Chapter 9 : Achieving Operational Excellence and Customer Intimacy

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Chapter 9 : Achieving Operational Excellence and Customer Intimacy por Mind Map: Chapter 9 : Achieving Operational Excellence and Customer Intimacy

1. Customer Relationship Management (CRM)

1.1. – Knowing the customer – In large businesses, too many customers and too many ways customers interact with firm

1.2. CRM systems

1.2.1. Capture and integrate customer data from all over the organization

1.2.2. Consolidate and analyze customer data

1.2.3. Distribute customer information to various systems and customer touch points across enterprise

1.2.4. Provide single enterprise view of customers

1.3. Software

1.3.1. niche tools to large-scale enterprise applications

1.3.2. Modules

1.3.2.1. Partner relationship management (PRM)

1.3.2.1.1. Employee relationship management (ERM)

1.3.3. Tools

1.3.3.1. Sales force automation (SFA)

1.3.3.2. Customer service

1.3.3.3. Marketing

1.4. Operational

1.5. Analytical

1.6. Business value

1.6.1. Increased customer satisfaction

1.6.2. Reduced direct-marketing costs

1.6.3. More effective marketing

1.6.4. Lower costs for customer acquisition/retention

1.7. Churn Rate

1.7.1. Number of customers who stop using or purchasing products or services from a company

2. Enterprise Application Challenges

2.1. Highly expensive to purchase and implement enterprise applications

2.2. Technology changes

2.3. Business process changes

2.4. Switching costs, dependence on software vendors

3. Enterprise Resource Planning

3.1. Centralized database

3.2. Human Resources

3.2.1. *hours worked

3.2.1.1. *labor cost

3.2.1.1.1. *job skills

3.3. Manufacturing and Production

3.3.1. *materials

3.3.1.1. *product schedules

3.3.1.1.1. *shipment dates

3.4. Sales and Marketing

3.4.1. *orders

3.4.1.1. *sales forecast

3.4.1.1.1. *return requests

3.5. Finance and Accounting

3.5.1. *cash on hands

3.5.1.1. *accounts receivable

3.5.1.1.1. *customer credit

4. The Supply Chain

4.1. Network of organizations and processes for Procuring materials, transforming them into products, and distributing the products.

4.2. Upstream

4.2.1. Firm’s suppliers, suppliers’ suppliers, processes for managing relationships with them

4.3. Downstream

4.3.1. Organizations and processes responsible for delivering products to customers

4.4. Internal

4.5. Supply Chain Management

4.5.1. Inefficiencies cut into a company’s operating costs

4.5.2. Just-in-time strategy

4.5.3. Safety stock: Buffer for lack of flexibility in supply chain

4.5.4. Bullwhip effect

4.5.4.1. Information about product demand gets distorted as it passes from one entity to next across supply chain

4.6. Software

4.6.1. Supply chain planning systems

4.6.2. Supply chain execution systems

4.7. Global Issues

4.7.1. Greater geographical distances, time differences

4.7.2. Participants from different countries

4.8. Business value

4.8.1. Match supply to demand

4.8.2. Reduce inventory levels

4.8.3. Improve delivery service

4.8.4. Speed product time to market

4.8.5. Use assets more effectively

4.8.6. Increase sales