Ais Implementation Case Study
Project III
Kirstin Johnson
DeVry University
Abstract
Steve Cowan is the owner of a distribution company of salon hair products. The company, Professional Salon Concepts, (PSC) was growing and decided to upgrade their AIS to support the demands of the company. Steve hired Mike, his brother-in-law to assist him and the two of them began to research the different products available believing they could better determine the needs of the company than a consultant could. After a short time they bought first one and then changing their minds and bought a second system. After a short training period the new system was installed with some very problematic first few days. Eventually the system was up …show more content…
The conversion alone cost him a 15% drop in sales and none of these expenses were calculated into the cost of the new AIS. Steve and Mike should have consulted an accountant to help with the crunching of numbers before they had purchased the AIS from DSM. One other mistake they made in this purchase was not to have the extra features written into a contract as a part of the cost.
Shipping and Fraud
Is there a way PSC could be defrauded by the new multi-box shipments? After looking online for ways the only thing I could come up with was for the customers to claim that not all of the boxes were received. Because they only require one packing slip for multiple boxes, one of the boxes could just not make it to the stores or items could go missing from the shipments. I don’t think it would be hard to say that one of four or five boxes was missing an item. Without a packing slip in each box it would be easy for something to be overlooked when they are being packed. I’m not sure if there is another way the multi-box one packing slip approach could be defrauded.
Level of Service
On a level of one to five, one being the best, I would probably rate DSMs level of service about three. DSM was not the worst company I have read about but they could have stepped up their service. One of the things they could improve on is their training.