The Bandon Group, a family-owned distributor of copiers, electronic printers, faxes, and office equipment, has been providing high-quality equipment and excellent customer service at affordable prices since 1972. They expanded their services in 1994 to include information systems consulting, document outsourcing, and document management services. However, with the growing customer base and changing demands, it became evident that their current information systems were insufficient. Customers increasingly desired web-enabled services such as online meter readings and e-business solutions. Additionally, there were issues with integrating the sales prospecting database with the operations administrative database (OMD), resulting in difficulties addressing customer needs. Furthermore, the OMD lacked a relational database structure which made ad hoc querying and reporting challenging for managers.
Scope and Purpose
The purpose of this study is to assess the possibility of implementing an ERP system or a CRM system at Bandon Group. The main goal is to align the company’s IT strategies with its future business plans. It also aims to create a framework for linking IT expenses with the overall direction of the business and assisting functional managers and MIS professionals in making informed decisions. Additionally, the study seeks to promote greater integration among similar systems and networks while distributing technology and operational activities.
Document the high-level business direction.
The Bandon group had three primary objectives: achieving growth from division to corporate level, expanding into the IT consulting field to increase market share, establishing improved relationships with customers and suppliers, and reducing administrative costs through enhanced technology utilization.
Key information needs and measures should be identified.
All divisions share a common goal – to grow in revenue and size. They have all invested in solutions to achieve this goal, including the suggestion of expanding into IT consulting and services. This expansion not only increases revenue from services, but also aims to increase market share in the IT industry, improve response time to service calls, and attract new clients. However, implementing this approach requires additional marketing strategies, enhanced technical expertise of employees, efficient knowledge management of products, and forecasting service upgrades. The proposed IT solution involves tracking service call history, facilitating sharing of service and product information among divisions, establishing an accounting and billing system for IT consulting services, and integrating the currently used databases (D&B, Pivotal, and iMarket) that cater to business needs.
The second objective was to enhance relationships with customers and suppliers. This would enable the company to utilize customer service information more effectively and also present opportunities to attract new customers. To better manage customer information, the company needs to focus on larger accounts, analyze trends within accounts to match suitable packages for each client, improve billing accuracy, and offer current customers additional value through new products. Enhancements in sales processing and acquisition of new accounts can be achieved by studying purchasing trends, identifying new leads through statistical analysis, and properly incentivizing sales personnel for bringing in new customers. The achievement of these goals can be measured by the number of high margin accounts, prompt receipt of customer payments, and the quantity of sales projected. The IT solutions required for these functionalities would involve meticulous tracking of accounts, monitoring sales progress, analyzing sales leads, and conducting overall trend analysis.
Specific business requirements
OMD was the primary system utilized by Bandon Group, but it lacked a relational database. As a result, generating reports and retrieving customized information from the system was challenging. This weakness hindered sales staff from fully understanding customer needs, which is crucial for growth. To address this, Bandon should consider implementing a system that enables improved sales prospecting, integration between divisional systems, and report generation.
In order to enhance customer service, the main focus should be on implementing web-based services for a better customer experience. Previously, customers used to submit their meter readings via fax. By introducing a web-enabled system for meter reading, Bandon Group could also incorporate an online customer service questionnaire to keep track of customer satisfaction.
The ultimate objective of the Bandon Group is to enhance administrative procedures with the aim of reducing administrative expenses. Certain customers encountered difficulties in comprehending invoices and essential statistical data was omitted, thereby failing to fulfill the requirements of the IT consulting business.
The current IT situation within the organization is being documented internally.
Bandon Group implemented several database applications using the Pivotal software, which served as a sales prospecting tool. The integration of Dun & Bradstreet and iMarket data with Pivotal software resulted in the duplication of effort due to the lack of integration between Pivotal and OMD. Different divisions within the company utilized Pivotal software for various purposes, including generating sales leads and sales prospecting. In response to licensing issues, sales representatives resorted to creating their own local prospect databases using Microsoft Access and Goldmine’s contact management tool. Customer Relationship Management (CRM) applications were developed to generate service alerts when a specific customer requested service more than three times in a month. Additionally, a report was created to alert sales representatives when copier volume units exceed 150% of the recommended volume. This report enables sales representatives to follow up with customers and assess appropriate upgrades. The Pivotal applications provide support for territory management, lead management, external market data integration, sales forecasting, customer retention, sales analysis, and sales compensation.
References
Sumner, M. (1998). Enterprise resource planning. Upper Saddle River, NJ: Pearson Education, Inc.
