Sam Walton David Glass – CEO for twelve years, and took Wal-Mart from 16 billion to 165 billion. Was involved in the implementation of the Electronic Data Interchange, and the expansion of Wal-Mart (supercenters) into the supermarket segment. Lee Scott – still early to see exactly what is going to happen to Wal-Mart under Scott. Randy Mott – Advanced the EDI from 44 terabytes to 101 terabytes, allowing 104 weeks of sales information from the Wal-Mart stores. This lets suppliers see all of the information from buyers, the day before, by 4:00 AM .
What’s Happening?! Cisco and Ericsson have announced a new partnership to focus on selling to the telecom service companies. Comcast had dropped its bid to buy Disney. Nortel has fired its CEO. GM has produced its last Oldsmobile.
Tuesday, May 4 – Access orientation and interview BIS Market Research boss.
May 13 – Submit survey form at beginning of class.
May 18 – PC Lab to prepare Access database.
May 25 – Project is due.
Database project team assignments are on the next two slides.
Liao, Jimmy Wooley, Stacey Query, Mike Winicki, Elliott Nerenberg, Lewis Wells-Garcia, Guisselle Lee, Wayne Vu, Quan Perez, Johathan Moreno, Hannah Cooper, Charles Moon, Christopher Stallons, Chad Meneely, Claire Freebairn, Sean Magallanes, Piper Isabel, Thanya Legeny, Stephan Leow, Christopher Kwok, Ka Marangone, Fred Espino, Maniya Belliss, Jonathan Ditmars, Ivan Lin, Emerson Diep, David Pease, Eric Chiu, Chester Kelly, Maitland Allessio, Benjamin
Stallons, Chad Meneely, Claire Query, Mike Winicki, Elliott Perez, Johathan Moreno, Hannah Pease, Eric Chiu, Chester Nerenberg, Lewis Wells-Garcia, Guisselle Marangone, Fred Espino, Maniya Lin, Emerson Diep, David Liao, Jimmy Wooley, Stacey Leow, Christopher Kwok, Ka Lee, Wayne Vu, Quan Kelly, Maitland Allessio, Benjamin Isabel, Thanya Legeny, Stephan Freebairn, Sean Magallanes, Piper Cooper, Charles Moon, Christopher Belliss, Jonathan Ditmars, Ivan
Database Project BIS Market Research has been hired by a Venture Capital firm to do an analysis to determine the better business model for a company to pursue to be successful selling to consumers using the Internet. Some of the people who have been money sources for the VC are very upset that they have lost a significant amount of money on dot.com companies that have gone bankrupt. The VC wants data to support their contention that there are valid business models that can be successful selling products to consumers over the Internet. The focus of this analysis should be on consumers and not business to business.
Database Project It would make sense to break the analysis into four consumer groups: 1) teens, 2) young adults, 3) mid-range adults and 4) seniors. This assignment will concentrate on the young adult category. The final results of this project will provide a statistical profile of factors that support a better business model for a company to be successful selling to consumers using the Internet and a list of survey respondents that will be contacted to be part of a focus group based on the fact that they have a high potential to buy things using the Internet.
What is e-Business? Electronic business not only deals with buying and selling online but also encompasses the entire online processes of developing, marketing, selling, delivering, servicing, and caring for products and services transacted on inter-networked, global market place of customers.
E-Commerce Versus E-Business E-Commerce is the front end of a web-based approach. E-Business is positioning the entire organization to function in the most effective way possible in support of an E-Commerce approach.
It is easier than ever for customers to comparison
shop and with a click of the mouse to switch
For this reason, customer relationships have become
a company’s most valued asset.
Every company strategy should address how to find
and retain the most profitable customers possible.
It is significantly cheaper to retain existing customers than to gain new ones.
Internet Communities Considered an important dimension in pursuing B2C opportunities via the Internet. “ Has there ever been an Internet buzzword that has been more abused or confused than community?”
Success in e-Business Selection & Value Performance & Service Look & Feel Advertising & Incentives Personal Attention Community Relationships Security & Reliability Some Key Factors for Success in B2C
The Future B2C, e-tailing, e-commerce, online retailing, online merchandising—whatever it is called—is here to stay. Yet, it’s got a ways to go until it hits the maturity curve. The latest trends to watch are online customer service, permission-based e-mail marketing and affiliate networks.
Chapter 6 Section I – Customer Relationship Management: The Business Focus Section II – Enterprise Resource Planning: The Business Backbone Section III – Supply Chain Management: The Business Network
What is e-Business? E-Business not only deals with buying and selling online but also encompasses the entire online business processes of planning, developing, marketing, selling, delivering, servicing, and caring for products and services transacted on inter- Networked systems for a national and in many cases a global market place of customers.
Why do company use computers for their accounting systems? Repetitive Clearly defined procedures Must do it! Frequently meets all three of the common criteria: volumes, complexity and timing. Accounting is a combination of multiple sub-systems
Basic IS Premise: BICARSA Customer Purchase Order Order Processing System System Database Accounts Receivable System Inventory Control Systems Sales Analysis
Inventory carrying costs: Cost of money tied up in the manufactured or purchased inventory item. Direct inventory costs: warehouse, logistical equipment, utilities, employees, security, physical inventory and record keeping. Other inventory costs: obsolescence, damage, theft, lost, etc.
Inventory Control Criteria 1. What balance is desired between inventory investment and customer service? 2. What balance is desired between inventory investment and costs associated with changes in the production line? 3. What balance is desired between inventory investment and the cost of placing inventory replenishment orders? 4. What balance is desired between inventory investment and transportation costs?
Quality and Efficiency through integration of business processes.
Decreased Costs in both business and IT operations.
Decision Support based on more complete and timely information.
Enterprise Agility through more flexible organizational structures, managerial responsibilities and work roles.
Colgate-Palmolive Implemented SAP to access more timely and accurate data, get the most out of working capital and reduce manufacturing costs. It needed the ability to coordinate globally and act locally. Expanded to all divisions worldwide during 2001.
Colgate-Palmolive Before After Acquire an order 1-5 days 4 hours Process an order 1-2 days Distribution planning and picking up to 4 days 14 hours On-time deliveries 91.5% 97.5% Order to delivery time -50% Total delivery cost per case -10% Domestic inventories -1/3 Working capital (% of sales) 11.3% 6.3%
“ ERP implementations are a fundamental transformation of a company’s business processes.”
“ People, processes, policies and the company’s culture are all factors that should be taken into consideration when implementing such a system.”
A consultant’s perspective: Ninety-nine percent of such rollout fiascoes are caused by management’s inability to spec out their own requirements and the implementer’s inability to implement those specs.
SCM theory contends that technologically driven improvements in inventory management especially through “just-in-time” production, direct online sales and supply chain management will result in increased efficiency and tailored output to match demand.
Because of these benefits a company will gain increased working capital, boost profit margins and level business cycles.