CRM Implementation Goes Beyond Software

You have to implement it on your staff too!

---

Now that you've identified the benefits, costs and risks, you need a CRM implementation plan (Customer Relationship Management). This involves identifying an infrastructure into which you will implement the key elements of your CRM strategy.

Before I break this down, I would like to warn you about something common to many a CRM implementation (the ones the start with software).  Most companies identify software and then they have a requirements gathering session. In these sessions the following sorts of things are itemized for the developers as business requirements. I have one consulting associate that refers to this as Fields and Screens.

The danger in such a CRM implementation is 1) none of the things I just got done talking about were addressed first and 2) you've placed extremely low level requirements as the only way to measure success. Here a few examples of things I have heard in the past (when I've been caught in a backwards process).

• "I need a button that automates the widget process"  - I actually dealt with an end-user (once) that spent two days trying to explain to my staff what she needed. She kept using the word button. I finally got on the phone with her and asked a series of questions and interrupted her whenever I heard the word button. We finally determined that she wanted to know how to create a filtered list of prospects to send a Mail Merge to.
  
  (Her company was billed for 12 hours of support for this). Total cost of ownership in the backwards world, folks!
• "I need a report that looks like this" - I still hear this one regularly from otherwise highly intelligent people. I ask them how they currently compile this report and the answer usually involves multiple electronic sources (both internal and web-based) as well as human intelligence. Suddenly, we are talking about a huge integration project and possibly some magic fairy dust to help the system make human assumptions. This report probably does not, in and of itself, make a strong case for doubling the cost of the project. But, of course, we started backwards, so we just don't know.
• "I need to automate an approval process for business travel, travel expenses and even sales!."  Yes, this was all in the same company and there were many, MANY more layers of approval in this organization. There is no ROI in automating a ridiculous level of micro-management.

If you've been following along, I think you will see a certain logic in basing your CRM implementation plan on the following key areas.

---

Customer Data Collection

If you intend to learn more about your customers, you will need a program for gathering the data needed to learn. How you go about doing this will relate to the nature of your business (retail, business to business, etc) and also the database and CRM software solution you intend to select.

Your data collection effort will need to ensure the privacy of your customers, that your sales process is not slowed down and provides enough value to your customers to share the information you need.  In many cases, you will need to collect initial data and also have a strategy for ongoing data capture (as with a loyalty program).

---

Customer Communications

Communication is the key to building your customer relationships. The CRM implementation plan you develop will be based on the information you retrieve from your customer database. This will include any analysis you've performed which could lead to better segmentation of your customers.

You will need to address frequency, methods, your objectives and your message. If you can allow for two way communications so your customers can respond, your program will be more successful. That can be done with dedicate phone numbers, email addresses, or interactive/track-able e-mail marketing.

---

Database Management System

OK. Now we're getting to the part you've probably already purchased (just kidding!).  Your customer database is a critical component of your overall strategy because it is the facilitator of your data collection and analysis processes. Without a sound customer database, there is no way to have a truly customer-centric organization.

I work mostly in the middle-market where SQL Server is prevalent. However, most of the middle-market solutions also support Oracle since they regularly end up in divisions of larger enterprises.  So this isn't a super critical decision in your CRM implementation. They are both great platforms. You will be making your decision based on your current infrastructure and available IT skill sets.

And I've mentioned before, most of the CRM packages out there have the same set of base features. Cool eye candy and tools designed for higher user adoption are usually fluff that has little to do with an effective CRM result.

Remember: creating a comprehensive and unifying strategy which incorporates your human resources as well as technology, and providing points of ownership to users, or user groups, will be the driver of success and user adoption. Ownership, not bells and whistles, drive your success. Bells and whistles are there for the backward oriented organizations. NOT YOURS!

Make sure the solution you choose can grow with you, allows you to store the customer data you need, facilitates the four corners of your CRM organization (sales, marketing, support and customer service) and has, or integrates with, the tools you need to create useable information from the raw data you collect (i.e. Business Intelligence).

---

Your Milestones

Most CRM consultants will talk about technical timelines for gathering requirements, writing code, testing code, pilot programs, documentation and user training. Yes, that stuff has to happen. But.....

....one thing that often gets overlooked is change management. By this I mean taking your human resources from where they are, to where they need to be successfully.

In order for this to work, your company must come to an honest assessment of where you are in your CRM evolution. It's not practical to ask your people, or IT staff, to take huge steps all at once. Generally, it's better to stretch this process out into smaller increments so your CRM implementation is more digestible to your human resources and your organization as a whole. This is a very critical part of your implementation plan, so don't skip it. You're probably not as far along as you think!

CRM Metrics for Success

Return to CRM Strategy from CRM Implementation

---

Link to Effective CRM Consulting