0602001 CUSTOMER RELATIONSHIP MANAGEMENT IN MARUTI DEALERSHIP

8/7/2019 0602001 CUSTOMER RELATIONSHIP MANAGEMENT IN MARUTI DEALERSHIP

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A

PROJECT REPORT

ON

CUSTOMER RELATIONSHIP MANAGEMENT INMARUTI DEALERSHIP

FOR

MARUTI WONDER CARS PVT. LTD.

SUBMITTED BY

ABHIJEET K. RAUT

UNDER THE GUIDANCE OF

PROF. - MRS. ASHWINI SOVANI

SUBMITTED TO

UNIVERSITY OF PUNE

IN PARTIAL FULFILLMENT OF THE REQUIREMENT

FOR THE AWARD OF THE DEGREE OF

MASTERS OF MARKETING MANAGEMENT (MMM)

THROUGH

VISHWAKARMA INSTITUTE OF MANAGEMENT

PUNE-48

ACKNOWLEDGEMENT

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I express great pleasure

in introducing my

project report titled

Customer Relationship

Management In Maruti

Dealership.

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I take this opportunity to

express my most

sincere and heartfelt

gratitude to Mr. Mukesh

Tadani (Asst.

Manager),Mrs. Savita

Kulkarni (HR Manager)

and Mr. U. G. Umrani

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(General Manager),

Maruti Wonder Cars Pvt.

Ltd., Pune, for providing

me with a wonderful

opportunity to execute

this project in their

esteemed organization

and for patiently

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mentoring and guiding

me throughout the

project.

This project would not

have been successful

without the precious

guidance of our director

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Dr. Sharad Joshi & my

project guide Prof. Mrs.

Ashwini Sovani, to whom

I express my sincere

gratitude and all those

who have helped me

directly and indirectly.

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Moreover, I would also

like to thank all the

employees of Maruti

Wonder Cars Pvt. Ltd.

for their constant support

and help.

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Once again I express my

gratitude to MARUTI

WONDER CARS PVT.

LTD., for providing me

this enviable opportunity

to carry out the project.

Abhijeet K. Raut.

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CONTENTS

Chapter Description Page No.

1. Introduction 1

2. Executive Summary 3

3. Objectives & Scope of Project 6

4. Company and Product Profile 11

5. Maruti Wonder Cars Pvt. Ltd. 25

6. Theoretical Background 35

7. Product or Service Promotion 44

8. Research Methodology 47

8. Findings 519 Limitations 55

10 Conclusion 57

11 Suggestions 59

12 Bibliography 61

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INTRODUCTION

INTRODUCTION

Maruti is a highest car manufacturer in Asia, Outside Japan and Korea. It is

one of most successful automobile company since its inception. The keys of

the first car was Handed over to Mrs. Indra Gandhi on 14th December 1981.

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Despite there being 11 companies now in the passenger car market in India,

Maruti holds about 54.5 % of the total market share. Maruti factory is situated

on old gurgaon- Delhi Road, at distance of about 7 km from GurGaon Bus

Stand.

Maruti Wonder Cars Pvt. Ltd. Is dealership of Maruti, located at Chinchwad,

Pune.

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EXECUTIVE

SUMMARY

EXECUTIVE SUMMARY

CRM is a business strategy, that integrates people, process and technology to

enhance relationship with customers, distributors, suppliers and employees to

maximize revenue growth and the market share. CRM is a comprehensive

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initiative that provides seamless co-ordination among sales, marketing,

services, field support and all other customer facing functions.

What is Happening in the CRM Industry?

CRM continuous to be the most vibrant, critical and evolving technology

category in todays market. CRM today is no longer just about enterprise

software. Rather, todays CRM is a flexible solution where you can mix

software, hosted services and others components to meet your specific

business needs. It goes beyond sales, marketing and customer services

applications into business intelligence, analytics, hosted applications, mobile

capabilities and much more!

No doubt, todays most serious business and technology challenges are

surrounding.

Acquiring and retaining customers

Customer loyalty

Increasing customer profitability

Addressing these challenges is imperative to any companys success. This

organization is already investing in the strategic capabilities to improve

competitiveness and profitability for today and in the future. In this context I

discussed a clear understanding of how to build a strategic CRM master plan

and how to implement plan.

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How mid to large enterprise companies are using CRM technologies

successfully to increase revenue and reduce costs.

An overview of the products available for each of the above mentioned CRM

solutions.

Here discussed about best practices in CRM strategy, design, and

implementation and CRM success stories across a various customers of

Maruti Suzuki.

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OBJECTIVE & SCOPE

OF THE PROJECT

OBJECTIVES

Managing Customers

Why manage customers? Customers are the usual source of income for an

organization.

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If not than they will certainly leverage your income, as in the case of readers

of a free publication which is funded by advertising. As such there are two

types of customers: the readers and the advertisers.

Customers are also an exceptional source of information- information which is

vital to enable a business to success; i.e. giving customers what they want.

Some of the basic objectives are as follows:

Knowing what customers want and need- which enables you to focus

your production and service efforts.

Knowing which products or customers have most growth potential-

which enables you to focus on developing highest potential.

Knowing which products or customers are most or least profitable-

which enables you to focus on maximizing profit.

Knowing which customers will advocates and supporters- which

enables you to provide references, case studies and to safely test new

products and services.

Knowing about the customer satisfaction level and increase customer

satisfaction level, and to know about that are they getting exactly what

they want.

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To identify the threats aced by the Maruti, Wonder Cars Pvt. Ltd.,

Pune due to customer relationship and to create the awareness to the

employees of Wonder Cars Pvt. Ltd. regarding the customer value.

SCOPE

The study titled Customer Relationship Management has been conducted on

behalf of Maruti Wonder Cars Pvt. Ltd., Pune. The study focuses on the

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prospective customers who are giving business to the company. A data

prepared to find out the business fitness in the market initially, which provides

Strengths and Weakness about the organization to lead the project in a

systematic manner.

On obtaining information, an analysis had been done to find out the better

Relationship Management with the customers by using the latest technologies.

The recent internet technologies like e-commerce etc. whish supports to

increase the efficiency of customer relation.

Personalized customer attention acknowledging the customer, as the king is

the Mantra of Maruti. The Customer is King, Customer Services is of

paramount importance to stay in the business are principle followed by

Maruti Wonder Cars Pvt. Ltd.

The focus of Maruti Wonder Cars Pvt. Ltd. is on:

Customer Relationship

Customer Loyalty

Profitability

Value Creation

This goal can be achieved through the process of:

Transforming corporate culture from being product center to customer centric.

Movement from mass marketing to target market of individuals.

Reduction in cost per transaction substantially.

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Reaching out to customer is the most cost effective way with target offers.

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COMPANY AND

PRODUCT PROFILE

COMPANY PROFILE

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When Maruti entered the Indian Market, it should to fill what it perceived as

two very glaring needs. One to provide fuel efficient, low- cast vehicles,

which were reliable and of high quality. Two, to offer customers a friendly

sales and after sales service. Total automobile value and customer satisfaction

these objectives shaped company policies and company approach to quality.

Additionally, the absence of an efficient public transportation system was

leading to a growing demand for passenger cars. A burgeoning work force and

growing middle class population meant that personal transport had become

necessary.

The first car rolled out for sale on 14 th December 1983, the company went into

production in a record into 13 month marketing. The beginning of a revolution

in the Indian Automobile Industry.

Through the year Maruti has provided word-class contemporary Japanese

technology, suitably user with a range of car to suit different needs. Marutis

market share of vehicles was over 70%, in addition to leading in

economic car segment, Maruti is also the leader in the luxury car segment

with a market share of 30%.

The success of the joint venture led Suzuki to increase its equity from 26% to

40% in 1987, and future to 50% in 1992. As a result Maruti change from being

a government company to nongovernmental company.

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Several measures of performance have made amply clear that Maruti has

established a truly work culture. Maruti have met all project and performance

targets since inception. Companys productivity levels are constantly

improving. The companies have good labors relations with

employees from the very beginning, and have been successful in the export

market. Maruti adhere to the spirit of Kaizen, which states that Continuous

Improvement is always possible. The most basic tent of productivity that

company hold dear is that Today should be better than Yesterday and

Tomorrow should be better than Today.

ORGANIZATION OVERVIEW

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Maruti Udyog Limited (MUL) was established in Feb. 1981 through an Act

of Parliament, to meet the growing demand of a personal mode of transport

system. Suzuki Motors Company was chosen from seven prospective

partners worldwide. This was due to not only undisputed leadership small cars

but also to their commitment to actively bring MUL contemporary technology

and Japanese Management practices (which had catapulted Japan over USA to

the Top Auto Manufacturing Country).

A license and joint venture agreement was signed between Govt. of India and

Suzuki Motors Company (now Suzuki Motors Corporation of Japan) in Oct.

1982.

The objectives of MUL then were:-

Modernization of Indian Automobile Industry.

Production of fuel-efficient vehicles to conserve scarce resources.

Production of large number of motor vehicles which was necessary for

economic growth.

OUR VISION:

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The leader in the Indian Automobile Industry, creating customer delight and

share holders wealth, a price of India.

OUR CORE VALUES:

Customer Obsession.

Fast, Flexible and First Mover.

Innovation and Creativity.

Networking and Partnership.

Openness and Learning.

OFFICES/ DEPARTMENTS

Divisional Commissioner Office

Deputy Commissioner Office

Additional Deputy Commissioner Office

Sub- Divisional Magistrate Office

Police Department

District Development and Panchayat Office

State Council of Education and Research Training(SCERT)

District Education Office

Excise taxation

Industry

Sport Department

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Health Department

District Child Welfare Council (DCWC)

District social Welfare Organization (DSWO)

District Red Cross Society

Food and Supply Office

Planning and Development Department

MARUTI ON ROAD SERVICES

Even the most stringent quality measures, complex machines like cars can

sometimes malfunction. Just call 24 hour Maruti On-road Services (MOS)

center during an emergency and help will be on its way to you.

The MOS ensures :-

Round-the-clock services in almost all the city.

A common contact number across the country, i.e., 9622-9622-00.

A computerized call-monitoring system dispatches a mobile MOS van

to you at the earliest.

All MOS vans are manned by qualified Maruti Authorized Dealers /

MASS technicians who are trained by Maruti in Problem diagnosis.

You are charged only Rs. 100. on labour and spares.

The charges do not apply if the vehicles are under warranty.

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The first 24 Hours MOS was launched on a pilot run in Delhi in

January 1999. This service was then extended to Bangalore,

Calcutta, Chandigad, Chennai, Hyderabad, Ludhiana, Mumbai

and Pune in September 1999.Success of the service in these stations led to the

addition of nine more cities in April 2000.

Today, MOS is available in the following 41 cities across the

Country:

Ahmedabad, Ajmer, Ambala, Amritsar, Bangalore, Bhopal,

Calcutta,Chandigad, Chennai, Cochin, Delhi,

Faridabad, Ghaziabad, Gurgaon, Hyderabad, Indore, Jaipur,

Kanpur, Lucknow, Ludhiana, Madurai, Mangalore, Mumbai,

Mysore, Nagpur, Noida, Panchkula, Patana, Pune, Rajkot,

Surat, Varanasi,Vadodara.

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PRODUCT PROFILE:-

The Wonder Cars Pvt. Ltd. is handling sales of Maruti Vehicles. It includes

the several Maruti models. The name, main features, launching year and punch

line of all models are as follows:-

1. MARUTI-800 [ Change your life ]

Launching in 1982.

Maruti 800, the largest selling car in India and also first Indian car. This car

is having 796cc, 37bhp, 3 cylinders with 6 valves. Fuel tank capacity is 28

liters. Having ground clearance 170mm and turning radius 4.4m. Better fuel

efficiency and low maintenance due to that this car is highly affordable. This

car is mainly preferred by the first buyers and economy class peoples.

2. OMNI [ FITS ALL]

Launching in 1984.

The Maruti Omni powered by Suzuki, the world leader in compact car

technology. This car is having 796cc, 35bhp, 3 cylinders with 6 valves. Fuel

tank capacity is 36 liters. Having ground clearance 165mm and turning radius

4.1m. The Omni is fuel-efficient , comfortable and needs very little

maintenance. The Omni has taken a technology leap. It now comes with a

MPFI engine. Making it confirm to the stringent Euro-II emission norm. It is

used so extensively as an ambulance, a school van, courier van, a mobile store,

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a florists van, a staff car, a light goods carrier etc. Recently the Dual-Fuel

option is available in this car.Superb maneuverability because of sliding doors

and very less turning radious.

3. GYPSY

Launching in 1985.

Superb maneuverability smooth handling and raw energy packed aim to

sleek yet rugged frame the gypsy king is the real adventure gear whether

passing through dirt tracks, capacity to making way through the urban jungle.

With and incredible power of 80 BHP a 6000 RPM and a whopping troque of

100 Nm @ 4500 rpm.

4. ZEN

Launching in 1993.

Zen is the Indias number one car in its categories at features suede leather

finish seats a 3-spoke steering wheels, wood grain finish consoles and acutest.

Main features are 4 in line cylinder, 1527cc and 57 BHP@ RPM with turning

radius 4.9M.

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5. ESTEEM [ Welcome to the BIG world ]

Launching in 1994.

The Esteem, Indias favorite luxury car that makes the longest drive looks

lime as print and that maneuvered thought traffic like knife through butter.

The new Esteem is available in 3 variants Esteem-LX, Esteem-LXi and

Esteem-VXi. Powered by a 16 bit computer and a 16 vale MPFI Suzuki ACE

engine, the Euro-II complaint Esteem can takes speed form O-100km/hr in

11.49 seconds. This car is having engine all aluminium 1298cc, 85bhp, 4

cylinders with 16 valves. Fuel tank capacity is 40 liters. Having ground

clearance 170mm and turning radius 4.8m.

6. BALENO [ OWNERS CHOICE ]

Launching in 1999.

Baleno is a luxurious travel car. A twin as doubles the luggage space, large

cabin space with flexi seating option that can send up to 5 people. Having fuel

tank capacity 51 liters, 170mm ground clearance, turning radious 4.9m.

Having 1590cc, All aluminum, 4 cylinders with16 valves and 91 BHP@5500

RPM and torque 130.5Nm @ 3000rpm, engine of Baleno smooth power

delivery quick acceleration in short a try technology master piece.

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7. WAGONR [ For The Smarter Race ]

Launching in 2000.

The WagonR is tall boy design because the roof height is 1690mm. This car

is having 1061cc, 64bhp, 4 cylinders with 16 valves. Fuel tank capacity is 35

liters. Having ground clearance 165mm and turning radius 4.6m. This car is

having 32-Bit Electronic control module (ECM) because of that highly

integrated ECM car is having better control and high efficiency.

8. ALTO [ Lets Go]

Launching in 2000.

It comes in 3 variants i.e. std Alto, Alto-LX, Alto-LXi. is thundering MPFI

engine with 4 values per cylinder and 16 bit computer will tackle all

challenges meets smooth performance. This car is having 796cc, 47bhp, 3


clearance 160mm and turning radius 4.6m. Better fuel efficiency and low

maintenance due to that this car is highly affordable. This car is mainly

preferred by the first buyers and economy class peoples.Raw power meets

optimal fuel efficiency high tensile steel door beams guards against Collission

impact 8-inch Booster Assisted Breaks in front provide for controlled stooping

power. The AC is deal for Indias tropical climate and cool the interiors in

seconds.

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9. VERSA [ The joy of traveling together ]

Launching in 2001.

It comes in 3 varients i.e. std Versa, Versa-DX, Versa-DX2. This car is

having 1298cc, 82bhp, 4 cylinders with 16 valves. Fuel tank capacity is 40


having seating capacity of 8 persons comfortably so that punch line of this car

is The joy of traveling together. Recently this car is not for sale.

10. GRAND VITARA [ Play it your way ]

Launching in 2003.

This is highest cost car of Maruti-Suzuki. This car is having highly

technical facilities like - Four Wheel Drive, Anti-lock Breaking System(ABS

System) for better breaking on wet surface, EBD System, 6 speeds( 5

forward+1 reverse), Independent front and rear suspensions for better ride and

handling, Tilt adjustable power steering, In-dash CD with steering mounted

audio system, Dual front airbags, Drive by wire, tubeless tyres. This car is

having 1995cc, 119.5bhp, 4 cylinders with 16 valves. Fuel tank capacity is 66

liters. Having ground clearance 200mm and turning radius 5.5m. Due to that

this car is having high luxury, comfort, safety so that price of this car is high.

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11. SWIFT [YOURE THE FUEL ]

Launching in 2005.

This car is having very stylish and sporty look, so that it attracts young

generation. This car is having 1298cc, 87bhp, 4 cylinders with 16 valves. Fuel

tank capacity is 43 liters. Having ground clearance 170mm and turning radius

4.7m. The car design allow specious interiors, ride comfort, better on-road

handling and stability.

12.WAGONR DUO [ DRIVE THE WAY YOU WANT ]

Launching in 2006.

. This car is having RTO permitted LPG kit, 1061cc, 64bhp, 4 cylinders with

16 valves. Fuel tank capacity is 35 liters (petrol) and 22.5 liters (LPG). Having

ground clearance 165mm and turning radius 4.6m. Better economy because of

Duel-Fuel option.

13. ZEN ESTILO [ SHAPE YOUR WORLD ]

Launching in 2006.

ESTILO means Stylish. This car is having very stylish look, very high

comfort. It is attracting Women market and young generation. This car is

having 1061cc, 64bhp, 4 cylinders with 16 valves. Fuel tank capacity is 35


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having 32-Bit Electronic control module (ECM) because of that highly

integrated ECM car is having better control and high efficiency.

14. SWIFT DIESEL [ YOURE THE FUEL ! ]

Launching in 2007.

The Swift is newly launched by the Maruti Udyog Limited. This car is

having very stylish and sporty look, so that it attracts young generation. This

car is having 1298cc, 87bhp, 4 cylinders with 16 valves. Fuel tank capacity is

43 liters. Having ground clearance 170mm and turning radius 4.7m. The car

design allow specious interiors, ride comfort, better on-road handling and

stability.

15. SX4 [ MEN ARE BACK ]

Launching in 2007.

The SX4 is newly launched by the Maruti Udyog Limited. This car is

included in luxurious car segment. This car is having 1586cc, 102bhp, 4


clearance 180mm and turning radius 5.3m. It is having high cost because of

high technical features like ABS (Anti-Lock Breaking System), EBD

( Electronic Break Distribution ) system. Due to that this car is having high

luxury, comfort, safety so that price of this car is high.

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WONDER CARS

PVT. LTD.

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MANAGEMENT RESPONSIBILITY

RESPONSIBILITY DESCRIPTION

1. Responsibility for executive director-

Ultimately responsibility for the quality of the in all fields.

Future planning and giving orientation to the business.

Responsibility for overall quality policy.

2. Responsibility of G.M. -

Responsibility for the quality of the company in fields.

To improve quality manual and procedure.

Talking part of review meting.

Planning strategies for vehicles sales spare part sales and customer

satisfaction.

Cost control and budgeting.

Selling / forecasting (targets).

Review customer complaints once a fort night.

Chairing the management review.

Sectioning adequate budget requirement.

To implement management plans.

To implement HRD programs.

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3. Responsibility of Manager-

Controlling quality system.

Day-to-day administration.

Dealership development activities as a whole.

FUNCTION OF VARIOUS DEPARTMENTS

A. Personal and administration:

House keeping.

Training of employment after identifying.

Maintaining service records.

Statutory complaints.

B. Sales:

New vehicle sales and documentation.

Procurement of vehicle.

Co-ordination with workshop.

Receipt of new vehicle.

Customer complaints and follow up.

Field sales.

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Training.

Managing sales force.

Marketing:

Marketing

Identifying opportunity.

Marketing strategies and programs.

Planning and Promotion.

Market Research.

Advertising and Organization events.

1. Service and repair (Workshop)

Controlling quality system.

Review customer complaints and analyze defects in vehicle reporting

to Wonder Cars Pvt. Ltd. and time of first service and taking

preventive actions.

Opening job card.

Carry out services and repairs as per laid out procedures and

instructions in check sheet and manuals.

Final inspection of service vehicle.

Deliver of vehicle to the customer.

Warranty handling.

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Simple audit of serviced vehicle.

Post services follow up.

Customers complaints handling.

Maintenance of equipments and facilities.

Pre- delivery inspection.

2. Spare part section:

Planning forecasting and inventory control.

Procurement of parts.

Proper stocking and identification.

Workshop issue.

Counter sales.

3. Finance activities:

Bank transaction.

Expense control.

Documentation.

Computerization

PERSONNEL AND ADMINISTRATION

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Procurement and administration is not the only function of this division. HR

development is an area of this division looking after the development of

personal giving training for new aspirants and conduction seminars and events

to improve the living and social status of employees. Also welfare services i.e.

canteen facilities, accident benefits etc.

Other than this, the workers education, cultural activities and community

development are some of its functions. Personal department also helps in

making good industrial relations to avoid any conflict between employees and

management. All the problems regarding their increment, employees,

conflicts, complaints of working conditions, bonus, promotion, incentives,

strikes, etc. are also handled by this department.

INCENTIVE SYSTEM

In Wonder Cars Pvt. Ltd. besides wages and salaries, employees are paid

incentives depending on their performance.

Incentives are monthly benefits paid to workman in recognition of their

outstanding performance. The Wonder Cars Pvt. Ltd. adopted the incentive on

the basis of target achieved by employees in their respective fields. Also

maruti provides incentive schemes for every month to all dealerships. All

dealerships must provide incentives to the DSE (Dealership Sales Executives).

PROCEDURE FOR VEHICLES SALES OPERATION

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1. PROCUREMENT OF VEHICLES

All vehicles for sales should be procured from MUL as per the

procedure laid down by MUL in their bulletins in circulars from time

to time. Details of all vehicles received at the dealership shall be

recorded in the vehicles receipt in the format specified by MUL and

also entered to the computer. Model, chassis number and engine

number will identify all the vehicles.

Vehicles received from MUL shall be inspected for shortage and

transits damage and from correctness of accompanying documents

transits damage and shortage will be mentioned in the transport

documents and in the vehicle received registered as per guideline

provided by MUL.

Vehicles not found to be sold as new vehicles are to referred to MUL

long with the complete documentation specified for the same accepted

are to be handed over to the workshop for repairs and replacement of

shortage items. All new vehicles shall under to PDI and records shall

be maintained in the register for the same.

SALES

A customer can communicated his intention to buy a vehicle over

telephone or by a personal visit (walk in).

Incase of communication over phone, the front office state will note

down the name, address and phone no. of the customer in the enquiry

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register and inform the field staff in details to enable them the follow-

up the sales with the customers.

Whether a customer enters the front office of the sales department the

dealership sales executive (DSE) should welcome to the customer treat

the customer and politely ask customer for the service required and

according shall comply. If the customer has come for the Performa

invoice the same for the required model shall given.

In the booking procedure colors available delivery period should be

clearly explained. The details of the customers name, address, phone

number shall also be entered in the inquiry register to enable the field

staff to follow up on the sale.

Whenever a customer comes to the book a vehicle or make payment

for ready stock vehicle the order booking form and payment receipt

shall be filled in and given to the customer. The delivery time shall be

clearly explained to the Customer at the time of making payment.

Allotment and delivery of booked vehicles shall be as per the guideline

of MUL for booked vehicle.

In case of any change in product specification price or delivery period

the same shall be intimated to the customer by phone or in writing.

The customer signature must be taken on order booking form to

finalize the same contract. The customer signature must also be taken

On the delivery document at the time of handling over the vehicle to

the customer after he is satisfied in all respects.

All documents for pertaining the sale including order booking form,

invoice, sales letter and delivery note shall be kept in the docket in all

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times. The docket shall be opened at the time, customer make the

booking. The docket shall be kept in the sales debt in the files years

marked for the same and these shall be preserved in the record section.

DSE must have to ask the customer about the delivery date and time

according to the customers convenience and arrange the ceremony

program for delivering the vehicle.

After all documentation work is completed, the customer shall be

given a test drive in his vehicle and satisfied of them vehicle condition

before delivery. They shall be explained the operation details of the

vehicle by the sales executive and service advisor before delivering the

vehicle.

In case the customer is not satisfied about any aspect of the vehicle the

same shall be attained immediately to a satisfaction.

2. AFTER DELIVERY FOLLOW-UP:

All customer shall be provided with postage prepaid sale feedback

form at the time of delivery. The delivery staff request the customer to

fill up the same and mail it back with his comments andobservation.

An after delivery follow-up shall be done with all customers over the

phone by the sales executive within 3 days after delivery of the vehicle

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regarding performance of the vehicle. The response will be recorded in

a register.

If the customer reports any problem/ dissatisfaction, he shall be asked

to bring his supervisor of the customer complain cell and set right. The

GM and Chief executive shall review of the sales feedback forms

received back from the customer. Other suggestion made by customer

shall be compile analyzed and action taken whenever required.

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THEORITICAL

BACKGROUND

THEORITICAL BACKGROUND

CUSTOMER RELATIONSHIP MANAGEMENT

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CRM- Principles, strategy, solutions, applications, systems, software, and

ideas for effective customer relationship management.

Customer Relationship Management, or CRM, is an essential part of modern

business management. This CRM article is proved by Ellen Gifford, who

specializes in helping organizations develop excellent in CRM , and

his contribution is gratefully acknowledged.

What is Customer Relationship Management, or CRM?

Customer- Relationship- Management concerns the relationship between the

organization and its customers. Customers are the lifeblood of any

organization be it a global corporation with thousands of employees and a

multi-billion turnover, or a sole trader with a handful of regular customers.

Customer Relationship Management is the same in principle for these two

examples. It is the scope of CRM which can vary drastically.

CRM focuses on the relationship

Successful organization use three steps to build Customer Relationship:

Determine mutually satisfying goals between organization and customers.

Establish and maintain customer rapport.

Product positive feelings in the organization and the customers.

CRM conditions:

The organization and the customers both have sets of conditions to consider

when building the relationship , such as wants and needs of both parties :

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Organizations need to make a profit to survive and grow.

Customers want good service, a quality product and an acceptable

price.

Good CRM can influence both sets of conditions.

CRM is a new concept to many organizations. If its new to you, heres why

most forward thinking organizations devote lot of energy and resources to the

set up and management of a CRM capability.

How CRM impacts on the organization

CRM can have a major impact on the organization through :

Shifting the focus from product to customer.

Streamlining the offer to what the customer requires, not according to

the organization want.

Highlighting competencies required for an effective CRM process.

Why does the organization need the CRM :

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The ultimate purpose of CRM, like any organizational initiative, is to increase

profit. In the case of CRM this is achieved mainly by providing a better

services to your customers than your competitors. CRM not only improves

the services to customers though ; a good CRM capability will

also reduce costs , wastages , and complaints (although you may see some

increase initially , simply because you here about things that without CRM

would have stayed hidden.) Effective CRM also reduces staff stress, because

attrition a major cause of stress reduces as services and

relationships improve. CRM enables instant market research as well: opening

the lines of communications with your customers gives you direct constant

market reaction to your products, services and performance, far better than any

market survey. Good CRM also helps you grow your business; customers stay

with you longer; customer loosing rates reduce; referrals to new customers

increase from increasing numbers of satisfied customers; demand reduces on

fire-fighting and trouble-shooting staff, and

Overall the organizations service flows and team work more efficiently and

more happily.

Features of good CRM

The old viewpoint in industry was: Heres what we can make-who wants to

bye our product?

The new viewpoint in industry is :

what exactly do our customers want and need ? and

what do we need to do be able to produce and deliver it to our

customers ?

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This is a significant change of paradigm and a quantum leap in terms of how

we look at our business activity.

CRM AS A PROCESS:

CRM as we can see, is a process whose objective is to enhance customer

loyalty. This process consist of following:

Creation and management of data mining and warehousing.

Development of appropriate organizational structures.

Investment in technology.

People development

CRM PROCESS.

Managing customers

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Knowing which customers will be advocates and supporters which enables

you to provide references, case studies, and to safely test new products and

services achieving good CRM.

Achieving effective Customer Relationship Management requires many

organizations to adopt a new perspective. Consider the following:

Your relationship with customers should be ongoing, co-operative, and built

for the long term. Organizations who have many transitory relationships with

customers Consequently have to spend a lot of money on finding new

customers.

The cost of keeping existing customers is a tiny fraction of the cost of

acquiring new customers. The essential CRM focus of any organization

should be on developing core competencies, and an overall strategy of

building customer relationship. In this way, all efforts in the organization can

be aligned to :

Understanding and managing the people impact on the culture of the

organization

Customers being recognized and treated as partners

Service being seen as a value-adding activity

Reward and recognition being based on customer focus

i.e; going the extra mile

Characteristics of excellent CRM

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The following characteristics are associated with delivery of excellent

CRM:

Reliability

Responsiveness

Accessibility

Safety

Courtesy

Consideration

Communication

Recognizing the customer

Competence

CRM and communications

Communication is central to any successful relationship. In terms of

Relationship Management, communication needs to be consistent and high

quality as determined by :

on time

focused

relevant

reliable

coherent

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Important also, for effective communications its the message and meaning

that is received that counts, irrespective of what the communicator thinks

theyve said, or written. Communication must be judged most vitally by the

reaction of the receiver. If the reaction is not good then the communication is

poor. The information contained in a CRM system allows communication to

be directed at the correct audience, in the correct way. The communication

system must also encourage and facilitate honest and actionable feedback.

Feedback from customers- especially complaints are essential for good

organizational performance and ongoing development. Most organizations

avoid, discourage and hide from complaints. Complaints are free guidance for

improving your quality, and free opportunities to increase customer loyalty.

PEOPLE AND CRM

As with any other business process your people have a huge impact on the

success of the CRM process.

Successful and effective Customer Relationship Management people tend to

display the following key characteristics:

positive attitude

people orientation

organizational skills

analytical skills

customer focus (natural empathy)

understanding of the link between CRM and profitability

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On the subject of empathy: Empathy is about understanding, not

necessarily agreeing.

Effective customer focus enables the organization and its staff to see both

Sides, and to work with the customer to arrive at the mutually and

satisfactory sustainable solution.

Benefits of effective CRM

There are significant business benefits which occur from an effective,

integrated Customer Relationship Management approach. These include:

Reduced costs, because the right things are being done

( i.e. effective and efficient operation)

Increased customer satisfaction, because they are getting exactly what

they want ( i.e. exceeding expectations)

Maximization of opportunities (e.g. increased services, referrals, etc)

increase access to a source of market and competitor information.

highlighting poor operation process.

long term profitability and sustainability

Forward thinking organizations understand the vital need to maintain a

strategic focus on CRM and to resource and manage it appropriately.

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PRODUCT OR

SERVICE PROMOTION

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PRODUCT / SERVICE PROMOTION

Promotion is main activity of marketing department. Promotion includes all

the activity in which the company under communicates and promotes its

product services to the target market. For this a company has to hire, train, and

motivate sales people. It has to set up communication and promotion program

consisting of advertising sales promotion, public relations and direct and on

line marketing.

The marketing department of Wonder Cars Pvt. Ltd. also uses different type of

promotion tools to communicate their target market. Wonder Cars Pvt. Ltd.

use following tools:

1. Advertising

Advertising is any paid form of presenting ideas, product and services to the

customers. Wonder Cars Pvt. Ltd. uses Newspaper, Advertisement, trade

shows, promotions in corporate as well as in villages and Banners for their

advertising, the radio advertisements.

2. Events

Wonder Cars Pvt. Ltd. also organizes events to promote their product and

services. It includes meals, school competition, free service camp.

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3 Sales Promotion

Sales promotion is the activity done by the organization for increasing the

sales of particular product in given territory and time. Sales promotion consists

of diverse collection of incentive tools mostly short term, design to stimulate

quicker or greater purchase of particular product or service by consumers.

Wonder Cars Pvt. Ltd. uses these tools very often to attract more and more

people for purchasing and servicing. The sales promotion tools, which Wonder

Cars Pvt. Ltd. uses, are following types:

(A) Free Test Drive

Wonder Cars Pvt. Ltd. gives free test drive for all vehicle before

purchase.

(B) Offers

Offers usually come from MUL.

(C) Discounts

Wonder Cars Pvt. Ltd. on a special occasion gives discount on

their services charge. Also provide discounts given by MUL.

(D) Free Accessories

Some time Wonder Cars Ltd. offers new accessories free cost.

(E) Trade Shows

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Wonder Cars Ltd. organize trade shows to promote their sales.

RESEARCH

METHODOLOG

Y

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RESEARCH METHODOLOGY

The methodology is basically the set of rules, procedures, tools, and

techniques used by the researcher for realization of research objective. The

process of designing research study involves many interrelated decisions. The

most significant decision is the choice of research approach. This determines

how the information will obtain.

There are three types of research approach: -

1) Exploratory research

2) Descriptive research

3) Causal research

These types differ significantly in terms of research purpose, research

question, precision of hypotheses that are formed and data collection method

used.

1) Exploratory research: -

Exploratory research is seeking insight into general nature of

a problem, the possible decision alternatives and relevant

variables that need to be considered. The objective of

exploratory research is to find out new ideas flexibility, &

ingenuity characterized by the investigation. In the exploratory

research emphasis is given on the finding practices and policies

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that need changing and developing possible alternatives.

Exploratory research seeks to discover new relationships. Hence

most of the marketing research is of an exploratory type.

Exploratory research defines problem, which is then solved by

conclusive research.

2) Descriptive research: -

Descriptive research gives emphasis on description & such studies

are simply fact gathering expedition. Descriptive studies attempt to

obtain a complete & accurate description of situation. Descriptive

data are based as direct basis for marketing decisions.

3) Causal approach: -

When it is necessary to show that one variable causes or determine

the value of other variable the causal research approach is used. In

our research approach the exploratory as well as descriptive

approach is used to explore the various ways of obtaining the

information.

In planning and designing a specific research project it is necessary

to anticipate all the points that must be undertaken if the project is

to be successful in collecting valid and reliable information.

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Customers Expectation Survey

I had done the survey in that I asked to customers about there

expectations for the service from dealership.

Following are the customers expectations from dealership about service

quality:

Good treatment by sales executives and good environment in

showroom.

Those customers who are first time buyers they want suggestions about

which car is suitable to them.

Customers want to know all the features added in the car which they

want to purchase.

Customers want maximum discount.

Customers want to know about the various finance schemes available.

Customers want to know about the after sales service and insurance

renewal.

Customers perception is that they are investing a large amount of

money for purchasing a car. So they want very good service quality and

prompt service from dealership.

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Analysis Of Customer Preferences

I had done survey in that I asked to130 people about which companys car

they would prefer to purchase.

Customers preferences for purchasing a car:

COMPANY RESPONDANTS

Maruti 85

Tata Motors 18

Hyundai 13

Mahindra 8

Honda 4

Toyota 2

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6. RESEARCH ANALYSIS & FINDINGS

The survey was carried out in the Pune. The analysis has shown that most of

the customer expectations are fulfilled by Maruti Dealerships. Those

expectations which are not fulfilled, the dealership people can try their best to

improve.

Because of Marutis good products and good quality service provided by their

dealerships most of the customers want to purchase Marutis products.

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FINDINGS

FINDINGS

In last two years Maruti had done their 60-65% business by the

existing customer referrals.

In year 2006 Maruti Had 54.5% market shear. 11.5 lack cars sold in

year 2006, in that Maruti sold 6.5 lack cars.

Maruti having cars from very less price range to high price luxury cars.

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With the main product of cars Maruti provides following additional

services; Maruti- Call Centers, Maruti On-road Services (MOS),

Maruti- Insurance, Maruti- Genuine Accessories (MGA), Maruti- True

Value, Maruti- Finance, Maruti Autocard, Maruti- Driving School.

Marutis sales network spread across more than 200 cities, 400 sales

outlets across the country, service centers in more than 1100 cities and

towns, 550 dealer workshops, 1650 Maruti authorized service stations,

200 True Value outlets across India, Driving schools in Gurgaon and

Kochi.

Maruti Wonder Cars Pvt. Ltd. works on Single Window Concept, i.e.-

provides all the additional facilities suggested by Maruti. Because of

highly maintained quality they sales 300-350 cars per month.

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LIMITATIONS OF THE

PROJECT

LIMITATIONS

Non availability of official data.

There was time constrains (2 months), so that data collected is less.

To keep the project cost minimum due to budget constrains.

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Some of the respondents did not give other relevant information which

was required for the project

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CONCLUSION

CONCLUSION

Maruti has highest no of loyal customers in India.

By holding highest market shear, Maruti maintains their leadership in

car industry of India.

Maruti having products suitable for all income group peoples so that

Maruti have very large no of customers.

Maruti having very large network in all over India, ultimately Maruti

getting competitors advantage.

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Maruti dealerships Selling their product by the Single Window

Concept in that Maruti provides additional facilities to their customers

like finance, insurance, true value, MGA, MOS, autocard. Maruti not

only satisfies their customers but also delights them.

By using better CRM practices Maruti had won the hearts of the Indian

customers.

Maruti Wonder Cars Pvt. Ltd. Is very successful dealership of Maruti

in Pune.

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SUGGESTIONS

SUGGESTIONS

1. CRM awareness programs must be conducted in dealership for DSE on

regular interval.

2. Motivational programs must be conducted for increasing job

satisfaction level of employees ultimately satisfied employees can

provide better service to the customers and make them delight.

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3. Complaint box must be provided for the customers so that organization

can able to find out the problems in service quality.

4. By providing good interior of showroom, additional facilities like tea,

coffee, organization can able to reduce customer complaints.

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BIBLIOGRAPHY

BIBLIOGRAPHY

Customer Relationship Management Jagdish Seth.

Marketing Management - Philip Kotler.

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Books provided by Maruti in training program for the DSE (Dealership

Sales Executive).

Information broachers of car.

Information booklets of Maruti Wonder Cars Pvt. Ltd.

www.google.com
http://www.google.com/http://www.google.com/

0602001 CUSTOMER RELATIONSHIP MANAGEMENT IN MARUTI DEALERSHIP

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