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Enhancing Guest Experiences Through Smart Hotel Systems in the Hotel Industry in China: A System Integration Approach

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“Better, Faster, and Cheaper” was the trend in both the hotel and the telecom industries in China, However, simply competing for the lowest price would not help either to survive a price war. Future Trees International Hotel (Future Trees), one of the biggest hotel operators in China, strove to win market share through a partnership with telecom operators. Through the partnership between hotel operators and the telecom operator, smart hotels had a competitive advantage over traditional hotels by offering innovative guest experiences throughout the entire check-in to checkout journey. With a portfolio of over 40 hotel brands ranging from luxury to economy, Future Trees’s strategy was to implement unique digital experiences tailored for each customer segment. 

Reflecting on the previous system implementation experience, Future Trees decided to adopt a less common system solution approach within the hotel industry. The open-source system integration solution approach could be rewarding but was also risky. Hotel operators implementing this solution needed to weigh the benefit and risks across strategy, operations, and technology. While many other forward-thinking companies had adopted an open source or system integration solution to capitalize on various strategic advantages, Future Trees aimed to also benefit from the technological advancement offered. Future Trees was convinced that a vendor independent system solution would tremendously contribute to its competitive advantage in the long run. Information systems were increasingly an enabler when in gaining  competitive advantages. However, information systems did not conveniently become a business solution unless carefully crafted. What was the most appropriate approach to bridge the gap of a set of technologies and an effective business solution? Was open source the best candidate? Did an open-source approach offer an ecosystem that allowed the hotel industry to harness technologies to its best advantage?

Learning Objective:

  • To investigate why system integration is critical to system implementation success
  • To discuss what the opportunities and challenges are for smart hotel systems
  • To examine what the key benefits and issues are for a business ecosystem formed between the hotel and telecom industries
  • To probe what the critical factors are for a sustainable partnership system for telecom and hotel operators
  • To investigate what the key success factors are in smart system implementations

Year of Publication: 2024
Ref. No.: 24/804C
Discipline: Management of Information Systems
Industry: Hotels, Restaurants, Leisure, Software & Services, Technology Hardware, Telecommunication Services
Country: China (People's Rep. of)
Company: Future Trees International Hotel
Languages: English
Pages of Text: 8