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Case Analysis Of Swisscom Hospitality

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Introduction
Swisscom Hospitality is certainly one of the big players on the field of managed service provider for the hospitality industry. It has developed its dominant position on the market of HSIA (high Speed Internet Access) services throughout the last 16 years in EMEA and 5 years in the United States. At its apogee in 2006, Swisscom Hospitality was serving HSIA services to more than 400’000 rooms throughout the different markets and proudly counted amongst its customers, chains such as Hilton, Marriott or IHG. At the day of today, Swisscom Hospitality only counts 250’000 rooms which represent a nearly 38% reduction. A few factors can explain this loss of customer. Some major chains have developed their own HSIA solution foreseeing the …show more content…

In most of the cases Swisscom Hospitality operate as a service integrator for local ISP (Internet Service Provider), hence, Swisscom Hospitality cannot inflect the quality of the connection but is operating at the level of the interface allowing guests to access the Internet. The Internet gateway developed by Swisscom Hospitality’s software developers is an overall good product, which offers a wide range of customization. Its drawback is under-trained engineers in charge of deploying the gateway who may face difficulties to answer hoteliers constantly increasing needs of customization. ‘If the field engineer cannot escalate efficiently any issue that he is not able to solve, the overall satisfaction with the service, which is based on the experience with the organization, will suffer’ as argued by Bitner and Hubbert …show more content…

In Swisscom Hospitality case, innovation is necessary to improve a long time recurring issue, which penalize the company’s results and bring an overall unpleasant working environment. This process requires the involvement of several business units as well as senior managers. As per Slack et al (2013) senior managers tempt to ‘leave the details’ to middle managers once they set the targets. However to bring an effective and seamless change, notable involvement of the senior management is required.

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