Description
Customer relationship management (CRM) is a model for managing a company’s interactions with current and future customers. It involves using technology to organize, automate, and synchronize sales, marketing, customer service, and technical support.
A PROJECT REPORT ON
VIPUL MAHARAJA AGRASEN INSTITUTE OF MANAGEMENT STUDIES (AFFILIATED TO GURU GOBIND SINGH INDARAPRASTHA UNIVERSITY)
SUZUKI
A PROJECT REPORT ON
Proect uide: Submitted by: Roll no: Enrollment no: Pro ramme: Semester:
MAHARAJA AGRASEN INSTITUTE OF MANAGEMENT STUDIES GURU GOBIND SINGH INDRAPRASTHA UNIVERSITY
flLJTI
SUZUKI
COLIFTt
tJf
This is to certify that the project entitled “Study on Customer Relationship Management” submitted by Vipul, Enroll no. has been done under my guidance and supervision in partial fhlfillment of Bachelor of Business Administration.
The working analysis mentioned in this report has been undertaken by the candidate herself and necessary reference has been recognized and acknowledged in the text of the report.
(Internal project guide)
“Many talented people have contributed to the successful completion of this work and I would like to extend a word of thanks and appreciation to all of them.” First, I take this opportunity to acknowledge my institution Maharaja Agrasen Institute Of Management Studies, Indraprastha University where I am pursuing my degree Bachelor of Business Administration. Second, I empress my thanks to Mr. Amit Gupta, Internal Project Guide, for her guidance, support and encouragement which helped me in completing my project. Above all, I would like to thank the Almighty God without whom this work could never have been completed. VIPUL
The world of marketing is moving more rapidly than ever. The intelligent and successful people
1. INTRODUCTION 2. PURPOSE OF RESEARCH STUDY • • -RESEARCH STUDY SCOPEOFTHESTUDY
3. RESEARCH METHODOLOGY • • -TOOLS OF RESEARCH -RESOURCEOFDATA
4. RECOMMENDATIONS, FINDINGS AND LIMATATIONS 5. CONCLUSION 6. BIBLIOGRAPHY
Maruti Udyog Limited (MUL) was established in Feb 1981 through an Act of Parliament, to meet the growing demand of a personal mode of transport caused by the lack of an efficient public transport system. Suzuki Motor Company was chosen from seven prospective partners worldwide. This was due not only to their undisputed leadership in small cars but also to their commitment to actively bring to MUL contemporary technology and Japanese management practices (which had catapulted Japan over USA to the status of the top auto manufacturing country in the world).
• A licence and a Joint Venture agreement was signed between Govt of India and Suzuki Motor Company (now Suzuki Motor Corporation of Japan) in Oct 1982. The objectives of MUL then were: • • Modernization of the Indian Automobile
Industry. Production of fuel-efficient vehicles to conserve scarce resources. Production of large number of motor vehicles which was necessary for economic growth. Our Vision
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Technological Advantage • We have introduced the superior 16
*
4 Hypertech engines
across the entire Maruti Suzuki range. This new technology harnesses the power of a brainy 16-bit computer to a fuelefficient 4-valve engine to create optimum engine delivery. This means every Maruti Suzuki owner gets the ideal combination of power and performance from his car. • Our other innovation has been the introduction of Electronic Power Steering (EPS) in select models. This results in better and greater maneuverability. In other words, our cars have become even more pleasurable to drive.
Production /R & D Spread over a sprawling 297 acres with 3 fully-integrated production facilities, the Maruti Udyog Plant has already rolled out over 4.3 million vehicles. In fact, on an average, two vehicles roll out of the factory every minute. And it takes on an average, just 14 hours to make a car. More importantly, with an incredible range of 11 models available in 50 variants, there’s a Maruti Suzuki made here to fit every car-buyer’s budget. And dream.
PRODUCTION MILESTONES
i) ii) iii) iv) v) vi) vii) viii) ix)
1st vehicle produced, December 1983 1,00,000 vehicles produced by August, 1986 5,00,000 vehicles produced by June, 1990 1st vehicle produced, December 1983 1,00,000 vehicles produced by August, 1986 5,00,000 vehicles produced by June, 1990 10,00,000 vehicles produced by March, 1994 15,00,000 vehicles produced by April, 1996 20,00,000 vehicles produced by October, 1997
x) xi) xii) xiii) xiv)
25,00,000 vehicles produced by March, 1999 30,00,000 vehicles produced by June, 2000 35,00,000 vehicles produced by December 2001 40,00, 000 vehicles produced by April, 2003 45,00,000 vehicles produced by April, 2004
I%Iaruti, rita S Md%T- Thn top Players Iôr the Carc/innps
Cat€gDry for 2003!!
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& Mth,in&., NccrInI.W
Mobr India Ltd yct Kirliskar Motor Ltd Irdia Attc,mobdes Ltd oForIniaLirnte
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2005 • • 2004 • New (non A/C) variant of Alto The fiftieth lakh car rolls out in April, 2005 Growth in overall sales by 15.8%
Alto becomes India’s new best selling car LPG variant of ‘Omni Cargo’ Versa 5-seater, a new variant Baleno LXi, a new variant Maruti closed the financial year 2003-04 with an annual sale of 472122 units, the highest ever since the company began operations 20 years ago 2003 New Suzuki Grand Vitara XL-7
Redesigned and all-new Zen New upgraded WagonR Enters into partnership with State Bank of India Production of 4 millionth vehicle. Listed on BSE and NSE after a public issue oversubscribed 1 0 times 2002 WagonR Pride
Esteem Diesel. All other variants upgraded
.
Maruti Insurance. Two new subsidiaries started: Maruti Alto Spin LXi, with electronic power steering
Insurance Distributor Services and Maruti Insurance Brokers Limited
Special edition of Maruti 800, India’s first colourcoordinated car Maruti True value in Mumbai Maruti Finance in Mumbai with 10 finance companies Suzuki Motor Corporation (SM C) increases its stake in Maruti to 54.2 percent 2001 Zen LXi
Maruti True Value launched in Bangalore and Delhi Maruti Versa, India’s first luxury MPV Alto Spin LXi, with electronic power steering Alto Vxi Customer information centers launched in Hyderabad, Bangalore and Chennai Launch of versa 2000 First car company in India to launch a Call Center
New Alto Altura, a luxury estate car IDTR (Institute of Driving Training and Research) launched jointly with the Delhi government to promote safe driving habits
1999
Maruti 800 EX ( 796cc, hatchback car)
Zen LX (993cc, hatchback car) Zen VXi (993cc, hatchback car with power steering) Omni XL (796cc, MUV, high roof) Baleno (1 600cc, 3 Box Car) Wagon R Launch of Maruti 1998 Maruti launches website as part of CRM initiatives Zen D (1527 cc diesel, hatchback car) Zen VX & Zen VX Automatic New (Omni & Omni E) (796cc, MUV) Launch of website as part of CRM initiatives 1997 1998 Esteem (1299cc, 3 box car) LX, VX and AX
-
Suzuki innovative traffic beat in Delhi and
Chennai as social initiatives
New Maruti 800 (796cc,hatchback Car) Standard and Deluxe Produced the 2 millionth vehicle since the commencement of production 1996
Gypsy (E) (970cc, 4WD 8 seater)
Omni (E) (796cc, MUV, 8 seater) Gypsy King (1 298cc, 4WD, off road vehicle) Zen Automatic (993cc, hatchback car) Esteem 1 .3L (1298 cc, 3 box Car)AX Launch of 24-hour emergency on-road vehicle service 1995 Esteem 1.3L (1298 cc, 3 box car)VX
With the launch of second plant, installed capacity reached 200,000 units 1994 Esteeml .3L (1298cc, 3 box car)LX
Produced the 1 millionth vehicle since the commencement of production
1993
Zen(993cc, hatchback Car), which was later exported in Europe and elsewhere as the Alto 1992 SMC increases its stake in Maruti to 50 percent 1991 Reaches cumulative indigenisation of 65 percent for all vehicles produced 1990 Maruti 1000(970cc, 3 box), India’s first contemporary sedan 1988 Installed capacity increased to 100,000 units 1987 Exported first lot of 500 cars to Hungary
1986 Maruti 800 ( New Model-796cc, hatchback Car) Produced 100,000 vehicles (cumulative production) 1985 Launch of Maruti Gypsy (970cc, 4WD off-road vehicle) 1984 Omni, a 796cc MUV
Installed capacity reached 40,000 units 1983 Maruti 800, a 796 cc hatchback, India’s first affordable car. Production was started under JVA
1982 License and JV agreement signed between Maruti Udyog Ltd. and SMC of Japan 1981
.
Maruti Udyog Ltd was incorporated under the provisions of
the Indian Companies Act, 1956
2005 Number one in JD Power SSI for the second consecutive year Number one in JD Power CSl for the sixth time in a row only car to win it so many times M800, WagonR and Swift topped their segments in the TNS Total Customer Satisfaction Study. Leadership in the JD Power Initial Quality Study
-
the
Alto
number one in its segment for the 2nd time in a row, Esteem number
one in its segment for the 3rd year in a row, Swift number one in the premium compact segment WagonR and Esteem top their segments in the JD Power APEAL study TNS ranks Maruti 4th in the Corporate Reputation Strength (CSR) study (#1 in Auto sector)-Feb 05 Maruti bagged the “Manufacturer of the year” award from Autocar-CNBC (2nd time in a row)-Feb 05 First Indian car manufacturer to reach 5 million vehicles sales Business World ranks Maruti among top five most respected companies in India-Oct 04 Maruti ranked among top ten (Rank7) greenest companies in India by Business Today Sep ‘04
-
2004 Maruti Suzuki was No. 1 in Customer atisfaction, No. 1 in Sales Satisfaction No.1 in Product Quality (Esteem and Alto) and No. 1 in Product Appeal (Esteem and Wagon R) No. 1 in Total Customer Satisfaction (Maruti 800, Zen and Alto) Business World ranked us among the country’s five most respected companies Business World ranked us the country’s most respected automobile company Voted Manufacturer of the year by CNBC Voted one of India’s Greenest Companies by Business Today-AC Nielson ORG-MARG
2003 Maruti 800, Maruti Zen and Maruti Esteem make it to the top 10 automotive brands in “Most Trusted Brand survey 2003” J D Power ranked 3 models of Maruti on top: Wagonr, Zen and Esteem Maruti 800 and Wagonr top in NED Total Customer Satisfaction Study 2003. MUL tops in J D Power CSl (2001) for 4th time in a row
MUL tops in J D Power CSl (2001) for 2nd time in a row: another international first
2000 Maruti bags JD Power CSl
-
1st rank; unique achievement by
market leader anywhere in the world 1999 MSM launched as model workshop in India; achieves highest CSl rating. Central Board of Excise & Customs awards Maruti with “Samman Patra”, for contribution to exchequer and being an ideal tax assessee 1998 ClI’s Business Excellence Award
1996 Maruti wins INSSAN award for “Excellence in Suggestion Scheme” Awarded the Star Trading House status by Ministry of Commerce 1994-95 Engineering Exports Promotion Council’s award for export performance
1994 Best Canteen award among Haryana Industries as part of employee welfare
1992-93
Engineering Exports Promotion Council’s award for export performance
1991-92
Engineering Exports Promotion Council’s award for export performance
The uality Advantage Maruti Suzuki owners experience fewer problems with their vehicles than any other car manufacturer in India (J.D. Power IQS Study 2004). The Alto was chosen No.1 in the premium compact car segment and the Esteem in the entry level mid parameters. The J.D. Power APEAL Study 2004 proclaimed the Wagon R no. 1 in the premium compact car segment and the Esteem No.1 in the entry level mid size car segment. This study measures owner in terms of
-
size car segment across 9
design, content, layout and performance of vehicles across 8 parameters.
A Buying Experience Like No Other Maruti Suzuki has a sales network of 307 state-of -the-art showrooms across 189 cities, with a workforce of over 6000 trained sales personnel to guide our customers in finding the right car. Our high sales and customer care standards led us to achieve the No.1 nameplate in the J.D. Power SSI Study 2004.
Quality Service Across 1036 Cities In the J.D. Power CSl Study 2004, Maruti Suzuki scored the highest across all 7 parameters: least problems experienced with vehicle serviced, highest service quality, best in-service experience, best service delivery, best service advisor experience, most user-friendly service and best service initiation experience. 92% of Maruti Suzuki owners feel that work gets done right the first time during service. The J.D. Power CSl study 2004 also reveals that 97% of Maruti Suzuki owners would probably recommend the same make of vehicle, while 90% owners would probably repurchase the same make of vehicle.
One Stop Shop
At Maruti Suzuki, you will find all your car related needs met under one roof. Whether it is easy finance, insurance, fleet management services, exchange- Maruti Suzuki is set to provide a single-window solution for all your car related needs.
The Low Advantage
Cost
Maintenance
The acquisition cost is unfortunately not the only cost you face when buying a car. Although a car may be affordable to buy, it may not necessarily be affordable to maintain, as some of its regularly used spare parts may be priced quite steeply. Not so in the case of a Maruit Suzuki. It is in the economy segment that the affordability of spares is most competitive, and it is here where Maruti Suzuki shines. Lowest Cost of Ownership The highest satisfaction ratings with regard to cost of ownership among all models are all Maruti Suzuki vehicles: Zen, Wagon R, Esteem, Maruti 800, Alto and Omni. We are proud to have the lowest cost of operation/km (among petrol vehicles) Wagon R.
-
the top 5
models are all Maruti Suzuki models: Maruti 800, Alto, Zen, Omni and
Our employees are our greatest strength and asset. It is this underlying philosophy that has moulded our workforce into a team with common goals and objectives. Our Employee-Management relationship is therefore characterized by: Participative Management. Team work & Kaizen. Communication and information sharing. Open office culture for easy accessibility
To implement this philosophy, we have taken several measures like a flat organizational structure. There are only three levels of responsibilities ranging from the Board Of Directors, Division Heads to Department Heads. Other visible features of this philosophy are an open office, common uniforms (at all levels), and a common canteen for all. This structure ensures better communication and speedy decision making processes. It also creates an environment that builds trust, transparency and a sense of belonging amongst employees.
1. 2.
RESEARCH STUDY SCOPE OF THE STUDY
To study and understand various aspects of Customer relationship management at MARUTI SUZUKI.
This study extends its emphasis on studying various economic
,
social
,
geographical and political aspects of trade
relations between india and the gulf countries. It further extends to suggest possible measures and steps to further strengthen the trade structure between india and the gulf countries.
This study is an effort to highlight various strategic factors which are crucial for the trade —ties between india and the gulf countries.
1. 2.
TOOLS OF RESEARCH RESOURCE OF DATA
A Research Methodology defines the purpose of the research, how it proceeds, how to measure progress and what constitute success with respect to the objectives determined for carrying out the research study. The appropriate research design formulated is detailed below. Exploratory research: this kind of research has the primary objective of development of insights into the problem. It studies the main area where the problem lies and also tries to evaluate some appropriate courses of action.
The research methodology for the present study has been adopted to reflect these realties and help reach the logical conclusion in an objective and scientific manner. The present study contemplated an exploratory research
Secondary data: secondary data that is already available and published it could be internal and external source of data. Internal source: which originates from the specific field or area where research is carried out e.g. publish broachers, official reports etc. External source: This originates outside the field of study like books, periodicals, journals, newspapers and the Internet.
DATA COLLECTION Secondary data has been used which is collected through articles, reports, journals, magazines, newspapers reports prepared by research scholars, universities and internet.
TOOLS AND TECHNIQES
Analysis of data has been done with help of various statistical tools like the tables and graphs.
CUSTOMER RELATIONSHIP MANAGEMENT(CRM)
Customer Relationship Management (CRM) Includes the methodologies, technology and capabilities that help an enterprise manage customer relationships. The general purpose of CRM is to enable organizations to better manage their customers through the introduction of reliable systems, processes and procedures.
IMPLEMENTING CRM
Customer Relationship Management is a corporate level strategy which focuses on creating and maintaining lasting relationships with its customers. Although there are several commercial CRM software
packages on the market which support CRM strategy, it is not a technology itself. Rather, a holistic change in an organisation’s philosophy which places emphasis on the customer. Management at MARUTI believes that a successful CRM strategy cannot be implemented by simply installing and integrating a software package and will not happen over night. Changes must occur at all levels including policies and processes, front of house customer service, employee training, marketing, systems and information management; all aspects of the business must be reshaped to be customer driven. To be effective, the CRM process has been integrated with end-to-end across marketing, sales, and customer service. The objectives of CRM at MARUTI: To Identify customer success factors To Create a customer-based culture To Adopt customer-based measures To Develop an end-to-end process to serve customers To Recommend what questions to ask to help a customer solve a problem To Recommend what to tell a customer with a complaint about a purchase To Track all aspects of selling to customers and prospects as well as customer support.
Before implementing the CRM segment the management at MARUTI did a survey to identify what profile aspects it feels are relevant to its business, such as what information it needs to serve its customers, the customer’s past financial history, the effects of the CRM segment and what information is not useful. Being able to eliminate unwanted information is a large aspect of implementing CRM systems.
There are three parts of application architecture of CRM at maruti: Operational CRM Analytical CRM
-
automation to the basic business processes support to analyze customer behavior,
(marketing, sales, service)
-
implements business intelligence alike technology Collaborative CRM ensures the contact with customers (phone,
-
email, fax, web, sms, post, in person)
Operational
CRM at Maruti includes customer
contact (sales,
marketing and service). Tasks resulting from these processes are forwarded to employees responsible for them, as well as the information necessary for carrying out the tasks and interfaces to backend applications are being provided and activities with customers are being documented for further reference. Operational CRM provides the following benefits: Delivers personalized and efficient marketing, sales, and service through multi-channel collaboration Enables a 360-degree view of the customer while you are interacting with them Sales people and service engineers can access complete history of all customer interaction with the company, regardless of the touch point. The operational part of CRM typically involves three general areas of business at Maruti:
Sales force automation SFA
SFA automates the critical sales and sales force management
functions of
Maruti, i.e.,
lead/account management, buying
contact
management, quote management, forecasting, sales administration, keeping track of customer preferences, habits, and demographics, as well as performance management. SFA tools are designed to improve field sales productivity. Key infrastructure requirements of SFA are mobile synchronization and integrated product configuration. Customer service and support (CSS) CSS at Maruti automates the service requests, complaints, product returns, and information requests. The internal help desk and inbound call-center support for customer inquiries have been evolved into the “customer interaction center” (dc), using multiple channels (Web, phone/fax, face-to-face, kiosk, etc). Key infrastructure requirements of CSS include computer telephony integration (CTI) which provides high volume processing capability, and reliability.
Enterprise marketing automation (EMA)
EMA of the company providesinformation about the business
environment, including competitors of Maruti, industry trends, and macro environmental variables. It is the execution side of campaign and lead management. The intent of EMA applications is to improve marketing campaign efficiencies. Functions include demographic analysis, variable segmentation, and predictive modeling occur on the analytical (Business Intelligence) side. Integrated CRM software is often also known as “front office solutions.” Of Maruti, This is because the customer of the company.
.
they deal directly with
Maruti uses CRM software to store all of their customers details.
When a customer calls at maruti, the system is used to retrieve and store information relevant to the customer. By serving the customer quickly and efficiently, and also keeping all information on a customer in one place, a the management at Maruti aims to make cost savings, and also encourage new customers.
In analytical CRM, data gathered within operational CRM and/or other sources are analyzed to segment customers or to identify potential to enhance client relationship. Customer analysis typically leads to targeted campaigns to increase share of customer’s wallet. Examples of Campaigns directed towards customers are: Acquisition: Cross-sell, up-sell Retention: Retaining customers who leave due to maturity or attrition. Information: Providing timely and regular information to customers about Maruti. Modification: Altering details of the transactional nature of the customers’ relationship. Analysis typically covers but is not limited to: Decision support: Dashboards, reporting, metrics, performance Predictive modelling of customer attributes Strategy and research.
Analysis of Customer data relates to the following analyses: Campaign management and analysis
Contact channel optimization Contact Optimization Customer Acquisition / Reactivation / Retention Customer Segmentation Customer Satisfaction Measurement / Increase Sales Coverage Optimization Fraud Detection and analysis Financial Forecasts Pricing Optimization Product Development Program Evaluation Risk Assessment and Management Data collection and analysis is viewed as a continuing and
iterative process. Ideally, business decisions are refined over time, based on feedback from earlier analysis and decisions. Therefore, a successful analytical CRM projects take advantage of a data warehouse to provide suitable data.
Collaborative CRM facilitates interactions with customers through all channels (personal, letter, fax, phone, web, e-mail) and supports co
ordination of employee teams and channels. It is a solution that brings people, processes and data together so company can better serve and retain their customers. Collaborative CRM provides the following benefits: Enables efficient productive customer interactions across all communications channels Enables web collaboration to reduce customer service costs Integrates call centers enabling multi-channel personal customer interaction Integrates view of the customer while interaction at the transaction level
CRM, in its broadest sense, means managing all interactions and business with customers. This includes, but is not limited to, improving
customer service. The CRM program allows Maruti to acquire customers, service the customer, increase the value of the customer to the company, retain good customers, and determine which customers can be retained or given a higher level of service. A good CRM program can improve customer service by facilitating communication in several ways Provide product information, product use information, and technical assistance on web sites that are accessible 24 hours a day, 7 days a week. Identify how each individual customer defines quality, and then design a service strategy for each customer based on these individual requirements and expectations. Provide a fast mechanism for managing and scheduling followup sales calls to assess post-purchase cognitive dissonance, repurchase frequencies. Provide a mechanism to track all points of contact between customer and the company, and do it in an integrated way so that all sources and types of contact are included, and all users of the system see the same view of the customer (reduces confusion). Help to identify potential problems quickly, before they occur. Provide a user-friendly mechanism for registering customer complaints (complaints that are not registered with the company cannot be resolved, and are a major source of customer dissatisfaction). probabilities, repurchase times, and repurchase
Provide a fast mechanism for handling problems and complaints (complaints that are resolved quickly can increase customer satisfaction). Provide a fast mechanism for correcting service deficiencies (correct the problem before other customers experience the same dissatisfaction). Use internet cookies to track customer interests and personalize product offerings accordingly. Use the Internet to engage in collaborative customization or real time customization. Provide a fast mechanism for managing and scheduling maintenance, repair, and on-going support (improve efficiency and effectiveness).
.
The CRM can be integrated into other cross-functional systems
and thereby provide accounting and production information to customers when they want it.
CRM programs also are able to improve customer
relationships. Proponents say this is so because: CRM technology can track customer interests, needs, and buying habits as they progress through their life cycles, and tailor the marketing effort accordingly. This way customers get exactly what they want as they change. The technology can track customer product use as the product progresses through its life cycle, and tailor the service strategy accordingly. These way customers get what they need as the product ages. In industrial markets, the technology can be used to micro-segment the buying centre and help coordinate the conflicting and changing purchase criteria of its members. When any of the technology-driven improvements in customer service (mentioned above) contribute to long-term customer satisfaction, they can ensure repeat purchases, improve customer relationships, increase customer loyalty, decrease customer turnover, decrease marketing costs (associated with customer acquisition and customer “training”), increase sales revenue, and thereby increase profit margins. Repeat purchase, however, comes from customer satisfaction
-
which in turn comes from a deeper understanding of each customer, their individual business challenges and proposing solutions for those challenges rather than a “one size fits all” approach. CRM software enables sales people to achieve this one on one approach to selling and can automate some elements of it via
tailorable marketing communications. However, all of these elements are facilitated by or for humans to achieve
-
CRM is
therefore a company-wide attitude as much as a software solution.
To study and understand various aspects of Customer relationship management at MARUTI SUZUKI.
A Research Methodology defines the purpose of the research, how it proceeds, how to measure progress and what constitute success with respect to the objectives determined for carrying out the research study. The appropriate research design formulated is detailed below.
).
Exploratory research: this kind of research has the primary It studies
objective of development of insights into the problem. some appropriate courses of action.
)
the main area where the problem lies and also tries to evaluate The research methodology for the present study has been
adopted to reflect these realties and help reach the logical conclusion in an objective and scientific manner. The present study contemplated an exploratory research
Secondary data: secondary data that is already available and published it could be internal and external source of data. Internal
source: which originates from the specific field or area where research is carried out e.g. publish broachers, official reports etc. External source: This originates outside the field of study like books, periodicals, journals, newspapers and the Internet.
Secondary data has been used which is collected through articles, reports, journals, magazines, newspapers reports prepared by research scholars, universities and internet.
Analysis of data has been done with help of various statistical tools like the tables and graphs.
CUSTOMER RELATIONSHIP MANAGEMENT(CRM)
Customer Relationship Management (CRM) Includes the methodologies, technology and capabilities that help an enterprise manage customer relationships. The general purpose of CRM is to enable organizations to better manage their customers through the introduction of reliable systems, processes and procedures.
Customer Relationship Management is a
corporate
level strategy which focuses on creating and maintaining lasting relationships with its customers. Although there are several commercial CRM software packages on the market which support CRM strategy, it is not a technology itself. Rather, a holistic change in an organisations philosophy which places emphasis on the customer. Management at MARUTI believes that a successful CRM strategy cannot be implemented by simply installing and integrating a software package and will not happen over night. Changes must occur at all levels including policies and processes,front of house customer service, employee training, marketing, systems and information management; all aspects of the business must be reshaped to be customer driven. To be effective, the CRM process has been integrated with end-to end across marketing, sales, and customer service.
• To Identify customer success factors • To Create a customer-based culture • To Adopt customer-based measures • To Develop an end-to-end process to serve customers • To Recommend what questions to ask to help a customer solve a problem • To Recommend what to tell a customer with a complaint about a purchase • To Track all aspects of selling to customers and prospects as well as customer support. Before implementing the MARUTI did a survey CRM segment the management at
to identify what profile aspects it feels are
relevant to its business, such as what information it needs to serve its customers, the customers past financial history, the effects of the CRM segment and what information is not useful. Being able to eliminate unwanted information is a large aspect of implementing CRM systems.
There are three parts of application architecture of CRM at maruti: Operational CRM Analytical CRM
-
automation to the basic business processes support to analyze customer behavior,
(marketing, sales, service)
-
implements business intelligence alike technology Collaborative CRM ensures the contact with customers (phone,
-
email, fax, web, sms, post, in person)
Operational CRM at Maruti
includescustomer
contact (sales,
marketing and service). Tasks resulting from these processes are forwarded to employees responsible for them, as well as the information necessary for carrying out the tasks and interfaces to back-end applications are being provided and customers are being documented for further reference. activities with
Operational CRM provides the following benefits: Delivers personalized and efficient marketing, sales, and service through multi-channel collaboration Enables a 360-degree view of the customer while you are interacting with them Sales people and service engineers can access complete history of all customer interaction with the company, regardless of the touch point The operational part of CRM typically involves three general areas of business at Maruti:
SALES FORCE AUTOMATION
management functions
SFA
of Maruti, i.e., lead/account quote sales administration, as performance
SFA automates the critical sales and sales force management, contact management, management, forecasting, demographics, as well
keeping track of customer preferences, buying habits, and management. SFA tools are designed to improve field sales productivity. Key infrastructure requirements of SFA are mobile synchronization and integrated product configuration.
CSS at Maruti automates the service
requests,
complaints, product returns, and information requests. The internal help desk and inbound call-center support for customer inquiries have been evolved into the “customer interaction center” (dc), using multiple channels (Web, phone/fax, face-to-face, kiosk, etc). Key infrastructure requirements of CSS include computer telephony integration (CTI) which provides high volume processing capability, and reliability.
EMA of the company provides information about the business environment, including competitors of Maruti, industry trends, and macro environmental variables. It is the execution side of campaign and lead management. The intent of EMA applications is to improve marketing campaign efficiencies. (Business Functions include demographic analysis, variable segmentation, and predictive modeling occur on the analytical Intelligence) side. Integrated CRM software is often also known as “front office solutions.” Of Maruti, This is because they deal directly with the customer of the company.
.
Maruti uses CRM software to store all of their customers details. When a customer calls at maruti, the system is used
to
retrieve and store information relevant to the customer. By serving the customer quickly and efficiently, and also keeping all information on a customer in one place, a the management at Maruti aims to make cost savings, and also encourage new customers.
In analytical CRM, data gathered within operational CRM and/or other sources are analyzed to segment customers or to identify potential to enhance client relationship. Customer analysis typically of Campaigns directed towards customers are: • Acquisition: Cross-sell, up-sell • Retention: Retaining customers who leave due to maturity or attrition. • Information: Providing timely and regular information to customers about Maruti. • Modification: Altering details of the transactional nature of the customers’ relationship. Analysis typically covers but is not limited to: • Decision support: Dashboards, reporting, metrics, performance etc. • Predictive modelling of customer attributes • Strategy and research. leads to targeted campaigns to increase share of customer’s wallet. Examples
Analysis of Customer data relates to the following analyses:
• Campaign management and analysis • Contact channel optimization • Contact Optimization • Customer Acquisition / Reactivation / Retention • Customer Segmentation • Customer Satisfaction Measurement / Increase • Sales Coverage Optimization • Fraud Detection and analysis • Financial Forecasts • Pricing Optimization • Product Development • Program Evaluation • Risk Assessment and Management Data collection and analysis is viewed as a continuing and
iterative process. Ideally, business decisions are refined over time, based on feedback from earlier analysis and decisions. Therefore, a successful analytical CRM projects take advantage of a data warehouse to provide suitable data.
Collaborative CRM facilitates interactions with customers through all channels (personal, letter, fax, phone, web, e-mail) and supports co ordination of employee teams and channels. It is a solution that brings people, processes and data together so company can
better serve and retain their customers. Collaborative CRM provides the following benefits: • Enables efficient productive customer interactions across all communications channels • Enables web collaboration to reduce customer service costs • • Integrates call centers enabling multi-channel personal customer interaction Integrates view of the customer while interaction at the transaction level Purposes of Customer Relationship Management CRM, in its broadest sense, means managing all interactions and business with customers. This includes, but is not limited to, improving customer service. The CRM program allows Maruti to acquire customers, service the customer, increase the value of the customer to the company, retain good customers, and determine which customers can be retained or given a higher level of service. A good CRM program can improve customer service by facilitating communication in several ways
Provide
product
information,
product
use
information, and technical assistance on web sites that are accessible 24 hours a day, 7 days a week. Identify how each individual customer defines quality, and then design a service strategy for each customer these individual requirements and expectations. Provide a fast mechanism for managing and scheduling followup sales calls to assess post-purchase cognitive dissonance, repurchase probabilities, repurchase times, and repurchase frequencies. Provide a mechanism to track all points of contact between customer and the company, and do it in an integrated way so that all sources and types of contact are included, and all users of the system see the same view of the customer (reduces confusion). Help to identify potential problems quickly, before they occur. Provide a user-friendly mechanism for registering customer complaints (complaints that are not registered with the company cannot be resolved, and are a major source of customer dissatisfaction). Provide a fast mechanism for handling problems and complaints (complaints that are resolved quickly can increase customer satisfaction). Provide a fast mechanism for correcting service deficiencies (correct the problem before other customers the same dissatisfaction). experience based on
• Use internet cookies to track customer interests and personalize product offerings accordingly. • Use the Internet to engage in collaborative customization or real-time customization. • Provide a fast mechanism for managing and scheduling maintenance, repair, and on-going support (improve efficiency and effectiveness). • The CRM can be integrated into other cross-functional systems and thereby provide accounting and production information to customers when they want it.
Improving customer relationships CRM programs also are able to improve customer relationships. Proponents say this is so because: CRM technology can track customer interests, needs, and
buying habits as they progress through their life cycles, and tailor the marketing effort accordingly. This way customers get exactly what they want as they change. The technology can track customer product use as the product progresses through its life cycle, and tailor the service strategy accordingly. This way customers get what they need as the product ages.
In industrial markets, the technology can be used to micro-segment the buying centre and help coordinate the conflicting and changing purchase criteria of its members. When any of the technology-driven improvements in customer service (mentioned above) contribute to long-term customer satisfaction, they can ensure repeat purchases, improve customer relationships, increase customer loyalty, decrease customer turnover, decrease marketing costs (associated with thereby increase profit margins. Repeat purchase, however, comes from customer satisfaction
-
customer
acquisition and customer “training”), increase sales revenue, and
which in turn comes from a deeper understanding of each customer, their individual business challenges and proposing solutions for those challenges rather than a “one size fits all” approach. CRM software enables sales people to achieve this one on one approach to selling and can automate some elements of it via tailorable marketing communications. However, all of these elements are facilitated by or for humans to achieve
-
CRM is
therefore a company-wide attitude as much as a software solution.
• technical white paper uses Business Rules (a set of Enterprise Rules that define the “actions” to be taken and are termed as “Customer recommended actions or CRA”). The Decision engine takes as input the Customer Profile, Contact History and applies the stored Business Rules thereby creating a set of one or more Recommended Actions for the customers. The Business Rules Management component enables the creation, deletion, analysis and storage of the Business Rules in a repository. The Customer Profile component is generated based on the information in the Customer Information File (CIF),
Customer Information Warehouse (segmentation, scoring) The relevant customer conversation/contact/dialogue information Effectiveness Analysis is captured and stored in Contact Management component. The CRA component by using Data Mining technology provides a facility to explore rules, recommended actions and customer interaction effectiveness in general. The Treatment provides unique treatment data for customer, products and services.
S
I!D1U]
L
Provide a user-friendly mechanism for registering customer complaints (complaints that are not registered with the company cannot be resolved, and are a major source of customer dissatisfaction). Provide a fast mechanism for handling problems and complaints (complaints that are resolved quickly can increase customer satisfaction). Provide a fast mechanism for correcting service deficiencies (correct the problem before other customers the same dissatisfaction). Use internet cookies to track customer interests and personalize product offerings accordingly. Use the Internet to engage in collaborative or real-time customization. Provide a fast mechanism for managing and scheduling maintenance, repair, and on-going support (improve efficiency and effectiveness). customization experience
Books
• Crm- chattopadhya • Crm-mishra and joshi
Journals
• Icfai university press
• Business and economy
Web sites
•:• Www.marutiudyog.com •:• Gurgaon.nic.in/maruti.htm •:• Auto.indiamart.com •:• Economictimes.indiatimes.corr •:• En.wikipedia.org/wiki •:• www.citrix.com
doc_986089740.doc
Customer relationship management (CRM) is a model for managing a company’s interactions with current and future customers. It involves using technology to organize, automate, and synchronize sales, marketing, customer service, and technical support.
A PROJECT REPORT ON
VIPUL MAHARAJA AGRASEN INSTITUTE OF MANAGEMENT STUDIES (AFFILIATED TO GURU GOBIND SINGH INDARAPRASTHA UNIVERSITY)
SUZUKI
A PROJECT REPORT ON
Proect uide: Submitted by: Roll no: Enrollment no: Pro ramme: Semester:
MAHARAJA AGRASEN INSTITUTE OF MANAGEMENT STUDIES GURU GOBIND SINGH INDRAPRASTHA UNIVERSITY
flLJTI
SUZUKI
COLIFTt
tJf
This is to certify that the project entitled “Study on Customer Relationship Management” submitted by Vipul, Enroll no. has been done under my guidance and supervision in partial fhlfillment of Bachelor of Business Administration.
The working analysis mentioned in this report has been undertaken by the candidate herself and necessary reference has been recognized and acknowledged in the text of the report.
(Internal project guide)
“Many talented people have contributed to the successful completion of this work and I would like to extend a word of thanks and appreciation to all of them.” First, I take this opportunity to acknowledge my institution Maharaja Agrasen Institute Of Management Studies, Indraprastha University where I am pursuing my degree Bachelor of Business Administration. Second, I empress my thanks to Mr. Amit Gupta, Internal Project Guide, for her guidance, support and encouragement which helped me in completing my project. Above all, I would like to thank the Almighty God without whom this work could never have been completed. VIPUL
The world of marketing is moving more rapidly than ever. The intelligent and successful people
1. INTRODUCTION 2. PURPOSE OF RESEARCH STUDY • • -RESEARCH STUDY SCOPEOFTHESTUDY
3. RESEARCH METHODOLOGY • • -TOOLS OF RESEARCH -RESOURCEOFDATA
4. RECOMMENDATIONS, FINDINGS AND LIMATATIONS 5. CONCLUSION 6. BIBLIOGRAPHY
Maruti Udyog Limited (MUL) was established in Feb 1981 through an Act of Parliament, to meet the growing demand of a personal mode of transport caused by the lack of an efficient public transport system. Suzuki Motor Company was chosen from seven prospective partners worldwide. This was due not only to their undisputed leadership in small cars but also to their commitment to actively bring to MUL contemporary technology and Japanese management practices (which had catapulted Japan over USA to the status of the top auto manufacturing country in the world).
• A licence and a Joint Venture agreement was signed between Govt of India and Suzuki Motor Company (now Suzuki Motor Corporation of Japan) in Oct 1982. The objectives of MUL then were: • • Modernization of the Indian Automobile
Industry. Production of fuel-efficient vehicles to conserve scarce resources. Production of large number of motor vehicles which was necessary for economic growth. Our Vision
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E1c[
ii ::.:3[q] .31’:: Cr:ati; iL ::i•
Technological Advantage • We have introduced the superior 16
*
4 Hypertech engines
across the entire Maruti Suzuki range. This new technology harnesses the power of a brainy 16-bit computer to a fuelefficient 4-valve engine to create optimum engine delivery. This means every Maruti Suzuki owner gets the ideal combination of power and performance from his car. • Our other innovation has been the introduction of Electronic Power Steering (EPS) in select models. This results in better and greater maneuverability. In other words, our cars have become even more pleasurable to drive.
Production /R & D Spread over a sprawling 297 acres with 3 fully-integrated production facilities, the Maruti Udyog Plant has already rolled out over 4.3 million vehicles. In fact, on an average, two vehicles roll out of the factory every minute. And it takes on an average, just 14 hours to make a car. More importantly, with an incredible range of 11 models available in 50 variants, there’s a Maruti Suzuki made here to fit every car-buyer’s budget. And dream.
PRODUCTION MILESTONES
i) ii) iii) iv) v) vi) vii) viii) ix)
1st vehicle produced, December 1983 1,00,000 vehicles produced by August, 1986 5,00,000 vehicles produced by June, 1990 1st vehicle produced, December 1983 1,00,000 vehicles produced by August, 1986 5,00,000 vehicles produced by June, 1990 10,00,000 vehicles produced by March, 1994 15,00,000 vehicles produced by April, 1996 20,00,000 vehicles produced by October, 1997
x) xi) xii) xiii) xiv)
25,00,000 vehicles produced by March, 1999 30,00,000 vehicles produced by June, 2000 35,00,000 vehicles produced by December 2001 40,00, 000 vehicles produced by April, 2003 45,00,000 vehicles produced by April, 2004
I%Iaruti, rita S Md%T- Thn top Players Iôr the Carc/innps
Cat€gDry for 2003!!
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Not c’s LW
& Mth,in&., NccrInI.W
Mobr India Ltd yct Kirliskar Motor Ltd Irdia Attc,mobdes Ltd oForIniaLirnte
5
C Sjiwce: IV Acx 3rrDe. 2003
• •U fl•t+••%
2005 • • 2004 • New (non A/C) variant of Alto The fiftieth lakh car rolls out in April, 2005 Growth in overall sales by 15.8%
Alto becomes India’s new best selling car LPG variant of ‘Omni Cargo’ Versa 5-seater, a new variant Baleno LXi, a new variant Maruti closed the financial year 2003-04 with an annual sale of 472122 units, the highest ever since the company began operations 20 years ago 2003 New Suzuki Grand Vitara XL-7
Redesigned and all-new Zen New upgraded WagonR Enters into partnership with State Bank of India Production of 4 millionth vehicle. Listed on BSE and NSE after a public issue oversubscribed 1 0 times 2002 WagonR Pride
Esteem Diesel. All other variants upgraded
.
Maruti Insurance. Two new subsidiaries started: Maruti Alto Spin LXi, with electronic power steering
Insurance Distributor Services and Maruti Insurance Brokers Limited
Special edition of Maruti 800, India’s first colourcoordinated car Maruti True value in Mumbai Maruti Finance in Mumbai with 10 finance companies Suzuki Motor Corporation (SM C) increases its stake in Maruti to 54.2 percent 2001 Zen LXi
Maruti True Value launched in Bangalore and Delhi Maruti Versa, India’s first luxury MPV Alto Spin LXi, with electronic power steering Alto Vxi Customer information centers launched in Hyderabad, Bangalore and Chennai Launch of versa 2000 First car company in India to launch a Call Center
New Alto Altura, a luxury estate car IDTR (Institute of Driving Training and Research) launched jointly with the Delhi government to promote safe driving habits
1999
Maruti 800 EX ( 796cc, hatchback car)
Zen LX (993cc, hatchback car) Zen VXi (993cc, hatchback car with power steering) Omni XL (796cc, MUV, high roof) Baleno (1 600cc, 3 Box Car) Wagon R Launch of Maruti 1998 Maruti launches website as part of CRM initiatives Zen D (1527 cc diesel, hatchback car) Zen VX & Zen VX Automatic New (Omni & Omni E) (796cc, MUV) Launch of website as part of CRM initiatives 1997 1998 Esteem (1299cc, 3 box car) LX, VX and AX
-
Suzuki innovative traffic beat in Delhi and
Chennai as social initiatives
New Maruti 800 (796cc,hatchback Car) Standard and Deluxe Produced the 2 millionth vehicle since the commencement of production 1996
Gypsy (E) (970cc, 4WD 8 seater)
Omni (E) (796cc, MUV, 8 seater) Gypsy King (1 298cc, 4WD, off road vehicle) Zen Automatic (993cc, hatchback car) Esteem 1 .3L (1298 cc, 3 box Car)AX Launch of 24-hour emergency on-road vehicle service 1995 Esteem 1.3L (1298 cc, 3 box car)VX
With the launch of second plant, installed capacity reached 200,000 units 1994 Esteeml .3L (1298cc, 3 box car)LX
Produced the 1 millionth vehicle since the commencement of production
1993
Zen(993cc, hatchback Car), which was later exported in Europe and elsewhere as the Alto 1992 SMC increases its stake in Maruti to 50 percent 1991 Reaches cumulative indigenisation of 65 percent for all vehicles produced 1990 Maruti 1000(970cc, 3 box), India’s first contemporary sedan 1988 Installed capacity increased to 100,000 units 1987 Exported first lot of 500 cars to Hungary
1986 Maruti 800 ( New Model-796cc, hatchback Car) Produced 100,000 vehicles (cumulative production) 1985 Launch of Maruti Gypsy (970cc, 4WD off-road vehicle) 1984 Omni, a 796cc MUV
Installed capacity reached 40,000 units 1983 Maruti 800, a 796 cc hatchback, India’s first affordable car. Production was started under JVA
1982 License and JV agreement signed between Maruti Udyog Ltd. and SMC of Japan 1981
.
Maruti Udyog Ltd was incorporated under the provisions of
the Indian Companies Act, 1956
2005 Number one in JD Power SSI for the second consecutive year Number one in JD Power CSl for the sixth time in a row only car to win it so many times M800, WagonR and Swift topped their segments in the TNS Total Customer Satisfaction Study. Leadership in the JD Power Initial Quality Study
-
the
Alto
number one in its segment for the 2nd time in a row, Esteem number
one in its segment for the 3rd year in a row, Swift number one in the premium compact segment WagonR and Esteem top their segments in the JD Power APEAL study TNS ranks Maruti 4th in the Corporate Reputation Strength (CSR) study (#1 in Auto sector)-Feb 05 Maruti bagged the “Manufacturer of the year” award from Autocar-CNBC (2nd time in a row)-Feb 05 First Indian car manufacturer to reach 5 million vehicles sales Business World ranks Maruti among top five most respected companies in India-Oct 04 Maruti ranked among top ten (Rank7) greenest companies in India by Business Today Sep ‘04
-
2004 Maruti Suzuki was No. 1 in Customer atisfaction, No. 1 in Sales Satisfaction No.1 in Product Quality (Esteem and Alto) and No. 1 in Product Appeal (Esteem and Wagon R) No. 1 in Total Customer Satisfaction (Maruti 800, Zen and Alto) Business World ranked us among the country’s five most respected companies Business World ranked us the country’s most respected automobile company Voted Manufacturer of the year by CNBC Voted one of India’s Greenest Companies by Business Today-AC Nielson ORG-MARG
2003 Maruti 800, Maruti Zen and Maruti Esteem make it to the top 10 automotive brands in “Most Trusted Brand survey 2003” J D Power ranked 3 models of Maruti on top: Wagonr, Zen and Esteem Maruti 800 and Wagonr top in NED Total Customer Satisfaction Study 2003. MUL tops in J D Power CSl (2001) for 4th time in a row
MUL tops in J D Power CSl (2001) for 2nd time in a row: another international first
2000 Maruti bags JD Power CSl
-
1st rank; unique achievement by
market leader anywhere in the world 1999 MSM launched as model workshop in India; achieves highest CSl rating. Central Board of Excise & Customs awards Maruti with “Samman Patra”, for contribution to exchequer and being an ideal tax assessee 1998 ClI’s Business Excellence Award
1996 Maruti wins INSSAN award for “Excellence in Suggestion Scheme” Awarded the Star Trading House status by Ministry of Commerce 1994-95 Engineering Exports Promotion Council’s award for export performance
1994 Best Canteen award among Haryana Industries as part of employee welfare
1992-93
Engineering Exports Promotion Council’s award for export performance
1991-92
Engineering Exports Promotion Council’s award for export performance
The uality Advantage Maruti Suzuki owners experience fewer problems with their vehicles than any other car manufacturer in India (J.D. Power IQS Study 2004). The Alto was chosen No.1 in the premium compact car segment and the Esteem in the entry level mid parameters. The J.D. Power APEAL Study 2004 proclaimed the Wagon R no. 1 in the premium compact car segment and the Esteem No.1 in the entry level mid size car segment. This study measures owner in terms of
-
size car segment across 9
design, content, layout and performance of vehicles across 8 parameters.
A Buying Experience Like No Other Maruti Suzuki has a sales network of 307 state-of -the-art showrooms across 189 cities, with a workforce of over 6000 trained sales personnel to guide our customers in finding the right car. Our high sales and customer care standards led us to achieve the No.1 nameplate in the J.D. Power SSI Study 2004.
Quality Service Across 1036 Cities In the J.D. Power CSl Study 2004, Maruti Suzuki scored the highest across all 7 parameters: least problems experienced with vehicle serviced, highest service quality, best in-service experience, best service delivery, best service advisor experience, most user-friendly service and best service initiation experience. 92% of Maruti Suzuki owners feel that work gets done right the first time during service. The J.D. Power CSl study 2004 also reveals that 97% of Maruti Suzuki owners would probably recommend the same make of vehicle, while 90% owners would probably repurchase the same make of vehicle.
One Stop Shop
At Maruti Suzuki, you will find all your car related needs met under one roof. Whether it is easy finance, insurance, fleet management services, exchange- Maruti Suzuki is set to provide a single-window solution for all your car related needs.
The Low Advantage
Cost
Maintenance
The acquisition cost is unfortunately not the only cost you face when buying a car. Although a car may be affordable to buy, it may not necessarily be affordable to maintain, as some of its regularly used spare parts may be priced quite steeply. Not so in the case of a Maruit Suzuki. It is in the economy segment that the affordability of spares is most competitive, and it is here where Maruti Suzuki shines. Lowest Cost of Ownership The highest satisfaction ratings with regard to cost of ownership among all models are all Maruti Suzuki vehicles: Zen, Wagon R, Esteem, Maruti 800, Alto and Omni. We are proud to have the lowest cost of operation/km (among petrol vehicles) Wagon R.
-
the top 5
models are all Maruti Suzuki models: Maruti 800, Alto, Zen, Omni and
Our employees are our greatest strength and asset. It is this underlying philosophy that has moulded our workforce into a team with common goals and objectives. Our Employee-Management relationship is therefore characterized by: Participative Management. Team work & Kaizen. Communication and information sharing. Open office culture for easy accessibility
To implement this philosophy, we have taken several measures like a flat organizational structure. There are only three levels of responsibilities ranging from the Board Of Directors, Division Heads to Department Heads. Other visible features of this philosophy are an open office, common uniforms (at all levels), and a common canteen for all. This structure ensures better communication and speedy decision making processes. It also creates an environment that builds trust, transparency and a sense of belonging amongst employees.
1. 2.
RESEARCH STUDY SCOPE OF THE STUDY
To study and understand various aspects of Customer relationship management at MARUTI SUZUKI.
This study extends its emphasis on studying various economic
,
social
,
geographical and political aspects of trade
relations between india and the gulf countries. It further extends to suggest possible measures and steps to further strengthen the trade structure between india and the gulf countries.
This study is an effort to highlight various strategic factors which are crucial for the trade —ties between india and the gulf countries.
1. 2.
TOOLS OF RESEARCH RESOURCE OF DATA
A Research Methodology defines the purpose of the research, how it proceeds, how to measure progress and what constitute success with respect to the objectives determined for carrying out the research study. The appropriate research design formulated is detailed below. Exploratory research: this kind of research has the primary objective of development of insights into the problem. It studies the main area where the problem lies and also tries to evaluate some appropriate courses of action.
The research methodology for the present study has been adopted to reflect these realties and help reach the logical conclusion in an objective and scientific manner. The present study contemplated an exploratory research
Secondary data: secondary data that is already available and published it could be internal and external source of data. Internal source: which originates from the specific field or area where research is carried out e.g. publish broachers, official reports etc. External source: This originates outside the field of study like books, periodicals, journals, newspapers and the Internet.
DATA COLLECTION Secondary data has been used which is collected through articles, reports, journals, magazines, newspapers reports prepared by research scholars, universities and internet.
TOOLS AND TECHNIQES
Analysis of data has been done with help of various statistical tools like the tables and graphs.
CUSTOMER RELATIONSHIP MANAGEMENT(CRM)
Customer Relationship Management (CRM) Includes the methodologies, technology and capabilities that help an enterprise manage customer relationships. The general purpose of CRM is to enable organizations to better manage their customers through the introduction of reliable systems, processes and procedures.
IMPLEMENTING CRM
Customer Relationship Management is a corporate level strategy which focuses on creating and maintaining lasting relationships with its customers. Although there are several commercial CRM software
packages on the market which support CRM strategy, it is not a technology itself. Rather, a holistic change in an organisation’s philosophy which places emphasis on the customer. Management at MARUTI believes that a successful CRM strategy cannot be implemented by simply installing and integrating a software package and will not happen over night. Changes must occur at all levels including policies and processes, front of house customer service, employee training, marketing, systems and information management; all aspects of the business must be reshaped to be customer driven. To be effective, the CRM process has been integrated with end-to-end across marketing, sales, and customer service. The objectives of CRM at MARUTI: To Identify customer success factors To Create a customer-based culture To Adopt customer-based measures To Develop an end-to-end process to serve customers To Recommend what questions to ask to help a customer solve a problem To Recommend what to tell a customer with a complaint about a purchase To Track all aspects of selling to customers and prospects as well as customer support.
Before implementing the CRM segment the management at MARUTI did a survey to identify what profile aspects it feels are relevant to its business, such as what information it needs to serve its customers, the customer’s past financial history, the effects of the CRM segment and what information is not useful. Being able to eliminate unwanted information is a large aspect of implementing CRM systems.
There are three parts of application architecture of CRM at maruti: Operational CRM Analytical CRM
-
automation to the basic business processes support to analyze customer behavior,
(marketing, sales, service)
-
implements business intelligence alike technology Collaborative CRM ensures the contact with customers (phone,
-
email, fax, web, sms, post, in person)
Operational
CRM at Maruti includes customer
contact (sales,
marketing and service). Tasks resulting from these processes are forwarded to employees responsible for them, as well as the information necessary for carrying out the tasks and interfaces to backend applications are being provided and activities with customers are being documented for further reference. Operational CRM provides the following benefits: Delivers personalized and efficient marketing, sales, and service through multi-channel collaboration Enables a 360-degree view of the customer while you are interacting with them Sales people and service engineers can access complete history of all customer interaction with the company, regardless of the touch point. The operational part of CRM typically involves three general areas of business at Maruti:
Sales force automation SFA
SFA automates the critical sales and sales force management
functions of
Maruti, i.e.,
lead/account management, buying
contact
management, quote management, forecasting, sales administration, keeping track of customer preferences, habits, and demographics, as well as performance management. SFA tools are designed to improve field sales productivity. Key infrastructure requirements of SFA are mobile synchronization and integrated product configuration. Customer service and support (CSS) CSS at Maruti automates the service requests, complaints, product returns, and information requests. The internal help desk and inbound call-center support for customer inquiries have been evolved into the “customer interaction center” (dc), using multiple channels (Web, phone/fax, face-to-face, kiosk, etc). Key infrastructure requirements of CSS include computer telephony integration (CTI) which provides high volume processing capability, and reliability.
Enterprise marketing automation (EMA)
EMA of the company providesinformation about the business
environment, including competitors of Maruti, industry trends, and macro environmental variables. It is the execution side of campaign and lead management. The intent of EMA applications is to improve marketing campaign efficiencies. Functions include demographic analysis, variable segmentation, and predictive modeling occur on the analytical (Business Intelligence) side. Integrated CRM software is often also known as “front office solutions.” Of Maruti, This is because the customer of the company.
.
they deal directly with
Maruti uses CRM software to store all of their customers details.
When a customer calls at maruti, the system is used to retrieve and store information relevant to the customer. By serving the customer quickly and efficiently, and also keeping all information on a customer in one place, a the management at Maruti aims to make cost savings, and also encourage new customers.
In analytical CRM, data gathered within operational CRM and/or other sources are analyzed to segment customers or to identify potential to enhance client relationship. Customer analysis typically leads to targeted campaigns to increase share of customer’s wallet. Examples of Campaigns directed towards customers are: Acquisition: Cross-sell, up-sell Retention: Retaining customers who leave due to maturity or attrition. Information: Providing timely and regular information to customers about Maruti. Modification: Altering details of the transactional nature of the customers’ relationship. Analysis typically covers but is not limited to: Decision support: Dashboards, reporting, metrics, performance Predictive modelling of customer attributes Strategy and research.
Analysis of Customer data relates to the following analyses: Campaign management and analysis
Contact channel optimization Contact Optimization Customer Acquisition / Reactivation / Retention Customer Segmentation Customer Satisfaction Measurement / Increase Sales Coverage Optimization Fraud Detection and analysis Financial Forecasts Pricing Optimization Product Development Program Evaluation Risk Assessment and Management Data collection and analysis is viewed as a continuing and
iterative process. Ideally, business decisions are refined over time, based on feedback from earlier analysis and decisions. Therefore, a successful analytical CRM projects take advantage of a data warehouse to provide suitable data.
Collaborative CRM facilitates interactions with customers through all channels (personal, letter, fax, phone, web, e-mail) and supports co
ordination of employee teams and channels. It is a solution that brings people, processes and data together so company can better serve and retain their customers. Collaborative CRM provides the following benefits: Enables efficient productive customer interactions across all communications channels Enables web collaboration to reduce customer service costs Integrates call centers enabling multi-channel personal customer interaction Integrates view of the customer while interaction at the transaction level
CRM, in its broadest sense, means managing all interactions and business with customers. This includes, but is not limited to, improving
customer service. The CRM program allows Maruti to acquire customers, service the customer, increase the value of the customer to the company, retain good customers, and determine which customers can be retained or given a higher level of service. A good CRM program can improve customer service by facilitating communication in several ways Provide product information, product use information, and technical assistance on web sites that are accessible 24 hours a day, 7 days a week. Identify how each individual customer defines quality, and then design a service strategy for each customer based on these individual requirements and expectations. Provide a fast mechanism for managing and scheduling followup sales calls to assess post-purchase cognitive dissonance, repurchase frequencies. Provide a mechanism to track all points of contact between customer and the company, and do it in an integrated way so that all sources and types of contact are included, and all users of the system see the same view of the customer (reduces confusion). Help to identify potential problems quickly, before they occur. Provide a user-friendly mechanism for registering customer complaints (complaints that are not registered with the company cannot be resolved, and are a major source of customer dissatisfaction). probabilities, repurchase times, and repurchase
Provide a fast mechanism for handling problems and complaints (complaints that are resolved quickly can increase customer satisfaction). Provide a fast mechanism for correcting service deficiencies (correct the problem before other customers experience the same dissatisfaction). Use internet cookies to track customer interests and personalize product offerings accordingly. Use the Internet to engage in collaborative customization or real time customization. Provide a fast mechanism for managing and scheduling maintenance, repair, and on-going support (improve efficiency and effectiveness).
.
The CRM can be integrated into other cross-functional systems
and thereby provide accounting and production information to customers when they want it.
CRM programs also are able to improve customer
relationships. Proponents say this is so because: CRM technology can track customer interests, needs, and buying habits as they progress through their life cycles, and tailor the marketing effort accordingly. This way customers get exactly what they want as they change. The technology can track customer product use as the product progresses through its life cycle, and tailor the service strategy accordingly. These way customers get what they need as the product ages. In industrial markets, the technology can be used to micro-segment the buying centre and help coordinate the conflicting and changing purchase criteria of its members. When any of the technology-driven improvements in customer service (mentioned above) contribute to long-term customer satisfaction, they can ensure repeat purchases, improve customer relationships, increase customer loyalty, decrease customer turnover, decrease marketing costs (associated with customer acquisition and customer “training”), increase sales revenue, and thereby increase profit margins. Repeat purchase, however, comes from customer satisfaction
-
which in turn comes from a deeper understanding of each customer, their individual business challenges and proposing solutions for those challenges rather than a “one size fits all” approach. CRM software enables sales people to achieve this one on one approach to selling and can automate some elements of it via
tailorable marketing communications. However, all of these elements are facilitated by or for humans to achieve
-
CRM is
therefore a company-wide attitude as much as a software solution.
To study and understand various aspects of Customer relationship management at MARUTI SUZUKI.
A Research Methodology defines the purpose of the research, how it proceeds, how to measure progress and what constitute success with respect to the objectives determined for carrying out the research study. The appropriate research design formulated is detailed below.
).
Exploratory research: this kind of research has the primary It studies
objective of development of insights into the problem. some appropriate courses of action.
)
the main area where the problem lies and also tries to evaluate The research methodology for the present study has been
adopted to reflect these realties and help reach the logical conclusion in an objective and scientific manner. The present study contemplated an exploratory research
Secondary data: secondary data that is already available and published it could be internal and external source of data. Internal
source: which originates from the specific field or area where research is carried out e.g. publish broachers, official reports etc. External source: This originates outside the field of study like books, periodicals, journals, newspapers and the Internet.
Secondary data has been used which is collected through articles, reports, journals, magazines, newspapers reports prepared by research scholars, universities and internet.
Analysis of data has been done with help of various statistical tools like the tables and graphs.
CUSTOMER RELATIONSHIP MANAGEMENT(CRM)
Customer Relationship Management (CRM) Includes the methodologies, technology and capabilities that help an enterprise manage customer relationships. The general purpose of CRM is to enable organizations to better manage their customers through the introduction of reliable systems, processes and procedures.
Customer Relationship Management is a
corporate
level strategy which focuses on creating and maintaining lasting relationships with its customers. Although there are several commercial CRM software packages on the market which support CRM strategy, it is not a technology itself. Rather, a holistic change in an organisations philosophy which places emphasis on the customer. Management at MARUTI believes that a successful CRM strategy cannot be implemented by simply installing and integrating a software package and will not happen over night. Changes must occur at all levels including policies and processes,front of house customer service, employee training, marketing, systems and information management; all aspects of the business must be reshaped to be customer driven. To be effective, the CRM process has been integrated with end-to end across marketing, sales, and customer service.
• To Identify customer success factors • To Create a customer-based culture • To Adopt customer-based measures • To Develop an end-to-end process to serve customers • To Recommend what questions to ask to help a customer solve a problem • To Recommend what to tell a customer with a complaint about a purchase • To Track all aspects of selling to customers and prospects as well as customer support. Before implementing the MARUTI did a survey CRM segment the management at
to identify what profile aspects it feels are
relevant to its business, such as what information it needs to serve its customers, the customers past financial history, the effects of the CRM segment and what information is not useful. Being able to eliminate unwanted information is a large aspect of implementing CRM systems.
There are three parts of application architecture of CRM at maruti: Operational CRM Analytical CRM
-
automation to the basic business processes support to analyze customer behavior,
(marketing, sales, service)
-
implements business intelligence alike technology Collaborative CRM ensures the contact with customers (phone,
-
email, fax, web, sms, post, in person)
Operational CRM at Maruti
includescustomer
contact (sales,
marketing and service). Tasks resulting from these processes are forwarded to employees responsible for them, as well as the information necessary for carrying out the tasks and interfaces to back-end applications are being provided and customers are being documented for further reference. activities with
Operational CRM provides the following benefits: Delivers personalized and efficient marketing, sales, and service through multi-channel collaboration Enables a 360-degree view of the customer while you are interacting with them Sales people and service engineers can access complete history of all customer interaction with the company, regardless of the touch point The operational part of CRM typically involves three general areas of business at Maruti:
SALES FORCE AUTOMATION
management functions
SFA
of Maruti, i.e., lead/account quote sales administration, as performance
SFA automates the critical sales and sales force management, contact management, management, forecasting, demographics, as well
keeping track of customer preferences, buying habits, and management. SFA tools are designed to improve field sales productivity. Key infrastructure requirements of SFA are mobile synchronization and integrated product configuration.
CSS at Maruti automates the service
requests,
complaints, product returns, and information requests. The internal help desk and inbound call-center support for customer inquiries have been evolved into the “customer interaction center” (dc), using multiple channels (Web, phone/fax, face-to-face, kiosk, etc). Key infrastructure requirements of CSS include computer telephony integration (CTI) which provides high volume processing capability, and reliability.
EMA of the company provides information about the business environment, including competitors of Maruti, industry trends, and macro environmental variables. It is the execution side of campaign and lead management. The intent of EMA applications is to improve marketing campaign efficiencies. (Business Functions include demographic analysis, variable segmentation, and predictive modeling occur on the analytical Intelligence) side. Integrated CRM software is often also known as “front office solutions.” Of Maruti, This is because they deal directly with the customer of the company.
.
Maruti uses CRM software to store all of their customers details. When a customer calls at maruti, the system is used
to
retrieve and store information relevant to the customer. By serving the customer quickly and efficiently, and also keeping all information on a customer in one place, a the management at Maruti aims to make cost savings, and also encourage new customers.
In analytical CRM, data gathered within operational CRM and/or other sources are analyzed to segment customers or to identify potential to enhance client relationship. Customer analysis typically of Campaigns directed towards customers are: • Acquisition: Cross-sell, up-sell • Retention: Retaining customers who leave due to maturity or attrition. • Information: Providing timely and regular information to customers about Maruti. • Modification: Altering details of the transactional nature of the customers’ relationship. Analysis typically covers but is not limited to: • Decision support: Dashboards, reporting, metrics, performance etc. • Predictive modelling of customer attributes • Strategy and research. leads to targeted campaigns to increase share of customer’s wallet. Examples
Analysis of Customer data relates to the following analyses:
• Campaign management and analysis • Contact channel optimization • Contact Optimization • Customer Acquisition / Reactivation / Retention • Customer Segmentation • Customer Satisfaction Measurement / Increase • Sales Coverage Optimization • Fraud Detection and analysis • Financial Forecasts • Pricing Optimization • Product Development • Program Evaluation • Risk Assessment and Management Data collection and analysis is viewed as a continuing and
iterative process. Ideally, business decisions are refined over time, based on feedback from earlier analysis and decisions. Therefore, a successful analytical CRM projects take advantage of a data warehouse to provide suitable data.
Collaborative CRM facilitates interactions with customers through all channels (personal, letter, fax, phone, web, e-mail) and supports co ordination of employee teams and channels. It is a solution that brings people, processes and data together so company can
better serve and retain their customers. Collaborative CRM provides the following benefits: • Enables efficient productive customer interactions across all communications channels • Enables web collaboration to reduce customer service costs • • Integrates call centers enabling multi-channel personal customer interaction Integrates view of the customer while interaction at the transaction level Purposes of Customer Relationship Management CRM, in its broadest sense, means managing all interactions and business with customers. This includes, but is not limited to, improving customer service. The CRM program allows Maruti to acquire customers, service the customer, increase the value of the customer to the company, retain good customers, and determine which customers can be retained or given a higher level of service. A good CRM program can improve customer service by facilitating communication in several ways
Provide
product
information,
product
use
information, and technical assistance on web sites that are accessible 24 hours a day, 7 days a week. Identify how each individual customer defines quality, and then design a service strategy for each customer these individual requirements and expectations. Provide a fast mechanism for managing and scheduling followup sales calls to assess post-purchase cognitive dissonance, repurchase probabilities, repurchase times, and repurchase frequencies. Provide a mechanism to track all points of contact between customer and the company, and do it in an integrated way so that all sources and types of contact are included, and all users of the system see the same view of the customer (reduces confusion). Help to identify potential problems quickly, before they occur. Provide a user-friendly mechanism for registering customer complaints (complaints that are not registered with the company cannot be resolved, and are a major source of customer dissatisfaction). Provide a fast mechanism for handling problems and complaints (complaints that are resolved quickly can increase customer satisfaction). Provide a fast mechanism for correcting service deficiencies (correct the problem before other customers the same dissatisfaction). experience based on
• Use internet cookies to track customer interests and personalize product offerings accordingly. • Use the Internet to engage in collaborative customization or real-time customization. • Provide a fast mechanism for managing and scheduling maintenance, repair, and on-going support (improve efficiency and effectiveness). • The CRM can be integrated into other cross-functional systems and thereby provide accounting and production information to customers when they want it.
Improving customer relationships CRM programs also are able to improve customer relationships. Proponents say this is so because: CRM technology can track customer interests, needs, and
buying habits as they progress through their life cycles, and tailor the marketing effort accordingly. This way customers get exactly what they want as they change. The technology can track customer product use as the product progresses through its life cycle, and tailor the service strategy accordingly. This way customers get what they need as the product ages.
In industrial markets, the technology can be used to micro-segment the buying centre and help coordinate the conflicting and changing purchase criteria of its members. When any of the technology-driven improvements in customer service (mentioned above) contribute to long-term customer satisfaction, they can ensure repeat purchases, improve customer relationships, increase customer loyalty, decrease customer turnover, decrease marketing costs (associated with thereby increase profit margins. Repeat purchase, however, comes from customer satisfaction
-
customer
acquisition and customer “training”), increase sales revenue, and
which in turn comes from a deeper understanding of each customer, their individual business challenges and proposing solutions for those challenges rather than a “one size fits all” approach. CRM software enables sales people to achieve this one on one approach to selling and can automate some elements of it via tailorable marketing communications. However, all of these elements are facilitated by or for humans to achieve
-
CRM is
therefore a company-wide attitude as much as a software solution.
• technical white paper uses Business Rules (a set of Enterprise Rules that define the “actions” to be taken and are termed as “Customer recommended actions or CRA”). The Decision engine takes as input the Customer Profile, Contact History and applies the stored Business Rules thereby creating a set of one or more Recommended Actions for the customers. The Business Rules Management component enables the creation, deletion, analysis and storage of the Business Rules in a repository. The Customer Profile component is generated based on the information in the Customer Information File (CIF),
Customer Information Warehouse (segmentation, scoring) The relevant customer conversation/contact/dialogue information Effectiveness Analysis is captured and stored in Contact Management component. The CRA component by using Data Mining technology provides a facility to explore rules, recommended actions and customer interaction effectiveness in general. The Treatment provides unique treatment data for customer, products and services.
S
I!D1U]
L
Provide a user-friendly mechanism for registering customer complaints (complaints that are not registered with the company cannot be resolved, and are a major source of customer dissatisfaction). Provide a fast mechanism for handling problems and complaints (complaints that are resolved quickly can increase customer satisfaction). Provide a fast mechanism for correcting service deficiencies (correct the problem before other customers the same dissatisfaction). Use internet cookies to track customer interests and personalize product offerings accordingly. Use the Internet to engage in collaborative or real-time customization. Provide a fast mechanism for managing and scheduling maintenance, repair, and on-going support (improve efficiency and effectiveness). customization experience
Books
• Crm- chattopadhya • Crm-mishra and joshi
Journals
• Icfai university press
• Business and economy
Web sites
•:• Www.marutiudyog.com •:• Gurgaon.nic.in/maruti.htm •:• Auto.indiamart.com •:• Economictimes.indiatimes.corr •:• En.wikipedia.org/wiki •:• www.citrix.com
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