Business Strategy BPM Distribution Company - Coursework Example

BPM Distribution Company The world is slowly advancing in terms of technology hence a paradigm shift in the manner which people view things. This paper encapsulates this aspect giving way to a suitable business strategy for BPM Co. that is slowly losing grip of a market they once commanded. It further sheds light on an Information System (IS) strategy that could support the above-mentioned business strategy with regard to what part of the company was most affected and the preferable solution it offers. Moreover, this paper tackles the kind Information Technology (IT) strategy put in place to work together with the IS to ensure success of the business. This is with regard to the kind of hardware, networking and software infrastructure to be put in place to realise this. Introduction BPM is a company that has built its base and reputation over time hence the large customer base. However, the company is slowly losing touch with the market as a result of several factors one of them being out-dated businesses plan that has failed to stand the test of time. Therefore, there is need for a comprehensive business strategy if the company is to claim its spot back in the market. James, Q (1980) defines business strategy as the plan or pattern that incorporates an organisation’s main goals, series of actions as well as policies into a unit. He further states that a strategy that is well formulated helps an organisation take record and allocate its resources in a unique and coherent manner with regard to its internal competencies and failures, projections of change in its environment and calculated moves by its worthy opponents. The first stage needs one to fully understand themselves as individuals and their environment. This made possible by: A. Analysing the context and the environment. 1. Analysing your organisation One needs to examine their strengths and ability as well as liabilities and weaknesses. A good strategy maximises on an organisations strengths without exposing their shortcomings. BPM has strengths in distribution and penetration of the market while dotted with weaknesses of using old obsolete systems in marketing and distribution. These core competencies will help the organisation cut itself from the rest in the market. 2. Analysing ones environment This is with regard to the changes in the environment and a projection into its future direction. However, there are exciting opportunities in Germany for BPM as online sales of vinyl and CDs is yet to be exploited. 3. One needs to analyse their customers and stakeholders A strategy stipulates the manner in which having in mind that wining narrows down to customer satisfaction and putting a smile to the faces of the shareholders. 4. Analyse one’s competitors This puts emphasis on how one’s company products and services are faring o in the market relative to those of their competitors. A good study of the competitors is important so as to know which areas to develop on. B. Identifying strategic options This involves analysing the opportunities and the threats available in the market and coming up with ways in which these threats can be turned into opportunities. C. Evaluation and selection of options This is the final stage in the development of a business strategy. After an assessment of all factors, one is therefore needed to have the best option/ solution for the market problems. These options should have the ability to withstand all the projected market threats. Therefore, BPM Co. incorporating all the above-mentioned factors need to put measures in place to take care of its dwindling sales. The company needs to grow and diversify the products which they deal in (new businesses assets and new products) while still branding themselves with their original products (vinyl records and CDs). This will mean that they challenge their rivals in the market as they would have an edge over them. However, they need to accomplish this without copying but rather borrowing ideas from their competitors. Hence, their branding and packaging as well as incorporation of a few extra features to their products will perform the trick. The company needs to not only sell independently owned record stores but to record stores owned by companies and partnerships. Also, their approach to the market should be broad incorporating the web based shops and companies offering music download services lest they are outdone in the market. BPM ought to carry out frequent analysis of the market so as to note the changes in the digital music distribution and develop an inventory planning system (competitive intelligence, CI). This enables a company keep up with future changes in the market system, assess the moves of competitors and future market prospects. Hence, the company is always anticipating for a move and never caught unaware. What is an Information System, IS? This is a collection of people and computers that process data and synthesise and interpreting information. They process, store and relay information to help in decision making, linking, visualisation, control and analysis in a company. Moreover, it helps the management and the employees analyse problems, have a vision of problems that rather were complex as well as aiding I the creation of new products. The term at times is adopted for soft wares that aid in running computerises databases. The use of IS varies with regard to the sector that the system covers. However, the sole purpose of systems is offer support to operations and decision making in an organization. Moreover, IS play a role in the storage of the organisation’s data as well facilitates in the overall management of the company. Their main advantage is that they streamline most of the processes like planning and arrangement in a company’s database. Just like any other system, a good Information system will require one to key in commands which will be processed via calculations and reports with the help of technological devices as computers and a result obtained which can be sent to other users/ systems via networks. Therefore a good information system is that which interacts with the customers and the organisation employees cutting down on costs but rather raising revenues. BPM should come up with the following information systems. a) Transaction processing systems These systems get data in form of user inputs generating an output from the processed information. This will ensure that a customer does not place an order severally for the same product. b) Customer relationship management systems This system synchronises individual efforts of sales and marketing personnel to give a credible output to the business owner (s). It also helps with easier tracking of the trends on sales, customer feedbacks and resolution of problems. This would therefore mean the business partners (the owner and the customer) have a better platform for interacting. c) Business intelligence systems These systems can sometimes prove to be complex as they assist in identification, extraction and analysing of data for a range needs more so those pertaining to making critical decisions in the organisation. It has the ability to analyse data per department hence core projection of future trends in sales. d) Knowledge management system This helps in classification of knowledge and later disseminating it to the relevant person in the organisation. The importance of this is that it ensures innovation, better performance, helps in integration and ensuring that the information is secured hence does not leave the confines of the organization. The internet is an important aspect for the realisation of the above-mentioned systems. However, the users, Network Access Providers and the services offered mutually depend on each other. The figure below is an illustration of this. This would involve networking hardware, networking software and network services. Networking hardware i. Routers ii. LAN cards iii. Cables iv. Wireless routers v. Cables vi. Switches Networking software i. Firewall ii. Network operations and management iii. Network security applications iv. Operating systems Network services i. Wireless protocols ii. Satellite iii. IP addressing iv. DSL v. T-1 line Conclusion If the management would take the discussed factors into consideration then the company will definitely shake off the dust and rise to claim its position of the helm. This will ensure that the customer needs are met hence satisfaction. Moreover, these will position the company uniquely such that they will have the ability to control the market prices hence realising margins from the sale of their products. Bibliography: BOCIJ, P., GREASLEY, A., & HICKIE, S. (2008). Business information systems: technology, development and management for the e-business. Harlow, Financial Times Prentice Hall. SCHMID, B., STANOEVSKA-SLABEVA, K., & TSCHAMMER, V. (2001). Towards the E-society E-commerce, E-business, and E-government : the first IFIP conference on E-commerce, E-business, and E-government (I3E 2001), October 3-5, 2001, Zürich, Switzerland. Boston, Kluwer Academic Publishers. JOHN, R., & ALLEN, M. (1998). Global business strategy. London [u.a.], Thomson. VIDGEN, R., AVISON, D., & WOOD, B. (2002). Developing Web Information Systems From Strategy to Implementation. Burlington, Elsevier. http://www.123library.org/book_details/?id=36005. OZ, E. (2009). Management information systems. Boston, Mass, Thomson/Course Technology. Boston, Mass. : Thomson/Course Technology Read More