Information Analysis of Organization Systems - Case Study Example

Information Analysis of Organization Systems Problem ment Jalupa Musical Instruments Company is experiencing continued decline of the sale of guitars in the last five years since its target market, rock & roll generation is gradually aging out of the market. The decrease in the company’s target market that includes baby boomers leads to the reduced sales turnover of guitars.ShortcomingsThe company is new in online commerce and hence encounters barriers to entry and is uncertain on its target market.

Most of the company’s traditional customers and conservative advertisers may not be willing to interact with the company on an online platform thus jeopardizing its current market presence. The reliance on $50 million loan with annual $10 million balloon payments is an irrational economic base of trying to solve the business problem. The huge debt will limit the company’s growth for five years. Moreover, the JalupaBook project limits the company’s growth by limiting the funding for other prioritized and more beneficial initiatives like manufacturing plant modernization.

Ultimately, the organization system relies on an IT department with inexperienced, junior, incompetent staff to design and implement JalupaBook project.Interview Questions and Interview AnswersHow has modern technology affected your business?Modern technology has influenced the company into producing advanced guitars, amplifiers, and guitar-related accessories that address growing needs in the music industry.What is the scope of your business?Jalupa manufactures guitars, amplifiers, and guitar-related accessories that address various musical needs.

What caused Jalupa to decide on changing its organization systems?The organization systems could not guarantee a suitable market presence and failed to contain the continued decline of the sale of guitars in the last five years. The company decided to change its organization systems to establish a new market that resonates with the modern musical industry.Is now the best time to change your organization systems?Yes. The company’s competitors are yet to utilize the integrated ecommerce component that promises immense market returns.

The company must establish another market to survive. The proposed organization systems correlate with the modern global trends that embrace social media as a business medium.How is JalupaBook project customer oriented?The project seeks to attract potential new customers through social media activities and connections with prominent guitar players. The project aims at enabling customers to interact through social media and establish a new generation of musicians.What potential constraints will hinder the implementation and success of JalupaBook project?

The company encounters barriers to entry since it is new in online commerce. The company might lose its traditional customers and conservative advertisers who may not prefer online interactions. The huge imminent debt for implementing the project is not feasible. Moreover, the inexperienced and incompetent IT department will jeopardize the project.What financial drivers motivated Jalupa to implement JalupaBook project?The company’s gross margins on guitars and guitar amplifiers stand at 42% that supports the project.

The company enjoys the highest net margins in the industry with a convincing average operating expense of 22% of sales. The JalupaBook project will allow the company to keep the entire net margin.What necessitated the company to rely on the services of Dave D?The company values professionalism. Dave D draws a lot of respect and has great political connections. He is a professional marketer of musical instruments and a legendary rock & roll member. Dave D also makes accurate sales forecasts that would define the success of the project.

Business Rules and Business Requirements That Foster a Logical Process and Data DesignBusiness RulesAll products must depict professionalism and relate to modern market trends.All online orders must support HTTPSThe IT department must have staff with technical expertise to build and deploy JalupaBook project.The new organization system must retain traditional customers and conservative advertisers.The company prioritizes manufacturing plant modernization.The company must keep the entire net margin.

Business RequirementsThe JalupaBook initiative must eliminate the dealer network.Jalupa must use modern technologies to manufacture their products.Jalupa must train and recruit an IT department with experienced and competent staff.The company must source more money for the project.Customers and advertisers must have access to the internet and be computer literate.