A&D HIGH-TECH:
MANAGING PROJECTS FOR SUCCESS

Group 11 ² BM A
Guru Govind Mishra B10019 Murali P. Pathak B10029 Pranshu Dwivedi B10037 Satish Pandita B10046 Vibhu Mangla B10059

COMPANY HISTORY
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Founder ² Ted Walter ; Year ² 1988 ; Place ² Lincoln Businesses ²
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Computer Products Accessories Services 90% sales from mid-western states

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Revenues - $400 mn in year 2000
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Predominant Sales Channel ² Retail Outlets in shopping malls and Phone Orders handled by 50% call centers in Lincoln Pre 1999 era ² Orders through paper
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More time in order entry Delayed Shipments Poor Accuracy 30% customer call-backs Customer call backs reduced to less than 1%

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ERP implementation in 1999
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Further investment in CRM, supply chain automation, payment process in 2001

REQUIREMENT OF ONLINE SALES CHANNEL
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Commodity status of A&D·s products
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reduce cost - SG&A expenses

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Tough competition and decreasing margins
« Increasing competitor

revenues

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Initial doubts on customer service and friendliness

BUILD VS BUY
BUILD
‡ Possibility of customization ‡ Higher cost of capital involved ‡ Differentiating factor ‡ Potential benefits in terms of Flexibility ‡ Possible competitive advantage ‡ Control over the system

BUY
‡ Only 60% of functional requirements covered ‡ Lesser cost involved (some Hidden cost involved) ‡ Only a keep-up option ‡ Overhead of integration of multiple vendors ‡ No competitive advantage ‡ No single market leader

PROJECT HISTORY
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Matt Webb formed a six member cross functional team Eric Robertson suggested following planning components
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Define the business requirements Define the process flows Create the technical architecture requirements Build a simple prototype of the system Create WBS (Work breakdown structure) of project Estimate the effort for