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Instructors Name
Course Number
26 April 2015

Getting Oriented
It is quite true that the corporate software customers look for an integrated suites
of the software applications while Siebel deals with just one application i.e. customer
relations management. Therefore, the CEO Tom Siebel would need to give up the idea of
focusing on one thing only. Siebel systems would adapt to the needs of its corporate
customers and integrate the software applications which is sought by the corporations
into one system.

Identifying the Problem

The corporate customers need a user friendly, integrated and cost effective
software systems. They require applications for the corporate planning, financial data and
human resources and CRM as well which is already offered by Siebel systems. Thus,
Siebel systems need to reconsider the modification of its software for integrating with the
rival programs which is basically not a long term solution for the company. Additionally,
Siebel systems will not be able to satisfy its corporate customers if they cannot buy,
create or develop a partnership with several other software applications. However, if that
is not possible then Siebel should extend the CRM to SMBs i.e. small and medium
businesses and partner ecosystems. Furthermore, they are experiencing too many
economic challenges due to which they need to deal with this issue while working with

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the leading integrators of SMBs so as to develop a fixed price emulated by a fixed time
implementation package.

Appropriate Analysis
Many customers have expressed an interest in shifting the risk of a CRM
implementation to those who are best equipped to mitigate this risk. In order to get rid of
the issues like reduction in the stock price or an intense competition from several
competitors like salesforce.com, they need to develop a fixed implementation package.
Such a package would incorporate the deployment of up to 200 sales users, call center or
a service for a price of $54,000. The partners would definitely do each and everything so
as to draft a project charter to setting up administrators and users. They can also
implement a low fixed price since their vanilla application will get to be optimized for the
small and medium sized businesses that required a low minimal customization. The fixed
price implementation is illustrated below:
Cost Scenarios
Software cost
Fixed Price
Total Cost
Cost Per User

$50,00 $100,0
$54,00 $54,00
$104,0 $154,0
$2,100 $1,540

In accordance with the calculations illustrated above, there would be a deep
product functionality and usability. This would drive adoption and the costs will also be
reduced that are associated with customization. The packaging that will be offered would

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offered expandability and flexibility with the recommendation of this fixed price
implementation. This would further result in the simplification of the deployment and
hence, the business would definitely grow which can further withstand the competitive
concerns and other economic fluctuations. It would result in the competitive price where
there would never be any hidden costs. There would be a partner network with the
profound domain expertise of CRM which would ensure that customers get what they
really need and when they need it for the price they really pay. This would be the solution
that would address the needs of an evolving business through their migration to
Enterprise and deployment in an environment that is based on hybrid hosting.