Wednesday, April 2, 2008

Case Study: Failed Implementation of CRM

If you are looking to implement a Customer Relationship Management (CRM) solution for your business, this article will highlight some key areas that you may want to cover to avoid costly errors that other companies have made.
Some years ago, a system of CRM was Integrated in a health organisation. He wanted the CRM system of re-engineering the company& 39;s IT, but in a few months it was clear that the execution was a disaster.
The transition of customers to its new CRM system does not go smoothly.
The hiccups in customer service So great was that the company lost 6 per cent of its membership in a health care year.
Even the stock value fell by 40 percent.
So what were the reasons for CRM Implementation failure in the first place?
In short, there was sufficient training and planning to ensure a smooth implementation.
In 2001, the new CIO of the company began working on an ambitious plan for consolidating the company& 39;s antiquated IT systems.
The idea was to have an integrated system for the registration, the eligibility and claims processing so that customers would get a bill, Medical claims would be processed faster and more efficiently. This also would give customer service representatives of a single unified vision of the members to accomplish that.
This meant there would actually be two integrated systems, one for customers of the company managed care offerings and the other for its claims products.
The aim was noble, yet failed Implementation - why? Let& 39;s look at ...
To achieve transformation to the new CRM solution, the team had to build a whole infrastructure from scratch AS400 that could support the main platforms for the claims that processing.
Most architectural work was done at home, but the company hiring a Fez third to help implement the change management and business processes involved.
It also worked with the third party to develop and implement the new customer facing applications that would allow members subscribers, check the status of their applications and benefits, and choose Plan health of different offerings. Siebel software was purchased to deal with the call center functions.
Part of the problem was that the company began late. Thus, it was under considerable pressure to get the new systems into force as soon as possible.
There were a number of reasons for the urgency.
First off, the organisation was being sued by thousands of doctors who were angry about national delays in the payment of Care .
Second patient, the sales team in order to win big employer accounts, had promised that the new system will provide better customer service and would be up and running in early 2002.
Third, the management was under pressure to reduce costs Decepcionantes after posting results in the second quarter were 2001.
Members began to move to the new platform in 2001, but in relatively small number at a time. At the same time the company started, it was customer service reps.
In January 2002, with new members coming on board and renew existing ones, a lot of customers were transferred to the new system at the same time. It was too much too handle and problems immediately.
Members erupted suddenly had trouble obtaining health coverage. Workers at another company actually lost coverage when their members information not load properly in the new systems.
Member identity cards have been issued which contained incorrect identifiers and missing prescription icons. People could not get their prescriptions filled at their local drug store / pharmacy.
Not surprisingly, the company customer service center was besieged by calls. But because of the resignations, there was sufficient call center representatives to deal with the load.
People waited on hold. And when they did reach someone, the representatives who had been newly hired had not been properly trained in how to deal with the new technology.
The organization struggled.
And he way.
Despite not need to be that the initial problems highlighted, the CRM solution now is allowing the company process medical claims more efficiently and better manage customers " needs.
If you are looking to implement a new system of CRM - plan of implementation. Preparing the necessary training and minimize any disruption to their business.
A CRM system would be great for your business, and any business - but only if the implementation is done appropriately.
Take time to implement your system, customer relationship management adequately, and avoid the errors mentioned above.
For more information, visit CRM Software Center - All general information and resources for everything CRM - Customer Relationship Management. Visit www.crmsoftwarecenter.com. For more information on the articles in CRM. xandros kittie



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