CARE MANAGEMENT SOFTWARE

CRM Principles in the Public Sector

crm in a nutshell client centric concept blog hero

How Australian Community Care Providers Can Best Use CRM Strategy and Processes
Customer Relationship Management is not only about technology. Applying CRM principles to the public sector is about enabling vision, strategy, and process change – it is using client centric principles to redefine and transform the delivery of government services to constituents. CRM can assist government in realising client centric efficiencies, increasing satisfaction, and building a more effective multi-channel service delivery model.

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“Service delivery is measured as the method and sequence in which the service operating systems work to create the service experience and outcome (Bettencourt & Gwinner, 1996).

CRM is a business philosophy based on upon individual client and customised products and services supported by open lines of communication and feedback from the participating firms that mutually benefit both buying and selling organisations.

The buying and selling firms enter into a “learning relationship”, with the client being willing to collaborate with the seller and grow as a loyal customer. In return the seller works to maximise the value of the relationship for the client’s benefit.

Client relationship management (CRM) is a whole process by which relations with customers are built and maintained. Creating a successful CRM program requires understanding common failures in CRM Strategy and Processes and knowing how to get the implementation right

In short, CRM provides selling organisations with the platform to obtain a competitive advantage by embracing client needs and building value-driven long-term relationships. You control the evolution of CRM in line with customer needs, using the company’s business processes and customer data, without having to rely on upgrades or services from a vendor.

CRM Deployment Options – Cloud, Premise and Managed

Cloud gives you the ability to rapidly scale when there is peak load and can be used to quickly expand into new regions with limited upfront investment. On-premise would require significant infrastructure investment that then spends time under-utilised.

  • On premise installed on your company’s own servers
  • Cloud based delivered as a Software-as-a-Service (SaaS) model
  • On-premise hosted the software is on your site but managed by other party

CRM Strategy Processes article concept abstract

What Australian Community Care Organisations understand as CRM

Client Interaction Management (provides a holistic view of client) with integration to “back-end” systems that provide specific services required to manage the customer and Embracement of all channels.
Coordination of Front Office, Back Office and other Client Interfaces.

No focus on getting engagement – just delivery
  • Marketing
  • Branding
  • Comparing to Commercial – Clients less tolerant
  • Clients know what is possible with ICT

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Why Australian Community Care Organisations Must Adopt CRM Strategy & Processes

CRM is an IT enhanced value process, which identifies, develops,integrates and focuses the various competencies of the firm to the ‘voice’ of the customer in order to deliver long-term superior customer value, at a profit to well identified existing and potential customers.

  • Australian Community Care Organisations groups today are struggling to do more with less
  • The need for new programs and services continues to grow
  • Budgets have tightened in the wake of declining endowments, reduced government, corporate and foundation funding
  • Improve the data on clients and services
  • Organisations are finding it tougher to sustain clients, fundraising and other forms of constituent support as traditional marketing models are not working as well
  • Must add and integrate additional customer information and communication channels to respond to demand
  • The “New Consumer” / “Buyer-Centric” market demands it.
CRM Project Design, Planning Process and CRM Client Strategy

Client Service challenges can be addressed through a holistic client relationship management (CRM) Strategy and Processes approach. You might ask, why is CRM connected with client service. CRM is a strategy that connects your clients, employees, and partners in an end-to-end process that can help you treat clients based on their value to your business in a consistent manner to meet your business objectives. This end-to-end process revolves around the client lifecycle, reach, interest, acquisition, service, retention and potentially reacquisition. You can choose to address customer service part of the strategy and add other parts such as sales and marketing later.

The idea of CRM is that it helps businesses use technology and human resources to gain insight into the behaviour of clients and the value of those clients. Your Goal setting starts with an effective CRM strategy, a business can increase revenues by:

The CRM strategy helps your employees analyse client information and get to know your clients better. With knowledge of your clients you can serve them better. It also facilitates collaborating both internally and externally. Overall, a winning CRM strategy would create a client-centric culture in your organisation.

There are three parts of application architecture of CRM:
· operational - automation to the basic business processes (marketing, sales, service)
· analytical - support to analyse customer behaviour, implements business intelligence alike technology
· co-operational - ensures the contact with customers (phone, email, fax, web, sms, post, in person)

CRM Strategy and Processes people icon concept

CRM value plan
Business goals; Why?
Corporate business objectives;
Information:
• Measure business performance
• Market share, retention rates, profitability, segment ownership
Strategies; What?
Customer-focused approaches in support of business goals;
Information:
• Analyse, segment and target Value, propensity, risk, products, trends
Tactics; How?
Specific business actions required to implement each strategy;
Information:
• Initiate action (e.g., trigger events)
• Incentives and outcomes
Establish Information Processes That Support the Strategic Plan

Strategy Development Process

Value
Creation
Process

Multi-Channel
Integration
Process

Performance Assessment Process

Information Management Process

Strategy Development
  • Strategy Development
  • Assessment of business strategy
  • Business strategy guides development of customer strategy
Value Creation

Translates business and client strategies into specific value propositions

  • Client benefit from priority, tiered services, loyalty rewards, and customisation
  • Benefits from reduced client acquisition and retention costs
Multi-Channel Integration
  • Serve customers well across many potential interfaces
  • Offer a unified interface that delivers customisation and personalisation
Performance Assessment
  • Is CRM system creating value for key stakeholders?
  • Are marketing and service standard objectives being achieved?
  • Is CRM system meeting performance standards?
Information System
  • Collect customer information from all channels
  • Integrate it with other relevant information
  • Make useful information available to the frontline
  • Create and manage data repository, IT systems, analytical tools, specific application packages

Example CRM Process Map Graphic
Data collection
· Customer data such as contact details, demographics, purchasing history, service preferences, and the like
Data analysis
· Data captured is analysed and categorised
· Used to tier customer base and tailor service delivery accordingly
Sales force automation
· Opportunities can be effectively identified and processed
· Sales service can be tracked and facilitated through CRM system
Common Failures in CRM Implementation

Service firms often equate installing CRM systems with having a customer relationship strategy Challenge of getting it right with wide-ranging scope of CRM

Common reasons for failures
  • Viewing CRM as a technology initiative
  • Lack of customer focus
  • Insufficient appreciation of customer lifetime value (CLV)
  • Inadequate support from top management
  • Failure to reengineer business processes
  • Underestimating the challenges in date integration
Data is ignored

At its core, CRM is about data – customers, products, inventory…

  • Huge amounts of data must be in the right place in the right format
  • Must have a detailed understanding of the quality of the data

Must have a detailed understanding of the quality of the data

  • how to clean it up
  • how to keep it clean
  • where to source it
  • what third-party data is required

Good data is an imperative for CRM investments to pay off

Must do Action Item:

  • Must have a Data Quality Strategy
  • Devote one-half of the total time-line of the CRM project to define data elements and data cleansing
Best Way To Build a Big System
– Not to Build It…Let It Evolve
Managing Customer Relationships and Building Loyalty
Customer loyalty as an important driver of profitability for service firms so firms need to
  • Assess value of loyal customer
  • Narrow gap between actual and potential customer value
To understand the customer-firm relationship, firms should establish a relationship with customers by creating “membership” relationships. Four types of marketing:
  • Transactional marketing
  • Database marketing
  • Interaction marketing
  • Network marketing
Australian Community Care Providers meet Datanova’s FlowLogic a cloud based
Data Management Solution for Australian Community Care Providers

Datanova would be proud to be the provider of the CRM technology that helps you to drive your business. We can provide a powerful engine FlowLogic to produce a work environment for your clients community, FlowLogic can adapt easily to your specific business needs, and runs on a fast, flexible, and affordable cloud platform, compliant with Government requirements to increase business agility. Achieve more, faster, and with less resources. FlowLogic makes your business Paperless – Efficient – Compliant.
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A good CRM is fundamental to our success. For some, it will require a new way of thinking: Enterprise Thinking.

Datanova has designed and created an extremely flexible product from the ground up. A cloud based solution that works with you, communicating with the power of collaboration. Every unique process within your business can be supported by FlowLogic’s powerful workflow engine. FlowLogic also gives you powerful reporting and analytics that ensure that you can measure the efficiency and productivity of all of your clients interactions whilst ensuring Government compliance.

CRM in a nutshell for Australian Community Care Providers

About Datanova: Over the last 12 years Datanova has gained a wealth of experience working with various social service providers. All have varying requirements and localised approaches to executing and delivering care. Our collaborative approach to developing our cloud based data systems in conjunction with our end user community means we always evolve our systems with the direct input of the industry. Creators of FlowLogic a Case Management Solution for Social Services CRM.
Book Webinar and Related Information Links:

Book a webinar with on of our friendly technicians:Click here to book webinar!
Article: CRM Strategy and Processes, CRM Client Relation Management and Case Management Cloud Solution:
CRM Case Management Software Solution
Article: Data Management Practices for Service Providers:
Data Management Practices for Service Providers

In Part Two of this series of articles we take a look at CMS and Case Management and encourage readers to return.

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Need a solution? We would love to hear from you. We invite you to book a webinar today and see for yourself what Flowlogic can do for your organisation. For Bookings please call us on 1300 552 166 alternatively send an email. We will get back to you shortly.

References:
Francis Buttle, Customer Relationship Management: Concepts and Technologies, 2e, Elsevier Ltd., 2011
Baran, Galka and Strunk, Principles of Customer Relationship Management, South-Western, 2013
Paul Patterson of the University of New South Wales, Australia

Please call a Datanova Digital Business Solution Architect on 1300 552 166 and book your complimentary Webinar or alternatively send an email to Datanova. You can book a webinar straight from our booking form here and we will get back to you shortly.

About Christian Krauter

The Founder of Datanova, a visionary and digital business solution architect with 24 years experience in the rapidly expanding fields ofinformation management systems, data governance and customer focused-strategy. Christian Krauter, is a recognised expert on analytical applications for Australian Government Services focused on improving client’s business results through cloud development, information management and data governance.