Customer complaints are the schoolbooks

from which we learn.

The customer is the most important person on our
premises. He is not dependent on us we are dependent on
him. He is not interruption to our work he is the purpose
of it .He is not an outsider to our business he is a part of
it. We are not doing favour by serving him. He is doing a
favour by giving an opportunity to do so.

-Mahatma
Gandhi

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 Customer Relationship
Management
“Process of creating and maintaining relationships
with business customers or consumers”
“A holistic process of identifying, attracting,
differentiating, and retaining customers”
“Integrating the firm’s value chain to create
enhanced customer value at every step”
“An integrated cross-functional focus on
improving customer retention and profitability for
the company.”

where, do everything, and never fail to astonish the custom

Motto www.a2zmba.com
Customer Relationship
Management
Bottom-line:

The use of information-enabled systems for

enhancing individual customer relationship to
ensure long-term customer loyalty and retention

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 Changing Business Scenario -
Need for CRM

Common sense if of paramount importance in business

and customer service.
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Why CRM?
It costs six times more to sell to new customer than
to sell to an existing one.
A typical dissatisfied customer will tell 8-10 people
By increasing the customer retention rate by 5%,
profits could increase by by 85%
Odds of selling to new customers = 15%, as
compared to those for existing customers (50%)
70% of the complaining customers will remain loyal if
problem is solved
90% of companies do not have the sales and service
integration to support e-commerce

Customer service is awareness of needs, problems, fears

and aspirations. www.a2zmba.com
 Importance of CRM

Scope Depth
Customer Management Process
Sellin
MarketingThreads Servicing Are we making
g Customer Relationship the right level
Customer Interaction

Strategies and type of

Broadcast marketing,
Mail sales, and
Channels

service
Field Personnel investments in
Are
eachweoftaking
our a
Agents/Distributors Customer Relationshipholistic
Structure customer
Call Center
approach
segments? to
our customers
Retail across
processes and
Internet channels?
Customer RelationshipHave we
Performance implemented
Back Office Process/Systems best practices
and technology
in
www.a2zmba.com process/channe
 Aspects of CRM

Operational Analytical Collaborative

CRM CRM CRM

Customer

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CRM Principles
• Customer Acquisition

Gain the greatest number of new “Best”

customers as early in their “lifespan” as
possible.

• Customer Retention

Retain and expand your business and

relationships with your customers through up
selling, cross selling and servicing.

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CRM Principles (Contd..)
• Customer Loyalty
Offer programs to ensure that your customers
happily buy what you offer only from you.
• Cost Reduction
Reduce costs related to marketing, sales,
customer service and support.
• Improve Productivity

• Enhance your e-business strategies.

Customers don’t expect you to be perfect. They do expect

you to fix things when they go wrong.
Donald Porter V.P., British Airways
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 Data Data Knowledge Enabling
Capture Warehousing Management Technologies

Customer Touch
EIS Segmentation Call Centres
Point Integration

Market Customer Sales Process

OLAP
Research Profitability Automation

External
Data Cleansing Data Mining e-Business
Databases

Statistical
MetaData Modeling

Organization

People

Deployment and Support

The building blocks of CRM are the things that need to be in place for an effective Customer
Relationship management program

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 Benefits of CRM
 Increases customer acquisition
 Decreases cost and internal issues.
 Increases revenue and hence profitability.
 Increases effectiveness.
 Increases morale of the employees. Increases creativity and hence makes
a path for innovation.

 Increases customer satisfaction

 Decreases errors and time loss.

 Decreases customer’s complaints.

 Increases customer loyalty

stomers are an investment. Maximize your return.

opleSoft Ad www.a2zmba.com
Benefits of CRM

www.a2zmba.com Burak Goraglu

Ways to avoid CRM Pitfalls
• CRM software should mould to company’s best practices, rather
than forcing to use the best practices of the CRM vendor.

• CRM vendor only provides 20 percent of the total CRM solution,

organizations should examine how easy or difficult it will be to
integrate the product into organizations new systems.

• It should be kept in mind any CRM project that takes more than
90 days to implement, runs the risk of failure.

• CRM technology is useless if the employees are unwilling or

untrained to use CRM product. Hence organization should gain
internal support by communicating the benefits of CRM and
provide relevant training.

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Areas of CRM Activity
 Sales Force Automation (SFA)

 Customer Service and Support (CSS)

 Help Desk

 Field Service

 Marketing Automation

Do what you do so well that they will want to see it again

and bring their friends.
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 eCRM
eCRM is the customer–facing internet portion of CRM.

eCRM - to interact with the business through their preferred

communication channel and it allows the business to offset
expensive customer service agent with technology.

- high customer satisfaction and reduced cost through

improved efficiency.

Good leaders must first become good servants.

Robert Greenleaf
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Some CRM Vendors &Products

 Applix (iCRM)
 Siebel (Siebel 7)
 Oracle (CRM 11i)
 PeopleSoft (PeopleSoft 8.4 CRM)
 Firstwave (eCRM 7.0)
 Talisma (Talisma CRM)
 Commence (Commence RM)
 Microsoft (Microsoft CRM)

In the world of Internet Customer Service, it's important

to remember your competitor is only one mouse click
away. www.a2zmba.com
 CRM - ENGINEERING / AUTO SECTOR
CRM IMPLEMENTATION TATA MOTORS

 Tata Motors India’s largest integrated automaker

with market share approaching 60 % in Commercial
vehicles and 20% in passenger car market is known
well for technology strategies.

 Facing international competition TATA MOTORS

took up the challenges by focusing on CUSTOMERS

 Tata Motors realized that Globalization has changed

the business environment in the organization.

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 CRM - ENGINEERING / AUTO
SECTOR
 Many Business challenges
CASE STUDY OF TATAneeded
MOTORSsolution to stay
Competitive “
 Business challenges Include
1. Need for a Standardized world class Business
process
2. Need for Centralized Customer Data Base
3. Better and improved communications with 1600
dealers / stockist
4. Better and faster response for customer request
5. Better feedback on product quality
6. Effective training of employees
7. More effective measurement of marketing
campaign program
8. Improved throughput in customer services
9. Better Cost management in Sales and
administration
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 CRM - ENGINEERING / AUTO SECTOR
IMPLEMENTATION AT TATA MOTORS

 TATA MOTORS deployed Siebel CRM applications

throughout Tata Motors organization to overcome
above challenges
 Siebel Automotive, a comprehensive customer
relationship management (CRM) solution designed
specifically for companies in the automotive industry.
Was deployed throughout TATA MOTORS

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 CRM - ENGINEERING / AUTO SECTOR
CASE STUDY OF TATA MOTORS

 Deploying Solution in Three Phases Tata Motors has

taken a phased approach to the implementation, with
the goal of achieving success in each phase before
moving forward.
 Phase 1
 Phase 2
 Phase 3

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Conclusion
Companies that are not improving their
relationships with customers are gambling
with the future of their businesses.

Focus on adding value to customers, not

efficiency or control-oriented imitations.

If it weren’t for the Internet, there wouldn’t

be CRM as we know it today.

There is only one boss. The customer. And he can fire

everybody in the company from the chairman on down,
simply by spending his money somewhere else.
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References
1.CRM-EMERGING TOOLS AND APPLICATIONS
Editors: Jagdish N Sheth ,Atur pavatiyar,G Shainesh

2.CRM- THE NEW FACE OF MARKETING

ICFAI

3.CRM – AT THE SPEED OF LIGHT

Paul Greenberg

4.CUSTOMER RELATIONSHIP MANAGEMENT

Kristin Aderson Carol Kerr

5.SECRETS OF CRM
James G. Bwnes

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References
6. CRM - Graham Robert Phelps
7. CRM – R.K Sugandhi
8. CRM - Burak Gorakglu
9. www.crm2day.com
10. www.crmadvocate.com
11. www.sourcio.com
12. www.gartnerg2.com
13. www.eweek.com
14. www.youtube.com
15. www.talisma.com
16. www.businesslink.gov.uk.com
17. www.daffodildb.com

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