Crm Ppt 05

Customer Relationship Management:
A People, Process, and Technology
Approach
William Wagner and Michael Zubey

Chapter 5: Managing a
CRM Implementation
Customer Relationship Management

Reserved

Copyright
2007 Thomson Publishing: All Rights
Wagner
& Zubey
Copyright
(c) 2006 Prentice-Hall. All rights reserved.

1

Learning Objectives
 Describe the risks associated with implementing
CRM applications
 Discuss the process of choosing from among various CRM alternatives and vendors
 Divide a CRM project into manageable phases
 Describe the CRM development life cycle
 Explain the importance of change management for
CRM initiatives
 Discuss the importance of setting critical success factors for CRM projects
Customer Relationship Management
Wagner & Zubey

2

CRM in Action
 Moore Medical System
 medium-sized company with a niche in the “practitioner market” in the world of medical supply
 Practitioner market
 Emergency Medical Services (EMS),
 Public Sector facilities (schools, correctional facilities, industrial facilities)
 Physicians
 Podiatrists
 Specialty groups

Customer Relationship Management
Wagner & Zubey

3

CRM in Action (cont.)
 Market Share
 Podiatrist -75%
 EMS -37%
 Physician -5%

 Gross Margin -30%, margin for pharmacy supplies
-5%
 Competition Large firms were noticing the smaller niche markets
 Small firms were further entrenched in niches.

Customer Relationship Management
Wagner & Zubey

4

CRM in Action (cont.)
 Past ERP Implementation at Moore Medical
 Implemented a J.D. Edwards ERP system in 1998 as part of their Y2K remediation efforts
 Spent $7 million on this project and successfully implemented the financial suite, the distribution suite for sales, procurement, inventory, and transportation management, the EDI application, and the Advanced
Warehouse Management suite.
 User dissatisfaction due to lengthy process in setting up account or new order, inefficient process for creating a bid or quote

Customer