Blue and White Mario

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School

Centennial College *

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228

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Business

Date

Feb 20, 2024

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pptx

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11

Uploaded by MateJayMaster826

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Marshall Insurance Company
Company Background Marshall Insurance Company, founded in 1948 and headquartered in Spokane, Washington, is a leading player in the personal lines property and casualty insurance sector with assets totaling $73.5 billion. Marshall is renowned for its commitment to excellence and innovation, offering a wide array of insurance products and services to individuals and corporations.
Key Players Kara Murphy (Purchasing Manager) David Callum (Gilmore Printing ) Marshall Automobile Club (MAC)
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Problem Identification The problem lies in Kara Murphy's dilemma regarding whether to outsource the management of forms and printed materials for Marshall Automobile Club to Gilmore Printing.
Decision Criteria In-House - Marshal Cost : More costs associated with welcome kits, employee wages, raw materials, Printing & shipping Customer Service : Can maintain high customer service Confidentiality/Privacy : Least risky as information is processed in-house Sustainability : Depletion of natural resources , GHG emissions & Wastage Cost : More costs associated with welcome kits, employee wages, raw materials, Printing & shipping Customer Service : Can maintain high customer service Confidentiality/Privacy : Least risky as information is processed in-house Sustainability : Depletion of natural resources , GHG emissions & Wastage Outsourcing to Gilmore Cost : Moderate cost associated with the estimation around $130,000/year + Mailing costs Customer Service : Good service levels may be maintained as Gilmore has established business history with Large corporations. However, things can go sideways and this cannot be guaranteed! Confidentiality/Privacy : Quite risky as confidential data can be mishandled. Sustainability : If Gilmore's operations result in environmental non- compliance, both companies may face legal consequences. Marshal may be held accountable for the actions of its outsourcing partner. Cost : Moderate cost associated with the estimation around $130,000/year + Mailing costs Customer Service : Good service levels may be maintained as Gilmore has established business history with Large corporations. However, things can go sideways and this cannot be guaranteed! Confidentiality/Privacy : Quite risky as confidential data can be mishandled. Sustainability : If Gilmore's operations result in environmental non- compliance, both companies may face legal consequences. Marshal may be held accountable for the actions of its outsourcing partner. Outsource 3 rd party to Digitize Cost : Least cost as no inventory, shipping, wages for employees etc. Higher ROA Customer Service : On time delivery and achieve good service levels. Confidentiality/Privacy : Data may be vulnerable to being hacked/misused, Ensure the 3 rd party complies with data protection laws and regulations and define key clauses in contract. Sustainability : Greener approach. Cost : Least cost as no inventory, shipping, wages for employees etc. Higher ROA Customer Service : On time delivery and achieve good service levels. Confidentiality/Privacy : Data may be vulnerable to being hacked/misused, Ensure the 3 rd party complies with data protection laws and regulations and define key clauses in contract. Sustainability : Greener approach.
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Analysis Analysis
Recommendations Service One If confidentiality and customer service are top priorities and cost is not a primary concern, keeping the welcome kits in-house might be the best option. If cost is a significant factor and there's a willingness to manage potential risks, outsourcing to Gilmore with strong contractual agreements could be a balanced choice. If cost savings and immediate customer service are critical, and there's a willingness to address potential confidentiality risks, outsourcing to a 3rd party for digitization might be considered, but with heightened security measures.
Action/Implementation plan
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