Andang Fazri1206314024

Customer Relationship Management and Company

Performance – the mediating role of new product performance

(Ernst, Hoyer, Krafft, and Krieger)

Gap• Penelitian-penelitian terdahulu kebanyakan

hanya meneliti hubungan CRM Process dan Company Performance pada Project Level, sehingga tidak menggambarkan CRM perusahaan secara keseluruhan. Kemudian juga terlalu fokus pada CRM existing product, bukan pengembangan new product (hal 291, CRM ignored ....)

• Hasil penelitian-penelitian terdahulu tidak konsisten menghubungkan CRM Process dan Company Performance, karena ada missing link antara kedua variabel tersebut.

Tujuan• Meneliti hubungan CRM Process dan

Company Performance pada level SBU/company, agar memberikan gambaran menyeluruh tentang CRM di level perusahaan, serta juga fokus pada pengembangan produk.

• Memasukkan New Product Performance sebagai mediator antara CRM Process dan Company Performance, kemudian menguji model tersebut. Selain itu juga dimasukkan dan menguji moderating variabel CRM Technology dan CRM Rewards, serta variabel kontrol industry effects.

Dasar Pemikiran• The continuous development and launching

of new products is an important determinant of sustained company performance (Sorescu and Spanjol 2008; Zhou et al. 2005).

• One potentially effective strategy for reducing the failure rate of new products and increasing new product success is to align the new product development (NPD) process with market requirements (Ernst 2002; Henard and Szymanski 2001)

Dasar Pemikiran• CRM involves the evolution and integration of

marketing ideas and newly available data, technologies, and organizational forms, and it concentrates on establishing, developing, and maintaining successful long-term relationships with well-chosen customers (Boulding et al. 2005; Morgan and Hunt 1994; Reinartz et al. 2004)

• Because of its broader and integrated approach for leveraging customer and market information, CRM should have a much stronger impact on NPD performance than single aspects of customer orientation.

CRM (Payne & Frow, 2005)• define CRM in terms of three perspectives which

lie along a continuum: narrowly and tactically as a particular technology solution, wide-ranging technology, and customer centric.

• This CRM continuum reflects a continually changing understanding in the literature about what constitutes CRM. Initially, CRM was considered mainly as information-technology (IT) enabled customer solutions, such as sales force automation.

• Today, however, CRM is widely seen as a “holistic approach to managing customer relationships to create shareholder value” (Payne and Frow 2005, p. 168)

CRM (Payne & Frow, 2005)• More specifically, this involves developing

relationships with key customers and customer segments. To do so, CRM combines relationship marketing strategies and relevant technology to create profitable, long-term relationships with customers

• By focusing on CRM, companies acquire and use customer information which aids in both understanding and co-creating value with them.

CRM (Patvatiyar & Sheth, 2000)• A critical aspect of CRM is that it involves strategic

processes that take place between an enterprise and its customers (also Jayachandran, 2005)

• We therefore develop a strategic CRM framework that focuses on important customer-specific processes, namely identifying customers, differentiating among them, and interacting with them (also Peppers et al, 1999)

Subdimensi CRM Process• However, we extend previous

research by applying each of these three processes to the context of NPD, thereby introducing a new interpretation of CRM: (1) Customer information management, (2) Customer Segment Value Management, and (3) Multi-channel management

Dasar Subdimensi CRM Process• Customer information management - the key activity of

identifying customers and their needs can be accomplished by systematically collecting and disseminating customer information (Boulding et al. 2005; Jayachandran et al. 2005). This knowledge can be used to develop new products that are aligned with customer requirements and create value for the firm (Payne and Frow 2005);

• Customer segment value management - in addition to customer information management, differentiating CRM activities among customers based on their preferences and value contribution to the company is a key concept of CRM (Parvatiyar and Sheth 2000; Ryals 2005). This involves all activities that help to evaluate customers and integrate information about them in organizational processes (Payne and Frow 2005). In the context of NPD, this involves segmenting customers according to the level of value they provide to the NPD process. This value varies across customer segments.

Dasar Subdimensi CRM Process• Multi-channel management- offering alternative

means of communication and channels of distribution is also identified as a key CRM process. This involves the systematic integration of multiple traditional and new electronic communication channels to manage the dialog with customers (Brown 2000; Payne and Frow 2005). In the case of NPD, multi-channel management offers various ways to interact with customers for the purpose of generating and launching new products.

Dasar Var Kontrol Technology dan Rewards• Not only does successful CRM involve the

integration of processes and technologies, but it also requires the support of individual members of the organization. In other words, CRM can fail if only a limited number of employees are committed to the initiative. Thus, employee engagement is a critical issue in CRM implementation (Payne and Frow 2005).

• Reward systems are therefore a key way of incentivizing employees to effectively implement CRM activities (Reinartz et al. 2004)

Critical Aspect of Successful CRM

• Boulding et al. (2005) argued that the dual creation of value (i.e. a win-win situation for customers and the firm) is a critical aspect of successful CRM.

• Thus, one could argue that new product performance is one possible indicator for the level of dual value creation achieved because new products can only succeed in the market if they create value both for customers (in terms of wanted new products) and the firm (in terms of sales and profits).

Key Aspect of CRM

• A key aspect of CRM is to differentiate between customer segments and to customize marketing activities to these segments (Reinartz et al. 2004).

• This is also considered to be a key component of the dual creation of value process that characterizes an effective CRM process (Payne and Frow 2005).

Hipotesis• H1:

The more a firm implements its CRM processes of customer information management, customer segment value management, and multi-channel management in an NPD context, the higher the firm’s new product performance.

• H2: The greater the use of CRM technology, the stronger the positive link between CRM processes and new product performance.

• H3: The greater the level of CRM reward systems, the stronger the positive link between CRM processes and new product performance.

Hipotesis• H4:

The higher a firm’s new product performance, the higher is its overall company performance.

• H5: New product performance positively mediates the relationship between CRM processes and overall company performance.

MODEL penelitian

Metode• Sampel

• Operationalization and Measures

• Analysis plan

Sampel• 200 perusahaan terbaik dari segi revenue

dari 6 sektor industri di Jerman, yang menggambarkan ekonomi nasional. B2B 3 sektor industri, dan B2C juga 3 sektor.

• Kuesioner dikirim via email. Sebelumnya dikonfirmasi kesediaan ikutserta dalam survei ini. 183 SBU/perusahaan berpartisipasi, terdiri dari 115 R&D mgr dan 122 marketing mgr. Dengan sebaran sampel merata utk tiap industri.

• Mencakup 3 tipe segmen: lead users, economically valuable, dan opinion leader

Operationalization & Measure• Constructs diperlakukan sebagai

formative (assumed that all indicatiors have an impact on the single construct and that the direction of casuality is from measure to construct)

• 3 constructs baru juga diperlakukan sebagai formative (CSVM, SIM, NPP)

• Skala pengukuran 1 – 7 (semantec differential)

Analysis Plan• Hipotesis diuji dengan Partial Least

Squares (PLS), metode analisis path untuk latent variable dengan formative indikator.

• It is distribution free and compares favorably to structural equation modeling because of its strengths in prediction (Fornell and Bookstein 1982)

• PLS is also quite robust even if the error terms of indicators or constructs are not normally distributed, which is regularly the case in empirical studies that are based on surveys.

Hasil• Hasil H1 s/d H5

Diskusi• Riset menunjukkan efek yang tinggi

terhadap NPP

• CRM reward systems moderate CRM dan NPP

• NPP memberi strong impact pada CP

Implikasi Akademis• Key contribution: to conceptualize and

empirically investigate the viability of CRM process in NPD

• Provide a more comprehensive and integrative framework for better understanding the performance effects of customer-related activities in NPD at the organizational level.

• Hypothesize moderating effects between CRM process and both CRM reward system and CRM technology on performance.

Implikasi Manajerial• CRM can be leveraged to provide important

customer information which can be used to improve NPP.

• Firms need to understand that linking CRM to NPD is critical for increasing CP

• Penelitian ini memperkuat kesimpulan Reinartz et.al (2005) bahwa CRM tidak hanya melibatkan teknologi tetapi juga aspek lain terutama SDM.

• CRM teknologi harus direvisi untuk mengakomodir new products context.

• CRM reward system do facilitate CRM process.

Limitasi• Construct diukur pada level yang general,

misalnya teknologi, tidak meneliti semua aplikasi yang spesifik.

• Studi ini cross-sectional, perlu pendekatan survei yang dinamis.

• Karena dilakukan pada level SBU, tidak fokus pada level project, padahal ada kemungkinan pada level tersebut memberikan kontribusi yang bagus.

Future Research• Perlu diteliti apakan CRM mempengaruhi NPD

pada stages yang berbeda, misal lead user merasa ide diperlukan pada awal, sedangkan economically valuable merasa di pertengahan atau akhir product development.

• Riset yang menghubungkan CRM process dengan faktor sukses NPD klasik seperti proficiency of NPD processes, top management support, NPD strategy, corporate culture, etc. (Ernst 2002; Henard and Szymanski 2001)

Kesimpulan• Kesimpulan paling penting adalah, bahwa

NPP merupakan missing link yang menghubungkan CRM Process dan Company Performance.

Terima Kasih