Contoso is facing threats from lower-cost online retailers and needs to address declining consumer spending on luxury goods. The recommended strategy is for Contoso to partner with online retailers to expand its sales channels, consolidate stores to reduce costs, and differentiate its products. Microsoft Dynamics CRM and AX cloud solutions can help by providing better insights, inventory management, and a multi-channel approach. This will increase productivity, reduce inventory holding times, and accelerate cash flow. The cloud deployment will also lower costs and risks for Contoso compared to an on-premise solution.
Be Like Bezos - Enterprises Must Invest in Marketing Technology or Risk Extin...Revel Partners
Investing in data and marketing technology is necessary to survive.
Activating data is key to avoid being left behind by Amazon and the other walled garden platforms.
Amazon's Trojan Horse platform for owning end-to-end customer experiences is actively deployed.
What is your technology strategy?
Be Like Bezos - Enterprises Must Invest in Marketing Technology or Risk Extin...Revel Partners
Investing in data and marketing technology is necessary to survive.
Activating data is key to avoid being left behind by Amazon and the other walled garden platforms.
Amazon's Trojan Horse platform for owning end-to-end customer experiences is actively deployed.
What is your technology strategy?
Digital has profoundly changed how B2B businesses need to interact with their customers. B2B customers are already embracing digital to make more informed purchase and post-purchase decisions. B2B companies need to understand how to use digital to be where (and when) their customers are. Latest McKinsey insights on B2B: http://mckinseyonmarketingandsales.com/topics/b-to-b
Remodista RetailSource Paper - Sophisticated CRM StrategiesRemodista
Customer relationship management—the name should speak for itself. Right? Well, companies all too often take this critical piece in the retail puzzle for granted, equating it to the technical components that support it and reducing it to a database of point-of-sale information. However, CRM is no longer just a back-office repository for client information; it’s assuming its place at the very center of the sales picture as consumer expectations evolve. It’s the key to a comprehensive strategy of brand engagement, with the customer at its core.
Its easy to assume that CRM is something that all businesses understand. Well they don't. If you are focusing on your business and are unsure about how CRM can help your enterprise grow, then this resource is perfect for you.
This is an e-book published by one of our vendors and shared here for your enjoyment
As part of our mission to help companies make the best software selection decisions. The goal was to answer some of the critical questions that companies should ask themselves before embarking on this business task.
Field Force Mobility - Changing How Consumer Goods Companies Work, Sell and C...StayinFront
Under pressure to achieve more with less and increase productivity, organizations are turning to mobile technology to optimize field force activity and maximize in-store selling opportunities. This paper discusses the value and benefits of adopting a field mobility system.
Hilarie Koplow-McAdams, President Commercial SMB Unit for Salesforce, and Michael Lazerow, CMO of Marketing Cloud for Salesforce, made this presentation at the McKinsey Chief Marketing & Sales Officer Forum event in 2012.
According to Gartner, Big Data will be the next “disruptive technology” and will transform customer relationship management industry.The possibilities that Big Data offers are endless but companies first need to invest in CRM software
B2B Commerce And Revenue Model PowerPoint Presentation SlidesSlideTeam
Showcase types of eCommerce models with our easy-to-use B2B Commerce and Revenue Model PowerPoint Presentation Slides. The business to business electronic commerce presentation deck offers a professional look for your corporate powerpoint slideshows. This e-commerce business strategy PowerPoint complete deck includes pre-made PPT slides such as drop shipping business model, wholesaling and warehousing, white labelling, e-shops business model, e-malls, e-procurement food delivery example, subscription-based, type of revenue model, sharing economy revenue model, hook & bait, freemium, advertising revenue model transaction fee and many more. Furthermore, all PowerPoint templates are fully editable, customize them to fit in your project needs. Analyze online revenue models for internet businesses using b2b models in e-commerce PowerPoint templates. This PowerPoint presentation is a visual masterpiece with data-driven graphs, charts and tables, icons images and more. Download the high-quality online business management framework presentation design to communicate your business ideas with professionalism and impact. Give them assurance with our B2B Commerce And Revenue Model PowerPoint Presentation Slides. They will definitely believe they can do it.
Digital has profoundly changed how B2B businesses need to interact with their customers. B2B customers are already embracing digital to make more informed purchase and post-purchase decisions. B2B companies need to understand how to use digital to be where (and when) their customers are. Latest McKinsey insights on B2B: http://mckinseyonmarketingandsales.com/topics/b-to-b
Remodista RetailSource Paper - Sophisticated CRM StrategiesRemodista
Customer relationship management—the name should speak for itself. Right? Well, companies all too often take this critical piece in the retail puzzle for granted, equating it to the technical components that support it and reducing it to a database of point-of-sale information. However, CRM is no longer just a back-office repository for client information; it’s assuming its place at the very center of the sales picture as consumer expectations evolve. It’s the key to a comprehensive strategy of brand engagement, with the customer at its core.
Its easy to assume that CRM is something that all businesses understand. Well they don't. If you are focusing on your business and are unsure about how CRM can help your enterprise grow, then this resource is perfect for you.
This is an e-book published by one of our vendors and shared here for your enjoyment
As part of our mission to help companies make the best software selection decisions. The goal was to answer some of the critical questions that companies should ask themselves before embarking on this business task.
Field Force Mobility - Changing How Consumer Goods Companies Work, Sell and C...StayinFront
Under pressure to achieve more with less and increase productivity, organizations are turning to mobile technology to optimize field force activity and maximize in-store selling opportunities. This paper discusses the value and benefits of adopting a field mobility system.
Hilarie Koplow-McAdams, President Commercial SMB Unit for Salesforce, and Michael Lazerow, CMO of Marketing Cloud for Salesforce, made this presentation at the McKinsey Chief Marketing & Sales Officer Forum event in 2012.
According to Gartner, Big Data will be the next “disruptive technology” and will transform customer relationship management industry.The possibilities that Big Data offers are endless but companies first need to invest in CRM software
B2B Commerce And Revenue Model PowerPoint Presentation SlidesSlideTeam
Showcase types of eCommerce models with our easy-to-use B2B Commerce and Revenue Model PowerPoint Presentation Slides. The business to business electronic commerce presentation deck offers a professional look for your corporate powerpoint slideshows. This e-commerce business strategy PowerPoint complete deck includes pre-made PPT slides such as drop shipping business model, wholesaling and warehousing, white labelling, e-shops business model, e-malls, e-procurement food delivery example, subscription-based, type of revenue model, sharing economy revenue model, hook & bait, freemium, advertising revenue model transaction fee and many more. Furthermore, all PowerPoint templates are fully editable, customize them to fit in your project needs. Analyze online revenue models for internet businesses using b2b models in e-commerce PowerPoint templates. This PowerPoint presentation is a visual masterpiece with data-driven graphs, charts and tables, icons images and more. Download the high-quality online business management framework presentation design to communicate your business ideas with professionalism and impact. Give them assurance with our B2B Commerce And Revenue Model PowerPoint Presentation Slides. They will definitely believe they can do it.
CAMBRIDGE AS HISTORY: HITLER'S SUCCESS AFTER 1933 - GERMANY'S ECONOMIC RECOVERYGeorge Dumitrache
CAMBRIDGE AS HISTORY: HITLER'S SUCCESS AFTER 1933 - GERMANY'S ECONOMIC RECOVERY. Contains: dealing with the unemployment, tackling economic crisis, John Kenneth Galbraith, Hitler's economic policy, addressing the nation.
ClickZ has launched an innovative new series of buyers guides, created with the aim of cutting through the complexity of the technology landscape to help our community of readers make better decisions about vendors. The first of this series is dedicated to bid management platforms, which help brands maximize the returns on their PPC, social media, and display advertising budgets.
The role of a bid management platform has changed significantly over the past decade, in line with the increased sophistication of the digital media industry. With over $90 billion spent on paid search in 2017, these software packages play a vital role in deriving maximum value from a brand’s digital media budget.
The core component of the ClickZ bid management vendor guide is our customer survey, which received over 1,600 responses.
A new era for retail
https://www.accenture.com/hu-en/~/media/Accenture/Conversion-Assets/DotCom/Documents/Global/PDF/Technology_4/Accenture-A-New-Era-For-Retail.pdf
Digitization affects almost everything in today's organizations, which makes capturing its benefits uniquely complex. However
1. Getting the engine in place to digitize at scale is uniquely complex as digital touches so many parts of an organization requiring unprecedented coordination of
People,
Processes, and
Technologies.
2. A strategy to increase revenue which generates the most value requires
A clear vision and plan for how to capture that value, and
Technologies and tools to digitize interactions with customers.
New capabilities and teams to manage and coordinate the delivery of those journeys across the organization.
3. With the average corporate life span falling for more than half a century(Standard & Poor’s data show it was 61 years in 1958, 25 years in 1980, and just 18 years in 2011) digitization is placing unprecedented pressure on organizations to evolve. That means digitally driven business model is crucial to survival.
As retailers grow managing data across their application landscape becomes central. Business users and Information Technology (IT) leaders want to choose Data Management Solutions which provide insights to them and provide relevant information to their customers along their purchasing lifecycle. Accommodating scale, speed and different data types requires Data Management Solutions to evolve.
To succeed companies should extend their visions of the customer journey beyond the front-end experience and take a deep dive through all major processes that touch the customer such as order-to-cash, availability-to-promise, plan-to-manufacture, overall supply-chain management as well as the underlying technology architecture.
Today’s customers aren’t interested in just buying products or services. They buy experiences. The best companies build communities to create relationships with customers that extend long after their initial purchase.
Many businesses consider their telecom system a utility—an asset base that is just there and hardly worth thinking about. Yet that very nonchalance is a symptom of just how essential communications systems are. Ask most organizations what they would do without phone and Internet access, and the answer would likely be that their business would come to a screeching halt. The communications portfolio has become that important to businesses today—and, ironically, all too often taken for granted.
Reduce Churn, Increase Revenue, and Scale Up with CPQDocmation
The CPQ platform will enable the business to reduce churn and increase revenue scale up with CPQ
https://docmation.com/increase-revenue-and-scale-up-with-cpq/
It Takes an Ecosystem: How Technology Companies Deliver Exceptional ExperiencesCognizant
Experience is evolving into a strategy that reaches across technology companies. We offer guidance on the rise of experience and its role in business modernization, with details on how orgnizations can build the ecosystem to support it.
IBM Comprehensive Business-to-Partner IntegrationLightwell
Today’s environment demands flexible, well-designed partner and systems integration solutions that can help leverage existing investments, respond more easily to change, cut costs as they improve performance, and enable companies to capitalize on opportunities ahead of their competitors. Discover the benefits of IBM's Comprehensive Business-to-Partner Integration: A Tool for Revenue Growth.
Presenting the second paper in the series 'Multi-channel Customer Management' that delves deep into the design, deployment, coordination, and evaluation of customer interaction channels enterprises can and should leverage.
Similar to Contoso Final Assignment Strategy & Finacial acumen Duco Boomsma (20)
Contoso Final Assignment Strategy & Finacial acumen Duco Boomsma
1. Final Integrative Assignment
Welcome to the culminating exercise for the course. In this assignment, you will be asked to draw upon your
understanding of both business strategy & financial acumen in order to consider how you can best help your
customer.
Question 1:
Considering all the opportunities and threats coming from customers, suppliers, competitors,
substitutes and new entries, what is the single most important opportunity or threat your customer
has to address?
In your answer please provide 4-5 justification statements for why this opportunity or threat is most
critical for your customer’s goals.
A current threat for Contoso is the consumer spending is dropping for luxurious goods what is driven by
low-cost imports (global trade & manufacturing) and competition of and mass online merchandisers such
as Amazon, Wehkamp and Bol.com.
These new players in the market are expanded product offerings and integrated merchandising without
debts like real state and personnel costs, which are high at Beter Bed. This major chain expansion will take
over 100% company’s as Beter Bed. A recent example is one of their big competitors Macintosh Retail
Group how filed for bankruptcy.
1) Online merchandisers have lower operating costs, with lower selling costs, more online traffic what
generates more cross-sell opportunity’s and higher profit margin.
2) There are possibilities of multi-channel retailing (omni-channel) & leveraging internet capabilities
for Beter Bed by selling their products true these new players and only providing experience centers
to capture more value.
3) Due to their major manufacturing chain and their differentiation strategy they cannot compete
with these new players and the current environment is shifting giving the consumer more
purchasing power. Investments will be needed to make to retain their market share.
Question 2:
What strategy is your customer deploying to address that issue?
Address the role IT plays in your strategy analysis.
2. Two months ago the new CEO of Contoso approached me to address their changing environment and
leveraging ICT capabilities within their business process. There current strategy is to partner up with new
online entries, consolidate their A-locations and reinvent their Image. They offer true a differentiation
strategy what targets designs to improve the quality, customer satisfaction and safety of their products.
Two retail formulas focus on low-cost aftermarket matrasses but isn't their main focus.
By expanding their current value chain with online merchandisers partnerships allows them to retain
market share. Due to their current position as market leader they have a superior inhouse production chain,
R&D, trustworthy image and best sourcing price due to centrally buying of their materials. With this they
can capture more value. IT plays a big role and CRM gives them better insight, collaboration and overview
of these partnerships. It also provides multi-channel retailing (omni-channel approach) so they can keep up
with the competition.
In my analysis it showed that cash is tied up in the value chain for 98 days and that intangible operating
assets grew with 40% from last. With ERP a better productivity can be obtained and bigger ROI.
Question 3:
Can you recommend at least one or more Microsoft solutions or products that offer a comprehensive
approach to help IT execute on the strategy? Address how the use of cloud services can accelerate
deployment of applications in your response.
Contoso is rethinking their their current business model and consolidating local shops by closing some and
maximizing customer visits at others. As current market leader they need tools to leverage internet
capabilities with online merchandiser partnerships, better insight and productivity & multi-channel
approach to generate more cross/up- selling and revenue.
My analysis showed that cash is tied up in the value chain for 98 days and that intangible operating assets
grew with 40% from last year. Also their sales generated from operations dropped to 5,5 % from 6,25 % last
year which indicates that it is more difficult for Contoso to turn their products into profits.
1) Microsoft CRM gives better insight, collaboration and overview of these partnerships, allowing a
omni-channel approach and seamless integration with fieldserivce for recycling and after service
what complements their differentiation strategy.
2) Microsoft AX allows better inventory management system reduces inventory holding period and
utilization of operating costs. It will enhance productivity in the value chain and working capital
tied up value chain. By connecting their POS transactions in store to their e-commerce sites for
better inventory tracking but also with potential new partners. It generates more cash flow that
can be used, positive influence future cash flow and higher ROI.
The Microsoft cloud solution will help to faster deploy the CRM & ERP solution across the value chain and
channels. It also provides a pay-as-you go and less investment of Contoso.
Question 4:
Explain how your recommended solution affects your customer’s future ROI and cash flow.
You do not need to quantify the effects; rather, you should describe the key components of ROI that
are affected, and then explain how these effects link to cash flow. Once you’ve described the effect on
ROI and cash flow, explain the implications of these effects for NPV, IRR or payback (Please choose
only one decision tool that your customer prefers to answer this part of the question).
3. Using the cloud solution of Microsoft increases NOPAT, OFCF and revenue. Side-affect could be a longer
payment of sale true third-party retails online what effects OFCF.
By closing down several local stores the inventory can be reduced and with that COGS. Depreciation of real
state will affect selling & general admin expenses but increase in distribution costs and capital spending.
Because understanding solution is cloud based there is no big capital expense required. It also has a low-
risk of not succeeding what our solution will positive improve NPV.
With Microsoft Dynamics
1)closing and maximizing the number of top location stores will reduce real state (depreciation on
building/working capital) and wages costs (operating costs). Driving cost structure down and impacting
ROI.
2)Due to an extra sales channel more revenue will be generated and positively impact ROI which increases
overall productivity (Driver ROI) compared to other cost structures.
Question 5:
Can the application of cloud services increase the Microsoft value proposition to your customer even
more?
When implementing Microsoft Dynamics CRM, it takes a few months for the company to adopt. The
systems will get automatic push updates allowing the customer to spend less on IT personnel and on
premise equipment.
The deployment of the solution is quick to realize over the 1200 Contoso’s locations and no big investment
will be needed which affects capital expense. They also don't need to put it on their asset side of the
balance sheet (in comparison with on premise) which enhances their ROI.
The maintenance and security is provisioned by Microsoft letting the customer focus on their primary
business processes.
Question 6:
What other non-financial benefits would your recommended solution bring to your customer? e.g.
satisfy security requirements, perceived by end customer as tech savvy, etc.
4. The solution of Dynamics CRM with social engagement and FieldOne lets the organization operate more
customer centric which improves satisfaction. Contoso consolidates current stores, only letting one’s open
that are profitable. With this solution they can provide an experience in the stores and use their online
website for the bulk of their delivery.
Because the frequency of product replacement is 8 years the solution provides more engagement with the
customer and top of mind awareness. This by better insight in customer buying cycle and sentiment in the
market. During product delivery the solution provides better planning and pickup for recycling.
Question 7:
How will you differentiate your value proposition in your strategy analysis to the customer from any
potential similar offer from your competitors?
Microsoft is the only services provider how can offer a Hybrid application structure; with the application on
Azure cloud or on premise. It offers CRM/ERP and BI on the same infrastructure and together with
Office365 and Outlook it is a very powerful platform where the products enhance each other. This give a
freedom of choice.
It also offers a lease contract in the form of ESA what allows down and upscaling possibilities in its
infrastructure during a year period, giving the flexibility they need. In this way they can expense the
solution not having to capitalize on this. It also makes the adoption of the solution faster in a pay-as-you-go
model and shorter payback period.