferred approach was to have a fully integrated system under the
An underlying principle was to make use of existing technology as much as possible. Also the solution had to fit wherever possible with existing skills sets in the organisation. The Airport decided to pick the technical infrastructure requirements leaving the supplier to design and build the solution.
The Airport required a solution developer with the technical expertise to design and develop a fully functional web site that was integrated with backend systems, that was qualified to act as a one-stop-shop partner who would assume full responsibility for the design, building and installation of the Web site, was able to provide 24/7/52 operational support, that could understand the Airport’s business and was able to communicate and work with all Airport staff.
The company chosen, from a shortlist of four, was based about 10 kilometres from the airport, met all of the Airport’s selection criteria and was very comfortable working closely with non-technical staff.
The first stage of the Web site provided up-to-the-minute details of arrivals and departures similar to those shown in the passenger lounges at the airport. This alleviated the number of calls enquiring about the timing of flights. The Web site provided the facility to book scheduled flights and hotel accommodation. Rather than develop a new system it was decided to integrate with the already-available Telme.com online travel booking service. This integration was designed in a seamless way.
In order to use many of the services supplied on the site, users must register on-line. This data is then utilised whenever a service is requested. If the customer wishes to book a flight via Telme.com then the airport’s own CRM (customer relationship management) system feeds information into the Telme system, receives data back and then passes it to the user as appropriate. A significant amount of effort was expended to ensure that the functioning of the Web site met the real world requirements of users by involving them in the testing process.
The second phase of the operation was targeted to exploit the new Web presence and the on-line
· preorder duty-free products on-line
· reserve airport car parking spaces
· book charter flights and package holidays
· preorder foreign currency.
The Web site receives up to 500,000 hits per day. The benefits of the e-business systems are many. Passengers are feeling more comfortable with the Airport as a result of the Web site since they can understand the layout, parking, shopping and currency exchange facilities before they leave home. Local community residents can be informed of developments at the Airport which helps community relations. Through the on-line shopping and ordering systems, income and profits are increasing. Finally, there has been substantial increases in revenue to the airport from car parking. Prior to the new Web site an outside company had sole control of the parking and the airport only received 5% of revenue. Via on-line booking, 90% of the revenue now comes to the Airport.
Overall, the main lessons learned from their experiences are: exploit the experience of employees; work closely with the real end users and work with suppliers in a partnership fashion.
From an e-business perspective the system is successful because it provides what the users want in a convenient manner. Travellers require timely and accurate data and the new Web applications provided this.
Questions
Answer any 5 Questions. Attempt all if you are smart.
1. Identify the key business objectives related to the Airport’s e-business initiatives.
2. Who was involved in the Web Development team? Did this conform to good practice principles explained in this chapter?
3. Classify the main benefits of the new Web site?
4. Visit the Web site of
5. How do you see the site evolving in the future?
6. Identify the various ways that Dell Corporation uses e-business in its sale of computers - both B2C and B2B.
7. What have been the benefits of using e-business for Dell Corporation?
8. Visit the Web Site of Dell Corporation (www.Dell.com) and provide a 200 word review of the site.
9. Do you believe Dell's use of e-business has given the company a competitive advantage? Is this competitive advantage sustainable over the medium to long term? Explain your answer.
10. Do you believe all large companies will use the Internet in the future like Dell Corporation?
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