Exam Revision Flashcards
What is Data?
Raw facts that describe the characteristics of an object
What is CRM? Example?
Customer Relationship Management involves managing all aspects of a customers relationship with an organisation to increase loyalty, retention and organisations profitability
Reward Card Programs (Rewards customers but allow business to track consumer behaviour)
What are the capabilities of a CRM system?
24/7 (For Web Based) Individualised Service Speeds up problem resolution Improved Integration Improved Planning
What are some examples of CRM?
Reward Card Programs (Flybuys)
Phone support automation (Pre recorded messages)
Automated emails or instant messages (Like for when items are left in cart)
Geolocation services (Bandsintown concert notifications)
What is the Bullwhip effect?
Occurs when distorted product demand information ripples from one partner to the next throughout the supply chain
(Farmer has hiccup and charges more for crop. Refinery then has higher prices. Therefore food cost more for us. Meanwhile farmer prices back to normal)
What is Porter’s 5 Forces used for?
What are they?
To analyse the level of competitive forces in an industry
Buyer Power Threat of Substitutes Bargaining Power of Suppliers Threat of New Entrants Rivalry from Existing Competitors
What can you do to manage risks in IT?
PEOPLE: Authentication and Authorization
DATA: Backups and Encryption
SYSTEMS: Intrusion Detection and Antivirus
What are Ethics for Business Technology?
Things that govern the ethical and moral issues arising from the DEVELOPMENT and USE of IT
As well as the creation, collection, duplication, distribution and processing of information.
What are some of the issues of IT ethics?
DEPENDANCE ON INFORMATION INCREASES
Bank has credit rating of you, turns you into statistic.
INFORMATION ABOUT YOU INCREASES
Risk of abuse and Theft
MORE DIGITAL DEVICES
Privacy VS convenience and easy access
What is Supply Chain analysis/management?
Supply an example
Analysing and Managing the chain of supply in order to simplify, decrease costs and speed up the process of supply.
Online websites can connect Manufacturers and buyers to cut out the middle men in the supply chain.
What are some threats to IT security?
Human Error Espionage Sabotage Software Attacks Natural Forces Hardware failure Outdated Hardware/Software
What are the 3 frameworks for a competitive advantage?
SCM: Supply Chain Management
CRM: Customer Relations Management
ERP: Enterprise Resource Planning
What is a Business Strategy?
A leadership plan that achieves a specific set of goals
Why are competitive advantages short lasting?
Because other firms will always copy what is successful, what was once an advantage will soon become common.
What is the first mover advantage?
What is the risk associated?
Provide Examples
When a firm gains a large competitive advantage by being the first add value to their product in a specific way.
These firms will always be accompanied by fast followers, which will see the successful strategy and copy it.
Nintendo was highly successful, and quickly followed and drowned out by playstation and Xbox.
What is a CSF?
Critical Success Factor. Crucial steps that companies perform to achieve their goals and objectives and implement their strategies
EG.
Selling 10,000 Units
Support call 100 customers
What are the 3 problems that interfere with Decision Making?
- Needing to analyse large amounts of info
- Information not being delivered in a timely manner (Timeliness)
- Sophisticated Modeling and Forecasting is difficult (Such as Porters 5 Forces)
What is a KPI?
Key Performance Indicator
A quantifiable metric that a company uses to evaluate progress towards CSFs
What are the 3 different levels of Decision Making?
OPERATIONAL
Short term Structured Decisions (KPI Focus)
Made by employees during operations
MANAGERIAL
Medium term Semi Structured decisions (KPI and CSF)
Made by Employees to identify, adapt to and leverage change
STRATEGIC
Unstructured decisions with focus on (CSF)
CEO, overall strategies, goals and objectives
What is Information?
Data converted into a meaningful and useful context
What is knowledge?
The skills, experience and expertise, coupled with information and intelligence that creates a person’s intellectual resources
Why and When would you use a spreadsheet?
To store, present, and edit data are relevant to the business.
Helps view current business performance, useful for future plans and decisions.
What is the SDLC?
Systems Development Life Cycle
The overall process for developing information systems
What are the SDLC’s basic stages?
1-PLANNING: Determining possibilities
2-ANALYSIS: Analysing requirements
3-DESIGNING: Describing desired features
4-DEVELOPMENT: Turning design into system
5-TESTING: Finding errors and bugs
6-IMPLEMENTATION: Placing into Production
7-MAINTENANCE: Performing changes, corrections, upgrads
What is Buyer Power? (Porters 5 Forces)
The buyers influence on the price that they pay for an item.
HIGH when buyers have many sellers to choose from
LOW when their choices are few
What are some metrics for Supply Chain Management?
Backorder Reporting (Demand with ability to supply) Customer Promised Cycle Time Customer Actual Cycle Time Inventory Replenish Time Inventory Turnover (No. of Times Sold)
What are the 3 Generic Business Strategies?
BROAD COST LEADERSHIP
Costco or Hyundai, large market where price and cost sensitivity is key
BROAD DIFFERENTIATION
Mcdonalds or Audi Motorcars, where higher quality, speedy service and a well known brand are key
FOCUSED STRATEGY
Hummer or Lindt have more focused (Or narrow) markets, and can focus on either cost or product to differentiate themselves
What are the benefits of supply chain management?
Improved Visibility (ability to see all stages of the supply chain) Increased Profitability (Demand Planning)
One example each of:
- External KPI
- Internal KPI
EXTERNAL
Portion of market that the firm captures, number of customers, etc
INTERNAL
Return of investment, earning power of a project, business process or department.
What is ERP?
Enterprise Resource Planning
Single intergrated IT system for all departments and functions
Enables decisions to be made by viewing enterprise-wide information on all operations.
What is an example of an ERP?
SAP is an ERP application that organises information from several different business areas such as sales, materials and manufacturing.
Various Warehouse Management Systems
All SCM and CRM systems are part of ERP Systems
What is knowledge management?
Efficient handling and sharing information and resources within an organisation
EG: Using databases to connect and share fixes to common problems and issues
What is Threat of Substitutions? (Porters 5 Forces)
The threat of a substitute product or service replacing the function your business provides (Not necessarily the same type of product)
HIGH when many alternatives
LOW when few alternatives
EG. Uber replacing Taxis
Planes replacing Trains
What is the Bargaining Power of Suppliers? (Porters 5 Forces)
The suppliers ability to influence the prices they charge
HIGH when they produce specialty materials
LOW when there are many companies producing same resource
What is the Threat of New Entrants? (Porters 5 Forces)
The threat of new competitors entering your market and overtaking market share
HIGH when easy barrier to enter market
LOW when difficult barrier to enter market
What is Rivalry from Existing Competitors? (Porters 5 Forces)
The possibility for existing competitors to overtake your share of the market
HIGH when competition is fierce and innovation fast
LOW when competitors are complacent
Value Chain Analysis
Looking at the processes and activities that make up a business and the value they add to it.
There are 5 Primary Activities and 4 support activities.
5 Primary activities of Value Chain Analysis
INBOUND LOGISTICS (Storage of materials) OPERATIONS (Manufacturing of product) OUTBOUND LOGISTICS (Delivery of product) MARKETING and Sales SERVICE (Post Purchase Support)
4 Support activities of Value Chain Analysis
INFRASTRUCTURE (Departments, Environments, Systems)
HUMAN RESOURCE (Training and Hiring)
TECHNOLOGY (Research and Development)
PROCUREMENT (Of Resources)
What are the 5 characteristics that determine data quality?
ACCURACY (Not Incorrect)
CONSISTENCY (Recorded in same way/format)
TIMELINESS (Delivered Quickly)
UNIQUENESS (Stored in one place, and only once)
COMPLETENESS (Not lacking any parts)
A.C.T.U.C
What is a Business Process?
A standardized set of activities that accomplish a specific task
EG. Processing a customer’s order
Competitive Intellegence
process of gathering info about the competitive environment, including competitors, plans, and products to improve the ability to succeed
What are the 6 steps of decision making?
1 ) PROBLEM IDENTIFICATION (Define problem)
2) DATA COLLECTION (Gather problem related data)
3) SOLUTION GENERATION (Generate Alternatives)
4) SOLUTION TEST (Evaluate solutions)
5) SOLUTION SELECTION (Select best solution)
6) SOLUTION IMPLEMENTATION (Implement solution)
Why is are organisation departments interdependent?
Departments cannot operate in isolation; they require information from around the corporation to operate
What are the components of Supply Chain Management?
PLANNING (meeting demand) SOURCING (Relationships with Suppliers) MAKING (Manufacturing) DELIVERY (Efficient and Effective Logistics) RETURN (Customer Service)
P S M D R
