Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.

The crm journey from productivity to profit


Published on

How companies across a vast selection of indus­tries are using customer relationship management to converge people, processes, and products more efficiently.

Published in: Technology, Business
  • Be the first to comment

  • Be the first to like this

The crm journey from productivity to profit

  1. 1. W H I T E P A P E RThe CRM JourneyFrom Productivity to Profit Executive Summary If there is one universal truth in business today, it’s the likelihood that customers, prospects, and partners are shopping around—not just to get the most for their time and money, but for a product or service provider that is easy to do business with. The same truth applies internally. Employees want to invest their efforts with a company that does its best to enable their personal success. When your company makes it easier for individuals and teams to meet and exceed their quotas—of closed sales deals, lead generation campaigns, or resolved support incidents— your company eases the path to corporate success, en masse. In this business paper, you will read how companies across a vast selection of indus- tries are using customer relationship management to converge people, processes, and products more efficiently. This convergence makes it easier and more convenient for prospects, customers, and partners to do business. And with meaningful insight on what these constituents want, companies make smarter business decisions that improve the trajectory of their revenues, margins, and customer loyalty.
  2. 2. The Universal Paradox: The CRM Win-Win External Challenges “We really have two drives in our company. We want to be the best place to Building momentum in today’s market is a matter work, and the best place to do business. of solving this challenging paradox: companies are Our CRM solution gives our employees tasked to reduce operational costs, yet they must also a tool to be exceptionally good with our accommodate an increasing demand for richer, more customers—and our customers see those personalized customer-directed interactions. Market good works. We win on both sides.” forces are placing intense pressure on companies to Jack Webster become more efficient, while providing higher levels of CEO, Farm Credit Services of America value to all of their key stakeholders. Reconciling the paradox comes down to one thing: getting smarter when it comes to integrating business, data, and people. And doing it now. chain; on customers, partners and all the interactions that govern them; and on the inner workings of a company’s administrative nerve center. Reconciling the paradox comes down to Information is every company’s most precious commodity. one thing: getting smarter when it comes Employees require a faster connection to higher quality to integrating business, data, and people. data in order to do their jobs seamlessly. Customers and And doing it now. prospects demand faster response times, and they want proof that a company knows them intimately and treats them uniquely. This degree of business integration is no Herein lies the paradox to success. We know that today’s longer an added bonus, like a turbo-charger for a car’s business environment grows more intense, more complex engine. Today, it is as elementary as the tires. You would and more operationally demanding with every quarter. We not be able to operate without it. also know that providing efficient, personalized, high-value interactions with key stakeholders is critical. So what now? However, many companies are limited by legacy technology, or a complete lack of it. Information slips Reconciling the paradox comes down to one thing: through cracks, and opportunities are lost. Company getting smarter when it comes to integrating people, leaders recognize this trend, but often are at a loss to processes, and data. And doing it now. Because for know where (or how) to begin. The last thing they want every organization that leans, with the best of intentions, to do is disrupt the corporate ‘machine’, no matter towards business as usual (“we just need to get better how flawed it may be. The expensive and unfortunate at what we do”), there will be another that gets closer consequence is a gradual breakdown of revenue- to operating at a higher, more sustainable and more dependent relationships. profitable level (“we just need to get smarter at how we work to achieve our objectives”). For those organizations that choose to integrate products, people, and processes, the necessary business platform Operational complexity is at the heart of what makes it becomes the Internet. Although paper-based processes difficult to adopt a more streamlined, more integrated and information may still be the norm for many industries, business model. Across many industries—from companies recognize that ‘the norm’ is the source manufacturing and high-tech to healthcare or services— of the obstacles that jeopardize their most important complexity is caused in part by the sheer volume of relationships. Customer Relationship Management (CRM) information that is generated. Disparate systems hold vast has emerged as the Internet-powered tool that clears amounts of data on products, inventory, and the supply those obstacles.Pivotal CRM | White Paper 2
  3. 3. The Cost of Doing Business: Perspective:Internal Challenges Generating LeadsWe’ve looked at some of the external factors impacting “Sophisticated marketing infrastructuretoday’s business environment—namely the paradox of an enables us to cast the net farther, reaching more prospects with better-increasing demand for greater value (highly personalized targeted messages. It also allows us tosales, marketing and service) in conjunction with intense track the results precisely.pressure to reduce costs. Now let’s examine the internallimitations and challenges that impact the day-to-day Today, more than 85 percent of our total leads are generated throughoperation of a company. online offers powered by marketing automation. We have a much moreAcquiring New Customers – Sales reps need to produce detailed understanding of our customersmore proposals faster, with 100% accuracy. It sounds and that has boosted lead generation andlike a simple enough directive, however many companies conversion rates dramatically.”suffer from a paper-based workflow or stand-alone Peter Taitquoting systems which makes it almost impossible to Vice President of eBusiness Strategy,achieve. Often, the amount of time spent just to properly Documentumconfigure a complex product with an accurate quoteand delivery date results in lost business. With poorinter-departmental communication and inefficient businessprocesses, reps are focused on operational tasks ratherthan being focused on closing deals. Sales executives Most often, reps are alerted with the right informationneed to do whatever it takes to keep sales people where too late due to inefficient, labor-intensive processesthey belong—not in the office wrapped up in details, but on the back-end. The time crunch means gaps arein the field, selling. opened for the competition, and there is less time to strategically craft the right mix of special rates, incentives or bundle deals that reflect a customer’s preferred status. Guarding the But if sales, marketing, and service teams can keep Revenue Stream customer relationships warm and properly maintained, the foundation is laid for more dependable, expanded “Companies are starting to realize the levels of customer revenue. Given the resulting faster basic point about CRM. When you sell a Cadillac or a Harley or a ticket on a United sales cycle, sales can focus more on the more intensive Airlines flight, that’s just one event. But process around earning new business. in fact, the real moneymaking is keeping that person driving a Cadillac, or a Harley, Collaborating – When teams across an organization do or flying United Airlines for 10 years or not access and contribute to the same information source, more. It’s that revenue stream that you’re the entire selling, marketing, and servicing process can trying to guard with CRM. To do that, you be sluggish to respond to natural fluctuations, customer constantly need to know, ‘What does Jon demand, and revenue opportunities. Separate processes Anton want? What can make him happier? What can we do to ensure he buys a are often in place for each line of business and market United ticket versus American Airlines segment, making any degree of efficiency or cross- next time?’ I think that’s the beauty of departmental communication almost impossible. CRM. Finally at the CEO, CFO, and CIO level, we’re not just driven for the next new The right technology tools can establish a daily and name account. Now we are just as much constant connection across the entire front office. The driven by how well are we doing with that impact is immediate, meaningful and measurable. huge database of existing customers.” Dr. Jon Anton Service reps know when a major marketing campaign Director of Research, is launched into the customer base, and are prepared Purdue Centre for Customer Driven Quality to encourage response. Marketers are able to track what happens to leads after they go ‘over the fence’ to sales—likewise, sales is able to anticipate spikes or lulls in lead creation, and adapt their workflow, follow-up, and prospecting strategy accordingly.Up- and Cross-Selling to Existing Customers –Customers are the ‘low-hanging fruit’ of revenue. A vested Marketing – The single-most critical task that keepsinterest and warm relationship makes for faster sales marketers awake at night is proving the worth of theircycles, and a lower cost of selling. The key is for sales, teams and activities. This means drawing a quantitativemarketing, and service teams to proactively recognize line from a campaign to a group of targeted leads,up- and cross-selling opportunities, and raise the flag then to a group of high-potential opportunities, andearly enough. Pivotal CRM | White Paper 3
  4. 4. status and preferences of the individuals, segments, and Perspective: geographies within those groups. In order to attract the Sharing Leads with Partners highest possible response rates to a campaign, marketers need to apply analytics to that information, crafting one- “We are using the marketing automation tomany campaigns that appear to individual recipients as component of CRM to differentiate ourselves from other manufacturers in a highly intimate, relevant, and one-to-one. highly competitive environment. Partner Relations – For partners, selling, marketing and It gives us the ability to take the Sharp servicing customers and prospects can be laborious LCD product message direct to end users and frustrating. Outdated product information, limited and create awareness, preference, and configuration tools (or none at all), poor access to demand for our products throughout our dealer network—an essential strategy to customer data, and response delays greatly limit how building long-term relationships. quickly the partner can turn around the right offer. Since partners are often not able to address their own needs We began to see results within three weeks of using the system. We generated, and questions in a self-service manner, the customer- qualified and distributed 96 percent of facing processes can be difficult. the entire previous year’s leads to our top dealers and resellers. We also achieved Different industries have vastly unique approaches to nearly a 100 percent follow-up on those channel selling or any sort of partner relationships. leads, compared to about a 50 percent Regardless of the type of partners a company may rate previously. have—agents for a healthcare payer, franchisees for a This improvement is directly attributable retail chain, or resellers for a software company—success to the system, because it requires that comes down to the same principle that applies with dealers take action. Now that I have it, I customers. If you want to grow revenues, lower costs, and can’t live without it.” keep them happy, be easier to do business with. Partners Fred Krazeise should be able to work how and when they want, with a Director, Strategic Marketing, quick response and no barriers to access. LCD Products Group, Sharp In addition, companies need to know how partners are performing. Which ones are pulling in the best deals? Which ones are especially strong in one product area? Which ones need training? finally, to closed sales deals. Most companies have disparate systems and methods for lead tracking, each of which provides an incomplete (and often inaccurate) The Power of Visibility perspective into success. In this case, the time required to bring multiple sources of data together for analysis “If you look at sales, marketing, and service as the three major buckets is prohibitive. of CRM, they comprise acquisition, penetration, and retention of customers. Many companies also lack a precise understanding of what customers and prospects want and need, and how You want to be able to line those up they prefer to interact with the company. Without this and draw conclusions like, ‘Customer segment A needs to be larger. Segment understanding, it is a challenge for marketing to identify B is doing well and we don’t need more the right mix of offers, products, and target segments. there. Segment C doesn’t need more And with a lack of visibility into how many times a product customers, but we need to penetrate was quoted or sold and by whom, marketing cannot them better.’ Companies definitely formulate a win-loss ratio by campaign, by region, or need to figure out how to gain that kind against a specific competitor’s product line. of visibility.” Jeff Halden In order to produce campaigns that are relevant and Vice President, compelling to the right audiences, marketing needs a Cap Gemini Ernst and Young clear ‘macro’ view of the market, the competition, and the company’s customers and prospect base. However it also needs a highly analytical, ‘micro’ view of the needs,Pivotal CRM | White Paper 4
  5. 5. The Solution: Customer The Power of TrustRelationship Management “I believe CRM is a way to address trust. This means making promises andCRM: What it Does keeping them for your customers, and doing that consistently over time. CRM isCompanies who aspire to operate at a higher, more a key enabler to do that. It allows you tosustainable and more profitable level are those who say, remember your promises, act on them,“We need to get smarter at how we work to achieve our and keep them.”objectives.” Customer Relationship Management (CRM), Bo Manninga suite of software applications for integrated sales, CEO, Pivotal Corporationmarketing and service that sits on top of an Internetbusiness platform, is the necessary ‘get smarter’ tool.CRM reconciles the paradox of increased demand forsmarter selling, marketing and service, and increasedpressure to reduce costs. CRM: What It Is Customer Relationship Management, or ‘CRM’, is a category of software applications used by companies Customer Relationship Management to connect data, people and processes across the (CRM) … is the necessary ‘get smarter’ customer-facing front-office (sales, marketing, service and partner management). The simplest essence of CRM’s tool that reconciles the paradox of mission is to help companies know how their customers increased demand for smarter selling, like to do business, so that customers keep coming back marketing and service, and increased to buy more. pressure to reduce costs. Not all CRM is equal—when qualifying vendors, make sure the suite of software applications has good breadth of capabilities across all customer-facing functions of yourWhere processes are weak, laborious or roundabout, company. It should be capable of delivering everythingCRM streamlines. Where the wires of important from assisted selling of complex solutions to onlinerelationships are crossed, CRM reconnects the right catalogs, self-service websites, unified knowledge bases,people sensibly. And where visibility is lacking, CRM marketing ROI calculation, and more.brings clarity into the market, sales channel performance,key stakeholder activity, history and preferences, and To learn more about what Customer Relationshipoverall business trajectory. Management looks like in action, keep reading. This paper will provide specific examples of CRM at work in the areas of sales, marketing, and service. Pivotal CRM | White Paper 5
  6. 6. Improvement Points in Today’s Enterprise When CRM is embraced by front-line employees, the operational impact is dramatic. Redundant, laborious processes that once jeopardized the integrity of key relationships are redesigned. Let’s consider some of the most common barriers to efficiency, and look at a CRM-driven approach to smooth the path to a more profitable model of business. RED LIGHT OBSTACLES GREEN LIGHT ACTION Sales force is not focused on selling. Automate sales cycle friction points. Enable online quoting, which allows reps to do Reps process quotes via fax and e-mail, most of the initial data entry. Allow internal sales to access a single, unified system so and spend time re-keying information. that all sales activity ‘lives’ in one place. Sales reps are slow to respond to Automate basic, labor-intensive tasks. Move paper-intensive processes and records opportunities. Significant delays exist to online, with anytime, anywhere access. Automate lead qualification and delivery. generate proposals, configure products, and verify and deliver quotes. Leads are not strategically managed, and many fall through the cracks. Data exists across multiple fragmented Unify data to a single platform. Create a single view of all customer-facing data, ‘islands’. Management is unable to report including product data, into a complete view accessed by all sales reps, marketers, on business performance, analyze team and service reps in an easy-to-use, integrated format. activities, and proactively react to trends and performance patterns. No integration between co-dependent Integrate all processes to a single system. Recognize dependencies between sales, marketing, and service teams, and verify offers or quotes in real-time. Make all product and configuration processes. data dynamic, so that everything customers or prospects see is always optimized, Employees spend time on duplicate consistent, and accurate. data entry, resulting in significant errors. Quotes go stale and delivery promises are broken due to a lack of connection to the supply chain. Poor customer and partner loyalty. Increase agent ease-of-business. Offer instant, 24x7 rates, easy-to-use rapid proposal Slow response time for lead follow-up, creation tool, and enable convenient self-service. proposals, support assistance, or product information gives the competition a chance to gain ground. Reactive approach to up- and cross- Proactively keep customer relationships ‘warm’. Automate the flagging of potential selling. Potential customer opportunities opportunities, and alert the right sales rep. Give service reps the ability to cross-sell are not recognized early enough (or not at on the spot in multi-function contact centers that engage in outbound marketing all), and are often lost. This results in high and selling. rates of customer attrition. High demand for partner support. Increase partner self-sufficiency. Provide partners with online access to all front-office Partners are unable to access the systems, such as knowledge bases, marketing collateral, lead management, customer latest information and tools for selling, history, and status. marketing, and servicing, and have a lack of visibility into accurate customer and product data.Pivotal CRM | White Paper 6
  7. 7. Mapping the Results of CRM: StrategicThe Spillover Effect Strategic Decision-Making Impact I M PA C T CRM Ease-of-Business ImpactStrategic Strategic Productivity Impact Decision-Making Tactical Impact I M PA C T Level One Results: Productivity Impact CRM Ease-of-Business Impact Improve the speed, accuracy and efficiency of internal processes Productivity Impact At the most elementary level, CRM automates the front Tactical office processes that span sales, marketing, and service. Employees spend more time servicing, selling, and interacting with customers and prospects, and less timeCRM delivers a great deal of functional, process-based shuffling to help employees and partners be moreproductive in selling, marketing, and servicing customersand prospects. When users embrace an easy-to-use,In the next section, we’ll examine how tactical productivity tailored system, companies getimprovements map to increasingly profound impact at measurably better at the front-officehigher, more strategic levels of business. The first level tactics that help to market, grow, andof CRM impact is the improved speed, accuracy, and service customers effectively.efficiency of internal processes—or improved productivity ofindividuals—in which labor and paper-intensive processesare streamlined. The second level of impact is measured With an easy-to-use, tailored system, companies getwhen the company becomes easier to do business with, measurably better at the front-office tactics that help toboth from an customer and partner perspective. grow, market, and service customers effectively. The right kind of CRM is invaluable to all people and processesThe third and most profound level of impact is when the who interact with customers and prospects on the front‘sweet spot’ of optimal business profitability is revealed. line—and the impact of those productivity improvementsWhen the right mix of products, markets, sales models, make a difference to the bottom line.channels, and partners is identified, you have all theelements required to make smarter and more strategic Some of the most apparent bottom-line results includebusiness decisions. Let’s examine these three levels of the reduction of administrative overhead throughCRM impact. automation, shortened sales cycles, and easier collaboration and sharing of data. All lead the push towards greater profitability. Increase Responsiveness – One of the most dramatic results from CRM is the improved speed and efficiency of internal processes. When front-office activities are unified into a single, centralized system, information is immediately available, and the paper-chase is eliminated. Employee focus moves to having higher quality interactions with customers and prospects, rather than on limited-value details. Pivotal CRM | White Paper 7
  8. 8. Create a Unified ‘Corporate Memory’ – One of the Intensify the Selling Focus – CRM makes the process most valuable corporate assets is data. This includes of closing business easier. For instance, it accelerates customer history, preferences, and status, sales channel the issuing of quotes, giving the sales team the ability to performance, quote status, market trends, product produce a complete proposal package with the click of knowledge bases, and more. Unifying this data to create a a button. Sales reps spend less time on administrative cohesive corporate memory is vital to demonstrating trust tasks, and more time working with the prospects and and credibility to all stakeholders, from customers and customers. Clearly, the customer-facing teams of sales, prospects to partners. CRM grants instant access to data, marketing and service see dramatic impact from CRM providing revenue-critical people with the tools necessary at the tactical level. The productivity of individuals will to access the data they need to succeed. increase, and labor and paper-intensive processes will be streamlined. Let’s look at the next level of impact, and Resolve Customer Incidents Faster – A call center is a see what happens when these operational improvements necessary but expensive requirement. The faster a service become apparent to customers, prospects and partners. rep can provide a resolution to an issue, the more issues can be resolved in a day. A CRM system puts everything a service rep needs in one unified place, with easily Perspective: searchable knowledge bases, chats, and self-service A Smarter Sales Cycle options that ease the burden of customer support and “We chose to implement CRM to allow increases satisfaction. us to get closer to our customers—so we could respond to them in a more intimate Increase Face Time with Customers and Prospects and knowledgeable manner. We are now – Increasing face time is always an effective sales tactic, able to capture all the many interactions whether it’s building new relationships or strengthening we have with our customers into a single existing ones. As the CRM system eliminates inefficient database, which enables us to take processes, employees can re-allocate time and resources a more personalized approach to our towards managing key relationships more proactively and sales cycle. more profitably. “Through our implementation of CRM, our sales cycle is more structured and Find Out Why Your Sales Team Wins and Loses Deals standardized. For instance, opportunity – CRM precisely tracks the sales pipeline and win-loss management capabilities give our sales ratios. Analyze why some deals are more consistently managers much greater control over the won, and why others are more likely to stall or be lost, sales cycle. Specifically, it provides much improved visibility of the sales funnel, and and capture detailed competitive information for each provides a way for our reps to manage proposal. Leverage this insight to focus on the areas that that opportunity throughout all stages of need improvement, and share the best practices of top the lifecycle. performers with others who need the encouragement and “We are now in the process of leveraging wisdom the most. our CRM system to map our customers’ buying trends, so that we can position Make it Easier to Replicate Successful Marketing ourselves proactively, anticipating and Campaigns – Every marketing campaign consists of meeting their needs on a ‘just-in-time’ the same series of steps that pull from an array of data basis. This is just one example of how sources, content sources, and delivery vehicles. Through CRM enables us to capture and act automation, CRM makes it very easy for resource- upon much more customer information strapped teams to repeat a successful campaign, or than previously possible. For us, it’s simply a more customer-centric way hold back a poorly performing campaign mid-stream and of doing business.” improve it. Cliff Wilcox Director, IT Applications, Somera CommunicationsPivotal CRM | White Paper 8
  9. 9. Partner Productivity Increases – Online portals extend Strategic streamlined processes to partners, giving them open Strategic Decision-Making access what they need to close business. Quotes created Impact by channel reps are immediately fed into the unified I M PA C T ‘home’ system, and automatically trigger downstream CRM Ease-of-Business Impact processes such as lead distribution or inventory validation. Productivity Impact Internal staff communicate with partners through more Tactical trackable methods than via phone. From the initial quote to order processing, every partner activity is tracked in a unified, automated environment.Level Two Results: Ease-of-Business Impact Customer Interactions are Simplified – A unifiedImprove the customer experience and the customer database that stretches across sales,likelihood of partner success marketing, and service eliminates errors and streamlinesThe productivity improvements described previously every interaction. For instance, if a customer calls amanifest themselves powerfully from the customer, support center, that customer’s history is onscreen beforeprospect, and partner perspective. Although it’s one of the rep even answers the call. Rather than answering athe more qualitative of results from CRM, the smooth, call with, “You have reached the Acme Support Center.high-level convergence of people and processes is one of Please have your receipts and customer number ready,”the most meaningful. When this convergence occurs, the your reps greet customers with, “Hello, John—glad tocompany demonstrates a new level of efficiency outside hear from you again. Tell me, how did that adjustment wethe walls of the organization. made last week work for you?” Data Quality Increases – Extending self-service to If there is one universal truth in this customers and partners allows them to enter their own data. By removing the extra steps of writing down industry, it’s the likelihood that prospects, information and re-keying it, the quality of data is infinitely customers, and partners shop around improved. The cost savings of this can be staggering. for ease-of-business. Eliminate the retouching of the same data multiple times, and gain the capacity to process far more. Constituents will not mind contributing the right information with anIf there is one universal truth in this industry, it’s the easy-to-use, intelligent system since they receive a betterlikelihood that prospects and customers are shopping experience—reps deliver faster proposals, and customersaround—not just for cost, but for ease-of-business. A receive what they need in less time and with fewer errors.good example of ease-of-business is when companiesprovide self-service. CRM-integrated self-service results inincreased efficiency for employees, and convenience for Perspective:prospects and customers. Where there was once friction, Anticipating Needssluggish response and unmet needs, there is now a “With a good system, you can avoidsudden abundance of focus, familiarity and consideration. asking the same question twice, because you know your customers very well. EvenLet’s apply the example of self-service to explore how with multiple locations like we have, weCRM creates a more convenient, easier and more still know them regardless of how theyseamless customer and partner experience: engage with us. And they appreciate that. They want us to know who they are, andSales Reps Issue Quotes More Easily – CRM eliminates what they expect. And they really like it when we anticipate their needs. For us,the delay your reps face in getting a proposal to the the cost of not anticipating those needs iscustomer. Moving the quoting system online means that to lose in the or channel reps can access a secure portion of yourwebsite to produce proposals in minutes. This efficiency “What it comes down to is that we’re a cooperative. We’re actually owned by ouris clearly noted by the end customer, since they receive customers, and so our whole role is toclear, accurate answers instantly rather than having to wait serve and to serve them as best we can.”hours or even days. Online configurators make it easier Jack Websterto sell the most complex products or services, even those CEO, Farm Credit Services of Americawith intricate supply chain dependencies or technicalspecifications. Take away sales cycle friction, and repsmanage accounts more responsively. Pivotal CRM | White Paper 9
  10. 10. We’ve seen how the second level of CRM impact is when • Why do we win more deals with Group X vs. Group Y? productivity takes root on the receiving end. Prospects, • Should we create more variations of Product Y, or customers, and partners, given more convenient access should we sell more of the existing configuration? to your company, will notice an extraordinarily seamless experience. Next, let’s examine the third and most • Should we be even trying to sell in this particular target profound level of CRM impact in which companies begin market / competitive arena? making high-level decisions more intelligently. • Why is Product X being sold well by our smaller partners, and ignored by our biggest partners? Strategic • What tactics do our top performing reps follow, that our Strategic lower performers do not? Decision-Making Impact • We have a limited budget for training. Should we invest I M PA C T CRM Ease-of-Business it towards advancement of our top channels, or use it to Impact help our smaller channels catch-up? Productivity Impact Getting Ready for the Upturn Tactical “In a downturn, sales and marketing Level Three Results: organizations start reducing expectations, financial and emotionally. They start Strategic Decision-Making Impact doing less and less of the top part of Identify the right mix for optimal profitability the pipeline, more and more of trying to close the closest deal. When the At the most profound level of impact, your company will economy comes back, they are ready to no longer waste effort trying to squash square pegs into re-energize, but they have nothing at the round holes in a market that is already crowded and very top of the funnel. saturated. Instead, you will move forward based on a clear “Sooner or later, this thing is going to understanding of the trajectories of your corporate assets, turn around. If you don’t want to get customer demand, and the competitive landscape. With left behind, you need to invest in new deep insight into business performance, you will direct strategies, systems and approaches that high-level business decisions more intelligently. are going to feed the top of the funnel. When the upturn comes around, you’ll be Think of your company as a collection of assets. ready to gain momentum.” Products, services, people, processes. Data, expertise, Geoffrey Moore relationships. The trick to maintaining momentum in a CEO, The Chasm Group challenging business environment is figuring out the right mix—identifying that point at which all your assets converge ‘just so’ to result in profitability. The moment that CRM’s visibility helps a company to answer the most fundamental ‘what next’ questions is a breakthrough one, in which a new collective confidence The moment that CRM’s visibility helps a is gained. It is that invigorating moment when a company company to answer the most fundamental begins directing the strategic path of its assets—its ‘what next’ questions is a breakthrough products, services, people, processes, data, expertise, relationships—from deep insight gained from smart, one, in which a new collective confidence timely analysis of business performance. is gained. Identify the right mix of offers, products, tools, and information, and then take a targeted approach favoring With CRM having delivered improved productivity the most valuable employees, customers, and partners. and ease-of-business across the front office, how do This is the ‘sweet spot’—that point at which all the right companies figure out where to invest the additional assets intersect for maximum profitability. resources, time, and money that’s been saved? The trick is to quantify operational strengths and weaknesses, so that you can make highly informed decisions that capitalize on the good and minimize the not-so-good.Pivotal CRM | White Paper 10
  11. 11. The Final Word KNOW YOUR: In this paper, you’ve learned about CRM as a breakthrough tool to help companies thrive despite Top Producers the increased complexity, operational demands and Partner Needs competitive pressures of doing business. But this statement... Market Trends Customer Needs CRM is a breakthrough tool Employee Needs is not complete without making an important edit: Most Important Interaction Points CRM can be a breakthrough tool … if your company Most Revenue-Impacting Processes chooses, designs, and implements it in a way that makes sense for your goals and your business. CRM is a journey, not a destination. It is not a matter of installing software, and being ‘finished’. By its very nature, ...THEN IDENTIFY THE RIGHT MIx OF: a CRM system should always have an open door for continued, on-the-fly development and tweaking. Your Training system will never be set in stone—and you shouldn’t want Support it to be. Through this journey, you’ll learn a great deal about how your employees like to work, where you all Site Visits excel, and what could be done differently. Your business Advertising needs to keep pace with the natural evolution of your Sales Commissions people, processes, and products—and that includes your CRM system. Marketing Campaigns Process Improvements The Importance of CRM-to-Fit “We have a unique business model. In every deal, we need to respond rapidly and effectively to market change and to changes in our customers’ circumstances. ...TO GROW YOUR: “As we moved to automate our sales Win Rate process, it was paramount for us to select a CRM system that could be easily Product Penetration adapted to our way of doing things. For Employee Efficiency instance, we needed to customize the basis on which sales territories were Customer Satisfaction defined. And most important, we needed Level of Responsiveness to adapt how the system assigned leads —since we distribute leads not only to Partner Value & Loyalty buyers, but also to sellers. “If we had chosen a CRM system that would not easily customize to meet our This brings us to one simple conclusion: CRM is not a unique business structure, it would have software purchase. If it were, it would be relatively easy. been more an impediment to our workflow Companies who excel at CRM see it for what it is—a than it would have been a solution.” results purchase. This means working with your CRM Cliff Wilcox vendor to realize and report meaningful business results. Director, IT Applications, Following are some further resources that introduce the Somera Communications ‘making it work’ aspects of CRM, including how to stay focused on business results, and how to navigate through two key categories of selection criteria—system suitability, and vendor suitability.Pivotal CRM | White Paper 11
  12. 12. Further Resources CRM Discovery Kit The CIO’s Sensible Guide to Delivering the Right CRM for your Company (How to Keep your System Integrity, Budget, Resources and Sanity Intact Through CRM) When it comes to CRM, today’s CIO is squarely focused on risk mitigation, resource management and cost At Pivotal CRM, we’ve held fast to one simple truth from the predictability. How easy is this CRM system to buy? very beginning. There’s no such thing as ‘one-size-fits-all’ Can we deploy in a predictable timeframe? Will it fit with our CRM. When it’s 100% designed to fit your business, CRM current and future business IT strategies? In this business has impact where it counts. Revenues. Margins. Loyalty.” paper, you’ll gain a TCO-oriented framework for choosing Part One: How to Choose the Right CRM the right CRM. Find out about: Part Two: How to Build Impactful CRM Breadth, Depth and the 80/20 Rule Part Three: How to Measure Results from CRM Customizability and the Metadata Connection To get this paper and access further information, visit Scalability, Performance and the User Perspective To get this paper and access further information, visit more information or a complete list of our worldwide offices, please visit © CDC Software 2007. All rights reserved.The CDC Software logo and Pivotal CRM logo are registered trademarks and/or trademarks of CDC Software.