Project on Maruti Suzuki

81
A PROJECT REPORT ON MARUTI SUZUKI Study on Customer Relationship Management” VIPUL MAHARAJA AGRASEN INSTITUTE OF MANAGEMENT STUDIES (AFFILIATED TO GURU GOBIND SINGH INDARAPRASTHA UNIVERSITY)

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Project on Maruti Suzuki

Transcript of Project on Maruti Suzuki

Page 1: Project on Maruti Suzuki

A PROJECT REPORTON

MARUTI SUZUKI

”Study on Customer Relationship Management”

VIPULMAHARAJA AGRASEN INSTITUTE OF

MANAGEMENT STUDIES

(AFFILIATED TO GURU GOBIND SINGH INDARAPRASTHA UNIVERSITY)

A PROJECT REPORT

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ONMARUTI SUZUKI

Project guide: Amit GuptaSubmitted by: VipulRoll no: Enrollment no: Programme: B.B.A. (Gen)Semester:

MAHARAJA AGRASEN INSTITUTE OFMANAGEMENT STUDIES

GURU GOBIND SINGH INDRAPRASTHA UNIVERSITY

CERTIFICATE

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This is to certify that the project entitled “Study on Customer Relationship Management” submitted by Vipul, Enroll no. has been done under my guidance and supervision in partial fulfillment of Bachelor of Business Administration.

The working analysis mentioned in this report has been undertaken by the candidate herself and necessary reference has been recognized and acknowledged in the text of the report.

Mr. Amit Gupta(Internal project guide)

ACKNOWLEDGEMENT

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“Many talented people have contributed to the successful completion of this work and I would like to extend a word of thanks and appreciation to all of them.”

First, I take this opportunity to acknowledge my institution Maharaja Agrasen Institute Of Management Studies, Indraprastha University where I am pursuing my degree Bachelor of Business Administration.Second, I empress my thanks to Mr. Amit Gupta, Internal Project Guide, for her guidance, support and encouragement which helped me in completing my project.Above all, I would like to thank the Almighty God without whom this work could never have been completed.

VIPUL

PREFACE

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The world of marketing is moving more rapidly than ever. The intelligent and successful people

TABLE OF CONTENTS

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1. INTRODUCTION

2. PURPOSE OF RESEARCH STUDY

-RESEARCH STUDY

SCOPE OF THE STUDY

3. RESEARCH METHODOLOGY

-TOOLS OF RESEARCH

-RESOURCE OF DATA

4. RECOMMENDATIONS , FINDINGS AND LIMATATIONS

5. CONCLUSION

6. BIBLIOGRAPHY

INTRODUCTION

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ORGANIZATION OVERVIEW

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 caused by the lack of an efficient

public transport system.

Suzuki Motor Company was chosen from seven prospective

partners worldwide. This was due not only to their undisputed

leadership in small cars but also to their commitment to actively

bring to MUL contemporary technology and Japanese

management practices (which had catapulted Japan over USA

to the status of the top auto manufacturing country in the

world).

A licence and a Joint Venture agreement was signed between

Govt of India and Suzuki Motor Company (now Suzuki Motor

Corporation of Japan) in Oct 1982.

The objectives of MUL then were:

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Modernization of the 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

Technological Advantage

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We have introduced the superior 16 * 4 Hypertech

engines across the entire Maruti Suzuki range. This new

technology harnesses the power of a brainy 16-bit computer to

a fuel-efficient 4-valve engine to create optimum engine

delivery. This means every Maruti Suzuki owner gets the ideal

combination of power and performance from his car.

Our other innovation has been the introduction of Electronic

Power Steering (EPS) in select models. This results in better

and greater maneuverability. In other words, our cars have

become even more pleasurable to drive.

Production /R & D

Spread over a sprawling 297 acres with 3 fully-integrated

production facilities, the Maruti Udyog Plant has already rolled

out over 4.3 million vehicles. In fact, on an average, two

vehicles roll out of the factory every minute. And it takes on an

average, just 14 hours to make a car. More importantly, with an

incredible range of 11 models available in 50 variants, there's a

Maruti Suzuki made here to fit every car-buyer's budget. And

dream.

PRODUCTION MILESTONES

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i) 1st vehicle produced, December 1983

ii) 1,00,000 vehicles produced by August, 1986

iii) 5,00,000 vehicles produced by June, 1990

iv) 1st vehicle produced, December 1983

v) 1,00,000 vehicles produced by August, 1986

vi) 5,00,000 vehicles produced by June, 1990

vii) 10,00,000 vehicles produced by March, 1994

viii) 15,00,000 vehicles produced by April, 1996

ix) 20,00,000 vehicles produced by October, 1997

x) 25,00,000 vehicles produced by March, 1999

xi) 30,00,000 vehicles produced by June, 2000

xii) 35,00,000 vehicles produced by December 2001

xiii) 40,00,000 vehicles produced by April, 2003

xiv) 45,00,000 vehicles produced by April, 2004

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MILESTONES

2005

The fiftieth lakh car rolls out in April, 2005

Growth in overall sales by 15.8%

2004

New (non A/C) variant of Alto

Alto becomes India's new best selling car

LPG variant of 'Omni Cargo'

Versa 5-seater, a new variant

Baleno LXi, a new variant

Maruti closed the financial year 2003-04 with an annual sale of

472122 units, the highest ever since the company began

operations 20 years ago

2003

New Suzuki Grand Vitara XL-7

Redesigned and all-new Zen

New upgraded WagonR

Enters into partnership with State Bank of India

Production of 4 millionth vehicle. Listed on BSE and NSE after a

public issue oversubscribed 10 times

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2002

WagonR Pride

Esteem Diesel. All other variants upgraded

Maruti Insurance. Two new subsidiaries started: Maruti

Insurance Distributor Services and Maruti Insurance Brokers

Limited

Alto Spin LXi, with electronic power steering

Special edition of Maruti 800, India’s first colour-coordinated

car

Maruti True value in Mumbai

Maruti Finance in Mumbai with 10 finance companies

Suzuki Motor Corporation (SMC) increases its stake in

Maruti to 54.2 percent

2001

Zen LXi

Maruti True Value launched in Bangalore and Delhi

Maruti Versa, India’s first luxury MPV

Alto Spin LXi, with electronic power steering

Alto Vxi

Customer information centers launched in Hyderabad, Bangalore and Chennai

Launch of versa

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2000

First car company in India to launch a Call Center

New Alto

Altura, a luxury estate car

IDTR (Institute of Driving Training and Research) launched

jointly with the Delhi government to promote safe driving habits

1999

Maruti 800 EX ( 796cc, hatchback car)

Zen LX (993cc, hatchback car)

Zen VXi (993cc, hatchback car with power steering)

Omni XL ( 796cc, MUV, high roof)

Baleno (1600cc, 3 Box Car)

Wagon R

Launch of Maruti - Suzuki innovative traffic beat in Delhi and

Chennai as social initiatives

1998

Maruti launches website as part of CRM initiatives Zen D (1527 cc diesel, hatchback car) Zen VX & Zen VX Automatic New (Omni & Omni E) (796cc, MUV) Launch of website as part of CRM initiatives

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1997

1998 Esteem (1299cc, 3 box car) LX, VX and AX

New Maruti 800 (796cc,hatchback Car) Standard and Deluxe

Produced the 2 millionth vehicle since the commencement of

production

1996

Gypsy (E) (970cc, 4WD 8 seater)

Omni (E) (796cc, MUV, 8 seater)

Gypsy King (1298cc, 4WD, off road vehicle)

Zen Automatic (993cc, hatchback car)

Esteem 1.3L (1298 cc, 3 box Car)AX

Launch of 24-hour emergency on-road vehicle service

1995

Esteem 1.3L (1298 cc, 3 box car)VX

With the launch of second plant, installed capacity reached

200,000 units

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1994

Esteem1.3L (1298cc, 3 box car)LX

Produced the 1 millionth vehicle since the commencement of

production

1993

Zen(993cc, hatchback Car), which was later exported in

Europe and elsewhere as the Alto

1992

SMC increases its stake in Maruti to 50 percent

1991

Reaches cumulative indigenisation of 65 percent for all

vehicles produced 1990

Maruti 1000(970cc, 3 box), India’s first contemporary sedan

1988

Installed capacity increased to 100,000 units

1987

Exported first lot of 500 cars to Hungary

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1986

Maruti 800 ( New Model-796cc, hatchback Car)

Produced 100,000 vehicles (cumulative production)

1985

Launch of Maruti Gypsy (970cc, 4WD off-road vehicle)

1984

Omni, a 796cc MUV

Installed capacity reached 40,000 units

1983

Maruti 800, a 796 cc hatchback, India’s first affordable car.

Production was started under JVA

1982

License and JV agreement signed between Maruti Udyog

Ltd. and SMC of Japan

1981

Maruti Udyog Ltd was incorporated under the provisions of

the Indian Companies Act, 1956

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2005

Number one in JD Power SSI for the second consecutive

year

Number one in JD Power CSI for the sixth time in a row - the

only car to win it so many times M800, WagonR and Swift

topped their segments in the TNS Total Customer

Satisfaction Study.

Leadership in the JD Power Initial Quality Study - Alto

number one in its segment for the 2nd time in a row, Esteem

number one in its segment for the 3rd year in a row, Swift

number one in the premium compact segment

WagonR and Esteem top their segments in the JD Power

APEAL study

TNS ranks Maruti 4th in the Corporate Reputation Strength

(CSR) study (#1 in Auto sector)-Feb 05

Maruti bagged the "Manufacturer of the year" award from

Autocar-CNBC (2nd time in a row)-Feb 05

First Indian car manufacturer to reach 5 million vehicles

sales

Business World ranks Maruti among top five most respected

companies in India-Oct 04

Maruti ranked among top ten (Rank7) greenest companies in

India by

Business Today - Sep '04

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2004

Maruti Suzuki was No. 1 in Customer atisfaction, No. 1 in Sales

Satisfaction No.1 in Product Quality (Esteem and Alto) and No. 1 in

Product Appeal (Esteem and Wagon R)

No. 1 in Total Customer Satisfaction (Maruti 800, Zen and Alto)

Business World ranked us among the country's five most respected

companies

Business World ranked us the country's most respected automobile

company

Voted Manufacturer of the year by CNBC

Voted one of India's Greenest Companies by Business Today-AC

Nielson ORG-MARG

2003

Maruti 800, Maruti Zen and Maruti Esteem make it to the top 10

automotive brands in "Most Trusted Brand survey 2003" J D

Power ranked 3 models of Maruti on top: Wagonr, Zen and

Esteem

Maruti 800 and Wagonr top in NFO Total Customer Satisfaction

Study 2003.

MUL tops in J D Power CSI (2001) for 4th time in a row

2001

MUL tops in J D Power CSI (2001) for 2nd time in a row: another

international first

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2000

Maruti bags JD Power CSI - 1st rank; unique achievement by

market leader anywhere in the world

1999

MSM launched as model workshop in India; achieves highest CSI

rating.

Central Board of Excise & Customs awards Maruti with "Samman

Patra", for contribution to exchequer and being an ideal tax

assessee

1998

CII's Business Excellence Award

1996

Maruti wins INSSAN award for "Excellence in Suggestion Scheme"

Awarded the Star Trading House status by Ministry of Commerce

1994-95

Engineering Exports Promotion Council's award for export

performance

1994

Best Canteen award among Haryana Industries as part of

employee welfare

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1992-93

Engineering Exports Promotion Council's award for export

performance

1991-92

Engineering Exports Promotion Council's award for export

performance

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WHY MARUTI SUZUKI

The Quality Advantage

Maruti Suzuki owners experience fewer problems with their

vehicles than any other car manufacturer in India (J.D. Power IQS

Study 2004). The Alto was chosen No.1 in the premium compact

car segment and the Esteem in the entry level mid - size car

segment across 9 parameters.

The J.D. Power APEAL Study 2004 proclaimed the Wagon R no. 1

in the premium compact car segment and the Esteem No.1 in the

entry level mid - size car segment. This study measures owner in

terms of design, content, layout and performance of vehicles across

8 parameters.

A Buying Experience Like No Other

Maruti Suzuki has a sales network of 307 state-of -the-art

showrooms across 189 cities, with a workforce of over 6000 trained

sales personnel to guide our customers in finding the right car. Our

high sales and customer care standards led us to achieve the No.1

nameplate in the J.D. Power SSI Study 2004.

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Quality Service Across 1036 Cities

In the J.D. Power CSI Study 2004, Maruti Suzuki scored the

highest across all 7 parameters: least problems experienced with

vehicle serviced, highest service quality, best in-service experience,

best service delivery, best service advisor experience, most user-

friendly service and best service initiation experience.

92% of Maruti Suzuki owners feel that work gets done right the first

time during service. The J.D. Power CSI study 2004 also reveals

that 97% of Maruti Suzuki owners would probably recommend the

same make of vehicle, while 90% owners would probably

repurchase the same make of vehicle.

One Stop Shop

At Maruti Suzuki, you will find all your car related needs met

under one roof. Whether it is easy finance, insurance, fleet

management services, exchange- Maruti Suzuki is set to

provide a single-window solution for all your car related

needs.

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The Low Cost Maintenance Advantage

The acquisition cost is unfortunately not the only cost you

face when buying a car. Although a car may be affordable to

buy, it may not necessarily be affordable to maintain, as

some of its regularly used spare parts may be priced quite

steeply. Not so in the case of a Maruit Suzuki. It is in the

economy segment that the affordability of spares is most

competitive, and it is here where Maruti Suzuki shines.

Lowest Cost of Ownership

The highest satisfaction ratings with regard to cost of

ownership among all models are all Maruti Suzuki vehicles:

Zen, Wagon R, Esteem, Maruti 800, Alto and Omni. We are

proud to have the lowest cost of operation/km (among petrol

vehicles) - the top 5 models are all Maruti Suzuki models:

Maruti 800, Alto, Zen, Omni and Wagon R.

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MARUTI CULTURE

Our employees are our greatest strength and asset. It is this underlying philosophy that has moulded our workforce into a team with common goals and objectives. Our Employee-Management relationship is therefore characterized by:

Participative Management. Team work & Kaizen. Communication and information sharing. Open office culture for easy accessibility

To implement this philosophy, we have taken several measures like a flat organizational structure. There are only three levels of responsibilities ranging from the Board Of Directors, Division Heads to Department Heads. Other visible features of this philosophy are an open office, common uniforms (at all levels), and a common canteen for all.

This structure ensures better communication and speedy decision

making processes. It also creates an environment that builds trust,

transparency and a sense of belonging amongst employees.

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PURPOSE OF RESEARCH STUDY

1. RESEARCH STUDY

2. SCOPE OF THE STUDY

To study and understand various aspects of Customer relationship

management at MARUTI SUZUKI.

SCOPE OF THE STUDY

This study extends its emphasis on studying various

economic , social , geographical and political aspects of

trade relations between india and the gulf countries.

It further extends to suggest possible measures and steps

to further strengthen the trade structure between india and

the gulf countries.

This study is an effort to highlight various strategic factors

which are crucial for the trade –ties between india and the

gulf countries.

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RESEARCH METHODOLOGY

1. TOOLS OF RESEARCH

2. RESOURCE OF DATA

A Research Methodology defines the purpose of the research,

how it proceeds, how to measure progress and what constitute

success with respect to the objectives determined for carrying

out the research study.

The appropriate research design formulated is detailed below.

Exploratory research: this kind of research has the primary

objective of development of insights into the problem. It studies

the main area where the problem lies and also tries to evaluate

some appropriate courses of action.

The research methodology for the present study has been

adopted to reflect these realties and help reach the logical

conclusion in an objective and scientific manner.

The present study contemplated an exploratory research

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NATURE OF DATA

Secondary data: secondary data that is already available and

published .it could be internal and external source of data.

Internal source: which originates from the specific field or area

where research is carried out e.g. publish broachers, official

reports etc.

External source: This originates outside the field of study like

books, periodicals, journals, newspapers and the Internet.

DATA COLLECTION

Secondary data has been used which is collected through

articles, reports, journals, magazines, newspapers reports

prepared by research scholars, universities and internet.

TOOLS AND TECHNIQES

Analysis of data has been done with help of various statistical

tools like the tables and graphs.

FEATURES OF CRM IMPLEMENTED

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AT

MARUTI

CUSTOMER RELATIONSHIP MANAGEMENT (CRM)

Customer Relationship Management (CRM)

Includes the methodologies, technology and capabilities that

help an enterprise manage customer relationships. The general

purpose of CRM is to enable organizations to better manage

their customers through the introduction of reliable systems,

processes and procedures.

IMPLEMENTING CRM

Customer Relationship Management is a corporate level

strategy which focuses on creating and maintaining lasting

relationships with its customers. Although there are several

commercial CRM software packages on the market which

support CRM strategy, it is not a technology itself. Rather, a

holistic change in an organisation's philosophy which places

emphasis on the customer.

Management at MARUTI believes that a successful CRM

strategy cannot be implemented by simply installing and

integrating a software package and will not happen over night.

Changes must occur at all levels including policies and

processes, front of house customer service, employee training,

marketing, systems and information management; all aspects of

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the business must be reshaped to be customer

driven.

To be effective, the CRM process has been integrated with end-to-end

across marketing, sales, and customer service.

The objectives of CRM at MARUTI:-

To Identify customer success factors

To Create a customer-based culture

To Adopt customer-based measures

To Develop an end-to-end process to serve customers

To Recommend what questions to ask to help a customer solve

a problem

To Recommend what to tell a customer with a complaint about a

purchase

To Track all aspects of selling to customers and prospects as

well as customer support.

Before implementing the CRM segment the management at MARUTI

did a survey to identify what profile aspects it feels are relevant to its

business, such as what information it needs to serve its customers,

the customer's past financial history, the effects of the CRM segment

and what information is not useful. Being able to eliminate unwanted

information is a large aspect of implementing CRM systems.

ARCHITECTURE OF CRM AT MARUTI

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There are three parts of application architecture of CRM at

maruti:

Operational CRM - automation to the basic business processes

(marketing, sales, service)

Analytical CRM - support to analyze customer behavior,

implements business intelligence alike technology

Collaborative CRM - ensures the contact with customers (phone,

email, fax, web, sms, post, in person)

OPERATIONAL CRM

Operational CRM at Maruti includes customer contact (sales,

marketing and service). Tasks resulting from these processes are

forwarded to employees responsible for them, as well as the

information necessary for carrying out the tasks and interfaces to

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back-end applications are being provided and activities

with customers are being documented for further reference.

Operational CRM provides the following benefits:

Delivers personalized and efficient marketing, sales, and service

through multi-channel collaboration

Enables a 360-degree view of the customer while you are

interacting with them

Sales people and service engineers can access complete history of

all customer interaction with the company, regardless of the touch

point .

The operational part of CRM typically involves three general areas of

business at Maruti:

Sales force automation (SFA)  

SFA automates the critical sales and sales force management

functions of Maruti, i.e., lead/account management, contact

management, quote management, forecasting, sales

administration, keeping track of customer preferences, buying

habits, and demographics, as well as performance management.

SFA tools are designed to improve field sales productivity. Key

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infrastructure requirements of SFA are mobile

synchronization and integrated product configuration.

Customer service and support (CSS)  

CSS at Maruti automates the service requests, complaints, product

returns, and information requests. The internal help desk and

inbound call-center support for customer inquiries have been

evolved into the "customer interaction center" (CIC), using multiple

channels (Web, phone/fax, face-to-face, kiosk, etc). Key

infrastructure requirements of CSS include computer telephony

integration (CTI) which provides high volume processing capability,

and reliability.

Enterprise marketing automation (EMA)  

EMA of the company provides information about the business

environment, including competitors of Maruti, industry trends, and

macro environmental variables. It is the execution side of campaign

and lead management. The intent of EMA applications is to

improve marketing campaign efficiencies. Functions include

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demographic analysis, variable segmentation, and

predictive modeling occur on the analytical (Business Intelligence)

side.

Integrated CRM software is often also known as "front office

solutions." Of Maruti, This is because they deal directly with the

customer of the company.

Maruti uses CRM software to store all of their customer's details.

When a customer calls at maruti, the system is used to retrieve and

store information relevant to the customer. By serving the customer

quickly and efficiently, and also keeping all information on a

customer in one place, a the management at Maruti aims to make

cost savings, and also encourage new customers.

ANALYTICAL CRM

In analytical CRM, data gathered within operational CRM and/or other sources are analyzed to segment customers or to identify potential to enhance client relationship. Customer analysis typically leads to targeted campaigns to increase share of customer's wallet. Examples of Campaigns directed towards customers are:

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Acquisition: Cross-sell, up-sell

Retention: Retaining customers who leave due to maturity or

attrition.

Information: Providing timely and regular information to

customers about Maruti.

Modification: Altering details of the transactional nature of the

customers' relationship.

Analysis typically covers but is not limited to:

Decision support: Dashboards, reporting, metrics, performance

etc.

Predictive modelling of customer attributes

Strategy and research.

Analysis of Customer data relates to the following analyses:

Campaign management and analysis

Contact channel optimization

Contact Optimization

Customer Acquisition / Reactivation / Retention

Customer Segmentation

Customer Satisfaction Measurement / Increase

Sales Coverage Optimization

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Fraud Detection and analysis

Financial Forecasts

Pricing Optimization

Product Development

Program Evaluation

Risk Assessment and Management

Data collection and analysis is viewed as a continuing and iterative

process. Ideally, business decisions are refined over time, based on

feedback from earlier analysis and decisions. Therefore, a successful

analytical CRM projects take advantage of a data warehouse to

provide suitable data.

COLLABORATIVE CRM

Collaborative CRM facilitates interactions with customers through all

channels (personal, letter, fax, phone, web, e-mail) and supports co-

ordination of employee teams and channels. It is a solution that brings

people, processes and data together so company can better serve

and retain their customers.

Collaborative CRM provides the following benefits:

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Enables efficient productive customer interactions

across all communications channels

Enables web collaboration to reduce customer service costs

Integrates call centers enabling multi-channel personal customer

interaction

Integrates view of the customer while interaction at the

transaction level

PURPOSES OF CUSTOMER RELATIONSHIP

MANAGEMENT

CRM, in its broadest sense, means managing all interactions and

business with customers. This includes, but is not limited to, improving

customer service. The CRM program allows Maruti to acquire

customers, service the customer, increase the value of the customer

to the company, retain good customers, and determine which

customers can be retained or given a higher level of service. A good

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CRM program can improve customer service by facilitating

communication in several ways :

Provide product information, product use information, and

technical assistance on web sites that are accessible 24 hours a

day, 7 days a week.

Identify how each individual customer defines quality, and then

design a service strategy for each customer based on these

individual requirements and expectations.

Provide a fast mechanism for managing and scheduling follow-

up sales calls to assess post-purchase cognitive dissonance,

repurchase probabilities, repurchase times, and repurchase

frequencies.

Provide a mechanism to track all points of contact between

customer and the company, and do it in an integrated way so

that all sources and types of contact are included, and all users

of the system see the same view of the customer (reduces

confusion).

Help to identify potential problems quickly, before they occur.

Provide a user-friendly mechanism for registering customer

complaints (complaints that are not registered with the company

cannot be resolved, and are a major source of customer

dissatisfaction).

Provide a fast mechanism for handling problems and complaints

(complaints that are resolved quickly can increase customer

satisfaction).

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Provide a fast mechanism for correcting service

deficiencies (correct the problem before other customers

experience the same dissatisfaction).

Use internet cookies to track customer interests and personalize

product offerings accordingly.

Use the Internet to engage in collaborative customization or real-

time customization.

Provide a fast mechanism for managing and scheduling

maintenance, repair, and on-going support (improve efficiency

and effectiveness).

The CRM can be integrated into other cross-functional systems

and thereby provide accounting and production information to

customers when they want it.

IMPROVING CUSTOMER

RELATIONSHIPS

CRM programs also are able to improve customer relationships.

Proponents say this is so because:

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CRM technology can track customer interests, needs,

and buying habits as they progress through their life cycles, and

tailor the marketing effort accordingly. This way customers get

exactly what they want as they change.

The technology can track customer product use as the product

progresses through its life cycle, and tailor the service strategy

accordingly. These way customers get what they need as the

product ages.

In industrial markets, the technology can be used to micro-segment

the buying centre and help coordinate the conflicting and changing

purchase criteria of its members.

When any of the technology-driven improvements in customer

service (mentioned above) contribute to long-term customer

satisfaction, they can ensure repeat purchases, improve customer

relationships, increase customer loyalty, decrease customer

turnover, decrease marketing costs (associated with customer

acquisition and customer “training”), increase sales revenue, and

thereby increase profit margins.

Repeat purchase, however, comes from customer satisfaction -

which in turn comes from a deeper understanding of each

customer, their individual business challenges and proposing

solutions for those challenges rather than a "one size fits all"

approach.

CRM software enables sales people to achieve this one on one

approach to selling and can automate some elements of it via

tailorable marketing communications. However, all of these

elements are facilitated by or for humans to achieve - CRM is

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therefore a company-wide attitude as much as a

software solution.

PURPOSE OF RESEARCH STUDY -

RESEARCH STUDY

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To study and understand various aspects of Customer relationship

management at MARUTI SUZUKI.

RESEARCH METHODOLOGY

-TOOLS OF RESEARCH -RESOURCE

OF DATA

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A Research Methodology defines the purpose of the

research, how it proceeds, how to measure progress and what

constitute success with respect to the objectives determined for

carrying out the research study.

The appropriate research design formulated is detailed below.

Exploratory research: this kind of research has the primary

objective of development of insights into the problem. It studies the

main area where the problem lies and also tries to evaluate some

appropriate courses of action.

The research methodology for the present study has been adopted

to reflect these realties and help reach the logical conclusion in an

objective and scientific manner.

The present study contemplated an exploratory research

NATURE OF DATA

Secondary data: secondary data that is already available and

published .it could be internal and external source of data. Internal

source: which originates from the specific field or area where

research is carried out e.g. publish broachers, official reports etc.

Page 43: Project on Maruti Suzuki

External source: This originates outside the field of

study like books, periodicals, journals, newspapers and the

Internet.

DATA COLLECTION

Secondary data has been used which is collected through articles,

reports, journals, magazines, newspapers reports prepared by

research scholars, universities and internet.

TOOLS AND TECHNIQES

Analysis of data has been done with help of various statistical tools

like the tables and graphs.

FEATURES OF CRM IMPLEMENTED

AT

MARUTI

Page 44: Project on Maruti Suzuki

CUSTOMER RELATIONSHIP MANAGEMENT (CRM)

Customer Relationship Management (CRM)

Includes the methodologies, technology and capabilities that help

an enterprise manage customer relationships. The general

purpose of CRM is to enable organizations to better manage their

customers through the introduction of reliable systems, processes

and procedures.

IMPLEMENTING CRM

Customer Relationship Management is a corporate level strategy

which focuses on creating and maintaining lasting relationships

with its customers. Although there are several commercial CRM

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software packages on the market which support CRM

strategy, it is not a technology itself. Rather, a holistic change in an

organisation's philosophy which places emphasis on the customer.

Management at MARUTI believes that a successful CRM

strategy cannot be implemented by simply installing and

integrating a software package and will not happen over night.

Changes must occur at all levels including policies and

processes,front of house customer service, employee training,

marketing, systems and information management; all aspects of

the business must be reshaped to be customer driven.

To be effective, the CRM process has been integrated with end-to-

end across marketing, sales, and customer service.

THE OBJECTIVES OF CRM AT MARUTI:-

To Identify customer success factors

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To Create a customer-based culture

To Adopt customer-based measures

To Develop an end-to-end process to serve customers

To Recommend what questions to ask to help a customer solve

a problem

To Recommend what to tell a customer with a complaint about

a purchase

To Track all aspects of selling to customers and prospects as

well as customer support.

Before implementing the CRM segment the management at

MARUTI did a survey to identify what profile aspects it feels are

relevant to its business, such as what information it needs to serve its

customers, the customer's past financial history, the effects of the

CRM segment and what information is not useful. Being able to

eliminate unwanted information is a large aspect of implementing

CRM systems.

ARCHITECTURE OF CRM AT MARUTI

There are three parts of application architecture of CRM at maruti:

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Operational CRM - automation to the basic business

processes (marketing, sales, service)

Analytical CRM - support to analyze customer behavior,

implements business intelligence alike technology

Collaborative CRM - ensures the contact with customers (phone,

email, fax, web, sms, post, in person)

OPERATIONAL CRM

Operational CRM at Maruti includes customer contact (sales,

marketing and service). Tasks resulting from these processes are

forwarded to employees responsible for them, as well as the

information necessary for carrying out the tasks and interfaces to

back-end applications are being provided and activities with

customers are being documented for further reference.

Operational CRM provides the following benefits:

Delivers personalized and efficient marketing, sales, and service

through multi-channel collaboration

Enables a 360-degree view of the customer while you are

interacting with them

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Sales people and service engineers can access

complete history of all customer interaction with the company,

regardless of the touch point .

The operational part of CRM typically involves three general areas

of business at Maruti:

SALES FORCE AUTOMATION (SFA)  

SFA automates the critical sales and sales force management

functions of Maruti, i.e., lead/account management, contact

management, quote management, forecasting, sales

administration, keeping track of customer preferences, buying

habits, and demographics, as well as performance

management. SFA tools are designed to improve field sales

productivity. Key infrastructure requirements of SFA are mobile

synchronization and integrated product configuration.

CUSTOMER SERVICE AND SUPPORT (CSS)  

CSS at Maruti automates the service requests, complaints,

product returns, and information requests. The internal help

desk and inbound call-center support for customer inquiries

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have been evolved into the "customer interaction

center" (CIC), using multiple channels (Web, phone/fax, face-

to-face, kiosk, etc). Key infrastructure requirements of CSS

include computer telephony integration (CTI) which provides

high volume processing capability, and reliability.

ENTERPRISE MARKETING AUTOMATION

(EMA)  

EMA of the company provides information about the business

environment, including competitors of Maruti, industry trends,

and macro environmental variables. It is the execution side of

campaign and lead management. The intent of EMA

applications is to improve marketing campaign efficiencies.

Functions include demographic analysis, variable

segmentation, and predictive modeling occur on the analytical

(Business Intelligence) side.

Integrated CRM software is often also known as "front office

solutions." Of Maruti, This is because they deal directly with the

customer of the company.

Maruti uses CRM software to store all of their customer's

details. When a customer calls at maruti, the system is used to

retrieve and store information relevant to the customer. By

serving the customer quickly and efficiently, and also keeping

all information on a customer in one place, a the management

at Maruti aims to make cost savings, and also encourage new

customers.

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ANALYTICAL CRM

In analytical CRM, data gathered within operational CRM and/or other

sources are analyzed to segment customers or to identify potential to

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enhance client relationship. Customer analysis typically

leads to targeted campaigns to increase share of customer's wallet.

Examples of Campaigns directed towards customers are:

Acquisition: Cross-sell, up-sell

Retention: Retaining customers who leave due to maturity or

attrition.

Information: Providing timely and regular information to

customers about Maruti.

Modification: Altering details of the transactional nature of the

customers' relationship.

Analysis typically covers but is not limited to:

Decision support: Dashboards, reporting, metrics, performance

etc.

Predictive modelling of customer attributes

Strategy and research.

Analysis of Customer data relates to the following analyses:

Campaign management and analysis

Contact channel optimization

Contact Optimization

Customer Acquisition / Reactivation / Retention

Customer Segmentation

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Customer Satisfaction Measurement / Increase

Sales Coverage Optimization

Fraud Detection and analysis

Financial Forecasts

Pricing Optimization

Product Development

Program Evaluation

Risk Assessment and Management

Data collection and analysis is viewed as a continuing and iterative

process. Ideally, business decisions are refined over time, based on

feedback from earlier analysis and decisions. Therefore, a

successful analytical CRM projects take advantage of a data

warehouse to provide suitable data.

COLLABORATIVE CRM

Collaborative CRM facilitates interactions with customers through all

channels (personal, letter, fax, phone, web, e-mail) and supports co-

ordination of employee teams and channels. It is a solution that

brings people, processes and data together so company can better

serve and retain their customers.

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Collaborative CRM provides the following benefits:

Enables efficient productive customer interactions across all

communications channels

Enables web collaboration to reduce customer service costs

Integrates call centers enabling multi-channel personal

customer interaction

Integrates view of the customer while interaction at the

transaction level

Purposes of Customer Relationship Management

CRM, in its broadest sense, means managing all interactions and

business with customers. This includes, but is not limited to,

improving customer service. The CRM program allows Maruti to

acquire customers, service the customer, increase the value of the

customer to the company, retain good customers, and determine

which customers can be retained or given a higher level of service. A

good CRM program can improve customer service by facilitating

communication in several ways :

Provide product information, product use information, and

technical assistance on web sites that are accessible 24 hours

a day, 7 days a week.

Identify how each individual customer defines quality, and then

design a service strategy for each customer based on these

individual requirements and expectations.

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Provide a fast mechanism for managing and

scheduling follow-up sales calls to assess post-purchase

cognitive dissonance, repurchase probabilities, repurchase

times, and repurchase frequencies.

Provide a mechanism to track all points of contact between

customer and the company, and do it in an integrated way so

that all sources and types of contact are included, and all users

of the system see the same view of the customer (reduces

confusion).

Help to identify potential problems quickly, before they occur.

Provide a user-friendly mechanism for registering customer

complaints (complaints that are not registered with the company

cannot be resolved, and are a major source of customer

dissatisfaction).

Provide a fast mechanism for handling problems and

complaints (complaints that are resolved quickly can increase

customer satisfaction).

Provide a fast mechanism for correcting service deficiencies

(correct the problem before other customers experience the

same dissatisfaction).

Use internet cookies to track customer interests and

personalize product offerings accordingly.

Use the Internet to engage in collaborative customization or

real-time customization.

Provide a fast mechanism for managing and scheduling

maintenance, repair, and on-going support (improve efficiency

and effectiveness).

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The CRM can be integrated into other cross-

functional systems and thereby provide accounting and

production information to customers when they want it.

Improving customer relationships

CRM programs also are able to improve customer relationships.

Proponents say this is so because:

CRM technology can track customer interests, needs, and buying

habits as they progress through their life cycles, and tailor the

marketing effort accordingly. This way customers get exactly what

they want as they change.

The technology can track customer product use as the product

progresses through its life cycle, and tailor the service strategy

accordingly. This way customers get what they need as the

product ages.

In industrial markets, the technology can be used to micro-

segment the buying centre and help coordinate the conflicting and

changing purchase criteria of its members.

When any of the technology-driven improvements in customer

service (mentioned above) contribute to long-term customer

satisfaction, they can ensure repeat purchases, improve customer

relationships, increase customer loyalty, decrease customer

turnover, decrease marketing costs (associated with customer

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acquisition and customer “training”), increase sales

revenue, and thereby increase profit margins.

Repeat purchase, however, comes from customer satisfaction -

which in turn comes from a deeper understanding of each

customer, their individual business challenges and proposing

solutions for those challenges rather than a "one size fits all"

approach.

CRM software enables sales people to achieve this one on one

approach to selling and can automate some elements of it via

tailorable marketing communications. However, all of these

elements are facilitated by or for humans to achieve - CRM is

therefore a company-wide attitude as much as a software solution.

CRM PROCESSES AND FUNCTIONS:

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.

technical white paper uses Business Rules (a set of Enterprise

Rules that define the “actions” to be taken and are termed as

“Customer recommended actions or CRA”). The Decision

engine takes as input the Customer Profile, Contact History and

applies the stored Business Rules thereby creating a set of one

or more Recommended Actions for the customers. The

Business Rules Management component enables the creation,

deletion, analysis and storage of the Business Rules in a

repository. The Customer Profile component is generated

based on the information in the Customer Information File

(CIF), Customer Information Warehouse (segmentation,

scoring) The relevant customer conversation/contact/dialogue

information is captured and stored in Contact Management

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component. The CRA Effectiveness Analysis

component by using Data Mining technology provides a facility

to explore rules, recommended actions and customer

interaction effectiveness in general. The Treatment provides

unique treatment data for customer, products and services.

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FUNCTIONAL COMPONENTS OF CRM

ARCHITECTURE FOR ENTERPRISE MARKETING

AUTOMATION:

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RECOMMENDATIONS AND

CONCLUSION

Provide a user-friendly mechanism for registering customer

complaints (complaints that are not registered with the company

cannot be resolved, and are a major source of customer

dissatisfaction).

Provide a fast mechanism for handling problems and

complaints (complaints that are resolved quickly can increase

customer satisfaction).

Provide a fast mechanism for correcting service deficiencies

(correct the problem before other customers experience the

same dissatisfaction).

Use internet cookies to track customer interests and

personalize product offerings accordingly.

Use the Internet to engage in collaborative customization or

real-time customization.

Provide a fast mechanism for managing and scheduling

maintenance, repair, and on-going support (improve efficiency

and effectiveness).

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BIBLIOGRAPHY

Books

Crm- chattopadhya

Crm-mishra and joshi

Journals

Icfai university press

Business and economy

Web sites

Www.marutiudyog.com

Gurgaon.nic.in/maruti.htm

Auto.indiamart.com

Economictimes.indiatimes.com

En.wikipedia.org/wiki