ERP, CRM, SCM

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

Enterprise
Business Systems

Enterprise Application Architecture

Enterprise Resource Planning

Internal Business Processes

Customer Relationship Management

Marketing Sales - Service

Customers

Partners

Supply Chain Management

Sourcing - Procurement

Partner Relationship Management

Selling Distribution

Knowledge Management
Collaboration Decision Support

Employees

Suppliers

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

Distribution
Planning

Order
Entry

Enterprise Resource Planning

Purchasing
& Accounts
Payable

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

Finance and Accounting

Human Resources

Customers

Suppliers

Demand Manufacturing Logistics

Planning
Planning
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

Enhance

Direct Marketing

Cross-sell and Up-sell

Sales Force Automation

Retain
Proactive Service

Customer Support

The Internet
CRM
Integrated
Solution

Shared
Customer Data
Partner

Collaborative
Service

Company

Customer

CRM: The Business Focus

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

Sales
Cross-Sell
Up-Sell

Customer
Service and
e-MailSupport

Prospect or
Employee

Telephone

Web

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
Shared
Market Data

SCM
Integrated
Solution
Supplier

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

Collaborative Supply
Chain Planning and
Execution

Customer Value Goals

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

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

Business analytics
Business analytics (BA) refers to the skills,
technologies, practices for continuous
iterative exploration and investigation of
past business performance to gain insight
and drive business planning.[1] Business
analytics focuses on developing new insights
and understanding of business performance
based on data andstatistical methods.

BA VS BI
In other words, querying, reporting, OLAP, and
alert tools can answer questions such as what
happened, how many, how often, where the
problem is, and what actions are needed.
Business analytics can answer questions like
why is this happening, what if these trends
continue, what will happen next (that is,
predict), what is the best that can happen (that is,
optimize)