ITPEC IP October 2025 Question 80
Topic: Business Strategy ManagementAlso asked in October 2018, Spring 2021 and October 2023
Which of the following is the appropriate combination of the management themes and techniques for achieving them?
[Management themes]A:A company wants to develop efficient business processes that span from procurement of components to sales.B:A company wants to understand customers’ preferences and other information, and use them in product planning and sales promotion.C:A company wants to know the product name, quantity, and other sales-related information at the time of sale in order to restock appropriately and analyze strong-selling products.
[Techniques]
CRM, POS, SCM
Explanation
A: SCM, B: CRM, C: POS — match each management theme to the system built for it.
- •A: efficient processes spanning procurement of components through to sales is SCM (supply chain management), which links suppliers, production, distribution and sales to cut stock and lead time
- •B: understanding customers' preferences and using them in product planning and sales promotion is CRM (customer relationship management), which keeps a shared record of each customer's history
- •C: capturing the product name, quantity and other data at the moment of sale is POS (point of sale), whose data drives restocking and best-seller analysis
Answer (a)
Why not others:
- •(b) — swaps A and C: POS records sales at the checkout and does not run the chain from procurement to sales, and SCM does not capture item data at the moment of sale
- •(c) — swaps A and B: CRM manages relationships with customers, not procurement-to-sales processes, and SCM does not analyse customer preferences
- •(d) — swaps B and C: POS records what was sold, not who the customer is or what they prefer, and CRM is not a checkout system
Key rule: The flow of goods across companies is SCM, the relationship with each customer is CRM, and data captured at the checkout is POS.
Business Strategy Management · AI-written, may contain errors
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