1
Business Process Management Journal,
9, 5 (2003), 572-591.
An Integrative Implementation
Framework for Electronic Customer Relationship Management:
Revisiting the General Principles of Usability and Resistance
Jerry Fjermestad
New Jersey
Institute of Technology
Nicholas C.
Romano, Jr.
Oklahoma State
University
2
Business Process Management Journal,
9, 5 (2003), 572-591.
What
is eCRM?
eCRM is about:
retaining customers
improving customer service
attracting and keeping economically
valuable customers
repelling and eliminating
economically
invaluable ones
3
Business Process Management Journal,
9, 5 (2003), 572-591.
Market
growth for eCRM
$20.4 billion 2002
$46 billion by 2003
to $125 billion by 2004
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Business Process Management Journal,
9, 5 (2003), 572-591.
Problems
with eCRM
More than half of all eCRM
projects are not expected to produce a measurable ROI
19% of CRM users decided
to stop funding their eCRM projects
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Business Process Management Journal,
9, 5 (2003), 572-591.
Objective
of this paper
To analyze the secondary
data available in published sources
business trade magazines
academic journals
In the context of the basic
usability and resistance principles
6
Business Process Management Journal,
9, 5 (2003), 572-591.
Outline
Introduction to
eCRM
General usability
and resistance principles
Build an integrative
framework
Present our analysis
Conclusions &
Recommendations for
successful eCRM implementations
7
Business Process Management Journal,
9, 5 (2003), 572-591.
Basic principles of usability design:
Gould
and Lewis, 1985
Early focus on users and tasks
Empirical measurement
Iterative design
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Business Process Management Journal,
9, 5 (2003), 572-591.
Basic principles
of usability design:
Nielsen,
1992
Pre- Design
Design
Post- Design
9
Business Process Management Journal,
9, 5 (2003), 572-591.
Basic principles of
resistance:
Markus, 1983
People determined
Technology determined
Interaction theory
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Business Process Management Journal,
9, 5 (2003), 572-591.
Integrative Framework
Resistance
| Usability
Pre-design
Know the users
Competitive
analysis
Setting usability
goals
Design
Participatory design
Coordinated design
Guidelines & heuristic
analysis
Prototyping & empirical
testing
Iterative design
Post-design
Collect feedback from users
People Determined
. Educate users
. Train users
. Job rotation
. Change people
. Coerce users
. User participation to gain
commitment
. System champion
. Restructure user incentives
. Add users & modules
slowly
. Pilot projects
. Work closely with teams
. Create credibility
. Develop long term plans
System Determined
. Understand the technology
. Improve systems efficiency
. Improve data entry
. Improve human factors
. Understand and simplify
organizational
procedures & processes
.Iterative, incremental
implementations
Interaction
Theory
. Integrate with existing
technology
. Use cross functional
teams
. Use positive users in pilots
. Build systems for valid
business reasons
. Fix organizational problems
. Restructure relationships
. Assign a system champion
11
Business Process Management Journal,
9, 5 (2003), 572-591.
Paper
Company
Details
of Problem
Patton, 2001
The Truth about
CRM
Monster.com
Initial failure
resulted in millions of dollars in added expenses and months of effort
to re-implement the system.
Rolled out a high-end software
package to provide its telephone sales representatives with instant
information on prospective customers
Telecommunications
company
Launched a CRM to 1,000 sales
reps at a cost of &10,000 per user. 1 year later only 10%
were using the system.
Barclay Global
Investors
A successful
implementation.
Deck,
2001
CRM Made Simple
Hewlett-Packard
HP was not
using the web effectively. There was no central program or strategy
for e-mail marketing.
Student Connections
Developed a
CRM project to better understand how its products were being used and
to maximize ROI.
Example eCRM Implementations
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Business Process Management Journal,
9, 5 (2003), 572-591.
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Business Process Management Journal,
9, 5 (2003), 572-591.
Reasons for
eCRM Success
Company
Resistance | Usability
Pre-design
Design
Post-Design
Barclays
People- Determined
System- Determined
. Survey the technology
2 years ahead of time
. Iterative, incremental
Interaction Theory
. Found a solution that works
with existing software
Fingerhut
People- Determined
System- Determined
. Pilot tested the system on
10% of its customers for 1 year
. Looked fore pieces instead
of trying to fit into one solution.
Interaction Theory
Radio
Shack
People- Determined
. Plans to add sales force
gradually.
Guarded approach based on past
struggles failure reports.
System- Determined
. Pilot projects
. 20 people in first roll out.
. Past success were completed
in “bite-size pieces.”
Interaction Theory
. Developing
multiple small
CRM projects
Tipper Tie
People- Determined
. Soft sell to management
. Interviewed sales reps
. Interviewed call center staff
. Interview consultants to
find
the best fit
. Worked
closely with
consultants
. Team members work the
system then made
presentations
to other users
System- Determined
Interaction Theory
. Piloted the systems with
“positive upbeat” people
. Semiweekly progress
updates
. Cross functional pilot teams-
the key to success
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Business Process Management Journal,
9, 5 (2003), 572-591.
Reasons for limited
eCRM success
People Determined (Examples)
. Field reps locked out
of the
system
.
Inexperienced consultants
. The company did
not
articulate its needs
. Sales force refused to use the system
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Business Process Management Journal,
9, 5 (2003), 572-591.
Reasons for limited
eCRM success
System Determined
. Slow systems, reps were
unable to help customers
. Slow access to system
by remote
sales people
.
Data unavailable for the
sales reps
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Business Process Management Journal,
9, 5 (2003), 572-591.
Reasons for limited
eCRM success
Interaction theory (second
time around)
. Required sales people
to use the system
. Iterative and prototype development
17
Business Process Management Journal,
9, 5 (2003), 572-591.
Reasons for eCRM Success
People determined
. Soft sell to management
. Interviewed sales reps
. Interviewed call center staff
.
Interview consultants to find
the best fit
18
Business Process Management Journal,
9, 5 (2003), 572-591.
Reasons for eCRM Success
System Determined
. Pilot tested the system
on
10% of its customers for 1 year
.
Looked for pieces instead
of trying to fit into one
solution
. Controlled
project
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Business Process Management Journal,
9, 5 (2003), 572-591.
Reasons for eCRM Success
Interaction theory
. Learned from one Implementation
and applied to the next
. Implementing the
next technology
based upon a successful
implementation
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Business Process Management Journal,
9, 5 (2003), 572-591.
Conclusions
The integrated eCRM framework
provides guidelines for systems designers and the corresponding management
team to improve usability and reduce resistance
focusing on usability can
reduce resistance (training and educating users)
focusing on resistance can
improve usability (use of pilot programs and prototyping)
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Business Process Management Journal,
9, 5 (2003), 572-591.
Conclusions
Organizations that experienced
limited success in implementing eCRM did not initially realize how much
of an effect people could have on system success
Monster.com and Mshow did
not design the systems around their primary customer contacts:
field representatives
sales force
Bboth implemented systems
with inexperienced consultants.
The second time around, people
were given the primary focus; thus minimizing or eliminating resistance
and involving people with the design.
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Business Process Management Journal,
9, 5 (2003), 572-591.
Conclusions:
key
reasons for successful eCRM implementations
focus on people
iterative (small
step)
incremental approaches