Effectiveness of CRM in Queensland Tourism: A Research Proposal

This report presents a comprehensive research proposal focused on the effectiveness of Customer Relationship Management (CRM) systems within Queensland Tourism. It begins with a letter to the board of directors advocating for CRM implementation to enhance customer service and business performance. The research proposal provides a detailed background of Queensland Tourism, including its organizational context, business processes, mission, vision, and a SWOT analysis identifying strengths, weaknesses, opportunities, and threats. The report also analyzes Porter's Five Forces to assess the competitive landscape. It explores the issues and opportunities related to IT/IS, emphasizing the benefits of CRM such as increased revenue, improved customer relationships, scalability, remote data access, quicker conversion rates, and streamlined marketing strategies. The report outlines an implementation strategy using the SDLC cycle and discusses project, change, and risk management. Ultimately, the proposal aims to demonstrate how a well-implemented CRM system can significantly improve Queensland Tourism's operations and customer satisfaction.

LETTER TO SPONSOR
To,
The Board of Directors,
Queensland Tourism,
Level 10, 30 Makerston Street,
Brisbane, Queensland 4000, AU.
Respecter Sir/Madam,
Queensland Tourism has evolved in a gigantic way in these recent days. It becomes one
of the leading and largest competitor in tourism industry of Australia. In the modern world, our
business is having some severe issues in delivering quality services to our customers.
Queensland tourism uses the internet technology to perform its daily operations. Moreover the
business also requires the support of the information systems which can allow the business to
manage the customers as well as can help them to give better services to their respective
customers. The use of these information systems can develop the business performance of
Queensland tourism in high amount. In this particular project proposal, we wished to introduce
CRM information system in our workplace to increase the quality of services for our customers.
Therefore, we collectively request you to allow and approve the implementation of the
proposed CRM system in our workplace. The implementation of the proposed i0nformation
system needs you as the sponsor. A sponsorship fact file is attached with this project proposal
that can assist you to take effective decision regarding our proposed plan. Thus, we pray and
hope that you will look after the matter with your kind concern and also help us to implement the
proposed system. We are really thankful to you as you gave your valuable time to review the
project proposal package.
Sincerely,
Cassie Zuill,
Regional manager.

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RESEARCH PROPOSAL ON THE EFFECTIVENESS OF CRM IN BUSINESS: A CASE
STUDY OF QUEENSLAND TOURISM
Name of the Student:
Name of the University:
Author Note:

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Executive Summary
In this modern world, technology has a huge impact on every businesses. Each and every
businesses are using these technologies to drive their daily business operations. These are highly
benefited with these technologies and are delivering quality services to their customers. The most
famous technology used in these recent days is the internet technology. The internet technology
becomes one of the key driving force for several businesses. The internet technology is used to
perform the operations as well as it is used to deliver the products or services to the customers
through online. Moreover, with the advent of the internet technology the communication
becomes easy. The customers can easily communicate with the business officials which allow
them to deliver quality products to their respective customers. This particular research proposal
is prepared to provide the knowledge regarding the effectiveness of CRM in a tourism business.
The CRM system are highly beneficial in this business as it helps the businesses to strength the
customer relationship and bonding. This also allow the business to involve more customers as
well as retain existing customers in their business. This research proposal also provides an
implementation strategy of the CRM system by describing the SDLC life cycle of CRM system.

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Table of Contents
Executive Summary.............................................................................................................1
Introduction..........................................................................................................................3
Discussion............................................................................................................................4
Background of the Company...........................................................................................4
Issues and Opportunities of IT/IS....................................................................................4
SDLC Cycle.....................................................................................................................7
Post Implementation Analysis.........................................................................................9
Project, Change and Risk Management...........................................................................9
Conclusion.........................................................................................................................11
References..........................................................................................................................12
Appendices........................................................................................................................12

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Introduction
Small businesses highly depend on the modern technologies as these technologies are the
key driving factors of every business operations. These technologies are helping these businesses
to achieve their aims and objectives. The modern technologies are advancing those businesses to
gain a competitive advantage in the present market scenario. Each and every departments of the
businesses are using these technologies to perform their individual operation. Using the modern
technology, businesses are able to conduct smooth communication throughout their workplace.
The customers are able to communicate in an easy manner with the use of these technologies.
Customers are placing their queries easily which are immediately resolved by the businesses.
Especially, online businesses are highly benefited with the use of the modern technologies where
each and every business operations are highly dependent on the information technology and
information systems (Laudon and Laudon 2015). These intelligent systems use the business data
to deliver services to their customers. These information systems are generally used to produce,
store and process the sensitive data. In online businesses where the business operations are
operated with the help of the internet technology as well as they use this technology to provide
the services to their clients. Some major benefits provided by these intelligent systems are
improved workforce efficiency, allowing the business to gain the competitive benefits and also
are used to manage the whole business ranging from the manufacturing department to the
transaction department.
This project proposal is made to deliver the importance of CRM in a business. In this
research proposal, a CRM system is planned to be implemented in a chosen business. The chosen
business for this research proposal is the Queensland tourism. In this proposal the effectiveness
of the CRM system is discussed as well as the implementation process of this system is also

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discussed. The SDLC cycle of the CRM system is also shown in this project proposal. This allow
the Queensland tourism to easily implement the CRM system in their workplace. Lastly, the
proposal also discussed different project management approaches that can be used to manage the
chosen information system in Queensland tourism.
Discussion
Background of the Company
Organizational Context
Queensland tourism is a tourism business based operating in Australia. It is the leading
marketing, experience and destination development of the Queensland Government (queensland
2020).
Business Process: Queensland tourism is a statutory agency of the Queensland Government. The
various business process involved are marketing, tourist package and experience development.
Business Mission: The mission of the concerned business to foster innovation, boost visitor
expenditure and drive the industrial growth. The business deals with numerous processes like
booking of spots, booking the tourist package for the tourists, transaction processes and so on.
Business Vision: The vision of the concerned business is to motivate the people to advent the
beautiful place of Queensland.
Internal and External Environments

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SWOT analysis
Strengths
 Greater awareness and sustainability
 People perception of Queensland as
destination
 Great environment ambience
Weaknesses
 Tourism has not been recognized
properly
 Lack of investment
 Lack of proper CRM activities
Opportunities
 Huge CRM opportunities
 Lots of investment
Threats
 Economic Crisis
 Tough competition from other markets
Strengths: There have been low crime rates in the Queensland. Therefore, people feel
safe in going there for a destination trip. People have been showing greater awareness and
sustainability of the destination spot in Queensland. Queensland has been following a strong
environmental and conservation values. Various CRM activities have been adopted in the
destination.
Weakness: Management issues have been discussed in the regional and local destinations
which have been creating issues in Queensland. There have been low investment done from
various investors.
Opportunities: There have been huge CRM activities can be done in the Queensland
which can improve tourism in Queensland. Huge number of investors have been investing for
Queensland tourism for its development.

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Threats: Pollution have been main threat in the Queensland. People have been throwing
wastages around beaches and tourist places. Therefore, it has been increasing pollution and
many tourist places untidy. There have been tough competition from other markets which have
been creating issues for the Queensland tourism.
Porter’s five forces
Threat of Substitution: Tourism industry has a high threat of substitution as there are many
options for visitors from all over the world. This has been a constant challenge for the
Queensland government to attract visitor stewards their industry.
Bargaining power of Buyers: Various organizations sin the tourism industry have been facing
high bargaining power of buyers. It has been easy for visitors to look around for best price
nearby for tourism. Therefore, buyers are .continuously bargaining for cheaper price for their
tourism.
Rivalry among existing competition: There have been high rivalry among existing competition
in tourism industry. When potential customers have been learning about other hotels nearby
based on cost structure. Therefore, it has been difficult for organization to survive in the market.
Threat to new market entry: The threat of new market entry has been low in the tourism
industry. As it takes time for new business to flourish in the market as competition is high in the
market (Dälken 2014). The CRM activities performed by established companies have been far
better than any new entry in the market.
Bargaining power of suppliers: Bargaining power of suppliers has been low in the tourism
industry. The employees in the firms are major suppliers in the tourism industry. Other supplies

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required by any organization can be done by other suppliers in the market based on the cost
structure. Therefore, this have been a great benefit for the industry.
Issues and Opportunities of IT/IS
Queensland tourism needs the help of the information systems to handle their business
operations and stakeholders. The business can be handled easily by the help of these information
systems. The business often faces issues in interacting with their potential customers. This
system can be used to develop the customer relationship by focusing on the driving sales growth
and the customer retention factor. CRM compile the data from several data resources like various
communication channels of the business like website, live chat, email, marketing resources.
Social media and telephone (Bharamagoudar, Geeta and Totad 2013). The idea of CRM was
introduced in early 1970s. During these days, the customer relationship of a business was
measured by a survey process. In those days, the businesses highly depend on the standalone
mainframe systems. The primary aim of using CRM in a tourism business like Queensland
tourism is to develop the market productivity and this marketing productivity is gained through
increased marketing efficiency. The developed effectiveness can help Queensland tourism to
reduce the transaction and departmental cost of the concerned business. CRM includes two vital
processes namely, developing partnering relationship and proactive development of the business
(Halperin et al. 2014). The major opportunities of implementing CRM in Queensland tourism
are:
 Raise the revenue of the business: A well-developed customer relationship can allow the
business to raise the revenue of Queensland tourism.

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 Integrating all business process in a single unified location: CRM also integrates all the
business processes into a single system which can allow the business to perform their
operations from a centered location. Highly Scalable: A well implemented CRM system can increase the scalability of
Queensland tourism. When a business is increasing the number of customers, then it
becomes harder for the business to meet its customer’s requirements. Remote Access of the Data: The software can be accessed from any location with the
help of cloud services, VPN capabilities, available 4G network, internet saturation and
secure network connection (Kaloxylos et al. 2014). An easy access of software and data
can allow Queensland to increase its reach to the customers. Quicker Conversion Rates: The conversion rate can be raised using the CRM systems in
the workplace of the concerned business. Simplified Targeting and Marketing strategies: CRM software provides a vast range of
data to the management as well as to the departmental heads to the business. This concept
of CRM can be highly beneficial for Queensland to expand its approach towards
customer retention and Developed Customer Services: The primary responsibility of CRM system is to develop
better quality relationship with the customers. This can allow the Queensland tourism to
provide better customer services to the tourists. Develop global forecast and the pipelining management: A better customer friendly
environment and the increasing number of customers in the business can be gained by the
implementation of the CRM system.

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 Decrease the cost of Sales: A well implemented CRM system can allow Queensland
tourism to decrease the operational cost of its business. Raise the sales representative productivity: The productivity of the sales department can
also be increased by the quick gathering of the customer data. Promote the sales representative retention: The sales representative can easily be
retained using the CRM system in Queensland tourism.
These opportunities can collectively allow the concerned business to gain its business
goals. This can also enhance the quality of the services. This help the concerned business to
retain as well as involve more customers in their business. As a tourism sector, CRM can be
highly beneficial for Queensland tourism because customer engagement and relationship both
are the vital requirements of a tourism sector (Grovenor 2017). The CRM can also be beneficial
towards allow better stress – free and better convenient experience for the tourists.
The major issues that can faced in implementing and managing the CRM system by the
concerned business are:
 Poor CRM strategy: The strategy of managing and implementing the CRM system
should be chosen carefully by considering all business areas of Queensland tourism. The
chosen strategy should align the business towards the motive of implementation. Deficiency of top management support and commitment: The management and
implementation of the CRM system require high support and commitment from the top
management level. This can help the business to easily implement the CRM systems in
their working environment. Without proper support from the top management
Queensland tourism cannot implement the proposed system. This can increase the
complexities for the business which can impact negatively to the business.

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 Poor change management strategies: CRM information system may require frequent
changes and thus, proper and defined change management strategies should be used to
manage the proposed system (Rothaermel 2017). Deficiency of skilful resources: The business also requires some skilful resources such
that they can use the system effectively and efficiently. This allow the business to resolve
any malfunction of the system. The business should be capable to sort out any issues in
CRM system. Moreover, the handling of the information system should be assigned to
some skilled staffs such that they can manage all the business issues by using the
proposed system effectively. Poor customer centric orientation: The Queensland tourism also requires high
involvement from both the business and the customer ends. This can allow the concerned
business to maintain a uniform working environment. Deficiency in the assessment methods: The methods or project management approaches
should be used in an appropriate manner such that the proposed system can help the
business to achieve the motive of implementing the system in their workplace.
SDLC Cycle
Planning: CRM is a kind of cross functional ERP system. This information system helps the
businesses to load and analyze the customer data which include the staff to customer interaction
and purchase transaction. These data can be used to generate better long tern customer
relationships, loyalty and retention. The proposed system can be integrate into the Queensland
tourism’s existing property management system. They already attained each and every existing
and previous tourists that have visited. This information are highly useful for the concerned
business as they can interact with their clients in a frequent manner (Kumar, Zadgaonkar and