CRM adoption in many companies do not yield intended benefits as it is managed as a IT roll out and not as a transformational project involving changes in process, procedures, ownership and measures. This presentation reveals the MACE framework, for Middle eastern companies to manage this transformation and achieve the intended goals.

1. IMPLEMENTING CRM
IN THE MIDDLE EAST MARKETS
How Middle Eastern companies can arrest CRM “Mirage”

2. Customer relationship Management & Middle East
Middle Eastern companies realize the value of CRM
IT spending on software alone is expected to be $4.5 billion
75% spend in public sector
Professional Services, Financial Services & Telecom are driving CRM market
increased visibility & forecasting, and faster sales cycle is the reason for adoption of CRM

3. CRM is a “Mirage” full of promise...
Customers thought experience was better 33%
Customers thought there was marginal or no improvement 46%
Customers thought situation deteriorated 21%
46% did not see any improvement
Many projects abandoned after initial “euphoria”
Low user adoption
Did not change the behavior of sales people, they are more reactive
Seen as IT implementation and business owners did not hold hands
Implementation prolonged over weeks

4. Why did CRM implementations fail?????
50% of the companies were implementing because their competition did so. No strategic thrust
Mapping of process not consistent with maturity of the company
Benchmarked process too complex or irrelevant to company
Lack of Management support and commitment
The implementation is technology focused with insufficient attention paid to business issues
The CRM is not implemented with a clear strategy and lack of vision is demonstrated.
There is poor operational execution in terms of changing perception, lack of integration
Organizational change is not managed
Outcomes and outputs not defined

5. Plan your CRM using MACE Framework
•Evaluate current Strategic Position
•Evaluate Maturity of capabilities as Rudimentary, Evolved or mature
1) Maturity assessment
•Develop New Strategic Position & Strategic Emphasis of CRM
•Evaluate the dynamics & interplay between Human, Organization capabilities and technology
•Identify the changes required in technology, capabilities, procedures, processess and structures
2) Alignment of capabilities
•Select & implement the technology product
•Orchestrate the combination of Human capabilities, Organization capabilities and Technology to Deliver Performance advantage
•Ensure Top Management support, Performance Management systems, Rewards & Incentives, Training, cross-fucntional process integration, Customer centric processes
3) Change management & Adoption
•Early demonstration of results
•Financial measures
•Customer measures
4) Evaluate Success

6. Maturity Assessment
Identify the right reasons for CRM implementation
Shareholder value - includes increase in revenues, increased market share and lower customer management costs
Customer Value - Customer intimacy, satisfaction, improved service, retention, loyalty and personalization
Regardless of whether it is a single or dual strategy, make sure it is aligned to the market
The Strategic emphasis of the CRM should take the firm to its new intended strategic position
Current Strategic Position firm
Strategic Emphasis of CRM
New Strategic Position of firm
Products
Markets
Firm Competencies
Industry
Maturity Assessment
Firm Strategy
Products/Markets
Competencies
Leverage in Value Network
Inimitable resources Orchestration of social structures, assets & knowledge
Assess Maturity as rudimentary or evolved

7. Alignment of capabilities
CRM is not implementation of technology, but strategy
Do not waste away years of capability built into human and organizational structures
Rather, embed technology into carefully realigned capabilities
Orchestrate Human & organization capability with technology to create advantage
Align all of them with overall Strategy
Human Capability
Technology
Organizationn Capability
Sustainable
Performance Advantage

8. Alignment of Capabilities
Human Capabilities
The accumulated experience and collective wisdom of employees
Socially complex processes that require an investment in learning.
Knowledge that gets created & resides codified
They are also most difficult for competitors to know
The CRM tool implemented should leverage these capabilities and create value.
The tools should not end up converting valuable human resources into data entry operators.
Such a thoughtless use of CRM would erode the human advantage the firm has built and nurtured over time.

9. Alignment of Capabilities
Organizational Capabilities
Organizations architecture, supporting processes, control systems, incentive policies, training mechanisms
People and systems need to be fine tuned to be customer oriented
Analyze the strength of the value network
Integrate it with the speed that a CRM lends
Information the organization needs to extracts out of the CRM
Is it diffused across the organization creating unique value ?

10. Change Management & Adoption
Top Management support
Demonstrate leadership and show commitment towards a customer centric mindset.
Push for cross functional integration.
Implement Technology Product
Pay heed to Integration, Migration, Data quality issues, running dual systems
Understanding User needs
Preparing Employeesfor change
Training
Changing Culture, Performance& Incentives
Systems, Processes and Procedures
Cross functional integration

11. Evaluate Success
The framework for measuring CRM performance should include metrics such as
customer retention rate, customer satisfaction rate, customer profitability, customer value, product/service customization, etc.
Increase in market share, increase in revenues and growth rates, decrease in sales and marketing costs, speed in servicing customers, new products/services developed as a result of gathering richer information about the customers, and intangibles like brand value created by superior customer relationship, service, knowledge etc., are measures of success.
Only that which is measured can be evaluated and improved upon.
In the very beginning, once shareholder value and/or customer value as the strategic emphasis has been identified, we need to define the metrics for measuring success.

12. Sum up….
Do not see it as a pure technology play and dive headlong into implementing the product
Broadly follow the MACE framework tailored to the capability level of organizations
There should be top management commitment, strategic focus, capability assessment and alignment, user perception evaluation and change, continuous training, seamless technology implementation, design of processes, systems and procedures around the new system, and solid change management
It is better to implement a CRM during down times, rather when there is growth and pressure on the sales and operations of the firm.

13. For more on implementing CRM
Refer our detailed whitepaper that is available at
http://www.slideshare.net/Raosrealm/ manage-38641152

14. Thank You
Browne & Mohan
Board & CEO Advisors, Management Consultants
157/A, 2nd Floor, 10th 'A' Main, Jayanagar 1st Block
Bangalore-560 011
Ph: +91-80-26565164/40951170
www.browneandmohan.com
marcom@browneandmohan.com