Business Relocation Decisions : Data Tech Inc Case Study

The company also should consider other factors in choosing the location of the plant including:

Smith’s Information Services is in the process of implementing a corporate overhead reduction program. This is due in part to the increasing costs of operating and maintaining an in-house data center, as well as flattened sales and reduced profits. For these reasons Smith’s Information Services is looking to outsource the company’s data center to an outside vendor. The increasing overhead costs include personnel costs to operate and maintain the data center’s servers, data center cooling costs, and electrical utility costs required to run the data center. Reducing these overhead costs, by outsourcing the data center, will help Smith’s Information

A newly formed firm must decide on a plant location. There are two alternatives under consideration: locate near the major raw materials or locate near the major customers. Locating near the raw materials will result in lower fixed and variable costs than locating near the market, but the owners believe there would be a loss in sales volume because customers tend to favor local suppliers. Revenue per unit will be $185 in either case.

The criteria that data center companies use to determine future locations is immensely sophisticated, considering

Martin Smith is newly employed in Greenlane Group, a top venture firm. Mr. Weatherstorm, his senior partner gave him three proposals to assess and evaluate. Martin’s task was to make a presentation about the advantages of the three data communication companies and come up with a credible recommendation on which of the proposals should Greenlane Group choose?

Winston Hao, the owner of Datavast Inc., is operating at a loss and needs to find out a way to be profitable this year. Datavast Inc. sells Data Security Boxes to big and small companies in China who are new to the concept of cloud storage. Winston Hao needs to dial in his target market, but the real issue is not enough sales. Hao is certain to segment to try to emphasis deep in order for him to build up his company. One of the issues that affect Datavast would be that either the market is behind in data storage or none at all. It’s also in lack of protection to face bankruptcy. Hao wants to target either small companies

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I consider that the Team-A approach is a rather potential one and should be tried. London and Tokyo markets still do not have big competitors in the sphere, so DataClear could enter the markets and take significant market shares there. Moreover, in this way, the company presents itself as a pioneer what brings additional benefits with it. However, that might be rather costly for the company that is why, before establishing new offices, it should be

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According to a consultant’s report, the success of a relocation business depends on the capacity to provide services at lower cost than if clients did it themselves. Therefore, it is very important for CTS to offer services at a moderate cost. The more services offered within their corporation at an optimal level the more possible revenue per customer.

The report has its limitations due to insufficient detailed information on both other revenues and variable costs of Prestige Data Service. But under certain consumptions and calculation methods, as applied in the report, we can still figure out the optimal solutions. Revenues, costs and profits are expressed in terms of the company’s output after analyzing the underlying relations

Outline the proposed staffing plan you will use to manage this account. Include both onsite and offsite staff. John Barry & Associates plans to apply the appropriate mix of principal, senior, and junior consultant’s hours relative to each requirement. Throughout the project you will have Bob Barry as the lead. He will coordinate the efforts of other JBA consultants (outlined within a separate document) to support both the onsite and offsite requirements. In general, Bob Barry will assist in the master migration and move planning design with heavy communication with you and your team. Bob Barry will then work with 1 or more senior team members in developing the schedule to meet your exact planning, disconnect, relocation, and connection of the items being relocated from building “X” and preparing for the demo and construction phases. We will then have a separate plan for reestablishing each department within each building.

Although the company could operate normally with all of the physical server equipment being located in one of the two locations based on the budget we would recommend having some equipment at both locations. The Los Angeles is clearly the primary location as most of the staff including IT will be located there but by having some redundancy at the New York location we could provide a much higher level of availability. This means that an outage or breach of security at the Los Angeles location could be minimized since we could transition to the New York equipment as the primary. These redundancies are extremely critical in our line of work. We can’t afford to lose creative data that could take weeks

The added IT solutions will help in improving company’s scalability. Using these solutions, in a long run, will help the company in expanding its customer base and its reach across the country.

The company has to decide between the two locations based on their virtues, availability and higher margin of profit.