Gartner Group, a Research Firm for Information Technology Users, Reports

question 48

Essay

Gartner Group, a research firm for information technology users, reports that 55 percent of all customer relationship management software projects fail to produce results. Worse yet, one in every five companies report that their CRM initiatives not only had failed to deliver profitable growth but also had damaged long-standing customer relationships. Experts suggest that these problems tend to occur when executives mistake CRM technology for a customer strategy. First, define customer relationship management (the cross-functional process) and describe how CRM technology (the software) allows a firm to provide customized treatment of key customers. Second, describe the central components of a customer relationship management strategy and the way in which CRM technology can support each strategy component.

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Definitions:

Chemical Substances

Elements, compounds, or mixtures that have a consistent composition and specific properties.

Frontal Lobes

Regions of the brain located at the front of each cerebral hemisphere, responsible for higher cognitive functions and behavior regulation.

Hypothalamus

A region of the brain that plays a critical role in hormone production, regulation of appetite, sleep cycles, and body temperature.

Temporal Lobes

Regions located on the sides of the brain, crucial for processing sensory input, particularly related to hearing, and important for memory formation.