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Brown - Forman: Good Project Management Process Delivers Outstanding Results Brown-Forman is an American-owned spirits and wine company with annual sales of $3 billion in 135 countries. The firm employs 4,000 people worldwide and 1,300 in its Louisville, Kentucky headquarters. A key objective of the firm is to improve the global reach of its brands. One strategy identified to achieve this objective is to create highly efficient standard business processes that can be reapplied across the firm's subsidiaries. Brown-Forman cash management processes enable the firm to receive and pay for goods and services, and to support the daily management of working capital, investments, and transactions with domestic and foreign subsidiaries. Previously, Brown-Forman relied on a "home-grown" Excel spreadsheet system with many inefficient manual interfaces. For example, workers had to re-enter bank information from the company's subsidiaries into spreadsheets to determine daily cash positions. The system clearly was not a good solution to reapply across its subsidiaries. Executive vice president and CFO Phoebe A. Wood identified replacing the antiquated cash management system as a high priority. The project was initiated and executed following a standard project management approach that Brown-Forman had developed over the years. This approach clearly defined a time-proven multiphase process for employees that greatly improved the probability of project success. The project's brief but critical initiation phase involved several business managers, including project leader BobWalker from the Treasury Department, an IT manager, an assistant treasurer, and a treasury analyst. They focused on defining the scope of the project and key business objectives. This phase clearly identified numerous opportunities for improvement and indicated that the project was reasonable to pursue and within a reasonable period of time. During the planning phase of the project, members of the accounting, finance, and IT areas and the system's ultimate end users further defined requirements in each area and established specific and measurable goals. They also evaluated several options for meeting business needs. They learned that the software firm SAP had developed state-of-the-art cash management systems for other consumer products firms. Walker and key members of his team visited Colgate-Palmolive, were impressed with what they saw, and decided to create the new cash management system based on the SAP software solution. The team then developed a preliminary budget and schedule, complete with milestones. They also identified potential change in management issues that might arise. Next, the team explored the capabilities and limitations of the standard, uncustomized SAP software. They developed basic prototypes to demonstrate how the new work processes would operate and how the software would work. Necessary areas of customization were identified. Once this blueprint was approved, the implementation team built the system, including necessary customizations. Creating an efficient standard business process for Brown - Forman allows the company to have Core competency Core Benefit Core Statement Core Planning Brown - Forman project is considered as an example of project management because it * Achieve rivalry purpose Avoid business building cost Achieved business plans All of the above The project "clearly identified numerous opportunities for improvement and indicated that it was reasonable to be pursued and within a reasonable period of time." This statement describes best alan:* Project scope Project cost Project assessment None of the Above Bob Walker from the Treasury Department is an example of Brown - Forman Project imitator Project communicator Project stakeholders None of the above "During the planning phase of the project, members of the accounting, finance, and IT areas and the system's ultimate end users further defined requirements in each area and established specific and measurable goals". This best describes the Implementation Management Communication Management Reasonable Management O Task Management The involved parties realized that the system has "several options for meeting business needs. They learned that the software firm SAP had developed state- of-the-art cash management systems for other consumer products firms"; this means it satisfies * Users process Users functionality Users expectations Users motivation Which approach (es) should the Human Resource management in Brown - Forman adopt to manage the project successfully?* Planning Scheduling Budgeting All of the above Which Procurement Management decision did Brown - Forman use: Buy Decision Make decision Lease decision Check decision Brown - Forman clearly identified the numerous opportunities for improvement and indicated that the project was reasonable to pursue and within an acceptable period of time, this is considered as a Functional plan Functional management Functional decomposition Functional process The system designed by Brown - Forman is a project because it is NOT Discussed with employees Repetitive for indefinite period Accurate as generated result O All of the above