1. Giant Consulting Group www.giantconsulting.com - Hae-Jeong Hwang-Florip - Maksim Ivanenko - Alan Law - Manuel Uson - Jay Wang Home Sweet Home Realty Proposal for Increased Profitability

2. Giant Consulting Group Overview Home Sweet Home (HSH) Realty Current System Analysis Identifying Improvements Feasibility Analysis Proposed New System Concept Database Prototype Demonstration Recommendations

3. Giant Consulting Group Home Sweet Home Business Background Business Goals - Prepare for Business Growth - Double Turnover in 3 years - Increase Productivity Consultation Needs

4. Giant Consulting Group Current System Analysis Data Flow Diagramming - Context - Level 0 - Level 1

5. Giant Consulting Group

8. Duration Analysis High-Level ProcessCurrent Duration Time Goal Vendor Information5 Days3 Days Customer Information 25 Days12 Days Property Information 5 Days3 Days Customer Service5 Days3 Days Rental Information5 Days3 Days

9. Giant Consulting Group Identifying Improvements Multiple Non-Linked Data Storage Inefficient Processes Ineffective Record-Keeping Reporting and Searching Deficiencies

10. Giant Consulting Group Identifying Improvements Areas (cont’) Costly Advertising Inadequate Use of Technology Minimum Staff Technological Skills Revenue Loss

11. Giant Consulting Group Feasibility Study Technical Economical Organizational

12. Giant Consulting Group Technical Feasibility Familiarity with Application (low) Familiarity with Technology (moderate) Project Size (moderate)

13. Giant Consulting Group Economic Feasibility (Tangible Benefits) Increase Revenue Reduce Materials Costs Increase Staff Productivity

14. Giant Consulting Group Economical Feasibility (cont’) (Intangible Benefits) Increase Customer Satisfaction Sustain Industry Competitiveness Improve Staff Moral

15. Giant Consulting Group Economic Feasibility (Cont’) Total Benefits = $616,210 Development Costs = $64,000 Operational Costs = $140,836 ROI = 201% NPV = $376,465 Overall Rating = Excellent

17. Giant Consulting Group FEASIBILTY ANALYSIS GLOSSARY BENEFITS: Increased Sales – selling 5 houses per week, $250,000 per house taking 3% brokerage fee. Anticipate 13% sales growth (adjusted for inflation @ 6%). Reduction in office supplies and mailings to customers. Increased productivity – anticipate new system to dramatically reduce processing duration time creating more resources for sales and new business opportunities. Reorganize staff as required. Increased customer service – anticipate new system to attract at least 3 new customer transactions/yr due to quality and service improvement. Reduction in dissatisfaction and loss of business. DEVELOPMENT COSTS: Planning, analysis, and design fee – current going rate. Programming – current going rate. Web design – current going rate. Training – 40 hours @ $50 per hour. Consultation – commissioned rate. Infrastructure/Networking – basic rate for two buildings including wiring, server closet, and future expansion. Equipment and Peripherals – one server, four computers (monitors, input devices), laser printer, scanner, digital camera, fax/phone, backup tapes, discs, cabling. Software – server program, operating system, office applications, maintenance and security software. OPERATING COSTS: Hardware maintenance – basic repairs, upgrades, enhancements. Software upgrades and additions – upgrade versions, new software incl. license. Communication charges – ISP rate @ $50 per month and ISDN line rental @ $100 per month. IT Manager salary - $300 per week, $15600 per year with 3% annual raise. Staff member - $200 per week, $10,400 per year with 3% annual raise. User training – $1000 per year for hardware, software upgrades, new employees. Utilities - $1200 per year Marketing – advertisements, publicity, promotions.

18. Giant Consulting Group Organizational Feasibility Project Champion (Alison) Management Users Other Stakeholders Overall Rating = Excellent

19. Giant Consulting Group New System Context Diagram

20. Giant Consulting Group Proposed New System Concept Demonstration: Database Prototype Web Page

21. Giant Consulting Group Positive aspects of existing system  Inheritance of 12year old profitable business  Obtained $75K will  No debt  $250K bank reserve  13% yearly increase in profits  New office  image of quality service provider  Dedicated and enthusiastic employees  Current strong economic climate  Boom in house prices  Strong tradition in local community and business areas Summary

22. Giant Consulting Group Business Goals  Significantly expand business  Double turnover in 3 years  Possible expansion in another part of the region  Regain market edge against 3 new agencies  Focus on delivery of quality product  Promote HSH status of excellence in your local area

23. Giant Consulting Group Automation by applying computer technology To improve efficiency by speeding up and simplifying work  MS suite (mail merge, spreadsheets, calendar, publisher)  Book keeping software (Quicken)  Internet connection  E-mail correspondence  HSH Local Area Network  Digital camera, scanner, printer, PAD, Nextel Stop use of unlicensed software

24. Giant Consulting Group Improvement in efficiency and effectiveness Implement centralized database management system & web page  Gradual implementation  Training  Revise management policies  System support and maintenance

25. Giant Consulting Group Exploring opportunities in e-commerce world  Web based business world  24/7 operation time  Huge info resources  Unlimited market area  Real time transactions  Users convenience  High risk  Requires expertise and quick adjustments to new technology and market fluctuations

26. Giant Consulting Group Side by side Comparison BPABPIBPR RiskLowMediumHigh CostLowMediumHigh Implementation time FastSlowLong Breadth of analysis NarrowModerateGood BenefitsImmediateGradualQuestionable Increase in process duration FastFasterReal time KnowledgeBasicIntermediateCompetence Potential business value LowMediumHigh

27. Giant Consulting Group Q/A