Chapter 9 - True/False

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To minimize the expense of implementing an enterprise system, businesses can opt to curtail the customization of an enterprise package and instead change business processes to match the software.

True

Total supply chain costs represent the majority of operating expenses for many businesses and in some industries approach 75 percent of the total operating budget.

True

Wal-mart's strategy of continuous replenishment of inventory based on actual customer purchases is an example a pull-based SCM model

True

You would expect to find PRM and ERM modules in the most comprehensive CRM software packages

True

The upstream portion of the supply chain consists of the organization and processes for distributing and delivering products to the final suppliers

False

Supply chain execution systems enable the firm to generate demand forecasts for a product and to develop sourcing and manufacturing plans for that product

False

Enterprise systems are designed primarily to allow communication between an organization and outside partners and suppliers.

False

Enterprise systems are typically built around one or two major business workflows.

False

In a pull-based model of SCM systems,production master schedules are based on forecasts of demand for products.

False

In a push-based model of SCM systems, actual customer orders or purchases trigger events in the supply chain

False

Safety stock acts as an inefficiencies buffer for the lack of flexibility in the supply chain

False

Analytical CRM uses a customer data warehouse and tools to analyze customer data warehouse and tools to analyze customer data collected from the firm's customer touch points and from other sources.

True

CRM software can help organizations identify high-value customers for preferential treatments

True

Companies can use configuration tables provided by the enterprise software to tailor a particular aspect of the system to the way it does business.

True

Cross-selling markets complementary products to customers

True

Enterprise systems require fundamental changes in the way business operates.

True

Implementing an enterprise application typically requires organizational change as well as adjustments to existing business processes

True

Major CRM application software vendors include Sebel Sytems, PeopleSoft, SAP and Salesforce.com

True

Supply chain inefficiencies can waste as much as 25 percent of a companies operating costs

True

The bullwhip effect is the distortion of information about the demand for a product as it passes from one entity to the next across the supply chain

True


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