Marcetta, Wong & Palmirotto Investment Company, a corporation dedicated to brokerage, is General Manager Faye Sherry Stull, besides being the main official which is in charge of the portfolios of the rich and famous clients.
The CEO disagrees with the proposed system
Financial Investment Group Decision Support System not because it thinks is right for the needs of the company.
There is a variety of portfolio managers, some portfolio managers were hired by their clients in the investment firm to be responsible for the sale and purchase of stocks and bonds, these are subject to individual arrangements lucrative for them both as for other investment house are employees of the firm and are assigned to cases as required.
Some customers have delegated to their managers all decisions having to do with their portfolios, others gave partial freedom of decision, that is implanted investment restrictions as to the type of investment and the amount of investment which must not consult any investment outside these parameters need to consult with the client.
The rate of investment house is 2.3% of the first million dollars in investments and 72% in excess of the first million. At least once a year the portfolio managers meet with clients to review contracts and specifications on the types of investments and investment strategies.
There are customers who are aggressive in their investment strategies and likes risky investments that yields higher profits, while others are more conservative and prefer a lower risk, greater confidence in the investment, and that leaves a profit although lower, stable.
Portfolio managers seek to vary the type of investment between bonds, stocks and other instruments, in fact, have more aggressive investments in stocks, while the more conservative have a high proportion of government bonds. Having established the chosen strategy and major investment managers dedicated to buy or sell when prices of the instruments are outside the regular trading or when lucrative are, or when your customer needs more effectively.
They are careful not to do many transactions if they are not necessary because each transaction will cost a fee to your customer.
With the advent of Internet portals that are dedicated to make investments such as Ameritrade, Charles Schwab Investment Online, and others, the Board of Directors commissioned a project to implement an information system that would automate most of the decisions about portfolios . He used mathematical procedures - financial to examine every portfolio daily to find better and more advantageous ways to distribute investments, provided they are consistent with the strategies discussed with customers.
Since portfolio managers were busy in meetings with clients, most outside the city, the system could have the advantage of making transactions short time taking game market fluctuations, for this will be given to the system that the Maximum portfolio tied to these short-term investments would be 10% of any portfolio. The remaining 90% of the portfolio manager with his client would have the power of decision.
The General Manager,
Sherry Stull Faye understands that you have to compete with online investment house, using a system that is in line, as proposed but takes advantage of the market when portfolio managers are busy, the investor online investing not want to know intermediary, which means your investment is to benefit from the reports of the investment house and any comprehensive advice on "hot" investments of time.
She also understands that this system benefits only the rich investors, but they understand that there are groups of investors that are willing to invest but do not have large amounts they can pay a single portfolio manager on the market.
1. Harmonize the ideas of the General Manager and Automated Financial Investment Group Decision Support System
of such luck that both the Board of Directors and the CEO can remain pleased and draw a strategic plan based system to be implemented.
2. In its opinion on the investments through the Internet and online systems in general and whether the house investor established as Smith Barney, UBS, Merrill Lynch among others, should see this possibility as an option or as a necessity. Justify your answer based on factors such as investment in information systems Vs. strategic advantage, market movement and other means of strengthening its position approach.
3. Does the inclusion of "social media" as part of the strategy of distribution channels for companies engaged in brokerage could be feasible? Explain from the point of view of competitive advantage, business impact and service the customer expects. Orejita: see this as an alignment of business strategies with information technology.
4. From the standpoint of "Enterprise Resource Planning (ERP)" How could frame the case in the success factors of ERP? Justify your answer.
5. How the case is handled by the "Customer Relationship Management (CRM)". In its response to define what is "CRM System", and how it is integrated, to be so in this case. Justify the part of the answer is that you understand that or not integrated CRM, that is, to become pregnant tell how, justification among other explanations are integrated. If not permitted not tell the reason to be and where you can see that is not integrated.