CREDIT -III Electronic Payment System: EPS Models, EPS Processing, Digital token

based(02), debit card, smart card, Credit Card, risk in electronic payment system(03), E-auction:
Introduction, Overview, Electronic trading(02), Online Banking: origin, advantages,
disadvantages, Services (03). Lectures: 10
CREDIT -IV Web Security factors, E-Commerce security threats, security schemes, Protocols,
Digital Certificates(03), Cyber law in India, Supply Chain Management (SCM): Components
and issues(03), Customer Relationship Management (CRM): definition, Components, Benefits,
ECRM: concept, impact, ECRM v/s CRM(04) Lectures: 10

Supply Chain Management (SCM) is a range of activities needed to plan, coordinate, schedule
and control the procurement, production, and deliveries of products to customers. SCM is the
backbone of eCommerce and is a very crucial component in its growth.

Supply chain in simple words means the movement of raw material to the factory and the final
finished goods to the consumers. This function has been a critical a part of the manufacturing
industry since ages and is an integral part in the complete product manufacturing set-up. Every
enterprise typically manufacturing have a full integrated supply chain division ensuring smooth
production of goods and seamless as well timely delivery to the consumers. With the advent of e-
commerce, this function has taken an all new meaning where the functioning of supply chain can
actually ruin or build an enterprise.

Components of Supply Chain Management

The five basic components of supply chain management are discussed below −
PLAN - The initial stage of the supply chain process is the planning stage. We need to develop a
plan or strategy in order to address how the products and services will satisfy the demands and
necessities of the customers. In this stage, the planning should mainly focus on designing a
strategy that yields maximum profit.
For managing all the resources required for designing products and providing services, a strategy
has to be designed by the companies. Supply chain management mainly focuses on planning and
developing a set of metrics.
SOURCE- After planning, the next step involves developing or sourcing. In this stage, we
mainly concentrate on building a strong relationship with suppliers of the raw materials required
for production. This involves not only identifying dependable suppliers but also determining
different planning methods for shipping, delivery, and payment of the product.
Companies need to select suppliers to deliver the items and services they require to
develop their product. So in this stage, the supply chain managers need to construct a set of
pricing, delivery and payment processes with suppliers and also create the metrics for controlling
and improving the relationships.
 Finally, the supply chain managers can combine all these processes for handling their
goods and services inventory. This handling comprises receiving and examining shipments,
transferring them to the manufacturing facilities and authorizing supplier payments.
MAKE - The third step in the supply chain management process is the manufacturing or making
of products that were demanded by the customer. In this stage, the products are designed,
produced, tested, packaged, and synchronized for delivery.
Here, the task of the supply chain manager is to schedule all the activities required for
manufacturing, testing, packaging and preparation for delivery. This stage is considered as the
most metric-intensive unit of the supply chain, where firms can gauge the quality levels,
production output and worker productivity.
DELIVER - The fourth stage is the delivery stage. Here the products are delivered to the
customer at the destined location by the supplier. This stage is basically the logistics phase,
where customer orders are accepted and delivery of the goods is planned. The delivery stage is
often referred as logistics, where firms collaborate for the receipt of orders from customers,
establish a network of warehouses, pick carriers to deliver products to customers and set up an
invoicing system to receive payments.
RETURN- The last and final stage of supply chain management is referred as the return. In the
stage, defective or damaged goods are returned to the supplier by the customer. Here, the
companies need to deal with customer queries and respond to their complaints etc.
This stage often tends to be a problematic section of the supply chain for many
companies. The planners of supply chain need to discover a responsive and flexible network for
accepting damaged, defective and extra products back from their customers and facilitating the
return process for customers who have issues with delivered products.

Issues related to Supply Chain Management

Supply chain management is full of challenges that can result in higher costs, wasted materials
and production errors.Five challenges that are common when working with supply chain
management.
Safety and Quality Products
More than ever it is important to have a quality product. As quality standards rise, it is crucial to
produce safe and high-quality products. Companies are working harder than ever to avoid
damaging recalls that can hurt the bottom line.
Global Manufacturing
When faced with the challenge and opportunity that is manufacturing on a global scale, it is
critical to have a procurement network that can support those global supply chain management
needs.
Shorter Product Life Cycles and Changing Market Demands
In line with changing market demands and shorter product life cycles, industries must work to
find a lean concept and an adjacent workable lean solution.
New Technology
Having access to the latest technology has proven to be a challenge. Those who are able to
effectively utilize the latest technology to their advantage have been able to see the direct results
to support new product development.
Consolidation of Supplier Base
Consolidating supplier base can offer many perks. From cutting overhead costs to lowering the
margin of error, the challenge lies in finding a supplier that meets each companies needs in
regards to experience and offered solutions.

Customer Relationship Management (CRM)

The art of managing the organization’s relationship with the customers and prospective
clients refer to customer relationship management.
Customer relationship management includes various strategies and techniques to maintain
healthy relationship with the organization’s existing as well as potential customers.
Orgnaizations must ensure customers are satisfied with their products and services for higher
customer retention. Remember one satisfied customer brings ten new customers with him where
as one dissatisfied customer takes away ten customers along with him.
In simpler words, customer relationship management refers to the study of needs and
expectations of the customers and providing them the right solution.

Need for Customer Relationship Management

Customer Relationship Management leads to satisfied customers and eventually higher
business everytime.
Customer Relationship Management goes a long way in retaining existing customers.
Customer relationship management ensures customers return back home with a smile.
Customer relationship management improves the relationship between the organization
and customers. Such activities strengthen the bond between the sales representatives and
customers.

Steps to Customer Relationship Management

 It is essential for the sales representatives to understand the needs, interest as well
as budget of the customers. Don’t suggest anything which would burn a hole in their
pockets.
 Never tell lies to the customers. Convey them only what your product offers. Don’t
cook fake stories or ever try to fool them.
 It is a sin to make customers waiting. Sales professionals should reach meetings on or
before time. Make sure you are there at the venue before the customer reaches.
 A sales professional should think from the customer’s perspective. Don’t only think
about your own targets and incentives. Suggest only what is right for the customer. Don’t
sell an expensive mobile to a customer who earns rupees five thousand per month. He
would never come back to you and your organization would lose one of its esteemed
customers.
 Don’t oversell. Being pushy does not work in sales. It a customer needs something; he
would definitely purchase the same. Never irritate the customer or make his life hell.
Don’t call him more than twice in a single day.
 An individual needs time to develop trust in you and your product. Give him time to
think and decide.
 Never be rude to customers. Handle the customers with patience and care. One should
never ever get hyper with the customers.
 Attend sales meeting with a cool mind. Greet the customers with a smile and try to
solve their queries at the earliest.
 Keep in touch with the customers even after the deal. Devise customer loyalty
programs for them to return to your organization. Give them bonus points or gifts on
every second purchase.
 The sales manger must provide necessary training to the sales team to teach them
how to interact with the customers. Remember customers are the assets of every
business and it is important to keep them happy and satisfied for successful functioning
of organization.
Components of Customer Relationship Management (CRM)

 Marketing automation: CRM tools with marketing automation capabilities can

automate repetitive tasks to enhance marketing efforts at different points in the lifecycle.
For example, as sales prospects come into the system, it might automatically send the
prospects marketing materials, typically via email or social media, with the goal of
turning a sales lead into a full-fledged customer.
 Sales force automation: Sales force automation tools track customer interactions and
automate certain business functions of the sales cycle that are necessary to follow leads
and attract and obtain new customers.
 Contact center automation: Designed to reduce tedious aspects of a contact center
agent's job, contact center automation might include prerecorded audio that assists in
customer problem-solving and information dissemination. Various software tools that
integrate with the agent's desktop tools can handle customer requests in order to cut down
on the time of calls and to simplify customer service processes.
 Geolocation technology, or location-based services: Some CRM systems include
technology that can create geographic marketing campaigns based on customers' physical
locations, sometimes integrating with popular location-based GPS
apps. Geolocation technology can also be used as a networking or contact management
tool in order to find sales prospects based on a location.
 Workflow automation: CRM systems help businesses optimize processes by
streamlining mundane workloads, enabling employees to focus on creative and more
high-level tasks.
 Lead management: Sales leads can be tracked through CRM, enabling sales teams to
input, track and analyze data for leads in one place.
 Human resource management (HRM): CRM systems help track employee information,
such as contact information, performance reviews and benefits within a company. This
enables the human resource department to more effectively manage the internal workforce.
 Analytics: Analytics in CRM help create better customer satisfaction rates by analyzing user
data and helping create targeted marketing campaigns.
 AI: Artificial intelligence (AI) technologies, such as Salesforce Einstein, have been built
into CRM platforms to automate repetitive tasks, identify customer buying patterns to predict
future customer behaviors and more.

Benefits and Challenges of Customer Relationship Management

Meaning of E-CRM:
Customer Relationship Management (CRM) is a way to identify, acquire, and retain customers –
a business’ greatest asset. By providing the means to manage and coordinate customer
interactions, CRM helps companies maximise the value of every customer interaction and in turn
improve corporate performance.
E-CRM, or Electronic Customer Relationship Management, is an integrated online sales,
marketing and service strategy that is used to identify, attract and retain an organisation’s
customers. It describes improved and increased communication between an organisation and its
clients by creating and enhancing customer interaction through innovative technology. E-CRM
software provides profiles and histories of each interaction the organisation has with its
customers, making it an important tool for all small and medium businesses.
E-CRM software systems may contain a selection of the following features:
i. Customer management:
Provides access to all customer information including enquiry status and Correspondence
ii. Knowledge management:
A centralised knowledge base that handles and shares customer Information
iii. Account management:
Access to customer information and history, allowing sales teams and customer service teams to
function efficiently
iii. Case management:
Captures enquiries, escalates priority cases and notifies management of unresolved issues
iv. Back-end integration:
Blends with other systems such as billing, inventory and logistics through relevant customer
contact points such as websites and call centres
v. Reporting and analysis:
Report generation on customer behaviour and business criteria

The benefits of E-CRM include the following:

 Improved customer relations, service and support
 Matching the customers' behavior with suitable offers
 Increased customer satisfaction and loyalty
 Greater efficiency and cost reduction
 Increased business revenue

Major differences between CRM and eCRM:

Customer contacts
 CRM – Contact with customer made through the retail store, phone, and fax.
 eCRM – All of the traditional methods are used in addition to Internet, email, wireless, and
PDA technologies.
System interface
 CRM – Implements the use of ERP systems, emphasis is on the back-end.
 eCRM – Geared more toward front end, which interacts with the back-end through use of
ERP systems, data warehouses, and data marts.
System overhead (client computers)
 CRM – The client must download various applications to view the web-enabled applications.
They would have to be rewritten for different platform.
 eCRM – Does not have these requirements because the client uses the browser.
Customization and personalization of information
 CRM – Views differ based on the audience, and personalized views are not available.
Individual personalization requires program changes.
 eCRM – Personalized individual views based on purchase history and preferences.
Individual has ability to customize view.
System focus
 CRM – System (created for internal use) designed based on job function and products. Web
applications designed for a single department or business unit.
 eCRM – System (created for external use) designed based on customer needs. Web
application designed for enterprise-wide use.
System maintenance and modification
 CRM – More time involved in implementation and maintenance is more expensive because
the system exists at different locations and on various servers.
 eCRM – Reduction in time and cost. Implementation and maintenance can take place at one
location and on one server.

THE END
Assignment:
Do the case study of any Bank: features, Services etc
Also you have to make a proposal of your business to apply for loan from the bank.
Email your assignment at your registered email address provided by the teacher concern
Deadline:11.04.2020 till 5:00pm(after which it shall not be considered.