Enterprise Applications by anandrathi0071


									Business Information System

                           Enterprise Applications
                           Enterprise Resource Planning (ERP):
An enterprise resource planning (ERP) system is an integrated computer-based application used
to manage internal and external resources, including tangible assets, financial resources,
materials, and human resources. Its purpose is to facilitate the flow of information between all
business functions inside the boundaries of the organization and manage the connections to
outside stakeholders. Built on a centralized database and normally utilizing a common
computing platform, ERP systems consolidate all business operations into a uniform and
enterprise-wide system environment.

An ERP system can either reside on a centralized server or be distributed across modular
hardware and software units that provide "services" and communicate on a local area network.
The distributed design allows a business to assemble modules from different vendors without the
need for the placement of multiple copies of complex and expensive computer systems in areas
which will not use their full capacity

                                  Supply Chain Management:
Assignment 2                             Anand Rathi (2803146)                           Page 1
Business Information System

Supply chain management (SCM) is the management of a network of interconnected businesses
involved in the ultimate provision of product and service packages required by end customers.
Supply chain management spans all movement and storage of raw materials, work-in-process
inventory, and finished goods from point of origin to point of consumption (supply chain).

Another definition is provided by the APICS Dictionary when it defines SCM as the "design,
planning, execution, control, and monitoring of supply chain activities with the objective of
creating net value, building a competitive infrastructure, leveraging worldwide logistics,
synchronizing supply with demand and measuring performance globally."

Supply Chain Management and Materials Management are competitive business edge today. In
many organizations, materials form the largest single expenditure item, accounting for nearly 50
to 65 % of the total expenditure.

With competition growing by the day , cost reduction in business operations and yet making
available various products to customers , as per their requirement, come into sharp focus.

Maintaining a flawless supply chain across all its operations thus becomes absolutely necessary
for any business.

Importance of supply chain management need not be over emphasized as it has become the
cutting edge of business, after product quality and manufacturing capabilities of any business

                     Customer Relationship Management (CRM)

Assignment 2                           Anand Rathi (2803146)                             Page 2
Business Information System

Customer relationship management (CRM) is a widely-implemented strategy for managing a
company’s interactions with customers, clients and sales prospects. It involves using technology
to organize, automate, and synchronize business processes—principally sales activities, but also
those for marketing, customer service, and technical support. The overall goals are to find,
attract, and win new clients, nurture and retain those the company already has, entice former
clients back into the fold, and reduce the costs of marketing and client service. Customer
relationship management describes a company-wide business strategy including customer-
interface departments as well as other departments.

The use of a CRM system will confer several advantages to a company as Quality and efficiency,
Decreased costs, Decision support and Enterprise agility etc.

The three phases in which CRM support the relationship between a business and its customers
are to:

    Acquire: CRM can help a business acquire new customers through contact management,
     selling, and fulfillment.
    Retain: CRM software and databases enable a business to identify and reward its loyal
     customers and further develop its targeted marketing and relationship marketing
    Extend: web-enabled CRM combined with customer service tools offers customers
     service from a team of sales and service specialists, which offers customers the
     convenience of one-stop shopping.

Assignment 2                           Anand Rathi (2803146)                             Page 3
Business Information System

Cisco Systems Inc. is a very good example of a company where all of the enterprise applications
are used. In the year 2001 the company has experienced a well known write down of around $2
million. At that time all the enterprise applications were designed to handle the growth
accordingly. But when the bubble was blasted the company had a inventory of 2 billion which
could not be moved. But the efficient use of the all enterprise applications by the company
helped the company to come out of this problem.

       Enterprise Resource Planning (ERP at CISCO):-
   The main objective of any company is to determine how to increase the ability to produce
    and how to increase the production capacity.
   All the departments and the systems within the organizations are connected through the ERP
    software engine.
   This software application helps to identify the process of the organization which would give
    the maximum output.
   The application enriches the communication process within the firm and its various
   The ERP focus on the all functions of the organization.
   It is a way of business approach.
   There are many examples in the organization where the ERP system is used like while
    placing an order, in customer relationship management (CRM), supply chain management
    (SCM) etc.
   While placing an order it is very helpful to use the ERP application we come to know by
    itself that a particular material is out of stock or will be out of stock in a short while and will
    also give us the quantity to be ordered to meet the requirements.

Assignment 2                             Anand Rathi (2803146)                                  Page 4
Business Information System

   While dealing with the customer also it helps, as the customer if he is placing the ordered
    online then immediately the information is transferred to the sales department for further
         Cisco is using this application since last 10-12 years and has a great success in all its

         Although it is a beneficial to a firm to implement the ERP it is a very tedious job to
train the employees for that and it is also very expensive. Many organization does not apply it
because it changes the process of the organization ad which requires a lots of efforts and money.

       Customer Relationship Management (CRM at CISCO):-
            CRM has three major areas to focus on:
               1. Call center system.
               2. Help Desk application.
               3. Sales Force Automation.

In Cisco the CRM used by the company helps the company to get close to the customers through
their call centers and the website by providing various services and help. The management at
Cisco is extracting the revenues by implementation of the CRM by marinating the good
relationship with the customers. As in any organization it is very important to know what the
customer wants and their needs and their likes, dislikes etc. which is definitely a very critical job.

But CRM had helped a lot to overcome these problems. It helped the Cisco by integrating the
Financial System, Order Management System, Quality Control Management.

It is a connection between the buyer and the sellers.

For example Amazon.com, Ebay.com and many other hospitals have implemented the

Assignment 2                             Anand Rathi (2803146)                                 Page 5
Business Information System

       Supply Chain Management (SCM at CISCO):-
              SCM is application which integrates the supply chain of the business.
              It provides the inventories for their for their applications like logestics, supplier
               relationship etc.
              It improves the efficiency and effectiveness of the organization.
              It helps in the control of the inventory cost.
              It helps to understand the customer demand and to produce up to that level.
              In many industries like retail, automobile, information technology, etc this
               application used to a very large extend.
              For example Cisco had implemented it very well and it helped it to overcome its
              The business of the Cisco is increased at a very good level after implementation
               of the SCM application.

                CONCLUSION:-

By using the Enterprise Applications like ERP, CRM .SCM and BI the organization get benefit
in the form of cost saving, better market capture and better customer relationship. Before
implementing these application one have to understand its business very well.

Assignment 2                             Anand Rathi (2803146)                               Page 6

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