1、11.1 2006 by Prentice Hall11Chapter 11.2 2006 by Prentice Hall Assess how enterprise systems provide value for businesses and describe how they work Assess how supply chain management systems provide value for businesses and describe how they work Assess how customer relationship management systems
2、provide value for businesses and describe how they work OBJECTIVES11.3 2006 by Prentice Hall Explain how enterprise applications can be used in platforms for new cross-functional services Identify the challenges posed by enterprise applications and management solutions OBJECTIVES (Continued)11.4 200
3、6 by Prentice Hall Challenge: develop a single view of corporate and private banking customers; overcome historic segmentation of customers by product and location Solutions: develop a customer relationship management system (CRM) and data warehouse to integrate customer data from diverse legacy sys
4、tems Enable a single view of corporate customers Illustrates the role of enterprise systems in developing a holistic view of customers and achieving higher customer loyalty and profitability11.5 2006 by Prentice HallENTERPRISE SYSTEMS Enterprise System Architecture Figure 11-111.6 2006 by Prentice H
5、allHow Enterprise Systems Work ENTERPRISE SYSTEMS Enterprise Resource Planning (ERP) systems Interdependent software modules with a common central database that support basic internal business processes for finance and accounting, human resources, manufacturing and production, and sales and marketin
6、g Enterprise Systems:11.7 2006 by Prentice HallENTERPRISE SYSTEMS Enables data to be used by multiple functions and business processes for precise organizational coordination and control. How Enterprise Systems Work (Continued)Enterprise Systems: (Continued)11.8 2006 by Prentice HallProcess Map for
7、Procuring New Equipment ENTERPRISE SYSTEMS Figure 11-211.9 2006 by Prentice Hall A more uniform organization More efficient operations and customer-driven business processes Firmwide information for improved decision making Business Value of Enterprise SystemsENTERPRISE SYSTEMS 11.10 2006 by Prentic
8、e HallSUPPLY CHAIN MANAGEMENT SYSTEMS Network of organizations and business processes for procuring raw materials, transforming into products, and distributing them to customers Materials, information, and payments flow through the supply chain in both directions.Supply chain:11.11 2006 by Prentice
9、HallSUPPLY CHAIN MANAGEMENT SYSTEMS Coordination of business processes to speed information, product, and fund flows up and down a supply chain to reduce time, redundant effort, and inventory costsSupply chain management: 11.12 2006 by Prentice HallA Supply Chain SUPPLY CHAIN MANAGEMENT SYSTEMS Figu
10、re 11-311.13 2006 by Prentice HallSUPPLY CHAIN MANAGEMENT SYSTEMS Plan: Balancing demand and supply to meet sourcing, production, and delivery requirements Source: Procurement of goods and services needed to create a product or service SCOR (Chain Operations Reference Model) identifies five major su
11、pply chain processes: 11.14 2006 by Prentice HallSUPPLY CHAIN MANAGEMENT SYSTEMS Make: Processes that transform a product into a finished state Deliver: Processes to manage order transportation and distribution Return: Processes associated with product returns and post delivery customer support Supp
12、ly Chain Processes (Continued)11.15 2006 by Prentice HallSUPPLY CHAIN MANAGEMENT SYSTEMS Planning and control of all factors that have an impact on the supply chain Logistics: 11.16 2006 by Prentice HallKey Supply Chain Management Processes SUPPLY CHAIN MANAGEMENT SYSTEMS Figure 11-411.17 2006 by Pr
13、entice HallSUPPLY CHAIN MANAGEMENT SYSTEMS Scheduling system for minimizing inventory by having components arrive exactly at the moment they are needed and finished goods shipped as soon as they leave the assembly line Just-in-time strategy : Information and Supply Chain Management Inaccurate or unt
14、imely information causes inefficiencies in supply chain, such as shortages, excessive inventory 11.18 2006 by Prentice HallSUPPLY CHAIN MANAGEMENT SYSTEMS Distortion of information about the demand for a product as it passes from one entity to the next across the supply chain Bullwhip effect: Inform
15、ation and Supply Chain Management (Continued)11.19 2006 by Prentice HallThe Bullwhip Effect SUPPLY CHAIN MANAGEMENT SYSTEMS Figure 11-511.20 2006 by Prentice HallSupply chain management systems: Automate flow of information between company and supply chain partners SUPPLY CHAIN MANAGEMENT SYSTEMS Su
16、pply chain planning systems: Generate demand forecasts for a product (demand planning) and help develop sourcing and manufacturing plans for that product11.21 2006 by Prentice HallSUPPLY CHAIN MANAGEMENT SYSTEMS Supply chain execution systems: Manage the flow of products through distribution centers
17、 and warehouses to ensure that products are delivered to the right locations in the most efficient manner Supply Chain Management Applications (Continued)11.22 2006 by Prentice HallSUPPLY CHAIN MANAGEMENT SYSTEMS Metrics for measuring supply chain performance: Fill rate (the ability to fill orders b
18、y the due date) Average time from order to delivery The number of days of supply in inventory Forecast accuracy The cycle time for sourcing and making a product11.23 2006 by Prentice HallIntranets and Extranets for Supply Chain Management SUPPLY CHAIN MANAGEMENT SYSTEMS Figure 11-611.24 2006 by Pren
19、tice HallSUPPLY CHAIN MANAGEMENT SYSTEMS Provide standard set of tools Facilitate global supply chains Reduce costs Enable efficient customer response Allow concurrent supply chains 11.25 2006 by Prentice HallSUPPLY CHAIN MANAGEMENT SYSTEMS Push-based model: Production master schedules based on fore
20、casts of demand for products, and products are “pushed” to customersPull-based model: Supply chain driven by actual customer orders or purchases 11.26 2006 by Prentice HallPush- versus Pull-Based Supply Chain Models SUPPLY CHAIN MANAGEMENT SYSTEMS Figure 11-711.27 2006 by Prentice HallThe Future Int
21、ernet-Driven Supply Chain SUPPLY CHAIN MANAGEMENT SYSTEMS Figure 11-811.28 2006 by Prentice HallSUPPLY CHAIN MANAGEMENT SYSTEMS Business Value of Supply Chain Management Systems Improved customer service and responsiveness Cost reduction Cash utilization 11.29 2006 by Prentice HallCustomer Relations
22、hip Management (CRM): Business and technology discipline for managing customer relationships to optimize revenue, profitability, customer satisfaction, and customer retention CUSTOMER RELATIONSHIP MANAGEMENT SYSTEMS 11.30 2006 by Prentice HallPartner Relationship Management (PRM): Automation of the
23、firms relationships with its selling partners using customer data and analytical tools to improve coordination and customer sales CUSTOMER RELATIONSHIP MANAGEMENT SYSTEMS 11.31 2006 by Prentice HallCRM systems: Capture and integrate customer data from all over the organization Consolidate and analyz
24、e the data Distribute results to various systems and customer touch points across the enterprise CUSTOMER RELATIONSHIP MANAGEMENT SYSTEMS 11.32 2006 by Prentice HallTouch point: A method of interaction with a customer, such as telephone, e-mail, customer service desk, conventional mail, Web site, or
25、 retail store CUSTOMER RELATIONSHIP MANAGEMENT SYSTEMS 11.33 2006 by Prentice Hall Can range from niche tools to large-scale enterprise applications Can link to other major enterprise applications, such as supply chain management Can include modules for PRM and employee relationship management (ERM)
26、 CUSTOMER RELATIONSHIP MANAGEMENT SYSTEMS 11.34 2006 by Prentice Hallo Sales Force Automation (SFA) o Customer service o Marketing CUSTOMER RELATIONSHIP MANAGEMENT SYSTEMS Typically include capabilities for Customer Relationship Management (CRM) Software (Continued)11.35 2006 by Prentice HallFigure
27、11-9CRM Software Capabilities CUSTOMER RELATIONSHIP MANAGEMENT SYSTEMS 11.36 2006 by Prentice HallCustomer Loyalty Management Process Map Figure 11-10CUSTOMER RELATIONSHIP MANAGEMENT SYSTEMS 11.37 2006 by Prentice HallOperational CRM: Customer-facing applications, such as sales force automation, cal
28、l center and customer service support, and marketing automation Examples: Campaign management, e-marketing, account and contact management, lead management, telemarketing, teleselling, e-selling, field sales CUSTOMER RELATIONSHIP MANAGEMENT SYSTEMS 11.38 2006 by Prentice HallCUSTOMER RELATIONSHIP MA
29、NAGEMENT SYSTEMS Analytical CRM: Applications that analyze customer data generated by operational CRM applications to provide information for improving business performance Examples: Develop customer segmentation strategies and customer profiles; analyze customer or product profitability; identify t
30、rends in sales length cycle; analyze leads generated and conversion rates 11.39 2006 by Prentice HallCUSTOMER RELATIONSHIP MANAGEMENT SYSTEMS Analytical CRM Data Warehouse Figure 11-1111.40 2006 by Prentice Hall Increased customer satisfaction More effective marketing and reduced direct marketing co
31、sts Lower costs for customer acquisition and retention CUSTOMER RELATIONSHIP MANAGEMENT SYSTEMS 11.41 2006 by Prentice HallReduce churn rate: Increased revenue from identifying most profitable customers and segments for marketing, cross-selling, up-selling CUSTOMER RELATIONSHIP MANAGEMENT SYSTEMS Nu
32、mber of customers who stop using or purchasing products or services from a companyBusiness Value of Customer Relationship Management Systems (Continued)11.42 2006 by Prentice HallThe Importance of CRM Performance Measurement Metrics for CRM may include:CUSTOMER RELATIONSHIP MANAGEMENT SYSTEMS Succes
33、sful CRM implementations require that financial and operation goals, and metric for evaluation, are clearly defined at outset of project Cost per lead Cost per sale 11.43 2006 by Prentice HallCUSTOMER RELATIONSHIP MANAGEMENT SYSTEMS Number of repeat customers Reduction of churn Sales closing rate Cu
34、stomer Lifetime Value (CLTV): Difference between revenues and expenses minus the cost of promotional marketing used to retain an account11.44 2006 by Prentice HallService Platform: Integration of multiple applications from multiple business functions, business units, or business partners to deliver
35、a seamless experience for the customer, employee, manager, or business partner ENTERPRISE INTEGRATION TRENDS 11.45 2006 by Prentice HallBusiness Process Management: A methodology for dealing with the organizations need to change its business processes continually to remain competitive Portals: Frame
36、works for building composite services, integrating information form enterprise applications and in-house legacy systems ENTERPRISE INTEGRATION TRENDS 11.46 2006 by Prentice HallOrder-to-Cash Service ENTERPRISE INTEGRATION TRENDS Figure 11-1211.47 2006 by Prentice Hall Improvement of process coordina
37、tion and management decision making Reductions in inventory costs, order-to-delivery time, and more efficient customer response and higher product and customer profitability MANAGEMENT OPPORTUNITIES, CHALLENGES AND SOLUTIONSManagement Opportunities: 11.48 2006 by Prentice Hall High total cost of own
38、ership Organizational change requirements Realizing strategic value Management Challenges: MANAGEMENT OPPORTUNITIES, CHALLENGES AND SOLUTIONS11.49 2006 by Prentice Hall Look at business objectives first Attention to data and data management Senior management commitment and employee support Education and training Solution Guidelines: MANAGEMENT OPPORTUNITIES, CHALLENGES AND SOLUTIONS