To: CEO, SchmidtCo A
from: VIJAY SANGLE, PROGRAM MANAGER
subject: Schmidtco IS conversion project analysis
date: [ 2/26/2012 ]
This memo is aimed to provide the recommendations for decision problems faced by John Schmidt in the Information Systems conversion project.
* SchmidtCo is a Philadelphia-based importing company that has served the business in North America and European industrial for automotive manufacturers.
* The project of conversion of information systems of automobile parts was not going well and John had to do something to overcome this.
* The current computer system that controlled operations, which started out as inventory management was found to be inadequate in the current rapidly expanding product line.
* The current enhanced system of SchmidtCo had severe limitations in inventory management and purchasing so had to be renewed.
There were many problems being faced by John considering the delay that had already been happened in conversion project delivery and the amount of money that has already been spent which doesn’t seem to be worth it. Decisions were needed to be taken in order to resolve them, some of them were:
* Conversion project was intended to replace and integrate all information systems within the company, some of which were not currently interconnected.
* 4 month-old project was already 3 months behind the schedule and so all the tasks needed to be expedited.
* John just had heard about the failure of one of the conversion project implemented by one of his customers, which eventually drove them out of the business and so John had the fear of bankruptcy for himself.
* Vendor that had created the original inventory system was not there to support it anymore and enhance it further.
* John thinks of relying more on ERP systems recommendation and so if they are not correct, there is either fear of running out of inventory or wastage of inventory.