Magnitude of Feedback System in CRM

Today, Customer relationship management (CRM) is an integral part of Business of any nature. Term-  CRM might sound little boring and technical to you, but one certainly cannot imagine a large business running without CRM, being the backbone of it. A small retail outlet to big manufacturing plant, CRM is used to deal with complicated calculations and database management. In return, businesses get a reduction in staff cost, enhanced productivity, quicker turnaround times, better customer relations, churn prevention and segmented promotions. 

A significant facet of Customer Relationship Management is ‘customer selectivity’. Quite a few studies have shown that not all customers are equally profitable. A company must, therefore, be selective in its marketing efforts by segmenting appropriate customers for individual marketing. However, the objective of an organization is not to actually cut back its customer base, but to identify appropriate customer methods that would be profitable and create value for the firm. 

Technical framework of CRM has two units – CRS and CAS. Using CRS, the customer gives feedback on the product, people, Product Design, and General Management for monitoring performance, improving or revamping the product, making policy decisions, and for Overall improvement in the delivery process. Where policy decisions are taken, they affect CAS (Centre Automation System) and RAS (Regional Automation System) and changes are incorporated as necessary. The second unit CAS (Centre Automation System) is the database of the customer. Currently, this database is used by personnel for customer tracking and monitoring performance in terms of product delivery. 

When it comes to Customer Feedback System through a CRM, Discussion group and Knowledge Repository mechanism seem quite efficient. In Discussion group, feedback is grouped by category, region, or author. It is possible to trace the thread of a compliant and who responded first, next and so on? In Knowledge Repository, once a feedback is closed, it may or may not be knowledge enriching. If it is generally applicable it undergoes a process of cleansing and filtering and is, then stored in the Knowledge Repository. All documents go through a two-stage validation process. Each document has to have an approval system. The approved document is then forwarded to the knowledge integrator for incorporation in the Knowledge Repository.

There are some organizational constraints encountered in the execution of CRM programs. Mainly they come into picture when there is a mismatch between allocated resource and service levels.Feedback aspect of CRM is all up to fill in those service gaps.

It's strange, isn't it? Once hardly used in Industry, CRM has such a magnitude of the feedback system in building long lasting relations with customers, today.