OIS 5000 Case Project Marketing Advantage Deliverable 1 Overview

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    OIS 5000

    Case Study Deliverable 1

    Deliverables:

    The first project deliverable includes the two critical items

    Process Hierarchy

    !sin" the list of processes that was compiled by your junior cowor#er$ or"ani%e the processes at

    &ar#etin" 'dvanta"e into a meanin"ful hierarchy( )lease structure the hierarchy accordin" to a

    *alue Chain +,unctional- view( Since the list contains varyin" levels of "ranularity$ you are

    allowed to create additional process "roupin" units$ rename e.istin"$ or delete e.istin"( )rocess

    hierarchy should be "rouped accordin" to a clear numberin" reference(

    Project Prioritization Matrix (aka QFD)

    /ased on interviews with owners$ mana"ement$ and staff$ we have identified processes at

    &ar#etin" 'dvanta"e that are particularly important and are also stru""lin" ri"ht now( The

    followin" table summari%es notes and observations about these processes( our job is to createa prioriti%ation matri. +2,D- to help the team #now where to focus attention on process

    improvement( )lease label assumptions and provide additional comments on the evaluation

    scores( 3rite 46 para"raphs about your recommendations and justifications for your

    recommendations(

    The followin" processes should be prioriti%ed usin" the template for )rocess )rioriti%ation &atri.

    +published online at Canvas-( The criteria for prioriti%ation are

    Internal Impact +employees-

    7.ternal Impact +Customers-

    Improvement ,easibility

    Current State )erformance

    ,inancial *alue from Improvement

    8ic# +the owner- e.pressed the relative importance of these criteria as follows

    Internal Impact +409-

    7.ternal Impact +09-

    Improvement ,easibility +109-

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    Current State )erformance +109-

    ,inancial *alue from Improvement +409-

    Proposed Scope of Improvement ProjectBased on discussions with members of Marketing Advantages management team,

    the processes related to Wholesale Large Format Accounts will be area of rst focus!hese customer accounts struggle with the following challenges"

    # $nventor% Management& 'ush (rders Management) Work*ow Management4. +ualit% Assurance

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    )rocess :ame ;

    Description

    Interview :otes

    Inventory

    Management:he !"l!illment o!

    or#ers !or $arge

    Format Printing

    generally re%"ires

    t&o main inventory

    items:

    1( Me#ia' his is

    the !abric

    material "on

    &hich the

    clients logo

    an# #esign are

    rinte#

    *' Har#&are'

    hese are the

    str"ct"ral arts

    re%"ire# !or the

    tent or

    marketing

    stan#'

    $n conversations with several emplo%ees, the process of

    $nventor% Management was raised repeatedl% as being a mainproblem ince issues with inventor% touch so man% di-erent

    people in the compan%, it causes widespread frustration when

    inventor% is not available (ne emplo%ee even estimated that

    ./0 of orders e1perience some issue with inventor% not being

    available at the right time

    2ven though this process is criticall% important to the smooth

    *ow of the business, it is unclear how $nventor% is managed in

    the current environment !he process is performed in an ad3hoc

    and inconsistent wa% ometimes, the sales team will place an

    order for the media and hardware and other times the production

    team will place orders with their inventor% suppliers

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    )rocess :ame ;

    Description

    Interview :otes

    +"sh ,r#er

    Management:

    he exe#ite#rocessing o! an

    or#er is inten#e# to

    be "se# on a rare

    excetion basis'

    +"sh or#ers byass

    the tyical &ork

    %"e"e an# are

    lace# at !ront o!

    the riority list'

    +"sh or#ers also

    involve shiment

    &ith overnight

    services'

    Wholesalers who place orders with Marketing Advantage on

    behalf of their end clients often misunderstand the Large Format

    printing process Wholesalers underestimate the work involvedwith creating Large Format items 7such as tents and displa%

    stands8 9er% often, the end customer 7the client of the

    wholesaler8 does not have the right graphics and logos for use

    with large format items :suall%, their logo works great on small

    items 7like pens and other trinkets8, but does not work well on

    large items

    !his lack of understanding b% the Wholesaler about Large Format

    can occasionall% create the need for 'ush (rders !hese rush

    orders pla% an important role in servicing the needs of

    wholesalers and the abilit% to deal with rush orders e-ectivel% is

    a ke% part of Marketing Advantages strateg% to become a

    *e1ible and responsive partner for Wholesalers

    'ush (rders were originall% intended to be an e1ception to the

    normal process, but latel% the number of rush orders has made

    them more the norm than the e1ception $f not managed

    e-ectivel%, these 'ush (rders have an e1tremel% disruptive

    impact on the entire work *ow for Large Format printing As one

    order gets prioriti;ed as a rush order, that necessaril% means

    that the other orders in the 6ueue get disrupted

    !he Wholesaler and the end customer are often unaware of the

    internal challenges re6uired to e-ectivel% deal with rush orders

    Marketing Advantage generall% does a good

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    )rocess :ame ;

    Description

    Interview :otes

    -ork!lo&

    Management:

    he rocessinvolve# &ith

    managing the !lo&

    o! in#ivi#"al or#ers

    !rom incetion to

    comletion' .lso

    involves the

    interaction o!

    m"ltile or#ers as

    they comete &ith

    other or#ers !or

    riority/ time/ an#

    reso"rces'

    Marketing Advantage has seen such strong growth in recent

    %ears that the processes involved with work*ow management

    have not been well dened $n the current environment,customer orders *ow in a halting, inconsistent, nonstandardi;ed,

    and ad3hoc wa%

    As a sales representative takes an order from a wholesaler for an

    end customer there is no standardi;ed wa% that the order will be

    completed as it *ows through the various stages of design,

    printing, nishing, shipping, and invoicing !he sales

    representative generall% works with each group individuall% to

    make sure his@her order gets completed !here is no centrali;ed

    6ueue management process that guides the priorit% and *ow of

    orders through all stages of the fulllment process

    !he lack of a standardi;ed work*ow process creates direct

    challenges for internal emplo%ees First, emplo%ees constantl%

    feel the pressure of pleasing individual sales representatives who

    come and advocate for the priorit% of their individual orders

    2mplo%ees are often torn between pleasing one representative

    and disappointing another econd, emplo%ees are interrupted

    b% sales representatives who come asking about the status and

    progress of their individual orders ince sales representatives

    have no s%stem that captures the progress of an order throughthe lifec%cle, the% must bother and interrupt each fulllment

    group to get a status

    ustomers dont directl% feel the negative impact of a poor

    work*ow process 5owever, the lack of standardi;ed and robust

    work*ow management contributes to 6ualit% issues and timing

    pressures when the compan% isnt able to e-ectivel% balance the

    internal ine?ciencies of an inconsistent process

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    )rocess :ame ;

    Description

    Interview :otes

    Q"ality .ss"rance:

    In the c"rrent

    rocess/ each or#eris insecte# !or

    %"ality iss"es by

    the !inishing team'

    .!ter se&ing the

    material onto the

    har#&are/ the

    !inishing team

    insects !or

    rinting roblems

    an# other

    !ormatting

    roblems' I! they

    i#enti!y roblems/

    they noti!y sales

    reresentatives

    &ho &ork to

    correct or recreate

    the or#er'

    In a recent interview$ 8ic# the owner of &ar#etin" 'dvanta"e e.pressed concern

    that too many orders e.perience problems that are ultimately detected by the end

    customer( The finishin" team has been "iven a =uality assurance role$ but they donot detect and prevent all defects from reachin" the end customer(

    The sales$ desi"n$ and printin" "roups have come to rely too much on the

    finishin" team for =uality assurance( These teams are not intentionally ne"li"ent

    or careless with =uality$ but they trust that mista#es will be cau"ht by the

    finishers( This overreliance on a manual =uality chec# at the end of the process

    causes about 159 of orders to e.perience rewor# and defect correction(

    The end customer ultimately discovers =uality issues when the order arrives(

    !nfortunately$ "iven the sensitive and ur"ent nature of mar#etin" campai"ns$ it is

    often too late to correct problems with orders before the mar#etin" event(

    Internal employees e.perience the frustration of rewor# when =uality issues arise(

    It becomes demorali%in" and discoura"in" when a job or order must be done

    twice +or more-( This is especially true considerin" the amount of ur"ent wor#

    that already e.ists in the =ueue(

    0val"ation:

    This first project>case study deliverable will scored on a scale of 50 possible points +45 for hierarchy and

    45 for prioriti%ation matri.-(

    The process hierarchy will be "raded on the followin" points

    $ogical str"ct"re an# organization o! rocesses' There is no absolute best way to or"ani%e

    these processes$ but your approach should be rational and lo"ical and show that you understand

    the relationship amon" these processes and their placement in a hierarchy(

    Formatting( Is the hierarchy clear and understandable? Does the hierarchy follow a consistent

    numberin" structure?

    Hierarchy 1onsistency( Is there consistency in the "ranularity amon" the processes at each

    hierarchy unit? ,or e.ample$ are the units at