Ch. 8 Sec. 2: Customer Relationship Management & Enterprise Resource Planning

Production and materials management components

: handle the various aspects of production planning and execution such as demand forecasting, production scheduling, job cost accounting, and quality control

Scenarios common in hybrid architectures of ERP:

A business with a very specific local focus, such as single-site or multisite within a single country or region A business with operations geared strongly toward a specific industry A newly acquired operation with a mismatch of multiple outdated, unsupported ERPs A small company with no formal ERP in place

Automatic call distribution

A phone switch routes inbound calls to available agents.

Legacy system

An old system that is fast approaching or beyond the end of its useful life within an organization

Sales management CRM system

Automates each phase of the sales process, helping individual sales representatives coordinate and organize all of their accounts

Predictive dialing

Automatically dials outbound calls and when someone answers, the call is forwarded to an available agent

Customer service and operational CRM technology

Contact center, Web-based self-service, call scripting

Interactive voice response (IVR):

Directs customers to use touch-tone phones or keywords to navigate or provide information.

Reasons ERP systems are powerful tools

ERP is a logical solution to incompatible applications ERP addresses global information sharing and reporting ERP avoids the pain and expense of fixing legacy systems

Extended ERP component

Extra components that meet the organizational needs not covered by the core components that primarily focus on external operations

CRM predicting technologies

Help organizations make predictions regarding customer behavior such as which customers are at risk of leaving

On-premise systems

Include a server at a physical location using an internal network for internal access and firewalls for remote users' access

Enterprise resource planning

Integrates all departments and functions throughout an organization into a single IT system (or integrated set of IT systems) so that employees can make enterprise wide decisions by viewing enterprise wide information on all business operations

Customer relationship management (CRM)

Involves managing all aspects of a customer's relationship with an organization to increase customer loyalty and retention and an organization's profitability

Three marketing operational CRM technologies

List generator Campaign management system Cross-selling and up-selling

Marketing and operational CRM technology

List generator, campaign management, cross-selling and up-selling

Contact management CRM system

Maintains customer contact information and identifies prospective customers for future sales

Website personalization

Occurs when a website has stored enough data about a person's likes and dislikes to fashion offers more likely to appeal to that person

Sales and operational CRM technologies

Sales management CRM system Contact management CRM system Opportunity management CRM system

Sales and operational CRM technology

Sales management, contact management, opportunity management

Hybrid ERP

Splits the ERP functions between an on-premises ERP system and one or more functions handled as Software as a Service in the cloud

Opportunity management CRM systems

Targets sales opportunities by finding new customers or companies for future sales

Core ERP component

Traditional components included in most ERP systems that primarily focus on internal operations

Lead

a person/company that is unknown to your business

sales force automation

a system that automatically tracks all of the steps in the sales process

Call scripting system

access organizational databases that track similar issues or questions and automatically generate the details to the CSR who can then relay them to the customer

Web-based self-service system:

allow customers to use the Web to find answers to their questions or solutions to their problems

Account

an existing business relationship exists & can include customers, prospects, partner, & competitors

Sales Opportunity

an opportunity exists for a potential sale of goods or services related to an account or contact

Click-to-talk:

customers click on a button and talk with a CSR via the Internet

Business intelligence

describes information that people use to support their decision-making efforts

Supplier relationship management (SRM):

focuses on keeping suppliers satisfied by evaluating and categorizing suppliers for different projects, which optimizes supplier selection

Partner relationship management (PRM):

focuses on keeping vendors satisfied by managing alliance partner and reseller relationship that provide customers with the optimal sales channel

CRM reporting technologies

help organizations identify their customers across other applications

CRM analysis technologies

help organizations segment their customers into categories such as best and worst customers

Customer relationship management

involves managing all aspects of a customer's relationships with an organization to increase customer loyalty and retention and an organization's profitability

Supply chain management

involves the management of information flows between and among stages in a supply chain to maximize total supply chain effectiveness and profitability

Documedics

is a health care consulting company that provides reimbursement information about pharmaceutical products to patients and health care professionals.

balanced scorecard

is a management system, (in addition to a measurement system), that enables organizations to clarify their vision and strategy and translate them into action

A contact center

is part of the customer service department and falls into the category of operational CRM

Accounting and finance components

manage accounting data and financial processes within the enterprise with functions such as general ledger, accounts payable, accounts receivable, budgeting, and asset management

Elogistics

manages the transportation and storage of goods

Ebusiness

means conducting business on the Internet, not only buying and selling, but also serving customers and collaborating with business partners

Employee relationship management (ERM)

provides employees with a subset of CRM applications available through a Web browser

Contact

specific individual representing the account

Analytical CRM

supports back-office operations and strategic analysis and includes all systems that do not deal directly with the customers

Operational CRM

supports traditional transactional processing for day-to-day front-office operations or systems that deal directly with the customers

Eprocurement

the business-to-business (B2B) purchase and sale of supplies and services over the Internet

Human resource components:

track employee information including payroll, benefits, compensation, performance assessment, and assumes compliance with the legal requirements of multiple jurisdictions and tax authorities

Contact center (call center):

where CSRs answer customer inquiries and respond to problems through different touchpoints