Role of information systems in thomas cook essay

Top of Form A REPORT ON ENHANCING THE OPERATIONS IN MODULE CODE: 4BIT7B3 W12258808 Table of Contents EXECUTIVE SUMMARY The report basically focuses on mySAP CRM- Software in Retail Tourism Marketing of Thomas Cook AG. It considers the key challenges faced by the firm and how mySAP CRM software acts as an efficient and effective system in managing the firm’s retail marketing operations. The report also considers the benefits like customer data management, effective coordination of several marketing campaigns, lead management and quick decision making and processing cycle gained by the firm after the installation of the system.

The report after an analysis of the system also throws light on the several conclusions. It can be clearly stated that with the help of mySAP CRM system, Thomas Cook AG has been able to reach maximum customers with minimum cost and continues its legacy of direct marketing. Thomas Cook AG has effectively planned and evaluating their marketing campaigns and avoided over budgeted campaigns Thomas Cook AG has an edge over its other competitors by its immediate response to dynamic changes in the environment. The report also provides recommendations such as effective communication at all levels and valuable rewards to efficient users, periodic and sufficient training to end users and analysis by Thomas Cook AG of the cost and the impact of the implementation of software in other subsidiaries before the final implementation. INTRODUCTION The report mainly concentrates on how successfully Thomas Cook AG has managed to fulfil its business objectives with the implementation of the mySAP CRM software. The report is structured in a manner to facilitate the understanding of the adoption of particular information software in Thomas Cook AG. The benefit after the application of the software has been critically evaluated. The drawbacks are considered for drawing conclusions and suggesting suitable recommendations.

Implementation of the new software indicates Thomas Cook AG’s concerns with regards to its operational issues and an initiative to search for a relevant solution. RESEARCH The process of data collection and analysis has been an integrated research process. Statements like “ Information Systems in Thomas Cook”,” mySAP CRM in Thomas Cook” were used to facilitate the search process on Google Scholar particularly.

Google Scholar was the main sources of the relevant information in the report. One of the drawbacks in the process of analysis was lack of information on the CPS system used by Thomas Cook AG. It is no longer supported by IBM, hence the difficulty.

ANALYSIS Thomas Cook AG’s merger with My Travel Group Plc in 2007 gave birth to Thomas Cook Group Plc. (Special Report: Thomas Cook and MyTravel merger, 15 Feb 2007). DIRECT MARKETING “ Direct Marketing is the interactive use of advertising media, to stimulate an (immediate behavior modification in such a way that this behavior can be tracked, recorded, analyzed, and stored on a database for future retrieval and use”. (Jacobs R.

and Stone B. , 2001, p. 4) However but what it lacked was an effective and required technology to make direct marketing a success. The System as per the then IT project Manager posed difficulties as below: CSP made the error search process tedious and complex. CSP had reached its maximum limit of customer database memory by 2004 and further delayed the process of generating reports on campaigns and market segments CSP was an outdated version which could not take into consideration today’s travel world, where each customer has a different choice.

CSP lead to rise in the cost of campaigns of Thomas Cook With its growing consumer base and the rising cost of maintenance of the existing system, Thomas Cook AG felt the need for a simple to use system, costing lower than the profits gained and most important smooth processing of the retail marketing process i. . quick segmentation, target market details, advertising campaigns etc. A wise decision was initiated by implementing the mySAP CRM (Customer Relationship Management) Software from SAP. mySAP™ CRM(Customer Relationship Management) mySAP CRM is a product of SAP Global.

mySAP CRM Software also includes SAP Business Suite. The Business Suite offers several plus points like enabling quick decision making, reducing cost to name a few. 250 Connector for mySAP™ CRM, 16 April 2007).

SAP Net Weaver® unifies technology components into a single platform, providing best way to integrate all systems running SAP or non- SAP software. (SAP Customer Success Story Retail-Tourism Marketing, 2006) Analytics function. Benefits Reduced Cost: mySAP CRM reduced the cost of reaching the target consumers for Thomas Cook AG. “ Thomas Cook can now reach more customers without having to increase spending. In the past we were only able to integrate one type of reservation system to collect customer data. Now, we can integrate four,” Rainer Wegmann, IT Project Manager, Thomas Cook Group AG. SAP Customer Success Story Retail-Tourism Marketing, 2006) *Campaign and Lead *Management: Reduced dependence on IT for Market Segmentation Thomas Cook AG marketing team with the help of mySAP CRM need not rely on its IT department any longer for a third party subscription data.

mySAP CRM provided a single point of access for its external customers-both existing and prospects and internal customers. Graphical visualizations and interactive drag and drop interface speeded up the entire process of market segmentation and listing. Personalized Portals mySAP CRM’s Role based personalized portals accelerated the process of decision making in Thomas Cook AG by consolidating the relevant and intelligent information onto the portal for the respective players to take quick and wise decisions. mySAP CRM provided Thomas Cook AG the flexibility to grow its long term business and at the same time fulfil the organisation’s business objectives. This prompted the planning of implementation of mySAP CRM in its other foreign subsidiaries.

(SAP Customer Success Story Retail-Tourism Marketing, 2006) LimitationsThe above analysis proved that mySAP CRM benefited Thomas Cook AG, but a few shortcomings are described. CONCLUSION On the basis of the above analysis; it’s clearly proven that implementation of the relevant and updated information system has given Thomas Cook AG an edge over its other fellow mates. We can draw the below conclusions: With the help of specially Analytics; Thomas Cook AG has avoided unnecessary and over budgeted ad campaigns and again saved a little money on the cost factor. RecommendationsThomas Cook AG should ensure effective communication about the implementation of software through all levels.

An ideal recommendation would be bonus or rewards for the efficient users. This will help in gaining the commitment of the user. Thomas Cook AG’s plans to implement the mySAP CRM software in its other subsidiaries needs to be on a carefully analysed. Impacts and the cost of the implementation on the structure of the subsidiaries need to be considered. REFERENCES Thomas Cook AG Key Facts, 5 Feb 2007. [online] Available from: