Riordan Manufacturing currently maintains four different locations that specialize in manufacturing and corporate operations. Each of the locations has continued to operate using the same business systems they had when they were acquired and folded into Riordan. This presents a challenge to the management at Riordan as they have a multitude of different systems to deal with when managing the operations. Not only do they have to worry about compatibility issues between the systems but they also have to worry about the costs associated with having these different systems that are each independent.
With that concern the company’s management has decided to request a solution to the problem and ask for a new integrated business system for the entire company. Service request SR-rm-012 has the following goals: “A summary of all the business systems that Riordan Manufacturing needs for effective management. ” (Riordan Manufacturing , 2007). Based on the request the business system needs to help make management and operations run better in all of their divisions which include: Finance and account, the customer facing Internet site, sales and marketing, human resources and the legal department.
Finance and Accounting Finance and Account at Riordan is one that has many issues that cause the company to lose money when tracking the money. Currently the systems in place at the four plants are all different systems based on the license that was acquired at the time for that facility. The system as it stands now has the glaring issue: “Some F & A data is provided to corporate via data files; some data is provided via hardcopy reports and must be re-entered; some data is provided via data files but must be converted (redirected) to the proper account codes and the list goes on” (Riordan, 2006).
Each of these systems contains the standard accounting, ledgers, payable accounts, reports, and histories. With each of these parts having to be entered once at one factory then re-entered at corporate costs the company hundreds of hours of time and money in redundant data entry. The solution to fix this is to replace all the different system with one integrated solution. The integrated solution Microsoft’s Dynamics Software solutions, the systems many features includes a dedicated Financial Accounting Suite. The Dynamics Financial suite allows the Finance and Accounting division of Riordan to go o one single location regardless of the factory location and use the same software. This suite allows the accountants in China to enter their plants information for costs, and profits and in real time transmit the data up to the corporate headquarters. It is then seamlessly integrated with the data from the other factory locations for management to be able to access a view. Once the data is entered into the system the Dynamic suite boosts another feature in which it provides automated financial controls that allows the company to reduce accounting costs, by allowing the software to manage, merge, and report the data as it comes in.
While providing an automated solution, the system also provides managers with complex financial planning and modeling based on historical data trends. This allows the accounting staff to more accurately forecast and project trends allowing them to adequately adjust financial resources ahead of time. Providing these solutions not only in their own software interface, but the Dynamic suite allows you to export all the data or selected data into spreadsheets to allow management with even more power to view the data.
In addition to providing a seamless solution for the accounting firm the system helps to reduce costs not only in the accounting department but also in the IT department. Microsoft’s Dynamic system allows gives the user the option to remove their existing data servers and centers and host all the data on Microsoft’s servers. The system not only reduces the cost for storing the accounting data but also helps to reduce the server costs associated with this data.
In addition to providing the accounting and finance department at Riordan with a integrated software suite that solves their current compatibility issues, this system can also be fully integrated with the other departments at Riordan. The Dynamic suite can pass the financial data to the other suites informing each division of issues, and also allows those departments to flag accounting with cost issues that might affect the books. Internet Site The internet, while such an important part of many companies and a contact point between them and their customers, does not appear to be so for Riordan Manufacturing.
Whether this is by intentional design, or an unintentional effect, the company has a very basic internet site and therefore internet presence. The site simply explains a little bit about the company, displays a picture of the home office and a few products, lists a few of the products that are manufactured at their facilities, and lists contact information. There is no kind of eCommerce system or interactivity elements in place. Major improvements could be made to the Riordan Manufacturing public internet site. For one, there should be more content.
The company bio should be more lengthy, possible contained on a separate page with the small brief remaining on the home page. Also, the plethora of products that the company is able to make should have a separate page, and should definitely be a point of gathering information by prospective customers that might wish to do some research without directly contacting the company first; on this page, some of the facilities or techniques, or even technologies, that the company uses could be touted (which would make for a great passive selling point for those merely interested in the company).
Also, the addition of some eCommerce elements should be considered. Whereas at the current moment, the internet site serves as a mere brochure, it could actually become a business system in itself. This could be done by adding an ordering system to which established customers could sign on and place orders. The orders could still go directly to the sales department, where they could be processed and/or a dialogue could be started with the customer over the order.
This is understandable considering that Riordan Manufacturing is a business to business manufacturer, however the addition of this ordering system would enter an ease of contact for the customer that would most likely bolster customer satisfaction. The design of the website overall could be enhanced. As the site stands, it is extremely basic, and says very little of the attention to detail and extreme precision that the company boasts about on their home page. While simplicity is a great idea for any internet site, extreme simplicity can make a company look simple and amateurish.
Again, Riordan Manufacturing is a company that is dedicated to precision, and this should show through on the website. The company should hire an outside company to design them a much more modern and precise looking website that would be attractive to both established and potential customers. For the fact that a company’s website is many times the first impression that they are able to make on a potential buyer, an attractive website would be a great way to bolster business in the long term.
Sales and Marketing Riordan Manufacturing has what can be best described as a fragmented business system when it comes to their sales and marketing department. While they have no true comprehensive system, they do have a system to track historical sales, along with separate customer files that are kept by their respective sales team member. As far as past marketing plans and research results, they are merely stored in a filing cabinet in the marketing department as reference materials.
Historically, the sales and marketing department has maintained pen and paper records, and more recently they have begun maintaining electronic records in various databases that are not consistently kept together or linked as a business system should be. Currently, Riordan Manufacturing is considering CRM software for their sales and marketing department. The information that they have available to be consolidated into such a software system includes the following: •Dates including order, delivery, and payment dates by order. Unit and dollar volume of each product including plastic bottles, fans, heart valves, medical stints, and custom plastic parts rolled up to be examined by product group and customer. •Sales by customer to include prices paid, cost, margin, and discount given. The purpose of bringing in CRM software is to offer the customer better value, and the company has been consolidating the aforementioned information in an effort to introduce such software. Bringing this information together and identifying the need for CRM software as an actual business system is a great first step for the company.
In the absence of a current business system that links the many departments of the company together, however, there is no real efficiency between departments. Instead of simply bringing in a standalone CRM suite for the sales and marketing department, the introduction of Microsoft Dynamics Software into the company would give them exactly what they are looking for in this department. Microsoft Dynamics CRM is a possible addition to Microsoft Dynamics (actually a standalone product that is a part of the greater product suite) that would deliver the CRM software that the company wants for the sales and marketing department.
Microsoft Dynamics CRM is multilingual, which would be of great interest to a company that could do business with a diverse clientele base, allowing them room to expand their sales into any country. This product focuses on sales, service, and marketing, and include great data import tools which could be particularly useful to the company. With Microsoft Dynamics CRM, the sales and marketing department of Riordan Manufacturing would have a true business system. This would definitely improve efficiency within the department, and would greatly benefit their customers.
However, the company also needs to link their disparate databases and make sure that all historical data becomes digitized into this greater database network. As it stands, other departments can not completely electronically interact with the records of the sales and marketing department, something that needs to be amended for the fact that sales and marketing really affect the entire department. Customer records should always be easily accessible to other departments, as should past sales and production orders.
Introducing Microsoft Dynamics into the company would definitely go a long ways towards correcting this problem of department record fragmentation within the company. Human Resources Upon review of the Human Resource departments, objectives are being proposed to update the business system for Riordan Manufacturing, with an emphasis on developing electronic commerce and internet technologies to reduce both time and costs: Human Resources at Riordan Manufacturing mainly rely on hard copy (paper) records for payroll, training, development and applicants for open positions, as well as harassment complaints and grievances within the company. nitial financial systems package and employee information (which is late entered into the system by an employment clerk), Needless to say, paper records are not only subject to possible security violations, and natural disaster as well (fire, flood, ect. ). Also, the companies HR system was installed in 1992. After seventeen years, we recommend a new faster system with a larger capacity to handle employee records that are currently on paper, to be stored on a system without any safety or security measure in place.
The recommend software is Microsoft Dynamics (HR) Human Resource will address many of these issues Microsoft Dynamics software offers an effective way of integrating, controlling and accessing employees personal information, pay rate, hire date, seniority date and vacation hours into general ledgers. This software allows Organizational information to increase Riordan Corporation HR department strategic capabilities. It is believed that these proposed changes will not only enable Riordan Corporation to speed up its services, but to cut cost as well in labor, legal costs, and increase worker/customer satisfaction.
Riordan Manufacturing’s Legal Department Summary Riordan manufacturing’s legal department currently consists of 2 people Lowell Bradford, Chief Legal Counsel and Rick Etheridge. Riordan also has a legal firm by the name of Litteral ; Finkel on retainer. Mr. Bradford oversees all legal aspects for the Riordan Manufacturing. Mr. Etheridge assists Mr. Bradford with patent application. Riordan Manufacturing has retained the services of the firm of Litteral ; Finkel to handle all litigations, employment law, customs regulations, tax issues, and real estate transactions.
Litteral ; Fiinkel make available a team of attorneys, paralegals, and clerks for any legal issues that may occur. Mr. Bradford closely supervises all transactions with the law firm and has given instructions that all correspondence with Litteral ; Finkel is to be directed to his office. Currently Riordan pays Litteral ; Finkel a monthly retainer fee, all charges that exceed the retainer are billed to Riordan at the end of the month and unused funds from the retainer are not carried to the next month. Comprehensive View
After a comprehensive review of the Legal department of Riordan Manufacturing Learning Team C found several areas in which we feel are not operating at an efficient level. Your Chief Legal Counsel is currently macro managing the work load of the legal department. Learning Team C feels that the legal department should be increased to 5 members. One legal counsel will oversee the internal legal affairs each of the Riordan facilities and retain Mr. Bradford as Chief Legal Counsel to act as Chief Legal Officer.
Currently all communication in the legal department is siphoned through Mr. Bradford’s office, Learning Team C recommends that through the use of Microsoft Dynamics ERP all legal correspondence can be accessed in the system and monitored by any authorized workstation or laptop connected to the system without the rest of the Legal department waiting for all work to come from Mr. Bradford’s office. Lastly Learning Team C reviewed the arrangement that Riordan has with Litteral ; Finkel. Learning Team C feels that the retainer agreement should be adjusted to a retainer trust account.
A retainer trust account will allow any unused funds for the month to set into a trust to be used for any exceeding charges to the Riordan account. Expected Results/ Impact When Completed Learning Team C believes that if the aforementioned changes are implemented by Riordan manufacturing, the legal department will operate with optimized efficiency. All correspondence and communication within the legal department will be accessible system wide to anyone with the correct security authorization.
The legal department work load will be accessible system wide in real-time and full collaborative. By changing the Retainer Agreement with Litteral ; Finkel to a retainer trust account Riordan Manufacturing will take the funds that were not being utilized by the end of the month and investing it into a trust that will in the long term save Riordan money. Saving Riordan money and also increasing their productivity is the goal of the service request and with the changes that have been suggested to their current business systems.
Riordan should be able to save money during their day to day operations, by just upgrading to an all in one software suite. The Microsoft Dynamics software suite allows for greater flexibility for the company, by providing the company with solutions for each department. These individual department solutions are able to be integrated with each other to give the company a global solution that merges all the data together and feeds that data to each department.
In the future if any other plants or division are acquired by Riordan the software can be upgraded and expanded to merge these new entities into the existing business system. This allows for cost effective solution instead of having to redo the systems throughout the company to allow the new entities to work with the system. In addition to providing the onsite software solutions Microsoft’s Dynamic suite allows companies to store the data on site, at a third party data center or at Microsoft’s, this will allow future flexibility for Riordan if they need to cut additional costs by not housing data servers.