IT & Entrepreneurship: Customer Relationship Management Report

This report delves into the critical role of Customer Relationship Management (CRM) within the context of IT and entrepreneurship. It emphasizes the significance of strong customer-organization relationships in fostering customer satisfaction and gaining a competitive edge, particularly through the use of eCRM systems. The report identifies key problems in CRM, such as the need for strategies that cultivate long-term customer relationships, generate loyalty, and effectively address customer needs. It explores the application of IT, including business intelligence and mashups, in gathering customer data, targeting marketing campaigns, and streamlining sales processes. The report also discusses various learning models like the Information Space theory, N-learning, the Dreyfus model of skills acquisition, and double-loop learning to enhance CRM effectiveness and employee capabilities. The report further examines the impact of factors like delayed service delivery and complaint resolution on customer satisfaction, and emphasizes the importance of implementing CRM strategies that provide seamless service and prioritize customer needs. The report concludes by highlighting the significance of employee training, adopting innovative learning theories, and utilizing technological solutions to maintain and improve customer relationships for business growth.

Running Head: IT & Entrepreneurship 0
IT & Entrepreneurship
12/15/2018

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Contents
Coursework 1........................................................................................................................................2
Introduction...........................................................................................................................................2
References.............................................................................................................................................8

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Coursework 1
Introduction
A good relationship between a customer and organization generates greater customer
satisfaction. The Customer Relationship Manager should focus on developing the
relationship, as customers are the one who can run the business effectively and efficiently.
They are capable of enhancing customer satisfaction and generate a competitive advantage to
attract them. They should find a better way to interact and communicate with customers.
They can use electronic Customer Relationship Management (eCRM) to manage the needs
and preferences of the customer. Since the competition between organizations is increasing at
a fast pace in order to meet the customer demands. It permits employees to understand the
needs of the customer and forecast to improve future profitability (Al Saifi, Dillon and
McQueen, 2016). This also increases the interaction level by attractive prospective
customers. In the following, an effort has been made to discuss the issues concerning CRM to
maintain the relationship between customer and organization.
Identification of the problem
The Customer Relationship Manager should focus on developing mutually satisfying long-
term relationships with key partners, in order to motivate customers and retain the business. It
does not usually provoke inspiration, maintain profitable customers, and generate loyalty
among customers. They should understand that purchase behaviour depends upon the
satisfaction of customer needs and ability to communicate to demonstrate the products and
service, which can fulfill the needs of the target customers. They need to build their strategy
to focus on relationship management of its customers in order to reach the maximum
customer satisfaction. It plays an important factor in business processes, strategies, and
information technology, which allow organizations to evaluate customer data promptly. The
utilization of IT plays a significant role to offer products and services and assist the multiple
electronic channels to communicate with their customers (Hsiao, Lee and Chen, 2015).
Their main objective is to collect data and information from customers and match with
specific needs. They should help an organization to allow a marketing department to target
their prospective customers, develop marketing campaigns with clear-cut objectives and
purposes, and generates leads for the sales team. They should assist the institutions to

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increase account, telesales, and sales management by enhancing information and streamlining
methods (Chepurna and Rialp Criado, 2018).
The Customer Relationship Manager should adopt the Information Space theory, which
exceeds customer expectations and maintain the lead sharing capabilities and increases
business communication with customers. They should execute an effective CRM solution that
will fulfill the organization needs and improve CRM modules to safeguard that is operating
effectively and efficiently. They suggest a Social Learning Cycle that utilizes the concept of
the dynamic flow of knowledge through a series of six stages:
(Ispaceinstitute, 2018)
 Scanning: - It this stage, perception are attained from available information and data.
 Problem-solving: - The Customer Relationship Manager should solve the problem by
giving structure to these insights.
 Abstraction: - They should generalize to a varied range of situations to develop a
relationship with customers.
 Diffusion: - They should take care of new understandings, which are shared with
target customers so that needs be fulfilled.
 Absorption: - They should identify the new understanding, which is applied to a
variety of situations generating new learning experiences.
 Influencing - It affects the employees’ knowledge, capability, and understanding
(Salichos, Stamatakis and Rokas, 2014).

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They should also adopt N Learning, which promotes inspiration. In this diversity, innovation
puts more concentration on channel enabling people knowledge and understanding to
encourage employees and maintain the relationship between customer and organization. It
assists the customer to achieve the highest acceptable performance and decrease induction
time for co-employees (Manogaran et al., 2017).
The Customer Relationship Manager should adopt the Dreyfus model of skills acquisition,
which is stated by five stages:
 Stage 1: Novice-
It learns to identify facts and features associated with the skills and capabilities of the
employees. It defines the self-reflection and thoughtful feedback, which will enhance
and become more effective at applying the rules.
 Stage 2: Advanced beginner- The Novice starts dealing with real situations, which
enhances the performance of the employees. This describes that the advanced
beginner does not adapt to change and innovation, but experience matters a lot.
 Stage 3: Competent- The employees have obtained substantial real-life experience and
need to be competitive to take an effective decision.
 Stage 4: Proficient-They is deeply engaged in task and responsibilities as they have
experienced similar sorts of situations and it exhibits a comprehensive understanding
of decision-making.
 Stage 5: Expert- The personnel have attained expertise in varied situations and
achieve growth in terms of productivity and performance (McCarthy et al., 2016).

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(Tiago, 2016)
The Double-loop learning incorporates the learning to change of values and assumptions. The
focus is on resolving problems that are difficult, need to adopt, which is leading to happy and
satisfied customers. It will lead to a deeper understanding of better and effective decision-
making and expectations in our everyday operations. It is very important to understand that
this theory will lead to success and growth (Ruiz et al., 2014).
Double-loop learning involves three skills and capabilities, which are-
Self –awareness to recognize as it is habitual or unconscious, honesty to identify mistakes
and discuss with other employees to develop root causes. Then eventually, they need to take
responsibility for change of action. It will benefit in several ways as the relationship among
organizations and employees. The CRM should find new methods to comprehend and change
its objectives. It is required by all organizations as double-loop issues can be easily
maintained and managed. Therefore, CRM should adopt this theory, which relates to
learning to change. It is a theory that is oriented towards professional education, particularly
leadership in the organization (Bohanec, Robnik-Šikonja and Kljajić Borštnar, 2017).

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CRM should assist businesses to utilize human resources and technology to attain an
understanding of the behaviour of customers and fulfilling their needs and achievement. The
Customer Relationship manager should focus on delay in delivering products and services, as
it is important to understand that building a relationship with clients make your customers
feel loved and valued. They need to take care of providing good quality services with a
minimum number of delays and communicate to develop a good understanding. They need to
respond to complaints of customers politely and quickly, which will generate customer
loyalty with several other competitive benefits (Ramish and Aslam, 2016).
Discussion
The Customer Relationship Manager should focus on resolving the problems of the customer.
They should implement the technological solution and maintain a strategic relationship and
analyzing CRM to know customers well. They should make an investment into operations
depend on the values and philosophies generated for customers. They should communicate its
positioning and value, which would help in targeting good customers. It has been stated that
the CRM system of Amazon operates on three major concepts that incorporate high-quality
margin at the lowest cost, boundless inventory, and excellent customer care. They utilize
several touch points to associate with customer involving emails, mobile application, cart,
call center, search, cart, checkout, registration, and so on. They can offer some innovative
promotions, which helps in retaining customers. They use innovative technology for
maintaining CRM, which helps to understand the interest and preferences of customers. The
organization should develop a loyalty program, which helps in predicting the needs of
customers, inducing them, and assisting in planning effectively and efficiently (Huang,
2015).
Business Intelligence and Customer Relationship management assist in analyzing information
and data to make effective business decisions, impact business performance, develop
customer relationship, forecast, and generate revenue. The organization needs access to the
correct data to make timely actions at the operational level. Business Intelligence transforms
from a variety of sources in order to develop accurate decision-making. They can accurately
monitor customer service and satisfaction. It is easier to safeguard customer retention and
new customer acquisition. It is necessary to recognize the issue, which impacts customer
service, delay in delivery, nature of complaints, response time, claims and other related
factors (Grégoire, Salle and Tripp, 2015).

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Mashups are effective in CRM functions that occur in all institutions, which can generate
success and growth. They should employ traditional techniques to generate the consumer
interface and generate solutions. The organization maintains an environmental condition that
creates and maintains their Mashups, which is the most challenging and difficult
implementation to manage more effectively. It helps in managing organization connection
with prospective customers, which increases customer satisfaction, productivity, and
retention. It is more powerful as it describes a comprehensive understanding of monitoring
status of orders, interaction, pending invoices, and several others. It helps in discovering
prospective customers and engaging with them, as there are plenty of approaches used in
dealing using social media strategies (Park and John, 2018).
Generally, customers are judging organizations on how they deal with customer issues,
complaints, resolution time. It is the responsibility of CRM to handle all the issues,
grievances, and concerns of customers effectively and efficiently. There should be proper
implementation of CRM, which can make a big difference in the opinion of the customers of
the organization. It is seen that most customers have been trusting organizations that can deal
with customer issues very effectively. It is easier to recognize the leads, concentrate on
reducing response time and focus on high-quality service and spend-time effectively. In
developing a good relationship with customers, they should implement a strategy, which
makes the company focussed and seamless service to customers. It can also improve the
value of the prospective customers and the overall efficiency of the organization. They should
help in generating a positive reputation, which will help an organization to grow. It is
essential to utilize the CRM strategy that provides the opportunity to understand the
customers (Nyadzayo and Khajehzadeh, 2016).
It is to be noted that to manage the relationship with the customer, the businesses also set
priorities to serve customers well. The CRM should understand customer satisfaction and
buying behaviour for different market segments, client products, and services. The need is to
understand customer’s issues and monitor changes in psychographics and behavioural
satisfaction. Customer satisfaction and service need a comprehensive integrated data process
to identify various customer groups in the existing system. Therefore, many institutions find
it difficult to understand the data and advantage of satisfaction level. The CRM should
mitigate their liability and deliver quick returns on investment. They should focus on
providing adequate resources and focus on objectives, which needs to be followed
effectively. They should provide high quality and maintain a reachable, clear, and simple

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framework of handling complaints in a productive manner (Chen and Lin, 2015). The
Customer Relationship Manager should incorporate all the systems cooperatively, which will
help in maintaining customer satisfaction, induce prospective customers by reducing service
costs, and integrate access to customer data in real time. It will deliver better visibility and
capabilities to deal with customer complaints more professionally. They offer Cloud
computing technology, which helps in managing customer complaints more productively.
The Customer Relationship Manager improves productivity with better responsiveness that
maintains customer loyalty. It should be more achievement in pleasing prospective customers
with attractive offers and deals. They should empower employees to utilize the N-learning,
double-loop learning theory, and Dreyfus model of skills acquisition so that CRM could
empower employees and integrate key partners by spreading more communication channel
and build a relationship between organization and customer (Ritter and Andersen, 2014).
Conclusion
The Customer Relationship Manager should train their employees to lead in the same
direction to achieve the company goal and strategies. It has been seen that older interpretation
are not effective in today’s organization. In today’s era customers need to be fully
encouraged and motivated to achieve the goals. They should be rewarded so that they can be
participated to generate innovative services and leads to success and growth. They should
adopt the N-learning and Double-loop theory so that a mutual relationship can be developed
effectively and efficiently. They can easily resolve the problem by a decrease in delay and
response time of customer complaints and grievances. To maintain and increase customer
relationship, organizations must operate the network smoothly.

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