Transcript Chapter 1 - HFT 3444

“The most valuable commodity I know of is information.
Wouldn’t you agree. ”
Gordon Gekko, the character played by Michael
Douglas in the film Wall Street
Information Processing
RAW DATA
Decision
Making
Rules
Shaped
Data
Reservations/Front Office/Sales/POS/Accounting, etc.
INFORMATION
Information Systems
An information system(IS) is typically considered to be a set of
interrelated elements or components that collect(input),
manipulate(processes), and disseminate (output) data and
information and provide a feedback mechanism to meet an
objective.
Payroll
System
IS vsIT
INFORMATION
TECHNOLOGY
Inventor
y
System
Hardware
Software
Databases
Networks
Other related
components
are used to build
INFORMATION
SYSTEMS
Marketin
g System
Customer
Service
System
Computer is defined…
A computer is an electronic device, operating
under the control of instructions (software) stored in
its own memory unit, that can accept data (input),
manipulate data (process), and produce
information
(output)
from
the
processing.
Generally, the term is used to describe a collection
of devices that function together as a system.
8 bits
1000 bytes
1000 kilobytes
1000 megabytes
1000 gigabytes
=
=
=
=
=
1 byte
1 kilobyte
1 megabyte(MB)
1 gigabyte (GB)
1 terabyte (TB)
Devices that comprise a computer system
Monitor
(output)
Speaker
(output)
System unit
(processor, memory…)
Printer
(output)
Storage devices
(CD-RW, Floppy,
Hard disk, zip,…)
Scanner
(input)
Mouse
(input)
Keyboard
(input)
Computer system unit internal view
Information Processing
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Information Processing Phases:
 Input: Collection and
conversion of data for
processing.
 Processing: Performs work on
data – calculating, classifying,
sorting, and summarizing.
 Output: Preparation of
processed information into a
form acceptable for analysis.
Information Processing
Information Processing Phases:
 Output:
An effective information system will inform
management when results deviate from
predetermined goals. Feedback is necessary for
operational control. An information system may be
composed of many subsystems where the output
of on subsystem often becomes the input into
another.
 Storage: After data is processed, then is
commonly stored. Operations need to accumulate
historical statistics and financial totals for
accounting purposes and to guage performance.
Input Devices
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Keyboard – Most widely used device for entering text and
information.
Mouse – Used in conjunction with the keyboard.
Touchscreen – Popular input device used in various hospitality
environments (e.g., restaurants). Click on this Video Link: An
example of a multi-touch screen. Click on this Video Link: Learn
about Microsoft’s Surface Computing.
Voice Recognition – Used to book hotel rooms. A voice portal
allows customers to access information from Web using a voice
browser. Automatic speech recognition connects a user directly to
the Web with voice prompts without a personal or handheld
computer. Click on this Video Link: Tellme.com.
Pen-based – Used to enter for various hospitality applications (e.g.,
entering a food order) on PDAs using a pen-like stylus. Other types
of wireless handhelds can operate by single or multi-touch.
Scanners and Bar-Code Readers – Used to identify luggage and
inventory items.
Radio-Frequency Identification – Used to provide hotel guests with
keyless entry into hotel rooms. Click on this Video Link: “RFID Wine
Selection and POS System.”
Biometrics – Uses a person’s physical traits to restrict access to
physical locations, equipment, and computer systems. Click on this
Video Link: “The future of biometrics.”
I/O in Hospitality
 LCD
(liquid crystal
display
(touchscreen)
 Hand Held Terminals
 Cash Register
 Point of Sales (POS)
 Bar Code Reader
 Scanner
Input Devices
 Barcode
Introduction to Computers:
CPU
Central Processing Unit – The heart of the computer where data
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is processed. Click on this Video Link: History of Intel CPU.
A CPU consists of control and arithmetic/logic units and primary
storage.
Primary Storage consists of random-access memory (RAM) and
read-only memory (ROM). RAM is measured in bytes. Most
computers come equipped with at least 512,000,000 bytes (512
MB). The number of bytes required depends on how much
space the program and data occupy.
Speed is measured in gigahertz (GHz) or million instructions per
seconds (MIPS). It is important to make sure that the CPU has
enough processing power to handle all system requests. The
speed at which data travels is affected by the data bus or size
of the data path. A 64-bit bus can transfer data more quickly
than 32-bit bus. The latest development is the multi-core CPU,
which enables two (dual-core) or four (quad-core) CPUs to be
integrated on a single processor chip.
More RAM enables a program to run faster since
more of it can be loaded into RAM. Windows 7
requires at least 1 Gigabyte of RAM for it to run
comfortably.
Introduction to Computers:
Storage Devices
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Hard Disk - Most of the data processed by a computer
resides in permanent or nonvolatile storage called a hard
disk. The size of the hard disk depends on program and data
space requirements. Typical capacity ranges from 80
gigabytes to over one trillion bytes or one terabyte (1 TB).
Click on this Video Link: Look at the inside of a hard drive.
USB Flash Drive - A miniature mobile device (16 MB to 4 GB)
that is used to transfer data between a desktop computer
and a notebook computer, or for personal backup needs.
Magnetic Tape - Used for storing and backing up large
amounts of data (up to 800 gigabytes) quickly and cost
effectively.
Optical Storage – Used an alternative to magnetic storage.
Data is written to optical media (e.g., CD , DVD) with a laser
for archival or backup purposes. Optical discs are more
durable than tapes but slower than typical hard drive speeds
and offer lower storage capacities.
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Introduction to
Computers: Output Devices
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Printers - Key factors to consider when purchasing a printer
include print resolution (DPI) and speed (PPM), color, wireless and
remote printing capabilities, paper handling, life expectancy, and
cost. Two basic types of printers are impact (e.g., dot matrix for
food orders in the kitchen) and non-impact (e.g., thermal for
producing restaurant checks, inkjet for generating business
documents, and laser for printing guest folios and registration
cards). Click on this Video Link: Dot matrix printer used in the
kitchen.
Monitors - Key factors to consider when purchasing a monitor
include resolution (800 by 600 to 2560 by 1600 pixels), dot pitch
(.26mm), refresh rate (72 Hz or screens per minute), ergonomics
(adjustment controls), and color. Configuring the information
system for optimal performance. The two basic types of monitors
are the flat panel monitor (e.g., LCD) and the CRT monitor. LCD
monitors are popular because of their thin design and superior
performance. Click on this Video Link: Digital menu.
Multimedia Devices - Integrate multiple forms of media, including
text, graphics, audio, animation, and video. Multimedia
applications
include educational software, interactive TV, Web conferencing,
and virtual worlds. Click on this
Video Link: Learn about a virtual world called Second Life.
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Zip Drives
 Zip
floppy drive
 Iomega is the vendor
 750MB capacity
External Hard Drives
 Removable
 USB
 Firewire
Hard Drive
Jazz Drive
Flash Drives (Stick/USB Memory)
compact USB flash memory drive that acts like a portable hard drive
The Computer Revolution
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Advancements in information technology continue at a © 2008 Jupiter Images
rapid and intimidating pace. A modern day desktop Corporation
computer is now more powerful than a 15-year old
supercomputer. Click on this Video Link: “Did you know.”
The next generation of computers will be infinitely more
intelligent, smaller, and mobile than today’s computers
and much easier to use and operate.
By the 1990s, anyone could create meaningful and useful
digital content. The next breakthrough in the computer
revolution allowed digital content to be easily shared and
accessed via a global network called the Internet. Click
on this Video Link: “History of the Internet.”
http://www.cs.ucla.edu/~lk/LK/Inet/1stmesg.html
Billions of users now view digital content via the World
Wide Web, a system of interlinked, hypertext documents
that was created in 1989. Click on this Video Link:
“Beyond Web 2.0.”
Advantages of Computerizing
Information Processing
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Improved labor productivity. Eliminates repetitive clerical tasks and
redundant data entry and increases the span of control (e.g., Taco
Bell increased the span of control from one supervisor for five
restaurants to one for 30 through technology).
Enhanced decision-making capability. Provides access to timely,
relevant information. For example, Donato’s Pizza restaurant uses
a Business Intelligence System (BIS) or Decision Support System for
consolidating data from different systems to reveal real-time data
on customer frequency, order trends, and coupon performance.
Click on this Video Link: “The evolving information age.”
Reducing operating costs. Emailing reservation confirmations, for
example, saves paper and lowers mailing expenses.
Increased information accuracy. A computer reduces the number
of times data is handled by employees. One study revealed that
handwritten restaurant checks, for example, were inaccurate 16%
of the time.
Advantages of Computerizing
Information Processing
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Increased revenues. Ensures that all sales are
captured and recorded properly and enables the
automatic execution of revenue enhancement
strategies based on an evaluation of product pricing
and cost in relationship to facility capacity (e.g., If
occupancy in the group discount class exceeds X
percent with Y days before arrival, then move all group
discounts to the rack rate class).
Greater customer satisfaction and loyalty. Computers
enable employees to more efficient and responsive to
customer needs. For example, wireless order taking
enables servers to provide faster service. Computers
are used to collect data about customer satisfaction.
For example, European-based Accor sends follow-up
e-mails to guests immediately after a stay inviting them
to take an online survey
Advantages of Computerizing Information
Processing
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Greater customer satisfaction and loyalty Feedback is also
obtained from Consumer Generated Media, such as blogs,
discussion boards., hotel and travel review sites, social
networks, etc. Click on this Video Link: Strategic Internet
marketing and social media and computing. A Facebook
application was developed by Renaissance Hotels entitled
the “Renaissance Cocktail Mixer. The app lets users send
and receive house specialties. After installing the app, virtual
dice are rolled to select a cocktail, then an action is
selected—toast, shake, pour, mix, etc.—before finally
selecting which Facebook friend to send the virtual drink.
That person then displays the drink on his or her Facebook
profile page.
Improved controls. Automated systems make it possible to
collect money earlier and to spend it more intelligently. For
example, notices on past due accounts can be sent out
more quickly.
Technology and Information
 The
organization of information affects its
usefulness. There are several ways to organize
information: category, time, location , alphabet,
and continuum.
 Category . Overtime hours broken down by job
position pinpoints where corrective action is
needed.
 Time. Recording the number of meals served
per hour assists in labor scheduling.
 Location. Performance can be tracked for each
property in a hotel chain. For example, an
executive vice president of one hotel chain
lowered the labor cost percentage by 10% by
sending each GM a report that contained the
labor cost percentage for each property in the
chain, which incited healthy competition to top
the best performance.
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Technology and Information
The research firm Basex selected “Information Overload” as its
2008 “Problem of the Year.” Basex maintains that this problem
has led to reduced productivity and throttled innovation. Click
on this Video Link: “Information and Technology.”
 Alphabet
. Arranging information
alphabetically, such as an employee
directory, enables the desired information
to be more quickly accessed.
 Continuum. Departments can be ranked
from high to low on such things as labor
turnover or customer satisfaction.
Data Miners
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 Data
Mining. This involves harvesting
knowledge from mountains of data. It
enhances prediction and modeling
capabilities. For example, data mining
can help predict what new menu items
to offer to customers based on their past
choices or what customers are unlikely to
pay their bills on time. Click on this Video
Link: Introduction to data mining.
Taking Full Advantage of
Information Technology
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Organization Structure. IT enhances organizational
efficiency and effectiveness by streamlining the
distribution of information, which results in a flatter
organization.
Communication. The combination of the PC and
email was the first technological breakthrough to
dramatically change organizational
communications. Since them various communication
tools, such as an Intranet (internal Web site), have
been developed to increase staff productivity and
effectiveness. Click on this Video Link: Microsoft CEO
Steve Ballmer discusses a single-platform package of
business communications applications such as voice,
instant messaging and e-mail.
Taking Full Advantage of
Information Technology
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Standard Operating Procedures. Simply automating
an existing process does not always compensate for
performance deficiencies. Redefining of standard
operating procedures and reengineering of work
may be required. Click on this Video Link: An Intel
case study demonstrating a scalable solution to
improve productivity and customer service.
Computing Platform. Productivity in hospitality
corporations with large software implementations
has often declined due to widespread deployment
of stovepipe technologies, isolated “islands of
technologies” that cannot collectively adapt to
changing needs. Click on this Video Link: An
example of an integrated solution developed by
Ford Motor Corporation.
Executive Information Systems
An EIS, an enterprise-wide business
intelligence application, is a
sophisticated tool to help
executives make timely, wellinformed business decisions.
 It enables meaningful information
to be extracted quickly and to
present it in a way that is
understandable, interesting, and
easily accessible. For example, an
EIS could alert a regional manager
that sales are below budget for a
particular unit. Click on this Video
Link: The future of business
intelligence.
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