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Systems dvelopment case study

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Systems Development Case Study ” PepsiCo Implements New Procurement System to Minimize Costs” Answers to the Questions What was PepsiCo’s main business objective for this project
Business Objective for the Project
The major business objective for the Pepsi Company to implement the project was to minimize its procurement costs. Other aims and objectives of the project also included to manage the procurement processes, vendor transactions. The objective of the Pepsi Co. to implement the new system was also to result in quality negotiations with vendors and product purchases and to control the spending that Pepsi Co. was making.
2. What factors were present to motivate the company to implement this project
Motivating Factors for the Implementation of the Project
The motivating factors that were present in the project to motivate the company were the capability of the system to analyze the spending patterns of the Pepsi Co. The system also provided the factor of motivation that it was able to identify the cost saving opportunities and prospects for the Pepsi Company. The billing management offered by the project also served as a motivating factor for the company to implement the system.
3. Who were the main participants PepsiCo had to involve in developing the Purchase to Pay system
Participants involved in the Development of the System
BusinessObjects Corporation was one of the participants involved in the development of the Purchase to Pay System. It was involved for the providence of business intelligence information to Pepsi Co. and also for the storage of the procurement in a well managed and efficient database.
4. Which systems development life cycle approach would have been best used for PepsiCo’s project Explain your answer.
Systems Development Life Cycle Approach
The systems development life cycle approach which can be best applied to the Purchase to Pay System of the Pepsi Co. was the iterative approach. Through this approach the prototype of the new project that was to be implemented should be designed for the convenience of the staff of Pepsi and also for the ease of use and should be improved through a number of iterations. For achieving the best system development, the system is improved through iterations in the prototype in this approach. This kind of approach would be helpful for Pepsi to get the best out of the Procurement System that it planned to implement in the company.
5. Assuming that you were responsible for designing and implementing the new procurement system at PepsiCo, what problems and opportunities would you have considered in conducting your initial systems investigation
Problems & Opportunities in the Initial Systems Investigation
The problems and opportunities that I would have considered while implementing the new procurement system at PepsiCo would be as follows:
Lack of quality deals with the suppliers due to the negotiating problems of the staff with the suppliers
Wastage of assets in the procurements processes and the overcharged rates by the suppliers to the Pepsi Co.
The previous system was resulting in an increase in the spending of Pepsi Co.
Lack of efficient tracking of the purchases made
Lack of schemes for the purpose of identification of cost saving methods
Efficient business intelligence system for the tracking of processes
The increasingly growing business and the ‘world leader’ status of the company serves as an opportunity
The volume of supplies that the company purchases was also an opportunity for the business to implement an efficient system and minimize its costs
The purchases of raw material by the company was also very voluminous which could be treated as an opportunity for the business to minimize its costs through proper management of these voluminous purchases
Michael Bronzite. (2000). System Development: A Strategic Framework. New York: Springer

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