Test Bank For Concepts in Enterprise Resource Planning 4th Edition by Ellen Monk Test Bank

Description
Concepts in Enterprise Resource Planning 4th Edition by Ellen Monk Test Bank
Marketing Information Systems and the Sales Order Process



TRUE/FALSE



In SAP R/3, relatively permanent data about customers is kept in the Customer Master Data table.


ANS: T PTS: 1 REF: 61



In SAP R/3, relatively permanent data about inventory is kept in the Material Master Data table.


ANS: T PTS: 1 REF: 61



In SAP R/3, relatively permanent data in the Material Master Data table is available to only one module, the Materials Management module.


ANS: F PTS: 1 REF: 61



In SAP R/3, relatively permanent data about customers in the Customer Master Data table is available to only the Sales and Distribution module.


ANS: F PTS: 1 REF: 61



SAP R/3’s system allows one to group customers, which is commonly known as an “organizational structure”.


ANS: T PTS: 1 REF: 61



In SAP R/3, the linked set of document numbers is called the “document flow”.


ANS: T PTS: 1 REF: 63



In SAP R/3 the electronic evidence of a transaction is called a document.


ANS: T PTS: 1 REF: 56



The first step in the SAP ERP sales and distribution process is the Sales Order Processing step.


ANS: F PTS: 1 REF: 56



Pricing cannot be set or configured in the SAP ERP system.


ANS: F PTS: 1 REF: 56



Pricing can be set using condition techniques.


ANS: T PTS: 1 REF: 64



CRM software stands for Custom Resource Management. This is a specialized type of ERP.


ANS: F PTS: 1 REF: 66



Global ATP allows for searching of a particular product at multiple plants worldwide.


ANS: T PTS: 1 REF: 71



Returned products to a company are processed more efficiently if the customer first calls for a RMA.


ANS: T PTS: 1 REF: 55



An inquiry in the SAP ERP system occurs in the Delivery step of the Sales and Distribution cycle.


ANS: F PTS: 1 REF: 56



In the SAP ERP system, delivery means releasing the documents that the warehouse uses to pick, pack, and ship orders, rather than the traditional definition of transferring goods.


ANS: T PTS: 1 REF: 57



The PO Number is a number assigned by a company to track orders in the SAP ERP system.


ANS: F PTS: 1 REF: 58



With on-demand CRM, the software and computer equipment reside with the CRM provider; it is not installed in-house.


ANS: T PTS: 1 REF: 67



MULTIPLE CHOICE



In SAP ERP the electronic evidence of a transaction is called a(n) ____.
a. trail d. audit number
b. marker e. document
c. tag




ANS: E PTS: 1 REF: 56



A customer calls up to find out how much 1000 units of a product would cost. This is an example of ____ in the sales and distribution process.
a. presales activities d. delivery and billing
b. sales order processing e. payment
c. inventory sourcing




ANS: A PTS: 1 REF: 56



A customer is granted a 10% price discount in a large order. This is an example of an activity in ____ in the sales and distribution process.
a. presales activities d. delivery and billing
b. sales order processing e. payment
c. inventory sourcing




ANS: B PTS: 1 REF: 56



A customer’s order is checked to see if it can be produced and delivered by the requested date. This is an example of ____ in the sales and distribution process.
a. presales activities d. delivery and billing
b. sales order processing e. payment
c. inventory sourcing




ANS: C PTS: 1 REF: 57



A customer’s documents are released to the warehouse so that the goods can be gathered, packed and boxed. This is an example of ____ in the sales and distribution process.
a. presales activities d. delivery and billing
b. sales order processing e. payment
c. inventory sourcing




ANS: D PTS: 1 REF: 57



A customer’s remittance causes Cash to be debited and Accounts Receivable to be credited. This is an example of ____ in the sales and distribution process.
a. presales activities d. delivery and billing
b. sales order processing e. payment
c. inventory sourcing




ANS: E PTS: 1 REF: 57



In SAP ERP, the history of a transaction (such as a sales order) can be researched by looking at its ____.
a. trail mix d. material master data
b. transaction index e. sales master data
c. document flow




ANS: C PTS: 1 REF: 63



What kind of software can give top management an overview of a company’s complete relationship with a customer?
a. One to One Marketing Software
b. Open Relationship Software
c. Denouement Software
d. Customer Relationship Management Software
e. Supply Chain Management Software




ANS: D PTS: 1 REF: 67



In the sales order process, there is a number used in the SAP ERP sales order that in a paper process would be pre-printed on the sales document, usually in sequential number order. It’s assigned by the customer to the sales order. What is this number?
a. Customer ID c. Material Number
b. Purchase Order Number d. Billing Code




ANS: B PTS: 1 REF: 58



Setting prices for customers can be very complex. SAP helps by offering a control mechanism, called ____, to determine how much to charge a given customer for a given product.
a. pricing variance c. condition technique
b. price fixing d. fluctuation




ANS: C PTS: 1 REF: 64



The ____ system communicates with SAP ERP, BW, and APO systems in developing and executing its plans.
a. PPO c. CRM
b. SSA d. GUp




ANS: C PTS: 1 REF: 69



What software can automatically route customers who contact the company to a sales representative? Companies can use this software to forecast customer needs.
a. Marketing encyclopedias c. One-to-one marketing
b. Sales campaign management d. Sales force automation




ANS: D PTS: 1 REF: 67



The SAP ERP system allows users to define various ways to group customers and salespeople. These groups are called ____.
a. organizational structures c. document flows
b. master data d. audit trails




ANS: A PTS: 1 REF: 61



In ____ CRM, the software and equipment reside with the CRM provider; it is not installed in-house.
a. walk-up c. Internet
b. on-demand d. ERP




ANS: B PTS: 1 REF: 67



Which of the following are benefits to CRM?
a. Lower costs
b. Higher revenue
c. Improved strategy and performance measurement
d. All of the above




ANS: D PTS: 1 REF: 72



COMPLETION



The goal of ____________________ software is to provide a “single face to the customer.”


ANS:

customer relationship management

CRM

customer relationship management (CRM)

CRM (customer relationship management)



PTS: 1 REF: 67



With global____________________, the R/3 system automatically checks all facilities and determines the most cost-efficient facility to use to meet the customer’s request in terms of ordering and delivering goods.


ANS:

ATP

Available-To-Promise

available to promise



PTS: 1 REF: 71



SHORT ANSWER



Briefly describe four kinds of decisions made by Marketing managers.


ANS:

What products should we produce?

How much of each product should we produce?

How are our products best promoted and advertised?

How should our products be distributed for maximum customer satisfaction?

What price should we charge for our products?



PTS: 1 REF: 50



In SAP ERP a sales order is entered only once, by the sales people. It need not be entered a second time, in Accounting, to keep the books. Briefly explain why that second entry is not needed in SAP R/3.


ANS:

By contrast, ERP systems integrate Accounting with all business processes, so that when a sales order is recorded, the related accounting data is updated automatically.



PTS: 1 REF: 65



Briefly describe two CRM activities.


ANS:

One-to-one marketing: Once a customer is categorized, the company can tailor products, promotions, and pricing accordingly.

Sales force automation: Occurrences of customer contacts are logged in the company’s database.

Sales campaign management: This software lets a company organize a marketing campaign and compile its results.

Marketing Encyclopedias: This software serves as a database of promotional literature about products.

Call center automation: When customers call a company to get assistance with a company’s products, representatives can query a knowledge management database containing information about the product.



PTS: 1 REF: 67-68



What does the term Delivery mean in the SAP R/3 system?


ANS:

In the SAP R/3 system, the word delivery means releasing the documents that the warehouse uses to pick, pack, and ship orders, rather than the traditional use of the term to describe the transferal of goods.



PTS: 1 REF: 57



What are the three benefits of CRM?


ANS:

Lower costs

Higher revenue

Improved strategy and performance measurement



PTS: 1 REF: 72





Figure 3-1 The sales process at Fitter Snacker



Describe the problems with the Fitter Snacker sales orders and quotations, as illustrated in the accompanying figure.


ANS:

Salesperson might make arithmetic error in quote.

Fax to home office may arrive be illegible

Fax to home office might not arrive before customer has called in order

Therefore, in-office clerk has no knowledge of order, terms of order.



PTS: 1 REF: 52



Describe the problems with the Fitter Snacker Credit Check, as illustrated in the accompanying figure.


ANS:

Because the credit report is sent infrequently to the sales department, the credit report might be very out-of-date. This would then result in either granting credit to a customer who has exceeded their credit limit, or denying credit to a customer who is below their credit limit.



PTS: 1 REF: 52



In the Fitter Snacker sales system, as illustrated in the accompanying figure, ideally, how should returns be handled?


ANS:
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