Business Report for High Burry Suppliers - Case Study Example

Business Report for High Burry Suppliers By: Contents List of Figures 3 List of Tables 3 1 Business Information System Proposal 4 1 Business Information System 12 1.2 Business Strategy 15 1.3 Data and Knowledge Management 16 1.4 Social Networking Strategies 21 1.5 E-business and E-commerce 22 1.6 Accounting Report 24 2. Conclusion 25 3. References 26 List of Figures Figure 1 Location of HBS 7 Figure 2 Proposed Office Layout 8 Figure 3 Existing Office Layout 8 Figure 4 Business Information System Organizational Chart 11 Figure 5 Entity Relationship Diagram 17 Figure 6 Accounting Report 24 List of Tables Table 1 Network System Security 1.1 Business Information System Proposal High Burry Suppliers Overview Administration Department This is the top organ of the organization. It coordinates and supervises day-to-day running of the business. The administration consists of the CEO and the oversight committee, which manages all activities in the firm. The system that is in this department is the Schedule Management System; which assists in the administration. Accounting Department Accounting department is accessible to the administration and the employees. All the transactions done by the business is recorded here. The systems that are here include Log-in System, Printing and Scanning system, and Price Look-Up system. Sales Department This department coordinates the operations of the business. The aim of the firm is to maximize sales to increase revenue. Systems that are in this department include the Sales Recording System, and Business Operation System. Logistics Department The main functions of this department include management of transportation, inventory, warehousing, packaging, and security. Systems in this department include wholesale mode system, security management, warehousing coordination system and inventory system. Cashier Department This department ensures day-to-day supervision of receiving and distribution of funds within the organization. Maintenance of records if also a function here. Systems in this department include the cashier system and database recovery system. Company Background 1952: The organization first participated in trading in the local county. 1960: The organization bought more premises and warehouses in the North. 1965: Eventually the company reached its 30th employee. 1970: The company bought seven trucks and acquired a warehouse in the capital. 1986: The enterprise became an affiliate of a major store in the country. 1990: The business acquired six local stores. 1995: The government awarded the enterprise for its role it plays in the economy. 2005: The business acquired a new name: High Burry Suppliers (HBS) including other acquired stores. 2008: The stakeholders demand a new ownership Services and Clients Types of Services The business is an active contributor to the economy. It participates in trading activities and offers wholesale and retail service. Clients Many clients that frequent the store are wholesalers, retailers, dealers, common citizens, and distributors. Statement of the problem High Burry Suppliers has no computer on their premises, and all ordering takes place manually. This results to data loss. The business has no website and uses very little market except the word of mouth. Objectives To develop an effective business information system for the business. Planning Team Project Manager A project manager will handle all projects. He needs to ensure all projects are of high quality. System Analyst A system analyst will ensure all systems in the firm are working well. Operator An operator will enter all data into the computer. Proposed Plan for Information System Location Figure 1 Location of HBS Proposed Office Layout Figure 2 Proposed Office Layout Existing Layout Figure 3 Existing Office Layout Information System Structures 3 4 5 1 6 2 7 Menu 1. Chief Operating Officer 2. Server Department 3. Cashier Department 4. Sales Department 5. Operations Manager 6. Human Resource Department 7. Accounting Business Information System Organizational Chart Figure 4 Business Information System Organizational Chart Network Systems Security DEPARTMENTS NETWORK LEVEL OF LIMITATION ACCESED NETWORK INFORMATION SYSTEM USER SECURITY LEVEL Department Head Executive 1 100% All Networks Network Administrator Net. Exec. 1 100% All Networks Ass. Network Admin Ass. Net. Exec 1 100% All Networks Computer Programmer Computer Programmer 1 80% Information system network, accounts network, sales dept, logistics dept Computer technician Comp Technician 2 40% Sales Dept, Logistics Dept Table 1: Networks System Security 1.1 Business Information System HBS is on the road to becoming one of the top retailers in the country. There are various business information system that needs to be implemented to ensure this status. The first is Schedule Management System. This will help the top leadership in managing their tight schedules. Additionally, the system will be useful in the management of operations. The second is the Price Look-Up System and log-in system. This system will be useful in tracking down all the transactions within the firm. The third is the Operations Manager System. This system will be useful to the sales department since it is involved in the running of day-to-day operations. The system is crucial in making the company more productive and will work in collaboration with the Sales Supervisor System, which will be the fourth system to be implemented. The fifth system to be implemented is the Inventory System. This system will be useful in integrating information, transportation, and inventory. There are many benefits associated with this proposed information system. The business will experience effective flow of information. Each user in the system will access the information he/she needs and make decisions instantly. For example, to look for the records of customers who have not received their shipping, the sales manager will simply log into his system and have access (Angeles, 2009). Technically, the company currently uses paper record system. This new system will reduce time and costs associated with digging information out of paper. Additionally, this system will be flexible band the programmers can re-program it to grow with the need within the firm. Senior Staff members will require training in social media, management, user training and project management. Technicians will require hardware installation training, software installation training, IT/Network configuration training, and other installations. 1.2 Business Strategy This company is in dire need of gaining competitive advantage. The business strategy will be developed based on Porters Value Chain to create value for the. This strategy will ensure the business inputs are transformed into high-quality outputs and which will generate high value of costs than original costs of the inputs (Wigand, 2013). Porters value chain focuses more on systems than looking at operations. In the organization, it will be important for employees to determine activities that create value. These activities can be direct activities (example, selling online), indirect activities (example, keeping customer records), and quality assurance (example, testing of standards.) Additionally, the top leadership needs to determine activities that generate value within various departments. For instance, the management could consider how the logistics department add value to security, storage conditions, and transportation. Moreover, the top leadership will have to identify activities that add value to infrastructure (Wigand, 2013). After identifying these activities, the top leaders will need to determine the connections between them. Identifying the connections is time-consuming but worth it. For instance, there can be a connection between transport and sales volume. There is a need for technology development in the firm. There will be an Information System manager who will handle processing information, product design, and process automation (Wigand, 2013). There is a need to look for opportunities that will increase value. The management has to stick to a value chain that is symmetric to the overall business strategy. These opportunities need to seek competitive advantage and develop a positive advantage for the firm. 1.3 Data and Knowledge Management Entities relationship Diagram Figure 5 Entity Relationship Diagram The purpose of this database is to ensure efficient information management. This Entity Relationship Diagram will demonstrate the business rules that apply to HBS data. The above diagram has entities which indicate the important things of the company. The diagram indicates the relationship between entities. The above diagram is a mandatory requirement for information management projects. This diagram is the starting model, and the business will use it as a basis when finalizing the whole model (Wigand, 2013). Any person that analyzes the above diagram gains an understanding of information to be contained in the database. Many experts refer to the above model as a documentation tool. All the data available in an organization is represented graphically by the model (Kwak, 2010). The above model is an effective tool for communicating the logical structure of the database to users. Users will find a logical way of analyzing the data. In summary, the model is just a confirmation of business rules. It is used to ensure that data is not overlooked and helps users to start the physical database design. Business leaders could use the model to make important decisions (Wigand, 2013). Business Process Map Customer Sales Management Accounting Department Yes If a customer orders a product, the sales department needs to confirm, but after an approval from the accounting department that there are enough products. After confirmation, the customer fills a purchase form. The sales department uses the purchase form to create an order entry that in turn helps in creating an order form. The management confirms the order criteria before allowing the accounts department to confirm the order payment. If the payment is confirmed, the accounts of the customers is reviewed to see if there are any debts. If there are no debts, the accounts department calculates the required payment for the product. This calculation is sent to the management department as a report. After the calculation, the purchase is approved. 1.4 Social Networking Strategies The companys media consultant will create Instagram, Facebook, and Twitter accounts. The company will create this game plan and stick to it whatever outcome it will be. The company will set a limit on how many tweets and Facebook updates it will send per day. The number is not fixed as it is viable for adjustments as needed. It will be advisable to send four tweets and five updates a day. This number is advisable because most competitors in this sector publish 2 to 3 tweets and updates a day (FASS, 2011). The social network team will treat each channel as an individual entity. In broader terms, Instagram, twitter, and facebook accounts need to be addressed as a separate entity (FASS, 2011). Moreover, the social media team has to go above and beyond in customer service. The team has to respond to every tweet, wall post, and Instagram comment. This will be a superb way of creating a trust (FASS, 2011). 1.5 E-business and E-commerce 1.5.1 E-commerce Solutions The company needs to go online. First, the company does not need an IT team more than five people because of additional costs. Therefore, to save costs, the company will rely on symphony commerce (Angeles, 2009). Here, a single service provider handles all the back office and IT aspects of running an e-commerce business. Other employees will hence concentrate on selling products to increase sales (Angeles, 2009). Second, according to the business balance sheet, it is not easy to find suppliers. This is because the company lacks brand recognition. Therefore, it will be advisable for the organization to collaborate with CommerceHub, a platform that connects online retailers with suppliers. In this case, the company will be able to channel its products to smaller online stores (Angeles, 2009). There are various ethical issues to be considered before implementing the above e-commerce solutions. First, it is web tracking. In many cases, online businesses track visitors who are in their site through log files. This company will not track customers movement through any tracking software (Angeles, 2009). Additionally, the company will protect the privacy of online customers. The organizations payment system will not identify the identity of the buyers. Also, the company will not engage in disintermediation or reintermediation. This can be effected by not conducting value-added services such as consulting, and matching and providing information (Bocij, 2010). 1.6 Accounting Report Figure 6 Accounting Report The above accounting report is important since it provides an accounting statement. An income statement provides a detailed report of how much money was made or lost during a given period (Kwak, 2010). Additionally, the report provides the statement of retained earnings. This statement informs the management the amount of money that was reinvested in the company. The report also provides the balance sheet that lists all the assets, liabilities, and owners equity of the company (Kwak, 2010). 2. Conclusion This paper is a detailed business report of High Burry Suppliers (HBS). The company is not technological-advanced, lacks proper marketing strategies, and operates the same as it did when it was formed. The paper has begun by presenting a business information system proposal system for the company, and highlighted the systems that will be implemented. There are many benefits associated with this information system, and the paper has highlighted them. Also, the report has prepared a business strategy for the company based on Porters Value Chain Model. After preparation of the strategy, the report incorporated the Entity Relationship Diagram prepared using Ms. Access. A business process map was prepared based on this diagram. The report highlighted the companys social networking strategies that will be used by the business, and discussed the e-commerce solutions to be implemented. The reports also have an example of an accounting report for the company, and explained the importance of this report. 3. References Angeles, S. (2009). E-Commerce Solutions for Small Businesses. Business News Daily. Bocij, P. (2010). Business Information Systems: Technology, Development and Management for the E-business. New York: Financial Times/Prentice Hall. FASS, A. (2011). 7 Simple Social Media Moves That Work. Likeable founder Dave Kerpen personally responds to thousands of Tweets, emails, and messages every day. Crazy, or genius? Kwak, J. (2010). The Importance of Accounting. The Baseline Scenario. Plug IT. (2015). Business processes and business process management. Supplements for management information systems. Wigand, R. T. (2013). Introduction to Business Information Systems. 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