CSRP that the efficient operation of business and product quality requirements still exist, but only rely on these to maintain a competitive advantage is not enough.
Why? Because the speed of information dissemination and implementation of improved operating mechanism continued to make the level of competition among enterprises in line. Quality and productivity once the secret weapon of large enterprises, but now, SMEs and start-ups can do this.
CSRP that in order to compete more effectively, the manufacturer to meet the different needs and expectations of customers and develop new business operating mechanism, and as well as the arrival time of product and efficient service to provide customers with a unique value.
9, the ever-changing rules of the game
Symix the company introduced in 1997 CSRP theory predicted a traditional means to the end of the competition. Today, the technology's rapid development has become a competition, and other traditional means of Terminator. These new changes in constantly rewriting the rules of competition.
If we are from the market point of view, may be easier to understand this view. Enterprises generally through four channels (or elements) to achieve competitive advantage. These elements that "efficient market the four P". 4 P refers to the product (product), distribution channel (channel or network, place / channel), the price (price) and marketing (promotion.).
1) The first element: Product
The efficiency of business operations will be removed from the decisive advantage that we will be the first element of P - product quality and cost competitive advantage from the John Wey taken out, because only this element is not enough.
2) The second element: distribution channel
Let us look at the other three elements of P. The first is access, also known as channels, refers to providing customers with products, the ability to manage the supply and demand, this capacity in the traditional competitive environment for enterprises in their bid a great advantage. Such as Procter & Gamble, IBM and Levi Strauss and other companies with established distribution channels, the advantages of the Kingdom of their markets.
For most SMEs, rely on distribution channels used to be very difficult. However, as restrictions on product quality has been a breakthrough, as restrictions on distribution channels for small and medium enterprises also encountered a strong impact. On the one hand, in order to establish and maintain a strong distribution channel and the cost of spending continues to increase, while on the other hand, e-commerce application of new technologies such as distribution channels, as they herald the end of a competitive advantage.
Whether it is Dell Computer, or the Little Tykes, or anyone else involved Virtual Vineyards, such as these through the www, telephone or other electronic means to sell their products more and more companies. There are some companies that their products yield enough to attract national wholesalers and retailers for their service, you can sell products through electronic means. In the e-commerce product directly to the customer's home when the traditional channels of distribution depends on distributors in the best location in a given region the advantages of becoming less and less important.
Of course, in order to guarantee "free channels" strategy for victory in the competition, manufacturers are necessary to establish a new commercial operation of response mechanisms. Fortunately, this new mechanism can significantly reduce the operation of an internal "no channel" distribution network costs and labor. CSRP is such a theory, it provides a model for the new mechanism and infrastructure.
3) The third element: price
Price competition and Sun, it was 1:00, Wal-Mart, Southwest Airlines, National Semiconductor, Pepsi these companies have fully enjoyed the benefits of price leverage.
The price advantage can come from four areas: the real price advantage and reliable; market dominance (for example, supply / demand imbalances or market dominance); brand extra cost; unique products.
The operation of the traditional price has had a glorious history, because customers are the way restrictions on access to product prices. Today, however, the application of technology has enabled customers to have ready access to price information, and a few minutes at home to spend very little time on the product can be compared. The result is that most of the traditional price advantage will lose effectiveness. Constantly in operation tends to balance the advantages of situation makes the possible exception of the true cost of the ultra-large-scale enterprises play a role, the other companies will be nullified.
Use of supply / demand imbalance to maintain the advantage will not work, especially when you think you have the products they supply is available to everyone.
While the third source - the brand advantage, will still work, but costly, especially for small and medium enterprises, the cost is too high.
The fourth source is a unique product. Only such a price strategy, which provides a unique product, it possible for most enterprises solve practical problems. But because a growing number of companies offer products already have a certain degree of flexibility, to provide truly unique products have become increasingly difficult.
This customer-driven new business operating mode CSRP, in today's price competition becomes viable in.
4) The fourth element: Marketing
Marketing is perhaps the easiest means to play a role, but it is perhaps the most difficult to implement a means. Now customers will receive each day hundreds of electronic information, the information from a limited TV channels, World Wide Web on-line advertisements.
How can we leverage this marketing to play a role? Business restructuring is the key. Marketing special needs must provide special solutions, which need to be able to different customer information collected and integrated into the production, marketing and management business segments to go, so that enterprises are able to provide a unique solution.
5) The fifth element: customizable
We need a new element is the customization. Relies on a traditional competitive advantage of the single strategy can no longer meet the demand, and successful companies must be able to provide the means to run all of these competitive processes and mechanisms.
Does your business is ready and customers together to implement one, or part of the competition means to win every customer? Your business is able to provide each customer with customized services that offer the right products, the correct distribution of channel, reasonable price and the right marketing tactic?
Successful companies must learn to efficiently and economically, to establish a "customer-oriented values" and that the 21st century, one of the most important elements of competitive advantage is: Your business can be customized.
The model was originally CSRP manufacturers provide a framework for the establishment of product customization, and its application of the first automation of internal operations from the break started. Today's MRP (Material Resource Planning) and ERP (enterprise resource planning) are focused on internal management, but we have just mentioned the four elements of the three kinds of competitive advantage - price, channels and marketing, they are nothing but arises from outside the enterprise.
To be the most efficient tool for enterprise management must be able to maintain operational efficiency, build internal capacity, but these tools must also support external customers, as well as dynamic customization.
For customization, you must understand the customer needs. But in the vast majority of enterprises, the sales staff and production sectors are separated, which also do not have an effective and feasible to deliver within the enterprise customer information. CSR P established a real-time customer information for commercial activities could be integrated into the customer information and services to enterprise backbone running and going. One of its manifestations is the CSRP the order process was restructured. As a result, sales orders are not started in order, but from the customer, and even potential customers began. Sales staff and customers from the customer's point of view with the establishment of customized solutions. Order Configuration technology makes the product before issuing a formal order is ready. At the same time, real-time pricing model replaces the static model, so that for each client to establish a "value price." Customized solutions and value-added price formation is no direct product competition, a unique product.
Not only that, CSRP also allow enterprises to World Wide Web re-distribution network and customer service re-operation mechanism. Now, customer service is gradually replaced by production of a company's core activities, customer information is sent to the various functions of the business center, customer support applications and programs, products, management, application system integration. Web technology applications will be expanded customer support can be remote, and automatic 24-hour service, the key to the implementation of the system can be automatically updated to increase for each customer to establish a unique value opportunity. Sales, order processing and management of integration enables customer service and marketing together to promote their products and services to establish a new way.
In addition, CSRP and planning systems for manufacturing restructuring. The integration of manufacturing and sales to make manufacturing more accurate, more flexible and faster. On the plan, the use of real-time access to customer information, you can increase customer service while reducing costs.
Of competition rules in the rapidly changing, for most manufacturing enterprises, in the new competitive environment, the only criteria for winning is: to achieve customer-oriented, that is, to meet the unique needs of different customers to provide unique products and services, which CSRP is the new element of competition by the advocate.
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