ICAS keeps track of the company’s
finances and inventory. “It keeps the company running smoothly” along with the
Asiscos “primitive” style technology”
The company accountant makes sure ICAS is always running smoothly and
uses it on a daily basis. Using Excel helps to keep the company up to date on
prices changes and helps to inform the customers on their monthly flyer of the
price changes. Presenting this flyer to the customers every month helps to show
that Asisco keeps the lowest price compared to the higher retail chains. Products are always sold at affordable prices
although there may be times that the price of oil can rise due to the supply in
the world. Asisco will continue to make sure they always carry the lowest
price, and will continue expanding their merchandise in the years to come.
Sunday, June 24, 2012
Conclusion
Although
Asisco Motors started in 1961, the company and the products have grown since
then. Its location on a major highway has given an advantage when selling the
products to customers and other companies. A customer can walk, drive, or take
public transportation the company which makes its location a great way to
always be spotted. Having different ranges of customers coming in every day is
a great way to see new faces. Loyal customers help to have a higher incentive
in coming in due to the 3.5% tax and delivery available to them. This loyalty
is shared to the new faces that are seen in the store to ensure service. With
their location on a major highway, there will always be major competition.
Larger companies such as AutoZone, have a high amount of popularity due to
their brand name. Since Asisco created a Facebook, marketing their prices and
products will help to get the customers from those high retail stores into Asisco. Since the staff is sixteen workers, it helps
to insure that the companies’ workers are highly knowledgeable of the products
that are sold.
Thursday, June 14, 2012
Analysis
Data Management System
In an effort to keep their customers informed on price changes, Asisco made up a “special sheet” that has all of its more popular items with the current prices on them. These sheets are given to customers generally on a monthly basis in order to keep them informed and up to date on all of Asisco’s prices.
When asked Jewel Miller, current
owner of Asisco Automotive Inc., “What type of information system do you use
for your business?” She responded and started discussing ICas. ICas is an
information system that is used on a daily basis at Asisco Automotive for
almost everything.
“ICAS computer
systems Inc. began 30 years ago. It has
been a leading provider of superior business management software provided to
aftermarket distribution companies.
These companies are warehouse distributors, jobbers, and truck parts
& service operations. The company’s innovative solutions are designed
specifically for inventory intensive environments to increase productivity and
efficiency while maintaining the industry’s lowest TCO. ICAS is committed
to their customer’s success by providing world-class customer service and
support.” (www.ICAS.com)
Asisco
Automotive has been using ICas computer system for 20+ years for accounting,
inventory, and accounts receivable purposes. Bills for customers that have
charge accounts are made using this system and then printed out. Mrs. Miller
explains that ICas is extremely helpful for Asisco in that it is able to pull
up prices, check inventory, locate past bills, and keep up to date on which
customers owe them how much money. Being a small business, it is sometimes hard
for Asisco to always keep on things of this nature. “ICas helps keep this
company running smoothly,” stated Jewel. Asisco Automotive does more B2B
(business to business) business than any other type. The ICas system provides a
very efficient way to keep up on these accounts
On top of the ICas system, Asisco uses a very old style system
that has been in place since the company first opened in 1961. They use a carbon
copy turn-style, which stacks all the handbills that have been made for the
day. At the end of each day, Scott (the manager) takes these handbills, and
counts out both himself and the cashier’s money according to these bills. The bills are then given to the accountant to
put them in the books. When we asked Scott why they use such an old style
system, he responded saying “Because it’s effective and easy. Why replace
something that works perfectly fine”.
While
inquiring about how they keep up to date on customers accounts when they do not
pay with cash or charge, Jewel explained that all the receipts, no matter the
payment style, are given to the accountant. He then takes all of the receipts,
and enters this information into the ICas system accordingly. When customers
send checks to pay off their bill, they are also given to the accountant and
entered into the system after they have been deposited.
E-Commerce
Asisco Automotive has only begun using E-commerce in
recent years. Scott told us that they have a pretty descent amount of customers
coming in and purchasing inventory from advertising on craigslist. Here are
some links to their advertisements:
Since Asisco is also a B2C (Business-to-customer) company,
they are trying harder and harder to get their name out to potential retail
customers. Asisco has recently set up one social networking account, which is
Facebook to help do so:
Asisco is still in the beginning stages of figuring out how
to make this effective for their company.
Business Intelligence
In an effort to keep their customers informed on price changes, Asisco made up a “special sheet” that has all of its more popular items with the current prices on them. These sheets are given to customers generally on a monthly basis in order to keep them informed and up to date on all of Asisco’s prices.
Hardware and Software
Asisco has 2 old style desktops at the counter
that run the ICas system. The manager, Scott, and the cashier, John, use them.
Jewel, the owner, uses an average dell computer for business use. There is one more computer running the ICas system that is
used by the accountant to enter data regarding customer accounts. No other
employees use any sort of computer in the workplace besides these four people. Also,
the cashier, John, uses a cash register that is not linked to any other sort of
information system. These are the only types of hardware and software used at
Asisco Automotive. It may be primitive in comparison to some other companies or
competitors, but it gets the job done perfectly fine.
Monday, June 4, 2012
Introduction
Asisco Automotive Inc.
414 Spring Street
Elizabeth, NJ
07207
The purpose of this report is to
inform persons of interest about the current business practices of Asisco Automotive
Inc. and its information systems .
Asisis Automotives Inc. is a family
owned and operated business that began in 1961.
It is a woman owned enterprise that is the size of a city block. The location is located on a major highway
five lights south of the Newark International Airport. Accessibility is by public transportation,
driving and walking.
Assisco is a wholesaler, retailer,
and distributor of automotive needs and accessories for cars, truck, and marine
purposes.
Asisco Automotives Inc. has one location. The company currently has 16 employees
working full-time. Employees continue to
include family and non-family with a range of experience between one to
twenty-five years. The company was
originally located in Newark, NJ on Van Buren Street in a one car garage. In 1963, the original owner purchased
property in Elizabeth and moved the
company in an effort to save money by not renting. The company continue to grow was able to
expand by purchase the surrounding land extending it business to accommodate
customer needs.
The customer base is wide ranged as
the location provides for loyal, repeat, and one time service. Asisco deals with retail customers along with dealerships, mechanics, garbage
companies, trucking companies, construction and excavation companies,
landscapers, etc. Asisco is a dealer of
Exide batteries, Fleetguard filters, Donaldson filters, and Blackhawk
tools.
“ICAS computer systems
inc. began 30 years ago. It has been a
leading provider of superior business management software provided to aftermarket
distribution companies. These companies
are warehouse distributors, jobbers, and truck parts & service
operations. The company’s innovative solutions are designed specifically
for inventory intensive environments to increase productivity and efficiency
while maintaining the industry’s lowest TCO. ICAS is committed to their
customer’s success by providing world-class customer service and support.”
The link is accessible at www.ICAS.com.
Icas is privately held and headquartered in Dover, NJ with
regional sales offices.
Business Strategy
Porter’s Five
Forces Model
Force
|
Asisco Example
|
Force Strength
|
Asisco Response
|
Bargaining Power of Customers
|
“I want a
lower price.”
|
Low
|
Asisco has
very low prices compared to big business retailers such as AutoZone.
|
Threat of Substitutions
|
“I can buy a
battery anywhere, why should I buy one from you.”
|
Medium
|
Asisco is an
authorized Exide Battery distributor. Exide batteries are quality batteries
sold at very affordable prices.
|
Bargaining Power of Suppliers
|
Extreme price
fluctuations due to economy and oil sources
|
Medium
|
The general
public is aware of the oil situation going on throughout the world, but
customers still complain about price changes.
|
Threat of New Entrants
|
Big business
company opening up (such as AutoZone)
|
High
|
Asisco has
been in business since 1961 and is under ownership of people that have
plethora experience.
|
Rivalry
|
Other Small
Business Automotive Warehouses
|
Medium
|
Asisco
has hundreds of loyal customers and offers incentives such as delivery and
3.5% Sales Tax.
|
Competitive
Strategy
Over the fifty-one years of
operation, Asisco Automotive has adopted a focused cost approach to their
competitive strategy. A focused cost approach means that they have the lowest
cost within a certain industry segment. The area that Asisco Automotive is
located in has a massive number of mechanic shops, car dealerships, and other
automotive type businesses that are in need of a supplier of automotive needs.
This location puts Asisco at a great advantage. They sell batteries, oil,
anti-freeze, filters, etc. at wholesale prices to these businesses in the general
area. These prices are generally the lowest that anyone will be able to find
for the quality of the products because of the amount of inventory that Asisco
purchases and carries at one time. They adopted this strategy because it was
the most reasonable and smartest way to conduct their business and make it
flourish.
Value Chains
When
researching Asisco Automotive, this value chain describes the activities that
are involved in selling and distributing automotive needs and accessories.
In addition to
the activities stated in the Value Chain, there multiple support activities
that go along with running this business. Asisco must be diligent in managing
their inventory to avoid stock outs, and must keep their inventory organized to
do so. Moreover, they must keep up with the constantly changing prices of oil
and keep customers informed on price changes. Also, marketing and selling
products is no easy task; they have to continuously solicit and follow up on
soliciting in order to keep new customers buying from them. It is of extreme
importance to constantly put their name out so they become the supplier of more
and more businesses. Lastly, helping with customer inquiries requires Asisco to
make sure their staff is knowledgeable about all the products being sold and
able to answer customers if they have questions or concerns about products.
Business Processes
Asisco Automotive is a small business
that is ran very efficiently. There are multiple procedures and processes that
are used in order for Asisco to be run smoothly. We looked into the process in
which Asisco generates sales and the distribution process.
Asisco tries to focus its effort
(sales wise) in one major area of New Jersey each day. The salesman goes out
and solicits all of the existing customers in a city each day and also attempts
to penetrate new markets in the area. When customers place orders, they are
called in to the warehouse via cellphone from the salesman. Next, the orders
are pulled and waiting for the trucks to return to the warehouse to be loaded
for the next day’s deliveries in the area that the salesman has worked.
Customers also place orders over the
phone or via fax or email throughout each day. These orders are also taken into
account and are prepared and shipped either same or next day depending on the
area and number of orders that have to be shipped. Asisco runs two large box
trucks each day and three heavy-duty vans. The box trucks are loaded and sent
out with up to 20 orders on them in one general area, while the vans are sent
out with 1-8 orders depending on the size and amount of orders that need to be
shipped. Each order has to be checked according to the bill before it is sent
out.
Information
Systems
The I-Cas system is imperative to
Asisco’s day-to-day functions. It keeps track of the past orders and accounts
receivables of customers that have credit accounts with Asisco Auto. When a
customer gets to a certain limit and has not paid within the 30 or 60 days that
they have credit for, Asisco can no longer supply them until they get a
payment. This is crucial to keep up on being that Asisco is a small business
and does not have the funds to let customers be thousands of dollars in debt
without receiving consistent payments. Moreover, this information system keeps
track of general inventory. There are hundreds of different filters that Asisco
Automotive keeps in stock being a dealer and it is extremely difficult to avoid
stock outs without being very persistent with inventory management. They do a
physical inventory weekly on their filters, but the I-Cas system
reminds management when stock is low on certain filters
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