Focus on people and AI
The differences between travel industry leaders and laggards are particularly evident in two areas:
Advantages of differentiated people. Travel industry leaders have an advantage in upskilling existing talent and attracting and retaining new talent, which allows them to provide customers with a better experience when booking and attending travel. For example, leaders in the travel industry's hospitality sector conduct continuous benchmarking to ensure pay equal to or better than comparable jobs in other industries, and improve hiring and retention by offering flexible schedules. I am. Hospitality leaders also support diversity and inclusion. It also targets messaging, outreach programs, and other activities to appeal to specific groups of current, past, and future employees.
love. Travel industry leaders are deploying advanced analytics and AI across the travel value chain. By optimizing their supply chains and offering advanced personalization, these bionics companies are successfully combining human and advanced technology capabilities to gain competitive advantage in multiple ways. . In the case of bad weather, airlines use these features to minimize disruption to a customer's trip by selecting the next best flight schedule for him. Cruise lines combine human resources and advanced technology capabilities to fine-tune prices during the cruise booking period to maximize passenger numbers and revenue.
How can incumbents in the travel industry catch up?
To become a travel business that builds the future, companies may consider the following moves to promote the six advantageous attributes we have identified.
Aligning leadership and purpose. Leadership is central to building the future. Companies in all types of industries that take a systematic and well-supported approach to activating their leaders achieve transformation success rates three times higher than their competitors. Leaders at these companies reimagine and reinvent their businesses to serve all stakeholders, inspire and enrich the human experience, and execute and innovate through strong teams.
Advantages of differentiated people. Bringing people and machines together to enable a new model of superior customer service. Harness the new power of generative AI (GenAI) to provide behavioral nudges to frontline staff to support personalized customer interactions.
Agile operating model. Build a minimum viable operating model to support innovation and establish an innovation flywheel. Such learning loops increase the likelihood that companies can build the next innovative product or service and reduce the time needed to bring digital products to market.
Innovation-driven culture. Build a culture of innovation that embraces risk, fosters collaboration, and gives internal teams autonomy. Then, leverage that culture to put customer experience at the center of everything you do.
The latest technology platform. Make sure your efforts to establish your data platform and modernize your core systems start at the top of your executive suite. Guide your modernization efforts with a rigorous focus on business outcomes. Work backwards from the results you want to achieve and analyze the data you need to release and the systems you need to change to achieve your goals.
love. Use the excitement generated by GenAI to fuel AI transformation programs, especially for managing revenue, managing operations, and personalizing customer interactions.
It's called the Instagram effect. People who are influenced by what they see on social media have higher expectations for their travels and the service they receive from the travel companies they work with. By fostering good HR practices and an innovation-based culture, travel industry laggards can catch up with industry leaders and deliver the services their customers demand.
