Role of Supply Chain Management for Orbitz Company- myassignmenthelp

Question: Write about theRole of Supply Chain Management for Orbitz Company. Answer: Introduction This report includes the understanding of the role of supply chain management in the Orbitz tourism company which is selling their services online throughout the world. Orbitz provides the users to quickly tap on the book now button for booking the flight. Through this website user can customize and select the booking date, departure, flight class, number of stops, etc. This online website uses different filters which provide the users the flexibility in looking for the date and better cost. This assignment is written to analyze and identify the logistics and supply chain management of the Orbitz tourism website. This report also includes the study of strategic resources and operations management and the tangible assets of the Orbitz tourism company. The issues related to the value chain are also addressed in this report followed with solutions to achieve the outcomes from the strategies involved in improving the customer base. The fundamentals of managing the operations and defining the integrations between the logistics for both inbound as well as outbound operations are also addressed in this assignment (Lu, 2011). Supply chain management of Orbitz Tourism Company Due to the emergence of Information Technology and significantly improve on the living standards of the people; there is an environment for the growth of the Tourism Company in the global market. The growth of the Orbitz Tourism Company can easily be recognizable from the growth prospective due to the impact of Global market. Companies apply the strategies to increase the growth opportunities by stretching into the market through social media marketing, newspapers, movies, TVS, etc., which play a significant role in the growth of the Orbits Tourism Company all over the world. Orbitz Tourism Company aimed at getting the opportunities by analyzing the target market in terms of population, growth, economy, demographics, and where the companies can get the resources at a cheaper rate to lower the overall cost of supply chain management (Odoom, 2012). There are few key characteristics that the touring company should analyze before direct implementing the strategies to the Global market. These characteristics are categorized as: Border-less: International markets are open for the implementation of the marketing, delivering, manufacturing, in terms of supply chain management. The strategy used for increasing the growth of the Orbitz Tourism Company in the Global market has been demonstrated through the position of competitive brands, business alliances, financing, services, etc. Cyber-connected: Global market binds together the growing organizations in the world to that extent that there is no independent search and cluster market in the local areas. That is, the global market is potentially growing and expanding the international supply chains, but there is a need of securing the network using the cyber security so that the company can transfer the large amount of confidential information throughout the world quickly and efficiently without any loss of data (Font Tapper, 2008). Deregulated: Barriers in the Global market has been domineered due to the creations of open trade markets or free a market which helps the companies to grow in the international market. The role of de-regulated helps in removing the laws or protocols or helps in simplifying the global forces in the market. Deregulation also helps in disintegrating the control of government over organizational growth in the regions of global market. Environmental consciousness: The movement of the business organizations towards the Global market also have been improved the environmental conditions or saving the nature by going green and applying the strategies which plays an important role in maintaining the eco -friendly business. The reduction in the use of paperworkhas proved to be a proper implementation and integration of the Environmental Protection Act. The carbon footprint from the past few decades has also been considered as a better performance measure of the Global supply chain management. Social media: Social media are considered to be a primary key factor in implementing the decision-making strategies and to secure the position in the local as well as international market. The growth of customer base can easily be created by making customers aware about the brand on the Internet. This also helps to increase the acceptance of brand in the international market while creating awareness in the form of multilingual,and establishing the authorities to make customer contact with the Tourism company to ask their queries (Vongsaroj, 2013). The company also handles the inbound and outbound logistics with responsibility. The details of both operations is as follows: The inbound logistics including handling the calls, emails of their customers to support them with the queries and sorting them out.This also includes the booking of the flights, handling any transactional issues, etc. While, the outbound logistics deals with approaching to the existing or potential customers to promote the package offers, deal with the hospitality industries for the bookings, or calling the customer to get the feedback of the services provided by them, etc. Issues with the Orbitz supply chain management Due to the changes in the global environment, there is a need of understanding the challenges that the tourism companies can face. Following are the few strategic challenges which can have an impact on the tourism company for the long term are: Market Dimension: The demand of the customers is totally unpredictable in case of international marketing. In the recent study it has been analyzed that there is a significant decrease in the loyalty of the customers over the last decade because of the use of latest technologies using mobile phone and other internet technologies which helps the user to switch to the other brand depending upon the promotions and offers the different company of the same verticals offers (Bala, 2014). There are many companies which follow the price skimming strategies to market their brand in the international market, which creates a problem in the tourism Company to identify the unexpected changes of the demand of the customer in the international market. Demographics: Change in the lifestyle of the people modified the way in which the people plan the trip and travel. In the survey, it has been noted that approximately $ 700 billion were spent in the year 2006 in the US by the people in the age group of 16 to 25 who stay longer and spend more time visiting new places and explore their travel experience. Thus, there are fewer chances to get the profit margins from the other age groups. Technology dimensions: The key impact of technology on the online tourism industry is further divided into three challenges which are categorized as laid-time challenge, disruptive power challenging and the supply chain network challenges. In the lead-time challenge the brand companies create a customer loyalty to such an extent that it is difficult to that is for the new online tourism companies to overtake that already existing tourism. The destructive power is appreciating or analyzing the challenges in the technologies which may or not limited to the feature of customer support. In the supply chain network challenge, it is observed that if the profit margins of the companies are low, the users opt for the tourism companies already in the market rather than taking the risk on the new technologies (Jones Herbert, 2009). Resource allocation: The companies expanding supply chain management around the world,are mostly using the internal resources which help them to market their business in the biggest market in terms of quality, variety, etc. and at a competitive price. The long term and short term impacts of hiring the resources for outsourcing are unknown and are difficult to understand. Thus, it is a challenge in a global supply chain management. Time Allocation: The difference in the time zone creates a break in the management of the supplies. This is the measure of the operational fixation of the issues faced by the customers and the time taken by the tour company to revert back to those issues using the mail system or the ticketing system. This adds a great value to the satisfaction of the customers, thereby reducing the cost and improving the efficiency and productivity. Time dimension would be great challenge when it comes to the inability of the touring company to facilitate Logistics and other in that particular country due to the time-zone difference (Nigam Srivastava, 2011). Tangible assets of the Orbitz: Orbitz is a leading global organization with approximately 100000 hotels with the target market in approx 179 countries and 10000 cities worldwide. The Orbitz tourism company provides the users to book faster their trips using several search features. The other asset of the orbitz tourism company is the acquirement of the Travelocity partner network, which provides the solutions to the customers. Orbitz also comes up with the smart app which saves the password with the highest security. The Orbitz tourism industry provides the flexibility and the latest technology solutions with 24/7 support to the customers from the highly skilled professionals so that they can travel with an ease and care from the in-house employees of the Orbitz tourism organization. Orbitsz also provides the users the thousand of offers that helps the customers save the money. Orbitz also take care of the alerts for the delays in the flight, any change in the gate, cancellations, and promotion related information (Schaal, 2014). The goal of orbitz is to provide the customers an easy and efficient way to book the flight. Orbitz Worldwide is an essential global online tourism company using the new and advanced technologies to revolutionize the way in which customers around the world plan and purchase travel. Harmonizing the value chain to achieve strategic outcomes Harmonizing or collaborating in supply chain management is defined as approaches to work together to achieve a combined goal. The collaboration is important in the process of supply chain management approaches because of the following reasons: Sharing resources: In this the resources are shared between the two organizations (Orbitsz and Travelocity partner network) which help to reduce the unnecessary resource cost. Achieve synergy: Interaction of two or more organizations which work together to produce a combined effect resulting in the increased output. This is creating a different value of the tourism company which cannot be achieved individually. This also helps in analyzing the Risk Sharing: This helps to mitigate the risks for both the organizations (to which Orbits has been collaborated- Travelocity partner network) the negative impact produced from the results of the outcomes from the potential customers can be borne by both the organizations, thereby reducing the loss on one organization (Nigam Srivastava, 2011). Innovation: This helps the organizations to develop the new and creative ideas to increase the customer base. This can be done by the research and development team of both the organizations by analyzing the current scenario of the market, customer demands, motivating all age groups to travel, promotions, and offers. The new innovative ideas are implemented in the market, taking into consideration the competitive areas of the particular organization (Foundations of Success, 2007). The collaboration of a Orbitz tourism company with the Travelocity partner network resulted in the increase in the overall annual revenue of the company. It has been revealed in the news that there is an increase of approximately 10% of the overall total revenue alone and approximately 7.01 per cent of the revenue growth was made possible due to the harmonization or the collaboration of the company with the Travelocity Partner network Conclusion This business report has been prepared to get an understanding of the role of supply chain management in the Orbitz tourism company and the key characteristics that can be implemented improve the supply chain management in the Global market. This report has been prepared to draft the issues related to the supply chain management in terms of market and techonology dimensions, demographics and allocation of time and resources. The tangible assets of the Orbitz tourism company are also addressed, which defines the goals and objectives of the company including the procedure of their plans of achieving the particular goals. This report also scrutinize the strategies the Orbitz company to harmonize the value chain of the supply chain management. The fundamentals of managing the operations and defining the integrations between the logistics of both inbound as well as outbound operations have also been addressed in this assignment. References Bala, K. (2014). Supply Chain Management: Some Issues and Challenges - A Review. International Journal of Current Engineering and Technology, 4(2), 1-8. Retrieved from https://inpressco.com/wp-content/uploads/2014/04/Paper90946-9531.pdf Font, X., Tapper, R. (2008). Sustainable Supply Chain Management in Tourism. Retrieved from https://www.icrtourism.com.au/wp-content/uploads/2012/09/Sustainable-Supply-Chain1.pdf Foundations of Success. (2007). Using Results Chains to Improve Strategy Effectiveness. Retrieved from https://www.fosonline.org/wordpress/wp-content/uploads/2010/09/FOS_Results_Chain_Guide_2007-05.pdf Jones, P., Herbert, D. (2009, October). Impact of the Global Recession on the Hospitality and Tourism Industry. Tourism and Hospitality Research, 9(4). Retrieved from https://journals.sagepub.com/doi/abs/10.1057/thr.2009.20 Lu, D. (2011). Fundamentals of supply chain-management. Retrieved from https://library.ku.ac.ke/wp-content/downloads/2011/08/Bookboon/Magement%20andOrganisation/fundamentals-of-supply-chain-management.pdf Nigam, V., Srivastava, S. (2011). Impact of recession on tourism industry. IJEMS journal, 2(2), 71-80. Retrieved from https://www.scienceandnature.org/IJEMS-Vol2(2)-Apr2011/IJEMS_V2(2)2.pdf Odoom, C. (2012). Logistics and Supply Chain Management in the Hotel Industry: Impact on Hotel Performance In Service Delivery. Retrieved from https://digitalscholarship.unlv.edu/cgi/viewcontent.cgi?article=2343context=thesesdissertations Schaal, D. (2014, February). Orbitz Worldwide Acquires Travelocity Affiliate Network. Retrieved from https://skift.com/2014/02/28/orbitz-worldwide-acquires-travelocity-affiliate-network/ Vongsaroj, R. (2013). Sustainable tourism supply chain management of tour operator and its deteminants: a case of thailand. Retrieved from https://ibac-conference.org/ISS%20%20MLB%202013/Papers/MLB%202013/4030..docx.pdf