Case Study

Badillos, Mary Princess
BSIT – 202E
CASE STUDY 1 “Coca-Cola is Everything SCM,

CRM, Collaboration, You name it”
Questions
1. Describe the various IT-enabled initiatives discussed in this case study and categorize them as
either above-the-line, below-the-line, or some combination of the two.
• The Common Innovation Framework enables Coca-Cola employees to exchange ideas
internationally and remain ahead. Bottlers benefit from standardized software services,
which make operations more efficient and cost-effective. The My Coke Rewards website
keeps customers pleased and returning for more by providing exciting prizes and
interacting with pop culture.
2. Why is standardization so important in supply chain management? Coke is developing its own
set of software services for bottles to use. Do you think Coke charges the bottlers for these
software services? Why or why not?
• Standardizing supply chain procedures improves efficiency and reduces costs. Coca-Cola
is providing its bottlers with special software to help them collaborate more effectively,
most likely for free. This benefits both Coca-Cola and the bottlers by reducing costs and
increasing efficiency.
3. Describe two different forms of e-collaboration in this case study. For each, articulate the
benefits to coke.
 Coca-Cola's e-collaboration efforts include the Common Innovation Framework, which
shares successful strategies and promotes global alignment. Another example is
providing standardized software services to bottlers to streamline operations, reduce
costs, and maintain supply chain consistency.
4. How is My Coke Rewards an example of switching cost? How can a switching cost not have a
monetary penalty associated with it?
• My Coke prizes is an example of switching costs, encouraging customers to stay loyal to
Coca-Cola through prizes for purchases. Customers gain points or awards through the
program, which they may then redeem for prizes. This raises the cost of switching since
customers who have earned awards are less likely to switch to other beverage companies.
Even if there is no direct monetary penalty for switching, the time and effort engaged in
obtaining incentives serves as a deterrent to moving to other businesses. As a result, My
Coke Rewards promotes customer retention by making it more difficult for consumers to
transfer to competitors.
5. What do you believe to be Coke's overall organizational structure? Top-down silo, matrix, or
fully integrated? Why? How does Coke's use of technology support for your decision?
• As a second-year college student, I view Coca-Cola's organization as a matrix structure.
They have separate divisions for each area, but they also collaborate across these
divisions with technologies like as the Common Innovation Framework and standardized
software services. So it's a combination of several methods of arranging stuff.
6. What sort of business intelligence could Coke gather from its My Coke Rewards Web site?
How could it use this information for customer relationship management activities?
• Coca-Cola's My Coke Rewards website provides valuable business intelligence,
including consumer preferences, purchase behavior, demographics, and engagement
metrics. This data can be used to personalize marketing messages, segment customers,
develop retention strategies, and inform product development, ultimately improving
customer relationship management.
CASE STUDY 2: “It's all about customer relations
in the financial services market”
Questions:
1. How are Principal's efforts an excellent example of the implementation of customer
relationship management? In what ways has Principal developed significant knowledge and
insight into the wants and needs of its customers?
 Principal is really good at keeping track of what their customers need and want. They
use technology to collect information about each customer, like their money situation
and what they're planning for the future. Then, they use this info to give personalized
advice and services to each person. This makes sure that every customer gets exactly
what they need to manage their money well.
2. With respect to the use of information technology, is Principal focusing on an above the-
line or a below-the-line initiative? Perhaps a combination of both? Justify your answer.
Within the context of the RGT framework, what is Principal's focus?
 Principal is using both fancy technology to make customers happy and to make their
own work easier. They're investing in tools that directly help customers, like
personalized advice and quick transactions. But they're also using tech to improve
how they work behind the scenes, like analyzing data to understand customers better
and making things run smoother. Overall, they're focusing on growing and changing
by using technology in smart ways.
3. Within the context of Porter's three generic strategies, is Principal mainly focusing on
overall cost leadership, differentiation, or focus? Pick only one and Justify your answer.
 Principal is mainly focusing on differentiation. They stand out by offering
personalized financial services tailored to each customer's needs, rather than trying to
be the cheapest or focusing on a narrow market segment. This emphasis on
differentiation allows Principal to distinguish itself in the competitive market
landscape, attract and retain customers, and command premium pricing for its
specialized services.
4. Principal really offers only services to customers; that is, it has no physical products to
sell. How would Principal make effective use of an ERP system, while not needing modules
such as manufacturing, transportation, and logistics? As more and more companies focus on
only service offerings, do you see a need for a service ERP that targets companies like
Principal?
 Even though Principal doesn't sell physical products, they can still use a ERP system
to manage their finances, customer relationships, and employees effectively. Instead
of modules for things like making and delivering products, they would use modules
focused on managing money, keeping track of customers, and handling employee-
related tasks. As more companies focus on services like Principal, there's a growing
need for specialized ERP systems that help them manage their operations smoothly.
These ERP systems would focus on things like managing projects, handling billing,
and keeping track of how well they're doing in providing services to customers.
5. If you were to consider the financial services needs of a customer over his or her entire
lifetime (after college), what specific information would you want to know about a
customer? We identified information such as age, marital and family status, salary, and
benefits. What five other information "milestones" would you want to track?
 if I were to think about a person's financial needs for their whole life, I'd want to
know more than just their basic info like age and salary. I'd also want to ask about
their big dreams and goals, any debts they have, how they're saving and investing
their money, any major life events they've experienced, and if they have enough
insurance coverage. Knowing all this stuff helps us give them better advice about
their money and how to plan for the future.

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Badillos, Mary Princess

CASE STUDY 1 “Coca-Cola is Everything SCM,

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