Wyndham International: Fostering High-Touch with High Tech :Wyndham International: Fostering High-Touch with High Tech Sergio Wilson


Slide 2:Background History


U.S. Real Estate Investment Trust Act :U.S. Real Estate Investment Trust Act Introduced by the United State Congress in the1960’s Act created the Real State Investment Trust (REIT) Corporate Structure Must have 75% of its Total Asset in Real State Gross Income from Rates, Mortgage Interest, Real State Sales Gain 90% of its Taxable Income to its Shareholders


C-Corporation :C-Corporation Hotel Management and Operations: Brand Focus Market Based Research Competitor Analysis Business Analysis Approach Oblique Strategy or Direct Attack


Research Findings :Research Findings Personalized Service over Ancillary Services Low Brand Awareness Brand Erosion Low Customer Retention Rate – Commodity Wyndham Goals: Redefine Positioning Strategy Increase Brand Equity Streamline Operations


Lodging Industry :Lodging Industry Information Technology: It is a Capital Expenditure Dehumanize Service No Source of Competitive Advantage Lack of a Comprehensive Analysis – Complex Structure No Centralized Decision Making -> Lack of Standardized Computer Infrastructure


Lodging Industry IT :Lodging Industry IT


Change Champion :Change Champion Wyndham ByRequests: “We are going to say: We are the brand who really recognizes that guest are individuals, we know you have specific needs, quirks – you tell us about them and we are going to remember them” Andrew Jordan


Change Producer :Change Producer “It is very easy for us to centralize our IT infrastructure. To obtain the capital required we have one approval cycle to go through, whereas the selling process is much longer for no-owned assets.” Mark Hedley


Current IT Infrastructure :Current IT Infrastructure Client Server Application:


Proposed IT Infrastructure :Proposed IT Infrastructure Web Based Application:


Wyndham ByRequest :Wyndham ByRequest


Wyndham ByRequest :Wyndham ByRequest


Project Management :Project Management Project Manager: Mark Hedley Developer Team: 67 IT professionals Project Duration: 7 Months Project Objectives: PMS Integration Call Accounting System Wyndham ByRequest Development


Technology Acquisition :Technology Acquisition Data Center IBM S-85 Micros Fidelio Version 6 PMS Wyndham ByRequest Application Sun Microsystems Enterprise 10 K Server Unix Operating System BEA Web Logic


Selection Criteria :Selection Criteria Capital Budgeting Analysis: Net Present Value Return on Investment Internal Rate of Return Payback Period “The Call-Accounting System eliminated more than 100 local systems and is expected to produce a 269% return on Investment over five years” Mark Hedley


Projects Results :Projects Results


Project Results :Project Results CIO 100 Award Hospitality Technology Lodging Award Information Week 500 Award “Best of Show” Award


Conclusion :Conclusion Sustainability of Competitive Advantage?


Sources :Sources 1. Piccoli, Gabrielle. Applegate, Lynda M. (2003, February 11) Wyndham International: Forecasting High-Touch with High-Tech. Harvard Business School. 2. Jesitus, John. (2004, March 15) Integration tops list of Tech Concerns. Hotel & Motel Management. 3. Parets, Robyn Taylor (2004, June 21) Leveraging Technology enhances Hotel Operations. HotelMotel.com 4. Hoffman, Thomas. (2003, February) Squeeze Play. Computerworld 5. Carol, Silwa. (2005, May) Users Rate Microsoft Lat in Licensing Policies. Computerworld. 6. Anthes, Gary H. (2004, March) Wyndham Checks out Benefits of Centralized Call –Accounting. Computerworld 7. Hospitality.net (2002, February) Wyndham International Wins the Prestigious HSMAI "Best of Show" Award for Excellence in Advertising