Strategic Level Marketing

8/8/2019 Strategic Level Marketing

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Strategy Levels Business Marketing

Presented by: Abhishek Kumar(5064)

Ajay srivastav(5114) Ajit Kumar Yadav(5047)

Abhishek Nandi(5005)



Strategic Information Systems

Computer systems at any level of an organization that change

the goals, processes, products, services, or environmental

relationships to help the organization gain a competitive

advantage.

Strategic information systems profoundly alter the way a firm

conducts its business or the very business of the firm itself.It can be of any kind of information system (DSS, TPS)



Strategic Levels



The most common generic strategies at this level

To become the low-cost producer

To differentiate your product or service

Product differentiation: Competitive strategy for creating

brand loyalty by developing new and unique products and

services that are not easily duplicated by competitors.

E.g.: banks provide on-line banking service, Dell sells

custom-tailored PC.

*



F ocused differentiation: Competitive strategy for developing

new market niches for specialized products or services

where a business can compete in the target area better than

its competitors. Information systems enable companies to

finely analyze customer buying patterns, tastes, and

preferences so that they efficiently pitch advertising and

marketing campaigns to smaller and smaller target markets.

- To change the scope of competition by either enlargingthe market or narrowing the market



A t the business level the most commonanalytic tool is value chain analysis.

V alue chain model: M odel that highlights the primary or

support activities that add a margin of value to a firm¶s

products or services where information systems can best beapplied to achieve a competitive advantage.

Primary activities are most directly related to the production

and distribution of the firm¶s products and services thatcreate value for the customer Primary activities include

inbound logistics, operations, outbound logistics, sales and

marketing, and service .



Support activities make the delivery of the primary activities

of a firm possible and consist of organization infrastructure ,

human resources , technology and procurement .

Organizations have competitive advantage when they

provide more value to their customers or when they provide

the same value to customers at a lower price. Firms can use

information systems to create unique new products andservices that can be easily distinguished from those of

competitors.





D ata mining: A nalysis of large pools of data to find patterns and

rules that can be used to guide decision making and predict future

behavior

Supply chain: A collection of physical entities, such as

manufacturing plants, distribution centers, conveyances, retailoutlets, people, and information, which are linked together into

processes supplying goods or services from source through

consumption.Supply chain management: Integration of supplier, distributor,

and customer logistics requirements into one cohesive process.



Information systems make efficient supply chain

management possible by integrating demand

planning, forecasting, materials requisition, order processing, inventory allocation, order fulfillment,

transportation services, receiving, invoicing, and

payment.





B usiness can counter the threats of competitive forces

by implementing five basic strategies-

1 . Cost Leadership Strategy2. Differentiation Strategy

3. Innovation Strategy

4. Growth Strategy

5. A lliance Strategy



O ther Competitive Strategies

1 . Improving Business Processes

2. Promoting Business Innovation

3. Lock-in Customers and Suppliers4. Creating Switching Costs

5. Raising Barriers to Entry

6. Leverage Investment in IT

7. Developing a strategic information base



Strategic use of Management information

systemBuilding a customer focus business

Reengineering Business Processes

Improving Business Quality

Becoming an agile company

Creating a virtual companyBuilding a knowledge creating company

The challenge of strategic IS



SYSTEM DESCRIPTION ORGANIZATIONAL LEVEL

ORDER PROCESSING ENTER, PROCESS, TRACK ORDERS OPERATIONAL

MARKET ANALYSIS IDENTIFY CUSTOMERS & MARKETS KNOWLEDGE

PRICING ANALYSIS DETERMINE PRICES MANAGEMENT

SALES TRENDS PREPARE 5-YEAR FORECASTS STRATEGIC

SALES & MARKETING INFORMATION SYSTEM

SYSTEMS FROM A FUNCTIONAL PERSPECTIVE



DFD OF SALES & MARKETING IN FO RMATI O N SYSTEM WITH EXAMPLE



M ANUFAC T URING INFOR M A T ION SYS T E M

SYSTEM DESCRIPTION ORGANIZATIONAL

MACHINE CONTROL CONTROL ACTIONS OF EQUIPMENT OPERATIO

COMPUTER-AIDED-DESIGN DESIGN NEW PRODUCTS KNOWLEDG

PRODUCTION PLANNING DECIDE NUMBER, SCHEDULE OF PRODUCTS MANAG

FACILITIES LOCATION DECIDE WHERE TO LOCATE FACILITIES STRATEG



DFD MANU F ACTURING IN FO RMATI O N SYSTEM WITH EXAMPLE



SYSTEM DESCRIPTION ORGANIZATIONAL LE

TRAINING & DEVELOPMENT TRACK TRAINING, SKILLS, APPRAISALS OPERATI

CAREER PATHING DESIGN EMPLOYEE CAREER PATHS KNOWLEDGE

COMPENSATION ANALYSIS MONITOR WAGES, SALARIES, BENEFITS MANAGEM

HUMAN RESOURCES PLANNING PLAN LONG-TERM LABOR FORCE NEEDS STRATEG

H U M A N R E S O U R C E S IN F O R M A T

S Y S T E M



DFD OF HUMAN RES O URCES IN FO RMATI O N SYSTEM WITH EXAMPLE



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Strategic Level Marketing