MNG03218 - CRM Project: Development and Maintenance at Westpac

This report provides a detailed analysis of the development and maintenance of a new CRM system for Westpac Group, utilizing the System Development Life Cycle (SDLC). It begins by outlining Westpac's organizational context, including its internal and external environments through SWOT and PESTLE analyses. The report identifies the problem of lacking a specialized customer management system and the opportunity to improve customer relationships and profitability with a new CRM. The core of the report details the seven steps of the SDLC model: planning, analysis, system design, development, testing, implementation, and post-implementation. Each phase is thoroughly discussed, including the identification of CRM system streams, analytical CRM, and key business activities. The report concludes with a discussion of project management, change management, and risk management strategies essential for the successful implementation of the CRM system. This document is available on Desklib, which provides access to a wide range of study resources including past papers and solved assignments.

Running head: PROJECT DEVELOPMENT AND MAINTENANCE
Project Development and Maintenance
Name of the Student
Name of the University
Author Note:

1PROJECT DEVELOPMENT AND MAINTENANCE
Letter to Sponsor
Mr Brian Hartzer
Westpac group Australia
275 Kent Street, Sydney, NSW 2000
Sydney, NSW, Australia
Westpac- It is considered to be as one of the oldest banks and organization. It is one of the four
major banking organization which is based in Australia. It is one of the largest banks in New
Zealand. Westpac tends to provide a wide range of banking and financial services in the given
market. It is mainly inclusive of both consumers, institutional banking and lastly services related
to wealth management. The main portfolio of financial services is all about branding and
business which focus on the overall business. Westpac group mainly comes up with mainly five
key customers facing division which tends to operate a unique brand of portfolio.
I am happy to inform you about the chance of presenting this proposal which is all about
developing new CRM at Westpac Group. From the point view of analysis, CRM in Westpac
bank is all about recording various kind of activities related to sales, customer experiences, field
services and data analysis. It mainly tends to provide on-premise and on-demand based solution.
Around three times will be needed for development of CRM system. The whole project will be
divided into three groups that are planning, analysis, development, testing, implementation,
testing and maintenance.
I am looking forward to taking feedback and discussion of each proposal of new CRM system.
Regards

2PROJECT DEVELOPMENT AND MAINTENANCE
Executive Summary
The development of IT application is considered to benefit when it is aligned with the
organizational strategy. There is some kind of growing trend in IT system which will help the
Westpac bank to increase their revenue along with maintaining relationship with customers. The
following report has been prepared in alignment with CRM system which is being developed at
Westpac bank. The report provided an idea concerning Westpac group and highlighted about the
customers of Westpac group. The upcoming pages of the report provides an idea concerning
internal and external environment. Apart from this, the report tends to highlight lack of customer
relationship management in comparison with some of major competitors. In the above pages, the
seven steps of SDLC of new CRM system has been discussed in details. The last section of the
report mainly deals with change management, risk management and lastly project management.

3PROJECT DEVELOPMENT AND MAINTENANCE
Table of Contents
Introduction......................................................................................................................................4
Discussion........................................................................................................................................4
Organizational Context................................................................................................................4
Internal and External Environment..............................................................................................5
SWOT Analysis.......................................................................................................................5
Pestle Analysis.........................................................................................................................6
Problem and Opportunity............................................................................................................7
7- Step for SDLC Model in CRM system...................................................................................8
Planning phase.........................................................................................................................8
Analysis phase.......................................................................................................................11
System Design phase.............................................................................................................12
Development phase................................................................................................................12
Testing phase.........................................................................................................................13
Implementation Phase............................................................................................................13
Post Implementation phase....................................................................................................14
Project Management, Change Management and Risk Management.........................................14
Project Management..............................................................................................................14
Change Management.............................................................................................................15
Risk Management..................................................................................................................16
Conclusion.....................................................................................................................................17
References......................................................................................................................................18

4PROJECT DEVELOPMENT AND MAINTENANCE
Introduction
The following report mainly highlights about 7-step of SDLC which will help Westpac
bank to develop a new CRM system (Kumar and Srivastava 2016). The report begins with
background of Westpac bank after that internal and external environment has been provided in
brief. It also highlights present relationship of bank with customers. After that importance of
CRM system for Westpac group has been discussed in brief. The seven steps of SDLC model, a
project team and next seven steps have been discussed in details (Girchenko, Ovsiannikova and
Girchenko 2017). The coming pages of report mainly deal with internal and external
environment of this organization. Apart from this, the report mainly tends to highlight certain
number of activities along with process in each group (Sattar, Bajwa and Shafi 2015). It is
mainly needed for analyzing some of the detail activities in the given process. The report tends to
provide pros and cons for some of the alternative. It also tends to provide some kind of optimum
solution for each of the given step. The last section of the report mainly deals with project
management, change management and risk management in the activities (Corner and Hinton
2015). It is needed for having a proper kind of understanding concerning mitigating the involved
risk, reducing overall cost and understanding the need.
Discussion
Organizational Context
Westpac group is considered to be as one of the oldest banks of Australia. It is considered
to be as one of the largest banks of whole New Zealand. Westpac group tends to provide a wide
range in banking and financial services in the whole market (Reicher, Komáromi and Szeghegyi
2015). The services are mainly inclusive of institutional banking and wealth management

5PROJECT DEVELOPMENT AND MAINTENANCE
services. The main business of Westpac group tends to operate in wide range of portfolio brands.
The consumer bank of Westpac group is mainly responsible for understanding overall sales and
services for various kind of customers in Australia. It is mainly responsible for required sales and
services in macro, small medium enterprises and commercial business in Australia. The division
mainly tends to provide services for flow of cash and auto financial loans. Westpac in Australia
tends to provide large number of services like insurance business and is responsible for
manufacturing and distribution of investments (Fang 2017). BTGF tends to operate in wide range
of fund management and financial services. Westpac institutional bank aims to provide a range
of financial products and services for both commercial and corporate institutes and various
governmental connection in Australia. WIB is mainly responsible for Group pacific banking
operation which tends to provide huge range of services (Ahmed, Amroush and Maati 2019).
Westpac New Zealand is mainly responsible for understanding sales and services related to
banking services
Internal and External Environment
SWOT Analysis
Westpac is one of the oldest banks in Australia which was found in the year 1817
completing 200 years in 2017 (Lipiäinen 2015). It is considered to be first bank of Australia and
oldest organization among all the major banking firms.
Strength: Westpac is known to be 200-year-old brand which focuses on operation with
some core-markets in both Australia and New Zealand more than 13 million customers (Khan et
al. 2016). It is considered to be as one the Big four player in Australia who comes up with assets
of 852 billion dollars.

6PROJECT DEVELOPMENT AND MAINTENANCE
Weakness: Westpac bank is embroiled in various kind of legal issues and problems. This
particular banking organization comes with poor environmental record for its employees.
Opportunity: There is huge number of developments in the banking industry which has
been found in the last few years (Belias et al. 2017). Westpac is focusing on kind of time on
which whole thing can be depended. It emphasizes some of the underlying technology which
will make sure of the fact that the whole thing is nimble and competitive.
Threats: It focuses on introduction of bank for understanding its effect on stakeholders.
Westpac group focus customer centric which can rise a fintech of threat for understanding the
present banking players (Hosseini, Hosseini and Meymand 2016). Also, Westpac focus on some
of the increase of digital technologies implementation which will ultimately result in various
kind of cyber security threats.
Pestle Analysis
The headquarters of Westpac is located in Sydney which tends to provide large number
of portfolios for both banking and financial services (Santouridis and Tsachtani 2015). Westpac
group tends to employ more than 35,096 employees in the year 2017.
Political: There is certain number of rules and regulation which tends to have some direct
effect on the industry. Australian Parliament focuses on certain number of things like banks with
coming up with more than 100 billion dollars (Dakhare et al. 2018). Westpac is considered to be
as one five Australian Banks which tends to fall under this rule.
Social: There has been increasing ageing and culture diversity for various kind of
consumers. It is mainly done so that they can require particular products and services (Aljohani
and Qureshi 2016). There has been growing demand for affordable services and housing.

7PROJECT DEVELOPMENT AND MAINTENANCE
Technological: Westpac bank tends to offer huge number of services and products for its
customers (Pinciroli et al. 2017). It merely tends to highlight various kind of transformation in
the services provided by it. Digitization is all about providing large number of services and
improving its efficiency.
Legal: It focuses on implementation of some kind of regulation by certain number of
authorities which has ultimately led to various kind of challenges that can affect the business
(Roy, Dasgupta and Chaki 2016). Westpac group focus on implementing certain of policies
which will increase scrutiny of various financial borrowers.
Environmental: There is large number of environmental criticisms which focus on
certain number of changes in the current business practices (Karim, Saba and Albuolayan 2017).
Westpac group should invest in certain number projects that will result in climate change-based
solution.
Economical: The stable Australian and global economy tends to outlook the whole thing
in the year 2018 (Nazir and Nazir 2018). In the coming year, there is possibility of Chinese
investment which drives up the Australian property prices.
Problem and Opportunity
Marketing generally involves some of the target business and its segment which focuses
on customers related activities. Customers are considered to be forefront of any organization
within this banking industry (Yadav and Kumar 2016). Westpac group is considered to be as one
of oldest bank of Australia. This particular banking domain focus on proper management of
customer relationship in some of the banks. So, as a result, the management tends to require

8PROJECT DEVELOPMENT AND MAINTENANCE
customer management system which is in demand and can easily make changes in the current
marketing strategy.
Apart from this, there is another kind of issue which is encountered in Westpac Bank is
that it does not have a specialized system for managing their customers. CRM mainly tends to
operate on Opera System for its operation in Banking domain (Karim et al. 2016). Apart from,
there is certain number of functions related to storage of customer information which is not
highlighted. All the activities related sales are merely recorded by various salesperson in the
given document format (Alshamrani and Bahattab 2015). As per various research, there is large
number of odd selling of goods for understanding their customers for 50% and 15% for new
customers. Westpac bank can improve their overall profit by 85% by increasing customer
retention by 5% only. There are other kinds of competitors in the market which focuses on
customer relationship management system. The most suitable customer relationship management
focus on managerial models for increasing their sales and marketing representative (Sattar,
Bajwa and Shafi 2015). It can be organized on a daily basis along with improving the overall
business performance. It can also bring huge number of benefits like tracking down of sales and
assigning each representative and planning of the given strategy.
7- Step for SDLC Model in CRM system
System development life cycle can be defined as a systematic approach which is needed
for solving various kind of issues. It mainly focuses on development of various kind of
information system solution (Rob 2015). It focuses on seven stages for complement information
system. It focuses on understanding the need of customer relationship management system which

9PROJECT DEVELOPMENT AND MAINTENANCE
is needed for maintaining healthy relationship with customer. It is all about improving the overall
business performance.
Planning phase
Identifying chosen System
There is mainly four streams of CRM system in the present market. CRM comes up with
large number of applications like operational, collaboration, portal base and lastly analytical.
CRM system in banking industry comes up with two main functions like dealing with some of
the daily operations and understanding the customer’s information (Kumar and Yadav 2017).
The whole things mainly tend to occur as a result of data warehouse. CRM tends to a key role in
the present business activities like delivery of product and related services. Analytical CRM is
considered to be a part of overall customer demand. It mainly tends to work as a result of input
data and providing list of strategy for input data along with suggestion.
Understanding Project feasibility
Economic feasibility is all about a proper kind of understanding concerning cost-saving,
profits and increase in overall revenue (Jindal 2016). It mainly tends to focus on certain number
of benefits like design, development and operation of the given system. It is considered to be an
important factor for the launch of new information system. There is large number of numbers of
organization around the globe like Westpac which focus on cost-benefit analysis of two major
components like cost and benefit (Shiang et al. 2016). In the below table the cost-benefit analysis
of the given CRM system has been provided.

10PROJECT DEVELOPMENT AND MAINTENANCE
Cost-Benefit Analysis for implementing CRM in Westpac group
Hardware $ 200,000.00
Software $ 50,000.00
Development team salaries $ 200,000.00
Training $ 50,000.00
Total Development Cost $ 500,000.00
Hardware $ 200,000.00
Software $ 200,000.00
Operational Labor $ 50,000.00
Total Operational Cost $ 450,000.00
Approximate salary savings $ 100,000.00
Reduced operating cost $ 490,000.00
Total Benefit $ 590,000.00
Discount Rate Used 5.00%
Project Cost-
Benefit
Analysis
Analysis
Variables:
Discount
Rate Used 5.00%
Annual
Benefits
$
590,00
0.00
Annual
Operational
Costs
$
450,00
0.00
One-Time
Development
Cost
$
500,00
0.00
Year of
Project
0 1 2 3 4 5
TOTAL
S
Economic
Benefit $0.00
$
590,000
.00
$
590,000
.00
$
590,000.
00
$
590,000.
00
$
590,000.
00
Discount Rate 1.0000 0.9524 0.9070 0.8638 0.8227 0.7835
PV of Benefits $0.00
$561,90
4.76
$535,14
7.39
$509,66
4.18
$485,39
4.46
$462,28
0.44

11PROJECT DEVELOPMENT AND MAINTENANCE
NPV of all
BENEFITS $0.00
$
561,904
.76
$
1,097,0
52.15
$
1,606,71
6.34
$
2,092,11
0.80
$
2,554,39
1.24
$
2,554,39
1.24
One-Time
COSTS
$
(500,00
0.00)
Recurring
Costs $0.00
$
(450,00
0.00)
$
(450,00
0.00)
$
(450,000
.00)
$
(450,000
.00)
$
(450,000
.00)
Discount Rate 1.0000 0.9524 0.9070 0.8638 0.8227 0.7835
PV of
Recurring
Costs $0.00
$
(428,57
1.43)
$
(408,16
3.27)
$
(388,726
.92)
$
(370,216
.11)
$
(352,586
.77)
NPV of all
COSTS
$
(500,00
0.00)
$
(928,57
1.43)
$
(1,336,7
34.69)
$
(1,725,4
61.61)
$
(2,095,6
77.73)
$
(2,448,2
64.50)
$
(2,448,2
64.50)
Overall NPV
$
106,126.
73
Overall ROI
0.0433
Development of Project Plan
After understanding the feasibility of this CRM project, a plan has been provided which
is formal and certain number of documents have been approved. This particular plan requires
proper schedule and scope of given resources (Vohra 2017). The complete plan needs to be
properly scheduled, scope, resources and various kind of resources. It is expected that Westpac
bank may require three months for the launch of system (Svensson, 2016). Apart from this, it is
very much important to update a large number of things in the development phase of SDLC.
Analysis phase
The analysis phase mainly focuses on gathering large number of information and
condition which is needed for design of system and its application (Kerzner and Kerzner 2017).