GE

GE Energy & GE Energy & GE HealthcareGE Healthcare

Using Information Technology to create Strategic Customer Relationships

GE HealthcareGE Healthcare

GROUP MEMBERSGROUP MEMBERS

Md. Mahedi Mahfuj BIT 0207Mostafizur Rahman BIT 0211Md. Habibur Rahman BIT 0216Md. Habibur Rahman BIT 0216

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OverviewOverview

• About GE & their products• Past Scenario• Present Scenario• Present Scenario• Use of IT• Comparative Analysis• Case Study Questionnaires

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Case Case Case Case Case Case Case Case IntroductionIntroductionIntroductionIntroductionIntroductionIntroductionIntroductionIntroduction

v Internet offers for large- scale storage

and and data analysis.

v IT provides-Continual monitoring of products-Access at customers’ sites-Cheap connectivity-Building strategic customer relationships

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Case Case Case Case Case Case Case Case IntroductionIntroductionIntroductionIntroductionIntroductionIntroductionIntroductionIntroduction

GE -General Electric company

v GE is an American Multinational Conglomerate Corporation.v Premier model for downstream service expansion.v Premier model for downstream service expansion.

Motto- Imagination at work

Headquarter - Fairfield, Connecticut, United States.

Chairman & CEO -Jeffrey Immelt

CIO -Gary Reiner

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Case Case Case Case Case Case Case Case IntroductionIntroductionIntroductionIntroductionIntroductionIntroductionIntroductionIntroduction

GE Divisions-GE Capital, GE Energy, GE Technology Infrastructure, GE Home & Business Solution.GE Home & Business Solution.

GE Market Activities-Generation, transmission and distribution

of electricity (e.g. nuclear, gas and solar), lighting, industrialautomation, medical imaging equipment, motor & railwaylocomotives etc.

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Before using ITBefore using ITBefore using ITBefore using ITBefore using ITBefore using ITBefore using ITBefore using IT

• Lack of network connectivity.

• Poor customer relationship.• Poor customer relationship.

• Equipment failure created customer dissatisfaction.

• Customers had to pay hefty regulatory compliance fines.

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After using ITAfter using ITAfter using ITAfter using ITAfter using ITAfter using ITAfter using ITAfter using ITGE Energy:

q Invested heavily in IT for remote monitoring and diagnostics.

q Deploy a technician ahead of a failure as opposed to on a planned schedule.

q Charge $500 to $600 per hour for technical support(while most manufacturers can not charge >$100 per hourfor the same technician).

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After using ITAfter using ITAfter using ITAfter using ITAfter using ITAfter using ITAfter using ITAfter using ITGE Energy:

q Additional tasks-Customers' spare parts inventory.-Customers' spare parts inventory.-Complete access to data and knowledge about the status of the equipment.

q Monitoring everything in ‘real time’.

q Huge customer dependency.

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After using ITAfter using ITAfter using ITAfter using ITAfter using ITAfter using ITAfter using ITAfter using ITGE Healthcare:

Typical customer-Typical customer-Medical radiology clinic for a MRI machine

ü GE has tended to lease their machines

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After using ITAfter using ITAfter using ITAfter using ITAfter using ITAfter using ITAfter using ITAfter using IT

GE Recognition & Ranking:

• No 6 largest firm(Fortune)• No 6 largest firm(Fortune)• No 14 most profitable firm(Fortune)• No 7 company for leaders (Fortune)• No 5 best global brand (Interbrand)• No 82 green company (Newsweek)• No15 most admired company (Fortune)• No 19 most innovative company (Fast Company).

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Case StudyCase StudyCase StudyCase StudyCase StudyCase StudyCase StudyCase StudyQuestions(1)Questions(1)Questions(1)Questions(1)Questions(1)Questions(1)Questions(1)Questions(1)

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AnswerAnswerAnswerAnswerAnswerAnswerAnswerAnswer

v large- scale storage and data analysis.

v Continual monitoring of products.v Continual monitoring of products.

v Access at customers’ sites.

v Cheap connectivity.

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AnswerAnswerAnswerAnswerAnswerAnswerAnswerAnswerUsing IT for remote monitoring and diagnostic

Deploy a Technician Increase the Take on Deploy a Technicianahead of a failure

Increase the Profitability

Take on additional tasks

Managing a customer ‘s spare parts inventory

Providing complete access to data & knowledge about the status of equipments

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AnswerAnswerAnswerAnswerAnswerAnswerAnswerAnswerv Using IT for network monitoring, diagnostic and data analysis of

the customer’s service data( Demographic data).

q To estimate the number of “images” that will be required over the life of the contractthe life of the contract

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AnswerAnswerAnswerAnswerAnswerAnswerAnswerAnswer

v Using IT to analyze the Demographic.

q To estimate the amount that they will charge their customer.customer.

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Full Payment = Leasing fee + Using fee ( number of images)

AnswerAnswerAnswerAnswerAnswerAnswerAnswerAnswer

Benefits for customers:Benefits for customers:Benefits for customers:Benefits for customers:

v Save time and costs.v Save time and costs.v Customers are provided with info, instruction about the

products.v High-quality maintenance services

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Case StudyCase StudyCase StudyCase StudyCase StudyCase StudyCase StudyCase StudyQuestions(2)Questions(2)Questions(2)Questions(2)Questions(2)Questions(2)Questions(2)Questions(2)

• What strategic uses of IT discussed in this chapter and summarized in Figure 2.3 and Figure 2.5 do you see implemented in this case?

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implemented in this case?

AnswerAnswerAnswerAnswerAnswerAnswerAnswerAnswer

Strategic Uses of IT:Strategic Uses of IT:Strategic Uses of IT:Strategic Uses of IT:

• Differentiate( consistent the high-quality power)

• Innovate( improve quality, network efficiency)

• Promote Growth( manage regional, global business expansion)

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AnswerAnswerAnswerAnswerAnswerAnswerAnswerAnswer

• Invest in advance IT applications that build barriers to entry against competitors.

• Invest in IS people, support personnel, hardware, software( upgrade, update) and networks.

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Case StudyCase StudyCase StudyCase StudyCase StudyCase StudyCase StudyCase StudyQuestions(3)Questions(3)Questions(3)Questions(3)Questions(3)Questions(3)Questions(3)Questions(3)

• How could other companies benefit from the use of IT to build strategic customer relationships? Provide or propose an example of such uses.

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an example of such uses.

AnswerAnswerAnswerAnswerAnswerAnswerAnswerAnswer

Example:[ www.hp.com ] Hewlett Packard

• Checking serial number for registration and checking warranty duration online .

• Finding the spare accessories.

• Device drivers are easy to find online.

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AnswerAnswerAnswerAnswerAnswerAnswerAnswerAnswer• Leasing & Financing:

Help customers transition from existing equipment to the latest technology.

• Reduce risk for customers.

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MotiveMotiveGary Reiner:

"We are not waiting for end-of-the-month or end-of the-quarter or even end-of-the-week results anymore before we act. We now respond continuously.”continuously.”

“To monitor everything in real time."

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CONCLUSIONCONCLUSION• Using IT of remote monitoring and diagnostic for those

products sold to customers.

• Using IT in analyzing the Demographics for charging the • Using IT in analyzing the Demographics for charging the full payment to customers.

• Save time and costs.

• Many companies in the world are following this way.

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Any

?Question ?8/2/2012 26

Thank

YouYou

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Figure 2.3Figure 2.3

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