chapter three : STRATEGIC INITIATIVES FOR IMPLEMENTING COMPETITIVE ADVANTAGES

hi! we meet again!. now i would like to discuss about chapter three stuff.

First of all, we have to understand the Supply Chain Management (SCM).

SCM involves the management of information flows between and among stages in a supply to maximize total supply chain effectiveness and profitability

There are four basic component of SCM :

1) supply chain strategy

• managing all the resources required to meet customer demand for all products and services.

2)supply chain partners

• the partners chosen to deliver finished products, raw materials, and services including pricing, delivery, and payment processes long with partner relationship monitoring metrics. 

3)supply chain operation

• the schedule for production activities including testing, packaging, and preparation for delivery. 
• measurement for this component include productivity and quality. 

4)supply chain logistics

• the product delivery processes and elements including orders, warehouse, carriers, defective product returns, and invoicing. 

                                                               

 

Now let see what is Customer Relationship Management (CRM).

CRM involves managing all aspects of customer's relationship with an organization to increase customer loyalty and retention and an organization's profitability. It also allows an organization to gain insights into customers' shopping and buying behaviors in order to develop and implement enterprise-wide strategies. 

For the business process reengineering, (BPR), it is the analysis and redesign of workflow within anf between enterprises. The concept of BPR traces its origin to management theories developed as early as the 19th century. the purpose to make BPR is to make all business process the best-in-class. 

There are seven principles of BPR.:

1. organize around outcomes, not tasks.
2. identify all the organization's process and prioritize them in order of redesign urgency.
3. integrate information processing work into the real work that produces the information.
4. treat geographically dispersed resources as through they were centralized.
5. link parallel activities in the workflow instead of just integrating their results.
6. put the decision point where the work is performed, and build control into the process.
7. capture information once and at the source.

  Next, we are going to discuss about entering resource planning (ERP).

ERP integrates all departments and functions throughout an organization into a single IT system, so that employees make decision by viewing enterprisewide information on all the business operations.
                                   

                                        

ok, thats all for now. bye!

chapter two : IDENTIFYING COMPETITIVE ADVANTAGE

hello there! I'm starting this chapter by defining WHAT is competitive advantage (CA).

According to the slide given, it is defined as a product or service that an organization's customer place a greater value than similar offerings from a competitor. But, we have to realize that CA is temporary because the competitors keep duplicate the strategy.

Now we are going to discuss about the forces model. There are five forces in Porter's Five Forces Model, which is :

1) Buyer power.

• High - when buyers have many choices of whom to buy.
• Low - when their choices are few.
• An organization must make it more attractive to buy from the company and not from the competitors in order to reduce buyer power. 

2) Supplier power.

• High - when buyers have few choices of whom to buy from.
• Low - when their choices are many

3) Threat of substitute products and services

• High - when there are many alternatives to a product or service.
• Low - when there are few alternatives from which to choose.
• Basically, an organization would like to be on a market in which there are few substitutes of their product or service.

4) Threat of new entrants 

• High - when it is easy for new competitors to enter a market 
• Low - when there are significant entry barriers to entering a market
  *entry barriers is a product or service feature that customers have come to expect from organizations
     and must be offers by entering organization to compete and survive

5) Rivalry among existence competitors 

• High - when competition is fierce in a market
• Low - when competition is more complacent

 Have you ever heard about Porter's generics strategies? Here you go.

Three Generics Strategies :

1) Cost Leadership

• becoming a low-cost producer in the industry allows the company to lower prices to customers.
• competitors with higher costs cannot afford to compete with the low-cost leader on price.

2) Differentiation

• create competitive advantage by distinguishing their products on one more features important to their customers.
• unique features or benefits may justify price differences and stimulate demand

3) Focused strategy

• target to a niche market 
• concentrates on either cost leadership or differentiation.

wise word, you think? 

That's all for now. Till then, see ya! :)

chapter one : BUSINESS DRIVEN TECHNOLOGY

hi! today i will share with you guys about the very basic of Information Technology (IT).
by the definition, it is means by a field concerned with the use of technology in managing ad processing information.  it is an important enabler of business success and innovation.

here's are a few things that is important to be understand.
1) data - raw facts that describe the characteristics of an event
2) information - data converted into a meaningful and useful context
3) business intelligence - applications and technologies that are used to support decision-making efforts.

In organizational information cultures, there are four types of it.
1) Information-functional culture

•  the employees use information as a means of exercising influence or power over others. 

2) Information-sharing culture

•  employees across departments trust each other to use information to improve performance.

3) Information-inquiring culture

• employees across departments search for information to better understand the future and align themselves with current trends and new directions.

4) Information-discovery culture

• employees across departments are open to new insights about crisis and radical changes and seek ways to create competitive advantages. 

So, thats all for chapter one. TQ!  :)

we're connected to the whole world by technology :)