The Impact of Customer Relationship Management on Organization Profit of in Somali
researched areas in the body of CRM research in which there are research . but were in fact discussing a topic only remotely related to CRM, were coded as. CUSTOMER RELATIONSHIP MANAGEMENT CUSTOMER RELATIONSHIP Key Features Discusses current CRM-related topics such as collaboration using . Customer relationship management (CRM) is a method for managing an section provides project reports on the topic of Customer Relationship Management.
- Customer Relationship Management
- The Impact of Customer Relationship Management on Organization Profit of in Somali
- Statistical Methods in Customer Relationship Management
Somalia companies have not department of CRM to keep customer satisfaction and luck of Management information system. Customer relationship management system; Profit; Business; Organization View PDF Download PDF Introduction Modern marketing shows for more developing and increase profitability of organization to produce good product, then attractive the whole of customer, the only way to get beneficial customer, marking relationship.
Although the customer was dived two part internal customer and external customer, the internal customer is employee of company so that employee partially is asset of organization because the organization depend on, the organizing must keep morality of their employee if they do not keep the productively become low so that the company must mark policy to improve their employee and motivation then training to increase their talent and skillsthat is double benefit of organization and employee, because they increase their productivity.
External customer is buyers the buyers they buy of organization, so that organization must the collect date relating their customer, in fortunately Somali Company have not management information system that reason was responsible luck of good customer relationship. The researcher justify the amount of profit of this company comes total sales reduce total cost to gain profit of company if the amount of sales was greater than the amount of cost the amount gain we called profit, if the amount of sales is less than the amount of cost we called loss and if they same we called breakeven point means no gain no loss.
Problem Statement These days Somali were come disbar and they marked a lot of investment and increase economy, so they created small business and projects mostly they establish hotel like peach view restaurant they arise level of completion of the business, and also increase high level of customer turnover, furthermore increase customer acquisition, cost and growing customer expectation.
There for most of Somali business have not focus on Customer relationship management system and finally the problem of this study seeks to show the relationship between customer relationship management system performances of organizational in Somali business. Scope of the study The study was exploring the impact Customer relationship management on the profit of organization in Somali. Businesses like Oracle have come up with services and products and keyword Customer relationship management system and profit.
Modern marketing shows for more developing and increase profitability of organization to produce good product, then attractive the whole of customer, the only way to get beneficial customer, marking relationship. The researcher justify the amount of profit of this company comes total sales reduce total cost to gain profit of company if the amount of sales was greater than the amount of cost the amount gain we called profit, if the amount of sales is less than the amount of cost we called loss and if they same we called break- even point means no gain no loss.
According to Al-Azzam [ 2 ] he says the customer relationship management First and leading, to form customer-oriented behaviors, organizations have to improve a suitable working environment for service in work.
For example, giving staff with the current tools, and technology, customer satisfaction pursuing and complaints management systems, moving leadership, and right rewards systems can all make these behaviors [ 3 ].
CUSTOMER RELATIONSHIP MANAGEMENT | Dr N H MULLICK - barcelonatraveller.info
Therefore, the achievement of CRM close depends on the vigorous involvement of the employees in the organization them self [ 4 - 6 ]. Profit According to McMichael et al. That can track customers through the World Wide Web and be able to forecast their forward moves wants and needs. According Kotler et al.
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He says these CRM aim is to produce high excellence equity which he called customer equity. According Hogan et al. Researchers argue that CRM cannot be effective even if the organizations enjoy the most modern technology and adapt a customer oriented way, unless the project is finally integrated by them [ 10 ].
Further, as a confirmation for this point, Fan and Ku [ 11 ] stresses that CRM success requires effective service and suitable operation procedures, rather than only technological systems. According to Al-Azzam [ 2 ], he says the customer relationship management First and leading, to form customer-oriented behaviors, organizations have to improve a suitable working environment for service in work.
The importance of CRM to an organization The primary focus of any CRM strategy is to empower the organization to generate and retain profitable customers that help the organization [ 12 ].
Most strategies advance around three features, specifically, customer acquisition, customer profitability and customer profitability, due to the reduced costs linked with retaining customers rather than obtaining new. There are three main elements of CRM strategic capabilities and they are technology infrastructure, human analytics and business architecture.
Technology infrastructure This enables CRM practices to function effectively. The key IT components are the front office applications that support sales, marketing and service, a data repository that supports collection of customer data, and back office applications that help integrate and analyze the data [ 9 ]. Human analytics CRM programmes require people who are responsible for CRM initiatives to demonstrate abilities and skills in dealing with customers.
According to Davenport et al. Business architecture To ensure stronger and deeper relationships with the right set of customers, companies need to identify the right approaches that will enable them to gain knowledge to gain insight for enhancing the customer value significantly and create a customer centric approach.
Many firms will possess the elementary technology and possess similar rudimentary skills. Few companies will possess the organizational architecture of control systems and incentive policies required to fully exploit these resources [ 11 ]. Literature Review Customer Relationship Management is commonly perceived as database marketing which focuses on the relationship between promotional marketing and database management tools. There are numerous definitions of CRM.
According to Eckerson et al. Managing a successful CRM programme requires an integrated and balanced approach to technology, process, and people [ 14 ]. CRM or Customer Relationship Management is both a process and an initiative that belongs to all the departments of an organisation [ 15 ].
It shows the comprehensive strategy and process of acquiring, retaining, and partnering with selective customers to create superior value for the company and the customer. Customer Relationship Management is a term for the methodologies, technologies and e-commerce capabilities used by the firms to manage customer relationships.
CRM involves technology that applies software packages which aid the interaction between the customer and the organisation, enabling an organisation to co-ordinate all of the communication efforts so that the customer is presented with a simplified and harmonised information. CRM coordinates messages and images around a common profile of the customer [ 12 ]. Customer Relationship Management is the strategic process of shaping the interactions between a company and its customers with the goal of maximizing current and lifetime value of customers for the company as well as maximizing satisfaction for customers [ 16 ].
CRM is the integration and collaboration of different business departments to process and access the customer information to provide a unified assessment of customer interaction to enhance the quality of service delivery in the company. Analysis of customer relationship management perspectives There are numerous definitions in relation to customer relationship management in the areas of marketing, management and IT literature that has been considered in this current research which shows the benefits of CRM practices to organisations.
CRM perspectives indicate the benefits, applications, and individual aspect of CRM implementation for the organizations. Customer relationship management CRM is increasingly important to organisations world wide as they seek to improve their profits through longer-term relationships with customers. Many banks in Nigeria have invested heavily in information technology infrastructure to assist commercial banks in Nigeria to better manage their interactions with customers.
Customers are increasingly becoming aware of similar products in the market, and due to access to information such as the internet, they can quickly know about the reviews of a product in the market. Customer relationship management has now become very central to organisations in delivering their business goals [ 17 ].
Previous research According to a previous research carried out by Balakrishnan and Krishnaveni [ 1 ], it found out that most of the male respondents are satisfied with CRM practices where as female respondents are neither satisfied nor dissatisfied with CRM practices of selected private sector banks in Coimbatore district, India.
Hence there is no significant association between gender and overall attitude of customers towards CRM practices of selected private sector banks in India. The study also implies that there is positive correlation between the Customer interaction management practices, Customer retention management practices, Customer service strategies, Customer attitude on factors contributing service quality.
There are numerous researches on bank failures and reforms in Nigeria but the author could not find any previous research on customer relationship management practices by commercial banks in Nigeria.
Traditional methods of savings in Nigeria Traditional methods of saving money are prevalent in Nigeria due to deep rooted mistrust for the formal banking sector or commercial banks. A high percentage of Nigerians in rural areas prefers to keep money in their homes and farms or invest their money in live stocks [ 18 ]. Monies were concealed in clay pots, under the sleeping mattress, wooden box and polythene bags or money wrapped with dried palm leaves and hidden at various locations in homes and farm settlements.
However, the practice of keeping money at home and farm settlements suffered setbacks due to increase in insecurity after the Nigeria civil warcommunal clashes, border disputes, raids from marauders and recently Boko Haram western education is forbidden insurgency. Houses and Farm settlements were burnt due to communal clashes, border disputes and by Boko Haram insurgents. Marauders who are sometimes referred to as Fulani a tribe in Nigeria herdsmen stole valuable possessions from people and forced people to provide cash kept at home and farm settlements.
The Esusu is a thrift method of saving money where individuals in a community would organise themselves into an association or group and regularly give money to a particular individual collector who would keep the money in banks or in a particular safe location on their behalf [ 1920 ].
The Esusu which is a thrift method of saving money was fraught with risk, rancour and agreement breaches. Individuals disappeared with the savings of a community or a group and the deposits in the Esusu practices were not covered with any form of insurance. Nevertheless, the Esusu which is an informal and unregulated method of saving remains popular and predominant in Nigeria [ 21 ].
Among the Yoruba ethnic nationality, it is referred to as either Esusu or Ajo and amongst the lgbo ethnic nationality it is called lsusu or Utu. The Edo ethnic nationality calls it Osusu and the Hausa ethnic nationality calls it Adashi. Among the Nupe ethnic nationality refers to as Dashi and the Ibibio ethnic nationality call it Etibe [ 22 ]. The practice of keeping money at home and farm settlements in rural areas; individuals investing heavily on livestock instead of saving money in the bank [ 18 ] or the esusu practice in rural areas were further encouraged due to the fact that initially commercial banks were mostly concentrated in the cities or urban areas [ 23 ].
Farmers in Nigeria are concentrated in rural areas due to the availability of spacious land for agricultural purposes. Individuals who previously resided in rural areas and migrated to urban areas due to the increase of rural- urban migration in Nigeria carried along their cultural perceptions or preconceived ideals of banks and adopted their traditional methods of keeping money including the Esusu thrift method of saving in urban areas. Austin Okocha at that time mentioned that he had lost confidence in commercial banks in Nigeria.
To restore customer confidence in commercial banks in Nigeria and ensure best CRM practices by commercial banks, CBN established the Customer and Financial Protection Department to provide a platform through which customers can seek redress.
In the first month of its operation as a division, it received over customer complaints, which was a manifestation of the absence of an effective customer complaints resolution mechanism in the banks [ 25 ]. CBN directed money deposit banks or commercial banks to establish customer help desks at their head offices and branches.