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United Airlines makes major CRM investment
United Airlines is working with IBM on a powerful Customer Relationship Management (CRM) system that it believes will improve customer service and eventually lead to cost savings.
The airline will use IBM’s DB2 database software to manage customer and flight information across 27 countries, eventually managing more than six terabytes of data. This is expected to be accomplished within the next 18 months.
United hopes the new system will help it identify trends in passenger flight destinations so it can more efficiently co-ordinate and plan flight routes; increase efficiency in managing bookings; and allow for more targeted promotions.
IBM recently completed the first phase of the project, integrating customer and operations data representing more than one terabyte of information. This integrated data is then leveraged with the reservation centres and the airline’s website. The data can be used by the airline’s employees to better manage customer accounts and improve operations and planning.
Future plans to improve customer service will include adding data from call centres, airport ticketing counters and flight kiosks along with other operational and planning centres.
United Airlines chief information officer Eric Dean said: “When we’re finished, United Airlines will be well positioned as the carrier to provide more efficient operations and responsive customer policies.”
According to IBM, United should expect “full payback from its data warehouse investment in one to two years.” However a spokesman declined to say how much the project had cost.
See our previous stories:
25 Mar 2002: United Airlines to bring back axed staff
22-Mar-02: Zero commission hits agents in US
11 Feb 2002: MyTravel.com boss says CRM software is key to success
16 Nov 2001: United pilots to have access to stun-guns
29 Oct 2001: United Airlines appoints new chairman
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