Chapter 8
code modifications
the most expensive customization occurs when application code is changed and should only be done if the code changes provide specific competitive advantages
human resource ERP components
track employee information, including payroll, benefits, compensation, and performance assessment, and ensure compliance with all laws
EAI reviews how legacy systems fit into the new shape of the firm's business processes and devises ways to reuse what already exists efficiently while adding new systems and data true or false
true
radio frequency identification
uses electronic tags and labels to identify objects wirelessly over short distances
computer aided manufacturing
uses software and machinery to facilitate and automate manufacturing processes
customer segmentation
which divides a market into categories that share similar attributes such as age, location, gender, habits, and so on
integrations
data integration is key for business process support that spans functional areas and legacy systems
outbound logistics
distribute goods and service to customers
digital supply chain
fully, capitalize on connectivity, system integration, and the information-producing capabilities of smart devices
customer analytics
involves gathering, classifying, comparing, and studying customer data to identify buying trends, at-risk customers, and potential future opportunities
customer profitability
measures the customers worth over a specific period of time
omni channel analytics
combines data from different channels into one holistic view of the customer and analyzes the data for insights on customer segmentation, demographics, spending
makerspaces
community centers that provide technology, manufacturing equipment, and educational opportunities to the public that would otherwise be inaccessible or unaffordable
list generators
compile customer information form a variety of sources and segment it for different marketing campaigns
inbound logistics
acquires raw materials and resources and distributes to manufacturing as required
web-based self-service systems
allow customers to use the web to find answers to their questions or solutions to their problems
integrations
allow separate systems to communicate directly with each other, eliminating the need for manual entry into multiple systems
common data repository
allows every department of a company to store and retrieve information in real time, allowing information to be more reliable and accessible
common data repository
allows every department of a company to store and retrieve information in real-time allowing information to be more reliable and accessible
user-interface changes
an ERP system can be customized to ensure that each user has the most efficient and effective view of the application
chatbot
an artificial intelligence program that stimulates interactive human conversation by using key recalculated user phrases and auditory or text-based signals
What are the two primary types of integration?
application integration and data integration
enterprise application integration
connects the plans, methods, and tools aimed at integrating separate enterprise systems
supply chain
consists of all parties involved, directly or indirectly, in obtaining raw materials or a product
logistics
controls processes inside a company and outside a company and focuses on the physical execution part of the supply chain
reports, documents, forms
customization to reports, documents, and forms can consist of simple layout or design changes or complex logic programming rules for specific business requirements
extended ERP components
are the extra components that meet organizational needs not covered by the core components and primarily focus on external operations
core ERP components
are the traditional components included in most ERP systems and primarily focus on internal operations
sales management systems
automate each phase of the sales process, helping individual sales representatives coordinate and organize all their accounts
sales force automation
automatically tracks all the steps in the sales process
fraud and counterfeits
blockchain fights fraud and other issues with its immutable record and trust people can have in it
3D printing
builds-layer by layer in an additive process - a three dimensional solid object form a digital model
supply chain optimization
defines, recommends, and sets flexible supply chain strategies based on an organizations operations and services
module software design
divides the system into a set of functional units that can be used independently or combined with other models for increased business flexibility
integration
ensuring that all software reduces, inducing disparate systems not part of the ERP system, are working together or are integrated
robotics
focuses on creating artificial intelligence devices that can move and react sensory input
transportation and logistics optimization
focuses on the efficient movement of products through effective transportation management by evaluating multiple transportation modes, carriers, routes, shipping strategies, and support to find the lowest cost combination
click to talk
functions, which allow customers to click a button and talk with a representative via the internet
call scripting systems
gather product details and issue resolution information that can be automatically generated into a script for the representative to read to the customer
campaign management systems
guide users through marketing campaigns by performing such tasks as campaign definition, planning, scheduling, segmentation, and success analysis
production and materials management ERP components
handle production planning and execution tasks such as demand forecasting, production scheduling, job cost accounting, and quality control
CRM reporting technologies
help organizations identify their customers across other applications
CRM predicting technologies
help organizations predict customer behavior, such as which customers are at risk of leaving
CRM analysis technologies
help organizations segment their customers into categories such as best and worst customers
consulting fees
hiring external experts to help implement the system correctly
materials management
includes activities that govern the flow of tangible, physical materials through the supply chain such as shipping, transport, distribution, and warehousing
logistics
includes the processes that control the distribution, maintenance, and replacement of materials and personnel to supper the supply chain
sales analytics
involves gathering, classifying, comparing, and studying company sales data to analyze product cycles, sales pipelines, and competitive intelligence
customer relationship management
involves managing all aspects of a customer's relationship with an organization to increase customer loyalty and retention and an organization's profitability
maker movement
is a cultural trend that places value on an individuals ability to be a creator of things as well as a consumer of things
uplift modeling
is a form of predictive analytics for marketing campaigns that attempts to identify target markets or people who could be convinced to buy. products
customer lifetime value
is a metric that represents the total net profit a company makes from any given customer
customer service and support
is a part of operational CRM that automates service requests, complaints, product returns, and information requests
electronic data interchange
is a standard format for the electronic exchange of information between supply chain participants
4D printing
is additive manufacturing that prints objects capable of transformation and self-assembly
intelligent virtual agent
is an animated, humamlike graphical chat bot commonly displayed on website home pages and advertisement landing pages
drone
is an unmanned aircraft that can fly autonomously, or without a human
up-selling
is increasing the value of the sale
cross-selling
is selling additional products or services to an existing customer
computer aided design
is software used by architects, engineers, drafters, artists, and others to create precision drawings or technical illustrations
supply chain visibility
is the ability to view all areas up and down the supply chain in real time
application integration
is the integration of a company's existing management information systems
data integration
is the integration of data from multiple sources, which provides a unified view of all data
supply chain management
is the management of information flows between and among activities in a supply chain to maximize total supply chain effectiveness and corporate profitability
procurement
is the purchasing of goods and services to meet the needs of the supply chain
contact center or call center
is where customer service representatives answer customer inquiries and solve problems, usually by email, chat, or phone.
contact management system
maintains customer contact information and identifies prospective customers for future sales
accounting and finance ERP components
manage accounting data and financial processes within the enterprise with functions such as general ledger, accounts payable, accounts receivable, budgeting, and asset management
software customization
modifies existing software according to the business's or user's requirements
immutability
no entity can tamper with an entry in the distributed ledger
bullwhip effect
occurs when distorted product-demand information ripples from one partner to the next throughout the supply chain
opportunity management systems
target sales opportunities by finding new customers or companies for future sales
A few of the common supply chain management metrics include:
-back order -inventory cycle time -customer order cycle time -inventory turnover
Effective and efficient supply chain management systems can enable an organization to have these impacts on Porter's Five Forces Model:
-decrease the power of its buyers - increase its supplier power - increase buyers switching costs to reduce the threat of substitute products or services -create entry barriers to reduce the threat of new entrants -increase efficiencies while seeking a competitive advantage through cost leadership
CRM strategic goal include:
-find new profitable customers -exceed current customer expectations -eliminate competition
Customer relationship management key players
-lead -account -contact -sales opportunity
The three primary operational CRM technologies a sales department can adopt are:
1) sales management systems 2.) contact management 3.) opportunity management
The three primary enterprise systems:
1) supply chain management 2.) customer relationship management 3.) enterprise resource planning
The three most common core ERP components focusing on internal operations are
1.) accounting and finance ERP components 2.) production and materials management ERP components 3.) Human Resources ERP components
The four most common extended ERP components
1.) business intelligence 2.) customer relationship management 3.) supply chain management 4.) ebusiness
The three primary operational CRM technologies a marketing department can implement to increase customer satisfaction are:
1.) list generators 2.) campaign management systems 3.) cross-selling 4.) up-selling
Supply chain management performs three main business processes:
1.) materials flow from suppliers and their upstream suppliers at all levels 2.) materials are transformed into semifinished and finished products - the organization's own production processes 3.) products are distributed to customers and their downstream customers at all levels
The five basic supply chain activities :
1.) plan 2.) source 3.) make 4.) deliver 5.) return
There are three phrases in the evolution of CRM
1.) reporting 2.) analyzing 3.) predicting
disruptive business technologies
3D printing, RFID, drones, robotics
customization
Customizing domestic products/services to better suit the foreign market (colors, packaging, cultural ads, etc)
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 enterprisewide decisions by viewing enterprisewide information on all business operations
process rework
Redefining processes in order to ensure the company is using the most efficient and effective processes
raspberry Pi
a low cost, credit card sizes computer that plugs into a computer monitor or TV and uses a standard keyboard and mouse
RFID's electronic product code
promotes serialization or the ability to track individual items by using the unique serial number associated with each RFID tag
enterprise systems
provide enterprisewide support and data access for a firm's operations and business processes
cradle to grave
provides logistics support throughout the entire system or life of the product
inventory optimization
provides visibility across inventory levels throughout the entire supply chain
software costs
purchasing the software can cost millions of dollars for a large enterprise
forward integration
sends information entered into a given system automatically to all downstream systems and processes
backward integration
sends information entered into a given system automatically to all upstream systems and processes
middleware
several types of software that sit between and provide connectivity for two or more software applications
business processes or workflows
software can be customized to support the needs of business process workflows unique to each business or department
analytical CRM
supports back office operations and strategic 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
