Learnings from Customer Relationship Management (CRM) Implementation in a Bank

Abstract

This article attempts to highlight the learnings from Customer Relationship Management (CRM) imple mentation in the banking sector. CRM systems are particularly relevant to Retail Financial Services companies, allowing much of the management of the customer relationship to be automated with the objective of maximizing the profitability of individual customer relationships whilst minimizing the cost of managing those relationships. The study is supported by a case study of CRM systems in a major Japanese Bank- Bank of Tokyo Mitsubishi and also a field survey of scenario in Indian banking sector. The various issues examined include organizational information, the CRM strategy, strategic changes resulting from CRM implementation, implementation priorities for the banks and the factors indicating the performance after CRM implementation. The study revealed that CRM is gradually picking up and is definitely considered as a viable proposition by banks in improving services to their customers. One of the major challenges experienced during implementing CRM is resistance to change. To get CRM to work, high commitment is required in those who are implementing it.