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Enterprise Resource Planning, 1 st Edition by Mary Sumner. Integrated Case Study: Bandon Group, Inc. Business Background. Family owned distributor of office equipment, also leases Grew due to good customer service, technical support, and innovative products Currently has four divisions

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enterprise resource planning 1 st edition by mary sumner

Enterprise Resource Planning, 1st Edition by Mary Sumner

Integrated Case Study: Bandon Group, Inc.

© Prentice Hall, 2005: Enterprise Resource Planning, 1st Edition by Mary Sumner

business background
Business Background
  • Family owned distributor of office equipment, also leases
    • Grew due to good customer service, technical support, and innovative products
    • Currently has four divisions
      • Decentralized to meet needs of local markets
      • Corporate headquarters handles central administrations, information systems support
      • Primary objective to generate 10% profit for re-investment
      • Excellent sales organization and professional service organization
    • Serves mid-market companies
      • Reputation for quality and service at cost-effective price

© Prentice Hall, 2005: Enterprise Resource Planning, 1st Edition by Mary Sumner

information systems
Information Systems
  • Custom software developed
    • Handles administrative information systems
      • Most are generic
      • Meter click billing software unique for industries
  • Outgrew legacy system
    • Hired Director of Information Technology
      • Searched for commercial off-the-shelf package to support administrative information systems
      • Selected OMD
        • Supported meter-based billing
        • Web-based interface
        • Not built with relational database, so ad hoc difficult

© Prentice Hall, 2005: Enterprise Resource Planning, 1st Edition by Mary Sumner

sales tools
Sales Tools
  • Sales Prospecting
    • Acquired Pivotal
      • Supports ad hoc queries in relational database
      • Use external market databases to create prospect databases
      • Did not integrate with OMD
        • Customer information had to be re-entered
        • Inconsistencies existed
        • Licenses lapsed
          • Sales people adopted contact management tools
      • CRM applications developed internally
        • Service alerts, excess volume reports

© Prentice Hall, 2005: Enterprise Resource Planning, 1st Edition by Mary Sumner

other tools continued
Other tools, continued
  • Evaluated several CRM tools
    • Microsoft CRM
      • Integrates with Office, but not OMD
    • Soaring
      • Sales prospecting package
      • Based on Microsoft SQL server
        • Integrate with OMD
    • Microcomputer-based sales programs
      • Goldmine
        • inexpensive

© Prentice Hall, 2005: Enterprise Resource Planning, 1st Edition by Mary Sumner

erp considerations
ERP Considerations
  • Lack of integration
  • Duplication of data
  • Data inconsistencies
  • Trouble with migrating data
  • Central IT staff small
    • Difficult to supply support, training for multiple systems
  • Competition employing ERP
    • Many had eBusiness solutions
  • OMD had proprietary database and could not move to eBusiness

© Prentice Hall, 2005: Enterprise Resource Planning, 1st Edition by Mary Sumner

information systems study
Information Systems Study
  • External consulting firm needed
    • Analyze current system
    • Assess problems
    • Propose changes
    • Address senior management concerns
      • Need for tactical and strategic information
      • Need to standardize business practices
      • Need for more targeted marketing

© Prentice Hall, 2005: Enterprise Resource Planning, 1st Edition by Mary Sumner

study steps
Study Steps
  • Step 1: Purpose and scope of the study
    • Objectives
    • Benefits
  • Step 2: Executive management interviews
    • Four division Presidents and CFO
    • Develop list of major objectives for integrated system
  • Step 3: Critical success factors, measures, IT needs
  • Step 4: In-depth interviews: problems, goals/opportunities, IT needs, priorities
  • Step 5: IT infrastructure by location
  • Step 6: List of IT priorities, Bandon Group and divisions and software systems support

© Prentice Hall, 2005: Enterprise Resource Planning, 1st Edition by Mary Sumner

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