1.1.1 Reason for the purchase of CRM software
It is important for the business to use software technologies that improve quality customer services and their communication (Prabhaker, 2001). This is common in businesses in the Middle East such as the United Arab Emirates which have been identified to have problems such as duplication of business processes, high level of inefficiencies and encounters unnecessary communication problems. All these problems can be solved by investing in customer relationship management software to improve customers relationship.
1.1.2 Description of the organization
Al-Khaia group is a very important and one of the largest retail businesses in UAE. It does very many business operations including restaurant services, do premium coffee outlets and even fast food lounges. All these kind of products are sold to different customers. For this business organization to meet the needs of its customers, it must offer satisfactory services that can help it develop customer loyalty (Tiazkun, 1999). This business has been there since 1986 and it has grown significantly since its humble establishment. Al-khaia group started as a simple restaurant to a fast food and beverages, it, therefore, has the familiarity and consumerist spirit to form and manage a very good hospitality packages in relation to the needs of local people. This business organization is made up of savvy professionals who an understanding and desire to effectively to manage a business in the hospitality industry. Its main services include franchise operations, retail management operations, sales and marketing, IT consultation services and accountancy services (Tavana & Kakouie, 2013). All these services require the use of customer relationship management software in order to attract and retain new customers. Al-Khaia group uses innovative strategies to every aspect of restaurant and retail management to earn the loyalty of visitors as a result of committed workers. Al-khaia group has 1400 employees and usually generates an average of the annual revenue of 180millions. It has 152 stores in different parts of the country.
1.1.3 Nature of the project
This project is mainly to implement customer relationship management in Al-khaia group to help it retain the existing customers and attract other customers who have been buying from the competitors. For this business organization to direct sales, online sales, franchises or use agents, it needs to implement CRM software to help it manage the interactions with its customers (Tavana & Kakouie, 2013). The implementation of this project is very important because it will help this company gets an insight into the conduct of its customers and adjust its business operations in a manner that serves their needs best. The completion of this project will ensure that we understand the importance of customers and the need to increase customer relationship. The project, therefore, will provide an explanation of the need to understand customers.
1.2 Statement of Purpose
It is important for Al-khaia group to implement CRM software to help it manage customer relationships with the aim of enhancing the association it has with its customers and also help it retain and boost sales revenues. The purpose of this project therefore for this business organization to have a technology that can assist it to compile customer information within various channels such as direct contact or through other channels such as a website. From the CRM system, the company will be able to collect information such as purchase history, their concern and buying preference (Tavana & Kakouie, 2013). Through this information about the customers, the company will be able to develop strategies and approaches that it can use to increase their satisfaction. Al-khaia group wants services and software products which they can use to improve its customer service. It wants to offer quality restaurant services in a cost-effective way so that it can compete with others effectively. The main objective of the contract is to higher CRM software from the dealer and uses it to develop customer relationships.
1.3 Background Information
Al-khaia group is a very important and one of the largest retail businesses in UAE. It does very many business operations including restaurant services, do premium coffee outlets and even fast food lounges. Al-khaia group started as a simple restaurant to a fast food and beverages, it, therefore, has the familiarity and consumerist spirit to form and manage a very good hospitality packages in relation to the needs of local people (Tavana & Kakouie, 2013). This business organization is made up of savvy professionals who an understanding and desire to effectively to manage a business in the hospitality industry. Its main services include franchise operations, retail management operations, sales and marketing, IT consultation services and accountancy services. It offers its services to women, men, children, people with both high and low income and even educated people. Al-khaia group provides high-quality foods to its customers; it is also able to compete with other companies despite being affected by fierce competition. This company does not offer quality services in most of its outlets; it only wants to maximize its profit. It only has 1500 employees including the management and this group of professionals cannot properly manage future correspondence.
1.4 Scope of work
The providers of CRM software has a number of duties and responsibilities which they have to execute. They are expected to develop a long-term relationship with existing customers between different companies. It also has a role in ensuring there is a strong post-sale relationship. They will advise the company to work with the customers pro-actively so that they continue to get ongoing value from the software the company has purchased from the provider. Furthermore, the provider needs to collaborate with the company to support the whole implementation process and mainly put more attention on relationship management (Reinartz et al. 2004). They are also expected to engage correct contacts to allow for the alteration of business objectives. All these responsibilities executed by the providers increase customer loyalty and therefore prevent existing customers from moving to competitors. The list of responsibilities which the provider should do in case a subcontractor is involved includes:
Act as a liaison between customers and the company
Market the products of the company
Find ways in which the company can improve its customer value such as offering high-quality products
Provide best practice in customer relationship management and also use ARCHIBUS solutions
1.5. Outcome and Performance Standards
Al-khaia group expects a high standard of customer service which conforms to the needs of all customer groups. We also target a high level of customer turnover and retention ability so that we can have high sales revenue in future. To monitor performance, we expect to use performance indicators such as obtaining customers feedbacks in order to know if there is an improvement in the quality of service. We expect the providers to implement corrective actions with great care without interfering with other customers.
Computers, training manual, implementation plan, schedule of work, certificate of previous work and certificate of incorporation (Hackney, 2000). All these deliverables should be taken to the organization before the commencement of work.
1.7. Term of Contract
The providers of CRM software will have a contract of three years starting from 3rd January 2018. The contract will be renewable at the end of the third year if the provider does not breach the terms of the contract. In case there is a breach of contract of the impact of the service provider is negative, the contract will be terminated by the company or the terms of the contract will be lifted.
1.8. Payments, Incentives, and Penalties
The software provider will be paid in the form of a fee in their bank account. They will first receive first payment before commencing work and the remaining balance will be paid at the end of their service (Hackney, 2000). They are also entitled to additional fees such as overtime, bonuses, and performance-based payment. In case of poor work, 30% of their fees will be retained until they accomplish their contractual obligation.
1.9. Contractual Terms and Conditions
Will be provided on request
1.10. Requirements for Proposal Preparation
In order to qualify, it is necessary to make a formal application by attaching documents such as a certificate of incorporation as a CRM service provider, tax compliance, registered TAX pin, bank statements, certificate of completion of similar work and other documents deemed fit.
1.11. Evaluation and Award Process
In order to make final contract award, qualified applications will be made by companies that are willing to provide customer relationship management. Their applications will be opened and evaluated by the management of the company (Hackney, 2000). The company with the least bidder and have the capacity to provide such services will be selected. Once selected an award letter will be sent to the qualified company with the local purchase order.
1.12. Process Schedule
Submission of letter of intent 25th Nov,2017
Sending questions 15th Dec.2017
Attending pre-proposal Conference 27th Dec, 2017
Submission of proposal 30th, Dec 2017
Making Final Decision 2nd, Jan 2018
1.13. Points of contact for future correspondence
Name Position Responsibilities Ways of contact
James Godon CRM manager Managing the whole service provider Through phone
Amanda Jones Assistant manager Supervise the work of other service providers Face to face
Tavana & Kakouie K (2013). "Theoretical Models of Customer Relationship Management in Organizations". International Journal of Business and Behavioral Sciences. 3 (11).
Reinartz, W et al. (2004). "The Customer Relationship Management Process: Its Measurement and Impact on Performance".Journal of Marketing Research. 41 (3): 293305.
Hackney, D. (2000), Business intelligence technology and tools for CRM, in Proceedings of DCI Customer Relationship Management Conference, Boston, MA, 27-29 June.
Prabhaker, P. (2001), Integrated marketing-manufacturing strategies, Journal of Business & Industrial Marketing, Vol. 16 No. 2, pp. 113-28.
Tiazkun, S. (1999), CRM opportunities abound for changing business needs, Computer Reseller News, 8 November, p. 159.
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