Abstract-The hospitality industry is a flourishing backbone of the Mauritian economy and one of its pillars is the technological arm. Hospitality IT needs to adapt quickly to address and meet new challenges, increase operational flexibility and enhance overall guest experience while optimising costs on all fronts. The purpose of this study is to give a detailed analysis of the current IT infrastructure of hotels in Mauritius and to identify the major issues and challenges faced by the organisations in its management. The analysis has been carried out on premise and different stakeholders such as the functional managers, the IT support officers and end users have been interviewed for their appreciation of the actual IT infrastructure. Based on the issues and challenges faced by the different departments in their daily work routine, Cloud computing has been proposed as a viable solution to counter the challenges faced by the organizations in the management of their IT infrastructure. In this paper, the cost impact for one hotel for moving to the cloud SaaS model has been analysed. This work will extend on future works where the cost factor for different hotel categories and cloud models will be analysed.