Lego Case Study

Topics: Toy, Management, Product differentiation Pages: 4 (1016 words) Published: October 8, 2012
Lego case study

1. How did the information systems and the organization design changes implemented by Knudstorp align with the changes in business strategy?

Ever since LEGO started experiencing double digit annual sales growth, (by launching new toy games, branded theme parks, entering the video game sector, introducing mobile applications, introducing toys for girls, etc.) they realized they needed a model that was standardized, modular and scalable. Hence, allowing them to expand to new markets in a less amount of time. They already had a decently established market in USA and UK; they were looking for an expansion in other countries as well. This model had to tackle major issues like scalability challenges, employee management, product design and development. They had to do so in a short time span and had to make sure that their implementation of the new information system was flawless. To do so, they required immense simplification and standardization of the IT landscape. Thus, they implemented the integrated SAP business suite. The SAP business suite provided integration of data, information and processes, collaboration, industry specific functionality and most importantly, the much needed scalability. They also utilized the SAP human capital management, which helped them manage their human resources. Thus, another big issue of employee management was tackled. Other small applications by SAP were also used to handle minor tasks like applications involving e- commerce, roster management, etc. All the above SAP softwares were integrated and implemented on an IBM infrastructure. This infrastructure had its backbone as the IBM power server. They utilized the IBM System Storage and the IBM System x technology. Also, a suite of IBM Tivoli software was used. All of these combined together made extensive use of virtualization. This further simplified centralized both service and storage management. In addition to this, IBM PowerHA technology was used to...
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