Measurement Tools To Manage Customer Relationship Operations In Iraqi Banks Transactions And Their Role In Enhancing Customer Loyalty
ResumenPurpose: Due to the failure of customer relationship management (CRM) in bank- ing transactions in the public and private sector, which led to weak loyalty to the customer, which can be solved by improving the better measure of customer rela- tionship management process, the purpose of this research is to identify customer relationship management processes within banks Sample research, and propose a tool for measuring customer relationship management (CRM). DESIGN / METH- ODOLOGY / APPROACH: A field study was conducted in the Iraqi banks. The research was designed according to the development of the existing standards in the literature. The descriptive method was used by using the questionnaire which was distributed to 58 individuals. Results: The research provides a general under- standing of customer relationship management processes in a customer-oriented perspective and ultimately customer loyalty and trust towards the service provid- er. The measurement tool proposes seven main processes: Targeted management, extensive information management, customization, expansion management, refer- rals, termination management, win win management. Operational Implications: Analysis results provide useful information for managers to identify, measure and improve the customer relationship management process to achieve customer satis- faction and increase their loyalty. Originality / Importance: This paper presents a review of customer relationship management measurement literature and its rela- tion to customer loyalty. Based on this review, the research identifies seven custom- er relationship management processes to assess customer relationship management in the surveyed banks.
Aaker, D,(1991), “Managing Brand Equity”, The Free Press, New York, NY.
Agrawal, M,(2003),“Customer relationship management (CRM) & corporate renaissance”, Journal of Service Research, Vol. 3 No. 2.
Al-qaysi,Bilal,(2008), “Evaluation of service quality according Knowledge management processes And customer relationship manage- ment”, Master’s letter is unpublished, College of Administration and Eco- nomics, University of Baghdad.
Bagozzi, R,(1979),“The role of measurement in theory construction and hypothesis testing: toward a holistic model”, in Lamb, C.W. and Dunne, P. (Eds), Conceptual and Theoretical Developments in Marketing, American Marketing Association, Chicago.
Bagozzi, R.P.,&Philips,(1991),“Assessing construct validity in or- ganizational research”, Administrative Science Quarterly, Vol. 36.
Baumeister, Hubert,(2002),”Customer Relationship Management for smes” , Germany
Becker, J, Greve,&Albers,(2009),“The impact of technologi- cal and organizational implementation of CRM on customer acquisition, maintenance, and retention”, Internatio- nal Journal of Research in Mar- keting, Vol. 26.
Bose, R,(2002), “Customer relationship management: key compo- nents for IT success”, Industrial Management & Data Systems, Vol. 102 No. 2.
Brewton, J.&Schiemann.W,(2003), “Measurement: the missing ingredient in today’s CRM strategy”, Cost Management ,Vol. 17 No. 1. 10. Bueren, A., Schierholz, R., Kolbe, L.M.&Brenner, W,(2005), “Improving performance of customer-processes with knowledge manage- ment”, Business Process Management Journal, Vol. 11 No. 5.
Buttle, F,(2004),”Customer Relationship Management: Concept and Tools”, Elsevier, Burlington, MA.
Caulfield,B,(2001),“Facing up to CRM”,avaliable at: www.busi- ness2.com/articles/mag/print/ 0,1643,16663,00 .html (accessed 3 January. 13. Chen, I.J.&Popovich, K,(2003),“Understanding customer rela- tionship management (CRM)”, Business Process Management Journal, Vol. 9 No. 5.
Churchill, G.A,(1979),“A paradigm of developing better measures of marketing constructs”, Journal of Marketing Research, Vol. 16.
Cohen, J,(1988),”Statistical Power Analysis for the Behavi - oral Sciences, Lawrence Erlbaum Associates, Hillsdale, NJ.
Cronbach, L.J”(1951),“Coefficient alpha and the internal structure of tests”, Psychometrika, Vol. 16.
Crosby, L.A., Evans, K.R&Cowles,D,(1990),“Relation ship qual- ity in services selling: an interpersonal influence perspective”,The Journal of Marketing, Vol. 54 No. 3.
Day, G.S.&van den Bulte, C,(2002),“Superiority in customer re- lationship management: consequences for competitive advantage and per- formance”, working paper, Wharton School of Economics, University of Pennsylvania, Pennsylvania, PA.
Devellis, R.F,(2003),”Scale Development: Theory and Applica- tions”, Sage, Thousand Oaks, CA.
Dignan, L,(2002),“Is CRM all it’s cracked up to be?”, avaliable at: http://news.cnet.com/2102- 1017-874356.html (accessed 12 June 2008). 21. Dorsch, M.J., Swanson, S.R&Kelley, S.W,(1998),“The role of re- lationship quality in the satisfaction of vendors as perceived by custom- ers”, Journal of the Academy of Marketing Science, Vol. 26 No. 2.
Dwyer, F.R. and Oh, S,(1987),“Output sector munificence effects on the internal political economy of marketing channels”,Journal of Mar- keting Research, Vol. 24.
Eid, R,(2007),“Towards a successful CRM ımplementation in banks: an integrated model”,The Service Industries Journal, Vol. 27.
Ganzaroli , Andrea&Lorenzon,Antonio and Pilotti , Lu- ciano,(2003),” Rules of the CRM technologies trajectories to manage mar- keting knowledge to sustain the competitiveness and the business value creation: a European comparison”.
Ghahfarokhi, A.D.&Zakaria, M.S,(2009),“The impact of CRM on customer retention in Malaysia”, Proceedings of the International Confer- ence on Electrical Engineering and Informa tics, Selangor, Malaysia, 5-7 August, Vols 1/2.
Grant, J.S&Davis, L.L,(1997),“Selection and use of content ex- perts for instrument development”, Research in Nursing and Healt, Vol. 20.
Gro ̈nroos, C,(1989),“Defining marketing: a market-oriented ap- proach”, European Journal of Marketing, Vol. 23 No. 1.
Gro ̈nroos, C.(2000),”Service Management and Marketing: A Customer Relationship Management Approach, Wiley, Chichester”.
Hellweg, E,(2002),“CRM success: still the exception, not the rule”, avaliable at: www.business2. Com/articles/web/ print/0,1650,42051,00. html.
Hinkin, T.R,(1998),“A brief tutorial on the development of meas- ures for use in survey questionnaires”, Organizational Research Methods, Vol. 1 No. 1.
Hoffman,Douglas&Bateson.g.,(1997),”Essentials of services marketing”,The Dryden press,Harcourt brace college poblisher.
Jain, R., Jain, S. And Dhar, U,(2003),“Measuring customer rela- tionship management”, Journal of Service Research, Vol. 2 No. 2.
Jarrar, Y.F. and Neely, A,(2002),“Cross-selling in the financial sec- tor: customer profitability is key”, Journal of Targeting, Measurement and
Ahmed Ismaail Ibrahim Al-Mashhadani
Opcion, Año 35, Especial No 21 (2019): 2899-2921
Analysis for Marketing, Vol. 10 No. 3.
Kaplan, R.S. and Norton, D.P,(1992),“The balanced scorecard – measures that drive performance”, Harvard Business Review, Vol. 70 No. 1.
Kellen, V,(2002),“crmmeasurement frameworks”, working paper, Depaol University, Chicago, IL.
Kim, H.S. and Kim, Y.G,(2009),“A CRM performance measure- ment framework: its development process and application”, Industrial Marketing Management, Vol. 38 No. 4.
Kim, J., Suh, E&Hwang, H,(2003),“A model for evaluating the effectiveness of CRM using balanced scorecard”, Journal of Interactive Marketing, Vol. 17 No. 2.
Ko, E., Kim, S.H., Kim, M. And Woo, J.Y,(2008),“Organizatio nal characteristics and the CRM adoptation process”, Journal of Business Research, Vol. 61.
Kohli, R., Piontek, F., Ellington, T., vanosdol, T., Shepard, M. And Brazel, G,(2001),“Managing customer relationships through e-busi- ness decision support applications: a case of hospital-physician collabora- tion”, Decision Support Systems, Vol. 32 No. 2.
Kotler , Philip & Armstrong , Gary ,(2005),”Marketing An Intro- duction “,Pearson Education , New Jerse.
Krol, C,(2002),“CRM strategies”, B to B, Vol. 87, p. 19. Kumar, N., Scheer, L.K. and Steenkamp, J.E.M,(1995),“The effects of supplier fairness on vulnerable resellers”, Journal of Marketing Research, Vol. 32. 42. Lagace, R.R., Dahlstrom, R. And Gassenheimer, J.B,(1991),“The relevence of ethical salesperson behavior on relationship quality: the phar- amaceutical industry”, Journal of Personal Selling & Sales Management, Vol. 11 No. 4.
Lages, C., Lages, C.R. and Lages, L.F,(2005),“The RELQUAL scale: a measure of relationship quality in export market ventures”, Jour- nal of Business Research, Vol. 58 No. 8.
Lee, D,(2003),“CRM: the truth, the whole truth and nothing but the truth”, Technology Evaluation Center, available at: www.technology- evaluation.com.
Leigh, T.W&Tanner, J.F,(2004),“Introduction: JPSSM special is- sue on customer relationship management”, Journal of Personal Selling & Sales Management, Vol. 24 No. 4.
Lin, R., Chen, R&Chui,K.K,(2010),“Customer relationship man- agement and innovation capability: an empirical study”,Industrial Management&Data Systems, Vol. 110 No. 1.
Lindgreen, A&Wynstra, F,(2005),“Value in business markets: what do we know? Where are we going?”,Industrial Marketing Manage- ment,Vol.34 No. 7.
Lindgreen, A.&Palmer, R.&Vanhamme, J&Wouters, J,(2006),“A relationship management assessment tool: questioning, identifying, and prioritizing critical aspects of customer relationships”, Industrial Market- ing Management, Vol. 35 No. 1.
Loiacono, E.T.&Watson, R.T&Goodhue, D.L,(2007),“webqual: an instrument for consumer evaluation ofweb sites”, International Journal of Electronic Commerce,Vol. 11No. 3.
Mcdonald, R.P,(1985), Factor Analysis and Related Methods, Lawrence Erlbaum Associates, Hillsdale, NJ.
Meagher,D,(2002),“crmtechnology yet to find true use”,Australi- an Financial Review, Vol. 17.
Mendoza,L.E&Marius,A&Perez,M&Griman,A.C,(2007),“Criti- cal success factors for a customer relationship management strategy”, In- formation and Software Technology, Vol. 49 No. 8.
Mithas, S&Krishnan, M.S&Fornell, C,(2005),“Why do customer relationship management applications affect custo mer satisfaction?”,Jour- nal of Marketing, Vol. 69.
Mosad, Z,(2006),”The royalty of loyalty: CRM, quality and reten- tion”, Journal of Consumer Marketing, Vol. 23 No. 7.
Nunnally, J.C,(1978),”Psycholometric Theory”, mcgraw-Hill, New York, NY.
O’Brien J . A . ,(2002),”Management Information System , Man- aging Information Technology in the E - Business Enterprise”, mcgraw - Hill/Irwin .
Oztays,Basar&Sezgin,Selime&Ozok,Ahmet Fahri,(2011),”A measurement tool for customer relationship management processes”,Em- erald Group Publishing Limited, Vol. 111 No. 6.
Parasuraman,A&Zeithaml, V.A&Berry, L.L,(1988),“SERVQUAL: a multiple-item scale for measuring consumer perceptions of service quali- ty”, Journal of Retailing, Vol. 64 No. 1.
Parvatiyar,A&Sheth,J.N,(2001),“Customer relationship manage- ment: emerging practice, process, and discipline”,Journal of Econom- ic&Social Research, Vol. 3 No. 2.
Payne, A&Frow, P,(2005),“A strategic framework for customer relationship management”, Journal of Marketing, Vol. 69 No. 4.
Poukkula, Karolina,(2004),”Understanding Learning Processes in Customer
Reinartz,W&Krafft,M&Hoyer,W.D,(2004),“The customer re- lationship management process: its measurement and impact on perfor- mance”, Journal of Marketing Research, Vol. 16.
Richards, K.A&Jones, E,(2008),“Customer relationship manage- ment: finding value drivers”, Industrial Marketing Management, Vol. 37 No. 2.
Rigby, D.K&Frederick, F.R&Phil, S,(2002),“Avoid the four perils of CRM”, Harvard Business Review, Vol. 80 No. 2.
Roberts, K&Varki, S&Brodie, R,(2003),“Measuring the quality of relationships in customer services: an empirical study”, European Journal of Marketing, Vol. 37 Nos 1/2.
Sheth, J.N,(2002),“The future of relationship marketing”,Journal of Services Marketing, Vol. 16 No. 7.
Sin, L.Y.M&Tse, A.C.B&Yim, F.H.K,(2005),“CRM: conceptual- ization and scale development”, European Journal of Marketing, Vol. 39 Nos 11/12,.
Starkey, M.W&Williams, D&Stone, M,(2002),“The state of cus- tomer management performance in Malaysia”, Marketing Intelligence & Planning, Vol. 20 No. 6.
Tabachnick,B.G&Fidell,L.S,(2001),”usingmultivariate Statis- tics”,Harper &Row,newyork,NY.
Tanner, J.F&Ahrearne, M&Leigh, T.W&Mason, C.H&Moncrief, W. (2005), “CRM in sales-intensive organizations: a review and future directions”, Journal of Personal Selling & Sales Management, Vol. 25. 71. Teklitz,Frank & mccarthy ,Robert,(1999) ,” Analytical Custom- er Relationship Management “httpwww.dmreview.comwhitepapercrmd. pdf
Verhoef, P.C,(2003), “Understanding the effect of customer rela- tionship management efforts on customer retention and customer share development”, Journal of Marketing, Vol. 67.
Winer, R.S,(2001),“A framework for customer relationship man- agement”, California Management Review, Vol. 43.
Woodcock, N&Stone, M&Foss, B,(2003),”The Customer Man- agement Scorecard: Managing CRM for Profit”, Kogan Page, London. 75. Worthington, R.L&Whittaker, T.A,(2006),“Scale development re- search: a content analysis and recommendations for best practices”, The Counseling Psychologist, Vol. 34 No. 6.
Yim, F.H&Anderson,R.E&Swaminathan,S,(2004),“Customer re- lationship management its dimensions and effect on customer outcomes”, Journal of Personal Selling & Sales Management, Vol. 24.
Zablah, A.R&Bellenger, D.N& Johnston, W.J,(2004),“An evalua- tion of divergent perspectives on customer relationship management: to- wards a common understanding of an emerging phenomenon”, Industrial Marketing Management, Vol. 33 No. 6.
Zikmund,W.G&mcleod,R&Gilbert,F.W,(2003),”Customer Re- lationship Management: Integrating Marketing Strategy and Information Technology”, Wiley, Hoboken, NJ.