Building%20The%20Customer%20Centric%20Enterprise%20

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Building The Customer Centric Enterprise Beyond
Technology
Lisa LoftisIntelligent Solutions,
Inc.www.IntelSols.comLLoftis_at_IntelSols.com
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The Evolution of CRM

• The Past Where did we start?
• The Present Whats different?
• The Future Where are we going?

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The Beginning Product Focus

• Organization by product
• Billing/account organization
• Product profitability
• Product volumes
• Product capacity utilization
• Segmentation to support products
• Call centers by product
• Customer???

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Product Focus Precludes Answers

• How many customers do you have?
• How many products does each customer own?
• Can your best customers contact you effectively
  and efficiently?
• Can you anticipate the customers needs
  accurately enough to be in the right place, at
  the right time, with the right product for them?

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The Evolution of CRM

• The Past Where did we start?
• The Present Whats different?
• The Future Where are we going?

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The Present Customer Focus

• Customer needs based sales and marketing
• Customer segment organization
• Customer care centers
• Focus on developing lasting relationships
• Customer satisfaction measured
• Retention key objective

Tailor Products to the Customer
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The Evolution of CRM

• The Past Where did we start?
• The Present Whats different?
• The Future Where are we going?

And how do we get there
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CRM Definition

• Customer Relationship Management . . .

Aligning business strategy, organization
structure and culture and customer information
and technology so all customer interactions can
be managed to the satisfaction of the customer
and to the benefit and profit of the
organization.1
1 From the book, Building the Customer-Centric
Enterprise, by Imhoff, Loftis Geiger, John
Wiley Sons, 2001
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CRM Strategy Must Be Present

• Retention
• Identify customers likely to leave implement
  sales and service policies to keep them
• Cross-sell
• Determine profitable multi-product discounts and
  actively promote them
• Satisfaction/Risk Management
• Tailor credit and collection policiesto total
  customer value

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Impact of Organization Structure

• Whats best for the customer - whats best for
  the business area
• Coordinating cross business area initiatives
• Getting them off the ground
• Arbitrating cost profit allocations
• Monitoring initiatives
• Rounding up business areas that dont want to play

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Organization Structure Traditional
National Communications
Cellular
Cable
Long Distance
Marketing
Marketing
Distribution
Distribution
Systems
Systems
Customer Care
Customer Care
Product Development
Product Development
Product Development
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Organization Structure - Evolving
National Communications
Cellular
Cable
Long Distance
Customer Management
Marketing
Customer Care
Customer Care
Customer Portfolio
Distribution
Systems
Marketing
Customer Management
Distribution
Systems
Customer Portfolio
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Organization Structure - Evolved
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Impact of Culture

• How is change originated in your organization?
• Top down
• Bottom up
• Somewhere in between
• Do you have CRM performance objectives and
  incentives?
• Do your training programs provide CRM skills?

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Culture Incentives and Objectives
Objective 1 Objective 2 Objective 3
Marketing Increasing share of wallet Movement of customers across segments Prompting of service and sales channels
Service Cross-sales and retention saves Customer satisfaction with service process Traditional measures adjusted call handle time
Sales Cross-sales and share of wallet increases Customer satisfaction with sales process Sales and deal teams factored into incentives
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Culture Cooperation and Sharing
Objective 1 Objective 2 Objective 3
Marketing Current campaign information actively communicated to all contact channels Provides understanding of customer base to all distribution points Maintains central solicitation mechanism prevents over solicitation
Service Common customer information shared across all service channels Service processes coordinated across channels Customer complaint information provided to marketing and sales
Sales Sales and deal teams dynamic product specialists available as needed Customer contacts recorded and shared across all sales channels Processes and pricing coordinated across all sales channels
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Technology - Customer Information

• Customer information should be
• Elevated to the level of a strategic corporate
  asset
• Integrated
• Shared throughout the enterprise

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We Need To Get From Here
Operating Data
Customer File
THE REALITY
Product
Customer
?
Sales Force Automation
Marketing Database
Customer
Product
Management
Profitability
Call Center/Telephony
Customer
Product
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(No Transcript)
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Operational CRM Applications
API
Operational Data Store
TrI
Data Acquisition
API
Meta Data Management
API
Strategic CRM Applications
API
Operational Systems
API
DSI
Exploration Warehouse
API
Data Warehouse
Data Delivery
DSI
Data Mining Warehouse
Data Acquisition
API
DSI
Data Mart
API
Operational Systems
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Information Workshop
Library Toolbox
Workbench
Information Feedback
Exploration Warehouse
External
DSI
Data Warehouse
API
ERP
Data Mining Warehouse
DSI
Data Acquisition
CIF Data Management
Data Delivery
Internal
API
OLAP Data Mart
DSI
Operational Data Store
API
Legacy
TrI
Oper Mart
TrI
API
Other
Operational Systems
Meta Data Management
Operation Administration
Change Management
Service Management
Systems Management
Data Acquisition Management
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Information Workshop
Library Toolbox
Workbench
Information Feedback
Operational Systems are the internal and external
core systems that run the day-to-day business
operations. They are accessed through
application program interfaces (APIs) and are the
source of data for the data warehouse and
operational data store.
Exploration Warehouse
External
DSI
Data Warehouse
API
ERP
Data Mining Warehouse
DSI
Data Acquisition
CIF Data Management
Data Delivery
Internal
API
OLAP Data Mart
DSI
Operational Data Store
API
Legacy
TrI
Oper Mart
TrI
API
Other
Operational Systems
Meta Data Management
Operation Administration
Change Management
Service Management
Systems Management
Data Acquisition Management
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CRM System Issues

• Customer component - CIF/customer profile
• Replacement or integrated component
• Where do updates to customer information take
  place
• Transaction systems CRM account screens
• Amount of customization
• Degree of integration
• Currency of information
• Integration with other systems
• Investment systems
• Other workflow systems
• Target users and processes
• Branches, call center or both
• Tellers, desk staff, other departments
• Contact tracking, workflow, sales prompts

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Front-Line Requirements

• Ensuring effective and successful Front Line
  utilization of customer information requires
• Requires accurate data
• Expects minimal additional screens - single
  screen view preferred, sized appropriately
• Assumes clearly presented information with
  intuitive meanings and uses that deliver
  noticeable value
• Demands current data refreshed daily or
  immediately if possible

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Front-Line Requirements

• Effective delivery of customer knowledge to Front
  Line is a significant effort
• Requires cross organizational team with adequate
  participation appropriate ownership
• Training, delivery, marketing, IT
• Pre-deployment planning must measure impacts of
  new information
• Information utility and clarity
• Policies and standards for new information
• Positioning of screens and required behavior into
  transaction flow - processes
• Clear and effective training programs vital

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Information Workshop
The Operational Data Store is a subject-oriented,
integrated, current, volatile collection of data
used to support the tactical decision-making
process for the enterprise.
Library Toolbox
Workbench
Information Feedback
Exploration Warehouse
External
DSI
Data Warehouse
API
ERP
Data Mining Warehouse
DSI
Data Acquisition
CIF Data Management
Data Delivery
Internal
API
OLAP Data Mart
DSI
Operational Data Store
API
Legacy
TrI
Oper Mart
TrI
API
Other
Operational Systems
Meta Data Management
Operation Administration
Change Management
Service Management
Systems Management
Data Acquisition Management
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• Supports comprehensive enterprise wide contact
  information from all Lob's
• Provides client, household and extended
  relationship views
• Provides information at account/product level
• Provides or integrates with sales, service and
  business analysis and management functions

Brick Mortar Distribution Centers
Contact Centers
Web Access
User Interfaces
Rules

• Prompts
• Intelligent Sales
• Recommendations
• Help

ODS
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Information Workshop
Library Toolbox
Workbench
Information Feedback
Exploration Warehouse
External
DSI
Data Warehouse
API
ERP
Data Mining Warehouse
DSI
Data Acquisition
CIF Data Management
Data Delivery
Internal
API
OLAP Data Mart
DSI
Operational Data Store
API
Legacy
The Data Warehouse is a subject-oriented,
integrated, time-variant, non-volatile collection
of data used to support the strategic
decision-making process for the enterprise.
TrI
Oper Mart
TrI
API
Other
Operational Systems
Meta Data Management
Operation Administration
Change Management
Service Management
Systems Management
Data Acquisition Management
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Information Workshop
Library Toolbox
Workbench
Information Feedback
Exploration Warehouse
External
DSI
Data Warehouse
API
ERP
Data Mining Warehouse
DSI
Data Acquisition
CIF Data Management
Data Delivery
Internal
API
The OLAP (online analytical processing) Data Mart
is aggregated and/or summarized data that is
derived from the data warehouse and tailored to
support the multidimensional requirements of a
given business unit or business function.
OLAP Data Mart
DSI
Operational Data Store
API
Legacy
TrI
Oper Mart
TrI
API
Other
Operational Systems
Meta Data Management
Operation Administration
Change Management
Service Management
Systems Management
Data Acquisition Management
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(No Transcript)
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Executive Mandate Manager Buy-In

• Influence IT approach and structure
• Reorganize or establish coordinationfunction
• Set performance objectives
• Top-down communication
• Directives endorsed and carried out
• Cooperation and information sharing

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Leadership Ability - Required

• Active executive sponsor for CRM - imperative
• Accountability for CRM is Essential
• Ability to migrate organization is required
• Must influence management team
• Must inspire line organization
• Must communicate CRM intentions
• To organization
• To business community
• To public

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Conclusion
It must be considered that there is nothing more
difficult to carry out, nor more doubtful of
success, nor more dangerous to handle, than to
initiate a new order of things.
Niccolo Machiavelli The Prince (1513)
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Questions