CRM can benefit banks by helping them understand customers better in order to personalize services. However, CRM systems often fail to live up to expectations due to faulty assumptions like the idea that relationships can be systematically managed or that salespeople will enjoy added data entry tasks. For CRM to succeed, banks must identify proper initiatives, implement technologies to support them, set targets, evaluate performance, and take corrective actions. A new CRM system implemented by one bank reduced data entry time and provided a single access point for customer data across the organization.

1. THE EFFECT OF CRM ON
BANKING PROFIT

2. Not everything that can be counted counts,
and not everything that counts can be
counted (Albert Einstein 1879-1955)

3. Make all of your customers love you and buy more of
your stuff.
Customer relationship management or CRM, is yet another one of
those popular three letter programs that have been implemented
by most large corporations over the last decade that has failed to
live up to its expectations.

4. The definition of CRM for banks
It is important that the client not the product is in the center. The
CRM definition we use is the following, „having the right offer for
the right client, at the right time via the right channel‟.

5. The definition of CRM for banks
CRM is much more than a technological solution. It is a strategy
integrated in the business model of the banks and clearly
oriented to value generation

6. The definition of CRM for banks
CRM is about enterprises collaborating across the customer value
chain to develop and implement solutions that better meet the
evolving preferences of individual customer groups. The C in
CRM therefore has now evolved from „Customer‟ to
“Collaborative”.

7. The importance of CRM for banks
Customer relationship management is a broad approach for
creating, maintaining and expanding customer relationships

8. The importance of CRM for banks
CRM is the business strategy that aims to
understand, anticipate, manage and personalize the needs of an
organization‟s current and potential customers.

9. The importance of CRM for banks
CRM is the business strategy that aims to understand, anticipate,
manage and personalize the needs of an organization‟s current
and potential customers.
At the heart of a perfect strategy is the creation of mutual value for
all parties involved in the business process.

10. The importance of CRM for banks
CRM is the business strategy that aims to
understand, anticipate, manage and personalize the needs of an
organization‟s current and potential customers.
At the heart of a perfect strategy is the creation of mutual value for
all parties involved in the business process.
It is about creating a sustainable competitive advantage by being
the best at understanding, communicating, and delivering and
developing existing customer relationships in addition to creating
and keeping new customers

11. The importance of CRM for banks
CRM is the business strategy that aims to
understand, anticipate, manage and personalize the needs of an
organization‟s current and potential customers.
At the heart of a perfect strategy is the creation of mutual value for
all parties involved in the business process.
It is about creating a sustainable competitive advantage by being
the best at understanding, communicating, and delivering and
developing existing customer relationships in addition to creating
and keeping new customers

12. The importance of CRM for banks
So the concept of product life cycle is giving way to the concept of
customer life cycle focusing on the development of products and
services that anticipate the future need of the existing customers
and creating additional services that extend existing customer
relationships beyond transactions.

13. What is CRM supposed to do?

14. What is CRM supposed to do?
The theory behind CRM is that if companies take a systematic
approach to building relationships with important customers, this
will result in greater levels of customer satisfaction, increased
revenue from those customers, and greater loyalty.

15. CRM is based on faulty assumptions
Faulty assumption # 1: Building a relationship requires a ystematic
process and management system.

16. CRM is based on faulty assumptions
Faulty assumption # 1
Building a relationship requires a systematic process and
management system.
Anyone who has ever had a job in sales knows that you can‟t take to same
approach to sales as you can with engineering a product or landing a plane.
You can follow the exact same series of behaviors with one prospect, and
she does not buy a thing.

17. CRM is based on faulty assumptions
Faulty assumption # 2
CRM software provides the data needed to improve your
ability to build relationships with customers
Most CRM data bases include all sorts of information about accounts and
individual customers. There is information in there about the org. structure
and who has the real authority, decision making matrices, and personal
information about customers such as their previous jobs, buying
history, spouse‟s names, kid‟s ages and names, hobbies, interests, golf
scores, favorite vacation spots, etc.

18. CRM is based on faulty assumptions
Faulty assumption # 3:
It will be easy for the salespeople to use the CRM software
and they will love it when they see how it helps them sell
more.
a lot of friends and clients in sales jobs: pharmaceuticals, insurance, financial
services, medical devices, copiers, and a host of other products and
services. One thing you hear from all of them is that they hate their
company‟s stupid CRM systems. It‟s common for salespeople to spend 2-4
hours a day with their lap top, typing in reports of conversations with
customers and prospects, entering data, and preparing account status
reports.

19. How to Measure CRM Success

20. How to Measure CRM Success
1- Input metrics
measures of quality, accuracy, thoroughness, and the degree to which data
are current and verifiable

21. How to Measure CRM Success
2- Process metrics
measures of behavior or activity proven to link to good performance

22. How to Measure CRM Success
3- Output metrics
Quantifiable things that can be counted such as orders, samples
distributed, proposals submitted, new clients acquired, brochures sent,
phone calls made, meetings held, accounts visited, demos conducted, etc.

23. How to Measure CRM Success
4- Outcome metrics
gross margin dollars, sales revenue, reduced marketing costs, artnerships
with important customers.

24. What benefits can banks hope to achieve through
deploying CRM solutions?

25. What benefits can banks hope to achieve through
deploying CRM solutions?
It depends on the positioning and focus of a bank. If operational excellence is
your key-focus and not customer intimacy, the choices you make in terms of
investments in CRM will be completely different. In strategic terms, ABN AMRO
has a strong ambition to create value for our clients (especially the "midmarket"
which we define as mass-affluent/ private client consumers and mid-sized
businesses) by offering high-quality financial solutions that best meet their
current needs and long-term goals.

26. Present and Future of CRM in banking

27. Present and Future of CRM in banking
Bank merely an organization it accepts deposits and lends money to the needy
persons, but banking is the process associated with the activities of banks. It
includes issuance of cheque and cards, monthly statements, timely
announcement of new services, helping the customers to avail online and
mobile banking etc. Huge growth of customer relationship management is
predicted in the banking sector over the next few years.

28. Steps to follow
- Identification of proper CRM initiatives

29. Steps to follow
- Identification of proper CRM initiatives
- Implementing adequate technologies in order to assist CRM initiative

30. Steps to follow
- Identification of proper CRM initiatives
- Implementing adequate technologies in order to assist CRM initiative
- Setting standards (targets) for each initiative and each person involved
in that circle

31. Steps to follow
- Identification of proper CRM initiatives
- Implementing adequate technologies in order to assist CRM initiative
- Setting standards (targets) for each initiative and each person involved
in that circle
- Evaluating actual performance with the standard or benchmark

32. Steps to follow
- Identification of proper CRM initiatives.
- Implementing adequate technologies in order to assist CRM initiative.
- Setting standards (targets) for each initiative and each person involved
in that circle.
- Evaluating actual performance with the standard or benchmark.
- Taking corrective actions to improve deviations, if any.

33. Conclusion

34. Conclusion
Customers are the backbone of any kind of business activities, maintaining
relationship with them yield better result

35. Conclusion
Customers are the backbone of any kind of business activities, maintaining
relationship with them yield better result
Working with Luxoft helped the client to understand the issues of the current
system and to improve the business process flow within the bank

36. Conclusion
Customers are the backbone of any kind of business activities, maintaining
relationship with them yield better result
Working with Luxoft helped the client to understand the issues of the current
system and to improve the business process flow within the bank
As a result of the implementation of the new CRM system, the time taken for
data entry within the bank has been significantly reduced

37. Conclusion
Customers are the backbone of any kind of business activities, maintaining
relationship with them yield better result
Working with Luxoft helped the client to understand the issues of the current
system and to improve the business process flow within the bank
As a result of the implementation of the new CRM system, the time taken for
data entry within the bank has been significantly reduced
The new CRM system provides a single point of access to corporate clients‟
data to all the parties and brought together sales, global relationship managers
and senior investment bankers across the client organization