No more CRM says Tom Siebel

MyCustomer.com
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There’s no future in CRM. Who says so? Well, Tom Siebel unfortunately, so there’s clearly some weight behind the statement when the head of the best known CRM firm argues that automated business processes and web services are the future.

Speaking at DCI's Customer Relationship Management Conference in New York, Siebel pronounced the end of the CRM industry in its current form. "There's no market for CRM," said Siebel. "It's not there. This market's tough. Hundreds if not thousands of companies have already gone out of business and we're not done yet. Eighty per cent of the companies you see here today won't be back here in two years.

“There's a lot of companies trying to get into the space and they're building generic sales force automation, customer service or marketing software. But they're going after a market that doesn't exist. There's no market for CRM in the insurance industry, but there's a market for insurance CRM,” he explained, adding that web service would be key to this shift in emphasis. "Companies that don't make the transition to Web services are going to be like the companies that didn't make the transition to client/server.”

Web services will also play their part in tackling the application integration issues facing most end user companies. "Companies who survive and prosper by the end of the decade are the companies who will have solved the [application integration] problem," said Siebel, adding that too many rival vendors were trivialising the issue.

"We've had the integration argument presented by Oracle and SAP that says tying together your ERP, your supply chain and your CRM is the holy grail of integration. But it's not that trivial. It's an enormously complicated problem. We're not talking about tying together three applications. We're tying together 5,000 at General Motors and 400 at Marriott."

Shamelessly plugging Siebel’s Universal Application Network strategy, he said it would allow his company's software to support both .Net and J2EE-based application servers. This mean there was room for both, he added. . "We have multiple standards for operating systems, multiple standards for relational databases, we'll have multiple standards for application servers," he said. "And we'll support them all."

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30th Aug 2002 17:23

CRM is dead - long live CRM! The need for many organisations to sharpen up their operations in marketing, sales,and customer service does not dissapear just because Tom Siebel blows with the wind, and joins those bored with an acronym.

So I say forget the acronym, just get the business processes right. CRM must continues whatever the name.

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avatar
30th Aug 2002 19:32

Time to move on to the next sell to gullible businesses. There's nothing wrong with CRM - or Customer Management as my consultancy calls it. Customer Management is how businesses manage and drive the value of their customer base (and therefore business performance) profitably by aligning their businesses to deliver different customers' differing needs. It ain't rocket science and we all know that the technology is only an enabler - we are still clearing up the mess left by hard-sell software vendors...thanks for the business!

Thanks (0)
avatar
By admin
29th Aug 2002 19:30

Surely Tom is not just figuring this out. Most of us have seen this coming for the last 3 years. It started when organizations began to realize that CRM wasn't about technology, but about delivering value for the customer. People and process have allways been key components of that deliverable.

Of course, maybe he did know. But, if you're selling software to companies that are snapping it up left and right, it doesn't always make sense to bite the hand that feed you by confusing them with the facts.

Maybe Tom's just loosing too much money using the CRM acronym. I wonder what will be next..

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avatar
30th Aug 2002 13:38

hy!
i´m an call center analist in argentina. i would try my best to translate my opinion.
i think that most of the times, some words get into "mood" and most of end users don´t get the idea.
i think this happens to "C.R.M.", "One-to-One" marketing, "Business Intelligence", "Data Mining", and some of them.
Of course, them are not simply Software. Them are business proceses that are supported by programs.
I could write 10.000 lines about loosing cases that have implemented this theory as a simple "magic" soft.
but, of course, it´s more than that!!!!
thanks a lot for your time.
Rod.

Thanks (0)
avatar
02nd Sep 2002 12:47

Of course it is dead in the form it has now. And of course Siebel will not find market (as their implementation is too long and too costly). Of course it is not about technology. But still, it is indispensable for each company. The problem is that every company has it's own CRM philosophy. So, the sw should be modifiable by the user, and he should be able to implement INTELIGENCE into CRM sw package. Are we going to start developing StarTrek type of software at last?

Thanks (0)
avatar
31st Aug 2002 08:01

I do agree with Tom but the fact is that CRM is not technology driven, its philosophy driven and technology can at the best, be an efficient enabler for firms to become more customer focussed. The mushrooming of CRM softwares, sales automation softwares and others, is just a fad, which can't last long. But certainly, it should not prevent CRM adapters to imbibe the good points of this concept. Atleast, the outbreak of "CRM" made many companies come to the threshold of recognising that customer is the most important person in their business.

Thanks (0)
avatar
05th Sep 2002 13:21

Dear Sirs,

Our Company is one of the leading telecom operators in Russia and especially in Moscow.
We are interested in adding value to our services and marketing by implementing CRM solutions designed for telecom.
Could not you provide my with some more info on CRM solution for telecom.

Sincerely

Karen Alikhanov

Marketing Department
Phone: +7 095 504 50 20
Fax: +7 095 504 50 21
mailto:[email protected]
http://www.megafonmoscow.ru

Thanks (0)
avatar
By c.obi
02nd Sep 2002 17:42

...... First it was Siebel CRM, then came SiebelPharm, SiebelComms, Siebel Insure, Siebel Agric and even SiebelBurgers(joking :)).All through it was the same application with a few industry-specific field names and tables.

CRM is an age-old cornershop practice. What vendors and consultancies did, was to dress it up, make look trendy and provide it with some fancy kit. In the rush for profit they failed to provide their customers with value for money.

Guess now its time to cry over spilled milk.

Thanks (0)
avatar
01st Sep 2002 16:43

Am I glad to read the news and the comments! In CRM - or Direct/Database Marketing - it isn't just the technology that's vital, but a whole new mindset as to how we look at our business and our customers. As Dell underscores, it's "a way of doing business", and not an advertising adjunct as advertising agencies have happily slotted it, nor a technology enabler.

Thanks (0)
avatar
02nd Sep 2002 07:31

Seems Siebel is just making a base Pitch for the next Siebel offering. More likely a strategy to stir the market excitment and cusrosity towards Siebel.
Customer Management is here and will continue as an initiative, whether under any acronym.
Lets concentrate of the processes rather than buzz words.

Thanks (0)
avatar
02nd Sep 2002 07:31

Seems Siebel is just making a base Pitch for the next Siebel offering. More likely a strategy to stir the market excitment and cusrosity towards Siebel.
Customer Management is here and will continue as an initiative, whether under any acronym.
Lets concentrate of the processes rather than buzz words.

Thanks (0)
avatar
01st Sep 2002 16:43

Am I glad to read the news and the comments! In CRM - or Direct/Database Marketing - it isn't just the technology that's vital, but a whole new mindset as to how we look at our business and our customers. As Dell underscores, it's "a way of doing business", and not an advertising adjunct as advertising agencies have happily slotted it, nor a technology enabler.

Thanks (0)
avatar
05th Sep 2002 13:21

Dear Sirs,

Our Company is one of the leading telecom operators in Russia and especially in Moscow.
We are interested in adding value to our services and marketing by implementing CRM solutions designed for telecom.
Could not you provide my with some more info on CRM solution for telecom.

Sincerely

Karen Alikhanov

Marketing Department
Phone: +7 095 504 50 20
Fax: +7 095 504 50 21
mailto:[email protected]
http://www.megafonmoscow.ru

Thanks (0)
avatar
By c.obi
02nd Sep 2002 17:42

...... First it was Siebel CRM, then came SiebelPharm, SiebelComms, Siebel Insure, Siebel Agric and even SiebelBurgers(joking :)).All through it was the same application with a few industry-specific field names and tables.

CRM is an age-old cornershop practice. What vendors and consultancies did, was to dress it up, make look trendy and provide it with some fancy kit. In the rush for profit they failed to provide their customers with value for money.

Guess now its time to cry over spilled milk.

Thanks (0)
avatar
By admin
30th Aug 2002 09:12

David, I agree with you we have all seen this coming for sometime

Thanks (0)
avatar
30th Aug 2002 19:32

Time to move on to the next sell to gullible businesses. There's nothing wrong with CRM - or Customer Management as my consultancy calls it. Customer Management is how businesses manage and drive the value of their customer base (and therefore business performance) profitably by aligning their businesses to deliver different customers' differing needs. It ain't rocket science and we all know that the technology is only an enabler - we are still clearing up the mess left by hard-sell software vendors...thanks for the business!

Thanks (0)
avatar
31st Aug 2002 08:01

I do agree with Tom but the fact is that CRM is not technology driven, its philosophy driven and technology can at the best, be an efficient enabler for firms to become more customer focussed. The mushrooming of CRM softwares, sales automation softwares and others, is just a fad, which can't last long. But certainly, it should not prevent CRM adapters to imbibe the good points of this concept. Atleast, the outbreak of "CRM" made many companies come to the threshold of recognising that customer is the most important person in their business.

Thanks (0)
avatar
02nd Sep 2002 12:47

Of course it is dead in the form it has now. And of course Siebel will not find market (as their implementation is too long and too costly). Of course it is not about technology. But still, it is indispensable for each company. The problem is that every company has it's own CRM philosophy. So, the sw should be modifiable by the user, and he should be able to implement INTELIGENCE into CRM sw package. Are we going to start developing StarTrek type of software at last?

Thanks (0)
avatar
30th Aug 2002 13:38

hy!
i´m an call center analist in argentina. i would try my best to translate my opinion.
i think that most of the times, some words get into "mood" and most of end users don´t get the idea.
i think this happens to "C.R.M.", "One-to-One" marketing, "Business Intelligence", "Data Mining", and some of them.
Of course, them are not simply Software. Them are business proceses that are supported by programs.
I could write 10.000 lines about loosing cases that have implemented this theory as a simple "magic" soft.
but, of course, it´s more than that!!!!
thanks a lot for your time.
Rod.

Thanks (0)
avatar
By admin
29th Aug 2002 19:30

Surely Tom is not just figuring this out. Most of us have seen this coming for the last 3 years. It started when organizations began to realize that CRM wasn't about technology, but about delivering value for the customer. People and process have allways been key components of that deliverable.

Of course, maybe he did know. But, if you're selling software to companies that are snapping it up left and right, it doesn't always make sense to bite the hand that feed you by confusing them with the facts.

Maybe Tom's just loosing too much money using the CRM acronym. I wonder what will be next..

Thanks (0)