MIS Test 2 - Ch. 9

customer relationship management (CRM)
involves managing all aspects of a customer's relationship with an organization to increase customer loyalty and retention and an organization's profitability.
CRM benefits
provide better customer service, improve call center efficiency, cross-sell products more effectively, help sales staff close deals faster, simplify marketing and sales processes, discover new customers, increase customer revenues.
CRM reporting technologies
help organizations identify their customers across other applications.
CRM analysis technologies
help organizations segment their customers into categories such as best and worst customers.
CRM predicting technologies
help organizations make predictions regarding customer behavior such as which customers are at risk of leaving.
operational CRM
supports traditional transactional processing for day-to-day front office operations or systems that deal directly with the sutomers
analytical CRM
supports back-office operations and strategic analysis and includes all systems that do not deal directly with the customers.
list generator
compile customer information from a variety of sources and segment the information for different marketing campaigns,
campaign management systems
guide users through marketing campaigns performing such tasks as a campaign definition, planning, scheduling, segmentation,and success analysis.
cross selling
selling additional products or services to a customer.
increasing the value of the sale.
sales force automation
a system that automatically tracks all of the steps in the sales process.
sales management CRM systems
automate each phase of the sales process, helping individual sales representatives coordinate and organize all of their accounts.
contact management CRM system
maintains customer contact information and identifies prospective customers for future sales. include things like maintaining organizational charts, detailed customer notes, and supplemental sales information.
opportunity management CRM systems
target sales opportunities by finding new customers or companies for future sales.
3 primary operational CRM technologies
contact center, web-based self service, call scripting
contact center
where the customer service representatives answer customer inquiries and respond to the problems through a number of different customer touchpoints.
automatic call distribution
a phone switch routes inbound calls to available agents.
interactive voice response
directs customers to touch-tone phones or keywords to navigate or provide information.
predictive dialing
automatically dials outbound calls and when someone answers, the call is forwarded to an available agent.
web-based self service systems
allow customers to use the web to find answers to their questions or solutions to their problems.
these buttons allow customers to click on a button and talk with a CSR via the internet.
call scripting
call scripting systems access organizational databases that track similar issues or questions and automatically generate the details for the CSR who can then relay them to the customer.
occurs when a website can know enough about a persons likes and dislikes to fashion offers that are more likely to appeal to that person.
Supplier relationship management
focuses on keeping suppliers satisfied by evaluating and categorizing suppliers for different projects, which optimizes supplier section.
partner relationship management
focuses on keeping vendors satisfied by managing alliance partner and reseller relationships that provide customers with the optimal sales channel.
employee relationship management
provides employees with a subset of CRM applications available thought a web browser. (assist the employee in dealing with customers by providing detailed information on company products, services, and customer orders.)
business intelligence
refers to applications and technologies that are used to gather, provide access to, and analyze data and information to support decision making efforts.
data latency
the time duration to make data ready for analysis.
analysis latency
the time from which data are made available to the time when analysis is complete.
decision latency
the time it takes a human to comprehend the analytic result and determine an appropriate action.
data mining
the process of analyzing data to extract information not offered by the raw data alone
data mining tools
use a variety of techniques to find patterns and relationships in large volumes of information and infer rules from them that predict future behavior and guide decision making.
assign records to one of a predefined set of classes
determine values for an unknown continuous variable behavior or estimated future value
affinity grouping
determine which things go together.
segment a heterogeneous population of records into a number of more homogeneous subgroups.
cluster analysis
a technique used to divide an information set into mutually exclusive groups such that the members of each group are as close together as possible to one another and the different groups are as far apart as possible
association detection
association detection reveals the degree to which variables are related and the nature and frequency of these relationships in the information
market basket analysis
analyzes such items as websites and checkout scanner information to detect customers' buying behavior and predict future behavior by identifying affinities among customers' choices of products and services.
statistical analysis
performs such functions as information correlations, distributions, calculations, and variance analysis.
predictions made on the basis of time series information
time-series information
time stamped information collected at a particular frequency
quantifiable benefits
include working time saved in producing reports, selling information to suppliers, etc.
indirectly quantifiable benefits
can be evaluated thought indirect evidence - improved customer service means new business from the same customer, and differentiated service brings new customers.
unpredictable benefits
result of discoveries made by creative users
intangable benefits
improved communication throughout the enterprise, improved job satisfaction, of empowered users, and improved knowledge sharing.