IT Management Assignment Essay writing help on Global information system of Singapore Airlines – Cloud computing
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Write an essay on global information system & Cloud computing for Singapore airlines??
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Introduction: Background of Singapore Airlines
Singapore Airlines (SIA) was found in the year 1947 where it was previously known as the Malayan and was renamed later to the Malayan Airlines. It was in the year 1965 that the airline got separated from the Singapore government and became an individual entity. Eventually it was named as the Singapore Airlines by the year 1972. Being restricted to a small country it hardly had any domestic routes to fly which made it compete with the international players from the start. The initial days where tough for the company, where it had to get approval from many other countries to get international route access as well as the access to airports in different sections of the world.
Singapore Airlines today ranks among the most popular International Airlines and has made a great name for it. The corporate mission and Vision as stated by the company is as follows: (SIA Annual Report 2011-12)
Mission
“Singapore Airlines has a responsibility not only to be an excellent company, but also to be an excellent citizen of the world by enhancing the lives of the people we touch. With that aim in mind, we have made many commitments to the arts and education, to our communities, and the health and welfare of our country’s citizens, and those in countries we fly to. With this goal in mind, we’ve also made a strong commitment to preserving the environment – and our world for future generations.”
Vision
“We are a global company dedicated to providing air transportation services of the highest quality and to earning good returns to shareholder.”
Today they fly one of the youngest fleet of aircrafts to 6 continents throughout the world. The brand is recognized through the image of the Singapore Girl where it provides some of the highest standard services.
As stated on the website some of the few things which the company is well known for being the 1st to:
- Offer free headsets, free drinks and a choice of meals in its Economy Class
- Introduce the satellite based inflight telephones
- Involve in comprehensive panel of world renowned chefs, the International Culinary
- Offer audio and video on demand capabilities on the Kris World
- To operate world’s longest nonstop commercial flight to Los Angeles
Corporate Structure and Business Strategy
The current chairman of the Singapore Airlines is Stephen Lee Ching Yen who had been appointed in the year 2004. The CEO and director of the company is GohChoonPhong whereby the company has another 7 independent directors in the governing body. The airline is the subsidiary of Singapore government investment and holding company Temasek Holdings that holds a 54.5% stake in the company. SIA is not only involved in the passenger aircraft business but also has diversified businesses in the related industries. It includes aircraft leasing, tour operations, air catering, aviation engineering, and ground handling. Presently the company has restructured itself where it comprises of more than 25 subsidiaries, 32 associates, along with 2 JVs (Singpore Air 2012).
Speaking about the crew members it has a good ratio of male and female stewards. Moreover it’s the branding strategy of the Singapore Girls which has made the company more popular over the years and has been the face of the company. Singapore Girl strategy has virtually been a powerful idea that has made the brand successful where SIA has eloped the mythical aura and status around the girl (Snippapers 2011).
The company has been well known for providing rigorous as well as comprehensive training programs to its employees. It has actually ensured the company to maintain high level of services over the years.
Singapore Airlines is also known for its most rigorous and comprehensive training that it imparts to its cabin and crew members. This has ensured to make the brand to deliver what it has been able to make its image over the years of its operations.(Infrastructure 2012)
IT Infrastructure within the Singapore Airlines
SIA has been awarded to be the most innovative carrier where they have revolutionized the management of the passenger service by using the next generation customer management platform. The platform is provided by Amadeus which is a leading technology as well as distribution partner in the travel industry. The decision to use Amadeus was taken by the management only after a detailed evaluation which involved exhaustive study of the Amadeus Altea Customer Management Solution. The services by Amadeus include every part of the company’s operations right from its sales to reservations along with managing the global inventory as well as departure control operations (typepad 2012).
At the time when the new technology provider was being selected the Executive Vice President for Marketing and the Regions for Singapore Airlines, Huang Cheng Eng, had quoted: “Singapore Airlines prides itself on its single-minded focus on commitment to its customers. We believe that the Altéa CMS, with its proven and scalable infrastructure, will help us to maintain and enhance our position as an industry leader in customer service, well into the foreseeable future” (Amadeus 2008).
After the decision to select Altea CMS the company had an added assurance as the travel partner came with a vast experience for migrating from the age old applications to the latest platforms and the advanced technologies for enhanced customer experience. This in a way made it simpler for the management of the company as Amedeus with its experience took care of the diverse day to day operations for the airline.
The Executive Vice President, David V. Jones, had also quoted that: “Singapore Airlines’ decision is further recognition and validation of the key concepts behind Altéa CMS. That is, a proven, future-proof platform, that is built around the customer and offers unmatched deployed functionality, which allows airlines to configure the system to deliver truly differentiated service. Singapore’s choice of Altéa underlines our expertise in providing airlines with world-class IT solutions”(Amadeus 2012).
Management Issues at Singapore Airlines
Singapore Airlines being a big brand today, the chance of any conflict in terms of security and service to arise seems quite a distant away. From the initial days only the management had adopted fully branded product and service differential strategy. The riders of its smooth service over the years are:
- Innovation
- Genuine Quality
- Excellent customer Service
- Advanced Technology
However, the above have been helping the company grow manifolds over the years; the company had faced several issues and challenges too. The established corporate structure and leadership had been the key to solve every issue that came midway. Its management had been indulging in clear corporate governance initiatives which actually possess an outstanding ability for coping up with any uncertainty, a better control in the financial as well as the physical resources, and more importantly position the information network.
The company has been successful based on the distinctive capabilities which have been implemented throughout the years of its business cycle. The future seems to be bright with SIA implementing newer technologies andlaying a stress on its core competencies. Customer service expectations that are evident to grow could only be achieved by laying stress on customer welfare, and reinforcing the consumer feedback system.
As customer feedback and complaints along with the problems that customers face is very important to know, the company needs to take the right measures to collect them and store for further processing.
Cloud Computing in the Aviation Industry
As internet has revolutionized almost every sector of businesses across the world, aviation industry has not been far behind. It has actually generated tremendous value which has resulted in higher growth, reduced operational expenses, and become a customer centric as well as globally distributed ticketing system. Singapore Airlines like the other major players across the world are facing numerous challenges which include:
- Rising low cost carriers
- Increased Fuel Prices and affecting the margins
- Increase in the competition as a result of easy access to comparative pricing
With cloud computing coming into the picture it would be a technical introduction that would help Singapore Airlines to face all the challenges that come in their way. Implementing the cloud computing technology brings in the potential for simplifying as well as accelerating the business processes and hence contributes to the growth generation for the company. Moreover it further facilitates in business intelligence systems and result in reduction of costs drastically.
Strategy for SIA to implement Cloud Computing
Implementing the Cloud Computing technology the company could benefit in a larger manner. Some of the benefits have been discussed below:
- Contribute in Real time analytics and Business Intelligence: For SIA the planning as well as the operational process is highly integrated to various systems which comprises of the Reservation and Revenue Management, Operations Control, Crew Management, etc. The company can constantly examine the traffic data with the previous load factors and the demand forecast figures only through real time analytics. It also needs to analyse and predict the traffic and facilitate the operational discrepancies which could result due to delays, bad weather conditions or any unavoidable circumstances by the use of in-depth business intelligence. With Cloud Computing being implemented SIA could have a larger platform to access data easily for real time analysis at times of any disruptive events (t-systems 2012).
- Enhance Customer Experience: For Singapore Airlines to sustain and improve customer experience one of the most important things to take care of is consistency in terms of providing reliable performance for the customers facing IT systems, particularly for the check in counters. It is not only SIA that faces challenges for providing optimum performance over the WAN networks just because of the bandwidth constraints. Another factor responsible to this is the latency underlying the IT backbone. However if the company tries the cloud computing technology, its ubiquitous nature could help in providing a much nearer end user experience. This would mean that the performance levels would not be constrained by the bandwidth to handle the delays or the prolonged operations. It would thus assist in retaining customers and hence making them satisfied with the services.
- Facilitating Cost Reduction and focussing on the core issues: When SIA utilizes the cloud computing technology it will allow the airline to focus on the core business issues. The reason for this is pretty simple. The costs to invest in next generation IT infrastructure which are popularly referred to as the data centers would considerably be reduced. It has been seen that most of the airlines receive reservations, departure control, and inventory, along with several other software services which are provided by the third parties.Cloud Computing results in lower per unit costs, simpler operations management and establishing economies of scale. For example the cloud based reservation platforms which are offered in the SAS like the SITA have already become popular for many of the larger players in the airline industry.
- Addressing Security Concerns: Last but the most important aspect that could witness a change is the security for the customer data. The Cloud Computing Technology has developed drastically over the years where it has now become mature enough for securing and handling critical data with its Tier 3 data centers. These data centers come coupled with regulations and frameworks like the ISO-27002, Sarbanes-Oxely and COBIT. Further it would surely make the process of incident investigation much easier and lead to a faster recovery and consumer response times.
Therefore with so many advantages it really becomes an important element which when implemented could help the company in a great deal. Already the airline industry seems to be at the inflection point and with cloud computing coming in would bring in hosts of benefits. In order to implement this in SIA the management needs to ensure that proper assessment of the entire IT infrastructure within the organization is carried out. The sole reason for this would be that adopting the Cloud computing not only has a change to the IT section of the company but also to all the linked areas. Thus it is recommended that they should be implemented but the company should create a strategy in accordance with the business strategy they have. This would systematically leverage the cloud computing capabilities and deliver much better results (Teradata 2011).
What Big Data is about?
As per the terminologies of Information Technology Big Data is defined as the set of data which is huge and very complex in nature. These data is highly difficult to be processed by using the on-hand based management tools. There are several challenges which include capturing, storage, searching, analysing, and visualizing. This trend of getting a larger data set is due to the additional information which is derived from the analysis of the single large set of data in comparison to the smaller set of data. Here the total amount of data allows a correlation for: (itbusinessedge 2012)
- Spotting business trends,
- Determining the quality of research,
- Preventing diseases,
- Combating crime,
- Determining the real time roadway traffic conditions
It is very difficult to work on big data by the use of relational databases as well as the desktop statistics along with the visualization packages. They require massively parallel software which runs on as much as thousands of different servers. The concept of big data may vary from one organization to the other which is directly proportional to the capabilities of an organization. For example: a big data could be hundreds of gigabytes of data for some organizations, whereas for many others it could be thousands of terabytes.
By Definition Big Data includes data sets which are of huge size and beyond the ability of the commonly used software to capture, manage, and process within a specific tolerable time. By this year the data sizes seem to have moved from a few dozen terabytes to many petabytes of data in the single data set. Sensing this as a difficult task several new platform for the big data tools has come up to make the process easier.
What is the potential of Big Data?
After understanding what exactly the Big Data is the question comes to the potential this data could have for different businesses. The recent buzz of the big data has been that it will affect the marketing and advertising innovation as well as productivity of the organizations in future.
Especially those companies who have a big customer database which surely includes the Singapore Airlines would be largely benefitted from them. Besides this there are large volumes of the data that need to be processed and made available in fraction of a time. In the past leveraging these big data sets were pretty difficult only due to the lack of technology. But in the last 5 to 6 years there has been a revolution in terms of technology, processing as well as marketing innovation. This has helped organizations with big data to capture and process data at exceptional speed. It’s not that any single industry has been benefited but almost every business unit from any sector relying on Information technology has benefitted in a great deal (itbusinessedge 2012).
How Businesses are using the Big Data?
There are numerous ways in which the businesses are utilizing the big data. Some of them have been discussed below:
- For delivering exceptional quality of services to their customers:
The fact that it has become easier to capture and process a big transactional as well as behavioural data set from both the online as well as the offline sources it has made it possible for the organizations to create narrower segments. This in turn helps the marketers for understanding the behavioural profiles of the customers along with the prospects besides facilitating in accurately anticipating the needs of the customers. Thus businesses are utilizing the processed results to deliver highly tailored as well as dynamic services. These could be at any place depending on the domain of the business. Therefore the businesses that are able to use these data in the right manner would highly benefit by an increase in the customer engagement and satisfaction.
· Improving the overall advertising efficiency:
In the recent times it has been seen that businesses are getting involved in the real time bidding models. As per this model the advertisers try to leverage audience as well as placement of data for maximizing the value they derive from the media. Using the Big data is actually extending the RTB models beyond the display or the digital technology for encompassing the entire media ecosystem. In the future it is expected for the RTB platforms will enable in linking the inventory to all the addressable channels and further enabling the brands for optimizing the price which is paid as per the exposure in the real time. Therefore with the media inventory demand and the supply getting matched in real time, the media bidding and buying platform is slated to create a better market efficiency which means offering lower prices. What this would mean is that by offering lower prices the possibility of the advertisers as well as the publishers for allocating the investments and hence benefiting the consumers.
- Increasing the profitability:
Big Data along with the analytics has become the epicentre of driving profitability for most of the businesses. With the emphasis being laid largely on the bottom line every business is getting concerned about the quality of customers they are able to attract and retain. The innovation which has been evident in the location based services along with mobile profiling will actually make the marketers for personalizing the messages and offer a real time based on profile of the consumers. Moreover it also provides their location, the inventory available, etc. The marketers of different business units are not able to evaluate the impact of their programs on short term sales as well as the long term customer perception and brand loyalty.
What are the Business opportunities and benefits from Big Data?
With the Big data already popular and vastly used around the organizations around the globe the opportunities that it holds and the benefits it is expected to provide is evident. The Big data is already transforming the way businesses are thinking about their marketing strategies. With innovative offerings and the big data that is being processed from the media channels, media buying or the feedback loops would certainly help the businesses for delivering meaningful as well as personalized experiences. Further it would facilitate in understanding consumer behaviour, improving the offerings and building a much stronger prospects for the customers to become brand loyal (getsatisfaction 2011).
What are the Problems and drawbacks of Big Data?
Although big data is highly efficient when used in the right manner there comes a few problems or drawbacks with it as well. Many experts such as Danah Boyd have raised concerns of the big data being used while neglecting the principles of science. A common example cited by her was the method to choose representative sample while being much concerned about the amount of data that is available. As she mentions the approach of selective sampling may yield biased results in a way or the other.
Many others have also argued that although the integration across several heterogeneous data sources which often is considered to be as big data presents formidable logistical and analytical challenges, it may actually represent the most promising new frontiers of science. As per the assertion of Chris Anderson big data could be an end of theory, where it the data would always be contextualized in the social, political as well as economical contexts. Another drawback which had been cited is the lack of knowledge among the employees to properly process the data that are made available to them. It is estimated that where businesses are spending millions for deriving an insight information from the information they get from their suppliers and customers only a small proportion of their workforce actually do it right to process the data in the manner it deserves.
Also some have even raised the concerns over the consumer privacy with the threat due to the increase in storage as well as integration of the personally identifiable information. In the recent times numerous expert panels have been releasing various policy recommendations for protecting the possibility of intrusion in privacy of the consumers in an attempt to gather big data.
What are the future of big data and the next steps of taking advantage from it?
Businesses around the globe are indulging in finding out the best ways for storing the big data which is actually a big challenge for all. The most difficult of the sources for the big data to be stored is the internet. This has been regarded as the most challenging aspect where machine to machine data sharing as well as analytics would be one of them. Currently with the amount of big data flowing in for each organization the businesses are focussing on finding out the right ways for to collect and store them. The future of Big Data will have the companies stressing on the storage than concentrating on the advanced analytics.
Another big challenge that seems to be in store for the future is the explosion of the machine to machine data. The common sight in consumer and industrial devices are the wireless sensors. In Japan high speed trains come with sensors to check the seismic activities, anomalies, environmental changes as well as unexpected rail traffic. In the future with machines talking to other machines and sharing information, correlating the things which goes in a place with another and finally coming out with the conclusions so that its presented to the humans to take the right steps and measures. This further brings in tactical as well as financial challenges for the business globally (getsatisfaction 2012).
With the future of big data bringing challenges the best way of taking advantages need not involve throwing of data in a storage system. But it should be stored in such a way that the big data could be accessed from any corner of the world when required.
One of the means through which even the smaller businesses can take advantage of the big data is the In-memory analytics. This advanced analytics system offers sub second response times along with hundreds of thousands of transactions every second. With the costs coming down it surely comes within the reach of the smaller organization and take advantage of the big data. Researches are being conducted for aligning businesses and IT in a much closer manner through the master’s program which focuses on the analytics. (businessonmain 2011)
Reasons why Singapore Airlines should consider using big data?
With all the advantages discussed above it must be clear that Big Data could do wonders to any sector where it is used in. For Singapore Airlines to take the use of Big Data the reasons would be as follows:
- It will allow the management to take critical decisions. These decisions would include the time to decide when the inventories need to be opened or closed on the existing flights in order to avoid overbooking issues.
- It would facilitate in leveraging the Integrated Passenger Name Record(iPNR) data warehouse by the use of sophisticated analytics for providing the details on overbooking as well as passenger no-shows.
- Would help in highlighting the impact of the customer behaviour on the basis of on demand and show rate trends hidden in the PNR details.
- Would provide detailed description for every metric as well as report layout that would include the value along with the audience for that particular report.
- Moreover with the big data being captured and deliver the desired results it would be easier for the company for understanding the real causes for current trends and possible shifts in the customer behaviour.
Risks that Singapore Airlines should consider and the ways it could mitigate them
The possible risks which may arise while the company trying to consider big data for processing could be as follows:
- May not depict the real picture: As for analysis a section of the larger data is taken it may not reflect the right picture. In order to mitigate this effect it would be required to take the data for processing from almost all corners and all sections which reflects the average consensus.
- May not have the right tools: Big data is obviously much more complex and difficult to handle. It would take the company to adopt the right tools to collect and process the huge collection of data so that the results are reliable and depict the real picture.
- Lack of skilled Technicians: Well it is not easy for every engineer to use and process the Big Data. It needs highly skilled understanding and knowledge to process the data in the manner which it has to be. In order to mitigate this, the thing which most companies have adopted and SIA would be required to adopt will be training the technical staff by the experts who understand big data in the best possible manner.
- Getting customer confidence and maintaining privacy of the customer data: The primary concern is to provide the right security to ensure customer data is protected. Moreover as big data includes all personal information of thousands of customers it is very important to protect them from any unauthorized access. Using the most advanced tools and software which have been serving the companies in handling security of big data for years could be the only solution to this.
How the SIA can measure the success of its Big Data initiative?
While discussing everything above the point where all comes and stop is how one can track or measure the success of Big Data initiative. Well yes the only thing which matters for a successful business is the ROI which is the first thing companies tend to find out before implementing a project. The success is evaluated in two phases where the 1st involves discovery. Initial calculations of ROI may not actually be the result which you might be getting. As it is very difficult to predict what is in store for the future one could surely expect additional ROI benefits which might not have been thought of. SO while using the Big Data it is recommended to perform the cost benefits analysis for the project although many benefits are not visible while you calculate. It is important to carry out the cost benefit analysis in three stages namely:
- Before implementation
- During implementation
- After successful implementation
Conclusion
Singapore Airlines as mentioned is the youngest fleet carrier today. With its innovative approach and attractive branding strategies is destined to grow and reach heights. The company is currently using the Information Technology, Cloud computing and Big Data in some or the other way. However the implementation of each with a strategy to work in phases would do wonders for the company. SIA could utilize the data and the information collected to provide better customer services and also increase operational efficiency. Therefore, with the focus to provide enhanced customer satisfaction and cater to the needs to compete while providing efficient services each of the aspects discussed above needs to be discussed and implemented in phases. Further a proper follow up and regular monitoring by the right authorities would be one of the important aspects as well as the challenges that the company needs to address.
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