Why Do Utilities Adopt CRM?
The Business Is Ill Bleeding costs in the
call centre New competitive
challenges Losing customers in
deregulated regions Old technology needs
a face-lift
Systems Integrators Diagnose
And CRM Vendors Propose A Cure Large, separate CRM
system Lots (and lots) of
features Latest technology Integration with your
CIS
But There Are Risks
Open Heart Surgery CIS systems are the core
of your business Most are technically
fragile The Biggest Risk: an
unclear CRM strategy Will it really cure what
ails you?
Still, The Patient Agrees To It
It worked elsewhere Banking Manufacturing
It will look good It will give us complete control of
our call centre It will give customers better access
Many Patients Don’t Improve
“Fifty-five percent of CRM initiatives fail to deliver measurable
benefits.”
“Want to Succeed in CRM? Don't Call It CRM ,”Gartner, 2004
Some Get Worse
By 2006, more than 50 per cent of CRM projects will have failed.
The majority will have underestimated costs by 40-75%.
– extract from Gartner 2006 CRM Prediction
Why Is It Not Working?
Trying to substitute technology for wisdom
Over-reaching expectations
Over-engineered Irrational cost analysis Not aligned with
business strategy
Practical CRM Reduce Risk
Define requirements first Go on a diet, take smaller steps
Avoid creep Clean up your data Apply modern standards Automate error-prone processes
E.g., Easy enrollment process Maintain only one product catalog Automatically convert prospects to
customers
Practical CRM
Simplify Utility-specific features, not
horizontal tools Minimize redundant data Flexible business processes
Allow skilled business users to define and implement them
Avoid too many integration points
Practical CRM
Verify the operations Measure the results using
a business intelligence product
!Tip, BI can be just as difficult to implement as CRM
Avoid tools, find a solution Our next topic will be “Life After
BI”
By All Means Find A Cure …but get a second opinion Get the right diagnosis
Find a utility-appropriate solution Avoid complex, unnecessary
surgery Minimize redundancy &
interfaces Maybe exercise and diet will
help Don’t over-engineer
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