Computer Services Limited currently repair services for customers of one of the largest manufacturers, repairing its competitor’s equipment, maintenance, and repair of computer peripherals as well as offering solutions for software related problems. There has been growing competition and low profits in the area. CSL intends to expand its service area to ensure that it’s getting maximum profits from the market. There are, however, many challenges that will accompany the move that CSL is taking as well as advantages. This essay will outline some of the challenges and recommendations to CSL on delivering IT solutions as opposed to its traditional business.
Technology is evolving at a very fast pace, and new systems with different configurations are being developed. It will be the biggest challenge that CSL will face in delivering IT solutions. CSL will have to train or employ new engineers that have knowledge of the new systems or train the already existing ones. Without the understanding of the systems, it will be hard for CSL to handle the situation. It would mainly be costly for the company with the best option being training the engineers about new systems.
Many manufacturers are taking the objective of providing IT solutions to their customers with the aim of maintaining consumer relationship and maximizing profits. Most of the customers would prefer their manufacturers over other parties. It will limit the number of consumers that will seek CSL’s services. The company also faces competition from similar businesses providing IT solutions. CSL will have to stand out from the others by providing better services to come out as the best business. CSL needs to attract consumers especially from the other firms which will be a big challenge. The competition is set to grow further due to high rates of unemployment to qualified personnel. It is likely that they will also opt to provide the services at much lower costs on a small scale. It will highly affect CLS’s operations as customers will seek for the lower prices.
In-built IT Solutions in Businesses IT is the number one concern in any business as they try to stay up-to-date with technology. Businesses adopt their own IT teams that can provide them with any required solutions. The businesses do not seek outside solutions as they are a bit expensive as compared to ones that exist within the companies. The move will leave CLS to serve smaller clientele. This will not guarantee a lot of profits as other clientele will only need service to less than five items. Businesses provide a very good way for long term working. It will be difficult to ask companies to outsource any problems that they have towards the firm. The help might be only needed when the internal engineers face a hurdle or when a lot of labor is needed. It will prove to be a big challenge for small businesses are also following the same trend. Focus on Many Functions CSL will have too many functions to handle as opposed to what they are handling currently. The new venture will see the company struggle to find its feet and market itself in the market. CSL might lose the already existing consumers due to the change in the activities to be carried out. CSL will also take a lot of time in establishing itself in the market based on the number of functions that it will have to handle after starting on the new venture. Focus on many products could lead to the collapse of CSL if not managed properly.
The current functions of CSL limit the firm to its potential. The technology market is growing and needs a lot of IT functions done. By improving the same and offering IT solutions, CSL will be able to maximize its profits. IT has the potential to enter the market and settle due to the experience that has already been gained. It also has a wide range of loyal consumers across the United Kingdom who will welcome the move by CSL to offer IT solutions. The existing consumers will be a great advantage towards achieving the potential of the company easily.
CSL needs to stand out from the rest of the companies by being innovative. This will be to attract more consumers to use the firm’s services. Introducing the latest technology to its services will be a great way of reassuring the consumers of the dedication on the provision of the services. They will also in keeping CSL up to date with new systems which will offer a better way to learn about new technology. Innovation is key towards the provision of IT solutions and should be taken seriously by the firm.
CSL faces a lot of challenges towards upgrading and providing IT solutions contrary to its traditional markets. The company has a good chance of developing in the new market and attracting a lot of consumers. It’s a great chance towards maximizing the profits that the company makes. CSL should enter the new venture which will prove to be very beneficial to the firm.
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