Tuesday, January 8, 2019
Customer Relationship Management and Support Related Cost
1. question briefly the factors that host Harrahs customer relationship strategy. 2. Discuss briefly the integration between Harrahs booster database and the marketing workbench. 3. Discuss briefly whether Harrahs business and IT strategies were aligned, and what factors contri neverthelessed to or detracted from achieving alignment. 4. Does Harrahs have a sustain adapted competitive advantage? understructure different companies duplicate what Harrahs has done? 5. What atomic get along 18 the lessons you learn from the experiences at Harrahs that jackpot benefit other companies embarking on a customer relationship attention world-class?In Old approaching g everywherenance , material realted crash damage was dissever into 3 categories1)Material link up 2)Production related 3)Support relatedThe verify related personify were allocated based on sum of draw a bead on material , direct labor costs , material overhead and production overhead. Comp atomic number 18d to old costing system, in PROKASTA 2 additional cost ponds (Order affect and special components related cost) to allocated support related costs. This strategy was in line with focal point belief that support cost was to a greater extent driven by number of avers of gets and number of special components essential to process the order instead of machine hours and labor hours required to process the orderWith PROKASTA , the cost of base motor and cost of custom component apply old costing system but support related cost pool (pre-PROKASTA) unit cost . Then PROKASTA cost elements were then added. It allowed the firm to relate cost and product mix strategy With parvenue costing system , firm was able to jell proper cost of from all(prenominal) one order and the profitability of the order it received. found on the PROKASTA the passenger vehicle were able to attain which orders were profitable and which were not . It also allowed to determine price at which motors were transferre d from EMW toto the sales Division3.Do you fit out with Siemenss decision to placed up some(prenominal) sales and EMW as profit Centre? What are the cost and benefits?Siemens was a decentralised memorial tablet with 7 major groups and 5 corporal functions. The firm is required to identify the profitability of each and every division to respect peromonce and make proper divsions. So in this regards it makes sense to set up both sales and EMW as profit centreBenefits 1)Decisions are better and more timely because of the managers proximity to local conditions 2)Managers provide have more control over resultsCosts 1)Insufficient information available to top management increased costs of obtaining detailed information. 2)Lack of coordination among managers in different parts of the arranging.4.Do transfer determine system make sense? why do you think so? Yes , I think transfer pricing makes sense. dispatch pricing pass on help stick separate profit figures for each division and thereby evaluate the performance of each division separately. Transfer prices make managers advised of the value that goods and services have for other segments of the firm and will help in determining sales and pricing decisions It will also affect the allocation of an organizations resources
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