Why CRM projects fail?

Although many companies are clearly committed to implementing CRM solutions within their IT infrastructure, too many projects fail or do not meet the initial expectations. Leveraging CRM software as a tool to create a competitive advantage is imperative for success.

But why do CRM projects fail?

These problems are mainly based on a lack of strategy, lack of a CRM understanding as well as a possible significant increase in the initial budget. Most failures, though, arise from the incompatibility of business processes. The following list indicates possible reasons as to why CRM projects are unsuccessful:

1. Poor quality of data and information. For any organization one of the pillars of CRM is customer awareness. Quality of data and information is also a critical success factor.
2. Lack of support from management due to lack of knowledge of the opportunities that CRM offers.
3. There is no “passion for the customer” in the organization.
4. Lack of vision and strategy. It is a common problem not having a clearly defined strategy and therefore measurable business objectives in the area of ​​CRM. Moreover, the problem increases when there is no proper allocation of resources and proper methodology for the project.
5. ROI (Return on investment) is unclear.
6. No redefined processes. As in other technological projects, we need to redefine business processes to achieve the desired results. You need to redefine the way in which things are done in the organization to get results.
7. Not properly managing change. Like any major project, the proper management of change and organizational culture is necessary.
8. Little implementation of analytical CRM: The analytical part of CRM is responsible for drawing conclusions about current and potential customers from large amounts of data. Without such analysis, an overall view of the customer is not achieved and therefore most of the advantages that CRM offers aren’t met.
9. People are not engaged. A CRM system is only as good as the level of adoption of people who use it. If your employees do not make effective use of the investment in the system, its value will never be realized.
10. Thinking that technology is the solution. The technology only makes sense after having clearly defined business objectives.

If your sales team does not have experience implementing management systems, I recommend hiring a team project leader who is a specialist and has an objective view, based on experience, to bring the project to successful completion.

Contact Excalibur Information Solutions – let us discuss how we can assist with your business enablement, value creation and results improvement.

Jules S. Batson Msc, MCPM

Project Management Director & Solutions Consultant

Excalibur Information Solutions Inc.

Tel: (778) 433 4644

Email: jbatson@SolutionsConsultant.com

URL: www.SolutionsConsultant.com