A Project Report on -------------------------------------------------------------------------------Submitted to

Oriental Institute of Management, Vashi Navi Mumbai

In partial fulfillment of the requirements for the award of the degree of

MASTER OF MANAGEMENT STUDIES

Project work carried out at

Company Name
Under the guidance of Internal Guide
External Guide

BY

Shital Chandrakant Gole. 1110.

Oriental Institute of Management, Vashi Navi Mumbai

2011-2013 Batch

DECLARATION
I hereby declare that this report titled --------------------------------------------------------- is a record of independent work carried out by me under the guidance and supervision of ------------------, ---------------, towards the partial fulfillment of requirements for the M.M.S. degree course UNIVERSITY OF MUMBAI

I further declare that this Project Report is the result of my own efforts and that it has not been submitted to any other university or institute for the award of a degree or diploma or any other similar title of recognition.

Student Name

Company certificate

CERTIFICATE
This is to certify that Student Name with Roll No, is a bonafide student of Master of Management Studies course of the Institute (2011-2013), affiliated to University of Mumbai. Project report on ------------------------------------------------ is prepared by his/her under the guidance of Internal Guide name in partial fulfillment of the requirements for the award of the degree of Master of Management Studies of University of Mumbai.

Internal Guide

Director

Executive summary

Index
PART : A

1. Industry Profile.
2. Company Profile. 2.1 Background and Inception Of The Company. 2.2 Nature Of The Business Carried. 2.3 Vision, Mission & Company Policy. 2.4 Products and Services. 2.5 Area Of The Operation. 2.6 Owenership Pattern. 2.7 Competitors Information. 3. MCKENSYS FRAME WORK. 3.1 Structure. 3.2 Strategy. 3.3 Skills. 3.4 Style. 3.5 System. 3.6 Staff. 4. SWOT Analysis. 5. Learning Experience.

PART : B 1. General Introduction. 1.1 Statement of the Problem. 1.2 Objectives of the Study. 1.3 Scope of the Study. 1.4 Methodology. 2. 3. 4. 5. Analysis of the Study. Conclusion & Recommendations. Bibliography. Annexure.

PART : A
1. INDUSTRY PROFILE

Information technology (IT) is the branch of engineering that deals with the use of computers to store, retrieve and transmit information. The acquisition, processing, storage and dissemination of vocal, pictorial, textual and numerical information by a microelectronics-based combination of computing and telecommunications are its main fields. The term in its modern sense first appeared in a 1958 article published in the Harvard Business Review, in which authors Leavitt and Whisler commented that "the new technology does not yet have a single established name. We shall call it information technology (IT)." Some of the modern and emerging fields of Information technology are next generation web technologies, bioinformatics, cloud computing, global information systems, large scale knowledge bases, etc. Advancements are mainly driven in the field of computer science. IT is the area of managing technology and spans a wide variety of areas that include computer software, information systems, computer hardware, programming languages but are not limited to things such as processes, and data constructs. In short, anything that renders data, information or perceived knowledge in any visual format whatsoever, via any multimedia distribution mechanism, is considered part of the IT domain. IT provides businesses with four sets of core services to help execute the business strategy: business process automation, providing information, connecting with customers, and productivity tools. IT professionals perform a variety of functions that range from installing applications to designing complex computer networks and information databases. A few of the duties that IT professionals perform may include data management, networking, engineering computer hardware, server management, database and software design, as well as management and administration of entire systems.

Different branches in IT industry

3D Animation or Grafic Design

A position where you design and create either a graphic or 3D animations for software programs, games, movies, web pages, etc. Position may also require that you work on existing graphics, animations, movies, etc. done by other people.

Customer service
Helping customers with general questions relating to the company, ordering, status on orders, account information or status, etc.

Data Entry
A job that commonly requires the employee to take information from a hard copy or other source and enter it into an electronic format. Position may also be taking electronic data and entering it into a database for easy sorting and locating.

Database
A job that requires creating, testing, and maintaining one or more database.

Electronics technician or engineer

Assembling, testing, and repairing electronic equipment.

Engineer
An engineer is someone who is at the top of their class and almost always someone who has or is working on a college degree or several certifications. Although used broadly in this document, the engineer is usually specified in the job requirement. For example, a software development engineer may be a highly skilled computer programmer.

Hardware
A position as a hardware designer, circuit design, embedded systems, firmware, etc. is a job that requires you to design and create a complete hardware package or portions of a hardware device.

 Networking or System Administrator

Computer networking jobs involve designing, setting up, and maintaining a network.

Programmer or Software developer

A job that requires the development or continued development and maintenance of a software program.

Quality Assurance (QA), System analyst or Tester

This job requires that the employee test out all features of a product for any problems or usability issues.

Repair and fix

A job that requires you to fix and repair computer and computer equipment. Often this involves removing a component from within the computer and replacing it with a good component.

Technical Support
Helping an end-user or company employee with their computers, software program, and hardware device. A technical support position is a great first step for people interested in working in the computer industry.

WebMaster or Web Designer

A job where a person creates, maintains, or completely designs a web page.

Contribution of IT industry

 What is web design?

Web designing is basically one of the sector which is included in Information Technology. The Internet has redefined the borders of our modern world. Big or small companies now have customers all across the globe. Small or Big businesses houses, groups and non-profit organizations are providing an infinite array of information to a widespread audience. The possibilities are endless through effective and efficient Web Design. Web Design is an art of content presentation to an end user through World Wide Web. The efficient web design helps your company in bringing enquiries that generate sales and add asset to business. In the digital world websites emerge as a significant tool that not only help the companies to find their target audience but also help in tapping desired customers while seating remotely. Website has become the medium of communication or interaction for Business houses. You can establish your corporate identity globally and remain in contact with your customer through out day and night. This information technology based communication design helps you to place your products to global customer with details of the placed products relatively at low cost. Websites The cost effective medium of sales and promotions make the websites as the hottest stuff of todays generation. Website utilizes multiple disciplines such as animation, graphics, interaction design, and information architecture while giving digital corporate identity to your business. The amalgamated features help in interacting your unknown audience in effective and efficient manner. Websites are often considered as the interactive marketing strategy to pull out the hidden customer around the global arena. Each of the websites planned in a precise manner to cater specific need. The people who view the website for a specific reason and it is important to know exactly what they are looking for when they visit the site. A clearly defined purpose or goal of the site helps in understanding of what visitors want. It gives a way in identifying the target audience. So company, who is developing website must be precise, on the target and object oriented in order to get maximum of what they are putting.

Position in Indian market.

In this day and age, nobody can undermine the importance of web development India. A good website can be compared to a well-designed retail showroom or outlet that showcases your products and helps you build a brand image among your customers. The only difference is that websites allow you greater access to the world. You may never have to venture out of your office but your website will reach millions of people across the globe.

10

 Web Development and Indian Companies

In 21st century India has achieved a position of eminence in IT sector. India may have been late to reach at the culmination point in IT sector. But in the last few years it has secured a prominent place in global IT, because in present era India's youth are choosing their careers in computers technology; in web development, designing, integration, web services, content writing, database integration, e-commerce etc. New Delhi, Bangalore, Chennai and Mumbai in India are fast becoming favorites destinations that provide outstanding web related services. Companies established in these states serve their global entrepreneurs by providing them world class web related services such as web design, web development, ecommerce web design, flash web design, web hosting, internet marketing solutions and SEO services to the people. Web design professionals in India have excellent skills and have great experience in designing and developing all kinds of websites whether it is static websites, dynamic websites, CMS website, e-commerce website or B2B and B2C portals. Good Web design companies in India have a giant pool of technically skilled and well experienced web developers and website designer in India that provide world class services at very affordable prices without any compromise on the quality front. In the international arena the programming level of software professionals of India is outstanding. Hence, web professionals in India have a sound track in the field of web designing and development. In India web designing companies offer comprehensive web design and development services and empower its clients to expand their business in the global market. Web designing companies in India provides the best service in terms of both quality and cost. It is of no doubt that a majority of people are contacting Indian website design companies to design their websites. Even the international companies also choosing website design companies in India because India provides inexpensive services with quality assurance. Another important advantage in outsourcing web design projects to India is the best maintenance and the vast resources of skilled and tremendous workers in the field of web development. Generally website design companies in India create special team for problem shooting and give 24/7 or 365 days support to their international clients.
India is gaining unprecedented global popularity and more and more companies are turning to skilled labor in India to provide web development services. Foreign clients have begun to acknowledge the technical expertise Indians possess in this field. Apart from being technically proficient, we also have fairly good English language skills that help us to communicate with foreign customers. Several multi national companies have acknowledged the quality of services theyve received from web development company India and more and more corporations are coming to us with their assignments.

11

2. COMPANY PROFILE

2.1 Background and inception of the company.

Established in 2006 by design expert Anand Singh, he is the principal & creative head at Nestcraft. They pride thereselves on developing successful long-term relationships with clients covering a broad spectrum of industries and product offerings. Combination of creativity, experience, and commitment allows them to deliver effective solutions for our clients success and productivity NestCraft is a user-focused Mumbai (India) based Graphic design and creative consulting firm. They are a team of top designers and web developers. They are passionate about web development and work to deliver the best solutions possible . There designers pride themselves in clean, usable interfaces pleasing to the user. They work with the latest technologies in order to deliver the best solution for every project we work on. They love working with startups and building web apps to solve problems. Nestcraft create professional Usable good looking website, Graphic user interface and Icons for Web & desktop applications, mobile devices, Information rich websites and interactive multimedia solutions. They have many years of experience in the user-centered design and development of user interfaces in diverse fields of application. The agency is made up of an award-winning team of marketing, creative and production people, all with a shared vision and values.They deliver big results and do what we say we will. On time and on budget. The entire staff of creative, Design & production professionals are focused on the successful development and execution of our clients' marketing efforts. Each member of the team has unique strengths, knowledge, and skill sets; as a team deliver powerful projects and campaigns. Most of the Nestcraft team are young, fine Art & design gradute from india's top design Institutes like ( JJ school of Art, NIFT, Rachna Sansad.)

12

2.2 Nature of business carried

Nestcraft is basically into the web development business and they love designing and building beautiful websites, Brand Identity & Print Collateral design for their clients with lots of experience. They are also into the recruitment business Specialising in the Recruitment of Design, Advertising & Media Professionals. They are a leading Creative Recruitment Agency in India having over 12,000 registered creative professionals. Some of their clients are : Advertising Agency, Media Firm, Design firm, Web Development, Animation Studio, Direct Marketing, Print media companies, New Media Agency, Film Production house, Integrated Advertising, PR firms, Film & Broadcast They also use CRM software for their effective business.

2.3 Mission , Vision & company policy

Strategy - mission A strategic plan starts with a clearly defined business mission. Mintzberg defines a mission as follows: A mission describes the organisations basic function in society, in terms of the products and services it produces for its customers.

13

A clear business mission should have each of the following elements:

Taking each element of the above diagram in turn, what should a good mission contain? (1) A Purpose Why does the business exist? Is it to create wealth for shareholders? Does it exist to satisfy the needs of all stakeholders (including employees, and society at large?) (2) A Strategy and Strategic Scope A mission statement provides the commercial logic for the business and so defines two things: - The products or services it offers (and therefore its competitive position) - The competences through which it tries to succeed and its method of competing A business strategic scope defines the boundaries of its operations. These are set by management. For example, these boundaries may be set in terms of geography, market, business method, product etc. The decisions management make about strategic scope define the nature of the business.

14

(3) Policies and Standards of Behaviour A mission needs to be translated into everyday actions. For example, if the business mission includes delivering outstanding customer service, then policies and standards should be created and monitored that test delivery. These might include monitoring the speed with which telephone calls are answered in the sales call centre, the number of complaints received from customers, or the extent of positive customer feedback via questionnaires. (4) Values and Culture The values of a business are the basic, often un-stated, beliefs of the people who work in the business. These would include: Business principles (e.g. social policy, commitments to customers) Loyalty and commitment (e.g. are employees inspired to sacrifice their personal goals for the good of the business as a whole? And does the business demonstrate a high level of commitment and loyalty to its staff?) Guidance on expected behaviour a strong sense of mission helps create a work environment where there is a common purpose

Nestcraft Mission Nestcraft mission with any project - large or small - is to make the process as seamless and simple as possible. They understand that website development is not your daily tariff. They strive for clear communication without a lot of technical discussion. They understand the potential anxiety that can come with the development of any project. So the process minimizes that anxiety by keeping the channels of communication open and fixing possible problems before they become big headache for them and customers.

Nestcraft as web designing firm - Vision The main vision of the nestcraft is to be a most leading web site design and branding agency all over the india who will satisfy their clients requirements according to their needs and wants with 100% quality and on time.

Creative vigor as recruitment firm - Vision Creative Vigor was created with one single idea in mind - Find the best talent and put them in the best jobs. We interview all candidates, analyze their skills extensively and spend time getting to know the 'real person' outside of the CV and portfolio. provide talent to companies all over India and remote employees for international companies around the world.

15

Strategy: Values and vision Values form the foundation of a business management style. Values provide the justification of behaviour and, therefore, exert significant influence on marketing decisions.

2.4 Products and Services

Complete Design Solutions Although our emphasis is website design and development, Logo Identity design & software user. Our clients are mostly small and mid size company who needs web presents for their product & service. At NestCraft we love every new project that make us active and delight . Our goal is to make you stand apart from your competition.

Design Services include: Website Design & Development

Website design & development Wardress Blog Design & development Database driven dynamic website Development Website Maintenance Web 2.0 CSS based website Affordable SEO (Search Engine Optimization) Viral Marketing Emailer campaign design Domain name registration & affordable web Hosting

16

Print Media Design

Logo / Corporate Identity Design Print Collateral - brochures, folders, direct mail, etc. Packaging Design

Multimedia & Motion Graphics

Interactive Flash animation Interactive Demo for any software product CD based corporate presentation Flash/Flex based Development

Beautiful, Handcrafted Web site Design We can design/redesign your Website. If you are a small and mid size company and looking for web presents for your business, product & service Brand Identity/Logo Design One of the first elements of design that any new business must face is its logo. we specialize in bold, clean and effective logo design for small businesses Web SEO (Search Engine Optimization) Search Engine Optimization is not just achieving #1 ranking with Google, Yahoo or Bing, rather it starts with acquiring a lead and ends with converting that lead into sales. We integrate the regular SEO process by enhancing site features and making the pages appealing to your leads

Visual GUI Design for Softwares You have great technology but not good graphic Interface. If the User interface is not clear, engaging or credible, your customers might not be motivated to try, and definitely you will lose your business.

A leading website design & branding agency with a focus on your business and your customers
17

Beautiful, Handcrafted Web site Design We can design/redesign your Website. If you are a small and mid size company and looking for web presents for your business, product & service. Brand Identity/Logo Design One of the first elements of design that any new business must face is its logo. we specialize in bold, clean and effective logo design for small businesses. Web SEO (Search Engine Optimization) Search Engine Optimization is not just achieving #1 ranking with Google, Yahoo or Bing, rather it starts with acquiring a lead and ends with converting that lead into sales. We integrate the regular SEO process by enhancing site features and making the pages appealing to your leads.

Visual GUI Design for Softwares You have great technology but not good graphic Interface. If the User interface is not clear, engaging or credible, your customers might not be motivated to try, and definitely you will lose your business.

2.5 Area of Operation

NestCraft is basically doing business in IT industry. They are into the business of developing web site according to the customer needs. I am working there on CRM software i.e, updating the customers information,their contact no, creating their accounts on software which helps in further follow up etc Area of operation which the Nestcraft is into is the online marketing of their firm.

2.6 Owner ship pattern

Nestcraft is running on the partnership pattern of the ownership where they are having the team of 4 people having thire office in belapur.

18

2.7 Competitors information

There are many firms who are running the same business of developing the web design. All those are competitors of the nestcraft. Nestcraft believed in achieving the unique position in the area they are working by proving the clients best quality in their work. Here is the list of some competitors: Webcave Webcave Solutions is a privately owned Technology Company based in Mumbai, India focusing on Web design, web application development and web related programming services. Unique InfoTech Unique InfoTech derives its stronghold in flawless communication to run its projects smoothly through the entire gamut of the development, delivery and support stages. In order to deliver beyond our promises, we have set general high level guidelines, activities and deliverables over various phases. At each phase of execution stringent quality checks are involved. Mesotek Software Solutions Pvt. Ltd. Mesotek is professional Web design company offers website design and maintenance service, ecommerce website development, internet marketing, graphic design and multimedia services globally. The Information company Pvt Ltd (TIC) The Information Company Private Limited (TIC) focuses on serving business needs in the new digital age. We have expertise in enterprise communication strategies, digital marketing and brand solutions, and enterprise software. We also publish domain-b.com, a premium online news magazine. OnDlineInfotech Being in IT market for over 6 years OnDLine infotech is one of well recognized web development Corporate trade name, which deliver solution to any web services convolution to our clients all over the globe. We have teams of accomplished, expert and capable IT professionals. HGS Interactive

19

3.MCKENSYS 7S FRAME WORK

3.1 Structure
Nestcraft web designing firm is established in 2006.Nesrcraft have adopted very friendly work structure. The employees in the firm dont worked under pressure. They are basically having direct communication with their employees and thats why they dont have the communication gap between them. The IT department in the firm directly report to the IT head which will report to the founder of the firm on regular basis. Also, the fouder,web designer, photographer ant other partners arranged meeting on regular basis and by co ordinating with each other they do their business.

3.2 strategy Meaning:

Business Strategy is basically what actions you believe are necessary in your organisation to achieve a given chosen goal, remembering that the goal has to be realistic and achievable. In terms of business, the strategy is than set of irreversible choices you will make to achieve your strategic objectives "Strategy is the direction and scope of an organisation over the long-term: which achieves advantage for the organisation through its configuration of resources within a challenging environment, to meet the needs of markets and to fulfil stakeholder expectations".

Nestcraft startegy
Years of experience

From startups to top MNC, we have a wide range of experience with clients of all sizes.
Personalised Attention

We limit the number of active projects we're working on at one time, so you get personalized attention on your project.
keep you ahead of the competition.

By utilizing the latest technologies we are always pushing the limits so you have an advantage years ahead of your competition.
20

Reasonable pricing & Top quality services

We offer reasonable pricing with flexible payment plans, because we understand that starting a business can be hard on your finances.

For improving the business,Nestcraft is making the use of CRM software, so that they can easily keep track of their clients and saves the time which they can make use of in other operations. Use of this technology definitely helps in doing their work accurately and on the time. They give importance to their customers needs and wants and provide product to customers with quality also according to the budget of the customers so that customers will be always happy.

3.3 Skills
For every business to reached to the top level, only the technology is not sufficient unless their are people who can handled that technology rightly with skills. Nestcraft have a very skilled and creative and experienced team. They are a team of top designers and web developers who are passionate about web development and work to deliver the best solutions possible . Designers pride themselves in clean, usable interfaces pleasing to the user. Anand who is the creative head of the Nestcraft web design studio has the past 10 years he work experienced with some of the well known software, Advertising, and Design firms in a number of different positions with local and international clients. Lokesh is a Communication Design graduates from NIFT ( National Institute of Fashion Technology) specilaised in commercial photography & Design. Before joining nestcraft Lokesh was working with GINI & JONY one of the well-known retail brands as a creative head & photographer. Kiran Bhosale is a Fine Arts Graduate from Sir J. J. Institute of Applied Art Mumbai. He has been actively self-employed in Flash Animation, E-learning & Website design and development for nearly 2 years and maintains a strong database of clients. Arun is also a Communication Design graduates from NIFT, Mumbai. Prior to joining Nestcarft, he has worked as a visual Designer with Roopa Vohra ( Indias leading Jewelry Designer)

21

Therefore all the team of Nestcraft has there unique skills which are needed to run a business successfully.

3.4 Style
Phase One - Discover
This initial phase lays the groundwork for customer project. Nestcraft try hard to know everything that helps them to know about customer company, its history, products or services, project goals and business environment. Communication can be handled by a personal meeting (if needed & located near us), telephone, IM, email or a combination of methods. Next, they begin to research your competition. This can include reviewing customer web sites, brochures, advertising material and other literature. The main focus is to learn as much as possible about customers competitive environment. They also research customers target audience, their demographic, preferences, attitudes and behaviors. After completing the preliminary research, they develop a proposal based on understanding of the project. This includes detailed information about the goals, competitive position, target audience, design direction, budget and schedule etc. Phase Two Design & Development Design begins with putting pencil to paper and sketching out ideas. Firstly they typically rough out many small Artwork "thumbnails." From these, they edit them down to those that are the most appropriate solutions for customers project. The team refines these preliminaries for presentation. The key is creating a group of designs, usually two or three, that provide a strategic solution. The preliminary designs may be presented in person or on our server. From the group of options, one design is selected for further development. For most projects, one set of revisions is included. All development work is hosted on our site nuforya that is password protected. Here customer will be able to see the development of their project, status reports and design notes etc.

Phase Three - Deploy Deploy is the last and final phase of process, now final artworks is ready, programming is done and all elements are tested. In the case of a web site, we test all pages in several browsers and on various platforms and configurations.

22

3.5 Systems
The company works on property management online software. It was basically updating and maintaining the database of their esteemed clients. The Software was easy to use and was a great opportunity for understanding about working on online software. With the help of the software, it was quite easy to bring in the business for the company and stay connected to the clients. On regular intervals, email was needed to be sent and accordingly updations are done

3.6 Staff

Anand Singh - Creative head Anand has been designing for web since 1999 and developing brands and business identity for several startup. He's the Principal and Creative head at NestCraft. Over the past 10 years he worked with some of the well known software, Advertising, and Design firms in a number of different positions with local and international clients. Anand attended Rachna School of Applied Art

Lokesh Ghai - photographer. Lokesh is a Communication Design graduates from NIFT ( National Institute of Fashion Technology) specilaised in commercial photography & Design. Lokesh role is to deliver strategic solutions and creative direction on a range of client projects. He is involved in day to day project management whilst always keeping an eye on the bigger picture for the benefit of our clients. Before joining nestcraft Lokesh was working with GINI & JONY one of the well-known retail brands as a creative head & photographer. Kiran Bhosle - Website designer and developer. A Fine Arts Graduate from Sir J. J. Institute of Applied Art Mumbai. He has been actively self-employed in Flash Animation, E-learning & Website design and development for nearly 2 years and maintains a strong database of clients.
23

Kiran is passionate about Educational based E-learning, Hand crafted character design & illusration. Earlier kiran has worked with some of well known media & production company like - LionBridge, IL&FS, JasuBhai Digital. Arun Kumar - visual Designer. Arun is also a Communication Design graduates from NIFT, Mumbai. He can deliver fast results under the most pressing circumstances. Arun brings a unique blend of print advertising and branding design experience to the table. Prior to joining Nestcarft, he has worked as a visual Designer with Roopa Vohra ( Indias leading Jewelry Designer)

24

4. SWOT ANALYSIS.

SWOT analysis (alternately SLOT analysis) is a strategic planning method used to evaluate the Strengths, Weaknesses/Limitations, Opportunities, and Threats involved in a project or in a business venture. It involves specifying the objective of the business venture or project and identifying the internal and external factors that are favorable and unfavorable to achieve that objective.

Strengths : NestCraft love every new project that make them active and delight . Each member of there team has unique strengths, knowledge, and skill sets; as a team we deliver powerful projects and campaigns. Most of the team are young, fine Art & design gradute from india's top design Institutes like ( JJ school of Art, NIFT, Rachna Sansad.) with years of experience.

Weaknesses : Nestcraft office is very small in size therefore many clients may think that it will not be suitable for their needs and wants but the company is developing day by day.

25

 Opportunities : Nestcraft is into the business of developing the web design which is most popular business today,because everyone need website for their business in some or other way. So, there are many opportunities in this business. Threats : Many other firms running the same business eg Webcave , Unique InfoTech , Mesotek Software Solutions Pvt. Ltd., The Information company Pvt Ltd (TIC) , OnDlineInfotech , HGS Interactive will be the threats for nestcraft business.

26

5. LEARNING EXPERIENCE

It was a great experienced working with Nestcraft web desining firm. As I am doing my specialization in operation, I need to understand how production and purchasing department of the company takes their decisions? how CRM software helps these various departments? How to exactly update the software etc. And I have learned all these things in Nestcraft which will defiantly help me in my future career. Since ,Nestcraft has a UK based clients and Nestcraft use CRM software so that they can keep track of their clients. CRM is such a software that if anyone is interested in buying the product which the company offering and calls to get information then there numbers are automatically gets save in the CRM software so that we(company) can easily follow them by sending them daily basis e-mails i.e after 7 days, 14 days, 21 days we can mail them regarding the product information or the various discounts that we are providing about that product and easily follow up with the interested users.

Nestcraft is also running a ad agency of promoting the business through internet marketing. They are also into posting the Press Release for their clients on different PR sites including both hyperlink and full url PR.

I also learned how to post those PR on different sites and also how to maintain the information on excel.

27

PART: B
1. GENERAL INTRODUCTION

1.1 Statement of the problem

Impact of CRM software on SCM of NESTCRAFT .

1.2 Nature and Scope of the study.

Customer Relationship Management is one of the hottest and most talked about topics in the industry today and for good reason. CRM (customer relationship management) is an information industry term for methodologies, software, and usually Internet capabilities that help an enterprise manage customer relationships in an organized way. Simply stated, Customer Relationship Management(CRM) is about finding, getting, and retaining customers. CRM is at the core of any customer- focused business strategy and includes the people, processes, and technology questions associated with marketing, sales, and service. In todays hyper-competitive world, organizations looking to implement successful CRM strategies need to focus on a common view of the customer using integrated information systems and contact center implementations that allow the customer to communicate via any desired communication channel. CRM is all about building long term business relationships with your customers. It is best described as the blending of internal business processes: Sales, Marketing and Customer support with technology. CRM is to meet and exceed customer expectations, create a positive customer experience and build customer loyalty. Solutions empower businesses to more efficiently and effectively manage the activities that affect their relationship with their customers

28

What is CRM?

Customer relationship management (CRM) is a widely implemented model for managing a companys interactions with customers, clients, and sales prospects. It involves using technology to organize, automate, and synchronize business processesprincipally sales activities, but also those for marketing, customer service, and technical support. The overall goals are to find, attract, and win new clients; nurture and retain those the company already has; entice former clients back into the fold; and reduce the costs of marketing and client service. Customer relationship management describes a company-wide business strategy including customer-interface departments as well as other departments. Measuring and valuing customer relationships is critical to implementing this strategy

How CRM works?

Essentially CRM works by collecting leads or consumer information. Analyzing the collected information to understand customer or market requirements. Adjusting marketing campaigns accordingly to increase sales. CRM also serves for customer service and support--making businesses efficient and improve customer satisfaction.

29

In any business, the bottom-line of CRM work flow is to (1) Initiate Marketing, (2) Process Sales, (3) Schedule Orders and provide support.

Benefits of CRM

CRM is often misunderstood as an application or a tool, but in the real sense of the term it is a way of doing business. There can be innumerable reasons for businesses to implement CRM. However, let's take a look at few of the most apparent benefits of using CRM.

360 degree view of business Organizational-level data sharing Reduce cost on customer acquisition Centralized customer interaction Improved customer support Increase customer satisfaction High rate of customer retention Boost new business Increase revenue at low cost

30

Thus CRM is becoming increasingly important among businesses. With an ever increasing customer expectation there is a need for organizations to adopt new business services and strategies - CRM provides this versatility in enhancing sales, customer support and success in business.

How to evaluate CRM?

Realizing the investment towards any CRM initiative, it is crucial to all businesses to have a CRM evaluation method or CRM metrics in place. The prime concern of a CRM system is to improve relationship with customers and generate higher revenue. Therefore, it is necessary to identify if your CRM is to track the efficiency of sales and marketing team or is it to build a strong relationship with your customers? This would help determine the focus of CRM performance. Once the objective of CRM implementation is clearly defined, you can go ahead evaluating the best CRM for your business. This would help to judge how good or bad your CRM initiative has been?

Here are a few major points that can guide in evaluating a CRM system at its face. CRM ROI Depending on the type of implementation and the strength of organization, CRM initiative can be a complex and costly venture. Thus your selected CRM should:

Provide tangible and measurable ROI Help calculate the real business benefits Enable accurate budgeting and reduced resources

Ease of Use Implementing a CRM system should:

Simplify customer relationship and business process Provide a user-friendly interface Allow ease of CRM navigation

Simplified Workflow A CRM system in place, should help:

Perform the various tasks easily Present simplified workflow logics Encourage easy adoption by users

31

Customization The real efficiency of any CRM implementation lies in:

Flexibility to change the default CRM setup Provision to mould the CRM to your business process Provision to rollback to the default CRM setup

Integration The drive to maximize the value of your customer relationship necessarily demands the CRM system to:

Provide well-defined integration architecture Enable cross-application business process Reduce implementation time for custom integration

Post-Sales Support No CRM system is complete without the end user help files. Besides the tips and tricks to efficient performance, your CRM implementation should have:

Reference documentation for users Ready on-line support Notes and tutorials to complement documentation

Challenges
Successful development, implementation, use and support of customer relationship management systems can provide a significant advantage to the user, but often there are obstacles that obstruct the user from using the system to its full potential. Instances of a CRM attempting to contain a large, complex group of data can become cumbersome and difficult to understand for ill-trained users. The lack of senior management sponsorship can also hinder the success of a new CRM system. Stakeholders must be identified early in the process and a full commitment is needed from all executives before beginning the conversion. But the challenges faced by the company will last longer for the convenience of their customers. Additionally, an interface that is difficult to navigate or understand can hinder the CRMs effectiveness, causing users to pick and choose which areas of the system to be used, while others may be pushed aside. This fragmented implementation can cause inherent challenges, as only certain parts are used and the system is not fully functional. The increased use of customer relationship management software has also led to an industry-wide shift in evaluating the role of the developer in designing and maintaining its software. Companies are urged to consider the overall impact of a viable CRM software suite and the potential for good or bad in its use
32

Complexity Tools and workflows can be complex, especially for large businesses. Previously these tools were generally limited to simple CRM solutions which focused on monitoring and recording interactions and communications. Software solutions then expanded to embrace deal tracking, territories, opportunities, and the sales pipeline itself. Next came the advent of tools for other client-interface business functions, as described below. These tools have been, and still are, offered as on-premises software that companies purchase and run on their own IT infrastructure. Poor usability One of the largest challenges that customer relationship management systems face is poor usability. With a difficult interface for a user to navigate, implementation can be fragmented or not entirely complete The importance of usability in a system has developed over time. Customers are likely not as patient to work through malfunctions or gaps in user safety,and there is an expectation that the usability of systems should be somewhat intuitive: it helps make the machine an extension of the way I think not how it wants me to think. An intuitive design can prove most effective in developing the content and layout of a customer relationship management system.Two 2008 case studies show that the layout of a system provides a strong correlation to the ease of use for a system and that it proved more beneficial for the design to focus on presenting information in a way that reflected the most important goals and tasks of the user, rather than the structure of the organization. This ease of service is paramount for developing a system that is usable. In many cases, the growth of capabilities and complexities of systems has hampered the usability of a customer relationship management system. An overly complex computer system can result in an equally complex and non-friendly user interface, thus not allowing the system to work as fully intended. This bloated software can appear sluggish and/or overwhelming to the user, keeping the system from full use and potential. A series of 1998 research indicates that each item added to an information display can significantly affect the overall experience of the user. Fragmentation Often, poor usability can lead to implementations that are fragmented isolated initiatives by individual departments to address their own needs. Systems that start disunited usually stay that way: [siloed thinking] and decision processes frequently lead to separate and incompatible systems, and dysfunctional processes. A fragmented implementation can negate any financial benefit associated with a customer relationship management system, as companies choose not to use all the associated features factored when justifying the investment. Instead, it is important that support for the CRM system is companywide.The challenge of fragmented implementations may be mitigated with improvements in late-generation CRM systems.

33

Business reputation Building and maintaining a strong business reputation has become increasingly challenging. The outcome of internal fragmentation that is observed and commented upon by customers is now visible to the rest of the world in the era of the social customer; in the past, only employees or partners were aware of it. Addressing the fragmentation requires a shift in philosophy and mindset in an organization so that everyone considers the impact to the customer of policy, decisions and actions. Human response at all levels of the organization can affect the customer experience for good or ill. Even one unhappy customer can deliver a body blow to a business. Some developments and shifts have made companies more conscious of the life-cycle of a customer relationship management system. Companies now consider the possibility of brand loyalty and persistence of its users to purchase updates, upgrades and future editions of software. Additionally, CRM systems face the challenge of producing viable financial profits, with a 2002 study suggesting that less than half of CRM projects are expected to provide a significant return on investment. Poor usability and low usage rates lead many companies to indicate that it was difficult to justify investment in the software without the potential for more tangible gains. Security, privacy and data security concerns One function of CRM is to collect information about clients. It is important to consider the customers' need for privacy and data security. Close attention should be paid to relevant laws and regulations. Vendors may need to reassure clients that their data not be shared with third parties without prior consent, and that illegal access can be prevented. A large challenge faced by developers and users is found in striking a balance between ease of use in the CRM interface and suitable and acceptable security measures and features. Corporations investing in CRM software do so expecting a relative ease of use while also requiring that customer and other sensitive data remain secure. This balance can be difficult, as many believe that improvements in security come at the expense of system usability. Research and study show the importance of designing and developing technology that balances a positive user interface with security features that meet industry and corporate standards. A 2002 study shows, however, that security and usability can coexist harmoniously. In many ways, a secure CRM system can become more usable. Researchers have argued that, in most cases, security breaches are the result of user-error (such as unintentionally downloading and executing a computer virus). In these events, the computer system acted as it should in identifying a file and then, following the users orders to execute the file, exposed the computer and network to a harmful virus. Researchers argue that a more usable system creates less confusion and lessens the amount of potentially harmful errors, in turn creating a more secure and stable CRM system. Technical writers can play a large role in developing content management systems that are secure and easy to use. A series of 2008 research shows that CRM systems, among others, need to be more open to flexibility of technical writers, allowing these professionals to
34

become content builders. These professionals can then gather information and use it at their preference, developing a system that allows users to easily access desired information and is secure and trusted by its users.

What is SCM?

Supply chain management (SCM) is the oversight of materials, information, and finances as they move in a process from supplier to manufacturer to wholesaler to retailer to consumer. Supply chain management involves coordinating and integrating these flows both within and among companies. It is said that the ultimate goal of any effective supply chain management system is to reduce inventory (with the assumption that products are available when needed). As a solution for successful supply chain management, sophisticated software systems with Web interfaces are competing with Web-based application service providers (ASP) who promise to provide part or all of the SCM service for companies who rent their service. Supply chain management flows can be divided into three main flows:

The product flow The information flow The finances flow

The product flow includes the movement of goods from a supplier to a customer, as well as any customer returns or service needs. The information flow involves transmitting orders and updating the status of delivery. The financial flow consists of credit terms, payment schedules, and consignment and title ownership arrangements. There are two main types of SCM software: planning applications and execution applications. Planning applications use advanced algorithms to determine the best way to fill an order. Execution applications track the physical status of goods, the management of materials, and financial information involving all parties. Some SCM applications are based on open data models that support the sharing of data both inside and outside the enterprise (this is called the extended enterprise, and includes key suppliers, manufacturers, and end customers of a specific company). This shared data may reside in diverse database systems, or data warehouses, at several different sites and companies. By sharing this data "upstream" (with a company's suppliers) and "downstream" (with a company's clients), SCM applications have the potential to improve the time-to-market of products, reduce costs, and allow all parties in the supply chain to better manage current resources and plan for future needs. Increasing numbers of companies are turning to Web sites and Web-based applications as part of the SCM solution. A number of major Web sites offer e-procurement marketplaces where manufacturers can trade and even make auction bids with suppliers.
35

Benefits of Supply Chain Management

Supply Chain Management (SCM) software can offer tremendous value to any company that relies on the smooth planning and execution of related operations to achieve long-term profitability and maintain a solid competitive edge. Thats why more and more organizations are purchasing and implementing supply chain applications. Here are some of the key benefits that SCM software delivers: Improved Supply Chain Network Supply chain management software provides complete, 360-degree visibility across the entire supply chain network. It allows users to monitor the status of all activities across all suppliers, production plants, storage facilities, and distribution centers. This enables more effective tracking and management of all related processes, from the ordering and acquisition of raw materials, to manufacturing and shipping of finished goods to customers or retail outlets. The status of mission-critical activities can be tracked at all times, and potential inefficiencies or problems can be identified and corrected immediately, before they become unmanageable. Minimized Delays Many supply chains particularly those that havent been enhanced with a supply chain application are plagued by delays that can result in poor relationships and lost business. Late shipments from vendors, hold-ups on production lines, and logistical errors in distribution channels are all common issues that can negatively impact a companys ability to satisfy customer demand for its products. With SCM software, all activities can be seamlessly coordinated and executed from start to finish, ensuring much higher levels of on-time delivery across the board. Enhanced Collaboration Imagine having the ability to know exactly what your suppliers and distributors are doing at all times and vice versa. SCM software makes that possible by bridging the gap between disparate business software systems at remote locations to dramatically improve collaboration among supply chain partners. With SCM software, all participants can dynamically share vital information such as demand trend reports, forecasts, inventory levels, order statuses, and transportation plans in real-time. This type of instantaneous, unhindered communication and data-sharing will help keep all key stakeholders informed, so that supply chain processes can run as smoothly as possible.

36

Reduced Costs Supply Chain Management software can help reduce overhead expenses in a variety of ways. It can, for example:

Improve inventory management, facilitating the successful implementation of just-intime stock models and eliminating the strain on real estate and financial resources incurred by the storage of excess components and finished goods Enable more effective demand planning, so production output levels can be set to most effectively address customer requirements without the shortages that result in lost sales or wastes that drain budgets Improve relationships with vendors and distributors, so that purchasing and logistics professionals can identify cost-cutting opportunities such as volume discounts

. Increase Revenue

Higher utilization of capacity helps you increase revenues. Collaborate with partners and optimize supply planning and execution across enterprise boundaries.

Achieve faster responsiveness to unanticipated demand. Reduce order cycle times, enhancing the conversion of materials to revenue. Improve asset use and reduce unnecessary capital expenditures. Introduce new products and promotions with efficiency and accuracy.

Retain Customers

Accurate planning improves customer service and in turn customer retention. Detailed order-status information results in higher customer satisfaction Provide quality products and services at competitive prices. Have the ability to respond to unanticipated demand so you can commit to more orders.

Respond to changing customer requirements quickly and efficiently. Share performance information and common goals among partners

Challenges Of SCM.

Customer service Effective supply chain management is all about delivering the right product in the
37

right quantity and in the right condition with the right documentation to the right place at the right time at the right price. If only it were as simple as it sounds.

Cost control Supply chain operating costs are under pressure today from rising freight prices, more global customers, technology upgrades, rising labor rates, expanding healthcare costs, new regulatory demands and rising commodity prices. To control such costs there are thousands of potential metrics that supply chain organizations can and do measure. Managers need to zero in on the critical few that drive total supply chain costs within their organizations.

Planning and Risk Management Supply chains must periodically be assessed and redesigned in response to market changes, including new product launches, global sourcing, new acquisitions, credit availability, the need to protect intellectual property, and the ability to maintain asset and shipment security. In addition, supply chain risks must be identified and quantified. SCC members report that less than half of their organizations have metrics and procedures for assessing, controlling, and mitigating such risks.

Supplier/partner relationship management Different organizations, even different departments within the same organization, can have different methods for measuring and communicating performance expectations and results. Trust begins when managers let go of internal biases and make a conscious choice to follow mutually agreed upon standards to better understand current performance and opportunities for improvement.

Talent As experienced supply chain managers retire, and organizations scale up to meet growing demand in developing markets, talent acquisition, training, and development is becoming increasingly important. Supply chain leaders need a thorough understanding of the key competencies required for supply chain management roles, specific job qualifications, methods for developing future talent and leaders, and the ability to efficiently source specific skill sets.

38

How CRM helps in SCM?

For any business to extract maximum benefit from its CRM deployment, it is important that it be linked to the back processes. Supply chain management, when connected via business intelligence tools with CRM, can throw light on many hitherto unknown aspects of a company's business processes. The insight offered by CRM into customer behavior and demand patterns can be made use of to streamline manufacturing and distribution of products as managed by the supply chain function. An important feature to understand when deploying CRM is that it can only provide information that has to be used both at the front end and back end to improve processes. Customer segmentation information can be used to structure the purchase of raw materials, scheduling manufacturing, managing inventory, and overall running the supply chain. A business can obtain major cost savings by acting upon information from CRM systems. A streamlined supply chain is key to reaching out to the right consumer at the right time and CRM offers inputs on providing the customers with the right product mix and targeting them with appropriate marketing. A backward integration of processes taking into account the information obtained from CRM can help a business better allocate its resources be they in manufacturing, processing, marketing, or sales. Apportioning of raw materials to machines and machines to a given product can be done more accurately if market demands are known; it also leads to a reduction of inventory stocks, JIT production, and a lean supply chain that responds to demands quickly. All this not only helps cut costs but also acquire a competitive advantage for a business that can take the lead in offering a better buying experience and service level that competitors may not be able to offer.

39

An efficient and responsive supply chain can have a huge positive impact on store product segmentation and effective customer targeting. Integration between CRM and SCM improves communication between the store and the manufacturing. For retail businesses such integration can imply a lot of benefits such as better distribution to retail outlets over various geographic locations; feedback to suppliers, distributors, transporters, etc. The use of BI for predicting performance at individual stores that can be aggregated to obtain a holistic picture of the supply chain is relevant to the entire exercise. Businesses can ensure the availability of quick-moving items and reduce the likelihood of losing customers. A wider view of the happenings at the retail level can also help to take ad hoc decisions when pressed for time. Marketing and sales can coordinate more fruitfully with the supply chain to move or divert goods to given locations during peak seasons or for promotional purposes. Viewing data pulled from marketing, sales, supply chain, finance etc on a single dashboard can enable management as well as store managers to take profitable decisions on crossselling and up-selling across different channels.
By analysing the benefits and the various aspects of the CRM and SCM, I decided to make a project on CRM software by keeping following objectives in mind.

1.3 Objectives of the study

To study the impact of IT industry on Indian economy. To understand the nature of the nestcraft web designing and branding agency. To understand benefits and challenges of CRM and SCM software respectively of nestcfart. To understand the cross functional relationship between CRM and SCM. To suggest the implementation of SCM and CRM model for effectiveness of business nestcraft.

40

1.4 Methodolog.
Meaning of research methodology

The system of collecting data for research projects is known as research methodology. The data may be collected for either theoretical or practical research for example management research may be strategically conceptualized along with operational planning methods and change management. Some important factors in research methodology include validity of research data, Ethics and the reliability of measures most of your work is finished by the time you finish the analysis of your data. Formulating of research questions along with sampling weather probable or non probable is followed by measurement that includes surveys and scaling. This is followed by research design, which may be either experimental or quasi-experimental. The last two stages are data analysis and finally writing the research paper, which is organised carefully into graphs and tables so that only important relevant data is shown.

What Is a Real Hypothesis? A hypothesis is a tentative statement that proposes a possible explanation to some phenomenon or event. A useful hypothesis is a testable statement which may include a prediction. A hypotheses should not be confused with a theory. Theories are general explanations based on a large amount of data.

Ho = CRM is not effective software in improving the performance of the SCM OF NESTCRAFT business. H1 = CRM is effective software in business.

Data collection

41

The project was to check the opinion of the various CRM users about whether the software helps in developing effectiveness in the business using primary as well as secondary data. The primary data was obtained through observation, direct communication with the people. Data Collection Tool The data collection tool that I have used is Questionnaire. I have selected questionnaire as a data collection tool primarily because of descriptive nature of sampling & secondly it was the most suitable tool that could help in achieving all the objectives of the study & to do the analysis deeply and effectively. I directly communicate with founder of the Nestcraft and employees working in IT department of the firm.

Primary data

Direct communication with people working on the CRM software. Secondary data

42

43

44

45

2 . ANALYSIS AND INTERPRETATIONS

ROLE OF CRM IN THE CONTEXT OF SCMIn the context of SCM, where alliances and partnerships are key to success, CRM plays n important role in building long term relationships. Apart from the end users, it involves internal employees channel members, and other external entities such as advertising agencies and consulting organizations. The success of organization depends on sharing of savings from the supply chains, which may be reinvested to further enhance its efficiency, and sustain other competitive advantage. The supply chain of tomorrow will look like a virtual organization, seamlessly integrated through sharing of data and savings as well. The bonding between the partners will be closely held by the relationship management practices. In the earlier days, manufactures used to wield power and dictate relationships in supply chains .But over the last few years the dynamics of relationship are changing as the power is gradually shifting from manufacturers to intermediaries and customers. But as far as relationship management in the context of SCM is concerned, it is equally important to buy the products and services for all the sectors since it not only concerns the end consumers ,but also involves internal and external channel partners as well. SCM-CRM INTEGRATIONVALUE CHAIN INTEGRATION is the evolution from a series of linearly interlinked processes that had been historically isolated from each other, to a smoothly functioning integrated business model that is effectively a single link from multiple parts of the enterprise.CRM strategy aimed at the front end alone can work wonderfully for a little while. But where were those products to be delivered coming from? How fast they getting out the door? Does the company have sufficient inventory to meet the demands of the increased sales? If the sale numbers were that improved the strain on supply chain had to be enormous,
46

because there were no changes in supply chain. In short CRM strategy in the new world customer ecosystem is merely the foreword facing part of an encompassing collaborative enterprise strategy where you are a behemoth or a mosquito-sized company. If you are in business there, there is a value chain that runs from end to end. To sell and deliver the product or services, you have to buy the services from a company that sells and delivers products and services. The most formidable problem is that the supply chain and demand chain are each seen as a discrete set of processes and practices that are uniquely optimized .Supply chain management has been touted as the organization and optimization of production and performance, including delivery and logistics.CRM has targeted the identification of and improvement in the customer experience, leading to improved top and bottom lines.

A Proposed Model in Integrating SCM, CRM & ERP

Todays everybody is conscious that e-business could potentially transform the business landscape. Enterprises are struggling with ERP, SCM and CRM application to compete and attend in the market. These applications neither are easy to implement, nor expensive but time and cost consuming. In addition, customers, suppliers and even employees expectations have been rising that is forcing organizations to think about walking toward e-world as well as integration front-office and back-office processes through Internet-based technologies. In this paper we present a model to integrating tertiary. It will guaranty to get result of ROI of these systems. The model is based on knowing reference blocks and integrating them before completing implementation. Ushering the Internet in "the information age" made transformation in the business world that few people could have imagined. Business stepped intensively toward internet phenomenon and e-commerce to make "365x24x7" a reality. So, electronic storefronts do companies setup expedite to keep up with their Internet-only counterparts. In addition, it's moving toward business-to-business transactions . In the past several years, e-business seems to have overwhelmed every aspect of daily life. Enhance productivity, maximize convenience and improve communications globally are the most features made Internet technologies as a critical part of both individuals and organizations. The rapid growth and promotion of Internet technologies has led some to wonder how to follow e-business phenomenon. Today's, it's involved managing direct relationship with customers, employers, suppliers whether they are individuals or other business. E-business is neither distinct from nor equivalent to Customer Relationship Management (CRM), Supplier Chain Management (SCM), Employee Relationship Management (ERM), ERP, E-payment and e-.; Though most of them play a vital role in well-executed ebusiness strategy [1].
47

However, as it's heard implementing CRM completely is as devouring an elephant thoroughly. Then, what should they implement and walk toward? Today, the challenge of e-business is integration . Perhaps, many companies start to implement sections

Figure1-relationship between SCM,ERP,CRM Of CRM, SCM, and ERP and so on. But there is just one way to get maximize revenue and profits: Synchronize supply and demand in real time while ERP applications help a business to manage the important parts of supply chain operation, interaction with customers, order tracking and parts purchasing although its neither SCM nor CRM .SCM and CRM separately can result in missed opportunities and poor performance. Some bridges are necessary between them that are enterprises should consider. And it's not possible without an integrated strategy. As a result an e-business model can help to step forward and guaranty success. Some computing and IT companies offer some software solution which couldn't warranty to reach goals. We try to offer a model so that each enterprise should adapt it with their needs and their sections. The model will show the implementation steps as well as integrating the processes are necessary in an e-business. ERP ERP system is the basis that determines how the business processes function. Because the implementation of a CRM strategy requires a system in which a companys back office and financial functions are integrated seamlessly with its front office customer facing processes. This crucial factor is often misunderstood and causes the failure of many CRM installations. To succeed, front and back office functions must be integrated on many levels so that product and service data, order management, customer service, etc. become part of a greater information flow Back office usually refers to a companys internal processes and traditional ERP functionality such as: Order management and billing Distribution and logistics Manufacturing Procurement Finance and accounting Human resources Legacy applications While enhancing e-application made back-office processes more important and extended, so e-supply chain found a separated entity which support more back-office processes successfully. But, it doesn't mean SCM and CRM made us unneeded to ERP. ERP can act as a bridge between different phases. In other words, the first phase and core of any business is creating its product (product, services, and information). Managing all processes, are needed in the creation product, is the core activity of any business. ERP helps to implement this phase successfully, but it's not over. As it's mentioned above and illustrated in the figure1,

48

supplier and customer are two main parts of this phase. Suppliers provide requirements and instruments are needed in creating product while customer is whom product is built for . SCM It's required to extend the structure of the new business process network operationally to automate and stream-line communications, transactions, and collaboration with supply partners. It's obvious that no business will operate as a single company albeit it's a node of complicated network of individuals and businesses that exploit internet as a leverage in storing, processing, exchanging information at the lowest possible cost.
Plan

Design

Source

Build

Delivery

Procurement

Figure 2-A functional block diagram of SCM

Delivery Procurement Businesses employ procurement and supply chain to monitor, manage and extend the enterprise. Consequently, SCM should manage all process in the distributor, supplier and trading partner sides. So, it should include demand management, supply management, inbound/outbound logistics, indirect procurement direct procurement/supply chain planning, and event management, Sourcing and Business process networks. A functional blocks look to SCM processes have shown in figure 2. CRM One of the most important reason that organization used of Enterprise Applications, is acquire and retain long-term and valued customers, that is, called Customer Relationship Management. CRM applications could be used to support all of the customer-centric processes within organization in any size and level including marketing, sales, and customer support [5]. Todays, while power of competence guaranties survivance, every enterprise is mining new ways to develop, maintain, and leveraged a consistent, accurate, and timely set of customer, product, and service information across the customer-facing marketing, sales, service, support, and product development units that is tenet of CRM [11] . A functional blocks look to CRM processes have shown in figure 3
Order - Marketing

Review

Design

Sale

Delivery

Service

Figure 3- A Functional Block Diagram of CRM Processes

Before offering the model, we show how these parts are related. As it's illustrated in figure 4 , there is no integration view in this relation. CRM isn't an independent entity and SCM is an

49

external

entity.

This

view

Figure 4-conventional E-business model

hardens the implementation, increase cost and linger ROI. Specially, enterprises follow this model, start to implement by accounting block separately. Consequently, we have heard that e-business projects fail at the rates higher than 66% . Instead, we have tried to investigate front-office and back-office and know their relation in an integration view. Although enterprise believes to a store front support all activities especially customers-related ones, it's a fact some processes have a back-office entity and others front-office entity for others. CRM covers the most of front-office application while SCM and ERP used by marketing, sales, procurement and executive management to support and control critical customer relationships . As a result in an integrated system, it should be covered all back-office and front-office processes so that they are applicable for customers, partners, suppliers and employees .. Albeit, some processes are the same for both back-and front-office applications. In other words, this system should gather product and service information, so this information could apply in delivering information and services to customers or making management decision in supply chain . In the enhanced e-business model we offer, all common processes as well as the chain of creating product constitute the core of system.

50

MANAG EMENT Customers Customers Sourcing PRODUCT Payment Requirements Satisfy Suppliers Procurement Services

Figure 5-Enhanced e-business model. Here are the required processes that we need in the integration view : Marketing Order Management Distribution& Logistics Manufacturing Procurement Sale Payment Human Resources Legacy Applications Customer Service In a CRM view, we know customer needs, so we should be ready to make the product and give it back to the customer. In other words, operation may start with customer-related process (ordering) and terminates with customer-related process (delivering & services), too. He starts the phase of production by need to a product and finishes it by receiving delivered product. Providing and purchasing production requirements, relationships with suppliers, sourcing, logistics, procurement, payments and managing all process is needed all over.

51

3.CONCLUSION AND RECOMMENDATIONS

CRM and SCM have assumed importance as tools for creating and sustaining competitive advantage. The integration strives to satisfy and promptly deliver the products, ensuring availability of product and maintaining profitability of the manufacturer. It ensures that better customer service is offered, technology is implemented in a phased fashion and the connection from customer to supplier is extened.The evolution of CRM and SCM is discussed. The role of CRM in the context of SCM is examined. An e-business model for efficiency of fully integrated organization and its implementation is discussed. Therefore, CRM is effective software in business.

4.BIBLIOGRAPHY
www.nestcraft.com. Internet.

52

5.ANNEXURE

Questionaire 1. What strategy you used to improve your business? 2. Are you using CRM software in your company? 3. Do you think, it is effective? 4. How do you keep track of your customers? 5. How do you know , which customers are interested in your product? 6. Is there any improvement in the profits of business after you start working on CRM? 7. How it is helpful in SCM? 8. Do you have any substaintial increase in benefits with respect to profit? 9. What do you think CRM is related to SCM? 10. If YES how it is related? 11. Can the integrated model of SCM and CRM be implemented in future? How?

53