Davis Humanics Case
DAVIS HUMANICS Memo To: From: CC: Date: Re: DH Board of Directors Henry G Young James Barry 9/12/2010 CRM System In understanding that historically that all decisions re: capital investments were based on the ROI (Return On Investment) method.
I asking the Board of Director to please see my attached outlined benefits and cost of implementation for the CRM System. While the results of my outlined benefits are calculated with a worst case scenario basis, I would request that the Board look at the long term gain for the ompany which is not only inclusive of the financial gains.
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DH use of the ROI method can be manipulated to suit those against or even for this system so this should not be the only method used for this project. The figures in the attached benefit and value proposal does indicate that the project will cost roughly $1 – $2,000,000. 00 Just to acquire the CRM system and another $1 for all implementation, up-training , maintenance, etc.
There are so many other methods that may be used whether it is a payback period or net present value or a net present alue and payback period combined, the Board is encouraged to investigate or entertain future discussions on this matter until we can come to some agreement and move forward.
In the meantime the company is growing and so are our clients acquisitions. DH closed $2 billion in sales with our 1000 employees using an inundated system last year. A CRM system this year would lend to efficiency, improved customer/client satisfaction and position in the marketplace. Henry Young Project Team Leader