MIS4596 CAPSTONE COURSE

3 Ways CRM Improves Your Business Processes

CRM in word tag cloud

According to CIO.com, the three ways CRM improves business processes are:

  1. The CRM System As a Smart File Cabinet – CRM systems make sure everyone in the organization is aware of the customer’s relationship history. The customer’s information is collected and organized.
  1. The CRM System for Collaboration and Coordination – CRM enables collaboration and coordination among various departments, which leads to better account management.
  1. The CRM System as Task Master and Process Drive – CRM adds tighter linkage with other systems and business processes, which increases the business’s efficiency.

What are the advantages of knowing the customer’s relationship history? What are the disadvantages?

http://www.cio.com/article/2381249/customer-relationship-management/3-ways-crm-improves-your-business-processes.html

2 Responses to 3 Ways CRM Improves Your Business Processes

  • Like we discussed in class CRM systems are a great tool for a business. Looking at CRM’s from an E-commerce point of view CRM’s allows companies to make suggestions on certain products to a customer ex: customers also bought this with this product, or a similar products section at the bottom of the page. This would be an advantage because it usually will get the customer to purchase more than just one item before they check out. A disadvantage to this is when the company crosses that fine line going from using a CRM as a business tool too becoming a little creepy/stalker, which will scare people away. For example, during class the professor told us how Target used their CRM to send a pregnant girl coupons for fertility item.

    Overall I love CRM systems. The more a company knows about its customers the more profitable it will be.

  • Good article – gives some depth on how to capitalize on a CRM system. To answer your questions, the advantages of knowing the customer’s relationship history go from building a more personalized experience per customer to predicting other customer needs that the he/she might not yet realize. A good relationship history in a CRM is the best way to emulate the feeling of a Mom & Pop shop in a large scale business, while driving further sales.
    As for the disadvantage, there’s really only one that I can think of: privacy. The more data a business can obtain, the better… unless the customer doesn’t feel comfortable. It’s a quick way to break the trust that a brand builds with the customer, and I think every business has to walk a fine line with that.

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