Paragon Information Systems
CAM 2 –
PARAGON
INFORMATION
SYSTEMS
Nikita Tretyakov (091816390)
Professor: Tabatha Dominguez, Section H
11/29/2011
MEMORANDUM
___________________________________________________________
TO: Keith Collins
FROM: Nikita Tretyakov
SUBJECT: Recommendation for Paragon Information Systems
DATE: November 29, 2011
__________________________________________________________________
During the second year of Paragon Information Systems recovery from mid—1996 crisis, the company is in need of a clear stated strategy that will solve the issues of losing a major part of its employees and management to a newly formed competitor. After the first year of rebuilding the company found itself in much better conditions than before (Exhibit 1,2). One of the changes that has been made is the change to the company’s business strategy and direction (Exhibits 3,4,5)
After a thorough alternative evaluation (Exhibit 11), the proposed strategy is to continue expanding the company’s portfolio of IT capabilities and move beyond
Newfoundland region of Atlantic Canada. The company’s employee commitment and innovation will be its main advantage in the industry and over its new competitor(Exhibit 8).
After conducting the industry and environment analysis (Exhibits 6,7), it is clear that the IT industry is driven by new advancements in technologies, which needs a particular level of knowledge and innovation.
The management preferences as well as the organization capabilities (Exhibits 9,
10) perfectly fit the chosen strategy as they both support new IT products and services as well as new market opportunities.
The company is expected to be profitable in the next 3 years (Exhibit 13). With a small decrease in the profitability in 1998 year (mainly due to increase in Wages), the company is to make a profit of $1,892 and $3,946 thousand dollars in 1999 and
2000 respectively.
To implement this plan the company has to find new suppliers, implement new IT
training
PARAGON
INFORMATION
SYSTEMS
Nikita Tretyakov (091816390)
Professor: Tabatha Dominguez, Section H
11/29/2011
MEMORANDUM
___________________________________________________________
TO: Keith Collins
FROM: Nikita Tretyakov
SUBJECT: Recommendation for Paragon Information Systems
DATE: November 29, 2011
__________________________________________________________________
During the second year of Paragon Information Systems recovery from mid—1996 crisis, the company is in need of a clear stated strategy that will solve the issues of losing a major part of its employees and management to a newly formed competitor. After the first year of rebuilding the company found itself in much better conditions than before (Exhibit 1,2). One of the changes that has been made is the change to the company’s business strategy and direction (Exhibits 3,4,5)
After a thorough alternative evaluation (Exhibit 11), the proposed strategy is to continue expanding the company’s portfolio of IT capabilities and move beyond
Newfoundland region of Atlantic Canada. The company’s employee commitment and innovation will be its main advantage in the industry and over its new competitor(Exhibit 8).
After conducting the industry and environment analysis (Exhibits 6,7), it is clear that the IT industry is driven by new advancements in technologies, which needs a particular level of knowledge and innovation.
The management preferences as well as the organization capabilities (Exhibits 9,
10) perfectly fit the chosen strategy as they both support new IT products and services as well as new market opportunities.
The company is expected to be profitable in the next 3 years (Exhibit 13). With a small decrease in the profitability in 1998 year (mainly due to increase in Wages), the company is to make a profit of $1,892 and $3,946 thousand dollars in 1999 and
2000 respectively.
To implement this plan the company has to find new suppliers, implement new IT
training