BUAD 331 Final exam- Questions & Answers(RATED A+)

SCM Contributes to value creation: - ANSWERIn its most basic form, a business makes a promise to customers that it will fulfill a need by providing a good or service, and then it delivers on that promise. Business organizations provide value only when they identify demand and fulfill that demand by providing a good or service. These three types of value involve fulfilling a customer need - ANSWER(1) with the right form (2) at the right time (3) at the right place—essentially, the role played by supply chain management. FORM TIME PLACE EXCHANGE Supply Chain Management - ANSWER= the management of up and downstream relationships with suppliers and customers to deliver superior customer value at less cost to the supply chain as a whole. Paradigm change for business competition - ANSWERform, time and place: Originally, SCM had a functional focus, emerging from the operational areas of procurement, manufacturing, and logistics. Today it is viewed as an integrated end-to-end concept that crosses not only internal functional boundaries but also organizations that include suppliers' suppliers' suppliers to customers and end-consumers and all the intermediary goods and service firms in between. SCM Role in Marketing Mix: - ANSWERThe model depends on an integration between demand creation and fulfillment so that the firm does not create demand that cannot be fulfilled, nor is the supply chain unable to fulfill demand that all have agreed is worthwhile to fulfill because it creates economic profit. SCM Role in Marketing Mix: the integration - ANSWERrequires significant planning and coordination and has resulted in various processes called demand and supply integration (DSI), sales and operations planning (S&OP), sales inventory and operations planning (SIOP), or integrated business planning (IBP). Segmentation of customers / Total Relevant Value: Segmentation of customers breaks it down into 3 categories customers focus on: - ANSWEREfficiency (willing to accept less than optimal form, time, and place value in exchange for a lower price), Effectiveness (desiring greater levels of product or service variants or types), and Customization (such as products, services, or delivery criteria tailored to their needs and preferences). So, to create value, find out where the customer fits and make plans accordingly and add to Total Relevant Value.