Case ID: UV0383     Author: Robert Lee    Subject: General Management Price $ 55

Data Services at Armistead Case Study Solution

Solution ID: 2455     Words: 778

Data Services at Armistead Case Analysis Abstract

This is a Darden case study. Data Services offers adaptable, measurable data administration and processing, and data storage to the fast food clients. Sales have shown a steady upward trend, but the company has experienced a downturn in profits since it started operations half a decade back. The managerial team for Data Services management is hopeful about the company's future. Armistead's chief executive, the insurance company that has the ownership for Data Services, is pressured by the corporate team to swamp the subsidiary. A business evaluation is performed to facilitate the CEO in determining if the investment should be prolonged in Data Services, as well as in determining whether the organization is under control and well managed. Data and information in the case pertaining to the daily operations of the company, its sales methods, profit and loss statement, revenue and expense evaluations, and cost distributions.

Data Services at Armistead Case Excel Calculations

Monthly Value Added by Continuing Customer

Contribution Margin per Shift

Average Shifts per Customer

Total Contribution Margin per Customer

Recovery of Acquisition Costs

 Average Continuing Customers

Customers Acquired During the Year

Acquisition Costs per Customer ($)

Contribution per Customer per year ($)

Payback Period (denoted in years)

Breakeven Customers to Cover Costs

 Annual Customer Acquisitions (assumed)

Costs Incured in Customer Acquisition ($)

Contribution per Customer ($)

Breakeven Customer Base Required

Data Services at Armistead Case Questions Answers