Minh Phung
Brandon Kinney
Jeen Song
1. What will be the biggest obstacles faced by the business intelligence implementation as it expands throughout SYSCO?
SYSCO is an included in a one of the larger companies. It has over 420,000 customers ranging from huge chain restaurants such as Wendy’s and Chili’s to “mom-and-pop” diners. In fiscal 2002, the company generated sales of $23.4 billion. SYSCO has 8,000 marketing associates worked directly with customers and unload over 1 billion cases of product each year. More importantly, as of December 2002, SYSCO had 45,000 employees. Companies often struggle with determining the “right” amount of software licenses to buy. In the case of SYSCO, it would also be difficult decision to make how many licenses to buy. It was mentioned in the case article that the vendor would give SYSCO a better deal with a more discount, if they decide to buy a lot at once, many more than what they need at the moment. It is a big challenge for SYSCO to decide whether they should go for the vendor’s offer and buy a lot more than they need in order to get a better deal, or buy only what they need for now and see how the implementation goes with the new software. Deciding on which one of the two would bring more benefit to the company would be the key decision to make.
2. Why did SYSCO decide to initially address only two questions with its new BI software rather than using it as a more general analysis tool in operating companies?
According to Day, she felt that the initial implementation of BI in each operating company should focus the software, the training, and the users only answering the two questions. The two questions are; What additional products could we be selling to each of our customers?, and Which of our current customer are we most likely to lose?. Day believe that by addressing only these two questions, she can show the employees how effective the new software was and how