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How Computerized Reservation System Works

When it comes to booking flights, hotels, car rentals, or even concert tickets, a computerized reservation system (CRS) plays a crucial role. A CRS is a software system used by travel agencies and online booking platforms to manage and organize travel arrangements. This system has revolutionized the travel industry, making it easier and more efficient for travel agents and travelers to book their travel arrangements. In this blog post, we will take a closer look at how a computerized reservation system works.

Reservation Process

The reservation process is the heart of a computerized reservation system. A traveler can easily search for a flight, hotel, or car rental by entering their travel details, including the departure date, origin, destination, and the number of passengers. The system then uses an algorithm to search and filter through data, displaying the available options that best match the traveler’s requirements.Once a traveler chooses a travel itinerary, they can then select their preferred method of payment and confirm the reservation. The computerized reservation system sends the booking confirmation to both the traveler and the service provider.


A computerized reservation system offers a range of functionalities, including the following:

Inventory Management

Inventory management allows travel service providers, such as airlines, hotels, and car rentals, to manage their availability and pricing. This is done by setting variations in pricing, depending on the time of the year and the demand for that service.

Booking Management

Booking management helps travel agencies and service providers manage their customer bookings. It enables quick updates, cancellations, or changes, all from a centralized system.

Reporting and Analytics

A computerized reservation system provides enterprises with reporting and analytics functionalities. The system automatically generates reports that show the total number of reservations made within a particular timeframe, the revenue generated, and much more. The data stored in the system can aid providers in making important business decisions.

System Architecture

A computerized reservation system consists of the following three core components:

Central Reservation System

The central reservation system (CRS) is the core of a computerized reservation system. It is a database that stores information about multiple travel services, including hotels, airline tickets, and car rentals. This system ensures that travel agents and providers can easily access information about flight details, hotel rates, and car rentals.

Global Distribution System

A global distribution system (GDS) is used within a computerized reservation system to link commercial airlines, hotels, and car rentals for travel agents across the globe. A GDS enables agents to view and book travel services offered by different providers from one central database.

Front-end Functionality

The front-end functionality refers to the user interface that the traveler uses to enter their travel details and make a reservation. This is the most visible part of a computerized reservation system and is responsible for providing customers with an intuitive, user-friendly experience.

Benefits of a Computerized Reservation System

A computerized reservation system offers several benefits, including:


A computerized reservation system eliminates the manual process of making travel arrangements, which can lead to delays or errors. Automation speeds up the booking process, providing faster and more accurate reservations.


Travel providers can offer a variety of services online, providing customers with a range of options and greater flexibility.

Cost Savings

The use of a computerized reservation system helps in reducing the overhead costs associated with manual reservations.


In conclusion, a computerized reservation system is an efficient and organized way of managing travel arrangements. It not only saves time and resources but also offers greater transparency and flexibility to both travel agents and travelers. A comprehensive and user-friendly CRS can help businesses offer a more positive customer experience and gain a competitive edge within the travel industry.