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Customer „y Boca Raton London New York
CRC Press is an imprint of the
Relationships
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© 2002 Janice Reynolds
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Table of Contents
Acknowledgments
Preface
Section I: Determining the Need for CRM
Chapter 1: What is CRM? 001
A Different Corporate Culture 002
The Objectives 003
The Customer 005
The Internet's Influence 006
CRM Architecture 006
The One-to-One Philosophy 008
InSummary 011
Chapter 2: The Evaluation Process 013
The CRM Team 013
Determine the Objective(s) 014
Perform a Needs Analysis 015
The Customer’s Perspective 016
The Prospects of Success 017
What’s the Best Strategy 019
Cost Considerations 020
In Summary 022
Chapter 3: Preparing a Business Case 023
The Construction Process 025
Costs 026
Return on Investment 026
Measure the Benefits 028
Discuss the Risks 029
In Summary 030
Section II: The Strategy Process
Chapter 4: Creating the CRM Strategy 031
Where to Begin 033
Finding a Strategy that Fits 034
Understanding the Technology 035
Managing Data 037
Features and Functionality 039
A Practical Guide to CRM: Building More Profitable Customer Relationships
The Road to Success 042
Actionable Planning 043
Delivering Customer-centric Functionality 045
Avoiding Potential Land Mines 045
Key Strategy Issues 046
In Summary 047
Chapter 5: A Program of Projects 049
Project Management 052
The Project Manager 052
The Project Plan 053
Program Management 054
The Program Manager Skillset 054
The Program Manager’s Responsibilities 055
The Program Management Plan 056
Corporate Oversight and Control 057
In Summary 057
Chapter 6: The People Factor 059
Managing the Changes 060
Management Buy-in 061
Communicate 062
Training, and More Training 062
A “Change Management” Plan 063
Spreading the Message 064
Change Impact and Adoption Strategy 064
Employee Buy-in 065
Collaboration 065
Acceleration 066
In Summary 066
Chapter 7: Increasing Customer Loyalty 067
The Reality 068
The Problems 069
Differential Difficulties 069
Customer Service 069
Inadequate Customer Tracking 070
Wrong Customer Focus 070
The Fix 071
A Customer Loyalty Program 071
Create a Customer-focused Environment 072
Institute a Cultural Change 073
The People Factor 074
Benefits 075
In Summary 076
Chapter 8: Know Thy Customer 077
Assessing the Customer Base 079
A Practical Guide to CRM: Building More Profitable Customer Relationships
Identity 079
Loyalty 080
Value Quotient 081
Satisfaction 081
The Results 081
Customer’s Roles 081
The Prospect 082
The Account 082
The Business Partner 083
The E-customer 083
The Company Asset 083
The Customer Experience 084
Using Data Wisely 085
The Customer’s Perspective 086
In Summary 087
Section III: Technology
Chapter 9: The Many Flavors of CRM - An Overview 089
The History 090
Current Events 091
The Choices 092
Operational 094
Analytical 095
Collaborative 095
Vertical Options 096
Technology in Evolution 096
Software Selection 097
Hosted Solution 098
In Summary 099
Chapter 10: Marketing 101
CRM to the Rescue 101
How It Works 102
Coordination is Key 104
Marketing Automation 105
The Sales Connection 106
Database Marketing 107
Direct Marketing 108
Interactive Direct Marketing 109
E-marketing 110
Closed-loop Systems 113
Finding the Right Fit 113
Something Old, Something New 115
Benefits 115
InSummary 116
A Practical Guide to CRM: Building More Profitable Customer Relationships
Chapter 11: Sales 119
Planning 120
The Customer Life Cycle 121
Sales Automation Choices 123
The Communications Infrastructure 124
Tools for the Sales Professional 124
Automating the Sales Manager 131
Vertical Solutions 135
The Human Element 135
Motivate Don’t Mandate 136
All Employees Aren’t Equal 137
Benefits 137
InSummary 138
Chapter 12: The Call Center Evolution 139
The Stampede to CRM 139
The Bounce Syndrome 140
“At Risk” Customers 141
Improving the Customer Experience 142
CRM and Traditional Call Center Architecture 143
The Time is Right 143
Metrics Win the Day 144
Haste Makes Waste 144
Evaluating CRM Systems 145
A Blended Center 146
Cross- and Up-selling 148
Data Management, Reporting and Analysis 148
Computer Telephony Integration (CTI) 152
Multiple Channel Capabilities 154
Document Generators 158
Campaign Management 158
Knowledge Management 159
Workflow Management 160
Call Center Management 160
Other Considerations 161
Field Service 161
Minimum Criteria 162
Wireless 162
Advantages 164
Integration 164
Call Center Staffing 165
Costs and Benefits 165
In Summary 167
Chapter 13: The Importance of Data 169
The Customer Data Architecture 172
A Practical Guide to CRM: Building More Profitable Customer Relationships
The Data Storehouse 174
A New Data Architecture 175
MetaData 176
Data Cleansing 176
Data Access and Analysis Tools 179
Data Mining Tools 179
The Web 183
Managing Data in the Mid-sized Business 183
Knowledge Management 184
Customer Intelligence 185
In Summary 185
Chapter 14: Hosted Solutions 187
What is a Hosted Solution? 187
Acronym Alphabet Soup 188
Why use a Hosted Solution? 190
Costs 192
Implementation 192
Limitations 193
Advantages 193
Differences between Hosted Solution Models 193
Application Specific 193
Tailored Solution 194
Vendor Specific 194
Menu of Solutions 194
Vertical Solution 195
End-to-End Solution 195
Business Solution Provider 195
Benefits 196
Time-to-Benefit 196
IT Skillsets 196
The Sweet Spot 197
Web 197
The Concerns 197
Trade-offs 198
The Decision Process 199
Due Diligence 199
Integration Woes 202
Time 203
Costs 203
In Summary 204
Chapter 15: Partnering for Success 205
How to Find a Tech Partner 206
Consultants 206
Why Hire a Consultant? 207
A Practical Guide to CRM: Building More Profitable Customer Relationships
What to Avoid? 209
Consultants’Wrap-up 210
Syste ms I ntegrato rs 210
How to Find the Best Fit 212
Advice from the “Horse’s” Mouth 213
What to Expect? 214
Systems Integrators’Wrap-up 215
The Selection Process 215
Determine Need 215
Qualifications 216
The RFP 216
The Interview 217
Due Diligence 218
The Contract 218
Work Plan 219
InSummary 219
Chapter 16: The Vendor Selection Process 221
Understand the Vendor Community 222
Verticals 223
Vendor Selection 224
Selection Criteria 225
Define the Need 225
Narrow the Field 226
The Short-List 227
Request for Proposal 229
RFP Committee 230
Criteria 230
An Example RFP 231
Pre- and Post-RFP Tasks 237
Legalese 237
And the Winner Is... 237
Costs 238
Vendor’s Vision 238
Due Diligence 239
Negotiations 240
Paperwork 240
In Summary 241
Chapter 17: Implementation and Deployment 243
Implementation Philosophy 244
The Implementation and Deployment Plan (l&D Plan) 244
The Implementation Team 245
The Systems Migration Plan 245
Process Re-engineering 247
Moving Forward 251
A Practical Guide to CRM: Building More Profitable Customer Relationships
Finalizing the l&D Plan 251
Middleware 254
CRM Needs Middleware 255
Enterprise Application Integration (EAI) 257
Avoiding the Pitfalls 257
Front-office/Back-office 258
The Channel Conundrum 258
An Amalgam 259
Testing 259
Security 260
CRM Ups the Security Risk 260
Final Deployment 261
Training 261
Post-Implementation 262
Post-Implementation Team 262
Documentation 263
Support 263
Maintenance 264
Costs 264
In Summary 265
Some Parting Advice 267
Glossary 269
Index of Figures 287
