2.1. The Notion of Customer Relationship Management (CRM)

Int. J. Innovative Ideas (IJII) www.publishtopublic.com A Review on CRM and CIS: A Service Oriented Approach A Review on CRM and CIS: A Service Oriented Approach Shadi Hajibagheri 1, *, Babak Shirazi 2, Hamed Fazlollahtabar 3,4 * sh.hajibagheri@ustmb.ac.ir 1 Department of Information Technology Engineering 2 Department of Industrial Engineering 3 Faculty of Industrial Engineering Iran University of Science and Technology, Tehran, Iran 4 Niroogostar Energy Optimization Research Group, Tehran, Iran Abstract- Organizations attempt to attract customers in order to sell products and services. CRM tools have emerged for effective management of customer relations. Naturally, the relationship with customers leads to exchange of data and information that it recognized as assets to organizations and companies. Customer Information Systems (CIS) play an important role in management. Nowadays, an ultimate solution is to use Service Oriented Architecture (SOA) approach in CIS. In this paper, the concepts of customer relationship management, customer information systems and service oriented architectures are described. It also examines the related work done in this field. Keywords: Customer Information System; Customer Relationship Management; Service Oriented Architecture. 1. INTRODUCTION Organizations increasingly compete to attract customers to sell products and services. Accordingly, organizations are not only looking to attract new customers, but also trying to maintain their previous customers. Over the last decade, many organizations have recognized that it is far cheaper to retain existing customers than to attract new ones. Thus providing improved customer satisfaction is the key operational goal of most organizations. This aim will be achieved by applying customer relationship management. Customers committed to an organization will be profitable in the long run. Commitment attains when a customer s expectations are fulfilled and a fair level of mutual relationship between customer and organization is understood. To manage such a relationship to be successful, it is essential to support various customer values. ISSN: 2232-1942 Vol. 13 No. 1 January - March 2013 63

A Review on CRM and CIS: A Service Oriented Approach A customer information system plays an important role in the distribution and storage of customer data. This information system, including the database, communications channels, and an application, must be designed to manage the communication that makes it easy to exchange data with the client. An essential feature of information systems is that the interfaces between components are designed such that the dependencies between the components are minimized. It utilizes the concept of service-oriented architecture. The term service-oriented architecture SOA indicates an advanced methodology for implementing any changes in demand for information systems. Serviceoriented information system is meant to change internal and external organizations to meet the characteristics of the service oriented architecture. Service-oriented enterprise information systems integrate operations applied to operating systems, and services to build on. Thus satisfied the requirements which are changing rapidly, whereby IT support for business creation is best. This research explores the concepts of customer relationship management systems (CRM), Customer Information Systems (CIS) as the core systems, CRM, and service-oriented architecture concepts as an approach to meet the needs of our customers pay by information systems. Sections of this article include: section 2.1 reviews the concepts of customer relationship management strategies and explains its creator. In Section 2.2 the concept of customer information systems, types of customers, and the flow of information in the information systems are outlined. In section 2.3 the concept of serviceoriented architecture and SOA services as a formative element explains. Section 3 reviews the work carried out in conjunction with CRM systems based on service-oriented architecture explains. At the conclusion of the concepts described in Section 4 and we give future decisions. 2. LITERATURE REVIEW 2.1. The Notion of Customer Relationship Management (CRM) Customer relationship management is a term for methodology categories, processes, software and systems which help companies in effective and organized management to make a relationship with their customers [1]. Customer relationships management also takes place through customer relations with organizations in many different ways such as web, telephone, selling centres, distributors and collaborator networks. The main responsibility of customer relationship management is to simplify the way of making relation between customer and organization without any time, place, and nationality limitations, so that customer feels that he/she is connected with a unit and certain organization which knows him/her, respects him/her and response to his/her needs by means of the simplest way [2]. ISSN: 2232-1942 Vol. 13 No. 1 January - March 2013 64

International Journal of Innovative Ideas (IJII) Customer relationship management can be considered dynamic process consists of the following four strategies: Find customer Strategy: CRM is the starting point. Because after successfully integrate a client, customer satisfaction and loyalty, he can be found. In order to find and attract new customers, organizations need to expand their advertising. Satisfy customer strategy: a critical discussion of the concept of satisfaction, customer retention. The key point for the implementation of the strategy to satisfy customers, adding customer value and improve the quality of products and services. Increased customer satisfaction - can reduce the cost of sales and reduce wait times and... Created. Strategy Customer Loyalty: Customer loyalty means by which organizations provide products and services to customers better than competitors. Replication Strategy (renewed) relationship: CRM process only once and not for ever and ever. A satisfied customer is a loyal and reasons to cut ties with the organization. To retrieve the customer relationship, organizations must first deal with customer complaints and providing solutions to their problems [3]. CRM strategy is shown in the figure below. Fig.1. Whole-Process CRM Strategy [3] 2.2. The Concept of Customer Information System A customer information system, is defined as the processes, by which organizations collect, store, move and use customer information throughout the organization, learn about customers. Thus the theory of organizational learning capability in organizations and provides customer information management system - customer intelligence, learning ability for customers to understand that. Accordingly, the structure of a customer information system, based on four of the acquisition, storage, and distribution - is employing the theory of organizational learning has been recognized by. But given point in a ISSN: 2232-1942 Vol. 13 No. 1 January - March 2013 65

A Review on CRM and CIS: A Service Oriented Approach system of verification and customer information, manage data and information. [4]. Customer information system, two aspects play a marginal role - makes the recording and distribution of customer information and decision support for communication with customers. This information is recorded in a database, and the decision to create customer profiles are supported. Through this database, organizations are trying to create a quality services with long term relationships with our customers, understanding their needs and improve production profiles. These advantages make large database of customer information, making decisions easier by increasing the speed of information access, and ease of integration of data from multiple sources, thereby increasing customer affinity, and competitive advantage is [5]. 2.2.1. CUSTOMER INFORMATION Customer data, complex data types in an organization - that from several sources inside and outside the organization are achieved. In general, the data collected from customers, and share in the organization's impact on customers and business. According to studies conducted, organizations on the collection and storage of information, analysis and use of information that businesses have already invested - to [6]. On the basis of studies on the content and types of transactions, customer information can be classified as follows: Customer information, including personal information and transactional clients. Organizations with the information they collect sales, profitability, purchasing patterns, and... Gain. For example, Bank of open data, customer billing, and also will be used to identify the minimum and maximum profitability. Information for customers, including corporate information, products, and services that benefit customers, and to make informed business decisions from their use. Organizations can get this information through various communication media such as email, Internet, and... Customers may have. Customer Information: This category of information, customer feedback, including complaints, suggestions and... Are. This type of information should be placed on customer profile data because it makes stronger interactions with customers. Where this information, including direct customer complaints, needs and suggestions they can to develop products, services, and new services and improvement of business processes in the organization are used [7]. 2.2.2. The Flow of Information in Customer Information Systems Approach to client information system, the transfer of customer information into enterprise funds that are responsible for interactions with customers (such as sales people, call center, etc) coordinates.collect. The data of the customer ISSN: 2232-1942 Vol. 13 No. 1 January - March 2013 66

International Journal of Innovative Ideas (IJII) relationship, the data are transmitted to a central database or repository. The flow of information throughout the organization, all functions within the organization can have access to this information. The distribution of data elements are interacting with customers (such as financial and human resources, etc), the segments - those who interact with customers (eg sales, marketing and customer service), customers can about the products or services from any source or point to gain intelligence. With access to customer data, part of which is in direct interaction with clients can improve operational efficiency, and personalized relationships with customers and increase their satisfaction. For example, customers with access to the database, call center staff can spend less time to answer questions from customers. On the other hand, the distribution of the flow of information throughout the organization, the various functions within the organization can decide to use them to support different levels [8]. Fig.2. Information flow within CIS system [8] 2.3. Overview of Service-Oriented Architecture (SOA) SOA is a style of design that guides an organization during all aspect of creating and using business services (including conception, modeling, design, development, deployment, management, versioning, and retirement). Though SOA gives one the ability to easily integrate IT systems, provide multichannel access to systems, automate business processes, which is also the need for current business; Moreover, SOA approach delivers a number of benefits including reduced time to market, improved business alignment for growth, reduced costs an d business risk. The core SOA lies on the concept of services but SOA architecture is not only about services; it is a relationship of three kinds of participants: the service provider, the service discovery agency, and the service requestor (user). The key functions, which the middleware must provide are publish, bind and find Publish (Service Registry/Discovery). An automated discovery of services must be provided as it is undesirable to manually provide each component with a priori knowledge of what other services are available on the ISSN: 2232-1942 Vol. 13 No. 1 January - March 2013 67

A Review on CRM and CIS: A Service Oriented Approach enterprise network. Bind (Service Access Control). This coordinates authentication, authorization and accounting functions. Find (Information exchange) The user can find among the various services published according to its need [9]. Fig.3. Basic SOA Architecture [9] 2.3.1. Service Service is an implementation of a well-defined business functionality that operates independent of the state of any other Service defined within the system. It has well- defined set of interfaces and operates through a predefined contract between the client of the Service and the Service itself, which must be dynamic, flexible for adding, removing or modifying services, according to business requirements. [9] 3. WORKS IN CONJUCTION WITH CRM SYSTEMS BASED ON SERVICE ORIENTED ARCHITECTURE So far, studies on CRM systems based on service oriented architecture that has been mentioned in several cases. In one of the studies, the service needs of a customer relationship management system is analysed and discussed and a solution for customer relationship management based on service oriented architecture is presented. Some of these requirements include the followings. Business management: This module products, prices, sales, deals and includes tables of prices, discounts, brand, product type, and...is. Sales Management: To ensure getting the latest sales information at any time. This module includes a service contract management, contract support and sales staff aware of how to make sales, and sales management services to manage employee placement, salaries and... Is. Service Management: This module with various requests from customers coming and classified according to the priority of their requests and needs, and provide services related deals. Management of customer data, including customer data is preliminary. First Data customers, including customer information, classified information, information related to business and... Is. Decision Support: identifying ISSN: 2232-1942 Vol. 13 No. 1 January - March 2013 68

International Journal of Innovative Ideas (IJII) valuable customers based on their classification, degree of satisfaction and loyalty deals. Service providers, including a library of modules and thereby have access to the services is possible. Since the service provider and the requestor are not directly interact with each other, the ESB is used as a pathway for transporting services. The service bus, service-oriented architecture is a logical components and acts as a mediator [10]. Fig.4. SOA-Based CRM [10] Service-oriented CRM for Insurance organizations were presented. Some of these requirements include: CRM systems have an integrated sales management and service platform for organizations to offer health insurance. Resources need to be integrated customer management and CRM platform administrator can completely control the sales process is over. CRM system for insurance agencies, should be based on an open framework, and the ability to reconfigure business processes and customer service is based on demand. This framework is composed of several layers. The resource layer, data model that supports CRM operations. Layer system support, system tools and engines to build and implement the system offers. Layer, service integration, systems integration framework for organizations to insure that the interaction between CRM and other information systems is by bus. Business process layer, including operational processes, organization, insurance business, which includes sales automation processes, automate marketing processes and ISSN: 2232-1942 Vol. 13 No. 1 January - March 2013 69

A Review on CRM and CIS: A Service Oriented Approach service after the sale. Business process systems with service composition is known. And finally the presentation layer of the system, CRM system and user interface. The layers with components shown in Figure [11]. Fig.5. Service-Oriented CRM framework for insurance enterprises [11] In another study, a model railway passenger transport CRM system based on service oriented architecture, to address the problems in the information systems of passenger rail transport, including the variety of available data sources, individual information and... with the requirements analysis system, was presented. The main theme of CRM passenger rail transport, transport safety, passenger confidence level of service provided, environment, travel and... A. Among the requirements, the system can analyse the behaviour of travellers, by travellers important, providing services and personal services, and customer feedback analysis noted. This model is shown in Figure 6. In the data layer, based on heterogeneous data in railway transportation systems business, to understand the integration of XML as a standard display and a data warehouse, XML data is created. Business logic layer consists of a number of business functions that come from different systems with different operating systems and protocols, is. Layer gateway services, including storage services that you may request an application may require the services refer to ISSN: 2232-1942 Vol. 13 No. 1 January - March 2013 70

International Journal of Innovative Ideas (IJII) the services that stock. Layer, allowing the user access to various means such as email, fax and... Provides. This model has the capability to integrate diverse data sources, as well as to facilitate decision-making for the development of marketing strategies a, and meet the requirements of individual travellers, is [12]. Fig.6. System Model of Railway Passenger Transport Customer Relationship Management Based on SOA [12] In recent years, a service-oriented architecture for financial customer relationship management and aims to assist investors in investment decisions is presented. The architecture for the integration of world financial indices are used for maximum profitability. Because before the multi-agent technology, most of information technology is used to solve the distribution problem was that there was a problem, it's a huge cost to integrate different systems. The architecture can be implemented on any platform - is [13]. ISSN: 2232-1942 Vol. 13 No. 1 January - March 2013 71

A Review on CRM and CIS: A Service Oriented Approach In 2010, the CRM system for remote connections again and was designed based on service-oriented architecture. In the past, there were very limited range of telecommunications and data-based architecture to satisfy the requirements of the billing process, analyze and... Was used. With the increasing number of services, customization and more complex needs were. In the system, much time was spent to meet the business needs of the customer satisfaction largely reduced. Besides the existing architecture, allowing interaction not available with other systems. To solve such problems, the business must again be made of the existing system, again based on serviceoriented architecture was designed [14]. 4. DISCUSSION AND CONLUSION In this paper, the concepts of customer relationship management and its importance in the business environment, the concepts of information systems as a core client systems, CRM, and we express service-oriented architecture. We have also reviewed the work done in conjunction with CRM systems are based on service-oriented architecture and frameworks and models in this field are presented. But the core of customer information systems, customer relationship management systems, and how the information flow in different parts of the organization, have received little attention. future research, customer information system based on Service Oriented Architecture (SOCIS) has proposed, and the services required for the system to extract and view information flow, discuss the system design and modelling. REFERENCES [1]. Elahi, SH. Heydari, B. (1384). Customer Relationship Management, Tehran, study & search trade institution. [2]. Afafi, M. (1389, March & April), Customer Relationship Management. Didebane s Ertebatat. NO. 4, P.IO. [3]. Huiping L. (2011). On Whole-process Management of Customer Relationship, in: Information Management, Innovation Management and Industrial Engineering (ICIII), International Conference on IEEE, pp.70-74. [4]. Zahay, D. (2008). Successful B2B customer database management, Journal of Business & Industrial Marketing, 23, 264-272. [5]. Dawes, J., Worthington, S. (1996), Customer information systems and competitive advantage: a case study of a top ten building society, International Journal of Bank Marketing, 14, 36-44. [6]. Rollins, M., Bellenger, D.N., Johnston, W.J. (2012), Does customer information usage improve a firm's performance in business-to-business markets?, Industrial Marketing Management. ISSN: 2232-1942 Vol. 13 No. 1 January - March 2013 72

International Journal of Innovative Ideas (IJII) [7]. Mendoza, L.E., Pérez, A.M., Grimán, A.C. (2007), Critical success factors for a customer relationship management strategy, Information and Software Technology, 49, 913-945. [8]. Sun, Z.H. (2008), Information System and Management Strategy of Customer Relationship Management, in: Innovative Computing Information and Control, ICICIC'08. 3rd International Conference on IEEE, 212-212. [9]. Seth A., Agarwal H. (2011), Designing a SOA Based Mode,, ACM SIGSOFT Software Engineering Notes, Volume 36 Number 5. [10]. Baoan Li., Liang, Qi. (2009), Research on Customer Relationship Management System Based on SOA, First International Workshop on Education Technology and Computer Science. [11]. Yongbin, H., Jianfeng, W. (2009), Services-oriented CRM system and enabling technologies for insurance enterprises, in: Knowledge Discovery and Data Mining. Second International Workshop on IEEE, pp. 737-740. [12]. Wang, S., He, N., Lv, X. (2011), System Model of Railway Passenger Transport Customer Relationship Management Based on SOA, in: Information Technology, Computer Engineering and Management Sciences (ICM), International Conference on IEEE, pp. 191-193. [13]. Tsai, W.C., Chen, A.P. (2008), Service oriented architecture for financial customer relationship management, in: Proceedings of the second international conference on Distributed event-based systems, ACM, pp. 301-303. [14]. Xiang-ling, F., Ya-nan, Y., Mao-qiang, S., Jia-yin, Q. (2010), Research of SOA-Based CRM in Telecommunications Industry, in: Management and Service Science (MASS), 2010 International Conference on, IEEE, pp. 1-4. ISSN: 2232-1942 Vol. 13 No. 1 January - March 2013 73