...January - June, 2001 E-CRM IN INDIAN BANKS AN OVERVIEW R.K. Mittal Rajeev Kumra T ECHNOLOGY, people and customer are the three elements on which hinges the success of banking in the fast changing economic environment. The ultimate performance of a bank depends upon the satisfaction of its customers. In the emerging competitive and technological driven banking era, banks have to strive hard for retaining and enlarging their customer base. E-CRM, which is the latest buzzword in the corporate sector, is perceived as one of the effective tool in this direction by the banks. Its emphasis is on defining the customers as valuable in the long-term and on viewing customer relationships as a learning relationships. The concept of CRM, when seen in the context of e-business, it translates into e-CRM, which essentially deals with managing customer interactions over the web. The present paper attempts to analyze the concept of e-CRM in Indian banks from its various dimensions covering specifically its need, process, present status and future prospects. Introduction The advancement in information and communication technology has made the new millennium, emillennium. The dividing line between banks and non-banking financial institutions, like insurance and mutual funds, is getting blurred. Competition from players in the market has resulted into products and services traditionally offered by banks and financial institutions, are now being offered by non-banking organizations more...
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...Information Systems Management MIM 705: ECCOMMERCE STRATEGIES NAME: NAISON GARAVANDA REG NUMBER: R156869M PROGRAMME: MISM LEVEL: 1.1 LECTURER: MR DENHERE ASSIGNMENT 1 E-commerce is a commercial activity dealing directly with the trading of goods and services and with other related business activities, in which the electronic communication medium plays a central role. The activities include the communication of information, management of payments, the negotiation and trading of products online. E-commerce is a part of e-business and its goal is to generate profits with a various sets of business through buying and selling principles. There are quite a number of ecommerce strategies that can be used in the banking industry. My focus is going to be on the implementation of an ecommerce strategy by BancABC. My aim is to come up with a holistic e-commerce strategy for the organisation. An e-commerce strategy, in its most simplistic form, consists of three steps which are: determining where the organisation is which is the situation review where it wants to go which is goal setting or the banks ecommerce vision The best way of moving from the one to the other this is referred to as the strategy formulation. For an ecommerce strategy to be successful the first major aspect is to have senior management comprehensively understanding what it means to be an e-commerce enabled organisation. Introduction of e-commerce usually comes...
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...March 2013/ Volume 3/Issue 3/Article No-8/2557-2566 ISSN: 2249-7196 INTERNATIONAL JOURNAL OF MANAGEMENT RESEARCH AND REVIEW E - CRM: AN ULTIMATE STRATEGY FOR AN ORGANIZATION Sagar Deshmukh*1, N. Deepa2, A. Raj Shravanthi3 1 Research Scholar, Dept. of Agrl. and Rural Management, Tamil Nadu Agricultural University, Coimbatore, Tamil Nadu, India. 2 Assistant Professor, Dept. of Agrl. and Rural Management, Tamil Nadu Agricultural University, Coimbatore, Tamil Nadu, India. 3 Research Scholar, Dept. of Agrl. and Rural Management, Tamil Nadu Agricultural University, Coimbatore, Tamil Nadu, India. ABSTRACT Customer relationship management is a business strategy to select and manage relationship with the most valuable customers. The concept of CRM when seen in context of e-business called as e-CRM. It provides companies means for conducting personalized, interactive and relevant communication with customers across both traditional and electronic channel. E-CRM integrates traditional CRM and e-business application. It makes possible for an organization to extend its infrastructure to customers and partners in ways that offer new opportunities of learning customer needs, gaining new economies, reaching new customers, adding values and doing these in real time while it might sound very simple, achieving effective e-CRM is itself a stupendous task. Companies agree that e-CRM is critical to their business, but unfortunately very few understand exactly what it is or how...
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...Banks: A Comparative Study of Public and Private Sectors in Pakistan Asim ul Haq H. M. Jamal Sarwar Tahir Hanif Management Sciences Department, Hajvery University, Lahore E-mail:aaim_14@yahoo.com, tahir.ibp@gmail.com, funkaari@hotmail.com Abstract The banking industry of Pakistan is now running in a dynamic challenge concerning both customer base and performance. Today, many banks are rushing to become more customer focused. A key component of many initiatives is the implementation of Customer Relationship Management (CRM) concept. CRM has its origin in the basic paradigm of bank marketing, i.e. to satisfy customers with the best possible alternative in the market through a relational exchange process. This paper reports on a research study of the adoption and use of CRM in banking sector and is just a small step in understanding the multidimensional construct of customer relationships and its implications in competitive environment. Keywords: CRM, Customer satisfaction, Service quality, Bank Introduction The banking sector is facing enormous challenges of attracting the new customers and retaining the existing ones. The problems commonly encountered by the bankers are shifting of customer loyalty, difficulty in synchronizing demand and supply, controlling the performance quality of human interaction, etc. – need to be articulated and tackled by managers. The attraction, retention, and building strong customer relationships through quality services are at the heart of the...
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...RELATIONSHIP MANAGEMENT | CRM IN BANKING INDUSTRY | Submitted by- Kartikeya Vairagare 046 laxita Chauhan 048 Manvendra Gautam 050 Mohit dave 053 Pranit Bhagat 055 Piyush Shende 057 Shambhavi Singh 078 | Introduction In recent time, we has witnessed that the World Economy is passing through some intricate circumstances as bankruptcy of banking & financial institutions, debt crisis in major economies of the world and euro zone crisis. The scenario has become very uncertain causing recession in major economies like US and Europe. This poses some serious questions about the survival, growth and maintaining the sustainable development. However, amidst all this turmoil India’s Banking Industry has been amongst the few to maintain resilience. The tempo of development for the Indian banking industry has been remarkable over the past decade. It is evident from the higher pace of credit expansion, expanding profitability and productivity similar to banks in developed markets, lower incidence of non- performing assets and focus on financial inclusion have contributed to making Indian banking vibrant and strong. Indian banks have begun to revise their growth approach and re-evaluate the prospects on hand to keep the economy rolling. 1. HISTORICAL BACKGROUND Bank of Hindustan was set up in 1870; it was the earliest Indian Bank. Later, three presidency banks under Presidency...
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...International Conference on Technology and Business Management March 28-30, 2011 Conceptual Framework for E-CRM Project Deployment in Indian Banks Ashwini Atul Renavikar ashvinirenavikar@yahoo.co.in University of Pune Sharad L Joshi sharadljoshi@gmail.com Marathwada Mitra Mandal Institute of Mgt Education, Res and Training, Pune A survey of Database Group (2006) has revealed that approximately 65% of the financial institutions have failed in getting expected benefits from huge investments in CRM technology. Another finding of the study conducted by I-L Wu and K-W Wu (2005) approximately 60% of the web-based CRM software (e-CRM) installations are failures. With these findings at the background the researchers have attempted to study the aspect of e-CRM deployment in 11 Indian banks (34 branches) with specific reference to banks in Pune and Mumbai. The study has been conducted in a sectoral comparison of public, private and cooperative banks. The study has contributed to the body of knowledge by suggesting a conceptual framework – PCM-PPT framework which is a result of quantitative and qualitative analysis of responses by bankers and e-CRM consultants. Keywords: e-CRM, Relationship Marketing, McCall’s Quality Factors 1. Introduction Customer relationship management (CRM) is that part of an enterprise’s business strategy that enables the entire enterprise to understand, anticipate and manage the needs of any current and potential customers. CRM is not an event or a technology...
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...industry thereby ending up with inexorable commercial disasters. In each case, the disaster occurred, as the Wall Street Journal, points out, “not because of ‘bad’ management, but because they followed the dictates of ‘good’ management. They listened closely to their customers. They carefully studied market trends. They allocated capital to the innovations that promised the largest returns. And in the process, they missed disruptive innovations that opened up new customers and markets for lower-margin, blockbuster products.” The threat of disruption, on many an occasion, isn’t perceived as a threat! The disruptor appears to the incumbent to be doing the incumbent a favor by relieving the incumbent of its ‘least valuable’ customers. In due course, the disruptor moves upstream and relieves the incumbent of its most valuable customers. Seemingly, no industry is spared: steel, computers, telephony, photography, stock markets; the list goes on. Will it be Banks next? Burdened with legacy systems, infrastructure cost and increasingly complex security issues, banks are dealing with a double whammy: grappling with intense regulatory scrutiny as a result of a prior “missteps,” while a generation of disruptors is eating away their current business. Can banks as we know them survive? Clayton Christensen, a leading management guru, sets the alarm bells ringing when he says, “Banks, many of them, won’t exist ten years from now. Their functionality will be taken over by IT companies who don’t...
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...Introduction Indian banking system has emerged as a vibrant sector in the Indian economy. Strong regulatory mechanism, inherent strength in the economy, and progressive policy framework which supports, nurtures, and helps in growing the financial institutions. Indian financial services industry is dominated by the banking sector that contributes significantly to the level of economic activity. The banking structure in India is broadly classified into public sector banks, private sector banks and foreign banks. The public sector banks continue to dominate the banking industry, in terms of lending and borrowing, and it has widely spread out branches which help greatly in pooling up of resources as well as in revenue generation for credit creation. The role of banks in accelerating economic development of the country has been increasingly recognized since the nationalization This facilitated the rapid expansion of banking in terms of its geographical reach covering rural India, in turn leading to significant growth in deposits and advances. Eventually, however, the government used banking sector to finance its own deficit by frequently increasing cash reserve ratios (CRR) and statutory liquidity ratio (SLR). Deregulation of the Indian financial system in 1991 followed by various financial sector reforms during the period 1990 through 1998 led to a major restructuring of the Indian banking industry. India has entered high growth trajectory with the initiation of economic reforms...
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...INTERNATIONAL REVIEW Mathew et al. (2005) analyzed the use of banking technology in United Kingdom by ranking of importance of selected technology on consumer perception of service delivery performance and found that the importance-performance grid demonstrates two factors and their underlying attributes that fall into the “Keep up the good work” quadrant and the other two factors fall into the “Low priority” quadrant. The first two were the areas the organization needs to allocate resources in order to maintain the level of service they provided...
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...notice changes in the capabilities and business strategies before we see the final impacts; every reflection of these changes shines through the glass of IT-enabled business initiatives. Rarely in business cases, do we see top executives present such strong support for IT development due to heavy upfront investment, possible disruptive business operations, and uncertain return on its investment (Applegate 63). Nevertheless, with a business model that thrives over internationally geographical and cultural differences, it is impossible to succeed without a well-supported IT global network. The WB’s simplified mission in three phrases: fight poverty with passion and professionalism, help people and environment with resources and shared knowledge, and forge partnerships in both public and private sectors. Part one of their mission, the WB has financed 240 projects in 92 countries as assistance to both low-income and developing countries in 2003 (McFarland and Delacey, 3). How the WB achieves this exemplifies their key capability, global IT networks since 1977. This single key capability made it possible for the WB to enforce its first business strategy of decentralizing staff and decision making to local offices in order to assist clients faster and more effectively. This transformation opened the door for the WB to allow IT-enabled global network to push forward the second business strategy, creation of knowledge bank, to achieve the second part of their mission. The WB moved from...
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...European Scientific Journal May 2013 edition vol.9, No.13 ISSN: 1857 – 7881 (Print) e - ISSN 1857- 7431 THE STRATEGIC BENEFITS AND CHALLENGES IN THE USE OF CUSTOMER RELATIONSHIP MANAGEMENT SYSTEMS AMONG COMMERCIAL BANKS IN KENYA Maximillah Bitutu Muro, PhD Candidate Department of Management Science, University of Nairobi, Nairobi, Kenya Peterson Obara Magutu Lecturer, Department of Management Science, University of Nairobi, Nairobi, Kenya Kepha Nyankora Getembe, PhD Candidate Department of Management Science, University of Nairobi, Nairobi, Kenya Abstract Nowadays, many businesses such as banks, insurance companies, and other service providers have realized the importance of Customer Relationship Management (CRM) and its potential to help them acquire new customers, retain existing ones and maximize their lifetime value. At this point, close relationship with customers requires strong coordination between IT and marketing departments to provide a long-term retention of their customers. The purpose of this study was to establish the use of CRM systems and further determine the challenges facing the use of CRM systems among the commercial banks in Kenya. The study used descriptive design. The study targeted forty five (45) commercial banks in Kenya. Primary data was obtained using self administered questionnaires. The successfully filled up questionnaires containing responses were first edited for accuracy, consistency and completeness. The data...
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...Note : Both the sections are compulsory. Section I CASE I : BANKING ON RELATIONSHIP The birth of ABC Bank took place after the RBI issued guidelines for the entry of new private sector banks in January 1993. Subsequently, the promoter of ABC Bank sought permission to establish a commercial bank and retained KPMG, a management consultant of international repute, to prepare the groundwork for establishing a commercial bank. The Reserve Bank of India conveyed its approval in principle to establish ABC Bank on February 11, 1994. Thereafter, the Bank was incorporated under The Companies Act in September 1994. The bank started its operations in November 1995. The ABC Bank was promoted by the tenth largest development bank in the world, which had a magnificent record of promoting world-class institutions in India. The promoter was a strategic investor in a plethora of institutions, which had revolutionized the Indian financial markets. Keeping in line with its policy of leveraging technology to drive its business, ABC Bank deployed Finacle, the e-age banking solution from Infosys to consolidate its position, meet challenges and quickly seize new business opportunities. The entire Finacle rollout was remarkable, considering the fact that it was implemented across all branches in a record timeframe of 5 months. Finacle provided the critical technology platform to propel the bank’s operations with new thrust and direction. The bank also implemented Kondor – a treasury...
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...companies, there are multi-tier structures, which include industrial production, wholesalers, retailers and consumers as well along with intermediate stores, which require an integrated information system. Information is one of the assets of an organization. Raw data until processed has no value in a business structure to be used in the best interests of the organization. With the advent of information technologies that raw data is gathered, stored, processed and disseminated to become an integral part of the organizations’ processes. An information system links together data inputs, processes, and information outputs in a systematic, structured way. With the use of technology, information processes are used to further the operations and management of an organization (Ward 1995). With the help of internet and usage of technology, information can be accessed and made available with the click of the mouse. By using the electronic means like the Internet, the email and other electronic means of communication, right information becomes available at the right time. Electronic mail has become the standard and dependable source of communicating information. Other than emails, there are company www.ResearchPaperWriter.net websites, online bulletin boards, and message boards through which anybody can gather reliable, relevant and important information. A simple searching and researching on...
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...80 Int. J Latest Trends Fin. Eco. Sc. Vol-2 No. 1 March 2012 The Impact of Information and Communication Technology on Banks‟ Performance and Customer Service Delivery in the Banking Industry Alhaji Abubakar Aliyu, Rosmaini Bin HJ Tasmin Department of Technology Management Faculty of Technology Management, Business and Entrepreneurships Universiti Tun Hussein Onn Malaysia, 86400, Parit Raja, Batu Pahat, Darul Ta’zim, Johor, Malaysia hp090012@siswa.uthm.edu.my rosmaini@uthm.edu.my Abstract - Information and communication technology (ICT) has become the heart of banking sector, while banking industry is the heart of every robust economy. If it collapses so will the economy. This is absolutely evident from current recession in European banks crises, and in turn. The effect of globalization, competition and innovation in the banking industry by its providers to offer their services makes essential the understanding of how various aspects of consumer behaviour affect the innovation and respond to customer service delivery. Within this context this paper has considered a critical literature review of previous researchers with the objective to examine the impact of Information and Communication Technology on banks performance and customer service delivery. This paper also makes of a critical review of peer reviewed, scholarly and organizational literature regarding the impact of ICT on banks’ performance to examine if banks have successfully achieved effective customer’s service...
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...Greater Autonomy of Suppliers 4 1.2 Banking 5 1.2.1 Improved Communication 5 1.2.2 Automation 5 1.2.3 Continuous Innovations 5 1.2.4 Implications for IS/IT Suppliers 6 1.2.5 Implications for Customers 6 1.3 Music 7 1.3.1 Change of Roles 7 1.3.2 Combating the Bullwhip Effect 7 1.3.3 Innovation in IT 8 2 Comparing and Contrasting Impacts across Industries 8 2.1 Similarities 8 2.1.1 Streamlining Operations 8 2.1.2 Greater Responsibilities 8 2.1.3 Change of Mindset 9 2.2 Differences 9 2.2.1 Powers and Balance 9 2.2.2 Product Offerings 9 2.2.3 Market Transparency 9 3 Underlying Reasons for Differences 10 3.1 Understanding Powers and Balance 10 3.2 Understanding Product Offerings 10 3.3 Understanding Market Transparency 10 4 Conclusion 10 5 References 11 6 Appendix 12 A. Definition of Just-in-Time (JIT) 12 B. Definition of New Product Development (NPD) 12 C. Definition of Time-Based Competition (TBC) 12 Impact of IT/IS on Supplier Information Technology (IT), as we know it today, has changed the landscape of major industries. The position of IT in business strategies has grown significantly over the years. In this report, we will be looking at the impacts of IT/IS in these three industries – Automobile, Banking and Music. We will be covering henceforth, the factors of adoption, similarities and differences in impacts. Automobile The current automobile supply sector is without a doubt...
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