Establishing Business

Introduction

IT Infrastructure and information management for starting up business is one of the most important facilities that a certain company such as starting company for managing their products and services for the reason that it facilitates communication and operational process of the starting company. As a benefit, it shoulders the companies efforts to create systematic business transactions efficiently at a short period of time creating profits to their market as a form of return investment to increase sales as assets. By utilizing IT infrastructure and information management, the new business will be able identify potential target market that will be available globally that surpasses local demand framework and increasing their own market reliability. However, there are flaws or drawbacks that can be observed with IT infrastructure and information management in automotive enterprises which are the penetration of computer hackers and software thieves which steals confidential information that will exploit the products and auto services to the public. IT is an electronic generated facility that is always powered by electricity that is why it can start to establish itself to operate internationally. IT infrastructure can also expose and induce injury to outsourcing processing of a makers identity due to the threats made by virus, worms, and other forms of malware.

Criteria for taking the business to an international market place

The first criteria will be about demand management and forecasting, which is an important efforts to sustain demand, this is necessary to meet the needs and wants of the clients in terms of the starting business accessories as an instance and to identify the most in demand as an outsourcing solution to products that are available in the market. As a benefit, it helps the companys administrators to decide appropriate marketing strategy that will able to efficiently forecast positive market growth when establishing plan for the supplys market outlook including outsourcing procedures. In addition, demand management will also help to identify appropriate actions that are needed for the processing of supplies to clients demands. Pertaining to demand management, there can be drawbacks that can possibly exist that can produce big impacts affecting the companys operation of supplies. One source that can be traced when demand management fails can be poor planning outsourcing which has negative effect such as inefficiency that fails to meet goals to satisfy consumer demands. There are also some drawback is forecasting which is not recommended sometimes for the reason that it has a success rate of 90% and there are some situations that it cannot fulfill clients demands and will not carry out plans fully. Demand management and forecasting can be risky sometimes because the target market always changes their lifestyle that can compete globally.

The second criteria will be enhancing supply Chain planning and sourcing planning by planning ahead of time represents systematic foundation of a starting business productivity and strengthening their efforts to increase outsourcing market profitability. In this process, the benefits for having supply chain planning is to provide an organized flow of companys production such as uniformity in the operational process in manufacturing, delivery, and services of a starting business that are rendered to meet goal standards and satisfying clients. Planning strengthens marketing outsourcing strategy that aims to identify reliable sources of raw materials needed for automobile production needed to create and process finished products to meet consumers demands. It is a process of 2 ways planning of your chain management from processing your products during and after the supply has been delivered as a form of effective management of supply chain. During the planning process, it helps to measure outcomes and determine any changes during the management of supply chain to identify the products and services that are needed to be changed and maintained. Drawbacks can be observed when there are human errors that are caused by inefficiency of the planning management that will fail to meet goal standards. This can happen if a certain officers that were assigned to the plan the supply chain and sourcing management will not be able to fulfill tasks because of incompetency that lacks management skills to establish effective management process. Planning needs more time frame to attain effective planning management to deliver and sustaining the companys supply chain of demand to boost more investments according to Almango (2008).

The third criteria is all about inventory positioning and control is important for the starting business investment status for the reason that it concerns to the companys net profit as an account system which is responsible for regulating cash inflows and inventory returns. Inventory is important for a certain automobile company for the reason that it is beneficial for checking the flow of income and regulating the amount of expenses that coming in and out of the companys assets and liabilities in the supply chain. It aims to identify any kind of financial discrepancies that can possibly exists within the performance of financial values that are important for the products performance in terms of profit taking aspects. Inventory positioning can be also known as auditing for the fact that it seeks to identify products that are undergoing within the supply chain that are no longer profitable and other products that are still making significant impacts to the companys revenues. Inventory positioning requires highly capable accounting professional that can have the ability to monitor and facilitate accounting aspects of the profits and lack of financial professionalism can lead to the companys poor management of supply chain. Other disadvantages that will be included for the inventory is that it needs a lot of workload such as financial scrutiny of all cash inflows to secure the profitable revenues which will avoid possible financial discrepancies that can harm the companys performance.