Saturday, February 22, 2014

Reflection on 1-888- JUNK-VAN CASE


Reflection:

After going through the pros and cons of each alternative and attending the presentation given by consultants, PaaS seems to be the best option. Once Kingo works out the desired platform, it provides hardware, storage, network capacity and basic software functionality. It requires only three days for implementation along with migration of data. It doesn’t require Kingo to have a server for installation as it is managed by third party. This system provides remote access and central database which minimizes the errors and eventually increases customer satisfaction. If further customization is needed, if can easily be done for $180 per hour. And if at any time Kingo thinks this system is not fulfilling his business needs he can cancel it by giving one month notice.

As Kingo’s business expands and its operating demands grow, he can migrate the IT system to Enterprise Resource Planning (ERP). ERP is built around a central database that is remotely accessible and can integrate business processes in all departments including Purchasing, Sales, Customer Service, Finance and Human Resources. Although ERP system is more costly at $500 per license per year, it will eliminate the limitations of PaaS. Seeing continued growth of business and as revenues increase, the additional cost of ERP can be offset by the performance gain and more efficient operations in all departments.

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