eAirlines: strategic and tactical use of ICTs in the airline industry Dimitrios Buhalis * Centre foreTourism Research (CeTR), School of Management, University of Surrey, Guildford, England GU2 7XH, UK Received 16 June 2002; received in revised form 26 April 2003; accepted 6 August 2003 Available online 13 November 2003 Abstract Information Communication Technologies (ICTs) have revolutionised the entire business world. The airline industry in particular has fostered a dependency on technology for their operational and strategic management. Airlines were early adopters of ICTs and have a long history of technological innovation, in comparison to many other travel and tourism businesses. This paper discusses comprehensive research, including exploratory research with airline executives, using qualitative methods to examine the use of ICTs in the contemporary airline industry and to discuss recent developments in the industry. The work demonstrated that the airline industry was using the Internet to improve its distribution strategy and reduce costs; it also used Intranets and internal systems to develop tactical and strategic management. In addition, Extranets were being gradually used for commu- nicating with partners and to support business-to-business (B2B) relationships. The effort demonstrated that ICTs will be critical for the strategic and operational management of airlines and will directly affect the future competitiveness of airlines. # 2003 Elsevier B.V. All rights reserved. Keywords: Airlines; Tourism; Transport; Information Communication Technologies; Internet; Intranet; Extranet 1. ICT strategic implications for business and the travel industry in particular Information technology generates fundamental changes in the nature and application of technology in business. Information Communication Technolo- gies (ICTs) can provide powerful strategic and tactical tools for organisations, which, if properly applied and used, could bring great advantages in promoting and strengthening their competitiveness [63,64]. The pro- liferation of the Internet, as a main stream commu- nication media and as an infostructure for business transactions has generated a wide range of strategic implications for businesses in general as well as for the travel and airline industries in particular. 1.1. ICTs revolutionised business processes and practices The recent ICT developments have enormous impli- cations for the operation, structure and strategy of organisations. The competitiveness of future econo- mies will, to a great extent, depend both on the development and application of these technologies. The proliferation of the World Wide Web forced most organisations to rethink the way they do business and how they can reengineer their business processes. As businesses can interact more efficiently, competent businesses became digital and networked, facing a whole range of fresh opportunities and challenges Information & Management 41 (2004) 805–825 * Tel.: þ44-1483-686332; fax: þ44-1483-686301. E-mail address: d.buhalis@surrey.ac.uk (D. Buhalis). URL: http://www.som.surrey.ac.uk/etourism. 0378-7206/$ – see front matter # 2003 Elsevier B.V. All rights reserved. doi:10.1016/j.im.2003.08.015