: Union Bank of Norway - Case Study Example

Case Study: Union Bank of NorwayCase Background The case focused on Union Bank of Norway’s recognition of the need to adopt and adjust to the demands of the changing environment, specifically in terms of keeping touch with their more than 1 million residential and commercial customers. The situation faced by the bank necessitated not only implementing customer relationship management (CRM), but transforming the organizational behavior through changing the way all personnel did their jobs.

What situation did they face? Case facts revealed that in the 1990s the Union Bank of Norway realized the need to integrate their customer database from that which was dispersed across multiple production systems. Through this system, bank personnel who wanted to get accurate information on the client needed to find, gather and consolidate information from diverse sources taking them days, being more costly, delaying required decisions, and therefore dissatisfying the bank’s clientele.How did they handle it?

To address the dilemma, the Union Bank of Norway invested in the acquisition of a data warehouse that would consolidate and integrate the disparate sources of customer information into a centralized database, the Teradata data warehouse. The data warehouse was thereby considered the heart of the organization and enabled the bank to provide accurate and timely information on all pertinent information concerning their various customers. The effect of the database were as follows: (1) eliminated costly, time consuming, and pervasive practice of data gathering; (2) provided the ability to know the customer on a so-called 360 degree view or a comprehensive and holistic view; (3) it aided marketing functions; (4) made customer information available and accessible to other functions and departments such as accounting, finance and auditing; (5) enabled the bank to assume a proactive stance in terms of forecasting customer needs and demands; (6) enabled an increase in market share through designing innovative strategies that focus on enhancing customer service (like the customer loyalty program, events-based marketing, and optimization of customer communications and response); (7) provided opportunities to add CRM functionality; and (8) aided in channel optimization thereby cutting down on costly services and promoting the image of the organization as a customer advocate.

Through Union Bank of Norway’s customer-focused driven strategies, a two-line open communication with the customers is always available and accessible. As emphasized, “the bank continues to survey its customers about their products, their investment preferences, their financial goals, and planning activities, and their overall satisfaction with the bank” (Case facts, p. 148). Finally, Union Bank of Norway was able to make use of the analysis checklist for success where relevant considerations such as the need for data integration, investing in a data warehouse, employing people who know how to use, maintain and manage the data, translating the vast amount of information into productive and concrete action, considering customer data as their corporate asset, and incorporating the CRM within the various processes and functions of their business.

Work Cited“Case Study: Union Bank of Norway.” Title of the Book, Publisher, Date