Restructuring the Marketing Information System for eCRM: An Application of the Eriksson-Penker Method

Restructuring the Marketing Information System for eCRM: An Application of the Eriksson-Penker Method

Calin Gurau (GSCM – Montpellier Business School, France)
Copyright: © 2009 |Pages: 12
DOI: 10.4018/978-1-59904-859-8.ch019
OnDemand PDF Download:
$37.50

Abstract

This chapter considers the importance of business modelling for implementing e-CRM systems. The introduction of e-business models requires the adaptation of the Marketing Information System the specific characteristics of the online environment. The representation of various components of the Marketing Information System, and of the flows of information among various organizational departments, represents an essential step for the successful implementation of e-CRM systems. Considering the specific requirements of this restructuring process, chapter presents the advantages of the Eriksson-Penker Business Extensions of the Unifying Modeling Language (UML), and exemplifies their use for modeling the Marketing Information System during the implementation of an interactive e-CRM approach.
Chapter Preview
Top

Background

The opportunities provided by the rapidly evolving online markets have determined many firms to initiate e-business operations. However, the success of these initiatives is determined by capacity of enterprises to properly understand the specificity of the Internet, and to restructure their Marketing Information Systems in order to develop a competitive advantage. In this context, the eCRM systems represent interesting solutions for adopting a customer-centric approach and for increasing the online value propositions (Jayachandran, Sharma, Kaufman, & Raman 2005; Payne, & Frow 2005; Srinivasan, & Moorman 2005). Value maximisation happens when firms and customers engage in long-term relationships (Vargo, & Lusch 2004), co-creating personalised value (Prahalad, & Ramaswamy 2004), based on information exchange and close collaboration in all the stages of product R&D, manufacturing and commercialisation.

The eCRM system comprises a number of business processes, inter-linked in a logical succession:

  • Market segmentation: the collection of historical data, complemented with information provided by third parties (such as marketing research agencies), is segmented on the basis of customer life-time value (CLV) criteria, using data mining applications.

  • Capturing the customer: the potential customer is attracted to the web site of the firm through targeted promotional messages, diffused through various communication channels.

  • Customer information retrieval: The information retrieval process can be either implicit or explicit. When implicit, the information retrieval process registers the web behaviour of customers, using specialized software applications, such as ‘cookies’. On the other hand, explicit information can be gathered through direct input of demographic data by the customer (using online registration forms or questionnaires). Often, these two categories of information are connected at database level.

  • Customer Profile definition: the customer information collected is analyzed in relation with the target market segments identified through data mining, and a particular customer profile is defined. The profile can be enriched with additional data, e.g. external information from marketing information providers. This combination creates a holistic view of the customer, its needs, wants, interests and behaviors (Pan, & Lee, 2003).

  • Personalization of firm-customer interaction: the customer profile is used to identify the best customer management campaign (CMC), which is applied to personalize the company-customer online interaction.

  • Resource management: the company-customer transaction require complex resource management operations, which are partially managed automatically, through specialized IT-applications such as Enterprise Resource Planning (ERP) or Supply Chain Management (SCM), and partly through the direct involvement and co-ordination of operational managers.

Key Terms in this Chapter

Enterprise Resource Planning (ERP): A business management system based on specialised software systems that manage various information flows, integrating all business facets, including planning, manufacturing, sales, and marketing.

UML Stereotypes: Extensions to the UML vocabulary, allowing additional text descriptions to be applied to the notation. The stereotype is shown between chevron brackets <<>>.

Supply Chain Management (SCM): A management system that coordinates, integrates and controls the move of materials, information, and finances from supplier to manufacturer to wholesaler to retailer to consumer, in order to reduce inventory and increase the efficiency of the supply process.

UML Constraints: Extensions to the semantics of an UML element. These allow the inclusion of rules that indicate permitted ranges or conditions on an element.

Customer Lifetime Value (CLV): Consists in taking into account the total financial contribution - i.e. revenues minus costs - of a customer over his or her entire life of a business relationship with the company.

UML Tagged Value: Extensions to the properties of an UML element.

Electronic Customer Relationship Management (eCRM): CRM comprises the methods, systems and procedures that facilitate the interaction between the firm and its customers. The development of new technologies, especially the proliferation of self-service channels like the web and wap phones, has changed consumer buying behaviour and forced the companies to manage electronically the relationships with customers. The new CRM systems are using electronic devices and software applications that attempt to personalize and add value to customer-company interactions.

Complete Chapter List

Search this Book:
Reset
Editorial Advisory Board
Table of Contents
Preface
Jatinder N. D. Gupta, Sushil Sharma, Mohammad A. Rashid
Acknowledgment
Jatinder N. D. Gupta, Sushil Sharma, Mohammad A. Rashid
Chapter 1
Nancy Alexopoulou, Panagiotis Kanellis, Mara Nikolaidou, Drakoulis Martakos
Efficient response to change, both upon expected and unpredicted contingencies, is a critical characteristic for modern enterprises. This chapter... Sample PDF
A Holistic Approach for Enterprise Agility
$37.50
Chapter 2
Hossana H. Aberra
SAP Business Blueprint is a vital part of SAP implementation exercise. A well-defined business blueprint may set the foundation for successful... Sample PDF
What is SAP Business Blueprint?
$37.50
Chapter 3
Rogerio Atem de Carvalho
This chapter introduces the key aspects of Free/Open Source Enterprise Resources Planning systems (FOS-ERP). Starting by related work carried out by... Sample PDF
Free and Open Source Enterprise Resources Planning
$37.50
Chapter 4
Brian H. Cameron
Business process modeling (BPM) is a topic that is generating much interest in the information technology (IT) industry today. Business analysts... Sample PDF
The Changing Nature of Business Process Modeling: Implications for Enterprise Systems Integration
$37.50
Chapter 5
Alok Mishra
In the age of globalization, organizations all over the world are giving more significance to strategy and planning to get an edge in the... Sample PDF
Enterprise Resource Planning Systems: Effects and Strategic Perspectives in Organizations
$37.50
Chapter 6
Gary P. Moynihan
An executive information system (EIS) is a software system designed to support the informational needs of senior management. The EIS is... Sample PDF
An Overview of Executive Information Systems
$37.50
Chapter 7
Joseph Bradley
Enterprise Resource Planning systems have proven difficult and costly to implement. Organizations must consider the risks and rewards of embarking... Sample PDF
Enterprise Resource Planning System Risks and Rewards
$37.50
Chapter 8
Andrea Masini
After observing that the pervasiveness of IT may soon render it strategically irrelevant, management scholars have recently questioned the value of... Sample PDF
ERP-Driven Performance Changes and Process Isomorphism
$37.50
Chapter 9
Ronda R. Henning
The application software life cycle considers the functionality of a given collection of components within the context of a consumer’s requirements... Sample PDF
Application Integration within the Enterprise Context
$37.50
Chapter 10
Sanjay Mathrani, Mohammad A. Rashid, Dennis Viehland
A significant investment in resources is required for implementation of integrated enterprise systems as technology solutions while the... Sample PDF
The Impact of Enterprise Systems on Business Value
$37.50
Chapter 11
Charlotte H. Mason, Aleda V. Roth
Growing competitive pressures and escalating customer demands have led businesses to sophisticated information technology to manage costs and... Sample PDF
The Right Path to SCM-CRM Integration
$37.50
Chapter 12
Euripidis Loukis, Ioakim Sapounas, Konstantinos Aivalis
This chapter is dealing with the alignment of enterprise systems with business strategy and its impact on the business value that enterprise systems... Sample PDF
Enterprise Systems Strategic Alignment and Business Value
$37.50
Chapter 13
Sanjay Mathrani, Mohammad A. Rashid, Dennis Viehland
The market for enterprise systems (ES), continues to grow in the post millennium era as businesses become increasingly global, highly competitive... Sample PDF
Enterprise Systems in Small and Medium-Sized Enterprises
$37.50
Chapter 14
Kerstin Fink, Christian Ploder
Small and medium-sized enterprises (SMEs) are a vital and growing part of any national economy. Like most large businesses, SMEs have recognized the... Sample PDF
Integration Concept for Knowledge Processes, Methods, and Software for SMEs
$37.50
Chapter 15
Tobias Schoenherr, Ditmar Hilpert, Ashok K. Soni, M.A. Venkataramanan, Vincent A. Mabert
Although the research on integrated enterprise systems (ES) is proliferating, the knowledge base about ES implementations, usage and experiences... Sample PDF
Enterprise System in the German Manufacturing Mittelstand
$37.50
Chapter 16
Darshana Sedera
Organizations invest substantial resources in acquiring Enterprise Systems, presumably expecting positive impacts to the organization and its... Sample PDF
Size Matters! Enterprise System Success in Medium and Large Organizations
$37.50
Chapter 17
Joseph Bradley
ERP implementation projects normally involve a single vendor providing the packaged software for the entire system. Although most companies follow... Sample PDF
Implementing Best of Breed ERP Systems
$37.50
Chapter 18
Ganesh Vaidyanathan
Enterprise resource planning systems are complex yet single, integrated software programs that runs off a single database so that the various... Sample PDF
Enterprise Resource Systems Software Implementation
$37.50
Chapter 19
Calin Gurau
This chapter considers the importance of business modelling for implementing e-CRM systems. The introduction of e-business models requires the... Sample PDF
Restructuring the Marketing Information System for eCRM: An Application of the Eriksson-Penker Method
$37.50
Chapter 20
Albert Boonstra
At the present moment, many hospitals are going through a process of change directed at the integrated delivery of health care. Enterprise Systems... Sample PDF
Analyzing an ES Implementation in a Health Care Environment
$37.50
Chapter 21
S. Padmanaban
ERP systems have become key enablers of businesses today. While many organizations wish to adopt ERP for competitive advantage, they find choosing... Sample PDF
Designing to Deploying Customisable ERP Cost Effectively
$37.50
Chapter 22
Mateja Podlogar, Katalin Ternai
This chapter introduces the ERP systems, their complexity, and especially their integration in higher education as a significant challenge for many... Sample PDF
ERP Systems in Higher Education from Regional Perspective
$37.50
Chapter 23
Valentin Nicolescu, Holger Wittges, Helmut Krcmar
This chapter provides an overview of past and present development in technical platforms of ERP systems and its use in enterprises. Taking into... Sample PDF
From ERP to Enterprise Service-Oriented Architecture
$37.50
Chapter 24
ERP and Beyond  (pages 329-345)
Suresh Subramoniam, Mohamed Tounsi, Shehzad Khalid Ghani, K. V. Krishnankutty
Enterprise-wide automation has already transformed the relations among suppliers, purchasers, producers, and customers. Conventional ERP helps only... Sample PDF
ERP and Beyond
$37.50
Chapter 25
Gita A. Kumta
The chapter introduces the essence of ERP in government as a tool for integration of government functions which provides the basis for citizen... Sample PDF
E-Government and ERP: Challenges and Strategies
$37.50
Chapter 26
Manish Gupta, Raj Sharman
A paradigm shift is occurring in identity management philosophy. User-focused identity management is one the emerging and most promising paradigms.... Sample PDF
Emerging Frameworks in User-Focused Identity Management
$37.50
Chapter 27
Ramón Brena, Gabriel Valerio, Jose-Luis Aguirre
From the Knowledge Management perspective, Knowledge distribution is a critical process in organizations. As many of the other Knowledge-related... Sample PDF
Next-Generation IT for Knowledge Distribution in Enterprises
$37.50
About the Editors
About the Contributors