M.J.G corporate headquarters is in Shrewsbury whereas its regional offices are in Glasgow and Manchester. Its main operation is selling and providing mannequins to retailers in the region. The company structure consists of a general manager (Director), finance manager, marketing manager, sales manager, supplies and marketing manager and personnel manager. In addition the regional offices have a regional manager and a sales manager for each regional office and they also employ administration staff and they can have up to sales representatives. Due to plans for expansion the director approved a budget for upgrading or replacing their information systems once problems relate to the existing system which were contributing to delays and costing to the company sales revenue and losing customers.
Information system are the systems that process data to become information that will be used by the departments and the managers to take the right decisions and actions to be able to managed the day to day and future activities of the organization. Before the introduction of the computerized systems this was done manually. This requires a lot of time and staff and space to be able to carry out especially large volume of workload. With the introduction of computerised system, the Information Technology (IT) and the fact that the price of the adoption of this technology is decreasing year by year more companies of all sizes are adopting it. By computerizing the information systems, the companies are reducing the cost associate with the process since they need a lot less staff but not only the reduction comes for reducing the staff but also for the increased in efficiency. Since time is saved and the work becomes more efficient, the company will be able to save money and reinvest this money on other investment such as growth or expansion of their markets. The information systems must be alight with the overall organization strategy and create a competitive advantage for the organization. To adopt these technologies the processes of an organization must be redesign to meet the needs of the new technology and the organization to benefit from the cost reduction. There are problems associated with the adoption, as the technology is changing everyday ad it needs o be upgrade nearly every day. Thus the association of the technology with job losses with in the originations it brings resistance from the staff to adopt and accept the introduction of the technology. Thus, he cost of adoption is never clear as is an ongoing process and the budget is never defined (Laudon and Traver (2003), Thong (1999), Sprague and McNurlin (1993), Thompson (1992)).
Major Business Processes
Delivering and supplying mannequins to retailers in the region by visiting the retailers and talking the order manually. The sales representatives must write in triple hard copies their orders and even the records of a new customer. Then they have to go to the regional office and transfer the data into the system with the help of the administration staff and are done manually. To retrieve any data again they have to visit the regional offices and retrieve from there. They cannot retrieve any data from anywhere else except from their regional offices. The supply and marketing department must track these sales to be able to order the right quantity of sock and maintain the right quantities, thus the marketing department must inform the customers for any offers they have and have contact with them too about possible complains and receive the right feedback. The finance department needs these data too as they have to process the right invoices to customers and pay the right credit notes to suppliers. Thus it must be able to do an effective stock control. Also they have to have the correct information about the staff to be able to process their salaries so the staff gets to pay on time and receive the correct salary. Overall the director must be able to utilize this information to be able to make the right decisions for future plans and to be able to know exactly where the company stands in the market and how healthy the company is.
The existing information system does not satisfy the workload and it creates delay problems both in the process of this data and delays in transferring the information needed to the right department and staff. Which in turn problems associate with these delays is arising in all departments of the organization. Thus, more staff is needed to process this data and it is time consuming too.
- Time consuming of processing data
- Mistakes are done due to this delays
- More staff is needed
- Increasing the cost of operations
- The right promotions are delayed or they are not passed to the clients
- Lost of sales
- Danger of holding the wrong inventory
- Increased cost associate with inventory
- Communication problems with the departments
What the new information system can do?
The new information system can help the firm from basic sales and invoice data, a firm can produce a variety of reports with valuable information to guide sales and marketing work. For weekly, monthly, or annual time periods, information can be gathered on which retail outlets order the most, on what the average order amount is, on which products move slowest and fastest, on which salespersons sell the most and least, on which geographic areas purchase the most (and least) of a given product, and on how current sales of a product compare to last year?s sales. Suppliers? prices, inventory control, bookkeeping and finance records, personnel records, human resource information to be used by the staff, on line promotions, getting feedback from the clients, faster delivery time, build customer loyalty by using customer relation management software.
- Time safe
- Reduction of cost in all operations
- Faster delivery time
- Real time feedback from customers
- Build customers? loyalty
- Effective supply chain management
- Efficient stock control
- Maintaining records
- Marketing promotions
- Increase sales
- Penetrate and other geographical markets
- Reduce cost associate with employing more staff that what is needed
Adoption plan and new information system project
To address the management?s needs and the problems confronting M.J.G, a project team needs to be formed to develop the overall management plan that can address M.J.G existing problems as well as to provide solutions to the problems. M.J.G must aims to redesigning its order process and related sales and marketing processes to improve efficiency inside the company as well as to be able to expand increase its sales and revenue. During the development of the system, the company can use a joint application development approach, or referred to as JAD. This could speed up the generation of information requirements and could greatly help in developing the initial systems design. A Gantt chart would also be necessary tool in redesigning the system as this could be used to depict the overall management plan for improving M.J.G problems. The Gantt chart contains a list of objectives, a tentative time frame, and major milestones. As the project team gets further involved in the development process and defines M.J.G system changes the projected time frame depicted on the Gantt chart will likely to change (Marske (2002).
Major New Technology Components of the Plan.
Upon analysis of M.J.G needs to implement technology to support the new business processes, an enterprise system come highly recommend. This is so because an enterprise can best meet the demands and requirements. An enterprise system could link enterprise-wide information processes in turn improving the overall business efficiency. When the entire company is able to use a single software system, all departments can share information readily and freely. Enterprise systems enable the company to avail of a wide-ranging information system technology platform. This technology platform provides a single data warehouse or a databank that can be accessed by different departments to input and to obtain enterprise-wide information. Also, the new system enables data storage in one data warehouse, which will prevent inaccuracy in extracted information. The data should be grouped according to processing sites, but can be accessed by all users. This data storage process will allow differentiation among processing sites at the same time allowing enterprise-wide search capability. It is easy to see then the enterprise system is essential element in propelling M.J.G success as it moves into the future.
An enterprise system into the M.J.G business will enable the managers to support business processes that will make the company more efficient. The enterprise system will allow for centralized data collection and entry. This centralized entry system will reduce or eliminate paper passing throughout the company. This system will also enable employees to view reports on-line which no longer requires printing of documents or doing paperwork manually unless necessary. This additional feature will help managers and market analysts in accurate sales planning, decision-making, and marketing strategy development by providing them with the ability to collect more accurate information to assist them. M.J.G must also improve the telecommunications infrastructure for the whole enterprise. E-mail capabilities will be needed throughout the company in order to eliminate the ineffective communication using snail mails and fax within the company. Additionally, the company will add Intranet and Internet that will improve its day-to-day operations.