Intercontinental Hotels Group Plc

Topics: Six Sigma, InterContinental Hotels Group, Service system Pages: 7 (1158 words) Published: October 9, 2011
InterContinental Hotels Group PLC
“We had very ambitious
goals for reducing our
operational costs. These
solutions allowed us to
not only meet our financial
goals, but significantly and
measurably improve our
end-user satisfaction and
Eric Hardaway
VP, Applied Technology
InterContinental Hotels Group PLC
Xerox helps slash operational costs and improve end-user
satisfaction for a leading global hospitality group.
There’s a new way to look at it.
Travel & Leisure
Case StudyClient Profile
InterContinental Hotels Group PLC
(IHG) is the world’s most global
hotel company and the largest
by number of rooms. The Group
has more than 3,500 owned,
leased, managed, and franchised
hotels and approximately
535,000 guest rooms across
nearly 100 countries
and territories.
Doing more with less
How do you reduce costs and improve service at the same time? InterContinental Hotels Group turns to Xerox managed services expertise for the answer. The Challenge
Following 9/11 and the resulting
downturn in the hotel and hospitality
business, IHG needed to cut costs
significantly to stay competitive
—so their president vowed to cut
$100M from the Americas Region
operating budget.
That’s when IHG turned to Xerox for
managed services expertise, to help
reduce their spend on Helpdesk,
Deskside, and Server Support services
by 33% (or $1.2M) and understand why
end-user satisfaction was low.
IT Managed Services at IHG.
Helpdesk: A centralized service center
that processes over 3,000 calls a month
for approximately 1,500 corporate users,
to provide end-user IT support via
telephone, email and a web portal.
Telephone support calls are the primary
method of contact and receive priority.
Deskside: A dispatched on-site support
service that handles hardware and
software problems, PC installations and
changes, software and peripheral adds,
and workstation relocations for
approximately 1,500 corporate users.
Server Support: A technical, back-end,
and maintenance support service for
IHG’s Microsoft NT server estate.
This includes approximately 150
servers for network authentication,
email, applications, file storage, and
print services.The Solution
When the Xerox Global Services team
looked at the IT challenge facing IHG,
it seemed intuitive to migrate as many
of the Deskside service calls to the
Helpdesk. The bigger question was how
to institute process improvements
without disrupting a live IT service and
further degrading already low levels of
services—and find out why so many
calls were being directed to the
Deskside in the first place. To answer
these questions, develop a phased
project plan and deliver strong
implementation, Xerox turned to the
approach of Lean Six Sigma to chart
a course.
Through the use of Lean Six Sigma
methodologies, the Xerox Global
Services team:
• Identified Deskside Support as the
service with the highest costs, followed
by Server Support, and finally Helpdesk
• Gained a clear understanding of key
variables, such as the cost associated
with each type of ticket, the total number
of tickets, and average fix times
• Found that it cost five times more to fix
a problem using Deskside Service than
Helpdesk Service
Uncovering opportunities for improvement
Lean Six Sigma allowed the Xerox Global
Services team to quantify obvious areas
for improvement and also uncover
substantial opportunities in not-so-obvious
areas—for example, discovering the cost
savings that eliminating redundancy
between service providers would bring.
To achieve the $1.2M in savings, Xerox
Global Services:
• Reduced average problem fix times to
improve customer satisfaction
• Solved more problems at the Helpdesk
instead of on-site Deskside to reduce
ticket cost by 80%
• Updated and standardized operating
systems to reduce ticket volume by 10%
• Moved...
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