Siebel would like to close on a successful sale of their SFA system to Q&R/FleetBoston as their sales figures for the quarter pretty much depend on this one sale to Q&R. It has to convince the executive board at the company about the superiority of it products over its close competitors in order to achieve this goal.
Additionally, Siebel would like to win FleetBoston’s faith in its products. Although a large percentage of the deal on Q&R’s side has already been done by representatives and department heads, it is essential to convince the new acquirers at FleetBoston of the feasibility of using Siebel Systems over the already existing Scopus product.
Currently Siebel also needs to sustain their competitive advantage against prevalent competitors. They can do this by convincing Q&R and FleetBoston of the superiority of their SFA system over the existing Oracle system. This could well be done by demonstration, eradicating the need for an integrator and result in a huge financial transaction for Siebel Systems.
Furthermore, as they make the transition towards new software, Siebel would like to discourage the use of the old Scopus system. Although FleetBoston could very well employ the existing Scopus system with the help of integration, it is to Siebel’s advantage both financially and lawfully that the new Siebel SFA system be used in this case.
Problem Set
FleetBoston has excess licenses for its old Scopus software, which Siebel now owns the rights to. FleetBoston does a significant amount of business (“$30 million of cross-selling at stake… over the next couple of years” ) with Siebel and should not be slighted by losing their investment in these licenses. Currently they could push Scopus upon a reluctant Q&R and ‘get the job d ...