While the Jelly Belly Candy Company is very efficient in their manufacturing processes, the same could not be said for their sales processes. After their implementition of a new ERP system, Jelly Belly began to install a CRP system to go along with it. They were hoping it would standardize sales processes and help them gain and retain new and existing customers. However, the system did not prove to be beneficial to Jelly Belly so they decided to stop the installation. Jelly Belly then turned to Microsoft for help. “From an IT perspective, we were looking for stability, low maintenance requirements, and technology that fit with our existing infrastructure from Microsoft" the company said. Jelly Belly was then able to implement the Microsoft Dynamics CRM system within budget and within their allocated time periond. This new,flexible CRM allows them to "meet customers’ specific business requirements in less time than competing systems and has proven to deliver a higher return on investment. With the solution, organizations can quickly deliver functionality that can adapt and grow to meet their evolving needs.”
I think the Jelly Belly Candy Company made two very important business decisions. First, they recognized the fact that they needed a CRM system and second, they reazlied that the one they were originally installing was not necessarilly going to fulfill their needs and improve their sales. This is a very important aspect of a CRM system because simply installing one will not automatically improve the business. They did a great job realizing this and then going about finding one that would better suit their needs. One thing that the CRM system does that they did not have the technology for before is tracking the profibility of each of the clients they supply jelly beans to. They also had no way of following up with certain clients. I find it very hard to believe that such a large company did not do these simple things. It makes me wonder why they waited so long to go abot installing both an ERP system and a CRM system. Also, if this company did not have an ERP system prior to 2007, which other companies are lacking them? And if those companies also installed ERP and CRM systems, would they see such benefits as Jelly Belly has? Although companies should not get an ERP system just because their competetors are, it might be extrememly beneficial to them anyway. Even if it is not an elaborate ERP system, companies should look into the costs and overall benefits of centralizing all aspects of their business processes.
The most important aspect of the new CRM system is that it unified the company. “There is no longer a disconnection between customer service, order entry, and our sales representatives in the field. Every customer interaction is logged through the system, whether a sales representative or a representative on our customer service team creates it.” This is probably one of the best business decisions that the Jelly Belly Candy Company has made in a very long time. Even though the system was installed less than one year ago, they are already seeing results. There has been a significant reduction in customer churn and an increase in monthly revenues. The hardest issue the company is faced with is the fact that some employees are not familiar with how to work the system. Once all their employees are trained in it, a process which will be costly but well worth it, I think that the system will only continue to improve the success of the company.
http://www.microsoft.com/Casestudies/Case_Study_Detail.aspx?CaseStudyID=4000006227
Thursday, March 18, 2010
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I think it is important for a company to constantly and periodically update their systems, but it is even more important to make sure the systems they plan to implement work for their company. Jelly Belly had this problem when they initially tried to impleement new forms of IT. After realized what they needed and what was best for their company, they were able to implement more efficient programs, and receive profit in return.
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