1. A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management
By
Anthony
Chijioke
Mba
4070304
Faculty
of
Engineering
and
Computing
Submitted
To
Coventry
University
In
Partial
Fulfillment
of
the
Requirements
for
the
Award
Of
MSc
Management
Information
Systems

2. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
1
TABLE
OF
CONTENTS
Acknowledgements…………………………………………………………………………………………4
Research
and
project
declaration…………………………………………………………………….5
Lists
of
figures…………………………………………………………………………………………………6
List
of
Tables…………………………………………………………………………………………………..7
List
of
Appendices……………………………………………………………………………………………8
List
of
Acronyms………………………………………………………………………………………………9
Abstract…………………………………………………………………………………………………………10
Aims
&
Objectives…………………………………………………………………………………………..11
Research
questions………………………………………………………………………………………..12
Research
methodology…………………………………………………………..………………………12
Research
method………………………………………………………………………………………….12
Project
management
methodology…………………………………………………………………12
Summary……………………………………………………………………………………………………....12
CHAPTER1:
-­‐
Introduction…………………………………………………………………………13
1.1
Overview…………………………………………………………………………………………….13
1.2
Significance
of
the
study………………………………………………………………………14
1.3
Structure
of
the
study………………………………………………………………………….15
1.4
Project
Management
Methodology:
PRINCE2
vs.
PMBOK………………………16
1.5
Limitations
and
constraints…………………………………………………………………17
1.6
Chapter
Summary………………………………………………………………………………..17
CHAPTER2:
–
Literature
review
………………………………………………………..………18
2.1
A
brief
history
of
CRM…………………………………………………………………..…..….18
2.2
How
CRM
works……………………………………………………………………….………….19
2.3
The
Information
Age……………………………………………………………………………22
2.4
Social
Media…………………………………………………………………………………………23
2.4.1
Objectives
of
Social
Media…………………………………………………………….………24
2.5
User
Generated
Content………………………………………………………………………26
2.6
Critiques
of
Social
Media………………………………………………………………………27
2.7
Future
of
Social
Media…………………………………………………………………………28
2.8
The
rise
of
Social
CRM…………………………………………………………………………29
2.8.1
How
Social
CRM
works/strategy…………………………………………………………30

3. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
2
2.8.2
The
Impact
of
Social
CRM…………………………………………………………………...32
2.8.3
Social
CRM:
a
threat?
........................................................................................................34
2.8.4
Benefits
&
risks
of
Social
CRM
……………………………………………………………34
2.8.5
The
future
of
Social
CRM
……………………………………………………………………35
2.9
Chapter
Summary………………………………………………………………………………36
CHAPTER3:
–
RESEARCH
METHODOLOGY
…………………………………………………37
3.0
Research
Methodology
………………………………………………………………………37
3.1
Research
Methodology
Defined
………………………………………………………….37
3.2
Research
Approach
……………………………………………………………………………38
3.3
Research
Strategy:
Qualitative
and
Quantitative
Methods
……………………39
3.4
Primary
Data
and
Secondary
Data
……………………………………………………….39
3.5
Qualitative
Method
vs.
Quantitative
Method…………………………………………40
3.6
Advantages
and
Disadvantages
of
Qualitative
and
Qualitative
Research…41
3.7
Justification
of
Method
Used
In
Research……………………………………………..42
3.8
Ethical
Approach………………………………………………………………………………….43
3.9
Chapter
Summary………………………………………………………………………………..44
CHAPTER4:
–
RESULTS
AND
ANALYSIS
OF
DATA………………………………………..44
4.1
Chapter
Overview………………………………………………………………………………..44
4.2
Data
Analysis
………………………………………………………………………………………44
4.3
Questionnaires
…………………………………………………………………………………..44
4.4
Interviews
………………………………………………………………………………………….44
4.5
Lifecycle
Methodology………………………………………………………………………….45
4.5.1
Waterfall
…………………………………………………………………………………...………..45
4.5.2
Agile
…………………………………………………………………………………………………...46
4.5.3
Differences
between
Waterfall
and
Agile
methodologies
………………………46
4.5.4
Spiral
………………………………………………………………………………………………….47
4.5
Results
and
findings
……………………………………………………………………………49
4.6
Conclusions
………………………………………………………………………………………...52
4.7
Chapter
Summary
……………………………………………………………………………….52
CHAPTER5:
-­‐RECOMMENDATIONS
AND
CONCLUSIONS………………………………54
5.1
Conclusions
and
Recommendations…………………………………………………….54
5.2
Conclusion………………………………………………………………………………………….55

4. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
3
5.3
Recommendations………………………………………………………………………………56
5.4
Recommendation
for
future
research…………………………………………………..57
5.5
Critical
evaluation……………………………………………………………………………….57
5.6
Chapter
Summary……………………………………………………………………………….58
References………………………………………………………………………………………..…………..59
Appendix
I.
…………………………………………………………………………………………………..66
Appendix
II.
………………………………………………………………………………………………….67
Appendix
III.
………………………………………………………………………………………………...69

5. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
4
Acknowledgements
I
would
like
to
thank
God
for
granting
this
opportunity
for
me
to
be
where
I
am
today.
I
acknowledge
my
mother
for
believing
in
me
especially
during
these
hard
times
of
nowadays.
I
would
like
to
acknowledge
my
father
for
his
support
and
the
rest
of
my
immediate
family
for
their
support
and
love.
I
would
like
to
acknowledge
my
project
supervisor,
Mr.
Vernon
Sassman
for
encouraging
my
work
and
guiding
me
down
the
path
whilst
making
it
smooth.
I
would
also
like
to
acknowledge
all
the
participants
who
contributed
to
this
research
via
the
questionnaires
and
those
that
were
interviewed.
They
served
a
great
part
in
seeing
the
completion
of
this
project.

6. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
5
Research
Declaration
I
declare
that
this
study
is
in
its
entirety
my
work.
Any
use
of
the
work
obtained
elsewhere
has
been
duly
acknowledged
as
in-­‐text
citations
and
has
been
compiled
in
the
reference
list.
I
confirm
that
this
study
was
undertaken
in
compliance
with
Coventry
University’s
research
ethics
policy.
Student:
……………………………………………….
Signature:
………………
Project
Declaration
This
project
is
all
my
own
work
and
has
not
been
copied
in
part
or
in
whole
from
any
other
source
except
where
duly
acknowledged.
As
such,
all
use
of
previously
published
work
(from
books,
journals,
magazines,
internet
etc.)
has
been
acknowledged
within
the
main
report
to
an
item
in
the
References
or
Bibliography
lists.
I
also
agree
that
an
electronic
copy
of
this
project
may
be
stored
and
used
for
the
purposes
of
plagiarism
prevention
and
detection.
Copyright
Acknowledgement
I
acknowledge
that
the
copyright
of
this
project
report,
and
any
product
developed
as
part
of
the
project,
belong
to
Coventry
University.
Signed:
Date:
Family
Name
(Surname)
Forename(s)
Student
ID
no.
Course
Project
Module
Code
1St
Supervisor
2nd
Assessor
Office
Stamp

7. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
6
Lists
of
figures
• Figure
1:-­‐
Similarities
between
PRINCE2
&
PMBOK
• Figure
2:-­‐
Linkages
in
traditional
CRM
• Figure
3:
-­‐
The
three
phases
of
Customer
Relationship
Management
• Figure
4:
-­‐
Customer
Valuation,
interactivity
and
need
for
customer
relationship
management.
• Figure
5:
-­‐
A
distributed
database
network.
• Figure
6:
-­‐
Social
media
participation
among
individuals
• Figure
7:
-­‐
Objectives
of
Social
Media
• Figure
8:
-­‐
The
influence
of
User
Generated
Content
• Figure
9:
-­‐
Social
CRM
• Figure
10:
-­‐
The
Social
CRM
Network
• Figure
11:
-­‐
Social
CRM
integration
• Figure
12:
-­‐
The
different
departments
in
a
company
and
some
of
the
social
CRM
challenges
poised
with
them.
• Figure
13:
-­‐
Research
Structure
• Figure
14:
-­‐
Advantages
of
Qualitative
and
Quantitative
Research
• Figure
15:
-­‐
Disadvantages
of
Qualitative
and
Quantitative
Research
• Figure
16:
-­‐
Waterfall
lifecycle
methodology
• Figure
17:
-­‐
Agile
lifecycle
methodology
• Figure
18:
-­‐
Advantages
of
Waterfall
and
Agile
Methodologies
• Figure
19:
-­‐
Spiral
lifecycle
methodology
• Figure
20:
-­‐
Disadvantages
of
Waterfall
and
Agile
methodologies
• Figure
21:
-­‐“Do
you
feel
that
social
media
is
the
future
of
interaction
and
development
of
relationships
between
companies
and
customers?”
• Figure
22:
-­‐“What
mediums
do
use
to
build
customer
relationships
more
in
your
organization?”
• Figure
23:
-­‐“Do
you
think
social
CRM
is
actually
significant
for
better
customer
relationship
management?”
• Figure
24:
-­‐
“How
significant
is
it
social
media
to
you
in
acquiring
new
customers
and
developing
relationships
with
them?”
• Figure
25:
-­‐
Milestone

8. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
7
List
of
Tables
• Similarities
between
PRINCE2
&
PMBOK.
• Advantages
of
Qualitative
and
Quantitative
Research
• Disadvantages
of
Qualitative
and
Quantitative
Research
• Advantages
of
Waterfall
and
Agile
methodologies
• Disadvantages
of
Waterfall
and
Agile
methodologies
• Milestones

9. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
8
List
of
Appendices
1. Project
Plan/
Project
Gantt
Chart
2. Research
notes/
Milestones
3. Copy
of
research
questionnaire

10. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
9
List
of
Acronyms
CRM
–
Customer
Relationship
Management
IT
–
Information
Technology
PRINCE2
–
Projects
in
Controlled
Environments
2
PMBOK
–
Project
Management
Body
of
Knowledge
SCRM
–
Social
Customer
Relationship
Management
UGC
–
User
Generation
Content

11. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
10
Abstract
The
world
is
becoming
smaller
and
smaller
each
day
with
the
advancement
of
technology.
Things
that
seemed
seemingly
impossible
in
previous
centuries
are
now
possible;
a
person
on
one
end
of
the
world
is
able
to
communicate
with
someone
else
on
the
other
end
with
the
invention
of
the
mobile
phone.
It
is
possible
to
even
visualize
them
using
cameras
installed
in
computers
to
send
video
feeds
to
each
recipient.
Truly,
this
is
a
giant
step
and
a
great
endeavor
for
mankind.
This
technology
when
harnessed
can
be
used
to
open
the
doors
to
a
whole
lot
of
opportunities.
Social
media
is
a
fairly
new
term
in
the
world
today.
It
usage
illustrates
the
way
human
beings
interact
with
each
other
on
a
personal
level
on
the
Internet.
It
has
proven
popular
in
recent
times
and
its
relevance
in
day-­‐to-­‐day
activities
keeps
growing
(Rosencrance
2011).
Social
media,
which
experienced
its
boom
in
recent
years,
according
to
Nielson
and
McKinsey
(2012)
is
now
becoming
a
hub
for
business.
People
spend
20%
of
their
total
time
using
social
networks.
92%
of
companies
are
now
incorporating
social
media
into
their
customer
experience
and
marketing
efforts
(Pick
2013).
Harnessing
the
awesome
power
of
social
media
can
prove
extremely
significant
for
companies
willing
and
able
to
use
for
building
customer
relationships.
This
project
sets
out
to
establish
the
link
between
social
media
and
customer
relationship
management.

12. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
11
Aim
The
aim
of
this
dissertation
is
to
identify
how
distributed
database
systems
relate
with
social
media,
and
how
critical
social
media
integration
is
in
Customer
Relationship
Management,
specifically
in
a
University
setting.
For
this
dissertation,
Coventry
University
was
used
as
a
case
study.
Objectives
1. Conduct
current
research
on
the
concept
of
distributed
database
systems
and
customer
relationship
management
on
a
global
basis.
2. Conduct
analysis
on
data
gathered
using
relevant
analysis
tools
available.
3. Discuss
significance
of
customer
relationship
management
implementation
in
businesses.
4. Examine
benefits,
downfalls
and
limitations
of
customer
relationship
management
integration
5. Provide
a
suggestion
for
improved
social
media
techniques
for
managing
new
customers.
6. Produce
a
feasibility
study
using
a
standard
and
approved
IT
lifecycle.
7. Identify
and
research
relevant
case
studies
about
social
customer
relationship
management.
8. Discuss
scenarios;
difficulties,
benchmarks,
and
successes
during
investigations.
9. Implement
and
use
PRINCE2
methodology
for
guidance
throughout
entire
project.
10. Make
critical
evaluation
and
contributions
towards
the
project
11. Draw
conclusions
and
make
recommendations

13. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
12
Research questions
1. How effective is social media in customer relationship management and
development of a company?
2. What are the benefits and downfalls of utilising social media for business?
3. Does the use of social media improve customer satisfaction?
4. What is the future of social CRM?
Research Methodology
The main objective of this project is to show how effective social media is in customer
relationship management. To achieve this, a research was conducted in an academic
institution, Coventry University, U.K.
In this chapter, the project research methodology would be examined.
Research method
Primary data and secondary data were collected and analysed.
Project Management methodology
The PRINCE 2 project management methodology was used to help the researcher to
schedule his time during the project and it proved very useful. A Gantt chart was made
to guide the researcher on this project.
Summary
This
research
is
generally
based
on
social
media
and
how
it
helps
businesses
carry
out
customer
relationship
management.
The
research
will
try
to
identify
the
issues
with
social
CRM
and
how
to
take
advantage
of
it.
In
the
first
chapter,
a
background
of
the
study
of
the
research
is
provided.
The
background
intends
to
introduce
the
factors
that
will
illustrate
the
ensuing
aspects
of
the
study.
Also
in
this
chapter,
aims
and
objectives
of
the
research
are
outlined.
The
end
of
this
research
will
realize
these
aims
and
objectives.

14. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
13
CHAPTER
1
INTRODUCTION
1.1 Overview
It
is
a
well-­‐known
fact
that
the
world
is
ever
so
close
to
becoming
a
global
village
(McLuhan
1968).
People
are
more
than
ever
aware
of
what
is
happening
around
their
geographical
locations
as
well
the
entire
world.
People
are
more
stimulated
by
their
senses
than
ever
before
and
that
makes
them
more
in
tune
with
their
needs
and
wants
as
described
by
McLuhan
(1968).
This
in
turn
presents
a
business
opportunity
for
organizations
to
reach
out
and
understand
clearly
what
consumer’s
desire
using
modern
effective
technology.
Social
media
is
the
key
to
finding
out
what
is
on
peoples’
minds
faster
than
any
other
technology
out
there.
According
to
recent
statistics
reports,
specifically
from
Nielsen
and
NM
incite’s
Digital
Consumer
Report
(2012),
81
billion
minutes
were
spent
on
the
various
social
networks
and
blogs
available
online
in
2011
in
America
alone.
The
report
goes
on
to
say
that
approximately
96%
of
adults
aged
18
to
34
year
old,
and
97%
of
adult
aged
55
years
old
and
above
engaged
in
social
networks
on
their
computer
in
2011.
There
is
no
doubt
a
lot
of
time
that
goes
into
the
use
of
social
networks.
Dupre
(2012)
connotes
that
digital
media
has
become
an
integral
part
of
consumers’
lives.
The
world
is
changing
fast
and
frantically
for
business
organizations
everywhere.
To
maintain
competitiveness
and
ensure
long-­‐term
survival,
these
business
organizations
need
to
understand
their
customers
like
never
before
(Sammut
2011).
They
need
to
know
what
their
customers
think
about
their
products
or
services,
what
their
preferences
are,
who
they
talk
to
about
their
products,
how
they
use
their
products,
what
they
like
about
the
products
or
services
and
what
they
don’t
like
and
so
on.
Social
CRM
is
an
evolved
strategy
(Morgan
2010)
in
the
business
organization
and
it
is
the
latest
new
medium
to
which
these
business
organizations
strive
to
obtain
all
these
data
from
in
order
to
better
their
products
and
services
and
achieve
competitive
advantage.
As
Vitez
O.
said,
companies
need
to
be
careful
to
invest
in
technology
that
will
be
supported
and
frequently
used
in
the
business
environment.

15. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
14
Customer
Relationship
Management
is
a
broad
subject
area
in
the
context
of
the
business
organization
environment.
In
every
business
organization
there
is
a
customer,
and
CRM
enables
the
business
to
develop
a
relationship
with
the
customer
so
as
to
improve
business
processes.
As
stated
on
the
website
destinationcrm
(2010),
it
is
the
section
of
a
business
function
that
gathers
information
from
all
data
sources
within
an
organization,
and
where
it
is
very
much
needed,
from
outside
the
organization,
to
give
one,
holistic
view
of
each
customer
in
present
time;
this
makes
customer
facing
employees
in
such
areas
as
sales,
customer
support,
and
marketing
to
make
quick
yet
informed
decisions
on
everything
from
cross-­‐selling
opportunities
to
target
marketing
strategies
to
competitive
positioning
tactics.
Distributed
database
system
is
a
concept
that
describes
how
data
is
shared
on
a
wide
area
network.
Traditionally,
a
database
holds
data
on
a
company’s
intranet
or
extranet
that
is
later
processed
when
it
is
needed,
and
this
proves
useful
to
end-­‐user
work-­‐stations
(Wikipedia).
A
distributive
database
system
means
that
the
data
is
kept
on
a
database
system
can
be
distributed
for
use
on
other
systems
over
a
large
geographical
area.
For
example,
a
company
with
its
base
in
the
United
Kingdom
as
well
as
its
main
database
server
can
have
its
data
shared
over
its
other
branches
around
the
world.
Users
have
access
to
the
portion
of
the
database
at
their
location
so
that
they
can
access
the
data
relevant
to
their
tasks
without
interfering
with
the
work
of
others
(Rouse
2005).
Distributive
database
systems
have
helped
in
maintaining
a
steady
flow
of
communication
and
product
in
business
organizations.
For
this
project,
a
deliberation
on
how
the
communication
aspect
of
the
distributed
database
system
concept
shall
be
optimized
without
much
technicality.
1.2
Significance
of
the
study
This
research
endeavors
to
look
deep
into
the
benefits
and
drawbacks
of
social
CRM,
as
careful
implementation
of
this
crucial
strategy
is
highly
necessary
for
companies
and
businesses
alike
to
achieve
their
objectives.
It
also
looks
to

16. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
15
establish
a
possible
framework
as
to
how
social
CRM
can
be
run
and
maintained,
and
possibly,
steps
that
can
be
used
to
advice
a
confident
future
for
the
strategy.
Using
social
media
for
CRM
would
have
a
large
impact
on
the
business
as
a
whole;
it
could
be
used
to
gather
a
huge
amount
of
clients
and
customers.
Thus
the
company
would
have
to
place
a
lot
of
responsibility
on
the
strategy.
It
would
have
to
place
crucial
and
intelligent
people
that
are
going
to
be
involved
in
the
usage
of
the
strategy
because
it
is
a
continuous
process
and
consistency
is
greatly
required.
Because
social
media
is
very
significant
in
today’s
business
environment,
companies
would
be
wasting
a
vast
amount
of
time
and
resources
if
they
were
not
utilizing
it.
1.3
Structure
of
the
study
This
project
is
motivated
by
the
significance
and
availability
of
social
media
usage
in
customer
relationship
management
and
the
ways
and
methods
it
can
be
used.
A
deep
and
intellectual
session
was
carried
out
between
parties
interested
and
associated
with
this
topic.
Such
sessions
included
interviews
with
top
managers,
mid-­‐level
managers,
staff
of
respectable
companies,
and
other
relevant
stakeholders.
Questionnaires
were
administered
also
to
these
parties
to
gather
more
quantitative
points
of
their
opinions.
Also,
data
gotten
from
other
sources
including
websites,
journals,
newspapers,
articles
and
books
were
used
to
gather
together
relevant
information
for
this
research.
Chapter
1
is
the
introduction
to
this
project
and
it
gives
an
overview
of
the
project,
which
is
a
general
summary
of
what
the
subject
is
all
about.
Also
included
in
this
chapter
is
the
significance
of
the
study,
structure
of
the
study,
and
limitations
of
the
study.
Chapter
2
details
the
literature
review
of
the
study;
a
critical
look
at
the
existing
bodies
of
literature
available
for
this
study.
Chapter
3
states
the
methods
used
in
this
research
work
and
how
they
were
used,
and
it
illustrates
accurately
the
way
the
research
was
reported.
Chapter
4
structures
the
results
and
analysis
of
data
and
chapter
5
is
the
researcher’s
conclusions
and
recommendations.

17. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
16
1.4
Project
management
methodology:
PRINCE2
vs
PMBOK
PRINCE
2
and
PMBOK
both
focus
on
processes
in
project
management.
Many
different
authors
have
noted
various
similarities
between
these
two
methodologies.
For
this
project,
the
PRINCE2
methodology
was
used
because
of
its
efficiency
in
conducting
projects
in
a
controlled
environment.
Similarities
PRINCE
2
PMBOK
Comments
Integration/combined
processes
Yes
Yes
Both
are
process-­‐integrated
to
develop
and
implement
projects.
Scope,
time,
budget
/plan,
business
case
Yes
Yes
Both
cover
time,
budget
and
within
scope.
Quality
/configuration
management
Yes
Yes
Both
brings
out
good
quality
and
configuration
management
in
project
development
Communication/
control
Yes
Yes
Both
have
adequate
plan
for
communication
and
adequate
information
to
transfer
to
project
team
and
management.
Human
resources
/organisation
Yes
Yes
They
both
have
adequate
role
assign
to
team
members.
Procurement
Yes
No
Fig.
1.
Similarities
between
PRINCE2
and
PMBOK
(Siegelaub
2004).
Close
examinations
of
both
practices
by
Wideman
(2003)
shows
that
both
methodologies
focus
on
processes;
however,
some
major
differences
exist
between
them.
PRINCE
2
discusses
at
length
so
many
reasons
why
projects
fail
and
assigns
a
cause
to
remove
it;
if
it
is
used
properly
and
well
implemented
it
can
eliminate
wasted
time.
PRINCE2
brings
the
scope
of
the
project
into
effect
more
than
PMBOK.
Siegelaub (2004) opined that PMBOK users are not aware of the various component of
PRINCE 2, which is highly useful in the implementation process. PRINCE 2
methodology integrate the processes which help in the relationship and successful and
useful in the knowledge area of the project. Smith (2009) noted that is a long time
implementation if it is not implemented for long term project its not worth it but
Nelson (2006) opposed it by saying that if the process and component is followed
objectively and the processes are adhere to does not matter if it short or short project.
Orla et al. (2010) stated the flaw of PRINCE2 over PMBOK. PRINCE 2 did not
consider the value of soft skill but in PMBOK, focus is on the knowledge area of
project management such as the procurement management and it provides a guide for
it.

18. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
17
1.5
Limitations
and
constraints
of
the
project
Some
Major
challenges
ensued
during
the
procession
of
this
project.
The
main
challenges
that
were
involved
with
this
project
were
the
difficulty
of
collecting
data
from
various
sources
and
the
time
constraint.
These
constraints
were
anticipated
before
the
project
took
off
and
measures
were
put
in
place
to
curtail
them.
One
of
them
was
the
collection
of
primary
data
from
geographical
locations
spread
out
across
the
continent.
While
some
questionnaires
were
sent
out
and
some
returned
others
were
sent
out
but
not
returned.
The
idea
that
the
researcher
used
was
to
send
out
a
lot
of
questionnaires,
more
than
what
was
needed
so
that
he
could
get
a
number
up
to
that
which
was
needed
knowing
fully
well
that
some
people
were
not
going
to
reply
back
with
their
questionnaires.
Some
interviews
that
were
scheduled
with
top
management
were
cancelled
or
turned
down.
There
was
a
day
when
a
planned
interview
with
a
mid-­‐level
manager
in
a
company
called
the
Technocentre,
a
company
located
within
Coventry
was
cancelled
because
the
manger
had
to
travel
for
another
meeting.
Another
challenge
faced
was
that
the
researcher’s
father
at
the
time
was
undergoing
dialysis
due
to
very
bad
kidney
disease.
He
was
bereaved
during
the
writing
of
this
project
and
his
mind
was
frequently
cast
away
to
his
father’s
plights.
Time
was
another
limitation
to
this
project.
As
we
all
know,
time
is
unavoidable
and
it
waits
for
nobody.
Thus,
this
was
managed
by
employing
effective
time
and
project
management
tools
such
as
the
PRINCE2
Project
management
methodology
and
a
Project
Gantt
chart,
which
was
used
for
tracing
project
tasks
and
milestones
and
measuring
value.
1.6
Chapter
summary
In
this
chapter,
an
overview
of
the
contents
of
this
research
was
documented.
Also
the
significance
of
the
study
was
included,
along
with
the
structure
and
limitations
and
constraints
to
the
research.
All
these
give
a
background
to
the
study
and
attempts
to
introduce
to
ensuing
aspects
of
the
study.

19. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
18
CHAPTER
2
LITERATURE
REVIEW
2.1 A
Brief
History
of
CRM
Database
marketing
was
the
term
used
in
the
1980s
to
define
what
is
now
known
as
Customer
Relationship
Management
as
poised
by
Wingard.
He
went
on
to
describe
the
CRM
process
as
one
where
a
company’s
customer
service
staff
would
interact
with
its
clients
about
issues
associated
with
their
ongoing
business
concerns,
but
as
helpful
as
it
was
it
was
difficult
to
piece
the
data
gotten
from
the
customers
and
process
it
because
the
existing
databases
appeared
to
be
unorganized,
complex
and
hard
to
track.
This
could
be
due
to
the
fact
that
in
those
days,
the
technology
available
for
high
storage
of
data
was
severely
lacking
and/or
expensive
to
obtain
and
maintain.
The
concept
of
CRM
was
made
very
popular
in
the
1990s,
because
it
made
companies
interact
with
customers
on
a
whole
new
level,
it
became
widely
used
and
the
benefits
where
definitely
showing
as
described
by
Exforsys
Inc.
(2006).
The
1990s
saw
the
rise
of
CRM,
companies
began
to
see
the
benefits
of
offering
perks
to
customers
and
potential
ones
in
exchange
for
relevant
customer
information,
they
also
saw
CRM
as
an
evolving
and
upgradable
skill
rather
than
just
a
stagnant
service
to
be
picked
up
and
used
when
necessary
(Wingard).
Fig.
2
Linkages
in
traditional
CRM
People
and
culture
Technology
Process
Strategy

20. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
19
2.2
How
CRM
works
The
customer,
as
the
object
of
the
firm’s
attention,
must
be
considered
when
the
concept
of
relationship
building
is
discussed;
the
objective
must
be
to
build
a
positive
relationship
from
the
perspective
of
the
customer,
not
of
the
firm
(Barnes
2001).
There
is
a
need
for
companies
to
build
a
long
lasting
relationship
with
their
customers,
as
this
would
enable
them
to
keep
track
of
records
the
have
with
their
customers,
and
better
attend
to
their
needs.
What
is
a
relationship
then?
There
have
been
many
definitions
and
somewhat
confusion
as
to
the
real
definition
of
what
a
relationship
actually
is.
But
Cathcart
(2012)
put
forward
an
interesting
definition;
he
defines
a
relationship
as
direct
connection
between
people
in
which
value
is
exchanged.
CRM
is
brought
out
of
the
concept
of
the
relationship
a
company
as
with
its
clients
or
customers.
Customer
Relationship
Management
(CRM)
is
a
business
strategy
designed
to
help
an
enterprise
understand
and
anticipate
the
needs
of
its
potential
and
current
customers
(Jeffrey
Hoffer
et
al,
2010).
Customer
data
is
captured
in
several
different
areas
of
the
enterprise,
stored
in
a
central
database,
analyzed,
and
distributed
to
key
points,
which
are
called
touch
points.
Touch
points
can
include
a
mobile
sales
force,
inbound
and
outbound
call
centers,
Web
sites,
point-­‐
of-­‐sale;
direct
marketing
channels,
and
any
other
parts
of
an
enterprise
that
interact
with
the
customer.
The
distributed
data
is
intended
to
help
foster
effective,
individual
experiences
between
the
company
and
the
customer.
In
a
sense,
CRM
is
a
natural
and
predictable
extension
of
the
evolution
of
marketing
and
sales,
the
first
CRM-­‐enabling
technologies
included
basic
contact
management
software
linked
to
individual
PCs
(Jeffrey
Hoffer
et
al,
2010).
This
old
style
of
Sales
Force
Automation
(SFA)
soon
grew
to
include
contact
management-­‐-­‐account
management,
opportunity
management,
mail
merge,
and
forecasting.
Client,
product,
marketing,
and
competitive
information
were
eventually
added
to
the
mix.
Other
front-­‐office
applications,
such
as
sales
configuration
engines,
were
added,
as
well
as
tight
links
to
back-­‐end
ERP.
Initially,
CRM
projects
focused
on
unifying
the
spheres
of
sales
and
customer
service,
but
in
the
last
few
years,
a
marketing
function
was
added,
as
enterprises
recognized
both
a
need
to
tie
marketing
campaigns
to
sales
and
the
significant
impact
service

21. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
20
interactions
have
on
sales
lead
generation.
Now,
CRM
projects
strive
to
provide
data
to
every
enterprise
department
that
touches
the
customer.
CRM
is
designed
to
empower
the
entire
enterprise
when
managing
customer
relationships.
Fig.
3
The
three
phases
of
customer
relationship
management.
The
three
phases
of
customer
relationship
management
according
to
Tiwana
(2001)
include
the
Acquisition
phase,
the
enhancement
phase
and
the
retention
phase.
She
also
went
on
to
describe
what
happens
in
each
of
these
stages.
In
the
acquisition
stage,
certain
activities
are
involved;
differentiate
between
products
and
services
according
to
the
customers
needs,
offering
of
considerable
convenience
via
customer
knowledge,
and
back
services
with
excellent
support
and
response
should
be
proactive.
The
enhancement
stage
comprises
of
these
activities
that
are
key
to
it;
cross-­‐sell
and
up-­‐sell
products,
and
increase
sales
of
products
per
customer.
Lastly
the
retention
stage
has
these
key
activities;
gather
customer
information
to
build
service
flexibility,
the
delivery
of
new
products
that
meet
current
customers’
needs,
and
seek
out
benefits
that
can
be
attained
in
order
to
retain
customers.
Fig.
4
Customer
Valuation,
interactivity
and
need
for
customer
relationship
management.
Acquisition
Retention
Enhancement
CUSTOMER
NEEDS
FREQUENCY
MARKETING
CRM
MASS
MARKETING
NICHE
MARKETING
G
Interactivity
High
Low
Differential
Customer
Valuation
Consistent
Differential

22. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
21
Enterprises
want
their
customers
to
see
one,
friendly,
corporate
face,
as
opposed
to
a
collection
of
disconnected
departments
trying
to
work
together.
Ideally,
an
effective
CRM
strategy
will
enable
the
enterprise
to
utilize
all
of
its
resources
when
interfacing
with
a
customer,
including
marketing,
sales,
finance,
and
manufacturing,
as
well
as
post-­‐sales
services.
When
carefully
and
strategically
employed,
econometric,
demographic,
lifestyle,
and
psychographic
data;
decision-­‐
support
systems;
the
Internet;
and
customer
access
techniques
and
technologies
can
help
promote
effective
CRM,
despite
the
size
of
enterprise,
the
size
of
enterprise's
customer
base,
or
the
size
of
relative
market.
The
ability
to
gain
value
from
CRM
projects
is
contingent
on
the
enterprise's
capability
to
leverage
and
integrate
all
of
these
functions,
technologies,
and
consolidated
data
in
a
way
that
promotes
departmental
synergy,
as
well
as
competitive
advantage.
Enterprises
no
longer
view
their
customer
base
as
a
homogeneous
collection
of
revenue
generating
units.
Instead,
they
want
to
get
up
close
and
personal
with
clients.
As
an
enterprise
grows,
however,
it
becomes
increasingly
difficult
to
provide
personalized
levels
of
service.
CRM
initiatives
involve
the
marketing,
sales,
and
service
entities
within
an
organization.
CRM
projects
focus
on
integrating
and
leveraging
all
of
a
company's
outward-­‐facing
actions
to
acquire
new
customers;
retain
existing
ones;
and,
most
importantly,
identify
the
most
profitable
prospects
so
that
their
value
can
be
maximized
over
time.
Acting
on
the
notion
that
effectively
managing
the
customer
relationship
from
initial
contact
through
the
sale
and
follow-­‐up
service(s)
yields
the
greatest
chance
of
keeping
their
best
customers
satisfied,
companies
are
deploying
CRM-­‐enabling
technologies,
such
as
call
center
software
and
self-­‐service
Web
sites,
to
please
the
"never
satisfied
customer."
Most
companies
invest
in
CRM-­‐enabling
technologies
to
provide
competitive
differentiation
in
a
world
where
products
can
become
obsolete
overnight.
Thus,
CRM-­‐enabling
technologies
help
enterprises:
·
Understand
key
customer
groups
·
Define
what
customers
need
and
value
·
Target
customer
groups
·
Tailor
products
and
services
for
customers

23. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
22
·
Refine
channel
strategies
·
Measure
customer
activity
in
relation
to
marketing
campaigns,
new
product
introductions
(Jeffrey
Hoffer
et
al,
2010)
2.3
The
Information
Age
Information
and
communication
technologies
have
had
a
powerful
effect
on
transformation
of
the
work
process.
According
to
Wikipedia
(2012),
business
is
slowly
but
surely
becoming
more
information-­‐intensive
and
less
labor
and
capital-­‐intensive.
Alleyne
(2011)
mentions
that
with
the
internet,
and
other
internet
capable
devices,
we
now
receive
five
times
as
much
information
as
we
did
in
1986.
Figure
5.
A
distributed
database
network.
Source:
(Plustek
2012)
The
above
diagram
illustrates
what
a
distributed
database
network
looks
like.
We
can
depict
that
the
sites
all
benefit
from
the
central
network
where
information
and
data
can
be
passed
through.

24. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
23
2.4
Social
Media
In
the
world
today,
customer
service
expectations
are
rising.
Customers,
regardless
of
gender,
age
or
location
want
their
questions
answered
quickly,
correctly,
and
consistently,
be
it
via
email,
telephone,
website
or
in
person;
as
a
result,
companies
have
started
recognizing
the
need
to
improve
responsiveness
to
their
customers
and
are
seeking
new
and
more
effective
ways
to
do
so
(Booz
et
al).
Regardless
of
popular
opinion
to
their
worth,
social
media
have
impacted
a
lot
of
people’s
ordinary
life
in
a
profound
way
and
has
quickly
become
one
of
the
most
popular
methods
of
communication
(Lusted
2011).
The
big
players
of
social
media,
Facebook
and
Twitter,
are
ever-­‐present
in
everyday
life
(Tam
2012);
with
Facebook
reaching
1
billion
users
in
2012
and
Twitter’s
population
ever
expanding.
This
speaks
a
lot
in
terms
of
customers’
being
satisfied
by
the
use
of
these
media
tools.
Fig.
6
Social
media
participation
among
individuals
Source:
developed
by
Jakob
Neilson
(n.d.)
It
is
important
and
quite
interesting
to
note
that
social
media
was
originally
intended
for
personal
interaction
and
clearly
not
for
business,
but
the
given
the
enormous
popularity
of
these
social
media
services
businesses
have
no
choice
than
to
reap
the
benefits
of
this
endeavor.
Companies
can
achieve
a
great
deal
of
advertising
while
paying
less
than
they
do
for
advertisements
in
the
real
world
or
on
other
conventional
websites,
in
newspapers
and
prints
or
on
television
or

25. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
24
radio.
According
to
statistics
provided
by
Lusted
(2011)
advertisers
on
Facebook
alone
spent
$305
million
in
2008,
which
was
double
that
which
they
spent
in
2007.
2.4.1
Objectives
of
Social
Media
In
many
businesses
today,
the
key
to
profitability
is
to
focus
on
recruiting
and
retaining
high
lifetime
value
customers
(Buddy
et
al
2005).
The
main
objectives
of
social
media
according
to
Brown
(2012)
include
better
customer
engagement,
revenue
generation,
better
customer
experience,
increased
thought
leadership,
and
operational
efficiency.
Better
customer
engagement:
social
media
allows
companies
to
be
more
accessible
and
approachable
to
a
broad
audience.
Other
companies
and
potential
customers
would
have
a
chance
to
know
the
business
the
company
is
doing
and
generally
what
the
company
is
all
about.
Revenue
generation:
One
of
the
objectives
of
social
media
is
that
it
allows
for
more
revenue
generation.
There
is
a
lot
of
business
opportunity
online
and
this
can
be
converted
into
revenue.
For
instance
advertising
costs
are
almost
zero
when
engaging
in
social
media
marketing.
Better
customer
experience:
Because
social
media
is
readily
available
around
the
clock,
there
is
a
better
customer
experience.
Increased
thought
leadership:
leadership
is
built
based
on
consistently
allowing
customers
to
be
aware
of
the
presence
of
the
company.
The
company
has
this
ability
to
remain
consistently
present,
because
of
social
media.
Customers
are
also
given
a
reason
to
interact
with
the
company
as
they
are
eventually
rewarded
with
promotional
offers
and
or
gifts
that
would
make
the
customers
feel
valued.
This
in
turn
would
create
value
for
the
company
and
it
is
a
way
of
building
customer
loyalty.
Once
a
company
has
a
high
value,
it
has
to
manage
its
reputation
(Webriq
2012).
A
company
would
need
to
listen
to
what
people
say
about
them
and
how
to
address
what
they
say.
The
company
can
then
decide
to
either
spread
the
good
news
about
what
the
customer
has
said
or
address
any
problems
any
customer
may
have.

26. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
25
Operational
efficiency:
Social
media
allows
for
better
operational
efficiency
because
the
company
would
know
exactly
how
to
communicate
with
their
customers
instead
of
having
to
predict
what
to
say
or
do.
Companies
engage
in
a
two
way
discussion
to
get
their
message
out,
and
build
better
products
and
services
through
collaboration
with
clients
(Owyang
2008).
Fig.
7.
Objectives
of
Social
Media
Source:
Awareness,
“State
of
Social
Media
Marketing.”
September
7,2012
Social
media
allows
companies
to
influence
customers’
already
influenced
mind
(Leaper
2012);
with
social
media,
it
is
possible
to
reach
out
to
customers
and
get
into
their
head
to
see
what
their
views
are
about
certain
things.
These
things,
varying
between
different
individuals
could
be
about
how
they
use
a
particular
product,
how
they
discuss
about
it,
how
good
they
think
it
is
or
how
bad
they
think
is,
when
they
use
it
and
who
they
use
it
with.
It
is
significant
to
point
out
that
according
to
a
study
by
Cisco
(2012)
across
18
countries,
60%
of
young
adults
aged
between
18-­‐30
check
their
phones
compulsively
for
emails,
texts,
or
social
updates,
and
that
40%
“would
feel
anxious”
if
they
could
check
their
smartphones.
So
basically,
we
can
say
that
social
media
helps
to
a
great
extent
to
answer
the
questions
about
who,
what,
where,
why
and
how
their
products
are
being
used.
This
is
very
efficient
and
effective
tool
used
by
companies
because
it
lets
the
company
to
know
how
to
improve
their
businesses
and
formulate
their
strategies
to
meet
organizational
objectives
and
achieve
growth.

27. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
26
2.5
User
generated
content
User
generated
content
or
UGC
is
not
a
small
topic
to
be
discussed,
it
also
isn’t
specific.
UGC
can
come
in
various
sizes.
It
covers
a
range
of
media
content
available
in
a
range
of
modern
communications
technologies
such
a
websites
and
social
networks
(Wikipedia).
There
are
different
types
of
UGCs,
and
some
of
them
are
blogs,
news
sites,
customer
review
sites,
audio,
video
games,
advertising,
discussion
boards
and
maps
and
location
systems.
UGCs
have
evolved
into
a
new
kind
of
business
model
and
young
companies
especially
in
the
social
media
industry
like
YouTube
and
Twitter
have
seen
the
increasing
demand
of
UGC
and
are
thus
taking
advantage
of
these
opportunities
meanwhile,
older
traditional
media
companies
are
taking
longer
to
exploit
it
(Wikipedia).
A
strict
criticism
of
the
use
of
UGCs
is
that
some
social
networking
sites
do
not
implement
strict
privacy
conditions
to
limit
the
spread
of
personal
information
that
a
user
might
mistakenly
place
on
the
website.
These
days,
there
have
been
emergences
of
a
generation
of
power
purchasing
individuals
who
are
influencing
the
market
and
the
way
people
buy
things.
Eridon
(2012)
calls
these
individuals
the
generation
Y
and
says
that
these
groups
of
individuals
are
worth
companies’
consideration
as
they
can
boost
the
sales
of
products
or
services
in
any
industry.
Godelnik
(2013)
agrees
with
this
theory
and
states
that
generation
Y
individuals
are
more
likely
to
buy
than
to
share.
In
fact,
when
this
generation
Y
is
asked
which
information
they
would
be
most
likely
to
trust
when
trying
to
find
out
more
about
a
brand
or
product
or
service,
51%
said
that
it
was
UGC
that
prompted
them
to
go
for
it,
meanwhile
16%
said
it
was
through
the
brand’s
website,
11%
said
it
was
through
news
articles
about
the
company,
6%
said
it
was
advertisements
and
announcements,
and
6%
said
it
was
from
Facebook
posts
or
tweets
from
official
company
accounts
(MarketingCharts
2012).
This
shows
the
immense
power
that
UGC
have
over
conventional
marketing
practices
and
models.

28. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
27
Fig.
8
The
influence
of
UGC.
Source:
Awareness,
Inc,
“A
State
of
Social
Media
Marketing”.
September
2012
UGC
is
very
general;
it
can
refer
to
anything
from
a
comment
posted
on
Facebook
by
an
anonymous
person
to
a
video
documentary
posted
by
a
well-­‐respected
dignitary.
The
best
description
of
UGC
was
given
by
Bradshaw
(2010),
in
which
he
said
UGC
is
“material
your
organization
has
not
commissioned
and
paid
for”
in
which
case,
most
of
the
time
there
is
a
great
need
to
be
more
specific
about
the
type
of
UGC.
2.6
Critiques
of
Social
Media
In
spite
all
the
significant
advantages
of
social
media;
there
exists
critiques
about
its
usage.
Berners
(2011)
believes
that
some
social
media
networks
do
not
allow
the
sharing
of
data
between
websites
and
he
sees
this
as
a
disadvantage,
he
also
believes
that
once
a
social
media
website
gets
too
large
it
becomes
a
monopoly
and
it
diminishes
innovation.
Postman
comes
up
with
the
idea
that
social
media
will
increase
information
disparity
between
those
who
can
use
social
media
effectively
which
he
sites
as
the
“winners”
and
those
that
cannot
use
or
find
it
difficult
to
use
social
media,
the
“losers.
Ehrmann
(2010),
pointed
out
that
social
media
seems
to
create
a
trend
that
finds
social
utilities
operating
in
a
quasi-­‐libertarian
global
environment
of
oligopoly
that
requires
users
in
economically
challenged
nations
to
spend
so
much
more
money
on
devices
such
as
phones,
laptops
and
tablets
and
internet
services
to
participate
in
the
social
media
lifestyle.

29. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
28
In
a
personal
interview
conducted
by
the
researcher,
McMaster,
stated
that
social
media
interactions
between
companies
and
customers
can
be
disastrous
if
not
handled
well
(McMaster
2012).
He
further
stated
if
a
company
does
not
manage
its
reputation
online
very
well
that
it
could
lead
to
the
company
being
ridiculed
and
lose
its
fundamental
obligation.
He
also
stated
that
if
a
company
becomes
to
involved
in
what
customers
on
these
social
networks
say
about
them,
it
can
cause
a
drift
in
the
company’s
course
or
vision
and
make
them
quite
unstable
as
an
entity
all
together
as
they
may
be
at
the
mercy
of
customers
who
may
not
really
care
in
the
long
run
what
becomes
of
the
company.
A
company
needs
to
have
a
strategy
for
engaging
in
social
media,
he
advised,
so
that
they
know
exactly
what
to
expect
when
adopting
to
use
social
media.
Wong
(2012)
has
mentioned
that
social
media
has
changed
public
discourse,
and
that
there
is
a
need
to
re-­‐explore
skills
such
as
the
ability
to
discern,
select
and
discriminate
the
material
that
are
read
and
prioritization
of
time.
2.7
The
future
of
Social
Media
The
future
of
social
media
is
not
far-­‐fetched.
There
are
a
lot
companies
that
would
not
want
to
be
left
out
of
the
social
media
hype
thus;
they
would
do
anything
in
their
power
to
get
on
that
bandwagon.
The
face
of
social
media
is
changing
(Lobo
2012),
the
trend
for
the
future
of
social
media
sees
companies
becoming
more
and
more
innovative
in
their
business
approach,
and
since
half
of
the
world’s
population
is
under
the
age
of
25
(United
Nations
2003),
this
may
happen
as
quickly
as
possible.
In
spite
of
all
the
good
benefits
and
tidings
that
social
media
brings;
statistics
say
that
social
media
is
not
really
used
properly
and
it
is
actually
hard
to
measure
return
on
investment.
Brown
(2012)
states
that
companies
are
still
confused
on
the
adoption
of
social
media
in
business;
He
goes
on
to
say
that
16%
of
businesses
currently
use
social
CRM
in
their
organization,
21%
are
planning
to
adopt
it
and
17%
don’t
know
what
social
CRM
is
and
why
they
should
adopt
it.
So
it
is
clear
to
see
that
some
companies
clearly
don’t
know
the
benefits
of
social
media
in
their
business.
It
is
suffice
to
say
however,
that
regardless
of
this
insight,
social
media
is
here
and
is
here
to
stay.

30. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
29
2.8
The
rise
of
Social
CRM
Customer
relationship
management
this
year,
2012,
continuously
saw
wide-­‐scale
changes
because
of
customers'
increasing
use
of
internet-­‐capable
devices
especially
mobile
devices
and
their
inclination
to
share
thoughts
on
social
media
networks;
rather
than
offering
a
telephone
number
for
customers
to
call,
companies
now
have
to
proactively
listen
and
respond
to
customers
who
are
empowered
to
share
their
consumer
experiences
through
mobile
and
social
(Mckeon,
2012).
With
the
advent
of
social
media
in
the
business
environment
comes
social
CRM.
Social
CRM
is
an
emerging
term
used
to
describe
how
companies
take
advantage
of
social
media
tools,
techniques
and
technology
in
enriching
and
fostering
their
relationships
with
their
customers
(Wikipedia
2012).
Fig.
9
Social
CRM
Source:
Taken
from
Lithium
Greenberg
(2012)
defines
Social
CRM
in
this
way;
“Social
CRM
is
a
philosophy
and
a
business
strategy,
supported
by
a
technology
platform,
business
rules,
workflow,
processes
and
social
characteristics,
designed
to
engage
the
customer
in
a
collaborative
conversation
in
order
to
provide
mutually
beneficial
value
in
a
trusted
and
Online
Customer
Communities
Traditional
CRM
Social
Networks
SOCIAL
CRM

31. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
30
transparent
business
environment.
It's
the
company's
response
to
the
customer's
ownership
of
the
conversation”.
Looking
carefully
at
this
definition,
it
is
evident
that
the
traditional
objective
of
customer
relationship
management
for
a
company,
which
is
to
engage
in
meaningful
relationship
with
their
customer,
is
still
there
but
has
taken
on
a
more
universal
approach
due
to
the
rise
of
technology,
and
new
business
models.
The
advantages
of
social
CRM
far
outweigh
the
disadvantages.
In
this
modern
world,
if
a
company
is
not
using
social
CRM
to
interact
with
their
customers,
it
stands
a
chance
of
being
left
out
of
a
continuum
of
social
engagement
with
their
customers,
which
bring
more
value
to
them
and
the
company
(Atos
Consulting
et
al
2011).
Greenberg
(2009)
also
says
that,
and
it
is
significant
for
company’s
to
note
that
social
CRM
is
not
a
replacement
for
CRM
but
an
extension
of
CRM.
2.8.1
How
Social
CRM
works/Strategy
Fig.
10
The
social
CRM
network.
Source:
taken
from
Leary
(2012)
There
are
five
fundamental
elements
relating
to
the
execution
of
social
CRM
in
a
company
as
stated
by
Atos
Consulting
et
al
(2011).
The
five
fundamentals
include:
• Reciprocity:
Reciprocity
is
introduced
in
social
CRM
and
this
means
that
traditional
one-­‐way
marketing
strategies
are
used;
an
example
of
this
is
a
company
to
consumer
link.
This
is
a
situation
where
a
company
is
willing
to
enter
a
dialogue
with
a
customer
to
discuss
any
matters
arising
with
Content
Generates
Converts
into
Feeds
into
Conversion
Friends
Partners
Collaborators
Meaningful
Relationships
Analysed
to
determine
success

32. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
31
their
brand.
This
of
course
creates
innovation
ideas
for
the
company,
and
the
customers
would
expect
some
kind
of
acknowledgement
as
well.
An
example
of
such
an
experience
is
the
“Open
Forum”
created
by
American
Express
in
an
attempt
to
build
a
community
comprising
of
professionals,
CEOs,
SMEs,
and
customers
to
meet
and
exchange
contacts
or
ideas.
• Reactivity:
People
chat
on
social
networks
anytime
of
the
day
or
week.
The
speed
at
which
messages
reach
their
destination
depends
on
the
nature
of
the
conversation
whether
it
is
amusing,
interesting
or
sensitive.
Companies
need
to
set
up
social
CRM
tools
that
would
enable
them
to
detect
when
a
message
or
conversation
is
heating
up
and
allow
them
to
respond
as
quickly
and
effective
as
possible
whether
at
work
or
after
office
hours
avoiding
potential
debates.
The
idea
obviously
is
to
respond
to
chatter
as
soon
and
as
effective
as
possible.
• Consistency:
If
there
is
to
be
synergy
between
offline
and
online
strategies,
there
is
a
need
to
be
initiatives
in
social
media
to
promote
consistency
in
every
area
possible.
• Transparency:
Brand
names
do
not
have
the
luxury
of
being
perfect
at
everything
they
do,
thanks
to
social
media.
There
needs
to
be
transparency
so
that
companies
can
know
through
customers,
where
they
went
wrong
and
how
to
correct
themselves.
• Engagement:
In
a
corporate
approach,
a
company’s
employees
need
to
be
considered
in
social
CRM
initiatives
firstly
because
they
are
the
ones
that
are
affected
by
responses
by
customers
and
secondly
because
they
are
on
social
media
themselves.
When employees
express
their
opinions
about
employers,
including
on personal
social
networking
sites
such
as
Facebook,
a
high importance
should
be
placed
on
the
fact
that
their
comments
respect
the
image
that
the company
hopes
to
undertake.
The
search
for
influencers
and ambassadors
needs
to
begin
inside
the
company
itself. This
requires
education,
information
and
training.
Contact center
agents
appear
to
be
best
placed
for
taking
concrete action
on
social
media
(monitoring,
detecting
prospects and
responding
to
complaints).
They
already
know
the company
culture,
are
experienced
in
CRM
and
are
better

33. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
32
able
to
manage
subtle situations.
Their
training
should
be
a
priority.
However
company
engagement
in
social
CRM
must
occur
at all
levels
and
is
seen
as
a
clear
priority.
The
commitment shown
and
example
set
by
senior
management
is
essential.
Fig.
11
Social
CRM
integration.
Source:
Hinchliffe
(2012)
2.8.2
Impact
of
Social
CRM
One
intrinsic
feature
of
social
CRM
is
that
it
gives
the
customers
freedom
to
participate,
express
and
access
information
about
a
company’s
brand.
For
companies,
it
enables
them
to
use
this
newfound
data
to
turn
things
around
for
the
better.
Social
CRM
has
an
impact
on
multiple
areas
of
a
company:
Marketing,
Customer
Services,
Communications,
HR,
etc.
(Atos
Consulting
et
al
2011).
So
the
responsibility
for
implementing
it
is
often
distributed
across
different
teams
pragmatically,
particularly
in
the
early
stages.
This
raises
the
question
of
task-­‐sharing
and
overall
consistency.

34. ”A
critical
evaluation
of
the
adaptation
of
distributed
database
systems
and
social
media
in
customer
relationship
management”
by
Anthony
Chijioke
Mba
4070304
Faculty
Of
Engineering
And
Computing
33
Fig.
12
The
different
departments
in
a
company
and
some
of
the
social
CRM
challenges
poised
with
them.
Source:
Atos
Consulting
et
al
2011
According
to
reports
from
Atos
Consulting
et
al
(2011),
78%
of
Internet
users
say
that
they
trust
recommendations
from
consumers
that
are
published
on
social
media
(compared
with
14%
for
conventional
advertisements).
74%
of
Internet
users
say
they
are
influenced
by
the
opinion
of
a
peer
in
a
forum
or
on-­‐line
discussion,
more
than
by
a
straightforward
promotion
in
the
form
of
top
down
communication.
38%
of
consumers
say
they
have
changed
their
mind
after
reading
a
negative
opinion
on
social
media.
Customers
no
longer
hesitate
to
use
social
media
before
any
other
channel
in
order
to
obtain
information,
express
and
disseminate
their
opinions,
both
positive
and
negative,
to
the
entire
community.
As
Blackshaw
(2008)
puts
it,
“satisfied
customers
tell
three
friends,
angry
customers
tell
three
thousand”.