Case Studies Flashcards

1
Q

Which of the five components of an IS was the reason for the failure of Cartao 21 of the opening day?

A
  • the Cartao 21 case is a typical example of the saying “you can buy IT, but you can’t buy an IS”.
  • in practice, all 5 components failed at the inauguration, the reason for this was mainly due to people and procedures, because:
    • no successful final test had been run, due to the inexperience in project management of both parties as well as other factors surrounding the construction of the stadium
    • the activation of the cards had not been done, and also they had arrived late at the designated kiosks
    • the bar staff had not been trained to accept cash, nor had there been a plan B to switch back to
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2
Q

Which supplier should Casa XXI choose now? What risks are related to each of the five components?

A
  • with the original supplier Maeg, there had been organisational and technical problems affecting all 5 components of the IS.
  • in light of the search for a solution, various risks remained:
    • hardware: risk of getting installed hardware to work (Processos Creativos) vs cost and time for new hardware (SVDI: real-time reservation systems; Restinfor: Aquapads)
    • software: risk of getting existing software adapted to work (PC) vs. cost and time for new software (SVDI: development based on experience w/ similar projects; Restinfor: Oracle high speed DB license costs)
    • data: large restaurant menu decreased bar speed, …
    • procedures: getting the time it takes to fulfil an order down significantly and guaranteeing smooth operations
    • people: having experience project management and training staff to handle all possible scenarios
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3
Q

Do IT project failures happen frequently & for which reasons mostly (with regard to 5 component framework)?

A

Yes, they do, mostly because of short-comings in the are of people and procedures: “you can buy IT but you can’t buy an IS!”

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4
Q

What are the components of UPS’ Package Flow System and how does it work?

A

PFS: Using information to determine the most efficient route for packages (1) Optimal routes (2) Online correction
Components of PFS:
- Hardware = 94,500 vehicles e.g. planes and vans
- Software = Detailed software e.g. PAL system for JIS
- Data = sent and stored in Mahway, NJ data centre.
- Procedures = extensive driver training, outsource to SAP etc.
- People = delivery drivers, senior officials, Davidson and Olsen.
Results in 2008:
- 30 million miles (48 million kms) less
- 11.4 million litres of fuel saved
- 30,000 less metric tonnes of CO2
Benefits:
- Social, Environmental, Financial Benefits

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5
Q

What are the different kinds of data that UPS captures through its systems? And how does that provide them with better insights?

A
  1. Better Package Reception
    Labeling cargo with PLD (Package level detail)
    Transfer to DC
  2. More Efficient Distribution Centres (DC)
    Sorting facility
    Routing trucks – DPS (Dispatching Planning System)
    Loading truck guide – PAL
  3. Improved Delivery & Distribution
    Online tracking and guide to driver with DIAD (Delivery Information Acquisition Device)
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6
Q

Who are the different stakeholders involved with the implementation and use of UPS’ telematics-based project? How did UPS ensure stakeholder buy-in?

A
Stakeholders:
-Senior Management
-Front line workers e.g. mechanics 
-Delivery Drivers
-Customers 
Stakeholder Buy-In:
-Mass training, education and how it is beneficial for all parties
-Most difficult was for drivers as they didn't like the idea of being constantly monitored
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7
Q

Is Tesco’s traditional business suitable for e-commerce? why or why not?

A

No, because:

  • shopping for groceries is an emotional activity: customers want to touch and evaluate products in person, esp. perishable goods
  • high distribution costs for bulky & perishable goods: tesco can’t rely on existing shipping companies, but had to build its own fleet/service
  • groceries is a low-margin business with intense cost pressure: no time for costly experiments!

also:
- they could not profit from traditional e-retailing benefits like the long-tail phenomenon, because of the perishable nature of most goods

case in point:
- many pure players had failed, as they could not get demand to scale up, e.g. Webvan.com

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8
Q

How did Tesco address each of the five components to implement its e-retailing plan? Which component was the greatest challenge?

A

hardware: webservers, picking trolleys w/ wireless computers that navigate pickers through the store efficiently and allow for easy order processing, loyalty cards that integrate online and offline shopping experience, delivery fleet
software: easy-to-use website with lots of connection possibilities and personalised shopping experience, efficient user interface of picking trolleys, algorithms for picking sequence
data: client information, club card info, inventory availability, prices synchronised on- and offline -> ultimate online/offline integration in one central database

procedures:
1. ordering by the client: channel/ products/ notes/ payment)
2. fulfilment by Tesco: picking, avoiding congestion and having inventory for offline shoppers/ backroom stacking with little space/ delivery on time
- -> this was the greatest challenge!

people: shoppers (reluctant to change), store owners (align interests with Tesco.com), Tesco.com CEO (very involved sponsor), pickers and deliverers (efficient and polite, client relationships!)

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9
Q

What channel conflicts were present in Tesco’s case? How did the smoothen & manage these conflicts?

A
  • Store owners’ interests had to be aligned with Tesco.com business, since their shops were used to fulfil online orders.
  • this was achieved by attributing online sales to their shop’s square meters, increasing their performance on the KPI $/sqm! (and also accurately dividing costs between online & offline business)
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10
Q

How did Tesco manage to evolve its e-retailing business alongside its traditional business? Is Tesco prepared for the future with its e-business strategy?

A
  • they started with a model based on their existing infrastructure, which was key: they evolved their business over time (low risk)
  • they proactively addressed possible channel conflicts and allocated revenues and costs accurately
  • they designed a customised and simple experience for online shoppers
  • they leveraged data from both channels to better their business
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11
Q

Does industry make a difference in terms of e-business strategy?

A

Yes, for several reasons:

  • industry specificity with regard to which e-retailing benefits can be exploited (minimal menu, shelf cost, long-tail etc.)
  • consumer preferences for how to experience specific goods
  • goods characteristics (high / low involvement, perishable, high service, complex / intuitive goods, new vs. known goods…)
  • capital intensity

etc. (make something up)

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