E-business
E-business system - II
Petr Suchánek
E-business

Outline of the lecture
•CRM in e-business


CRM
•Customer relationship management (CRM) is the combination of
•practices,
•strategies,
•and technologies
•that companies use to manage and analyze customer interactions and data throughout the customer
lifecycle, with the goal of improving customer service relationships and assisting in customer
retention and driving sales growth.*
•CRM systems compile customer data across different channels, or points of contact between the
customer and the company, which could include the company's website, telephone, live chat, direct
mail, marketing materials and social media.*
*https://searchcustomerexperience.techtarget.com/definition/CRM-customer-relationship-management

CRM
•CRM systems can also give customer-facing staff detailed information on customers' personal
information, purchase history, buying preferences and concerns.*
•Customer relationship management includes the principles, practices, and guidelines an
organization follows when interacting with its customers.**
•CRM is often used to refer to technology companies and systems that help manage external
interactions with customers.**
•Major areas of growth in CRM technology include software, cloud computing, and artificial
intelligence.**
•Major areas of growth in CRM technology include software, cloud computing, and artificial
intelligence.
•
•
•
*https://searchcustomerexperience.techtarget.com/definition/CRM-customer-relationship-management
**https://www.investopedia.com/terms/c/customer_relation_management.asp

CRM - technology
•CRM Software*
ØSpecial CRM software aggregates customer information in one place to give businesses easy access
to data, such as contact data, purchase history and any previous contact with customer service
representatives.
ØThis data helps employees interact with clients, anticipate customer needs, recognize customer
updates and track performance goals when it comes to sales.
ØCRM software's main purpose is to make interactions more efficient and productive.
ØAutomated procedures within a CRM module include sending sales team marketing materials based on a
customer's selection of a product or service.
ØPrograms also assess a customer's needs to reduce the time it takes to fulfill a request.
Ø
•
•
•
*https://www.investopedia.com/terms/c/customer_relation_management.asp

CRM - technology
•CRM Cloud Solutions*
ØCloud-based systems provide real-time data to sales agents at the office and in the field as long
as a computer, smartphone, laptop or tablet connects to the internet.
ØSuch systems boast heightened accessibility to customer information and eliminate the
sometimes-complicated installation process involved with other CRM products or software.
ØIf a company goes out of business or faces an acquisition, access to customer information may
become compromised.
ØA business might have compatibility issues when and if it migrates to a different vendor for this
kind of software.
ØAlso, cloud-based CRM programs typically cost more than in-house programs.
•
•
•
*https://www.investopedia.com/terms/c/customer_relation_management.asp

CRM - technology
•CRM Human Management and Artificial Intelligence (AI)*
ØAll of the computer software in the world to help with CRM means nothing without proper management
and decision-making from humans.
ØPlus, the best programs organize data in a way that humans can interpret readily and use to their
advantage.
ØFor successful CRM, companies must learn to discern useful information and superfluous data and
must weed out any duplicate and incomplete records that may give employees inaccurate information
about customers.
ØAI is expected to strengthen CRM activities by speeding up sales cycles, optimizing pricing and
distribution logistics, lowering costs of support calls, increasing resolution rates, and
preventing loss through fraud detection.
•
•
•
*https://www.investopedia.com/terms/c/customer_relation_management.asp

CRM - components
•Sales Force Automation*
ØThis is component that is undertaken by the maximum business organizations.
ØIt includes forecasting, recording sales processing as well as keeping a track of the potential
interactions.
ØIt helps to know the revenue generation opportunities better and that makes it very significant.
ØThe component also includes analyzing the salesforecasts and the performances by the workforce.
ØTo achieve an overall improvement in the development and growth of the industry, numerous
components work hand in hand to form salesforce automation as a consequent unit.
ØSome of the major elements of the same are Lead Management, Account Management, Opportunity
Management, Forecasting, Pipeline Analysis, Contact Management, Activity Management, Email
Management and Reporting.
•
•
•
*https://crm.walkme.com/components-customer-relationship-management/

CRM - components
•Human Resource Management*
ØHuman Resource Management involves the effective and correct use of human resource and skills at
the specific moment and situation.
ØThis requires to be make sure that the skills and intellectual levels of the professionals match
the tasks undertaken by them according to their job profiles.
ØIt is an essential component not only for the large scale corporations but the medium industries
as well.
ØIt involves adopting an effective people strategy and studying the skills or the workforce and the
growth being generated thereby designing and implementing the strategies needed accordingly with
the aim of achieving development.
•
•
*https://crm.walkme.com/components-customer-relationship-management/

CRM - components
•Lead Management*
ØLead Management as the name suggests, refers to keeping the track of the sales leads as well as
their distribution.
ØThe business that are benefitted by this component of CRM the most are the sales industries,
marketing firms and customer executive centres.
ØIt involves an efficient management of the campaigns, designing customized forms, finalizing the
mailing lists and several other elements.
ØAn extensive study of the purchase patterns of the customers as well as potential sales leads
helps to capture the maximum number of sales leads to improve the sales.
•
*https://crm.walkme.com/components-customer-relationship-management/

CRM - components
•Customer Service*
ØCustomer Relationship Management emphasizes on collecting customer information and data, their
purchase informations and patterns as well as involves providing the collected information to the
necessary and concerned departments.
ØAlmost all the major departments including the sales department, marketing team and the management
personnel are required to take steps to develop their awareness and understanding of the customer
needs as well as complaints.
ØThis undoubtedly makes the business or the company to deliver quick and perfect solutions and
assistance to the customers as well as cater to their needs which increases the dependability and
trust of the customers and people on the organization.
*https://crm.walkme.com/components-customer-relationship-management/

CRM - components
•Marketing*
ØMarketing is one of the most significant component of Customer Relationship Management and it
refers to the promotional activities that are adopted by a company in order to promote their
products.
ØThe marketing could be targeted to a particular group of people as well as to the general crowd.
ØMarketing involves crafting and implementing strategies in order to sell the product. CRM assists
in the marketing process by enhancing and improving the effectiveness of the strategies used for
marketing and promotion.
ØThis is done by making an observation and study of the potential customers.
ØSome of the major elements of marketing are List Management, Campaign Management, Activity
Management, Document Management, Call Management, Mass Emails and Reporting.
*https://crm.walkme.com/components-customer-relationship-management/

CRM - components
•Workflow Automation*
ØA number of processes run simultaneously when it comes to the management and this requires an
efficient cost cutting as well as the streamlining of all the processes.
ØThe phenomenon of doing so is known as Workflow Automation.
ØIt not only reduces the excess expenditure but also prevents the repetition of a particular task
by different people by reducing the work and work force that is getting wasted for avoidable jobs.
ØRouting out the paperwork and form filling are some of the elements of the process and it aims at
preventing the loss of time and excess effort.
*https://crm.walkme.com/components-customer-relationship-management/

CRM - components
•Business Reporting*
ØCRM comes with a management of sales, customer care reports and marketing.
ØThe customer care reports assist the executives of a company to gain an insight into their daily
work management and operations.
ØThis enables one to know the precise position of the company at any particular instance.
ØCRM provides the reports on the business and that makes it play a major role here.
ØIt is ensured that the reports are accurate as well as precise. Another significant feature is the
forecasting and the ability to export the business reports on other systems.
ØIn order to make comparisons, one can save historical data as well.
*https://crm.walkme.com/components-customer-relationship-management/

CRM - components
•Analytics*
ØAnalytics is the process of studying and representing the data in order to observe the trends in
the market.
ØCreating graphical representations of the data in the form of histograms, charts, figures and
diagrams utilizing the current data as well as the one generated in the past is essential to
achieve a detailed understanding and study of the trends.
ØAnalytics is an extremely significant element of Customer Relationship Management as it allows to
make in-depth study of information that is required to calculate the progress in the business.
*https://crm.walkme.com/components-customer-relationship-management/

CRM - components
* https://www.nexell.net/en/services/crm-services-2.html
** http://jisc.cetis.ac.uk/crm-tools/what-is-crm.html

CRM - collaborative
•Collaborative CRM is a method in Customer Relationship Management (CRM) where various departments
(like Sales, Marketing, Service, Finance) within an organization share customer information to
maximize profitability, increase customer satisfaction and loyalty.*
•The purpose of collaboration is to enhance the quality of service and customer satisfaction.*
•Feedback from a customer, gathered by technical support team could help marketing team to suggest
more suitable products or services to the customer.
•Two major parts in Collaborative CRM are Interaction Management and Channel Management.
*https://techonestop.com/what-is-collaborative-crm-strategy

CRM - collaborative
•Interaction Management
ØThis process is responsible to manage all interactions between the organization and its customers.
ØSome customers may prefer paper less communication like email or phone call or social media, some
may prefer face-to-face interaction or physical letter.
ØWhatever the communication channel is, it is important for an organization to reach customers via
their preferred channels only.
ØInteraction management system handles all these communications across various channels.
*https://techonestop.com/what-is-collaborative-crm-strategy

CRM - operational
*https://techonestop.com/what-is-operational-crm
•Operational CRM streamlines the business process of an organization.*
•It mainly focuses on automation and improvement of customer facing and customer touching business
processes.*
•It includes Sales automation, Marketing automation and Service automation.*
•Main purpose of Operational CRM system is to generate leads, convert them into contacts, capture
all required details and provide support throughout customer lifecycle.*

CRM - operational
*https://techonestop.com/what-is-operational-crm
•Sales Force Automation*
ØLead Management
ØContact Management
ØAccount Management
ØTracking Customer Preferences
ØPerformance Management
ØQuote-to-Order management
ØSales Forecasting

CRM - operational
*https://techonestop.com/what-is-operational-crm
•Marketing Automation*
•Service automation*

CRM - analytical
*https://techonestop.com/types-of-crm-operational-analytical-collaborative
•Analytical CRM helps top management, marketing, sales and support personnel to determine the
better way to serve customers.*
•Data analysis is the main function of this type of CRM application.*
•It analyzes customer data, coming from various touch points, to get better insights about current
status of an organization.*
•It helps top management to take better decision, marketing executives to understand the campaign
effectiveness, sales executives to increase sales and support personnel to improve quality of
support and build strong customer relationship.*

CRM - analytical
*https://techonestop.com/types-of-crm-operational-analytical-collaborative
**http://effaamirah97.blogspot.com/2017/02/chapter-11-building-customer-centric.html
•Features of Analytical CRM:*
•Gather customer’s information, coming from different channels and analyze data in a structured
way;
•Help organization to set business methodology in Sales, Marketing and Support to improve customer
relationship and loyalty;
•Improve the CRM system effectiveness and analyze key performance indicators, set by business.

The end