how erp works

ERP

CRM

SCM MIS

HRMS

Fouad Gemayel, Francois Mehchy, Joseph Rihani, Magaly Mosleh & Melissa Francis

Outline

1- CRM2- HRMS3- SCM4- MIS5- ERP

CRMCustomer Relationship Management

What is CRM?

“The approach of identifying, establishing, maintaining, and enhancing lasting relationships with customers.”

“The formation of bonds between a company and its customers.”

•CRM requires major integration of systems which few companies have

• CRM requires turning round existing systems to store, record and retrieve on a customer-centric basis

• CRM requires people to stop thinking about departmental boundaries and to start thinking about how as a team the company can help the customer

Cross Selling

•Selling a product or service to a customer as a result of another purchase

•Selling the right product to the right customer

•Selling more products to a customer increases revenue from that customer and costs less than acquiring a new one

•It is critical to understand the ways by which customers evaluate how and whether to respond to promotions

•Not every customer is a good candidate

Up selling and customer retention

Up-Selling•Motivating customers to trade up to more profitable products

Customer Retention•Analyzing customer attrition•Understanding why customers have left•Understanding who

Behavior Prediction

Using modeling and data mining techniques, including:

•Propensity to buy analysis:What product is a particular customer likely to buy next

•Next sequential purchase:What product is a customer likely to buy next

•Product affinity analysis:Which products will be purchased with other products

•Price elasticity modeling and dynamic pricing:Determining the optimal price for a given product

New era of business marketing is dependent upon managing relationships.

Collaborative advantage is:•Demonstrating special skills with “key” customers or•Developing innovative strategies with alliance partners

CRM is revolutionary•Grocery stores have been in the business of stocking shelves

•Banks have been in the business of managing the spread between money borrowed and money lent

•Insurance companies have been in the business of managing loss ratios

•Telecoms have been in the business of completing telephone calls

•Key point: More companies are beginning to view customers as their primary asset

Functionality

HRMSHuman Resources Management System

What is HRMS

•HRMS stands for Human Resources Management System.

•HRMS is a mix between the “traditional” HR job and the use of softwares to do that job.

•Eliminates the majority of the paperwork previously required.

What is HRMS•HRMS currently handles:1.Payroll2.Time and attendance3.Performance appraisal4.Benefits administration5.HR management information system6.Recruiting/Learning management7.Performance record8.Employee self-service9.Scheduling10.Absence management11.Analytics

What is HRMS•The most recommended HRMS softwares:

–HRM Direct

–iCIMS Talent Platform

–Halogen Talent Management Suite

–The Resumator

–TribeHR

–The Applicant Manager

–BambooHR

–Kronos Workforce Ready

–Sage HRMS (formerly Sage Abra)

–Hyrell Online Recruiting and Hiring Manager

(source : www.softwareadvice.com/hr/)

Example: Oracle

SCMSupply Chain Management

What is Supply Chain Management ?

- Example with a bottle of water

- SC covers everything from production, to product development to the information system

- Results from the efforts of various organization

What is Supply Chain Management ?

Managing Supply

- SC are the bones and the muscles of an organisation

-Need to buy high quality materials and services

-Should go well beyond cost - Need to have excellent relationship, negotiation and analytical skills

Supply Chain Management Software

-Planning Applications-Execution Applications-SCM applications open data models

improve the time-to-market of products, and reduce costs

MISMarketing Information Service

What is MIS? A computerized system that provides an organized flow of information to enable and support the marketing activities of an organization.

Components of a marketing info system

4 main constituent parts:●The internal reporting system●The marketing research system ●The marketing intelligence system●Marketing models

Examples of marketing models:· Time series sales modes· Brand switching models· Linear programming· Elasticity models (price, incomes, demand, supply, etc.)· Regression and correlation models· Analysis of Variance (ANOVA) models· Sensitivity analysis· Discounted cash flow· Spreadsheet 'what if models

8 steps to creating an effective MIS

1. Start with the accounting system2. Market information form3. Lead card4. Hot list5. Promotion effectiveness report 6. Market research 7. Secondary research 8. Primary research

ERPEnterprise Resource Planning

Definition● It is a process of managing all resources and

their use in the entire enterprise in a coordinated manner.

● It combines all databases across departments into a single database that can be accessed by all employees.

Benefits of ERP● Improved integration, flexibility, speed and efficiency

● Fewer errors

● More complete access to information

● Lower total costs in the complete supply chain

● Shorten throughput times

● Sustained involvement and commitment of the top management

● Improve product quality

● Provide more reliable delivery dates and higher service to the customer

Risk with ERP implementation

● Expensive (can costs 100 thousands to millions of dollars)

● Time-consuming (can take months to years)

● Transfer of Knowledge (education and training)

● Changes in employee responsibilities

● Impact on organizational structure (front office vs. back office, product lines, etc.)

Main ERP vendors

Before ERP

After ERP