ISLAMIC UNIVERSITY IN UGANDA

CUSTOMER RELATIONSHIP MANAGEMENT(CRM)

LECTURE NOTES
DMK2204
DIPLOMA IN BUSINESS STUDIES(DBS)
YEAR 2
2024
WEEK 3
MRS.DAFALA MARIAM
WEEK 3

IMPLEMENTING CRM
CRM implementation is the process of setting up a CRM software for your
business.
DEFINING CRM VISION

A CRM vision is a high-level statement that summarizes the purpose and goals of
a CRM system. It should reflect the future direction, values, mission, and
standards of the organization, and how the CRM system will help achieve them. A
CRM vision should also guide the CRM strategy and roadmap, which are more
detailed plans for implementing the CRM system.
Explanation;
The CRM vision is a picture of what the enterprise wants to be, to target
customers. Customer Experience Differentiating Brand Values Core Value
Proposition The vision is the what and why ; the strategy is the how. What is a
CRM Vision? Customer relationship management (CRM) vision is the company
personality. Without it, customers will not have a clear image of what the
enterprise offers vs. the competition, leaving service expectations unmanaged
and at the mercy of market forces. Employees need a vision of what to deliver to
customers. The vision should motivate staff and enable them to work together,
generate customer loyalty, gain greater wallet share and turn target customers
into advocates. A vision starts with understanding market demand as well as the
enterprise s market position, then creating a core proposition to target customers
one they will value that stands out from the competition

Some examples of CRM vision statements are:

“Build and develop long-term client relationships by creating personalised

experiences across all touch-points, anticipating customer needs, and providing
customised offers.”
“Engage our clients by personalising their journey with us alongside effective
retention strategies as well as efficiently responding to leads to generate new
client wins.”
“Create a hub for a complete, uniform and robust view of our interactions to
ensure that our staff have the correct information at their fingertips when dealing
with customers and prospects.”

ASSESSING CRM READINESS

CRM is a strategy that helps you manage your interactions with current and
potential customers, and improve your sales and marketing performance.
However, before you invest in a CRM system, you need to assess your readiness
for CRM. This means evaluating your business goals, processes, data, culture,
and technology, and identifying the gaps and opportunities for improvement.

There are many tools and frameworks that can help you with your CRM readiness
assessment. For example, you can use the CRM Readiness Assessment Tool from
Demand MetricAd1, which measures your organization’s readiness in terms of
strategy, leadership, customer focus, technology, and metrics. You can also use
the e-CRM evaluation framework from IEEE4, which focuses on the customer-
centric aspects of CRM, such as customer value, satisfaction, loyalty, and
retention.

A CRM readiness assessment can help you determine the best CRM solution for
your business, and avoid the common pitfalls of CRM implementation failures. It
can also help you align your CRM goals with your overall business objectives, and
ensure that your CRM system will deliver the expected benefits and return on
investment.

FACTORS AFFECTING CRM IMPLEMENTATION.

CRM helps you collect and manage data about your customers, leads, and
interactions. CRM implementation can have many benefits for your business,
such as:
 Improving customer satisfaction and loyalty
 Increasing sales and revenue
 Enhancing marketing and communication strategies
 Streamlining workflows and collaboration
 Reducing costs and errors
However, CRM implementation also involves some challenges and risks, such as:
 Choosing the right CRM software that fits your needs and budget
 Integrating the CRM software with your existing systems and tools
 Training and motivating your staff to use the CRM software effectively
 Protecting the privacy and security of your customer data
 Measuring and evaluating the impact and return on investment of the CRM
software

Therefore, CRM implementation requires careful planning and execution, as well

as ongoing monitoring and improvement. Some of the key factors that affect the
success of CRM implementation are:
1. Executive buy-in: The top management of your business should support
and endorse the CRM implementation, and communicate its benefits and
goals to the rest of the organization
 2. Clearly defined processes: You should map out the current and desired
processes of your business, and identify how the CRM software can
improve them. You should also define the roles and responsibilities of your
staff, and the metrics and indicators of success
3. . Organizational culture: You should foster a culture of collaboration,
communication, and participation among your staff, and encourage them
to share data and feedback. You should also align the CRM software with
your business vision, mission, and values
4. Customer focus: You should always keep your customers at the center of
your CRM implementation, and understand their needs, preferences, and
expectations. You should also involve them in the design and testing of the
CRM software, and solicit their feedback and suggestions

5. Technology integration: You should ensure that the CRM software is

compatible and interoperable with your other systems and tools, such as
email, calendar, phone, video, accounting, marketing, and social media.
You should also test the functionality and performance of the CRM
software, and troubleshoot any issues or errors.

6. Training and support: You should provide adequate and timely training and
support to your staff, and help them learn how to use the CRM software
efficiently and effectively. You should also offer them incentives and
rewards for adopting the CRM software, and address any resistance or
concerns they may have.

7. Continuous improvement: You should regularly monitor and evaluate the

CRM software, and measure its impact and return on investment. You
should also update and upgrade the CRM software as needed, and
incorporate new features and functionalities. You should also seek
feedback and suggestions from your staff and customers, and implement
changes and improvements accordingly.
These are some of the factors that affect CRM implementation, and how you can
address them.

CRM IMPLEMENTATIN CHALLENGES

CRM implementation is the process of setting up and using a CRM system for
your business. However, CRM implementation can be challenging for various
reasons, such as:

1. Convincing your people to change: Some of your team members

might be resistant to adopting a new system or learning new skills. You
need to nurture a culture of learning and innovation, and communicate the
benefits of CRM clearly.
2. Getting approval from management: You need to show the value of
CRM to your management and stakeholders, and how it can help achieve
 your business goals. You can use data and case studies to support your
proposal.
3. Handling data security: CRM systems store sensitive customer data,
which needs to be protected from unauthorized access or breaches. You
need to choose a CRM system that has robust security features, such as
encryption, authentication, and backup.
4. Leaving favored software behind: You might have to migrate from
your existing software programs to the CRM system, which can be time-
consuming and costly. You need to opt for a CRM system that offers
integrations with your current software, or find ways to transfer your data
smoothly.
5. Dealing with time and cost: CRM implementation can take a lot of time
and resources, especially if you have a large or complex business. You
need to conduct a thorough ROI analysis and plan for long-term goals,
rather than short-term gains.
6. Trusting the technology: You might have doubts about the reliability,
scalability, or support of the CRM system. You need to research the CRM
vendor’s reputation, track record, and customer reviews, and test the
system before buying it.
7. Choosing the right CRM software: There are many CRM software
options available in the market, each with different features, prices, and
suitability. You need to carry out a meticulous selection process,
considering your specific needs, budget, and preferences.
8. Lacking scope clarity: You might not have a clear vision of what you
want to achieve with CRM, or how to measure your success. You need to
conduct workshops and adopt agile project methodology, and define your
scope, objectives, and KPIs.
9. Managing integrations: You might need to integrate your CRM system
with other tools and platforms, such as email, social media, or analytics.
You need to choose a CRM system that offers the integrations you need, or
find ways to connect them manually.
These are some of the common CRM implementation challenges that businesses
face. However, they are not insurmountable, and with proper planning,
preparation, and execution, you can overcome them and reap the benefits of
CRM

PHASES OF CRM IMPLEMENTATAION

CRM implementation can be divided into different phases, depending on the

complexity and scope of the project. However, a general framework for CRM
implementation can be summarized as follows:

a. Preparation phase: This is where you define your business objectives and
CRM goals, identify your key stakeholders and form an implementation
team, and conduct a thorough needs assessment. You also need to choose
 the right CRM software that suits your budget and requirements, and plan
for data migration and integration with other systems.
b. Configuration phase: This is where you customize and configure your CRM
system according to your specific needs and preferences. You can adjust
the settings, fields, workflows, reports, dashboards, and other features of
your CRM system to match your business processes and expectations. You
also need to test the system for functionality, performance, and security.
c. Deployment phase: This is where you launch your CRM system and make
it available to your end-users. You need to ensure a smooth transition from
your old system to the new one, and provide adequate training and
support to your staff. You also need to monitor the system for any issues
or feedback, and resolve them promptly.
d. Evaluation phase: This is where you measure the results and outcomes of
your CRM implementation. You need to track and analyze the key
performance indicators (KPIs) and metrics that reflect your CRM goals and
objectives. You also need to solicit feedback from your customers and
employees, and identify areas for improvement or optimization.
These are the main phases of CRM implementation, but they are not fixed or
rigid. You can adapt them to your specific situation and needs, and follow an
iterative and agile approach. CRM implementation is not a one-time event, but a
continuous process of learning and improvement.

UPGRADES AND CHANGE MANAGEMENT

CRM upgrades and change management are the processes of updating and
improving your CRM system to meet your changing business needs and goals.
CRM upgrades and change management can involve:
 Switching to a new CRM software or vendor
 Adding new features or functionalities to your existing CRM system
 Integrating your CRM system with other tools or platforms
 Migrating your data from one CRM system to another
 Training your staff on how to use the new or improved CRM system
 Measuring the impact and outcomes of the CRM changes

CRM upgrades and change management can bring many benefits to your
business, such as:

 Enhancing your customer service and satisfaction

 Increasing your sales and revenue
 Improving your efficiency and productivity
 Reducing your costs and risks
 Staying ahead of your competitors and market trends

However, CRM upgrades and change management can also pose many
challenges, such as:
 1. Convincing your staff and stakeholders to adopt the new or improved CRM
system
2. Choosing the right CRM software or vendor that suits your budget and
requirements
3. Handling data security and quality issues
4. Managing the time and resources required for the CRM changes
5. Dealing with technical glitches or errors
6. Evaluating the return on investment (ROI) of the CRM changes

To overcome these challenges, you need to follow some best practices for
CRM upgrades and change management, such as:
1. Planning and preparing for the CRM changes in advance, can be through
financial planning and preparation,proper briefing of staff in advance to
avoid disorganisation later.

2. Communicating and collaborating with your staff and stakeholders

throughout the CRM changes.this will curb the problem of wasting time
convincing stakeholders to adopt to the new software.
3. Choosing a CRM system that offers the features and integrations you need
to give your customers the best crm experience that also suits your
business in turn
4. Testing and troubleshooting the CRM system before and after the CRM
changes
5. Providing adequate training and support to your staff on how to use the
new or improved CRM system
6. Tracking and analyzing the performance and feedback of the CRM system

CRM IMPLEMENTATION PITFALLS

CRM implementation can be challenging for various reasons, such as:

1) Lack of clear vision and objectives

2) Resistance to change and low user adoption
3) Poor choice of CRM software or vendor
4) Inadequate planning and preparation,this can lead to wastage of
time and resources.
5) Insufficient training and support
6) Data security and quality issues
7) Technical glitches and errors
8) Difficulty in measuring ROI and outcomes
These are some of the common CRM implementation pitfalls that
businesses face. However, they are not insurmountable, and with proper
planning, preparation, and execution, you can overcome them and reap
the benefits of CRM.