Smith Systems Consulting Based on the Smith Systems scenario below, answer the following questions:

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Smith Systems Consulting

Based on the Smith Systems scenario below, answer the
following questions: What are some possible solutions to the scenario? What are
your assumptions and constraints? Can you let them go? What are some best case


Smith Systems Consulting (SSC) is a B2B provider of web and
business application services The services focus on three areas: networks,
applications and web sites

Sam Smith, founder and CEO of SSC is concerned about
customer acquisition and retention To date, SSC has done everything possible
to avoid losing a client, but Sam is now questioning whether or not all clients
should be treated the same Since it’s founding in 1994, SSC has been
profitable, but has not kept records of profitability on each client
Currently, SSC’s largest income clients are Huffman Trucking, Kudler Foods,
Riordan Manufacturing and McBride Financial Services Last year, McBride
threatened to drop SSC as a preferred supplier The sales and marketing teams
created a “turbo charge” process to ensure McBride stayed with SSC

Sam is now questioning whether or not the cost in terms of
time, money and resource allocation was worth the result The web business has
become more competitive with many more companies now competing for customers
SSC is finding that it is becoming more difficult to attract new customers and
retain existing customers

The SSC management team sees an increase in competition from
the larger companies, but the team believes as a smaller company they can
provide better service to their customers They are not sure which of the
services they provide are most cost effective for them and most valued by their
customers SSC has not defined their ideal customer

SSC does not have as many newer clients Although the newer
ones tend be larger accounts with relationships across the organization The
problem is that while the accounts may be larger, the relationships are
shorter The Finance & Accounting Manager wants to review the profitability
of each customer but the COO and Customer Service Manager of sales believe
every customer is a valuable customer

Sam is planning to retire in the next few years While the
company has grown, many long-term customers still associate the company with
the founder The long-term customers often call Sam directly for assistance and

Since Sam Smith may be leaving, it seems to be an ideal time
to prepare for what the company will look like without its founder The
Director of Marketing believes they need to evaluate their marketplace, the
trends and the competition The Finance & Accounting Manager feels they
need to focus on profitability before service The Customer Service Manager of
customer service wants to focus on retaining existing customers while the
Customer Service Manager of sales wants to focus on selling new accounts and
penetrating deeper into existing accounts Everyone agrees their brand could
suffer with the retirement of Sam but they are not sure of the impact or how to
handle Sam’s retirement The Senior Officers have equity in the company The
Customer Service Manager level participates in profit-sharing

The management team wants to explore new ways to reach
customers and prospects Advertising has become too expensive Tradeshows cost
require a big investment of time and money but do not always reach the target

The senior team has gathered for an off-site meeting to
review their current state and to map out future plans Over the next few days
they plan to understand where they are, where they want to be and how they will
start to reach their goals In preparation for the planning meeting and comprehensive
customer satisfaction survey has been completed The results will be shared at
the meeting in a SWOT analysis

Sam wants to leave the meeting with at least the beginnings
of a customer acquisition and retention strategy