Business and Management
Submitted By gefstathiou
Magirus was a German company and a main IBM distributor for midrange computers in Europe. IBM consider Magirus as a partner and a key account, and Magirus was making big profit selling the IBM products.
Magirus at start was ordering products from IBM using Lotus Notes, a program made by IBM and customized for Magirus needs.IBM didn’t have a common direct linkage with its partners around Europe. Every company needed to order products from IBM had a different type of proccesion.
Another point we need to refer is that IBM changed all the time its systems for ordering dissatisfying its partners that couldn’t follow this changes.Thus the companies couldn’t trust IBM, cause it didn’t have established practises and taking decissions without consider their needs.
So we can see that IBM didn’t have a satisfactory communication in B2B.
Both IBM and Magirus seems to be initiative companies for different reasons.
IBM needs was to establish a global system for communication via its partners, and saw an oppurtinity creating a system with Magirus that would use after for all of its partners.On the other side, Magirus wanted efficiancy in ordering items, looking for fast, low cost, and not complex proccedures.
At the during of their collaboration, they had some communications problems they wanted to solve.IBM first invention was in PC/S system, an organization structure for ordering that was not succed because of the incompability of the pre-exist ordering system of Magirus. Magirus didn’t have another choice except using PC/S system although needed to pass two times all orders, loosing that way time, efforts and money.Without smooth communication between Magirus and IBM opportunities where given to the competitors of IBM.
The second invention, EDI, it was an effort that failed according to its limited capability and some technical problems.
The third and last invention,…...