Executive Summary
Management should take advantage of periods of transition as the optimum time to begin implementing new systems and ideas into the company. Kaylon Medical Equipment, a proprietorship, has decided to incorporate itself and become a separate legal entity, apart from its owners. During this time of change, the new board of directors would like to take many steps to ensure that the business establishes itself as a dominant force in the medical equipment market. In order to accomplish this, many changes must occur within the Information System department. First and foremost, a system will need to be implemented to link the different branches together to facilitate the easy exchange of information. The business also must have a direct link with its national headquarters, which will allow the company to track and order inventory quickly and efficiently. Secondly, Kaylon’s needs to integrate a software package that can determine the appropriate inventory level needed to meet customer demand a majority of the time. Finally, Kaylon’s must somehow differentiate its company so that it can establish a competitive advantage. By creating a TPS (Transaction Processing System) available to customers, which would a
Another suggestion that I feel deserves some thought would be the purchase of new System Application Software. Ordering too much inventory, which decreases cash available or Ordering too little inventory, keeps the company from meeting demand. An appropriate system application software for this job would be “@Risk.” @Risk, a probability software package offered for Excel, could tell the company the amount of inventory to order so that the company will safely meet whatever percentage of demand it chooses. The company saves money because it neither orders too much inventory, nor increases carrying cost. This program can determine optimum quantity given the average wheel chairs sold per day and the average number of days it takes to ship the inventory, thus eliminating shortages. Additionally, @Risk is very user friendly and to learn quickly. Also, management can alter variables when a product’s demand diminishes. Also, reduced inventory decreases carrying cost. External advantages would include, most importantly, increased customer satisfaction. However, implementation costs run steep, given the relatively recent introduction of the software. Secondly, many bugs still exist in the systems that have not yet been fixed. The final, another disadvantage to @Risk is that the information given is only as accurate as the input given. If any human error exists, the figures will be off, creating all sorts of problems that may occur. Kaylon Medical Equipment is a rising medical supplies and wheel chairs selling proprietorship in Houston, Texas which has seen rising sales over the past four years of existence. After careful thought and consideration, the owners have decided to appeal to the State of Texas for a charter so that the business may form a corporation. With this change, the business will need to undergo many internal changes such as Information Systems upgrades, management and pol
Some topics in this essay:
System TPS,
Application Software,
Information System,
Interchange EDI,
Processing System,
Medical Equipment,
Information Systems,
Houston Texas,
Secondly Kaylon’s,
Electronic Data,
medical equipment,
wheel chair,
transaction processing system,
competitive advantage,
wheel chairs,
transaction processing,
processing system,
telecommunications system,
net income,
human resource,
information system,
processing system tps,
kaylon medical equipment,
human resource waste,
wheel chair available,
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Approximate Word count = 1290
Approximate Pages = 5 (250 words per page double spaced)
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