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IE 332 Case Studies
Preparation for Exam 2
Undergraduate 3

Additional Engineering Flashcards




Kiva & DonorsChoose


Problem: links First World lenders with developing-world entrepreneurs

Overview: lenders give through paypall; borrowers reviece 100% of loan. Borrowers repay through Kiva. 90% of loans are recirculated, but lenders can take back money repaid by borrowers

Tools: PayPal



Problem: under-funded public schools

Overview: Donors allocate 10% on donation to project or 15% for overhead.

Tools: tagging (allows donors to search for causes they support)


System Type:



Problem: Expanding a local American restaurant to a major fast food chain

Solution: installed a point-of-sale system (POS) which speeds trasactions, captures sales trends, is easy for employees to use, and allows decisions to be made on expanding and ordering new product. They hope to implement CAD systems for architectural planning.

IT terms: POS, strategic information system, DSS, CAD


Big Brother is Watching You

Problem: As surveillance increases throughout the world, the ability to maintain privacy decreases.


SolutionBeward of the ethics surrounding the issue of decreased privacy; protect what information you can as users are ultimately reponsible for their information.


IT tools: Data base, GPS, geotagging

CheckFree Hijacked
  • customers can pay 330 kinds of bills (military credit accounts, utility, loan payments, etc)
  • Highjackers redirected customers to a blank page that tried to intsall malware that stole usernames and passwords
  •  The breach may have come from a phishing scam or an employee's computer was infected with malware
  • Affected customers were given free anti-virus software

IT tools: malware, anti-virus software, phishing sofware

NY Life
  • mutual insurance company (policyholders have ability to elect management)
  • business seeks to 1) use technology to support agents 2) use IT to collaborate with existing customers, as well as prospective customers 3) manage legacy technologies when knowledgable employees retire

IT terms: CIO, 

Mount Vernon Mills Adopts EDI
  • Manufactures textile products with 3,600 employees and 14 production facilities
  • Incorperated EDI (Electronic data interchange) by upgrading infastructure and realigning its IT resources to one location (HQ)
    • Eliminated overhead and duplication of resoureces
  • eliminated data redundancy-decreased labor hours entering hard copy data and allowed orders to be processed more quickly

IT terms: EDI, data redundancy, database, resources

Dupont's Focus
  • Chemical conglomerate (developed nylon, Teflon, Lycra)
  • Outsourced IT function to Computer Science Corporation (CSC) becase it is a science company, not an IT company 
    • Hired DuPont's IT employees
  • Cost of IT operations have been reduced by 6-8 percent more than projected estimates
  • Helped with mid-range and mainframe computers, email, help desk, desktop computers, support for SAP ERP system
  • User satisfaction has increased

IT terms:globalization, outsourcing, SAP ERP



Quality Assurance at Daimler AG
  • Problem: warranty data was housed in a QUIS (mainframe based platform)
    • use of different analytic tools created inconsistent information; user analysis requirements not met
  • Solution: Combined data sources into data warehouse (AQUA)
  • Two goalds: 1)increase customer satisfaction 2)reduce costs
  • AQUA included data mining to improve early warning systems on vehicles
  • Results: followup costs decreased with no need to transfer data; data is used to eliminate problems in the production stage

IT terms: Quality information system (QUIS),databases, Advanced Quality Analysis (AQUA), data warehouse, data-mining, Business Intelligence (BI), Management Information System (MIS)

Disney CRM
-Problem: Disney park attendance has decreased by 15%
- Solution: New CRM strategy- Pal Mickey (using a powerful infrared sensor in its nose)provides information on which rides have the shortest lines, and information on events.
- Interactive webstie allows visitors to schedule a complete day at the parks before they arrive. Receive messages on their smart phones about their schedules and can pre-arrange travel accomodations

IT tools: CRM, Wi-Fi, GPS, IR communication
Norfolk Southern
-Problem: Used a Thoroughbred Operating plan (TOP) after using models to optimize railroad performance. ISs generate millions of records from GPS information, fuel levels, revenue info, etc, but the system perfomance would decrease if every type of data were collected
-Solution: Implemented an enterprise data warehouse accessible via Web browser; customers can access using accessNS; alerting and RSS feed capabilities are enabled; HR optimized the location of service offices
Results: analyzes trends, develops forecasts, archives records

IT terms: self service BI, data warehouse, data mining, TOP, GPS
The aftermath of the miracle on the Hudson
- US airways activated a hotline for families of passengers to call and dispatched 100 employees from HQ
-Passengers were provided with sweatsuits and new travel tickets (flights, cars, and train)
-US airways also made sure that those without licences could rent cars. Passengers were given a refund and $5000 check to compensate for lost items, and were given Chairman's Preferred status
-1/3 of the 150 passengers have already flown with the airline again (considered to be successful)

IT terms: CRM
The next step in CRM
- Currently, websites use taste profiling to suggest products customers may like. Soon, companies may use the way they advertise to encourage product purchases
- Companies like Amazon could sell your tendencies to other companies for persuasive profiling
- Micro-profiling creates an invisible bubble so that search results are personalized, but does not allow other perspectives to be realized

IT Terms: CRM, tagging, persuasion profiling, micro-profiling, privacy, ethics
IT helps connondale manage its complex supply chain
- produces bicycles, apparel, footwear, and accessories for dealers and distributors in 66 countries and serves professional teams and Olympians
- The company has custom and stock orders and has to control demand to release bikes in a timely matter
- Has been using a legacy material requirements planning system (MRP II) that generated weekly reports, which was not quick enough to keep up with demand. As a result, the supply chain had to substitute parts, creating parts-flow problems
- RapidResponse was used to give users information in minutes instead of hours
-data mining increased BI
-inventory decreased, improved cycle times, reduced lead times, and accurate promise dates>> greater customer satisfaction!

IT terms: BI, MRP II, data-mining
Difficulties in managing ERP
- ERPs used to provide an advantage to companies; now the are essential
- ERPs are customizable; upgrading becomes impossible if a system is too different than the original and would take at least $15 million to re-implement
- After installing the newer SAP, Kennametal's CIO and CEO were more willing to change the internal business process to match SAP than the coding
Dana Holding Corp.
-CIO discovered that 90% of maintenance fees were for profit. Little human interaction was used for maintenance, so she stopped making payments
- The company now has to be more knowledgeable of the ERP if it were to break down
-little associated risk because the ERP is mature and reliable
Refining the Call Center
- It is important to increase the number of customers served and satisfied by a call center as the center is expensive to run with each operator costs $50,000 per year. provies software that can define a complaint and analyze a caller's personality
- the software can detect previous callers and can assess the chances that she is calling to cancel
-software matches customers to operators with similar personalities, decreasing call time and increasing the amount of times a resolution was made
-1)money saved 2) more customer issues resolved 3) increased customer satisfaction 4) reduces customer turnover
- expenses decreased by 20&

IT terms: privacy, ethics, data-mining, ERP
-Before WiMax, villagers relied heavily on radio communication
-After WiMax, teachers could develop content for ebooks stored on a server farm
- findings by students and teachers are broadcasted over radio to reach farmers
-WiMax is capabble of handing mobile wireless data transmission and is implemented faster than wireline solutions
SAP at Airgas
- uses a highly customized SAP system
- Plan to complete project by 2012, but this accelerated schedule will cost $20 mil more than the $85 mil budjet; the economic benefit will accure from the switch in the long run.
-sales will improve sales, better price management, and create leaner operating costs

IT terms: ERP
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