FROM COMPUTER RESERVATION SYSTEMS TO
GLOBAL DISTRIBUTION SYSTEMS
- Lesson 3 -
Angelina Njeguš, PhD
Associate Professor at ...
Prof. dr Angelina Njeguš
Table of Contents
 Introduction to Computer Reservation Systems
 Typical CRS Functions
 Evolut...
Prof. dr Angelina Njeguš
What is CRS?
 Computer Reservation System (CRS) is an information system
that promotes sales and...
Prof. dr Angelina Njeguš
CRS History
 CRS is the first information system that was used in tourism
industry
 Primarily w...
Prof. dr Angelina Njeguš
Typical CRS Functions
 Flight schedule information
 Days and times for flights operated by the ...
Prof. dr Angelina Njeguš
Evolution of CRS
 In the 1970s and 80s multiple CRSs
came up
 The growth of air traffic expande...
Prof. dr Angelina Njeguš
Travel Agent before GDSs
 Travel agent required
individual connections to
airlines
 If airlines...
Prof. dr Angelina Njeguš
Travel Agent after GDSs
Source: Introduction to Airline
Reservation Systems, 2009.
Prof. dr Angelina Njeguš
From CRS to GDS
 Among the first non-North American CRS, that was developed jointly by
Air Franc...
Prof. dr Angelina Njeguš
Global Distribution Systems - GDS
 Besides air products, today GDSs provide access to:
 Car ren...
Prof. dr Angelina Njeguš
What is GDS?
 GDS is an integrated information system and communication
channel that:
 incorpor...
Prof. dr Angelina Njeguš
Major GDSs in operation today
 Sabre
 Amadeus
 Travelport (the umbrella company for the Galile...
Prof. dr Angelina Njeguš
Sabre
 Founded in 1964 by American Airlines and IBM
 Headquartered in Southlake, Texas, USA
 U...
Prof. dr Angelina Njeguš
Overview of Sabre solutions
 Sabre Travel Network - solutions for the travel industry
 Sabre Ai...
Prof. dr Angelina Njeguš
Amadeus
 Founded in 1987 by Air France, Iberia, Lufthansa and SAS
 Headquartered in Madrid, Spa...
Prof. dr Angelina Njeguš
Overview of Amadeus’ principal
IT solutions offering
Amadeus Full
Altéa Suite
(PSS)
Airline IT
Ot...
Prof. dr Angelina Njeguš
Galileo
Today under Travelport GDS
 Founded in 1993 by 11 major North American and European
airl...
Prof. dr Angelina Njeguš
Worldspan
Today under Travelport GDS
 Founded in 1990 by Delta Airlines, Northwest Airlines and
...
Prof. dr Angelina Njeguš
Estimated air market share gain
(2000-2012)
Source: Amadeus, 2013.
Prof. dr Angelina Njeguš
Travel Distribution Chain
Source: ETTSA, 2010.
Prof. dr Angelina Njeguš
CRS Architecture
Source: TechTuners, 2013.
Prof. dr Angelina Njeguš
GDS Organisations
 In order to promote fair competition and to ensure that consumers do not rece...
Prof. dr Angelina Njeguš
IATA
International Air Transport Association
 Trade association for the world’s airlines
 Repre...
Prof. dr Angelina Njeguš
ETTSA
European Technology and Travel Services Association
 Promote the interests of GDSs and tra...
Prof. dr Angelina Njeguš
SITA
Société Internationale de Télécommunications Aéronautiques
 IT company specialized in provi...
Prof. dr Angelina Njeguš
Challenges for CRS/GDS
Prof. dr Angelina Njeguš
Problems of Big Data
 Analysis from Google shows that the typical traveller uses 22 websites to
...
Prof. dr Angelina Njeguš
The physical size of Big Data
Name Symbol Binary Decimal
byte B 20=1 byte 100=1
kilobyte KB 210=1...
Prof. dr Angelina Njeguš
Big Data sources
Prof. dr Angelina Njeguš
What is Big Data?
Source: Informatika. Available at: http://www.informatica.com/us/vision/harness...
Prof. dr Angelina Njeguš
Prof. dr Angelina Njeguš
References
1. Markiewicz, P. (2013) Computer History – Mainframe Era (1944-1978). Available at: h...
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Lesson 3: From Computer Reservation Systems to Global Distribution Systems

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Introduction to Computer Reservation Systems
Typical CRS Functions
Evolution of CRS
Global Distribution Systems
GDS Organisations
Challenges for CRS/GDS
Big Data

Published in: Travel, Business

Lesson 3: From Computer Reservation Systems to Global Distribution Systems

  1. 1. FROM COMPUTER RESERVATION SYSTEMS TO GLOBAL DISTRIBUTION SYSTEMS - Lesson 3 - Angelina Njeguš, PhD Associate Professor at Singidunum University Belgrade - Serbia, 2013
  2. 2. Prof. dr Angelina Njeguš Table of Contents  Introduction to Computer Reservation Systems  Typical CRS Functions  Evolution of CRS  Global Distribution Systems  GDS Organisations  Challenges for CRS/GDS  Big Data
  3. 3. Prof. dr Angelina Njeguš What is CRS?  Computer Reservation System (CRS) is an information system that promotes sales and provides fast and accurate information about availability, price and bookings of tourism products and services  Originally CRSs were developed to facilitate business transactions and bookings related to air travel  Later, CRSs were extended for the use of travel agencies, hotels, and other tourism and hospitality businesses to manage their inventory and allow direct access through terminals to check for availability, make reservations and issue tickets  Today, CRSs are of high importance for travel and tourism industry with the main focus on direct reservations (e.g. directly in the hotel)
  4. 4. Prof. dr Angelina Njeguš CRS History  CRS is the first information system that was used in tourism industry  Primarily was used as inventory-control system by airlines  In 1962 American Airlines introduced SABRE (Semi-Automated Business Research Environment) the first commercial CRS, developed by IBM, that was used for:  generating flight plans for the aircraft  tracking spare parts  scheduling crews ... Figure: SABRE Reservation system in 1960s (Venema, 2011)
  5. 5. Prof. dr Angelina Njeguš Typical CRS Functions  Flight schedule information  Days and times for flights operated by the airline  Availability information  Seat availability on a flight by service class (i.e. Economy, business, first class)  Fare quotes  A consolidated fare for an itinerary based on flight, day, time, service class and passenger types chosen  Reservation information  Seat bookings  Ticketing information  Generating and storing tickets  Refunds and cancellations  Cancellation of existing reservations and tickets
  6. 6. Prof. dr Angelina Njeguš Evolution of CRS  In the 1970s and 80s multiple CRSs came up  The growth of air traffic expanded CRS  In order to distribute up-to-date information to all potential customers worldwide and to support the operation and administration of airlines, CRS evolves from the central to the distribution system  In the mid 1980s, CRS developed into much more comprehensive global distribution system (GDS) offering a wide range of tourism products and providing the backbone mechanism for communication between actors in tourism industry Source: Dennis, 2012.
  7. 7. Prof. dr Angelina Njeguš Travel Agent before GDSs  Travel agent required individual connections to airlines  If airlines used different mainframe systems, travel agent had to use and be trained on different mainframe clients  Searches and reservations were performed separately on individual airline CRSs
  8. 8. Prof. dr Angelina Njeguš Travel Agent after GDSs Source: Introduction to Airline Reservation Systems, 2009.
  9. 9. Prof. dr Angelina Njeguš From CRS to GDS  Among the first non-North American CRS, that was developed jointly by Air France, Lufthansa, Iberia and SAS in 1987, was Amadeus Source: Schulz, 1996
  10. 10. Prof. dr Angelina Njeguš Global Distribution Systems - GDS  Besides air products, today GDSs provide access to:  Car rentals  Hotel booking  Packaged holidays  Cruises and ships  Railways  Local road transport ...  GDS enable clients to compare, and access information about travel, leisure, and other tourism related information from various tourism service providers
  11. 11. Prof. dr Angelina Njeguš What is GDS?  GDS is an integrated information system and communication channel that:  incorporates all travel services  connects service providers with end users  providing information from all segments of the journey  allows booking and selling of the required services  Today GDS is:  the most cost effective tool for buyers of business travel to manage the complexity of supply  more than just a reservation tool - integrates the core business processes of tourism businesses and therefore increase their productivity, speed, and performance
  12. 12. Prof. dr Angelina Njeguš Major GDSs in operation today  Sabre  Amadeus  Travelport (the umbrella company for the Galileo, Apollo, and Worldspan) Figure: GDS Bookings Worldwide market share (Amadeus, 2009) 37% 30% 29% 4% Amadeus Sabre Travelport Abacus
  13. 13. Prof. dr Angelina Njeguš Sabre  Founded in 1964 by American Airlines and IBM  Headquartered in Southlake, Texas, USA  Used by www.expedia.com, www.lastminute.com, www.travelocity.com ... Source: Sabre Pacific, 2013.
  14. 14. Prof. dr Angelina Njeguš Overview of Sabre solutions  Sabre Travel Network - solutions for the travel industry  Sabre Airline Solutions - solutions for the air transportation industry  Sabre Hospitality Solutions - solutions for the hospitality industry  Travelocity - online travel company Source: Sabre Hospitality Solutions, 2013.
  15. 15. Prof. dr Angelina Njeguš Amadeus  Founded in 1987 by Air France, Iberia, Lufthansa and SAS  Headquartered in Madrid, Spain  Largest booking share in Europe  Used by www.expedia.com, www.opodo.com, www.flights.com ...
  16. 16. Prof. dr Angelina Njeguš Overview of Amadeus’ principal IT solutions offering Amadeus Full Altéa Suite (PSS) Airline IT Other IT solutions Other airline IT Reservation Inventory Departure control e-Commerce Global services Revenue integrity, e-ticket server Non-air Hotel IT Airport IT Rail IT Source: Amadeus, 2012.
  17. 17. Prof. dr Angelina Njeguš Galileo Today under Travelport GDS  Founded in 1993 by 11 major North American and European airlines  Headquartered in Atlanta, Georgia, USA  Used by www.orbitz.com, www.hotwire.com and others
  18. 18. Prof. dr Angelina Njeguš Worldspan Today under Travelport GDS  Founded in 1990 by Delta Airlines, Northwest Airlines and Transworld Airlines  Merged with Galileo in 2006 Source: Travelport, 2013.
  19. 19. Prof. dr Angelina Njeguš Estimated air market share gain (2000-2012) Source: Amadeus, 2013.
  20. 20. Prof. dr Angelina Njeguš Travel Distribution Chain Source: ETTSA, 2010.
  21. 21. Prof. dr Angelina Njeguš CRS Architecture Source: TechTuners, 2013.
  22. 22. Prof. dr Angelina Njeguš GDS Organisations  In order to promote fair competition and to ensure that consumers do not receive inaccurate or misleading information on travel services, it is necessary to have regulations on GDS  Organisations work together with governments, and other relevant authorities to help define the correct regulatory framework for the travel and transport industry  There are several organisations, such as:  IATA - International Air Transport Association  ICAO - International Civil Aviation Organization  ETTSA - European Technology and Travel Services Association  ATPCO - Airline Tariff Publishing Company  IATAN - International Airlines Travel Agent Network  SITA - Société Internationale de Télécommunications Aéronautiques and many others
  23. 23. Prof. dr Angelina Njeguš IATA International Air Transport Association  Trade association for the world’s airlines  Representing around 240 airlines or 84% of total air traffic  Formed on 1945  Headquartered in Montreal, Quebec, Canada  Supports many areas of aviation activity and helps formulate industry policy and standards on critical aviation issues, such as:  Security of passengers and cargo  Airline safety  Airline revenues  Infrastructure issues  Chargers and economic regulation and taxation  Fuel  Airline distribution  Environment ...
  24. 24. Prof. dr Angelina Njeguš ETTSA European Technology and Travel Services Association  Promote the interests of GDSs and travel distributors and support full transparency, fair competition and consumer choice in the travel distribution chain  Launched in 2009  Based in Brussels  Members are Amadeus, ebookers, Expedia, Odigeo (and its brands eDreams, GoVoyages, Opodo and Travelink), Sabre (including its affiliate lastminute.com), and Travelport.  ETTSA’s main activities include:  Engaging in policy-making  Providing insight and information  Reporting new developments
  25. 25. Prof. dr Angelina Njeguš SITA Société Internationale de Télécommunications Aéronautiques  IT company specialized in providing IT and telecommunication services to air transport and related industries  Founded in 1949 by 11 airlines in order to bring about shared infrastructure cost efficiencies by combining their communications networks  Headquartered in Geneva, Switzerland  Almost every airline, airport, air cargo, and aerospace use some kind of SITA’s business solutions  SITA solutions for:  Airport, aircraft, baggage, cargo operations  Passenger operations  Transportation security  Communications and infrastructure  Commercial management ...
  26. 26. Prof. dr Angelina Njeguš Challenges for CRS/GDS
  27. 27. Prof. dr Angelina Njeguš Problems of Big Data  Analysis from Google shows that the typical traveller uses 22 websites to research a trip, in multiple shopping sessions, before booking  The growth of Cloud, Mobile and Social Computing leads to the fact that organisations are flooded by:  Huge volume of data  High velocity of data  Variety of data Digital content will grow to 8ZB by 2015
  28. 28. Prof. dr Angelina Njeguš The physical size of Big Data Name Symbol Binary Decimal byte B 20=1 byte 100=1 kilobyte KB 210=1.024 byte (B) 103=1.000 megabyte MB 220=1.048.576 B 106=1.000.000 gigabyte GB 230=1.073.741.824 B 109=1.000.000.000 terabyte TB 240=1.099.511.627.776 B 1012=1.000.000.000.000 petabyte PB 250=1.125.899.906.842.624 B 1015=1.000.000.000.000.000 exabyte EB 260=1.152.921.504.606.846.976 B 1018=1.000.000.000.000.000.000 zettabyte ZB 270=1.180.591.620.717.411.303.424 B 1021=1.000.000.000.000.000.000.000 yottabyte YB 280=1.208.925.819.614.629.174.706.176 B 1024=1.000.000.000.000.000.000.000.000 brontobyte BB 290=1.237.940.039.285.380.274.899.124.224 B 1027=1.000.000.000.000.000.000.000.000.000 geopbyte GeB 2100=1.267.650.600.228.229.401.496.703.205.376 B 1030=1.000.000.000.000.000.000.000.000.000.000  Bit (b) – 0 or 1  Byte (B) – 8 bits  Kilobyte (KB) – 1024 bytes
  29. 29. Prof. dr Angelina Njeguš Big Data sources
  30. 30. Prof. dr Angelina Njeguš What is Big Data? Source: Informatika. Available at: http://www.informatica.com/us/vision/harnessing-big-data/
  31. 31. Prof. dr Angelina Njeguš
  32. 32. Prof. dr Angelina Njeguš References 1. Markiewicz, P. (2013) Computer History – Mainframe Era (1944-1978). Available at: http://plyojump.com/classes/mainframe_era.php (accessed: 17.07.2013) 2. Venema, M. (2011). Global Distribution Systems (GDS). Edutour – Education for Tourism. Available at: http://www.slideshare.net/magielsr/gds- overview-1232798141856259-2-2359117 (accessed: 18.07.2013) 3. Introduction to Airline Reservation Systems. Available at: http://www.slideshare.net/mave_boy/introduction-to-airline-reservation-systems-1237705 (Accessed: 17.07.2013) 4. Dennis, B. (2012). Hospitality Internet Booking Engines & Central Reservation Systems: A thought-piece concerning online reservation technology for the hospitality industry. Buuteeq, Seattle, WA. 5. Schulz, A. (1996). The Role of Global Computer Reservation Systems in the Travel Industry Today and in the Future. Electronic Markets, 6(2). Available at: http://aws.iwi.uni-leipzig.de/em/fileadmin/user_upload/doc/Issues/Volume_06/Issue_02/The_Role_of_Global_Computer_Reservation.pdf (accessed 17.07.2013) 6. Amadeus (2012). Corporate presentation 2012. PowerPoint presentation. Amadeus. 7. Sabre Pacific (2013). Sabre online enhancements power increased productivity. Travel Blackboard. Available at: http://www.etravelblackboard.com/article/143630/sabre-online-enhancements-power-increased-productivity (accessed: 18.07.2013) 8. Sabre Hospitality Solutions (2013). Central Reservation System (CRS). Sabre. Available at: http://www.sabrehospitality.com/central-reservation- systems.php (accessed 18.07.2013) 9. Travelport (2013). Travelport GDS Privacy Policy. Available at: http://www.travelport.com/Privacy-Policy/Travelport%20GDS (accessed: 18.07.2013) 10. Amdekar, J., Padmanabhuni, S. (2006). Future of Travel & Tourism Industry with the adoption of Web Services in Electronic Distribution. Infosys. Available at: http://www.infosys.com/industries/hospitality-leisure/white-papers/Documents/webservices-adoption-travel-tourism.pdf (accessed 18.07.2013) 11. ETTSA (2010). Technology and Independent Distribution in the European Travel Industry. PhoCusWright . Available at: http://www.ettsa.eu/uploads/documents/ETTSA_Study_2010_Single_Pages.pdf (accessed 18.07.2013) 12. TechTuners (2013). T-RES. Available at: http://www.techtuners.com/TRES.aspx (accessed 18.07.2013) 13. Davenport, T.H. (2013). At the Big Data Crossroads: Tuning towards a smarter travel experience. Amadeus IT Group. Available at: http://www.bigdata.amadeus.com/assets/pdf/Amadeus_Big_Data.pdf (accessed 18.07.2013) 14. Videcom (2013). GDS Distribution. Videcom Airline Reservation Systems. Available at: http://www.videcom.com/airline-global-distribution- systems.aspx (accessed 18.07.2013) 15. Amadeus (2013). Amadeus Introductory presentation. Available at: http://www.investors.amadeus.com/media/files/english/column_boxes/Introductory Presentation (long form) February 2013.pdf (accessed 18.07.2013)

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