Q1, Cross-Functional Processes
Cross-functional business processes are the hand in hand work of different departments of an organization to achieve a higher common and the required goal.
Most retail businesses perform two main processes namely:
Customer Service;
Customer service is the process where the organizations determine customer complaints and compensate them. This process is beneficial in keeping the current customers and attracting more since they will always feel at home while in such an organization.
Procurement;
Lockemann, 2013 procurement is the process required to secure parts and materials that will be used by the company to produce exceptional products for sale or the supplies for sale such as purchasing, receiving, invoice reconciliation and accounts payable.
Materials are secured through a tendering process whereby a couple of suppliers are selected from which a more competitive one is picked and given the opportunity to supply the material at agreed cost. When supplied materials are received and verified by the receiving clerk, The invoices of the accepted materials are reconciled then the supplier is paid.
Procurement is a cross-functional process. It involves many processes that require different departments of the organization to achieve. This includes accounting department, procurement, and finance department.
Customer service is also a cross-functional business since it involves the accounting department that does the billing and administrative departments that serve the customers.
Q2, What Are Disruptive Technologies
Disruption is the distortion of the norm of events in a particular set up. Thus disruptive technology is the is the process via which start-up or small businesses take large firms or companies out of completion for limited markets or create an entirely new market for themselves.
In the case of Hyperon, selling of products at a very low-profit margin disrupted normality of market in the retail business in Egypt. Usually, every business person is focused on making large profits in order to get rich and be able to expand the business more quickly but for Hyperon, they sought for a very different mode which is making more sales at a low-profit-margin. Hyperon is untouchable because of their technique since no any other company can stand to sell anything at a price as low as they do. Since customers always want to get more satisfaction while spending less their customer base has been increasing while their competitors have remained on the losing end.
Q3, How Does Supply Chain Management Work
Armstrong, 2017 is the strategic and the systematic joint effort of the various cross-functional business processes within or among a couple of organizations to improve the overall long-term development or performance of the organization.
Given the customer base and expectations as stated in the case study, Hyperon should apply the Push - supply chain management mode. Customers would always want to explore and try other products especially the new entrants to the market. This will create a new market niche for them to take exploit and be better than their competitors.
Also due to Hyperon mass selling of products, high customer demands and the dynamic character of the customers, they would end up purchasing a new product in masses thus making others miss out on it. This is bad for since competitors are on the watch for any challenge faced by Hyperon so that they exploit.
Push supply chain management is well fit for Hyperon because customers would always need different products with different test and designs. For them to discover the new products, they should be readily available, visible and affordable. Also since the stakeholders of Hyperon have devoted to serve and care for their customers better, the information they send to the customers concerning particular products is trustworthy. This is made sure by the push method.
References
Armstrong, P. (2017). Disruptive Technologies: Understand, Evaluate, Respond.
Lockemann (2013). Business Process Management within Chemical and Pharmaceutical.
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