MGT NOTES

Building a Customer-Centric Organization- Customer Relationship Management Customer Relationship Management (CRM) ·        CRM enables an organization to: -         Provide better customer service -         Make call centers more efficient -         Cross sell products effectively -         Help sales staff close deals faster -         Simplify marketing and sales processes -         Discover new customers -         Increase customer revenues Recency, Frequency and Monetary value ·        Organizations can find their most valuable customers through “RFM” – Recency, Frequency and Monetary value The Evolution of CRM ·        CRM reporting technology - help organizations identity their customers across other applications ·        CRM analysis technologies- help organizations segment their customers into categories such as best and worst customers ·        CRM predicting technologies- help organizations make predictions regarding customer behavi

Extending the Organization- Supply Chain  Management Supply Chain Management ·        The average company spends nearly half of every dollar that it earns on production ·        In the past, companies focused primarily on manufacturing and quality improvements to influence their supply chains Basic of Supply Chain ·        The supply chain has three main links: 1.      Materials flow from suppliers and their “upstream” suppliers at all levels 2.      Transformation of materials into semi-finished and finished products through the organization’s own production process 3.      Distribution of products to customers and their “downstream” customers at all levels ·        Organizations must embrace technologies that can effectively manage supply chains Information Technology’s Role in the Supply Chain ·        IT’s primary role is to create integrations or tight process and information linkages between functions within a firm Visibility ·       

Enabling the Organization – Decision Making ·        Reasons for the growth of decision-making information systems -         People need to analyse large amounts of information -         People must make decisions quickly -         People must apply sophisticated analysis techniques, such as modelling and forecasting, to make good decisions -         People must protect the corporate asset of organizational information ·        Model- a simplified representation or abstraction of reality ·        IT systems in an enterprise Transaction Processing Systems ·        Transaction processing system - The basic business system that serves the operational level (analysts) in an organization ·        Online transaction processing (OLTP) ·        Online analytical processing (OLAP) Decision Support System ·        Models information to support manager and business professionals during the decision-making efforts ·        Three quantitative models used by

Accessing Organizational Information- Data Warehouse ·        Data Warehouse - a logical collection of information- gathered from many different operational databases- that supports business analysis activities and decision-making tasks ·        Extraction, transaction, loading- a process that ectracts information from internal and external databases, transforms the information using a common set of enterprise definitions, and loads the information into a data warehouse ·        Data mart- contains a subset of data warehouse information Multidimensional Analysis and Data Mining ·        Data mining- the process of analysing data to extract information not offered by the raw data alone ·        Databases contain information in a series of two-dimensional tables ·        In a data warehouse and data mart, information is multidimensional, it contains layers of column and rows ·        Cube- common term for the representation of multidimensional information Informatio

Storing Organizational Information- Databases ·        Database- maintains information about various types of objects, events, people and places ·        Database models include: -         Hierarchical database model - information is organized into tree-like structure -         Network database model- a flexible way of repsenting objects and their relationships  -         Relational database model- stores information in the form of logically related two-dimensional tables  Entities and Attributes ·        Entity - a person, place, thing, transaction or event about which information is stored ·        Attributes (fields, columns)- characteristics or properties of an entity class Keys and Relationships ·        Primary keys and foreign keys identify the various entity classes (tables) in the database -         Primary key- a field that uniquely identifies a given entity in a table -         Foreign key- a primary key of one table th