Mis Group 5 Deliverable 4 Final Submission

DA NANG UNIVERSITY OF ECONOMICS
FACULTY OF ACCOUNTING
------
MANAGEMENT INFORMATION SYSTEMS

DELIVERABLE 4
FINAL SUBMISSION
PROJECT:
THE MANAGEMENT SYSTEM OF ROOM
RESERVATION AND CHECKING – OUT
LECTURER: Truong Hong Tuan

CLASS : HTTT1 - CLC
GROUP : LEADERS
1. Nguyen Thi Hong Nhung
2. Hoang Thi Y Nhi
3. Pham Le Nguyen Loc
4. Nguyen Ngoc Phi Hoang
Danang, November 24th, 2016
Management Information Systems
CONTENTS
INTRODUCTION....................................................................................................1
A. DELIVERABLE 1 .............................................................................................2
I. Overview of the Hotel .........................................................................................3
II. Problem Statement .............................................................................................8
B. DELIBERABLE 2 .............................................................................................8
I. Novote’s Business Processes...............................................................................8
II. Novotel Features ..............................................................................................13
III. Porter’s Competitive Forces Model ................................................................19
IV. Value Chain Model .........................................................................................35
C. DELIVERABLE 3 ...........................................................................................40
I. Information and Communication Technology (ICT) ........................................40
II. Description of how data and information have been organized and processed
in reservation and check-out processes.................................................................45
III. Tangible and intangible benefits and costs of applied ICTs...........................50
IV. Problems with the current Information System of Novotel ...........................56
D. DELIVERABLE 4 ...........................................................................................56
I. Introduction .......................................................................................................56
II. Description of solution – Self-service system .................................................57
III. Feasibility assessment .....................................................................................61
IV. Criteria and comparison..................................................................................67
E. References .........................................................................................................69
INTRODUCTION
Tourism is one of the most competitive and dynamic industries in the world. In
developing countries, the tourism industry developed very strongly with highly
profitability thanks to the support of information technology in business activities.
In our country, the tourism can be considered as a key industry but in recent years,
the tourism has grown dramatically, especially the hotels business. In Viet Nam,
however, the application of information technology in managing room reservation
and check – out still has some disadvantages. Therefore, the building of automated
information systems in the hotels is extremely important and necessary in order to
improve business efficiency as well as customer service.
The required aim is to build the feasible information technology solutions with
appropriate scale for development and investment capacity of small and medium
hotels in our country. To solve this problem on the basis of fact, Leaders group has
carried out a survey and research at the Novotel Danang Premier Han River on 36
Bach Dang Street, Hai Chau District, Da Nang City to understand more about the
room booking and check – out systems.
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A. DELIVERABLE 1
Danang has been designated by the central government to be the core city of the Key
Economic Zone in the central of Vietnam, the entrance to the UNESCO World
Heritage sites, and the terminal point of the East-West Corridor linking with Laos,
Thailand and Myanmar.
Uniquely located in Danang downtown on the beautifully designed western bank of
the Han River, Novotel Danang Premier Han River is set to take its place as a premier
hotel venue for both business and leisure travelers. It is the first upscale
internationally managed hotel and serviced-apartments in Danang. The hotel offers
breathtaking views of the city and Danang Beach.
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I. OVERVIEW OF THE HOTEL

1. Information about Da Nang Novotel
Full name: Novotel Danang Premier Han River
Location: 36 Bach Dang Street, Hai Chau District, Da Nang City
Phone number: (0511) 3929999
Fax: (0511) 3929998
Email: h8287@accor.com
Website: http://www.novotel-danang-premier.com
Type of business: Service Business
Tax code: 0401 337 219
Market: National and International Markets
The number of employees: 201 – 300 people
Certification: ISO 14001
2. Business Activities:
The 5-star Novotel Danang Premier Han River hotel is located in central Da Nang
on the West bank of the Han River. This 37-storey hotel offers exceptional
panoramic views of the city, as well as the surrounding mountains and beaches. The
hotel is the ultimate wedding venue, providing fine cuisine and professional service
at Novotel.
a. Hotels
The hotel offers both "product" and
"services". All hotels, whether large or
small can also achieve the specific
purposes and activity functions, such as
relaxation, fun, entertainment, expand
their knowledge, treatment,…Hotel
business is the rental of rooms for tourists
sleeping and some other additional
services to serve tourists (dancing,
swimming pool, casino, restaurants ...),
aims to create profits.
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b. Spa – Beauty
 Spa Services
The contemporary designed Spa creates

the perfect retreat from the outside
world into place of calmness, where you
can relax the mind, refresh the body and
revive the soul. Providing both
individual and dual treatment facilities,
with Sauna and Jacuzzi, In|Balance Spa
located on the 6th floor, is the perfect
haven offering the perfect range of
luxurious spa experiences. In|Balance
Spa guarantees to leave you Relaxed,
Restored & Revitalized.
 Fitness Center
With a rising trend toward health and wellness, many people are opting for a fitness
club membership. While getting in shape requires time and commitment, a fitness
club offers convenient access to state-of-the-art equipment, health assessment, and
a variety of classes. Therefore, in Novotel, the Fitness Centers provide a lot of useful
benefits to customers:
- Equipment Variety
- Health, Safety, and Comfort
- Group Exercise Classes
- Support and Camaraderie
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 Gym and Swimming Pool
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c. Restaurant and Bar

 Coffee Bar
 Restaurant Service
 Gala
Experience a lavish full breakfast buffet each morning or theme dinner buffets
featuring matching wine to rock your palate.
From now on, as the star attraction of the Square restaurant, a 3-course Peking duck
will be served every Friday. Aside from enjoying the renowned Peking duck, guests
will have a chance to watch our chef displaying his amazing duck cutting skills at
your table.
Accor Plus apply (Valid for dine-in only and not applicable for take-away).
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d. Meeting and Event

Venues for your success
Flexible, connected, ergonomic furniture: our meeting facilities adapt to you.
Bespoke service
Benefit from our bespoke advice, a post-meeting debrief and daily monitoring of
your budget with a contact person just for you
Well-being as a source of effectiveness

During your meeting, take a balanced, gourmet break and enjoy our catering options.
After your meeting, recharge your batteries in our well-being facilities (gym,
swimming pool, spa, etc.). If you wish to discover activities around the hotel, our
expert teams will be there to guide you.
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e. Other services:
- Currency exchange
- Baby-sitting services
- Laundry service
- Lodging
- Children’s play area
- Shopping
II. PROBLEM STATEMENT

Despite being one of the leading hotels of the world, Novotel and many other hotels
also face many problems at stage of managing check-in/out of customers, especially
in busy tourist seasons. In this project, our general objectives are to study and take
measures to improve the process of room reservation and check-out at Da Nang
Novotel. We will try our best to speed up the customer services, simplifying the
management system in order to reduce time, costs as well as errors that can be made
in the process. To achieve these targets, our team has to finish the following tasks:
- Systemizing the theoretical contents related to management information
system of this subject.
- Researching the current activities, processes of room reservation and
check-out at Da Nang Novotel.
- Offering the feasible solutions.
B. DELIBERABLE 2
I. NOVOTEL’S BUSINESS PROCESSES
The customers are able to reserve rooms at Novotel Da Nang in many ways, such
as:
- Booking online through website:
http://www.novotel.com/gb/booking/room-dates.shtml
- Calling the reservation central: Tel: +84 (0)511 392 9999
- Booking directly at Novotel
1. The room reservation process
The room reservation process is composed of the following steps:
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a. Receive reservation request

Novotel may receive the reservation inquiry in variety of ways. Reservation
request may be made in person, over the telephone, through the mail, via fax,
internet, CRS (Central Reservation System) etc. Regardless of the source, the
reservation personnel-receptionist, will collect the following information about the
guests’ stay through the process known as reservation inquiry. From such inquiry
the following information is obtained about the guests’ stay:
- Guest’s name, address and telephone number
- Date of arrival and departure
- Type and number of rooms requested
- Desired room rate
- Number of people in the group, if applicable
- Method of payment and/or guarantee
- Any other special requests
Figure 1. Online booking Figure 2. Reservation form
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Figure 3. Guest’s information
Figure 4. Special request
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b. Determine room and rate availability

After receiving a reservation
request, the hotel might accept
it, as it is, if there is room
availability. If not, the
reservation department should
suggest alternative room types,
dates, and/or rates, to the
potential guest. If, however,
the potential guest insists on
his/her previous request, the
hotel should suggest an
alternative hotel. That's one of
the main reasons to maintain
good relation-ships with
nearby competing Hotels.
The reservation department
should always compare
historical reservation volumes
against actual arrivals. The
main reason is to deal with
overbooking, which a situation
occurring when the total number of rooms reserved for a certain period of time
exceeds the total number of rooms available for sale, for the same period of time.
c. Create the reservation record

Each reservation department shall prepare a reservation record, which depicts the
various personal and financial data of guests, for each reservation transaction. The
aim is to identify guests and their occupancy needs before guest’s arrival. Moreover,
the hotel can personalize or customize guest services and better schedule staff
accordingly.
In order to create a reservation record, the following items are needed:
- Guest name (and group name, if applicable)
- Guest’s home or billing address
- Guest’s telephone number, including area code
- Name, address, and telephone number of guest’s company, if appropriate
- Name of and pertinent information about the person making the reservation, if
not the guest
- Number of people in the group, and perhaps ages of any children
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- Arrival date and time

- Number of nights required or expected departure date, depending on how the
system is programmed
- Reservation type (Guaranteed versus Non-guaranteed)
- Special requirements (i.e. infant, disabled guest, or no-smoking accommodation)
- Additional information, if needed (i.e. late arrival, method of transportation,
flight number, room preferences…)
d. Confirm the reservation record

The hotel will communicate guests by telephone, massages, mail, or e-mail a Letter
of Confirmation, which confirms the important points of the reservation agreement.
This letter might be shown at the registration process in order to accelerate the pace
of registration and prove that the guest has the right to have a room at Novotel.
The Hotel shall send a confirmation letter to all reserved potential guests, whether
their reservations are guaranteed or non-guaranteed. Below are the main points that
should be communicated in a confirmation letter:
- Name and address of the guest

- Date and time of arrival
- Room type and rate
- Length of stay
- Number of persons in a group, if any
- Reservation type [guaranteed or not]
- Reservation confirmation number
- Special requests, if any
e. Maintain the reservation record

The reservation record is maintained in two ways. They are:
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- Documenting the original reservation

After recording the reservation details in the reservation form or the computer,
it is necessary to have a proper filling system for future reference. In any
reservation system, the reservation record is maintained in chronological order
as per the day of arrival and thereafter as per the surname.
- Modification of reservation
When the guest tries to revise the reservation, the details of changes done must
be attached with the reservation form. In case of cancellation, the cancellation
form must be filled and attached. As per the details in the form, the room status
must be updated or amended accordingly.
2. The check-out process:
- Politely ask the guest to return the key
- Inform Housekeeping to look in the rooms for mini-bar or other services
consumption and forgotten items
- Present the bill to the guest
- Write an invoice with information provided by the guest
- Settle the account according to the mode of payment
- Say farewell using the guest’s name and extend an invitation to come again
- Sort out any checks, credit card slips or cash
- Settle the account in the computer
II. NOVOTEL FEATURES
In Novotel Da Nang, there are several departments which have their own duty to
support the hotel activity. They are:
1. Personnel/Human Resource Department (HRD)
HRD is a division related to human resources and employee requirement. HRD
creates the company regulations, prepares salary standards, and manages employees’
promotion, transfer, or even termination.
Responsibilities of the HRD:
 The process of recruiting suitable candidates for the organization
 Identifying and meeting the training needs of existing staff
 Ensuring employee welfare and employee relations are positive
 Ensure the working environment is safe for employees
 Raising awareness of current workplace legislation
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2. Engineering Department
Engineering division is responsible for handing electricity, water and other

machinery stuffs (including heating, air conditional and lighting). It is also
responsible for carrying out all carpentry, upholstery and small building, plumbing
and other work, both inside and outside hotel.
3. Accounting Department
The accounting department is responsible for recording and reporting the cash flow
transactions of a company. This department has some key roles and responsibilities,
including accounts receivable, accounts payable, payroll, financial reporting and
financial controls.
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Accounts Payable (money out) – In order to maintain great relationships with

vendors making sure that everyone gets paid on time is a vital role. The role of
the accounting department includes keeping an eye on opportunities to save
money, for example, determining if there are discounts or incentives available
for paying certain vendors more quickly. At the very least, AP should be
scheduled to assure that the least amount of money has to go out per payment,
i.e., no late payment charges!
Accounts Receivable and Revenue Tracking (money in) – Another critical
duty of the accounting department is to account for and track receivables,
including outstanding invoices and any required collection actions. Accounts
receivable is responsible for creating and tracking invoices. The responsibility
here includes assuring that customers pay those invoices on time, so a system
of friendly reminders is crucial.
Payroll – Payroll is a critical function of the accounting department and includes
making sure all employees are paid accurately and timely. In addition, proper
tax is assessed and tax payments are on time with state and federal government
agencies.
Reporting and Financial Statements – The primary reason you collect data
properly in your accounting software is to prepare financial reports that can be
used for budgeting, forecasting and other decision making processes. In addition,
these and other reports are needed for communication to investors, banks and
other professionals that play a role in the growth of your business.
Financial Controls – Financial controls include reconciliations, dividing the
responsibilities and following the GAAP standards of accounting principles, all
of which are implemented with view toward compliance, fraud and theft
prevention. The role of the Controller is to ensure procedures are set up properly
to manage that process without errors.
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4. Housekeeping Department (HK)

HK holds the role to keep and maintain cleanliness of the hotel, including
guest’s room and public area as well. HK also manages the laundry activity.
Responsibilities of Housekeeping department:

 Establish a welcoming atmosphere and ensure courteous, reliable service from
all staff of the department
 Ensure the high standard of cleanliness and general upkeep in all area for
which the department is responsible
 Cater is laundering requirements of hotel linen, staff uniforms and guest
clothing
 Provide and maintain the floral decorations and maintain in the landscaped
areas of the hotel
5. Food and Beverages Department(F&B)
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Food and Beverage Department

(F&B) is responsible for maintaining
high quality of food and service, food
costing, managing restaurants, bars,
etc.
Food and Beverage Service is the
service of Food made in the Kitchen
and Drinks prepared in the Bar to the
Customers (Guest) at the Food &
Beverage premises, which can be:
Restaurants, Bars, Hotels, Airlines,
Cruise Ships, Trains, Companies,
Schools, Colleges, Hospitals, Prisons,
Takeaway, etc.
6. Sale and Marketing Department(S&M)

S&M is a division which is
responsible for doing promotions to
the customers. Besides, S&M also
holds the job as in- house public
relation officer.
Marketing employees research the
marketplace and develop
advertising and public relations
programs, sales employees sell hotel
products and services to individual
guests and groups.
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7. Front Officer Department (FO)
FO is indeed the heart of guest activity. It holds major role to arrange

everything related to the guest. In running hotel activity, Front Officer always
contacts other departments. Everything problem is occurring during the stay is
reported to Front Officer as the one who face the guests directly.
Function of FO:
 Sell guestrooms, register guests and assign guestrooms
 Coordinate guest services
 Provide information about the hotel, the surrounding community and any
attractions or events of interest to guest.
 Maintain accurate room status information
 Maintain guest accounts and monitor credit
 Produce guest account statement and complete proper financial
settlement
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III. PORTER’S COMPETITIVE FORCES MODEL:
1. Competitors
All firms share market space with other competitors who are continuously
devising new, more efficient ways to produce by introducing new products and
services, and attempting to attract customers by developing their brands and
imposing switching costs on their customers. As for Novotel Da Nang Premier
Han River, it is facing to a lot of potential factors:
- Sustainable competitive advantage through innovation
- Competition between online and offline companies
- Level of advertising expense
- Powerful competitive strategy
- Firm concentration ratio
- Degree of transparency
The massive development of 3-5 star hotels segmentation over the years makes
supplies exceed demands, causing fierce competition on prices, hotel quality,
and accompanying services… This makes the hotel business environment in
Da Nang becomes missing lasting. To exist and develop dramatically in hotel
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business industry, Novotel Da Nang Premier Han Rivet is always willing to

improve and enhance rooms as well as services quality to compete with the
following existing and traditional competitors:
a. Brilliant Hotel
The 4 – star Brilliant Hotel is
located on 162 Bach Dang
Street, Hai Chau District, Da
Nang City. From business
events to company meetings,
Brilliant Hotel offers a full
range of services and facilities
to serve the needs of
customers and colleagues.
Moreover, this hotel is always
willing to provide the
unforgettable experiences
with the unique and excellent
services to travelers such as
fitness centers, swimming
pools, spa services…With 24-
hour working, the reception
team always shows the full
enthusiasm and responsibility
for serving customers from
check-in to check-out or any problems. Besides, the special cuisines as well as
Internet connection here are very convenient for them to enjoy the perfect days.
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b. Vinh Trung Plaza Department and Hotel

Vinh Trung Plaza Apartments &
Hotel is one of the biggest complex
buildings in Da Nang, with
commercial centers, office for
lease, luxury apartments, hotel,
amusement center and supermarket.
It is designed with classical French
architecture style, luxury and
romance. It’s located at the center
of Da Nang city, 2km far from Da
Nang Airport and 5km far from My
Khe beach. The place is the most
convenient for relaxing, traveling
and shopping. It’s also ideal place
for all guests to stop over in Da
Nang. You can enjoy a dramatic
view of Da Nang City, and Han
River.
c. Minh Toan Galaxy Hotel

Minh Toan Galaxy Hotel Da Nang is conveniently located in the popular Hai
Chau area. The hotel offers a high standard of service and amenities to suit the
individual needs of all travelers. Free Wi-Fi in all rooms, fax machine,
gift/souvenir shop, taxi service, 24-hour front desk are just some of the
facilities on offer. Each guestroom is elegantly furnished and equipped with
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handy amenities. The hotel

offers various recreational
opportunities. Discovering all
Da Nang has to offer by making
Minh Toan Galaxy Hotel Da
Nang your base.
d. Orange Hotel
Orange Hotel is situated in Da Nang
city center, on 26 Hoang Dieu
Street, Hai Chau District. This hotel
is very close to Supermarket, Han
Local Market, Dragon Bridge, Han
River and many Da Nang’s tourist
attractions. The distance from the
airport to hotel is 1 km, taking 7
minutes by taxi. Orange Hotel offers
many modern amenities to bring the
most comfort and convenience
during your stay in Da Nang city.
Each room is fully equipped with
hot/cold shower or bath, toiletries,
LCD TV, reading light, desk lamp,
speaker and high speed internet
access. In addition, Orange Hotel also offers currency exchange, elevator,
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restaurant and room service. The most important commitment is to ensure that
your stay with this hotel is enjoyable and comfortable, as well as receive the
best-qualified service from their friendly staff.
e. Other hotels
Hadana Boutique Hotel, Sanouva Da Nang Hotel, Night Sky Hotel, Sofia
Boutique Hotel, and other four-star hotels (Holiday Beach Da Nang Hotel &
Resort, Green Plaza Hotel, Cicilia Hotel, Northern Hotel, Eden Plaza Hotel,
Muong Thanh Hotel)
2. Suppliers
The market power of suppliers can have a significant impact on firm profits,
especially when the firm cannot raise prices as fast as can suppliers. The more
different suppliers a firm has, the greater control it can exercise over suppliers
in terms of price, quality, and delivery schedules. For instance, manufacturers
of laptop PCs almost always have multiple competing suppliers of key
components, such as keyboards, hard drives, and display screens.
To compete with other significant competitors, Novotel Da Nang Primier Han
River always enhances their services quality by collaborating with the big
reputation suppliers, particularly:
a. Toan Kim Thinh limited liability company
This company provides the nice hotel products and services with high and safe
quality, such as:
Shave Toothbrush
Shampoo Combs
Hotel utensils Order books
Colgate toothpaste 5g Shower gel
Toothpaste P/H 5g Equipment for hotel
Hotel towels Laundry bags
Soap
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b. Viet Huong Minh limited liability company

Specializes in manufacturing & distribution products serving Cotton Towels
Hotel, Resort across the country, including:
TOWEL HANDKERCHIEFS
TOWELS AND BATHROBES TOWELS DOORMAT
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c. Tam Tam Consulting and Hotel Management limited liability

Company
This company is specialized in the business units of the equipment hotels and
restaurants across the country. With many experience years in providing
advanced equipment for hotel projects, restaurants, class resorts such as Sun
group, Sun rise Hoi An, Novotel, Mercure, Boutique Hoi An, Angsana Lang
Co, Ba Na hills, Candeo Hanoi, so this enterprise is very confident to become
a close partner, and professional reputation for all hotels in Da Nang. Some of
unique products and services:
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d. Others suppliers (MYV Khang Thanh Phu limited liability

company, NHC Viet Nam limited liability company, Inox Gia
Thinh limited liability company, Quang Phong Constructional
Trade limited liability company, Hung Phat Trade & Service
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limited liability company, MTV Bach Phu Thinh limited liability

company…) with other equipment
3. Customers
A profitable company depends in large measure on its ability to attract and
retain customers (while denying them to competitors), and charge high prices.
The power of customers grows if they can easily switch to a competitor’s
products and services, or if they can force a business and its competitors to
compete on price alone in a transparent marketplace where there is little
product differentiation, and all prices are known instantly (such as on the
Internet). For instance, in the used college textbook market on the Internet,
students (customers) can find multiple suppliers of just about any current
college textbook. In this case, online customers have extraordinary power over
used-book firms.
In the commercial business as well as business services industries, the most
important thing is to achieve profits during the process of operating. However,
every business wants to receive profits, they must have objects to sell products.
These objects are the customers and potential customers. In the hotel business,
the more customers the hotels have the more rooms and services they sell.
Therefore, to find more customers, each hotel must know their sales, in other
words they are willing to look for the client source. However, the products
depend on the audience or vice versa. Depending on many types of customers,
the business will offer the appropriate products, such as for foreign visitors, the
VS
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room services will be different from domestic tourists, or the services for
business travelers is very different from normal customers.
VS
So with the variety of products, where will Novotel Da Nang Premier Han
River find customers? That is from many places connecting with the hotel’s
business. Of course, the Novotel Da Nang will take guests from:
- The domestic and international travel companies
- The relationships such as ticket-office, social networking sites, online
reservations through the hotel’s website or directly at the destination in
the customers’ journey.
- The Novotel Da Nang Premier Han River belongs to Accor group which
is a leading corporation about hotel management in Europe. Accor is
present in 90 countries, currently managed 4,100 hotels and nearly
500,000 rooms with leading brands SOFITEL luxury Hotels, Pullman,
MGallery, Sebel, Novotel, Mercure, Ibis, MAMA Shelter, ADAGIO,
hotelF1, THALASSA Sea & Spa. In Vietnam, Accor manages 11 hotels
with the well-known brands, such as Sofitel, Pullman, MGallery,
Novotel, Mercure Ibis. As we know, as with the hotel chain’s
corporations, the customer source will be from their own corporations,
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they will split out each place for each hotel not to have vacant rooms.
Therefore, in the hotel chain, the stability of tourists is high so the net
sales are also stable.
However, the service quality of hotels is the most important and crucial point
to keep the loyalty of the customers, and to attract their attention. Besides, the
hotel's PR also influences in attracting visitors. Thus, every hotel should focus
on promoting its products, improving staff qualifications, as well as linking to
the demands of customers for co-existence and development.
4. New market entrants:
In a free economy with mobile labor and financial resources, new companies
are always entering the marketplace. In some industries, there are very low
barriers to entry, whereas in other industries, entry is very difficult. For
instance, it is fairly easy to start a pizza business or just about any small retail
business, but it is much more expensive and difficult to enter the computer chip
business, which has very high capital costs and requires significant expertise
and knowledge that is hard to obtain. New companies have several possible
advantages: They are not locked into old plants and equipment, they often hire
younger workers who are less expensive and perhaps more innovative, they are
not encumbered by old worn-out brand names, and they are “so hungry” (more
highly motivated) than traditional occupants of an industry. These advantages
are also their weakness: They depend on outside financing for new plants and
equipment, which can be expensive; they have a less-experienced workforce;
and they have little brand recognition.
A survey by the Department of Culture – Sports and Tourism, and the Research
Institute for Economic – Social Development in November, 2011 at 526
accommodation establishments (426 hotels, apartments, tourist villas and 100
motels), the number of accommodation establishments in Da Nang grow too
fast leading to oversupply and create an unfair competition environment.
According to this survey, coastal hotels and resorts recorded 4-5star scale in
Da Nang is operating with a capacity of rooms reaching 70-80%, stay reaching
3 days or more. In another aspect, as reported by Da Nang real estate market
on 2nd quarter, 2015 of Savills Vietnam real estate consulting firm, the supply
of 3-5 star hotels of the city reached 7,050 rooms from 64 projects, increasing
quarter-on-quarter 10% and year-on-year 32%.
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The current supplies - hotel segment, 2ndQ/2015

2100 30
1800 25
1500
20
1200
15
900
10
600
300 5
0 0
5-star 4-star 3-star 5-star 4-star 3-star
City Coastal
The number of hotels The number of projects
Source: Savills Research & Consultancy
Coastal hotel rents at 3-5star segment increased 8% annually to 1.78 million

VND / room / night, while the average room revenue increased year-on-year
13%. Both rents and revenues of each kind of room have increased by quarter
and by year. According to Savills, in the first 6 months of 2015, the demand of
market for coastal hotels in Da Nang recorded 2.23 million passengers, up
year-on-year 25% particularly about 600,000 are foreign tourists, up year-on-
year 33% while domestic tourists accounted for 1.63 million, up year-on-year
22%. Currently, there are 23 international routes to Da Nang. In the first 6
months of 2015, visitors to Da Nang by airplane reached 268 275 turns, double
the first 6 months of 2014. Savills Vietnam predicted from the last 6 months of
2015 onwards, the market has 38 future projects providing 8570 rooms,
equivalent to 120% of the current supply. Until 2017, Da Nang hotel market
will have 2,400 rooms from 8 hotels especially the six hotels will be located in
the sea area.
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The operational status - hotel segment, 2ndQ/2015

4,000,000 100%
3,500,000 90%
80%
3,000,000
VND/room/night
70%
2,500,000 60%
2,000,000 50%
1,500,000 40%
30%
1,000,000
20%
500,000 10%
0 0%
5-star 4-star 3-star
Room price Average room revenue Capacity
Source: Savills Research & Consultancy
Expecting between now and 2017, each year Da Nang will increase 2000-3000
rooms at 3-5 star hotels segment. This increasing growth will decrease the
growth of this segmentation. The rapid establishing of 3-5 star hotels will
influence the hotel business in Da Nang particularly supply exceeds demand,
compete in price as well as service quality…
In recent years, Vietnam is considered as an ideal destination for foreign
tourists. The development of tourism combined with the improving of living
standards increases the need for travel and relaxation of domestic guests.
Therefore, the hotel industry is becoming a great potential industry with many
individuals and organizations in the country, as well as foreign investors who
are interested in investing. However, the barriers to entry the hotel business is
very large, particularly:
- The high capital requirement
The building of the hotels which has 5-star hotel’s standards requires a large
capital forces, estimated from tens to hundreds of million dollars, including the
cost of construction, design, employee training, etc.
- The difficult approach to the distribution
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The main customer’s source of 5 star hotels is from domestic and international
companies (47.5% in 2009 and 45.4% in 2010). However, in the future,
customers will access effectively to booking’s systems because developing
information technology allows customers to use the Internet more in the
reservation).
- Economies of scale
To achieve high profit, new market entrants must create appropriate and
efficient information management systems or collaborate with other hotels in
the industry.
- Government policy
Currently, the business environment in Vietnam is relatively open in allowing
businesses to open. Therefore, the elements from the government in the sector
activities are quite favorable.
- The costs of conversion
Another barrier to entry is the cost of conversion, which means that the one-
time costs that customers face when switching from one provider to
others. Switching costs may include the cost of re-training of employees, the
cost of new ancillary equipment, the cost and time to check or evaluate the
quality of new supplies, technical assistance requested by having to depend on
the seller's technique, product redesign, or even the psychological costs when
severing a relationship. If these costs are large, opponents of accession must
have advantages in cost or quality of the product is enough to attract customers
to abandon the current provider.
- Products and services characterization
Product characterization means that businesses have brand identity and
customer loyalty through advertising, customer service, product preference or
simply because they are the industry's first enterprise. Characterization creates
a barrier to entry by forcing the newcomer to investing heavily to change the
loyalty of existing customers. This is especially risky because it may take all if
the failure to entry.
According to Ms. Duong Thuy Dung, deputy director of CBRE Research &
Consulting commented: "To host APEC in 2017 is good news for Da Nang
33
City as this is an opportunity to promote the image and services of the city to
the world, promises to attract a large number of visitors from various countries
in the world and have a positive impact on the tourism market of this gorgeous
city.
5. Substitute products and services
In just about every industry, there are substitutes that your customers might use
if your prices become too high. New technologies create new substitutes all the
time. Ethanol can substitute for gasoline in cars; vegetable oil for diesel fuel in
trucks; and wind, solar, coal, and hydro power for industrial electricity
generation. Likewise, Internet and wireless telephone service can substitute for
traditional telephone service. And, of course, an Internet music service that
allows you to download music tracks to an iPod or smartphone has become a
substitute for CD-based music stores. The more substitute products and
services in your industry, the less you can control pricing and the lower your
profit margins.
As for Novotel Da Nang Premier Han River, there some substitute products
and services:
- Big resorts
- 3-4 star hotels
In today’s highly competitive world, the hotel business develops very

dramatically, which influences the choices of the customers. The gap between
5-star hotels and 3-4 star hotels is very big particularly the average prices of:
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5-star hotels: 131.4 $; 4-star hotels: 78.56 $; 3-star: 46.88$ (according to

reports of Grant Thornton in 2011).
Above line graph showed that although some recent years, the room price
of 5-star hotel has decreased significantly in comparison with 2007 due to the
economic crisis and fierce competition, however, it was higher than the price
of 3-4 star hotels. If the room price of 5-star hotels increases to a very high
price, the customers can completely change to use 3-4 star hotels which has
lower price with the quite wonderful service quality.
- In addition, the 1-2 star hotels, other accommodation establishments
such as motels, hostels, and homestays are substitute products but the
effects of these factors are not as much as 3-4 star hotels. The reasons
are that the market segmentation of these products and services spends
the guests with lower income.
IV. VALUE CHAIN MODEL
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1. Primary activities
a. Inbound logistics:
These are some activities to ensure supply of inputs for the production
process. In hotel, it includes: buy, delivery, warehousing, preservation, manage
the inputs of the production process, the quality products services of the hotel.
The hotel’s input concludes: food, drink, equipment such as TV, air
conditioner, computer, camera, refrigerator, etc and human. Because the
products in hotel is manly service, human activities is indispensable in process.
b. Operations in hotel
Operation in hotel is the activities of office room division service, bar,
restaurant, reception.
 The operation of reception has receving the booking of customers,
manage the customer information system, room, cabinet and their term
stock.
 Office room division department is responsible for checking room before
and after customers come and leave, concierge customers use furniture
in the room.
 Bar and restaurant department are responsible for service food and drink
for customers.
c. Marketing and Sales
Content of marketing and sales in the hotel include some following activities:
Research the market; create relationships with relevant authorities such as local
government, Embassies; organizing marketing mix activities includes product
policy, pricing policy, distribution policy, promotion mix policy.
 Product policy has to anser some questions: what is product which hotel
is offering? What does it feature prominently? What is the abilities to
combine the product packages of the hotel? And how must offer quality
products in the future?
 Price policy is conducted based on answering the question:How is the
reasonable price of the hotel ? hotel price mechanism like? valuation
methods like?
 Distribution policy should answer three questions: how to sell products
of the hotel? choice of hotel customers to sell products? select
distribution channels?
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 Mixed promotion policy was based on the question: How to

communicate with customers of the hotel product? How to convince
customers that the hotel will meet at the highest level requires their
needs? Choose the form of advertising? the budget for the ad?
d. Services
- Novotel Da Nang Premier Han River has an outdoor pool, seasonal pool
and children’s pool.
- Guests can access free wireless Internet in common areas, in addition to
an Internet point is located on site.
- The service, amenities to serve the needs of work and conferences at
this 5-star hotel include a business center, 24-hour, small meeting rooms
and secretarial services secretary.
- The hotel is suitable for business or leisure travelers to Da Nang.Tai
hotel guests can choose to dine at the poolside bar, a bar/lounge and a
snack bar/fast food outlets.
- Staff are ready to assist tour/tickets, wedding services and food services
for events. Additional amenities and services include multilingual staff
hours, laundry facilities and complimentary newspapers in the lobby.
- Shuttle service is free for guests include a shuttle from the airport to the
hotel during limited hours and an area shuttle.
- Guest parking is limited, and served free of charge under the policy of
"first come, first served".
- This is a smoke-free hotel.
- There is a full-service spa treatments, an outdoor pool and spa tub to
help you relax.
e. Outbound logistics
- This activity includes the investigation of customer reviews about the
hotel, the quality of service, their level of satisfaction with the hotel, the job
performance of employees, work attitude ... in order to assess their quality,
from which the appropriate measures to correct errors fix, maintain and
improve quality.
- All of the above basic activities directly involved in the production process
to create products and have close ties with each other in the process of
attracting, preparing to serve visitors, after seeing off guests and serve breast.
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If you have these activities smoothly, between them there is coordination, the
process serves to achieve desired results. Conversely, a malfunction in any
activity, or lack of coordination, the process of value creation will fail. For
example, the supply department did not receive a request from the kitchen
department, purchasing the right kind of food is not required, leading to not
work properly guest dish, prestige and influence the overall quality of the hotel
and also leaking enlargement.
2. Supportive activities
a. Administration and Management
The hotel administrator or reception manager is responsible for the reception
of guest as well as internal communications of the hotel services. The post of
administrator is related to the guest reception service or, as it has been
recently called, front office service. It is believed that the post of
administrator does not require special training. In order to have a chance to
get a job of hotel administrator, an applicant must possess a number of
personal qualities. Sociability, resistance to stress, organizational skills, and
internal discipline are among them. A good administrator - is a good
psychologist as well, who is capable of compiling an emotional portrait of the
client and knows how he could be useful to him.
b. Humance reosources
Humance resources consists of all activities involved in recruiting,
hiring, training, developing, compensating and (if necessary) dismissing or
laying off personnel.Human resource is the most important factor in producing
and trading activities and management of human resources is one of the basic
content of the formation within the enterprise environment. Activities include:
recruitment, training and staff considerations, rewarding mode of discipline,
work environment, the ability to participate in resolving the remaining issues,
the level of satisfaction, drunk work with me ... human resource Management
in the hotel's complex problems, by the nature of work in the hotel bored and
it relates to ethical behavior, behavior of man. Improvement, professional
qualifications of employees, to maintain good relations between employees
with one another, with the management department will create a good working
environment, improve the quality of products and services, create jobs passion
in each of the hotel staff. Therefore, the analysis and evaluation of the ability
to manage human resources is an important requirement in order to find
solutions to create a favorable working environment, there is a consensus and
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participation of all high contribution staff and employees in the entire hotel.
When conducting an analysis of the human resources needed to solve the
problems of the following issues: organizational structure management,
recruitment, training, discipline reward, wages, conditions and working
environment, the level of satisfaction career employees, the relationship
between unions and collective cadres and workers.
c. Technology
The technological development is not merely to get the equipment and
modern techniques, but it also is the application of new management
technologies, models the new management organization. The outbreak of the
revolution in science and technology has facilitated the reduction of human
labor, reducing the cost of production and business processes. For hotels, the
development of technologies aimed at long-term and important contribution in
shaping the competitive advantage in business. Hotels and application of
modern equipment into their business operations will help reduce costs, attract
visitors, reducing labor ... This would serve to create a competitive advantage
in business property compared to competitors.
Analysis technology development capability of the hotel should note the

following issues:
- Status of technological modernization.
- Ability to research and development of hotels.
- The cost of technology development.
- Policies to encourage creative activity improvement.
d. Relationships with suppliers
Due to the characteristics of the product taking into fixed property,
produced on site, consumers have to move from place to place frequently in
the hotel to service consumers, and between guests and the hotel has a distance
certain reasons, to establish relations with suppliers as a way to shorten the
distance the hotel, enhanced attraction. In addition, a good relationship with
suppliers will enable hotels to import goods cheaper, better quality and the
conditions of payment freer.
Above is the basic activity and complementary activities of a hotel, each
hotel has each different specific activities to create advantages or weaknesses
affecting the competitiveness of the hotel. It is important to find out the hotel,
39
thereby overcoming the weaknesses and exploit competitive advantages in

order to constantly rise.
C. DELIVERABLE 3
I. INFORMATION AND COMMUNICATION TECHNOLOGY
(ICT)
1. Definition
Information and communications technology (ICT) is an extended term
for information technology (IT) which stresses the role of unified
communications and the integration of telecommunications (telephone lines and
wireless signals), computers as well as necessary enterprise software, middleware,
storage, and audio-visual systems, which enable users to access, store, transmit, and
manipulate information
The term ICT is also used to refer to the convergence of audio-visual and telephone
networks with computer networks through a single cabling or link system. There are
large economic incentives (huge cost savings due to elimination of the telephone
network) to merge the telephone network with the computer network system using
a single unified system of cabling, signal distribution and management.
However, ICT has no universal definition, as "the concepts, methods and
applications involved in ICT are constantly evolving on an almost daily basis." The
broadness of ICT covers any product that will store, retrieve, manipulate, transmit
or receive information electronically in a digital form, e.g. personal computers,
digital television, email, robots. (Information_and_communications_technology,
2016)
2. Information and Communication Technology that Novotel has
been using
The Novotel Da Nang Premier Han River belongs to Accor group which is a leading
corporation about hotel management in Europe. Accor is present in 90 countries,
currently managed 4,100 hotels and nearly 500,000 rooms with leading brands
SOFITEL luxury Hotels, Pullman, MGallery, Sebel, Novotel, Mercure, Ibis,
MAMA Shelter, ADAGIO, hotelF1, THALASSA Sea & Spa. In Vietnam, Accor
manages 11 hotels with the well-known brands, such as Sofitel, Pullman, MGallery,
Novotel, Mercure Ibis. Therefore, the Novotel Da Nang Premier Han River as well
as these other famous brands have been using new Information and Communication
Technology of Accor’s corporation.
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a. A powerful reservation system – TARS

AccorHotels’ reservation system, known as TARS, is a highly efficient distribution
platform that meets all the needs of the hotel from online reservations and payment
to sales optimization and management.
The biggest range of real-time connectivity solutions:
As we can see obviously from the below pie chart, AccorHotels Central distribution
system, TARS reached 67,3% in 2015 while PMS system accounted 32,7%.
Figure 5. TARS CONTRIBUTION (Novotel.com, 2016)
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 Manage the distribution simply and easily with TARS, the multi –
channel digital platform for sales and related
Figure 6. DISTRIBUTION PLATFORM-TARS (AccorHotels, franchise-and-management/contacts-and-countries-information/library,

2016)
The advantages with the AccorHotels distribution solutions:

- Boost the occupancy rate
- Increase the average room price
- Optimize the distribution costs while strengthening the direct sales and
managing the indirect sales
 TARS: 8 services and a 24-hour hotline to make your life easier

- RESA Web: Web application to manage your hotel bookings
- DATA Web: Web application to manage your hotels data: description, rates,
sales, conditions, etc.
- APOL: “Accor Payment On Line” – web application for secure online
payments of all reservations
- FASTCOM: Web application to manage remuneration of intermediaries (e.g.
travel agencies)
- ANAIS ASA: “AccorHotels New Application for integrated Sales” – a tool
for managing B2B contracts
- Le Club AccorHotels: Web application to access all statistics reports
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- Tracking: A tool for analyzing the commercial segmentation of AccorHotels

customers
- Report Hotel: Web application to access all statistics reports
The above operating system platforms are used for reservation process except for
RMS
b. Sales platforms
 Direct Sales
Novotel increases the share of Direct Revenues through Accor Direct Channels
including 4 channels
- Calls and Mails: 11 call center platforms, handing over 5.3 million contacts
and 351.000 mails and fax in 16 languages.
- Web Accor: “AccorHotels.com”, the multi-brand portal with 33 versions
and 18 languages. 13 Brand sites representing 50% of direct web sales.
- Social Media: Follow your Brand and book on Facebook
- Mobile Apps: Over 2.2 million AccorHotels app downloads. Award for best
mobile commerce.
 Indirect Sales
It connects your hotel to the most powerful global and regional partners at the best
conditions through 2 channels including:
- Online travel agents (OLTAs): Accor has strategic worldwide agreements
with major online travel agencies.
- Global distribution systems (GDS): Accor has over 21,000 travel agencies
as partners.
(AccorHotels,
fileadmin/user_upload/Contenus_Accor/Franchise_Management/Documents_utiles
/Developpement/MAJ_2014/, 2014)
c. iPMS (Integrated Property Management System)
The three indispensable items you need to benefit from the AccorHotels distribution
solutions
- An AccorHotels-approved iPMS, choice between OPERA or FOLS
- AccorHotels-approved software and IT equipment
- Connection to Accortel
43
Opera is a third-party product sold and installed by Oracle and recommended by

Accor. OPERA features:
Figure 7. OPERA PMS (Capterra, 2016)
FOLS (FOLS Accor, 2015)

We can see the different hotel needs when they make choice between OPERA and
FOLS:
Table 1. iPMS (OPERA VS FOLS) (AccorHotels, franchise-and-management/contacts-and-countries-
information/library, 2016)
OPERA OPERA OR FOLS FOLS

— Meeting room — Individual bookings — Individual bookings
management — Guest mainly mainly
advanced preference — Limited meeting room — Simple group and room
management management assignment management
— Advanced group — Basic guest preferences
management — Room — Limited number of
allotment management — interfaces
Specific and varied — Simple group and room
Interfaces — Upselling allotments management
Novotel uses both of these software for all of its functionalities.
44
II. Description of how data and information have been organized

and processed in reservation and check-out processes
1. NOVOTEL DANANG COLLECT CUSTOMER’ DATA
Personal information (IP) may be collected in certain circumstances including
without limitation as follows:
a. Hospitality activities
- Booking of a hotel room
- Check in and check out
- Consumption during a stay in a hotel as tracked through room charges
- Claims, requests and/or disputes.
b. Participation in marketing programs
- Registering with Accor S.A.’s loyalty programs
- Contribution to guests’ surveys and/or comments (e.g. “Guest Satisfaction
- Survey”, “Contact us”; “Guests comments”; “Satisfait ou invité”)
- Contests
- Subscription to newsletters, to receive e-mail offers or promotions.
c. Provision of information by third party service providers
- Tour operators, travel agencies, GDS reservation systems, others, ...
d. Internet activities
- Connection to any Accor S.A. websites (IP address, session cookies)
- Fill in of an online collection form (e.g. online bookings, questionnaire,
etc.).
As a Novotel’s guest, you may be asked, at various times, to provide Personal
Information (PI) about yourself and your family members such as:
•Contact information, e.g. name, telephone numbers, e-mail addresses, postal
addresses, etc.
•Other personal details: date of birth, nationality,
• Children Information: name, birth date and age;
•Credit card details (only in transactional related system)
Membership card numbers of any Novotel Danang loyalty program or any
membership number of frequent flyer or any of Novotel’s partners. You are
registered with:
 Your dates of arrival and departure/visit from our hotels;
 Your preferences and interests, e.g. smoking or non-smoking room, preferred
location of your room (low floor, high floor, etc.), type of bed, preferred
newspaper, sports and cultural interests;
45
 Any questions/comments you may have during or after your stay in one of our
hotels.
Novotel Danang does not knowingly collect PI from children under the age of 18,
except name, date of birth and nationality as provided directly by an adult on their
behalf or with adult’s permission. Please make sure that your children do not provide
us with any PI without your permission, e.g. online. If you believe your child has
submitted PI to us, please contact us so that we can delete such PI.
Generally, we do not knowingly collect sensitive information such as racial or ethnic
origin, political opinions, religious or philosophical beliefs, trade union membership,
health or sex life details.
In addition, depending on the applicable law, other data than those listed above may
also be considered as sensitive data: credit card number, leisure habits, personal
activities and hobbies, cultural habits, smoker/ non-smoker status, etc. However,
Novotel Hotel may need to collect such data which may be considered as sensitive,
to satisfy your request or provide you with specific services such as specific diet or
any disability access facilities. (AccorHotels, Personal data protection standards,
2016) (Novotel, 2016)
2. CUSTOMERS’ PERSONAL INFORMATION PROCESSING
AND STORAGE
After Novotel Danang collects customers’ information, this information will be
processed and stored by TARS or iPMS, and then Novotel’s staffs use this
information to response to the customers through SMS or e-mail for confirming their
reservations.
46
Figure 8. THE ACCOR DISTRIBUTION SYSTEM (FOLS Accor, 2015)
Personal information is collected and used to process customer requests. In case of

any incident, your file will be handled specially. Applying the laws of France on 06
May 1978 01 concerning information technology, computer files and freedom, the
customer has access and edit your personal information.
All requests and complaints sent to:
Director Internet
33 avenue du Maine
Tour Maine Montparnasse
75015 Paris
For more information on the law "Information Technology and Freedom" of
France, customers can visit Accor’s website at CNIL
Novotel uses customers’ PI for the following purposes:
a. To manage customers’ reservation and booking
- To book and reserve Accor S.A. hotel rooms and requested accommodation;
- To establish and maintain business records and comply with accounting
requirements;
- For back office processing; including managing a list of undesirable guests,
further to a non-payment, or to improper behavior, etc.
b. To manage customer’s stay at the hotel
- To track consumption (telephone, bar, Internet, pay TV…);
- To access rooms.
47
c. To improve Novotel’s hospitality services, including

- To process customers’ PI in Accor S.A.’s Clients Relationship Management
(CRM) program;
- To better understand customers’ needs and requests;
- To tailor our products and services to better suit Your desires.
d. To send Customers’ newsletters, promotions and marketing
material about tourism, hospitality or services, hotel promotions,
or Accor S.A. partners or contact you by telephone.
You can choose to unsubscribe from our Email Newsletters service by clicking the
dedicated link in our email newsletters
e. To improve our Accor S.A. services, including
- To conduct surveys and analyze guests’ questionnaires and comments and
activity patterns.
- To manage guests’ complaints.
- To let you benefit from our loyalty program
f. To secure and improve Your use of Accor S.A. Internet websites,
including
- To improve website navigation and;
- To implement security and fraud prevention means.
g. To comply with local regulations (e.g. retention of business or
accounting documents).
Cookies
When customers visit our site, a cookie (a small record format) is created and saved
on the hard drive of the client computer. This cookie can identify customers when
our visitors to our site, so we can create favorable conditions for the customer's
browser on its own site and marks the surfing experience of customers (public
automated receiving, etc.)
Novotel also collect technical information on the client computer when a client
opens a web page while visiting our site. This information includes the IP address
(Internet Protocol) client, operating system used, browser type, and the origin
website address, as needed. Novotel collect this information to improve the quality
of customer traffic to our site and we do not sell or transfer this information to third
parties.
Novotel use web analytics tool called Xiti, provides a set of data and tracks how
customers use the site to access our like. When customers visit our site, we create
cookies to record and receive non-personal information relating to the customer's
48
search on the site. Xiti tool that can help us improve the surfing experience of our
customers and make our site more user-friendly way. This tool is never used to
collect personal information relating to customers and never be compared with the
user information of the customer if the customer has to register on our website.
Most browsers automatically accept cookies, but you can delete them or they will be
automatically rejected. Since each different browser, you should refer to the "Help"
in the toolbar of your browser to learn how to set up what you like related to the
cookies. However, you cannot use some features on our site if you choose not to
accept cookies.
The hotel will communicate guests by telephone, massages, mail, or e-mail a Letter
of Confirmation, which confirms the important points of the reservation agreement.
This letter might be shown at the registration process in order to accelerate the pace
of registration and prove that the guest has the right to have a room at Novotel.
The Hotel shall send a confirmation letter to all reserved potential guests, whether
their reservations are guaranteed or non-guaranteed. Below are the main points that
should be communicated in a confirmation letter:
- Name and address of the guest
- Date and time of arrival
- Room type and rate
- Length of stay
- Number of persons in a group, if any
- Reservation type [guaranteed or not]
- Reservation confirmation number
- Special requests, if any
E-mail
If customers sign up to create an account on our website to receive our newsletter,
we will send you the information via email customer interest. To better meet
customer needs, we monitor the number of clicks on the link in the newsletter.
If customers no longer wish to receive our newsletters anymore, customers can
unsubscribe anytime register by clicking the link path at the end of the newsletter.
If the customer is registered on our website, customers can unsubscribe at any time
by modifying your personal data after entering the account ID of the customer.
(AccorHotels, Personal data protection standards, 2016) (Novotel, 2016)
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III. Tangible and intangible benefits and costs of applied ICTs

1. Benefits
ICTs brings a lot of advantages for business especially in hospitality industry. In
the hotel industry, the tangible and intangile benefits that ICTs brings for Novotel
is really huge.
a. Tangible benefits
- Interface with more than 100 distribution channels: Internet sites, online travel
agencies, GDS,etc.
- The guarantee of being able to benefit from Accor Hotels services and applications.
- Revenue of Novotel hotel increase by improving ICTs every year. Adopting many
information technology systems help guests can access Novotel website everywhere
and everytime.
- Resource cost saving, this benefit could mean that the organization can make some
roles redundant or relocate some roles to a different department. This one of the most
sensitive benefits as it affects people and can cause an issue if not handled discreetly.
Besides, In some cases systems which are old and need specialized skills will need
expense manpower. If the project gets rid of the old system, then the expensive
resource will not be required. For examples, iPMS help Novotel save a lots money
to hire managers and employees. After useing the iPMS, Novotel cut down about
500 thounsand dollars for hiring and training employees.
- Some benefis of TARS:
 Multi-currency and multilingual central booking system
 Real-time updates of room rates and availability
 Direct access to all industry distribution channels
 Effective management of distribution channels
 Reservations done on the web account 37,5%
 32,7% guests reserve room through iPMS
 Reservation done on the phone & email account 19,7%
b. Intangible benefits
- Enhanced user experience:
Whether you visit us to relax, eat, work or find yourself, Novotel's facilities and
teams are entirely at your service. (Novotel, gb/online-check-in-fast-check-
out/index, 2016)
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Booking
Book a Novotel room through the
AccorHotels app or Novotel
website.
Four days before arrival

You will receive an e-mail invitation to
complete your online check-in.
Save even more time by using your Le
Club AccorHotels card. Customer’s
information is pre-populated.
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On the day of arrival

You will receive an SMS with
practical information related to your
mode of transport (e.g. parking code,
nearest public transport).
Simplified check-in
Novotel team will have carefully
prepared for your arrival and your
room key will be ready!
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Fast check-out
Return your key without having to
wait: Your check-out is complete.
Your invoice will be sent by e-mail
after departure.
- Reliable data and fully secure information processing.

- Increasing the loyalty and satisfaction of guests. Here are some comments of
foreign guests from Tripadvisor:
53
- Reduce time spent on administrative management tasks: your teams can

save up to 3 hours a day.
- Brand equity: Novotel is a mid-scale hotel brand within the AccorHotels group,
typically slotting between the Mercure and Pullman brands. Novotel has over 470
hotels and resorts in 61 countries, ideally located in the heart of major international
cities, business districts and tourist destinations. Besides, Novotel’s Worldwide
occupancy rate is 72% and awareness in key countries (France, U.K., Germany,
Australia, U.A.E.) is over 70%. (AccorHotels,
fileadmin/user_upload/Contenus_Accor/Franchise_Management/Documents_utiles
/Marques/factsheet_avril_2015/novotel, 2015)
In conclusion, ICTs plays an important role in hospitality industry, especially in

creating competitive advantage of each hotel. The hotel must always update the new
modern ICTs to be more professional. This is the only way to keep guests' loyalty
and attract new prospective guests. Using ICTs will help all work better, faster, and
more convenient and save a lot of money. Finally, the ICTs brings a lot of advantages
for hotel, especially in front office, customer relationship and food& beverage
department.
2. Costs
About the costs of Novotel, we have tangible and intangible costs:
54
a. Tangible costs
Tangible costs include the types of things a business writes checks for: salaries and
wages, leases, operational inputs, employee medical benefits, transportation and
commercial insurance. These costs have a clear place in the general ledger. The
company cannot conduct business or produce a quality product without spending on
tangible costs. They are also easy to quantify, so management tends to focus on the
manipulation of tangible costs. There are some tangible costs of Novotel:
- Cost for developing and operating TARS and iPMS ($15,000 for Opera
software (Capterra, 2016))
- Cost for employees. Althought iPMS help Novotel save a mount of salary
for employees, it costs about 500,000 dollars to train them every year.
- Cost for hardware: computer(Apple), tablet(Ipad)
- Cost for software: IOS of Apple, Servers.
b. Intangible costs
Intangible costs are less easily measured. Some key and common intangible costs
might include a drop in employee morale, dissatisfaction with working conditions
or customer disappointment with a decline in service or product quality. Intangible
costs result from an identifiable source, but the costs are often not predicted. They
may occur after a new practice or policy is put into effect, such as a cut in staffing
levels or in employee benefits. Managers can try to estimate intangible costs as soon
as they see a pattern of loss. This estimate will be the basis of a decision to either
change or continue a practice that frustrates employees or customers. If a new
procedure has injured an employee, the company may need to act quickly to avoid
government fines and inspections.
- Ineffective decision making, for example, when corporate management puts
a new program or policy into place that is not appropriate for a given location,
unintended intangible costs may ensue because what works well at a work site
in one part of the country may clash with the employee work culture at another
location
- Employee morale, the managed labor system could be a disaster at a site where
employees work as a team and already watch their departments' speed and
productivity. Workers may become anxious and confused over the new
system and how it will affect their pay raises or continued employment. They
may refuse to assist their co-workers, afraid that being off task will hurt their
own productivity numbers.
55
- Because TARS and IPMS interfaces are still complex, the customers and
Novotel’s staffs have difficulty in using for their purposes. This decreases a
little bit customers’ satisfaction as well as the staffs’ productivity.
IV. Problems with the current Information System of Novotel

Slow check-in for directly booking in the tourist seasons. In the tourist seasons, the
number of travelers coming to Novotel increase dramatically. Despite convenient
and quick online reservation through Novotel website or app, many customers also
want to book directly in the hotel. This direct booking takes the receptionists about
7-8 minutes to get customers’ personal information and give appropriate room and
rate for their desires. In spite of modern Novotel reservation system, with this large
number of guests, there will still be lots of people who have to wait for booking
rooms. It is a quite big problem which Novotel is trying to resolve.
D. DELIVERABLE 4
I. Introduction
1. Project Overview
The 5-star Novotel Danang Premier Han River hotel is located in central Da Nang
on the West bank of the Han River with the main business activities:
- Hotels
- Spa – Beauty
- Restaurant and Bar
- Meeting and Event
- Other services: Currency exchange, Babysitting service, Laundry service,
Lodging, Children’s play area, Shopping, etc.
In the deliverable 1, our group project is “The hotel management of reservation and
check-out” and we chose Novotel Da Nang for our project. We all know that Novotel
belongs to AccorHotels so it has been using the modern and latest ICTs of
AccorHotels to optimize revenue as well as profit. However, Novotel is now facing
to a quite big problem related to booking system particularly slow check-in for
directly booking in the tourist seasons. In the tourist seasons, the number of travelers
coming to Novotel increases dramatically. Despite convenient and quick online
reservation through Novotel website or app, many customers also want to book
directly in the hotel. This direct booking takes the receptionists about 7-8 minutes to
get customers’ personal information and give appropriate room and rate for their
desires. In spite of modern Novotel reservation system, with this large number of
56
guests, there will still be lots of people who have to wait for booking rooms. It is a
quite big problem which Novotel is trying to resolve.
2. Recommendation
From this problem of Novotel, after a long process researching and analyzing the
hotel management of reservation and check-out in Novotel, our group want to offer
2 feasible solutions to resolve this problem to help Novotel do business more
effectively and achieve more profit in hotel business at Da Nang City.
- Solution 1: Improving TARS and iPMS
- Solution 2: Self – service kiosks
II. Description of solution – Self-service system
Novotel is the great choice for customers who visit Da Nang city. Because this is not
only five stars hotel near Han river but also a great resort paradise with
approximately pefect service qualities. However, it also have many problems. One
of issues need to be solved is slow check-in directly on tourist. Majoriy of guests
want to booking room by the traditional way. It takes about between 7 and 10
minutes for a transaction. If there are many customers need book room in the same
time by the traditional way, a lot of guests have to wait for their turn. And what is
Novotel’s solution? Novotel should find the way to reduce the booking time for a
large number of customers and create a best sense of comfort to them.
The solution for this issue is the self- service system at the hotel lobby. In this way,
we can figure self-services automated system is used by customers. Customers just
bring passport or identity card. The first step, the passport scan software on the Kiosk
will scan, analyze and save the data. Customer information will be updated to the
system. Next, Kiosk provides information in hotel services such as availability,
restaurant, pool, spa, bar and so on. It really easy for customers to get suitable
services. The self-service system creates a difference in the field of hospitability
business in Viet Nam, helps customers more convenient procedures and time-
saving. On the other hand, individual information can be collected rapidly. And hotel
needn’t spend money hiring more receptionists. This system can make Novotel
going to new step in the future.
1. Hardware
Machine that brings many advantages for Novotel is Duo 6000 series.
57
Figure 9. Duo 6000 Innovative solutions for luxury and design hotels.
The Duo 6000 kiosk is a compact kiosk designed to be integrated in a tailor made
cabinet. Your architects and interior designers can let their imagination design the
most innovative receptacle for this very unique kiosk. In line with new and future
consumer behavior, the kiosk has been developed to become the ideal complement
to the traditional reception.
By reducing the waiting time for check-in/out and self-booking, the kiosk will enable
reception staff to provide a better service to guests that require more personalized
attention. (Ariane, 2016)
What is the hardware of self-service system? A sefl-service kiosk has the following
equipment project:
- Pinpad systems (diferent regarding diferent parts of the world).
- Key systems (different regarding magnetic, electronic or physical keys)
- Passport scan
- Esign pad (usually goes with passport scan)
- Payment system
58
Check-in/out and booking

On arrival, guests register at the kiosk and receive their room key. At check-out, they
review their invoice on the kiosk screen and proceed to payment. A detailed invoice
and payment card receipt is printed for the guest. Guests can also walk-in and access
in-house functionalities such as "See my invoice" or "Get an additional room key
card". (Ariane, Products: our devices - duo 6000 series: Features, 2016)
Client satisfaction
Energizing the company's brand image, the kiosk is the answer to today's society and
its increasing demand for speed, autonomy and comfort. (Ariane, Products: our devices
- duo 6000 series: Features, 2016)
Gain time
With the kiosk, you offer an innovative service: available 24/7. The kiosk is the
alternative to queues at reception. The scenario is user friendly and multi-lingual,
adding comfort to the user. (Ariane, Products: our devices - duo 6000 series: Features, 2016)
59
2. Software
Beside the software ABOL (Allegro Back Office Lite), this kiosk specially
interfaced with the different iPMS of the market (Opera,...). What is iPMS?
Intergrated Property Management System also known as PMS or Hotel
Operating System (Hotel OS), under business terms may be used in real estate of
mind, manufacturing, logistics, intellectual property, government or hospitality
accommodation management. They are computerized systems that facilitate the
management of properties, personal property, equipment, including maintenance,
legalities and personnel all through a single piece of software. They replaced old-
fashioned, paper-based methods that tended to be both cumbersome and inefficient.
They are often deployed as client/server configurations. Today, most next generation
property management systems favour web and cloud technology offer their software
to clients using a software-as-a-service model. (Wiki, 2016)
In the hospitality industry, a property management system also known as a PMS is
a comprehensive software application used to cover some basic objectives such as
coordinating the operational functions of front office, sales and planning etc.
Automate hotel functions like guest bookings, guest details, online reservations,
point of sale, telephone, accounts receivable, sales and marketing, banquets, food
and beverage costing, materials management, HR and payroll, maintenance
management, quality management and other amenities. Hotel property management
systems may interface with central reservation systems and revenue or yield
management systems, front office, back office, point of sale, door-locking,
housekeeping optimization, pay-TV, energy management, payment card
authorization and channel management systems. A full featured product takes care
of automating all the functional departments of a hotel right from the Front Office,
F&B Services, Housekeeping etc. integrated with back office operations like
inventory management and financial accounting. A good PMS should give accurate
and timely information on the basic KPI (Key Performance Indicators) of a hotel
business such as Rev Par or occupancy rate and help the Food and Beverage
management control the stocks in the store room and help deciding what to buy, how
much and how often. The perishability of the main good in the hotel industry (the
room night) makes these PMS applications a must for a professional management.
(Wiki, 2016)
60
iPMS is a great system that brings many following benefits to Novotel:

- Interface with more than 100 distribution channels: internet sites, online travel
agencies, GDS, ect.
- Reduce time spent on administrative management task: your team can save up
to 3 hours a day.
- Reliable data and fully secure information processing
- The guarantee of being able to benefit from all AccorHotels services and
applications.
The PMS optimizes revenue and enhances management by providing functionality

to deliver accommodation services, improve the efficiency of front-desk operations
and reservation services, and analyze hotel operations.
(NEC, 2016)
III. Feasibility assessment
1. Economic feasibility
a. Self-service kiosk
One way to reduce costs in the highly competitive domain of hospitality is to reduce
the staff working in the front desk and reducing the time intensive check‐in (and
checkout) process. One way to do so is to setup self check‐in kiosks comparable to
those at airports. The check‐in kiosks increase a lot of tangible and intangible
benefits as well as decrease remarkable costs for the hotel. It is very easy to see some
clear intangible benefits and costs that this self services check-in brings to Novotel.
61
- Intangible benefits:
+ Increase the customer convenience, loyalty and satisfaction through
quick and effective check-in and check-out process
+ Enhance the user experience thanks to the modern self services
+ Reliable data and fully secure personal information processing
+ Improve brand equity, increase the company image
+ Reduce time spent on administrative management tasks
+ Reduce time spent in waiting queues
+ Help reducing costs by maximizing employee’s effectiveness
+ Increase the competitive advantages
- Intangible costs:
+ A drop in employee morale
+ Losing the reputation of being first
+ Some ineffective decision making
+ Some customer disappointment
From the deliverable 3, we knew the tangible benefits and costs of TARS and IPMS
systems. When Novotel applies the self check-in kiosk software, this application is
still based on TARS and IPMS systems. Therefore, if Novotel uses self service
check-in, it will incur some expenses related to self check-in kiosks.
- Tangible costs:
+ Price range for kiosk is from $3,000 to $10,000 which includes standard
kiosk software excluding the kiosk software that is customized to the
hotel. The hotel should use 3 kiosks with the cost of $15,000 ($5,000 per
kiosk including standard kiosk software).
+ The total cost for customization of the kiosk software can be $3,000 to
$20,000 or more it actually depends on the levels of customization and
the business needs. Because of using 3 kiosks in reception area and the
big business needs so the total cost for customization of the kiosk
software can be $5,000.
+ Kiosk price will also include licensing fees which has been paid for every
kiosk approximately it may cost $500 per kiosk. Touch screen kiosk
come with one year guarantee and Novotel may need to consider buying
an extended warranty or maintenance contract which actually cost 20%
of the actual kiosk price. Licensing fees for 3 kiosks are $1,500. The
actual kiosk price is about $2,000 so the warranty and maintenance
expenses are about $400m.
+ Costs for training employees, especially receptionists how to use this new
application. It costs approximately $1,000.
62
Read more at (Miller, 2015)

As for tangible benefits, using self service check-in brings more profits and less costs
to the Novotel particularly:
+ Reduce the number of receptionists and reduce the costs for employees.
3 kiosks will reduce a half of receptionists so it will reduce about $10,000
per year
+ Increase the effectiveness of check-in and check-out and increase the
number of customer coming to Novotel and check-in so increase the
revenues as well as the profit for the hotel. The total revenue is estimated
about $1,050,000 per year
+ Gain more productivity
When the Novotel use this application, it may pay a lot of money to buy the kiosks,
the software or the costs for operating and warranty. However, after everything is
entered to operate, the benefits and the profits will exceed the costs. From
researching and analyzing the business results of Novotel, we can estimate the costs
and the revenues for the next years when using this self service check-in.
- Initial capital for the project:
$15,000 + $5,000 + $1,500 + $400 = $21,900

- NPV Index:
Our group will analyze the predicted profitability of a project that requires an initial
outlay of $21,900. Over the course of four years, the project is expected to generate
revenues of $18,000, $20,000, $25,000 and $40,000 respectively. The anticipated
discount rate is 4.5%. When the hotel uses TARS and IPMS systems, it can create
about $1,000,000 per year. Therefore, thanks to self-service kiosk, it can create more
revenues particularly from $5,000 to $50,000 more than current revenue. At first
glance, it seems the returns are nearly double/triple/fourfold the investment.
However, a dollar earned in three years is not as valuable as a dollar earned today,
so the company's accountant calculates the NPV as follows to determine profitability
while accounting for the discounted time value of the projected revenues. Thus, we
have:
NPV = {$18,000/(1+0.045)^1} + {$20,000/(1+0.045)^2} + {$25,000/(1+0.045)^3}

+{$40,000/(1+0.045)^4} – $21,900 = $69,089.35
Read more: (Boyte-White, 2016)
63
- The break-even
(In USD)
Profitability 1stQ 2ndQ 3rdQ 4thQ
Gain from kiosks 5,100 5,100 4,000 3,600

Total cost 1,500 1,500 1,500 1,500
1st Year 3,600 7,200 9,700 11,800
2st Year 1,4400 18,000 20,500 22,600
Our group divides the year into 4 quarters. Why we do this? Tourist industry depends
a lot on the weather or seasons in the year. In Viet Nam, people tend to travel in the
spring or the summer, so the hotel revenues earning from the kiosk also change, and
we expect for higher earnings in two first quarters. It can be seen from the table that
the break-even point will be in the final quarter of the second year.
As for another solution, the development of TARS and iPMS systems, it can bring
the following benefits and costs to Novotel:
- Tangible costs
+ Cost for developing and operating TARS and IPMS ($ 15,000 for Opera
software)
+ Cost for employees is about $200,000 for wages expense and training them
every year
+ Cost for hardware: computer (Apple), tablet (Ipad), etc about $50,000
+ Cost for software: IOS of Apple, Servers about $10,000
 The total initial investment is: $15,000 + $50,000 + $10,000 = $75,000
- Intangible costs:
+ A competitive edge
+ Ineffective decision making
+ Declining company image
+ Customer’s disappointment
- Tangible benefits:
+ Interface with more than 100 distribution channels
+ The guarantee of being able to benefit from AccorHotels services and
applications
64
+ Revenue of Novotel hotel increase by improving ICTs every year, about

$1,000,000.
+ Resource cost saving
+ Enhanced user experience: Booking, four days before arrival, on a day of
arrival, simplified check- in, fast check-out
+ Increasing the loyalty and satisfaction of guests
+ Reliable data and fully secure information processing
+ Brand equity: Novotel is a mid-scale hotel brand within the AccorHotels
group with 470 hotels in 61 countries.
+ Reduce time spent on administrative management tasks: your teams can
save up to 3 hours a day
From above analysis, we can see that, self service kiosks clearly help Novotel reduce
intangible costs and increase intangible benefits. Regarding tangible costs, although
using self check-in kiosks incurs more expenses than TARS and iPMS systems, self
services are predicted to be a very feasible solution in the future. Da Nang city is a
great destination for international tourists so it is expected to organize many
important events, which will attract lots of travelers. Certainly, if Novotel invests in
this project, it will absolutely help Novotel resolve its current problems to
significantly increase revenues.
b. Improving TARS and iPMS
As for another solution, the improvement of TARS and iPMS systems, it can bring
the following benefits and costs to Novotel:
- Tangible costs
+ Cost for developing and operating TARS and IPMS ($15,000 for Opera
software)
+ Cost for employees is about $200,000 for wages expense and training them
every year
+ Cost for hardware: computer (Apple), tablet (Ipad), etc. about $50,000
+ Cost for software: IOS of Apple, Servers about $10,000
 The total initial investment is: $15,000 + $50,000 + $10,000 = $75,000
- Intangible costs:
+ A competitive edge
+ Ineffective decision making
+ Declining company image
+ Customer’s disappointment
- Tangible benefits:
65
+ Interface with more than 100 distribution channels

+ The guarantee of being able to benefit from AccorHotels services and
applications
+ Revenue of Novotel hotel increase by improving ICTs every year, about
$1,000,000.
+ Resource cost saving
+ Enhanced user experience: Booking, four days before arrival, on a day of
arrival, simplified check- in, fast check-out
+ Increasing the loyalty and satisfaction of guests
+ Reliable data and fully secure information processing
+ Brand equity: Novotel is a mid-scale hotel brand within the AccorHotels
group with 470 hotels in 61 countries.
+ Reduce time spent on administrative management tasks: your teams can
save up to 3 hours a day
From above analysis, we can see that, self service kiosks clearly help Novotel reduce
intangible costs and increase intangible benefits. Regarding tangible costs, although
using self check-in kiosks incurs more expenses than TARS and iPMS systems, self
services are predicted to be a very feasible solution in the future. Da Nang city is a
2. Technical feasibility
Novotel Da Nang is one of Novotel hotels – a midscale brand of AccorHotels.
Technically, Novotel’s engineering department is completely able to carry out the
solution. Accordingly, with the well-qualified engineering, IT staffs and the
availability of iOS system and iPMS based on the most modern and comprehensive
TARS, it will be easy for Novotel to store and control all data captured during guest
booking/check-in. Novotel has a nearly 100-percent success rate in using this self-
service kiosk. However, sometimes there may be a few problems in running the
device or customizing it, the vendor of kiosks has their own experts and engineers
that are available to help or offer Novotel a customized training toolkit and program.
3. Organizational feasibility
The self-service kiosk will be installed in the reception area. This new device will not affect
much on business management, but it will affect mainly on the reservation process and
two department: front office – reception department and engineering department. When
66
this kiosk is placed beside the reception, it may reduce the number of guests booking at
reception while increase reservations at the kiosk. For the engineering department, the
Novotel’s technicians and engineers have to monitor, maintain and operate this machine.
The other involved jobs that the kiosk has an influence on are training, marketing,
operation, sales.
IV. Criteria and comparison

Novotel Danang Hotel must base on a list 8 criteria and make comparisons two
solutions between Self-service Kiosk and TARS-IPMS development to choose the
most optimal solution
General requirements Weight Self-service Kiosk TARS and IPMS
criteria (5=high, development
1=low)
Raw Extended Raw Extended
(5=high, = Weight
1=low) * Raw
Develop cost 1 2 2 4 4
Long term benefits 5 4 20 3 15

Level of technical
3 4 12 3 9
support
Customer satisfaction 4 5 20 3 12
Security 4 4 16 5 20
Development time
2 4 8 2 4
length
Requirement for
2 2 4 2 4
internal expertise
Check-in time 3 4 12 3 9
Total 94 77
Table 1: Criteria and comparison
67
Novotel Danang Hotel focus on three main criteria: Develop cost, Long term
benefits and Customer satisfactions.
The -Kiosk reduces manpower. This cost cutting will ultimately result in profits and
fastens the revenue.
 Shorten lines at key times, especially for those guests that are in a hurry.
 Help business travelers do what they want, when they want.
 Free staff up for those who really demand the caring service and human
touch of hotel staff.
 Staff presence at the kiosks can be gradually reduced and diverted to service
points which require greater personal interaction
When Novotel applies the self-check-in

kiosk software, this application is still
based on TARS and IPMS systems.
Therefore, if Novotel uses self-service
check-in, it will incur some expenses
related to self-check-in kiosks.
(MedinyX, 2015)
Novotel Danang Hotel believes that implementing a self-service check-in solution

will enable them to reduce front-desk staff. It's possible, but not something you
should count on, especially in the early stages. More likely, the addition of a kiosk
solution will enable you to utilize front-desk employees differently - and more
68
effectively. In fact, after kiosk implementation, hotel reassign some of their front-
desk staff to jobs that provide long-term benefits, such as managing guest loyalty
programs.
Think of self-service as an alternative channel, not as a substitute for personal
service. Kiosks allow staff to devote extra time to guests who prefer traditional
check-in or need extra assistance. Employees can move out into the lobby to meet
and greet hotel guests and answer questions.
A self-service kiosk solution can be a powerful addition to your hotel's on-demand
strategy, allowing you to offer fast and efficient check-in and check-out, reduce wait
times, enhance staff effectiveness and increase guest satisfaction.
From above table, through eight criteria to compare, we can see that the total point
of Self-service Kiosk is 94 and TARS-IPMS development is 76. Although using self
check-in kiosks incurs more expenses than TARS and iPMS systems, self-services
kiosks are predicted to be a very feasible solution in the future. Da Nang city is a
E. References
AccorHotels. (2014).
fileadmin/user_upload/Contenus_Accor/Franchise_Management/Documents_utile
s/Developpement/MAJ_2014/. Retrieved from accorhotels-group.com:
http://www.accorhotels-
group.com/fileadmin/user_upload/Contenus_Accor/Franchise_Management/Docu
ments_utiles/Developpement/MAJ_2014/2._fs_distribution___jan14.pdf?trk=profi
le_certification_title
AccorHotels. (2015).
fileadmin/user_upload/Contenus_Accor/Franchise_Management/Documents_utile
s/Marques/factsheet_avril_2015/novotel. Retrieved from accorhotels-group.com:
ments_utiles/Marques/factsheet_avril_2015/novotel.pdf
AccorHotels. (2016). franchise-and-management/contacts-and-countries-
information/library. Retrieved from accorhotels-group.com:
ments_utiles/factsheet_reasons_April_15/en_it_technology_pms_jan2016.pdf
69
AccorHotels. (2016). Personal data protection standards. Retrieved from accorhotels-

group.com: http://www.accorhotels-group.com/en/personal-data-protection.html
Ariane. (2016). Products: our devices - duo 6000 series. Retrieved from Ariane
Corporation: http://www.ariane.com/index.php/en/products/our-devices/duo-6000-
series
Ariane. (2016). Products: our devices - duo 6000 series: Features. Retrieved from
Ariane: http://www.ariane.com/index.php/en/products/our-devices/duo-6000-
series/features
Boyte-White, C. (2016). What is the formula for calculating net present value (NPV) in
Excel. Retrieved from Investopedia:
http://www.investopedia.com/ask/answers/021115/what-formula-calculating-net-
present-value-npv-excel.asp#ixzz4QTZV6YjH
Capterra. (2016). Hospitality Property Management Software-OPERA Property
Management System. Retrieved from capterra.com:
http://www.capterra.com/hospitality-property-management-
software/spotlight/147176/OPERA%20Property%20Management%20System/Ora
cle
FOLS Accor. (2015, July 9). Retrieved from www.youtube.com:
https://www.youtube.com/watch?v=TCcXj6sATrU
Information_and_communications_technology. (2016, 10 18). Retrieved from Wikipedia:
https://en.wikipedia.org/wiki/Information_and_communications_technology
MedinyX. (2015). SELF-SERVICE HOTEL KIOSKS. Retrieved from Hotel.Medinyx:
http://www.hotel.medinyx.com/hotel-kiosks.html
Miller, L. (2015). How much does a self-service kiosk cost. Retrieved from Quora:
https://www.quora.com/How-much-does-a-self-service-kiosk-cost
NEC. (2016). Integrated Property Management System NEHOPS. Retrieved from NEC
Smart Hospitality Solutions:
http://www.nec.com/en/global/solutions/hospitality/nehops/
Novotel. (2016). gb/online-check-in-fast-check-out/index. Retrieved from novotel.com:
http://www.novotel.com/gb/online-check-in-fast-check-out/index.shtml
Novotel. (2016). PRIVACY POLICY. Retrieved from novotel-danang-premier.com:
http://www.novotel-danang-premier.com/privacy-policy/
Wiki. (2016). Property management system. Retrieved from wikipedia.org:
https://en.wikipedia.org/wiki/Property_management_system
70

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DA NANG UNIVERSITY OF ECONOMICS

MANAGEMENT INFORMATION SYSTEMS

LECTURER: Truong Hong Tuan

I. OVERVIEW OF THE HOTEL

The contemporary designed Spa creates

 Gym and Swimming Pool

c. Restaurant and Bar

d. Meeting and Event

Well-being as a source of effectiveness

II. PROBLEM STATEMENT

a. Receive reservation request

Figure 1. Online booking Figure 2. Reservation form

Figure 3. Guest’s information

Figure 4. Special request

b. Determine room and rate availability

c. Create the reservation record

- Arrival date and time

d. Confirm the reservation record

- Name and address of the guest

e. Maintain the reservation record

- Documenting the original reservation

Engineering division is responsible for handing electricity, water and other

Accounts Payable (money out) – In order to maintain great relationships with

4. Housekeeping Department (HK)

Responsibilities of Housekeeping department:

5. Food and Beverages Department(F&B)

Food and Beverage Department

6. Sale and Marketing Department(S&M)

7. Front Officer Department (FO)

FO is indeed the heart of guest activity. It holds major role to arrange

III. PORTER’S COMPETITIVE FORCES MODEL:

business industry, Novotel Da Nang Premier Han Rivet is always willing to

b. Vinh Trung Plaza Department and Hotel

c. Minh Toan Galaxy Hotel

handy amenities. The hotel

b. Viet Huong Minh limited liability company

TOWELS AND BATHROBES TOWELS DOORMAT

c. Tam Tam Consulting and Hotel Management limited liability

d. Others suppliers (MYV Khang Thanh Phu limited liability

limited liability company, MTV Bach Phu Thinh limited liability

The current supplies - hotel segment, 2ndQ/2015

The number of hotels The number of projects

Source: Savills Research & Consultancy

Coastal hotel rents at 3-5star segment increased 8% annually to 1.78 million

The operational status - hotel segment, 2ndQ/2015

Room price Average room revenue Capacity

Source: Savills Research & Consultancy

In today’s highly competitive world, the hotel business develops very

5-star hotels: 131.4 $; 4-star hotels: 78.56 $; 3-star: 46.88$ (according to

IV. VALUE CHAIN MODEL

 Mixed promotion policy was based on the question: How to

Analysis technology development capability of the hotel should note the

thereby overcoming the weaknesses and exploit competitive advantages in

a. A powerful reservation system – TARS

Figure 5. TARS CONTRIBUTION (Novotel.com, 2016)

Figure 6. DISTRIBUTION PLATFORM-TARS (AccorHotels, franchise-and-management/contacts-and-countries-information/library,

The advantages with the AccorHotels distribution solutions:

 TARS: 8 services and a 24-hour hotline to make your life easier

- Tracking: A tool for analyzing the commercial segmentation of AccorHotels

Opera is a third-party product sold and installed by Oracle and recommended by

Figure 7. OPERA PMS (Capterra, 2016)

FOLS (FOLS Accor, 2015)

OPERA OPERA OR FOLS FOLS