CRM Group Paper

Introduction
In this paper we come up with a joint 7 role mission statement. We are going to explain the 7 perspectives/roles, and how they work together. After that we are going to describe our group mission statement on developing CRM in a real life hotel.

7 persepectives/roles
Relationship Content IT Change Privacy Strategy Performance

What is CRM?
CRM or customer relationship management is a business strategy that is used to raise customer loyalty and the customer retention. This strategy is used to increase profitability by improving the relationship between guest and hotel, which makes the guest loyal to a certain hotel or hotel chain. The strategy is used to learn more about the guests needs and behaviors to get a stronger relationship with the guest. An example of this is a loyalty program of a big chain hotel. To make a CRM strategy effective, the employees must be convinced that it works and brings advantages in their job, because the CRM strategy starts with the staff making an effort, since the staff has the most contact with guests.

Roles
Relationship The relationship role is about differentiating your guests. From a companys perspective it is about whether every guest is equally treated and how the guests are prioritized. From a guest perspective it is about whether the guests values and needs match the company and what will the hotel invest in the guest. Before developing a relationship with guests in an organization it is important to determine what the company wants to know of the guests and what they are willing to invest in the guests. Strategy The strategy role in CRM 7-18 is the communicator of the other roles and is about determining which way to go. Analyzing the need for a certain CRM aspect, and implementing it with the right amount of predetermined resources. It looks at the guests needs, and compares it with what the hotel has to offer. When this is not the same, it will define a strategy to get the two aspects together. Also stating

the stakeholders in a certain task. As the name already tells us, the strategy role determines the strategy the hotel is going to follow, to create a better customer relationship. Privacy The role privacy is about questions a hotel can ask, in order to get the information they want and need. The questions asked need to be relevant for the guest and for the hotel. Also the different cultures need to be taken in consideration, because some questions you cannot ask to some cultures, i.e. you will not ask a Moroccan husband what his wife does for work, because in their culture the wife is forbidden to work. There are international laws to secure the privacy of the guests. Thus, the main subjects the hotel needs to keep in mind are, do we ask appropriate questions, how close can we get, do we cross boundaries, and is the system we use good and trustworthy. Change The roles mission is relationship culture, staff is not sufficiently informed , willing or trained. From a guest perspective it is important that every staff member in the organisation is committed, informed, trained and motivated to serve the relationship with the guest. Guests want to know who their contact in the hotel is. For the hotel the main focus for the change are the training programmes, internal communication, function descriptions, competency development, staff empowerment. Thus, how to change the system, the staff or actually the whole hotel? Content The roles mission is Relational Creativity which means it is important to provide creative and refreshing offerings throughout the process of authentic attention. The main problem is that relationship benefits are not individual or original. It is the content roles task to change that. The main question to address is How do I want the hotel to adjust its services and communication towards me? Does the organization treat me as an insider? The roles tasks are for example to develop a dialogue, to critically understand guests, follow the guests life cycle circle and staff empowerment. In addition to that it is important to be aware of the dangers that might occur while applying this role. Those are for example creating content without looking at the relationship strategy and CRM objectives and taking not enough responsibility. In other words it means that the roles objective is to get the as much information as possible out of the guest. It needs to do it in a very individual way so that guests are wanting to share personal information. IT According to CMR 7-18 the IT role is all about collecting data from customer profiles and put this organized within a system and manage this data. All this data need to be up-to-date and the system should always be in development to create better versions. Furthermore, it concerns the communication part within CRM, how employees are briefed and how to put all this guest information within the CRM system. Performance The performance role is based on the fact that it is important to measure if a certain CRM program is useful or not. Questions that can be asked are: - What is in it for the company? - What is in it for the guest? - Are the objectives and values clear to both parties?

By asking these questions and measuring the usefulness of the CRM program one is able to see if the program is profitable for both the company and the guest. From the company point of view a program is profitable when satisfied guests keep on returning to the hotel and become loyal guests. From the guest point of view a program is useful when the guests receive something for their loyalty. The most important links between the roles

Strategy Relationship Privacy Performance IT

Content

Change

Strategy The strategy role determines the strategy the hotel is going to follow, to create a better customer relationship. It is linked to all other roles because it is overseeing the big picture. It is stimulating, informing and facilitating the other roles Relationship Relationship - Privacy: Recovery policy It is the privacys role to take care of the guest intimate information. Every guest wants to be treated differently and is willing to share different information. Within the relationship role it is about the values and needs of the guest. When the hotel is judging the guest in a wrong way, you can implement a recovery policy, so you can adapt to the guests values and needs. Relationship - Strategy: 1-to-1 objectives and targets (deaveraging) Deaveraging means that you apply different prices for a commodity to different customers instead of applying an average price to all The strategy role in the CRM models sets guidelines that need to be followed in order to create a long term relationships. Because of different values and needs of your guests you can set 1-to-1 objectives and targets to create the most revenue as possible. Performance Performance - IT By doing surveys one is able to see how people react on a certain CRM program. To store and read the outcomes of the surveys, one needs IT for help. Performance - Privacy When setting up a questionnaire or other survey, it is important to know who your target group is. Even more important is if there are special circumstances you have to take into account in your survey, for example culture or religion. Therefore a good relationship with privacy is important. Not only for this, but also for the fact that the outcomes have to be stored.

Privacy Privacy - Content: Permission The privacy role gives the content role permission to gather information about the guest and that the guest is willing to share this information. With the privacy role you look at what you can and cannot ask by different guests with different cultures. Privacy - IT: system user authorization The privacy role will inform the IT role which departments have authorization to read the information of the guest and what kind of information. Furthermore the privacy role will tell the IT role who can write in the personal information of the guest. Privacy - Relationship: Discrimination The privacy role makes sure that in the relationship between the guest and the hotel (employees) there will be no notable discrimination. The privacy role will collect the information and makes sure that the relationship role knows what the role needs to know about the guest. IT IT - Privacy Sensitive and private guest data is necessary to complete guest profiles into the IT system. For guests, this information is private and for them it is important that a hotel and its employees are careful with handling this data. IT - Relationship To collect all data, the first step is to make sure the organization knows what kind of data it would like to collect from its guests, which is the main focus of the Relationship role. Once this information is collected it could be stored in the IT system, which makes it easy to search for specific statistics of each guest. IT - Performance To see if a CRM process results in a positive outcome a company should look at the performance of it. This could be done in a IT system which has the opportunity to show all figures in graphs, so responsible employees could just see in a eye blank if the CRM system is working. Change Change- IT It is important that the staff understands the information system of the company (hotel). To make sure they are able to process, store and share data, they need to be trained. Furthermore the internal communication between the employees needs to be arranged through IT. Change Privacy The employees also need to be trained in the norms and values of the guests. They need to respect the privacy of the customers (guests). Change - Strategy It is essential that the employees understand the strategy and apply the strategy in the whole company (hotel). Content Content - Relationship: Diversity It is important to differentiate the relationship between the hotel and the guest. This is done by the cooperation of the relationship and the content role. It is the relationships role to choose ways and methods to get information. Whereas the content role is responsible for the subject matter each conversation method includes. Together they have to find ways to get the most diverse information from its guests. This can be done by using different approaches in different situations. For example the guests recognition (content) is differently approached in different stages of the guests life cycle (relationship). Content - Privacy: Matching value proposals

It is the privacys role to take care of the guest intimate information. Every guest wants to be treated differently and is willing to share different information. It is the cooperations task of content and privacy to address the right questions to the right guest. For example a very extroverted guest expects the hotel to ask him a very personal question. The privacy responsible must know how to sore this data and the content responsible must know which kind of question to ask. Content - Strategy: Compliance Compliance means that the hotel is in unity with the established guidelines and laws. The strategy role in the CRM models sets guidelines that need to be followed in order to create a long term relationships, the content role fills those guidelines individually for the hotel so that they can be implemented. Aspects of applicability and relevance for CRM in the hotel industry Within a hotel it is important create a (long term) relationship with their guests and to observe the guest satisfaction over a period of time and with a larger amount of research tools. This means that guest satisfaction is important for the tie and cannot be based on one questionnaire. To make guests become loyal guests, there has to be something in it for the guests as well. For that reason a CRM program is used. There are several ways to apply a CRM program and one of them is to focus on the meaningful dialogue between the staff of a hotel and the guests. When using a CRM program it is necessary to sort out if this particular program works. The objectives and values have to be clear to both the hotel and staff, and the guest using the program. To measure the usefulness of the program one needs surveys about the usefulness of the program and a tool to read the outcomes of the surveys. Customer loyalty is still a big element within the hotel business. The quality of service is the most important factor concerning customer loyalty and shows if guests are satisfied with the offered service. Managers who are committed to service quality are more likely to empower their employees and use behavior-based evaluation. However, the use of empowerment has both positive and negative consequences in the management of contact employees. Some of the negative consequences are mitigated by the positive effects of behavior-based employee evaluation. To increase customers perception of service quality, managers must increase employees self-efficacy and job satisfaction, and reduce employees role conflict and ambiguity Ideas that contribute to an improved meaningful guest dialogue in our future project hotel A meaningful dialogue is a series of relationship moments (services and experiences). It is a one to one contract between the three parties (guest, staff and business). It needs to be managed and controlled by every single staff member. The procedure requires a lot of dedication, time and guest individualization. After the actual dialogue (e.g. conversation) the data needs to be stored in the guests profile in order to use it for future dialogues. The meaningful dialogue is therefore beneficial for both the guest and the hotel. Combining the results of the individual reading paper reports a conclusion can be drawn that there are a variety of possibilities to enhance the meaningful guest dialogue. Most roles suggest implementing a questionnaire. Those questionnaires might have different purposes. One example could be to hand out a questionnaire. For a long time already Hotels are handing out questionnaires to their guests to ask about the hotels performance and improvement points. It might be an idea to use the same approach as the researchers in the content article Big Five personality traits and relationship quality do. In this study participants have to fill out the questionnaires about themselves and their significant other before they actually enter the testing phase.

Hotels should give their guests an expectation questionnaire in which they can tell the hotel at forehand what is most important to them. This can include preferred staff member, preferred room location, preferred pre- arrival treatment et cetera. In addition to that the Hotel could use the questionnaire model about their significant other. In this case the staff member evaluates the guests experiments via a questionnaire. This questionnaire is then being compared to the guests questionnaire. That way management can see whether their staff is really aware of the guests expectations or not. Another way of implementing surveys could be before the actual opening phase of the hotel. For that purpose hotels send questionnaires to the projected target group to see whether the concept could match their targeted guests to make a dialogue easier. Apart from using a questionnaire approach the hotel should focus on the nonverbal behavior both of its guests and internal clients (employees). During this procedure the hotel needs to especially pay attention to the guests/ employees body language and facial expression. For the management team it is important to make its staff aware of those circumstances as those highly influence the guests perception of the hotel. In order to implement this, internal hospitality trainings should focus on that. One of the most important findings in the relationship article The management of customer contact service employees: An empirical investigation is to create employee satisfaction. Self- efficiency and job satisfaction increase customers perceived service quality. If an employee believes in her or his ability to perform job- related tasks and is satisfied about her or his job then there will be an improvement of the guests meaningful dialogue.

7-role mission statement

Strategy: The roles mission is owners to optimize guest equity, which means trying to get the goodwill of the customer so they will spend more at the hotel. Performance: The mission of the role performance is to measure if a certain CRM program is useful or not. Relationship: The relationship mission is to differentiate your guests, therefore companies should prioritize their guests/customers. Content: The roles mission is Relational Creativity which means it is important to provide creative and refreshing offerings throughout the process of genuine attention. IT: The mission it to collect data from customer profiles and put this organized within a system and manage this data. Change: The roles mission it relationship culture, this culture is created by the employees. Therefore the employees need to be motivated and trained to enhance the companys relationship with the guests. Privacy: The mission of privacy is to protect the privacy and the data of the guests. In conclusion, every role is significant to every guest relationship. If not managed well it can endanger one-to-one operations, which means make a CRM attempt fail.