In evaluating customer relationship management software, two issues are prominent: near- and long-term benefits, and cost. Whether the system under consideration is an SaaS system or an on-premise set-up, the potential user can assess a CRM system by applying ten criteria.

1. CRM: View of the Customer

An enterprise CRM application should allow a sales force to access comprehensive information on customers. This includes data allowing them to segment the customer base by the characteristics that marketing demands. They need to know the position that each customer holds in the evolution of the business-client relationship, and they need to allot their resources rationally and discriminatively between customers.

2. CRM Applications: The Sales Process

The system should be able to track customers through the entire sales cycle, from customer acquisition through proposal, billing and follow-up. A seamless linkage is required from sales leads through finance. The goal is to centralize all customer interaction through the system.

3. Business CRM: Sales Behavior

Sales alignment involves selling appropriate products to specific customers. The sales force needs immediate access to cross-selling and up-selling opportunities. Incentive management is a related issue, and compensation data must be included in sales' dashboard.

4. Enterprise CRM: Customer Satisfaction

CRM applications should allow a holistic view of the customer. Customer history and data needs to be centralized and accessible across departments, and need to include records of all interactions, through all channels.

5. Customer Relationship Management: Marketing Effectiveness

CRM software can be measured through the return on investment of marketing campaigns. Effective customer analytics and campaign tracking require lead-to-close dashboard metrics.

6. CRM: E-commerce Strategies

E-commerce is a crucial marketing channel. An enterprise's on-line presence should be maximized through proper search engine optimization. Web analytics allow proper targeting and follow-up. Proper business CRM facilitates ecommerce and integrates it with other channels.

7. CRM Applications: Sales Adoption

The sales force subscribes to the CRM system when it's designed to match its sales process. It must be easy to use, Web-accessible and linked with sales tools such as Microsoft Office, and with the range of personal communications devices. A personalized dashboard can present sales metrics as well as best practices.

8. CRM Software: Channel Relationships

Sales and finance teams need a CRM system to offer integrated analytics on the enterprise's relationships with partners. Captive and non-captive channels alike demand attention. Partner portals should be specific to the partner and provide all the tools and data needed.

9. Business CRM: Organizational Processes

Business CRM should be integrated with all business processes in order to acquire customers and generate renewals. It should link with the order-to-cash stream between sales and finance, and with the sales compensation system.

10. CRM Systems: Dashboard Measurements

Dashboards should include all the drivers necessary for evaluation. Data needs to be available at all levels of the enterprise: sales, service, marketing, and executive. Role-specific dashboards provide data such as stage-be-stage progress to the sale staff, but offers executives an uncluttered, integrated enterprise profile.

In the end, as you evaluate customer relationship management tools and software, be sure to use this type of comprehensive criteria before making a decision. Doing so allows you to balance the benefits and find a system that works for you and your organization.

Sources

• Net Suite, A Buyer's Guide to Customer Relationship Management Solutions

About the Author
Steve Greechie (MBA, MSLIS, MA) is a freelance business writer in New York City. He's published extensively in a range of publications, including The Boston Business Journal, Information Outlook, Online, Architectural Record and The Journal of Business and Finance Librarianship. He contributed to The Core Business Web, which The American Library Association named The Best Business Reference Book of 2003. His Internet copy appears widely.