Quiz 4
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
Make
Schedule and execute the necessary steps for creating a company's products and services
Deliver
Schedule and execute the necessary steps for delivering a company's products and services to their customers
Return
Schedule and execute the necessary steps for receiving returned products from their customers and for cancelled services by their customers
Examples of Marketing Support Metrics and KPIs
- promotional mail/e-mail response rate -Increase in sales during the marketing campaign -Increase in number of customers during the marketing campaign
Examples of Business Process
-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
Blockchain characteristics
-Ideal for crypto-currencies -Not controlled by central authority -No trust between the participants -Solution for scenarios where absence of trust justifies the high cost
Examples of Sales Support Metrics and KPIs
-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
-Number of complaints in a time period -Customer ratings of service -Average time to complete problem resolution
Goals of CRM
-increasing customer retention -driving sales growth and revenue -segmenting customer base -understanding seasonality -identifying potential new customers
Disadvantages of back order rates
-much higher rate of cancellations for back ordered products -Backorder notification cost -Loss of goodwill and future sales to current customers -Lost cost of initial customer acquisition
4 ways to implement an Integrated Enterprise Info System
1. As an ERP 2. As a best-of-breed collection 3. As a custom developed enterprise IS 4. Using Mixed Approach
Blockchain
A mechanism for keeping track of sequences of data in completely decentralized distributed fashion -continuously growing -data stored on computers -replicate and save identical copies of recorded transactions -allow data only to be added and viewed
RFM
A method for analyzing customer value -Recency: When was the most recent purchase by the customer? -Frequency: How often does the customer purchase over a period of time? -Monetary Value: What is the value of the customer's purchase over a period of time?
Business Process
A set of activities that once completed, accomplish a company's task or goal
Implementation as a Custom Developed Enterprise IS
A single fully-integrated custom-developed multi-functional system
Implementation as a Best-of-Breed
An integrated collection of function-specific commercial off-the -shelf software (COTS) systems
Steps in BPR
Automating, Streamlining, BPR, Paradigm shift
Paradigm shift (strategic reengineering)
BPR effort in one company redefines the entire industry ex: credit company resolves fraud claim with detection and resolution process, which is then adopted by other companies
Automating (BPR)
Changing the business process by automating it ex: credit card company answers every call directly by a customer service representative
Streamlining
Changing the business process by removing unnecessary, outmoded, or inefficient steps and methods in the existing process ex: Customer navigates several levels of menu-choices by entering or speaking their choice
Software as a Service (SaaS)
Computer applications offered as a service on demand ex: JDA Stratus, Gmail, Google Drive, Microsoft Office 365
Infrastructure as a Service (IaaS)
Computer hardware provided as standardized services over the network ex: Amazon Web Services, Microsoft Azure
Operational Decision Making
Day-to-day decisions ex: How much inventory to order based on today's events
Plan
Develop and communicate plans for sourcing, making, delivering, and returning/cancelling company's products/services
SCM Automation
Enabled by the use of digital information and other technological advances
Strategic Decision Making
Longer-term decisions ex: Should we consider using overseas suppliers in the next 3 to 5 years
Inventory Turnover Rate
Measures how many times a year a company is able to sell its entire inventory - cost of goods sold (in a period)/value of average (end of period) inventory
Tactical Decision Making
Medium-term decisions ex: What terms to include in the annual contract with our supplier for the upcoming year
Bullwhip Effect
Occurs when product demand information passes throughout the supply chain in a distorted (delayed) way
Customer Relationship Management
Use existing customer data to drive loyalty and engagement, and to maximize profitability from lost, current and potential customers
Industrial Internet of Things (IIOT)
Use of internet-connected smart sensors in manufacturing and industrial processes ex: self-diagnosing machines and engines
Cloud computing systems
Use the internet to deliver data storage and processing services hosted by a service provider
Supply Chain Management
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
Enable
actively and jointly manage all SCM-related processes+elements while measuring & monitoring SCM performance through usage of data and information systems
Implementation as an ERP
an ERP suite provide function-specific modules integrated into a larger system
Automating
changing the business process by automating it -ex: every phone call is answered by a computerized system
BPR
changing the business process not by performing the same process faster, cheaper, and more efficient, but completely redesigning the process ex: Customer notices a fraud transaction on her credit card statement and reports it to the company who investigates and cancels the card.
Distributed Database Systems
distribute data among separate computers -kept geographically separate -a centralized coordinating system that manages sharing between various locations
Integrated information system
enables data sharing by multiple functional areas of the organization
SCOR mdoel
framework for supply chain management -plan -source -make -deliver -return -enable
Integrated enterprise-wide information systems
integrated info systems spanning across the entire enterprise with a goal to reduce the silo effect and enabling departments and functional area to work together sharing info.
Objectives of CRM
maintain, enhance, and improve relationships with customer and potential customers
Back Order Rate
percentage of orders that cannot be filled at the time a customer places them - number of back orders/number of all orders
Rate of Return
percentage of shipped items that are returned by the customers - number of returned items/ number of all shipped (bought items)
Internet of Things (IOT)
physical devices and objects connected via Internet communicating and exchanging data ex: driverless cars, smart homes, wearables
Enterprise resources planning system (ERP)
premade, integrated, corporate information system
Platform as a Service (PaaS)
resources required for building applications provided as standardized services over a network ex: Amazon Web Services, Microsoft Azure
Middleware
software that connects two otherwise separate applications
Database as a Service (DBaaS)
specialized version of SaaS developed for database management in clouds ex: Google Cloud SQL, Amazon Relational Database Service
Business Process Reengineering
the analysis and redesign of workflows within and between enterprises in order to optimize business processes
Logistics
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
Purpose of BPR
to make business processes as good as possible
