Measure intentions against strength
In the offer of the best CRM class systems available on the market, such as SAP CRM, you can find functions for analyzing very complex processes and behaviors and storing precise information about customer characteristics – from wallet thickness to shoe number almost.
These systems meet most user requirements, but the other side of the coin of this sophistication is that not all companies are able to take advantage of their full potential, and certainly not right away. Thus, it is not always justifiable to conduct a long and complex implementation project just to benefit from a slice of the system’s capabilities. Such an approach is inefficient primarily from the business side. An elaborate system is usually associated with a high cost, and not in all companies will the need to organize and improve customer relations justify an expense running into millions of zlotys.
Implementing a CRM system, such as SAP CRM, will not be the optimal solution for every company. If a company has an army of salespeople and operates mainly in the B2C area, the obvious choice will be a comprehensive CRM system, rather than looking for cheaper solutions.
However, there is an appetite for improving customer relationship management for everyone, not just market giants, and giving up on CRM altogether is no alternative. Therefore, it is worth considering implementing a CRM solution through the path of evolution, i.e. launching the system step by step, as your needs grow.
In the first stage, you should select the functionalities that are most important from the organization’s point of view and the user groups that are best able to use them. Once the most valuable improvements have been implemented and effectively exploited, you can consider whether to expand the system with more modules and make CRM available to a wider range of employees. Whether or not further expansion of CRM is planned, the underlying system should be designed from the ground up to be able to flexibly adapt to changing requirements, develop and grow with the organization.
BCC ‘s proprietary solution – CaRuM (pronounced “karum" – Latin for “that which is valuable, valuable") meets the needs of those companies that want to enter the path of evolution and start with not necessarily big, but effective steps on the way to implementing the full CRM philosophy. BCC’s experience with the development of solutions supporting the sales area and with CRM class systems has allowed it to select precisely those most valuable functionalities in the field of customer relationship management, the implementation of which in any company will be profitable. The result is an application whose primary advantage is its focus on providing the organization with such improvements that will actually be used effectively from the first stage, and thus bring a faster return on investment.
An additional advantage of the solution is that it allows you to take advantage of the information capital already accumulated in the company and available in SAP ERP. Consolidation of customer data in CaRuM allows companies using SAP ERP to streamline basic CRM functions without costly investment in an extensive system.
Consolidated and accessible customer data
One such company, for which the priority was to use data distributed across SAP modules as quickly and cost-effectively as possible to improve customer relations, was PEKAES. The logistics market presents companies with new challenges, including a systemic approach to customer relations. In this industry, competitive advantage can be gained by improving already functioning solutions, so the goal of the project was to create a system that would effectively integrate sales and marketing activities.
At PEKAES, the CaRuM solution made its debut in late 2011. Currently, the number of its users exceeds 300 people, both salespeople and their supervisors.
The main asset of the system is a database of current customers, consolidated with a database of potential customers. The database of current customers comes from the company’s SAP ERP system and is combined in CaRuM with data on potential customers. This synergy allows for the effect of a central access point to a complete customer profile.
The combination of the two bases is important insofar as, due to the breadth and diversity of PEKAES’ offerings, a customer can simultaneously work with the company on one product or service and be a potential customer within another area, where, for example, competitors may operate. CaRuM makes it possible to describe a customer’s potential by amount, probability of acquisition and competing company for each product group separately.
SAP ERP is also a source of customer payment data for CaRuM. Data on turnover, settled and unsettled payments can be reported. Such information helps build awareness of a possible negative balance in settlements with the ordering party, which can prevent risky or unwanted sales.
Another group of functionalities is used to streamline sales activities. Through the web application, the salesman can enter new potential customers into the system and supplement the data of those already entered. When working with a customer’s company, we usually deal with many contacts, so each customer can be assigned multiple contacts with detailed data (phone number, e-mail, etc.) and information about what the specialist does.
An additional functionality is the recording of customer-related activities. These can be scheduled meetings, phone calls, etc. – there are more than a dozen types of activities to choose from. By recording the activity, the salesman can add related attachments, such as offers or contracts, and plan the next step related to the activity and manage sales opportunities.
Directors have access to real-time information on the progress of customer conversations and the ability to collate activity data in report form. The system allows reporting on activity and sales opportunities on a company-wide level and by individual salespeople and services.
Tomasz Przybył, Commercial Director, PEKAES
CRM in the workshop of the sales director
The solution implemented with the participation of BCC (currently All for One Poland) has superbly simplified the sales process in PEKAES and made it very transparent and easy to monitor. Starting from the planning stage (registration of potential sales opportunities), through defining and scheduling subsequent stages (offering, negotiations, implementation), up to reporting on the sales activity of individual people and generating the so-called pipeline report, i.e. a summary of open sales opportunities with an indication of the likelihood of obtaining or expanding cooperation with the customer and the planned date of its commencement.
It is of great importance for people preparing for a meeting with the customer to be able to reach the necessary information (e.g. data on the scope of cooperation, the course of previous talks and meetings, the content of submitted offers and signed contracts) in one place. This also applies to people who work in positions other than sales, but who contact customers (e.g. forwarders, customer service staff). Importantly, all this is done on the basis of strictly defined levels of authorization for individual users. Our intention from the very beginning of designing the solution was to give everyone access only to the necessary and needed information, with no access to the rest.
To sum up – life has become simpler and the sales process more efficient – both from the perspective of people working with customers and CRM on a daily basis, as well as sales managers. Of course, working with a CRM requires meticulousness and regularity. But information must be recorded, transferred and analyzed at all times. If not in a CRM, then most often in a spreadsheet, which is much more time-consuming and unreliable than a CRM application.
Also worth mentioning is the ability to analyze and quickly access synthetic information necessary to draw conclusions about the market situation and the effectiveness of sales activities. Here CRM “beats the other solutions." Especially in the case of PEKAES, where we are dealing with dozens of salespeople offering many products and with a customer base of several thousand items.
Thanks to the new solution, we also received quick access to analyses indicating the still untapped potential in cooperation with current customers. And this is extremely valuable to us, because our intention is to provide comprehensive services to customers, that is, to start working with them on those services they have not used before.
Previously, the analyses I mentioned took a lot of time and were subject to a high degree of uncertainty. Now they are available almost at the press of a key on the keyboard. Of course, they are still based on the particular information that users have fed into the CRM. And that’s why it’s important to understand from the very beginning, by all users and at the same time beneficiaries of the CRM, why it is being implemented and what benefits it offers. Looking at our example, I can vouch that this is possible, and what’s more, there are many CRM “devotees" among users who can’t imagine life without it even shortly after implementation.
Tomasz Przybył, Commercial Director, PEKAES
Value for end users
In the implementation of a CRM system, interaction and positive reception of the solution by end users are very important. Although ultimately they will have an easier job, initially their responsibilities will increase. The database must be completed, so as much data as possible that is scattered throughout the company must be collected and entered. It doesn’t stop there, as the system will only survive if it is used systematically. The task of mobilizing employees should be done systemically, so it rests primarily with managers, who have the tools to encourage users to work with the application. However, the CRM solution itself should assist them as much as possible in this.
The best method of encouragement is always to convince users of the value of the solution. This can be achieved by ensuring a positive experience in the interaction of the system, i.e. focusing on the area of so-called User Experience (UX). The CaRuM system was designed so that the experience of working with the solution would convince people to use it often. Great emphasis was therefore placed on the data presentation layer.
Using Adobe Flex technology to create Rich Internet Applications (RIA), the user interface is ergonomic, functional and visually appealing. Using CaRuM is easy, enjoyable and gives the user satisfaction.
It might seem that these are not the most important features of a business application, but studies show that RIA-type applications make it possible to realistically increase profits compared to classic web applications (e.g. the e-commerce area by up to 20-30%). The intuitiveness of working with the application also reduces the time needed to train new users.
Further enhancing the usability of the solution is its easy access via the Internet. All that is needed to connect to CaRuM is an Internet connection and a browser, which also removes the need to install and manually update application components on employees’ devices. In the next version of the application, it is planned to enable access to the system via mobile devices.
Data centralization, better customer service
Typically, when a company lacks collaboration tools, customer data is highly decentralized. In such a situation, it is difficult to coordinate an effective exchange of information, so that the complete knowledge of the market, customer expectations and how to meet them, as well as the history of cooperation, is the sum of information held by individual people working with the customer over time. Employees leaving the company take some of the painstakingly acquired knowledge with them. That’s why having a central registry collecting customer data was one of the primary benefits of implementing CaRuM for PEKAES.
However, additional control of sales activities should not be interpreted as the main purpose of a CRM-class system. By definition, it is a tool that allows any group of stakeholders to better perform their tasks.
PEKAES’ marketing department has gained a more complete view of the overall business, while the sales department is able to quickly obtain the necessary information about the customer, and managers together with analysts can more easily coordinate all the projects currently underway at the customer’s site and propose actions leading to increased sales efficiency.
As PEKAES salespeople emphasize, the short time to reach information about the customer, the status of his settlements and submitted offers directly during the sales visit, as well as the possibility of noting the effects of conversations on the fly, immediately in the system, is a great help for them and the greatest value from the operational work with the solution.
The ultimate beneficiary of system implementation, however, is the customer himself, who always contacts the company as an entity, regardless of who represents it personally. The level of cooperation increases appreciably for the buyer, who, when talking to the company repeatedly, expects a consistent position, a good understanding of the needs once discussed, and contact with those most competent in the situation. Meandering in the network of contacts is greatly reduced at this point and largely transferred to the service provider, who, thanks to the register of contact persons, also has an easier job.
Relationship quality a competitive advantage
Increasing competitiveness is natural for most markets, so it is becoming increasingly difficult to stand out. Therefore, in addition to the quality of services and products, the source of long-term advantage should be sought in improving customer service. A customer who is more and more likely to return to us not only because our offer is the best, but also because he feels good about the joint relationship. He is recognized as a regular customer, which reminds him of shopping at his favorite store, where his tastes and habits are thoroughly known and contact is greatly simplified.