Riordan Manufacturing - Essay Example

Another important aspect is that the migration towards the CRM system will reduce the storage costs by huge margins. In addition to storing information concerning past sales, the company is also desirous of having all details concerned with market surveys to be stored in the new information system that is proposed to be developed as it enabled the company to refer to past trends with ease and accuracy thereby enabling it to take the appropriate decisions. A major requirement of the new software system is that it must provide an integrated environment wherein all salespersons would be able to maintain their individual information, but the data would always be available so that needs of the customer can be better anticipated.

The company is also desirous of using the new system that is intended to be developed for the purpose of being able to store information about the production at its various facilities, which in addition to providing periodical data entry capabilities, must also be able to work at all the company's facilities in a secure manner allowing the various facilities to run and manage the software system in an integrated and collaborative manner. Riordan is also desirous of maintaining financial data in all its forms in the new system as allows the management of the company to keep track of budgets and costs at all times requiring minimal effort.

The company feels the need for the development of the new system given the changing trends that are taking place on a global basis in addition to rising inflation, labor costs, and interest rates as also the reduction in the Gross domestic product of the economy of the United States, which is why it feels necessary to initiate cost-cutting strategies. Riordan caters to its European and Asian customers through its production facility in Hangzhou, in China. The company intends to shift its Chinese operations to the commercial capital Shanghai.

Therefore, the new system would have to ensure that the employees at the company's Chinese establishment are able to use the integrated information system that is to be developed. In addition to providing all the above-mentioned features to the Chinese wing of the company, the new software system must be incorporated with an additional feature that allows it to provide secure and stable communication between the company's various facilities. This is critical to the interests of the company so as to ensure that critical information related to the company is not intercepted by competing parties.