Navigating The Wave Of Change
<H1>Navigating The Wave Of Change</H1><H3>Greg Conley</H3>One thing is certain in travel distribution-we are in for even more fundamental change at an accelerating rate. This change will not be in the form of an event but instead will be a continuous, building persistent wave. This change also represents
tremendous opportunity.
The business driver for change has been firmly in place for a number of years-the pressing, even survival-driven need to reduce costs by travel providers. The tools to actually bring about this change, however, are just now bursting onto the scene: electronic ticketing coupled with multifunction smart cards, much more intuitive front-end reservation applications, total travel management solutions, Internet booking capability across an exploding base of potential users and more powerful electronic collaborative tools. IBM will provide these tools, as will many others inside and outside the industry. Given the opportunities that exist in this industry, more players will be drawn into the equation.
No matter what your current role in today's travel distribution paradigm, a few basic perspectives are important to keep in mind.
First, do not fear change-or worse yet, fight it or withdraw from it. Second, proactively examine the drivers of change and the tools that will make change a reality. Third, modify your role in travel distribution to embrace these powerful and productive tools. Fourth, proactively drive the suppliers of these tools to provide what you need to be successful-do not passively wait for them to hand you whatever they come up with on their own.
I do not believe that whole categories of players in today's travel paradigm, such as travel agents or global distribution systems, will be eliminated by the changes ahead. Some players in every category, however, will be eliminated, most likely those who do not follow the basic advice outlined here. The players who do survive also are likely to emerge as even bigger, more influential and more profitable than they are today.
Remember Max Hopper's profile of fundamental technical change. Initially, there is a huge surge of hype. Then a trough during which performance-whether it's speed, availability, response time, cost or some other factor-fails to live up to the hype. Following this trough will be results that actually exceed the initial hype. Keep this profile in mind as you navigate your business through the sea of change that is rolling toward us all.
Greg Conley is general manager of travel and transportation industry for IBM Corp.