NIBCO Inc.
INTRODUCTION (5 Points)
NIBCO Inc. is a middle size company that is privately held and that specializes in the manufactures of pipe fittings as well as valves. The organization’s headquarters are in Elkhart in the same city in which it was founded more than a century ago. Prior to December 1997 the company utilized a legacy system in its administration and operations. However, a number of events and processes set into motion a move towards significant change in the organizational system in the company between 1995 and 1997 (Brown et al, 2012). Various problems regarding information systems and high cost of operation resulted in concerns on the effectiveness of the strategic planning mechanisms under use.
ISSUES/PROBLEMS (20 Points)*
Functionality: The functionality of the legacy system was a major issue which greatly affected performance of the company. The BCG conducted a study and determined that both internally and externally widespread dissatisfaction existed on the issue of the functionality of the legacy environment.
Suspect data: Data were suspect given that multiple access points and databases existed for the legacy system. Errors in data entry were possible and as such discrepancies could occur under accounting systems (Brown et al, 2012).
Common system blow ups: Ad hoc changes regarding information systems for the four major legacy systems were frequent and therefore regularly staff members experienced blow ups in the systems. This resulted in people ridiculing the information systems people although the mistake was not their but it was based on the legacy system in use.
Mainframe system information transaction problem: Initially NIBCO worked under a mainframe system that was characterized by lack of conformity in mainframe applications. Considering that various platforms such as IBM/MVS and HP3000 were being used in the same information system, inefficient information transfer was inevitable.
SOLUTIONS (Taken by the company) (20
NIBCO Inc. is a middle size company that is privately held and that specializes in the manufactures of pipe fittings as well as valves. The organization’s headquarters are in Elkhart in the same city in which it was founded more than a century ago. Prior to December 1997 the company utilized a legacy system in its administration and operations. However, a number of events and processes set into motion a move towards significant change in the organizational system in the company between 1995 and 1997 (Brown et al, 2012). Various problems regarding information systems and high cost of operation resulted in concerns on the effectiveness of the strategic planning mechanisms under use.
ISSUES/PROBLEMS (20 Points)*
Functionality: The functionality of the legacy system was a major issue which greatly affected performance of the company. The BCG conducted a study and determined that both internally and externally widespread dissatisfaction existed on the issue of the functionality of the legacy environment.
Suspect data: Data were suspect given that multiple access points and databases existed for the legacy system. Errors in data entry were possible and as such discrepancies could occur under accounting systems (Brown et al, 2012).
Common system blow ups: Ad hoc changes regarding information systems for the four major legacy systems were frequent and therefore regularly staff members experienced blow ups in the systems. This resulted in people ridiculing the information systems people although the mistake was not their but it was based on the legacy system in use.
Mainframe system information transaction problem: Initially NIBCO worked under a mainframe system that was characterized by lack of conformity in mainframe applications. Considering that various platforms such as IBM/MVS and HP3000 were being used in the same information system, inefficient information transfer was inevitable.
SOLUTIONS (Taken by the company) (20