Enterprise Systems - Q and A
Explain Business value of Customer Relationship Management (CRM) Systems.
Answer: CRM systems help organization to improve, optimize their production processes, service delivery processes which result in cost reduction in production, service delivery. CRM systems work based on well-calculated demand forecasts, this helps in maintaining relationships with customers, the most important assests of the organization. CRM systems help organization to have healthy relationships with their trading partners.
- Increased customer satisfaction
- Reduced direct-marketing costs
- More effective marketing
- Lower costs for customer acquistion and retention
- Customer Churn: is reduced by better responding by sales service, and marketing.
Explain value of supply chain management (CSM) systems.
Answer: Performance of organizations depends on how the internal and external supply chain processes are managed, streamlined. SCM systems help organizations to streamline all thier internal and external supply chain processes, provide management with accurate information about what to make, store and move. It helps to match supply to demand, improve delivery service, reduce inventory levels, speed produce time to market, use organizations resources more effectively.
Explain CRM.
What are the issues with global supply chain before the availability of Internet technologies?
Answer:
- Difficulties in smooth flow of information among internal and external supply chain systems for purchasing, managing materials, manufacturing and distribution.
- Sharing of information was also difficult.
- Incompatible technologies, platforms for communication, data sharing etc.
What are the global supply chain issues?
Answer:
- Time differences, greater geographic distances
- Variation in Performance standards among regions, nations
- Need to reflect foreign government policies
- Culture differences
Differentiate between Demand-Driven supply chain and Pull-based supply chain.
Answer:
| Demand-Driven | Pull-based |
|---|---|
| Build-to-Stock | Build-to-order |
| Best guests for demand for products is done | Actual customers orders or purchases trigger events in the SC. |
| Ramdon guess for production. | Only ordered products moved up in the supply chain from retailers to distributors to manufacturers and to suppliers. |
Answer: CRM provides data / information about customers to build and nurture strong relationships with customers. It helps to know who are the most profitable customers, their contact information, best way to contact to them, what products and services they purchase, how much money they are willing to spend.
In large business organizations, sales, services, and marketing are highly compartmentalized, these departments find difficulties in haring essential customer data. CRM systems helps to capture and integrate customer data from all over the compartmentalized departments, consolidate, analyze and distribute data/information to various systems and cutomer touch points across the organization. A touch point also known as contact point like telephone, email, customer service desk, conventional mail, social media is a method of interaction with customers. A well-designed CRM systems provide a single, consistent enterprise view of customers.
Sales force Automation: is a software module in CRM systems that helps salespersons to increase their productivity by focusing sales effort on the most valuable customers, customers who are good candidates for sales and services. Past purchases, contact information, product information are very necessary for salesperson to perform their works. Using these information they can perform cross-selling, up-selling also.
What are the four kinds of structural organizational changes?
Answer:
- Automation of business processes
- Rationalization of the business processes
- Business process redesign
- Paradigm Shift
Explain Business process managment (BPM).
Answer: BPM provides several tools and techniques to analyze existing processes, design new processes, and improve processes. Steps involved in BPM
- Identify process for change
- Analyze existing process
- Design new process
- Implement the new process
- Continuously measure the process