Schmidtco Case Study

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Define the Problem: Describe the type of case and what problem(s) or issue(s) should be the focus for your analysis. SchmidtCo, was a family owned, Philadelphia based firm in the business of import and distribution of Automobile replacement parts. It had Annual turn-over of $40Million. It distributed 10,000 SKU of different items having 20 million pieces of shipment in a year. The company had 90 employees distributed in three warehouses. The volume and complexity of its operation made its information system backbone of the operation. SchmidtCo had decided to replace its 18 year old information system infrastructure with state-of-art one. But its project to convert the information system of his auto parts distribution business is in real…show more content…
List any outside concepts that can be applied: Write down any principles, frameworks or theories that can be applied to this case ➢ Urgent need for modern information system: current system is old and obsolete, inadequate and inefficient for current operation and business need. In the meantime, SchmidtCo had increased their volume of inventory and complexity of distribution. They were already late in their decision to upgrade the information system. There was an urgent need for quick modernization of current information system and complete the conversion project as soon as possible. ➢ Delay and budget over run in conversion project: They were already late in this project by three months and were $50,000 over budget as the quality of operations were far below the company 's standards. ➢ Business risk: Further delay and failure to system upgrade may jeopardize its business operation and drive them out of the business as it was the case of one of its…show more content…
He may set up a supervisory team headed by him and comprising Implementation team members, lead from DTech consultants and VP sales of DTech. Run the project in task force mode with stricter task deadlines and monitoring the project everyday basis. John also needs to spend required time for the project. If he cannot do so for valid reason, he should hand over the realm to David. He may explain DTech the win-win situation involved here. Failure of the project would cost SchmidtCo as well DTech as they were new player in the US market. Success of the project would boost their credibility in the US market and act as a reference for DTech’s potential customers ( PM Schmidt
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