Memorandum
To: David McDonald, Financial Analyst at Game Shop Inc.
From:
Date:
Re: Improvement on Billing Process

We have received the request to evaluate the current management system and practices of Game Shop Inc. We have taken actions to identify problems and the areas of improvement based on the information provided. Our team has concluded maintaining a good reputation in the industry is a critical success factor for Game Shop Inc. because this industry is an oligopoly and anything that affects your reputation would affect your reputation with all members of the video game industry. We began by analyzing the current billing system. Past errors in the billing process …show more content…

The customers that do not accept a bill until the final stage of the project is complete might feel more comfortable with payment at certain stages if they feel estimates are more accurate and up to date. Reporting time could be too long because the reports have too much information in them; with an IT system, reports can be more concise. When implementing the system it is important that IT and billing departments are offered support as we go through the change. If each department is given up to date information and has the opportunity to offer input, the transition can be better. There might be resistance because of job insecurity; offering job placement opportunities or bonuses can help alleviate that issue. A 3rd party consultant will help implement the best system for both departments.
Another flaw that an IT system will help address is accuracy. Since it is easier to submit billing work, estimates can be more accurate simply because they are less time consuming. PMs won’t spend as much time on menial tasks since the system is automated. The system will place limits/requirements that must be made as the order is processed and can eliminate double orders all together. Management is more focused on production than billing so an automated system can provide better submission accuracy, make it easier and less consuming to submit. It is part