Introduction
The paper attempts to provide the background of the case situation for VINSUN Infra Engineering Pvt. Ltd and the problems faced by the company along with their probable causes. The paper also attempts to analyze the situation of VINSUN through the application of SWOT analysis and Porter’s five forces model. Furthermore, the paper aims to discuss the alternative solutions along with their advantages and disadvantages to fully assess the alternatives. Lastly, the paper provides recommendations and the best alternative for solving the problems faced by the company.
Background of the Case Situation
VINSUN Infra Engineering Pvt. Ltd. specializes in providing electrical and civil services to its different set of clients which includes service industries, commercial and residential buildings, and other institutions and campuses. The managing director of the company, Sunil Satav recognizes that the different problems faced by the company regarding Information Technology (IT). While considering the severity of these issues, Satav asks Chief Information Officer (CIO) Ruchira Kulkarni to address these problems by providing different proposals and solutions that would be discussed in the Town Hall Meeting conducted by the managing director. Kulkarni proposed two options in which both the options are required for the implementation of ERP. Different views had emerged in the meeting which created a dilemma for Satav to reach a certain conclusion between the two options as employees were reluctant to change. Therefore, Satav is now left with many problems regarding convincing their employees and also to implement a better solution for the company.
Problems and Probable Causes
The first problem faced by the company is regarding the dilemma of convincing employees for implementing change in the current data management system of the company. This particular problem has emerged due to the resistance of change and satisfaction with the existing situation of the company. Furthermore, the major dilemma faced by the company includes the selection of various options to improve IT sector so that information could be quickly and easily available to the company and make decisions regarding the different projects. The company faces with three options, whether it shall adopt ERP on cloud, ERP on premise, or either the company should adopt customized solution.
Furthermore, the company faces another problem of choosing the required company for implementing the ERP system. There are two companies which include Bluechip Corporation and Codeautomations which have proposed the quotations for the implementation of ERP. Bluechip Corporation is an experienced and a major ERP solution provider, whereas, Codeautomations is a start-up firm having limited knowledge of ERP implementation but is less costly than the former organization. Moreover, due to the huge investment needed in the implementation of ERP, the company needs to make a right decision to avoid any type of failure which may result in the decreased profitability for the company.
Analysis
SWOT Analysis
Strengths
Since a decade, VINSUN has been providing electrical and civil services in different part of India as its diverse customer portfolio includes service industries, healthcare institutes, campuses, and residence and commercial buildings. An increased growth with an element of stability has allowed the company to achieve increased profitability.
Weaknesses
The company was in the position of information overload where managing the information is difficult. The company did not manage the input costs of the company which were required by VINSUN for the civil electrification project. Moreover, the Company is currently using Microsoft Excel for managing its entire data due to which the piles of excel files have grown. Moreover, the company does not have a comprehensive system for data backup and also the data which has been stored could not be trusted as it may contain errors due to incompetency of the company. The employees were reluctant to change to a different working style which created problems for the company to reach a certain conclusion.
Opportunities
The company has the opportunity to implement Enterprise Resource Planning (ERP) for the better managing of the data. The company also has the opportunity to outsource its finance and accounting department, whereas, the company should perform tasks in which it has core competency. The company needs to expand in major cities of India once it gets hold of the input costs and managing its data.............................
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