Posts from November 2012.

Analyzing Unsuccessful CRM Systems

Success with your CRM implementation is a worthy aim, but a lot can be learned from failures too. In fact, some of the best and most robust CRM systems were not developed without a few initial hiccups that revealed innovative solutions for common business challenges. That means if you’re facing trouble right now, it’s time to start looking more closely and learning from it.

Analyzing Unsuccessful CRM Systems

Analyzing Unsuccessful CRM Systems

So what are the most important lessons from such failed cases? Here’s a quick look at the precious ones:

  • Not prioritizing CRM: Even after proven positive impact on business returns • and organizational efficiency, CRM implementation is not taken seriously at most enterprises. The result is that either they are completely bereft of the advantages, or the implementation put in place is not able to deliver optimum performance.
  • Looking at cost only: It’s true that in the short run the total cost of ownership of a CRM system can be high, but taking the short-term view restricts the growth potential of the business. A CRM system should be seen in terms of the value it delivers over time rather than the immediate cost.
  •  Less focus on integration: It’s a proven fact that a CRM system works best when it becomes the heart of everything. That’s where the true improvement kicks in, without which your CRM solution is little more than another piece of software. Make sure you plan in advance how CRM goes along with everything else.

Don’t be discouraged if your CRM efforts have not produced great results. It’s now time to analyze the missteps and learn from them.

How CRM Can Help Ride Out Recession

The benefits of CRM extend beyond improvement in business workflows and reduced costs. A particular case in point is surviving recessions, even though the link between the two is not immediately obvious. And yet CRM systems have demonstrated time and again that their effects can be positively deep and far-reaching, helping companies avoid recessions or ride them out much faster. Here’s how it happens:

How CRM Can Help Ride Out Recession

How CRM Can Help Ride Out Recession

  • Larger market: Because of the CRM system, businesses are able to penetrate a wider range of the market, increasing their overall customer base quickly. This rise in business offsets poor market demand during the slump, effectively putting the company on growth track as soon as the recession is over. By contrast, those without a CRM system find that a lot needs to be done.
  • Lower costs: Recessions are all about keeping cost low, which is where CRM systems win hands down. With highly efficient workflows and dynamic system design, a CRM tool reduces overall strain on operational budget and improves profitability. As any business knows, this is a huge plus during times of recession.
  • Resource optimization: One good way to keep costs low is to make sure all the resources are getting used optimally. In a large organization, this becomes a big challenge as it’s tough to get clear visibility. That’s where you can turn to CRM systems and extract resource optimization reports to take relevant decisions. As a result, your organization is working at full efficiency which helps to increase profits and reduce costs.

Do you agree that CRM systems can have a positive impact during times of economic slowdown? Why or why not? Please tell us in the comments!