Value Chain Analysis and Sales Logistics

1、Value Chain Analysis and Sales LogisticsR/3 Text Chapters 4 & 5Strategic Significance (1)“Value Chain, the companys activities are divided into the technologically and economically distinct activities that the company performs in doing business“Value Activities, are nine generic activities (split in

2、 two categories: primary and support) which value is the amount that buyers are willing to pay for a product or service“Primary activities are those involved in the physical creation of the product or service“Support activities provide the inputs and infrastructure that allow the primary activity to

3、 take placeThe Value ChainInboundLogisticsOperationsOutboundLogisticsSales &MarketingServiceFirm InfrastructureHuman Resources ManagementTechnology DevelopmentProcurementPrimary VC ActivitiesInbound logisticsinventory control, vehicle scheduling, returns to supplier, etc.Outbound logisticscollecting

4、, order processing, delivery, etc.Operationsmachining, packaging, assembly, etc.Marketing & salesadvertising, promotion, quotingServiceinstallation, repair, trainingVC Support ActivitiesProcurementTechnology developmentHuman resource managementFirm infrastructureTransforming the Value Chain (2)Inbou

5、ndLogisticsOperationsOutboundLogisticsSales &MarketingServiceFirm InfrastructureHuman Resources ManagementTechnology DevelopmentProcurementAutomated WarehousingComputer-Controlled MachineAutomated Shipment SchedulingComputerized orderingEquip. MaintenanceOffice AutomationCADEDIWork Force Planning Sy

6、stemsMapping R/3 Text to VCInboundLogisticsOperationsOutboundLogisticsSales &MarketingServiceExternal Accounting/Treasury MgtHuman Resources ManagementControllingProcurementChapter 5Chapter 6 and 7Chapter 5Chapter 5Chap 11 and 13Chapter 8 and 12Chapter 10Chapter 7Chapter 9Strategic Significance (2)A

7、 companys value chain is a system of interdependent activitiesA value chain for a company in a particular industry is embedded in a larger stream of activities that it is called “Value SystemLinkage among activities not only connect value activities inside a company but also create interdependence b

8、etween its value chain and those of its suppliers and channelsFirm VCChannel VCBuyer VCSupplier VCInteraction between opportunities and threatsThreat of new entrantsBargaining Power of BuyersBargaining Power of SuppliersThreat of Substitute Products or ServicesRivalry Among Existing CompetitorsPorte

9、rs Five Forces ModelIndividual Company VCEvery company activity can be categorized into primary or support activitystart with generic VC and subdivide into discrete activitiescategorize those activities that contribute best to a firms competitive advantagecan compare company VC to industry VCR/3 and

10、 the VCAllows company to restructure activities on VCBusiness reference scenarios are structured around primary and support VC activitiesText is organized around VC activitiesSee VC examplescopier machine, AMCC, Dell computer Standard Order Handling ScenarioMailing campaignMonitor sales activityPoss

11、ible customer inquiryCustomer RFQ processingOrder entryDelivery processingGoods issue processingBillingPossible rebate processingVC for Direct Sale to Industrial CustomerSales SupportSales inquiry/Quotation procSales OrderCustomerOutlineAgreementPersonnelselectionCreditManagementWarehouseManagementS

12、hippingQuality ManagmentTransportationCustomerRebateProcessingBillingInformationSystemForeignTradeStandard Order Handling Scenario (1)Cust mailCampaign toBe carried outSales activityIs to be preparedSales activityIs agreed uponDirect mailCampaignIs sentCustomerInquires aboutproductsInquiryItems reje

13、ctecQuotation toBe createdFrom contractQuotation toBe created From inquiryQuotationReasonoccurredMailing CampaignprocessingSales ActivityprocessingCustomerRFQ processingXORXORXORStandard Order Handling Scenario (2)XORXORXORXORStand Order w/o Quote refreceivedCustomer Quotation ProcessingQuotationIs

14、ValidQuotationIs sentStand. Orderw/ref to quotereceivedFrameworkAgreement isTo be createdFrameworkAgreement IsAgreed w/refQuotationItems arerejectedFrameworkAgreementProcessingStandardOrderProcessingStandard Order Handling Scenario (3)XORXORRejectionNotice sent tocustomerSalesRequirementscreatedOrde

15、r ConfirmationsentOrder isreleasedMake-toOrderProductionDeliveryProcessingProductionFor LotSizeRepetitiveManufacturingCash ManagementDeliveryCannot becreatedProcessManufacturingStandard Order Handling Scenario (4)XORXORTransportationprocessingShipmentIs determinedMaterialFor qualityCheck is availabl

16、eShipping papersAre created/transmittedShippingNotificationgeneratedGoods issueProcessing forStock materialGoods issueIs postedTransportationPlanningQualityManagementDelivery isRelevant forshipmentDelivery isNot relevantFor shipmentDelivery isRelevantFor billingCOGLAS GmbH - Logistics SolutionsStand

17、ard Order Handling Scenario (5)Billing docIs releasedFor billingCashManagementBilling docIs sentProfitabilityAnalysis w/Overhead costProfitabilityAnalysis w/Flex. StandcostingProfitabilityAnalysis w/AllocationcostingProfitabilityAnalysis w/Static standcostingCustomerprocessingBillingExport papersAre created/sentMore Complex Sales ScenariosContract handling & agreementsThird party order handlingCustomer consignment handlingCash ordersRush ordersMake-to-order Returns handlingBuy/Sell OverviewMarketplaceBBPR/3