mis chap 9 dsm

Sales managers, marketers and manufacturing managers are typically part of a team that create a forecasting model for sales. The team analyzes historical data on sales, market research and surveys, actual sales of a product or competing products: They use this information to create and revise sales forecasts. __________ determines how much product a business needs to satisfy all of its customers' demand.

Demand planning

Which of the following manage(s) the flow of products through distribution centers and warehouses to ensure that products are delivered to the right locations in the most efficient manner?

Supply chain execution systems

Kmart had trouble getting products to store shelves when it first implemented i2 Technologies supply chain management software. The i2 software did not work well with Kmart's promotion-driven business model, which created sharp downward spikes in demand for products. The scenario illustrates which of the following?

Enterprise applications require not only deep-seated technological changes but also fundamental changes to the way the business operates.

Enterprise systems provide corporate headquarters up-to-the minute data on sales, inventory, and production, and uses this information to create more accurate sales and production forecasts. Which of the following statements about an enterprise system is true?

It provides firmwide information to help managers make better decisions.

Coca-Cola implemented a SAP enterprise system to standardize and coordinate important business processes in 200 countries. Lack of standard, company wide business processes had prevented the company from using its worldwide buying power to obtain lower prices for raw materials and from reacting rapidly to market changes. If companies want to reap the maximum value from an enterprise software, they must change the way they work to ________.

conform to the business processes defined by the software

BlueBerry Inc., a candy manufacturing company in New York City, sells its products to customers through distributors and retailers. Which of the following comprehensive CRM packages will best assist the company in enhancing its collaboration with distributors and retailers?

Partner relationship management

Manufacturers may keep too many parts in inventory because they do not know exactly when they will receive their next shipments from their suppliers. Suppliers may order too few raw materials because they do not have precise information on demand. These supply chain inefficiencies waste as much as 25 percent of a company's operating costs. Which of the following is a scheduling system for minimizing inventory by having components arrive exactly at the moment they are needed and finished goods shipped as soon as they leave the assembly line?

The just-in-time strategy

Building strong relationships with customers requires businesses to know exactly who the customers are, how to contact them, whether they are costly to service and sell to, what kinds of products and services they are interested in, and how much money they spend on your company. A method of interaction with the customer, such as telephone, e-mail, customer service desk, conventional mail, Facebook, Twitter, website, wireless device, or retail store is called a __________.

touch point

Building strong relationships with customers requires businesses to know exactly who the customers are, how to contact them, whether they are costly to service and sell to, what kinds of products and services they are interested in, and how much money they spend on your company. What is a touch point?

A touch point is a method of interaction with the customer, such as telephone, e-mail, customer service desk, conventional mail, Facebook, Twitter, website, wireless device, or retail store

Building strong relationships with customers requires businesses to know exactly who the customers are, how to contact them, whether they are costly to service and sell to, what kinds of products and services they are interested in, and how much money they spend on your company.

A touch point is a method of interaction with the customer, such as telephone, e-mail, customer service desk, conventional mail, Facebook, Twitter, website, wireless device, or retail store.

Customer relationship management (CRM) systems integrate and automate customer-facing processes in sales, marketing, and customer service, providing an enterprise-wide view of customers. Companies can use this customer knowledge when they interact with customers to provide them with better service or sell new products and services. These systems also identify profitable or unprofitable customers or opportunities to reduce the churn rate. ________ applications are based on data from ________ systems, customer touch points, and other sources that have been organized in data warehouses or analytic platforms for use in data analysis.

Analytical CRM; Operational CRM

Supply chain planning systems enable the firm to model its existing supply chain, generate demand forecasts for products, and develop optimal sourcing and manufacturing plans. Of these functions, demand forecasts are critical. Which of the following statements best describes demand planning?

Demand planning determines how many product a business needs to satisfy all of its customers' demands.

Which of the following best describes supply chain execution systems?

Supply chain execution systems manage the flow of products through distribution centers and warehouses to ensure that products are delivered to the right locations in the most efficient manner.

Profits are maximized when companies are able to predict future demand perfectly. Since perfect predictions rarely happen, companies often compare the costs of over estimating demand to the costs of underestimating demand. Based on this type of analysis companies develop a strategy and set objectives for their manufacturing processes. Which of the following best describes supply chain planning systems?

Supply chain planning systems enable a firm to model its existing supply chain, generate demand forecasts for products, and develop optimal sourcing and manufacturing plans.

Companies with effective customer relationship management systems realize many benefits, including increased customer satisfaction, reduced direct-marketing costs, more effective marketing, and lower costs for customer acquisition and retention. __________ measures the number of customers who stop using or purchasing products or services from a company.

The churn rate

Companies with effective customer relationship management systems realize many benefits, including increased customer satisfaction, reduced direct-marketing costs, more effective marketing, and lower costs for customer acquisition and retention. What is churn rate?

The churn rate measures the number of customers who stop using or purchasing products or services from a company.

Large companies with many operating units in different locations have used enterprise systems to enforce standard practices and data so that everyone does business the same way worldwide. Enterprise systems provide value to businesses by ________.

increasing operational efficiency

Manufacturers may keep too many parts in inventory because they do not know exactly when they will receive their next shipments from their suppliers. Suppliers may order too few raw materials because they do not have precise information on demand. These supply chain inefficiencies waste as much as 25 percent of a company's operating costs. If a manufacturer had perfect information about exactly how many units of product customers wanted, when they wanted them, and when they could be produced, it would be possible to implement a highly efficient ________ strategy.

just-in-time

Procter & Gamble (P&G) found it had excessively high inventories of its Pampers disposable diapers at various points along its supply chain because of such distorted information. Although customer purchases in stores were fairly stable, orders from distributors spiked when P&G offered aggressive price promotions. The diapers and their components accumulated in warehouses along the supply chain to meet demand that did not actually exist. The magnitude of a bullwhip effect is a function of the ________.

number of suppliers in a supply chain

Imagine that you had to run a business based on information from tens or even hundreds of databases and systems, none of which could speak to one another. Which component of an enterprise system would best address the scenario above?

a centralized database

Companies that produce complex products and services, purchase resources and raw materials from hundreds of suppliers, and each of those suppliers will have its own set of suppliers. These companies need to coordinate the activities of hundreds or even thousands of other firms to produce their products and services. A supply chain is ________.

a network of organizations and business processes for procuring raw materials, transforming these materials into intermediate and finished products, and distributing the finished products to customers.

Customer relationship management (CRM) systems integrate and automate customer-facing processes in sales, marketing, and customer service, providing an enterprise-wide view of customers. Companies can use this customer knowledge when they interact with customers to provide them with better service or sell new products and services. These systems also identify profitable or unprofitable customers or opportunities to reduce the churn rate. An important output of ________ is the customer's lifetime value to the firm.

analytical CRM

Partner relationship management is a comprehensive CRM package that will __________.

best assist a company in enhancing its collaboration with distributors and retailers

Enterprise application vendors have added features to help managers obtain more meaningful information from the massive amounts of data these systems generate, including data from the Internet of Things (IoT). In enterprise applications, tools for flexible reporting, ad hoc analysis, interactive dashboards, what-if scenario analysis, and data visualization are a part of __________.

business intelligence tools

SAP, the leading vendor of enterprise systems, created a machine learning and neural network application that recognizes patterns associated with machine performance in the oil and gas industry. The software automatically generates notifications of potential machine failures and sends them to SAP Plant Maintenance, which planners use to schedule machine repair and replacement. The ________ added by SAP help managers obtain more meaningful information from the massive amounts of data generated by enterprise systems.

business intelligence tools

Around the globe, companies are increasingly becoming more connected, both internally and with other companies. Information systems provide integration to make instant reactions to large orders or production delays possible. A(n) __________ features a set of integrated software modules and a central database by which business processes and functional areas throughout the enterprise can share data.

enterprise system

Commercial CRM software packages range from niche tools that perform limited functions, such as personalizing websites for specific customers, to large-scale enterprise applications that capture myriad interactions with customers, analyze them with sophisticated reporting tools, and link to other major enterprise applications, such as supply chain management and enterprise systems. The more comprehensive CRM packages contain modules for partner relationship management (PRM) and employee relationship management (ERM). Which of the following statements best describes employee relationship management?

It deals with employee issues that are closely related to CRM, such as setting objectives, employee performance management, performance-based compensation, and employee training.

If you manage a firm that produces more complex products and services, you will purchase resources and raw materials from hundreds of companies, and each of those companies will have its own set of companies from which they purchase resources. Suddenly, you will need to coordinate the activities of hundreds or even thousands of other firms to produce your products and services. Which of the following is a network of organizations and business processes for procuring raw materials, transforming these materials into intermediate and finished products, and distributing the finished products to customers?

Supply chain

The Internet and Internet technology make it possible to move from sequential supply chains, where information and materials flow sequentially from company to company, to concurrent supply chains, where information flows in many directions simultaneously among members of a supply chain network. In a(n) __________ model, actual customer orders or purchases trigger events in the supply chain. Transactions produce and deliver only what customers have ordered and move up the supply chain from retailers to distributors to manufacturers and eventually to suppliers.

pull-based

Too many, it seems as if large department stores, like Macy's, is always promoting a clearance sale. Department stores often sell, at a reduced price, the extra products in their retail centers. Department stores that consistently over estimate demand, and then sell the extra inventory at reduced prices follow a ________ model.

push-based

For businesses that sell different product lines, manufactured in separate factories all over the world, decision making is improved when information from across all areas in the business can be shared, instantaneously. Which of the following statements best completes the following sentence? Enterprise systems ________.

rovide value by increasing operational efficiency

SAP, Salesforce.com, and Oracle CRM products now feature technology to monitor, track, and link activity on Facebook, LinkedIn, Twitter, YouTube, and other sites to customer relationship management processes. Tools enabling a business to link customer conversations, data, and relationships from social networking sites to CRM processes are called __________.

social CRM