Name

No. Matric

Vashanntha A/P Murugiah

B061210117

Sanmugam A/L Marimuthu

B061210088

Priya A/P Selvaindran

B061210126

Tea Ann Wen

B061210140

Yew Woi Mei

B061210141
 Software

packages that support business
processes, information flows, and data
analytics across the organization
 Supply

Chain management
systems
 Customer relationship
management systems
 Knowledge management systems
 Software

that is designed for a
particular type of organization and
controls many aspect of its business
 IBM
 SAP
 Oracle Corporation
 Microsoft
Increase operational efficiency
o Help to make better decisions
o Help everyone does business in
the same way
o


Network of organizations and processes
for:
◦ Procuring raw materials
◦ Transforming them into products
◦ Distributing the products



Upstream supply chain:
◦ Firm’s suppliers, suppliers’ suppliers, processes for
managing relationships with them



Downstream supply chain:
◦ Organizations and processes responsible for delivering
products to customers
Figure 8-2
This figure illustrates the major entities in Nike’s supply chain and the flow of
information upstream and downstream to coordinate the activities involved in
buying, making, and moving a product. Shown here is a simplified supply chain,
with the upstream portion focusing only on the suppliers for sneakers and
sneaker soles.
Parts shortage
 Underutilized plant capacity
 Excessive finished goods
inventory
 high transportation costs




Waste up 25% of company’s
operating costs


Just-in-time strategy:
◦ Components arrive as they are needed
◦ Finished goods shipped after leaving assembly
line



Safety stock
◦ Buffer for lack of flexibility in supply chain



Bullwhip effect
◦ Information about product demand gets
distorted as it passes from one entity to next
across supply chain
Inaccurate information can cause minor fluctuations in
demand for a product to be amplified as one moves further
back in the supply chain. Minor fluctuations in retail sales for
a product can create excess inventory for distributors,
manufacturers, and suppliers.


Software to help business plan their
supply chains

Supply chain planning systems
• Model existing supply chain.
• Demand planning.
• Develop optimal sourcing and manufacturing plans.
• Establish inventory levels.
• Determining where to store finished goods
• Identify transportation modes.
•

Supply chain execution systems
• Manage flow of products through distribution centers and
warehouses.



Example: Warehouse Management
System(WMS)
Global supply chain
 interrelated organizations, resources, and
processes
 create and deliver products and services to
end customer.
 It is extended around the world.
Before Internet
Difficulties to make info flow

• Internal supply chain
– ERP (Enterprise resource planning)

• External supply chain
– Incompatible technology platform
Internet Technology

Intranet
- to improve coordination among internal supply
chain processes
Extranet
- to coordinate supply chain processes shared with
their business partners
Benefits
•
•
•
•

Instantly communication
Up-to-date info
Transportation
International finance
 Increase

sales and profits.
 Reduce dependence on their local and national
economies.
 Businesses expansion
 Diversified business and trading
 Lower supply chain costs
 Reduced cycle time
 Competitive advantage
 Enhance speed and efficiency
 Geopolitical

risk
 Climate change
 Increasing energy prices and volatility
caused by supply uncertainty
 Increasing dependence upon technology
 Reduction of buffer stock
 Concentration of risk through constant
drive to reduce cost and increase efficiency
 Additional

costs of offshore manufacturing
- Transportation
- Inventory
- The need for a larger buffer of safety stock
- Local taxes
- Fees
 Cultural difference
A demand driven supply chain
 transforming the traditional supply chain into an
integrated multi-tier supply network
 eliminating information latency and unnecessary
touchpoints
 reducing operating costs
 improving profitability and customer service.
Push-based model
- Build-to-stock
• Based on forecast
• Products are pushed to customers


Pull-based model
- Build-to-order
• Orders or purchases trigger events
» Transactions to produce and deliver only what
customers have ordered



Speed product time to market.



Use assets more effectively.



Reduced supply chain costs lead to increased
profitability.



Increase sales.



Streamline processes



More accurate information



Match supply to demand



Reduce inventory levels



Improve delivery service



Reduce cost
• Knowing the customer
• Customer relationship management (CRM)
systems
• Capture and integrate customer data from all
over the organization.
• Consolidate and analyze customer data.

• Distribute customer information to various
systems and customer touch points across
enterprise.
• Provide single enterprise view of customers.




Customer Relationship Management packages
range from niche tools to large-scale enterprise
applications.

More comprehensive have modules for:
 Partner relationship management
(PRM)
 Integrating lead generation, pricing,
promotions, order configurations, and
availability.
 Tools to assess partners’ performances.
 Employee relationship management (ERM)

E.g., setting objectives, employee
performance management, performancebased compensation, employee training.
 Customer

Relationship Management
packages typically include tools for:
Sales force automation (SFA)
E.g., sales prospect and contact information,
and sales quote generation capabilities.

Customer service
E.g., assigning and managing customer service
requests; Web-based self-service capabilities.
Marketing
E.g., capturing prospect and customer data,
scheduling and tracking direct-marketing
mailings or e-mail.


Operational CRM:
Customer-facing applications such as sales force
automation, call center and customer service support,
and marketing automation



Analytical CRM:
Analyzes customer data output from operational CRM
applications
Based on data warehouses populated by operational
CRM systems and customer touch points
Customer lifetime value (CLTV


Business benefits:

Increased customer satisfaction
Reduced direct-marketing costs
More effective marketing

Lower costs for customer acquisition/retention
Increased sales revenue


Churn rate:
Number of customers who stop using or
purchasing products or services from a company
Indicator of growth or decline of firm’s customer
base
Enterprise Applications: New Opportunities
and Challenges
Enterprise Application Challenges
• Highly expensive to purchase and implement enterprise
applications—total cost may be four to five times the price
of software
• Technology changes
• Business process changes
• Organizational changes
• Switching costs, dependence on software vendors
• Data standardization, management, cleansing
Extending Enterprise Software

• To bring greater value from enterprise
applications
• Enterprise solutions/suites: make
applications more flexible, Webenabled, integrated with other systems
• Service platform: integrates multiple
applications to deliver a seamless
experience for all parties
• Order-to-cash process
• Portal software
Order-to-Cash Service

Order-to-cash is a composite process that integrates data from individual
enterprise systems and legacy financial applications. The process must
be modeled and translated into a software system using application
integration tools.
Figure 8-12
Thank You

Achieving operational excellence and customer intimacy. enterprise applications

  • 1.
    Name No. Matric Vashanntha A/PMurugiah B061210117 Sanmugam A/L Marimuthu B061210088 Priya A/P Selvaindran B061210126 Tea Ann Wen B061210140 Yew Woi Mei B061210141
  • 2.
     Software packages thatsupport business processes, information flows, and data analytics across the organization
  • 3.
     Supply Chain management systems Customer relationship management systems  Knowledge management systems
  • 4.
     Software that isdesigned for a particular type of organization and controls many aspect of its business  IBM  SAP  Oracle Corporation  Microsoft
  • 5.
    Increase operational efficiency oHelp to make better decisions o Help everyone does business in the same way o
  • 6.
     Network of organizationsand processes for: ◦ Procuring raw materials ◦ Transforming them into products ◦ Distributing the products  Upstream supply chain: ◦ Firm’s suppliers, suppliers’ suppliers, processes for managing relationships with them  Downstream supply chain: ◦ Organizations and processes responsible for delivering products to customers
  • 7.
    Figure 8-2 This figureillustrates the major entities in Nike’s supply chain and the flow of information upstream and downstream to coordinate the activities involved in buying, making, and moving a product. Shown here is a simplified supply chain, with the upstream portion focusing only on the suppliers for sneakers and sneaker soles.
  • 8.
    Parts shortage  Underutilizedplant capacity  Excessive finished goods inventory  high transportation costs   Waste up 25% of company’s operating costs
  • 9.
     Just-in-time strategy: ◦ Componentsarrive as they are needed ◦ Finished goods shipped after leaving assembly line  Safety stock ◦ Buffer for lack of flexibility in supply chain  Bullwhip effect ◦ Information about product demand gets distorted as it passes from one entity to next across supply chain
  • 10.
    Inaccurate information cancause minor fluctuations in demand for a product to be amplified as one moves further back in the supply chain. Minor fluctuations in retail sales for a product can create excess inventory for distributors, manufacturers, and suppliers.
  • 11.
     Software to helpbusiness plan their supply chains Supply chain planning systems • Model existing supply chain. • Demand planning. • Develop optimal sourcing and manufacturing plans. • Establish inventory levels. • Determining where to store finished goods • Identify transportation modes.
  • 12.
    • Supply chain executionsystems • Manage flow of products through distribution centers and warehouses.  Example: Warehouse Management System(WMS)
  • 13.
    Global supply chain interrelated organizations, resources, and processes  create and deliver products and services to end customer.  It is extended around the world.
  • 14.
    Before Internet Difficulties tomake info flow • Internal supply chain – ERP (Enterprise resource planning) • External supply chain – Incompatible technology platform
  • 15.
    Internet Technology Intranet - toimprove coordination among internal supply chain processes Extranet - to coordinate supply chain processes shared with their business partners Benefits • • • • Instantly communication Up-to-date info Transportation International finance
  • 17.
     Increase sales andprofits.  Reduce dependence on their local and national economies.  Businesses expansion  Diversified business and trading  Lower supply chain costs  Reduced cycle time  Competitive advantage  Enhance speed and efficiency
  • 18.
     Geopolitical risk  Climatechange  Increasing energy prices and volatility caused by supply uncertainty  Increasing dependence upon technology  Reduction of buffer stock  Concentration of risk through constant drive to reduce cost and increase efficiency
  • 19.
     Additional costs ofoffshore manufacturing - Transportation - Inventory - The need for a larger buffer of safety stock - Local taxes - Fees  Cultural difference
  • 20.
    A demand drivensupply chain  transforming the traditional supply chain into an integrated multi-tier supply network  eliminating information latency and unnecessary touchpoints  reducing operating costs  improving profitability and customer service.
  • 22.
    Push-based model - Build-to-stock •Based on forecast • Products are pushed to customers  Pull-based model - Build-to-order • Orders or purchases trigger events » Transactions to produce and deliver only what customers have ordered 
  • 23.
     Speed product timeto market.  Use assets more effectively.  Reduced supply chain costs lead to increased profitability.  Increase sales.  Streamline processes  More accurate information  Match supply to demand  Reduce inventory levels  Improve delivery service  Reduce cost
  • 25.
    • Knowing thecustomer • Customer relationship management (CRM) systems • Capture and integrate customer data from all over the organization. • Consolidate and analyze customer data. • Distribute customer information to various systems and customer touch points across enterprise. • Provide single enterprise view of customers.
  • 27.
      Customer Relationship Managementpackages range from niche tools to large-scale enterprise applications. More comprehensive have modules for:  Partner relationship management (PRM)  Integrating lead generation, pricing, promotions, order configurations, and availability.  Tools to assess partners’ performances.
  • 28.
     Employee relationshipmanagement (ERM) E.g., setting objectives, employee performance management, performancebased compensation, employee training.
  • 29.
     Customer Relationship Management packagestypically include tools for: Sales force automation (SFA) E.g., sales prospect and contact information, and sales quote generation capabilities. Customer service E.g., assigning and managing customer service requests; Web-based self-service capabilities. Marketing E.g., capturing prospect and customer data, scheduling and tracking direct-marketing mailings or e-mail.
  • 33.
     Operational CRM: Customer-facing applicationssuch as sales force automation, call center and customer service support, and marketing automation  Analytical CRM: Analyzes customer data output from operational CRM applications Based on data warehouses populated by operational CRM systems and customer touch points Customer lifetime value (CLTV
  • 35.
     Business benefits: Increased customersatisfaction Reduced direct-marketing costs More effective marketing Lower costs for customer acquisition/retention Increased sales revenue  Churn rate: Number of customers who stop using or purchasing products or services from a company Indicator of growth or decline of firm’s customer base
  • 36.
    Enterprise Applications: NewOpportunities and Challenges Enterprise Application Challenges • Highly expensive to purchase and implement enterprise applications—total cost may be four to five times the price of software • Technology changes • Business process changes • Organizational changes • Switching costs, dependence on software vendors • Data standardization, management, cleansing
  • 37.
    Extending Enterprise Software •To bring greater value from enterprise applications • Enterprise solutions/suites: make applications more flexible, Webenabled, integrated with other systems • Service platform: integrates multiple applications to deliver a seamless experience for all parties • Order-to-cash process • Portal software
  • 38.
    Order-to-Cash Service Order-to-cash isa composite process that integrates data from individual enterprise systems and legacy financial applications. The process must be modeled and translated into a software system using application integration tools. Figure 8-12
  • 39.