Strategies for Improving the Effectiveness of Customer Relationship Management Systems

Many banks invest heavily in customer relationship management (CRM) system implementation and expect to increase their profitability. However, the failure rates of CRM projects are significant. The purpose of this multiple case study was to explore the strategies implemented by CRM managers in the banking industry to achieve CRM system effectiveness. CRM implementers from 1 medium and 2 large banks in Minnesota who successfully implemented CRM systems were selected. Data were collected primarily from participant interviews, websites, and social media pages. Bertalanffy\u27s general systems theory was the underlying conceptual framework for this study. Data triangulation and member checking were used to ensure the quality of the data collected. The data were analyzed with Yin\u27s 5-step data analysis technique. Five themes were identified: organizational focus, autocratic top management, technical capability, user-driven development, and the implementation team. Current and future CRM managers can apply these findings in establishing strategies to improve the effectiveness of their CRM. Successful CRM systems in banks may lead to increased profitability which enables both the banks and their customers to support social innovations such as fair trade, hospice care, and improved financial services to local small businesses

CRM In Gaming: It\u27s No Crapshoot!

CRM, or Customer Relationship Management, though slightly more than a decade old, has become the management craze of the 21st century. Yet, managerial understanding of what CRM is, what it does, how to implement it, and the grounds for success or failure in CRM implementation, seem far from crystallized. This paper looks at why so many CRM endeavors fail, and proceeds to discuss issues critical to CRM\u27s success. CRM projects in casinos will have a higher chance of success if CRM is viewed as a business philosophy and becomes a part of the corporate culture. Appropriate customer strategy, organizational transformation, and due attention to issues such as business processes, organizational collaboration, training, and data integration will enhance the success rates of CRM ventures

The effect of organizational culture on CRM success

Copyright @ 2013 EMCIS.The aim of this paper is to develop a theoretical framework exemplifying the effect of organizational culture on the success of Customer Relationship Management (CRM) systems' implementation. This is deemed significant as yet little research has investigated the role of organizational culture as a critical success factor to CRM implementation. The proposed theoretical framework is developed based on the notion that nurturing an organizational culture that promotes adaptive learning leads to better management of customer information that in turn improves the quality of customer information, which is considered a key contributor to successful implementation of CRM initiatives. The Competing Values Framework (CVF) is used to measure "Organizational Culture" since it has proven its validity in examining the effect of organizational culture on organizational effectiveness and performance

Further Thoughts on CRM

Skepticism and disappointment have replaced the initialenthusiasm about CRM. The disappointing results ofCRM-projects are often related to difficulties thatmanagers encounter in embedding CRM in their strategyand organization structure. In this article we presenta classification scheme on how CRM can be strategicallyembedded in organizations using the value disciplinesof Treacy and Wiersema. We use the findings from threecase studies to illustrate our classification. Based onthese case studies and interviews with managers wedistinguish between strategic and tactical CRM, andderive important issues that managers should considerbefore successfully implementing CRM.customer relationship management;marketing strategy;marketing performance

Measuring the effect of customer relationship management (CRM) components on the non financial performance of commercial banks: Egypt case

This paper presents customer relationship management (CRM) components as applied on the Egyptian Commercial Banks, examined from the bankers' point of view. Then, it intends to measure their effect on the level of customer satisfaction and loyalty from the customers’ point of view as examples of the non financial performance measures. The paper is quantitative in nature and consists of two different structured questionnaires using convenience/quota sampling. The first involved 180 employees in order to measure CRM applicability, and the second involved 270 customers to measure the level of customer satisfaction and loyalty and their effect on the Egyptian Commercial Banks' financial performance The findings show that the selected banks apply CRM components but the level of application differs from one bank to another. The results showed a significant positive relationship between CRM and customer satisfaction in the Egyptian Commercial Banks, when applying them together and not separately. In addition, there is a strong positive effect between customer satisfaction and loyalty which was reflected on the Commercial Banks' financial performance. The findings confirm the importance of studying and implementing CRM to achieve customer loyalty and improve the Egyptian Commercial Banks financial performance. Banks wishing to improve their relationships with customers need to focus on the CRM components to develop relevant and effective marketing strategies and tactics. The paper measures the CRM as a multidimensional construct as applied on the Egyptian Commercial Banks and relate it to the achievement of the ultimate goal of retaining customers to gaining a sustainable competitive advantage and achieve more profits

Technology and its CRM Implications in the Shipping Industry

This paper investigates the relative importance of service factors such as technology and facilities, how service providers are rated on those factors, and their relationship to customer satisfaction in a B2B environment. The results show that in the ocean freight shipping industry, customers placed more importance on factors such as efficiency in complaint handling, prompt availability of delivery information as compared to the use of latest equipment and technology. Most importantly, customers who had a more favourable evaluation of shipping companies on these factors also experienced a higher level of service satisfaction. Implications of these results for the use of technology in managing customer relationships are then presented

Improving the quality of human resources by implementation of internal marketing

Internal marketing includes programs intended for employees and their development. It is targeted on identifying, motivating and retaining customer oriented employees. For that reason, it is ov great importance for labour intensive, and especially service oriented compa¬nies, since knowledge, expertise, activity and behavior of employees create overall business portfolio that the consumers/clients are buying on external market. Regardless of its industry, adoption and implementation of internal marketing concept lead to long-term growth and success of the company. Internal marketing has important points of contact with human resources field of activity; therefore the analysis of internal marketing concept and its basic dimensions is a significant factor for creating competitive advantage in current business environment. The goal of internal marketing is to focus attention of employees on internal activities that need to be developed, maintained, and promoted for the purpose of business and strengthening competitiveness of the company on the external market. Human resources management through qualifying and motivation of employees to fulfill customer market needs as much as possible, namely to recruit appropriate personnel, and maintain and improve long-term relationship with them, is one of the key prerequisites for company’s business success.Human Resources, Internal Marketing, Competitiveness Improvement

CRM packaged software: a study of organisational experiences

Customer Relationship Management (CRM) packaged software has become a key contributor to attempts at aligning business and IT strategies in recent years. Throughout the 1990s there was, in many organisations strategies, a shift from the need to manage transactions and toward relationship management. Where Enterprise Resource Planning packages dominated the management of transactions era, CRM packages lead in regard to relationships. At present, balanced views of CRM packages are scantly presented instead relying on vendor rhetoric. This paper uses case study research to analyse some of the issues associated with CRM packages. These issues include the limitations of CRM packages, the need for a relationship orientation and the problems of a dominant management perspective of CRM. It is suggested that these issues could be more readily accommodated by organisational detachment from beliefs in IT as utopia, consideration of prior IS theory and practice and a more informed approach to CRM package selection

Why should SME adopt IT enabled CRM strategy?

Recent trends of fast adoption of CRM, whether as a philosophy, a strategy, an aid to the general marketing effort and mix, or merely as a fashion; as every body else is doing it; is driven by a clear acknowledgement and recognition that long-term relationships with customers are one of the most important assets of an organization and that information-enabled systems must be developed that will give the organization some form of ownership, that is: 'customer ownership'.CRM, SME, IT, e-tools, strategy