Conference White Paper Examines Customer Relations Management Through Technology

UNIVERSITY PARK, PA -- Despite the popular viewpoint that the Internet and e-Business applications are failing, a recent white paper from the eBusiness Research Center (eBRC) and the Center for Global Business Studies (CGBS) at Penn State University's Smeal College of Business points out that best-in-class ventures in customer relations management still have the power to bolster a company's financial bottom line and generate long-term consumer satisfaction.

Produced as a follow-up to a May 14-15 conference in Philadelphia entitled "Innovations in Customer Loyalty, Retention and Advocacy: Powered by Technology," which was jointly presented by eBRC and CGBS, the paper and its companion CD-ROM summarize the range of thoughts on the subject from the panel of practitioners, academics, and technology product managers present at the event.

"Customer relations management (CRM) investments and operations require constant reassessment and recalibration," the white paper reports. "Companies need to understand that a well-designed telephone or World Wide Web based system can enhance their customer relationships, but that poor design can sabotage them. Far too many companies consider CRM a vehicle to reduce costs as opposed to adding value to customers."

Organized as a focused think tank aiming to identify and understand the emerging issues in technology driven CRM, the workshop participants confronted a range of questions including how do businesses gain customer loyalty, what level of satisfaction turns a loyal customer into a customer advocate, under what conditions does customer loyalty enhance company profitability, why are some companies very successful in their loyalty programs while others are not, and how can CRM technologies be calibrated to favor the most profitable as opposed to the most loyal customers?

The white paper reports on individual conference presentations with a goal of providing insights on the current strengths, weaknesses, opportunities, and threats presented by technology-driven CRM. Topics investigated in the paper include individual industry success stories, business imperatives, CRM processes and services innovations, case study analysis of technologies used in CRM, and the steps toward developing taxonomy of loyalty types. Each presentation summary in the white paper is followed by a list of research questions intended to stimulate further thought and analysis.

The white paper concludes with this sentiment: "The conference presentations and dialog clearly and somewhat painfully demonstrated that for all the technological firepower available to companies, few firm, generally able truths have emerged. Indeed many companies do not appear even to have considered fundamental issues such as whether CRM innovations should provide greater value to consumers, or simply reduce customer care expenses."

To access the complete white paper, "Innovations in Customer Loyalty, Retention and Advocacy: Powered By Technology," visit http://www.smeal.psu.edu/ebrc/publications/papers/misc/CRMwhitepaper.pdf . (.pdf 663Kb) *Acrobat

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