CRM Selection Criteria

1
CRM Selection Criteria

• Developing a Decision Matrix
• Chris Selland
• Reservoir Partners, L.P.

2
CRM is

• An IT project with business benefit?
• A business project with IT support.
• Key Decision Criteria relate to business
  alignment.
• Technical criteria important, but secondary

3
Metrics Soft and Hard
4
A New Year Indeed
5
A (Still) Consolidating Market
6
Developing a Decision Matrix

• Key Issues
• Financial Strength/Market Presence
• Functional Breadth
• Integration
• Vision
• Management Team

7
Financial Strength

• Revenues?
• Trend?
• Debt/Equity Ratio?
• Investors (VC) or Stock Price (public)
• How many rounds of financing?
• Terms of financing?
• Can you speak with investors?
• What is your tolerance for risk?

8
Market Presence

• What is their market share?
• In segment I care most about?
• In my vertical industry?
• What are the industry analysts saying?
• Key Customers?
• Can you speak with them?
• How frequently are they mentioned
• in the media?

9
Functional Breadth

• Relevant to problem(s) to be solved
• Sales
• Marketing
• Customer Support
• Integrated (useful) customer data
• Order Management
• Returns
• Fulfillment

10
Integration

• What are key current applications?
• Which do we intend to keep short- and long-term?
• What is the current system of record for
  customer data?
• Is there more than one?
• Will new CRM system replace?
• Web Services support?
• EAI Partners?
• Own initiatives? (NetWeaver, UAN)

11
Technology Vision

• What are the vendors future development
  intentions?
• How have they met past intentions?
• How much customization are you looking for?
• How much do you really need?
• Level of consensus within your company

12
The Extended Enterprise
13
Management Team

• What is the management teams background?
• What do the analysts (financial and industry)
  say?
• Who are their key investors?

14
The Matrix
15
Conclusions

• Only you can determine weightings
• Understanding your corporate risk profile
  critical
• Simplify, dont complicate
• Determine system (not systems!) of record for
  customer information
• Integration strategy is critical
• Solve individual problems
• Dont create islands

16
How much vendor 'stability risk' is your company
willing to take to get best fit?

• Not an issue we dont care about vendor
  stability
• A great deal of risk were relatively risk
  tolerant
• Some
• Very little
• None

N 20
Cross-Tab Label
0 / 500
17
When you deploy new applications, do you normally
view them as replacements or enhancements?

• Replacements
• Enhancements

N 20
Cross-Tab Label
0 / 500
18
Have you invested in an EAI platform?

• Yes
• No

N 16
Cross-Tab Label
0 / 500
19
Have you invested in an XML initiative?

• Yes
• No

N 20
Cross-Tab Label
0 / 500
20
Who makes CRM decisions in your company?

• IT
• Line of Business
• Executive
• Combination

N 22
Cross-Tab Label
0 / 500
21
Questions?