C ONTENTS. Acknowledgments

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1 kincaidtoc.fm Page vii Friday, September 20, :25 PM C ONTENTS Preface Acknowledgments xxi xxvii Part 1 CRM: Is It Right for Your Company? 1 Chapter 1 Commerce in the 21st Century Understanding the Landscape The Internal Landscape The New (e)marketplace The Impact The Result Defining Customer Loyalty What Is a Customer? What Is Loyalty? Loyalty in the New Marketplace Loyalty and Operational Excellence Loyalty and Product Leadership Loyalty and Customer Intimacy Building and Managing Relationships in the New Marketplace 14 Questions for Reflection 15 vii

2 kincaidtoc.fm Page viii Friday, September 20, :25 PM viii Chapter 2 The Case for Customer Relationship Management Understanding Common CRM Obstacles Unrealistic Expectations Product-Centered Versus Customer-Centered Cultures Infrastructure Organization Impact on Customer Experience Seeing the Total Customer Experience What the Market Says (or Does) What We Say What We Do Defining Customer Experience Management Back Office Functions Front Office Functions Ensuring Customer Loyalty Why Build Loyalty? Defining Customer Relationship Management 37 Questions for Reflection 38 Chapter 3 What Is CRM? Defining CRM Common Misconceptions Definition The Components of CRM Defining CRM Concepts Customer Life Cycle Business-to-Business CRM Customer Asset Understanding the Goal of CRM Using Customer Touch Points Deciding Who Should Lead the CRM Functions Marketing Sales Customer Services Product Support 53

3 kincaidtoc.fm Page ix Friday, September 20, :25 PM ix The Channel and Other Partners Creating a New Role for Marketing 55 Questions for Reflection 56 Chapter 4 e-crm What s the Difference? Merging CRM and the Internet New Customer Expectations Why e-crm Is So Important Delivering CRM On and Off the Internet Information Process Technology People Recognizing Barriers to Internet Adoption 66 Questions For Reflection 68 Part 2 CRM: Planning It Right 69 Chapter 5 Understanding the Method Understanding the Formality of CRM Methodology Define Responsibilities Developing Your CRM Strategy Process Steps What You ll Get Transition: Launch Project Building a CRM Component Process Steps What You ll Get Transition: Integrate Capability Analyzing and Segmenting Customers Analyze Customers: Steps What You ll Get Transition: Select Target Segments Taking It to Your Customers The Process to Take It to Your Customers 84

4 kincaidtoc.fm Page x Friday, September 20, :25 PM x What You ll Get Transition: Evaluate Results Getting Ready for the Next Project 85 Questions for Reflection 86 Chapter 6 Get Ready: Avoiding Common Barriers Creating a CRM Culture Change Management Metrics and Rewards Sponsorship Creating Realistic Expectations Vision and Roadmap Internal Communications Customer Communications Building an Operational Infrastructure 94 Questions for Reflection 95 Chapter 7 Get Set: Organizing for Success Defining the Organizational Scope The Marketing Department s Role in CRM The Sales Department s Role in CRM The Customer Service Department s Role in CRM The Product Support Department s Role in CRM The Information Technology Department s Role in CRM Bridging Organizational Gaps Operating across Business Functions The Business/Information Technology Relationship Marrying Organization and Governance Organization Customer Steering Committee Program Core Team Project Teams Garnering Leadership s Support Sponsorship Chief Customer Officer Program Manager 113

5 kincaidtoc.fm Page xi Friday, September 20, :25 PM xi Project Manager Adding Adjunct Team Members (Consultants and Contractors) 114 Questions for Reflection 116 Chapter 8 Go! Developing Your CRM Strategy Answering the Three Key Questions Where Do You Want to Go? Where Are You Starting? How Are You Going to Get There? Using Strategic Planning Tools Tools of the Trade Collecting Data Internal Interviews Systems Inventory Customer Survey Competitive Assessment Assessing Findings Summarize Findings Analyze Findings Creating a Strategic Proposal Strategic Recommendations The Plan 146 Questions for Reflection 150 Chapter 9 Launching a Project Choosing the Right Project Project Criteria Why Small Projects? Picking Your Project Branding your project Internally Deciding What Needs to Be Done Project Charter Gather Additional Requirements Complete the Project Charter Determining Component Scope The Components 164

6 kincaidtoc.fm Page xii Friday, September 20, :25 PM xii Enterprise Architecture Winning and Keeping Support Involve Key People Leadership Communicate, Communicate, Communicate 171 Questions for Reflection 172 Part 3 CRM: Building It Right 173 Chapter 10 Building Infrastructure Components Following the Steps to Building Infrastructure Gathering Business Requirements Owner s Wants View Owner s Needs View Analyzing and Designing Components Designer s View Builder s View Constructing a Solution Subcontractor s View Integrate Component Putting It All Together Project Development Framework Managing the Project 183 Questions for Reflection 185 Chapter 11 Understanding the Information Component Understanding Data and Information: What does it all mean? Data Context Information Information Is a Company Asset Engineering Information Following Information Engineering Steps Owner s Wants View: Data Classes Owner s Needs View: Business Subjects Designer s View: Entities, Attributes, and Relationships 200

7 kincaidtoc.fm Page xiii Friday, September 20, :25 PM xiii Following the Rest of the Steps The Transition to Information Technology Integrating Your Databases (The Information Gold Mine) Integrating Data Sources Source Data Quality 208 Questions for Reflection 209 Chapter 12 Understanding the Process Component Process, Schmocess What Are We Talking About? Processes and Organizations Process Engineering Following Process Engineering Steps Owner s Wants View: Business Functions Owner s Needs View: Business Processes Designer s View: Activities and Tasks Following the Rest of the Steps Making the Transition Choosing Process Automation Software Know your own processes first, and then buy a solution that fits Technology doesn t fix broken processes Managing processes across organizational boundaries 224 Questions for Reflection 225 Chapter 13 Understanding the Technology Component Understanding the Technology... That s the IT Department s Job, Right? The Business Functions: Setting the Direction The IT Function: Engineering the Solution Following the Technology Engineering Steps Owner s Wants View: Business Locations Owner s Needs View: Business Networks The Remaining Views The Transition to Information Technology Making Technology Decisions Application Software It s Always a Tradeoff Where to Start On or Off the Web 243

8 kincaidtoc.fm Page xiv Friday, September 20, :25 PM xiv Putting the I Back in Information Technology 244 Questions for Reflection 244 Chapter 14 Understanding the People Component Engineering People? Understanding Why Change Is So Difficult Supporting Change Engineering Change Following Change Engineering Steps Owner s Wants View: Organizations Owner s Needs View: Business Units Designer s View: Job Role Builder s View: Change Management Plan The Remaining Views The Transition to Information Technology Moving Forward: Beware of Black Holes 255 Questions for Reflection 256 Chapter 15 Managing the Project Beginning the Development Project Selecting the Team Chartering the Team Controlling the Project The Steps of an IT Development Project Project Management Tools Finishing the Development Project Project Retrospective Formal Signoff Celebrate 270 Questions for Reflection 270 Part 4 CRM: Using It Right 271 Chapter 16 Integrating Components Transitioning From Inside to Outside Work Integrating Is a Partnership 274

9 kincaidtoc.fm Page xv Friday, September 20, :25 PM xv Integrating the Components Integrating the Information Component Documenting the Future State: El Cid Database Documenting the Current State: CUST800 Database Identifying Differences: Data Mapping Designing the Connection Building and Using a New Tool: Data Translator Combining Process, Technology, and People Process Technology People 285 Questions for Reflection 286 Chapter 17 Finding the Right Customers Creating a Customer Profile Using Marketplace Information Using Relationship Information Using Calculated Information Knowing Your Customers Getting Down and Dirty with the Data Determining a Customer Profile Enhancing Profile Coverage Segmenting Customers Information Based Relationships Defining Segmentation Strategy Grouping Customers by Profile Characteristics Targeting Customers Understanding the Tools Scoring Recency, Frequency, Monetary (RFM) Value Lifetime Value (LTV) Data Mining Return on Investment (ROI) 306 Questions for Reflection 307

10 kincaidtoc.fm Page xvi Friday, September 20, :25 PM xvi Chapter 18 Delivering the Customer Offer Delivering the Offer Designing the Offer Describing Customer Segments Defining Segment Value Propositions Preparing the Offer Message(s) Creating the Offer Details Creating the Offer Objectives and Measures Creating the Offer Value Creating the Call to Action Presenting the Offer Selecting Communication and Response Media Testing the Offer Transmitting the Offer Receiving and Capturing Responses Fulfilling Requests Doing CRM On and Off the Web 323 Questions for Reflection 323 Chapter 19 Evaluating Project Results Evaluating Performance Metrics Company Results Customer Results (Loyalty and Satisfaction) Understanding Value Metrics Reviewing and Tuning Your Strategy 331 Questions for reflection 332 Part 5 CRM: Keeping It Right 333 Chapter 20 Managing Quality Information As a Company Asset Understanding Information Quality Why Bother? Identifying Assets Getting Unbeatable Competitive Advantage Implications of Being a Valuable Asset Types of Data Identifying Data Quality Issues Customer Data Deterioration 344

11 kincaidtoc.fm Page xvii Friday, September 20, :25 PM xvii Source Data Quality Trust Planning Information Quality Detail the Future Quality State (Goal) Detail the Current Quality State (Baseline) Identify the Differences (What Needs to Change) Design the Data Quality Action Plan Execute the Action Plan Getting Information Quality Building In Quality Managing Quality for the Life of the Data Using Tools to Manage Data Measuring Data Quality Sources of Standardized Data Asking an Expert Owning Data Versus Responsibility for Data Who Owns the Data? Who Is Responsible for the Data? Customer Information Management 360 Questions for Reflection 362 Chapter 21 Designing Quality Systems for a Competitive Advantage Understanding System Quality? Identifying System Assets Getting Unbeatable Competitive Advantage Identifying System Quality Issues Determining Cost Of Ownership Using a System Quality Checklist Planning System Quality Getting System Quality Building in Quality Managing Quality for the Life of the System Understanding Why Web-Based Systems Are the Most Demanding Integrating Customer Experience across Channels 371

12 kincaidtoc.fm Page xviii Friday, September 20, :25 PM xviii Humanizing Your Web Site with Virtual Reality 372 Questions for Reflection 373 Chapter 22 Customer Privacy: Seize Your Opportunity Why Should You Care? What Is Privacy? What Do the Five Elements of Privacy Mean to You? Notice Choice Access and Accuracy Security Oversight Writing Your Online Statement Managing the Balance between Self-regulation and Legislation Getting Started Now 387 Questions for Reflection 388 Chapter 23 CRM: You Got It, Right? Knowing Your Company s CRM Goals Profit Customer Knowing What a Successful CRM Program Looks Like CRM Program Life Cycle CRM Components Knowing How You re Going to Get There There Is No Magic Use Strategic Vision and Take Small Steps Bridging Organizational Disconnects with Organizational Support and Communication Knowing What It Takes to Achieve Success Measure Everything Twice Keep It Simple When Have You Done Enough? Knowing How to Get Started The First Step The Ten Commandments of CRM So Where Will CRM Go from Here? 401

13 kincaidtoc.fm Page xix Friday, September 20, :25 PM xix Appendix A Glossary of Terms 403 Appendix B Tools and Templates 407 Appendix C Self-Assessments 425 Appendix D Information: The Raw Material of CRM 435 Index 465

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