CRM SYSTEM SELECTION CRITERIASELECTION PROCESSROI

Selection Criteria

CRM System aspects System Business functionality Technical architecture / technical aspects

Vendor qualification Vendor strength Range of services Vendor as a Strategic IT Partner

Partner Ecosystem Cost aspects / TCO User Base / User Groups

CRM System aspects – Functional / User aspects

Breadth and depth of functionality Regulatory requirements Flexibility to configure / meet changing requirements User interface / intuitive interface / ease of use Future requirements Product roadmap

CRM System aspects – Technical Aspects

Technology components Openness of architecture Scalability, Performance Integration / Interfacing / APIs Extensible Ease of integrating with other systems Ease of installation, bug fixing, etc. Ease of Customization Service oriented / Component based Data extraction / Report generators / Data model and structures

CRM System - Other aspects

User and technical documentation Upgrades Support aspects / SLA/SLIs Warranty

Contractual and Legal aspects Terms of use License metrics Indemnity, Liability, Termination, Escrow, et al.

CRM System – Vendor aspects

Vendor’s commitment to CRM Product Overall capability Customer references and installed Customer base; C-Sat Consulting / Implementation services Support services Domain expertise Partner : Network, expertise, range of partner services

Technical Deployment

In-house / Hosted / Hybrid Variations : ASP, SaaS, Hosted Centralized / Distributed / Decentralized Database

CRM SYSTEM SELECTION PROCESS

System Selection Process

Business Case and Approval - BANT System Requirements Document / RFI / RFP Evaluation Criteria, Selection Team RFI / RFP Process Product Demos / Proof of concept / Test case based demo Referrals / Reference site visits / Customer interviews Shortlisted vendors Final Proposal Negotiation / Contracting Order Finalization

CRM BUSINESS CASE

CRM Business Case and Plan

Value Proposition Project Objectives (in alignment with company objectives) Implementation Plan Program Governance model Costing Staffing New System or Technology / Impact on existing systems Risk factors and mitigation plan Success measurement criteria

CRM Project Vision

Current State Analysis Strengths and weaknesses of current processes What needs improvement Where are the pain points / bottlenecks that affect efficiency What competition is doing

Desired State Analysis This establishes project goals Form the basis for measuring project success “Gap” between current and desired state Examples Shorter sales cycle, Increased C-sat, Higher sales per rep., Higher close rate, Higher

margin per sale, Improved forecasting, Improved conversion, Reduced customer attrition, Stronger partner relationship

CRM Project Goals

Measurable, Tangible Goals Example

Accurate Forecasting Improved sales effectiveness Improved customer satisfaction Effective Campaign management Higher employee productivity Enhanced MIS / Analytics for decision support

Business Justification of Investment

First determine the ROI Expectations and ROI Indicators ; Define the goals and measurable objectives

Convert the measurable objectives to monetary terms – cost savings or increased revenue.

Example ROI Equation: Company XYZ automated 20 salespeople with a CRM solution. This Automation reduces salespersons’ non-selling admin time an

average of 4 hours a week. 4 hours X 20 salespeople = 80 extra selling hours/week. That’s equivalent to hiring two additional salespeople without the

overhead. Intangible benefits examples

Enhanced communication , Greater Responsiveness Better-informed employees Better-informed management

Business Plan – Typical Evaluation and Approval Factors

Business Plan – Typical Evaluation and Approval Factors

Business Requirements Gathering

Gathering Requirements From all stakeholders Inter-dependencies

Mapping Requirements to CRM Features

Business Processes

Traditional Customer Facing Process - Example

Business Processes

Traditional Customer Facing Process - Example

¨ Customer Focused Business Process with CRM

Business Process – Customer Focus & Orgn Efficiencies

Key aspects from Customer Perspective Does each interaction demonstrate value to the customer? Does any interaction waste the customer’s time? Does this process improve our ability to see this customer as an individual? Is there an opportunity to impress the customer or personalize the interaction

at discrete customer touchpoints? Can we include exception handling to ensure accurate service and personalize

interactions? Can this process be improved or even eliminated for high-value customers?

What about for the mid-value tier? Key aspects from Company Perspective

For a given customer-facing business process, how many departments are involved?

How many actual staff members touch in each process? What data is transferred between organizations, and how much? Does the information being shared change as it goes through the process? How

often? Do the organizations involved in each business process agree on business rules

and common terminology?

CRM PROJECT – SYSTEM IMPLEMENTATION

CRM Project Planning

Business goals and objectives Team Implementation schedule Budget and financial plan Technical infrastructure Business Process requirements and mapping Staffing Plan

CRM Project Deliverables

Specific business needs that the system should address Example Deliverables:

Classify contacts by type, such as prospect, customer, reseller, supplier, business partner Automatically notify other team members of important plans, events or customer

interactions Run reports automatically and distribute electronically Track customer referrals and lead sources Manage multiple marketing campaigns, projects and activities Create mailing lists and generate targeted direct mailings using fax, e-mail or standard

mail Maintain an online encyclopedia of all marketing and sales materials including slide

presentations, videos, graphics and audio clips Synchronize data changes, additions, deletions and modifications to records with mobile

users

Involve the Right People

Top management Executive Sponsors Business heads End Users

Prioritize

Must have / Critical for launch Nice to have Regulatory / compliance requirements Business value

CRM Project Management Planning Prioritize – Scope Design - Review Install – Build - Configure Test - Pilot - Adjust Launch - Measure Roll out - Support - Grow

CRM Project Implementation Phases

Business Process Management : BRD, BPR, Customizations Build, Testing

IT Architecture :HW and SW,Installation ,System Integration / Interfaces

Core User and End User Training

Application Configuration, Parameterization

User Acceptance Testing, Production assurance testing

Data Migration / data conversion strategy and execution

Parallel Run

Live Cut-over - Pilot

Production Support

Roll-out and ongoing maintenance

CRM Implementation - CSF

Project Governance – Exec sponsor, Steering committee, Project reviews, Risk management

Integrated approach – People, Systems and Processes Organizational change management - Managing People Project management – Scope, quality, expectations and costs