ERP, CRM, SCM

Source: OBrien, James. Introduction to Information Systems, 12e, 2005

Enterprise Business Systems

Enterprise Application Architecture
Suppliers
Supply Chain Management Sourcing - Procurement
Partner Relationship Management Selling Distribution Knowledge Management Collaboration Decision Support

Employees

Enterprise Resource Planning Internal Business Processes

Customer Relationship Management Marketing Sales - Service

Customers

Partners

Enterprise Resource Planning

The Technological Backbone of e-Business
Production Planning Integrated Logistics Sales, Distribution, Customer/ Employee Order Accounting Management Human and Finance Resources

Enterprise Resource Planning The Business Value of ERP

Demand Manufacturing Logistics Planning Planning Planning

Distribution Planning

Order Entry

Purchasing & Accounts Payable

MRP Manufacturing Inventory Distribution Inbound & Production Control & & Accounts Inventory Scheduling Warehousing Receivable Plant Mgmt.

Finance and Accounting Human Resources

Customers

Suppliers

Enterprise Resource Planning

Enterprise Resource Planning Benefits of ERP

Quality and Efficiency Decreased Costs Decision Support Enterprise Agility

Failures in ERP Do Exist

Enterprise Resource Planning

Causes of ERP Failures
Underestimating the Complexity of Planning, Development, and Training Needed Failure to Involve Affected Employees Trying to do Too Much Too Fast Over Reliance by Company on Claims of Software Companies

CRM: The Business Focus

Supports an Integrated and Collaborative Relationship Between a Business and its Customers
Customer Life Cycle
CRM Functional Solutions

Acquire
Direct Marketing

Enhance
Cross-sell and Up-sell

Retain
Proactive Service

Sales Force Automation

Customer Support

The Internet
CRM Integrated Solution Shared Customer Data Collaborative Service

Partner

Company

Customer

CRM: The Business Focus

CRM Uses IT to Create a CrossFunctional Enterprise System
Marketing and Fulfillment
Fax

Customer Service and Support e-Mail

Web

Sales Cross-Sell Up-Sell

Prospect or Employee
Telephone

Contact and Account Management

Retention and Loyalty Programs

CRM: The Business Focus

Benefits and Challenges of CRM
Identify and Target the Best Customers Customization and Personalization of Products and Services Track Customer Contacts

CRM Failures

50% of Applications Fail to Meet Expectations 20% of the Time CRM Damaged Customer Relationships Lack of Understanding and Preparation is Blamed

CRM: The Business Focus

Gevity HR and Monster.Com: Failures in CRM Implementation
Employees Undercut the System Believing Their Jobs Threatened by CRM On-Line Customer Problem Solutions. Complex Installation Since it Touches So Many Legacy Systems Failures Lead to Loss of Customer Goodwill and Business and Negatively Affects Employees Also

CRM: The Business Focus

Telstra Corporation: The Business Value of CRM
Provides Fixed, Wireless, and eCommerce Services to Customer Base in 19 Countries Offers Voice, Data, Internet, Multimedia and Communications Services Sought CRM Solution to Integrate More than 20 Core Legacy Databases Across the System Benefits Quickly Followed Reduced Training Time

SCM: The Business Network

SCM Software Helps Firms Reengineer and Integrate The Functional SCM Processes
Supply Chain Life Cycle
SCM Functional Processes
Commit Schedule Make Deliver

Strategic Sourcing Forecast and Demand Planning and Procurement Customer Order Fulfillment Service Distribution Network and Warehouse Operations Production Transportation and Shipment Logistics Management

The Internet
SCM Integrated Solution
Supplier

Shared Market Data

Manufacturer

Collaborative Fulfillment
Retailer Customer

SCM: The Business Network Supply Chain Management : a

top strategic objective for many firms The Right Products The Right Place The Right Time In the Proper Quantity At an Acceptable Cost

SCM: The Business Network

Objectives of Supply Chain Management

Business Value Goals
Rapid Demand Fulfillment

Customer Value Goals

Give customers what they want, when and how they want it, at the lowest cost

Collaborative Supply Chain Planning and Execution

Interenterprise Effective Responsiveness and Coordination of Distribution and Manufacturing and Channel Partnerships Accountability to Customers Business Process

SCM: The Business Network

Objective of SCM Efficiently Manages this Process by:

Forecasting Demand Controlling Inventory Enhancing Business Relationships Receiving Feedback and Status of Every Link of the Chain

SCM: The Business Network

Benefits and Challenges of SCM

Lack of Proper Planning Knowledge, Tools, and Guidelines Inaccurate Demand Forecasts Lack of Adequate Collaboration Software Itself Immature

Enterprise Application Integration

EAI Software Connects Major eBusiness Applications Like CRM and ERP
Front-Office CRM Applications Customer Service Field Service Product Configuration Sales Order Entry Enterprise Application Integration EAI Back-Office ERP Applications Distribution Manufacturing Scheduling Finance