A multipronged approach to this hotel chain’s transformation boosted innovation, productivity and margins while improving IT efficacy with business partners.
Opportunity
To maintain its leadership position in the highly competitive global lodging market, a major hotel chain sought ISG’s help in making operations more efficient for franchise owners and creating competitive advantages through innovative technology solutions.
Imagining IT Differently
ISG designed and implemented a transformational program in phases that included workforce transition management, service integration and management (SIAM), governance, organizational design, change management, and information technology outsourcing. Process standardization enabled the chain to be more productive and focus on tasks that would “grow the business” by supporting new business initiatives, rather than tasks that would “run the business,” which simply maintained existing applications.
Future Made Possible
- An investment of $45 to $55 million over the course of five years could lead to savings of more than $100 million in the same period.
- Better alignment between the IT model and changing needs of business partners strengthened those partnerships
- Organizational agility created focus to improve the opportunity for meeting escalating investments into evolving technologies
- New target operating models resulted in significant cost savings, better agility and speed to market, and improved IT products and services.
