Impact of ECRM on the Create Competitive Advantage in Hotels of Sarein

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1 Impact of ECRM on the Create Competitive Advantage in Hotels of Sarein Shahram GilaniNia Department of Industrial Management, Islamic Azad University, Rasht Branch, Rasht, Iran Sirous Balaei Department of Industrial Management, Islamic Azad University, Rasht Branch, Rasht, Iran Farhad Shahhoseyni Niyari M.A. of Business Management, Islamic Azad University, Rasht Branch, Rasht, Iran (Corresponding Author) Abstract Simultaneously with the global expansion of tourism and hotel management, the need of expand network to communicate with customer and service providers has increased. Business and proliferation of Internet is based on services and tourism ECRM triggers the formation of a dynamic global economy. Competitive advantage for organizations, so it is understandable that are seeking to implement technologies such as ECRM tendency to be a competitive for them and their profits through increased customer satisfaction and retention. This study assessed the effect of electronic customer relationship management system to create a competitive advantage in the hotel industry is the city Sarein. Independent variable in the study of electronic customer relationship management system, which includes aspects such as improving processes, the quality of customer data and the ECRM system technology from the spirit of the model. Colleagues from the spirit of the model in 2003 was the dependent variable in this study, Competitive advantage is derived from the model in 2010 was Naido paper. A survey of hotels managers and experts of city Sarein 55 that, the sample size of 48 patients was calculated by the formula Cochran and field data collection for this study is that the questionnaire was to collect data. Data analysis and hypotheses through Rmvn spss 19 software using ANOVA and Duncan and Friedman tests were conducted the results of testing hypotheses is as follow. Means that all hypotheses were accepted by the impact of electronic customer relationship management systems (ECRM) and its dimensions, including the improvement of processes, quality and customer information systems technology has significant ECRM. Keywords: Electronic Customer Relationship Management, Competitive Advantage, The Hotel Industry and Tourism Introduction Advent of electronic commerce be lead to dramatic changes in many aspects of existing businesses including creation of new firms with new business models, business opportunities and 77

2 new methods of business processing. So that electronic commerce methods is alternative for communication in the areas of sales, marketing and customer support (Jarahi 2009). These changes could provide a new type of competitive advantage for Customer Relationship Management (Especially using networked systems such as Internet, Intranet and Extranet). For this purpose organizations must be by analysis, tracking and management of E-commerce events do formulate appropriate patterns for monitoring customers performance. On the other hand, today's complex and dynamic competitive market is required for managers apply all your efforts for attract potential customers and maintenance of existing customers (Soltani 2006). Customer and market needs assessments and create harmony between these two can be suitable solution for this important. Improving communication channel does obviates many current problems and also placed Electronic Customer Relationship Management (ECRM) as a revolutionary in business industry facing researchers and managers. (Karimi 2006) Problem Statement Competitive advantage is concept of features and resources that an organization enables surpass other competitors. In other words, competitive advantage is differentiate a company in one or more factors that allow to company for better serve, create more value, to the customer and therefore better performance than the competitors. In order to achieve competitive advantage company should be have ability to make recommendations that can provide needs of the target market better than others. (H. Perzon 2008) Competitive advantage including factors that support and ensures organization sustainability and survival. Indeed Competitive advantage amount of more proposals attractive compared with competitors from consumer's perspective. (P.L.Kam Wa 2001) ECRM is competitive advantage for organizations. Thus, it is understandable organizations that are seeking comparative advantage seeking comparative advantage turned to implement technologies such as ECRM and increase their benefits through customers' satisfy and keeping. (W.H Bocheng 2006) In almost all industries and all over the world leading organizations are investing for customerdriven strategies. Organizations that understood earlier than the rest ECRM value in increase stunning of incomes, productivity and customer satisfaction, they have advantage of superiority than their competitors. (V. A Zeithaml 2002) Previous Research 1. Survey of Implementation context customer relationship management (CRM) in Hospitality industry of Iran Ebrahim Jafari 2008 According to results obtained in this study, can be said that hotel industry in Iran with doing measures is capable successfully implement Customer Relationship Management. 2. Identify success factors of customer relationship management (ECRM) for establish an appropriate model in the police headquarters in Iran Ahmad Ali Yazdan Panah & Hosein Gazer 2011 The purpose of this paper is Investigate the relationship between the establishment of the ECRM with organizational success and also additional proof of Existence a positive relationship between ECRM system deployment and success of organization internal and 78

3 external it deals to describe of appropriate situations for establish a customer relationship management system in an organization and challenges facing it. 3. Electronic Customer Relationship Management in SMEs : Case Study Turkey's tourism industry Ezenger & Eiraz 2006 The findings show that commercial instigating factors, customer communications, and Quality Innovation have effect on the CRM. Meanwhile the main obstacles in this company in the tourism industry are funding inadequate supports, lack of experienced and knowledgeable managers in terms of CRM and poor relations. Models of Research Figure 1 : Conceptual Model of Research The Research Hypotheses The main hypothesis : There is a significant differences between utilization levels of Electronic customer relationship management (ECRM) and create a competitive advantage in Sarein Hotels of Ardabil. The first Sub-hypothesis : There is a significant differences between utilization levels of suitability of processes and create a competitive advantage in Sarein Hotels of Ardabil. 79

4 The second Sub-hypothesis : There is a significant differences between utilization levels of customer data quality and create a competitive advantage in Sarein Hotels of Ardabil. The third Sub-hypothesis : There is a significant differences between utilization levels of ECRM systems technology and create a competitive advantage in Sarein Hotels of Ardabil. Theoretical Research Competitive Advantage : It is increasing the company proposals attractiveness comparison with competitors from customer view. (Kigan 2006) ECRM : It is organizational strategy that make integrated people, processes and technology. This work is performed in order to maximize communications with organizations daily customers, distribution channels of internal customers, and suppliers. (P. Greenberg 2002) Suitability of Processes : It is a capability that improves ECRM system performance by appropriate level from process of interaction with customers, sales channels processing, process personalization, and after-sales service process. (J.Peppard 2000) Customer Data Quality : It is a capability that improves ECRM system performance by Coherence, usefulness, publication, being reliable and understandable of information. (C.R. Tseng 2007) ECRM systems Technology : It is a capability that improves ECRM system performance ease of use, response time, data publication, integrity, system flexibility. (Roh Et al 2005) Research Methodology The present study in terms of purpose is application and methods of data collection is descriptive and type of causal. Statistical population in this study is included leaders and experts of 7 hotels in Sarein that using by Internet service for travelers reservations the number 55 people. Statistical sample in this research is 44 people it was selected by Cochran formula as classified contingency. Overall, this study methods of data collection is library studies and fieldwork. Tools for data collection in this study is questionnaire. Validated of Questionnaire In this study for determine the reliability of the questionnaire is used Cronbach's alpha. The results are as follows : Cases Table 1 : Case Processing Summary N Percent Valid Excluded 0.0 Total Table 2 : Cronbach's Alpha Coefficients Variable N of Items Cronbach's Alpha ECRM Suitability of Processes

5 Customer Data Quality ECRM Systems Technology Competitive Advantage Methods of data analysis Data analysis is provided in two methods, descriptive statistics included the central feature and frequency distribution tables and also inferential statistics included analysis of variance by SPSS software. Test Results The main hypothesis test : There is a significant differences between utilization levels of Electronic customer relationship management (ECRM) and create a competitive advantage in Sarein Hotels of Ardabil. Table 3 : Analysis of Variance between electronic customer relationship systems and create a competitive advantage Between Groups Sum of Squares df 2 Mean Square F Sig..001 Within Groups Total ANOVA results according to the above table show that there is a significant differences between utilization levels of electronic customer relationship management (ECRM) and create a competitive. Because the significance level is less than %5. To determine at each level of electronic customer relationship systems competitive advantage is higher used Duncan test the following table : Table 4 : Duncan test between electronic customer relationship systems and create a competitive advantage ECRM System N Subset for alpha = Lower Medium Upper Sig The Duncan table shows that at high levels of Electronic Customer Relationship System is created higher competitive advantage for hotels. 81

6 The first Sub-hypothesis test : There is a significant differences between utilization levels of suitability of processes and create a competitive advantage in Sarein Hotels of Ardabil. Table 3 : Analysis of Variance between suitability of processes and create a competitive advantage Between Groups Sum of Squares df 2 Mean Square F Sig..000 Within Groups Total ANOVA results according to the above table show that there is a significant differences between utilization levels of suitability of processes and create a competitive. Because the significance level is less than %5. To determine at each level of suitability of processes, competitive advantage is higher used Duncan test the following table : Table 4 : Duncan test between electronic customer relationship systems and create a competitive advantage ECRM System N Subset for alpha = Lower Medium Upper The Duncan table shows that at high levels of suitability of processes is created higher competitive advantage for hotels. The second Sub-hypothesis test : There is a significant differences between utilization levels of customer data quality and create a competitive advantage in Sarein Hotels of Ardabil. Table 3 : Analysis of Variance between customer data quality and create a competitive advantage Between Groups Sum of Squares df 2 Mean Square F Sig..000 Within Groups Total

7 ANOVA results according to the above table show that there is a significant differences between utilization levels of customer data quality and create a competitive. Because the significance level is less than %5. To determine at each level of customer data quality, competitive advantage is higher used Duncan test the following table : Table 4 : Duncan test between electronic customer relationship systems and create a competitive advantage Customer Data N Subset for alpha = 0.05 Quality 1 2 Lower Medium Upper The Duncan table shows that at high levels of customer data quality is created higher competitive advantage for hotels. The third Sub-hypothesis test : There is a significant differences between utilization levels of ECRM systems technology and create a competitive advantage in Sarein Hotels of Ardabil. Table 3 : Analysis of Variance between ECRM systems technology and create a competitive advantage Between Groups Sum of Squares df 2 Mean Square F Sig..000 Within Groups Total ANOVA results according to the above table show that there is a significant differences between utilization levels of ECRM systems technology and create a competitive. Because the significance level is less than %5. To determine at each level of ECRM systems technology, advantage is higher used Duncan test the following table : Table 4 : Duncan test between ECRM systems technology and create a competitive advantage ECRM Systems N Subset for alpha = Technology Lower Medium Upper The Duncan table shows that at high levels of ECRM systems technology is created higher competitive advantage for hotels. Conclusions 83

8 ANOVA results indicate that there is a significant differences between utilization levels of electronic customer relationship management (ECRM) and create a competitive advantage, in other words, there is a significant differences between utilization levels of suitability of processes and create a competitive advantage; between utilization levels of customer data quality and create a competitive advantage; and finally utilization levels of ECRM systems technology and create a competitive advantage. Because obtained significance level for all them is less than %5. This test compared to other previous research is coordinating. Suggestions of Research It is suggested hotel industry managers will be create more value for customers with providing a strong customer relationship management system and upgrade their consent. It is suggested create a communications network in around the hotel and provided rapid response to customers and establish better communication with customers in result is a competitive advantage. It is suggested for create competitive advantage will deals to develop appropriate and standards systems that collect date and accurate and useful information based on customer needs, and thereby established a bank from customer Information. It is suggested if managers are seeking create a competitive advantage in hotel industry, should attempt improve customer relationship management system performance by interaction with the customer and after-sales service process. Suggestions for Future Research It is suggested be done similar research about other variables such as empowerment, entrepreneurship and technology level assessment. It is suggested be done similar research in other hotels in other provinces. It is suggested be done similar research with managers and experts of other organization in Ardabil province. Limitations of Research Influence of variables that their control is outside from available to researcher. Investigations at the same time employment be leads to prolongation of research time. Lack of similar studies in the field of research due to recently subject. Indicators determine problems and convert qualitative categories to quantities such as competitive advantage. References 1. C.R. Tseng and G.J. Hwang, Development of an automatic customer service system on the internet, Electronic Commerce Research and Applications, Vol. 6,pp (2007). 2. Ezenger. Eiraz Electronic Customer Relationship Management in SMEs : Case Study Turkey's tourism industry 3. H. Perzon, Assessing the Readiness for Implementing e-crm in B2B Markets, Master Thesis, Lulea University of Technology (2008). 4. J. Peppard, Customer Relationship Management (CRM) in Financial Services, European Management Journal, Vol.18, No. 3, pp (2000). 5. Jafari, Ebrahim Survey of Implementation context customer relationship management (CRM) in Hospitality industry of Iran 6. Jarahi, Mohammad Hosein Et al The role information technology in deployment of customer relationship management, as electronic ECRM. Journal of parks and grows centers. No Karimi, Sara. Azizi, Shahriar Competitive advantage in e-commerce. Journal of Tadbir. No

9 8. Kigan, Varoun J. Global Marketing Management. Publication of Cultural Studies. 9. P. Greenberg, CRM at the speed of light: capturing and keeping customer in internet Real time, McGraw- Hill/Osborne media, 2 nd edition, PP.250 (2002). 10. P.L. Kam WA. The critical success factors of customer relationship management (CRM) technological initiatives, Master s Thesis, Concordia University (2001). 11. Soltani, Iraj The role of excellence model in gaining competitive advantage. Journal Tadbir. No T. Roh, C. Ahn and I. Han, The priority factor model for customer relationship management system success,expert Systems with Applications,Vol.28,PP (2005). 13. V.A. Zeithaml, A. Parasuraman and A. Malhotra, Service quality delivery through Web sites: a critical review of extant knowledge, Journal of the Academy of Marketing Science, Vol.30,No.4, pp ( 2002). 14. W.H. Bocheng and L.L. Bing,A Functional Framework for Integrating ECRM with Workflow Management Based on Customer Value,Tsinghua science and technology,vol.11,no.1(2006). 15. Yazdan Panah, Ahmad Ali. Gazer, Hosein Identify success factors of customer relationship management (ECRM) for establish an appropriate model in the police headquarters in Iran 85

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