ISM-II CASE QUESTIONS

MOORE MEDICAL, INC. CASE

By Group 2, Section H
AMLAN ASWINI 2014PGP032
DHINESH MUTHUVEL 2014PGP411
RACHITA BATRA 2014PGP278
HARI LAXMAN M 2014PGP128
ISHANI MITTAL 2014PGP137
PRATIK MANWATKAR 2014PGP268
TATSAT PRAKASH PANDEY 2011IPM112

Q1) WHICH NEW INFORMATION SYSTEMS, IF

ANY, SHOULD MOORE PURCHASE?
Moore should go with Bolt-on software such as interfaces for the existing ERP system,
which can help Moore use the ERP more efficiently

Moore should also go for Improving its website, and go for the extra modules for the
demand
planning system (i.e. the Warehouse transfer system, deal management and
stock simulation)
The reasons for going with the Bolt-ons are:

1) The existing churn rate seems to arise from the high price and
SKUs to meet customer demands.

lack of

sufficient

2) The existing ERP system has a lot of issues that need to be addressed before going
for another system as the ERP is at the core of Mooresbusiness, and handles all of its
operations.
3) There is evidence in the case that suggests that Moore faces a lot of problems
when
it comes to Demand planning and forecasting, which can be resolved using additional
modules.

Q2) WHAT ARE THE MOST IMPORTANT

THINGS THAT MOORE DOES NOT KNOW
ABOUT ITS CUSTOMERS AT THE TIME OF
THE CASE? WHAT ARE THE BEST WAYS FOR
THE COMPANY TO OBTAIN THIS
KNOWLEDGE?

Moore does not know whether more customers are going to

shift to online media for all their purchases in the coming years,
and by how much. The company can obtain data about this by
looking at the increase in the number of internet users and ecommerce trends over the last few years
Moore did not have all the information about why the customers
wallet share for each segment was different. Moore can get
data on this by analysing the customers preferences through
surveys and feedbacks to determine the customers expectations
of Moore and thus help Moore in improving its services.

WHAT ARE THE PROS AND CONS OF

MOORE'S MOVE INTO ECOMMERCE / ONLINE
ORDERING? DO YOU AGREE THAT THIS WAS
A GOOD MOVE FOR THE COMPANY?

The following are the Pros and Cons of Moores into

PROS
CONS
eCommerce:
The full catalog of the website
saved a lot of printing costs

It was an expensive investment

and even led to operating losses

Increased customer convenience

by providing them the option to
compare the variety of products
at their own time

If additional programmers are

hired for the website update, it
would further add to the costs

It also saved a lot of time for the

salespeople as they no longer
had to make a new pitch

This type of selling was

impersonal in nature and lacked
the touch of a professional
salesperson which was a major
con

Led to less reliance on the sales

people ultimately lowering labor
costs

Not every customer was

accustomed to eCommerce

CONTINUED
Yes, we believe that this was a good move because:
Existing customers were also attracted to the online platform
for shopping
This reduced various kinds of costs such as that of the
salesperson, direct mailing costs, telephone costs etc
thereby increasing profits
It established a new target market for the company to pursue
Online sales increased the new customer Wins by 13%