CHAPTER 3

STRATEGIC INITIATIVES 

• supply chain management (SCM)
• customer relationship management (CRM)
• business process re engineering (BPR)
• enterprise resource planning(ERP)

SCM

1. involve the management of information flows between and among stages in a supply chain to maximize total supply chain effectiveness and profitability.
2. can enable organization :
   *decrease power of its buyer
   *increase its own supplier power
   *create entry barriers thereby decrease the threat of new entrants

CRM

1. involves managing all aspect of a customer relationship with an organization to increase customer loyalty and retention and an organization profitability.
2. Charles Schwab and kaiser Permante obtain a great success through CRM system.
3. can enable organization :
   *identify type of customer
   *design individual customer marketing campaigns
   *treat each customer as an individual

BPR

1. business process is a standardized set of activities that accomplish a specific task, such as processing a customer' s order.
2. the analysis of work flow within and between enterprise.
3. to make all business processes best-in-class.

ERP

1. integrate all departments and functions throughout an organization into a single IT system so that employees can make decisions by viewing enterprisewide information in all business operation.
2. keyword in ERP is "enterprise".
3. ERP system collect data from across an organization and correlates the data generating an enterprisewide view.