7. A concept CRM – definitions Key Success Factors for CRM Schemes CRM Scheme Implementation Strategy in CRP Henri Tudor Limitations and further research CRM Strategy Organisation IT
26. CRM Scheme Implementation CRP Henri Tudor CRM – definitions Key Success Factors for CRM Schemes CRM Scheme Implementation Strategy in CRP Henri Tudor Limitations and further research Scientific and Technological Domains: Information and communication technologies Materials technologies Business organisation and management Environmental technologies Health care technologies Targeted Sectors: Services Finance Production Construction Health care and social security Public Sector A particular attention is given to SME.
27. CRM Strategy CRM – definitions Key Success Factors for CRM Schemes CRM Scheme Implementation Strategy in CRP Henri Tudor Limitations and further research Implentation’s Strategy Key factors 1 – Define New Strategy for Customer Relations Management Customer Relationship History Analysis Customer Life Cycle Analysis 2 – Define New Customer Relations Organization 2 – Change Management – Customer Culture Management 3 – Establish CRM System Specifications 4 – Roll out CRM System – User Training Breakdowns/Improvements classified in the 4 categories Fit/Coalignement Fit/Coalignement/Market orientation/Resistance to change Fit/Coalignement/IT Maturity/Resistance to change Fit/Coalignement/IT Maturity/Resistance to change
28. Customer Relationship History CRM – definitions Key Success Factors for CRM Schemes CRM Scheme Implementation Strategy in CRP Henri Tudor Limitations and further research
29. Customer Life Cycle CRM – definitions Key Success Factors for CRM Schemes CRM Scheme Implementation Strategy in CRP Henri Tudor Limitations and further research Adaptation of Cutler’s Model 1- Reach 2- Acquisition 3- Conversion 4- Retention 5- Loyalty 1- Prospecting 1- Preliminary Approach 2- Listen-Present-Demonstrate 3- Conclusion 3- Realization 4- Follow-up 5- Loyalty
A literature review of the subject classified CRM in fifth general category [Ngai05] based on 205 articles: 1) General: general concept of CRM including managerial and conceptual view 2) Marketing: from the mass marketing to the one to one marketing [Peppers 99], the different links between marketing and CRM 3) Sales: CRM is a tool that helps a sales function to be more efficient. CRM strategies integrate sales strategies: how to build new relationships with customers, how to maintain the current relationships… 4) Support: Customer Relationships are not only focused on the sales and marketing but also on the other parts of the firms. 5) IT: CRM development is directly impacted by the development of IT.
Romano and colleagues [Romano 07] propose a different overview of all documentation on CRM (510 publications) based on the different phases of CRM lifecycle: adoption, acquisition, implementation, usage and maintenance. They conclude that IS research community is focused on acquisition, implementation and usage. This is aligned with the fact that CRM technology is recent. The marketing community is more interested in the adoption and uses phases in accordance with the fact that CRM needs a lot of marketing inputs in these phases.
Failure means
Resistance to change may arise due to disruption of habit, feeling of insecurity, fear of economic penalties or fear of the unknown Market orientation : companies have to shift with the old product centric approach to a customer centric approach
Many changes arrive with a new CRM system. Well resistance to change is linked to : a lack of awareness, the comfort of past, a risk of losing authority
Kohli [Kohli 90] constructed a definition of “market orientation” based on three pillars: Customer focus, coordinated marketing and profitability. They proposed a model that links antecedents of market orientation (senor management factors, interdepartmental dynamics and organisational systems, market orientation, moderators and consequences on fundamental parameters: customer responses, business performance and employee responses. This point view is a behavioral approach. To become customer focused means to create more knowledge about customers by developing intensively more activities (communication, production,…). An over point of view is the cultural approach where the customer is at the center of all the business processes and the organization [Webster 89].
A CRM that works doesn’t means a CRM that helps company to earn more money May be to introduce one part in a company could help them to adopt a whole software