...ESTORE AT SHELL CANADA LIMITED Questions for discussion Analyze the case state facts of the case, identify issues, look at alternative solutions and recommend a solution or a set of solutions. Give rationale for solutions. Some issues you may want to consider: How to proceed with eSTore in order to align this initiative with business objectives? How to cost effectively address the needs of the agricultural segment using information technology as increasingly become price sensitive? How to cost effectively address (using information technology) the growing “transactor” class of customer that is dominating many segments of Shell’s fuels and lubricants division. 1. Why do you think Shell Canada is experiencing low use of its eStore? 2. Shell determined that simply measuring the number of accounts created or the number of log-ins was an inadequate measure of success of the system. How would you assess the success or failure of this system? What data would you draw upon? 3. What are some of the unique challenges faced by large organizations when embarking on innovative technology – based projects? What did Shell do to address these challenges? What else could Shell have done? 4. What differences are evidenced in the case between the development and deployment of customer facing applications versus employee facing applications? How did the type of application affect the use of eStore? 5. In the context of the experience at...
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...eStore at Shell Canada Limited Executive summary: In 2003, Shell Canada Limited build up an e-Store developed from eCATS. The purpose was save cost and increase market share. However, it was not achieve the organization’s goal. The key issues are how to proving front and back end application, as well as promotion customer usage in e-Store. Current Situation: Shell had build up an e-Store that was an important company’s strategically project. Shell leveraged its international resources and took advantage of eCATS as the basis for the self-serve application, which reduced the development costs considerably. A success e-store could switch existing clients to a lean, faster e-commerce platform to achieve cost savings objective. However, e-Store could not reach an expected object because there is a few factors that effect both internally and externally application. Internal issues arose from both business and IT: • Inadequate training, communication, motivation to sales personnel • Did not pay enough attention to users’ needs • Lake of system integration (Front and Back) • Security added barriers to inconvenient use of the site • System performance (Order processing takes time) • Difficult to use (SSO - single sign-on confusion) External issues: • Some customers never heard of e-store. • Customers prefer to make deals through face-to-face or 1-800 line over internet The major low usage could...
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...Estore at Shell Canada Limited eStore at Shell Canada Limited Executive summary: In 2003, Shell Canada Limited build up an e-Store developed from eCATS. The purpose was save cost and increase market share. However, it was not achieve the organization’s goal. The key issues are how to proving front and back end application, as well as promotion customer usage in e-Store. Current Situation: Shell had build up an e-Store that was an important company’s strategically project. Shell leveraged its international resources and took advantage of eCATS as the basis for the self-serve application, which reduced the development costs considerably. A success e-store could switch existing clients to a lean, faster e-commerce platform to achieve cost savings objective. However, e-Store could not reach an expected object because there is a few factors that effect both internally and externally application. Internal issues arose from both business and IT: • Inadequate training, communication, motivation to sales personnel • Did not pay enough attention to users’ needs • Lake of system integration (Front and Back) • Security added barriers to inconvenient use of the site • System performance (Order processing takes time) • Difficult to use (SSO - single sign-on confusion) External issues: • Some customers never heard of e-store. • Customers prefer to make deals through face-to-face or 1-800 line over internet The major low usage could be related with system integration, internal...
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...and resolved. Assess how did Shell address these problems and challenges. Would you have done it differently? Justify your approach. Most of the large organization faced significant problems and challenges when embarking on inventive technology are the costs involved in developing the technology, bringing different organizational groups together, securing the technology through patents, integrating different departments during implementation, having a customer-friendly user interface, etc. In 2003, Shell Canada Limited build up an e-Store developed from eCATS. The purpose was save cost and increase market share. However, it was not achieve the organization’s goal. The key issues are how to proving front and back end application, as well as promotion customer usage in e-Store. In this case, the problems of Shell were more specific like the project cost, the platform of system or technology to be used and language. Shell wanted to develop a web based self service for its agricultural segment customers. It was projected that Shell’s market share would increase by 2 per cent in that segment. But, initial cost estimates showed that developing such an application would be very costly. Shell dealt with this problem by incorporating an application (eCATS) which was already in use. This helped in reducing the development costs significantly. The second issue that came up was regarding the platform to be used for developing this application. Shell already had a platform which...
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