A Project Report On “CUSTOMER RELATIONSHIP MANAGEMENT” Project Report hereby declare that this project titled “Customer Relationship Management” .. Financial problem is also there in completing this project in a proper way. 3. An exclusive project report on Customer Relationship Management (CRM). it allowed companies to interact with their customers on a whole new level. WHITE PAPER Customer Relationship Management (CRM) is processes which allow them to complete the a high proportion of CRM projects - which.
Thus in CRM the key performance figure is not just current market share but share of life time value by converting customers into partners. Why — Customer Relationship Management: Benefits of Customer Relationship Management: CRM software provides a business with the ability to create, assign and manage requests made by customers.
An example would be Call Center software which helps to direct a customer to the agent who can best help them with their current problem. CRM software can also be used to identify and reward loyal customers which in turn will help customer retention. Increase in customer retention Customer satisfaction ratings improved Service calls deflected from call center to online forum Reduction in overall customer service costs Marketing: CRM systems for marketing help the enterprise identify and target potential clients and generate leads for the sales team.
A key marketing capability is tracking and measuring multichannel campaigns, including email, search, social media, telephone and direct mail. Metrics monitored include clicks, responses, leads, deals, and revenue. Alternatively, Prospect Relationship Management PRM solutions offer to track customer behavior and nurture them from first contact to sale, often cutting out the active sales process altogether.
In a web-focused marketing CRM solution, organizations create and track specific web activities that help develop the client relationship. This allows a business to use fewer sales representatives to manage their clients.
At the core of SFA is a contact management system for tracking and recording every stage in the sales process for each prospective client, from initial contact to final disposition. Many SFA applications also include insights into opportunities, territories, sales forecasts and workflow automation. In order to tailor a horizontal CRM solution, companies may use industry templates to overlay some generic best practices by industry on top of the horizontal CRM solution.
Horizontal CRM vendors may also rely on value added reseller networks of systems integrators to build vertical solutions and sell them as 3rd party add-ons or to come in and customize the solution to fit into a particular scenario. Vertical CRM vendors focus on a particular industry.
As a general rule of thumb in CRM, it is ten times more costly to build a vertical solution from a horizontal software program than it is to find a particular vertical solution that is already tailored to your business model and industry. How to introduce CRM in the company: To launch a one to one initiative the company must be able to locate and contact a fair number of customers or at least a substantial portion of its valuable customers.
It is crucial to know the customer details as much as possible, not just their names or address, but their habits, preferences and so forth. Differentiating your customers Customers are different in two principal ways; they represent different levels of value and have different needs. Once the company identifies its customers differentiating them will help the company to focus its efforts to gain the most advantage with the most valuable customers.
Interacting with the customer Interaction is also a crucial component of a successful CRM initiative. It is important to remember that interaction just not occur through marketing and sales channels, customer interact in many different ways with many different areas of the organization so to foster relationship all the areas of the organization must be accessible to the customer.
Instances of a CRM attempting to contain a large, complex group of data can become cumbersome and difficult to understand for ill-trained users. The lack of senior management sponsorship can also hinder the success of a new CRM system. Stakeholders must be identified early in the process and a full commitment is needed from all executives before beginning the conversion.
But the challenges faced by the company will last longer for the convenience of their customers. This fragmented implementation can cause inherent challenges, as only certain parts are used and the system is not fully functional. The increased use of customer relationship management software has also led to an industry- wide shift in evaluating the role of the developer in designing and maintaining its software.
Companies are urged to consider the overall impact of a viable CRM software suite and the potential for good or bad in its use. Significance of the study: The biggest management challenge in the new millennium of liberalization and globalization for a business is to maintain good relationship with the king — the customer. Review of the existing literature: They have to retain the customers for a long time to avail the benefit of their relations. The customer relationship management is one of the effective tools to identify, establish and maintain relationship with the customers.
Objectives of Customer Relationship Management: To study the current practices of CRM. To find out the impact of CRM on the profitability of the organization.
To study the factors affecting the CRM practices. To study the role of information technology in CRM. Research Methodology A research design is simply a plan for study in collecting and analyzing the data. It helps the researcher to conduct the study in an economical method and relevant to the problem.
Research methodology is a systematic way to solve a research problem. The methodology should combine economy with efficiency.
Research design The study conducted here is exploratory cum descriptive. Scope of the study The scope of the study is confined to Company. Collection of the data There are two types of data. Primary data — primary data is that data which is collected for the first time.
These data are basically observed and collected by the researcher for the first time. I have used primary data for my project work. Secondary data — secondary data are those data which are primarily collected by the other person for his own purpose and now we use these for our purpose secondly. Who are your customers? Do you conduct customer satisfaction surveys? Do you communicate results of your customer satisfaction surveys regularly throughout the company?
Do you actively seek out customer comments and complaints? How do you get customer comments and complaints? How do you get information about the customers? Do you analyze channel effectiveness? In which channel is most effective in serving the customer? Do you provide credit facility to your customers? Do you give concessions to your regular customer? Do you take feedback from your customers?
Do you customize your product or services according to the customer?
Do you communicate with your customers frequently? Do you regularly review the business process to eliminate non value- adding activities and improve customer satisfaction? Is the working environment is conducive to the well-being and morale of all employees?
How much is the role of computers in serving the customers? Do you have centralized database for customer information? The clients who were extremely valued were pivotal in communicating with the firm, but the process became quite repetitive, and the information that was collected via surveys did not give the company a great of information. Even though the company could collect data through surveys, they did not have efficient methods of processing and analyzing the information.
As time went on, companies begin to realize that all they really needed was basic information. They needed to know what their customer purchased, how much they spent, and what did with the products they purchased. The s saw the introduction of a number of advances in this system.
It was during this time that term Customer relationship management was introduced. Unlike previous customer relationship systems, CRM was a dual system. Instead of merely gathering information for the purpose of using for their own benefit, companies started giving back to the customers they served. Many companies would begin giving their customers gifts in the form of discounts, perks, or even money.
The companies believed that doing this would allow them to build a sense of loyalty in those who brought their products. Customer relationship management is the system that is responsible for introducing things such as frequent flyer gifts and credit card points. Before CRM, this was rarely done.
Customers would simply by from the company, and little was done to maintain their relationship. In the minds of the executives, they have tremendous resources and could replaces customers whenever it became necessary. While this may have worked prior to the s, the introduction of the Information Age allowed people to make better decisions about which companies they would buy from, and global competition made it easier for them to switch if they were not happy with the service they were getting.
Today, CRM is being used to achieve the best of both worlds. Companies want to maintain strong relationships with their clients while simultaneously increasing their profits. They have become the systems that were originally envisioned by the pioneers of this paradigm. Software companies have continued to release advanced software programs that can be customized to suit the needs of companies that compete in a variety of different industries. Instead of being static, the information processed within modern CRM systems is dynamic.
This is important, because we live in a world that is constantly changing, and an organization that wants to succeed must constantly be ready to adapt to these changes. The outgrowth in origin of CRM as a strategic approach is a result of some of the following important perspectives: The belief that customers are the real assets and not just the people in the audience. The maturation of one-to-one transaction advent. Extensive use of software and technologies to maintain useful information and no manual labor.
The realization of the benefits of utilizing information proactively and not reactively. The change of business view to relationship approach rather than transactional approach. The approach of concentrating more on customer values rather than concentrating on how the product is delivered to the customer. The approach of focusing on customer satisfaction and loyalty rather than focusing self-satisfaction and profit. The increasing tendency to retain existing customers and trying to get more and more business out of them.
The realization that the traditional trends of marketing and selling are increasingly fading out in the current economic scenario. These additive approaches helped a lot in building up consequently the modern CRM.
Project Report on Customer Relationship Management (CRM)
Today we have well defined and sophisticated CRM systems into being which are always in process of improvement. Customer relationship management tools include software and browser-based applications that collect and organize information about customers. For instance, as part of their CRM strategy, a business might use a database of customer information to help construct a customer satisfaction survey, or decide which new product their customers might be interested in.
For a number of years, having a Customer Relationship Management CRM system was seen as a nice to have rather than a must have for the day to day operation of a business. However, recently this has changed, as more and more organisations are realising the business benefits of building relationships with existing customers and prospects.
After all, it costs more to attract new customers than it does to retain existing clients. It is all about building and strengthening customer relationships to keep them coming back, while helping businesses gain new customers. Essentially, a CRM system will help an organisation manage all of its relationships. Properly implemented, a CRM solution will streamline internal business processes and by effectively integrating marketing, sales and customer service functions, will make it easier for everyone inside an organisation to work together and share critical information — irrespective of company size.
The world of CRM is evolving from being a static source of information, to being a fully interactive business management tool. In the past, CRM projects have been notoriously high cost and as a result have been associated with larger companies. However, implementing a CRM system is now achievable for smaller companies as a result of the development of smaller applications for the mid-market.
This satisfies the demands of a number of organisations which require the ability to monitor every relationship which occurs, not just those with customers. Another phenomenon which has had an impact on the lifecycle of CRM is the explosion of the social networking world.
This has bought a number of benefits to businesses, including providing them with a new medium through which they can communicate with customers, prospects and suppliers.
Social CRM helps manage the development of relationships using social networking. CRM must start with a business strategy, which drives changes in the organization and work processes, which are in turn enabled by Information Technology. The reverse does not work.
Have you ever seen a company automate its way to a new business strategy? Reduce duplication of data and data entry ii.
Enable complete visibility throughout the organisation The seeds of modern-day CRM were sown in the s. Sales Force Automation systems quickly evolved from simple contact managers, while Customer Service and Support systems became the backbone of automated call centers.
By the lates, the real action was outside the corporate firewall. Left Hand, Meet Right Hand: To see how it works, go to Amazon.
Talk to anybody from Amazon at any time, and they can swiftly deal with your concerns because they see your total dealings with their company. You want every company you deal with to be able to do this. The challenge now is for companies to present that single face in all these real-world scenarios. Why is this so difficult? You also have to bend and reshape your internal technologies to support customer-centric, rather than silo-centric, business processes.
To win the battle for customer loyalty in the future, companies must shift from stand-alone business technology approaches to systems that support the total customer experience and work across multiple enterprises. The Next Evolutionary Step: If your relationships with customers are getting more important, so are your relationships with your partners.
If you build a site that shows how your partnership benefits the consumer, you also can benefit greatly.
Project Report on Customer Relationship Management (CRM)
What companies are trying to do now, under increased pressure to perform, is to consolidate all these tools into an Internet- based system so that channel managers and their partners have the tools to drive revenue. Earlier ideas about customer satisfaction dealt with keeping the customer happy after a purchase transaction took place.
In this Customer Economy, however, waiting for the PO to provide good service may be waiting too long. Partner Relationship Management has made great strides helping companies get used to the idea that their partners and channels are as crucial to their success as their customers or internal operations.
Now, with business hurtling towards a collaborative future, managing integrated relationship networks will be essential. These C-Webs must provide the structural frameworks to keep a single face not only for all your customers, but business partners as well. But with that challenge comes a new opportunity to gain, or lose competitive advantage. One of the main reasons, often cited for business failure is because they are bad at managing people, both in terms of the staff they employee and the customers they have.
In business, effective communication, both with staff and customers is key to success. However, this can be difficult and often there are gaps in knowledge which mean that effective and relevant communication can become near on impossible. However, through implementing a CRM system, all forms of communication and therefore knowledge can be significantly improved. This can have serious implications on the level of knowledge employees have and therefore the level of customer service which they deliver.
In addition, employee knowledge can differ between departments due to a lack of internal communication. This kind of experience is likely to have negative implications on the company as a whole as customers will tell others of their bad experience, damaging the company reputation.
So What is Customer Relationship Management and how does it work? CRM is a combination of business strategy, software and business processes which when implemented correctly bring significant tangible benefits to companies of all types and sizes, regardless of sector.
It centralizes company and contact information and tracks all activities and communications. CRM is all about building and strengthening customer relationships to keep them coming back, while helping the organisation gain new customers. CRM systems streamline internal business processes by effectively integrating marketing, sales and customer service functions.
Correctly deployed a CRM system will provide one centralised database and therefore: By providing a single source of reliable, accurate and timely data, combined with powerful tools and features to manage workflow and automate day to day tasks.
CRM reduces duplication of effort, saves time and enables detailed analysis of sales, marketing and customer service activity. Essentially, a CRM system will improve efficiency, effectiveness and will help a company gain competitive advantage, as the more an organisation understands about its customers and their needs, the more productively and profitably they can manage relationships with them.
CRM is a strategy. There are a variety of software solutions which enable the implementation of this strategy. Customer relationship management solutions provide customer oriented services for planning, developing, maintaining and expanding customer relationship. The sole aim of CRM is to develop strong and deep relationships with the customers, so as to benefits the business as well as the customers. According to the concept customer is the king and the needs and desires of the customers hold a vital place in the minds of the business and businessmen.
CRM should be considered as a process that brings together pieces of information related to sales, customers, marketing effectiveness, market trends and responsiveness. CRM consists on an strategy of the organization, it is focused on the efforts of knowing the customers, detecting their needs, increasing the grade of satisfaction and their loyalty to the enterprise, also raising the profitability or the benefits of the costumer to the business. All this is made by means of the extracted information by the customers from the different ways of communication.
An effective CRM program make it possible for a firm to acquire a new customers and retain the existing customers by providing the best services and by contributing a higher value for the customers.
A good CRM program of the firm can improve its customer service by facilitating communication in followings ways: Moreover, bidirectional integration with MS outlook is also becoming a de facto standard such that you can enter a data specific activity or a contact from within MS outlook and the activity or data is automatically input within the CRM software application or vice versa. In addition to single user and group calendar scheduling.
The time management component also includes the creation and management of task lists as well as e-mail. This component includes management of contact profiles and history, management of account information including activities and order entry.
This component includes classical functionality such as call list assembling, auto dialing scripting cal tracking and order taking. Increasingly customer service and support software includes web based self service capability that customers can easily access using a browser. These first components constitute what is commonly referred to as front office or customer- facing function. The reaming three components comprise both business and technology issues. This components which is primarily focused for exchange of products and service via the web, has become increasingly important given the growth of web based business-to-business and business-to-consumers application.
It is unlikely that CRM software will include every e- commerce application. Although integration to legacy system, the web and the third party external information sources has become increasingly important an effective CRM system, this component is somewhat of a technical components. Sales personnel, customer service personnel maybe even customer, may want to know the status of their order, or whether an invoice has been received. Production line and inventory manager want to know latest sales forecast.
Many CRM software vendors have build their data synchronization functionality, although we also see integration with third party synchronization engines such as synchrologic. Microsoft, elsewhere so be sure to ask your CRM software vendor to show you their scalability test result if this germane to your CRM implementation. Items in this section are related to process rather than the tool.
Sales reps know how customers can contact the support group, and conversely support reps know how customers can contact the sales team. Sales and support reps can locate the documented processes for their area within 2 minutes if they are unclear about them. There is an owner for each customer-focused process. Is the owner identified within the process itself? The process were updated in the last six months. Following up on the point above, finding evidence that processes are indeed updated means that they are important.
Changes need not be very significant. There are well — defined metrics for customer-focused activities. Do you think that metrics are a function of the tool rather the process beg to disagree. Although a good tool makes the computation of metrics much easier, metrics should exist independently of the tool. Ideally metrics should capture actual results rather than simple measures of activity.
Customer-focused employees have formally-defined objectives that relate to the metrics. Measurements are one thing. Making sure the measurement matter to the staffers who work with the customers ensures that the metrics are attended to. What gets measured gats done, which is yet another reason to pick good, meaningful metrics, do you really want your team to compete on how many sales calls they make?
Here again, a good tool will make knowledge creation much easier, but you still need to have a clear process to create documents. A state-of-the-art process will have some way of gleaning documents from the front line staffers, either by encouraging them to write documents themselves, or by having a system through which they can request and suggest new documents. The knowledge base is growing daily.
When you hire someone, it takes less than one business day to create a new account for that individual.