Producer spotlight
Selecting a client relationship management (CRM) system:
Start with the end in mind
CRM programs are software systems used to store and manipulate information about current and prospective clients. Once your organization has made the decision to search for or upgrade a CRM system, where should you begin?
Before evaluating the many software products available in the marketplace, here are key questions to answer:
- Why are we searching for a system?
- Where do we currently keep our information?
- Who will use the system and who else needs to be involved in selecting it?
- What features do we want?
- When will the software be implemented?
- How much are we willing to spend?
Answers to these questions will provide insights about what to consider in purchasing new CRM software.
Why are we searching for a CRM system?
Start with the end in mind
What is it you want to get out of this new system? It is easy to be impressed by the bells and whistles that often come with CRM software, but if they aren’t really meaningful to your business they aren’t worth the price. Outline the goals you have for the new system early on and remember to revisit them frequently during your search.
Where is information currently kept?
Evaluate your sources
Most organizations have some kind of CRM process in place. But as technology evolves, your system may not have kept pace. A new system may need to operate on a variety of different technology platforms and be able to accept data from multiple sources. Whether information potentially comes via a tweet, as a result of being linked in, from your BlackBerry, in response to a webinar or an old-fashioned e-mail, be sure all these possible sources are being considered.
Who needs to be involved?
We’re all in this together
It is important to identify contacts from each area of your business who have a stake in the implementation of a new CRM system. Develop a cross-functional team from sales, IS, administration and marketing to help vet software choices and drive decisions. Perhaps more than one person from an area needs to be involved to contribute a spectrum of perspectives and skills. Don’t forget to consider connectivity with remote offices!
Consider at the outset who will be the “go-to” for troubleshooting problems once the system is ready to go. An interim team might be identified to work out the bugs that arise in the first few months of installation, while another team handles support after the system has been in place for some time.
What features do we want?
Make a list and check it twice
A CRM system can be evaluated from many angles depending on your needs. Take time to evaluate needs versus wants, and then prioritize.
Some of the most common considerations are:
- Ease of use – Is the system easy to navigate?
- Flexibility – Will the system grow with your needs? Can it be customized to meet new uses?
- Reporting – Will the system give you the output you want?
- Security – Who will access the data and is there a back-up for data if the system goes down?
- Reliability – What is the reputation and expertise of the company from whom you will purchase the system?
- Leverage – Is there a mechanism for tracking leads from entry to conversion? How are longer-term leads nurtured in the system?
When will the software be implemented?
Timing is everything
The launch of a new system needs to be carefully worked into your sales cycle. The last thing you want during your peak season is to have to transfer or re-enter data. Take a look at your calendar year and determine when the ideal time would be to implement your system, then work backwards to determine the amount of time available for evaluation and selection.
How much are we willing to spend?
Hard dollars versus soft dollars
Just as in the request for proposal process, price is a major factor when making a decision. But be sure to consider all aspects of the expense. CRM programs range from free to ultra-pricey. The cheapest system may not be a bargain if it requires hundreds of hours of programming to make it fit your requirements. Beyond hard dollars for purchasing the system there will be internal costs, such as the time your IS team needs to get the program up and running, or the time your administrator will have to spend updating information rather than accomplishing other tasks.
Once you have answered these questions, you have a sound basis for decision-making. Let the search begin!
Resources
“How to Choose CRM Software,” www.computerworld.com.
“Don’t Make a CRM Buying Mistake: 7 Points to Consider Before Selecting Your CRM Solution,” Larry Caretsky.
