EB Project Feasibility

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CINergy CorporationFeasibility Report to make the operationsonline

Submitted To

Mr. Umar Safdar Kayani

Submitted By

Shahbaz Siddique

(CIIT/SP09-MBE-057/LHR)

Junaid Manzoor

(CIIT/SP09-MBE-038/LHR)

Department

Management Sciences


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CINergy Corporation

Executive Summery

CINergy Corporation is an international corporation that deals with the providingof the services solution to the other firms and partners. This particular company provide

the services to those firms those are not performs their functions well and have limited

budgets to performs these functions. The company has provides the admin support

services to the staff, training and development and also outsource the services on behalfof the other partners or firms. Company also involve in the business of import and export,

importing stationary items from China and exports these or sell this stock to different

companies or wholesalers.

The objectives of this feasibility report to analyze the online business

opportunities and marketing opportunities for the company. In this report it is analyzesthat the company has a much potential to improve their business online. There are

numbers of online business opportunities for the company if it makes their operations

online. It is also suggest to the company according to the cost involve in the developing

the online business. Solutions are also provided to the companies toward these kinds ofcost and technical issues.

There are also some kinds of risks involved in this type of the business likeinvestment risk, political instability, energy crises etc.

The last part of the report includes the making of recommendation towards operation the

online. These recommendations include the strategy to make the business online, howmuch it time take and how much cost it involve, what are the basic equipment, software

are appropriates for this plan, what kinds and how many personnel are need to make thisplan into reality.

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Comsats Institute of Information and Technology Lahore


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CINergy Corporation

Acknowledgment

First of all we thanks to Almighty Allah Who is most Beneficentand merciful. We are also thankful for His countless Blessing on us thatwe are Muslims, we are free nation. We are so much grateful for ourBeloved Prophet Hazrat Muhammad (SAW) who tells us the right paththat leads to us to path of Allah. After that we are so much grateful forour parents those are supporting us and able us to become educatedand able to understand what is wrong and what is right. We are alsograteful to COMSATS who provide us a network and channel by whichwe can learn and adopt more knowledge and skill to develop ourfuture. Most important we are grateful to our lovely and kind teacherMr. Umar Safdar Kayani who share his experience with us andguides us to learn critical aspects of the Electronic Business those arenot found in any books of the world.

This report is combined effort of me and my other colleague. We referthis report to our Electronic Business teacher Mr. Umar Safdar Kayani.We are both thankful for all our other friends and those who help us inthis project.

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CINergy Corporation

Reference Person

For our report purpose we met the companys CEO Mr. Ifitikhar Ahmad Ch. Cinergy

corporation for the information about company. Mr. Ifitikhar makes full contribution to

help us in this regard and assure us to for his full cooperation with us.

We have seen the companys operation by the direct meeting with all the employees

working at Lahore. Under is the scanned Visiting Card of the CEO

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CINergy Corporation

Table of Contents P.No

Executive Summery 2Acknowledgment.3

Reference person..4

Chapter 1

1.1 Introduction..6

1.2 Product and services 6

1.3 Company Type.7

1.4 Limitations...7

Chapter 2

2.1 Objectives of the report8

2.2 Technology...8

2.3 Online market Environment and Competition.8

2.4 Management and Personnel.9

2.5 Industry9

2.6 Business Model..10

2.7 Marketing and Sales Strategies..10

Chapter 3

3.1 Operational Requirement/Plan for System11

3.2 Financial Feasibility...12

3.3 Financial Benefits...13

3.4 Non-Financial Benefits....13

3.5 Solutions.14

3.6 Risk Factors... 15

Chapter 4

4.1 Recommendations...15

4.2 References......16

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CINergy Corporation

1.1 Introduction

1.1.1 Company Profile

Believes in

1 + 1= Infinity

1.1.2 Vision Statement

Strategic objectives of our firm is to perform best management practices and

strive to achieve much higher business plan targets with cost solution for all our businesspartners.

We envision developing trust, co-ordination, co-operation and smooth businessrelationships.

We work for rapid expansion of our business partners by getting slight share in

the operational cost, which tends to our firm into profitability.

1.1.2 Mission Statement

To develop extremely, skilled motivated and professionally trained workforce to

meet all the objectives of our business partners.

To take the best possible care of all of our internal and external customers through

the unique abilities and highest quality services.

To respect all the polices and procedures of our business partners and imparteffective efforts in its all implementation and communication.

1.2 Products and Services

Its is the core principle of the all sky high companies that they only focus on their

core business as well as to training and development of the motivated workforce over the

research, finance marketing, and sales of their products and services. The outsourcing oftheir management services to a professional firm like CINergy always remain in the

interest of the organization in the following way:

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CINergy Corporation

a) To involve admin/support staff directly into the business and external shaping of

the organization.

b) To get professional services at low monthly costs through long term servicescontract.

c) To reduce the number of heads counts in the organization involved non-businessworks.

d) To eliminate the cost of additional salary perquisites for the non-business stafflike provident fund, Gratuity, EOBI, Social Security and education Cess etc.

e) To eliminate the cost of managing the personal issues of non-business staff.

f) To reduce the procurement cost through professional buying tactics.

1.3 Type of the Company

The company has structure that is click and mortar. The basic functions of the

company are done through the computerized systems. The company has an internet but as

for communication tool, and for only contacts with its partners. The most ofcommunication is done through the exchanging of emails. All other work of the company

is done through the manual way like the record of the employees, salaries, attendance,record keeping, and other kind of activities.

Products

The products of the company are not in digitizing formats. Company provides the

products and services those are in physical form and through the physical means.

Process

The process some extent to be digitized formats but the others are in manual form.

Delivery

The delivery agents of the company are also working in the manual formats. All

the deliveries are made by the physical means.

Network Type

The company has a network type called Intranet because the company has using

network within the organization limited to the building of the organization. The work is

shared through the systems, activity to activity base.

1.4 Limitations of the Operations

Followings are the limitations of the operations of the company,

The company has dealing database that is in manually form which involve high

cost.

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CINergy Corporation

The company has no network structure outside the organization with its partners.

The orders of the company are taken through the email which is so unsecured.

The company has no its official site which deals with its partners and customers

and have no corporate portal.

There are no proper marketing tools used for advertisement of the company.

The company has no other affiliated department to deal with fulfillment of verityof services.

2.1 Objectives of the report

The main objectives of this study represent the mission and vision of the organization

that leads us to the followings objectives include

Making a system that deals with the online marketing of the Cinergy corporations

offering to wider prospective Making the Company available online through its website

Making a system in which all other partners of the organization are every time

connect and has a relation in terms of inventory management and accounts

handlings

Make all the recording systems of the company computerized.

On the basis of our objectives there is need to detailed discussion on the objectivesaccording to its marketing viability, Technical viability, business model viability, Time

and Financial viability, and Management viability. These are discussed below:

2.2 Technology

For our previous viability and for making the organizations operations online it is

required to assure that there is strong technical workforce and assistance is available to

develop this system. The existing technology in the organization is not more than to usethe computers simply for routine working. For fulfillment of objectives there is need of

technical staff as well those are able to build and control the activities of the online

transactions or support services. At initial stages it is only need the one or two site

developer after successful completing the first stage its need to be more enhance the siteto order taking, order fulfillment and online support services.

2.3 Online Market Environment and Competition

According to our objective the main focus of our study is to examine the products

viability and services viability with the online operations. As the nature of the

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CINergy Corporation

organization it is main concern of the business activities to online the services of thecompany through by which other partners or companies can easily access the all type of

services available. Through they are also able to get information about these services,

terms and conditions and their availability in different locations. This feasibility studyalso has to examine, whether it is right to use internet as marketing campaign for our

services.

Our feasibility study analyzes that there is so much need of these kind of servicesthose our selected company is basically providing. This segment has so much potential

because there are so many organizations that needs of services those are out reach of the

other business and involve so much cost. Because our selected organization hascapability to arrange these kinds of services at lower cost and have strong relations with

its partners, so it is need to provide a network through which the company is able to make

contracts with other business organization those want a solution of their businessproblems and have to deliver these promises.

Another silent feature of making the organization online is to introduce theorganization as the importer and exporter of the routine stationary items. As discussion

with the CEO of the organization we have found that the organization has a potential to

make agreement and has ability to fulfill these agreement regarding to the import and

export of the stationary item to business-to-business, business-to-consumer. Companyhas only facing the problem having no marketing campaign and any advertisement of its

ideas.

In Pakistan the company has not any competitor. Only in Dhaka Bangladesh

Company has two / three competitors. One is Grameen Phone/Bangla Link. In Uganda

and Congo there is only one company who is doing this job in Telecom sector.

2.4 Management and personnelThe company has 124 employees and personnel in the different countries. These

countries with include Pakistan, Bangladesh, Uganda, Congo. The division of theemployees in companies is 60 in Lahore Pakistans, 86 in Dhaka Bangladesh, 46

Kampala Uganda, and 32 Braizevealle Congo. These employees are mangers,

technicians, trainers and other kind of personnels.

2.5 Industry

As per the introduction of our company, the company deals with the all support

and direct services related to the staff, technological and other kind of services. This fieldof the services has high growth rate because of the every organization has many problems

relating their staff, technology, training and development, etc. Company has high

potential to serve the all kind of these companies because the company has wide range ofrelation with other services related, education and training related institutes.

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CINergy Corporation

Its also found that the company has many future demands in accordance with its services

types.

2.6 Business Model

The corporate is currently providing the services to WARID Telecom Pakistan.

These services involve the processing of SIM Cards. This service includes creating ormanaging the SIM card, makes available the SIM for using of the consumers, generating

access codes, like PIN codes or PUK codes, installing the application in the SIM through

the some kind of software.

Company is also involved in a business of import and export. Its purchase the

stationary items form China and sell them in the local market or Local consumers. Its also

directly provides these stationary item to the various companies in Lahore.

Except of all these activities the company is touch with its core current missions

and offer large verity of the services to the all other companies. These are the mainsource of funding of the companies. All the revenues are earned from these sources or

activities.

2.7 Marketing and Sales strategies

The Main strategy to sell and advertisement of the corporate services is to makethe system of communication and attracting the customers online through the company

portal.

Currently the company has partnerships with lots of other companies those are

involve with services provided by the company. Example if a company involves

providing the training to other companys staff, relationship currently activated betweenthese two partners and if our company outsources these services, it can involve the three

companies including the CINergy Corporation. The strategy involve to make a systems

where the active companies are interlink with each other and automatically has toupdated their databases after transaction and end of the contracts. There should be on

place where the all these parities has contact with each other about their level ofinvolvement.

The company has strategy to sell directly to its customers through its sites or

portal because the aim of the company is to provide the services and products at a lowcost.

The other aim of the organization is to provide all kinds of services specification/products

charges and prices, terms and condition, guarantees and warranties.

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CINergy Corporation

3.1 Operational requirements/Plan for system

By analyzing the cost and benefits of the system we have the following plan for

development of the company portal for its membership society.

Membership process and communication with partners

Current Process E-enabled

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Initial

Contract

Dispatchapplication pack

Completedapplication packreceived

Cheque isbanked

Memberenteredon tosystem

Document sentthroughpost

InitialContract

Application packdownload

Application madeviainternet

Payment

receivedonline

Memberdetailscheck

Memberenteredon tosystem

Document sentthroughemail


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CINergy Corporation

3.2 Financial Feasibility

3.2.1 Technology cost

To produce the ecommerce website it is need to a fast internet connection as

available in Pakistan like 4MB, 6MB or 8 MB, cost of web server and software. Other

cost involves the payment system like using banking services for receiving the payments.

3.2.2 Cost of the Programmers

This phase include the numbers of site developers. There are at least two or three

programmers.

3.2.3 Costs for the consultancy support

It is involve the cost of the services like guidance and techniques from the specialists.

3.2.4 Cost of the training of the admin staff

This section involve the cost of the organizational admin staff because there is need to

little bit training of the staff to better understanding the operations of the company.

3.2.5 Running cost

This will involve the cost of running the web server and its maintenance cost.

3.2.6 Running cost of change the process

This cost involve because the training of the employees adapting new businesstechnology.

As having internet and all the operations are online this will also involve the cost of

become familiar to respond the emails, quires and complaints that required quickresponse while replying to customers/clients via email. If all these cost and training

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phases, achieved this will make the system efficiently working and most beneficial to thecompany.

3.3 Financial Benefits

3.3.1 Improve the cash flows

The new introduced online payment system decrease the lead time to receive the

payment within same day of the transactions or take minimum time. As the old system

takes aver 14 to 15 days. The above figure is showing that over all method of managingthe members or customers of the operations. As you can see in the figure that is online

payment is also an element of this whole efficient management system. As the

application process is completed the documents are sent to the partners via emails, that

reduce the time and cost, printing and posting cost of the members or partners. When themembers or clients are not have an email address these are allowed to download the

document form the company site.

3.3.2 Increase in revenues

It is also the source of the revenue if the members will visit the portal of the

organization. The goggle adsence are providing the facility earn the profit through

commercial and advertisement of the other companies at the sites.

3.4 Non-financial Benefits

3.4.1 Communication

From the non-financial benefits, the main benefit of the making system online is a

enhancement of communication network. This involves low cost as compared to the high

cost in traditional system. The companies can communicate with others partners withoutany problem in 24/7.

3.4.2 Transparency

The information management website is a great source of getting information bythe new members or other general public and makes the membership process efficient

and transparent. Like other members have knowledge about number of members with the

organization, memberships date or level.

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3.4.3 Globalization

As the company has the internet and has portal, this will make the company

international and company can targets the customers from all over the world.

3.4.4 Profiles of the Respondent

The membership system enables the company to get the personal information ofthe members like name, full address, and credit card information. This is more beneficial

to target the customer and link with them through email.

3.5 Solutions

The new strategy that described above required a efficient database for its site.

For example storing of data, modification, and retrieval of information from its member

need rational data base management system. The available commonly used databases areMs Access, MySQL, and MS SQL Server.

Company can manage the payment from the members. There are many option of makingthe payment online but from them these are the most common systems:

Payments by the credit cards that is manual putting of the credit card number onthe site.

PayPal services, third party deals with the online accounts of the organizationsand individual mange the overall payment and receipts of the revenues andpayments.

Using the online banking system, the payment are received through the banking

services

3.5.1 Technical SolutionMySQL is preferred on the other databases because of the following reasons;

MySQL is licence free for registered charities.

MySQL can handle 50,000,000 + records.

MySQL is an ideal database type to create a prototype of an e-commerce web site.

The MySQL database can be easily upgraded to MS SQL at a later date.

MySQL with the use of ASP (Active Server Pages) can best satisfy the functional

requirements.

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3.6 Risk Factors

There should be include the risk factors, investment insecurity but it is not a bigissue because every business has some risks towards its investment but this type of risk isminimum as compared to the other kinds of risks like purchasing of materials, risks in the

projects type of the business, purchasing of securities etc. Other kind of risk involves the

political instability in the country, although these risks get much attention towards thesafe business activities. All other firms dealing Pakistan are not willing to more servers in

Pakistan because their much political influences in the activities of the business, there are

heavy interest rates, taxes and other kind of duties in import and export. So it is suggestkeeping in mind this kind of risk.

4.1 Recommendations

Here the recommendations regarding with the whole project plan. The recommendations

are followings;

Company has business in different countries so it is great need to develop anetwork and communications system between these companies.

Company should develop a site or corporate portal through the informationregarding the company and any product or services are detailed described.

There should be a complete exchanging of information between the partners

through this portal.

The company should be recommended to adapt MySQL database managementsystem through the each member can access the information and updated the

information according to their authority.

Company should use the any payment system that is described above but Irecommend the two system those are using credit card and through the banking

systems.

Company should also recommend training of its employees for adapting the newbusiness environment and deals to meet the requests and quires of the customers

and partners.

The all over recommendations involve the some cost, if the company has not

funds available for this plan company can borrow it form any bank those providethe loans short-term. Because it is not a long-term project, the system can be

developed through 7-8 months and will be soon generating the cash after its

completing.

It is also recommended to the company to purchase a web server and other related

equipment, Software and hire some of the site developer and site manager to

manage the all activities through the portal.

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All the recommendations are made in view to the overall benefits by the

converting the traditional business to online. By this plan it is expected that

company can earn the double profits and gain the famous and stakeholders

confidence.

4.2 References

Information received by the direct meeting with the CEO

http://EzineArticles.com/?expert=Idrees_Ahmed visited on 25 December

2010 at 9:50 pm.

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http://ezinearticles.com/?expert=Idrees_Ahmedhttp://ezinearticles.com/?expert=Idrees_Ahmed

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EB Project Feasibility