The problem to be solved within this business is how to implement business strategies supported by information technology. Implementing CRM (customer relationship management), to improve the businesses’ customer relationship and chances of success in today’s competitive business market, an ERP (enterprise resource planning) system, to integrate and automate the businesses’ process and information systems, a BPR(business process reengineering) system, being a key management strategy in collaboration with implementing ERP. Also needed would be a MES (Manufacturing Execution System) is a multi-task software systems used in application of monitoring and tracking all ...view middle of the document...
Joseph Kelly owner, had refused to change with the times, believing that the high cost of new technology would not be in the best interest of the business, but shrinking profits and few, once faithful customers, has made the business owner change style of thinking. The business had employed 1200 employees, but had to downsize due to lack of business and profits. They are now employing only 900 employees. In today’s manufacturing world, everything is done by some type of (IS) infrastructure. The only technology within the business are outdated computer systems with no new applications for collecting or storing large amounts of data and their personal cell phones that have no business oriented applications.
In the first stage of opening the business, the Kelly’s had many customers doing business with them, but as manufacturing businesses decreased, technology increased and machines became automated, and theirs, obsolete, the Kelly’s lost many of their few customers and could no longer compete, profitability, in the market.
Business Problems/ Issues
Kelly’s Machine Manufacturing is planning to close the business due to lack of customers, profits, funds and automated machinery. Its biggest problem is lack of funding, technological machinery and knowledge and competitive abilities. Kelly’s is losing money, struggling with shop loads and remaining customer orders, has a high raw material inventory and a low inventory turnover rate.. They are unable to compete in today’s growing market. If the business is to stay open and functional, the Kelly’s will need to raise enough capital or get funding from financial institutions, to purchase the necessary technology. As well as having these problems, the Kelly’s will need to know what types of automated machines are needed to do the manufacturing work and repairs, the importance of the systems, then educate themselves and employees about fundamentals and operations of the technology, at additional cost that they don’t have, and be able to integrate the new technological systems in an outdated business. They will basically have to reengineer the business in order to keep the business running and be able to compete.
After succeeding at this task, it will then need to establish its ability, credibility, efficiency, and agility in order to gain new and former customers and compete in today’s machining market and business environment. At this time the Kelly’s are in a financial bind, but if they are able to raise the funds needed to overcome all of these issues and make technological improvements, they should be able to gain customers, old and new, be profitable, and be able to compete in the machining manufacturing market.
The logical approach would be to meet with the owners of the business, in order to convey my proposal, and see if they are in compliance with the recommendations of implementing an ERP, BPR, MES, and CRM software system. Major planning, strategies, decisions, requirements...