Gen 480 Paper

Executive Summary - AcuScan Operation Optimize

Abstract

AcuScan is a successful corporation with a need to increase sales and revenues in order to become more profitable and maintain its reputation as a world class enterprise in the area of security scanning. In order to grow, the company must transition the existing product into new markets, creating new business endeavors. While this is an exciting opportunity, it will present some challenges to a company that has been operating at status quo for many years.

This document intends to outline a plan of action necessary to lead AcuScan into a higher profit margin while providing solutions to resolve the issues that have arisen as the result of the need to change.

Key Issues

The following lists outline the key issues that must be addressed in order to successfully meet the goals and bring AcuScan back to profitability:

1. AcuScan is loosing revenue on the sales of existing products and revenue from maintenance contracts is slipping due to the product becoming a commodity.

2. AcuScan must move into new markets to gain new business without sacrificing the existing business relationships.

3. AcuScan can leverage the existing technology to develop new products for these new markets.

4. There is a limited budget and resources available for the new development.

5. The Director of Development and new Marketing Executive do not agree on the development strategy and therefore, are delaying progress towards a solution

The biggest issue - and the one holding us back - is #5. The new Marketing Executive has a clear plan of action that will move AcuScan into the retail market, solidifying the reputation of the company as a leader of eye scanners. Unfortunately, the Director of Development does not believe a quality product can be completed in that timeline. Everyone agree that this needs to be done; we just need to come to a consensus as to how it will be done.

Solution

I believe the solution to this problem is to rollout the product in phases so the product development can be planned, completed and tested in a methodical approach, producing a product that meets the company's high development standards. This type of quality is what has defined the company as a leader in the past and it is imperative that we maintain this reputation. Rolling out the product in phases also addresses the key issues in the following manner:

* The development of the new product will generate revenue in a new market, specifically the retail market.

* The development of the product in smaller stages will take less time and require fewer resources. A development team can be organized with minimal staff - consisting of those most knowledgeable about the original development - leaving the remaining staff to attend to the existing business relationships and maintenance contracts.

* The work will be completed by existing employees who understand the existing technology and are committed to the success of the company.

* Use of existing personnel will help to maintain the budget, as salaries of the existing employees are already factored into the budget; additional resources will not be necessary.

Budget and Timeline

The following tables outline my proposed timeline and budget for the various phases that would be required to initiate and complete this project.

Table 1 - Estimated Project Timeline

Functionality Delivery Date

Phase 1. Identify incoming customers through retinal scanning.

Start Date: April 1, 2003

End Date: August 1, 2003 Aug 1st, 2003

Phase 2. Capture, Track and Report Information

* Capture specific characteristics such as eye color, etc.

* Track customer movement throughout the store, capture shopper's needs,

* Link data to each consumer's unique retinal scan.

* Report data in real-time to any retailer

* Determine if data can be recaptured and sold to additional retail companies for additional revenue.

Start Date: August 1, 2003

End Date: March 1, 2003 March 1, 2004