This document provides an overview of customer relationship management (CRM) and SAP's CRM module. It defines CRM and describes the customer development process. It explains the significance of CRM, including reducing costs and increasing loyal customers. It then outlines the key components of SAP CRM, including modules for marketing, sales, service, and analytics. It discusses SAP CRM's features and architecture. In closing, it provides examples of companies that have implemented CRM in India and estimates typical costs.

1. BY GHCL – SA DIVISION
IT DEPARTMENT
Customer Relationship Management in SAP

2. Contents
 Introduction
 Definitions of CustomerRelationship Management
 CustomerDevelopment Process
 Significance of CustomerRelationship Management
 CRM Module in SAP

3. Introduction
 In marketing, it is often said that ‘retaining customer is more important than
acquiring one’.
 Organizations use communication tools to make the consumer aware about their
products and brands.
 It uses supply chain and human resources to sell its products.
 All these have a cost to the company and in this competitive world organizations
want to reduce cost.
 For this organizations develop a database which helps in creating loyalty
programs.
 Many Indian companies like Infosys, Wipro and others started offering CRM
software to companies.
 The benefits of CRM software are quicker, better quality, and timely services to
the customers.

4. Definitions of CustomerRelationship Management
 Berry defines CRM as “attracting, maintaining and in multi-service organizations
enhancing customer relationships.”
 Berry and Parasuraman define CRM as “attracting, developing and retaining
customer relationships.”
 In industrial marketing, Jackson defines CRM as “marketing oriented toward
strong, lasting relationships with individual accounts.”
 From the above definitions, it is concluded that Customer Relationship
Management refers to all marketing activities directed towards establishing,
developing, and sustaining long lasting, trusting, win-win, beneficial and
successful relational exchanges between the organization and its stakeholders.

5.  CRM is not a new concept but a very old
practice, which has grown because of the
benefits it offers in the present marketing
scenario.
 CRM today is a discipline and also a set of
software and technology which automates and
improves the business process associated with
managing customer relationships in the area of
sales, marketing, customer service and support.
 CRM helps companies understand, start and
develop long-term relationships with clients as
well as help in retaining current customers.

6. Customer Development Process

7. 1. Suspect: Suspect is everyone who might conceivably buy the product or
service.
2. Prospects: Prospects are those people who have a strong potential interest
in the product and the ability to pay for it. The company rejects the
disqualified prospects because they have poor credit or would be
unprofitable.
3. First time customers: The company wants to convert the qualified prospects
into first time customers.
4. Repeat customers: The company wants to convert satisfied first time
customers into repeat customers. First time and repeat customers may also
buy from the competitors.
5. Clients: The company then tries to convert repeat customers into clients.
Clients are those people who buy only from the company.

8. 6. Advocates: The next step is to convert the
clients into advocates. Advocates are those
people who speak good about the company and
encourage others to buy from it.
7. Partners: The ultimate goal of the company is
to convert advocates into partners. After
reaching this stage, the customer and the
company work actively together.
Some customers may become inactive or may drop
out due to many reasons leading to end of the
relationship. The challenge is to re-activate
dissatisfied customers through customer win
back strategies

9. Significance of Customer Relationship
Management
 Reduction in customer recruitment cost.
 Generation of more and more loyal customers.
 Expansion of customer base.
 Reduction in advertisement and other sales promotion expenses.
 Increase in the number of profitable customers.
 Easy introduction of new products.
 Easy business expansion possibilities.
 Increase in customer partnering.

10. Traditional Organizational Chart Vs Modern Customer– Oriented
Company Organization Chart
Traditional Chart Modern Chart

11. CUSTOMER RELATIONSHIP MANAGEMENT IN SAP

12. SAPCRM
SAP CRM can help an organization to stay connected to customers. This way
organization can achieve customer expectations with the types of services and
products that he or she actually needs.
SAP CRM is a part of SAP business suite. It can implement customized business
processes, integrate to other SAP and non-SAP systems, help achieve CRM
strategies.
It also helps to achieve 'Single face to customer', which means the customer get
regular & actual information independent of channel through which the he or she is
contacting your company.

13. SAPBusiness Suite:
SAP CRM – Customer Relationship Management
SAP PLM – Product Lifecycle Management
SAP SCM – Supply Chain Management
SAP SRM –Supplier Relationship Management
SAP ERP – Enterprise Resource Planning
SAP Business Suite is based on SAP Net Weaver. Net Weaver provides the
development and runtime environment for SAP applications and is used for
the custom development and integration with other applications and systems.

14. Features of SAPCRM
•It is a part of SAP Business Suite to manage customer relationship.
•It supports all customer-focused business areas such as marketing, sales
and service.
•It is implemented for different customer interaction channels, such as
Interaction Centre, Internet, and mobile clients (hand-held devices like
laptop, mobile, etc.).
•CRM Analytics, a component of SAP CRM, enables your organization to
gather all relevant information about various key factors such as a customer
and analyze this knowledgebase to incorporate insights into operational
processes and strategic decision-making.

16. SAPCRMMarketing

17. SAP CRM Sales

18. SAP CRM Service

19. CRM CHANNELS

20. Back-office: This is Role based web access. For each relevant task in the service, sales and
marketing it represents the single point of entry. All relevant systems are assigned to a
Business Role which is assigned to employees. Thus, an employee can get all the relevant
systems into a single UI.
Field Service orOffline-User: SAP CRM offers several field applications for field service
representatives which they can access anywhere, anytime. These applications are developed
for handheld devices
Interaction Center: SAP CRM provides the customer care employees with an interface which
is comprehensively integrated with different communication channels like phone and E-mails.
Also, it includes various features with which the employee can use while in communication
with the customer for making note or working on the transaction itself.
Web Channel Management: with this SAP CRM enables E-service, E-commerce, and E-
marketing platform. These platforms are to provide personalized, reliable and convenient
service to the target customers 24x7x365. This enables end customers to access & research
data and with that as per requirement purchase services or products anytime, anywhere.
PCM– PartnerChannel Management: This interface is provided to support collaboration with
resellers, dealers, agents etc. It combines the Web Channel Management with regular CRM to
provide a complete solution for partner management.

21. Channel Architecture

22. SAP CRM Architecture

23. SAP CRM Sales Overview

24. Customer-Centric Business
The Sales functionality of SAP CRM 7.0. Ensures consistency, effectiveness, and
predictability throughout the sales cycle .
a) Sales planning and forecasting .
b) Territory management .
c) Account and contact management
d) Activity management including visit planning
e) Opportunity management
f) Quotation and order management
g) Contract management
h) Sales analytics Second level
1. SAP CRM 7.0 Sales equips sales organizations with the tools necessary to
shorten sales cycles, increase revenues, maximize sales team productivity and
optimize all sales channels. Powerful capabilities give organizations the mission-
critical capabilities needed to stay ahead of the competition while ensuring closed-
loop collaboration with sales, service, customers and partners.

25. Business Scenario: CRM Sales

27.  Sales planning and forecasting:
a.Flexible planning from the bottom up or top down based on Organization,
product categories, historical or forecast sales figures
b.Conversion of sales strategies into action
c.Allows organization to provide graphical analysis and reporting of all planning
and forecasting information.
•Territory management
a.Precise monitoring and management of your sales force
b.Optimal coverage of your sales territories
c. Allows sales managers to define territories based on size, revenue,
geography, products, product lines, and strategic accounts. Managers can easily
assign sales reps for each territory as well as identify the prospects and
products associated with each territory.

28. •Account and contact management
a.The key to successful customer relationship management, thanks to a
complete view of your business partners
b.Helps capture, monitor, store, and track all critical information about customers,
prospects, and partners. This information includes detailed customer profiles,
sales activities, and overviews of relationships.
•Activity management
a.Optimal customer service with organization, planning, and monitoring of all
activities
b.Allows reps to schedule and manage simple and complex tasks, for better time
management, lower costs, and increased productivity.
•Visit planning
a.A tool supporting sales reps in planning their customer visits

29. •Quotation and ordermanagement
a. Integration of all communication channels and support of the complete
document flow, from inquiry and quotation to sales order or contract, including
released orders.
b.Guaranteed seamless integration into your supply chain
c. Allows sales reps to easily configure, price, and create quotes for customers,
and to generate follow-up activities such as sales orders.
•Opportunity management
a.Better management of the sales cycle, using a sales methodology based on
your best practices to empower your sales force
b.Give sales professionals complete visibility into each sales opportunity, so
they can capture, manage, and monitor the business contact and account
information of potential opportunities.
c.This includes identifying key decision makers, sales histories, milestones,
progress, outbound activities, and internal tasks. Also adapts easily to
proprietary or third-party sales methodologies.

30. •Listings
a.Definition of listings: a set of products defined as valid for a certain period
and related to a customer
b.Listings maintained by key account managers
•Contract management
i.Capability for users to easily and automatically develop, verify, revise, and
submit contracts tailored for each customer, to establish and maintain a long-
term relationship
ii.Allows you to work with customers to develop and revise customized
contracts and long-term purchasing agreements.

31. •Sales analytics
a.Complete overview of past and present sales performance, simplifying sales
force management and decision making
b.Executives can quickly and easily determine the financial status and overall
effectiveness of the sales organization. Managers have all the critical data they
need to address trends proactively, measure customer retention and revenue
shortfalls, and assess future opportunities.
•Pipeline performance management
a. Interactive application to plan quotas and manage pipeline activity. It allows
sales professionals to:
i.Analyze their sales pipeline
ii.Identify gaps and critical opportunities
iii.Identify and monitor opportunity changes in the pipeline
iv.Simulate what-if scenarios
v.Immediately trigger the right actions to resolve issues and to meet their
targets

34. Company s implemented CRMin India .
1. Asian Paints ltd
2. Nerolac Paints ltd
3. Adani Enterprises ltd
4. Hindustan LeverLimited
5. Procter& Gamble India limited
Financial IMPACT
1. Approx value is Rs. 40,000/- perLicense & thereafterthe AMC of 25%
( Excluding of Hardware Cost)
2. One time Implementation Cost of Rs. 5 Lakhs.

35. GHCL –SA
IT - DEPT
Thank you