chapter 3 :Strategic Initiative for implementing Competitive Advantages

this topic basically describe about 4 basic component of supply chain management,  explain customer relationship management, summarize the importance of enterprise resource planning system and identify how an organization can use business process reengineering to improve its business.

Supply Chain Management(SCM)

-to maximize total supply chain effectiveness and profitability.

4 basic component:-

supply chain strategy -we can learn about the supplier process. where in this sub topic,its thought us about  how supplier managing their resources. example: Gardenia and Massimo,they will use the same raw material

which is wheat, but they will make their products for fulfill  customers satisfaction

supply chain partners - who is provide row material. (deliver finished products, raw material and service)  example: wood transform to wardrobe 

supply chain operation - manufacturing activities. example: packaging

supply chain logistics - focus on transportation. example : to send the finishing product to other place for  market it

Customer Relationship Management(CRM)

 - to maximize customer loyalty and retention and in same time increase the organization profitability.

 - its not technology,but it is strategy process and buss. goal 

 CRM can enable an organization to :-

#identify types of customer (research-analysis types of people)

#design individual customer marketing campaign

#treat each customer as an individual (give satisfaction to all, give a same service)

#understand customer buying behaviors ( different people, have different needs and wants)

Business process Reengineering (BPR)

business process- whatever activities that related to business in term to reduce cost and time

                             Example: customer order

business process reengineering (BPR)- analysis and redesign work flow within and between enterprise

          purpose: to make all business processes best-in- class

            Example: before-McD just can only make an order at the counter,

            Now-can only make a call to make an order

conclusion:

SCM- focus on supplier

CRM- focus on customer

ERP ( also called as MRP) - focus on everything ( process, department and operation)