Liberty University
BMIS 510
Forum 3 (Question 2)
Customer relationship management refers to the various strategies organizations use to manage
and analyze its customer base. A true CRM integrates corporate strategy, business methodology, and
technology to accomplish a myriad of goals for companies that want to operate in a customer-driven
environment (Motiwalla, Thompson, 2012). The software and technology behind CRM can have a great
impact on an organization in many ways including improving its strategic advantage.
Many aspects of the business world change due to the market environment and CRM did as well.
The software behind CRM continues to change for the better. The end goal is to make the customer
happy and return for more business. By utilizing CRM software, an organization can get customer
feedback in a multitude of ways.
Software can be used to gather information about the customer to target exactly what they
want. Shopping patterns, company information, product preferences, warranties, and service & support
history is all valuable data an organization can use to ensure their relationship with a customer is up to
standards (Motiwalla, Thompson, 2012). This data creates a competitive advantage by knowing details
on the end user.
When we think of customer relationships, the first thing that comes to mind is he end user, just
as stated above. But many companies have customers inside their supply chain. An organization that
purchases raw materials from Company X is a customer. By using software to manage the transaction of
raw materials from Company X, the organization can ensure a smooth process and allow the relationship
to flourish.
Software that allows individuals to find quick answers on a product can improve relationships as
well. Online help desks and (FAQs) gives instant information to perspective customers or current
customers (Motiwalla, Thompson, 2012). A simple system like this can save money and improve
relationships giving an organization an advantage.
Feedback is also a crucial component to CRM. This can come in many forms. Some organizations
use call centers while others ask for input over online surveys. The key is to use software to analyze the
data. The data can be shared throughout the organization. Software can be put in place to provide a road
map for continuous improvement process for the organization’s products and services. A good system
will discard unnecessary data and focus mainly on the knowledge useful for making better decisions
(Motiwalla, Thompson, 2012).
The products and services an organization produces have to be wanted or needed by the
customer. By using software to manage CRM, an organization can analyze data and output what the
customer is asking for. Without the customer, there will be no revenue generated. It pays to invest in
software to aid an organization in analyzing the data and delivering a pleasant customer experience. In
such a competitive world, a clear advantage becomes visible when an organization allocates funds to
establish its customer base by using software to find, store, and replicate what its customers want.
References
