Rogers Cable Case Solution
- The Test pilot had a small sample size. A failure rate higher than 3% is expected.
- The expected benefits are $4,290,000. Expected costs are $66,000 to $75,000. ROI is 57.2 to 60%.
- Breakeven Analysis
- Needs analysis- utilities- outsourcing- material- program requirement- evaluation
- Time consuming
- You need to wait longer to see results. This does not work for the contract.
- The seasonality aspect would mean that there would be no pay offs if the contract is not extended
- Training would be more suitable for Rogersâ€™s employees. Contractors may take the training and switch to our competitors.
- The benefit of the training program would follow a standardized protocol, so it is highly likely the outcome is similar.
- Inventories become more efficient as the technicians would have the right amount of cable boxes.
- Our inventory would be more aligned with our customer demands.
- Higher control of inventory
- Deals with maintaining the right number of cable boxes in anticipation of demand
- Help out technicians maintain the right amount of cable boxes
- Reduce repeat visits
- Custom design the product
- Does not evaluate the performance of the technician and overall reducing of repeated truck rolls.
- A very large investment
- 1 million dollars is the cost
Evaluation of Alternatives
Return On Investment (ROI)
The first option of implementing ROI involves the implications of the training programs. These programs for training of employees include a fixed cost of $60,000. Furthermore, the additional cost incurred by the cost analyst, who will analyze the scorecard, is estimated to be 6,000 to 15,000; this is based upon the salary of the cost analyst.
In addition, it has analyzed by the implementation of scorecard; there was a cost saving of approximately 4,290,000. The scorecard also identifies the best performance among the technicians. With the implication of scorecard, Rogers Cable will be able to analyze the best or poor performance of the technician. The organization will be able to portray performance of the employees and improve their performances. Furthermore, it can arrange trainings and workshops. Hence, the response will be in the form of better management of the organization to deal with the customers’ complaints.
As the maintenance of scorecard will provide insight into the working condition of the technicians, other employees will also be able to get the analysis of their performance. Therefore, they will also participate in the betterment of quality of the organizations’ product through improving their efforts.
The pilot testing of scorecard implementation has brought 3% defects among the employees installation from the small sample size. Hence, it was expected that the percentage of failures would be raised with the increase in the number of installations by technicians.
From the above discussion, it can be analyzed that Return on Investment (ROI) would be able to provide the benefit of $4,290,000 and expected costs are $66,000 to $75,000. Thus, the expected ROI is 57.2 to 60%.
Breakeven of the Rogers Cable includes many aspects of the cost and benefit analysis in it. However, its total expenditure would cost approximately $1 million to the company.
Cost of Call
The cost of the call is estimated to be of $6 and truck roll would be able to install at $50. Moreover, the automated directory has calculated the used to troubleshoot issues with the customers, when they have to wait in the queue. Furthermore, navigation by technicians according to the needs of customers can result in 30 percent dissatisfied customers of Rogers Cable. Hence, in order to maintain the number of defaults by the installations of the company, Roger Cables is required to assume the increase in the number of customers i.e. 1, 00,000 customers for installation………………. Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â Â This is just a sample partial work. Please place the order on the website to get your own originally done case solution