This research article examines the importance of CRM in creating a articles at Journal of Entrepreneurship & Organization Management. Article (PDF Available) in Research Journal of Business Distribution of articles by CRM classification International Journal of Biology. Article (PDF Available) in Journal of Environmental Management and Tourism 2( 26) . Faculty of Biology and Environmental . customer relationship management; tourist satisfaction; front office; Information Technology.
The bell-shaped management fashion curve Abrahamson, has yet to materialize. This could also give ammunition to actors seeking to undermine CRM in order to promote their alternative concepts, ideas, and solutions. Findings and contributions The current paper has viewed CRM from a management fashion perspective. In our view, the management fashion perspective casts new light on the emergence and evolution of the CRM market, highlighting the role played by the constellation of actors involved in popularizing and anchoring CRM as a management practice.
In our view, management fashion is a promising theoretical lens to view the historical and future evolution of CRM, but as we will to turn next, also has limitations and needs further elaboration in future research.
Limitations The research conducted in this paper has been exploratory and its limitations should be kept in mind. For example, we have relied quite heavily on secondary data, which means that we are dependent on the methodological choices made by other researchers.
We also have not gathered any data directly from supply side and demand side actors. Interviews with experts in the CRM field e.
Similarly, additional surveys of demand side organizations could have provided more insight into its uptake in practice. The caveats associated with the research approach followed in this paper means that the results and conclusions should be viewed with a level of caution.
In addition, some readers might react to the use of the fashion metaphor. Several commentators have noted that the term fashion is frequently used as a pejorative by management fashion researchers e.
However, in this paper the fashion metaphor has been used as a theoretical lens and sensitizing framework since it casts new light on the popularization and institutionalization of CRM. It should be noted that the use of the fashion metaphor is not a value judgment on the potential usefulness of CRM in organizations.
Future research Keeping in mind the limitations, there several areas for future research on CRM using a management fashion perspective. For instance, there is a need for comparative work on the reception of the CRM fashion in different settings.
Furthermore, an inter-country perspective could shed light on international similarities and differences in the diffusion and reception of CRM. Are there differences in the reception of fashionable concepts such as CRM across countries and sectors?
Research focusing on local supply side actors diffusing and disseminating CRM could possibly explain why CRM may have different levels of popularity, institutionalization, and success rates in different national settings. Finally, since CRM can be interpreted in many different ways and the implementation of CRM is complex, this calls for qualitative studies to understand exactly how CRM is used by organizations on the demand side of the CRM market.
Since management fashion theory focuses primarily on the market level, other organizational-level theories may be needed. The authors received no direct funding for this research. References References Abdullateef, A. Does customer relationship management influence call centre quality performance?
An empirical industry analysis. Managerial fads and fashions: The diffusion and rejection of innovations.
The Impact of Customer Relationship Management on Organization Profit of in Somali
Academy of Management Review, 16, — Academy of Management Review, 21, — Upper Saddle River, NJ: Bundling and diffusion of management accounting innovations — the case of the balanced scorecard in Sweden. Management Accounting Research, 16, 1— Development and diffusion of customer relationship management across disciplines: Issues in Information Systems, 11, 1—8.
A case study of organization concepts at work. The population sample of the study is all the staffs of departments of marketing, sales and customer relationship management in Iran-khodro Tehran. Results of the study show that, KM is effective on CRM and this relationship has impact on increasing of customer satisfaction and profitability. The long-term and continuous participation of company branches in all interactions that customer may have with the company seems to be a rare case.
The rapid movements in the field of information technology lead to the growth of knowledge and the process of knowledge management .
The management of knowledge plays the key role in acquisition, documentation, creation, transfer, application and developing of knowledge. The organization properties will be protected by performing the knowledge management against destruction and will lead to the increase of the organization flexibility. The companies which have an eye on future understand this fact properly that their future labor force will have the maximum efficiency, if they can use their knowledge.
Customer relationship management can be defined as the preparation of different goods and services for different and various people.
According to this definition, a company should classify its customers and supply its goods and services based on the needs of every class . Regarding the development of the knowledge management in companies, it is expected that these classification become smaller and special goods and services are presented for every customer. But the question which is arisen on the study of the objectives of this research is that whether the knowledge management has a meaningful relation with customer relationship management in an organization or not?
And if there is such a relation, to what extent the dimensions of the knowledge management are important in customer relationship management? Literature Review Concept of customer relationship management: Various definitions of customer relationship management CRM are presented by thinkers in management, marketing and information technology domain.
This business and trade strategy makes use of information technology in a way to introduce the unified, reliable and comprehensive view points on customers which uses all processes and customer interactions in order to maintain and expand fruitful relations.
The growth of CRM began in decade as it has created a revolution in the competitive style of organization .
As no people are similar and alike, no two customers are the same and have no the same behavior. Therefore, the customer relations are something beyond the usual marketing.
A company 78 European Journal of Economics, Finance and Administrative Sciences - Issue 34 should be able to change its products and services in accordance with customer taste in the customer relationship management. Because customer feel that they more important and are greatly valued by the companies.
The customer relationship management system is a key element in justification with the environmental changes of organizations which supervise the external changes and justify the internal culture of organization with those changes .
These systems are based on interactive relationships between companies and clients. Successful implementation of CRM system requires specific actions on all parts of the organization . Table 1 shows the dimensions of CRM and its related indices.
It is therefore that the present study refers to this extended CRM system. Moreover, the present study also suggests that CI phase can be divided into two sub-phases: In addition to the four phases suggested by Kim et al.
Each of the phases is discussed below. A necessary first step to a complete CRM system is the construction of a customer information file like data warehousing .
This means collecting appropriate customer information, analyzing customer data, acquiring new customers, improving skills of employee, improving CRM technique, and secure service. Customer knowledge in higher levels is the common interface of activity-based Knowledge Management and customer relationship management is at intermediate levels of the organization. CRM is based on the assumption that better customer knowledge makes for higher profits. This is achieved through the acquisition, creation, analysis and application of customer data such as Personal data, transaction data and soft facts, e.
The data allow companies to customize customer contacts and product offers, and thus achieve a higher service quality. Moreover, by using the data it would be possible to discover new customer needs and requirement. Creating additional value for customers also improves customer retention and loyalty . Customers perceive value and service quality at the time of the service encounter , and their evaluations of service quality also involve evaluations of the process of service delivery .
In other words, interaction with customers is the turning point of business activity towards customer orientation and customer relationship management. Consequently, by managing CI more effectively, a company can create customer value and operational excellent . This created value will make new opportunities for profitability in the business. It is thus apparent that the highest priorities for any service organization must be a thorough understanding of customer needs and expectations, effective control of inputs, and successful operation of the service- provision processes.
Customer satisfaction is the main mission of the present organizations. Consequently, CS phase represents the level of satisfaction achieved by perceived value . Perhaps customer satisfaction could be conceived as the most important stage in this model.
Thus, the extended model aims to accentuate the essential benefits of the pursuit of customer loyalty. Therefore, customer value can be considered as the last segment in the model which links customer relationship management with knowledge management objectives. So, this means improving Customer retention, profits increase, improving customer service and support, building an attractive virtual community.
KM as a tool for achieving objectives of CRM: Some KM scholars, such as Nonakadefine KM as the process of capturing collective expertise and intelligence of organization and using them to foster innovation.
In this definition, knowledge management is defined from intelligence organization perspective in the Information Age. So, KM consists of the processes an organization uses to acquire, create, document, transfer, and apply customer knowledge to achieve organizational goals .
Tiwana views knowledge Acquisition KA as the process of developing insights, skills, and relationships, enabling Customers of organization to go through a process of self-renewal and expand its boundaries.
Knowledge acquision is the main factor in achieving the objectives of the organizations and has a close relationship with customer knowledge.
Knowledge Documentation KD or codification refers to the mechanisms that an organization uses to institutionalize its customer knowledge so that it can be reused in the future. These mechanisms or forms, e. The recorded knowledge is vital in modern organizations which deals with the improvement of knowledge management systems and predicts future trends. Customer knowledge can be transferred through personal communication, codified communication, and embodied KT .
In knowledge Creation KC view, customer knowledge creation as processes that involve an ontological dimension, which is learning at the customers, group, and organizational level, and also an epistemological dimension, which includes the two complementary types of explicit and tacit knowledge .
Knowledge creation is performed in high, middle and operational levels of the organization. Knowledge Application KP describes the methods and mechanisms that an organization adopts to use available knowledge to improve its processes, products and services . To achieve the above mentioned goals of providing a solution for the process of the customers, enterprises need to 80 European Journal of Economics, Finance and Administrative Sciences - Issue 34 focus on three sorts of knowledge in CRM processes .
The Impact of Customer Relationship Management on Organization Profit of in Somali
They make up what we consider to be customer knowledge. Efforts need to be made to channel this knowledge back into the enterprise. Therefore, Companies continue to use knowledge management as a process to achieve set of customer experiences .
Applying knowledge management to communicate with customers makes companies closer to customers and provides new opportunities for exhibiting the services and products . So, organizations should reinforce their KM and CRM systems in a way that enables them to obtain value-added knowledge for their customers and themselves . This integrates knowledge management systems and customer relationship management in the three management levels high, middle and operational.
Customer knowledge management is the main core of customer relationship management systems and knowledge management is the new prospective of organizations in the Information Age. CKM can thus be viewed as a crucial domain of KM. CKM is an area of management where KM instruments and procedures are applied to support the exchange of customer knowledge within an organization and between an organization and its customers, and where customer knowledge is used to manage customer relationships, to improve CRM processes such as customer service, customer retention and relationship profitability.
Using the metaphor of service exchange, in CKM, KM is the service provider, who offers the tools and procedures for knowledge exchange  and CRM the service buyer, who determines what knowledge, is needed and who generates and uses the knowledge in customer interaction.
Swift emphasized the importance of customer knowledge in customer relationship. He figured that CRM is such kind of mutual process by which customer information can be converted into positive customer relationship. Hypotheses Hypotheses of the study are stated in form of one primary hypothesis and 4 secondary hypotheses.
Knowledge management is effective on customer relationship management. The first section questions have been used.