Reference no: EM131648595

Scenario: 

You are the Director of a billion dollar organization (Factory). You must approve or deny a new system called the R.O.C. (Remote Operation Center). The ROC will automate your equipment to allow your Engineers access to the equipment remotely, hence saving extensive down time and money. This new system will eliminate one department of 120 people out of 1500. Approximately 25% can transition to other departments. The remaining will be laid off with a 3 month salary, paid vacation time, and one year free of education. Here are the facts about the ROC.3 month salary, paid vacation time, and one year free of education. Here are the facts about the ROC.

• The cost is over million dollars but ROI if flawless is 2.5 years but could extend to 4 years depending on the complexity.
• Your sister company installed the system and had major problems but you have gathered their lessons learned (The sister site system is running but it took 3 years and they still have small manageable issues)
• Your factory is an older plant unlike your sister site which is a newer facility. If this system is successful this could extend the factory's existence approximately another 7 - 10 yearsplant unlike your sister site which is a newer facility. If this system is successful this could extend the factory's existence approximately another 7 - 10 years
• If the system takes over 3 years (like the sister site) this could create another reduction in force. reduction in force.
• The Board of Directors are excited about the project and eager for implementation.
• You feel 65% confident the system will be successful in 2.5 years.

What would you do? I know some other facts may be needed to make an executive decision but explain with options.