Majestic Resorts SAP Deployment on AWS

 

AWS cloud platform and SAP as their new management ERP system for Majestic Resorts has been the winning combination in order to achieve the flexibility and scalability that the hotel group needs to keep growing internationally.

Majestic Resorts is a luxury hotel group that operates in the Caribbean region owning resorts in highly demanded destinations such as Dominican Republic or Mexico.

Originally, the company was part of the family business group Batle, located in Mallorca, leading two hotel chains under the name of Mar Hoteles (operating in Spain) and the international Majestic Resorts. In mid 2018, Majestic Resorts started to operate independently initiating a new expansion strategy with a clear roadmap focused on increasing their hotel destinations. Apart from the current resorts, it is also planned to expand in the Spanish Caribbean and, furthermore, in Asia. “The goal is to position Majestic Resorts within the top ten hotel chains operating in the Caribbean, and double in three years the size we have today”, explains Manuel Cortés, System´s director at Majestic Resorts.

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The Challenge

These ambitious growth plans have been accompanied by a new information technology (IT) strategy, a major initiative in line with the entire transformation of the organization, so that technology is an ally for the business expansion process.

Up until now, the hotel company had an amalgam of heterogeneous systems with solutions from different suppliers for critical management areas for chain establishments such as, for example, Finance, Purchasing, Administration, Human Resources or the operation itself in the Hotels.

To overcome this situation, the IT team had to design new lines of action that include operational and backend systems that guarantee the efficiency, agility and productivity of the company. The aim was to centralize as much as possible and eliminate a large number of heterogeneous systems to simplify management. In addition, the technology area is also contributing to define the equipment that hotels must have to be “a reference at a technological level and help redefine the customer experience,” Manuel Cortés emphasizes.

The Solution

After examining different alternatives, the decision was to invest on an ERP solution that would allow the company to operate worldwide and centralize the systems at a single point to simplify management. The option chosen was TMS for Hotels, Indra's SAP-based solution for the Hospitality sector and implemented in the company by EY, to unify all the backend and frontend operation processes, from the procurement of purchases, warehouses or billing through the operation of reception, maintenance, technical services to bars and restaurants.

In order to achieve all the above as well as the maximum agility and speed in the deployment of new services and the infrastructure of the next hotels, the public cloud chosen option was Amazon Web Services (AWS) as the platform in which to implement the ERP, with Linke as the technical expert partner.

We wanted to have the competitive advantage that cloud offers, without having to maintain data centers. At the same time, it was important to have a scalable infrastructure that we could size based on our growth. The cloud option was, in our opinion, the only feasible option to centralize the whole ecosystem that serves hotels regardless of their location, ”says the Systems director.

The ERP deployment project on AWS was completed in four months, a record time in which Majestic has managed to centralize all its business processes in the cloud. As stated by the IT manager, "it has been key both the capabilities offered by the AWS native cloud platform as well as Linke´s experience in SAP and AWS, which has allowed faster implementations and configurations, fundamental for the success of the project."

The Benefits

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The consolidation of SAP systems and its centralization in the public cloud has allowed the company to optimize its technological resources and simplify its management, by eliminating multiple CPDs that before had to be managed separately in different destinations. Now, as a result of the implementation, there is a greater visibility at a company level, thanks to the unification of the different information data in a single repository.

Furthermore, Majestic has now new capabilities. The most relevant is a Booking Center, an online distribution system that allows to integrate the inventory information with large operators, such as Booking or Expedia, with their own website and booking management system. This new capability will improve the performance of the sales department, by automatically having up-to-date data on what it is available and how to set prices accordingly.

This is an example of how running the information under the same management SAP environment maximizes the value of that data, allowing Majestic Resorts to take more strategic decisions. As per using cloud, the hotel company has now the bases to add new services quickly taking advantage of the native capabilities of the AWS platform.

The Future

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This has been one of the company's biggest projects this year, but it will have continuity, as the hotel group is studying already how to get even more advantages to its new public cloud environment through the Linke´s add-on, AWS Connector for SAP , in which it intends to optimize the extraction, analysis and modification of the data of its SAP systems.

On the other hand, within its strategy of converting their hotels into technology references, the company intends to create a hub that integrates services such as electronic wristbands, cards, Wi-Fi or home automation connectivity, and also initiate innovation projects, among them, to investigate the use of the possibilities that artificial intelligence can offer, starting with virtual assistants, such as Alexa, an area in which Linke has also a team of specialists.

In parallel, the organization is deploying SAP SuccessFactors, SAP's cloud-based Human Resources management system, and wants to take initiatives to get to know its customers better. At this point, the idea is to implement a new CRM, which will help to optimize the customers´ experience in their resorts.

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