Operation pricing. This hybrid structure was new to

Operation Management: Group 6

Baria Planning Solution Analysis

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Chirag Patil (1701128)

Neha Iyer (1701147)

Indraneel Pise (1701152)

Shrinivas Bandeen (1701163)

Vijay Kumar (1701171)

Akash Vishnoi (1701174)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Baria Planning solutions is a consultancy firm dealing with
reduced procurement cost and improvement of supplier’s performance.

 

Ques 1 What are the
organizational and operational issues that underline the problems facing Baria
Planning Solutions?

The major problem faced by BPS was that the win rate of New
sale, renewal and Pilot was 2.5%, 6.2% and 3% lesser than the projected win rates.
This problem is mainly attributed to the malfunctioning of the sales support
group.

The underlying problems can be grouped into the
organizational and operational as below:

1.      
ORGANIZATIONAL ISSUES:

(a)   
BPS provides its services to Government, Energy,
Manufacturing and Retail. The organization was hence divided into industry
specific units but the sales team could not get timely assistance from the
sales support team which lead to loss of sales. This was the prime reason why
organization shift to BPS’s competitors.

(b)   
The sales support team had four functions Data
Engineering, Data Analysis, Proposal Support and pricing. This hybrid structure
was new to the market but workload was more in the Proposal support team. As
the data engineering and Data Analysis team could not be trained to do the work
of Proposed support division of work load could not be shared between various
departments.

(c)    
There was lack of synergy between sales and
sales support team as the sales division did not feel the ownership or the
urgency to push proposals to their goals.

2.OPERATIONAL ISSUES:

(a) The average processing time
for various processes are different for Data Engineering, Data Analysis,
Proposal Support and pricing being 8 hours,12hours,22hours and 4hours
respectively. This lead to uneven order wait time in the proposal support. So
the ongoing processes are not stream lined.

The bottleneck in this case is the
process support plan taking 22 hours.

Cycle time= 0.045 hours

Ques 2 What
alternatives are available for dealing with the problems in the Sales Support
group?  How do you evaluate the
alternatives that you propose? What should Christy Conor propose to Brandon Ali
?

Some of the alternatives to deal with problems in the Sales Support
Group are:

1.      
Cross Training

2.      
Fully Industry centric organization

3.      
Reorganizing proposal support by type of sales

Cross Training:

The motto is to consolidate the whole team so that any
employee can be given any project. Since proposal support is the bottleneck, it
is necessary that all employees in it are cross trained. This will result in
substantial decrease in the request wait time, which is currently 6.44 hours for
the proposal support stage. Cost incurred for cross training will be
approximately $6058.

Industry centric Organization:

The functions of the sales flow can be divided based on the
industry. Resources can be dedicatedly assigned to specific industry so that
priority issues can be focussed upon.

Reorganizing proposal support by type of sales:

The proposal team can be divided based on the kind of
project ie new sale, renewal, expansion or pilot. This can be done only if team
is already cross-trained across industries.

Limitations of the alternatives:

Cross Training

Industry-centric Organization

Type of sales reorganization

Team
members need to remain in each role for 3 months at least to stay effective

Significant
increase in manpower required which will add to the costs

The
individual expertise in every expertise is lost

The individual expertise
in every industry is lost

The problem of
constraint in sales proposal is not solved

Hiring manpower for
the new sales team will be necessary

 

Proposed Solution:

The first option of cross-training seems the possible
solution. This will reduce the industry focus but the turnaround time for each
project will reduce. This can boost the firm’s market value. Also, the cost of
cross-training is lesser than the other two possible options.