Customer Relationship Management: Emirate Hotel Kempinski Mall - Business Plan Example

Student’s Name Your Instructor’s name The Course Date Introduction Customer Relationship management (CRM) is highly indispensable for a business that seeks to gain a larger market share than that of its competitors. The implementation of the system at Emirate Hotel’s Kempinski Mall is instrumental in promoting its performance. Therefore, it is imperative that it informs its clients on the importance of the system as well as involving its employees in the implementation of the system. Implementation of these strategies facilitates the enhancement of the business performance; promotes customer loyalty and retention; widens market share and customer base; reduces operation costs and enhances customer cooperation. Objectives This paper seeks to explore the effectiveness of the implementation of some of the recommendations in the Kempinski Mall. The report does this through a summary of the two recommendations; an illustration of the current processes; illustration of the processes after the implementation of recommendations; and the possible improvements expected from the recommendations. Lastly, the report outlines an action plan on how the recommendations will be implemented. Recommendations In part A of this paper, some of the recommendations suggested include the involvement of the employees and customers in the employment of the CRM system; setting the organizational objectives appropriately in order to guide its operations; organizing extensive training on the significance of the system in the company; informing customers on the importance of CRM system; and the adherence of the organizational strategic plan so as to achieve the set objectives. This report focuses on the effectiveness of implementation of the two recommendations: involvement of the employees in the execution of the system, and informing the clients on the importance of utilizing the system in the company. Involvement of the employees in the implementation of the CRM It is vital that the company involves its employees in the implementation of the CRM so as to improving its operations. An organization that employs CRM system in its management cannot get successful without the involvement of the employees. The participation of the employees is influential in some of the stages in the designing and implementation of the system. This is because the organization can work on the suggestions and opinions concerning the system. Employees’ opinions and ideas are vital because employees are an integral part in the company. The management alone cannot succeed in running the organization without the support of the staff. In addition, employee involvement is imperative in the implementation of the CRM. This is because they are the ones that interact with the clients more than the management (Bock 4). This interaction is critical in that it provides a link between the organization and the customers. This way, the organization can get the customers’ feedbacks, opinions, and reactions on the delivery of the services. Consequently, the information can be very influential in the enhancement of the performance through working on the weaknesses as presented by the clients. In addition, the company can benefit by improving some of the strengths pointed out by the clients. Therefore, the involvement of the clients is crucial in the implementation of CRM system in the company. Informing clients on the importance of CRM This is one of the most important recommendations suggested to Kempinski Hotel on the improvement of CRM effectiveness. The company cannot succeed in the employment of CRM if its customers do not understand the importance of the system in the organization. There are many benefits of CRM that customers should be informed. To start with, CRM is vital in the company because it helps in making and strengthening its relationship between the firm and the customers (Goldenberg 3). This system does not only benefit the business aspect of the company, but it also helps in strengthening personal bonds among people in the company. This kind of development is vital in the driving business to the new business levels. In addition, the company can easily identify and meet customer needs through the emotional and personal connections. Moreover, the system is critical in that it contains every customer’s detail; hence making it easy for the company to track them. As a result, the company can successfully meet their needs appropriately. Clients also ought to know that CRM is vital in order to group them in terms of physical location, occupation and other aspects (Bock 4). As a result, the company can serve them effectively since it can concentrate on them separately. Additionally, CRM is important to the clients because they are served efficiently and offered what they really need from the company; hence, there is enhanced customer satisfaction. To the company, CRM is influential in the developing more business that eventually raise the profits and turnover in the organization. What is more, the employment of the CRM is critical in the improving the company’s performance through strong personal and emotional relationships. Consequently, the company will attract and maintain many customers due to the enhanced loyalty of the existing clients (Goldenberg 4). Notably, the Company will not only apply the system to handle the existing clients, but also to inquire for the new ones. The first step taken towards the achievement of this goal is the identification of the customer and maintenance of the entire correspondence into the system that is referred to as opportunity business (Goldenberg 5). More so, CRM helps in the reduction of costs incurred by the business in its operations. This is because of the minimized manual and paper work, which in turn reduces the number of workers required in the company (lder 5). Further, the system’s technologies used in the company is smooth and cheap in comparison to the old ways of conducting business. Diagrams Existing processes low retention rate low profits little employee involvement little customer cooperation ineffective customer satisfaction Proposed processes 20% retention rate increased profits high employee involvement improved customer cooperation effective customer satisfaction Action plan Recommendation one: employee involvement Recommendation two: informing customers on the effectiveness of the system The required resources Funds Funds, newsletters, seminars Who will take leadership and responsibility Marketing manager Marketing manager Details of the steps taken introducing the system to the employees designing of the system training employees on the system delegation of duties to the staff Introduction of the system to the clients Dissemination of information about CRM getting the clients’ feedback The time taken to implement each of the steps introduction of the system will take 1 month designing the system will take three months training will take one week delegation of duties will be done in two days Introduction will take one month Dissemination of information will take two months The clients’ feedback will be done in one month Any barriers that impacted the action plan Limited time and funds Limited funds and time How the effectiveness of the implementation will be measured Effectiveness will be measured through employee feedback, performance of the company, and research Customer response, research and measuring company performance Description of Improvements of the recommendations After the implementing the aforementioned recommendations, the company is likely to experience certain improvements that are discussed below. Firstly, the relationship between the company and its customers through the personal and emotional relationships will be greatly enhanced (Baran 10). In turn, the company will attract and retain the many customers; hence, there will be an improved performance in the company due to an increased growth rate. In addition, the increased performance is also attained through the enhanced loyalty of the clients. Therefore, involvement of the employees in the implementation of CRM system is vital in that it promotes building relationships between the firm and its employees. In addition, the company is likely to improve its performance by employing CRM system. This is because CRM has an ability to reduce the firm’s operational costs because of the minimized manual and paper work (Belk p. 4). The automation involved in the implementation of CRM is beneficial in that it reduces the number of employees in the company. Furthermore, the involvement of employees in the application of the system helps the company keep all the clients’ details in centralized manner. As a result, this information is vital in the reduction of the amount of time used in the operations; hence, increasing the company’s productivity (Baran 10). As well, since employees interact with customers more than the management, involving them in the implementation of CRM system will enhance the satisfaction of the employees’ needs. Involvement of the employees in the company is influential in the development of the business. This is because the system comprises of a historical analysis and view of the existing and potential clients (Baran 10). Consequently, this aids in the reduction and correlation of customers, and prediction of their needs efficiently and enhancement of the business. Moreover, the involvement of the company employees in the CRM implementation is critical in the determination of customer needs (lder 6). This because the system consists of all the customers’ details that make it easy for the management to track them accordingly. Providing the clients with the information on the importance of CRM in the company is very beneficial. When the clients fully understand the importance the system, they will actively and readily cooperate in the process (Belk p. 5). This cooperation of the clients boosts the company’s profits and turnover. Besides, when customers are informed about the importance of the CRM, they will likely become loyal to the company because their needs are fully satisfied. This also cultivates a long-lasting relationship and loyalty; hence promoting customer base through retention. What is more, if the information provided to the clients on the importance of CRM is helpful in that it improves the performance of the business. This is because CRM improves the organizational performance of the organization as well as the quality of its production (Bock 4). The company’s performance is improved because clients are attracted to a company that produces quality of its products and services. In addition, the relationship that is strengthened between the clients and the business makes the customers feel more valued and welcomed in the organization (Baran 11). Besides, the company can easily identify and satisfy their needs effectively because of the strong personal and emotional relationships. Therefore, informing the company customers on the significance of CRM system is instrumental in enhancing the overall performance of the business since the customers will develop a positive attitude towards the company. Conclusion The use of CRM system at the Emirate Hotel’s Kempinski Mall is influential in raising customer retention by 20%. The recommendations provided in the report are instrumental in enhancing the performance of the company. These recommendations include informing the clients on the significance of using the CRM system, and involvement of the employees in the implementation of the system. Some of the possible improvements in the company upon implementing the system include increased loyalty; strengthened personal and emotional relationships; reduction of the costs of operation; enhanced identification and satisfaction of the clients’ needs; improved cooperation; wide customer base and market share; and improved customer retention. The main objectives of Emirate Hotel’s Kempinski Mall is to foster customer relations which will lead to retention as well as promoting employee management relation through an effective CRM. These two main objectives which are central to the organization’s sustainability will be achieved through the proposed implementation of CRM. Works Cited Baran, Roger. Principles of customer relationship management. Mason, Ohio: Thomson/South- Western, 2008. pp. 10-15 Bock, Michael. The advantages and disadvantages of relationship management How can a company integrate recent research findings in order to make its CRM system more efficient. München: GRIN Verlag GmbH, 2010. pp. 3-6 Buttle, Francis. Customer Relationship Management: concepts and technologies. Oxford: Heinemann, 2009. pp. 67-78. Goldenberg, Barton. CRM in real time: empowering customer relationships. Medford, N.J: CyberAge Books, 2008. pp. 6-10. lder, Arend. Implementing CRM systems Approaches and potential problems. München: GRIN Verlag GmbH, 2008. pp. 5-10. Read More