Session 2 & 3. ERP System Providers Customer Relationship Management Supply Chain Management Product Life Cycle.

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Presentation transcript:

Session 2 & 3

ERP System Providers Customer Relationship Management Supply Chain Management Product Life Cycle Management Business Intelligence Financial Management E-Commerce Project Management Sales & Logistics

C R M Customer Relationship Management (CRM) includes the methodologies, strategies, software, and web-based capabilities that help an enterprise organize and manage customer relationships. Companies utilize this approach to gain a better understanding of their customer's wants and needs.

Need for Good CRM Identify customer success factors Create a customer-based culture Adopt customer-based measures Develop an end-to-end process to serve customers Recommend what questions to ask to help a customer solve a problem Recommend what to tell a customer with a complaint about a purchase Track all aspects of selling to customers and prospects as well as customer support.

Supply Chain Management Supply chain management (SCM) is the combination of art and science that goes into improving the way your company finds the raw components it needs to make a product or service and deliver it to customers

SCM – Example of a Supply Network

SCM Enabled Fulfillment Logistics Production Costs Revenue & Profit Cooperation

Product Life Cycle Management The product lifecycle goes though many phases and involves many professional disciplines and requires many skills, tools and processes. Product life cycle management (PLC) is to do with the life of a product in the market with respect to business/commercial costs and sales measures; whereas Product Lifecycle Management (PLM) is more to do with managing descriptions and properties of a product through its development and useful life, mainly from a business/engineering point of view.

Stages of PLC New product development stage Market introduction stage Growth stage Mature stage Decline or Stability stage

Stage 1 & 2 New product development stage very expensive no sales revenue losses Market introduction stage cost high sales volume low no/little competition - competitive manufacturers watch for acceptance/segment growth losses

Growth Stage costs reduced due to economies of scale sales volume increases significantly profitability public awareness competition begins to increase with a few new players in establishing market prices to maximize market share

Mature Stage costs are very low as you are well established in market & no need for publicity. sales volume peaks increase in competitive offerings prices tend to drop due to the proliferation of competing products brand differentiation, feature diversification, as each player seeks to differentiate from competition with "how much product" is offered very profitable

Decline or Stability stage costs become counter-optimal sales volume decline or stabilize prices, profitability diminish profit becomes more a challenge of production/distribution efficiency than increased sales

Business Intelligence A broad category of applications and technologies for gathering, providing access to, and analyzing data for the purpose of helping enterprise users make better business decisions. The term implies having a comprehensive knowledge of all of the factors that affect your business. It is imperative that you have an in depth knowledge about factors such as your customers, competitors, business partners, economic environment, and internal operations to make effective and good quality business decisions.

Business Intelligence The position of your firm as in comparison to its competitors Changes in customer behaviour and spending patterns The capabilities of your firm Market conditions, future trends, demographic and economic information The social, regulatory, and political environment What the other firms in the market are doing

Factors Influencing Business Intelligence Customers Competitors Business Partners Economic Environment Internal Operations

BI Technical Issues Security and specified user access to the warehouse Data volume (capacity) How long data will be stored for (data retention) Benchmark and performance targets

Financial Management The management and recording of the flow of money. Planning the future use of money Ensuring that the money is well spent and not misused Is essential to building financial sustainability

Flow of Money

Future use of Money in an Organization

Flow of FM

E- Commerce Electronic commerce, EC, e-commerce or ecommerce consists primarily of the distributing, buying, selling, marketing, and servicing of products or services over electronic systems such as the Internet and other computer networks. The information technology industry might see it as an electronic business application aimed at commercial transactions.

Functions of E-Commerce It can involve electronic funds transfer, supply chain management, e-marketing, online marketing, online transaction processing, electronic data interchange (EDI), automated inventory management systems, and automated data collection systems. It typically uses electronic communications technology such as the Internet, extranets, e- mail, e-books, databases, and mobile phones.

Financial Users of E- Commerce iBill Moneybookers PayPal WebMoney Yahoo! Rediff.com Amazon.com

Project Management Project management is the discipline of defining and achieving finite objectives. The challenge of project management is the optimized integration and allocation of the inputs needed to meet those pre- defined objectives. The project, therefore, is a carefully selected set of activities chosen to use resources (time, money, people, materials, energy, space, provisions, communication, quality, risk, etc.) to meet the pre-defined objectives.

Project Management Activities Planning the work or objectives Analysis & Design of objectives Assessing and mitigating risk Estimating resources Allocation of resources Organizing the work Acquiring human and material resources Assigning tasks Directing activities Controlling project execution Tracking and Reporting progress Analyzing the results based on the facts achieved