The technology and facility problem; Because there was no existed system or facility could be used for the customer service center, the IT department had to install a new mainframe and develop a totally new system. (3) The staff reorganizing, training and motivating problem; Service personnel were dispatched from local offices previously so that they have to reorganize a group of service people to respond to customers. In the meanwhile, with the installment of the new system, all of the users should be trained to be familiar with this system while an incentive system should be established to encourage them. 2.
The IT tools being used by Otis in 2004 are simple – databases, workflow software, Intranets and Extranets, email – but the benefits appear to be extraordinary. How can this be? Although the IT tools being used in 2004 are simple, the extraordinary benefits were generated from the coordinated and synergic effort of multiple ongoing change programs in all functions including engineering, supply chain, and sales and field operations. (1) Engineering: The SIMBA program was designed to fundamentally change the product architecture and the design process; it reduced the number of modules in use and lowered project cost throughout the value chain. 2) Supply Chain: The TQM and ACE empowered employees to identify and solve problems while at the same time practicing continuous improvement. Otis streamlined manufacturing operations and reorganized to be a new single supply chain and logistics management function. (3) Sales and Field Operations: The SIP program gathered best practice from around Otis and made these into standard processes across the whole organization. (4) e*Logistics: This initiative provided IT systems to facilitate business processes re-engineering that was taking place throughout the company.
Case Analysis Essay Example
It became the mean for connecting sales, factory, and field operations through the Web. All of these IT tools were servicing the whole strategy of Otis turning form a manufacturer into a recognized leader in service excellence. Every initiatives adopted in each department were not very comprehensive but truly optimized the work processes and improved innovation, quality, cost and speed. Maybe the above factors led to Otis’s success in 2004. 3. An Otis manager states that “with the e*Logistics program, best practice from SIP are baked into the organization and institutionalized to achieve continuous transformation. How do the systems that comprise the e*Logistics program bake in an institutionalized best practice? To achieve continuous transformation, the e*Logistics program makes sure the business process change sticks by adopting every key processes and corresponding elements. (1)Project Proposal: This new process solidified ommitment for the estimates and enhanced the cooperation between sales and filed-installation function by requiring the practices derived from SIP.
Also, the processes such as gathering account information were changed into automated and data integrated after the e*Logistics program was launched. 2)Sales Processing: The e*Logistics program automated all the workflow of the sales activities in SIP and electronically circulated key documents to all the appropriate supervisory personnel. It helped manage lead time, reduce inventory levels and eliminate waste throughout the value chain as well as record changes in supply chain. (3)Order Fulfillment: The creation of CLCs helped Otis shifting form. It handled all logistics and information flows between subsystem integrators (SSIs) and integrated all of the processes such as selling and servicing products. 4)Field Installation: With the e*Logistics program, all the involved parties were asked to focus on managing to a delivery date based upon ideal site conditions. This allowed SIP to maintain lean manufacturing flows and low inventory levels. (5)Closing Activities:It helped to generate more accurate billing of changing orders,higher conversion of new equipment to maintain contracts, and faster collections. All the new processes in selling, ordering, and shipping of the e*Logistics helped to bake best SIP practice into the organization.