How MLP Realized the Four Recommendations

With its business model and supporting IT architecture, MLP has realized the four recommenda- tions mentioned in the previous section:   Distribute disjoint CRM competencies among partners of an alliance: Each subsidiary com- pany of MLP AG focuses on specific tasks as its core In particular, each subsidiary focuses on one role in the value… Read More »

CASE STUDY: COLLABORATIVE CUSTOMER RELATIONSHIP MANAGEMENT AT MLP

MLP is an independent financial services provider that focuses on the relationship manager role. Since its founding in 1971, it has focused on advising university graduates and clients with sophisticated requirements on pension provision, asset management, and risk management. With around 2,800 fi- nancial consultants and an extensive service offering, MLP is able to guide… Read More »

ANALYSIS AND DISCUSSION OF CRM IN FINANCIAL SERVICES ALLIANCES

Strategy Level   On the strategy level, we observed that all of the companies cooperate horizontally with other financial services companies or divisions offering complementary products. Except for the two universal banks, the companies are part of financial services alliances with vertical cooperation, i.e., between product providers and relationship managers (mainly banks). In contrast, the… Read More »

Customer Relationship Management in the Financial Services Industry

Customer relationship management emerged as a response to decreasing customer loyalty in different industries. The reasons for decreasing customer loyalty in the financial services industry are manifold and closely interconnected. Three fundamental factors can be identified (Körner and Zimmermann 2000; Krishnan et al. 1999; Walter 2000):   New technological opportunities: The conceptual nature of financial… Read More »

SUCCESS FACTORS IN CRM IMPLEMENTATION

In the introduction project the companies first developed a CRM concept which specified work packages and the timetable for their introduction. As with classic project management, a targeted approach calls for a clear focus in respect of operational, analytical, and collaborative CRM activities, particularly in view of the broad nature of CRM. In general, the… Read More »

SUCCESS FACTORS IN CRM IMPLEMENTATION

INTRODUCTION   Building and maintaining customer relationships is neither new nor necessarily tied to the use of information technology. Nonetheless, the use of customer relationship management (CRM) sys- tems is becoming increasingly important to improve customer lifetime value, a metric which is believed to closely correlate with a company’s competitive advantage (Winer 2001). By providing… Read More »

Organizational Change and CRM Success: A Research Framework

Goodhue et al. (2002) note that “in general, changing the technology without transforming the organization often leads to less-than-optimal results. Companies may need to develop a customer- centric culture, hire personnel with the vision and skills needed to implement and practice CRM and change business processes, organizational structures and reward systems.” If, for instance, the… Read More »

CUSTOMER RELATIONSHIP MANAGEMENT SUCCESS AND ORGANIZATIONAL CHANGE

  INTRODUCTION   Relationship building and management, or what has been labeled as relationship marketing, is one of the leading approaches to marketing (Grönroos 1994). Practitioners as well as academics suggest that customer relationship management (CRM) provides an actual platform for the operational manifesta- tion of relationship marketing (Plakoyiannaki and Tzokas 2002; Goodhue et al.… Read More »

MANAGING CUSTOMER COMPLAINTS AS A CONSEQUENCE OF CUSTOMER DISSATISFACTION

In traditional markets, customer complaints are considered an important source of information (Tse and Wilton 1988). Since complaint management is recognized as being central to customer satisfaction, any measure of complaint behavior should consider the degree and quality of the underlying customer satisfaction (Cho, Im, Hiltz, and Fjermestad 2001b and 2003). Research by Singh and… Read More »