MIS 2101.703 – Amy Lavin – Fall 2018

Weekly Question #5

Leave your response as a comment on this post by the beginning of class on October 3, 2018.  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.  Both are mission critical systems for some organizations.  Which do you think is more important to an organization?  Why?  

29 Responses to Weekly Question #5

  • I personally think CRM is more important because it is one of the most important factor to increase your business sales. People always “customer is king”, this is because without customer, businesses wouldn’t even be exist. CRM helps business learner learn about their customers, what did they buy, why did they buy it. Which also helps with their future predictions. I am a Rouge member of Sephora (which is the highest level). Sephora database probably has all my informations with my previous purchases, how much i spend a month there, etc. This helps Sephora to send out informations of the new products that is interested me (this is a way of marketing also) and increase revenue. Also Sephora always makes sure I and every other customers have their birthday gift (Which means their data collect my DOB). I always end up buying more items when I come pick up the gift. There are much more data info about me and every other girls inside Sephora CRM system. This is an example of CRM that I think is related. I myself only shop here because of their customer services and how much they understand about me. Just from me, Sephora won other competitor such as Amazon or Ulta beauty, etc just by collecting information about me as well as knowing what their customer want.

  • I may be a little biased here, but Supply Chain Management is equally as important, if not more than Customer Relations Management. I say this because, SCM actually includes CRM in a way. From where I stand, supply chain is all about turning raw materials into finished goods and everything in between all the way to delivery and goods sold. Ultimately, it’s is supply chainn’s ultimate goal to please the customer and to do everything in it’s power to get it from point a to point b at the best price and best quality possible, and delivered to the customer on time. Within supply chain managment you are managing everyting from other suppliers (where you are actually the customer) and working with those suppliers toward the same end goal, to logistics, inventory levels, quality, planning and delivery. It encompasses every aspect and makes customer requirements come to fruition.

  • While both are very important to an organization, I believe that an SCM is more important than a CRM. It is very important to have an efficient way to maximize customer data for many reasons, but if you don’t have a proper SCM there won’t be any customers to manage. A CRM can increase business sales, but I think that without a proper SCM your sales would decrease even more. In a time where technology is so crucial, the next best company will have an effective SCM, meaning customers can get their products quicker.

  • Although I think that CRM is a great way to measure and evaluate prospects and increase business sales, I think that supply chain management is more important to an organization. Proper supply chain management is crucial to delivering the right products to customers, within a fair time frame, at the lowest possible costs. Supply chain management is also complex as it incorporates several different entities like suppliers, manufacturers, distribution and the customer, so there is a greater chance that something goes wrong within the process. By having a fully functioning and appropriate SCM system, customer requests will be more likely to be met, leading to happier customers and increased revenue for the organization. Without SCM systems, organizations would struggle transferring products and information across the different entities leading to decreased production effiency.

  • I firmly believe SCM is more important to an organization, although both are essential to all business structures for creating sales opportunities and increasing revenues. SCM follows the manufacturing of a product from the time it is ordered and turned from raw materials to a good all the way until it arrives at a consumer’s doorstep or in a store somewhere. This type of management ensures consumers are receiving correct products on time and for a fair price. Without it, there would be structure to how a product goes from Point A to Point B on a consistent basis, which will lead to decreased efficiency within the organization and other consequences such as decreased customer satisfaction and decreased sales.

  • This is a tough question because both are so essential in running and efficient and effective business. If I had to pick one I believe that SCM is more important. Although CRM is important too, without SCM the product/service wouldn’t effectively be delivered to the consumer, therefore CRM wouldn’t exist. SCM follows a product/service from the very start of production to arriving a consumers door. The management of this system is so important. When managing a supply chain and making it more efficient for consumers it encompasses some aspects CRM, but overall I believe SCM is more essential to a business.

  • SCM will help cut cost tremendously and make your entire business run much smoother. On the other hand you need customers in the first place before you could ever think of SCM. Therefore I think that CRM is more important. CRM will help you maintain your customers and make sure that their experience is pleasurable. I would make sure to try your best to have both because they compliment each other very well.

  • I think that SCM is more important to the organization because SCM is what cuts costs for the production of the company’s products. A company needs a profitable product before they have customers and once they have a SCM running and making profit, CRM will help with the customers. I feel that in order to first become a successful business SCM is the first important step to take to guarantee a profitable product for consumers.

  • I believe that SCM is more important that CRM because without SCM there would be no customers to manage. It also helps cut costs for the company’s products as well as effectively deliver the product that the company is trying to produce. SCM is more involved in the process of production, from start to finish, including getting to the product to the customer’s door. Not to knock down CRM because it is just as important, but SCM is what you need to start anything.

  • A successful supply chain management system is crucial for businesses these days because efficiency is the name of the game. SCM systems allow for so many crucial business processes to be automated and completed with maximum efficiency. Without proper SCM, most businesses would not be able to survive since in order to have a any kind of customer base you must first have a sufficient system for quickly getting them what they need. CRM is also extremely important for a business but before a company focuses on retaining customers they first have to acquire them, which is why I believe SCM to be more important.

  • I believe that a customer relationship management system can be great for a business and can contribute to success; however, I believe that a supply chain management system is more important. We all can agree that a positive relationship with customers is great for a company’s wellbeing. This is why a customer relationship management system can do fantastic things. I say that a supply chain management system is more important because with a highly efficient supply chain, a company avoids a great deal of grievances that a customer relationship management system would be needed for. What I am saying is that an efficient SCM system can help a company survive without a CRM system, while a company with only a CRM system would have great difficulty thriving without competent supply chain management. By optimizing the flow of goods and services from beginning to end, a company will have much more satisfied customers, thus reducing the necessity for a CRM system.

  • This is a though question because I feel like SCM includes pieces of CRM. If I have to pick only one, I chose Supply Chain Management. SCM has control to reduce operating costs, boost customer service, and improve the financial standing of a company. Reducing operating costs, such as production costs that aide in causing any delay are prevented when using SCM. Customers expect to receive the correct product mix and quantity to be delivered on time and delivered to the correct location. If the customer receives their order but is missing some of their items, the customer will lose faith in your company which would hinder them from becoming a returned buyer. Lastly, a SCM can also improve financial position, such as increasing cash flow. A SCM contributes to the speed of production flows, thus adding value to the company, its product, and customer service. All of these factors of SCM are imperative to a successful business, and would most definitely crash without it.

  • I believe that CRM systems are more critical but this is probably just because I’ve worked more in the customer service side and have seen how much they can benefit the customer which then benefits that company. When I was 16 I worked for a Hampton Inn and when I went to work at the front desk I would log into the CRM system and at the time I had no idea why it was called that at the time. A customer could stay at any Hampton Inn and all of their information would already be there if they were a returning guest they could just come to the desk and sign a piece of paper and go right to their room. The CRM saved the entire process so much time and frustration. Our managers could pull reports and we could find out so much information to help make improvements. If an employee made a mistake they could figure out who exactly dealt with that customer and help train that employee to make sure that experience didn’t happen again. Just overall it can be the eyes of the company so people don’t have to micromanage.

  • I think that SCM and CRM’s are both very important to an organization. However, I believe that CRM is more beneficial. it is imperative that any organization has a good CRM. The better the customer relationship the easier it is to conduct business. Your customers are the people who will keep your business afloat. Improving your CRM will assist in creating and maintaining a good relationship with your customers. I also believe that having a good CRM also means having a good SCM too. The goal is to keep your customers happy and satisfied and the best way to do that is to have the supplies on hand that they need, when they need them. If they have to wait too long for an order they may decide to take their business somewhere else.

  • I believe that customer relationship management is more important than supply chain management because at the end of the day, the customer is the absolute most important component in a business. A good supply chain is essential if you already have a great customer base established which would be the reason you have a ton of orders. If you invest all of your time and money in perfecting a supply chain and none in your CRM then it will have all been for nothing if you have no customers to ship your products to. Now, perhaps on the other spectrum if you have the world’s greatest supply chain then you may have customers who don’t care about having a relationship with you and are only interested in receiving their products and supplies as soon as possible. This can be somewhat seen with Amazon, a ton of their customers (I myself included) were originally attracted to amazon because of the huge inventory they maintained and for their incredible 2-day delivery speed (now same day with qualifying orders over $35, INSANE). However, Amazon doubles down and invest a ton in their CRM to make their website completely customized and designed for each and everyone of us which is in my opinion more important. To me, I love being treated like I’m special and that aspect is a huge deciding feature as to whether or not I make a purchase and am a returning customer. All of the places I shop, all of the restaurants I eat at, the ones that treat me the best are the ones I continue to go back to more and more eager to spend my money.

  • I personally think that both are very essential for businesses to exceed. Since we have to pick one i would pick SCM ( Supply Chain Management) since without supply chain then the products would never make it to the customers to be able to build the relationship. Also with supply chain there is a lot more behind the scenes that happen to make the businesses exceed. Since they have to deal with everything surrounding the products it is very essential since it would be impossible to even have a business without having products. The storage and movement of the products themselves is just a huge part that makes it so important. Both of them are very important for businesses to succeed without having Supply Chain Management businesses would not be able to exceed.

  • If in a hypothetical scenario I had 5 employees as well as funds to create an automated system to allocate to either SCM or CRM, I would choose to automate the SCM and allocate my 5 employees to customer relationship management. My reasoning for these decisions is simple: customers generally prefer to interact with other humans, and suppliers generally don’t care who they interact with. The automated system can more accurately interact and forecast with a supply chain rather than interacting and forecasting customer needs and wants. If correctly implemented, a SCM system would require much less human intervention than a CRM system. I agree with some of the prior comments that the customer is the most important asset for a company, which is exactly the reason I would take the opposite approach and not leave my customers dealing with an automated system. There is a much higher level of minutia required with customer interactions, and I don’t feel an automated system can have the autonomy to deal with specific customer requests. If given the opportunity I would automate both systems, and allow human interaction with both systems.

  • I personally believe that CRM is more important than SCM. Without your customers, you will have no products to sell; therefore, you won’t need a supply management system to optimize your operations in the different areas of your company thats goal is to get the right product on the right shelf at the right time. With CRM you are making sure you have a good relationship with your customers and making sure you are selling products that they enjoy and will buy again or will continue buying different products from your company. With good customer relationship management, you are making sure your customers are creating brand loyalty. I believe that this is the most important because the customers should be your top priority in your business. When you make your customers happy and make sure they are satisfied, you will have a more successful company rather than making sure your operations are going smoothly, but maybe not having a lot of customers or happy customers to sell them to.

  • My perspective in business is to first, have a solid inner foundation in which your business operates, and therefore, SCM is more important. If you are to invest in CRM without a solid foundation, it is like putting the cart before the horse in my opinion. If your inner operations are first in place, your CRM will become easier with fewer complaints, increased customer satisfaction, and repeat customers. As with scenarios given in this class, such as the video presentation by Prof. Doyle, you will have a well-oiled machine, decreasing complaints from customers, and providing time to focus on implementing better customer experiences as you continue to grow. This is not to say CRM is not important, as it is extremely important, but you must build the core fundamentals of operations, and then implement CRM policies and procedures as the next step.

    My experience happened as my partners and I were building an online e-commerce store, Meraki Spa Creations, LLC (www.merakispacreations.com). We failed to make sure our SCM systems (small scale by all means), and this resulted in customers who ordered products which we did not have enough raw materials to fulfill the orders. As the founders of the company, we were frantic trying to email and call customers to apologize. In the end, we were providing discounts, absorbing the shipping charges, and working extra to fulfill orders.

    P.S. if you love bath bombs, sugar scrubs, pedicure soaks, bath salts, and other wonderful high-quality products, check out our website below. As students, and if there is enough interest, I will generate a coupon for Temple University Students, Staff, and Faculty!

    Cheers,
    Cody

  • I believe SCM is more pivotal to organizations because it ensures the ability to produce your products and sell them to customers. In a product based company, SCM is the core of your business process. Having an impeccable supply chain management processes will determine your efficiency and productiveness of the company. Although customer relations are immensely important and will increase profitability, it is the SCM that allows companies to even have customers in the first place.

  • I believe both CRM and SCM are super important to an organization but CRM is just barely more important than SCM. If an organization cannot retain and satisfy customers there is not going to be a need for a SCM. I have interned with a grocery store where SCM is super important but the focus was more on the customers before they worried about anything with supply chain. Although I believe that CRM is more important there is no way a business can be successful without both of these in place. Although one may be successful, if the other is failing the business won’t be able to stay afloat.

  • While CRM is pivotal for a business, I believe SCM is slightly more important. A business can have a great CRM system or team, but if their SCM is underwhelming, customers will notice and take their business elsewhere regardless of what kind of customer service they receive. On the flip side, a good SCM system will keep customers happy and coming back. I also believe SCM is more critical to gaining prospective customers. Amazon, for example, has an excellent SCM system. When an order is placed (through Prime), the product arrives at the consumer’s front door two days from then. In my opinion, this is what keeps customers happy before a good consumer relationship system. A business can communicate clearly and efficiently with a consumer all they want, but it will be for naught if they can’t get their product to the consumer. After all, the bottom line for a business is money, and the bottom line for a consumer is receiving what they want. So, if I was a business owner and had to choose between developing a strong CRM or SCM first, I would choose to develop the SCM first. Once a business has enough money, they can create a strong CRM system. A company cannot create a strong system in either area if they can’t sell or deliver their product, as they would have minimal resources to do so.

  • Both CRM and SCM are absolutely critical to an organization, and they work together to generate success. Although, I believe that SCM is more critical overall. Maintaining a steady supply of product to meet demand is critical to a business’s success. Yes: CRM can be extremely rewarding, but if there is no supply then there is no consumer. Overall, while both SCM and CRM can greatly impact an organization, SCM should be prioritized.

  • While both are integral in a successful business, I believe this question can go both ways depending on your field. Talking to my mother, a COO and CFO of a wealth management company believes that without their CRM, they would collapse and lose a lot of business. Although when it comes to something like a manufacturing plant or company SCM is leaps and bounds more important then CRM. Without SCM the product would never make it to the customer. It is the behind the scenes and makes sure the logistics of start to finish actually work and happen. CRM focuses on the customer and your relationship with the customer. Tracking meetings, notes, feelings, thoughts. ect. All these things are essential for a sales type of position the relies on personal client information. So all in all i believe both are just as important, It depends on the company and the situation.

  • I believe that the SCM and CRM are both very important. But I feel that companies should focus more on the CRM portion moe these days considering the fact that the newer generation tends to care more about how they are treated and cared for. As a business, you only make money based on how much the customers like your product or how you make them feel in terms to gain their loyalty, I feel that if we as customers help the companies stay afloat and running we should be their number one priority because without us they would drown in today’s competitive market.

  • I think the SCM is more important in the organization. SCM is not only to reduce the operating cost but also increase customer satisfaction. It makes sure to get the right product with right quantity delivery to the right place in the right time. CRM is to build the long-lasting relationship with the customer. If the customer is not happy with the product due to the delivery delay or product deficiency, then the customer may turn to another competitor. In the other word, if the company cannot make success in the SCM system, then there have no CRM system involved.

  • Although both are essential to business functions, I believe CRM is more important than SCM. Today, in a technology-driven world, the public is consumed with ads and data that influences their buying patterns. Sales drive profits in business and ensuring that the right customers are exposed to the right ads, increases those sales. While SCM produces better products and therefore may retain customer satisfaction and loyalty, it is important to consider the influence of marketing. It is not always the most efficient or highest quality product that sells the most across the market. Frequently, consumers are heavily influenced by strategic marketing and are more inclined to buy lower quality products based on the perceived value created by marketing. CRM generates data to drive sales and target the best market for each product. By understanding consumer patterns through CRM, a business is likely to flourish in a consumer-driven economy.

  • CRM and SCM are almost equally important. However, I believe that Supply Chain Management is slightly more important than Customer Relations Management. Supply Chain Management deals with the functionality of almost the entirety of a business. According to Wikipedia, a few tasks involved within SCM are the movement of raw materials, the processing of materials into finished goods, and moving the finished goods to the customers. Without a proper SCM system intact, large problems could arise within the business. For example, there could be incorrect distribution of goods, or the company could receive the incorrect materials. Too many of these problems could potentially destroy a business.

  • I think both, CRM’s and SCM’s are important in the success of a business. However, I think a SCM system is more important because it helps to organize and keep the entire operation functioning. SCM i think will help to create better products which will then lead to maintaining customers. In my opinion CRM is kind of a part of SCM’s and that if you have an efficient and effective SCM your business will still be able to succeed and maintain customers even without a CRM.

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