Solution address to operation system:
CUSTOMER RELATIONSHIP MANAGEMENT
Customer relationship management system consists to track and keep organize of all customers’ details and processing on high technical software applications. CRM can describe as a technology or a system; it’s also more likely a way of managing, maintaining good customer services with perspective customers even when you cannot meet every face to face.
Approaching strategic, plan, and marketing, CRM is a consider weapon remaining your existing customer loyalty. Initially, new customers are challenging and cost you money on advertising. On other hand, loyal customers make profitable in your business.
(Source: Customer Relationship Management, 2001)
Complete CRM support includes sourcing, back-to-back orders and alternative or replacement parts suggestion.
Features and benefits:
- Customer record is complete; build and maintain prospect contact list;
- Integrate and optimize sales support information;
- Reduce administrative cost through web ordering and tracking;
- Offer customers a range of order process options;
- Monitor the sale order process with alert management software.
(Source: Supply chain secret, 2009)
(Source: Sienna Solution, 2002)
Performances of controlling in materials:-
- Poor quality management: Important data is no recorded such as supplier’s information, supply’s quantity, and material’s resource.
No reliable, accurate and timely information to sustain the production manager, or the office employees to make wisely decision. Without accurate information, managers must use forecasts, best guesses or luck. This particular crisis can acutely lead to overproduction, or underproduction of goods.
In Addition, Toy story is short of information technology in use of data storage that should utilize computers to track suppliers’ preferences and exercise to monitor and customize environment.
The intimacy with suppliers is probable poor, which disallow them to provide vital inputs. The staffs have finding difficulties to get contact with the suppliers and this connects to poor response time.
Solution addressed to quality control:
KNOWLEDGE MANAGEMENT
Knowledge management is a firm asset. Knowledge management is a collection and creation of knowledge from information, data, and requires organisational resources. Based on the knowledge management is also the key device of the organization towards the constant renewal and grow of the organizational knowledge.
KM system designs of accommodating to organization structures, facilitation of organization member, and more importantly it’s putting IT instruments with emphasis on teamwork and transmission of knowledge into place.
(Source: The knowledge Management Forum, 2002)
(Source: Lecture slide 7, ISB- trimester 1, Deakin University 2009)
Cultural issues:-
- Communication gap: Organization flow is unclear within department to department.
- Poor motivation: Managers have no intention to accept new technology. Managers tend to follow personal optional to make decision rather than logical way.
Cultural relationship and communication break is overwhelming in every subdivision to department in Toy story. There is not established supportive through senior management. It perceives business value from communicate strategies. It damages imagine, low down self-learning in the organisation as well as with the employees relationship.
The cultural relationship is essential because if the resolution does not address to the key industry driver, it soon will be difficult to get employees to change their behaviour to leverage the new solution.
Solution addressed to cultural issues:
KNOWLEDGE MANAGEMENT
Knowledge management is by nature perceptive because of the focus on learning and performance improvement. KM can lead to cultural improvements. If the culture is a barrier to performance improvement, then KM efforts will certainly raise the issues of necessary culture change.
(Source: Performance through learning, 2004)
Documentation system:
- Insufficient of documentation or accounting system- No accurate, relevant, reliable information have provided into the Financial Report.
- No appropriate analysis on financial: Income statement, balance sheet, cash flow statement.
Financial report, or articulated as accounting knowledge is a key tool for understanding, tracking and making decisions about financial issues in an organization. However, there is only summarise of estimated amount is analysed to Toy story, and the data is someway inaccurate.
Accounting information system, on the other way, it’s a desirable features needed for computer-based systems and ensures that all user needs are met.
For instance, Toy story shall be able to generate accurate and reliable cash flow, prepare tax return, supply personal financial information and support all related application by the accounting information system.
Solution addressed to documentation:
ENTERPRISE RESOURCE PLANNING
The benefits associates with using enterprise resource planning is be able to communicate with the core of business functions including productions, accounting, purchasing and the like. The integrated information will transfer all essential data from all your key businesses and smooth flow within your organization.
solution will help to incorporate tasks across accounting, marketing, inventory, invoicing, production, and etc.
Features and benefits within the ERP systems:
- Management information system;
- Integrated information system;
- Material resource planning;
- Money resource planning.
Toy story need to clearly recognize and be acquainted with what or how the ERP is structured before implementation. It is always costly to put into operation new software. Nevertheless, the EPR software solution is dynamic a positive force to the company such while focus on business analysis, and focus on critical success factors with calculated planning and control.
(Source: Supply chain secret, 2009)
RECOMMANDATION: HIGHEST PRIORITY
ENTERPRICE RESOURCE MANAGEMENT IMPLEMENTATION
As we going though with the cases, we found many loopholes within the organizations that need to be addressed. Documentation issues in accounting or financial is the highest priority in Toy story. Toy story need to consider and work harder in order to meet the achievements for the company.
In this consultancy report, we agreed and considered that the accounting or finance department of company has been short of information systems. The role in accounting or finance department is playing all the transactions which are related to cash, payroll, accounts receivable/payable and expenses.
The company is recommended and arranged to erase these issues with the range of IS perspective of implementations.
Recommendation of the application or software of Quick book or MYOB is suitable for the organisations sustainability for Toy story. It might be too pricey for Toy story to implement a giant ERP system, like SAP ERP Financials, where we regard as Toy story is only a medium size company.
Therefore, we suppose that successfully implementation of TPS makes implementation of management information system worthier and easier at managerial level as shown in the following chart.
(Source: Management Information System, 2006)
ENTRIPRICE RESOURCE MANAGEMENT
The information system or technology usage in Toy story is probable lack in performances. For instance, ERM, it is an appropriate system for Toy Story Company to conduct the business efficiently. ERM system will achieve and to help the organisation system keeping track of the elementary activities and transactions of the organization, such as sales, receipts, cash deposits, payroll, credit decisions, and the flow of materials in a factory. The principal purpose of systems at this level is to answer routine questions and to track the flow of transactions through the organization.
(Source: Management Information System, 2006)
TRANSACTION PROCESSING SYSTEM
Due to lack of system in functional areas in Toy story, there is not any data or source to create any report in front of manager and address the progress and issues exactly. TPS has build in interaction functions that help flow within the organization.
Operation level is essential required as it involves with order processing from sales and marketing department of organisation, material movement control from manufacturing and production department, account receivable and accounts payable from finance and account department, payroll and employee record keeping from human resources department.
(Source: Management Information System, 2006)
INVENTORY SYSTEM
The organization has expanded their businesses in dealing with 5 major product line and 200 small toys in these recent years. Nevertheless, Toy story has to establish a complete application or software to keep on track on their products life cycle.
Solution addressed to inventory system:
PRODUCTION CYCLE MANAGEMENT SYSTEMS
(PLM) are based on data repository that organizes, or Toy story every piece of information that goes into making a particular product, such as formula cards, packaging information, shipping specifications, and patent data.
Company can select and combine once all the data is received. They need to serve specific functions. For example, designers and engineers can use the data to determine which parts are needed for a new design, whereas retailers can use them to determine shelf height and how materials should be stored in warehouses. This software becomes handy to Toy story for collecting all data for designing a new toys or products.
(Source: Management Information System, 2006)
COMPUTER AIDED DESIGN SYSTEM
CAD is a powerful device for designing the products or toys for Toy story. CAD systems will automate the modelling and design of their products. The software enables Toy story to create a digital model of a part, a product, or a structure and make changes to the design on the computer without having to build physical prototypes. This software is useful in Toy story when it comes to designing or producing new toys.
(Source: Management Information System, 2006)
INPUT AND OUTPUT FOR THE HIGHEST PRIORITY
Documentation issues in Accounting or Financial department:
The ERP financials solution we recommended is a full accounting or financial management solution system for Toy story.ERP financials combines interior accounting and reporting facilities with financial supply chain, treasury, and performance management applications.
These applications help Toy story modernize finance business processes, trim down operating costs, manage risk, ensure compliance, and provide robust and timely business insight.
Accompanying, ERP Financials enables companies like Toy story to thrive in a business environment considered by intensifies competition and uncertain market conditions.
(Source: SAP global, SAP Enterprise resource planning financials)
Toy story can easily transform their finance organization into a strategic business partner – one that provides essential business insight and helps make higher performance and increased shareholder value.
FEASIBILITY
Toy story is not operated or consider a large firm which has unlimited capitals or funds throughout the cash flow. On the other hand, Toy story is only a medium size of business with a limited capital and reserve to generate cash flow. It has clearly mentioned or presented in the financial reports such as the balance sheet and income statement.
Resource Feasibility
This is not suggestible to go for completely renovation or build a new system of business at a point of time; however, we suggested that implementations can only be done step by step according to the plan as per priority wise will be genuine.
First of all, managing resources need to manage the cost saving in each of every level from production floor to manager level. Toy story need to be careful for adopting a new technology for examples ERP, CRM, or KM.
The cost in maintain of the information systems and computers is pricey. Moreover, computer need to be maintained or repaired in one appointed of time like for every 18 months to achieve best performances.
ECONOMIC FEASIBILITY
Global businesses are innovated in operating or running with new information technology and using effective internet services such as ADSL2 and many other applications or software. Accompanying to competitive disadvantages and global recession issues, company needs to be pro active rather than reactive.
Nevertheless, Toy story as like other organizations is developing their functional areas in large amount of communications throughout daily activities. Therefore, introduction of TPS is highly recommended for Toy story in regulate to continuous profitability’s for further sustainability and success.
Introduction of TPS as mentioned as above early, changes will interact in each functional areas. Single or every data generated from the information system will make a useful knowledge or sources to managers for making decisions.
CONCLUSION
In conclusion, we come to understand the problem in Toy story and throughout the report we have solve and give basic solutions to the critic areas. Implementation of ERM will give the organisation in practise of stronger teamwork and together toward the higher framework.
Our recommendations of implementation concepts give wide and new experiences to Toy story in return to earn more customers and profitably through CRM system. In additional, KM is expressed one way advisable for bridging up the gap of communication and as well rid off a cultural cluster.
My partner and I have work hard coming across to this stage for preparing this consultancy report to Tory story. We appreciated the information have provided by toy story and we highly propose Toy story to consider our priority execution present to Toy story.
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Jill Dyche: The Customer Relationship Management handbook, A business guide to Customer Relationship Management, Published by Addison-Wesly, 2001, pp. 3-7
retrieved on 15th May 2009,
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Carol Gorelick, Nick J. Milton, Kurt April : Performance through learning, knowledge management in practice, Published by Butterworth-Heinemann, 2004, pp. 51-52
retrieved on 15th May 2009,
- Laudon & Laudon, Management information system, published by Pearson Prentice hall, New Jersey, 2006.
retrieved on 11th May 2009
- Sienna Solutions, smart solutions for smart companies, 2002
retrieved on 12th May 2009
- The knowledge management forum, KM forum achieve- the early day, 2002
retrieved on 14th May 2009
- IBS, Supply chain secret, 2009
retrieved on 14th May 2009
- Information System for Business, Lecture slide week 7, trimester 1, Deakin
University, 2009
retrieved on 16th May 2009
- SAP global, SAP Enterprise resource planning financials,
retrieved on 16th May 2009