MIS 2101.701 – Amy Lavin – Spring 2017

Weekly Question #6

Leave your response as a comment on this post by the beginning of class on February 28, 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?  

33 Responses to Weekly Question #6

  • While CRM and SCM are both valuable to organizations, I would argue that CRM is more important. CRM systems work to increase profit and produce a greater volume of sales through improving customer relationships. Without the improved relationships and the brand loyalty that CRM’s create, organizations would not have the revenue to implement SCM systems. CRM’s are better for a company to make their initial investment in, which to me means that they are fundamentally more important to an organization.

  • I see CRM and SCM as both necessary and beneficial to a business. CRM is important because it manages the current and future relationships of customers, and builds strong ongoing relationships with its customers and therefore keeps the customers interested in the business and products/services provided. However, without SCM which makes sure that the business has the material, information, and financial resources to create products/services, their would be nothing to build the customer relationship upon. So to me they are both equally important, two separate strategies that work together to maximize efficiency of one organization.

  • Even though SCM and CRM are both important for organizations, I believe that CRM is more important. CRM is the most important system in a business, because in order for a business to exist it needs customers. If a business did not have customers, it would not be in need of SCM because they would be out of business. By being able to know you customers, what thy like and what items they have previously looked at/ purchased, companies are able to reach out to them and see if they are still interested in there products which can increase sales and increase the need of the supply chain.

  • Both are very valuable to an organizations success. It’s hard to pick one because I feel that it depends on what your business focuses on in order to figure out which is more important to a company. Manufactures probably value SCM systems and SaaS providers probably value CRMs. I have met many sales directors for large household name manufactures and they do not have CRMs. Their field sales reps use spreadsheets, but they would be out of business without a SCM system in place. My company, a teleservices provider, I couldn’t do my job properly without a CRM system, but a SCM system to us is unless. So its all about what you do which determines which is more valuable. Sorry I couldn’t pick one.

  • I am in agreement that both systems are important, but believe CRMs would be the better choice for the organization to choose. CRMs provide many implications which are needed by organizations, and is a good way of giving companies information about the customer. The CRM system helps companies manage not only current relationships, but also future ones, and also provides reliability to customers which intern keeps customers interested in staying with the company. Overall the CRM system is a better choice, because of its reliability in our current workforce.

  • I believe that both systems are important and helpful in making a company be successful. I think that a company should not just chose one system to use. I think it is necessary for a company to utilize both. SCM is important in order to make sure your inventory and operations are running smoothly, without that you may not even have the products to provide for the customers. Without CRM, selling the products/services would not go as well, and customers could choose to go elsewhere. Therefore, I would say both are equally important in running a smooth organization.

  • I think CRM is more important to an organization because customers are the reason a business continues to function.
    Customer relationships are an Elevel concern for all major industries – it’s a shared problem that everyone trying to earn a profit has. Customer data can show economoic forecasting and influence the year ahead for a company. Without collecting accurate customer information, departments cannot understand their high level daily tasks individually, yet alone company wide. Customer data provides long and short term data that can shape a company and all of it’s operations drastically.

  • I don’t know if one is more important than the other but I agree they are both important to the success of an organization. A CRM is a vital business investment as it is used for generating and maintaining sales which is usually what makes everything else in an organization possible. Recording and storing all information related to customer interactions will help increase company profits. Supply Chain Management strategies enable companies to ensure the business has the material information and financial resources it needs to produce quality goods and services timely. CRM ensures the parts and services get to the customers when needed. I do not see how you can have one without the other. If there is no customer demand then you would not have a need for a SCM System but also if you can not get your goods and services to the customer to meet the demand on time, you customer will no longer turn to you for a solution.

  • Both CRM and SCM are important, it depends on the company itself of which one is more important to its business function and needed outcomes. Most companies will work with a CRM system because they will need to know and collect information on their customer to better service them both today and in the future. This system allows companies a sneak peak of what the future customers needs are and hopefully be on top of the direction it may have. If you are a manufacturer and or supplier a SCM may be more important so you can meet the demands of customers needs and insure adequate inventory of supplies and delivery times.

  • I believe that CRM and SCM are both important to an organization. CRM helps an organization increase sales and profit by data collection and offering better customer service based on their information that they gathered. While CRM focuses on relationships with the customers, SCM helps an organization run the business without a hitch by fulfilling demand using several types of strategies such as demand planning and forecasting, distribution planning, production planning, and inventory & safety stock planning. In conclusion, neither CRM nor SCM are less important to an organization. Both systems help an organization maximize efficiency and profitability.

  • Because the two provide very different benefits to an organization, it is difficult to say that one is more important than the other. SCM is important in making sure that your organization is running logistics efficiently while CRM focuses on maintaining and building the best possible relationships with your customers.

    I think there are many organizations that could reap the benefits of both systems, however from industry to industry, if given the choice, certain organizations would probably prefer one over the other. Business-to-business models would probably prefer an SCM system since it allows better management of suppliers, manufacturers, distributors, and partners. Business-to-customer models would prefer a CRM system since its main objective is dealing with the customer.

  • I think that it is difficult to determine whether a CRM is more important then SCM and vice versa. It depends on what the business is. In fracturing I could argue that SCM is more important because without parts being on time, then you cannot build your products. In customer support and sales, I could see the CRM being more important.

  • Both systems are extremely important to a business. They go hand in hand, but perform distinct roles. It shouldn’t be a case of one vs the other- you need supply to attract customers, but if you don’t manage the relationship between the business and customer properly, the business will suffer.

  • SCM’s and CRM’s are both crucial to organizations on all fronts. Where an SCM will focus on hard processes of a business (i.e. “manufacturing and distribution”), a CRM will cater to the customer relationships. In this respect, I believe the CRM to be the backbone of the two. Customer satisfaction is crucial for any and all businesses today. Without genuine consumer rapport, a company and it’s mission goals simply can not be achieved.

  • I would argue that the importance of SCM versus CRM depends on the type of organization. If the organization is a visible and customer-facing organization with lots of clients and few moving parts, then of course a CRM would be more important. An example of this type of organization would be a financial services company. On the other hand, if the organization is a less visible organization with fewer clients and very many moving parts, then a SCM would be vastly more significant. An example of this type of organization would be a paper mill. Overall, I would say both SCM and CRM systems are both extremely valuable to businesses, but the question of which one is more important definitely depends on the type of organization.

  • Both are very important systems to be used within a business, but I will argue that a CRM is more important. 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 it’s business. In every business, the customer is one of the most important aspects to actually making money. You might be able to have an amazing product, but without that relationship with the customer, growth is limited.

  • A CRM system is more important to an organization because if you don’t manage your relationship with current and possible future customers, it doesn’t matter if you have a good SCM system. You have to know who your targeted audience is in order to accommodate their needs, and to anticipate what they may want next in order to drive sales growth. In addition, you also have to make sure that you’re not focused on just one group. You don’t want some of your customers to become disenfranchised with your company, if you’re not supplying their needs as well.

  • CRM systems are definitely more near and dear to my heart! The customer experience will always be my main focus as an employee and a citizen. Improving the customer experience through CRM systems doesn’t just enhance that moment in the customer’s life, CRMs can lead to infinite moments of happiness. When most consumers seek out a service or product they are expecting a need to be met, questions to be answered, and for the person helping them to have genuine behaviors. The only thing that truly sets competitors apart from each other is their ability to provide an experience that customers are willing to take part in. If one competitor is using a CRM to pinpoint the needs of their target market they, would definitely have the advantage.

  • The CRM and the SCM are both very important systems for an organization. It is hard to say which is more important. This would depend on the nature of the business. It may be more necessary for a very large manufacturing company to have the SCM over the CRM if they had to choose one. Whereas, a smaller organization may benefit more from the CRM system over the SCM system.

  • Though I think in some situations both are equally important, I also think it depends on the business. Overall, SCM is very important to all businesses. It is important to consider if your products are not produced and available, customers are still directly affected. Many times if it is unavailable or on back order, they will go to another business to get what they need. SCM is an integral part of making a profit for the company but also making sure the customers are satisfied with their entire experience with your company.

  • CRM is important because it aids in current customer relationships and future. It manages and builds those relationships to keep the customer coming back. This makes CRM more important because without customers, what is a business? Businesses cannot survive without customers.

  • Both SCM and CRM are important for a business to run. A SCM helps maintain the business aspect while CRM focuses on the customer relationship. It is vastly important to have both but i believe that CRM is what helps drives a business to do more. If a company has satisfied customer and are able to have loyal customers, it will drive the business to do more. I believe that both are equally as important. You need to have a good supply chain in order to draw in your customer but also need to have a good customer relationship to keep the business up and running.

  • I see CRM and SCM as mutually essential and important to an organization. CRM is important because it manages the relationships of customers and for a business to exist it needs customers consequently it helps keep the customers involved in the business. Also, without SCM helping to make sure that the business has the components, data, and financial solvency as well as all needed resources to make products, there may not be any or at least not enough customers to build relationships upon. For these reasons, I see both CRM and SCM as two separate approaches working in cohesion or interconnected and equally important to the functions of a business.

  • I believe that both are important to rate each on priority depends on the business itself. As an example I work in the financial industry we service customers and their needs which is understandably high priority however, if I needed a car part(for instances) I believe SCM is of importance because I would need my car serviced for transportation back and forth to work. Both CRM and SCM focuses on customer service, business logistics and getting the product delivered efficiently so with that said I believe both are as important.

  • As most have agreed, both the SCM and the CRM is very important to a business organization. I feel the CRM would be most important when needed to decided between one or the other. The CRM will manage and analyze customer interactions, manage sales, marketing, accounting, etc. This will continue to help businesses build and maintain customer relationships which is vital in keeping a business operating.

  • While both systems are important for a company to utilize, I feel that CRM is more important. Good customer relations drive sales and have a greater impact on the bottom line. Happy customers are repeat customers, who spend at higher volumes and refer new customers via word of mouth. In the early years, a company may not be large enough to justify the cost of an SCM, but a company will want to manage customer relations. CRM can grow a business in ways SCM cannot.

  • In my opinion I think both CRM and SCM are essentials for an organization. But I am in favor of CRM a little bit more since it helps to improve efficiency in serving clients, gain greater staff satisfaction, save a great deal of money while increase both revenue and profitability.

  • I think that a CRM is the more crucial in terms of sustaining a business. The CRM enables you to manage the customers you have as well as see trends that you can utilize when looking to expand your customer base. CRM programs help you to provide clients with a smooth service experience and prompt them to refer you to others.

  • I think CRM is more important to an organization because it allows organizations to manage their interactions with customers, which leads to a better customer experience. I think a happy customer starts by using CRM, and SCM closes the circle. By starting off on the right foot by keeping track of who contacted a customer and when, organizations can create a good first impression. A business only survives for as long as it has happy, repeat customers.

  • I would argue that a CRM is more important than a SCM. Both systems are incredibly important. However, the CRM focuses externally. With a CRM you are able to get to know your customers on a much deeper level and peel the layers back. You get to understand what your customers like and dislike, trends they are interested in and the ins and outs of your customer. With CRM systems you are able to collect a lot of data on your customers and it is with this data that you can drive your profits even higher. So I would say that even though SCM systems are important I would almost feel like it is more important to have a strong CRM system.

  • I believe that SCM is more important to a business because it shows an overview of the whole process, including how it gets to consumers. CRM is important to a business, however, if you are just looking at business relations with the consumer, you aren’t looking at the whole process involved to getting a material/item to a consumer. Through looking at the SCM you are able to track where everything in a process is, look at how to make it more efficient, and in the end provide better business/consumer relations than simply looking at the relations/communication with a consumer.

  • While I think both systems are necessary for an effective business operation, I’d argue that a CRM system is more important. CRMs help organize a company’s customer base which can help drive higher revenue and profits. These systems allow for enhanced communication with customers by allowing organizations’ employees to access a single database of customer information. In addition, CRMs allow organizations to have improved organizational efficency by having all customer interactions logged in a single database.

  • When it comes to SCM (Supply Chain Management) and CRM (Customer Relations Management) it is difficult to say which is more important for an organization. If you talk to the Sales team, they will probably tell you that a CRM is more important. They use this tool to manage all of their clients and can ultimately bring in more revenue with the data it collects. Whereas the Operations team would argue that the SCM is more important because it is their job to get the right product on the right shelf at a low cost. For myself, I would say the SCM is more important because the Sales team can’t sell if the supply chain is failing and can not deliver the product they are selling.

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