Moore Medical Coroporation
Question 1: (a) Which new info system (CRM, ERP, etc), if any, should Moore purchase?
In 2001, Linda Autore, CEO of Moore Medical Corporation, was faced with several significant company-wide problems that needed addressing. Each problem posed a specific challenge for Autore. For example, share of wallet of current customers was not close to 100% due in part because the company did not offer capital goods, also split shipments were an issue due to excess cost and wasted time, additionally their current ERP system, that was recently installed, was not being fully utilized and lacked important functionality that was key to overall demand planning success and customer satisfaction. These areas of either under-utilized functionality or system errors included: an inefficient customer bid and quote mechanism, an order system that was difficult to use and a new account database that allowed for duplicate records. The challenge, for this company, was in determining what the most considerable problems were and finding the most time-saving and cost-efficient solution to them.
After an intense review of all critical data and information as pertains to the corporation, it is my determination that the most crucial problem facing Moore was in the area of demand planning and its effect on customer retention, satisfaction and attraction. In June of 2000, Moore initiated a performance management system called the "the perfect order." This system recognizes orders that were completed on time, had all items in stock, and were damage free, shipped from the closest DC and arrived to the customer on time and without damage. The overall percentage of perfect orders was 68% at the start of 2001 while the goal for the program was an accuracy rate of 90%. According to Autore "the biggest opportunity (here) is with implementing proactive demand planning to make sure that the right product is available at the right location, at the right time" (6). It is stated that 84% of
In 2001, Linda Autore, CEO of Moore Medical Corporation, was faced with several significant company-wide problems that needed addressing. Each problem posed a specific challenge for Autore. For example, share of wallet of current customers was not close to 100% due in part because the company did not offer capital goods, also split shipments were an issue due to excess cost and wasted time, additionally their current ERP system, that was recently installed, was not being fully utilized and lacked important functionality that was key to overall demand planning success and customer satisfaction. These areas of either under-utilized functionality or system errors included: an inefficient customer bid and quote mechanism, an order system that was difficult to use and a new account database that allowed for duplicate records. The challenge, for this company, was in determining what the most considerable problems were and finding the most time-saving and cost-efficient solution to them.
After an intense review of all critical data and information as pertains to the corporation, it is my determination that the most crucial problem facing Moore was in the area of demand planning and its effect on customer retention, satisfaction and attraction. In June of 2000, Moore initiated a performance management system called the "the perfect order." This system recognizes orders that were completed on time, had all items in stock, and were damage free, shipped from the closest DC and arrived to the customer on time and without damage. The overall percentage of perfect orders was 68% at the start of 2001 while the goal for the program was an accuracy rate of 90%. According to Autore "the biggest opportunity (here) is with implementing proactive demand planning to make sure that the right product is available at the right location, at the right time" (6). It is stated that 84% of