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1Fjermestad and Romano Integrative Implementation Framework for eCRM HICSS 2003
An Integrative Implementation Framework for Electronic Customer Relationship Management:Revisiting the General Principles of Usability and Resistance
Jerry FjermestadNJIT
Nicholas C. Romano, Jr.Oklahoma State University
Fjermestad and Romano Integrative Implementation Framework for eCRM HICSS 2003Business process Management Journal, 9 (5), 2003, 572-591.
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What is eCRMeCRM is about:
retaining customers improving customer service attracting and keeping economically
valuable customers repelling and eliminating economically
invaluable ones
Fjermestad and Romano Integrative Implementation Framework for eCRM HICSS 2003Business process Management Journal, 9 (5), 2003, 572-591.
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Market growth for eCRM $20.4 billion 2002 $46 billion by 2003 to $125 billion by 2004
Fjermestad and Romano Integrative Implementation Framework for eCRM HICSS 2003Business process Management Journal, 9 (5), 2003, 572-591.
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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
Fjermestad and Romano Integrative Implementation Framework for eCRM HICSS 2003Business process Management Journal, 9 (5), 2003, 572-591.
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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
Fjermestad and Romano Integrative Implementation Framework for eCRM HICSS 2003Business process Management Journal, 9 (5), 2003, 572-591.
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Outline
Introduction to eCRM General usability and resistance
principles Build an integrative framework Present our analysis Conclusions & Recommendations for
successful eCRM implementations
Fjermestad and Romano Integrative Implementation Framework for eCRM HICSS 2003Business process Management Journal, 9 (5), 2003, 572-591.
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Basic principles of usability design:
Gould and Lewis, 1985
Early focus on users and tasks Empirical measurement Iterative design
Fjermestad and Romano Integrative Implementation Framework for eCRM HICSS 2003Business process Management Journal, 9 (5), 2003, 572-591.
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Basic principles of usability design: Nielsen, 1992
Pre- Design Design Post- Design
Fjermestad and Romano Integrative Implementation Framework for eCRM HICSS 2003Business process Management Journal, 9 (5), 2003, 572-591.
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Basic principles of resistance:Markus, 1983
People determined Technology determined Interaction theory
Fjermestad and Romano Integrative Implementation Framework for eCRM HICSS 2003Business process Management Journal, 9 (5), 2003, 572-591.
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Integrative Framework
Resistance | Usability
Pre-designKnow the usersCompetitive analysisSetting usability goals
Design
Participatory designCoordinated designGuidelines & heuristic analysisPrototyping & empirical testingIterative design
Post-design
Collect feedback from users
People Determined . System champion. Train users . Educate users. Change people. Job rotation. Coerce users. User participation to gain
commitment. 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
Fjermestad and Romano Integrative Implementation Framework for eCRM HICSS 2003Business process Management Journal, 9 (5), 2003, 572-591.
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Paper Company Details of Problem
Patton, 2001The Truth about CRM
Monster.comInitial 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, 2001CRM 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
Fjermestad and Romano Integrative Implementation Framework for eCRM HICSS 2003Business process Management Journal, 9 (5), 2003, 572-591.
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Reasons for Limited eCRM Success
Company Resistance | Usability Pre-design Design Post-Design People- Determined . Field reps locked out of the
system . Inexperienced consultants
System- Determined . Slow systems, reps were unable to help customers
Monster.com
Interaction Theory . Complex systems People- Determined System- Determined
Telecommunications Company
Interaction Theory . 10 percent of the intended users were using the system . No clear support from top management
People- Determined . The company did not articulate its needs . Sales force refused to use the system . Inexperienced/poor consultants
System- Determined . Slow access to system by remote sales people . Data unavailable for the sales reps
Mshow
Interaction Theory
Second implementation . Hired consultants first . Implemented small scale CRM . Required sales people to use the system
People- Determined
System- Determined . Complex system . ASP failed to provide support
CopperCom
Interaction Theory
Second implementation . Focus on users throughout the process . Incentive plan to encourage use . Iterative and prototype development
Fjermestad and Romano Integrative Implementation Framework for eCRM HICSS 2003Business process Management Journal, 9 (5), 2003, 572-591.
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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
RadioShack
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
Fjermestad and Romano Integrative Implementation Framework for eCRM HICSS 2003Business process Management Journal, 9 (5), 2003, 572-591.
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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
Fjermestad and Romano Integrative Implementation Framework for eCRM HICSS 2003Business process Management Journal, 9 (5), 2003, 572-591.
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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
Fjermestad and Romano Integrative Implementation Framework for eCRM HICSS 2003Business process Management Journal, 9 (5), 2003, 572-591.
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Reasons for limited eCRM success
Interaction theory (second time around). Required sales people to use the system . Iterative and prototype development
Fjermestad and Romano Integrative Implementation Framework for eCRM HICSS 2003Business process Management Journal, 9 (5), 2003, 572-591.
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Reasons for eCRM Success People determined
. Soft sell to management
. Interviewed sales reps
. Interviewed call center staff
. Interview consultants to find the best fit
Fjermestad and Romano Integrative Implementation Framework for eCRM HICSS 2003Business process Management Journal, 9 (5), 2003, 572-591.
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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
Fjermestad and Romano Integrative Implementation Framework for eCRM HICSS 2003Business process Management Journal, 9 (5), 2003, 572-591.
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Reasons for eCRM Success Interaction theory
. Learned from one Implementation and applied to the next. Implementing the next technology based upon a successful implementation
Fjermestad and Romano Integrative Implementation Framework for eCRM HICSS 2003Business process Management Journal, 9 (5), 2003, 572-591.
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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)
Fjermestad and Romano Integrative Implementation Framework for eCRM HICSS 2003Business process Management Journal, 9 (5), 2003, 572-591.
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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
both 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.
Fjermestad and Romano Integrative Implementation Framework for eCRM HICSS 2003Business process Management Journal, 9 (5), 2003, 572-591.
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Conclusions: key reasons for successful eCRM implementations
focus on people iterative (small step) incremental approaches