Information technology planning for coffee company, assignment for University of Greenwich, UK
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The document outlines an information technology planning course focused on improving the operations of Continent 6 Café, a global chain of cafes, by addressing issues in purchasing, communication, and IT infrastructure. A SWOT analysis highlights strengths, weaknesses, opportunities, and threats related to the company's goals of becoming a leader in quality and price. Recommendations include developing a web-based ERP system to streamline operations, enhance communication, and reduce costs, ultimately aiding in better decision-making and organizational growth.
Information technology planning for coffee company, assignment for University of Greenwich, UK
- 1. Information Technology Planning Course code: COMP1647 Submitted to: MR. Richard Johnson (Greenwich Course Leader) Submitted By: Mohiminul Hossain ID: 000989728
- 2. Contents Introduction ............................................................................................................................................3 Issues that hindering the organization.....................................................................................................3 SWOT analysis.........................................................................................................................................5 Strengths.............................................................................................................................................5 Weaknesses.........................................................................................................................................5 Opportunities ......................................................................................................................................5 Threat..................................................................................................................................................6 Impact of IS .............................................................................................................................................7 Functional requirements .....................................................................................................................7 Current Process of communication between regional offices to head office ......................................10 How will they communicate ..............................................................................................................11 Benefits of this network.....................................................................................................................12 Biggest organizational changes with new system...................................................................................13 Persuading managing director that the system is affordable..................................................................15 References ............................................................................................................................................18
- 3. Introduction According to the scenario, continent 6 café is a group of company which consist of about 12000 cafes in six main continents. This company has approximately 40 regional offices and each office run almost 300 cafes. The vision of the CEO of this company is that make the group as the number one café group in the world in aspect of price and quality. This group has already achieved excellent ratings from the side of quality about coffee shop. But to be number one in aspect of both price and quality some extra work needs to be done. Considering this they have decided to move forward on the basis of global purchasing which could reduce the purchasing cost from $50 million dollar. Issues that hindering the organization One of the issue in this group is that each café is too expensive to visit. This is an issue because the company CEO wants to make the company number one in aspect of quality and price but the price is too high. It might be very hard to organization to achieve this vison until the price is reasonable. Poor purchasing strategy is the issue that hindering the organization because regional offices are not specifically skilled in purchasing. On the other hand, head office does not take the purchasing responsibility for each coffee chain. For this reason, each café is too expensive to visit. Meanwhile, Head office purchase only one product that is coffee where they can purchase more than one product for better business. Recently this company’s senior management has been decided to move forward on the basis of global purchasing but they do not consider the necessary of universal
- 4. language approach which is the great issue that hindering the organization. This might create problem some dealing process when company deal with such type producers whose nation are not used to speak in English. So, the organization may lose some significant deal from producers. Limited use of IT is one of the big issues for this organization. Only the financial report between head office and regional offices are done by manually by using spreadsheet. Currently continent 6 café has no website presence. they also have no experience to develop new information systems. These are the great issues that hindering the organization because it might create problem when it comes to make long run decision for the company. All the record such as marketing, selling, purchasing report, financial, stakeholder, employee record should be available in their IT system for generating report so that the decision they will make for the future are become better and easier. Currently there is no established remote access network for branch to branch communication with head office. Limited manpower can be the one issue, currently each regional office has not enough manpower. Since the company has already decided about global purchasing process therefore they need more skillful manpower in purchasing, marketing, selling, and IT.
- 5. SWOT analysis Strengths - Global branded company - Self-reliant business strategy where each regional office can develop their business and IT system by their own set of processes - Have outstanding status in a website on the basis of quality - Has built the strong relationship with the local coffee producers - Enough budget in hand Weaknesses - Regional offices are not specialized in purchasing - Cafes are too expensive to visit - Financial reports are done by only using spreadsheet - Limited use of IT, they have no website presence, no network is established for branch to branch communication. - No experience to develop new information system - Limited manpower in each regional office Opportunities - New marketing strategy about price will assure competitive advantage that change the organization images to the customers and it will increase the marketing growth of the company - According to the scenario, a medical research about tea and coffee will help to increase the selling growth of the organization
- 6. - Establishing strong information system will help the organization to make long run decision - Global purchasing idea will make an opportunity to build up strong loyalty with producers spread over the worldwide - More services will expand for customers and also employee in entire group. - Greater use of technology will create more opportunity than imagined it will creates an easy way to keep in touch with customer and producers. Remote access will build up strong communication between head office and each branch. Head office will be able monitor the business process of each regional office which will help to identify the strong and weak side of each regional office. It will also help to find out the skillful employee in entire group. Threat - According to the scenario, change of weather pattern will be the threat for this organization. Many coffees producing nation’s harvest has damaged. For this reason, organization may lose some loyal coffee producer from various nations. - Additionally, Brazil has produce largest amount of coffee so local producers may take a chance to sell their product for extra price. - Recently, company has decided to move forward on global purchasing so universal language approach will be threat. This might create problem in dealing process with the nation who are not used to speak in English
- 7. - Hire new employees for monitoring IT system will be a big threat. Unfaithful employees are more dangerous than any other harm in an organization. - Since this group is a global branded company and contain lots of branch so network security issue will be a big threat. For this, significant data can be loos, communication can be interrupted and significant deal can be canceled - System can be crashed - Access to the unauthorized person to computer will be the great threat Impact of IS Functional requirements Since continent 6 café is the world branded company and contain lots of regional offices with lots of branches so the amount of information is very heavy. According to the scenario after analyzing the issues and SWOT of this company I will suggest to develop web based ERP software as a major system. Because this organization have to manage heavy amount of information such as financial, selling, stakeholder, purchasing, employee, payroll records of each regional office. If all of the business process become
- 8. connected end to end then other thing such as decision making, change of business processes are become easier to provide better service. I have suggested Web based ERP which are reduced the business costs and not time consuming, compatible with various kind of devices which are accessible to visit web, easy access to the system for employee wherever they are and reduce the chances of ERP failure. So, web based ERP software system might help the company to reach their vison. (Benefits of a web based ERP system, 2017) The fifteen functional requirements of ERP software for this organization have given below. 1. User Login- User login will be available to access the system. Each regional offices and head office must log in to access the system 2. Store product details- The system will allow to store, update and delete product details 3. Store Purchase details- The system will allow to store purchase details of each regional offices along with supplier’s details 4. Generate purchasing report- This system will monitor the purchasing details and generate purchasing report of every regional offices 5. Store selling details- The system will allow to store everyday selling details, it also allow to delete selling details
- 9. 6. Generate selling report- The system can generate every day, week, month and year report. 7. Store employee details- This system can store employee details and also allow to update or delete employee details 8. Store financial data- The system will allow to store financial data 9. Generate financial report- The system will allow to produce financial report weekly, monthly, and yearly 10.Produce Multi-currency report– This system will allow to generate all the calculation of money in different currency 11. Invoicing- For each café this system will allow to make invoice for customers and for every dealing and purchase It will also make invoice 12. language Translator- This system will have multiple language translator
- 10. 13. Generate KPI- This system will generate key performance indicator for each branch on the basis of purchasing so that the performance of employee on purchasing will be identified 14. Generate Schedule- The software will allow to generate schedule for each regional office for their business purpose 15. Messaging- Chat option will be available in this system to communicate with each branch to head offices (A Statistical Guide to the 50 Most Popular ERP Features, 2017) Current Process of communication Each branch office has chosen their IT system by their own set of processes. They use different kind of third party software to communicate with head offices. They get in touch with head offices by using phone call, email and text message or chatting through social media and they share their signification document by using same process. Regional offices communicate with their cafes by using email. They use also skype for group meeting. Besides by solving immediate broader issues, branch managers communicate with head offices for suggestion. In turn head office devote an executive officer and invite them to either common point of contact or visit head office. Since this group is a global branded company so this type of communication as mentioned above are not enough for this group. Besides the communication through third party are not enough secure for this company.
- 11. (manage-corporate-office-branch-locations-44198.html, 2017) How will they communicate Since I have suggested a web ERP software system for this group so regional offices and head office can communicate with each other through this software. There will be some feature available for sharing file, messaging, video calling which through they can communicate. It will be better for this group to put the software in Virtual Private Network because the group only want to communicate with head office to regional offices and regional offices to café so the communication will be secure. There will be private server for the company, all the regional offices communicate with head offices through the private server. All communication process will happen through intranet. Both head office local area network and the regional offices local area network will connect to the larger network. The whole networks together connect through VPN. Then This VPN will connect with each regional office main network router for establishing connection. The VPN solutions support remote access by itself where employee can also communicate from outside the office. There are several methods available for remote access in VPN so I will suggest to use PPTP method because it is latest secure method and it supports on windows and any kind of operating system and mobile devices also. Firewall will be required to set up between VPN server and VPN client for secure communication. A network administrator will always present for control the network. (How to Connect Multiple Offices with VPN, 2017) (What-is-the-main-differences- between-WAN-and-VPN, 2017)
- 12. Benefits of this network The benefits of the network that I suggest for this group is been given below Reduce cost- This network does not need to multiple leased lines for each branch office. Using single leased line is enough for this network which will reduce the cost of broad band internet connection of this group Performance- The speed of internet connection (data transfer rates) at each regional office will be very high. Flexible- If one or more regional offices move to another place then it is much easier to set up. Scalability- New connection are very simple to add in this network because Virtual Private Network uses internet instead of point to point connection between regional offices Security- VPN technology uses a tunnel through the internet and all the traffic goes through the tunnel so when any data transfer between head office to regional offices will be encrypted which protect the sensible data (connect-branch-offices-using-a-vpn, 2017)
- 13. Biggest organizational changes After applying the new system, the biggest change will be changing the internal work procedures of the organization. All the process of the organization will be done by computer. There will be central server for ERP system where all the data will be stored. Most of the communication will be established through this system. All the regional office will have their own system to access to operate. This system will reduce paper work of the organization. They will need to recruit more employee to support this system. Financial state of the group will be changed. Employee performance will be identified through this system. This system will allow to generate statistics reports so that high level staffs can make critical business decisions. To address these changes some several steps will need to take Meeting with regional manager- Head office have to meeting with all the regional manager of this group about the new system and a general discussion will be shared to move forward by adapting with new system. Misunderstanding of employee on new system- After applying the new system some employee might be misunderstood about the system. Maybe they cannot properly adapt with the system. Therefore, senior management must show every benefit of this system to each employee. They have to take a commitment from employee that whether there is any kind of change or employee have to move forward on the basis change
- 14. Training employee- Before there was no arrangement to work with official software, for this reason employees of the organization will not cope with quickly to work this system. Employees working process will remaining same, but they must be trained up firstly for 1 hour each day before using the software. Hire new IT worker- Since they will use ERP software, on the other hand they have little man power so the company must hire IT worker for controlling the system from the background and some network administrator will be required to continuously operate the network system of this group. Parallel deployment- This company’s manual system will remain with the deployment of new system. Because if the new system creates any issue then there will be no harm of the company. When every employee will intimate with the system then the new system will be used abidingly.
- 15. Persuading managing director It is extensively said that ERP system are very expensive to set up for large organization. The managing director of continent 6 café also worries about it. Huge amount of money will have to invest to develop ERP system. So, he needs to be persuade that this system is affordable before any investment. Though ERP system is expensive even then from the aspect of long run business decision of this group, investing of ERP is better solution. Because all the automation system of this software will help to make the proper decision for increasing the business growth. Not only long run decision but also ERP will help to make short run decision according to their need. This system will store all financial, purchasing, marketing, selling record. Various types of report will generate from this record so company can make decision any time according their profit. Since this group is worldwide branded company and has lots of branch spread over 6 continent and wants to develop new IT system so they have to buy lots of equipment such as computer accessories, network accessories for every branch and head office. So, the managing director is suggested to order and buy all the requirement together which will reduce the cost much more. The new system is web based ERP and whole system will put on a VPN which is more secure and cost benefits. Because VPN does not need multiple leased lines Like WAN for establishing connection, one leased line is enough to
- 16. connect the network for every regional office include head office which will reduce the cost of network and it secure also. If they open new regional office or change any regional office from one place to another then set up this network is very easy. There is no need of high performance computer for every regional offices, cafes and head office to run this system because it will run through the web. Medium requirement PC will be enough for this system. In this case cost will be reasonable. This system will be accessed from any portable device from anywhere. For this reason, if any problems occur in the business then they can get a solution quickly which will save the much more time. Currently all the financial audit done by using spreadsheet which is time consume and need extra manpower to do this. By using this system all the financial data will record in the database and displayed in a complete way. Not only that but also financial data will correct and monitor every day. It will save the lots amount of time, state the financial position of the company, help to make both short run and long run financial decision. Overall it will increase the financial growth of the business. Not only financial data but also purchasing, selling, employee and any kind of record will be stored in the system according to the company’s need. Daily, weekly, monthly, yearly report will be generated automatically from this system.
- 17. Currently employees are not particularly skilled in purchasing. The system will display all the statistics data by generating KPI on the basis of employee performance in purchasing which through high level staff will be able to identify the purchasing skill of employee and also marketing growth of each region will be increased. Considering all the reason has been stated above web based ERP is affordable for this group for making both long run and short run decision. This system will help the whole group to increase their business growth.
- 18. References A Statistical Guide to the 50 Most Popular ERP Features. (2017, 10 23). Retrieved from https://softwareconnect.com: https://softwareconnect.com/erp/50-most-popular- erp-features/ Benefits of a web based ERP system. (2017, 10 23). Retrieved from https://www.sagesoftware.co.in: https://www.sagesoftware.co.in/blogs/benefits- of-a-web-based-erp-system/ connect-branch-offices-using-a-vpn. (2017, 10 25). Retrieved from https://www.techrepublic.com: https://www.techrepublic.com/article/connect- branch-offices-using-a-vpn/ How to Connect Multiple Offices with VPN. (2017, 10 24). Retrieved from http://www.smallbusinesscomputing.com: http://www.smallbusinesscomputing.com/webmaster/how-to-connect-multiple- offices-with-vpn.html manage-corporate-office-branch-locations-44198.html. (2017, 10 24). Retrieved from http://smallbusiness.chron.com: http://smallbusiness.chron.com/manage- corporate-office-branch-locations-44198.html What-is-the-main-differences-between-WAN-and-VPN. (2017, 10 24). Retrieved from https://www.quora.com: https://www.quora.com/What-is-the-main-differences- between-WAN-and-VPN