Page 263 - DMGT308_CUSTOMER_RELATIONSHIP_MANAGEMENT

Customer Relationship Management

Notes

Task Explain the first building block of CRM.

Self Assessment

Fill in the blanks:

11. Primarily there are …………………… building blocks of CRM.
12. CRM initiatives needs a …………………… to ensure that programs are approached on a
strategic, balanced and integrated basis.

13. …………………… highlights the many facets of the customer-centric internal change
needed to deliver the required and desired external customer experience.
14. A successful …………………… is the cornerstone to motivating staff, generating customer
loyalty and gaining a greater market share.
15. A CRM strategy is …………………… an implementation plan or road map.



Case Study Building a CRM Strategy

Situation
A major food manufacturer wanted to adopt Customer Relationship Management (CRM)
system as a key plank in its “Customer Focused Organization” platform. Although software
vendors were abundantly available, the client was uncomfortable purchasing a software
solution before they had defined how this new activity would fit into their core
competencies, account management process, major account planning process, customer
segmentation, etc. In short, they needed a CRM strategy. The client retained DHC to help
them develop a CRM perspective that would match their business model and values.
Solution

DHC consultants worked with a multi-functional client task force to accomplish the
objective. DHC served as both subject matter experts and team facilitators. The team
reported to a steering committee comprised of executive committee level members and
chaired by the Vice President of Sales.
The task force started with industry reports on CRM as a basis, with the goal being to stay
as close to “industry Standards” as possible while still meeting the organization’s needs.
After several sessions, the task force concluded that substantial modification would be
required on two fronts.
First, the task force determined that more tangible customer definitions were required to
build any sort of actionable strategy. In a DHC designed exercise, the various functions
defined each relationship type in terms of activities that their function would do differently
with a given customer based on that relationship type and the company’s customer
segmentation.
The second issue for the task force was that many industry models seemed to portray
relationship types hierarchically. In other words, one relationship type was inherently
Contd...

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