TAM Linhas Aéreas S/A Wins the Loyalty of Millions of Passengers after One Year of Constant Technological Innovation
 
 

TAM Linhas Aéreas S/A Wins the Loyalty of Millions of Passengers after One Year of Constant Technological Innovation

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TAM Linhas Aéreas S/A (TAM Airlines) possesses a fleet of 156 airplanes, offering flights to 48 domestic and 19 international destinations. It is part of StarAlliance, the world’s largest airline network. TAM has grown significantly in the last decade, transporting nearly 35 million passengers in 2010. In addition, the airline provides cargo transport services in 42 airports and 4,200 cities in Brazil, and 45 airports and 120 cities abroad. In August 2010, TAM and LAN announced their intention to merge their holdings into a single controlling entity—the LATAM Airlines Group. The two companies will continue to operate under their existing brands and operating certifications. To support continued growth while delivering superior customer service, TAM has consistently turned to Oracle solutions.

 
 

 
 

Challenges

A word from TAM Linhas Aéreas S/A

  • “During the last 15 years, Oracle technology has played a part in nearly all of TAM’s IT innovations. We have chosen Oracle in every case because of its wide range of robust solutions, the reliability of its products and services, its close relationship with its customers, and, finally, because it prioritizes innovation.” – Marcos Roberto Teixeira, IT Director, TAM Linhas Aéreas S/A

  • Maintain the company’s reputation for innovation by adopting vanguard technologies
  • Support aggressive growth plans that saw an increase in passenger volume from 13 million in 2001 to 35 million in 2010
  • Reinforce TAM’s spirit of service, offering customers a steadily increasing number of personal and cargo transport facilities with the help of new technological solutions
  • Develop a close relationship with repeat customers and personalize their service through a frequent-flier program

Solutions

Oracle Product and Services

  • Developed an electronic ticketing system with Oracle Developer to replace the traditional paper-ticketing method, thereby reducing intrinsic process costs, loss and theft problems and fraud in issuing  manually generated tickets
  • Created a ticket sales portal for travel agencies, based on the Oracle JDeveloper and Oracle Application Server, enabling the airline to monitor sales in real time instead of relying on information from the company’s global distribution system, which took time for agencies to load
  • Offered complete tracking of transported orders through the door-to-door cargo system, bringing transparency and reliability to its services
  • Launched Programa de Fidelidade TAM (TAM Frequent-Flier Program), a pioneer, no-seat-limit mileage program in Brazil in 1993, a program that today has more than 8 million registered participants and enables the company to know its customers better and design more aggressive promotional campaigns for them
  • Reduced monthly account closing time from 15 days to 6 days
  • Integrated private cloud computing critical systems, such as ticket sales and check-in, 100% with the airline’s architecture through Oracle technology
  • Eliminated customizations of previous versions of the corporate management system, keeping Oracle E-Business Suite Release 12 as standard as possible, ensuring TAM a reduction in long-term and medium-term total proprietary costs
  • Reorganized the company’s IT architecture and made it more flexible by adopting SOA Suite for Oracle Middleware for Oracle Applications, replacing point-to-point integration between applications by using Oracle E-Business Suite Release 12, which preserved TAM’s integration investments and simplified maintenance and upgrades
  • Expedited the budget planning cycle using Oracle Hyperion Planning and obtained more indicators that improved the ability of executives and managers to monitor goals and objectives during the entire fiscal year
  • Reduced report generation and consolidation time from 12 hours to 30 minutes using Oracle Hyperion Planning
  • Improved reliability of the airlines most critical operations and significantly decreased technological risk by taking advantage of Oracle Advanced Customer Services, including its around-the-clock support services with a dedicated hotline and immediate response
     

Why Oracle

“Our association with Oracle began in 1995, when we opted for Oracle Database, as we were looking for a platform capable of supporting TAM’s projected growth. During the last 15 years, Oracle technology has played a part in nearly all of TAM’s IT innovations. We continue to choose Oracle because of its wide range of robust solutions, the reliability of its products and services, its close relationship with its customers, and finally, because it prioritizes innovation. In addition, the manufacturer has end-to-end solutions that range from databases, to integration architecture and development tools, to applications, such as enterprise resource planning and business intelligence systems.”