cis smith collectables consulting project

7/30/2019 CIS Smith Collectables Consulting Project

1/23

SmithCollectibles Business Proposal 1

Smith Collectibles Business Proposal

By Jessica Short

July 25, 2012

Course CIS250

Table of Contents:


2/23


Executive Summary Page 3

Introduction

IT Mission Statement Page 4

IT Vision Statement Page 4

IT Strategic Goals Page 4

Recommendations

Implementation of Information Systems Page 5

Database and Data Process Design Page 6

Integration of a Network Page 9

Operation with E-Commerce Opportunities Online Page 11

Supply Chain Mechanisms Page 13

Integration of Wireless Technology Page 14

Implementation of Function Area IS Page 15

Utilizing IS to Stimulate Customer Interaction Page 16

Managerial Support Systems Page 18

Barriers and IS Obstacle Solutions Page 18

Acquiring the New IT Department Page 22

Closing Page 23

References Page 24


3/23


Executive Summary

If conducted properly the new innovation aspects of the business process for Smith

Collectables will lead to distinct advantages over competing business organizations; business

process management is an effect response for Smith Collectables to invest time and monetary

funding into as it will succeed in improving every level of the business process increasing

variable output while reducing cost, as well as emphasizing the tools that improve profitability

which is the overall goal of business. The transition to electronic commerce will open a variety

of unique opportunities for Smith Collectibles. To begin, Smith Collectables should utilize its

preexisting Information technology architecture. This will mark company assets at a current

evaluation and map out the operations for integration into the new system. The information

technology infrastructure should also be noted in advance. Which IT components are going to

benefit Smith Collectables in its new transition; what hardware, software, or communication

resources can already fit into the new system? Which ones will need to be revamped all together?

These questions are what information systems consulting for Smith Collectibles will develop to

fit into the new transition. The platform used should be the internet as it allows for globalization

and the new transition into electronic business commerce. Electronic commerce operations will

provide many opportunities to further expand Smith Collectibles. Forms of advertising such as

online banners, permission marketing, and viral marketing through social media will be both cost

effective and quick to implement. Electronic payments such as electronic credit cards, electronic

cash, and electronic wallets will become faster ways to carry out transaction functions, while

encryption of such payments still provides the extra security clients will want to have while

selecting products online. Wireless technology will be utilized to further these opportunities by


4/23


the means of microbrowser technology, smartphones, and Wi-Fi in physical buildings. Finally,

with all of the new technology options, strategies to combat obstacles will be addressed.

IT Mission Statement:

The mission is to provide the building blocks and foundation for Smith Collectibles

through an extensive integration evaluation of technical solutions. Smith Collectibles should be

able to carry out business procedures with less manual labor as well as see an increase in

profitability for current employees, future employees, and stakeholders while upholding the

value, quality, and excellence in customer relationships.

IT Vision Statement:

Information Technology will run as an integrated department within Smith Collectibles.

The IT department will promote excellence in technological advances to prepare Smith

Collectibles to expand to electronic business over the World Wide Web while also consolidating

manual labor tasks and inducing it to become cohesive system of outstanding records and future

projections.

IT Strategic Goals:

Creation of customized information technology department for Smith Collectibles.

Promote simplified tasks that reduce the current manual-affiliated labor stream for Smith

Collectibles.

Identify IT resources that will transition Smith Collectibles to electronic commerce over

the World Wide Web.


5/23


Recommendation of appropriate information technology procedures that will set Smith

Collectibles competitive.

Implementation of Information Systems

Smith Collectibles should begin with the implementation of Information Systems to begin

this transition. There are several recommendations that already will need to be taken into

consideration based on the uniqueness of Smith Collectibles current bricks and mortars set-up

and then adjusted to revamp into a clicks and mortars organization. In an overview discussed

further through this proposal, this organization can be summed up right now. Smith Collectibles

should have IT architecture and an IT infrastructure which should incorporate a computer-based

information system. The organization should have an enterprise resource system ERS to correct

and enhance communication in functional IS with a common database. A common benefit is the

ability for enterprise resource systems to increase productivity within the organization. (Choose

Oracle or SAP) A transactional processing system should be incorporated if one does not already

exist, which will serve as the key for business transactions of Smith Collectables for the

monitoring, collection, storage, and processing aspects. TPS systems are integrated to produce

real-time results, so data that is generated from business transactions of Smith Collectables will

automatically be included in corporate databases. Interorganizational information systems are

another beneficial information system. They can connect multiple business organizations, this

would be beneficial in conducting supply chain operations. Electronic commerce system are vital

to Smith Collectables as the integration of this system in specific would allow Smith Collectables

to conduct business-to-business commerce and business-to-consumers commerce transactions.

Finally, strategic information systems should exist; Smith Collectables should incorporate its

competitive strategy into this system to reduce competitive disadvantages while increasing


6/23


competitive advantages. Applying Porters competitive forces model directly to Smith

Collectibles would assist in completing a competitive strategy. Cost leadership strategy, Smith

Collectibles must be competitive with pricing, as one of the lowest cost systems in the industry

of airplane collectibles. Differentiation strategy, there needs to be something that helps Smith

Collectibles stand out from other collectibles companies in the industry; this also ties into the

innovation strategy, Smith Collectibles needs to introduce new collectibles and add additional

features to already existing collectibles. The operational effectiveness strategy for Smith

Collectibles should work in a sense that it is outdoing its competition; this can include better

quality, more productivity, and better customer satisfaction. Finally, the customer orientation

strategy would be applied to establish a one-to-one relationship with each customer.

Database and Data Process Design

Smith Collectibles should follow the data life cycle which would provide the

capability to collect, store, and apply knowledge accrued into strategic way to efficiently

manage how business decisions are made and how to generate knowledge back into the

system. A database should be utilized to prevent common problems such as repetition of

data, data isolation, and inconsistency between copies of data. A data model should be the

starting base for building a database for Smith Collectibles; entities specific to Smith

Collectibles should contain client names, products, product numbers, and associated

locations. Attributes to each entity should provide insight on employee numbers, client

names, and characteristics of each product processed such as product color, size, and

weight. To identify records for routine updates, changes in information, and having the

ability to retrieve and sort, Smith Collectibles should use a primary key and a secondary

key as identification fields. Primary keys in Smith Collectibles could reflect client case


7/23


numbers, which would be each purchase or return that is processed would have a seven

letter-number digit code, (three letters, four numbers) unique to each transaction in a

sense that no two case numbers would be the exact same. As for products, each product

number should be used. A secondary key should be used to track product information,

such as an additional filter for searching through the database; it would be advisable to

have the secondary key be key attributes of the product, such as product color. This

system will act as a time buffer in a sense that employees will be able to quickly and

accurately track information and transactions. The database should also equip the ability

to sort out transactions by year and month they were accrued.

To start the creation of said database, an entity-relationship diagram should be

utilized. The degree of relationship between entities as they are created would provide

another buffer with ensuring information can be tracked down efficiently. Smith

Collectibles will have many one-to-one relationships with clients, one-to-many

relationships with other companies, and many-to-many relationships based on location.

This will ensure that the company consistently has all data information available through

each transaction. Smith Collectibles should then equip a database management system

that will provide the reins for data additions, deleting data, accessing data, and analyzing

data through the query and reporting application tools. The most beneficial one for Smith

Collectibles would be the relational database model that is programmed with structure

query language capabilities. A data dictionary should be used to prevent redundancy

within the organization's IT system. The ideal database set-up would consist of several

different entitles: orders, unit amount, product number, description of said product, the

supplier's name, the address of said supplier, the date in which supplies were ordered, the


8/23


delivery date of ordered supplies, the associated order number, the customer

identification number, the customer's name, the customer's addresses, the date in which

the customer placed the order, and the delivery date of said customer order. Additionally,

there should be a database on employees for Smith Collectibles that would include the

employee, their social security number, badge identification number, date they were

employed, position title, benefits, and if they were terminated an associated date.

Smith Collectibles is just starting their information technology department and

should have a data mart over a data warehouse. Data marts are more cost-effective and

would still be able to hold the amount of information necessary, as well as have a much

faster completion date, which would be important to Smith Collectibles if they are

transitioning to electronic business in a shorter amount of time. Data marts take

approximately ninety days or less to build, and typically cost less than $100,000, while

data warehouses can be upward to $1 million. Finally, they are easier for a company with

little to no information technology experience to navigate and learn to use. Master data

management should be the identified process for Smith Collectibles to use for

implementing formal processes and policies and putting them into motion. Master data

management would provide the ability to future maintain and exchange stored data.

Knowledge management should be employed by Smith Collectibles to function

with creation, capturing, refining, storing, managing, and disseminating knowledge.

Explicit knowledge such as policies and procedures can be used through this system; it is

vital to remember that when transitioning to electronic commerce, much of which

knowledge will be used will be explicit. Tacit knowledge would be difficult to utilize in

such systems due to the fact that much of it cannot be written down, and must be acquired


9/23


through experience; this would be majority of the in-person customer contact, therefore

not pertaining to the IT system. Overall, databases are a critical part of the information

technology department for Smith Collectibles.

Integration of a Network

Smith Collectibles will need to integrate a network as they move towards operating with

electronic business. At their home office Smith Collectibles should utilize a wireless local area

network and then route it to the Internet which is a wide area network. A cluster area network

could also be an additional network to be considered. Smith Collectibles should have either an

intranet or an extranet, or even both. An intranet would provide exclusive and secure

collaboration while increasing employee work effectiveness. An extranet would provide the

ability for Smith Collectibles to be further connected to its clientele base and competition

because it would allow the usage of the Internet for employees to use. Essentially, an extranet is

really an intranet that just has the addition to function with the World Wide Web; therefore it

would be beneficial to keep consideration open to an even having both. Extranets can also be set

to permission levels that would allow authorized individuals to access the Internet, and access

levels therefore could be set to enforce productivity.

There are several considerations Smith Collectibles should take into account while

planning to start and maintain and Internet presence. Smith Collectibles could utilize an

Enterprise portal on the Internet to then be able to have the ability to separate external

information resources such as external web addresses, external site content, and external

services and internal information resources such as collaboration units, organizational

documents and browser-based applications, and data storage. This is a beneficial form of


10/23


11/23


have a service-oriented architecture which would allow for business applications to be

made using web services. These additions would only make Smith Collectibles even

more competitive.

Operations with E-Commerce Opportunities Online

Smith Collectibles will utilize e-Business and e-commerce as one of many competitive

advantages. By transitioning to a clicks-and-mortar organization, Smith Collectibles opens many

opportunities for creating the ideal business strategy. Smith Collectibles will be able to provide

business-to-consumer and business-to-business commerce. Smith Collectibles also has the option

to include business-to-employee commerce where employees can manage their allotted benefits

as well as set up a discount for any employee enrichment such as training certifications or

reduced pricing of products.

To make the best usage of these electronic commerce opportunities, Smith Collectibles

should prioritize the ability to have as many different options for consumers to buy as possible; it

would be advisable to include an electronic product catalog and promote an electronic storefront

over an electronic mall position to distinguish a more individual stance form other collectibles

companies. The most prominent electronic commerce model to build off of would be online

direct marketing digital as a sell-side marketplace model, which is the typical sale of products

and services directly from the business or manufacturer right to clients. This model also

encompasses the ability for product customization. The highlighted benefit of e-Commerce

include a reduction in associated selling costs which can be anywhere between 20-40 percent.

Although there are many benefits that electronic commerce provides, Smith Collectibles

should be aware of technological limitations such as security standards, bandwidth amounts,


12/23


channel conflict with distributors, order fulfillment, and the expensive costs associated with e-

Commerce. However, as technology progresses, e-Commerce limitations will be lessened or

completely solved.

To be the most cost effective with advertisements while still having visibility, Smith

Collectibles should have an advertising plan built into their budget. Online banners are one

sufficient way to provide product advertisement while adhering to the customer's best interest. E-

mailing has also been proven to be a timeless and cost-effective form of advertisement when

appropriately used, and within moderation; the electronic storefront should have the capability

for permission marketing where clients have the option to provide their e-mail address for special

incentives such as holiday offers or discounted sale items. The other most cost effective method

would be viral marketing online with social media, which is practically free. Smith Collectibles

could build up a following community population with popular social media sites such as

Facebook, Twitter, and Myspace that promotes interaction between the company and customers

while brand-building to a recognizable name.

Smith Collectibles should incorporate forms of electronic payment to make a smooth

transition from positive customer-website interaction, to positive company payment order

interaction. Electronic credit cards are one option; they feature great security measures and

unique authorization that would allow customers to feel at ease when it comes to online

shopping. Electronic cash options such as person-to-person payments or digital wallets. The only

significant drawbacks of digital wallets would be that a client usually has to register an electronic

wallet for every separate merchant however; there are processes to overcome this such as

installing the electronic wallet directly to the computer, which also makes the security an

additional benefit. Smith Collectibles should also be aware of ethical issues such as the threat


13/23


associated with customer privacy; therefore encryption for any form of electronic payment

should be considered a necessity. Major electronic legal issues associated with electronic

commerce and payments can entail fraud, misuse of domain names, and copyright which Smith

Collectibles should be aware of when designing their customized e-business strategy.

Supply Chain Mechanisms

The supply chain through Smith Collectibles plays a vital role in how successful operations

are and how much profit is made. The flow of materials necessary to make collectibles as well as

the information and cash that circulate from the manufacturers to the factory, and then to

business, to which a customer will buy the product from is the largest focus Smith Collectibles

will need to have with supply chain. A supply chain management system can help achieve this by

the ability to plan out and organize the organizations assets and products in the most efficient

way possible. The goal of Smith Collectibles supply chain would be to further the reduction of

time spent on products and the costs associated, and increase customer satisfaction. Supply chain

also allows the ability to install collaboration among one organization to another. Smith

Collectibles could utilize this to work with suppliers distribution portals.

Integration of Wireless Technology

Wireless technology is one aspect of business that Smith Collectibles can use to further

enhance its business presence. The website should have capability to be utilized by

microbrowsers through mobile devices and smart phones. Wi-Fi should be incorporated

throughout existing physical structures of Smith Collectibles to make client ordering options that

much more simplified. Wi-Fi is a cost effective method to provide Internet access and while

benefiting customers, can also significantly benefit employees as well by providing the ability to


14/23


check shipments online, have handheld devices to interact with customers, and showcase

products that may be temporarily out of store or on sale. Intrabusiness applications that are

primarily designed for employees of Smith Collectibles can assist in productivity for task

delegation.

RFID tags are one eventual option that could be used in the future for products to cut down

on costs with inventory and tracking, however this should not be implemented further until the

prices associated with RFID tag technology is reduced. This is a piece of technology where

benefits do not currently outweigh the startup cost for Smith Collectibles.

Implementation of Function Area IS

Transaction processing systems are one for of function area information systems that

would significantly benefit how Smith Collectibles monitors, collects, retains, and uses data from

all of its business transactions; generally they are one if not the most strategically important

aspects of all organizations. Online transaction processing would be the most efficient option due

to the real-time records and the capability to keep current track of product inventory and

company cash flow. Alike to transaction processing systems, other functional area information

systems that Smith Collectibles would need to incorporate are finances, marketing, production,

and human resource management. Financially, there must be a plan in place for acquiring

resources and using resources; furthermore, because the exchange of money and resources take

part on every level of the organization the plan must be precise. The knowledge of what money

and resources are available and knowing costs are two fundamental components. There fiscal

budget of this organization also plays a key role -- allocations should be made to distribute

money and resources along the organization's departments. In order to assist in this, there is


15/23


numerous software packages online that are either purchased or are for free that can help with

forecasting the cash flow of Smith Collectibles. Additionally, customer's credit, inventory,

closing books, database control, investment management, and auditing should take place in this

sector of the functional areas information systems. Marketing for Smith Collectibles should take

into consideration of customer relationships and how to effectively manage them. Production

operations is another large fundamental aspect as it incorporates logistics of in-house materials

such as what is being shipped into the organization for production, and everything along the

purchasing line from manufactures. Inventory and quality control are also handled through

production operations. Smith Collectibles could effectively manage these tasks by the means of

manufacturing resource planning and computer-assisted manufacturing. Finally, Human

resources management deals with hiring new employees, performance evaluations of current

employees, training sessions, any form of employee records, and the ability to manage the

benefits of employees.

Utilizing IS to Stimulate Customer Interaction

Customer relationship management is essential organizational strategy for Smith

Collectibles. Satisfying customers has transitioned from solely conducting organization

transactions to managing relationships with clients; customers are the core of businesses, if you

want to succeed at business you must succeed at creating and implementing positive customer

experience. By managing customer relationships, Smith Collectibles is going to acquire new

customers, retain already existing customers, and continue to grow relationship-wise with current

customers which are the most profitable part of customer relationships. To streamline this

strategy, the organization will need to utilize its marketing strategy and mold it into a system to

determine low-value customers and high-value customers and retain them effectively. Customer


16/23


touch points will ultimately depend on which aspect of business Smith Collectibles conducts its

business. Brick and mortar customer touch points can be beneficial, as they are conducted with

one of several senses, either sight or hearing. Telephone contact, physical store interaction, or

mailings are all traditional ways of physical communication between businesses and their clients.

Click and mortar business can benefit with technological touch points such as communication

over the Internet via e-mail messaging, social media, website interaction, and smart phones.

Collaborative customer relationship management additionally plays into the goal of integrating

marketing, sales, and customer support back into producing profitability by what the customer

wants. In clicks in mortar businesses, Web 2.0 technology such as social media and blogging are

a significant way to gain insight directly from the customer.

Operational customer relationship management is the direct interaction between each

customer with customer support and services. There are two forms of CRM applications that will

benefit Smith Collectibles: customer-facing applications and customer-touching applications.

Customer-facing applications utilize sales force automation, target audience marketing, and the

management of campaigns. This also includes any motion that involves customer concerns,

complaints, returns, or information requests. Customer interaction centers for bricks and mortars

and clicks and mortars often utilize communication through phones, the Internet, fax, and face-

to-face conversation. Outbound telesales such as stimulating product design by getting the

perspective of customers is one aspect, while inbound teleservice represents information on prior

transactions, or responding to product inquiry. Click and mortar organizations often have the

ability to operate this through technology such as live chats. Sales automation records all

transactions through the organization, which is a development for keeping track of customers and

implementing a sales forecast system. Marketing for Smith Collectibles would be vital in the


17/23


concept that purchasing profiles as well as well-known sales strategies (specifically cross selling,

up selling, and even bundling for Smith Collectibles). Finally, campaign management entails

organizing a way to target a population without the usage of pestering mechanisms, with the

intent to build a foundation of presenting the public marketing message. Customer-touching

applications on the other hand involve electronic mechanisms which could be utilized for clicks

and mortar organizations, such as what Smith Collectibles envisions. Search abilities, technical

services, customization, and support such as frequently asked questions, automated responses,

and customer loyalty programs all contribute to making the best customer experience possible.

Mobile CRM is another great option for Smith Collectibles.

Managerial Support Systems

Managerial support systems offer a large role in the decision-making processes of

organizations. Smith Collectables can utilize this to facilitate interpersonal, informational, and

decisional roles. The phases used through business intelligence information systems (decision

intelligence, design, and choice) result in the best decision strategically being implemented.

Smith Collectibles should consider implementing a managerial support system because these

systems further the likelihood of predicting trends correctly, and the identification of patterns.

Intelligent systems and expert systems are both permissible for Smith Collectibles to use,

however the process of acquiring them is both costly and not time efficient to acquire. It is

something that should be considered in the future, but not directly within the first few years of

transitioning into an information system enabled company.

Barriers and IS Obstacle Solutions


18/23


Smith Collectables should be aware of business pressures and have an existing plan to

combat such obstacles, especially when in light with electronic business conducted over the

World Wide Web. Pressures exist that should be handled correctly to make the transition from

only physical business to integrating e-business seamless and simplified while remaining cost-

effective. Market pressures that should be taken into consideration include global competition

and the cost of labor. Now that Smith Collectibles has made the decision to introduce an

information technology department, the company must be aware of new added costs such as the

cost of labor and benefits for current and new employees.

Potential IS barriers Smith Collectibles will need to overcome include technology and

ethical issues as well. If handled improperly, these could result in significant drawbacks for the

organization as a whole. Several keynotes to keep in mind while integrating information

technology into Smith Collectibles are outlined. One aspect that should be transformed into an

action plan would be a code of ethics developed for Smith Collectibles. The code of ethics

should outline decision making on the basis of what is the determined set of principles the

organization as a whole should follow. Generally speaking, responsibility, accountability, and

liability should all be the fundamental building blocks for how this code is developed. This may

include the usage of holding company employees responsible for their actions, determining who

should be held responsible for what, and covering damage costs in the case that something does

go wrong. Most companies have a code of ethics implemented from the start of their IT

department.

Additionally Smith Collectibles should develop a plan to cover IT ethical issues such as

privacy, accuracy, property, and accessibility. Privacy issues constitute as information that

should or should not be revealed; the collection, storing, and distribution of valuable, yet highly


19/23


sensitive or personal information. Smith Collectibles has many options to take into account when

it comes to privacy such as surveillance, and company policies. Should employees be able to

utilize company technology to check social media accounts, or download personal entertainment

such as music or video files? Should web addresses be monitored while employees are clocked

in, or should Smith Collectibles install a URL blocker to prevent inappropriate web addresses

from the beginning? Confidentially has a large role in company privacy with what should or

should not be repeated or distributed. Accuracy should be a primary concern for Smith

Collectibles as well -- how can this organization make sure what is presented is truthful and

resistant of falsified information? What accountability will be instated for if accuracy mistakes

are made and the company is held liable? As for property, who is entitled to which pieces of

information, and who is privy to handle company owned software or physical hardware?

Accessibility is relevant in the sense of who should or should not be granted access to key

components such as privilege to information. Accessibility also deals with the fundamentals of

employees with disabilities or physical injury -- Smith Collectibles should be prepared to work

with these and accommodate accordingly.

The recommended solutions for Smith Collectibles as are outlined with these

principles. Relevant data should be collected with the intention of pure business purpose.

Consent should be given prior to the collection of client data that could be considered in

any aspect personal or sensitive upon details. Data should be verified for accuracy prior

to the entry into the Smith Collectibles database, and kept up to date with operations to

ensure current information is consistent with business operations. Data should also be

made available by request. Security protocols for Smith Collectibles should have the best

of the business and the best of clients in mind; any unauthorized distribution of


20/23


information should be handled with appropriate actions constituted by correct emergency

or disaster procedures. Access to confidential information should be limited to sole

business purposes of Smith Collectibles and affiliated business operations.

Threats to security jeopardize Smith Collectibles and make business operations risky

if they are not accounted for. To protect information system assets from exposure to information

resource threats, vulnerability, or associated security compromise risks, Smith Collectibles

should be aware of harmful business operations and best prepare to work through them by

implementing prevention procedures and possessing an accredited recovery plan. Threats that

should be taken into consideration are unintentional human error, natural disasters, technological

failures, management failures, and intentional acts of damage. Smith Collectibles should also be

familiar with social engineering and reverse social engineering information system attacks.

Additionally, software attacks are a large problem with information systems; they should be

prepared for accordingly by prevention methods -- reading up on common mistakes with

software, how they occur, and how to protect company assets from software attacks. A

penetration test to proactively test the information systems for any known vulnerabilities should

be conducted.

The recommended solutions to such prevention methods would be as follows:

Risk analysis and assessment of all value of all organizational assets.

Risk mitigation to implement controls for prevention of threats, and development

of recovery initiatives.


21/23


Controls evaluation to identify IS security deficiencies and cost measurement of

controls to remain cost effective.

Integrate physical controls with physical company building locations should take

extra caution by implementing physical controls such as ID systems for

employees.

Integrate access controls with biometrics, installation signature recognition

systems, and creation of strong password phrases for authentication.

Integrate communication controls with Firewall usage on information systems,

intrusion detection systems. Encryption should also be used.

Vulnerability management systems and application controls should provide

separation and encryption of company data, applications, and networks.

A critical solution for Smith Collectibles would be to prepare for the worst case

scenario-- something could go wrong even through prevention planning precautions. A

business continuity plan should be implemented for the protection planning and identified

recovery strategies. A hot site would be advisable, due to reduced risk in security;

however they also are the most expensive. If cost is a large factor, a warm site would be

advisable. Off-site data storage is a secure option that would lead to the prevention in

valuable data being compromised. Information systems of auditing of company inputs,

outputs, and processing would be an investment that would be the most beneficial to


22/23


security and recovery plans. Internal auditing should happen twice in on fiscal year,

external auditing should occur once every fiscal year at minimum.

Acquiring the New IT Department

Forming the new department will be costly for Smith Collectibles, therefore the first

note to be noted should be the benefit and cost ratio. What will transition Smith

Collectibles so that the organization can function, and with further time improve the

department to an even better state of functioning? The best way to implement the new IT

department would be to read over the recommended material and review a strategic plan

with deadline goal setting. Then, Smith Collectibles can move into the justification

process by calculating net present value, return on investment, and then hit the breakeven

analysis to further analyze what benefits will outweigh what costs associated. The

systems development life cycle is the largest method used, and would be a genuine fit for

Smith Collectibles. This is a slow and costly expenditure, but does however secure

quality and upholds security. Quick prototyping may offer as another effective method.

One of the largest decisions Smith Collectibles will have to make includes the

ability to effectively select software and applications. Buying, leasing, and building all

have their benefits and limitations. The best option for Smith Collectibles at this point in

time would be to consider leasing or even buying, due to the fact it is less costly than

building in-house until everything is developed. Eventually, Smith Collectibles should

make the consideration to move towards building an in-house system, however this

should be strategically planned out, as it does allow for more customization, but also can

be very costly.


23/23


Closing Statement

Overall, Smith Collectibles should take into consideration the recommendations

that have been provided. Each step is the foundation to building a more profitable

company out of an already profitable company. This foundation is what will provide

Smith Collectibles with the competitive advantages to compete among other collectible

companies.

cis smith collectables consulting project

Documents