Thursday, March 21, 2019

COMPSIS AT A CROSSROADS- Case Analysis Presenation Part 2


Slide 5:
Three Generic Strategy

¡  Overall cost leadership

¡  Differentiation

¡  Focus





Slide 6:
Financial Decision

¡  Reached 165 employees and Us $4.2 million in revenue in 2003

¡  As a result of broad differentiation strategy, revenue dropped sharply in 2004

¡  Dropped to USD $ 3.3 million  duet to delay in awarding toll road concession

¡  Unable to sustain its profit in Brazil

¡  Low operating cash flow

¡  Too much dependent on SICAT


Slide 7:

Product and Services

¡  Range of market of toll collection

¡  Unique Technology

¡  Offer intelligence transport system (ITS)

¡  Advanced Traffic Management (ATMS): manages the highways or public transport corridors in cities.

¡  Vehicle Monitoring System (SMV): GPS positioning integrated with data center

¡  Magnetic Guidance System (SGM): computer controlled system, automatically guide city bus on exclusive lanes or corridors.

¡  Electronic Toll Audit (SICAT): most important product. Integrated real-time management of process of automation, accounting and auditing of revenues.



Slide 8:

Challenges

¡  Difficulty to find and obtain ETC projects

¡  The company was virtually unknown among transportation agencies and authorities

¡  Sales resources and their cost

¡  New approaches

Slide 9:

SICAT

¡  Simpler and more flexible product

¡  In-house software and sub-contracted the hardware manufacturing local suppliers

¡  Local suppliers: provided vehicle sensors, high resolution cameras, toll gates, signaling sensors, etc.

¡  Level 4 made true differentiation of the product “Overall Financial Supervision”

¡  Auditing tracks by rolling up information's from multiple plazas

¡  Can comply with non Compsis system

¡  Finance and Account Department, direct access to all the revenues generated at different toll lanes at one or more plazas.

¡  New product and functionalities created advantage over the other US competitors.