Milestone one
The major challenge facing ABC Company is the inability to capture, store and access infinite customer data. The organization lacks adequate information about its customers, which contributes to high cost of data collection.
Therefore, the company continues to collect and store these types of data in a manual manner regardless of the extensive costs and security issues associated with the method. The current system does not allow for multiple entries with different data types capable of describing the customers.
Brief overview of ABC Company
ABC Company started its operations about five years ago as a financial service’s provider. The organization has since made substantial steps in increasing the quality of its services over time. In an ordinary sense, organizational growth is a welcome aspect desired by many firms. However, it is worth noting that growth always arises with some challenges, which inherently affects the operations of an organization.
Strategic expansions envisioned by most firms end up posing multiple problems that potentially stall this desired trend. ABC as an organization experiencing rapid growth does not fail to operate under these growth-related challenges. The company posted a 75% increase in its customer base coupled with an increased portfolio owing to its product innovations aimed at meeting the needs of the market.
Based on this trend, the company’s level of transactions has skyrocketed to unmanageable limits because of a limited capacity delivered by its data system. The costs of collecting data, storage, evaluation and access have continued to strain the company’s profitability.
Business issues
Owing to the challenges associated with data-storage system, ABC continues to count endless costs and losses. One of the major implications facing ABC is the lack of adequate customer information capable of ensuring that it complies with generally accepted standards of “Know-Your-Customer” (KYC).
Although the business has continuously posted profits and revenues, lack of a proper system has resulted in its slow growth. This draws from the inability to quickly evaluate and process loan requests.
Delayed processing of loans has negatively affected the level of customer service, which is the core of its service provision.
Increased IT cost remains an eminent feature of the current system used by the organization. Additionally, the company slowly grows its sales turnover as occasioned by low transaction rates.
Lack of a systematized data system reveals the inability to achieve objectivity in the processing of loans by its staff. Subsequently, it has generated huge losses owing to increased delinquency rates because of non-automation of management of credit portfolios.
Benefits
Numerous benefits will accrue after the acquisition and implementation of the new database management information system (DBMIS). Firstly, the new system would seek to address the challenges of poor customer service because of delay in the provision of services (Stair, Ralph and Reynolds 116).
Since services remain un-standardized in their offering, organizations should strive to improve on the level of customer satisfaction to generate customer loyalty. Studies indicate that in the service industry, there exist minimal if any, switching costs incurred by a customer by accessing other service providers within the industry. In this scenario, the bargaining power favors the buyers, rather than suppliers.
This system will ensure faster processing and offering of services enabled by an automated querying system. Additionally, accuracy in processes and procedures will reduce the losses associated with human errors that have been the case in poor loan portfolio management.
The other direct benefit derived from the project would be reduced IT costs in respect of data collection, maintenance, and access. The acquisition of this system will improve turn-around time in the provision of services as well as reducing IT costs. Additionally, the system shall improve the sales and subsequently, the profitability of ABC (Stair, Ralph and Reynolds 116).
High-end solutions
To solve this problem, the project shall utilize the cloud computing technology approach in providing data solutions to the organization. Using the concept of cloud computing, the organization project endeavors to utilize the CA 3 TeraAppLogic solution.
The solution best suits the organization since it does not bind the software with the hardware via virtual applications. The advantage of this solution lies in its ability to consume no resource when not in use (3tera.com n.p).
The system is portable and independent of hardware installations. Additionally, it is an evolutionary system scalable with respect to business needs (Stair and Reynolds 283).
This shall reduce its resource usage while maximizing on its already existing ones. CA 3Tera AppLogic shall help the enterprise IT to quickly compose, deploy, scale, migrate and manage complex online applications for their multiple internal customers (3tera.com n.p).
Using CA 3Tera AppLogic, the enterprise will increase its efficiency via eliminating the intensive application and configuration. This ensures that the organization quickly develops, tests, and delivers innovative IT data services to its advantage (3tera.com n.p).
The system is a flexible application that will steer the right decisions while responding to new opportunities presented by the market. The CA 3Tera AppLogic application enables the enterprise IT to easily deploy, upscale, and integrate their data structures for multiple customers and their information without affecting the daily operations.
Works Cited
Stair, Ralph, and George Reynolds. Principles of Information Systems. New York: Cengage Learning, 2011. Print.
3tera.com.Turnkey Cloud Computing. Web.