Implementing a secure cloud-basedERP/CRM focussing on document management systems for Law Firms LiteratureReview Customer Relationship Management (CRM) Theconcept of customer relationship management (CRM), which first emerged in 1956(e.g., thesegmentationof discrete customer groups), has played a vital role in the business worldover the past six to ten years (Nairn, 2002).
With management concentrating onthe two aspects of relationship marketing (specifically one-to-one marketingtechniques)(Peppers & Rogers, 1993; Peppers et al., 1999) andmarketorientation (focused on collecting, analysing and disseminating largequantitiesofcustomer data), CRM technology has become an important element.It hasexperienced rapid growth owing to three principal reasons: (a) intensecompetition for customers among businesses, (b)theeconomics related to retaining customers (i.
e., life-time value) and (c) advancementin technology (Buttle,2004; Goodhue et al., 2002; Karimi et al., 2001; Ling & Yen, 2001; Winer,2001).
Theconcept of CRM has been given numerous definitions at different levels, forinstance functionally and managerially, as well as technically (Doherty &Lockett, 2007; Ngai, 2005;Sathish,Pan, & Raman, 2002; Wright et al., 2002). Managerially,CRM servesas a vital businessapproach and philosophy, given the fact that the concept isimmanently pivoted on the customer (e.g., Almquist et al., 2002;Beckett-Camarata, Camarata, &Barker,1998; Chang, Yen, Young, & Ku, 2002). Academics specialising in the fieldof marketing perceive “CRM asaconcept that adds practical value to the meaning of customer orientation”(Wright etal.,2002, p.
340), which assists in the operationalisation of MO and in thecreation of marketing value (e.g., Aspinall,Nancarrow,& Stone, 2001; Reinartz & Kumar, 2002; Rheault & Sheridan, 2002;Ryals,2005;Srivastava, Shervani, & Fahey, 1999). Meanwhile, the main interests of researcherswho specialist in information technology – in relation to CRM – seem essentiallyto be the two elements of technology and implementation (e.g., Chalmeta,2006;Cooper, Watson, Wixom, & Goodhue, 2000; Gefen & Ridings, 2002; Romano&Fjermestad,2001; Wells & Hess, 2002).
CRM Definition Rigbyet al. (2002a) argue that CRM cannot easily be defined by business managers anddirectors. Greenberg (2002) cited ten definitions by top executives fromsoftwaredevelopmentbusiness corporations which were all different. In its early phase, the conceptof CRM was defined as one that was predicated on two aspects: the attraction ofcustomers and retaining them in the long term (Ling & Yen, 2001; The DataWarehousing Institute,2000;Wyner, 1999). As a business approach, CRM has also acquired a widely accepteddefinition according to which “CRMis anapproach or business strategy which provides seamless integration of every areaofbusinessthat touches the customer” (Sathish et al.
, 2002, p. 545). According to otherdefinitions, CRM plays a role in maximising profit, whereby “economicallyvaluable” customers are won and retained and “economically invaluable” customersare eliminated(Pan& Lee, 2003; Romano, 2000; Romano & Fjermestad, 2001). Some researchershave followed a more all-inclusive and integrative line towards the concept, attemptinga definition that would encompass CRM’s link to technology and its role as a businessapproach (Bose, 2002; Buttle,2004;Dibb, 2001; Goodhue et al.
, 2002; J. Kim, Suh, & Hwang, 2003; Sathish etal.,2002; The DataWarehousing Institute, 2000). This definition helps create a better awarenessof CRM’s dual aspects that ought to be considered when appraising whether executedapplications of CRM succeeded or failed. The assessment of each aspectseparately will likely lead to an incomplete understanding.