A Case Study review Group Charles Edwards Simon Cousins Owen Biggs Minesh Pandya Scott Rowson Joseph Christopher
An introduction to Wyndham Group • Founded in 1981 by Trammel Crow, President of Trammel Crow Company (TCC) as Wyndham Hotels Cooperation. • The first hotel was opened in Dallas in 1982 • Bought out by Patriot American Hospitality with rebranding Wyndham to Wyndham International. • Resulting in IPO In 1996 • In 1999 a change of CEO (Kleisner) • In 2000 a new CTO (Headley) was appointment
The Wyndham Strategy relating to customersatisfaction. • CEO – “I wasn’t hired because I am a great investment banker or deals guru. I was hired because I have spent my life creating profitable hotels and groups of branded properties.” • The move to personalised customer service
Wyndham Business Environment SWOTAnalysis - Internal Internal Strengths WeaknessCustomisable Customer Experiences Additional Management overheadIntegrated and Centralised IS Lack of brand awarenessApplication Server Provider approach to software Internal IS management- key personaldistribution dependenciesFranchising allowing for low Capital Lack of control over Franchise’s (Individualrequirements allowing easy expansion Hotels)Board Members (CTO) with Strong IndustryExperienceNationwide franchise coverageMultiple Access Channels for booking capabilitiesFranchise business model introduces lowerfinancial risk
Wyndham Business Environment SWOTAnalysis - External External Opportunities ThreatsInternational expansion, Europe and continent Customer (Traveller) personal details accessed maliciouslyCross industry partnerships through EDI. ByRequest initiative model copied and utilised by competitorsLodging industry referral initiatives Government DPA compliance changeIncrease value of customer data obtained Travel industry organisations removing Customer interaction with Wyndham. Franchise Hotels move to competitors
Wyndham IT infrastructure• Prior to making Mark Hedley as CTO • Lack of IT standardisation • Outsourced IT • IT cost considered as capital expenditure • Legacy Systems• Mark Hedley as CTO in 2000 • Centralised IT systems to support its new IS strategy
Wyndham ByRequest initiative• A way to store personalised data• Customers will feel more valued and comfortable• Increased likelihood of customer retention and improving reviews
Suggested future growth Strategiesfor Wyndham.• Strategic Partnerships • E.g. Airline and car rental service providers, local events• Improve brand awareness • Continue emphasising their initiative differentiator • Develop more value from Customer Data• Future international expansion?