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CRM

Get Closer To Your Customers

Customer Relationship Management (CRM) is an information industry term for methodologies, software, and usually internet capabilities that help an enterprise manage customer relationships in an organised way. This can consist of:
  • Helping an enterprise to enable its marketing departments to identify and target their best customers, manage marketing campaigns with clear goals and objectives and generate quality leads for the sales team.
  • Assisting an organisation to improve telesales, account and sales management by optimising information shared by multiple employees and streamlining existing processes (for example, taking orders using mobile devices).
  • Allowing the formation of relationships with customers with the aim of improving customer satisfaction and maximising profits; identifying the most profitable customers and providing them with the highest level of service.
  • Providing employees with the information and processes necessary to know their customers, understand their needs and effectively build relationships between the company, its customer base and distribution partners.

With the advent of e-Commerce comes the e-customer with the expectation of constant access to a company, through e-mails, call centres, faxes and websites. They demand an immediate response and a personal service. Meeting their needs places new demands on the enterprise. Since traditional enterprise resource planning applications did not include a customer management aspect, CRM was the logical next step.
Two trends have brought CRM to the forefront:

  • As global competition has increased and products have become harder to differentiate companies have begun moving from a product-centric view of the world to a customer-centric one.
  • Technology has now been developed to the point where it is possible to put customer information from all over the enterprise into a single system.

CRM

Many companies are turning to customer relationship management systems to better understand customer wants and needs. CRM applications, often used in combination with data warehousing, e-Commerce applications and call centres, allow companies to gather and access information about customer's buying histories, preferences, complaints and other data so they can better anticipate what customers will want. The goal is to instill greater customer loyalty.
Other benefits include:

  • The ability to provide faster response to customer inquiries
  • Increased efficiency through automation
  • Having a deeper knowledge of customers
  • Getting more marketing or cross-selling opportunities
  • Identifying the most profitable customers
  • Receiving customer feedback that leads to new and improved products or services
  • Doing more one-to-one marketing.
  • Obtaining information that can be shared with the company's business partners

Companies are now developing business plans with CRM strategies as the driving element, as customer service is a top priority.

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Page last updated: 13 March 2008
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