w

2009

Business Analysis Extension Certificate

Final Assessment Paper/CRN 90455

...http://www.domyjeans.com...

www.domyjeans.com is a Web site where

customers all over the world can customize their own
jeans. The project will be launched by the Casablanca-
based Modaline group in order to exploit e-commerce.

Instructor
Karmen Lippitt

Mostafa Karroum/ ID: 201423578

Mount Royal University/ Faculty of Continuing Education
12/14/2009
 Section 1: Environmental Introduction and Executive Summary .............................. 2
I. Environmental Introduction ................................................................
................................... 2
II. Executive Summary ................................................................
............................................... 2
Section 2: Project
roject Charter Creation ................................................................
............................................ 3
III. Project Charter
Charter........................................................................................
........................ 3
Section 3: Requirement Planning ................................................................
............................................... 7
IV. Requirement Planning Methods .............................................................
............................. 7
Section 4: Requirement Gathering and Documenting ................................................
................................ 9
V. Techniques .............................................................................................
............................. 9
Section 5: Analysis and Presentation of the Findings ..............................................
................................ 13
VI. Process and Workflow Modeling .........................................................
......................... 13
Section 6: Financial Analysis and Opportunity Evaluation ......................................
................................ 18
VII. Qualitative Analysis ................................................................
............................................. 18
VIII. Quantitative Analysis ................................................................
........................................... 19
Section 7: Project Sign Off/Hand Off ................................................................
...................................... 22
Section 8: Business Case ..........................................................................................
.......................... 23
Section 9:: Lessons Learned .....................................................................................
..................... 25

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Certificate:: Final Assessment Paper by Mostafa Karroum Page 1
Section 1: Environmental Introduction and Executive Summary

I. Environmental Introduction

The e-commerce
commerce revolution will give more power back to the consumer. Indeed, the
marketspace is growing rapidly because of the power of technology. Thus, any activity that
uses some form of electronic communication in marketing, sales, supply chain
management, promotion, and payment of service
service, whether tangible or intangible is always
called electronic commerce.1
However, with globalization
globalization, companies are facing serious competition around the
world. Therefore, having point of differences with cost effectiveness and good customer
service is the only way to stay alive in this high
highly competitive environment. Although,
companies may be located in any geographical area and far from customers,, Internet–based
technology breaks all geographic barriers and brings companies closer to clients.
In addition, advancess in technology are having significant effects on marketing.
Costs
osts of technology are dropping, causing companies to be more customer service oriented,
providing better service and quality and building better customer relationships.relationship
Furthermore, technology also lso provides high added value through the creation and
development of new productss. For example, some companies with Internet
nternet technology offer
their customers the opportunity to design and customize their own product,
product such as cars,
house decorations, and clothing
ing.
The fashion market is growing, and customers are looking for something different
from the items displayed in stores. Such clients spend a great deal of time finding
find a T-shirt,
pair of jeans, or jacket designed the way th
they would like it. This need must be satisfied via
Web-based technology, for example, by implementing a Web site for an existing textile
company in Morocco, Casablanca. This Web site will be named
http://www.domyjeans.com.

II. Executive Summary

Casablanca-based
based Modaline group is a leader in the garment industry. The
management has made the strategic decision of exploiting e-commerce.
commerce. Hence,
Hence a Web site
named www.domyjeans.com will be launched by the end of 2009 or the beginning of 2010.
Financial
inancial analysis has shown that the net present value (NPV) and internal rate of return
(IRR) values are optimistic
optimistic. Additionally, qualitative analysis, including
ing SWOT has
revealed that the project is realizable and profitable. Therefore,, this case study has its
purpose to study the feasibility of the project. Indeed, this study will define the project
charter, describe the requirement
quirement planning, identify risks, and present the quantitative and
qualitative analysis. The study will close with some recommendations and lessons
lesson learned.

1
Frederick Crane, Marketing, 6th ed. (Canada: McGraw-Hill Ryerson, 2006), 79.

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Certificate:: Final Assessment Paper by Mostafa Karroum Page 2
Section 2: Project Charter Creation

III. Project Charter

• Prepared by: Mostafa Karroum Business Analyst (BA)/Project

/Project Manager (PM)
• Project Sponsor: Modaline Company
Company, www.modaline.com
• Date Issued: August 25, 2009
• Project name: http://www.domyjeans.com

Project Overview
Headquartered in Casablanca
Casablanca, Morocco, Modaline is a leader in the garment
children. 2 In order to explore e-commerce
industry for women,, men, and children commerce and to view
growth opportunities in term of markets and products
products,, Modaline management has decided
to implement a new marketing strategy that consists of markett development by providing
current and customized jeans items in new markets, such as Europe, North America,
America and
Japan.
This project consists of building a Web site named http://www.domyjeans.com
where customers can customize and design their jeans through specific software. Indeed,
this project will allow Modaline to explore ee-commerce and increase potentially its sales
revenues. Therefore, the purpose of this project is to determine the feasibility, the potential
return on investment (ROI)
(ROI), the risk, and the competitive advantage of Modaline’s
implementing a Web site.

Scope
The scope of this project consists of studying
dying the feasibility and possible revenue
for the sponsor by discovering new marketspace around the world through e-commerce.
e
This study will focus on neither the technical aspects nor the design of the Web site.
site

Project Requirements

Generate a high added value and competitive advantage for Modaline

Provide
ovide an opportunity to Modaline to exploit ee-commerce

Satisfy unmet customers
customers’ needs in terms of jeans design and size

Attract a large number of online buyers around the world

Sales from electronic commerce are rising, and they are projected to represent more
than 10% of world trade, up about 1% from 2001.As a result, e-commerce
commerce is a great
3
opportunity for Modaline
Modaline.

Project Manager and Authority

Approval of the project

roject charter indicates an understanding of the purpose and
content
ent described in this document. By signing this document, I, Mostafa Karroum,
Karroum BA/PM
(the author), agree that work should be initiated on this project
project, and necessary resources
should be committed. In addition, I do have the authority to manage and carry out the
project.

2
“The Group,” Modaline.com, http://www.modaline.com/weban/elgrupo.htm (accessed October 30, 2009).
3
Crane, Marketing, 175.

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Organization, Authority
Authority, and Stakeholders

Because many department

departments are involved in this project, a cross-functional
functional team will
be set up. This team will include marketing, supply chain management, quality control and
assurance, and production.. Indeed, each department will be represented by a leader who
will coordinate and report to the BA/PM as follows:

Coordination Areas Main Duties

uties
The BA/PM Overall coordination
oordination including communication with
stakeholders

Supply Chain Coordinator Manage all supply chain channels:

channels inbound and
outbound logistics

Marketing Coordinator Implement the marketing action plan (e.g., advertising,

and promotion) and update the Web
W site

Production Coordinator Translate online purchase orders into real final goods
based on customers’ specifications

IT Coordinator Implement and enhance the software for customizing

jeans

Modaline CEO Sponsor the project

Constraints

Schedule: Project will likely be ready by December 2009.

The project has started
ed since July 1, 2009.

The cost will fall between $50
$50,000 and $100,000.

Human resources: The project needs highly qualified staff:
1. Production: designers
2. Marketing: people who can speak many languages to insure a good
communication with ee-buyers and follow up on customers’ orders
3. The Web site will be hosted in France
France.
4. An agreement must be made with credit card companies (e.g., VISA, Master
Card, and Americann Express
Express) and PayPal to secure transactions.
Assumptions

Approval for the feasibility of this project was obtained in September 2009.

The financial resources will be provided by Modaline.

Modaline possesses technology and expertise for making jeans.

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Summary of Resources, B
Budget, and Millstone Schedule Estimate

In terms of human resources

resources, each leader of the above mentioned coordination
areas needs to set aside at least 10 hours a week. Therefore, each leader must devote 280
hours before project kickoff. In addition, the BA/PM needs to invest around 32 hours a
week to facilitate the coordination of this project. The overall budget estimate approved for
$50,000.4 This includes the cost of software, marketing studies, and
this project is roughly $50,000
different necessary materials..

Milestone

Milestone Target Date

Project charter approval August 2009
Case study completed and approved By the end of December 2009
Overview with involved departments September 1 – November 11, 2009
Presentation to the sponsor Between November 15 and November
ember 20, 2009
Approval from the sponsor Between November 21 and 30, 2009
Technical and Testing phase December 1– 31, 2009
Revision: Controlling and monitoring
onitoring January 5 – February 1, 2010
Closing February 2-9, 2010
Project deliverables February 9-10, 2010
Kickoff of the Web site February 15, 2010

4
The currency is in US dollars; $1USD= 7.50MAD (Moroccan Dirham).

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Initial risk Assessment

Below are the major risks identified with possible response plan (to be expanded during the
detailed project planning).

Major Risk Risk Management Strategy

trategy
The choice of the appropriate software Transfer the a specialist third part
Financial resources insufficient Mitigation by enhancing cost effectiveness
ROI will not be reached Accept in the first year

Project Charter Approval and Acceptance

The signatures bellow indicates that the undersigned have read and agreed to the contents
of this project charter
harter and have thus given approval and acceptance for this project to be
initiated.

___________________________________ ___________
Approval: Project Sponsor/Owner Date

____________________________________ ___________
Acceptance: Business Analyst/ Project Manager Date

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Section 3: Requirement Planning

IV. Requirement Planning Methods

Resources
Technique
Modaline does not have a subject matter expert. Therefore, this project will require
the company to gather people from outside the company with expertise and experience in
this field. Modaline has hired an IT engineer from France who will supervise and
coordinate with the company host
hosting the Web site in Paris.

Gathering Requirements

Requirement capture wi will be assured by the BA/PM.. Therefore, interviews and

meetings will be scheduled with experts, leaders from different departments (marketing,
(
production, etc.), and sponsors in order to meet and define the foundation of this project. In
addition, the BA/PM will conduct research on garment e-commerce in order to define the
potential of this business and expected outcomes for Modaline. These outcomes
utcomes will not be
only financial but alsoo strategic, tactical, and operational
operational.

Strategic Level
What kind of project will Modaline develop and why?

Tactical Level
How will Modaline enhance the management in ord
order to make this project a success?

Operational Level
What is the situation now and how will the
operational level support this project?

Requirements will be documented and saved into Word documents and then gathered into
in
one document to be consulted by other project team members.

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Analysis
Two methods will be used to analyse this project
project:
1. Qualitative: SWOT analysis
2. Quantitative: financial and risk analysis

Project Deliverables and Time Framework

Deliverables Comments Due Date

Online and phone survey for To be outsourced to a third party September 30, 2009
market research such as Ipsos
Financial analysis To be completed by the BA/PM October 30, 2009
and financial department
Risk analysis To be completed by the BA/PM November 3, 2009
SWOT analysis To be completed by the BA/PM November 5, 2009
and marketing department
Business case To be completed by the BA/PM By the end of November 2009
Pretesting and testing phases To be completed by all departments From December 2009 to February
2010

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Section 4: Requirement Gathering and Documenting

V. Techniques

This stage will help to gather the business requirements in order to define the
following:
What does the business need to achieve?
What is the ROI expected?
What is the marketing
arketing strategy?
However, the functional requirement related to the technical aspects, such as a design’s
software and CRM will not be detailed in this project.

Interfacing with People

This is the first challenge for the BA/PM to overcome before starting the
requirement process. Thereby
Thereby, many practices and training sessions will be programmed
before interviewing
iewing and questioning people.

Interviews/Focus Group

The exercise will begu

begun by identifying the BA/PM as the single le point of contact.
The BA/PM will be responsible for organizing interviews with the relevant stakeholders
and ensuring that their responses will be provided on time. These stakeholders will be from
different departments,, existing Modaline customers (ZARA, Talbot, etc.) who outsource
their final goods to Modaline, and sponsors. Before starting the interviews, a briefing
session will be organized to detail the purpose of the performance requirement gathering
exercise. This session will help to obtain relevant documentation and information.
informati This is
an opportunity to clarify stakeholders’ queries and concerns, to communicate
communicat the need for
their commitment, and to provid
provide support. The next steps consist of creating and circulating
questionnaires with the objective of gathering data and infor information
mation required for the
expected deliverables, such as the feasibility of project, the ROI, and the risk analysis.

Subject Matter Experts (SME

(SMEs)/Brainstorming

The subject matter experts ((SMEs) will be defined by the BA/PM and the sponsor.
Therefore, SMEs from different department
departments and from outside the company will be
involved. Brainstorming
rainstorming sessions will be held with different SMEs in order to define more
issues and possible solutions.
Internal SMEs External SMEs5
Marketing department leader Zara Spain
Financial department leader Talbot USA
Supply chain manager Camailleux France
Production manager Marks & Spencer UK

5
These customers outsource their final goods to Modaline.

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Document analysis
Currently, there are no document
documents available related to e-commerce
commerce at Modaline.
Modaline
However, the existing
ting docume
documents whereby customers such as Talbot and ZARA have used
to outsource their final goods to Modaline will be analyzed. This his analysis will help to
define and to improve process
processes such as production and quality control.
Survey (questionnaire)
Two types of clients will be questioned
questioned:
1. Internal clients, i.e., people who are involved and working on this project. project These
questions will define and clarify the project and roles and get people more involved.
Example of questions:
• Do you have any experience in e-commerce?
If yes, when, where, and nd what?
If no, what do you know about ee-commerce. Then hen explanations will be provided about
e-commerce.
• What is the output of this project for Modaline? This question will show the
benefits of this project for the organization
organization, including the internal SMEs.
SME
• Why is your role important for this project? This his will get people more involved and
more motivated.
• What are your responsibilities on this project? Define each one.
• Do you have any idea about the ROI and the financial potential for this project? A
good ROI and healthy financial situation is equivalent to a stable company.
2. External clients/i.e., online customers who are interested in buying customized jeans
via Internet. It was suggested that Modaline outsource this task to an expert
company, such as Ipsos; however, a questionnaire will be developed and posted
online on September 30, 2009 for one week to gather more pertinent information:
information
Example of questions:
• How often do you shop online?
• What kinds of products do you buy online?
• Have you ever bought a jeans online?
• Have you ever customize
customized your jeans online?
 If yes, which W Web site do you use?
 Are you satisfied customizing your jeans via this Web site?
 What would be missing and has to be improved on this Web site? site
• If no, would you be interested in customizing your jeans online?
• Would you customize and buy your jeans from a company located overseas?
• How much are you willing to pay for customizing a pair of jeans, jeans including
shipping and customs
customs?

Use Case
This Use Case will mainly focus on online purchase process, from
rom visiting the Web site to
making the final purchase

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Use Case ID: 1
Use Case Name: New customer to customize jeans
Created by: Mostafa Karroum Last Updated By: Mourad Karroum
Date Created: July 16, 2009 Date Last Updated: September 14, 2009

Actors: Karmen is a new online customer.

Description: Karmen visits www.domyjenas.com for the first time ime because she is interested in
customizing her jeans online. She likes to design her own jeans,ns, adding
add specific
detail, embroider
embroidery, and sometimes her own signature. She does not like to wear
common style
styles of jeans. She wants her jeans to be different from those in the stores
and those that people are wearing.
Preconditions: Karmen is logged on onto the Web site.
She has a credit card to make an online payment.
She needs to register on the Web site to get a password and username
Postconditions: Karmen has one week to change the design of her jeans before production starts. If
she does not select this option
option, production will start within 24 hours.
The online payment will be secured and approved.
Normal Flow: Karmen found the Web site.
She does some research about the credibility of this Web site.
Karmen reads the customers’ testimonials and other information about the
company.
She create
creates a username and password.
Karmen starts to design her jeans.
She ffollows the different steps to design her jeans (will be developed on the
workflow chart section)
section).
She llooks at the final designed jeans.
She cconfirms the order.
The llead time is provided by the system.
Karmen makes a payment by credit card.
She decides to kkeep (or not keep) the jeans in the public photo gallery.
gallery
Alternatives Flow: Karmen orders many of the same designed items.
She ddesigns many pairs of jeans.
Exceptions: The fabric chosen is out of stock.
The llead time might be longer than expected.
The ssystem does not accept the credit card provided.
Karmen cancel
cancels her order.
The ssystem terminates the use case.
Karmen request
requests to make another order.
The ssystem starts the use case.
Includes: None
Priority: Very high
Frequency of Use: 100 visit
visitors with one buyer
Business Rules: Rules applied for B2B and B2C
Standard
tandard operating procedures
Special Requirements: If there is any delay due to being out of stock, the system has to inform the
customer
customer.
The mode of payment has to be done via a secure intermediary,
intermediary such as PayPal.
Assumptions: Among 100 visitors, one will make an online purchase
purchase.
The system used is a 3D tool.
The WWeb site is running 24/7/365.
There is no geographical restriction to visit and buy from the Web
W site
Notes and Issues Expect high frequency of executing this use case within the first month after the
project is launched.

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Data Requirements
This will help to define what data is to be captured
captured. The data will be focuseded on customer’s
information that should be captured by the system
system.
Required dataata elements for capture

First and last name

E-mail address

Mailing address (this
this should include zip code, city, province/state,, and country)
country

Phone number to be used by the carrier

Required Business Rules

The system
ystem should be able to confirm the address based on the zip code.
code

The credit
redit card should bbe valid and verified by the company that issued the card (by
using the verified by VISA process) or through PayPal

A commercial
ommercial invoice will be ssent with the items to clear customs, if applicable.
applicable

Difficulties in Gathering IInformation

MARKETING ASPECT
The online
nline survey might not be completed.
Customers might ht not explain their needs because they do not know exactly what they need.
Customers might not be available for the survey.
MANAGEMENT ASPECT
The leaders from each department do not understand their role in this new business.
business
Manage the resistance change

Recommendations:
MARKETING
Outsourcing the survey to specialist survey compan
companies, such as Ipsos, is scheduled in the
project deliverable section. However, because of the cost, management might not approve
this. Nevertheless, as the BA/PM
BA/PM, I highly recommend outsourcing this task to a third
party. Moreover, Modaline should bbenchmark against the same type of companies.
companies
MANAGEMENT
To get people involved, many formal and informal meetings will be held in order to show
people the benefits of this new project for them as well as the organization.

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Section 5: Analysis and Presen
resentation of the Findings

VI. Process and Workflow Modeling

This analysis will help everyone to understand the existing process and enhance the
workflow process for the new business. Current
Currently,
ly, Modaline’s customers are larger
companies, such as Zara,, Talbot, and Levis, who have chosen to outsource their production
at Modaline.

So far, there is no workflow process for ee-commerce at Modaline. However, the

existing
ting process for production will be enhanced and improved in order to be adapted to the
new business.

THE EXISTING WORKFLOW PROCESS (B2B)

PO from customers who

Send the final goods the
outsource, such as Levis Production in Modaline
customers: Levis, Zara...
and Zara

This process is very simple because Modaline execute

executes the orders from customers who
decide to outsource their production at the Modaline facility. It is a very
ver basic level
process; hence,, the implementation of a new and enhanced process is required in order to
ensure a high quality of the final good
goods.

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THE NEW WORKFLOW PROCESS
ESS (B2C)

The following flowchart shows the different steps from customizing and making an
online order, production, and shipping to the cus
customer:

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Data Analysis

Based on the previous workflow process

process, the top priority processes are customer
information, order confirmation
confirmation,, quality control, and supply chain management processes
(SCM).
The following cause--and-effect diagram shows the most common problems in this
kind of business that all departments need to prevent:

Enterprise Risk Analysis

The measurement-drive
driven model for enterprise risk management will be used as tool
to identify, qualify, and quantify the risks and come up with appropriate responses.
response

Measurement
Measurement-Driven ERM Model

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 Identification
Only high level risks have been considered in this preliminary risk assessment.
However, the SWOT analysis will be used as a business tool to identify other threats that
can be considered as risks.

# Description Risk Category

A Lack of Marketing
arketing 2 Moderate-High
High

B Supply Chain Cost 3 Low-Moderate

Moderate

C Secured Payment 1 Extremely High

D Quality Control 2 Moderate-High

High

E Software Problem
Problems 1 High

CURRENT STATE PROFILE (CLASSIFICATION AND PROBABILITY)

Extremely C
Probability of Occurrence

High
○
E
○
Moderate-
High
A ,○
○ D

Extremely B
Low
○
Insignificant Minor Moderate Significant Devastating

Magnitude of Impact

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 Responsiveness
The target risk profile clearly indicates which category has to be managed.
Obviously,, risk management consist
consists of minimizing the probability of occurrences
occurrence of the
risk, consequently minimizing its im
impact.

Extremely
Probability of Occurrence

High

Moderate
-High

Category ○
1 Category ○
2 Category ○
3
Extremely
Low
Insignificant Minor Moderate Significant Devastating

Magnitude of Impact

Four main types of risk responses:

• Avoid
• Accept
• Transfer
• Mitigate

Only the transfer and mitigate

itigate strategies will be retained as risk responses.
response Therefore,
categories 1 and 2, considered as high risk
risk, will be transferred to a third party
y.
CATEGORY 1: TO TRANSFER
• It is highly recommended to outsource software problems and any other problem
related to the Web site
site.. Indeed, this function has been outsourced to a third party in
Paris.
• After many meetings and brainstorming, it has been decided to use PayPal to secure
all online transactions
transactions.

CATEGORY 2: TO MITIGATE
arketing: Benchmarking
• Lack of Marketing enchmarking will be used to mitigate this risk.
risk
Additionally, Modaline
Modaline’s marketing department will focus on marketing
operations aspect
aspects, that is, product, price, promotion, and place.
place
Control: The quality control process will be enhanced in order to
• Quality Control
reduce the probability of occurrence
occurrences of quality problemss for the final
product.
CATEGORY 3 : Supply chainhain channels, inbound and outbound, do not represent a high risk
for Modaline. Nevertheless,, this function needs to be monitored in order to insure cost
effectiveness.

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Section 6: Financial Analysis and Opportunity Evaluation

VII. Qualitative Analysis

SWOT ANALYSIS

Type of Factor
Location of Factor
Favorable Unfavorable
Strengths Weaknesses
• Corporate image • No direct interaction with the customer
• Customer intimacy
intimacy, as compared to • Organization and management
competitors • Missing best operating
perating practices
• High production capacity • Lack of experience for marketing and
• Updated technology sales
ales departments
department
• Expertise in the textile industry • Transportation cost,
cost which might
• High
Highly qualified and trained labour increase the product cost
• Nomadin (Business Unit of • Cost ineffectiveness of SCM
Modaline) as back up to supply • Planning and forecasting activities
activitie
Internal different products, such as tissues • Information system
and other consumables • Internal communication
• New people hired from Europe and • Change resistance
the United States • Culture difference.
• Multilingual staff members
• Cost advantage
• Different marketing mix strategy:
branding,
randing, pricing, promoting, and
distributing
istributing

Opportunities
• 24/7/365
External • Rapidly increasing nnumber of
IInternet users
• Free trade agreement with the
United States and the European
Union
• Customer intimacy with Europe
(3
(3-hour flight) or even the United
States and Canada (7-hour flight)
• Affordable and very competitive
price
• Growing demand for customized
jeans
• People growing more confident
about marketing through Internet
Threats
• Highly competitive environment
• Potential new entrants
• Dishonest persons entering this field,
field
which damagess the confidence and faith
of common people on marketing
through Internet
• Recession economy
• Asian competition,
competition particularly the
Chinese
• Online payment

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VIII. Quantitative Analysis
nalysis

The
he calculation of NPV and IRR will help to determine whether the project is
profitable or not. The forecasting was done for the next three years based on some
assumptions (see the following section):

Total Sales over the Next

ext Three Years

Years 2010 2011 2012

Total Sales ($CAD) $864,000.00 $3,456,000.00 $6,048,000.00
Cost of Goods Sold (67%) CAD $578,880.00 $2,315,520.00 $4,052,160.00
Overheads (25%) $CAD $216,000.00 $864,000.00 $1,512,000.00
Earnings Before Taxes $CAD
CAD $69,120.00 $276,480.00 $483,840.00
Taxes (35%) $CAD $24,192.00 $96,768.00 $169,344.00
Net Incomes After Taxes $CAD
CAD $44,928.00 $179,712.00 $314,496.00

NPV and IRR

Initial Investment ($CAD) $-200,000.00

200,000.00
RRR6 20%
NPV ($CAD) $144,240.00
IRR 50.97%

Decisions and Solutions

Assumptions
1. Operational marketingg
Product and Price
Cost of Goods Overheads =% of
Number of jeans sold/year
Unit Price $CAD Sold= % of total total sales
sales
2010 200.00 90.00
2011 800.00 90.00 67% 25%
2012 1400.00 90.00

Place and Distribution

The e-store: www.domyjeans.com

Shipping and customs are paid by the customer.

6
The required Rate of Return

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Promotion
To win in e-commerce,
commerce, promotion is necessary. Therefore, many methods will be used in
used 7
order to get more visitors and buyers. The following promotion methods will be used:

Referrals: Visitors
isitors can recommend the Web site to friends by sending the link
via ann email from the Web site through the tell your friend section.
section

PR: Magazines and newspapers will be used to promote www.domyjeans.com.
www.domyjeans.com

Print and Banner Advertisements: These advertisements will target potential
customers by using magazines they prefer to read read.

Programs: The referred customers will receive a bonus and a referral
Affiliate Programs
as well. This will incite customer
customers to refer more people.

Search Engines:: An effective search strategy is important to make the Web site
easy to find. Meta
eta tags and well
well-crafted titles are essential to make
ake the Web site
searchable.

Human Resource Management

People
eople from different department
departments will be involved in this project
pr and
understand their responsibilities. Consequently, they will understand perfectly the
strategic and operational purpose of this project
project.

SOLUTIONS

Marketing
The research marketing will be outsourced to a specialist company, such
uch as
a Ipsos unless;
the sponsor does not approve it.

Production
Quality control:: The Ishikawa diagram will be used to tackle any quality issues.
issues A
workflow
orkflow process diagram will be used and enhanced in order to im
improve
rove the flow of the
processes involved.

Risk management
The mitigating strategy seems the best way to manage the risks described in the previous
section.

Decisions
According to quantitative and qualitative analysis ((NPV
0 , and IRR
20% ), the
investment would add value to the firm. Therefore, this project could be profitable and
realizable.

7
Bruce Lawrence, “E-Commerce:
Commerce: 7 Promotion Methods,” Canoe.ca,
http://www.canadaone.com/ezine/may99/promote.html (accessed October 30, 2009).

Business Analysis Extension Certificate

Certificate:: Final Assessment Paper by Mostafa Karroum Page 20
Limits and Constraints

Internal

Financials: Non-expectable
expectable costs ((technology,
echnology, human resources, marketing,
marketing etc.) might
affect the profitability of the project.
Human Resources: Everyone one will be involved; however, the resistance to the
implementation of a new system might cause some difficulties.

External

The threat
hreat of new global entrants and substitute products might be an obstacle for this
project.

Business Analysis Extension Certificate

Certificate:: Final Assessment Paper by Mostafa Karroum Page 21
Section 7: Project Sign Off/Hand Off

Upon completion of the different steps, as mentioned in the project charter,

charter the
BA/PM will review everything with the different departments. So,, a meeting will be held
individually with each leader from each involved department to discuss the different
processes related to the department in question. In addition, a final meeting with all
departments will be held to present the final project and make any last improvements;
therefore, the BA/PM will revise the final document based on these people’s feedbackfeedba
before presenting the project to the sponsor. All documents will be saved into Word and
Excel documents, both including all pertinent information about this project. The BA/PM
will hold a meeting withth sponsors to present the project and answer questions.
questions
The BA/PM commits to be being available for 2 months after the completion of this
study of the project’s feasibility for any further assistance.
Below are the project sponsor and the BA/PM’s signatures indicating their approval
and acceptance of this project.
ect.

___________________________________ ___________
Approval: Project Sponsor/Owner Date

____________________________________ ___________
Acceptance: Business Analyst/
Analyst/Project Manager Date

Business Analysis Extension Certificate

Certificate:: Final Assessment Paper by Mostafa Karroum Page 22
Section 8: Business Case

Executive Summary
The objective of the business case is to study the feasibility of this project for the
Modaline Group.roup. Therefore, qualitative analysis (SWOT analysis, risk isk assessment, and
operational marketing strategy
strategy), combined with quantitative methods (calculati
calculation of NPV
and IRR) will help to decide whether this project is feasible or not. This case study analyzes
the risks and indicates which risk management strategy will be usedused, such as the mitigation
strategy.. In addition, the project suggests using an operational marketing strategy in term of
pricing, promotion, place, and product (customized jeans). The financial analysis shows
that the NPV and IRR are optimistic; therefore, the project is feasible and would be
profitable.
Purpose Statement
The purpose of this business case is to provide a quantitative and qualitative
analysis of the new project that Modaline wants to launch in the next few months. In
addition, this case proposes an improved flow of processes regarding production activities;
activit
the case study discusses es many aspect
aspects regarding project management, human resources,
reso
and marketing strategies.

Evaluation Analysis
The analysis of the internal and external environment was done through the SWOT
analysis and has shown that there are some opportunities in the global market. Additionally,
the financial analysis has provided optimistic value
values for NPV and IRR. As a result, the
Modaline Group
roup is encouraged to enter this profitable business.

Risk Analysis
The following table quantifies and summarizes the significant risks described above.

Category Risk Probability Impact Responsiveness

ness Strategy
S
1 Technical and 70%-80% Very Transfer to a third party
Financial High
2 Marketing and 40% Moderate Mitigate through benchmarking
enchmarking and
Quality Control quality control processes
process
3 Supply Chain 10% Very Accept
Low

Assumptions

Financial: The NPV and IRR were calculated based on the assumptions given in
the previous section of the financial analysis.

Management: All ll people from each department understand perfectly the purpose
pu of
this project. Thereby
Thereby, their commitment to achieving the goal of this project is
necessary.

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Certificate:: Final Assessment Paper by Mostafa Karroum Page 23
 Option
1) Do not do anything: this is not an acceptable option.
2) Launch the project for the local market and European market
market.
3) Launch the project globally and try to reach the maximum number of customers
around the world.

Recommended Option
Because of the competitiveness
itiveness of ee-commerce, the third option appears to be the best and
most realistic one.

Implementation Strategy
1) Define the scope of the project
project.
2) Select the project team and inform all members of the purpose of the project.
3) Initiate the project.
4) Planning the project: define and improve the processes
processes.
5) Control and monitor: review all processes and pre-testtest the project before launching
it on the Web.
6) Close
lose the project and kick off the Web site.
7) Monitor and control: this stage will start at the beginning of the project. However, it
will not stop upon closure of the project. The monitoring and controlling phase will
continue afterward in order to define any issues that might occur and to fix them.

Conclusion

The Modaline Grouproup is one of the biggest companies in the garment industry in
Morocco. The group has decided to explore ee-commerce;
commerce; therefore, Modaline has decided
to launch a Web eb site named www.domyjeans.com where customers can customize their
jeans.
The purpose of this case study is to analyse the feasibility of the project; thus, much
analysis was done, such as qualitative analysis (e.g., SWOT and risk analysis) and
qualitative analysis (calculati
calculation of the NPV and IRR values). Both have shown that the
project is feasible and would be profitable.

Business Analysis Extension Certificate

Certificate:: Final Assessment Paper by Mostafa Karroum Page 24
Section 9: Lessons Learned
earned

1) Because the deadline is very tight, the project could have been started earlier.
Indeed, additional research could have been done in order to obtain more accurate
information – financial and marketing. In addition, more time would have helped to
train different people involved in the project.

2) The technical aspect was not detailed. Many any consultations were done with
specialized consulting companies in Paris. Consequently, Modaline has spent
s more
than was expected.

3) Getting more people involved was sometimes challenging. To o do so more

effectively, they needed to be shown the benefits that could be derived from this
project, not only for the company but also for them.

4) The workflow mapping for the production process was new at the Modaline Group.
Therefore, the concept could be applied in different departments in order to
streamline and improve the output for each department and person.

5) The qualitative analysis (SWOT and risk analysis) was done properly.

6) The quantitative analysis (calculating the NPV and IRR) was objective and has
shown that the project
oject is realistic and would be profitable.

7) The case study has shown the steps to follow from the initiation phase until the
closing and monitoring phase. However, the planning phase was not detailed.
detailed It
would be good to dev
develop this phase by using MS PROJECT
JECT program.
program Doing so
would help to manage
ge time, cost, and tasks.

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Certificate:: Final Assessment Paper by Mostafa Karroum Page 25