Question

What might it mean to an organization to have an enterprise system that would be used to manage both customers and suppliers rather than have those two types of relationships managed in different systems?

Answer 1

Solution:-

• The most important resources to operate and manage organizations in 21st century is the Information Technology.
• It has touched from customer service to operations, to security, to social media and every facet of modern enterprise.
• Enterprise Systems are those systems which integrates Information technology with business functions across the enterprise. They have become backbone of of modern organization.
• Companies are seeking ways to improve their business processes in order to operate efficiently.
• Enterprise systems also improve the workflows and customer service process of the companies.
• All the complex business operations are being tracked and controlled by enterprise systems which are large scale software packages.
• In order to help business automate and make reporting and decision making easier these systems are used as a central command hub.
• The different enterprise systems available now a days are Enterprise Resource Planning(ERP), Customer Relationship Management(CRM), System, Applications and Products(SAP). Supply Chain Management(SCM) and so on.
• The following are the benefits of enterprise systems over managing relationships between customer and suppliers differently -

1. Scaling(Up and Down) the resources as per requirement.

2. Storing the data in business in usable format.

3. Customer service process for employees is automated.

4. Secured Customer data.

5. Reduction in the cost of doing business

6. A proper standardized process.

7. Improvement in Supply chain management.

8. Ensuring regulatory compliance.

9. IT infrastructure Reliability can be maximized which is necessary for customer service.

10. The information can be accessed Real-time.

The relationships involved between customer and suppliers that is stored in different systems involves more complexity. The data is located at different locations due to which operating on it becomes difficult and tedious. The data storage also increases and maintenance is also costly for each and every system.