ch8 Key
1.
(p. 309) CRM systems store customer account data in multiple specialized databases and then make it
available throughout a company via Internet, intranet, or other network links.
2.
(p. 312) CRM gives sales representatives lagged, but recent, access to a customer’s account status and history
before scheduling sales calls.
3.
(p. 312) Call center software helps customer service reps assist customers who are having problems with a
product or service by providing relevant service data and suggestions.
4.
5.
(p. 312) A company can boost its profits 85 percent by increasing its annual customer retention by only 5
percent.
6.
(p. 313) The majority of complaining customers will do business with a company again if it quickly takes care
of the problem.
7.
(p. 315) CRM can keep track of when a customer contacts a company, if the customer uses a previous contact
point.
8.
The three steps in the customer life cycle are acquire, balance, and retain.
9.
10.
11.
(p. 320) ERP systems support many vital human resource processes, from personnel requirements planning to
salary and benefits administration.
12.
(p. 320) ERP software suites typically consist of integrated modules of manufacturing, distribution, sales,
inventory, and human resource applications.
13.
14.
(p. 326) According to the textbook case, American LaFrance cited a failed ERP as one of the major reasons for
filing for Chapter 11 bankruptcy protection.
15.
16.
(p. 327) The growth of the Internet and corporate intranets and extranets prompted software companies to
build Web interfaces and networking capabilities into ERP systems.
17.
(p. 327) Four important trends are shaping the continuing evolution of ERP: improvements in integration and
flexibility, extensions to e-business applications, a broader reach to new users, and the adoption of
Internet technologies.
18.
(p. 328) Some e-business suites disassemble ERP components and integrate them into other modules, while
other products keep ERP as a distinct module in the software suite.
19.
(p. 329) According to the textbook case, fragmented internal systems are highly unusual in a company that
experiences rapid growth.
20.
(p. 330) Many companies today are turning to Internet technologies to Web-enable their supply chain
processes, decision making, and information flows.
21.
(p. 334) EDI software typically converts a company’s own document formats into standardized EDI
formats.
22.
(p. 334) EDI automatically tracks inventory changes; triggers orders, invoices, and other documents related to
transactions; and schedules and confirms delivery and payment.
23.
(p. 335) According to the textbook case, InfoEDI’s forms-based interface lets businesses connect to InfoEDI
via modems and Web browsers.
24.
(p. 337) Supply chain event management applications let companies see, from a historical perspective, if their
existing supply chain management systems are working.
25.
(p. 339-
Nike’s failed SCM implementation cost the firm over $100 million in lost sales, depressed stock
prices, and caused class action lawsuits.
26.
Every supply chain application installation requires a hefty up-front investment.
27.
(p. 309) Managing the full range of the customer relationship involves two related objectives: (1) providing
the organization and all customer-facing employees with a single, complete view of every customer at
every touch and across all channels, and (2) providing _________________________.
28.
(p. 309) _______________ systems store customer account data in common databases and then make it
available throughout a company via Internet, intranet, or other network links.
29.
(p. 309) CRM systems store customer account data in common databases and then make it available
throughout a company via all the following, except: Internet, intranet, or other network links.
30.
(p. 309) CRM software uses information technology to create a cross-functional enterprise system that
integrates and automates many of the _______________ processes with which customers interact.
31.
(p. 309) Siebel Systems, Oracle, PeopleSoft, SAP AG, and Epiphany are some of the leading vendors of
__________ software.
32.
(p. 309) A CRM system provides sales reps with the software tools and company data sources they need to
_______________.
OBrien – Chapter 08 #32
33.
34.
35.
36.
37.
(p. 312) CRM systems help fulfill prospect and customer responses and requests by doing all of the following
except:
38.
(p. 313) CRM systems help a company identify, reward, and market to their most loyal and profitable
customers through:
39.
(p. 314-
A CRM system should support the organization in which phase of the relationship between a business
and its customers?
40.
A CRM system includes all the following phases, except:
41.
(p. 314) The goal of the _______________ phase of a customer relationship is to help customers perceive the
value of a superior product offered by an outstanding company.
42.
(p. 315) In the _______________ phase of a customer relationship, a business relies on CRM software tools
and databases to proactively identify and reward its most loyal and profitable customers via targeted
marketing programs.
43.
(p. 317) Increasingly, businesses are moving to _______________ CRM systems, to involve business partners
as well as customers in collaborative customer services.
44.
45.
46.
(p. 318) A(n) _______________ CRM provides all users with the tools and information they need to fit their
individual roles and preferences.
47.
(p. 320) Enterprise resource planning is recognized as a necessary ingredient that many companies need in
order to:
48.
(p. 320) _______________ is the technological backbone of e-business, an enterprise-wide transaction
framework with links into sales order processing, inventory management and control, production and
distribution planning, and finance.
49.
(p. 320) Enterprise resource planning software for a manufacturing company will typically process data from
_______________.
50.
(p. 324) According to the textbook case, it took Colgate U.S. anywhere from one to five days to acquire an
order and another one to two days to process the order. After ERP, order acquisition and processing
combined takes _______________.
51.
(p. 324) ERP creates a framework for integrating and improving a company’s internal business processes that
results in significant improvements in the quality and efficiency of:
52.
(p. 324) ERP systems can provide vital cross-functional information on business performance to managers in a
very timely manner. This describes the key business benefit of:
53.
(p. 325) Of the typical costs associated with implementing a new ERP system, _______________ is the
lowest.
54.
(p. 325) Although the benefits of ERP are many, the costs and risks can be considerable. Which of the
following make up the bulk of the cost of implementing a new ERP system?
55.
56.
(p. 329) According to the textbook case, Visa’s _______________ management infrastructure was fragmented,
complex, and costly to maintain.
57.
(p. 320) Fundamentally, _______________ helps a company get the right products to the right place at the
right time, in the proper quantity, and at an acceptable cost.
58.
(p. 330) The goal of SCM is to create a fast, efficient, and low-cost network of business relationships, or a
_______________, to get a company’s products from concept to market.
59.
(p. 330) Because each supply chain process should add value to the products or services a company produces,
a supply chain is frequently called a __________ chain.
60.
(p. 330) A typical box of breakfast cereal takes _______________ to get from factory to supermarket,
struggling its way through wholesalers, distributors, brokers, and consolidators, each of which has a
warehouse.
61.
(p. 330-
333)
The demands of today’s competitive business environment are pushing manufacturers to use which of
the following technologies to help them re-engineer their relationships with suppliers, distributors, and
retailers?
62.
(p. 333) Which of the following correctly describes the supply chain life cycle supported by SCM systems?
63.
(p. 334) _______________ involves the electronic exchange of business transaction documents over the
Internet and other networks between supply chain trading partners (organizations and their customers
and suppliers).
64.
(p. 334) EDI is still a popular data-transmission format among major trading partners, primarily to automate
repetitive transactions, though it is slowly being replaced by _____-based Web services.
65.
(p. 335) According to the textbook case, Telefonica realized that many smaller businesses could not afford
standard EDI services, so they offered InfoEDI which allows transmission to be entered and processed
_______________.
66.
67.
68.
(p. 337) Sharing of accurate inventory and procurement information is an outcome of the _______________
SCM function.
69.
70.
(p. 339) Companies employing supply chain management systems can still face problems. Which of the
following is not identified as a cause of SCM problems in the text?
71.
(p. 339) A lack of adequate collaboration between suppliers, distributors, and ________________ departments
within a company will sabotage any SCM system.
72.
Nike’s failed SCM implementation resulted in all the following except:
73.
(p. 340) Companies in stage _____ of a supply chain management implementation concentrate on making
improvements to internal supply chain processes and external processes and relationships with
suppliers and customers.
74.
(p. 340) Companies in stage _____ of a supply chain management implementation concentrate on expanding
the business network of Web-enabled SCM-capable trading partners in their supply chain to increase
operational efficiency and effectiveness in meeting strategic business objectives.
75.
(p. 341) Companies in stage _____ of a supply chain management implementation strive to optimize the
development and management of their supply chains in order to meet strategic customer value and
business value goals.
76.
77.
78.
79.
(p. 309) _______________ systems store customer account data in common databases and then make it
available throughout a company via Internet, intranet, or other network links.
80.
(p. 309) _______________ software helps sales, marketing, and service professionals capture and track
relevant data about every past and planned contact with prospects and customers, as well as other
business and life cycle events of customers.
OBrien – Chapter 08 #80
81.
(p. 312) _______________ software routes calls to customer support agents based on their skills and authority
to handle specific kinds of service requests.
82.
(p. 312) _______________ software helps customer service reps assist customers who are having problems
with a product or service by providing relevant service data and suggestions for resolving
problems.
OBrien – Chapter 08 #82
83.
(p. 312) According to the text, it costs _______________ times more to sell to a new customer than to sell to
an existing one.
84.
(p. 312) According to the text, a company can boost its profits by _______________ percent by increasing its
annual customer retention by only 5 percent.
85.
86.
(p. 313) Enhancing and optimizing customer retention and _______________ is a major business strategy and
primary objective of customer relationship management.
87.
(p. 314-
The three steps in the customer life cycle are _______________, _______________, and
_______________.
88.
(p. 317) CRM software is difficult to install because it often touches many different _______________
systems.
89.
(p. 318) Most businesses start out with _______________ CRM systems, such as sales force automation and
customer service centers.
90.
(p. 320) ERP software suites typically consist of integrated modules of manufacturing, distribution, sales,
_______________, and human resource applications.
91.
(p. 324) According to the textbook case, Colgate implemented SAP R/3 because it needed to coordinate
globally and act _______________.
92.
(p. 326) According to the text, in many cases ERP failures are due to _______________ on the claims of ERP
software vendors.
93.
(p. 327) Four important trends are shaping the continuing evolution of ERP: improvements in integration and
flexibility, extensions to e-business applications, a broader reach to new users, and the adoption of
_______________ technologies.
94.
(p. 327) The ERP software packages that were the mainstay of ERP implementations in the 1990s were often
criticized for their _______________.
95.
(p. 327) The major ERP software companies have developed modular, __________-enabled software suites
that integrate ERP, customer relationship management, supply chain management, procurement,
decision support, enterprise portals, and other business applications and functions.
96.
(p. 327) The growth of the Internet and corporate _______________ and _______________ prompted
software companies to build Web interfaces and networking capabilities into ERP systems.
97.
(p. 330) The goal of SCM is to create a fast, efficient, and low-cost network of business relationships, or a
_______________, to get a company’s products from concept to market.
98.
(p. 330) Because each supply chain process should add value to the products or services a company produces,
a supply chain is frequently called a __________ chain.
99.
(p. 334) EDI is still a popular data-transmission format among major trading partners, primarily to automate
repetitive transactions, though it is slowly being replaced by _____-based Web services.
100.
(p. 337) Supply chain _______________ applications let companies see, from a historical perspective, if their
existing supply chain management systems are working.
101.
(p. 340) Companies in stage _____ of a supply chain management implementation concentrate on making
improvements to internal supply chain processes and external processes and relationships with
suppliers and customers.
102.
(p. 340) Companies in stage _____ of a supply chain management implementation concentrate on expanding
the business network of Web-enabled SCM-capable trading partners in their supply chain to increase
operational efficiency and effectiveness in meeting strategic business objectives.
103.
(p. 341) Companies in stage _____ of a supply chain management implementation strive to optimize the
development and management of their supply chains in order to meet strategic customer value and
business value goals.
104.
(p. 341-
342)
According to the text case, supply chain integration helped CVS move from pull to push promotions
by allowing marketing managers to plan promotions more effectively, using an item history taken
from historical _______________ data on a store-by-store basis.
105.
(p. 335) According to the textbook case, Telefonica realized that many smaller businesses could not afford
standard EDI services, so they offered InfoEDI which allows transmission to be entered and processed
_______________.
ch8 Summary
Category # of Questions
AACSB: Technology 105
Blooms: Knowledge 105
Difficulty: Easy 21
Difficulty: Hard 36
Difficulty: Medium 48
Learning Objective: 1a 36
Learning Objective: 1b 38
Learning Objective: 1c 31
OBrien – Chapter 08 105