Caterpillar is the world’s leading maker of earth- moving machinery and supplier of agricultural equipment. The software for its Dealer Business System (DBS), which it licenses to its dealers to help them run their businesses, is becoming outdated. Senior management wants its dealers to use a hosted version of the software supported by Accenture Consultants so Caterpillar can concentrate on its core business. The system had become a defacto standard for doing business with the company. The majority of the 50 Cat dealers in North America use some version of DBS, as does about half of the 200 or so Cat dealers in the rest of the world.

Provide an outline to answer these questions:

1. Before Caterpillar turns the product over to Accenture, what factors, and issues, should it consider?

2. What concerns should Catepillar make sure are addressed by Accenture?

3. What concerns might Catepillar’s dealers have and how should they be addressed?

4. Make a recommendation to senior management about preventing possible barriers for full implementation and acceptance of the new system.

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