THE FOURTH CHAPTER

   Well hello there , im so excited you guys visit and read my blog !  thats make me more excited to update the next topic . heheh. okey you must be wondering why I update my blog early than usual right ? actually next week we gonna have a sem break . YEAY ME !!

   So we drag our class today so we have no class tomorrow . Lucky us right ? haha . okey forget about this excitement and this overload happiness for a while so lets proceed with our new chapter which is MEASURING THE SUCCESS OF STRATEGIC INITIATIVE .

 Did you know that we can measure if the information technology that we use is success or not ? So usually Key Performance Indicator is being used to measure that are tied to business drivers . There are two which is :
   
                                                EFFICIENCY IT METRICS

measures the performance of the IT system itself including throughput, speed and availability .

• THROUGHPUT : the amount of information taht can travel through a system at any point

• TRANSACTION SPEED : the amount of time a system takes to perform a transaction.

• SYSTEM AVAILABILITY : the number of hours a system is available for users.

• INFORMATION ACCURACY : the extent to which a system generates the correct results when executing the same transaction numerous time . 

• WEB TRAFFIC : includes a host of benchmarks such as the number of page views, the number of unique visitors, and the average time speed viewing a web page

• RESPOND TIME : the time it takes to respond to user interactions such as a mouse click.

                                         EFFECTIVENESS IT METRICS

  measures the impact IT has on business processes and activities including customer satisfaction, conversation rates , and sell- through increases .

• USABILITY : the ease with which people perform transaction and/or find information . A popular usability metric on the internet is degree of freedom, which measures the number of clicks required to find desired information.

• CUSTOMER SATISFACTION : measured by such benchmarks as satisfaction surveys, percentage of existing customers retained and increase in revenue dollars per customer .

• CONVERSION RATES : the number of customers an organization "touches" for the first time and persuades to purchase its products or services . This is a popular metrics for evaluating the effectiveness of banner, pop-up, and pop-under ads on the internet . 

• FINANCIAL : such as return on investment ( the earning power of an organization 's sales ) , cost-benefit analysis ( the comparison of projected revenues and costs including development, maintenance, fixed and variable )and break-even analysis ( the point at which constant revenues equal ongoing costs)

   What is metrics ? its nothing than a standard measure to assess performance in particular area . Metrics for measuring and managing strategic initiatives include :

                                                      WEB SITE METRICS

• ABANDONED REGISTRATIONS : number or visitor who start the process of completing a registration page and then abandon the activity.

• ABANDONED SHOPPING CARTS : number of visitors who create a shopping cart and start shopping and then abandon the activity before paying for the merchandise.

• CLICK-THROUGH : count of the amount pf people who visit a site, click on an ad and are taken to the site of the advertiser.

• COST PER-THOUSAND : sales dollars generated per dollar of advertising . This is commonly used to make the case for spending money to appear on a search engine.

• PAGE EXPOSURES : average number of page exposures to an individual visitor.

• TOTAL HITS : number of visitors to web site, many of which maybe by the same visitor .

• UNIQUE VISITOR : number of unique visitors to a site in a given time . This is commonly used by Nelsen/net rating to rantings to rank the most popular web sites . 

                            SUPPLY CHAIN MANAGEMENT (SCM) METRICS

• BACK ORDER : an unfilled customer order . A back order is demand (immediate or past due) against an item whose current stock level is insufficient to satisfy demand .

• CUSTOMER ORDER PROMISED CYCLE TIME : the anticipated or agreed upon cycle time of a purchase order . Its a gap between the purchase order creation date and the requested delivery date . 

• CUSTOMER ORDER ACTUAL CYCLE TIME : the average time it takes to actually fill a customer's purchase order. This measure can be viewed on an order or an order line level .

• INVENTORY REPLENISHMENT CYCLE TIME : measure of the manufacturing cycle time plus the time included to deploy the product to the appropriate distribution center . 

• INVENTORY TURNS (INVENTORY TURNOVER) : the number of times that a company's inventory cycles or turns over per year . It is one of the most commonly used supply chain metrics . 

                    CUSTOMER RELATIONSHIP MANAGEMENT (CRM) METRICS

SALES METRICS :

• Number of open leads
• Number of sales calls
• Number pf new customers
• Amount of new revenue
• Amount of recurring revenue

SERVICE METRICS :

• Average time to resolution
• Average number of service calls per day
• Percentage of service renewals
• Average number of service request by type
• Number of services calls

MARKETING METRICS :

• Number of purchases by marketing campaign
• Cost per interaction by marketing campaign
• Number of new customers acquired by marketing campaign
• Customer retention rate
• Number of new leads by product

BUSINESS PROCESS REENGINEERING (BPR) METRICS AND ENTERPRISE RESOURCE PLANNING (ERP) METRICS

  The balanced scorecard enable organization to measure and manage strategic initiatives . The balance scorecard views the organization from 4 perspective, and users should develop metrics, collect data and analyze their business relative to each of these perspectives :

• The learning and growth perspective
• The internal business process perspective
• The customer perspective 
• The financial perspective

Okeyyy thats all for the fourth chapter . See you guys after the sem break !! and thank you for reading .