Case # 9-301-056 Cisco Systems: Web-enablement
When John Chambers assumed the CEO position, he outlined some very specific objectives for Cisco’s future success. His plans included creating a one-stop shop for business networks by creating a comprehensive product line, to make acquisitions an efficient business process, to create industry-wide software standards for networking, and to choose the right strategic partners. All of these efforts would change the way companies and industries operated by creating an infrastructure of networked voice, data and video.
Chambers’ vision of truly global networked companies would lead to improved productivity and profitability. The main focus, however, was on the end result, which was high
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In addition, Cisco only chose partners that complimented their abilities to integrate their expertise and products with those of Cisco’s in-house product line in order to gain a market share for their own product lines. One of the main successes of standardization was the acquisition process. Most acquisitions were fully integrated within 60-100 days. Cisco acquired many small and medium size businesses that brought technology into its product line. It allowed them to gain R&D for a relatively low cost. Standardization allowed Cisco to be systematic about the way things were done which helped to make it an easy, repeatable process that could be duplicated quickly.
Select two of the five benefits resulting from the Cisco Supply Chain Initiative and explain how these contributed to the efficiency of the supply chain and increased profitability. Explain how the two benefits you chose contributed to supplier and/or customer satisfaction.
Cisco acknowledged that there were initial barriers to the flow of information and the ease of supply operations between them and their business partners who produced products for Cisco’s consumers. They initiated a Supply Chain Management Initiative to improve their operations by automating the supply chain and improving information flow between Cisco and its partners. 1) Direct Fulfillment: One result of the initiative was creating direct fulfillment for product orders.
3. How can supply chain design and integration help John Wolf reduce investment and space requirements while maintaining adequate service levels?
In 1995, John Chambers joined Cisco Systems as president and CEO. After six years under the supervision of Chambers, the company went from generating $2.2 billion in annual sales to $22.3 billion. As a result of the market downturn in 2001, the company suffered its first loss and laid off 18% of its workforce. Chambers quickly realized Cisco was in need of significant organizational restructuring if Cisco were to survive and thrive the downtown. This change shifted the company from a decentralized firm that only focused its three work silos of Marketing, Engineering and Sales to segregated and specific customer groups to a centralized firm that focused on collaboration and relevant technologies for given customer groups. This
Each alternative must be clearly identified. The key advantages and disadvantages of each alternative must be listed and thoroughly discussed. The compare and contrast (pro and con) assessments of each alternative must be done against the decision criteria previously listed and discussed. A matrix format may be used in order to more accurately compare each of the alternatives. If multiple decision criteria are being used, weighting of each of the criteria must be applied. It is also important to look at the short and long term results of each alternative, and to assess the best, the worst, and the most likely outcomes for each alternative. Qualitative and quantitative analysis will be required. It will also be necessary for the student to use the various supply chain management tools and techniques learned throughout the certificate program to determine those possible outcomes.
Derynck, R., & Hutchinson, T. (1998, November 01).Integrating real-time systems with corporate information systems. Retrieved from http://www.hpl.hp.com/hpjournal/98nov/nov98a4.pdf
4.CEO John Chambers believed that “by providing the end-to-end network plumbing, we can change the way entire companies and industries operate.” How did Cisco’s IT web-enablement initiatives reinforce and demonstrate that belief? Explain your answer with examples.
After investing $15 million implementing an ERP system, Cisco spent the next two years investing $100 million in web-enablement initiatives. Why did they do that? How did standardized web protocols contribute to the success of these efforts?
2. Given the industries in which the Cisco competes, what are the implications for the major types of buying situations?
1. Study the networked supply chain concept as implemented by Cisco. What are its strengths and weaknesses?
Supply Chain Management (SCM) aims at integrating all corporate activities to improve relationships at all levels (internal operations, supplier networks, and distribution channel) to meet the competitive edge and satisfy the customer. In order to build an effective and complete business process that supports SCM, information among all business partners need to be shared. Information sharing through the Internet reduces the gap for business-to-business (B2B) commerce by enabling seamless integration with enterprise processes among partner corporations.
Read the profile of Boeing and the company’s 787 Dreamliner found in your textbook. This profile serves as an excellent example of how a company used an infrastructure change to improve its supply chain. In making this improvement, which of the five ways of implementing an infrastructure change, identified in section 10.6 of your text, did Boeing employ? Do a little research on your own to identify a company that has used the second main approach (i.e., a structural change) commonly employed by organizations to improve their supply chains. Write a brief profile of the company you’ve selected following the pattern of the Boeing profile you’ve just examined. The profile should be one to two pages
3. ECCO has a fully integrated vertical value chain. What are the pros and cons of this strategy? What economic and strategic factors should be analyzed to answer this question?
Our enquiry commenced in August 2001 from which time our team worked to gather information and interview Cisco personnel. Through this effort, we were able to identify the challenges associated with the restructuring effort as well as its effects on Cisco’s corporate culture and its clientele. Our analysis focused on the following topics:
3. Most managers of Wings & Legs see the exchange of tactical information about (price)
Cisco Systems is a global market leader and innovator of computer communications and networking solutions. Established in the 1980’s, the company rapidly developed into the world’s greatest manufacturer of internet routers and was/is a foremost provider of commercial communication network devices. The aim of this case study report is to create an understanding of Cisco’s historical international business activities as well as explore their recent and current developments in international business management. The ‘Recent Development’ section details both Cisco’s main strategy of Acquisitions and how the company has operated under and coped with new management.
Page eight of the case begins to outline some of the challenges that the HP-Cisco alliance had already faced concerning the sale of joint products. For example, we learn that at HP, Cisco products did not count towards a sales representative’s quota and this resulted in a decline in sales of Cisco equipment by HP sales representatives. Further, if HP or Cisco sales staff had to master not only their parent company product line,