Enterprise Resource Planning - Assignment 2

SALES & MARKETING

CUSTOMER RELATIONSHIP MANAGEMENT

Deepali Pandit & Rashmi Dhara | BFT - 6

Business Function of Marketing and sales

Marketing
of Products

Advertising

Taking Sales
Order

Customer
Support

Sales
forecasting

Customer
Relationship
manageme
nt

Input for the department

Request
to
Purchase/
Customer
Data

Product
availabilit
y and
data
order
status

Per unit
cost
checked

Costprofit
analysis

Output for the department

Order
Status

Hiring
needs
and
persona
l info

Sales
forecast

Custom
er
Satisfact
ion

Product
pricing

Overview of the Company

Fitter Snacker
A company that makes healthy snack bars
NRG-A: advanced energy
NRG-B: body building proteins
It does not have an integrated information system
Marketing and Sales (M/S) is the focal point of many of activities
Has organized its sales force into two groups, known as divisions:
Wholesale Division
Direct Sales Division

Initial Information System Company

Fitter Snackers have three different information system

Sales order
system

Warehouse
system

Accounting
system

General Problems

Company-wide use of transaction data is inefficient

The two sales divisions differ in terms of quantities of orders
and pricing terms
Packages the bars in store-brand wrappers for some chain
stores
Brand name of FITTER SNACKER is affected

Sales Process at fitter

WAREHOUSE

SALES
Fitter Snacker

RECEIVING

ACCOUNTS

Problems in sales Process

SALES ORDER PROBLEMS:
Incorrect pricing
Excessive calls to the customer for information
Delays in processing orders
Missed delivery dates
REASONS OF PROBLEMS:
FS has separate information systems throughout the company for
three functional areas:
Sales order system
Warehouse system
Accounting system
High number of transactions that are handled manually
Information stored in the three systems is not available in real
time

Linkage with other Departments

Sales forecast
and
Sales orders

Sales order
Customers

SALES
&
MARKETING

Order status

Cost/profit analysis
and
credit history
Accounting & Finance

Product
availability
data/ order
status

Sales order data

Sales and Marketing module in ERP

ERP systems can minimize data entry errors and provide accurate
information in real time to all users
ERP systems can track all transactions (such as invoices,
packing lists, RMA numbers, and payments) involved in the
sales order
SAP ERP
Sales and
Marketing
module
treats the
sales order
process as
a cycle of

Pre-sales activities
Sales order processing
Inventory sourcing
Delivery
Billing
Payment

Customer Relationship Management

Supports an Integrated and Collaborative

Relationship Between a Business and its
Customers.
CRM INTEGRATED
SOLUTION
Shared
Customer Data

Partne
rs

Collaborative
services

Compa
ny

Custom
ers

www.techtarget.

CUSTOMER
LIFECYCLE

Acquir
e
Enhan
ce
Retain

CRM The Business Focus

CRM Uses IT to Create a Cross-Functional
Enterprise System.
and focus on increasing profits by producing
greater sales volume
Marketi
ng and
Fulfillm
ent

Sales
CrossSell
Up-Sell

Contact
and
Account
Managem
ent
Retenti
on
and
Loyalty
Progra
ms

www.techtarget.

Custom
er
Service
and
Support

VENDORS Salesforce
Microsoft
SAP
Oracle

Customer Relationship Management

Marketing
automatio
n
automate
repetitive
tasks
enhance
marketing
efforts

Sales force
automatio
n
prevent
duplicate
efforts
automatic
tracking

Contact
center
automatio
n
prerecorded
audio
handle
customer
requests

www.techtarget.

Geolocatio
n
technolog
y
integratin
g with GPS
sales
prospects
based on
location.

KEY TRENDS
Cloud-based CRM-- also known asSaaS(softwareas-a-service) remote network

Open sourceCRM programs

make source codeavailable to the public, allowing
customization of data links to social media channels.
Mobile CRM
access customer information by taking advantage of features that are
unique to mobile devices, such as GPS and voice-recognition
capabilities.
www.techtarget.

Case study 1 Madura Garments

Indias leading apparel company has annual sales over US$11 billion
and a yearly growth rate of over 30%.
KEY CHALLENGES:
Integrating information from another department to effective data and
increasing number of purchase order
Inadequate financial systems and poor data quality hindered financial
analysis and decision making.
Inefficient manual reporting processes provided little visibility into the
accounts and inventory across store locations.
http://ictroi.n

Solution: SAP R/3 + AFS ERP, SAP APO v SAP BW

Implementation Partner: SAPs consultants
RESULTS:

http://ictroi.n

Case study 2 COLE HAAN STREAMLINE BUSINESS-

A Yarmouth based company, is one of North Americas premier

designers and marketers of quality footwear, accessories, and
outerwear
STRATEGIC GOALS Integrate financials with other critical
business Systems
Streamline business processes
Build enterprise-wide visibility
http://ictroi.n
et

KEY CHALLENGES:
Effort required to keep nonintegrated systems synchronized
preventing technology ROI and process improvement
Slow financial close reducing visibility and timeliness of data
Difficulty in determining how products were performing in the
marketplace
SAP SOLUTIONS:
mySAP ERP Financials
SAP AFS (Apparel and Footwear Solution)
http://ictroi.n
et

Implementation Highlights
By utilizing SAPs solutions and best practices, Cole Haan was
able to implement mySAP CRM in five weeks, resulting in lower
implementation costs and immediate turnaround on its
investment.
Increased year-to-year sales growth in revenues by 7.5%
Reallocating 2% of employees to more-strategic roles.
Annual growth rate of 20% 25% without additional personnel.
Reduction in total cost of ownership (people and hardware) of
28.3%

http://ictroi.n
et

VALUE REALIZATION:
Reduced time to close by 40%
Improved days sales outstanding by 5%
Cut resources devoted to credit and collections by 10%
Streamlined business processes
http://ictroi.n
et