Customer romantic relationship management is a broadly known, widely-implemented strategy for handling and nurturing a company's relationships with clients and sales leads. It involves using technology to arrange, automate, and synchronize business processes-principally sales activities, but also those for marketing, customer support, and tech support team. The entire goals are to find, entice, and win new customers, nurture and sustain those the company already has, lure former clients back into the collapse, and decrease the costs of marketing and consumer service. Once just a label for a group of software tools, today, it generally denotes a company-wide business strategy embracing all client-facing departments and even beyond. When an implementation works well, people, procedures, and technology work in synergy to increase success, and reduce functional costs.
Benefits
These tools have been shown to help companies attain these aims:
Streamlined sales and marketing processes
Higher sales productivity
Added cross-selling and up-selling opportunities
Improved service, loyalty, and retention
Increased call centre efficiency
Higher close rates
Better profiling and targeting
Reduced expenses
Increased market share
Higher overall profitability
Marginal costing
Strategy
Choosing and applying a system is a significant undertaking. For companies of any appreciable size, a complete and thorough plan must obtain the financing, resources, and company-wide support that can make the initiative successful. Benefits must be defined, risks evaluated, and cost quantified in three general areas:
Processes: Though these systems have many technological components, business procedures lay at its core. It can be seen as a more client-centric way to do business, allowed by technology that consolidates and intelligently distributes relevant information about clients, sales, marketing effectiveness, responsiveness, and market tendencies. Therefore, before choosing a technology system, a company needs to examine its business workflows and functions; some will likely need re-engineering to better serve the entire goal of earning and gratifying clients. Additionally, planners need to determine the types of client information that are most relevant, and exactly how best to employ them. [
People: For an initiative to be effective, an organization must influence its staff that change is good and that the new technology and workflows will benefit employees as well as clients. Older executives have to be strong and obvious advocates who are able to clearly condition and support the situation for change. Collaboration, teamwork, and two-way communication should be motivated across hierarchical restrictions, especially regarding process improvement.
Technology: In evaluating technology, key factors include positioning with the company's business process strategy and goals; the capability to deliver the right data to the right employees; and sufficient ease of use that users won't balk. System selection is most beneficial undertaken by the carefully chosen group of executives who understand the business functions to be programmed as well as the many software issues. Depending after how big is the company and the breadth of data, choosing a credit card applicatoin can take anywhere from a couple weeks to annually or even more.
IDBI Bank packages to increase IT expenditure corpus to Rs 45 cr
Mumbai: So that they can attempt the IT bandwagon, with new initiatives including a centralized call centre, implementation of customer-relationship management and bettering existing ATM systems, IDBI Loan provider is planning to raise its IT expenses corpus to Rs 45 crore in the financial year 2003-04.
The bank had an outlay of Rs 25 crore for its IT and related bills during the past fiscal, which was utilised for providing value-added services to its customers.
Says IDBI Lender chief technology official Neeraj Bhai: "The costs for this will be increased as under our programs to set up a centralized call centre, implement CRM solutions and other IT initiatives including providing a 'sole sign-up security password' to customers. "
The bank is planning to set up a more substantial call centre in Mumbai, which will integrate all its minor call centers, amounting to over 30, in this financial 12 months. IDBI Bank or investment company is also likely to set up an inferior call centre in New Delhi to cope with the spillover from Mumbai
The loan provider will also utilize customer relationship management (CRM) solutions at these centers, which will help in providing value-added services to the business's customers. The bank is in talks with vendors of CRM alternatives, he brings.
IDBI Standard bank will can also increase its existing amount of ATMs in India. At the moment the lender has around 250 ATMs, which is increased with respect to the demand, he amounts up.
IDBI Bank or investment company uses SAS Credit Risk Management Way to measure, take care of and mitigate credit risk across its retail investments by using its superior data mining and statistical analysis capabilities.
With an ever-changing financial service market in an environment of prolonged turbulence, disruptive opponents, dynamic marketplaces and requiring customers, reaching out to the customers effectively is becoming a tremendous obstacle. With over million trades in a day, alongside comes the task of understanding the credit history of customers, and for that reason to proactively mitigate, solution and screen credit risk.
With technology deployment seen as the key answer to fuel development, IDBI Standard bank, one of India's speediest growing private sector finance institutions, needed a solution that may help the Bank meet up with the new regulatory framework and also ascertain the credit profile of its customers. IDBI Loan company needed a remedy that would assist in understanding the credit worthiness of its customers, generating superior Portfolio Research and enhancing its risk management effort in retail banking good Bank's strategies on being Basel II compliant by 2006.
"At IDBI Loan provider we were looking at improving our risk management initiative in retail banking in line with our ideas on being Basel II compliant by 2006. For this we needed a remedy that would assist in understanding the credit history of customers and determine pre-approved credit lines for individuals. As well as the above, facilitate the introduction of analytical models using superior statistical techniques and intelligence", says Mr. Pramod Vaidya, Brain - Risk Management, IDBI Loan company.
Keeping these root objectives in mind, IDBI Bank decided to use the SAS Credit Risk Management Solution across its Retail Possessions division. Commenting on why IDBI Lender chose SAS, Mr. Pramod Vaidya, Mind - Risk Management, IDBI Lender said "SAS clearly scored on the other contenders in conditions of understanding our requirements. The business showed superior delivery features, analytical prowess, high level of GUI and specialized and domain skills. "
Currently IDBI Lender uses the SAS Credit Risk Management solution for the performance monitoring of Home Loan Score Card which includes been recently put in place in the lender and has been produced by an analytics specialist. Furthermore the lender uses SAS for its superior Data Mining and Statistical evaluation capabilities for producing the monthly Collection Quality Report. Soon IDBI Loan company envisages using SAS for expanding and recalibrating the statistical models internally.
According to Mr. Supratik Gupta Head Retail Risk Management, IDBI Lender, "With increasing over-leveraging risk these days, SAS tools will help us achieve our aim with respect to Customer Romance Management (CRM) to have more profitable customer interactions"
IDBI Bank looks confidently in to the future to handle and prosper in the extreme competitive environment that is emerging. The bank has gained experience and has set up the strategies necessary for gaining a management position. With leading edge relevant technology, intense marketing, innovation, small control over costs and using its motivated workforce, the lender is all set to emerge as a model global corporate citizen in the days ahead. And different tools used for crm are also helpful
