Critically Appraise the Success of Customer Relationship Management (Crm) Systems. Use Client Organisations or Crm Systems of Your Own Choice to Illustrate Your Answer.
Critically appraise the success of Customer Relationship Management (CRM) systems. Use client organisations or CRM systems of your own choice to illustrate your answer.
Abstract:
CRM systems is the hottest trend in the business world today. CRM, if done in the right way can be advantageous for the companies. The purpose of this essay is to demonstrate the use and effects of CRM in business-to-business domain. In order to do so, the concept of CRM and its systems will be revised. The issues will then be identified to distinguish whether or not, by implementing customer relationship management systems, companies have been successful.
Introduction: The concepts of mass production and mass marketing, first created during the Industrial revolution are being replaced by new ideas in which customer relationships are the central business issues. Companies today are concerned with increasing customer value through analysis of the customer lifecycle. The old model of “design-build-sell” (product oriented view) has been replaced by “ sell-build-redesign” (customer oriented view). (Noori and Salimi,2005, pg. 226) Customers are demanding different relationships with suppliers than the traditional sales model. Hence new technological advancement such as databases enables businesses to know who the customers are and their purchase behaviour etc. (Xu et al, 2002, pg. 442)
The ability to understand and manage a close relationship with their customers is every business or organisation’s ultimate goal and the challenge. Customer relationship management (CRM) helps deliver customer centric relationships. Companies, wanting to be successful, should use customer’s information appropriately in order to build and maintain the relationship. The study and practice of customer relationship management (CRM) has experienced tremendous growth over the past decade in business and academic field. Authors like Reichheld and Sasser (1990); Blattberg and Deighton,
Abstract:
CRM systems is the hottest trend in the business world today. CRM, if done in the right way can be advantageous for the companies. The purpose of this essay is to demonstrate the use and effects of CRM in business-to-business domain. In order to do so, the concept of CRM and its systems will be revised. The issues will then be identified to distinguish whether or not, by implementing customer relationship management systems, companies have been successful.
Introduction: The concepts of mass production and mass marketing, first created during the Industrial revolution are being replaced by new ideas in which customer relationships are the central business issues. Companies today are concerned with increasing customer value through analysis of the customer lifecycle. The old model of “design-build-sell” (product oriented view) has been replaced by “ sell-build-redesign” (customer oriented view). (Noori and Salimi,2005, pg. 226) Customers are demanding different relationships with suppliers than the traditional sales model. Hence new technological advancement such as databases enables businesses to know who the customers are and their purchase behaviour etc. (Xu et al, 2002, pg. 442)
The ability to understand and manage a close relationship with their customers is every business or organisation’s ultimate goal and the challenge. Customer relationship management (CRM) helps deliver customer centric relationships. Companies, wanting to be successful, should use customer’s information appropriately in order to build and maintain the relationship. The study and practice of customer relationship management (CRM) has experienced tremendous growth over the past decade in business and academic field. Authors like Reichheld and Sasser (1990); Blattberg and Deighton,
References: Bull, C. (2003). “Strategic issues in customer relationship management (CRM) implementation”. Business Process Management Journal, Vol. 9, No. 5, pp. 592-602 Corner, I., Hinton, M Fill,C., Fill, K.E. (2005). “Business to Business Marketing: Relationships, systems and communications”. Prentice Hall, Harlow Friedman, G.H Kotorov, R. (2003). “Customer relationship management: strategic lessons and future directions”. Business Process Management Journal, Vol. 9, No. 5, pp. 566-571 Li, F.,Fok, W., Fok, L.,Hartman,S Noori, B., Salimi, M.H. (2005). “ A decision-support system for business-to-business marketing”. Journal of Business & Industrial Marketing, pp. 226-236 Payne, A., Frow, P Rigby, D.K. (2002). “Avoid the Four Perils of CRM”. Harvard Business Review, Feb, pp. 101-109 Rigby, D.K., Ledingham, D Srinivasan, R., Moorman, C. (2005). “Strategic Firm Commitments and Rewards for Customer Relationship Management in Online Retailing”. Journal of Marketing, Vol. 69, Oct, pp. 193-200 Wilson, H., Daniel, E., McDonald, M Xu, Y., Yen, D.C., Lin, B., Chou, D.C. (2002). “Adapting customer relationship management technology”. Industrial Management & Data Systems, Vol. 102, No. 8, pp 442-452 Zing, Y