Relationship Between CRM And HRM

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CRM and HRM
Human resource is most valuable asset of an organizational. An organization may have best machines, material etc. but without human resource all the other resources have no use. There was a time when human resources were treated as machines but now organizations treat them as an asset. Hence, apart from concentrating on customers need, it has become need of the hour to concentrate on employees aspirations too. In this context, it would be inappropriate to say that CRM has its use in creating relationship with customers only; most of the HR heads are using CRM technology for managing company’s human capital. This approach is called as Employee Resource Management. ERM can be described as a process that creates a strong emotional …show more content…

CRM is an IT issue: CRM is a strategy which involves people, process and technology. For successful implementation of a CRM programme equal participation of each one of them is necessary. It would be wrong to say CRM an IT issue. We can not even think of any programme or strategy to run in the organization without the involvement of people. It is the human resource who operationalises this process in the organization. So it would be improper to ignore the importance of people in the success of CRM programme. Successful implementation of CRM includes competent people with right attitude, right business strategies and then the right IT …show more content…

Wrong evaluation of return in CRM: in CRM implementation, return on investment means the evaluation of returns with the costs incurred. Sometimes CRM is regarded as giving poor ROI. But it is wrong to think so. In fact the chance of poor ROI is more in cases when CRM is not adopted. In fact, CRM itself is not responsible for poor ROI but the main causes for this are ignorance of people, lack of motivation among the concerned people, poor implementation, lack of vision in finding good opportunities, inability to use data effectively etc. these causes must be looked at first before implementing CRM.
5. Fixing individual responsibility: CRM is a team work. It requires co-ordination among the different departments of an organization. It is not appropriate to fix responsibility of any one person or department. For the successful implementation of CRM all the personnel of marketing department, sales dept., customer service dept, IT dept., etc. should make a concentrated effort with the aim of building long term relationship with their

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