Businesses can improve implementation outcomes and realise better return on investment (ROI) by navigating these six common pitfalls.
A lack of C-level buy-in
Many business decision-makers incorrectly focus on the ‘customer’ aspect of CRM and, as such, primarily consider solutions as a lead generation tool or marketing solution that sits within the chief marketing officer’s ambit.
Due to its strategic importance in the business, it is the entire C-suite, championed by the CEO, that should take the lead in a CRM implementation to realise its full value and deliver ROI.
From a strategic value perspective, business leaders need to clearly understand and define the value they want to derive from the solution. Every company should implement a CRM solution as it can increase revenue, decrease costs or improve customer satisfaction, or a combination of all three.
Defining which strategic objective the solution will address will justify the investment needed to access these capabilities, which requires input, deliberation and buy-in from all C-suite executives.
A lack of understanding
Another major stumbling block to successful CRM implementations lies in a lack of understanding regarding its role and application in the business.
When used correctly, CRM is more than just a powerful sales and marketing tool. Companies can only extract full value by understanding that this technology is a ‘relationship’ facilitator – it is the glue that binds every process in the business and connects every stakeholder, touching every facet of the business, from customers and suppliers to business partners and the community.
Choosing cheapest solutions
CRM implementations tend to fail when companies attempt to cut corners to save costs by opting for the cheapest solution and using junior consultants that lack the experience and expertise to understand the business requirements.
When this happens, the solution and the CRM architecture won’t support the necessary business processes. In addition, these cut-rate consultants don’t have the experience or skills to help companies navigate implementation challenges and obstacles to realise the project’s vision.
A successful CRM implementation requires a solution architect who understands the company’s requirements and can identify the current level of CRM maturity within the business.
These parameters ensure the solution provider can recommend the most appropriate solution and deliver on the CRM value proposition.
A poor operational fit
From a process or operational perspective, a CRM solution should fit into a company’s existing IT infrastructure and align with its technology roadmap.
As CRM should sit at the heart of the enterprise and connect multiple applications, such as databases, business intelligence and data analytics tools, the solution must support and integrate with these technology stacks. As such, it is vital that the CTO and their department have a say in this decision.
Failing to deliver user value
The second final consideration in the CRM value proposition relates to user value, which is something many companies forget when selecting the appropriate CRM solution and implementation partner.
Ultimately, a CRM solution must help a user become more productive, make more money or achieve more in less time. For this to happen, the solution must address a real user need within the business to drive adoption and usage.
When a solution ticks these boxes, users will have the incentive to use the system in the way it was designed. And when staff regularly use the system, they feed it with the quality data and information the solution needs to generate tangible value through usable information that they and the company need to succeed.
Failing to implement a change management and adoption plan
To ensure user buy-in and usage, businesses need to implement an appropriate change and adoption management plan after the CRM solution implementation, which is vital to success.
In this regard, less mature companies will require more time and resources to ensure that staff fully understand the solution capabilities and can use them appropriately to extract the full potential envisioned by the solution architect.
Only when each of these components is in place can the business realise the value and strategic objectives from its CRM implementation by using it for more than basic contact management and direct marketing.
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