Chapter 8: Enterprise applications: Business Communication Flashcards
Integration tools
Enterprise system
Enterprise application integration
Middleware
Enterprise application integration middleware
Enterprise system
Provide enterprise wide support and data access for a firm’s operations and business processes
Enterprise application integration (EAI)
Connects the plans, methods, and tools aimed at integrating separate enterprising systems
Middleware
Several different types of software that sit between and provide connectivity for two or more software applications
Enterprise application integration middleware
Packs commonly used applications together, reducing the time needed to integrate applications from multiple vendors
Supply chain management (SCM)
The management of information flows between and among activities in a supply chain to maximize total supply chain effectiveness and profitability
- good example is amazon
Three main links of the supply chain
- Materials flow from suppliers and their upstream suppliers at all levels
- Transformation of materials into finished products
- Distribution of products to customers
Benefits of SCM
Improved visibility
Increased profitability
Supply chain visibility
The ability to view all areas up and down the supply chain in real time
Supply chain planning system
Uses advanced mathematical algorithms to improve the flow and efficiency of the supply chain while reducing inventory
Supply chain execution system
Automates the different activities of the supply chain
Bullwhip effect
Occurs when distorted product demand information ripples from one partner to the next throughout the supply chain
Demand planning system
Generates demand forecasts using statistical tools and forecasting techniques, so companies can respond faster and more effectively to consumer demand through supply chain enhancements
Common supply chain metrics include
Back order
Inventory cycle time
Customer order cycle time
Inventory turnover
Challenges of SCM
Cost and complexity
Cost
A SCM system can cost millions of dollars for the software and millions more for help implementing the system
Complexity
The move towards globalization is increasing complexity in the supply chain
Fastest growing SCM components (don’t have to memorize)
Collaborative demand planning
Collaborative engineering
Selling chain management
Supply chain event management (SCEM)
Customer relationship management (CRM)
Involves managing all aspects of a customer’s relationship with an organization to increase customer loyalty and retention and an organizations profitability
- Charles schwab and kaiser permanence have had great success implementing CRM systems
CRM reporting technology
Helps organizations identify their customers across other applications
CRM analysis technologies
Help organizAtions segment their customers into categories such as best and worst customers
CRM predicting technologies
Help organizations make predictions regarding customer behavior such as while customers are at risk of leaving
Operational CRM
supports traditional transactional processing for day to day front office operations or systems that deal directly with the customers
Analytical CRM
Supports back office operations and strategic analysis and includes all systems that do not deal directly with the customers
Marketing and operational CRM technologies
List generator
Campaign management system
Cross selling and up selling
Sales and operational CRM technologies
Sales management CRM systems
Contact management CRM systems
Opportunity management CRM systems
Customer service operational CRM
Contact center (call center)
Web based self service system
Call scripting system
Analytical CRM
Relies heavily on data warehousing technologies and business intelligence to glean insights into customer behavior
Current trends include
Supplier relationship management
Partner relationship management
Employee relationship management
Reasons Enterprise Resource Planning systems are powerful tools
- logical solution to incompatible applications
- addresses global info sharing and reporting
- avoids the pain and expense of fixing legacy systems
Core ERP component
Traditional components included in most ERP systems and they primarily focus on internal operations
Extended ERP components
Extra components that meet the organizational needs not covered by the core components and primarily focus on external operations
Examples of core ERP components
Accounting and finance ERP component
Production and materials management ERP component
Human resource ERP component
Examples of extended ERP components
Business intelligence
Customer relationship management
Supply chain management
Ebusiness
Measuring ERP success
The learning and growth perspective
The internal business process perspective
The customer perspective
The financial perspective
Integration
Allows separate systems to communicate directly with each other, eliminating the need for manual entry into multiple systems
5 basic supply chain activities
Plan Source Make Deliver Return
Plan
Prepare to manage all resources required to meet demand
Source
Build relationships with suppliers to procure raw materials
Make
Manufacturers products and create production schedules
Deliver
Plan for transportation of goods to customers
Return
Support customers and products returns
Supply chain metrics
Back order
Inventory cycle time
Customer order cycle
Inventory turnover
Back order
An unfilled customer order for a product that is out of stock
Inventory cycle time
The time it takes to manufacture a product and deliver it to the retailer
Customer order cycle time
The agreed upon the between the purchase of a product and the delivery of the product
Inventory turnover
The frequency of inventory replacement
