Effects of Customer Relationship Management systems on financial performance of Commercial Banks in Kenya

Submitted in partial fulfillment of the requirements for the award of a Master’s in Business Administration (MBA) DegreeCommercial Banks in Kenya have continually invested in technology and in particular, Customer Relationship Management (CRM) systems and trained employees on how to handle these systems. The foundation for the development of CRM systems is generally considered to be relationship marketing. These systems provide the foundation and tools commercial banks need to implement processes that maximize opportunities and design client experience that differentiates them from competitors. The purpose of the study was to examine effects of adopting customer relationship management systems on financial performance of commercial banks in Kenya. The target population for this study were commercial banks that have been in operation between the years 2013 to 2017. A cross sectional study design was used. Primary data was collected using structured questionnaires. The findings showed that with the adoption of CRM systems commercial banks in Kenya have improved their overall engagement with their customers. This has led to innovation of a variety of products for bank customers. The main challenges observed in the adoption of CRM systems were rapid rate of technological change on CRM systems and high operational costs such as need for continuous staff training resulting in the need to hire skilled staff. The results of this study will inform bank management on the cost –benefit analysis on decision to invest in CRM systems

Pengembangan Model Penilaian Kesiapan Implementasi Enterprise Resource Planning (ERP) Pada Usaha Kecil Menengah (UKM)

Pertumbuhan Usaha Kecil dan Menengah (UKM) di Indonesia terus mengalami peningkatan setiap tahunnya. Dengan adanya kompetisi yang ketat di masa depan antara UKM dan perusahaan besar, UKM harus memiliki nilai-nilai yang bermanfaat yang memungkinkan mereka untuk meminimalkan biaya dan memaksimalkan keuntungan. Salah satu pilihan untuk kasus ini adalah dengan menerapkan ERP, namun dalam mengadopsi ERP sangatlah rawan terhadap kegagalan, sehingga diperlukan persiapan yang matang terutama dalam fase pre-implementation. Oleh karena itu, diperlukan untuk melakukan penilaian kesiapan terhadap organisasi sebelum mengimplementasikan ERP, sehingga nantinya dapat mengetahui kondisi terkini dari organisasi tersebut dan dapat menjadi patokan sebelum pengambilan keputusan untuk mengimplementasikan ERP di organisasinya. Penelitian ini mengembangkan model penilaian kesiapan dari implementasi Enterprise Resource Planning dengan menggunakan dimensi dari McKinsey 7s yang divalidasi langsung oleh implementator ERP yang menghilangkan tiga sub factor yang tidak diperlukan yaitu vision and mission, CIO position, dan human resource management. Model yang dibangun kemudian dilakukan pengujian kepada UKM yang telah memiliki tujuan untuk implementasi ERP. Setelah dilakukan proses penilaian dari dua perusahaan didapatkan hasil bahwa kedua perusahaan menerapkan prosedur dan aturan beserta proses bisnis yang sangat baik, namun keduanya lemah pada area training and education, dimana kedua perusahaan belum menetapkan perencanaan dan kebutuhan terhadap pelatihan yang diperlukan. ======================================================================================= The growth of small and medium enterprises (SMEs) in Indonesia continues to increase every year. Given the tight business competition in the future, SMEs must have useful values that enable them to minimize costs and maximize profits. One of the options for this case is to apply ERP. However, ERP implementing is very prone to failure, so a good preparation especially is needed. It is necessary to conduct an organizational readiness assessment before implementing ERP, so the current condition of the organization ais known and can become a guideline before the decision to implement ERP in the organization, is taken. This study develops a readiness assessment model of Enterprise Resource Planning implementation using the dimensions of McKinsey 7s. the model is validated directly by the ERP implementer, that eliminates three unnecessary sub factors ie vision and mission, CIO position, and human resource management. The model that was built then tested to two SMEs that have a goal for ERP implementation. After the assessment process of the two companies it was found that both companies implemented procedures and rules along with excellent business processes, but both were weak in the training and education area, where the two companies had not set the planning and requirement for the required training