Max Edwards - Syncra Systems Case Analysis Outline - MKTG 6643
• According a 1996 study, retail product stock-outs in the industry occur at an average rate of 8.2% which leads to loss of sales, customers dissatisfied, etc
• In 1998, Syncra Systems has developed a product branded "Syncra CT", a collaborative planning forecasting and replenishment (CPFR) software, to enable sharing of forecast and planning information between suppliers, distributors, and retail trading partners.
• The software was intended to be vendor neutral in that it connects existing enterprise systems of trading partners by making valuable supply chain information (i.e. sales forecast, inventory levels) ...view middle of the document...
e. cost with adaptation, ease of use, etc)
o Advantages: addressing initial concerns of perspective buyers could help ease of sell
o Disadvantages: significant investment in improving an already proven and working software
Solution + Analysis & Explanation
• Syncra's Products are vendor neutral, industry compliant (CPFR), open and web-enable solutions to an industry wide problem
• Currently the only company that has a product with a solution to this problem - must take be aggressive approach and determine a target market and positioning strategy that yields the greatest market share prior to competitors developing their own solution
• Target market should be larger companies that are showing willingness to adapt their products
o The more "success stories", the easier the sell on the skeptical businesses
• Syncra's customers have somewhat significant bargaining power as they can always state the risk of implementation outweighs the possible benefits
o Syncra must develop a plan to sell "test implementations" so customers have a better understanding and actually see the results