INFS Quiz 3

Supply Chain Operations Reference (SCOR) Model includes the following processes (6)

-plan -source -make -deliver -return -enable

Three types of data stored in Corporations and organizations

-transactional structured data -Analytical structured data -unstructured/semi-structured, un-modeled data

OLAP tools are also known as __________ _____________ tools

Business intelligence

Data Mining patterns should be:(4)

accurate, meaningful, understandable, actionable

data warehouse is one of the primary sources for

data mining

operational databases

data modeled structured and stored for anticipated pre-determined operational use

OLAP tools are designed for analysis of ______ in ___________________ and ______________

data, data warehouses, data marts

data mining is an intersection of: (3)

database management, artificial intelligence (machine learning), and statisitics

automating

changing the business process by automating it

streamlining

changing the business process by removing unnecessary, outmoded, or inefficient steps and methods in the process

map reduce uses ____________ instead of specialized expensive ones

cheap computers

Data mining

discovering new patterns from large data sets

RFM Analysis - Frequency

how often does the customer purchase over a period of time?

Business Process Reengineering

identify business prcess--> review and analyze as is ---> design to be ----> test and implement to be

ERP: for some companies _______ development of an integrated enterprise may be more appropriate

in-house

ERP is one of the ways to achieve an

integrated enterprise wide information system

intergrated enterprise wide information systems

integrated information systems spanning across the entire enterprise

Online Analytical Processing (OLAP)

querying and presenting data from data warehouses and/or data marts for analytical purposes

executive dashboard for a

quick glance at data

executive dashboard intended for

use by higher level decision makers within an organiztion

Customer Relationship Management

use existing customer data to drive loyalty and engagement, and to maximize profitability from lost, current and potential customers

SCM Metrics and KPIs examples: back order rates

percentage of orders that can be filled (back orders) at the time a customer places them

olap tools allow users to retrieve needed date from data warehouses and data marts by using simple _______________________________ mechanisms

point and click

Enterprise Resource Planning (ERP)

premade, intergrated, corporate information system

market basket analysis: correlations are expressed in the form:

transactions that contain x are likely to contain y as well

big data is not modeled

up front for a predetermined operational analytical queries

Online Transaction Processing (OLTP)

updating, retrieving and presenting data from databases for operational purposes

Predictive Analytics

uses past data to predict future events

Most ERP solutions include various compotents eg. (SCM and CRM components) however,

various that focus just on SCM (like JDA) or just CRM (like salesforce) tend to be the best vendors

Big data: semi-structured formats

weblogs, emails, tweets, etc.

RFM analysis: recency

when was the most recent purchase by the customer

one of the most appropriate and fertile source of data meaningful and effective data mining is the enterprise-wide corporate data warehouse (if it exists)

which contains all the info from the operational data sources that has analytical value

CRM: analyze customer behavior with the goal of: (6)

-increasing customer retention -driving sales growth and revenue -segmenting customer base understanding seasonality -identifying potential new customers etc.

examples of sales support metrics and KPIs (3)

-leads to conversions rate -average profit per customer in a time period -upsell revenues in a time period

Examples of customer service metrics and KPIs (3)

-number of complaints in a timer period -customer ratings of service -average time to complete problem resolution

SCM levels of decision making

-operational -tactical -strategic

examples of Marketing Support Metrics and KPIs (3)

-promotional mail/e-mail response rate -increase in sales during the marketing campaign

CRM entails integration of (3)

-sales management -marketing -customer service

OLAP/BI Tools capabilities (3)

-slice and dice -pivot(rotate) -drill down/ drill up

RFM analysis

A method for analyzing a customer value

examples of customer service metrics and KPIs

number of complaints in a time period customer ratings of service

logistics often used as a synonym for

"transportation" or "shipping" or "delivering" however there is more to it

market basket analysis measures support =

(number of transactions containing x and y)/ (number of all transactions)

market basket analysis measures confidence=

(number of transactions containing x and y)/(number of transactions containing x)

supply chain: proper management of the supply chain is critical for companies and organizations in a varitety of industries including (6)

- Manufacturing -Agriculture -Retail -Health Care -Construction and real estate -all other industries that use supplies

using scm software for product orders in retail

- each time a customer brings a products to the cash register a signal is generated

CRM Sotware use examples

-customer Service support -marketing sales support -Automation of customer service

in order to achieve improvements business processes can undertake different types changes (3)

-automating -streamlining -BPR

OLAP/BI Tools Analytical Functionalities (4)

-creating and examining calculated data -determining comparative or relative differences -performing exception analysis, trend analysis, forecasting, and regression analysis -number of other analytical functions

data lake vs data warehouse

A data lake is a vast pool of raw data, the purpose for which is not yet defined. A data warehouse is a repository for structured, filtered data that has already been processed for a specific purpose.

four ways to implement an integrated enterprise system

1. as an ERP system 2. best of breed collection 3. As a custom development Enterprise IS 4. Using a mixed approach

big data can encompass ___________ of strored data

80%/90% or even more

Front-end applications accessing analytical data are also known as

BI tools

paradigm shift

BPR effort in one company redefines the entire industry

mixed approach

Combination multiple ways of integrating a system

Supply chain mgmt: plan

Develop and communicate plans for sourcing, making, delivering and returning/cancellings complany's products/services

ERP solutions are growing because

ERP can appear logical and straightforward solution to the mess of incompatible applications that had sprung up in a business ERP addresses the need for enterprise wide info sharing and reporting ERP can be used to avoid the pain and exense of intergrating legacy old outdated systems

SCM Automation

Enabled by the use of digital information and other technological advances

tools for Accessing data in data warehouses and data marts (3)

OLAP/BI tools, front-end/BI applications, executive dashboards

RFID

Radio Frequency Identification

Large ERP vendors include(2)

SAP and Oracle

Supply chain mgmt: deliver

Schedule and execute the necessary steps for delivering a company's products and services to their customers

middleware

Software that connects two otherwise separate applications

RFM analysis: monetary value

What is the monetary value of the customer's purchase over a period of time?

CRM marketing sales support example

a fashion retailer keeps track of various life events of their customer's (such as anniversaries or birthdays) and then reminds Mr. Larson that his wife's birthday is coming up

customer service support

a part of operational CRM that automates service requests, complaints, product returns, and information requests

Business Process

a set of activities that once completed accomplish a company's task or goal

a custom development Enterprise IS

a single fully intergrated custom developed multi functional system

MapReduce

a technique for harnessing the power of thousands of computers working in parallel traditional parallel approaches use specialized (expensive) computers

Supply chain mgmt: enable

actively and jointly manage all SCM-related processes (plan, make, source, deliver, return) & elements (such as business rules, contracts, regulations, risks, human resources) while measuring & monitoring SCM performance through usage data and information systems

slice and dice

adds, replaces, or eliminates specified attributes (or particular values) from the already displayed result

big data methods: standard database and data warehousing techniques, cannot

adequately deal with the diversity and volume of big data

automation of customer service example:

all customers automatically receive various triggered communications (such as Mr. Larson in the example above) based on their individual data

ERP System

an ERP suite (such as SAP, Oracle appliations, or M1) provide function-specific modules intergrated into a larger system

Best of Breed Collection

an integrated collection of function-specific commercial off-the-shelf software systems

executive dashboard contains

an organized easy to read display of a number of critically important queries describing the performance of the organization

Big Data Methods allow organizations to analyze

and get insight from big data

Business Process Reengineering

the analysis and redesign of workflow within and between enterprises in order to optimize business processes

back order rate =

number of Back orders/ number of all orders

ERP: purchasing dilemna

best of breed vs ERP

SCM metrics and KPIs

calculated based on data in information systems provided in reports and/or dashboards

business process examples (3)

carrying out a sale of a product to a customer enrolling a customer into a loyalty program performing a credit check on a customer booking a business trip for an employee resolving a credit card fraud instance

data lake serves as a

corporate big data repository

for each such process BPR includes

creating a diagram of as is process reviewing and analyzing the As is process

market basket analysis: supermarket example

customers buying x are likely to buy y during the same purchase transaction

SCM: operational decisions

day to day how much inventory to order today based o today's events

integrated information s

enables data sharing by multiple functional areas of the organization

market basket analysis

finds groups of items that tend to appear together in transactions

SCM metrics and KPIs: inventory turnover rate

number of times per year that inventory is purchased, consumed, and replaced

Accessing data in data warehouses and data marts: using OLAP/BI tools-

for direct access

Accessing data in data warehouses and data marts: using front end applications-

for indirect access

big data heterogeneous

from various sources such as smart devices, social media, sensors etc. variety of formats such as semi-structured and unstructured

most users who need to access analytical data in data warehouses and data marts can not engage in direct access instead they are given access to

front-end/BI applications

purpose of BPR

is to make a business process as good as possible

data lake

large data pool in which the schema and data requirements are not defined until the data is queried

executive dashboard: in general the usage of executive dashboards should require

little or no effort or training

SCM: strategic

longer term decisions example:should we consider using overseas suppliers in the next 3-5 years

CRM objectives

maintain, enhance, and improve relationships with customers and potential customers

drill up

makes the granularity of the data in the query result coarser

drill down

makes the granularity of the data in the query result finer

there are numerous data mining techniques one widely used data mining technique is

market basket analysis

big data

massive volumes of diverse and rapidly growing data that are not formally modeled

SCM: Tactical Decisions

medium term decisions what terms to include in the annual contract with our supplier for the upcoming years

In cases where a company has acquired an ERP system but has a business process that differs somewhat from the way it is implemented by the ERP system that company has to either: (2)

modify its operations to match the process in the ERP system or to make allowable adjustments to the ERP system to match the company process

A supply chain is a

network between a company, its suppliers, and its customers whose purpose is to produce and distribute the company's products and or and services

big data analytics is part of overall data strategy

not a separate isolated initiative

bullwhip effect

occurs when product demand information passes throughout the supply chain in a distorted (delayed) way

data mining: mining transactional databases related to current day to day organizational can be

of use in certain situations

paradigm shift example

one company resolves a fraud claim paradigm shift: proactive fraud detection and resolution process using data mining and predictive analytics used by one company, then all company's adopt it

Hadoop is a(n):

open-source implementation of the map reduce techniques

big data methods: big data methods do not replace database and data warehousing approaches developed for managing and utilizing formally modeled data assets. instead they allow

organizations to analyze and get insight from the kinds of data that are not suited for regular database and data warehouse technologies

pivot (rotate)

reorganizes the values displayed in the original query result by moving values of a dimension column from one axis to another

Supply chain mgmt: source

schedule and execute necessary steps for obtaining, materials, goods, and services from suppliers that are needed to produce a company's products and services

Supply chain mgmt: make

schedule and execute the necessary steps for creating a company's products and services

Supply chain mgmt: return

schedule and execute the necessary steps for receiving returned products from their customers and for cancelled services by their customers

middleware are

several types of software that sit between and provide connectivity for two or more software applications

ERP:in house development asks for...

skilled developers and high amount of knowledge sharing and cooperation between various departments within a company

CRM-related Data collection example

starbucks gold

A supply chain consists of all of the

steps it takes to get products and/or services to the customer

data lake is a suitable concept for the

storage of big data as big data is inherently less structured ad typically kept in its raw format

while a data warehouse stores data in predefined target structure with a detailed metadata a data lake is a

storage repository that holds a vast amount of raw data in its native format util it is needed

ERP: if the business process is original or highly specialized ERP probably cant

support it

Big data: unstructured formats

text,video, audio, etc.

Supply Chain

the connected chain of all of the business entities, both internal and external to the company, that perform or support the logistics function

Data Visualization

the graphical presentation of data with a focus on qualitative understanding

Logistics Definition

the part of the supply chain process that plans implements and controls the efficient, effective forward and reverse flow and storage of goods, services, and related information between the point of origin and the point of consumption

SCM metrics and KPIs rate of return

the percentage of increase in the value of your savings from earned interest

market basket analysis: the support measures

the significance of the rule, so we are interested in rules with relatively high support

market basket analysis: the confidence measures

the strength of the correlation, so rules with low confidence are not meaningful even if their support is high