How do I get managment buy-in to a new CRM system?

Will

I have a document that we recently created which provides guidance for second generation CRM users, and which would be useful to you.

Drop me a line at nfearn@saratoga.co.uk if you'd like a (PDF) copy.

Best wishes
Nick Fearn

All of the forgoing is good advice. A key balance in the initial and ongoing cost of the new CRM implementation against the benefits it delivers.

One cost you need to address is the cost of adopting the new system once you launch it. You want to ensure that it is (1) fully adopted (all users), (2) rapidly adopted and (3) properly used to ensure data quality.

One way to negatively impact adoption (and both ROI and TCO) is to place application Training between where they are now and where you want them to be (full adoption of the new CRM).

First, people want to get on with business and not get on with training (it’s a barrier to overcome).
Second, it doesn’t work (70% of formal training can’t be recalled 2 weeks later).
Third, it is expensive and the biggest expense is the downtime for training (1 day of training for 100 people is 20 man-weeks of lost productivity).

Instead of application training you should integrate “performance support” into the application (sort of like MS Wizards) so that users can be interactively guided to complete tasks using the CRM system the first time they see it and without prior training. When they see how easy it is use when thus supported the word will spread and adoption will be achieved at a low initial cost and a very low ongoing cost (no need to train when the system changes or when there are new hires).

The better ROI and TCO make sale of the new system to management a bit easier
Ray

Getting Board level buy-in is vital because CRM should not just be viewed as a bolt-on to the existing IT system. You need to take a holistic view of CRM as a component of the bigger customer interaction process. As recommended by Jeremy you need to make recommendations that are based on a thorough ‘gap analysis’ to assess exactly where the problems are. This will ensure that the Board knows that your suggested solution isn’t just a knee-jerk reaction. An increasingly important aspect of CRM is compliance, and is guaranteed to get the senior directors to sit up and listen. This is an issue that is strategically vital for your business and one that the Board should be committed to driving. I think this is where you stand to win over those who ‘don’t get it’ because it’ll communicate to them in no uncertain terms that your CRM solution is essential to meet the growing UK and European legislation, and on broader level, to protect your brand and your reputation. All the best, Margaret Holden.
mholden@cincom.com

Will, you are on a very sticky wicket if your board doesn't 'get it'.

I'd be inclined to approach the problem from a different angle. Forget the solution you have in mind - it may even be the wrong one - especially if there are wider issues or challenges you may be unaware of.

Here is the batting order I would recommend:
1. Identify the problem(s) you are trying to solve. If they are big enough then senior management ought to wake up to them - so what is it worth to solve them?
2. Take the Customer Centricity indicator test - it takes no time at all and can help identify some of the disconnects in management thinking.
3. Assuming that by this stage management is beginning to 'get it' based on this simple self assessment, then get them to authorise a proper professional examination of the firm's current customer focused capabilities. A deep dive covering - customer strategy, process, skills, organisation, info architecture the lot (can be done quickly if you know what your are doing - (we do!)
4. Highlight the major gaps and get run workshop with board members to talk about the consequences, prioriites and generate consensus on activities, owners.timescales etc

This will provide you with a platform for action and money.

If you just try to sell the glitz of some IT you've seen, then don't expect them to react positively.
you need to tease out the real business needs, quantify the impact and the impact of doing nothing, before you will get their attention.

Good luck

Jeremy (jeremycox@thewisdomnetwork.com)

Will
A classic challenge. You need to treat your senior managers in classic CRM style. Segment them - who holds power, who holds influence, decision makers. Then ask why should they be interested - what is in it for them. Then you need to deliver that message in an appropriate medium. Focusing on the business benefit and why it will improve their status / effectiveness / bottom line.
All of this is a project in its own right, and requires those disciplines, but if done well, will pay dividends down the track.
Drop me line if you want to discuss peter.maloney@clearcellgroup.com. Good Luck