Webstore Development - Sep 16, 2008
Posted by: Martin Mercer in Success Stories
Development of the Synaro Webstore at Page Digital, Inc.
Situation:
Page Digital was an enterprise software provider that sold and supported business software for order entry, accounting, warehousing, inventory control, and manufacturing. The company was using older technology that had no Internet components and which had no capability for integrating an online webstore. One of Page Digital's clients was desirous of building a website with e-commerce capabilities within a six-month timeframe. Existing competitors did offer this client e-commerce solutions in addition to their enterprise software options. It was evident that, in order to stay in business, Page Digital would need to bring Internet services into its family of solution offerings.
Action Plan:
- Built a design team and collaborated to lay out a prototype webstore system that could be fully integrated with the company's back-end inventory database. Features would include webpages that were dynamically generated depending on what selections the customer made, the capability for instantaneous Internet purchases, an order status checking system, and dynamic generation of the "look and feel" of client companies' sites coordinated with their own branding.
- Selected Lotus Domino as the platform upon which to build the webstore system; given the short timeline, it would be advantageous to modify existing functionality versus building from the ground up.
- Developed a project plan outlining all necessary tasks and identified milestones for on-time project completion, making sure to coordinate the webstore progress with the non-Web modifications and overall system implementation and training.
- After meeting the initial goal of delivering a webstore for the first client, the system was marketed to other non-webstore clients. In the interests of staying contemporary, assembled a team of programmers to continue making enhancements to the system.
- Once the business-to-consumer module had been completed, focus was directed toward a business-to-business system and successfully met a go-live deadline for IBM in servicing such large clients as Coca Cola and AT&T.
Results:
Successfully met the go-live deadline for the initial client, whose webstore is still growing to this day. The webstore design served as a model and is now in its fourth or fifth incarnation. In January 2004, Page Digital, Inc. was purchased by Island Pacific, Inc. (IPI) and is now one of the leading multi-channel software systems for retailers, cataloguers, wholesalers, distributors, and manufacturers. This design has enabled its owners to perform hundreds of installations each year.
Companywide Sales Force Office Automation - Sep 16, 2008
Posted by: Martin Mercer in Success Stories
Catapulted Revenues with a New Sales Force Office Automation Program
Situation:
One of the nation's largest homebuilders had 155 model home sales offices in new subdivisions around the United States staffed by over 300 salespeople who sold Richmond American lots and homes. These salespeople would assist prospective homebuyers in selecting lots and model types, adding options, arranging financing, and signing the contract documents for their new homes. This was all done manually-there was no computer office automation in place. The number of up-sell, cross-sell, and follow-up opportunities that were squandered every day as a result of not having an integrated office automation solution was enormous.
Action Plan:
- Submitted a proposal for automating all 155 sales offices and providing networked computers for salespeople.
- Modified a third-party lot/model inventory and pricing software package to be integrated with proprietary systems. This system allowed for nightly data transfers to and from corporate headquarters, the regional sales offices, and all the new home sales offices.
- Utilized Microsoft Windows for Workgroups 3.11 to build mini-networks in each sales office to ensure that all salespersons were working from a common inventory database.
- Designed an automated contract printing process that cut contract signing time from more than three hours to less than 30 minutes.
- Developed an interface that could call up any offered model on any lot, add options, and arrive at a price within seconds. Home specifications could be changed "on the fly," instantaneously adjusting the buyer's price.
- Implemented a follow-up system that gathered information from the prospective homebuyer throughout the entire purchase process, allowing salespeople to systematically follow up and offer upgrades and improvements.
- Integrated the company's system with that of its sister financing company so homebuyers could be pre-qualified for a home loan and salespeople had the capability of up-selling within the buyer's financing limits.
Results:
The pilot system was put in place within six months, with a final release a year later. The new automated system reduced the necessary paperwork by a factor of 10, freeing salespeople to concentrate on selling and following up on prospects in their databases. Automation of the 155 sales offices and integration with the homebuilding inventory system as well as with the mortgage company resulted in a combination of increased sales due to productivity, savings from homebuilding mistakes due to the misreading of handwritten work orders, increased up-sells, and increased mortgage sales due to cross-selling. Annual renewable gross revenues grew by $29 million and $6.5 million was added annually to the company's bottom line.
Slashed Costs to Dramatically Improve the Bottom Line - Sep 16, 2008
Posted by: Martin Mercer in Success Stories
Slashed Costs to Dramatically Improve the Bottom Line
Situation:
Coopers & Lybrand was using an outside partnership tax return preparation service bureau to prepare all partnership tax returns nationwide. Use of this service was costing the company millions of dollars annually in fees to this outside vendor, due to "special allocations" and oil and gas depletion schedules needed for the preparation of these clients' tax returns. Fees collected in this process were simply being turned around and paid out to the tax service bureau. It was decided that the company needed to find a means to retain these fees instead of merely collecting them for this vendor.
Action Plan:
- Drafted a plan for the design of a system utilizing Lotus 1-2-3, Basic programming, and custom printing features to calculate special allocations and produce the oil and gas depletion schedule attachments.
- Submitted the plan and timelines to prove that the programs could be built in just 45 days and that working prototypes could be delivered six weeks after that.
- Upon receipt of approval, commenced the design and began the process of building the new system.
- Laid out system architecture.
- Built all user interface screens.
- Programmed all the required functionality.
- Prepared the "camera-ready" IRS forms for the printer.
- Wrote the operations manuals.
- Beta-tested the programs.
- Delivered a final-release product for distribution to the company's 93 offices within 135 days.
- Taught training classes on these new tax programs at the company's annual tax symposium.
Results:
Delivered fully-functional programs to all the company's locations within four months, eliminating the company's dependence on the outside tax service bureau and making it possible to retain fees that had been originally collected and turned over to the outsourcing vendor. This resulted in $3 million in increased net income in the first tax year. Net income jumped to $4 million in the second year and to $6 million in the third year. Received an award for "Best Software Developed" by Coopers & Lybrand for the 1065K-1 Partnership Print Program and the Oil and Gas Depletion Program.
Design & Development of New Information System - Sep 16, 2008
Posted by: Martin Mercer in Success Stories
Opened New Markets by Designing a New Software System
Situation:
First Assured Warranty was using a proprietary order entry and claims administration system (FAIS) that was written in a procedural language that did not anticipate the existence of the Internet. Numerous elements within the system were "hard-coded" making expansion virtually impossible. As the company grew, the complexity of the business model increased, and the FAIS system was incapable of handling the ever-increasing volumes and the changing business paradigm. Being an Internet company, it was crucial that the company be an industry leader in using the latest Internet technology to gain a competitive edge.
Action Plan:
- Prepared and presented a proposal to build a new multi-functional, fully Web-enabled information system that would provide 24/7 production capabilities, built-in scalability, multi-tasking functionality, expanded fund distribution functionality, and the ability to substantially increase sales/revenue volumes with only nominal increases in resources.
- Designed the Apex system to operate on a Windows 2000 advanced server operating system using Microsoft's SQL server database and its Visual Basic.NET object oriented development language.
- Built in the capability for replication, clustering, and load balancing concepts along with redundancy of all critical mission hardware components to ensure a 24/7 production environment.
- Satisfied accounting requirements by integrating the Great Plains accounting system using a SQL server database to ensure tight integration with our proprietary applications.
- Used advanced reporting tools in a data warehouse environment to provide real-time process-based reports using the production database; provided standard monthly business reports using the data warehouse database on a separate server. Provided Web-enabled "fashion your own report on the fly", drill-down reporting using a separate multi-dimensional "data cube" database.
- Converted legacy data from the old FAIS system to the new Apex system. Employed existing users to quality assure and test the new system.
- Successfully went live from the old system to the new system over a weekend with no business down-time.
- Leveraged dealer and super-agent relationships to provide the ability to sell First Assured's products via secure access to the Apex system over the Internet.
Results:
The project was completed on schedule and the Apex system was implemented within the two-year development deadline and within budget. The new system has provided the means to expand company offerings into new markets that had previously not been possible. The built-in redundancy and clustering features allow the simple addition of servers to handle increased loads wherever needed. Because of the Apex system, the Company has expanded into offering extended service contracts on motorcycles and RVs and can add new product lines with very little new development. The new Apex system has allowed the company to add hundreds of dealers to its business partner group, representing an exponential increase in contract sales with only minimum increases in resources. Continual implementation of the newest Internet technology pre-empts competition quickly and provides an ongoing exceptional competitive advantage.
IT Article Published in The CPA Journal, March 1988 - Sep 16, 2008
Posted by: Martin Mercer in Articles
The Bernoulli Box: A Low Cost Alternative to Sharing Data in Limited Environments
(The CPA Journal, March 1988, pp. 68-69)
A Bernoulli Box is a removable hard disk cartridge storage device or to put it another way, diskette drives that accommodate 10 or 20 megabyte cartridge diskettes. The two advertised and perceived uses of a Bernoulli subsystem are that it provides a single PC with a virtually unlimited amount of hard disk storage space, and functions as a backup system that generates working copies.
This technology has been applied in a way that allows many PCs to use a single Bernoulli Box for conventional applications as well as creating access to a common hard disk storage device.
Case Study
A client had a three-terminal, 40 megabyte, Apple III/Corvus Network. They had run out of hard disk space and a consultant had recommended the purchase of an 80 Megabyte hard disk as a solution to its problems. Since the system was old, unreliable and could not run IBM based software, a Requirements Analysis was performed to determine the cost to address its data processing needs in an MS-DOS environment.
Interviews with staff and management revealed that this firm performed three data processing functions:
- Word Processing
- Electronic Spreadsheet
- Write-up Work
All of these functions needed to be performed by three support staff at separate locations. The word processing and spreadsheet functions did not require the sharing of data. However, account write-up work was to be expanded, and management wanted each staff person to be able to perform write-up work on any of their accounts.
Initially, a Local Area Network (LAN) was explored. However, the estimated cost of the network exceeded the amount of the client's budget for a system. So the problem posed by this engagement became: How can the three users have access to the same data source without incurring the cost of the Local Area Network?
Further inquiries regarding the way in which each user needed to share the common data source revealed the following characteristics:
- No user needed to access the same account at the same time.
- The deadlines for the accounts were at different times during the month.
- Because of the many staff duties, the timing of access to the shared data source was flexible.
With this information, the requirement of sharing a common data source took on a new look. The shared data source did not have to be available to multiple users at the same time, but only distinct single users at different times.
The Bernoulli Box, in its traditional role, met all the needs of this client in a single user mode.
Increased Hard Disk Space
The client was expanding his account base which would increase hard disk requirements substantially. With the Bernoulli Box, the client would have infinite hard disk capacity and could very economically increase hard disk space by purchasing additional cartridges.
Data Security, Backup
The Bernoulli Box offered backup and disk storage features that were particularly attractive to this client:
- The ability to store systems of different accounts on separate cartridges was a desired security feature. If one cartridge went bad, it only affected one account. This would not be the case on a conventional hard disk.
- The ability to have a working copy as a backup was attractive to the client because of its immediate usability.
- The fact that there were two cartridge diskette drives provided additional security. If one of the cartridge diskette drives became damaged, the other drive could be used while the damaged one was out for repair. This would not be possible with a conventional hard disk.
The only requirement not addressed by the use of a Bernoulli Box was the access by multiple users. This requirement was met by attaching the Bernoulli Box to a three-station switching device, purchasing Bernoulli Box control cards for each of the three computers, and connecting the new computers to the switching device. With this configuration, each one of the PCs could have access to the Bernoulli Box - but only one at a time. A user desiring access only needed to switch their channel, insert a hard disk cartridge, and type "D:"
The client was pleased with this alternative because it addressed all of its data sharing needs without excessive additional cost.
A Local Area Network is preferable when the sharing of a common data source is needed. But in a situation where the cost of a network is prohibitive and the sharing of requirements are limited, the un-traditional application of removable hard disk technology provided the client with an acceptable alternative.
The microcomput....
On Leadership... - Sep 16, 2008
Posted by: Martin Mercer in Articles
Leadership in a Competitive Market
Leading by Example:
Woody Allen was quoted as saying, "80 percent of life is just showing up." He was right. Good leaders are "present" in their lives and others can depend on them to thoughtfully and predictably accomplish whatever goals have been set forth. If they also manifest presence and charisma and can engage and energize the organization and its people, these exceptional leaders will nurture and grow exceptional organizations.
On Teamwork:
Good leaders are not micro-managers as they recognize that it will only lead to organizational dependence. In such an environment, employees do not think for themselves but, rather, determine how their leader wants something done and execute the requested task accordingly. They learn not to think, not to solve problems, and not to take any ownership or incentive. When talented employees are respected, valued, and carry ownership for the success of the business, amazing things can happen. Within a team, creativity and the free flow of ideas can result in unique approaches that might otherwise never be tried. "Two heads are better than one"-how much better is a team?
Motivation and Appreciation:
Mom always said, "You will always get more with honey!" There is more to this advice than meets the eye. Mom ran her own business and worked harder than anyone in her employ. She was always gracious, treated people with respect, and was fair and caring with her employees. The result was that her employees respected her immensely and had a loyalty and commitment to perform for her that was uncommon. This holds true in any business; the leader who lives a life of high integrity, carries a strong work ethic, demonstrates respect and compassion for others, and rewards workers for their efforts will surely garner loyalty, respect, and hard work.
On Staying Ahead of the Wave:
With an eye to the "bottom line," many companies have historically paid as little as possible for information technology needs. Today's information environment is so incredibly complex that there is no longer a middle ground for investing in new technology. Companies must now stay on the cutting edge just to survive. The only course of action in this information age is to adopt and embrace new technology to gain competitive advantage and generate additional revenues. The company with an eye to the future and being on the vanguard in embracing new technology can triumph in today's highly competitive marketplace.
The 3 T's: Talent, Teamwork and Technology:
An old adage states, "The team with the best players wins!" There is truth to this in business as well as in sports. However, this adage does not provide enough guidance. A leader who can assemble a talented team, get them to work well with each other, and who implements new technology as a strategic revenue-generating and resource-leveraging tool will inevitably rise above competition.
Lahey & Associates, P.C. - Sep 16, 2008
Posted by: Martin Mercer in Testimonials
"Mr. Mercer is a very smart individual with impeccable integrity and interest in serving his clients with utmost professionalism. His excellent with litigation support and knowledgeable in how to bring complex accounting and principles into simplified form for court and jury understanding."
William R. Lahey, Esq.
Fowler, Schimberg & Flanagan, P.C. - Sep 16, 2008
Posted by: Martin Mercer in Testimonials
"I worked on a difficult contractual lawsuit w/ Marty; it was fairly sophisticated business valuation issue which had a conflict between SEC and IRS accounting rules; Marty was able to explain the problem to me but much more importantly was able to explain it to the jury."
Timothy J. Flanagan, Partner
Byers Peak, Inc. - Sep 16, 2008
Posted by: Martin Mercer in Testimonials
"We have been very pleased with the work performed to date. Marty has helped generate report formats for our bank, work with our bankers to improve the relationship, and if he doesn't know the answer, he has a large resource pool to help get it."
Phil Prescott, President
Cook Street School of Fine Cooking - Sep 16, 2008
Posted by: Martin Mercer in Testimonials
"Marty has proved to be a terrific addition to our team, providing a strategic dimension that we did not posses before he joined us. We have also benefited from some of the things he has available to him as a part of B2B CFO that we would have otherwise not known about."
Morey Hecox, President & CEO
You Know You Need An Executive SWAT Team When... - Nov 24, 2005
Posted by: Martin Mercer in Articles
You Know You Need An Executive SWAT Team When...
What do you get when you combine an Indian Chief, "Joe Isuzu", a Bean-Counter, and a Computer Geek? No!... not the business version of the Village People... Rather, you have an Executive SWAT Team that can quickly turn around a company that is in desperate need of reorganization, or help a small company get to the next level in its profitable growth and evolution.
You may be asking... "So just what is an Executive SWAT Team comprised of?" Well for one, you the business owner are the Chief; The Boss; The Man/Woman; The Big Dog; The Buck Stopper; The Big Cheese; The Final Decision-Maker; The Stakeholder. The Sales/Marketing Expert, Bean-Counter, and Computer Geek are the other members of your Executive SWAT Team. They are people you hire who offer their services in a scalable and affordable way that is appropriate for the size of your business. These folks obviously have an expertise in sales/marketing, accounting/finance, and information systems respectively.
"Now that I have my Executive Swat Team, what can I do with it?" Fabulous question! With you at the helm, this small group of talented experts can quickly chart a course and rapidly deploy the marketing strategies, business processes, systems, and new technology to jet you and your company into a profitable future! This will quickly add value and profitability for the company's stakeholders (you!) and will create opportunities for stock offerings, acquisitions, or a company sale.
How do I know I need an Executive SWAT Team? (I thought you would never ask!)
- You know you need an Executive SWAT Team when: Your cash inflow is significantly less than your cash outflow!
- You know you need an Executive SWAT Team when: Your Bookkeeper thinks A/R Aging is a process related to Cheese.
- You know you need an Executive SWAT Team when: The words Timely or Accurate are not words you would use to describe your company's financial statements.
- You know you need an Executive SWAT Team when: You call your Banker to ask for a loan, they break out laughing and say, "So now, why did you really call?"
- You know you need an Executive SWAT Team when: You just realized that, in the last year, your company has purchased twice as many computers than you have employees!
- You know you need an Executive SWAT Team when: Your Strategic Business Plan for the future ends next Wednesday!
- You know you need an Executive SWAT Team when: You're spending all of your time telling everyone else how to do their job, and you have no time to do your job of cultivating new customers and business alliances.
- You know you need an Executive SWAT Team when: The only Exit Strategy you have for yourself involves Quadruple By-Pass Heart Surgery!
- You know you need an Executive SWAT Team when: You suddenly realize that consulting others on Key Business Decisions often involves a conversation with the family dog.
So if any of these items strike a sensitive nerve of reality, you may want to start assembling your own Executive SWAT Team so that the future you envision for your company, your family and yourself can become tomorrow's reality... And tomorrow's reality can get here as soon as possible!
M. Martin Mercer, J.D., CPA, FCPA, CFE
Mr. Mercer is a partner in Denver, Colorado with B2B CFO. He can be contacted at (303) 621-5825.
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