The motivations for a company to adopt Knowledge Management (KM) and Customer Relationship Management (CRM) systems can be very varied, which brings an additional complexity to the adoption decision. It is important to understand the main drivers of KM and CRM adoption so that companies can better target their performance indicators. However, the influence of KM on organization performance in hotel industry has received less attention. In addition, the relationship between CRM technology and hotel performance is still ambiguous. In the right context, this paper tends to bring attention to the influences of KM and CRM to improve hotels performance. It presents and discusses the main findings of a study undertaken among a sample of large hotels Algerian, identifying and discussing the main motivations for KM and CRM systems utilization and adoption in order to improve hotels performance. A survey of 80 hotels executives was conducted on hotels operating in the Algeria west territory. In short, the results of this study may help these businesses to effectively use KM and CRM, so as to improve hotels performance and subsequently create a sustainable competitive advantage.