ICELAND TELECOMCompetitive Advantage through CRM & eDM Process Innovation

Agnar Mar Jónsson

Managing Director

Sales and Marketing

agnar@simi.is

Agenda

• Iceland Telecom

• Using Document Management to cope with your Account Management and Quality standards

• What's CRM

• Using Document Management for an effective CRM

Iceland Telecom, activites• 1.300 employees

• 300.000 customers

• Inbound activities– 35.000 incoming calls per day

• 2500 service orders per day

– 1000 Customers per day through Service Centres– 35.000 Internet customers per day

• 600 service orders per day through the Web

• Outbound activities– Account management to large and medium sized companies– Direct Sales to High Valued customers

Iceland Telecom 1999

• Other FACTs:– Fierce competition evolves in the small Icelandic market

– Laws and regulations to cope with

– Shift in the market and new players are entering

– Multiple staff sometimes work on a customer issue unaware that it is being addressed by other staff

– Customers sometimes feel compelled to call multiple departments and perceive their concern has been handled inappropriately or "fallen through the cracks“

– No central database for tracking requests or complaints

– Sales channel not implementet

FACT: We used to be a governmental organisation

Desission taken 1999

• New division, Strategic Accounts– Aggressive sale to large accounts– Implement Document Management System to

maximise results– Implement the sales process throughout the

organisation– KISS

The main objectives:

• The main objective of the project was to increase the quality of service to customers and the efficiency of employees, achieved by:– Adopting all work processes to a

user-friendly/standardised system with "open access" where many people can work on the same case resulting in increased output from the processes

– Implementing electronic data/document management with controlled, traceable and categorised access to all documented clients and projects

The purpose of the implementation was:

• To be able to store documents electronically, scan or record, references to hardcopy documents and store all e-mail in a centralised database

• To make documents and the company's filing system more visible and more accessible

• To make written communication simple and easy.• To support project and issue management• To register all complaints and use them to become a

better organisation

The Solution

GoPro Case forCorrespondence

GoPro Case forCase mgmnt

ITSSQualityModule

All customers•Inbound•Outbound•Cases

Serious Complaints•Responsible employee•Customer related

Quality control•Evaluation•Grouping

IBMContentManager

Scanned documents

Complaints

Contact Centre

Ppositive impact on the organisation

• Unified/standardised view of all documents.

• Document processing and creation faster and less costly

• Faster searching options

• Storage plan for each file category insures document safety

• Eliminates unnecessary copying and duplication of documents

• Eliminates inconsistency between electronically stored documents and hardcopy documents

• All work is controlled by quality standards

FACT: No more brown envelopes!

Verifiable benefits (tangible and intangible).

• The time used to distribute incoming documents has gone down 60%

• Employees using the application spend at least 50% less time in finding documents and customer information

• Employees in sales and customer relations (about 200 at Iceland Telecom) spend 30% of their time looking for information

• The Customer has huge impact on how we operate.• In whole this is estimated to save directly over 5.000 hours a

month. Estimated wworth 200.000 Euro a month.• Process improvement and complaints services valued at

approximately 60.000 Euro a month.

Desission taken 2000

• The organisation is turned 180 degrees– Focus on the market rather than products– Divided up in Organisations and Residential

• New division, Sales and Marketing– Active sales to small companies and the

residential market– KISS

Residential market, Year 2000

• Service Centres– 10 stores around the country– No direct sale– Advertise, advertise…with hope to reach

customers

Corporate Sales, Year 2000

• Account management since 1999– Increased revenues (30%)– Increased customer satisfaction

• Account Management not feasible for small companies– 14000 companies– Call Centre plus 2 sales reps

Farsímamarkaðurinn:

Call Centre evolution

Agents Groups

CTI

Simple Access To Iceland Telecom

WAPE-mailFaxphone

Contact center

Letter

Plain Telephoniservice

Mobile telephoniservice

SalesService

Residential Customers, small companies

Internet ISDNADSL

Broadband etcservice

BillingServices

WWW

Cost per channel

• Direct Marketing $ 5

• Contact Centre $ 21

• Sales force $ 160

• WWW/e-mail 16 cent

Why Management

• Savings– 5 to 8 times more expensive to get customer than keep.

• Deep Sell– Sell more of the same

• Up Sell– Sell more value

• Cross Sell– Sell add-on things

Customer Loyalty

CostRevenues

New Customer Maintain Customer

CustomerAcquisition

Cross SellUp SellDeep Sell

LoyalCustomersGet new

Satisfaction

The CRM Model

CustomerLive TimeValue

Loyalty

Cross SellUp SellDeep Sell

ImageServices

CRM

Data Warehouse

GoPro/ITSS

Customerbehaviourmodel

Customer

Customeranalyses

Relations

Customer Information

Managers Control Board

LAST FACT: 2’nd best in Europe

AIIM

Iceland Telecom CRM solution chosen 2’nd best in Europe atAIIM conference 2000

Why all this?????

• We want to be faster than our competitors to understand our customer needs...

• …and more over, to have the ability to create solutions for that customer faster than the competitors.

• We want to stay in touch...