Teletron, Co. Essay

1048 Words 5 Pages
Teletron, Inc is a provider of telecommunications expense management services for corporate telecommunications users. Teletron was looking to grow their business from about 10 million dollars in sales to about 100 million in 1999. They were looking to provide this in making use of the information technology realm. Timothy Lybrook is the CEO of Teletron and is being propositioned to develop a new Virtual Analyzer software package. This proposition is being made by Robert Jonas, director of information technology at Teletron and Dennis Kirin, vice president of client services at Teletron. There are many bennifits and risks to this new system and each must be carefully reviewed before coming to a decision on what to do.

In 1999, there
…show more content…
Most clients lasted from 6 months to a year and just cancelled the service due to the cost savings of them just doing the validation themselves. Teletron had a large advantage in market share for they respected industry. They had companies in almost every state and totaled 5,246 clients in 1999. They were very successful from 1992-1998 where they achieved a compounded revenue growth of 200%. By 1998, things began to slow down a customers wanted to perform their own analysis and save the costs that Teletron charged to perform. This is when Lybrook started to wonder how he was going to keep customers longer and how to automate some of the internal processes. By the end of 1998, Lybrook decided he wanted to grow the business to 100 million by 2006. His vision was that he saw Teletron acting as an intermediary between the providers of telecommunications services and the users of those services. Teletron would help it's clients solve problems. Teletron would still continue to offer it's consulting services, but now would provide a software product to it's clients on a subscription basis. Lybrook proposed that three major changes needed to occur at Teletron in order for this new vision to come to life. First, the senior management needed to be replaced as there was a need for more experienced managers who have worked for 100 million dollar companies. Second, Tim proposed the creation of a new, complex piece of software called Virtual Analyzer. This

Related Documents