Week Four Flashcards
1.What is the main function of an Enterprise Resource Planning (ERP) system?
An ERP system serves as a central database that integrates and streamline various business processes across departments, allowing for standardized data access and improved efficiency in operations.
2.What is a key feature of supply chain management (SCM) systems?
SCM systems are designed to execute supply chain transactions, manage supplier relationships, and control business processes related to the supply chain, ensuring efficient product flow.
3.What are the characteristics of a push-based supply chain model?
In a push-based model, production schedules are created based on forecasts of product demand, resulting in products being manufactured and pushed to the market regardless of actual customer demand.
4.How does a pull-based supply chain model operate?
A pull-based model operates by triggering supply chain events based on actual customer orders, allowing for more immediate adjustments to production and inventory levels in response to real-time demand.
5.What distinguishes upstream from downstream supply chains?
Upstream supply chains focus on the sourcing of materials and components (e.g., suppliers), while downstream supply chains deal with the distribution of finished products to customers (e.g., retailers).
6.What is Just in Time (JIT) inventory?
JIT inventory is a strategy where materials and products are ordered and received only as they are needed in the production process, minimizing inventory costs and increasing efficiency.
7.What is the purpose of Operational CRM?
Operational CRM focuses on customer-facing applications, such as sales force automation and customer service, to improve interactions with customers and enhance overall customer satisfaction.
8.What is the primary function of Analytical CRM?
Analytical CRM involves analyzing customer data to gain insights for better decision-making, allowing businesses to tailor their marketing strategies, improve customer service, and enhance customer experiences.
9.What does Customer Loyalty Management entail?
Customer Loyalty Management involves strategies and practices aimed at retaining customers by fostering long-term relationships, ultimately increasing Customer Lifetime Value (CLV) through repeat business and referrals.
10.What is Customer Lifetime Value (CLV)?
Customer Lifetime Value is a metric that estimates the total revenue a business can expect from a single customer account throughout the business relationship, guiding investment in customer acquisition and retention strategies.
11.Which companies are highlighted as leading ERP providers?
Oracle and SAP are highlighted as leading ERP providers
12.What is the primary business value of CRM and ERP systems?
CRM and ERP systems enhance customer satisfaction and operational efficiency.
13.What are some challenges associated with enterprise applications?
Challenges include high costs, technology changes, business process changes, organizational learning, vendor dependence, and data management issues.
14.What is the bullwhip effect in supply chain management?
The bullwhip effect refers to variability in demand leading to inefficiencies in the supply chain.
15.What is the difference between push-based and pull-based supply chain models?
Push-based models are build-to-stock, while pull-based models are demand-driven.
16.What does the churn rate indicate?
The churn rate indicates the number of customers who stop using a company’s products or services, reflecting the firm’s customer base growth or decline.
17.What are next-generation enterprise applications known for?
Next-generation enterprise applications are known for enhanced flexibility, web-enabled features, and integration capabilities, including cloud-based and mobile platform functionalities.
18.How do CRM systems benefit a business?
CRM systems capture, integrate, and analyze customer data, enhancing customer satisfaction and sales revenue.
