Natural Beauty Case Study

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One of Natural Beauty’s main objectives is to run a Supply Chain Management system and Customer Relationship Management system that is both efficient and cost effective. In todays world, customers are becoming more demanding while the importance of cost reduction is increasing. Supply chains are becoming more and more complex due to globalisation and the use of global partners and retailers. Web 2.0 technologies such as cloud computing and SaaS are quickly gaining prevalence and are proving more beneficial for companies to run their business applications instead of hosting their own servers and software.

Software as a Service (SaaS) is a cloud service where users are able to use the internet to make use of different software such as Supply Chain Management applications. If Natural Beauty were to make use of SaaS they would only be required to pay for the applications that they use because the software is deployed based on what the company demands. This would minimise costs without forfeiting quality. Natural Beauty has production facilities, vendors, suppliers, manufacturers and retailers all over Australia as well as several new retail outlets overseas. It is clear that there are several organisations involved in this supply chain and so suitable communication and centralisation of data is a necessity. SaaS allows users to create personal profiles allowing them access to the specific area of the software that pertains to their role. This means that all the needs of the supply chain partners are met using a single system.

One of the many challenges faced by company’s such as Natural Beauty is poor collaboration due to lack of compatibility between the different platforms and applications used by the different participants in th...

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... to improve customer service, retain current customers and attract new ones. Web 2.0 technologies will enhance the role that customers play and the influence that they have over Natural Beauty’s business strategy and products. Natural Beauty can make use of crowd sourcing to improve their customer relationships. Customers as well as partners in the supply chain can use websites similar to digg.com to vote on current products as well as share ideas for future ones. This way Natural Beauty can keep track of which products are in demand and adjust their production accordingly as well as launch new products.

It is evident that the use of different web 2.0 technologies will enhance every aspect of Natural Beauty’s supply chain management and customer relationships management systems and this is key in ensuring the company has a functional and efficient supply network.

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