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!