CRM/KM Initiatives at

3M
Jayanti Paul
Paromita Chakrabarty
Sharmila Chakraborty
 History of 3M

• Minnesota Mining and Manufacturing Co. (3M) set up in 1902

• Sales surpassed $1mn in 1917
• 1920s marked with expansion of facilities & sales network
• Central research laboratory established in 1930s
• Listed on NYSE in 1946
• 1950s heralded global expansion
• Sales crossed $5 bn by the end of 1980s
• Emerged as a $17 bn company by the end of 2000
• Acquired popularity for its constant experimentation &
innovation
• Practiced the ’15% rule’s
 CRM
CRM can be defined as a process or methodology that assists an
enterprise in managing its customer relationship in an organized way.
It involves the use of various tools ,technologies and business
procedures to attract and retain customers, prospects and business
partners. This includes Contact Management, Sales Force Automation,
Opportunity Management, Relationship Management, Marketing
Automation , Company Websites, Telesales and Telemarketing System.

OBJECTIVES
Strengthening relationship with existing customers
Using customer information to provide better service
Creating customer value and loyalty
Implementing integrated CRM solution strategy
 KM
Knowledge Management is a process through which organizations
generate value from their intellectual and knowledge based
assets . The goal of KM is to improve the organization ability to
execute its core processes more efficiently.

OBJECTIVES
Create knowledge repository
improve knowledge assets
enhance the knowledge environment
manage knowledge as an asset
 CRM/KM
• Managing customer relationships in organized manner
• Better handling of customers leading to maximization of
profits
• Managing customer relationships electronically – eCRM
• Available across different modules
• ERP-CRM bridging
Reasons for Deploying
CRM/KM
Calls Launch of
transferred complex
to R&D Launch
products
experts

Customers/R
Dissatisfied
Hampered
&D
Customers Agents not
forced to fully
repeat their equipped
stories
 Implementation of
CRM/KM
• Creation of 14-member task force
customer service
managers
call center agents
IT analysts
documentation
developers

• Evaluation of available software

• Selection of Remedy Action Request System (RARS) for CRM
• Selection of Primus eCRM for KM
• Deployment of RARS & eCRM in internal IT customer service
center before organization-wide deployment
Why RARS?
-- Easy implementation with leading KM solution products

-- No requirement of additional programming before

implementation

Why Primus eCRM?

-- Compatibility with 3M’s existing hardware & software
infrastructure

-- Supported flexible workflow

--Eliminated need for separate offline knowledge

engineering process

-- Powerful search, retrieval & authoring capabilities

 Working of the New
System
Customer Agent checks system to view
calls customer information

Agent feeds
Details stored in
customer’s problem
knowledge base
details into the
system
Agent clicks onscreen
button
Expert synthesizes new
solution
Software generates
list of probable
New solution incorporated solutions
into knowledge base

Agents provides
customer with
solution
 Impact of Implementing
CRM/KM
-- Higher percentage of calls resolved
-- Call-transfers to experts reduced significantly (by 55%)
-- Productivity of agents increased (by 13%)
-- Improvement in accuracy and consistency
-- Training time & costs for new agents declined (by 35%)
-- Problem resolution hastened
-- Customer satisfaction increased
-- Customer profiling and problem categorization &
subsequent identification became easier
-- Innovation in products & improvement of existing products
-- Financially the company’s sales increased along with an
increase in economic profit by about 200% along with a
increase in ROI by about 6% and increase in stock prices.
Also there was reduction in working capital needs, total debt
to capital ratio and R&D and related expenses.
-- Overall improvement of organization
 3M’s status as of 2009 end
• 3M is one of 30 companies in the Dow Jones Industrial Average and also is a
component of the Standard & Poor's 500 Index.
• Sales Worldwide ………………………… $23.123 billion
• Net income .................…………..….… $3.193 billion
• Earnings per share –diluted .................. ............. $4.52
R&D and Related Expenditures : Total for last five years ……………...... $6.861
billion
• Employees
• Worldwide ……………………………………. 74,835
• United States .……………………………..…... 31,513
• International .………………………………….. 43,322
• Leadership
• • George W. Buckley
Chairman, President and Chief Executive Officer
 CONTD…..
Organization has more than 35 business units, organized into six businesses:
•Consumer and Office
•Display and Graphics
•Electro and Communications
•Health Care
•Industrial and Transportation
•Safety, Security and Protection Services
Operations in more than 65 countries –
35 international companies with manufacturing operations, 35 with laboratories. In the United
States, operations in 28 states.
Technology
45 technology platforms, including:
•Adhesives, Abrasives, Light Management, Micro replication, Nonwoven Materials, Nanotechnology,
Surface Modification
6,700 researchers worldwide; 3,400 in the United States.
U.S. Patents Awarded ………………… 518
U.S. Community Giving
In 2009, 3M and the 3M Foundation donated nearly $50 million in cash and products to U.S.
educational and charitable institutions.
CONCLUSION
On the success of CRM/KM solution,3M also decided to implement:

1)Self service Intranet within an enterprise

2)Self service Extranet to securely share part of a business
information
3)Increase the usage of the system by making it accessible to the
company’s distributor and reseller network.
4)Continuous updation of the knowledge base.