Information System - Alsmeer Flower Auction

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Information Systems - Aalsmeer Flower Auction

Management Consultancy Report

This assessment work will consider how the use of modern information systems and technology might ensure the continued success of the Aalsmeer Flower Auction. The report will look at the type of business, information requirements, information strategy which can help Alsmeer Flower Auction to cope with changing environment. Also will take into consideration the impact and effectiveness of a new system for the organisation, management and employees.

Business Analysis

Aalsmeer Flower Auction (Bloemenveiling Aalsmeer) is a flower auction, located in Aalsmeer, the Netherlands. The Netherlands is the heart of the international floriculture sector. It has an intricate and high-quality network of companies, ranging from breeders and growers to sales experts and export firms, representing every aspect of the business. The Netherlands is the place where supply and demand come together. From Europe and beyond (source: About FloraHolland

On January 1, 2008 the Aalsmeer Flower Auction merged with their biggest competitor FloraHolland.

FloraHolland flower auction plays a key role in the Netherlands, land of Floriculture where its position as marketplace fulfils the role of matchmaker, intermediary and knowledge center.

Figure 1. FloraHolland key facts
Number of centers6 (Aalsmeer, Naaldwijk, Rijnsburg, Bleiswijk, Venlo and Eelde). Number of clocks40
Number of members5,000
Number of supplyers9,000
Number of customers3,500
Number of employees4,400
Most important import countriesKenya, Israel, Ethiopia, Ecuador and Germany Most important export countriesGermany, United Kingdom, France, Italy and Belgium


One of the most important part of FloraHolland Company is Aalsmeer Flower Auction which offers globally-producing growers and globally active wholesalers and exporters a total concept: a central marketplace for the buying and selling of floricultural products with a range of marketing channels, facilities for growers and buyers and logistics. This makes the Aalsmeer Flower Auction a prominent link in the international chain of flower and plant sales.

Structure of Aalsmeer Flower Auction cleary showing Figure 2.

The AFA uses two main channels to play its role as a mediator among growers and buyers: • auction: by using the auction clock, most of the supply from growers is divided into smaller units to be sold by exporters and wholesalers. • direct mediation: teams of mediators combine specific supply and demand to generate transactions for day trade and futures. In this process, they often follow the auction prices (sources: Bringing e-Business to the World’s Largest Flower Auction: The Case of Aalsmeer’ 2005

As a part of FloraHolland they transform and collect several information (see figure1) about their customers, suppliers, transport, mambers, employees, products (flowers, plants), transactions, etc. In 21st century in this type of business to be competitive advantage in the industry key role play new technology application named electronic business. It may be defined as the application of information and communication technologies in support of all the activities of business. E-business involves business processes spanning the entire value chain: electronic purchasing and supply chain management, processing orders electronically, handling customer service, and cooperating with business partners. Special technical standards for e-business facilitate the exchange of data between companies. E-business is any process that a business organization conducts over an information technology (IT) or computer-mediated network, such as the Internet. E-business software solutions allow the integration of intra and inter firm business...
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