Review of supply chain management (SCM)

What are the motivations for an organization to have a good supply chain management (SCM) system?

In order to give organizations a competitive advantage in their respective markets, effective supply chain management (SCM) systems must be adopted. This is accomplished by effectively reducing the risks connected to both the purchase and delivery of raw materials as well as their delivery. An organization is able to save overhead expenses, shipping delays, and waste by using effective SCM systems. In order to enhance their operations, effective SCM combines quality practices including quality management systems, according to Schorsch et al. (2017). SCM systems establish effective inventory buffer levels by including rigorous evaluations.

Define SCM in your own words, and list the major types of SCM software.

Supply chain management (SCM) is a widened field of management whose focus is to provide the customers of an organization with optimal levels of satisfaction at the least costs. Planning applications and execution applications are the two major types of SCM software. While planning applications employ advanced algorithms of the supply chain while looking into the best ways of filling orders, execution applications are employed in tracking the physical statuses of goods, financial information and management of materials.

List the four drivers of SCM and how they impact the system’s responsiveness.

The four drivers of SCM are; transport, inventory, facilities and information. Each of these drivers impacts the responsiveness of SCM in different ways. For instance, inventory cuts down the costs of production through exploitation of economies of scale. Decreased levels of inventory increase the extents of product efficiency through cost reductions. On the other hand, transportation impacts the levels of responsiveness of the supply chain. Supply chain systems are more responsive with faster transportation though not highly efficient. Facilities act as storages of a firm’s inventory between its supply chain phases (warehouses and distribution places). On the other hand, they are useful in the transformation of inventory into the required states. Lastly, information acts as a connector in the stages of supply chain and allows for coordination of events. Efficient information systems play significant roles in allowing an organization to customize its product varieties in ways that they meet the demands of its customers (Schorsch et al., 2017).

What are the major components of e-SCM? And what is e-procurement?

E-procurement, e-logistics, replenishment systems, product development, collaborative planning, supply webs and collaborative design are the major constituents of e-SCM. E-procurement refers to the application of internet technologies in in the procurement of products and services for business efficiencies. E-procurement systems play a significant role in smoothening purchase processes while cutting down an organization’s expenses through controlling its product preferences (Schorsch et al., 2017).

What are the elements and benefits of SCM integration?

SCM integration is made up of the elements listed below:

- Evaluation of opportunities availed by the supply chain

- Development of a vision for ISCM that takes care of the organization’s wider goals

- Development of ISM strategies which cater for current and future opportunities

- Establishment of optimal ISCM structures of organization

- Creation of suitable networks of communication as a way of integrating available systems

- Translation of ISCM strategies into effective actions.

The benefits of effective integration of SCM range from reduction of inventory, conformation of interdepartmental protocols to easy management of the relationships between the company and its stakeholders (Schorsch et al., 2017).

Define the role of CRM in your own words. What are the key differences between today’s CRM and the early generation of CRMs?

Customer Relationship Management (CRM) is a business integrated approach aimed at improving the levels of service delivery of clients through effective productivity, integration of social channels, reducing the time spent with prospects, reduction of service costs and improvement of upsell openings. CRM has undergone massive changes over the years. Early CRM was not as sophisticated as that of current days. The flow of information was basic with high levels of inefficiencies between the different levels of management. This is attributed to inabilities in company-wide sharing technologies (Nyadzayo and Khajehzadeh, 2016). Today, CRM has been customized at departmental levels of organizations as a decision making aid. Modern technologies have been embraced in CRM for process efficiencies, competitiveness and cost reductions.

What are the major types AND major components of CRM?

CRM is divided into three major parts; collaborative, operational and analytical. On the other hand, the major components of CRM are categorized into data mining and analytics, market research, customer service and support and automation of sales force.

Briefly describe the customer relationship processes, and explain what is meant by a “hosted CRM.”

Customer relationship processes are instruments employed by organizations to help them in enforcing better customer relationships. Customer relationship processes are categorized as delivery, support and analysis. Analysis processes aid in collection, collection and scrutiny of customer information from other processes. Delivery processes are aimed at giving solutions to specific problems through creation of direct contact between the organization and customers. On the other hand, support processes emphasize on aiding all other processes that lead to customer contacts (Nyadzayo and Khajehzadeh, 2016).

Hosted CRM systems are those offered to an organization by external vendors. They play a significant role in offering small organizations with the chance of acquiring CRM systems offering high end applications on periodic payments (Nyadzayo and Khajehzadeh, 2016).

Part 2: Evaluate the online CRM system of your bank. What are the key functions included? What is missing? Is it a factor in your banking choice?

I use the Bank of America. While it has numerous platforms that allow for access of services, I have created a lot of interest for its iPad app. The app gives a comprehensive coverage of all the services offered by the bank on other online platforms like its website. The key CRM services offered by the app include full access to my account, checking financial details, the ability of changing my security details, loan applications and trend analysis. I have been a customer of the bank for the last three years and I have not considered its online website platform as a factor of choosing it. The bank’s CRM has undergone revolutionary changes over the years; a factor which makes it a tool of choice.

References

Nyadzayo, M. W., & Khajehzadeh, S. (2016). The antecedents of customer loyalty: A moderated mediation model of customer relationship management quality and brand image. Journal of Retailing and Consumer Services, 30, 262-270.

Schorsch, T., Schorsch, T., Wallenburg, C. M., Wallenburg, C. M., Wieland, A., & Wieland, A. (2017). The human factor in SCM: Introducing a meta-theory of behavioral supply chain management. International Journal of Physical Distribution & Logistics Management, 47(4), 238-262.