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1 IT-Management Discourse: Topics and Authorship
Innovative Capabilities and the Role of Consultants in the Information Economy IT-Management Discourse: Topics and Authorship This presentation is optimized for WinXP-Powerpoint Some of the grey hyperlinks may not work with OSX.

2 Table of contents Introduction Theoretical Considerations
1 2 3 4 5 6 Introduction Theoretical Considerations Research Design IT-Management Concepts: Discourse Analysis via Media Traces CRM Case Study Conclusions Introduction Theoretical Considerations Research Design IT-Management Concepts: Discourse Analysis via Media Traces CRM Case Study Conclusions

3 Overall Research Project
1 2 3 4 5 6 IT-Management Concepts Subproject SOFI GÖ: IT- Management Discourse Subproject MA Univ.: Case Studies Subproject ZEW: Survey Management Dissemination Outcomes Effects IT-Consulting Project IT-Consultants Organizational Fields and Discourse

4 Table of contents Introduction Theoretical Considerations
1 2 3 4 5 6 Introduction Theoretical Considerations Research Design IT-Management Concepts: Discourse Analysis via Media Traces CRM Case Study Conclusions Introduction Theoretical Considerations Research Design IT-Management Concepts: Discourse Analysis via Media Traces CRM Case Study Conclusions

5 Emergence and Change of Management Knowledge Actors and Processes
1 2 3 4 5 6

6 Rise and Decline of Management Concepts and the Role of Actors: Results and Shortcomings
1 2 3 4 5 6 Translation instead of diffusion (Latour; Czarniawska/ Joerges) Labels and/or akronyms and their wider horizon of meaning: Interpretative Flexibility (Konrad; Heusinkveld; Benders; Ortmann) The Embeddedness of „Fashion Setters“ (e.g. Faust; Clark/Greatbatch) The Role of Fields and Discourse: „Interorganizational Community“ (Swanson/Ramiller; Bloomfield/Vudurbakis) Fashion and possible Institutionalization: Taken-for-granted, Textbook-knowledge (Czarniawska/Joerges) Selective Focussing of Problems by guiding ideas („Leitbilder“) not-intended effects: cycles or spirals (Deutschmann) Fashion as both progress and rationality; referring to early adopters (Abrahamson)

7 „professional projects“
Innovating with IT: Coping with uncertainty. „Organizational Visions“ and Building (on) „Collective Expectations“ 1 2 3 4 5 6 „The Social Dynamics of Expectations“ (Konrad) „collective expectations“ Prerequisite of action, Exerts „image pressure“ „interpretative flexibility“ in evaluation results „Organizing Visions“ (Swanson/Ramiller) Collectively held expectations „Image of the innovation“ Interpretation, Legitimation Mobilization „Institutional Production“ from the beginning Field, Community Level, societal Discourse Strategic influence Expecting Expectations Sensemaking „professional projects“ Organizational (meso level) Individual (micro level) Individual and specific expectations Innovating Organization Innovation Promoters Software/Hardware Producer/Vendor Concept Provider

8 IT-Management concepts or Innovating with IT: What´s different?
1 2 3 4 5 6 Organizing/Strategizing Vision or Efficiency/Effectiveness Expectations Loosely coupled with: Artefacts: Computer and Communication technology equipment, Application and System Software, Tools etc. Protocols, Standards, Methodologies Which implies: Investment in fixed assets, technological path dependency involved (integration problem) Different set of actors: Software/Hardware Vendors, IT-professionals, IT-consultants (3rd wave of the consulting profession: Kipping)

9 Table of contents Introduction Theoretical Considerations
1 2 3 4 5 6 Introduction Theoretical Considerations Research Design IT-Management Concepts: Discourse Analysis via Media Traces CRM Case Study Conclusions Introduction Theoretical Considerations Research Design IT-Management Concepts: Discourse Analysis via Media Traces CRM Case Study Conclusions

10 Research Design 1 2 3 4 5 6 Discourse analysis: Combining Expert Interviews and Media Analyses (quantitative, content analysis) Time span considered: 1997 – 2006 (embracing the Internet-Hype and stock market bubble) Topic cycles in different media types Participation and Roles of different actors Authorship and Cited Experts Analysis Content analysis for selected issues and critical phases

11 Table of contents Introduction Theoretical Considerations
1 2 3 4 5 6 Introduction Theoretical Considerations Research Design IT-Management Concepts: Discourse Analysis via Media Traces CRM Case Study Conclusions Introduction Theoretical Considerations Research Design IT-Management Concepts: Discourse Analysis via Media Traces CRM Case Study Conclusions

12 IT-(Management) Concepts Discourse and Media Traces
1 2 3 4 5 6 Selecting topics (expert interviews, document analysis) Methods (search routines; databases; media selection) Thematic media grouping as a Proxy for Discourse fields (IT, Management, General) Relative data (hits/number of all documents)

13 Selected Results (selected Topics) 1 2 3 4 5 6 E-business SOA
Outsourcing B2B KM IT Security Web Services DWH B2C RFID BI E-learning BPR Datamining BPM (Process) OLAP BSC EAI Offshoring IT-Outsourcing Podcasting Mobile IT Web 2.0 Workflow Manag. DSS CAD FIS E-recruiting BPM (Performance) Betriebsdatenerfassung SRM Nearshoring ERM Maschinendatenerfassung IT-Offshoring CRM IT-Nearshoring PLM SCM (selected Topics)

14 Outdated or institutionalized?
Selected Results 1 2 3 4 5 6 E-business SOA Outsourcing B2B KM IT Security Web Services DWH B2C RFID BI E-learning BPR Datamining BPM (Process) OLAP BSC EAI Offshoring IT-Outsourcing Podcasting Mobile IT Web 2.0 Workflow Manag. DSS CAD FIS E-recruiting BPM (Performance) Betriebsdatenerfassung SRM Nearshoring ERM Maschinendatenerfassung IT-Offshoring CRM IT-Nearshoring PLM SCM BPM (Process) OLAP BSC EAI Offshoring IT-Outsourcing Podcasting Mobile IT Web 2.0 Workflow Manag. DSS CAD FIS E-recruiting BPM (Performance) Betriebsdatenerfassung SRM Nearshoring ERM Maschinendatenerfassung IT-Offshoring CRM IT-Nearshoring PLM SCM BPM (Process) OLAP BSC EAI Offshoring IT-Outsourcing Podcasting Mobile IT Web 2.0 Workflow Manag. DSS CAD FIS E-recruiting e.g. Outdated or institutionalized?

15 Little or only recently recognized
Selected Results 1 2 3 4 5 6 E-business SOA Outsourcing B2B KM IT Security Web Services DWH B2C RFID BI E-learning BPR Datamining E-business SOA Outsourcing B2B KM IT Security Web Services DWH B2C RFID BI E-learning BPR Datamining BPM (Process) OLAP BSC EAI Offshoring IT-Outsourcing Podcasting Mobile IT Web 2.0 Workflow Manag. DSS CAD FIS E-recruiting BPM (Performance) Betriebsdatenerfassung SRM Nearshoring ERM Maschinendatenerfassung IT-Offshoring CRM IT-Nearshoring PLM SCM BPM (Performance) Betriebsdatenerfassung SRM Nearshoring ERM Maschinendatenerfassung IT-Offshoring CRM IT-Nearshoring PLM SCM BPM (Process) OLAP BSC EAI Offshoring IT-Outsourcing Podcasting Mobile IT Web 2.0 Workflow Manag. DSS CAD FIS E-recruiting BPM (Process) OLAP BSC EAI Offshoring IT-Outsourcing Podcasting Mobile IT Web 2.0 Workflow Manag. DSS CAD FIS E-recruiting e.g. Little or only recently recognized

16 Selected Results “Thematic Leadership” IT-press 1 2 3 4 5 6 E-business
SOA Outsourcing B2B KM IT Security Web Services DWH B2C RFID BI E-learning BPR Datamining BPM (Process) OLAP BSC EAI Offshoring IT-Outsourcing Podcasting Mobile IT Web 2.0 Workflow Manag. DSS CAD FIS E-recruiting BPM (Performance) Betriebsdatenerfassung SRM Nearshoring ERM Maschinendatenerfassung IT-Offshoring CRM IT-Nearshoring PLM SCM BPM (Performance) Betriebsdatenerfassung SRM Nearshoring ERM Maschinendatenerfassung IT-Offshoring CRM IT-Nearshoring PLM SCM BPM (Process) OLAP BSC EAI Offshoring IT-Outsourcing Podcasting Mobile IT Web 2.0 Workflow Manag. DSS CAD FIS E-recruiting E-business SOA Outsourcing B2B KM IT Security Web Services DWH B2C RFID BI E-learning BPR Datamining e.g. “Thematic Leadership” IT-press IT self-rationalization and/or still looking for a business case

17 (continuing in M. declining in IT.)
Selected Results 1 2 3 4 5 6 BPM (Performance) Betriebsdatenerfassung SRM Nearshoring ERM Maschinendatenerfassung IT-Offshoring CRM IT-Nearshoring PLM SCM BPM (Process) OLAP BSC EAI Offshoring IT-Outsourcing Podcasting Mobile IT Web 2.0 Workflow Manag. DSS CAD FIS E-recruiting E-business SOA Outsourcing B2B KM IT Security Web Services DWH B2C RFID BI E-learning BPR Datamining E-business SOA Outsourcing B2B KM IT Security Web Services DWH B2C RFID BI E-learning BPR Datamining BPM (Process) OLAP BSC EAI Offshoring IT-Outsourcing Podcasting Mobile IT Web 2.0 Workflow Manag. DSS CAD FIS E-recruiting BPM (Performance) Betriebsdatenerfassung SRM Nearshoring ERM Maschinendatenerfassung IT-Offshoring CRM IT-Nearshoring PLM SCM (continuing in M. declining in IT.) e.g. “Thematic Leadership” Management-press

18 Fairly Equal Thematization
Selected Results 1 2 3 4 5 6 BPM (Performance) Betriebsdatenerfassung SRM Nearshoring ERM Maschinendatenerfassung IT-Offshoring CRM IT-Nearshoring PLM SCM BPM (Process) OLAP BSC EAI Offshoring IT-Outsourcing Podcasting Mobile IT Web 2.0 Workflow Manag. DSS CAD FIS E-recruiting E-business SOA Outsourcing B2B KM IT Security Web Services DWH B2C RFID BI E-learning BPR Datamining E-business SOA Outsourcing B2B KM IT Security Web Services DWH B2C RFID BI E-learning BPR Datamining BPM (Process) OLAP BSC EAI Offshoring IT-Outsourcing Podcasting Mobile IT Web 2.0 Workflow Manag. DSS CAD FIS E-recruiting BPM (Performance) Betriebsdatenerfassung SRM Nearshoring ERM Maschinendatenerfassung IT-Offshoring CRM IT-Nearshoring PLM SCM e.g. Fairly Equal Thematization

19 Subsequent Topics (example)
Selected Results 1 2 3 4 5 6 BPM (Performance) Betriebsdatenerfassung SRM Nearshoring ERM Maschinendatenerfassung IT-Offshoring CRM IT-Nearshoring PLM SCM BPM (Process) OLAP BSC EAI Offshoring IT-Outsourcing Podcasting Mobile IT Web 2.0 Workflow Manag. DSS CAD FIS E-recruiting E-business SOA Outsourcing B2B KM IT Security Web Services DWH B2C RFID BI E-learning BPR Datamining E-business SOA Outsourcing B2B KM IT Security Web Services DWH B2C RFID BI E-learning BPR Datamining BPM (Process) OLAP BSC EAI Offshoring IT-Outsourcing Podcasting Mobile IT Web 2.0 Workflow Manag. DSS CAD FIS E-recruiting BPM (Performance) Betriebsdatenerfassung SRM Nearshoring ERM Maschinendatenerfassung IT-Offshoring CRM IT-Nearshoring PLM SCM BPM (Process) OLAP BSC EAI Offshoring IT-Outsourcing Podcasting Mobile IT Web 2.0 Workflow Manag. DSS CAD FIS E-recruiting start trace! Subsequent Topics (example)

20 Significant Public Interest
Selected Results 1 2 3 4 5 6 BPM (Performance) Betriebsdatenerfassung SRM Nearshoring ERM Maschinendatenerfassung IT-Offshoring CRM IT-Nearshoring PLM SCM BPM (Process) OLAP BSC EAI Offshoring IT-Outsourcing Podcasting Mobile IT Web 2.0 Workflow Manag. DSS CAD FIS E-recruiting E-business SOA Outsourcing B2B KM IT Security Web Services DWH B2C RFID BI E-learning BPR Datamining E-business SOA Outsourcing B2B KM IT Security Web Services DWH B2C RFID BI E-learning BPR Datamining BPM (Process) OLAP BSC EAI Offshoring IT-Outsourcing Podcasting Mobile IT Web 2.0 Workflow Manag. DSS CAD FIS E-recruiting BPM (Performance) Betriebsdatenerfassung SRM Nearshoring ERM Maschinendatenerfassung IT-Offshoring CRM IT-Nearshoring PLM SCM e.g. Significant Public Interest

21 + more recent modest rediscovery
Selected Results 1 2 3 4 5 6 BPM (Performance) Betriebsdatenerfassung SRM Nearshoring ERM Maschinendatenerfassung IT-Offshoring CRM IT-Nearshoring PLM SCM BPM (Process) OLAP BSC EAI Offshoring IT-Outsourcing Podcasting Mobile IT Web 2.0 Workflow Manag. DSS CAD FIS E-recruiting E-business SOA Outsourcing B2B KM IT Security Web Services DWH B2C RFID BI E-learning BPR Datamining E-business SOA Outsourcing B2B KM IT Security Web Services DWH B2C RFID BI E-learning BPR Datamining BPM (Process) OLAP BSC EAI Offshoring IT-Outsourcing Podcasting Mobile IT Web 2.0 Workflow Manag. DSS CAD FIS E-recruiting BPM (Performance) Betriebsdatenerfassung SRM Nearshoring ERM Maschinendatenerfassung IT-Offshoring CRM IT-Nearshoring PLM SCM e.g. e.g. Classic Bell-shaped + more recent modest rediscovery

22 (Up after 2001 in IT.; down since 1997 in M.)
Selected Results BPM (Performance) Betriebsdatenerfassung SRM Nearshoring ERM Maschinendatenerfassung IT-Offshoring CRM IT-Nearshoring PLM SCM BPM (Process) OLAP BSC EAI Offshoring IT-Outsourcing Podcasting Mobile IT Web 2.0 Workflow Manag. DSS CAD FIS E-recruiting E-business SOA Outsourcing B2B KM IT Security Web Services DWH B2C RFID BI E-learning BPR Datamining E-business SOA Outsourcing B2B KM IT Security Web Services DWH B2C RFID BI E-learning BPR Datamining BPM (Process) OLAP BSC EAI Offshoring IT-Outsourcing Podcasting Mobile IT Web 2.0 Workflow Manag. DSS CAD FIS E-recruiting BPM (Performance) Betriebsdatenerfassung SRM Nearshoring ERM Maschinendatenerfassung IT-Offshoring CRM IT-Nearshoring PLM SCM (Up after 2001 in IT.; down since 1997 in M.) e.g. (peek 2002) Increasing Relevancy after Internet Bubble

23 Selected Results More recent upswing 1 2 3 4 5 6 BPM (Performance)
Betriebsdatenerfassung SRM Nearshoring ERM Maschinendatenerfassung IT-Offshoring CRM IT-Nearshoring PLM SCM BPM (Process) OLAP BSC EAI Offshoring IT-Outsourcing Podcasting Mobile IT Web 2.0 Workflow Manag. DSS CAD FIS E-recruiting E-business SOA Outsourcing B2B KM IT Security Web Services DWH B2C RFID BI E-learning BPR Datamining Compliance E-business SOA Outsourcing B2B KM IT Security Web Services DWH B2C RFID BI E-learning BPR Datamining Compliance BPM (Process) OLAP BSC EAI Offshoring IT-Outsourcing Podcasting Mobile IT Web 2.0 Workflow Manag. DSS CAD FIS E-recruiting BPM (Performance) Betriebsdatenerfassung SRM Nearshoring ERM Maschinendatenerfassung IT-Offshoring CRM IT-Nearshoring PLM SCM e.g. More recent upswing e.g.

24 IT-(Management) Concepts Discourse and Media Traces
1 2 3 4 5 6 Topic cycles give hints at relevance (attraction of attention), and timing for sub-groups and general public, and succession of topics. Can be combined with existing broader context knowledge Open questions: Shift of Meaning across time (interpretative flexibility) Different context specific meaning (Translation) Substitution of „Buzzword“ for mostly unmodified practice (different legitimation context) Meaning of decline: Rejection, irrelevance or taken-for-granted.

25 IT-(Management) Concepts Discourse and Media Traces
1 2 3 4 5 6 Only broad hints at „authorship“ (initiator, discourse participants, discoursive roles) Consequences: More detailed analysis of „authorship“ Content analysis Combined with broader case study approach

26 Selected Authorship Analysis
1 2 3 4 5 6 © 2007 D.Schaeffer

27 Selected Authorship Analysis
1 2 3 4 5 6 © 2007 D.Schaeffer

28 Selected Authorship Analysis
1 2 3 4 5 6 More to come: Topic related Time related Cited Experts included © 2007 D.Schaeffer

29 Table of contents Introduction Theoretical Considerations
1 2 3 4 5 6 Introduction Theoretical Considerations Research Design IT-Management Concepts: Discourse Analysis via Media Traces CRM Case Study Conclusions Introduction Theoretical Considerations Research Design IT-Management Concepts: Discourse Analysis via Media Traces CRM Case Study Conclusions

30 CRM Case Study 1 2 3 4 5 6 Expert interviews
Media Analysis including content analysis Analysis of Case specific Media and Arenas

31 CRM Traces 1 2 3 4 5 6

32 1 2 3 4 5 6 Reengineering Downsizing Internet Bubble IT Crisis
(Cost Cutting, Outsourcing, Consolidation) New Growth Era? CRM Recovery? 1 2 3 4 5 6 Relationship Marketing Customer Focus CAS (Computer Aided Selling) Before CRM MM AW CW SFA (Sales Force Automation) Front-Office Solutions establish! Large-Scale B2C Markets Telco-, Utilities and Banking Privatization and Deregulation DWH, BI, Datamining Internet as a new Distribution Channel Status enhancement of Marketing and Sales as Function or „Profession“ 1995 2000 2005 2007 1997

33 CRM: Institutionalized Discourse
1 2 3 4 5 6 CRM-Expo as a specialized fair (since 1999) CRM as a highlighted topic of the general IT fair CeBit („CRM Arena“ 2007) CRM Best Practice Award CRM-specialized consultants CRM Forum (expert network, online-community) Offered by all major vendors and consulting firms, increasingly integrated within ERP packages (SAP) Rubrics (in CIO and Computerwoche) Covered by major analysts (Gartner,Meta Group, IT-research) and Consultant Reports (CapGemini) „CRM roadshow“ (Computerwoche) Increasingly mentioned: CRM-Manager Certification of CRM software packages (by Hewson Group Analysts and Schwetz Consulting) CRM Expo

34 Discourse Participants CRM Expo 2007
1 2 3 4 5 6 CRM-Expo Advisory Board: Software vendors have the lead (Update, SAP, Microsoft, Oracle, Adito) CRM-Expo judges selecting convention contributions: 1 IT-Consultant 1 Marketing Consultant 2 Professors (Marketing) CRM-Expo convention speakers: Vendors Consultants Practitioners © 2007 D.Schaeffer

35 Table of contents Introduction Theoretical Considerations
1 2 3 4 5 6 Introduction Theoretical Considerations Research Design IT-Management Concepts: Discourse Analysis via Media Traces CRM Case Study Conclusions Introduction Theoretical Considerations Research Design IT-Management Concepts: Discourse Analysis via Media Traces CRM Case Study Conclusions

36 Conclusions and Outlook
1 2 3 4 5 6 The Set of Actors: Mobiles and path-dependent The need for coalitions beyond IT-experts and vendors Vendors surprisingly (?) in the lead The role of discourse: Construction, stabilization, modification and (possibly) de-construction IT-consultants as Salesforce or benevolent Critics Innovative IT-Management-Concepts and „reflexive rationalization“: Renunciation from a (perceived, constructed) problematic Past Remaining interpretative flexibility The possibility of institutionalization (from fashion to „master idea“) However, high incentives to innovate the innovation Remaining problem: How to detect, describe and fix a possible underlying continuity: which language is available? Problems for standardized diffusion surveys

37 Thanks for your Attention
1 2 3 4 5 6 Friedländer Weg Göttingen Tel.: ( )522050

38 CAD © 2007 D.Schaeffer back

39 Web 2.0 © 2007 D.Schaeffer back

40 EAI © 2007 D.Schaeffer back

41 (continuing in M. declining in IT.)
BSC (continuing in M. declining in IT.) © 2007 D.Schaeffer back

42 BPM (Process) © 2007 D.Schaeffer back

43 E-business „New Era“ back Public Interest (popular
weekly & daily press) Public Interest © 2007 D.Schaeffer back

44 CRM Classic Bell-shaped another back Bell-shaped (recent rediscovery)
© 2007 D.Schaeffer another Bell-shaped back

45 bellshaped) E-business (bellshaped)
„New Era“ Classic Bell-shaped (recent rediscovery) (popular weekly & daily press) Public Interest © 2007 D.Schaeffer back

46 Outsourcing back (upswing after 2001 in IT-Press)
(downward since 1997 in Management-Press) © 2007 D.Schaeffer back

47 (non intended effects, reaction to more open systems)
IT-Security „New Era“ (non intended effects, reaction to more open systems) © 2007 D.Schaeffer another recent theme back

48 (new possibilities - new duties; states as initiating actors)
Compliance „New Era“ (new possibilities - new duties; states as initiating actors) © 2007 D.Schaeffer back

49 „Manager Magazin“ Visibility of SFA - CRM (1995-2006)
3 4 5 6 CRM Story 1 2 another source back

50 „Absatzwirtschaft“ Visibility of SFA - CRM (1995-2006)
3 4 5 6 CRM Story 1 2 another source back

51 „Computerwoche“ Visibility-traces of SFA - CRM - CAS (1995-2007)
3 4 5 6 CRM Story Normalization: aggregated hits of a single topic =100% 1 2 3 4 5 6 Siebel/Malone (1996/1998): CAS/SFA Crisis Diagnosis: 50% Failure read more back next event

52 „Computerwoche“ Visibility-traces of SFA - CRM - CAS (1995-2007)
3 4 5 6 CRM Story Normalization: aggregated hits of a single topic =100% 1 2 3 4 5 6 1:1 Marketing (1998) „So-called“ CRM (1997) back Expectation and coalition building ( ) last event next event read more

53 „Computerwoche“ Visibility-traces of SFA - CRM - CAS (1995-2007)
3 4 5 6 CRM Story Normalization: aggregated hits of a single topic =100% 1 2 3 4 5 6 Early warnings (1999): Sales Force reluctance Customer reservation read more back CRM as a„Philosophy“ last event next event CRM as a Must-Have CRM „in Fashion“

54 „Computerwoche“ Visibility-traces of SFA - CRM - CAS (1995-2007)
3 4 5 6 CRM Story Normalization: aggregated hits of a single topic =100% 1 2 3 4 5 6 Return of the Supressed (2000 ff) read more Fierce Price Competition Discount-Strategy ( ) back last event next event

55 „Computerwoche“ Visibility-traces of SFA - CRM - CAS (1995-2007)
3 4 5 6 CRM Story Normalization: aggregated hits of a single topic =100% 1 2 3 4 5 6 back Gartner (2003): CRM Crisis Diagnosis: 60% Failure last event CRM only Nice-to-have next event Coupled with VBM

56 „Computerwoche“ Visibility-traces of SFA - CRM - CAS (1995-2007)
3 4 5 6 CRM Story Normalization: aggregated hits of a single topic =100% 1 2 3 4 5 6 read more Recent Recovery back „Save CRM“-Initiative CRM as a „journey“ (2007) Institutionalized CRM Discourse last event „Indian Summer“ for CRM (2006)

57 CRM: Customer Relationship Management
1 2 3 4 5 6 Internet Bubble Reengineering Downsizing New Growth Era? CRM Recovery? 1995 2000 2005 2007 1997 SFA (Sales Force Automation) CAS (Computer Aided Selling) Front-Office Solutions DWH, BI, Datamining Telco-, Utilities and Banking Privatization and Deregulation Large-Scale B2C Markets Internet as a new Distribution Channel Relationship Marketing Customer Focus Status enhancement of Marketing and Sales as Function or „Profession“ IT Crisis (Cost Cutting, Outsourcing, Consolidation Price Competition) Incumbent vendors CRM: Customer Relationship Management established as a discourse and a field Alliances with IT-consultants Database Vendors Start-ups „Neuer Markt“

58 Siebel/Malone (1996) Virtual Selling: Going Beyond the Automated Sales Force to Achieve Total Sales Quality 1 2 3 4 5 6 CRM Story „Siebel and Malone describe their sales philosophy called "virtual selling," show how it is put into action, and then describe a final goal for the process (the "Informed Sales Force" ). Excellent points are made against blind faith in technology and the experience many companies have with serious shortcomings in their salesforce automation system. The authors point out that in the race to automate sales, the software is often used as a means of cost reduction, with word processing, spreadsheets, , etc., used for control and analysis rather than aimed at improving the sales process. Their solution is the Informed Sales Force, which uses technology to maximize the individual salesperson's selling time, provide computer access to all corporate and marketing information relevant to the sale, and position the salesperson to make critical decisions independently. Although the book offers valuable insights, it is highly theoretical. Nevertheless, with the surge in usage of automated sales technology (sales of such systems estimated to be $700 million in 1995 and $10 billion by 2000), this book is a good resource for considering the potential value of such technology and its pitfalls. (Amazon Booklist) 1 2 3 4 5 6 1 2 3 Siebel article back

59 Siebel/Malone (1996) The Organizing/Strategizing Vision Critizing the unsufficient Past: The CAS/SFA Failure 1 2 3 4 5 6 CRM Story 1 2 3 4 5 6 7 1 2 3 Siebel/Malone: „Most Sales-Force-Automation tools don´t work“ (CW July 1997) Siebel und Malone caution about exaggerated faith in progress regarding Sales information systems: companies were moving on the brink when trying to impose technologically advanced SFA tools on existing sales organization. Processes would get more more complicated, team building would be hampered, and even additional work created.“ (CW July 1997) second book back

60 Siebel/Malone (1998) Die Informationsrevolution im Vertrieb (Gabler) (German edition)
2 3 4 5 6 CRM Story „Das Buch zeigt, wie es gelingt, durch die gelungene Kombination moderner Managementmethoden mit neuester Informationstechnologie den Verkaufserfolg zu steigern und echte Kundennähe zu erreichen. Jedes zweite Unternehmen beklagt schwerwiegende Mängel beim Einsatz von CAS-Systemen. Woran liegt das? Computer Aided Selling, so die Autoren, hat zwar die administrativen Tätigkeiten im Verkauf erleichtert, aber den Verkaufsprozess insgesamt nicht optimiert. Unternehmen, die auch in Zukunft im Wettbewerb bestehen wollen, müssen die Möglichkeiten von CAS besser ausschöpfen und die umfassende Informationsversorgung Ihrer Verkaufsteams sicherstellen. Nur so können Verkäufer als Unternehmer im Unternehmen flexibel und kundenorientiert agieren und Total Quality im Verkauf erreichen.“(Amazon Kurzbeschreibung) (Amazon Booklist) Severe problems with CAS, only facilitating administrative work. Instead: Overall optimzation. The salesman as an Intrapreneur. Total Quality in Sales. Mobilizing the Salesmen for the Vision. 1 2 3 4 5 6 1 2 3 back

61 Expectation and coalition building (1997-2000)
3 4 5 6 CRM Story „First mentioned in connection with Internet/E-commerce as „so-called“ CRM (1997) „Software vendors and Analysts see a gigantic market emerge“ (CW July 1997): from 700 mio. $ in 1995 to 10 billion $ in 2000. Expectation building and stock market dynamics: venture capital and IPOs (e.g. TPS Labs): promising 35% growth each year Software Vendors use IT-consultants as „Salesforce“; Consultants use Software implementation projects to sell their competence in „customer focused“ business strategies: SAS - PW, Deloitte, KPMG und HP; Siebel – PW „worldwide alliance“: 350 consultants trained in Siebel products in 1997. Siebel gains Siemens as a prominent customer Incumbent (ERP) software vendors buy specialist boutiques (e.g. Baan – Aurum; IBM – Corepoint) 1 2 3 4 5 6 1 2 3 back more

62 Expectation and coalition building (1997-2000)
3 4 5 6 CRM Story 1 2 3 4 5 6 „Database, Data Warehouse, and Data Mining Vendors looking for business expansion: from „tools“ to „solutions“, using Martha Rogers „One-to-one Marketing“: establish a „learning relationship“ with customers! (CW 1998). Not to have a CRM product is considered as a deficiency (Edwards, CW 1999) „Today the question is not any more what the implementation of CRM costs but what are the costs of not having a CRM“ (Marketing Manager on first CRM-Expo, CW 1999) 1 2 3 Example Vision back

63 Expectation and coalition building (1997-2000)
3 4 5 6 CRM Story Example Vision 1 2 3 4 5 6 Internet and network technology with its all embracing reach allows to collect and distribute huge amounts of data in shortest time. This implies a unique chance: virtual proximity to customers. In the old economic world it was considered an irrevocable fact that a firm has either to serve a broad, mostly anonymous mass clientele or is able to respond to individual needs of handpicked clients. Industry or manufactory – both together was impossible. Now it will go together after all. The Internet promises the end of the alleged indissoluble contradiction between mass and class (peach?) („Masse und Klasse“). In future, not the product or the service will determine what the customer will do with it. The request of the customer will form the supply of the firm. Finally, the customer will be really king. Companies that are able to interpret the needs of the customer and transform these into products and services, will make about 60% more profit, grow much stronger, and gain value more quickly than others, according to a study of Deloitte Research. (Manager Magazin June, 2000, own translation) 1 2 3 back

64 Early Warnings (1999) 1 2 3 4 5 6 1 2 3 4 5 6 1 CRM Story
„Benefit of CRM is widely unclear“ (Survey Meta Group) „Don´t love your customer to death!“ (Consultant) „To solely rely on modern hard- and software is wrong“ (Consultant) Ambitious projects relying on large-scale data warehouses fail (according to a Merrill Lynch report) Failures go back to missing „business case“, too broad and complex project design, coordination problems across functions and business units. (CW 1999 different issues) 1 2 3 4 5 6 1 back

65 Return of the Suppressed (2000 ff)
1 2 3 4 5 6 CRM Story The Rediscovery of early warnings and even CAS/SFA-issues. The overall changing scenario: The end of „nice-to-haves“: the need for the business case and evidence as a „value driver“; instead emphasis on cost reduction, outsourcing, system consolidation, and IT-security; overall changing view of IT-innovation. More Emphasis on human resource and organizational aspects of customer relations. „Companies have well been recognizing the subject. CRM is considered as one of the most important management topics in the recent years. However, many firms restrict their efforts to collect a hige amount of data about their customers. The analysis and transformation of information in tangible measures is often neglected. Worldwide 55 to 60 percent of all CRM-projects are failing, according to the estimation of Gartner Group analysts. Why? Most companies succumb to the fallacy to have solved all problems by buying a software package.“ (Manager Magazin 12/2002) 1 2 3 4 5 6 1 back

66 Recent Recovery (2005-2007) 1 2 3 4 5 6 1 2 3 4 5 6 1 CRM Story
„Indian Summer“ for CRM: A new growth story? Enlightment slope? More focused, less exciting Consulting Stories: CRM as a „philosophy“ and a „journey“ ROI still considered problematic: 52% only moderately satsified or complete disappointed, 32% confess that they cannot answer the question (Survey CapGemini 2006) The overall changing Scenario: new oppotunities for „nice-to-haves“? Inevitable: Differing and competing views and rationales (concurrent and cyclical movements) Diffusion or Translation. Instituionalization despite or because of Translation: Doing SFA under CRM? Rediscovery of the notion of Relationship in general? 1 2 3 4 5 6 1 Institutionalized Discourse back


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