Chapter 9: Achieving Operational Excellence and customer intimacy Enterprise Applications Flashcards
What is the business value of Enterprise systems?
- Increase operational efficiency
- Improve support in decisions
What is a supply chain?
This is a network or organizations and business processes for producing raw materials and transforming these into intermediate or finished products
What is a bullwhip effect?
Information about demand gets distrorted as information goes from one entity to the next in a supply chain. This creates increasing differences between actual and built demand.
Can be avoided by sharing more and timely information with suppliers
What are supply chain planning systems?
these systems enable the firm to model its supply chain and develop optimal sourcing and manufacturing plans
What are supply chain execution systems?
these systems manage the flow of products to ensure timely and efficient delivery. Tracks physical status of goods.
What is demand planning?
Determining how much of a product is needed. Its crucial for supply chain planning systems
what is a push-based model?
In this model, supply, production etc are driven by demand forecasts. The products are pushed to customers
What is a pull-based model?
In this system, customer orders trigger events in a supply chain. This gives a more accurate view of what to produce when.
What is a concurrent supply chain?
Information flows to many parties simultaneously
What is a touch point?
This is an interaction method with customers.
What does a customer relationship model consist of?
- Sales force automation
- Customer service modules
- Marketing automation and tools
What is Sales force automation?
This helps sales staff to focus efforts on the most profitable customers. Also provides sales prospects.
What are customer service modules in a CRM?
These modules increase help and support efficiency.
What marketing tools are in a CRM?
These tools help attract customers more cost-efficiently and identifying and analyzing customers
What is cross-selling?
This is the marketing of complementary products
What are partner relationship management systems?
These are systems to enhance collaboration with selling partners, if products are not sold to customers directly.
What is employee relationship management?
These systems deal with employee issues related to CRM
What is the difference between operational and analytical CRM?
Operational CRM focuses on tools for sales force automation, call center support and marketing automation
Analytical CRM focuses on analyzing customer data generated by the operational CRM to improve business performance.
What is customer lifetime value?
This represents the relationship between revenue produced by a customer and the expenses incurred in service and acquiring, and the expected life of the relationship with this customer
What is the churn rate?
This number represents the number of customers who stop using/ purchasing products. This causes changes in customer base
What are the challenges of enterprise systems?
- Hard and expensive to implement. Delays and cost overruns are likely
- High switching costs
- SCM systems require information sharing of multiple firms and buseinss processes probably have to change
What is Social CRM?
This takes advantage of social network technologies and links social network data to own CRM.
