"Evaluating the Effectiveness of Customer Relationship Management" in Telecom and Banking Industry

Abstract

In order to compete effectively in globalized economy, organizations must be customer-focused. Customer relationship management (CRM) is the way to integrate this approach throughout an organization. Many a time’s organizations are likely to believe that it is function of marketing to have the customer relationship management. In reality it is meant for everyone in the organization starting from the security person, telephone operator and accounting department. Providing good service and then finding a way to leverage the good will created by quality service a company can tie deeply into a consumers psyche and develop a strong business/client relationship. Customer relationship management (CRM) has become one of the leading business strategies in the new millennium. CRM is a broad term for managing business interactions with customers. The effectiveness of CRM can be measured as a satisfaction level achieved by CRM activities. Although CRM has emerged as a major business strategy for e-commerce, little research has been conducted in evaluating the effectiveness of CRM. Because it is difficult to demonstrate tangible returns on the resources expanded to plan, develop, implement, and operate CRM, the aim of our research is to measure the intangible attributes of these benefits, such as value enhancement, effectiveness, innovation, and service improvement.