Essay about IT Governance in Airline Industry Case Study

Essay about IT Governance in Airline Industry Case Study

Length: 1556 words (4.4 double-spaced pages)

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Contents
A description of the organisation and the market in which it operates 3
A description of the IT governance used 3
A summary of the case study 4
A critical analysis of the impact of the IT governance on the organisation 5
References 8


A description of the organisation and the market in which it operates
Airline and travel industry profitability has been strapped by a series of events starting with a recession in business travel after the dotcom bust, followed by 9/11, the SARS epidemic, the Iraq wars, rising aviation turbine fuel prices, and the challenge from low-cost carriers. (Narayan Pandit, 2005) The fallout from rising fuel prices has been so extreme that any efficiency gains that airlines attempted to make could not make up for structural problems where labor costs remained high and low cost competition had continued to drive down yields or average fares at leading hub airports. In the last decade, US airlines alone had a yearly average of net losses of $9.1 billion (Coombs, 2011).

A description of the IT governance used
IT governance in the airline industry is specifically tied to sales and value chain management. By the late 1990s, international travel software traditionally used by travel agencies, such as SABRE, was opened up via application programming interface (API) to web developers (Nicolaou & Schick, 2011). As a result, consumers saw the advent of internet-based travel agencies, and many airlines and other travel companies began to sell directly to passengers (Buhalisa & Licata, 2002).
Recently, IT governance has been a mainly factor for fulfill business need from investing in IT area. In addition, Sarbanes-Oxley Act (SOX) mentioned IT governance issues for enhancing internal contro...


... middle of paper ...


...dustry. IseB, 5, 65–91.

Iskandar, M., & Salleh, N. A. M. (2010). IT Governance in Airline Industry: A Multiple Case Study. International Journal of Digital Society, 1(4), 308-314.

Jharkharia, S. (2012). Supply chain issues in mergers and acquisitions: A case from Indian aviation industry. International Journal of Aviation Management,1(4), 293-303.

Markus, M. L., & Bui, Q. N. (2012). Going concerns: the governance of interorganizational coordination hubs. Journal of Management Information Systems, 28(4), 163-198.

Nicolaou, A. I., & Schick, A. G. (2011). Institutional Forces In Accounting Information Systems Choice. Review of Business Information Systems (RBIS), 1(1), 37-50.

Sharma, D., Stone, M., & Ekinci, Y. (2009). IT governance and project management: A qualitative study. Journal of Database Marketing & Customer Strategy Management, 16(1), 29-50.

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