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BI Software at SYSCO
Transcript of BI Software at SYSCO
Do we budget with possible expenses or
spend ahead and save?
1990’s- SYSCO took a look within
Older operating companies: similar core applications, databases and hardware
Majority operating different hardware on different platforms
1993- Enterprise Resource Planning (ERP)
Cooperation across SYSCO network mandatory
7 years late- 2nd large scale initiative
Solution - Volume Discount
Why our decision is best for SYSCO
BI Software at SYSCO
What's your calculation?
THis should be an A+
Going forward with the BI initiative
Improve customer relations
Efficient use of company information
The leading vendors of BI software
Working relationship established
How much software modules and user licenses should SYSCO buy?
“Middle of the Road”
Other Challenges and Obstacles
Define business needs and time frames
Create buy-in from operating companies
Scanlan is the Best at Pepperidne !!!
Best choice from a cost perspective
Take advantage of volume discount
Within their budget
Avoid borrowing more money from the Directors Council
Already familiar/confident in the software
License all software & Licenses 2,000 people
Broader group at SYSCO are able to view Business Intelligence data
Allows knowledge, opportunity, fast growth, outstanding customer service, and expansion at a lower cost.
Information technology market is a market where the customer purchases on a need basis.
The software purchased by large and small businesses differ.
For SYSCO the sales from large business transactions contribute to 75% of Sysco's revenues whereas Small business contribute to 25%.
Conclusion: SYSCO should therefore stock up on a max amount of Licenses and target large business corporations.
If this deal is accepted, SYSCO will gain an advantage by having the power to view customer intelligence and analytical information.
3rd Scenario ~ "Volume Discount"
Understand customer needs
Look for customers who need BI updates
Increase sales revenues for the company
BI software sold by SYSCO has consultation services that help each individual business
The five phases scope, design, build, deploy & evolve are hurdles for the company.
Conclusion: Day will be able to access companies who may still be in the BI consultation phases and see the progress
“Volume discount” will cost $3.4 million dollars and will stay within the approved Director’s budget.
Income and revenues of SYSCO $22 billion dollars
We calculated initial $3.5 million dollar investment as low financial risk
Pros & Cons
Purchase the minimum number of licenses & software (1,000)
Would cover SYSCO for about 6 months, then would cost more.
"Middle of the Road":
Purchase enough to cover 1,300 licenses
Covers SYSCO for 9-12 months
Likely need to purchase additional licenses after 1 year
License all software needed for 2 years
Advantage of the volume discount
Broader group at SYSCO would have access to the data. Have enough software to take advantage of the customer intelligence analytical module and the supply chain module it would need to use in the future.
•• Ad hoc querying
•• Semantic layer
•• Professional services
Business Objects competitive advantages are: