Evolving Business Operations: Why CRM Matters

May 7
13:11

2008

j. m. leander

j. m. leander

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One of the most effective ways in increasing customer relations is to implement the use of CRM software and sales force automation.

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In the business world there is always a natural affinity towards increasing productivity and efficiency while reducing both the time and cost that is put into business processes.  These tendencies arise not only to improve the functions of the company,Evolving Business Operations: Why CRM Matters Articles but more so to ensure that their customers remain content through their services.  One of the most effective ways in increasing relations is to implement the use of CRM software, which provides a dependable and easy platform for both companies and customers.

However, some companies believe that relying solely on simple contact management will satisfy their need for storing and organizing customer information, and that using costly CRM software provides no benefits beyond that.  This approach may be sufficient for business that simply use excel and outlook in a stationary environment to maintain their information, but in the ever-expanding business world the customer relationship is becoming more complex as a result of increasingly mobile sales teams and capricious staffing.  In these types of growing businesses, it becomes imperative that customer information be managed with reliable software in an otherwise possibly unreliable work environment.  This includes providing multiple access methods for customer to contact sales teams while reducing complexity and time through automating common processes, and allowing secured sharing of information with your team members and customers.

Despite the apparent advantages of CRM software, many will  say that the cost of using CRM software is far too high for the benefits it provides, suggesting that it merely promotes busywork, that it is inflexible and difficult to find information, that it micromanages all the work that is performed, and that inevitably it will not drive new business.  Is this in fact the case, or could it be that the software is simply not used correctly by all businesses?  When using CRM software, there must be several practices that occur to maximize the benefits, these being giving information that is valuable in regards to the customer identity, providing ways the salespeople can monitor their own progress through quotas and commissions, and designing automated best practices to increase efficiency and create more relevant policies.  By properly using CRM software, it enables the salespeople to enter their information easier, to keep track of their clients more reliably, and to enhance the quality of work they provide.

The reality of the issue, though, is that not using CRM sales force automation is more costly to a business as compared to one that does.  The use of such software provides a convenient and productive way of performing the same work that would have otherwise been done manually over a longer span of time.  As a result of this, the manual work appears to be invisible, and many do not realize the true cost of performing the same work without the CRM.  For example, in the case of an account manager handling 100 accounts using the typical spreadsheets and email, it would take 4-6 hours to consolidate and analyze the information, 8-10 hours to accurately generate activity reports, and additional 2-4 hours to target their customers and potential clients, and an additional half hour to research  each of those customers.  All of this work, which can be automated through the use of CRM, would be using time that could be better spent elsewhere as well as additional money it would take to pay for such work to be completed.   This extra work becomes far too much for an individual to do so many times some of it is skipped or hastened and the quality of work rapidly decreases. 

In the end, the amount of money spent by a company not utilizing CRM tends to be more than those who do, indicating that not only does it provide a better service method, but that it becomes more cost-effective as well.  By using reliable and robust CRM software from dependable service providers like LongJump.com, a business can evolve and drastically improve their efficiency, productivity, customer relationships, and overall business process and head towards a positive direction and a stronger presence in the business world.

For more information on Business Software, Sales Force Automation, and CRM– Click on link text to visit LongJump