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BDC Consulting is ISO 9001:2008 certified
Accelerate your business success
with information and communications technology (ICT)
February 1, 2012
2 Accelerate your business success with ICT
Agenda
> Investing in ICT: Now is the time
> Top 10 strategies to maximize ROI using ICT
> BDC can be your ICT partner
Investing in ICT
Now is the time
4 Accelerate your business success with ICT
The big picture
Canada needs to make gains in
productivity
> Canada is only in the middle of the
pack when it comes to small
business productivity
> We do not adopt technology (ICT)
as readily as the U.S. or Europe
> Canada could make great gains in
global competitiveness by
addressing this one factor
0
10
20
30
40
50
60
70
80
Luxembourg
Norway
Ireland
Belgium
UnitedStates
Netherlands
France
Germany
Austria
Sweden
Australia
Denmark
Switzerland
Spain
Finland
UnitedKingdom
Italy
Canada
Iceland
Japan
Israel
Slovenia
Greece
SlovakRepublic
NewZealand
Portugal
CzechRepublic
Hungary
Korea
Poland
RussianFederation
Mexico
Estonia
GDP per hour worked, USD, 2009 OECD Total G7 countries Euro area
Global competition will only get tougher.
ICT can help Canadian companies stay lean, productive and competitive!
5 Accelerate your business success with ICT
Now is the best time to invest in ICT
> Canada’s economic fundamentals are relatively strong
– High dollar boosts buying power for capital investment
– Software prices are attractive right now
> Canada is awakening to the importance of ICT investment
– Canada should experience the highest IT spending growth of any country in
2011, with an increase of 7%1
– Comparatively, U.S. and global IT spending is expected to grow by 5.6%2
1. IDG News Service. 2. TransWorldNews.
This may be an opportunity you can’t afford to miss!
6 Accelerate your business success with ICT
Accelerate your business success
> ICT stimulates growth
– Technology opens access to new markets and creates new
opportunities to engage with customers
> ICT drives productivity
– Technology improves efficiency, reduces costs and boosts
profitability
> ICT improves management
– Technology lets entrepreneurs do more, increase capacity, and
compete globally
> ICT sparks change
– Technology is a catalyst for positive change, improving
processes and motivating people to work more creatively
7 Accelerate your business success with ICT
Numbers tell the story
> Almost 80% of entrepreneurs report that
the results of their technology investments
met or exceeded their expectations
> Only 14% of entrepreneurs reported
results below expectations
> Productivity increases 1.3% for every 10%
increase in the number of employees using
computers1
> The average company with several ICT
applications has 12% higher productivity
than the average company without any ICT
applications1
> Revenue grows an average 8.5% after
adopting Internet business solutions2
Expectations and results of
investment in technology
Don’t know, 7%
Results below
expectations, 14%
Results above
expectations, 9%
Results match
expectations,
70%
Canadian Federation of Independent Business, Building Business Success: A
Survey of SMEs on Productivity, April 2007.
1. OECD, Does ICT Use Matter for Firm Productivity? May 2006
2. Canadian e-Business Initiative, Net Impact Canada IV, 2004
8 Accelerate your business success with ICT
BDC client success story
Polaris Transportation Group
Polaris is a rapidly growing transport company in
Mississauga, Ontario. Management was
uncomfortable with technology before they decided
to make a first investment.
Approach:
> Hired BDC Consulting to conduct an in-depth needs
assessment
> Reviewed manual processes first, then looked at
technology
> Used technology to trim costs, save time and free up
resources
> Used these new advantages to focus on sales
Results:
> Far better than they imagined
> Helped triple sales to $40 million
> Planning another ICT upgrade to target sales of $100
million
“I’ve gone from fear and
trepidation about technology to
embracing it.”
Larry Cox, Owner
Top 10 strategies
Maximizing ROI using ICT
10 Accelerate your business success with ICT
Top 10 strategies to maximize ROI using ICT
Top 10
strategies
to maximize
ROI using ICT
Align ICT
investments
with
business
strategy
Assess
productivity/
ICT adoption
Leverage
current ICT
Introduce
new
applications
Leverage the
InternetComplete or
cancel ICT
projects
Integrate with
your supply
chain
Support your
ICT
Manage your
ICT risks
Continue to
invest in ICT
11 Accelerate your business success with ICT
1. Align ICT investments with business
strategy
> Create an ICT strategy that aligns with the overall business strategy
– Focus on the key aspects
– Prioritize the business issues
– Concentrate efforts on the most urgent ICT needs
> Establish an ICT plan that defines the overall orientation and architecture
– Ensure that current and future ICT investment are part of a logical chain of
events
> Make decisions
– Revisit decisions regularly to ensure they still align with evolving business
priorities
12 Accelerate your business success with ICT
2. Assess productivity of operations and
current level of ICT adoption
> Invest in areas where productivity and ICT adoption are low
> Benchmark productivity with industry averages to identify opportunities
– Identify key pain points/bottlenecks affecting operational efficiency
> Identify causes of inefficiency
– Low levels of automation
– Extensive manual tasks
– Low visibility/availability of information
> Give priority to areas that represent the following
– A significant proportion of operational costs
– Substantial gaps with industry efficiency averages
– The highest potential for revenue growth
13 Accelerate your business success with ICT
BDC client success story
Helly Hansen Canada
Helly Hansen Canada is the Canadian arm of a
worldwide premium activewear company. During
the recent recession, a decline in sales left the
company with too much inventory.
Approach:
> Adopted new technology that provides better forecasts
− A database that helps plan inventory levels
− A more efficient and manageable invoicing system
− New analytical reports and forecasting tools
Results:
> Inventory costs down 33% over two years
> Product development cycle 40% shorter
“If we’re not innovative, we’re
going to get run over.”
Dan Clarke, President
14 Accelerate your business success with ICT
3. Leverage current ICT
> Fully leverage existing applications before investing in new ones
– In many cases, existing applications have been implemented partially
without utilizing all functionality, so consider the unused potential
– Limitations in existing applications may be addressed by installing newer
versions of the same software, so think about upgrading
> Ask your ICT vendors for a more complete description of the capabilities of
your applications
– Some websites (such as www.technologyevaluation.com) offer a quick way
to validate system functionality
> Integrate your applications to increase your productivity
– Manual processing of data drives up costs and error rates
15 Accelerate your business success with ICT
4. Introduce new applications
> Make sure to select the applications that best fit your current and future
business needs
> Budget adequate resources (time, money, consulting support) to make the
project successful
> Define clear implementation objectives, and make tough decisions when
needed
> Do not customize software; leverage standard functionality
Implement new
applications with an
experienced and expert
team to dramatically
increase your likelihood
of success.
16 Accelerate your business success with ICT
Vendor considerations
> When choosing a solution,
you are also choosing a firm
that will work with you
throughout and after
implementation
> It is important to find the
partner that best fits your
needs
– Learn the strengths and
weaknesses of potential
implementation partners
Key questions for potential vendors
1. What kind of customers do you typically serve?
2. What kind of references are you able to provide?
3. What is your methodology for implementation?
4. How will you facilitate process re-engineering?
5. How do you handle organizational change
management?
6. What type of budget/scope controls do you use?
7. How will you handle mismatches between our
business requirements and the software’s off-the-
shelf functionality?
8. How will you define implementation success?
9. How are benefits measured and realized?
10.What is the experience of the team members you
are proposing?
17 Accelerate your business success with ICT
BDC client success story
Sitka Surfboard
Sitka Surfboard is a Canadian manufacturer
and retailer of surfboards, skateboards and
clothing based in Victoria, B.C. Sitka found
itself with an inefficient patchwork of different
software systems in various parts of the
company.
Approach:
> Implemented an enterprise resource planning
(ERP) system to tie the whole company together
> Removed various types of systems in each
department; the ERP system does it all
Results:
> Improved sales forecasting
> Better management of inventory across retail
stores, the online store and wholesale
operations
“We see this as a key part of our growth
strategy. Improving our efficiency now will
pay off tenfold as we scale up in the future.”
Andrew Paine, President
18 Accelerate your business success with ICT
5. Leverage the Internet
The power of information has shifted
from the seller to the buyer
19 Accelerate your business success with ICT
Define an Internet strategy
> You can use the Internet in many ways to
support your business
– Reduce your client acquisition costs
– Increase your sales
– Promote your brand
– Reduce your cost of serving clients
– Streamline your supply chain
– Enable collaboration between
employees, suppliers and business
partners
Ask yourself...
> What objectives do you have for
your website?
> Who are your customers, prospects
and community members?
> What are they looking for?
> Do you know what your customers
think about your business?
> What are your competitors doing?
20 Accelerate your business success with ICT
Define an Internet strategy
> Determine what your website could offer your customers that adds real
value and could help grow your business
> Remember that building a website is the easy part, but defining the ideal
visitor experience is the key part
> Integrate your social media presence with your Internet strategy
The establishment of an
Internet strategy is key.
It must be consistent with your
overall business strategy and
recognize that competitors are
only a few mouse-clicks away
21 Accelerate your business success with ICT
BDC client success story
Philip and Henry Productions Inc.
Philip and Henry Productions is a North
American network of professional magicians,
with a Canadian head office in Vaughan,
Ontario. The company saw an opportunity to
grow by using the Internet.
Approach:
> Defined website goal
> Explored Internet marketing options
> Developed a list of keywords
> Tested different content and design alternatives
Results:
> 30% growth, year over year
> Better efficiency and effectiveness
> Instant access to real-time information
22 Accelerate your business success with ICT
6. Complete or cancel ICT projects
> Focus on high-impact projects and commit to
their completion, especially if you achieve ROI
in a short period of time
> Cancel projects with low impact that require a
long time to achieve ROI
– Also focus on projects where alignment with
evolving business priorities and buy-in from
management are no longer there
Typically, 35% of ICT projects are perceived to be successful and 19%
are considered failures (the remaining 46% are “challenged”)
The number one cause of failure
is a lack of the right resources with the right skills
23 Accelerate your business success with ICT
7. Integrate with your supply chain
> Work with suppliers and large customers to
get a sense of their ICT plans
> Analyze overall value and invest in the
highest-impact systems
> Take advantage of cloud computing to
shorten implementation timeframes and
potentially lower costs
> Engage vendors in your ICT planning
process and your strategic purchasing
decisions
> Turn to “trusted advisors” for independent
and objective assessment and advice
You are part of a larger supply chain
and everyone is looking to reduce costs
24 Accelerate your business success with ICT
8. Support your ICT
> Secure qualified resources to support your ICT
– Could be internal or external
> Make sure to keep your ICT resources up to date on new technology you
bring into your company
> Monitor the age of your ICT infrastructure and consider retiring unsupported
applications
Unsupported ICT is a
ticking time bomb that will
eventually cause system
downtime. Imagine your
organization without email
or access to sales orders!
25 Accelerate your business success with ICT
9. Manage your ICT risks
> Steps to reduce ICT risks
– Create a list of critical business processes and technologies you depend on
– Identify the people responsible for support during all business hours
– Fill gaps and document key contact information
– Know how to contact vendors in the event of an external problem
– Develop a contingency plan and communicate it to those who need to know
– Back up your information regularly and store it off site
26 Accelerate your business success with ICT
10. Continue to invest in ICT
> When capital is scarce, tough decisions need to be made, and ICT investment
is often reduced or frozen
– Cutting back on ICT expenditure over a long period of time will result in obsolete
systems and over-reliance on manual business processes
> Steps to unfreeze capital investment
– Do the work outlined in the previous slides to determine opportunities, impacts and
risks
– Invest incrementally in an independent and objective ICT assessment to finish
identifying and prioritizing projects
– Work with your trusted advisors to ballpark approximate investment costs
– Focus on high-impact solutions to secure the necessary funding
– Use a proven system selection methodology to make the right choice for the long
term and to achieve the highest ROI possible
ICT Adoption
BDC can be your partner
28 Accelerate your business success with ICT
Our framework for recommending ICT
• This is not just about technology; it’s about
improving your productivity to sustain growth
and profitability
Understand your
business strategy and
assess the efficiency of
your current business
processes
• Before proposing additional technology
investments, we will evaluate how well your
current technology platform is able to address
your strategic and/or business process gaps
Fully leverage past and
current investments in
ICT
• Our independent and objective ICT experts will
evaluate how investing in new technology
would affect your company’s success
Assess the merits of
investing in new
technology
29 Accelerate your business success with ICT
Our framework for recommending ICT
• We will develop a prioritized action plan that
will accelerate the creation of incremental
business value in your company
Plan ICT deployment
according to growth
and profitability
drivers
• With our proven approach and experienced
professionals, we will reduce the risk of such
investment by helping you find the best solution,
and we will guide you through the process of
negotiating a system purchase
Help you select the
enterprise software
that best fits your
business
• We can provide term financing with
beneficial terms and conditions as a sound
way to preserve your short-term working
capital
Provide financing
designed for ICT
needs
30 Accelerate your business success with ICT
ICT solutions and tools
bdc.ca/smarttech
ICT consulting solutions
> ICT Essentials
> ICT Diagnostic
> Website Diagnostic
> Internet Strategy
> System Selection Support
Free tools
> ICT Assessment
> Web Assessment
Resources
> Free eBook
> Learn about ICT
ICT financing
31 Accelerate your business success with ICT
ICT financing
Get vital capital to invest in the following
> Hardware (servers, network, telephony,
computers and accessories)
> Software (ERP, CRM, human resources,
supply chain, finance and accounting)
> Services (IT planning, strategy, security)
> Internet services (online sales, marketing,
social media)
Benefits
> Financing with beneficial terms and conditions
to get your project off the ground
> A sound financing alternative to preserve your
short-term working capital
32 Accelerate your business success with ICT
Accelerate business success
Both BDC client and non-client companies, including small businesses
such as home offices, may apply for an ICT loan
Beneficial terms and conditions
> BDC floating base rate + 1%
> 4-year repayment period
BDC client
Contact Rod Wolfe, Sr. Account Mgr.
204-983-6508 rod.wolfe@bdc.ca
Not a BDC client
Get up to $50,000*
Apply online at bdc.ca/ictfinancing
* For financing needs that exceed $50,000
call 1 877 BDC-BANX (232-2269) or the
nearest BDC business centre.
Certain eligibility criteria apply.
33 Accelerate your business success with ICT
ICT Essentials:
A development and coaching program
Need-to-know technology for business
owners and managers
> Assess your organization’s readiness to
capitalize on ICT opportunities
> Manage your ICT resources: people,
equipment, vendors
> Make strategic decisions about ICT
Both options include a free
Website Diagnostic and
practical ICT planning
templates
Option1
Option 2
Online learning
modules
4 half-day
workshops
Personalized
coaching hours
4 half-day
workshops
Online learning
modules
34 Accelerate your business success with ICT
ICT Diagnostic
Discover how technology can transform your
business
> A thorough diagnostic to assess your
overall ICT needs, ranging from
technological tools and applications to
the valuable new capabilities of the
Internet
Our focus
> Assess your current ICT environment
> Identify areas for improvement
> Develop a strategic ICT investment path
that supports your existing business plan
> Recommend an action plan
> Prioritize recommendations
35 Accelerate your business success with ICT
Website Diagnostic
Get a professional evaluation so you can
make the right changes
> A thorough diagnostic to evaluate the
strengths and weaknesses of your current
website, and provide a prioritized list of
recommendations
Our focus
> Increase visibility on Internet search
engines
> Sort out site design and technical issues
> Measure your traffic patterns
Online purchase for quick and
efficient delivery of results
36 Accelerate your business success with ICT
Internet Strategy
BDC Internet specialists can work with you to
do the following
> Develop a custom Internet strategy
> Develop project specifications to build the
website
> Create an e-marketing plan that includes a
social media and lead-nurturing plan
Our focus
> Increase your web traffic
> Improve the quality of visitors so that most are potential customers
> Boost the percentage of visitors who respond to a call to action
> Differentiate your online presence to make you more competitive
> Build trust and credibility
37 Accelerate your business success with ICT
Software System Selection Support
Expert assistance from start to finish
> System specialists at BDC Consulting will
guide you through every stage of the
selection process, from identifying functional
requirements to negotiating a purchase
contract
Our focus
> Prioritize needs based on business impact
and process fit
> Choose the best software solution for your
needs
> Negotiate the best deal with the vendor
> Avoid common software selection mistakes
Minimize time, cost and
risk on your next project to
select an ERP, CRM,
supply chain management
or other system
38 Accelerate your business success with ICT
Free online assessments
www.bdc.ca/smarttech
ICT Assessment
Answer 41 multiple-choice questions
and get your confidential report back
instantly, in a printable format
See how well you use different ICT to
> Increase sales
> Improve productivity
> Optimize infrastructure
Get recommendations for improvement
Web Assessment
Just type in your web address and get
your confidential report back instantly, in a
printable format
See how well you do in these key areas
> Marketing – How well marketed and
popular the website is
> Experience – How satisfying the
website is likely to be for users
> Accessibility – How accessible the
website is to mobile and disabled users
> Technology – How well designed and
built the website is
www.bdc.ca
Rod Wolfe
Sr. Account Manager
Winnipeg, MB
204-983-6508
rod.wolfe@bd.ca
Thank you!

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Information & Communication Technology

  • 1. BDC Consulting is ISO 9001:2008 certified Accelerate your business success with information and communications technology (ICT) February 1, 2012
  • 2. 2 Accelerate your business success with ICT Agenda > Investing in ICT: Now is the time > Top 10 strategies to maximize ROI using ICT > BDC can be your ICT partner
  • 3. Investing in ICT Now is the time
  • 4. 4 Accelerate your business success with ICT The big picture Canada needs to make gains in productivity > Canada is only in the middle of the pack when it comes to small business productivity > We do not adopt technology (ICT) as readily as the U.S. or Europe > Canada could make great gains in global competitiveness by addressing this one factor 0 10 20 30 40 50 60 70 80 Luxembourg Norway Ireland Belgium UnitedStates Netherlands France Germany Austria Sweden Australia Denmark Switzerland Spain Finland UnitedKingdom Italy Canada Iceland Japan Israel Slovenia Greece SlovakRepublic NewZealand Portugal CzechRepublic Hungary Korea Poland RussianFederation Mexico Estonia GDP per hour worked, USD, 2009 OECD Total G7 countries Euro area Global competition will only get tougher. ICT can help Canadian companies stay lean, productive and competitive!
  • 5. 5 Accelerate your business success with ICT Now is the best time to invest in ICT > Canada’s economic fundamentals are relatively strong – High dollar boosts buying power for capital investment – Software prices are attractive right now > Canada is awakening to the importance of ICT investment – Canada should experience the highest IT spending growth of any country in 2011, with an increase of 7%1 – Comparatively, U.S. and global IT spending is expected to grow by 5.6%2 1. IDG News Service. 2. TransWorldNews. This may be an opportunity you can’t afford to miss!
  • 6. 6 Accelerate your business success with ICT Accelerate your business success > ICT stimulates growth – Technology opens access to new markets and creates new opportunities to engage with customers > ICT drives productivity – Technology improves efficiency, reduces costs and boosts profitability > ICT improves management – Technology lets entrepreneurs do more, increase capacity, and compete globally > ICT sparks change – Technology is a catalyst for positive change, improving processes and motivating people to work more creatively
  • 7. 7 Accelerate your business success with ICT Numbers tell the story > Almost 80% of entrepreneurs report that the results of their technology investments met or exceeded their expectations > Only 14% of entrepreneurs reported results below expectations > Productivity increases 1.3% for every 10% increase in the number of employees using computers1 > The average company with several ICT applications has 12% higher productivity than the average company without any ICT applications1 > Revenue grows an average 8.5% after adopting Internet business solutions2 Expectations and results of investment in technology Don’t know, 7% Results below expectations, 14% Results above expectations, 9% Results match expectations, 70% Canadian Federation of Independent Business, Building Business Success: A Survey of SMEs on Productivity, April 2007. 1. OECD, Does ICT Use Matter for Firm Productivity? May 2006 2. Canadian e-Business Initiative, Net Impact Canada IV, 2004
  • 8. 8 Accelerate your business success with ICT BDC client success story Polaris Transportation Group Polaris is a rapidly growing transport company in Mississauga, Ontario. Management was uncomfortable with technology before they decided to make a first investment. Approach: > Hired BDC Consulting to conduct an in-depth needs assessment > Reviewed manual processes first, then looked at technology > Used technology to trim costs, save time and free up resources > Used these new advantages to focus on sales Results: > Far better than they imagined > Helped triple sales to $40 million > Planning another ICT upgrade to target sales of $100 million “I’ve gone from fear and trepidation about technology to embracing it.” Larry Cox, Owner
  • 10. 10 Accelerate your business success with ICT Top 10 strategies to maximize ROI using ICT Top 10 strategies to maximize ROI using ICT Align ICT investments with business strategy Assess productivity/ ICT adoption Leverage current ICT Introduce new applications Leverage the InternetComplete or cancel ICT projects Integrate with your supply chain Support your ICT Manage your ICT risks Continue to invest in ICT
  • 11. 11 Accelerate your business success with ICT 1. Align ICT investments with business strategy > Create an ICT strategy that aligns with the overall business strategy – Focus on the key aspects – Prioritize the business issues – Concentrate efforts on the most urgent ICT needs > Establish an ICT plan that defines the overall orientation and architecture – Ensure that current and future ICT investment are part of a logical chain of events > Make decisions – Revisit decisions regularly to ensure they still align with evolving business priorities
  • 12. 12 Accelerate your business success with ICT 2. Assess productivity of operations and current level of ICT adoption > Invest in areas where productivity and ICT adoption are low > Benchmark productivity with industry averages to identify opportunities – Identify key pain points/bottlenecks affecting operational efficiency > Identify causes of inefficiency – Low levels of automation – Extensive manual tasks – Low visibility/availability of information > Give priority to areas that represent the following – A significant proportion of operational costs – Substantial gaps with industry efficiency averages – The highest potential for revenue growth
  • 13. 13 Accelerate your business success with ICT BDC client success story Helly Hansen Canada Helly Hansen Canada is the Canadian arm of a worldwide premium activewear company. During the recent recession, a decline in sales left the company with too much inventory. Approach: > Adopted new technology that provides better forecasts − A database that helps plan inventory levels − A more efficient and manageable invoicing system − New analytical reports and forecasting tools Results: > Inventory costs down 33% over two years > Product development cycle 40% shorter “If we’re not innovative, we’re going to get run over.” Dan Clarke, President
  • 14. 14 Accelerate your business success with ICT 3. Leverage current ICT > Fully leverage existing applications before investing in new ones – In many cases, existing applications have been implemented partially without utilizing all functionality, so consider the unused potential – Limitations in existing applications may be addressed by installing newer versions of the same software, so think about upgrading > Ask your ICT vendors for a more complete description of the capabilities of your applications – Some websites (such as www.technologyevaluation.com) offer a quick way to validate system functionality > Integrate your applications to increase your productivity – Manual processing of data drives up costs and error rates
  • 15. 15 Accelerate your business success with ICT 4. Introduce new applications > Make sure to select the applications that best fit your current and future business needs > Budget adequate resources (time, money, consulting support) to make the project successful > Define clear implementation objectives, and make tough decisions when needed > Do not customize software; leverage standard functionality Implement new applications with an experienced and expert team to dramatically increase your likelihood of success.
  • 16. 16 Accelerate your business success with ICT Vendor considerations > When choosing a solution, you are also choosing a firm that will work with you throughout and after implementation > It is important to find the partner that best fits your needs – Learn the strengths and weaknesses of potential implementation partners Key questions for potential vendors 1. What kind of customers do you typically serve? 2. What kind of references are you able to provide? 3. What is your methodology for implementation? 4. How will you facilitate process re-engineering? 5. How do you handle organizational change management? 6. What type of budget/scope controls do you use? 7. How will you handle mismatches between our business requirements and the software’s off-the- shelf functionality? 8. How will you define implementation success? 9. How are benefits measured and realized? 10.What is the experience of the team members you are proposing?
  • 17. 17 Accelerate your business success with ICT BDC client success story Sitka Surfboard Sitka Surfboard is a Canadian manufacturer and retailer of surfboards, skateboards and clothing based in Victoria, B.C. Sitka found itself with an inefficient patchwork of different software systems in various parts of the company. Approach: > Implemented an enterprise resource planning (ERP) system to tie the whole company together > Removed various types of systems in each department; the ERP system does it all Results: > Improved sales forecasting > Better management of inventory across retail stores, the online store and wholesale operations “We see this as a key part of our growth strategy. Improving our efficiency now will pay off tenfold as we scale up in the future.” Andrew Paine, President
  • 18. 18 Accelerate your business success with ICT 5. Leverage the Internet The power of information has shifted from the seller to the buyer
  • 19. 19 Accelerate your business success with ICT Define an Internet strategy > You can use the Internet in many ways to support your business – Reduce your client acquisition costs – Increase your sales – Promote your brand – Reduce your cost of serving clients – Streamline your supply chain – Enable collaboration between employees, suppliers and business partners Ask yourself... > What objectives do you have for your website? > Who are your customers, prospects and community members? > What are they looking for? > Do you know what your customers think about your business? > What are your competitors doing?
  • 20. 20 Accelerate your business success with ICT Define an Internet strategy > Determine what your website could offer your customers that adds real value and could help grow your business > Remember that building a website is the easy part, but defining the ideal visitor experience is the key part > Integrate your social media presence with your Internet strategy The establishment of an Internet strategy is key. It must be consistent with your overall business strategy and recognize that competitors are only a few mouse-clicks away
  • 21. 21 Accelerate your business success with ICT BDC client success story Philip and Henry Productions Inc. Philip and Henry Productions is a North American network of professional magicians, with a Canadian head office in Vaughan, Ontario. The company saw an opportunity to grow by using the Internet. Approach: > Defined website goal > Explored Internet marketing options > Developed a list of keywords > Tested different content and design alternatives Results: > 30% growth, year over year > Better efficiency and effectiveness > Instant access to real-time information
  • 22. 22 Accelerate your business success with ICT 6. Complete or cancel ICT projects > Focus on high-impact projects and commit to their completion, especially if you achieve ROI in a short period of time > Cancel projects with low impact that require a long time to achieve ROI – Also focus on projects where alignment with evolving business priorities and buy-in from management are no longer there Typically, 35% of ICT projects are perceived to be successful and 19% are considered failures (the remaining 46% are “challenged”) The number one cause of failure is a lack of the right resources with the right skills
  • 23. 23 Accelerate your business success with ICT 7. Integrate with your supply chain > Work with suppliers and large customers to get a sense of their ICT plans > Analyze overall value and invest in the highest-impact systems > Take advantage of cloud computing to shorten implementation timeframes and potentially lower costs > Engage vendors in your ICT planning process and your strategic purchasing decisions > Turn to “trusted advisors” for independent and objective assessment and advice You are part of a larger supply chain and everyone is looking to reduce costs
  • 24. 24 Accelerate your business success with ICT 8. Support your ICT > Secure qualified resources to support your ICT – Could be internal or external > Make sure to keep your ICT resources up to date on new technology you bring into your company > Monitor the age of your ICT infrastructure and consider retiring unsupported applications Unsupported ICT is a ticking time bomb that will eventually cause system downtime. Imagine your organization without email or access to sales orders!
  • 25. 25 Accelerate your business success with ICT 9. Manage your ICT risks > Steps to reduce ICT risks – Create a list of critical business processes and technologies you depend on – Identify the people responsible for support during all business hours – Fill gaps and document key contact information – Know how to contact vendors in the event of an external problem – Develop a contingency plan and communicate it to those who need to know – Back up your information regularly and store it off site
  • 26. 26 Accelerate your business success with ICT 10. Continue to invest in ICT > When capital is scarce, tough decisions need to be made, and ICT investment is often reduced or frozen – Cutting back on ICT expenditure over a long period of time will result in obsolete systems and over-reliance on manual business processes > Steps to unfreeze capital investment – Do the work outlined in the previous slides to determine opportunities, impacts and risks – Invest incrementally in an independent and objective ICT assessment to finish identifying and prioritizing projects – Work with your trusted advisors to ballpark approximate investment costs – Focus on high-impact solutions to secure the necessary funding – Use a proven system selection methodology to make the right choice for the long term and to achieve the highest ROI possible
  • 27. ICT Adoption BDC can be your partner
  • 28. 28 Accelerate your business success with ICT Our framework for recommending ICT • This is not just about technology; it’s about improving your productivity to sustain growth and profitability Understand your business strategy and assess the efficiency of your current business processes • Before proposing additional technology investments, we will evaluate how well your current technology platform is able to address your strategic and/or business process gaps Fully leverage past and current investments in ICT • Our independent and objective ICT experts will evaluate how investing in new technology would affect your company’s success Assess the merits of investing in new technology
  • 29. 29 Accelerate your business success with ICT Our framework for recommending ICT • We will develop a prioritized action plan that will accelerate the creation of incremental business value in your company Plan ICT deployment according to growth and profitability drivers • With our proven approach and experienced professionals, we will reduce the risk of such investment by helping you find the best solution, and we will guide you through the process of negotiating a system purchase Help you select the enterprise software that best fits your business • We can provide term financing with beneficial terms and conditions as a sound way to preserve your short-term working capital Provide financing designed for ICT needs
  • 30. 30 Accelerate your business success with ICT ICT solutions and tools bdc.ca/smarttech ICT consulting solutions > ICT Essentials > ICT Diagnostic > Website Diagnostic > Internet Strategy > System Selection Support Free tools > ICT Assessment > Web Assessment Resources > Free eBook > Learn about ICT ICT financing
  • 31. 31 Accelerate your business success with ICT ICT financing Get vital capital to invest in the following > Hardware (servers, network, telephony, computers and accessories) > Software (ERP, CRM, human resources, supply chain, finance and accounting) > Services (IT planning, strategy, security) > Internet services (online sales, marketing, social media) Benefits > Financing with beneficial terms and conditions to get your project off the ground > A sound financing alternative to preserve your short-term working capital
  • 32. 32 Accelerate your business success with ICT Accelerate business success Both BDC client and non-client companies, including small businesses such as home offices, may apply for an ICT loan Beneficial terms and conditions > BDC floating base rate + 1% > 4-year repayment period BDC client Contact Rod Wolfe, Sr. Account Mgr. 204-983-6508 rod.wolfe@bdc.ca Not a BDC client Get up to $50,000* Apply online at bdc.ca/ictfinancing * For financing needs that exceed $50,000 call 1 877 BDC-BANX (232-2269) or the nearest BDC business centre. Certain eligibility criteria apply.
  • 33. 33 Accelerate your business success with ICT ICT Essentials: A development and coaching program Need-to-know technology for business owners and managers > Assess your organization’s readiness to capitalize on ICT opportunities > Manage your ICT resources: people, equipment, vendors > Make strategic decisions about ICT Both options include a free Website Diagnostic and practical ICT planning templates Option1 Option 2 Online learning modules 4 half-day workshops Personalized coaching hours 4 half-day workshops Online learning modules
  • 34. 34 Accelerate your business success with ICT ICT Diagnostic Discover how technology can transform your business > A thorough diagnostic to assess your overall ICT needs, ranging from technological tools and applications to the valuable new capabilities of the Internet Our focus > Assess your current ICT environment > Identify areas for improvement > Develop a strategic ICT investment path that supports your existing business plan > Recommend an action plan > Prioritize recommendations
  • 35. 35 Accelerate your business success with ICT Website Diagnostic Get a professional evaluation so you can make the right changes > A thorough diagnostic to evaluate the strengths and weaknesses of your current website, and provide a prioritized list of recommendations Our focus > Increase visibility on Internet search engines > Sort out site design and technical issues > Measure your traffic patterns Online purchase for quick and efficient delivery of results
  • 36. 36 Accelerate your business success with ICT Internet Strategy BDC Internet specialists can work with you to do the following > Develop a custom Internet strategy > Develop project specifications to build the website > Create an e-marketing plan that includes a social media and lead-nurturing plan Our focus > Increase your web traffic > Improve the quality of visitors so that most are potential customers > Boost the percentage of visitors who respond to a call to action > Differentiate your online presence to make you more competitive > Build trust and credibility
  • 37. 37 Accelerate your business success with ICT Software System Selection Support Expert assistance from start to finish > System specialists at BDC Consulting will guide you through every stage of the selection process, from identifying functional requirements to negotiating a purchase contract Our focus > Prioritize needs based on business impact and process fit > Choose the best software solution for your needs > Negotiate the best deal with the vendor > Avoid common software selection mistakes Minimize time, cost and risk on your next project to select an ERP, CRM, supply chain management or other system
  • 38. 38 Accelerate your business success with ICT Free online assessments www.bdc.ca/smarttech ICT Assessment Answer 41 multiple-choice questions and get your confidential report back instantly, in a printable format See how well you use different ICT to > Increase sales > Improve productivity > Optimize infrastructure Get recommendations for improvement Web Assessment Just type in your web address and get your confidential report back instantly, in a printable format See how well you do in these key areas > Marketing – How well marketed and popular the website is > Experience – How satisfying the website is likely to be for users > Accessibility – How accessible the website is to mobile and disabled users > Technology – How well designed and built the website is
  • 39. www.bdc.ca Rod Wolfe Sr. Account Manager Winnipeg, MB 204-983-6508 rod.wolfe@bd.ca Thank you!

Editor's Notes

  1. “A key stylized fact that emerged from the diagnosis of Canada’s labour productivity gap with the United States is the much lower level of ICT investment and capital stock per worker in Canada relative to the United States. The reasons for this situation represent a major knowledge gap in our understanding of the differences in productivity drivers between the two countries.“Andrew Sharpe, Unbundling Canada’s Weak Productivity Performance: The Way Forward, Centre for the Study of Living Standards (for Industry Canada), February 2010.
  2. Details:Why such a big gap? Many entrepreneurs aren’t sure of the benefits and are leery of the risks involved in technology investments. That was certainly the case with Larry Cox, owner of Polaris Transportation Group, a fast-growing trucking company in Mississauga, Ontario. He was uncomfortable with technology before he took a chance on an investment in a vastly improved computer network. It paid off more than he could have imagined, helping to triple sales to $40 million. Cox is now planning another significant ICT upgrade that he expects will help boost revenues to $100 million. “I’ve gone from fear and trepidation about technology to embracing it,” he says. Cox is one of many business owners in this guide whose stories will help demystify ICT for entrepreneurs. All are current or former BDC clients.
  3. As a key driver of productivity, ICT investment should be made in areas where productivity and ICT adoption are low.Benchmarking of productivity with industry averages is a good place to start to identify the opportunity areasBenchmarking can also be complemented by the identification of the key pain points/bottlenecks affecting efficiency of operationsOnce key areas of opportunity have been identified, causes of inefficiency will need to be identified, such as the followingLow level of automationExtensive manual tasks (data entry, reconciliation, data manipulation, etc.)Lack of visibility or availability of decision-making informationPriorities should be given to areas that have one of the two following characteristicsRepresent a significant proportion of operational costs and are considerably below industry efficiency averages, orHave the highest projected revenue growth potential
  4. Details:Even small companies collect an impressive amount of data from various parts of their business — from suppliers and inventory to operations and customer relationships. In fact, many businesses have so much information they struggle to make sense of it. Decisions on things like purchases, production runs and staffing are made based on guesses — not actual needs. Helly Hansen Canada, a maker and distributor of cold-water survival suits and outdoor clothing in Dartmouth, Nova Scotia, found itself in a difficult situation when the recession hit a few years ago. A drop in sales left it with too much inventory. Company President Dan Clarke’s answer? New technology to help the company better forecast its needs. He brought in a new database system so that the company could better plan inventory levels. He also introduced a more efficient and manageable invoicing system. And he added new analytical reports and forecasting tools. The result: Helly Hansen has reduced its inventory costs by 33% over the past two years. The changes also shortened its product development cycles by 40%. “We have a solid niche market, but there are always bigger competitors trying to move into our space,” Clarke says. “We’re like a zodiac boat trying to sink a battleship. If we’re not innovative, we’re going to get run over.”
  5. Before investing in new business applications to improve productivity, you should make sure to fully leverage the ones you currently haveIn many cases, existing applications have been implemented partially, without utilizing all functionalitySometimes, existing issues in applications have been addressed by more recent versions of the software, as most users find the same limitations In both cases, you could benefit from discussions with your ICT vendors to get a more accurate picture of the capabilities of your applicationsSome websites (such as www.technologyevaluation.com) provide quick ways to validate system functionalityOutdated software not only lacks up-to-date functionality but also poses risks related to virus control and data backup integrityVendors often withdraw support for a software release that is more than two major releases behindWhere there is support available for outdated releases, maintenance costs can rise rapidly or maintenance may be outsourced to a third party (increasing your risk)The annual cost of software maintenance is typically 16% to 22% of the base cost of the original software licensing fee, regardless of whether or not you implement the upgradesVendors encourage upgrades to save themselves operating expenses, so take advantage of savings opportunities and work with vendors to keep your annual budgetary increase flatSure signs of low systems productivity are a proliferation of Excel files, and extensive manual data manipulation and validationManual processing of data drives up error rates and costsMany robust interfaces (such as ODBC and XML) now exist to automate data sharing and provide a rapid return on the investment in programmingAs you are integrating applications, you will also find out that home-grown software patches are everywhere, and they severely hamper integration with new applicationsTake the following steps to retire home-grown software patchesCreate an inventory of software patches and custom codeDecide whether there is any benefit in maintaining each home-grown patchDetermine the approximate cost of deletion or replacement with mainstream functionalityCreate an action plan and retire the highest impact (risk) patches first
  6. When choosing a solution, you’re not just choosing software; you are also choosing one or more firms that will work with you throughout and after implementation. You will likely purchase the software licences and maintenance from the software vendor, but you may receive implementation services from the vendor directly, a third-party system integrator or one of the vendor’s value-added resellers (VARs).It is important to find the partner that best fits your needs, so learn the strengths and weaknesses of potential implementation partners, including their team’s experience, methodology, and familiarity with your industry and business requirements. Find out what type of experience team members have with the software in your industry. What types of project management tools, methodologies and processes will they leverage to make the implementation more efficient and effective?
  7. DetailsSitka Surfboard is riding the big wave. With 40 employees, Sitka is a fast-growing B.C. manufacturer, wholesaler and retailer of surfboards, skateboards and clothing with stores in Victoria, Vancouver and New Zealand, plus an online store. It’s a complicated operation. But Sitka had been saddled with an inefficient patchwork of different software systems in various parts of the company. Its solution: a new enterprise resource planning (ERP) system. An ERP system is all-purpose software with modules that manage your key business functions — everything from inventory to finances, human resources and operations. No more struggling to integrate various types of systems in each department. The ERP system does it all. Combining all these processes can save money and time. It also helps managers make sense of the company’s disparate types of data, and produce reports and forecasts. Productivity gets a boost because each component is designed to work together. Sitka President Andrew Paine says his company’s customized ERP system will streamline operations and support an expected growth surge in the next two years. The project includes new point-of-sale and e-commerce technology that will feed information into the ERP software. “This really tracks the products all the way down the line and gives us a lot of information back,” Paine says. “We see this as a key part of our growth strategy. Improving our efficiency now will pay off 10-fold as we scale up in the future.” Implementing an ERP system can be daunting for some companies. It’s been compared to open heart surgery on a patient who is still trying to work. To make it pay off financially, experts say businesses should be sure the system is aligned with the company’s strategic plan. Companies also often need to re-engineer their existing processes and provide extensive training for employees. he new system will allow Sitka to improve sales forecasting and more efficiently manage inventory across the brick-and-mortar stores and its online and wholesale operations.
  8. Determine what your website could offer your customers that is of true value and helps grow your businessAsk yourself the following questionsWhat objectives do you have for your website?Who are your customers, prospects and community members? Do you know what your customers think about your business?What are your competitors doing?Remember that building a website is the easy part; defining the experience that you want your visitors to have is the key partA website without an internet strategy is just another e-brochure in cyberspaceYour social media presence must be integrated with your Internet strategyBy 2014, 68% of all Internet users will be on social networks
  9. Source: http://www.bdc.ca/EN/advice_centre/articles/Pages/emarketing.aspxPhilip Murad is a passionate magician, and his passion led him to build a network of magicians across North America.He started by focusing his efforts on driving more traffic to his website and turned to BDC Consulting for help. His magic trick for success: Internet marketing!How did he do it?Started by defining what he wanted his website to do for himExplored a wide variety of Internet marketing optionsDeveloped a list of keywords to understand what drives consumers to his products and servicesTreats the Internet as a virtual sales representative, constantly checkingwho has been to the site and what the results areTested different content and design alternatives, and monitored which combinations led to the highest sales ratesRefreshes content regularly to improve the website’s ranking in search engine results
  10. Investment in ICT is a key indicator of a company’s future productivity, and the resulting improvements will free up cash to invest in other areas, such as sales and marketing3% of gross revenue is an accepted industry benchmark in Canada
  11. ICT financing offerHow can you position this offer with your contacts?Our offer is of the very few options for longer term financing for ICT purposesAs part of our mandate to support business growth and innovation, we have special low pricing of base + 1 for ICT purposesThis business financing is an alternative to personal credit cards, allowing business expenses to remain within the businessIt is also a way to avoid compromising cash flow needed for daily operationWhat are the terms and conditions for ICT financing?All loans for ICT projects benefit from the same terms and conditionsInterest rate: base + 1%Repayment period: four years ICT loan purposes in CREM:            - Hardware (servers, network, telephony, computers and accessories)            - Software (ERP, CRM, human resources, supply chain, finance and accounting)            - Services (IT planning, strategy, security)            - Internet (online sales, marketing, social media)There are three options for the financing process> Pre-qualified loans:View our updated Info-Solution and FAQ,which now includes an ICT component and expanded parameters for all project types> Online centralized process:For prospects with ICT financing needs of up to $50,000, use the all-in-one application form at www.bdc.ca/ictfinancing> Regular financing:For all other clients and prospects, standard procedures apply
  12. The ICT Diagnostic includes the following> Analysis of your business processes> Assessment of your ICT use> A focus on business process automation, ICT infrastructure and skill sets> Onsite interviews> Industry benchmark comparisons> Expert observations> Application of best practices> Identification of areas for improvement> Prioritized recommendations> A personalized diagnostic report
  13. Do you have a website? Can it be found on major search engines (Google, Yahoo) and on social media networks?Is your site generating enough demand for your business?Do you have a social media strategy? Do you need one?PurchaseinformationThere are two online purchase options for quick and efficient delivery of resultsWebsite Diagnostic: BDC Website Diagnostic report + one-hour web conference with your BDC Internet specialistWebsite Diagnostic PLUS: BDC Website Diagnostic report + one-hour web conference + competitive dashboard