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‘CRM’ The Game of Life: Professional Something You Don’t Know

Word and interview by Nguyen Hoang Viet (s3393398)

Introduction

                     Nguyen Hoang Ngan, is a 51 years-old CEO and Chief Mechanical Engineer of Binh Minh plastic company, He had his MBA qualification in 1993 and worked for 25 years in the industry either BinhMinh company until now. He had experience in managing with both the clients and customers since 2007 when he became the president of one of the BinhMinh branch company. BinhMinh company had been 17-years consecutively won the Vietnam high quality product prize, and not to mention about continuously having the honorable Vietnam Golden Star for being well in international competition in the past ten years.

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 Figure 1: Mr.Ngan in his office (photo provided by the interviewee)

              CRM Definition

Next, he noticed that creating and preserving the customer relationships is not only the jobs which is done by any industry, but it is also the duty for anyone who step in doing business. According to the Business Link (2012), they said that “Customer Relationship Management (CRM) is the broad category of concepts, tools, and processes that allows an organization to understand and serve everyone with whom it comes into contact”. Without enhancing the relationship with customer, companies would be likely losing its foothold in the market place and easily leading to bankruptcy. Mr.Ngan carefully analyzed the benefit from having customer relationship enhancement through some his experience. “We were working with TienPhong Plastic Inc for 5 years from 1996 to 2000. So when we accept to working with them again in 2011, we happily provide them our full-service package for stages of production and counseling market research. As the result, we just sign a long-term coalition contract for the next 4 project in last year October”, “the stronger the relationships are, the greater the success” he confidently declared.

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 Figure 2: Client/Customer Relation Management map

              CRM in working context

During the conversation about how client would be satisfied, he strongly focuses on how the CRM work out in the working relationship between clients. Importantly, he stated that “Customer orientation is one thing indispensable for a business. CRM is not simply an individual sales that the companies have done well establishing relationships with customers”. I am truly attracted to his description in laying down into the business industry. He insists the important of building and retaining the customer relationship should be repeated not for only one time but many. And on the same hand,  I agreed with him that customers need to be proactive cared and believed because the CRM is one and only worked when we have a bilateral cooperation. According to Baran, Galka  & Strunk (2008), agency is positively managing clients/customers within knowing their behaviors and desires. As strong as its meaning, CRM is a brilliant proactive theory to retain the relationship. Through CRM we can suggest some additional ideas to make things flow smoothly. In addition, clients/customers could take an objective look at the working process or either the company in general for reconsideration for the repeated purchase. And proactive is just what they need instantly for the next return. To illustrate, your client is working on the billboard advertisement and he/she well appreciated if you tell him/her about the destination for placement. The message that we want clients/customers to receive is that we are beyond their desires, much more better.

Furthermore, one of the factors could affect the CRM that he has mentioned is teaching employees about the CRM execution. His company have a course about how to deal with customer for all the employees and even workers. In my perspective, the homogenization of one collective is the main key point to approach the success in any working or academic situation, especially when we duel with our client.

Olds and News

Besides that the idea of building new relationships is another essential part of CRM. It is simply understand that companies cannot enhance or support an unrealistic relationship until you have one. Mr.Ngan believes that building the relationship is the first thing to be done which is acknowledged by every single organization. “You have to plant a seed if you want to harvest a wheat” this is an idioms that Mr.Ngan has drawn from practical experience in managing his clients. Sharing a common with clients/customers would make the bond between your agency and them even stronger than ever (Morgan & Hunt, 1994). CRM theory would work more effectively and easily when both sides understand and discern each other strengths and weaknesses. Moreover, Mr.Ngan points out that the clients status should be deeply and widely studied to avoid disadvantages and give supportive  guidance. Becoming problem solver is the highest and precious goal which companies aim to present to their clients/customers (Beverland et al. 2007). “The position brand has been firstly determined within the emotional benefit instead of the product benefit” (Beverland et al. 2007).

Key Factors for CRM

Mr.Ngan emphasized that there are 3 key elements for the success of creating effective CRM. The most essential thing is the organization account longevity. As Davies et al (1999) described in their papers that “clients/customers are likely seeking for company which have high reputation for account longevity”, it has great opportunity for passive attraction without worry about the budget loss. Sincerity in dueling with clients/customers is the second-most important and constant moral for business people. For example, you execute a client’s project within paying attention in the quality values of the services/product instead of material values. Mr.Ngan quoted that “we work for the greater good of clients/customers, not only to earn money but also their attitude toward the company”. The last but not least is soft skills, particularly communication and negotiation skills. To be persuasive is very important to maintain the relationship with others because clients/customers usually look for the company that they are convinced about the quality of services or product. We need to create the secured feeling about our images and brand.

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                          Figure 3:  Proof of Life (taken by Bich Nguyen)

Word count: 965

References:

Baran, RJ, Galka, RJ & Strunk DP 2008, Principles of Customer Relationship Management, Thomson South-Western, USA.

Beverland, M., Farrelly, F. & Woodhatch, Z. 2007, “Exploring the Dimensions of Proactivity within Advertising Agency-Client Relationships”, Journal of Advertising, vol. 36, no. 4, pp. 49-60.

Davies, Mark P, Mel 1999, “Examining the longevity of new agency accounts: A comparative study of U.S and U.K advertising experiences”, 4th edn, , Journal of Advertising, ProQuest Central, pp. 75-89

Morgan RM & Hunt SD 1994, “The Commitment-Trust Theory of Relationship Marketing”, Journal of Marketing, Vol. 58, No. 3, pp. 20-38.

The Business Link, 2012, ‘E-Business Customer Relationship Management’, E-Business, July, pp. 10 – 22.

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2 thoughts on “‘CRM’ The Game of Life: Professional Something You Don’t Know

  1. -“Next, he noticed that creating and preserving the customer relationships is not only the jobs which is done by any industry, but it is also the duty for anyone who step in doing business.” This doesn’t sound like an establishing paragraph about the topic at all… what was before this?

    -How is “counseling market research” same or different from traditional/ social CRM as discussed in class? What are specific stages Mr. Ngan’s company does for it? Instead of using the CRM image from the lecture why not create an original CRM model based on Mr. Ngan’s practice.

    -“To illustrate, your client is working on the billboard advertisement…” is this your independent general example or something Mr. Ngan’s company has experienced with an agency? Need to be specific.

    -“His company have a course about how to deal with customer for all the employees and even workers. In my perspective, the homogenization of one collective is the main key point to approach the success in any working or academic situation, especially when we duel with our client.” UNCLEAR, REPHRASE and EXPOUND on the workshop proceedings. That is actually more interesting to base your opinions on.

    -Overall, the article does not have a clear client or agency perspective. Is the plastic company using CRM for B2B or B2C? Is the company a manufacturer? Importer? Exporter? Distributor? How does CRM fit into their business model?

    – Link experiences/ examples of your interviewee to working in the communications industry.

    -Your interviewee seems to be very experienced in his field. Too bad you were not able to extract from him examples, case studies that could actually explain effective CRM step by step. The information you shared are too general and at times its hard to figure out if its based on the ideas of the interviewee or just paraphrased from academic sources.

  2. Your proof of life photo is not valid… when was it taken? The photo should have been taken on the day you interviewed this man. It looks like an old vacation photo. I accept the fact that you may have a personal relationship with the interviewee, but using private photos is not professional in this regard. So… did you interview this man face to face? If so then a photo of the two of you at that time is needed. ~Mel C

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