ERP Systems. Sales and Marketing. BALAJI.M Faculty, TSM. Objectives
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1 ERP Systems Sales and Marketing BALAJI.M Faculty, TSM Objectives Examine the sales and marketing modules Understand the interrelationships among business processes FOR ACADEMIC PURPOSES. 1
2 Role Of Marketing Information Systems For monitoring the efficiency and effectiveness of the distribution of their products and services, sales managers need information to plan and monitor the sales force Management needs information on the performance of specific products, product lines, or brands Price, revenue, cost and growth information can be used for pricing decisions, for evaluating the performance of current products and for predicting the performance of future products Sales and Marketing Processes Operational-level processes Daily activities Prospecting, telemarketing, direct mail Contact management Databases, lists Support Sales order processing system POS systems FOR ACADEMIC PURPOSES. 2
3 FOR ACADEMIC PURPOSES. 3
4 FOR ACADEMIC PURPOSES. 4
5 FOR ACADEMIC PURPOSES. 5
6 Sales activities and promotions are documents for sales support in pre-sales. Sales documents are documents that are entered during pre-sales and sales order processing. Inquiries, quotations, contracts, scheduling agreements and standard orders are examples of sales document types. Outbound deliveries, transfer orders and shipments are documents in shipping processing. The goods issue document contains changes involving stock and is the basis for the relevant accounting documents. The billing document is a document in billing and is the basis for the relevant accounting documents. FOR ACADEMIC PURPOSES. 6
7 Sales Management Control Processes Designed to allocate resources to achieve maximum revenues Decisions made on analysis of sales Comparison of sales Analysis of revenues against benchmarks Listing of most profitable products, sorted by territory and salesperson Software often used Allows for quicker analysis Able to identify trends Analyze salesperson performance Identifies both strong and weak products Can signal potential shortfalls or excesses in stock levels Additional Sales Management Applications Sales forecasting Predicts trends Determine customers needs in different market segments Based on sales history, customer demands, demographic trend, competitor information Advertising Identifies channels that will be most effective Product pricing Decision supported by pricing models Examines CPI, expected consumer disposable income, production volumes, labor costs, costs of raw materials FOR ACADEMIC PURPOSES. 7
8 Sales and Marketing Modules ERP systems differ from traditional systems Allow for integrated marketing support systems Provide integrated CRM software Purpose Identify sales prospects Process orders Manage inventory Arrange deliveries Handle billing Process payments Benefits Standard codes and documents Common database Provides audit trail Allows for data Integration CRM Front-end interface with customer to sales and marketing Comprehensive approach Developed from sales force automation software Provides sales force with management tools Sales activity Sales and territory management Contact databases Leads generation and monitoring Product-specific configuration support Knowledge and information resource management Needs an underlying Sales and Marketing ERP module for operational-level data CRM data accessible through data warehouse FOR ACADEMIC PURPOSES. 8
9 Integration with Modules Sales model may be integrated with: CRM Financial Accounting Materials Management Human Resources Quality Management Controlling Information Systems that support the Marketing Cycle FOR ACADEMIC PURPOSES. 9
10 Channel Systems Systems which support the operations of the sales and distribution channel are known as channel systems An all encompassing information system which helps informate the supply chain from the customer side to the supplier side is a supply chain management (SCM) system Traditional Supply Chain The traditional supply chain establishes long term relationships with vendors, distributors and retailers, with multiple inventory sites, long lead-times and fixed margins A traditional supply chain has limited visibility into true customer demand, and as a result, it is plagued with buffer inventories, which managers build up as protection against uncertainties and risks in the supply chain FOR ACADEMIC PURPOSES. 10
11 Role of Channel Systems Keep Goods Moving - provides you visibility to inventory levels at your suppliers, and visibility to inventory in-transit to you as well as how long it takes to get there and why Managing Supplier Performance - SCM quantitatively tracks the performance of your suppliers who delivers on-time, who delivers partially, who has the best invoice accuracy so that you can identify the best trading partners and give them the majority of your business Measuring Channel Effectiveness - keep track of your customers buying habits across increasingly more complex channel mixes Providing Customer Service - SCM can help assemble the information needed, across your supply chain, to answer the seemingly simple question, Where is my order? and explain a delay or provide an alternative option, such as shipping a par tial order or finding an alternate source for a back-ordered item Managing co-ordination and uncertainity through dynamic scheduling of sales and distribution Flow of data from point of sale terminals to suppliers FOR ACADEMIC PURPOSES. 11
12 Sales Support Systems Sales support systems are applications that facilitate the interface between the sales force and the corporation in the support of the customer Information Technology Tools for SFA Forms Dynamic information sharing Reports distribution and analysis Multimedia Sales reporting FOR ACADEMIC PURPOSES. 12
13 Summary The sales and marketing modules for ERP systems are designed to support the sales order processing systems, control daily activities like prospecting and manage contacts. This system produces sales forecasting, identifies advertising channels, and helps to maintain competitive pricing scales. The CRM module serves as a front-end interface between the customer and the sales and marketing departments. FOR ACADEMIC PURPOSES. 13
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