MIS 2101.701 – Amy Lavin – Summer 2017

Weekly Question #5

Leave your response as a comment on this post by the beginning of class on June 20, 2017. Your response only needs to be about three or four sentences. These weekly questions should reinforce class discussions, readings and show some insight.  

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Here is the question:

This week we talked about SCM & CRM and heard various viewpoints on which systems people use.  Which do you think is more important to an organization?  Why?  Alternatively, we talked about CRMs and how organizations utilize data to learn more about the customers – how do you feel about this?

42 Responses to Weekly Question #5

  • There both very important and critical to an organization, however, I believe the SCM (Supply chain Management) is more important than the CRM( Customer relationship management); because without the proper supplies within a company and without the correct organization and implementation of the SCM, the Customer would never even come into play. Because even if you had a great CRM; if your SCM would be failing, then your company would be losing time, money, and effort. If a company doesn’t have good SCM, then it will fall apart regardless of the CRM. That`s why I believe the SCM is more important to the organization. The CRM; and dealing with the Customer is also very important, probably the second most important part of an organization right after the SCM. Because without the customer and proper maintenance and implementation of CRM, then the company will too also fail. In all businesses/companies the customer is always right, even if there wrong and you have too take a loss. Because in this business world the customer is the most important relationship a successful company will need. I just believe for this question that without a proper SCM; then noting else will flow and get done properly in the company; so that is why I have the SCM just ahead of CRM slightly in terms of importance.

  • CRM and SCM are both very critical to an organization’s success. However, if a company was in a situation where they could only invest in one over the other, it would be a difficult decision. The type of industry the organization is in will determine whether they would invest in CRM or SCM. If a company depends highly on customer relationships, then CRM is the obvious choice, but for industries like oil, CRM would be a waste of an investment. Also, the choice could depend on the company’s current standing. If they were having issues with customers or structural problems, that would determine which to invest in.

  • CRM and SCM are both important to an organization. SCM make sure that all departments of the organization have their materials that they need to complete their work. CRM on the other hand, provide customer support to their customers. They deal with the sales, services, and support side of the organization. Both of these complete an organization as a whole and therefore, both are equally important.

  • I don’t think you could rightfully say that CRM is more important to an organization than SCM or vice versa. Each is very important to successfully running a business in different ways. SCM covers the flow of goods and services from origination to final destination, making sure the right products are on the right shelves at the right times. This is crucial for the success of a business because if the products are not where they are needed or there when they are needed, consumers will go elsewhere to find something to suit their needs, and this helps drive, or otherwise hurts, an organization’s profitability and reputation. On the other hand, CRM systems are crucial to all organizations because they help the firm build relationships with customers to make the customers feel important and like they are getting personalized attention, which keeps them coming back. Therefore, SCM and CRM and both crucial parts of organizational systems in their own ways.

  • As everyone has pointed out, both a CRM and SCM system are critical to an organization. I believe the CRM system is most critical. Business doesn’t exist without customers. An organization should base its operations on the customers needs. They are the start of the pull system or the processing of goods or services. In a pull system information flows back from the customer through organization and product or service flow is from the supplier through the organization to customer. It is important to have the ability to manage your supplier, but the end game is to give the customers what they need. Without the necessary data, information, or relationship with the customer an organization is ultimately unable to properly select the suppliers. CRM manages the most critical piece of business…the customer!

  • I think that both SCM and CRM are very critical to all companies. However, if I had to choose, I think that SCM would be more important. Supply Chain Management manages the flow of goods and services and without this, there would be no customer, making CRM unnecessary. For example, part of SCM ensures that there is enough, but not too much inventory (Just in Time Inventory). If the company had a poor supply chain management system, the customer might order something that the company did not order enough of, causing a delay in getting the product to the customer, which can affect the company’s relationship with the customer.

  • SCM and CRM are both vital to the success and sustainability of an organization. For some organizations, SCM and CRM are equally important while for other organizations, CRM may be more important and SCM may be more important for other companies. (It all just depends on the type of company.) In my overall opinion, Supply Chain Management is more important for companies than Customer Relationship Management because without having the product, or materials to develop a product, it wouldn’t matter how many customers a company has because if they don’t have the product a customer wants or if it will take months to get that product to a customer they will not have their customers for very long. SCM ensures that all the departments in a company receive the raw materials, information, and financial means to complete a job or given order while CRM ensures that customers receive the services and support they need. It’s very important to establish good relationships with suppliers because if you have a great relationship with a supplier, chances are you will receive very good prices and timely deliveries. As stated before, although having a great relationship with customers is extremely important, I believe it is more important to first establish great relationships with your suppliers and obtain the best possible prices and fastest delivery times before strengthening your Customer Relationship Management team. For example, I opened up a 5 star restaurant in Philadelphia I would first establish a solid SCM to get the best raw ingredients (produce, meat, milk, and sugar) quickest deliveries, and cheapest prices. After setting up a great SCM I would then go ahead and spend more time and money establishing my CRM by working with customers to take suggestions and orders while also solving problems and getting new business (target new customers).

  • As both the CRM and SCM are very important to companies, SCM’s are most important in my opinion. Without SCM’s there would be a ton of chaos, lack of products or too high of inventories! This could cause big issues for a company that a CRM would not be able to fix. SCM’s help to make sure all of the vital items for orders, ingredients, etc. are there correctly when needed by the company. Before a good CRM can be established it would be best to spend time and money establishing a strong SCM so there’s no chaos or inventory issues. I feel that when CRMs use data to learn more about customers it can create a bit of a privacy issue, but all in all it helps them to strengthen their business and target customers to things they’d be willing to purchase.

  • CRM and SCM both play a big role in an organization. CRM provides customer service where SCM makes sure the company has the materials it needs to complete business. I personally think that the CRM plays a bigger role for a company. Customer service should be one of the most important things for a business because without customers and good relations the business simply could not run. A company first needs to find a market then offer its services or materials to its customers. Without the CRM there would not be SCM.

  • Properly functioning CRM and SCM systems are both essential for a company to not just operate, but thrive. As for this question, I believe that without one, the other could not properly be administered in terms of the functionality overall of the company. For CRM, which stands for customer relationship management, companies are better able to evaluate and analyze how customers interact with their services in order to better improve related business relationships. Without a CRM, the company may not be able to evaluate what is or is not working.

    As for SCM, which stands for supply chain management, this system allows for the tracking of goods, information, and other business related items. The overall goal is SCM is to achieve efficient fulfillment. With this in mind, SCM saves a company time and money. This is crucial in saving the company from committing irreparable errors. SCM allows for a company’s processes in many aspects to flow better overall.

    Both CRM and SCM go hand in hand and it is important to have both operating in efforts to operate at its fullest potential.

  • I think that the relative importance of CRM & SCM really depends on which industry the company operates in. For manufacturing industry, SCM might be more important because it can help companies allocate production and manufacturing resources more efficiently, get cheaper supplies and distribute products in a more efficient and economical manner. Since manufacturing companies often have great costs of goods sold, a well-managed supply chain can greatly reduce the costs of producing and distributing products. For service companies, CRM might appear more important because their core differentiating competence is the ability to target and satisfy customers.
    I think that using data from CRM system to target and tailor information for customers is totally acceptable provided that it is operated within the legal framework. After all, the data is collected by customers who willingly submitted their information and clicked to the privacy terms.

  • While both are incredibly important, I feel SCM is a little more crucial, especially when it comes to manufacturing. If products aren’t being manufactured and shipped in a timely manner, or if there are always shortages or excess inventory, a company will not do well, even if they communicate with customers well. I personally would rather have a product ship to me in a timely manner than to have a sales representative remember my name and relevant information. I’d rather have a good product and bad customer service than a bad product and good customer service. Of course, CRM is so much more than that, but I think in regards to many companies, CRM is irrelevant if SCM is nonexistent and thus, the company is a disaster.
    I’m fine with organizations utilizing data to learn more about the customer. In some ways, it’s frightening how much information we knowingly and even unknowingly put on the internet, but it’s not necessarily an invasion or dangerous. It’s always weird to see Facebook ads that directly reference products I searched for on Amazon, but sometimes I do even click because it is indeed relevant.

  • I believe that having a CRM is more important than a SCM when starting out in an organization. Even though a SCM gives you the opportunity to optimize your supply, it is not possible at all without a proper platform in which the orders can be placed. This is where a great CRM comes in. A CRM system that is created and utilized properly gives an organization a clear advantage over its competitors and allows an organization to properly communicate with and analyze their customers’ data.

  • Before this week, I probably would have said CRM is more important. I understand the importance of customers on an organization. However, now I think that SCM is more important. SCM is absolutely crucial for the success of an organization. There are so many independent parties in bringing a good to a consumer, and therefore many areas where this process can go wrong. By focusing on SCM, organizations can be a well-oiled machine as opposed to unorganized and sloppy. Basically, a strong SCM sets up a firm up with a very solid base that makes other things easier. CRM, for example, depends on a strong SCM. If a customer is worried about receiving the wrong product, a strong SCM could have avoided this situation, or if it hadn’t it could at least make it easier to explain and fix the problem.

    I am not crazy about the fact that my information is out there being bought and sold by different companies. However, our technological state today makes in inevitable. I have never felt any negative effects of big data as far as I know, so I don’t mind it too much. I think that consumers should be smart and aware of how they spread their information and that companies should understand that utilizing data does not mean our privacy must be invaded. After all, if that happens, consumers will just shop elsewhere.

  • In my opinion, both CRM and SCM are critical to an organization. Customer Relationship Management refers to a process that focuses on identifying, maintaining, establishing and growing long-term relationships with a customer. This forms a bond between a customer and its business. One of the biggest benefits of a CRM is knowing who your customer is and helping to point them in the right direction or to keep them engaged so that they’ll continue to be part of your organization in one way or another. SCM allows for the tracking of goods, information, and other business-related details. Organizations increasingly find that they must rely on effective supply chains, or networks, to compete in the global market and networked economy. Both CRM and SCM play a big role in an organization.

  • SCM and CRM, they are both very important for a business, but I SCM is more important for a business.
    We need to produce something, before we can take our product to a customer and we also need to make money. For these, we need SCM system.
    Although, CRM help a company to know their customer, but in the same time, it sometimes get too personal. Privacy is a big issue in this case too. With proper way, CRM could be a game changer for any business.

  • I believe CRMs bring more value to an organization, because it allows the firm to gain a deeper understanding of the customer, regardless of industry, so that business can be improved as stronger relationships are established, and in return, customer loyalty increased. Don Peppers, a renown marketer, said that “without customers you don’t have a business – you have a hobby”, and that quote seemed fitting when weighing in which system is more important to companies in general. At the same time, as our businesses collect more and more customer data to gain insight into their habits, I feel that we have a growing responsibility to invest in safeguarding this data, and in building a strong ethical corporate culture in our organizations; otherwise, corporations of all sizes will inevitably expose themselves to losing customers’ trust and/or risk failing altogether.

  • Both Supply Chain Management and Customer Relationship Management play critical roles in any organization or business. Supply Chain Management involves the movement and storage of raw materials, of work-in-process inventory, and of finished goods from point of origin to point of consumption. This helps a business or organization stay organized and up to par with all their resources and inventory on hand. Customer Relationship Management refers to the practices, strategies, and technologies that companies use to manage and analyze customer interactions and data throughout a customer’s lifecycle. The goal is to increase the customer retention rate and help drive sales. In my opinion, it is more important to have a credible SCM system in place rather than CRM system, because before you can even have customers, you need to have the products or services readily available for them to purchase. SCM systems track and ensure that the customer receives the finished goods they requested by the date needed. If a company or business can not do that successfully, then they won’t even have customers, therefore making a CRM system unnecessary.

  • There is no doubt that both Supply chain management and Customer Relationship Management have a important role in an organization. They have different function and advantage in company operation, I think which system is better is depend on what kind of company is.Personally, CRM system is more important than SCM system because it gives a right direction that how to make customers satisfied and know how customers feel about their services and products.

  • Both CRM and SCM are highly important tools to run a successful business, however, I believe that CRM is a exponentially more important. For example, a business can have all the inventory in the world but if they aren’t able to manage their relationships with their customers than they won’t have a business. Secondly, I think that it is okay for businesses and organizations to start to utilize their customer data to get a better understanding for their customers because it works as a win-win situation. The business gets more revenue from the customer and the customer is continuously satisfied with their transactions.

  • In my opinion a CRM is more valuable to an organization than an SCM because it provides extremely valuable insights into customer habits and preferences. Businesses rely on their customer relationships possibly more than any other aspect, because in the end, if there are no customers, there is no business. Managing inventory with an SCM is still very important for cost and time efficiency. Personally, I feel that data collected by CRMs is fine as long as it is done in an ethical way, and the customer’s privacy is not compromised. I also think that there needs to be government regulations that ensure the protection of sensitive customer data.

  • Both CRM and SCM are very valuable assets to any company however, I believe SCM (Supply Chain Management) is more important than CRM (Customer Relationship Management). CRM allows you to know important information about your customers that can be used to target the right customers, keep current customers, and be the driving force of your sales. However, without a properly functioning SCM a CRM cannot strive. This is because without proper inventory, organization, and implementation that a SCM provides you cannot truly offer the services a CRM is made to utilize.

  • I think the CRM is the more important to the organization. Organization are able to succeed do to their clientele base. Without the clientele, they would have to close do to not making profits. Therefore, CRM or customer relationship management to me is more import than SCM. SCM are still important to organization though.

  • In order to run a company to its full potential, you would need both SCM and CRM. But to me without a SCM a company cant function correctly. With the lack of a SCM the company many not be efficient enough to get tasks done, or make a wrong amount of an item and just so much is at risk. When it comes to CRM, it makes advertising and selling much easier. If you put time into your customers you will inevitable build a stronger relationship and know how and what to sell to the said person.

  • It’s hard to decide as both are important to an organization. I am ultimately going to say that CRM is more important to an organization because in my job, we focus more of the importance of CRM versus. We use CRM more heavily because all the other departments in our business group use it. So sales starts with CRM, my department (implementations) receives it and then it’s passed to customer service thereafter for maintaining it.

  • SCM and CRM are both important to an organization. Supply chain management strategies enable companies to ensure the business has the materials, information and financial resources it needs to produce quality goods and services in a timely manner, while customer relationship management programs are used to ensure parts and service get to customers when needed after sales are completed by automating business processes used for sales, service and support. In my opinion, they are both equally important, both strategies work together to maximize efficiency of one organization.

  • I believe both are essential to the success of an organization. But, if I had to choose one I would choose CRM. I think CRM is more important to an organization because CRM works to attain and attract clients to the organization. Without a client base, there is no need for SCM, although SCM does help to keep and attract clients as well.

  • Both systems are important systems to have in an organization, especially in industries like retail where you need a SCM system to have efficiency and CRM to support building relationships with customers. Ultimately I believe that SCM is more important. Mainly because managing materials, information and finances in an organization is essential for its success. There are many cases where CRM is needed but if the customer is unable to buy what they intended to buy due to the lack of management of inventory or anything else, the consequences are much more severe. Aside from that perspective, SCM also involves finances, and anything that directly affects finances in an organization is significant. SCM can potentially reduce costs for the company if the systems manages operations the correct way.

    Using CRM’s to learn more about the customers is a great way to generate revenue for the organization in the short run and long run. However, I believe there should be a boundary to what and how much information an organization is allowed to capture and use to their advantage.

  • In my option, CRM and SCM are very important for a business organization. They just focus on the different emphasis. Integrate supply chain management and customer relationship management functions to maximize benefit operations.
    Supply chain personnel work with vendors. Supply chain management strategies enable companies to ensure the business has quality goods and services in a timely manner.
    Customer relationship personnel work with customers. Customer relationship management programs are used to ensure parts and service get to support.

    However, CRM is more important to the organization. Every company is easier to find the suppliers, but it hard to find the customers. Because when customer value the customer service that they receive from suppliers, they are less likely to look to alternative suppliers for their needs. CRM enables organizations to gain competitive advantage over competitors.

  • I believe SCM are more important tan CRM because although having a great relationship with your customer is definitely a plus one can’t manage a business without have the proper details of inventory, etc. One wants to have a great relationship with their customers so they will buy another product, because having a SCM is what is essential to being successful in business. SCM can make or break your business and buy having information about a business you can progress. You can learn from your mistakes and give customers a product that they want.

  • I think that, in the American economy, that the SCM is more important than the SCM. We have seen businesses that have grown exponentially and have evolved greatly due to their ability to have a strategic focus on supply chain management. Using Walmart as an example, this SCM based company has put many CRM based companies out of business simply for them to be able to effectively move their commodities to where they are needed in the most effective and efficient ways possible.

  • I believe both SCM and CRM are important to organizations. I think it depends on what type of organization it is to determine whether SCM or CRM is more important. If there is a retail company, i think SCM would be the better program to use because the majority of the company’s product has a supply chain, so it is important to manage that accordingly. However, a retailer should still utilize CRM because customers drive the sales. On the other hand, if the organization is a travel agency like we discussed in class, CRM would be the better fit because a service oriented organization is not reliant on its supply chain as heavily. Instead, their business is driven by the customers they acquire. I think that using CRM’s data to learn more about your customers can be a very beneficial tool for businesses. The more you efficient you are at finding new customers or serving your existing customers can help grow a business.

  • I believe both CRM and SCMs are very important to a business. In some ways, they could even be seen as connected. For example you want your customer to be happy and nothing makes a customer happier than getting a product when they want how they want and for a good price. However, if you have a poor or no SCM you may not be getting you product out in a timely fashion or in a way the customer would like. Also if you’re not efficient in your SCM you may need to charge the consumer a higher price and one they are not willing to pay causing them to go somewhere else. As for how CRMs are used in the gathering information in my opinion its fine as long as it stays in the company. When it comes to customer service I almost expect them to know me and understand an issue I may be having but what I don’t want is to find out information I gave one place was give (or sold) to another company to be used to try and get me to use their items/services. So for me at least so long as what I GIVE is kept in that company I don’t mind that there collecting it to improve their CRM.

  • I think that both SCM and CRM are important in an organizations. Each have their own benefits in an organization. I feel that CRM is a bit more important because you can use a CRM when dealing with a large customer service base organization. CRM helps the employees respond more quickly and effectively. Tracking the steps along the way so your business is collecting mounts of data. You can use that data to formulate better plans that will help your organization and make it more profitability in the long run.

  • I think CRM is very important to an organization because its makes it easy for companies to work together on specific projects. The company I work for has their own CRM system and it is used to keep tract of clients we have and the activities for each person. The CRM system we have in place makes it easy to transfer different tasks from one employee to another, without having to worry about mix ups.

  • I agree with most of my fellow classmates post that SCM and CRM are both vital to most organizations success. While supply chain management I believe is just as vital if I had to chose, I would choose CRM as being the most vital. As we discussed in class CRM focuses on maximizing profits. As a ” for profit” business or organization, that is the goal. While reducing cost is a key process making more money can outweigh the cost reduction.

  • I think both CRM and SCM are vital. . Each one has their own benefits to help a company success. If I had to chose one, I think that CRM is more important, because regardless your type of business, you have to build customer relationship. Nothing is more important to a business than its customers; protecting and developing those relationships are the key to future success.

  • Both SCM and CRM are vital to an organization. However, I feel like CRM is more important because that would imply that there is a strong, positive relationship between customers and businesses. Thus, if something were to go wrong on the supply chain end, the business wouldn’t have to worry as much about how their clients take it because they should have a good relationship. After discussing CRM’s, I thought it is useful for any company because the information collected creates a better look at customer make up and can help the company in the future to better adjust to the needs of their customers, while at the same time initiating a better relationship between the customer and the company.

  • Based on what we have learned it seems as though SCMs and CRMs are both equally important to run a successful business. Both are important for different reasons. SCM helps a firm function properly and CRMs help with customer relations. I think if I had to pick one that is more important it would be CRM. While SCM is important I think CRM is more important due to the fact the customers keep a business thriving. Without pleased customers there is no business.

  • In my opinion CRM is the more important system to master within an organization. I think that the data that comes with analyzing CRM is invaluable to an organization. Understanding and tracking your customer is very important to knowing your brand and what the consumer wants. This will allow businesses adapt and further succeed because they know what the consumer wants and how they react to what the business is doing.

  • Sorry for the late response. I am currently on the West Coast and was restricted to Internet access.

    SCM or CRM being more important largely depends on the needs of the individual organization. If the organization is more focused around getting clients, managing those leads, and communicating with them, then a CRM makes more sense. If the organization is worried about how it handles its inventory and supplies, then a SCM makes more sense to focus on. I believe learning more about your customers makes sense. From a customer’s perspective I can definitely see how it would be concerning, but from a profitability perspective, it makes sense to know as much as possible about each customer so you can maximize profitability.

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