Enterprise Application Flashcards
Supply Chain
Network of a business’s business processes for procuring raw materials, transforming these materials into intermediate and finished products, and distributing the finished products to customers
Links suppliers, manufacturing plants, distribution centers, retail outlets, and customers to supply goods and services from source through consumption
Materials, information, and payments flow through the supply chain in both directions.
Upstream: the company’s suppliers (tier 1 suppliers), the suppliers’ suppliers (tier 2 and tier 3 suppliers), and the processes for managing the relationship with them
Downstream: processes for distributing and delivering products to the final customers
Bullwhip effect (supply chain management)
information about the demand for a product gets distorted as it passes from one entity to the next across the supply chain
Minor fluctuations in demand for an item might cause all the other members to overstock inventory “just in case” ripple throughout the supply chain, magnifying what started out as a small change from planned orders and creating excess inventory, production, warehousing, and shipping costs, which can be an issue if the change in demand was just temporary
Supply Chain Planning System
enable the firm to model its existing supply chain, generate demand forecasts for products, and develop optimal sourcing and manufacturing plans
Allows for demand planning, identifies transportation modes, optimize manufacturing plans
help companies make better decisions, such as determining how much of a specific product to manufacture in a given time period; establishing inventory levels for raw materials, intermediate products, and finished goods; determining where to store finished goods; and identifying the transportation mode to use for product delivery
Supply Chain Execution System
manage the flow of products through distribution centers and warehouses to ensure that products are delivered to the right locations in the most efficient manner.
track the physical status of goods, the management of materials, warehouse and transportation operations, and financial information involving all parties
Example: Warehouse Management System (WMS), which tracks and controls the flow of finished goods from Haworth’s distribution centers to its customers
Global Supply Chain issues
When supply chains span multiple countries, it’s difficult to manage, but the Internet makes this easier
Demand-Driven Supply Chain (Push / Pull Based Model)
A shift from push based to pull based models because of an increased amount of available data
Push-Based model: production master schedules are based on forecasts or best guesses of demand for prod- ucts, and products are pushed to customers.
Pull-Based Model: also known as a demand- driven or build-to-order model, actual customer orders or purchases trigger events in the supply chain
See model
Customer Relationship Management (CRM) Systems
Capture and integrate customer data from all over the organization, distribute customer information to various systems and customer touch points across enterprise, provide a single enterprise view of customers
provide a single enterprise view of customers that is useful for improving both sales and customer service
provide data and analytical tools for answering questions such as these: What is the value of a particular customer to the firm over his or her lifetime? Who are our most loyal customers? Who are our most profitable customers? What do these profitable customers want to buy?
See loyalty map model
Operational Customer Relationship Management
Customer-facing applications such as sales force automation, call center and customer service support, and marketing automation
Collects data about interactions with a customer and provide them in real-time to support sales force or customer service
Analytical Customer Relationship Management
Analyze customer data output from operational CRM applications
Based on data warehouses populated by operational CRM systems and customer touch points
Analyze customer data (OLAP, data mining, etc.)
Data on the customer’s profile and attitude/behaviour is used to provide clustering of customers based on expected lifetime value to the firm and provide special service
Analytical CRM Data Warehouse
Analytical CRM uses a customer data warehouse or analytical platform and tools to analyze customer data collected from the firm’s customer touch points and from other sources
Data is captured from various channels and fed into a customer data warehouse, where OLAP, data mining, and other analysis tools help identify profitable customers, churn rates etc
See model
CRM Software Packages (3 modules most packages have)
Sales force automation (SFA): Sales prospect and contact information, and sales quote generation capabilities etc
Customer service: assigning and managing customer service requests, Web-based self-service capabilities etc
Marketing: capturing prospect and customer data, scheduling and tracking direct-marketing mailings or e-mail etc
