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Reaping the Benefits of Improved Efficiency with the webMethods Product Suite
Technology Category
- Application Infrastructure & Middleware - API Integration & Management
Applicable Functions
- Sales & Marketing
- Business Operation
Use Cases
- Process Control & Optimization
Services
- System Integration
The Challenge
Icelandair, one of the largest private companies in Iceland, was facing a challenge. Despite the increase in online ticket sales, the company was not realizing the expected cost savings, staffing reductions, and operational efficiency gains. For every reduction in telephone sales man-hours, there was a corresponding increase in the amount of back-office effort needed to support online sales. The company was also struggling with regional variations in ticket sales processes, which were not standardized across the organization. The airline industry is highly competitive, and airlines must constantly seek out efficiency in their operations to remain profitable. Icelandair needed to operate on the highest possible load factor and attract and retain customers who now shop online for their flight needs.
About The Customer
Icelandair is a major airline founded in 1937 and is one of the largest private companies in Iceland. It is part of the Icelandair Group, which comprises 14 companies. The airline employs over 1000 people and carries about 1.6 million passengers each year on its fleet of Boeing 757, which is about five times the population of Iceland. With sales offices and flight destinations across Europe and North America, Icelandair has grown into a truly international business. It competes for tourist and business traffic to Iceland, as well as international traffic via its hub in Reykjavik.
The Solution
Icelandair decided to utilize the webMethods product suite as the core of its business transformation. The company focused on reducing the cost of issuing a ticket, from the initial reservation right through to the delivery of the ticket. The aim was to deliver a fully automated e-ticketing system that would eliminate time wasted on manual processes. The project involved the integration of multiple internal and external systems such as the AMADEUS reservation system. Once fully operational in Iceland, the system was rolled out by sales region across the globe. This removed regional variations in ticket sales processes by standardizing on one process across the organization. The project was quickly expanded to include all telephone bookings, walk-in bookings, frequent flyer and gift certificate bookings. Then this model was taken to each sales region and installed there.
Operational Impact
Quantitative Benefit
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