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Problem Statement: The company was unsuccessful in understanding that the requisite of the
proposal was to set a competitive price. The need of the client (Northern Paper Mills) was not to
update their technology because they lacked resources and the technology proposed by Boise
Automation exceeded the budget of the client. Also, as pointed out in Exhibit 2, Northern Paper
lacked the required skill set (like internet connectivity) for implementation of Boise
Automation’s solution. Although Boise Automation Ltd, had competitive advantage in terms of
greater technology and a competent engineering department but the extremely “structured” sales
process was a problem.
Suggestions for Boise Automation Canada Ltd. The following suggestions and solutions are
presented that the company should implement in order to prevent future loss of clients:-
Conclusion: What should Rob Allison have done differently? Although this question has
been addressed comprehensively in the above mentioned suggestions, it is important to
understand the primary solution too. The primary solution for the company was to understand the
fact that Northern Paper Mills had budget constraints. They should have acted according rather
than boasting about their competitive advantage in technology which even their competitors
possessed to a certain extent. (Exhibit 2, April 7: Other bidders had satisfied all the requirements
of Northern Paper Mills from a commercial point of view) A business must be more customers
centric rather than following a stringent sales process and pricing strategy.