COMPUTER RESERVATION SYSTEM (CRS)

COMPUTER RESERVATION SYSTEM (CRS)

Travel agents/Tour operators, who use computers, are viewed as automated agencies. They use following two types of automation:
• Sales Automation
• Business Automation
Sales automation refers to the use of computer reservation system to handle sales and ticketing which has been explained to you in the previous unit, Lesson – 8. Business automation, however, refers to the use of computers to handle accounting and keep records.

A computer reservation system, or CRS, is a computerized system used to store and retrieve information and conduct transactions related to travel. Originally designed and operated by airlines, they were later extended to travel agents as a sales channel; major CRS operations are also known as Global Distribution Systems (GDS). Airlines have divested most of their direct holdings to dedicated Global Distribution System companies, and many systems are now accessible to consumers through Internet gateways for hotels, rental cars, and other services as well as airline tickets.

Computer Reservation System was first used in the 1950s by the Airlines who are till date viewed as pioneers in this area. Subsequently, all Airlines used the CRS, which is at present, indispensable to all Airlines, none of which can function without CRS.

However, its potential as quickly realized and it is now being used as a versatile system, by the

• Hospitality Industry
• Travel Agencies
• Car-hiring services

This technology works by using special kind of computers and leased telephone lines. The respective travel/tour/hotels, etc. are connected on-line to the central Host computer system or CRS. The Host computer is always a main-frame with enormous data-base attached. The main frame host polls each terminal every second to see whether any message has been received.

Therefore, in the system, it is possible for Airlines, Hotels, Tour operators, travel agents to remain connected to each other. This system has contributed a great deal in the  following areas:

• Increased sales volume
• Providing precise information
• Selling the product efficiently
• Increase in profitability

However all the big companies are today facing challenges and have begun selectively migrating processes from their legacy mainframe platforms to service oriented architectures (SOA). By utilizing high performance, lower cost open systems platforms in an SOA approach, they further improve their capacity to cost effectively handle a fast-rising “look-to-book” ratio, i.e., the number of shopping transactions compared to actual purchases. The explosive growth of this ratio was driven initially by the creation and utilization of robotic software and, more recently, by the rapid growth of consumers’ multisite shopping behavior on the Internet.

Beginning in 2004, several companies – including ITA Software, G2 Switch works, Farelogix, and Innovative Network Systems – claimed to be developing complete GDS alternatives. The new entrants tout lower fees and greater flexibility. Unsurprisingly, the big four GDS companies cast doubt on their viability.

However, it is still very uncommon for a travel agency to operate without the use of at least one of the big four GDS systems. The GDS companies are playing catch-up in the technology arena. All now have a browser based system.

Functions of CRS

1. • Fare display
2. • Flight availability display
3. • Flight booking
4. • Storage of passenger records
5. • Queue functions/ waiting line
6. • Ticket & documentation production
7. • Auxiliary segments
8. • General information

A CRS can also be used to display reference information, such as weather forecasts, in-flight services, foreign exchange rates, city descriptions and so on. The encode/decode function is used to determine codes for airlines, cities, airports, countries and equipments.