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 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 Custom software developed Outgrew legacy system 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 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 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 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 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 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