3 Steps To Successful CRM
Regardless of your company's size and the requirements for your CRM (Customer Relationship Management) solution, the goal remains the same: learn more about your customers and leverage that knowledge into increased customer loyalty and improved sales.
However, too often companies jump into their CRM initiatives without the proper thought and planning. The result? A CRM system that does not meet critical organizational needs and fails to provide the proper insights into their customer base. Or perhaps worse--a CRM system that is not used at all. The key to success for your CRM implementation is not just the technology driving your solution, but in the strategy itself.
To achieve CRM success, there are 3 steps every company must follow before starting to consider CRM technology:
2. Define specific adjustments to operations. This seems like a tall order, but it is the logical next step towards building a solid strategy that your entire organization can get behind and evangelize. We suggest creating a matrix of all the problems identified in the first step and the solutions that were discussed. Use this matrix to compare the challenges across departments and identify potential operational changes that would solve these issues. Do not think about how technology can support these solutions, just concentrate on the operational changes necessary--who needs to know what and when, what workflow will share critical information between departments, and what critical customer-facing actions should occur at the completion of each task. TIP: The biggest factor to building a solid CRM strategy is developing a standardized sales process that is based on best practices, can be implemented across your sales organization, and integrates tightly with marketing and operations. Armed with this information, you are ready to:
3. Document your CRM Strategy. Your strategy should identify the specific business problems that need to be addressed (based on your information gathering and prioritization exercises from the first 2 steps), define objectives whose results can be measured (to demonstrate the ROI of your implementation), and outline solid insight into how CRM will impact the company, current operations, and your customers. To ensure organizational buy-off, boil down your CRM strategy into these critical points: How will CRM improve the lives of its users? How will it increase productivity? How will it impact sales? It is this strategy you then take back to the key stakeholders for final buy-off. It is this strategy that you will arm yourself with when researching and evaluating all possible CRM solutions available to you.
Understanding what business problems you need to solve and how they impact your operations--while demonstrating company support for this initiative--will ensure a successful implementation of your CRM solution. Not only will you better understand the trade-offs that you will need to make with the technology you choose, you will be able to better evaluate customization requirements and recommendations made by your CRM partner. The time you spend planning and documenting your strategy will be well worth the results!
Written by: Shannon Kavanaugh
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you are right and for every company either big or small, it is very necessary to take careful step for his customer value and there needs.
great
Posted by: CRM Software | Nov 10, 2009 8:41:05 PM
Good thoughts about CRM system. these are great solutions out there for any kind of businesses.
Posted by: Twitter Advertising | Nov 10, 2009 9:32:00 AM
Hey all...
There are some great solutions out there for any kind of businesses. In selecting a solution, you must take into account many options including current needs as well as future needs...
Some other great CRM options are from:
www.Rightnow.Com -- great online and on-premise solutions. Has been in the market for sometime.
www.SuradoCRM.com -- you can start with online and easily migrate to on-premise. Also has a great offline CRM product. One of the early CRM market introductions.
www.SugarCRM.com -- open source... only attempt this option if you are into programming.
www.NetSuite.com -- offers both CRM and ERP integration. May not be suitable for small business since implementation is not exactly easy. But may be a great tool for larger organizations.
There are some great articles or white papers for small businesses looking to adopt CRM applications... one that come to mind is -- Got CRM? Small Business Guide for Small Business.
Note: CRM is not just software implementation. It requires a mindset change to put the customer at the center of the operations -- absolutely needs a champion and buy in from all employees.
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Posted by: TRARDEPAY | Apr 4, 2009 9:17:36 AM
The process that organization uses to built relationship with different segments of its customers and at different levels.
Posted by: Avayaglobalconnect | Jan 30, 2009 1:28:26 AM
I agree with you about all the three steps you've identified. I'd also say that although it's not an actual step, one of the most important aspects of successful CRM implementation,is communication. Arguably, the most common cause of failure of CRM projects is poor communication. This includes internal communications, for example between IT, project managers and end users, as well as between business partners, individuals and client companies.
Posted by: Peter | Jan 22, 2009 6:18:33 AM
Sweet posts. I love CRM.
Posted by: DJ - Dialer | Dec 31, 2008 12:10:54 PM
Great Article. What I've found is that companies committ to a CRM but then the Admin/Sales Manager needs to committ to doing the work.
Great Admin's that know what they are doing show what I believe better results. Lazy admin's are the exact opposite.
Posted by: Joshua Varney - Dialer | Dec 31, 2008 10:14:43 AM
You're too right about people jumping in without due thought and attention - in all honesty I've coughed up more money than I really want to count looking for a quick fix, until a friend in the business recommended Enterprise Wizard - it's been a real help and everything's looking a lot more joined-up now. You can sign up for a free trial at the website - http://www.EnterpriseWizard.com/freetrial.htm - mine's about to expire, but I'm definitely going for a full account.
Posted by: Ben | Dec 28, 2008 5:29:18 PM
These three tips are great. I agree that it is so important to not just jump in with an off the shelf CRM package.
Those exploring a CRM may find the following podcast with 4 tips on rolling your own CRM insightful.
http://www.trackvia.com/blog/?p=83
Posted by: EDunigan | Dec 18, 2008 7:10:55 AM
One other aspect we must all consider is the insane space limitations in CRM systems. Is it true that SF only allows 20M per user unless you pay extra? This is -tiny-, I could see a limit of 20G, but 20M, there must be a mistake.
Other vendors I believe are more or less restrictive. For example EnterpriseWizard allows up to 100M per user with their standard package, priced at $45 per user per month. Is this a good deal in comparison to other CRMs available in the market?
Posted by: Smith | Dec 9, 2008 8:36:47 PM
When researching CRM / CMS vendors, look for one that wants to partner with you instead of just selling you a product out of the box. There are companies out there providing unlimited support and fully customized solutions that don't cost an arm and a leg.
Posted by: Cheryl Curtis | Nov 9, 2008 4:35:51 PM
Hello and this is really great stuff in here. I appreciate the mention of a difference between contact management and CRM. It is challenging to find a user friendly, simple, affordable tool that has both of these included. There are soo many to choose from. Our company started out with a small need and used a company called my elite contacts, www.myelitecontacts.com , and their tool has been great. No tool has it all, but this tool has most of it.
Adam
Posted by: Adam | Oct 31, 2008 9:22:55 AM
It is a tricky situation if you rush into it blindly and the steps that you point out here are GREAT! They will definitely assist those in trying to find the best crm solution for there business. So many choices, so many questions... Contact Management should be a priority and focal point of every business person's mind when looking for a management solution! Good One Shannon!
Posted by: Thomas Trevino | Oct 30, 2008 8:21:42 AM
Hi Shannon,
Nice to meet you and the entire team of CRM Blog writers. My name is Alina Popescu and I am a fellow blogger helping Steve Ireland of Norada to get the word out on his latest product, JobBlogs.
JobBlogs is CRM meets Project Management utilizing communication concepts of Business 2.0.. It serves up an intuitive, comprehensive and fast workspace tailored to meet universal team challenges.
Given your blog's strong focus on CRM, I thought JobBlogs would be a perfect topic for a future story. It would be great if you would join us and help spread the word. Here's their newest announcement: http://tinyurl.com/6q347v. If you'd like me to keep you posted in the future or to talk to Steve, please let me know.
Thanks for your time and talk to you soon!
Alina
P.S. Sorry for using the comment box, but I didn't see an email or contact form to use instead.
Posted by: Alina Popescu | Oct 23, 2008 5:47:37 AM
I agree with Stuart's comment that businesses are not from a box and neither should your CRM solution come out of a box. Technology should fit into your business; you should not modify your business to fit the technology.
Make sure you are buying the steak and not just the sizzle. Dashboards and "canned" reports are slick, but are they providing you with the information you really need?
Look for a contact management solution like SalesNexus that allows you to create ad-hoc reports, fully customizable and gives you the flexibility to analyze the data that is important to your business.
Provide your sales reps with a tool that they can easily see the benefits not only the company bottom line but their own bank account too.
Posted by: Cheryl Curtis | Oct 21, 2008 3:23:06 PM
As a salesman for a hosted CRM solution (www.salesnexus.com) this article hits on a the big iopnts. One of the biggest hurdles, I have found, is getting buy in from the sales staff. All they see is more work or the "big-brother" aspect. It's really hard to get them to see the value (more organization=less stress=higher productivity=more money) in the beginning but those companies that take the steps spelled out in the article will get there much quicker.
Good read.
Mark
Posted by: Mark Antill | Oct 20, 2008 9:01:24 PM
Terrific article. I have to agree with Sam Green. You have to get your sales team buying into the CRM app. Often times, I see companies where management knows they need CRM, but haven't fully prep their sales team to embrace it. Eventually, they end up right back at square one, and need to start over.
Posted by: Anh | Oct 16, 2008 10:08:57 PM
Hi Shannon, great post, and a fantastic starting point for companies beginning their 'CRM journeys'.
Often more haste less speed is the answer, but arguably this can sometimes prolong what should be quick benefits for companies without any CRM whatsoever (we often speak to large corps and listed companies who are 'making do' with Excel and Outlook contacts!)
We've published this mini-whitepaper, called 'Successful CRM, Fast!'. http://www.increasecrm.co.uk/media/11100/increase_successful_crm_fast.pdf
If that link gets broken try clicking through from here: http://www.increasecrm.co.uk/resources/downloads.aspx
There is significant overlap in our thinking, so it was great to come across your blog.
Cheers,
George
Posted by: George Bliss from Increase - On Demand (Hosted) Microsoft CRM | Oct 14, 2008 12:45:32 PM
Great article and I agree that some CRM users may use it as a glorified address book, but I imagine that is all they have been told and more importantly shown that it does.
I would argue in adding a 4th step - get the software that works for your business. Most business are not from a box - yet choose to buy out of the box software. This tends to make you change the way you do business, but by getting software that works along side the way you do business you will find the implementation a lot smoother and the user adoption tends to be much higher
Posted by: Stuart Amery | Oct 13, 2008 5:54:40 AM
Great article.
I see so many clients not use CRM to it's full advantage, but as a glorified address book. They don't take the time to set goals and follow ups.
www.forsolutions.ca
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Posted by: Kabir | Sep 29, 2008 3:14:31 AM
Often simplicity is the key. Salespeople will quickly adopt technology when features are easily accessible. To many times users of CRM are lumbered with over complicated systems which make them 'switch-off'. Give them quick benefits and they'll be volunteers not conscripts when it comes to successful implementation.
Posted by: Sam Green | Sep 24, 2008 6:34:05 AM
I agree with everything in your article but, I would like to add that there is another important element in success of a CRM project. Sales Process, without it, all you are doing is using the CRM tool as a tracking tool instead of having it drive sales. We use Salesnet and the sales process engine inside the tool really helps drive our business.
Posted by: Scott Famrer | Sep 17, 2008 9:25:55 AM
Oops, the web site I referenced earlier is http://www.micontacts.com/
Thanks
Bob
Posted by: Bob Segal | Aug 29, 2008 2:23:29 PM
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