GRUNGE HOTELS

Strategic Evaluation for Grunge Hotels

Strategic Evaluation for Grunge Hotels

Introduction - Background - briefly describe the issues that are hindering the organisation, and what it needs to focus on to move forward.

Grunge Hotel Group is looking to implement information technology system in the company to improve the performance of its business. At present, there are 43 1 star hotels operating individually with a manual recording bookings done over the phone and all the financial transactions are processed manually.

Issues Hindering the Organisation

Lack of knowledge within the employees.

No training provided by the company to the employees.

The hotel prides in being the cheapest, thus the implementation of this system will mean that the company will have to increase its costs.

Tackling the Issues to move forward with the New Hotel Management System

There are many systems present to help the company work efficiently; however, two of these systems are the ones that will prove to be effective for the company. The decision support system will help the company in managing information and in helping the company to ensure that the information is being used effectively. This will help the company in knowing as to what should be done and what steps they should take to implement the effective management of information.

The Management Information Systems (MIS) is another system that will help the company in managing information in an effective manner and in helping the people in knowing as to what should be done and how they should be able to use the information for the betterment of the organization (Panko, 2004, pp. 21-39). In addition to this, this system is time saving as well. This paper will discuss the implementation of technology.

Current SWOT Analysis

SWOT Analysis:

Strength

Weakness

Established since 1991, the customer service of the company is very effective and has helped the company in earning more and being cash rich.

Highly skilled Eastern European employees accepting rates of pay below the market average- hard and diligent workers.

A large Head Office with a substantial basement which can be used as storage for IT systems such as servers and equipment.

Good ratings on websites producing reports on hotels- medical professionals recommendations to their patients.

Manual recording bookings done over the phone- all financial transactions are processed manually.

Finance Staff (including Director) with no appropriate qualification in order to keep the cost down resulting in a low standard end of year accounts.

Lack of information technologists

Security risks that impact the company in a negative manner and that cause hindrances to the operations of the business.

Issue of improper supervision and management causes negative impacts on the company.

Opportunity

Threats

An auction of 200 properties (many in an appalling state resulting in very low prices) nationwide being cleared jointly by government agencies and the police, which are suitable to convert into hotels.

Russian Oligarch committing £500 million for a free week's holiday at a good quality hotel for all the people made unemployed.

New government policy for schools promoting trades, resulting school leavers being good tradespersons.

Employing information technologists is an essential and important task for ...