In a company, changes are often frowned upon and resistance can always be expected especially if you are trying to shake things which have been firmly rooted with the employees that you will practically be asking them to go out of their comfort zones.
Yet, if there was ever one thing that is certain in life or in business, it is the inevitability of change. Companies must change and adapt to their ever changing environment, otherwise they will be left irrelevant as technologies, and business practices continue to improve and move forward in an ever more frightening pace.
One of the changes that most companies are undertaking is the implementation of a Customer Relationship Management (CRM) program. While other companies can immediately appreciate its importance in relation to their way of doing business and most particularly to their bottom line, other companies are slow to act especially since they don’t see the practical financial returns of implementing a company-wide CRM program compared to the cost of introducing such a game-changing tool for their company.
Prior to starting any CRM initiatives, companies must review their present business models and think about the specific things that they want to achieve and their corresponding expected benefits for their business. These should be documented and regularly revisited so as to examine the progress of each and if they are still in line with the initial plans and programs in relation to their overall objectives. Any deviation or unseen deficiencies in the plan should immediately be addressed in order to make sure that you will achieve that goal that you have set out to achieve from the very beginning.
Return on Investment (ROI) from implementing a CRM program can come in two ways: first is through increased efficiency which leads to cost reduction, and second is through enhancements in the company’s revenues through additional revenue channels which would otherwise have been inaccessible without the introduction of a centralized CRM system.
Examples of cost reduction through improved efficiency are as follows:
- When a CRM software program will enable the company’s sales team to deliver the same, or sometimes even better results, through lesser manpower or resources.
- When sales agents are able to do more actual field calls rather than spend most of their time manually inputting data into slow, disjointed and outdated systems.
- when access to customer history and other data enables customer service representatives to resolve and attend to inbound calls more quickly, in which savings can certainly add up to a very significant amount over time
On the other hand, revenue enhancements can also be achieved in many forms, such as:
- Sales teams can push for the right offer at the right time to customers if they have access to their sales and service histories. This will also be appreciated by the customers as it shows that the company is really on top of his situation and have made the effort to know and anticipate his needs.
- Access to timely and relevant information increases sales opportunities, reduces the cycle time, improves closure rates, and allows the sales team to focus on valuable customers rather than going out there with a shotgun approach to selling.
- When provided with accurate data, sales teams can effectively push for cross-selling or up selling of the company’s other products thereby maximizing the sales revenue on a per customer basis.