Systems Proposal, Implementation, Development: David's Used Car

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AI Summary
This project presents a detailed systems proposal, implementation, and development plan for David's Used Car, a dealership currently using a manual, paper-based system. The proposal outlines the problems with the existing system, including inefficiencies in record-keeping, commission errors, and time-consuming paperwork. The solution involves implementing an off-the-shelf computerized system to manage stock, customer information, and employee data. The project analyzes the financial costs, user behavior considerations, and potential disadvantages of the proposed system. It also addresses implementation issues such as technical and security features, including the need for user training, vendor support, and system upgrades. The project includes a projected cost of sales, survey questions to gather information about the business, and a letter for system set up, demonstrating a comprehensive approach to improving business operations and efficiency through technology. The proposal suggests the implementation of software that can help track files, schedules, deadlines, and documents, ensuring efficiency and effectiveness of the operation. This will help the company to save costs, errors, and time wasted on paperwork, and reduce the possible errors thus reducing the high costs of paying customers more than once.
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Systems Proposal & Development 1
SYSTEMS PROPOSAL, IMPLEMENTATION AND DEVELOPMENT
By Student’s Name
Code+ course name
Professor’s name
University name
City, State
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Executive summary
David’s used car uses paper folder to record information of purchased cars. Since the existing
system is paperwork and preparing, changing and retrieving information takes a longer period,
the company wants to change the existing system into a new computerized system. Most of the
entries accumulate car information in the folder and maintain an alphabetic cabinet file by car
model and make. An off-the-shelf tool is proposed to help to address specific needs and is
targeted at large markets audience. This software considered affordable since their costs of
development are distributed to many audiences. The owner should consider the initial cost of
implementation and maintenance. These costs are usually high and therefore an analysis has been
done to identify the benefits. For new implementation consider the features of the new system
and analyze the security features also.
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Systems Proposal & Development 3
Systems Proposal, Implementation, and Development
Introduction
Background information
David’s used car company is owned by David Steel. It is a dealership company that buys and
sells used cars. David has a stock of about 200cars and he buys and sells approximately 10cars/
day. Steele repossesses a car from banks, purchases trade-in cars from new vehicle dealers and
obtains cars from auctioneers. Currently, steel employs two sales person and five mechanics to
prepare and repair vehicles for resale. The owner and salespersons operate from the office in
front of car yard and the mechanics work under the shard behind the yard. David does not accept
payments for from cars in trade.
Steel uses paper folder record information of purchased cars. He accumulates car information in
the folder and maintains an alphabetic cabinet file by car model and make. Every car is assigned
a unique identification number with five digits in advertisement and on the lot (Hambrick &
Cannella, 1989, p. 342).
Statement of the problem
Steele has been using a manual system to record and store data for the cars he buys and sells. He
uses a paper folder and master sheet. He also stores his employees’ information concerning sales
and commission on a separate account and files with a unique sequence number. David’s system
has no problems. He sometimes forgets to update prices on car stickers to show repairs made.
These errors are frequent and are not easily discovered until the time of selling. He forgets to file
Friday folders of car sales and commission payments. In the recent week, Salespeople are not
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Systems Proposal & Development 4
receiving their required commission. David has noticed that some cars have stayed on the display
for a long period before being sold. Steel has no time to review the problem and identify those
cars for resale. Despite receiving assistance from his daughter, David uses much time on
paperwork. This makes him frustrated since information is inaccurate and analyzing and
processing paperwork is time consuming thus making business management difficult. This leads
to system inefficiency that is time-consuming and increases in the cost of money (Hambrick &
Cannella, 1989, p. 342).
Solution and control
A computerized system as technology practice serves as a control and solution to David’s used
car. An all-in-one and easy-to-use systems will assist David to manage his business time and
inefficiencies. Even though steel does not have formal education and has no computer
information, having this system will help him to control stock management, customer
information, and employees’ information. He fears to learn computer but has information about
computer system making clerical operation simple. He is aware that once information is stored in
the computer, that information can be used to generate various kinds of information useful for
analysis and cash flow improvement. Therefore he should implement software that can help track
files, schedules, deadlines, and document. This will ensure efficiency and effectiveness of the
operation. The ability of computer storing large data saves cost, space and convenient for use
(Carnall, 1999, p. 167).
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Systems Proposal & Development 5
Proposed system
An off-the-shelf tool is used to address specific needs and is targeted at large markets audience.
This software is affordable since their costs of development are distributed to many audiences.
Therefore this system needs more generic and complex functions and features to enable it to
address all the needs of David’s used car. The system will be implemented if there is enough
support from users and management. This will enable the organization to do its operations
efficiently and automatically. The system is always maintained, supported and developed by
solution vendors (Gattiker, 1990, p. 156).
The system needs the following features:
1. Financial cost
The owner should consider the initial cost of implementation and maintenance. These costs are
usually high and therefore an analysis of the benefits and costs need to be done before buying the
new system. For David’s case, the system will be operated and developed by the existing
software and hardware infrastructures. So that he cuts down the additional costs (Egan, 2007, p.
187). It is believed that an investment of $2500 within four years will increase sales from $10000
to $ 55000, gross margin from $8000-50000 and profit from $2000 to $15000.
2. Users behavior
Users have to be trained on the use of software to allow them to have knowledge of how
the system works.
The user should have support services from the vendors of the system.
The software upgrades and updates should happen frequently in order to help the system
work well (Kotter & Schlesinger, 1979, p. 134).
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Disadvantages of the system
Low cost-the initial cost of purchase and implementation are high. This is because the
system requires maintenance cost, upgrades, license fee and website costs which
increases the budget.
It is not a good solution to the business since it has a lot of hidden costs.it involves a
change of staff behavior and processes through training which may be costly.
It may not meet all the needs the company wants and therefore not reliable.
The business process has to change to meet the functions of the software. This increases
the cost of operation (Wasserman, 2013, p. 345).
Implementation issue
We will implement on the shelf software application to test the efficiency of operation. A trial of
the system will be done in the first six months and this will provide an opportunity to get
feedback for further planning. We plan to have a supplier-customer application and portal online
for easy access (Strauss, 2010, p. 123). Our system implemented will focus on attracting new
customers and retaining the existing ones. Being Loyal to customers is crucial to help us generate
a lot of return as well as earn the reputation and good image.
In the process of implementing there are many issues that arise and need attention they include:
1. Technical features
The system should have enough capacity and capability to perform tasks. This will help
provide reliable, accurate and secure information.
The environment with which to implement the system should be well ventilated for the
system to work well (Stephen, 2007, p. 234).
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The system should be flexible to allow users transfer information easily through the
network. They should be able to compress large amounts of data and files within a short
period of time without causing difficulties
This system will have a software that will help the user work with it without having any
difficulty e.g. missing data, easy contact and view data (Hess, 2011, p. 567).
2. Security features
The network should provide security features for the transactions that take place within
the company.
The system should have the ability to identify the user by providing communication to
the authorized user in relation to the prescribed security features (Fields, 2014, p. 126).
It is projected that a new system will see the company increase sales up and by so the profits of
the company will go up as well. The system will help reduce the possible errors thus reducing the
high costs of paying customers more than once (Ries, 2011, p. 45). These sales are shown in the
graph below in Appendix 1.
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Reference list
Bruce , R. & Barringer , R., 2012. Entrepreneurship: successfully Launching New Ventures. 1
ed. New Jersey: Wiley.
Carnall, C., 1999. Managing change in organizations. London: Prentice Hall.
Egan, J., 2007. Marketing Communications. London: Thompson London.
Fields, R., 2014. Restaurant Succes by the Numbers. A Money guide to Opening the Next New
Hot Sport, 24 07.
Gattiker, U. E., 1990. Technology management in organizations. Newbury Park: CA: Sage.
Hambrick, D. & Cannella, A., 1989. Strategy implementation as substance and selling. Academy
of Management Executive. 1 ed. London: Prentice Hall.
Hess, E. D., 2011. Growing an Enterpreneurial Business. London: Palgrave.
Kotter, J. & Schlesinger, L., 1979. Choosing strategies for change. Harvard Business Review, 23
3.
Ries, E., 2011. Lean Startup. Sydney: Australia: EMU library.
Stephen, J., 2007. Ultimate Startup Directory. London: Sage.
Strauss, D., 2010. Planet Entrepreneur. 1 ed. North America: Sage.
Wasserman, N., 2013. The Founders of Dilemmas:Anticipating and Avoiding the Pitfalls that
can Sink a Startup. 1 ed. Chicago: Princeton University Press.
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Appendix 1: Projected cost of sales
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Appendix 2: Existing System Survey
Since the existing system is paperwork and preparing, changing and retrieving information takes
a longer period, Steele wants to change the existing system into a new computerized system.
This will help the company save costs, errors and time wasted to on paperwork. The following
questions should be asked:
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1. What is the objective of your company?
This will help me to suggest a system that will address all his needs
2. What is the deadline for the project? What factors contribute to the need for the new
project?
This will assist me to get everything done in time to avoid any inconveniences to the client
and also meet the urgency of the system.
3. How will you determine the project has succeeded?
This will help me know the challenges that might arise and get referrals also.
4. Who is the owner of the business? Are there other owners of the business?
To identify the person who will approve my job and be responsible for everything.
5. Have you agreed on who is the primary contact person? In case of feedback, how will
you communicate?
This will help me know who I will communicate and get feedback from.
6. Have you had another project like this before?
This will provide information on the challenges of existing projects so that I make the new one
better.
7. Which preferred a mode of communication do you have?
This will help me set up a system that will meet the clients’ needs.
8. Is there any challenge that might affect your business from being successful?
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This will help me to base my focus on the challenges and make a better system.
9. Is there any possibility that the stakeholders will not understand information?
This will help me to arrange for training and sensitizing users on how the system works.
(Bruce & Barringer , 2012, p. 45)
Appendix 3: Letter for system set up.
John King,
P.O BOX 80,
Australia.
20th Oct 2017
Dear Sir/Madam,
I am an ERP system vendor from Queensland systems Supply Company. I would wish to seek a
chance to allow me to implement a new system in your company. The proposed system is an on
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