Sunday, January 27, 2008

Why a lot of company fail in CRM system?

From my experiences of implementation CRM System, a lot of companies can't achieve fully benefit of CRM functions capability. Sales and Customer Services people who are real end-users of CRM System don't feel that CRM system can help and support their daily work operations at all. Additionally, they feel using CRM system is wasting their time to make sales.

Why they feel like this??

I have some explanation from my experience:-

1. A lot of companies underestimate the implementation process of CRM package. Some companies might have .NET developers as internal resource and they assume that those resources will be able to implement Microsoft CRM system as well. The result is "YES" they can implement because Microsoft CRM has foundation from .NET technology. But for effectively implementing MS CRM, your implementer required to understand and know how to use MS CRM SDK object and tool, JScript, JavaScript, AJAX, DMF (Data Migration Framework) etc as well otherwise your CRM system will be like you have a powerful engine car but you can drive just at speed at 50 mph which is not worth your money.

This problem lead to your company will miss important MS CRM functions that you suppose to gain that advantage from CRM software.

- One client of mine, they have exactly problems what I just mentioned. They spent over 6 months to use .NET developer to implement MS CRM. But the result is nothing can generate for benefit of money investing, so they come to me. After I evaluate what messy of old CRM system have done, I come up with a plan and fix those problems. It takes a lot of effort to clear and clean old messy but eventually this client can use efficiently MS CRM system that really help sales and customer service in their work operation and also help managers to manage their sales and customer service staffs for improving sales at the right time.


2. End-users Resist adoption of the new CRM system

This classic problem always happens in organization which roll out new IT system. The best strategy I think it work out is come up and select a pilot group of users first to test new system. This type of users should have characteristic type is

- Understand sales and customer service work operation
- Feel excited about technology and enthusiasm about CRM functions

Then, you provide users' training for this group of users first which might have 4-5 users.
Each week, have a feedback meeting to check what progress / problems they have. By scheduling weekly meeting, it also can ensure that your team test and try new system. When pilot users have problems, you go to explain and help them very closely at their desks.

Pilot project should test about 1 month at least, after that you can come up the plan of roll out for entire group of users. From this strategy, when other users have problems, then they will try to help each other in the team first which help them feel more comfortable to adopt new system.

These are main reasons why a lot of company fail in implementation CRM system.

No comments: