Resources for Implementing the Recommendations
In order to implement every recommendation, there are various resources needed. The first recommendation entails seeking access to finances pertinent for effective operation of Chong Wholesale. Significant source of such finances include banks and credit/financial institutions. In that light, an important resource is the sales record that the company will use to secure loans from different financial institutions. With such sales record, financial institutions can fully assess the monetary status of the firm, and thus, be better placed to make a decision of either or not credit will be granted.
The other necessary recommendation for Chong Wholesale is a change in leadership; hence there is the need to search for experts to fill the management positions. In this juncture, the resource required to accept the recommendation according to which people will introduce new and appropriate leadership styles. Such people are experts and they include a sales manager who will be charged with venturing into the online market. Besides, a CEO will be pertinent, and together with the sales managers, there will be the formation of a strong and powerful coalition. Considering the leadership support for changes by applying Kotter’s 8 Step Model, Chong Wholesale will benefit from goal-oriented leadership and management.
In attaining the CRM integration recommendation, the company will need specific human, capital and physical resources. Firstly, IT experts (website developers) will be hired on a part time basis to develop the company website. Other than developing the website, the new employees will be involved in routine maintenance and training other non-IT experts on operating the website. Secondly, bank financing will be necessary for purchase of various computers and other facilitating equipment. Another significant resource in this situation is CRM software that will be incorporated into the newly created company website, and in so doing, it will become efficient for such departments as customer service, sales, and marketing understand what their customers need, particularly in the wake of online markets. Since the software captures important customer information, the company will benefit by providing whatever goods and services are demanded by their target customers.
|Actions||Start Date||End Date||Resources/Cost||Duration Needed|
|Identify Marketing/Sales Manager||Sales managers, Company CEO|
|Meeting with clients to discuss needs||Company clients|
|Meet with I.T. Consultants to Design Website||07/15/2017||07/28/2017||IT experts (website developers), Initial website consulting cost $1500||14 Days|
|Purchase CRM Software from Sales force
Provide I.T. employee
$2000/ year subscription from salesforce.com
|Demonstrate Website to existing clients (Beta Launch)||07/28/2017||07/30/2017||Training to owners and new part time employee
|Launch Website and Integrate with CRM||07/31/2017||07/31/2017||Website developers,
CRM software experts
|Purchase Printing Machine||08/01/2017||08/01/2017||$3000||1 Day|
Long-term Organizational Impacts
By implementing the recommendations as mentioned earlier over the next five years, Chong Wholesale can expect organic growth in revenue from online sourced sales. The long-term outlook for revenue will be sustainable if Chong Wholesale is better placed to implement the financial management changes. When comparing the costs associated with the new printing machine, Chong Wholesale can expect a return on investment that will increase its revenue. It is expected that the business can regain its investment costs of the printing machine within five months.
The goal of the business over the next fiscal year is to establish a sustainable revenue stream from online orders and see an increase in new orders from individuals. By implementing the recommendations, Chong Whole can expect to bring approximately $150,000 in new revenue.
One of the major challenges identified at Chong Wholesale is ineffective leadership as it has been earlier noted, Mr. Park (as the sole proprietor) makes unilateral company decisions. Even though this is the case with such kinds of business entities, there is the need to seek advice from experts in various fields such as finance, marketing, and also leadership. Due to face-to-face delivery of goods, the company fails to reach out to the online market which is growing at a considerably higher rate in the modern world.
Therefore, by adopting a change management process, Chong Wholesale can see improvements in relationships with its customers, improvements in completing its objectives and long term sustainable growth in the business. There is the need to note that customers feel content and remain loyal to companies that take heed to claims, concerns and also demands.
Information Technology Management Impacts
By creating a company website with full CRM integration, Chong Wholesale can shift their marketing efforts online to allow a greater reach for new customers and new markets.
By creating their own website, Chong Wholesale allows existing customers to place and track orders for their products. Chong Wholesale had to hire a temporary full-time employee whose responsibility is to create the website and integrate the website with the company’s new CRM management system. These new employees will be kept on as part time employees after the implantation process to manage the website. This new employee will work 8 hours a week to conduct routine maintenance or training for the website.
It is pertinent to note that by venturing into a new market i.e. online market, Chong Wholesale will require more experienced employees ranging from sales managers, IT experts, record keepers, and finance managers. Therefore, the operating costs of the company will as well increase, but after a full cost benefit analysis, the company will not only break-even but also realize more profits.
Benefits of CRM
By incorporating a CRM system, this will allow Chong Wholesale the ability to place orders, customers inquiries and customer data in the cloud and assist the company’s marketing and operations effectors. A CRM system will bring the following benefits for the company
1. Increased sales as it allow Chong Whole to follow quality leads and identify key customer prospects. CRM software allows Chong Wholesale to identify its most valuable customers and personalized communication to increase conversion and engagement with its customers.
2. CRM will allow reliable and fast decision to make adjustments to the company’s operations when it places orders. CRM allows the company to allocate resources for effective and timely delivery of every order.
3.CRM allows managers to conduct business mobility and increased the productivity of the owners and sales mangers in the field. CRM users can access customer data on the field and assist customer to follow up with their orders or place orders via the cloud.
Client Time Log
|06/01/2017||25 Minutes||In Person||Initial meeting with client gain approval for project and participation||Client Verification Forms|
|06/03/2017||30 Minutes||Phone||Discussed the major problem with business and created a problem statement. Discuss future timeline||Obtained signed client verification form with final problem statement|
|06/05/2017||In Person||Meet in person to discuss specific challenges to problem statement and meet with employees||Prepare for observations|
|06/10/2017||1 Day||In Person||Sit in with owner and observed a “day on the life”||Note all findings and create recommendations in next meeting|
|06/20/2017||1 Hour||In Person||Discussed findings/recommendations to problem statement||Follow Up with implantation plan report|
|07/01/2017||2 Hours||In Person||Create implemented plan for recommendations||Set up owner with new partners to build website/CRM|
|07/14/2017||1 Hour||In Person||2 week follow up||Follow up with any problems after plan is implemented|