Social Customer Relationship Management (CRM) Assignment

Running Head: SOCIAL CRM
Social Customer Relationship Management (CRM)
Name
Institution

SOCIAL CRM 2
Abstract
With the growth of modern corporate world which has led to increased competition in the
market, many businesses have turned their focus on developing strategies which will help these
companies manage their customer relationships with the business such as adopting or developing
a customer relationship management strategy. With the growth of technology and the internet as
the current social networking platform, many businesses have therefore developed online
platforms in which they can interact with their existing customers, the prospective customers as
well as winning back the customers who might have left the companies for their rival companies.
This research report, therefore, aims at providing an understanding of how social customer
relationship management is helping businesses or organizations achieve its strategic goals and
objectives in relation to the development and adoption of business technologies such as the
management information systems and their effect on the growth and development of the
businesses.
Introduction
The modern corporate world has experienced gradual changes over time resulting from different
business environments. These environmental changes both internally and externally have in one
way or the other affected the growth of business organizations as well as the organizational
performance. One of the best ways or improving organizational or business performance is
through improving the organizational customer relationships. Business customers act as the
greatest assets of the business and therefore their relationship with the business determines the
overall performance of the business (Paliouras & Siakas, 2017). A satisfied customer will always
end up being a loyal customer of the business and also becomes an ambassador of the company

SOCIAL CRM 3
to other prospective customers. Many businesses or organizations have embraced the use of
information technology in perceiving different organizational changes and developing effective
strategies to counter these environmental changes. On the other hand some other companies have
not yet shifted to the use of information technologies techniques due to lack of enough resource
capacity whereas others have been due to the continued use of the traditional CRM techniques
such as advertising. Through the use of management information systems technology, companies
have developed social customer relationship management strategies to manage and analyze their
customer relationships and interactions with the business.
Figure 1: The Use of Social Network has increased over Years in India
Social customer relationship management is therefore in this case described as the use of
social media services and platforms, techniques as well as technology to enable organizations to
engage with their customers with the aim of strengthening business customer relationships
through social media. It also aims at improving the relationships within the organization with the
existing business or organization customers, creating a platform to attract potential and

SOCIAL CRM 4
prospective customers as well as winning back the confidence of former customers who might
have lost confidence and trust with the company due to lack of an established social platform
where the company can interact with its customers (Chen & Wu, 2016). Business management
has taken another shift due to the advancement of computer-based information technology which
has led to the development of different management information systems that help the managers
of different businesses to make and implement decisions concerning various operations of a
business. Such information systems are developed for specific purposes and have been found to
differ significantly from the standard data processing systems especially those used in financial
management. Therefore managers have realized that the difference between their success and
failure of their business and especially in customer relationship management is due to the extent
to which the managers are able to use the systems to increase their effectiveness of their
organizational performance.
Using MIS to improve the quality of social CRM and the relevant changes involved
The modern corporate world as described earlier is characterized by increased social
media use for business purposes. The rise in the use of social media has been adopted by
business companies as one of the MIS tools to expand in the various sections of the business
such as marketing. Through social media, businesses get good platforms for directly relating
with customers. They can have their products reviewed hence giving the clients the opportunity
of giving their positive or negative feeling towards the particular company products. As a result,
the company will be able to make decisions to improve their customer services depending on the
review of the clients. In other words, how MIS is adopted has a massive impact on how
customers make decisions based on their consumer behavior and their purchase decisions to a