Implementing a New CRM System for Wesfarmers Limited

Running head: MANAGING INFORMATION SYSTEM
January 20
2019

MANAGING INFORMATION SYSTEM 1
Letter to Sponsor
Mr. Rob Scott
Managing Director
Wesfarmers Limited
123 St Georges Terrace, Perth WA 6000,
Australia
Wesfarmers Limited is one of the largest conglomerates of Australia with the mission to offer
the best quality services to the customers around the world that could increase the satisfaction
level of the customers. As it is clear, that new CRM system has performed an important part
in the retail industry and the key competitors of Wesfarmers have already installed the system
to attain competitive advantage. The newly installed CRM system will assist management in
maintaining a relationship with the customer, enhancing efficiency, increasing productivity,
and making strategies for the business.
It is a pleasure for me to present this reported proposal regarding implementing a new CRM
system in your company. As per the analysis, the key role of CRM system in your company
must contain recording all the activities of sales, delivery best customer experience, data
analysis, offering on demand CRM solution, introducing customer experience portfolio, and
in-store services. The projected time for the development of a new CRM system into the
business is four months, which will be, divided into seven steps of system development life
cycle. The primary activities are detailed in the report.

MANAGING INFORMATION SYSTEM 2
I look forward to hearing your response and deliberating the attach report proposal regarding
the development of a new CRM system.
Regards,

MANAGING INFORMATION SYSTEM 3
Executive Summary
The intent of this reported proposal is to develop the understanding related to the adopting
information system into the business for the growth of the business in the long run as well as
short-run. The paper is comprised of a brief analysis of the Wesfarmers Limited for which the
information system has been suggested. The company is dealing with numerous challenges
such as competition, increasing cost, and decreasing satisfaction of the customers. In order to
overcome these challenges, the paper has recommended Wesfarmers Limited to adopt
Analytical CRM system, which operates to retain and acquire customers for the business by
gathering data, related to the existing and potential customers.

MANAGING INFORMATION SYSTEM 4
Table of Contents
Letter to Sponsor........................................................................................................................1
Executive Summary...................................................................................................................3
Introduction................................................................................................................................5
Background of Wesfarmers....................................................................................................6
Market Analysis.....................................................................................................................6
External Analysis of Wesfarmers...........................................................................................7
Porter Five force Model.....................................................................................................7
Internal Analysis of Wesfarmers............................................................................................8
SWOT Analysis.................................................................................................................8
Problems and Opportunities.................................................................................................10
The justification for Analytical CRM system......................................................................11
Cost/Benefit Analysis for Analytical CRM system.........................................................12
Cost/Benefit Analysis for Wesfarmers Limited...............................................................13
System Analysis and System Design...................................................................................13
System Development Life Cycle of Analytical CRM System.............................................14
Planning............................................................................................................................14
Requirements....................................................................................................................14
Designing and Prototyping...............................................................................................14
Software Development.....................................................................................................15
Testing..............................................................................................................................15
Development....................................................................................................................15
Operations and Maintenance............................................................................................15
Post Implementation Activities............................................................................................15
Project Management.............................................................................................................16
Change Management............................................................................................................17
Risk Management.................................................................................................................17
Conclusion................................................................................................................................18
References................................................................................................................................19

MANAGING INFORMATION SYSTEM 5
Introduction
An information system is said to be a set of components that operate together to manage
storage and data processing. The role of an information system is to assist the main features
of running the business, like record-keeping, data analysis, decision-making, communication,
etc. This information is used by businesses to enhance their operations, take decisions, and
attain a competitive advantage (Gunasekaran and Sandhu, 2010). Information systems
classically comprise a mixture of hardware, software, and telecommunication networks.
Modern technology can majorly boost the productivity and performance of the company. The
information system does not have any substitute, organization globally relies on them to
investigate and identify new ways to make a profit, involve customers, and rationalize time-
consuming tasks. With the support of an information system, a business can save money and
time at the same time taking smarter decisions (Lugmayr, Stojmenova and Stanoevska,
2017). The international department of a company like sales and marketing, can easily share
information and communicate better. As this technology is automatic and practices complex
systems it decreases the chances of human error. Besides this, personnel can concentrate on
the key features of business in place of spending hours in gathering data, performing manual
analysis, and filling out paperwork (Baglieri, Metallo and Rossignoli, 2014). The paper is
aimed towards discussing the importance of using information system into the business and
the way it assists in resolving issues and increasing long-term productivity. The paper will be
comprised of highlighting the seven steps involved in the system development life cycle and
its cost-benefit analysis to analyze its feasibility. Wesfarmers has been selected for which an
information system will be selected that will support the company in enhancing its results and
performance. Besides this, the paper will examine the risk involved in the implementation of
the information system and the way they will be managed by the business.