Technical Innovatio

nsPresentation 3

Company Background System Requirements Synopsis Alternative Matrix Pre-Packaged Software Outsourcing Cloud Computing Custom Development Implementation Plan Lesson’s Learned

Overview

National Tint and Trim is a small, locally owned audio and tint store in Ruston, Louisiana. It has a minimum amount of employees and has been conducting the majority of it’s business the conventional way: hard copy. As the company’s customer base continues to grow, it would like to make it’s business processes more efficient.

Company Background

National Tint and Trim requires an information system that will integrate website functionality with inventory automation, appointment scheduling, online quoting, tracking consumer buyer statistics, and improving customer service. This will allow customers an ease of access to the information while improving the company’s image. This will be accomplished by integrating the business and suppliers through a central database.

System Requirements

Alternative Matrix National Tint and Trim

Economic Alternative 1:

Packaged Software Score Alternative 2: Outsourcing Score

Alternative 3: Cloud Computing Score

Alternative 4: Custom Development Score Weighted Score

NPV $21,626.30 -$15,062.28 $2,855.75 -60,335.83

Return On Investment 176.06% -11.19% 4.00% -54.94%

Tangible Benefits

Reduced inventory costs by 5% of yearly inventory costs

Increase efficiency by 5% of yearly sales

Reduce labor by $2,600 per year 5

Increase efficiency (5% of sales)

Reduce Risk Reduced Labor

Costs

4

Reduced Maintenance Costs

Lower Infrastructure Cost

Reduced Installation Cost and Testing

Reduced Information Technology Yearly System Assessment

5

Space Freed Reduce Inventory

Costs

2 20

Intangible Benefits

Better Supplier Relations

Increase Company Reputation

Increase Quality of Service

4

Better Supplier Relations

Increase Company Reputation

Increase Quality of Service

More time to complete projects

3

Access System From Any Browser

Increased Scalability

Easy Implementation

Frees Up Internal Resources

Document Compatibility

Increased Data Reliability

Device Independence

3

Better supplier relations

Increase positive company reputation

Increase quality of service

3 15

Technology Alternative 1:

Packaged Software Score Alternative 2: Outsourcing Score

Alternative 3: Cloud Computing Score

Alternative 4: Custom Development

Weight

Familiarity with Business Process

Team: Basic knowledge

regarding National Tint and Trim business processes

Novice knowledge base of the Quickbooks Point of Sale and Appointment-Plus software packages

Client: Mr. Merritt has a

general knowledge of the way Quickbooks software packages work.

Mr. Merritt has no knowledge of the way Appointment-Plus software works.

3

Luxoft: Luxoft is a global

company that has built a proven reputation for tailoring system projects and applications to meet the business needs for all of its clients.

Client: National Tint &

Trim has been serving the community of Ruston for nearly 10 years. Tim Merritt is the sole creator and owner of National Tint & Trim and has developed the business processes in use today.

4

Visual Online Data and Donnie Bell Design: No knowledge

regarding National Tint and Trim business processes

Unfamiliar with as-is system used to keep records of customers and related to inventory

Client: Expert knowledge

base Familiar with the

as-is system as manager of National Tint and Trim

4

Team: Novice knowledge

base regarding National Tint & Trim’s business processes.

Unfamiliar with the as-is system used to keep records of customers and related to inventory.

Client: Expert knowledge

base regarding National Tint & Trims business processes.

Familiar with the as-is system.

3 15

Familiarity with Technology

Team: One team member

of Technical Innovations has on-the-job experience with Quickbooks software.

All members of Technical Innovations have evaluated the demo version of Appointment-Plus software.

All members of Technical Innovations have a general background in an IT related fields.

Client: National Tint and

Trim management have a working knowledge of Quickbooks software editions.

Management has a general knowledge of the necessary hardware components of the system.

4

Luxoft: Each team

member is chosen through an intense recruitment process and selected among the best of individuals.

Luxoft specializes in providing services that go above and beyond the industry standards.

Client National Tint &

Trim management is familiar with the Microsoft Windows based operating systems.

Management has experience with the Microsoft Office™ Suite as well as Quickbooks™ software package.

Management contains the basic knowledge of web and internet functions.

5

Visual Online Data Software

engineering firm that specializes in inventory control online since 1988

Donnie Bell Design Graphic design

firm that specializes in web designing as well as graphic design

Client: Management has

no knowledge of visual online software or web design

Moderate knowledge base regarding Windows OS and Microsoft Office

5

Team: Broad range of

experience pertaining to hardware and software.

Client: Working

knowledge of QuickBooks, Windows OS, and Microsoft Office software.

3 25

Organizational Alternative 1:

Packaged Software Score Alternative 2: Outsourcing Score

Alternative 3: Cloud Computing Score Weight

Support of Management

Timothy McCalman and Rodriguez Merritt plan to use the proposed system at their current location and future expansion to West Monroe.

Involvement from the Owner and Project Sponsor is critical.

5

Timothy McCalman and Rodriguez Merritt plan to use the proposed system at their current location and future expansion to West Monroe.

Involvement from the Owner and Project Sponsor is critical.

5

Timothy McCalman and Rodriguez Merritt plans to use the proposed system at their current location and future expansion site in West Monroe

4

Timothy McCalman and Rodriguez Merritt plans to use the proposed system at their current location and future expansion site in West Monroe

4 15

Support of Users

At the moment, the organization has under ten employees.

All employees will have access to the system with certain rights depending on user log in.

The owners will be in charge of what their employees can do within the system.

The customers will have access to the quoting and appointment-scheduling features.

5

All employees will have access to the system with certain rights depending on user log in.

Customers will be able to access the interactive website to enable efficiency within the company.

5

Employees will have access to the system with certain rights depending on user log in.

Employees will get the most use out of the online scheduling process because of their pay by job basis.

4

All employees will have access to the system with certain rights depending on user log in.

The owners will be in charge of what their employees can do within the system.

3 10

Weighted Total 440 435 430 295

Familiarity with Application Technical Innovations

Novice knowledge base with Quickbooks Point of Sale and Appointment Plus

Basic knowledge of the business processes of National Tint and Trim

National Tint and Trim Mr. Merritt uses Quickbooks for the accounting of

National Tint and Trim Very little knowledge of the Appointment Plus

software A tutorial will be provided for this software

Pre-PackagedTechnical Feasibility

Familiarity with Technology Technical Innovations

One team member with on-the-job experience with Quickbooks

All members have evaluated Demo version of Appointment Plus

All technical innovations members have general background in an IT related field

National Tint and Trim Working knowledge of the Quickbooks software Moderate knowledge base of Windows OS General knowledge of the hardware components of

this system

Pre-PackagedTechnical Feasibility

Project Size The to-be system will combine four major functions

including inventory management, appointment scheduling, price quoting, and tracking consumer buyer statistics.

Compatibility The current information system consists of a

software program along with online and paper based ordering from no more than four vendors.

The new system will contain an automated inventory system, online quoting process for auto tinting, as well as an online appointment scheduler.

Pre-PackagedTechnical Feasibility

Economical Feasibility (Should we build it?) : HIGH1. Development CostsQuickBooks Point of Sale Pro Bundle(Point of Sale Software, Bar Code Scanner, Credit Card Reader, and Receipt Printer) $1899.95Installation Costs and Testing $370.40Software Training $750.00

$3,020.352. Reoccurring CostsAppointment-Plus Gold edition software package $920.00/yr.Suddenlink 10mb Internet $420.00 /yr.IT Yearly System Assessment $1000.00 per yr.

$2,040.00

3. Total $5,060.35

4. Annual Tangible Benefits Increased Efficiency $3,250.00/yr. Reduced Inventory Costs $2,277.50/yr. Reduce Labor Costs $2,600.00/yr. Total Annual Benefits $8,127.50

5. Net Present Value $21,626.30 6. Return on Investment 176.06% 7. Intangible Benefit Better supplier relationsIncrease positive company reputationIncrease quality of service

Economic Feasibility

Year 0 Year 1 Year 2 Year 3 Year 4 Year 5BenefitsIncrease Efficiency $3,250.00 $3,250.00 $3,250.00 $3,250.00 $3,250.00Reduced Inventory costs

Excess Inventory will be eliminated. $2,277.50 $2,277.50 $2,277.50 $2,277.50 $2,277.50Reduce Labor costs $2,600.00 $2,600.00 $2,600.00 $2,600.00 $2,600.00Total Benefits $0.00 $8,127.50 $8,127.50 $8,127.50 $8,127.50 $8,127.50 $40,637.50in today's dollars $0.00 $7,696.50 $7,288.35 $6,901.85 $6,535.84 $6,189.24 $34,611.77

Costs One-time costs

$1,899.95Installation Costs and Testing $370.40Software Training $750.00 Total One-time costs $3,020.35

Recurring costs Appointment-Plus Silver edition software package $920.00 $920.00 $920.00 $920.00 $920.00

Suddenlink 10mb Internet $420.00 $420.00 $420.00 $420.00 $420.00 IT Yearly System Assessment $1,000.00 $1,000.00 $1,000.00 $1,000.00 $1,000.00Total Costs $3,020.35 $2,340.00 $2,340.00 $2,340.00 $2,340.00 $2,340.00 $14,720.35in today's dollars $3,020.35 $2,215.91 $2,098.40 $1,987.12 $1,881.74 $1,781.95

Net $(3,020.35) $5,787.50 $5,787.50 $5,787.50 $5,787.50 $5,787.50in today's dollars $(3,020.35) $5,480.59 $5,189.95 $4,914.73 $4,654.10 $4,407.29NPV $21,626.30Assumed interest rate 5.60%ROI 176.06%

QuickBooks Point of Sale Pro Bundle(Point of Sale Software, Bar Code Scanner, Credit Card Reader, and Receipt Printer)

Pre-Packaged Economical Feasibility

Project Champion Rodriguez Merritt

Senior Management Timothy McCalman

Plans to use the proposed system in future expansion of the business

Involvement from the owner and project sponsor is critical

Pre-PackagedOrganizational Feasibility

Users Employees

Access rights Customers

Stakeholders Along with Rodriguez Merritt, customers will

benefit from the implementation of this new system.

Pre-PackagedOrganizational Feasibility

•Who is Luxoft? Luxoft is a global corporation known for providing

services to meet the needs of both business and technology requirements. Luxoft is recognized as

an industry leader with numerous awards and quality certifications.

To name a few, Luxoft provides: Application Software Development Software Architecture Services IT Infrastructure Management IT Strategy Consulting and more…

OutsourcingTechnical Feasibility

OutsourcingTechnical Feasibility

• Familiarity with Business

Processes(Moderate) Team – Moderate Client – High

• Familiarity with Technology (Moderate) Team – High

Hardware Software

Client – Moderate Project Size – High

Outsourcing Cost Benefit Analysis

OutsourcingEconomic Feasibility

Economical Feasibility (Low ) Should we build it? : Development Costs (one time costs) Development Labor (Technical Innovations) $8,000.00 Development Labor (Luxoft) $50,000.00 Total Development Costs $58,000.00

Recurring Costs Web Hosting $1,200.00 Travel Expenses $500.00 Total Recurring Labor $1,700.00 Tangible Benefits (Present Value) Increase Efficiency $12,775.80 Reduce Risk $5,962.04 Reduce Labor Costs $29,810.20 Increase Productivity $2,129.30 Total Benefits $50,677.34

Outsourcing Economic Feasibility

Net Present Value (NPV) $-$15,062.28

Return on Investment (ROI) -11.19% Intangible Benefits Better supplier relations Increase positive company reputation Increase quality of service Improved Capabilities

OutsourcingOrganizational Feasibility

• If We Build It, Will They Come? – High

• Project Champion Rodriquez Merrit, National Tint & Trim Co-owner

• Senior Management Timothy McCalman is the primary co-owner and

plans to use the proposed system in future expansion to WestMonroe.

Outsourcing

Organizational Feasibility• Users

At the moment, the organization has fewer than en employees. All employees will have access to the system with certain rights depending on user log in. The owners will be in charge of what their employees can do within the system. In addition, customers will be able to access the interactive website to enable efficiency within the company.

• Stakeholders Along with Rodriquez Merrit, customers will benefit from the

implementation of this new system. In today’s digital society, most consumers shop and research online

before purchasing a product or service. This new system will enable consumers to access National Tint & Trim’s

inventory and provide more information on scheduling.

Familiarity with Application: (Low) Visual Online Data has no knowledge base regarding National

Tint & Trim's business processes and is unfamiliar with the as-is system used to keep records of customers and related to inventory.

Donnie Bell Design has no knowledge base regarding National Tint & Trim’s business processes and is unfamiliar with the as-is system used to keep records of customers and related to inventory.

Mr. Merritt has a expert knowledge base regarding National Tint & Trim's business processes and is familiar with the as-is system as the manager of National Tint & Trim.

Cloud-Computing

Technical Feasibility

Familiarity with Technology: (High) Visual Online Data is a software engineering firm that has

specialized in inventory control software since 1988. Since 2004 they have focused their applications towards web application development.

Donnie Bell Design is a graphic design firm that specializes in web designing as well as other graphic design features. Donnie Bell Design is a new business starting just a year ago in 2009.

National Tint & Trim management has no knowledge of the visual online software or web site design.

Management has a moderate knowledge base regarding Windows OS™ and Microsoft Office™ software.

Cloud-Computing Technical Feasibility

Project Size: (Moderate) The to-be system will combine four major functions

including inventory management, appointment scheduling, price quoting, and tracking consumer buyer statistics.

Compatibility: (Moderate) The current information system consists of a software

program along with online and paper based ordering from no more than four vendors.

Cloud-ComputingTechnical Feasibility

Year 0 Year 1 Year 2 Year 3 Year 4 Year 5BenefitsReduced Maintenace Costs $438.90 $438.90 $438.90 $438.90 $438.90Lower Infrastructure Cost $2,122.00Installation Costs and Testing $2,222.40IT Yearly System Assessment $1,000.00 $1,000.00 $1,000.00 $1,000.00 $1,000.00Total Benefits $4,344.40 $1,438.90 $1,438.90 $1,438.90 $1,438.90 $1,438.90in today's dollars $4,344.40 $1,362.59 $1,290.34 $1,221.91 $1,157.11 $1,095.75

Costs One-time costs

Visual Inventory Professional Version $1,995.00Donnie Bell Design- Scheduling $500.00- Quoting $500.00

Total One-time costs $2,995.00

Recurring costsWeb Hosting $1,200.00 $1,200.00 $1,200.00 $1,200.00 $1,200.00Suddenlink 10mb Internet $420.00 $420.00 $420.00 $420.00 $420.00

Total Costs $2,995.00 $1,620.00 $1,620.00 $1,620.00 $1,620.00 $1,620.00in today's dollars $2,995.00 $1,534.09 $1,452.74 $1,375.70 $1,302.74 $1,233.66

Net 1,349.40$ -$181.10 -$181.10 -$181.10 -$181.10 -$181.10in today's dollars 1,349.40$ -$171.50 -$162.40 -$153.79 -$145.63 -$137.91NPV $578.17Assumed interest rate 5.60%ROI 4.00%

Cloud Computing Cost Benefit Analysis

Cloud Computing Economic Feasibility

Economic Feasibility (High): Should We Build It? One Time Costs Visual Inventory Professional Version $1,995.00 Donnie Bell Design (Quoting and Scheduling) $1,000.00 Total One Time Costs $2,995.00 Recurring Costs Web Hosting $1200.00 Suddenlink 10mb Internet $420.00 Total Recurring Costs $1,620.00 Tangible Benefits (Present Value) Reduced Maintenance Costs $1671.15 Lower Infrastructure Cost $2,122.00 Installation Cost and Testing $2,222.40 IT Yearly System Assessment $3,807.59 Total Benefits $10,472.10

Cloud Computing Economic Feasibility

Net Present Value (NPV) $578.17 Return On Investment (ROI) 4.00% Intangible Benefits Access the System from any web browser Increased Scalability Easy Implementation Frees Up Internal Resources Document Compatibility Increased Data Reliability Device Independence

Project Champion Rodriguez Merritt, National Tint and Trim Co-

Owner

Senior Management Timothy McCalman is the primary co-owner and

plans to use the proposed system in future expansion to West Monroe. 

Involvement from the Owner and Project Sponsor is critical.

Cloud-ComputingOrganizational Feasibility

Users At the moment, the organization has under ten

employees.

All employees will have access to the system with certain rights depending on user log in.

  The owner and management will be in charge of what

their employees can do within the system.

  In addition, customers will be able to access the

interactive website to enable efficiency within the company.

Cloud-ComputingOrganizational Feasibility

Stakeholders Along with Rodriguez Merritt, customers will

benefit from the implementation of this new system.

  In today's digital society, most consumers shop

and research online before purchasing a product or service.

This new system will enable consumers to access National Tint and Trim's inventory and provide more information on scheduling.

Cloud-Computing Organizational Feasibility

Technical Feasibility (Can We Build It?) : (MODERATE)

Familiarity with Application: (Moderate)Team: (Low) Technical Innovations has a novice knowledge base regarding National Tint

& Trim's business processes.  Technical Innovations is unfamiliar with the as-is system used to keep

records of customers and related to inventory.  Mr. Merritt has a expert knowledge base regarding National Tint & Trim's

business processes.

Client: (High) Mr. Merritt is familiar with the as-is system as the manager of National Tint

& Trim

Custom DevelopmentTechnical Feasibility

Familiarity with Technology: (Moderate)Team: (High) Technical Innovations has a broad range of experience

pertaining to hardware and software required to plan, analyze, design, and implement the new system

All of Technical Innovations members have been employed in a IT related field.

Client: (Moderate) National Tint & Trim management has working knowledge of

Quick Books™ software.  Management has a moderate knowledge base regarding

Windows OS™ and Microsoft Office™ software.

Custom DevelopmentTechnical Feasibility

Project Size: (Moderate) The to-be system will combine four major functions

including inventory management, appointment scheduling, price quoting, and tracking consumer buyer statistics.

Compatibility: (Moderate) The current information system consists of a software

program along with online and paper based ordering from no more than four vendors.

  The new system will contain an automated inventory

system, online quoting process for auto tinting, as well as an online appointment scheduler.

Custom DevelopmentTechnical Feasibility

Custom DevelopmentEconomical Feasibility

Economical Feasibility (Should we build it?) : HIGH 1. Development Costs

Dell 2135cn Multi Function Laser Printer $549.00 Software Licenses $719.80 (3) Dell Precision T3500 $3,300.00 Networking Infrastructure $500.00 Online Inventory System $4,495.00 Dell PowerEdge T710 Server $2,222.00 Development Labor $80,000.00 Total One-time costs $91,785.80

2. Reoccurring Costs

Hardware $550.00 Software $350.00 Online Backup $54.95 Web Hosting $160.00 Maintenance $500.00 Total Recurring Labor $1,614.95 Total Annual Reoccurring Costs $8,074.75

3. Total Costs $99,860.55

Custom DevelopmentEconomical Feasibility

4. Annual Tangible Benefits Space Freed(Annually) $4,500.00 Reduce Inventory Costs (Annually) $4,500.00 Total Annual Benefits $45,000.00

5. Net Present Value - $60,335.83 6. Return on Investment -54.94% 7. Intangible Benefits

Better supplier relations Increase positive company reputation Increase quality of service

Custom DevelopmentCost-Benefit Analysis

Organizational Feasibility (If We Build It, Will They Come) -HIGH

Project Champion Rodriguez Merritt, National Tint and Trim Co-Owner Senior Management Timothy McCalman is the primary co-owner and plans

to use the proposed system in future expansion to West Monroe. 

  Involvement from the Owner and Project Sponsor is

critical.  

Custom Development Organizational Feasibility

Users At the moment, the organization has under ten

employees.

All employees will have access to the system with certain rights depending on user log in.

  The owners will be in charge of what their employees

can do within the system.

In addition, customers will be able to access the interactive website to enable efficiency within the company.

Custom Development Organizational Feasibility

Stakeholders Along with Rodriguez Merritt, customers will

benefit from the implementation of this new system.

In today's digital society, most consumers shop and research online before purchasing a product or service.

This new system will enable consumers to access National Tint and Trim's inventory and provide more information on scheduling.

Custom Development Organizational Feasibility

Introduction◦ National Tint and Trim requires an information

system that will integrate website functionality with inventory automation, appointment scheduling, online quoting, tracking consumer buyer statistics, and improving customer service. This will allow customers an ease of access to the information while improving the company’s image. This will be accomplished by integrating the business and suppliers through a central database.

Implementation Plan

System Implementation Plan◦ Technical Innovations chose to purchase a

prepackaged system.

◦ Our prepackaged system satisfies all of system requirements including: quoting, purchasing, and scheduling. In addition, this package offers the highest net present value and the easiest means of implementation for a company that does not have a well-trained information system’s department.

Implementation Plan

Conversion Strategy◦ Since the company only has one location,

Technical Innovations has chosen to implement a direct conversion for the system.

◦ Direct conversion involves the instant replacement of the old system with the new system. Since the system wasn’t developed from the ground up by National Tint and Trim, they can trust that there will not be in major bugs in the software.

Implementation Plan

Change Management◦ Change management is the process of helping the

organization adjust and accept the new system.

◦ Luckily, there is plenty of support from upper management.

Implementation Plan

Business Continuity Plan◦ Currently, National Tint and Trim does not have a

system in place. Everything is done by hand and filed away for retrieval. Thus, all employees were trained to run the business in a conventional fashion. Moreover, it will not be hard for the company to revert back to its original structure if the prepackage does not perform as expected.

Implementation Plan

Lessons Learned Choose group members wisely Constant Communication Study for the first quiz Delegate the workload It’s not advisable to copy previous projects Never wait until the last minute Be prepared to meet on weekends Late nights are inevitable

Lessons Learned Time management Beware of the kid playing WoW past

midnight in the COB bathroom Google groups is a lifesaver Don’t expect meetings to be short Hope for the best, but plan for the worst Chat Roulette passes time during group

meetings

Lessons Learned Listen to EVERYTHING Mrs. Blackman tells

you to do! Take CIS 450 without a full load Pick group members before CIS 450 starts Be able to explain EVERYTHING during your

presentations Freddie listens to country music. Make sure to turn items to Mrs. Richardson

before 12:00…… not 12:05! Victor’s laptop is made by Fisher Price.