The Six Dimensions of Adoption of a CRM Strategy

The Six Dimensions of Adoption of a CRM Strategy

José Duarte Santos (Polytechnic Institute of Porto, Portugal) and José Pita Castelo (Universidade de Vigo, Spain)
Copyright: © 2018 |Pages: 27
DOI: 10.4018/978-1-5225-5619-0.ch002

Abstract

This chapter covers aspects to be taken into account in the adoption of customer relationship management (CRM) in terms of a strategic perspective. It is based on an analysis of 32 models developed between 1999 and 2015. This analysis allowed the authors to detect elements internal to the organization that are arranged in six dimensions: CRM strategy formulation, relational marketing philosophy, the application of best practices, organizational and human resources, CRM processes, and CRM technology. It also presents a definition of CRM that encompasses these dimensions and takes into account the three functional areas of operation of CRM: marketing, sales, and service. Bearing in mind the definition and a perspective of connection dimensions developed along the characterization of each of the dimensions, the authors presented the conceptual model for the adoption of CRM.
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Introduction

The adoption of CRM (Customer Relationship Management) requires the availability of time and a significant investment (Rigby & Ledingham, 2004), which are two resources with strong involvement in strategy and the operation of an enterprise. So, it is important for organizations to identify the internal elements that require special attention and the activities to be undertaken to achieve a successful CRM adoption (Reinartz, Krafft, & Hoyer, 2004).

CRM is important for customer loyalty (Alt & Puschmann, 2004; Bohling et al., 2006; Buttle, 2004; Croteau & Li, 2003; Hosseini, 2013; Ko, Kim, Kim, & Woo, 2008; Mendoza, Marius, Pérez, & Grimán, 2007; Peelen, Montfort, Beltman, & Klerkx, 2009; Roberts, Liu, & Hazard, 2005; Shaon & Rahman, 2015; Winer, 2001). For instance, CRM can provide value to the customer (Berry, 2002; Bohling et al., 2006; Buttle, 2004; Chen & Popovich, 2003; Küçükoğlu & Pınar, 2015; Park & Kim, 2003; Parvatiyar & Sheth, 2001; Payne & Frow, 2005; Peelen et al., 2009; Raman, Wittmann, & Rauseo, 2006; Shaon & Rahman, 2015). Moreover, CRM can increase satisfaction (Alt & Puschmann, 2004; Ata & Toker, 2012; Buttle, 2004; Habidin, Ali, Khaidir, Shazali, & Jusoh, 2015; Ko et al., 2008; Küçükoğlu & Pinar, 2015; Osarenkhoe & Bennani, 2007; Shaon & Rahma, 2015; Wang & Fen, 2012). Consequently, CRM can influence the performance of the organization (Ata & Toker, 2012; ElKordy, 2014; Küçükoğlu & Pinar, 2015; Mohamad, Othman, Jabar, & Majid, 2014; Peltier, Zahay, & Lehmann, 2013; Wang & Fen, 2012).

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