What is its relationship between process improvement and CRM (Customer Relationship Management)?
CRM has two meanings, so this question has two answers. The first meaning for CRM is computer software that aids sales organizations. Computer software is necessary for applying process improvement to marketing and sales, just as it is in manufacturing production. Without computers and software you can’t measure or analyze activities and results fast enough to do any good. Unfortunately, the CRM vendors don’t have it right yet. Their systems are not typically configured to measure the yields of marketing and sales activity, or to uncover cause and effect. Instead, the systems were designed to provide managers with control over field activity. But, of course, you can’t control customers, or salespeople for that matter, so the results have generally been suboptimal. It isn’t really the CRM vendor’s fault, because they have just been providing what companies have asked for. When their customers start asking for the right kinds of functions and configurations, they’ll start providing them.