Week 6 Case Study
1. How important is the reservation system at airlines such as WestJet and JetBlue? How does it impact operational activities and decision making? The reservation system is extremely important to small airline companies such as WestJet and JetBlue. Since these companies are small and fairly new, efficient customer service is essential to their success. When potential customers visit the JetBlue and WestJet websites and view their competitive rates, it is imperative that they are met with a completely capable, efficient information system to book their reservations on. Also, the reservation system will impact operational activities because it clearly lies out how many reservations are currently booked which is essential in deciding on the number of aircraft to use for a specific block of time to a specific destination. It also provides foresight on how much fuel to have on the aircraft etc. Another thing that the reservation system helps is the ability to know when to advertise specials on certain flights in order to fill the roster and offer standby to last minute travelers.
2. Evaluate the risks of the projects to upgrade the reservation systems of WestJet and JetBlue and key risk factors. There are several risks associated with upgrading any information systems within a company. Typically the most difficult tasks involve providing training to the employees that are responsible for using, operating or receiving data from the upgraded information systems. In this situation in particular, one of the major concerns for these companies was that the information system updates would cause defects in the system and also that the time that it would take to upgrade the reservation system could cause a gap in services to the user. An outage in their web services would cause major setbacks for both companies and neither of them could afford the loss. The text states that WestJet had been running practice tests and training for over 100,000 hours in...
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