You’d be hard pressed to find a company that is not at least in some small way driven by the demands of a customer. What the customer or customers want is what drives almost every decision many organizations make. This is why customer relationship management software is so crucially important. In an article for Techyounme.com, Erin Dane says that modern CRMs go beyond simply managing contacts to acting as a complete business tool. Like many other business tools, Big Data and knowledge management improve CRM performance according to Dane. In fact, Big Data can help you understand market trends and customer behavior in a multitude of ways:
· Helps with decision making
· Helps enterprises become learning organizations
· Creates informed workforce and thus improves productivity
· Attracts innovation at every level of operation
· Inspires cultural transformation and stimulates collaboration
· Helps in learning customer experience through an integrated environment
· Improves services and quality
Knowledge management is more than just passing around information when it comes to customers. According to Dane, knowledge management can help you do more with what you have when it comes to CRM:
Knowledge management can help leveraging competitive advantage and enhance productivity. It is like offering meaning to the volume of data collected from various sources. It is about processing, analyzing and interpreting data to make it usable. Earlier though CRM and knowledge management were regarded as two different disciplines – independent of each other. Although more often than not they both used the same database there was no conscious effort to integrate the two. But they both were working towards the same goal; i.e. to improve business performance and efficiency. The time has now come that CRM app and KM start seeing in the same direction. Harnessing knowledge has become more important for CRM solutions to offer complete business solution on a competitive environment.
Knowledge management works on “both the customer side and organizational side of the business,” according to Dane. It allows a business to take what the customer wants and use the knowledge available to create the best deliverable possible. Dane does note that many organizations still do not recognize the importance of knowledge management to CRM, however. If nothing else, organizations should realize that knowledge management, when properly applied to CRM, and make big problems become smaller and more manageable. If nothing else, the idea of making problems easier to manage should be enough to make any company take a closer look at their CRM system.
CRM systems and tools are more important to organizations today than they have ever been before. Being able to manage these systems is crucial in order to use them to their full potential. Dane stresses the strategic importance of incorporating knowledge management as soon as you can. The truth is, as time passes, we will see Big Data and knowledge management become an obvious part of CRM, so getting on board with this trend now is a smart move to make.