1. Roland Berger & Partner GmbH – International Management Consultants
Customer Relationship Management – Consulting approach – Munich, June 2000
Roland Berger & Partner GmbH – International Management Consultants
Barcelona – Beijing – Berlin – Brussels – Bucharest – Budapest – Buenos Aires – Delhi – Detroit – Düsseldorf – Frankfurt – Hamburg – Kiev – Kuala Lumpur – Lisbon
London – Madrid – Milan – Moscow – Munich – New York – Paris – Prague – Riga – Rome – São Paulo – Shanghai – Stuttgart – Tokyo – Vienna – Zurich
Discussion_Paper_SAG.ppt

2. Content Page A. Introduction 3 B. Project objectives and scope 12
C. Approach 16
C.1 CRM target setting 19
C.2 CRM strategy and technology concept 34
C.3 CRM implementation 74
D. References 77
E. Appendix: Supporting tools to implement CRM 81
E.1 The Internet as a supporting CRM tool 82
E.2 The call center as a supporting CRM tool 93
This document was created for the exclusive use of our clients. It is not complete unless supported by the underlying detailed analyses and oral presentation. It must not be passed on to third parties except with the explicit prior consent of Roland Berger & Partners.
Discussion_Paper_SAG.ppt

3. A. Introduction
Discussion_Paper_SAG.ppt

4. "Do you have a single, integrated view of the customer today?"
The importance of an integrated Customer Care approach receives increasing awareness at top management level all over the world
"How important is a single, integrated view of the customer across your company"
"Do you have a single, integrated view of the customer today?"
Not at all important
Yes
Somewhat
Somewhat important
Not at all
Very important
Critical
Not really
Source: Forrester Research, basis: 50 Sales managers of Fortune 500 companies
Discussion_Paper_SAG.ppt

5. In the future, a company's value will increasingly depend on the value of its customer base
Factors influencing corporate valuation
Customer base
Discounted
cashflow method
Customer lifetime
value method
Employee base
Multiples
method
Industrial
society
Information
society
Market value added
method
Customer acquisi- tion cost method
Assets
Traditional industrial companies, e.g. manufacturing industry
Service companies, e.g. consulting firms, software companies
Internet companies
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

6. Value of customer base – corporate value
The value of the customer base is determined by the key factors individual customer value and size of the customer base
Value of customer base – corporate value
Increased corporate value
Higher customer net present value
Higher absolute number of customers
Customer cashflows
Number of customers
Annual profit/ customer 1 2 3 4 5 6 7 8
Price premiums
Recommendations
Cost savings
Sales growth per customer
Base profit
Acquisition cost
Customer retention rate
New customer acquisition rate
[%] t +
+x%
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

7. Overview of customer ownership and market value
The market value of the leading InfoCom companies clearly exceeds that of OEMs – the customer base is the key success factor
Overview of customer ownership and market value
DM 1,000/
customer
Points of customer contact
DM 1,100/
customer
Shopping
TV/media
Telephone/mobile
Banking
Sport
Car
DM 1,700/
customer
DM 4,700/
customer
DM 16,300/
customer
DM 10,700/
customer
DM 18,800/
customer
DM 4,500/
customer
DM 2,800/
customer
Number of customers in millions (12/99) Market value in DM billions (12/99)
Source: Roland Berger & Partners analysis
Discussion_Paper_SAG.ppt

8. Managing the customer relationship is a key lever to increase shareholder value
Example
Market and customer value
Today
Future
3.6
Managing the customer relationship
Market value
(bn Euro)
0.6
0.4
12/99
Potential
Customer Value
(Euro)
1.500 (Microsoft)
(AOL)
1.000 (Current)
Calculation basis: customers
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

9. Learning relationship
CRM is a strategy designed to increase individual customer value by establishing a long-term and systematic customer relationship 1
Initial contact with customer
Identification
Generating/ recording customer data
Increased customer retention
Wider range of services
Higher efficiency in contacting customers 2
Ongoing customer
relationship
Information
analysis
Customer profiles
Learning relationship
Forecasting buying behavior
Monitoring success
Developing customer benefits, e.g.
Value-added services
Customized offers 4 3
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

10. The „knowledge cycle“ is the key to successful CRM when dealing with customers
Actions to support network effects
Examples
Promotions of member- to-member interaction
Personalized system for members
Personal web page 2.
Customized interaction
Increased content attractivity
Service reminders
Conserving relationships
Product updates
Archive of chat contributions
Bonus programmes (e.g. web miles based on after sales frequency)
Examples
Increasing return of marketing & Sales
Higher loyalty
Community-generated content
Online discussions for members
Create profiles 3.
Partnerships with other organisations
Cross advertising
Partnerships with road side assistance
Creation of a market place/auction
Shopping malls
Partnership with auction provider
Examples
Questionaires on the net
Experience with a product
Customer history/profile 1.
Need to log-in for each member
For newsletters
For membership
Better knowledge about the client
Continous report of individual information
Monitoring of web-usage (focus of interest)
Source: Hagel/Armstrong; Roland Berger & Partners
Discussion_Paper_SAG.ppt

11. Opportunities offered by the Internet
The key lever for CRM success is the Internet innovative options for individual customer contact
Opportunities offered by the Internet
Maximum
volume
Maximum
customer potential
Enhanced loyalty: Changing occasional customers into loyal customers
Internet as convenience channel
Individual communication, e.g. my.com sites
Information-based value-added services 1
Marketing/sales cost 3
Broad-based customer communication: Cross selling
The Internet is used to collect information other than the individual product/service range
The Internet is used to address a wide range of products 2 1
Current
customer value
More efficient contact: Cost savings
The Internet is a low-cost sales channel
Option to provide individualized information (example mail-order: Catalogues tailored to customer profiles) 3
Product/ service range addressed 2
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

12. B. Project objectives and scope
Discussion_Paper_SAG.ppt

13. The strategic goals aim at sustainable growth and profitability
Strategic goals of CRM
Having a clear idea of the customers’ current and future needs
Increasing customer satisfaction
Enhance identification, segmentation, conquest and loyalty of customers
Responding quickly and efficiently to the customer bearing in mind its economic value
Reinforcing the awareness of the Group and of its service mix
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

14. CRM project objectives
The project objectives aim at a seamless implementation of CRM from vision to systems integration
CRM project objectives
Create a strong CRM vision and focus areas with highest business potential
Translate CRM vision into bold CRM strategy combined with a customized technology concept
Ensure a sustainable implementation supported by reliable CRM processes and systems
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

15. Business-channel matrix
The project covers the entire business-channel matrix with CRM applications to attract, penetrate and retain customers
Example
Business-channel matrix
Channel
Own concess
3rd party concess.
Tele- mktg.
Promo- tors
Inter- banco
Multi- rent
Inter- net
Inter- national
Direct
Stores
Business
SIVA    
CRM applications
Personalized customer dialogue
Personalized offerings
Customer retention module 
MULTIRENT      
INTERBANCO        
COMEPOR   
LGA  
SIXT     
RETALHO   
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

16. C. Approach
Discussion_Paper_SAG.ppt

17. CRM strategy and technology concept
The approach to define and implement Customer Relationship Management consists of three phases 1 2 3
Target setting
CRM strategy and technology concept
Implementation
Objectives
Development of a detailed CRM strategy within the overall sales & marketing strategy
Personal customer dialogue
Personalized offerings
Customer retention
Designing a technology concept in co-operation with CRM systems providers
Set up of detailed CRM business case
Analysis of customer requirements
Benchmarking and Best Practice analysis
Evaluation of existing CRM measures
Development of CRM vision and target system
Estimation of potentials
Implementation of CRM strategy and technology concept (work program to be detailed during phase II)
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

18. The customer relationship management strategy can be ready for implementation in 4.5 months
Timing
Project month 1 2 3 4 5
Activity
1 Target setting
2. CRM strategy
Personal customer dialogue
Personalized offerings
Customer retention program
Process and organizational implications
Pilot implementation
3. Technology concept
IT-Audit
Data-model and IT-infrastructure plan
Software and service provider selection
4. Implementation
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

19. C. Approach. C. 1 Target setting. C
C. Approach C.1 Target setting C.2 CRM strategy and technology concept C.3 Implementation
Discussion_Paper_SAG.ppt

20. Key questions „target setting“?
What customer segments are addressed by the CRM strategy and what are the segment-specific customer requirements?
Which benchmarks and best practices can be derived from automotive and non-automotive CRM applications?
How is current customer information deficit to be tackled?
To what extent can the project build upon existing CRM measures in the Group?
What is the vision as the guideline to define the CRM strategy?
What are quantified and measurable targets to evaluate business options and to track the implementation process in a consistent way?
What overall business potential (additional revenues and improved margins) is associated with the implementation of CRM?
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

21. The „target setting“ phase can be completed within 4 weeks (1)
Work schedule „target setting“
Project week 1 2 3 4
Activity
1. Analysis of customer requirements
Definition of relevant customer segments for the CRM strategy
Identification of segment specific requirements with regard to CRM applications
2. Benchmarking and Best Practice Analysis
Identification of relevant benchmarking targets
Gathering of bechmarking data from RB&P databases and external sources
Definition of relevant benchmarks and best practices
3. Evaluation of existing CRM measures
Analysis of existing point-of-contact structure of customers
Documentation and evaluation of existing CRM activities
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

22. The „target setting“ phase can be completed within 4 weeks (2)
Work schedule „target setting“
Project week 1 2 3 4
Activity
4. Development of the CRM vision and target system
Break down of CRM goals into detailed targets
Definition of target weights and measures
Set up of balanced score card for entire project
5. Estimation of potentials
Estimation of segment-specific revenue and margin improvements
Rough assessment of cost and investment requirements
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

23. The analysis of customer requirements will deliver segment-specific CRM related needs
Business to consumer
Business to business
Convenience
Information "on demand"
Individual problem solving
Entertainment
Price advantages
Cost reduction
Reduction of processing times
Service degree/access to services
Customer needs
Objectives
Customer loyalty/penetration
Reach new customers
Brand image
Quality of service
Efficiency improvement
Innovative business models
1) Fleets/direct customers
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

24. Example: CRM related content at Porsche
Benchmarking and best practice analysis will reveal feasible and attractive CRM opportunities
Example: CRM related content at Porsche
Company links
No data entry
Personalization via cookies only
Post cards
Via
Collects sender and recipient addresses
Travel club
Different travel offers
Online application
Total personalization …
Games
Simple little games
Personal information entry required in order to be listed in high score tables
Porsche newsletter
Newsletter subscription
Collects addresses
Guest book
No personalization since only entry of name required
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

25. Own product/ service range Degree of demand coverage
Transferable best practices can also be derived from non-automotive benchmarking targets
Bonus
program No
Yes
Holistic CRM players
Customer-specific
Degree of individuality
Customer segment-specific
No customiz-ation
Own product/ service range
Cross-selling
Entire demand range
Degree of demand coverage
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

26. Product/service range and partners Personalized Internet services
Particularly the airline industry is leapfrogging the development in customer retention programs including personalized services for target segments
General information
Product/service range and partners
American Airlines
Internet market entry of in 1995
Objectives: Online bookings from US$ 1.7 m per day (max.) in up to US$ 500 m total in 1999, further expansion of one-to- one customer customer relations
Earning miles:
Fly (AA, BA, Canadian Airlines, Cathay Pacific, Finnair, Iberia, Quantas Airlines, Japan Airlines, Swissair, etc.)
Hotels (Best Western, Holiday Inn, etc.)
Car rentals (Alamo, Avis, Hertz, etc.)
Shopping (Golf, Dining, etc.)
Using miles:
Fly, hotels, car rentals, trips
Each Internet visitor receives an offer tailored to her/his history and individual profile
At present, there are > 35 m AAdvantage-members, 1.7 m of which have already visited the Internet website
Top-tier Aadvantage members have access to a personalized AA page
More than 35 % of the top-tier members use the online offer
Record-booking day 1998: US$ 1.7 m
Personalized Internet services
Success
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

27. The points-of-contact analysis is supported by specific tools and results in a rough estimate of how CRM functions can be optimally applied
Segment-specific points-of-contact analysis supported by tools
Customer segment C
What are the points of contact?
What information is generated at these points?
How is this information aggregated/ evaluated/utilized?
What additional information should be collected (cost orientation)?
What further points of contact should be set up?
What analysis results are to be expected from the future information base?
How wide/detailed are future customer profiles?
What is the presumed frequency/intensity of the points of contact?
Customer segment B
Customer segment A
Transaction
Presales
Sales
After-sales
Channels
Internet
Call center
Sales force
Logistics services
Etc.
Points-of-contact tool
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

28. Existing CRM activities will be evaluated in terms of their potential of being integrated into the overall CRM strategy
Project example: Analysis of existing CRM activities for premium OEM
Life cycle management
Information and complaint mangement
Customer life cycle management
Prospective customer service
Customer service pre-sales
Customer service after sales
New customer program
Reactivation/recovery programs
Vehicle cycle management
Service card (planned first upgrade)
Service program Segment II/III
Information management
Prospective customer service
Complaint management
Definition of response times
Catalog of rules for cooling off customers
Proactive reactivation/recovery appeal
Integrated customer life and vehicle cycle management
Service card (planned second upgrade)
Lack of strategic direction and process orientation
Trade service program
Customer retention
Service coupons
Premium program
VIP service
Age group program
Youth
Youth program
Service program
New media/electronics
Real-space worlds – Forum – Representation – Forum for technology/history
Other customer groups
Companies – Fleet management – Industrial customer service – Major customer service
Taxi customers – Taxi customer program
A Plus expanded services – Tourism – Expansion of assistance
Brand/oldtimer club
Mobility guarantee
Customer service concept
Segment-specific programs
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

29. Customer retention vision 2005: “Total Customer Ownership”
The vision will define the future positioning towards the customer relationship
Illustrative
Customer retention vision 2005: “Total Customer Ownership”
CRM player C
CRM player B
Address attractive customer segments in many parts of the demand range
Cover product/service range with the help of partners
Establish and trade own currency (e.g. "Miles", "Buxx")
Personalize offer and pricing based on customer behavior
Use the Internet (via different access media) as main channel to reach the customer
Cut other companies from customer access
CRM player A
Mobile telecom.
Financial Service
CD/ books
Gro-
ceries
Mobility
Ele-tronics
Personalized offer
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

30. Target system CRM strategy (1)
The evaluation of the target system will allow the definition of a clear hierarchical order….
Illustrative
Target system CRM strategy (1)
Increase
shareholder value
Improve profitability
Sustain growth
Overall
General
Operating
Product - specific
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

31. … that will translate into a scorecard required in the first phase to evaluate business options
Illustrative
Target system CRM strategy (2)
Phase 1
Phase 2
Phase 3
Objective
Weight
Performance measure …
Today
Goal
When
Monitoring
Objective
Sub-objective 1
Operating objective …
Sub-objective 2
0,5
0,2
0,05
0,1
0,3
0,15 …
Evaluate business
options
Derive performance targets from selected business options
Implementation
milestones
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

32. The individual weights of the targets will be defined interactively and represent their relative importance
Example
Project example: target system for e-commerce strategy
Increase shareholder- value
Increase channel control
(34%)
Improve profitability
(31%)
Strengthen brands
(35%)
Avoidance of lost sales (7%)
Increase of sales (6%)
ECOM ROI (6%)
Channel cost reduction (6%)
Improved planning (6%)
Customer retention (8%)
Conquest (7%)
Image contribution (7%)
Web-site fidelity (6%)
Compliance with brand strategy (7%)
Control of customer data/ prospects (9%)
Service quality (7%)
Group-coherent offering (6%)
Top-3 competitive offer (5%)
Time-to-market (7%)
Source: Roland Berger & Partners
MUC a.ppt

33. In the course of the actual potential estimation, parts of the customer strategy development have to be anticipated
Segment-specific estimation of potential
[Based on business plan]
Estimating segment- specific potential
Identifying focus segments
Estimating CRM cost
Prod./service range
Segment A B C D
Own product/ service range
Spectrum to be addressed N
Prod./serv. range
Trans-
action
Result spectrum
Spectrum to be addressed
Presales
Sales
After-sales
Segment
Channels A
Internet B
Call center C
Sales force
Expected sales
(at optimum CRM use) D
Logistics services
Frequency
Degree of individualization
etc. N
Etc.
Focus segments
Cost
Realistic CRM potential
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

34. C. Approach. C. 1 Target setting. C
C. Approach C.1 Target setting C.2 CRM strategy and technology concept C.3 Implementation
Discussion_Paper_SAG.ppt

35. Key questions „CRM strategy and technology concept“?
What are the opportunities to intensify the dialogue with the customer and improve customer knowledge to increase customer loyalty and cross-selling?
What are the most promising business options to develop personalized customer benefits through customized offers and value added services?
What are the most promising business options to establish an ongoing customer relationship through customer retention programs?
What are the necessary adaptations in processes and organizational structure to implement CRM?
What is the main impact on the existing IT-Infrastructure due to “translating” strategy definitions in IT-Logic?
Which functionality could be implemented by choosing “best of bread” software components?
What efforts have to be done to reach quick and lasting results in a stable IT-environment?
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

36. D CRM strategy
Discussion_Paper_SAG.ppt

37. The CRM strategy can be completed within 14 weeks
Work schedule "CRM strategy"
Project week 1 2 3 4 5 6 7 8 9 10 11 12 13 14
Activity
1. Personal customer dialogue
Concept
Pilot implementation
2. Personalized offerings
Concept
Pilot implementation
3. Customer retention program
Concept
Pilot implementation
4. Process and organizational implications
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

38. Four steps will derive a winning CRM strategy
Project approach CRM strategy development
Personal customer
dialogue
Personalized offerings
Customer retention
Process and organizatinal implications
Develop business options per action field
Content
Contact frequency
Customer contact points
Evaluate and select busi- ness options according to the target system
Develop criteria catalogue for the technology concept
Derive control measures
Develop business options per action field
Products-/services range
Cross-selling
Degree of individualiza- tion
Evaluate and select busi- ness options according to the target system
Detail business options
Customer contact/ fore- casting
Partnering concept
Business plan
Develop business options per action field
Bonus programmes
Communities
My.com sites
etc.
Evaluate and select busi- ness options according to the target system
Detail business options
Scope (customer seg- ments/ business units)
Content
Functions/processes
Partnering concept
Business plan
Define core competencies/ make-or-buy
Integrate external service providers
Define processes/ process changes, clearly integrated into existing marketing & sales processes
Derive organizational structure
Change management/ transformation
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

39. How to individualize customer contact: Personal customer dialogue
Discussion_Paper_SAG.ppt

40. Key questions „Personal customer dialogue“?
Based on the customer contact analysis of phase I: At which contact points should the customer dialogue be intensified? Are the current contact points sufficient? What are additional opportunities to contact the customer in the most efficient way to further increase customer loyalty and cross-selling?
What are the data requirements for an efficient customer dialogue? Which techniques should be applied in order to forecast customer buying behavior?
What are the necessary adaptations among the different companies within the Group in terms of customer contact points, content and contact frequency in order to ensure maximum efficiency of the customer dialogue?
What are the appropriate control measures to safeguard the achievement of the targets set in phase I?
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

41. The personal customer dialogue concept can be completed within 6 weeks
Work schedule „Personal customer dialogue“
Project week 1 2 3 4 5 6
Activity
1. Development of business options for personal customer dialogue
Assessment of the current personal dialogue activities among the Group’s companies based on the results of phase I
Selection of the relevant focus action fields
Development of business options per action field (across companies/ company-specific)
Evaluation and selection of the business options according to the target system
2. Development of a criteria catalogue for the technology concept
Define data requirements and layout customer database
Cross-check with data availability
Data aggregation/networking
Definition of analysis and forecasting routines
3. Definition of control measures
Definition of the appropriate control measures per business option
Establish reporting routines
4. Pilot implementation
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

42. CRM business models will be defined for existing and new products and services
Smart bonus
card
Flexible
leasing offers
Service
reminder
Current
product
services 1
Personal
dialogue 2
Personalized
offers 3
Customer
retention
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

43. Indirect customers captive
For the strategically most attractive action fields several business options will be developed
Illustrative … 3
Lifestyle-oriented newsletter with content partners
Indirect customers captive
Front-office 2
Lifestyle-oriented newsletter without partners
Expected impact from changes
Trans-formation
Revolu-tion
Evolution
Change effort 1
Newsletter with mainly product-oriented content
Neither time nor resource intensive
Either time or resource intensive
Time and resource intensive
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

44. The business options developed are evaluated in qualitative terms in consideration of the target system
Illustrative
Qualitative evaluation of business options
Business options
Criteria
Weighting
Product-oriented
newsletter
Lifestyle-oriented news-
letter without partners …
Sales potential
0.2 + o
Efficiency increase
0.2 + o
Customer retention
0.25 o ++
Potential to conquer new customers
0.3 o ++
Total
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

45. The evaluation according to the target system ensures stringent prioritization across all project modules
Project example
Evaluation of B2B options versus target system
Improve profitability
Strengthen brands
Increase channel control
Avoidance of lost sales
Channel cost reduction
Control of customer data/prospects
Increase of sales
ROI
Improved planning
Customer retention
Conquest
Compliance with brand strategy
Group coherent offering
Top 3 competitive offer
Image contribution
Web- site fidelity
Service quality
Time-to market Σ
E-fleet
ordering
11.5
Priority 1
On-line test
drive booking
9.5
Flexible fleet 9
Priority 2
On-line service appointments 9
Positive impact
No impact
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

46. A customer data model allows high-quality data analysis and enormously reduces data maintenance work
Project example
Customer data model
Value creation through customer
data model
High-quality data analysis
Reduce data maintenance
CRM system country A
CRM system country B
CRM system country C
Country-specific adaptation of data
Basis for CRM processes
Unique and minimal definition of persons/individuals, attributes, code structures, and relationships
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

47. The relationality of the customer database allows comprehensive data management
Project example
Database structure
Model
Partner-vehicle relation
Partner vehicle
service
Vehicle
Company
Exclusion flags
Partner service
Person
Lifestyle
Partner-dealer relation
Contact
Partner-address relation
Address
Dealer
Case
Contact case relation
Campaign
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

48. How to maximize customer benefits: Personalized offerings
Discussion_Paper_SAG.ppt

49. Key questions „Personalized offerings“?
What are the most promising products and services for personalization to maximize customer benefits and thus increase customer loyalty and cross-selling?
What is the optimum degree of personalization with regard to the requirements and potentials of the different customer segments?
How can the input from personal customer dialogue be utilized to forecast customer buying behavior and thus optimize the efficiency of the product’s/services’ customization?
To what extent should external partners be involved to complement the existing product/service range to further increase customer benefits?
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

50. The module “Personalized offerings” can be completed within 6 weeks
Work schedule „Personalized offerings“
Project week 4 5 6 7 8 9
Activity
1. Development of business options for personalized offerings
Screening of current product and service range to determine the products and services with the highest potential for personalization
Development of business options for the defined products and services
Definition of the optimum degree of personalization with regard to the requirements and potentials of the different customer segments
Evaluation and selection of the business options according to the target system
2.Detailing selected business options for implementation
Synchronization with personal customer dialogue in terms of contacting customers and forecasting customer buying behavior
Partnering concept to complement offers and fulfillment
Development of a business plan per business option
3. Pilot implementation
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

51. The Internet is a key lever for personalized offerings
Content
Processes/functions
Demarcating the field of application in terms of product/service range and focus segments
Finding partners for external services and logistics requirements
Defining control ratios for the degree of individualization, e.g.
Status (sales)
Potential
Internet affinity
Contact frequency
IT infrastructure focusing on the Internet and database marketing
Processes
Integration into existing sales/marketing processes
If necessary, defining new processes (e.g. logistics, individualized production)
Designing the Internet points of contact, e.g.
IT-based value-added services
Pricing
Product/service range
Rewarding
Templates for my.com site
Implementation within the organization
Detailed trigger definition (acting vs. reacting)
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

52. Selection criteria personalized offers
Dependant on the perceived customer benefit and the necessary change effort the most promising business options for personalized offers will be selected
Selection criteria personalized offers
Illustrative
high
Your personal assistant
Flexible leasing
Personalized newsletter
Perceived customer benefit through level of differentiation
Online vehicle history
Recall & service bulletins
low
high
low
Change effort
Processes
Resources
Time
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

53. Overview of “Flexible fleet” process
The selected business options will be assessed in detail
Project example
Overview of “Flexible fleet” process
Company site
Fleet manager
Fleet user
Leasing company
Logs into NSC site
Requests car
Leasing program with no predefined vehicle
On-line functionality provides users with the opportunity of choosing cars from a car pool
Strict data tracking provides insights into customer behavior and serves as input for a learning customer rela- tionship
Validation
procedure
Eligibility check
Car availability
Proposal for availability and “price”
Choice
Confirmation
Forwarding
For scheduling
pick-up
For records/admini-strative procedures
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

54. How to develop ongoing customer relationship: Customer retention
Discussion_Paper_SAG.ppt

55. Key questions „Customer retention “?
What are the most promising business options to establish an ongoing customer relationship through customer retention programs?
What are the criteria to be applied for customer segmentation to release the maximum potential of the customer retention program?
How does the ideal partnering concept look like to complement the companie’s program in terms of content, reach and fulfillment? What is the most promising branding concept?
What are the requirements in terms of database structure to most efficiently support the retention program and leverage the additional data generated with regard to a learning customer relationship?
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

56. The module “Customer retention” can be completed within 6 weeks
Work schedule „Customer retention“
Project week 7 8 9 10 11 12
Activity
1. Development of business options for customer retention programs
Screening of alternative customer retention concepts
Benchmarking of best practices from automotive and non-automotive companies
Description of feasible business options
Evaluation and selection of the business options according to the target system
2. Detailing selected business options for implementation
Define scope (customer segments/companies included) and content of the retention program
Detail underluying processes and functions
Partnering concept to complement the companie’s program in terms of content, reach and fulfillment
Definition of database requirements for data support and optimum utilization of data generated
Business plan development
3. Pilot implementation
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

57. A successful customer retention program requires the use of smartcards
Content
Processes/functions
Establishing the bonus program, incl. rewarding and status concept
Defining card functions, e.g.
Identification
Payment function
etc.
Cost-benefit check
Susan Sample
Gold member
Specifying card processes, esp.
Processing of applications
Billing
Service centers
Database-marketing concept
Designing a card concept, incl.
Card type (chip, magnet, hybrid)
Reading/writing devices
Card management system
IT infrastructure (safety, interface integration, etc.)
IT infrastructure
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

58. Customer segmentation Customer retention program
Lufthansa’s “Miles&More” is an example for a comprehensive and highly successful customer retention program
Benchmark
Customer segmentation
Customer retention program
Customer segmentation according to flight miles with Lufthansa or partnering airlines
Differentiated customer contact concept: Communication budget
Frequent travellers: 43 DM p.a.
Basic customer: 6 DM/p.a.
Miles & More loyalty program for frequent travellers
3.6 million members, thereof
1.6 million active members
frequent travellers
Increase in frequent travellers ~20 % p.a.
Continuous extension extension of the loyalty program through broad-scale partnering concept
Star Alliance
Hotels
Car rental companies
...
Database management and IT-systems as a core competence within the marketing & sales organization
Systems
Partnering
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

59. BMW drivercircle community
Communities like the “BMW drivercircle” are innovative, target group-oriented customer retention programs using the interactive potential of the Internet
Benchmark
BMW drivercircle community
Live-chat with BMW managers
News and innovations concerning 7-series
Contact with other 7-series drivers
("Web-community")
(Access with password only for 7-series drivers)
Personal account
Direct connection to BMW
Check vehicle-manu-facturing schedule
Information about BMW employees, plants ...
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

60. My Link to Info-Terminal
A personalized portal is a powerful tool to increase customer loyalty as well as to attract and conquer new customers
Personalized portal
Illustrative
My News
My Sports
My TV Listings
My Horoscope
Yellow Pages
Region City
Communities
TK & IT Flirt
Search Engine /
My Searches
Shopping
My Reminders /
My Favorite Links
My Weather
Travel / Ticketing
Direct-Banking
People & Chat
My Chat
My Link to Info-Terminal
My Stocks
Auctions
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

61. Process and organizational implications
Discussion_Paper_SAG.ppt

62. Key questions „Process and organizational implications“?
What are current or future core competencies to be safeguarded respectively further extended?
What are possible areas for integrating external service providers to complement the companie’s competencies, based on a make-or-buy decision?
How do future CRM processes and their interlinkages with the existing marketing and sales processes look like? What are the necessary process adaptations?
What are the implications on the organizational structure?
What is the role of change management to ensure a smooth transformation towards the implementation of CRM?
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

63. Work schedule „Process and organizational implications“
The module “Process and organizational implications” can be completed within 4 weeks
Work schedule „Process and organizational implications“
Project week 11 12 13 14
Activity
1. Definition of the optimum degree of vertical integration
Definition of core competencies
Make-or-buy analysis
Screening potential external partners
2. Assessment of core CRM processes and process changes
Definition of core CRM processes in terms of information and transaction
Analysis of interlinkages with the existing marketing & sales processes
Derive necessary process adaptations
3. Implications on the organizational structure
Definition of necessary functional competencies and capacities
Integration of CRM into existing marketing & sales organizational structure
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

64. CRM is a key process within marketing & sales
...
Project example
ET/accessories
Services
New/pre-owned vehicles
Sales + Service
Maximize market value
Brand management
Fleet business
Direct business (e-commerce)
Area sales
Product-/services lifecycle management
Zero-defect delivery
Increase loyalty/
conquer target
customers
Customer relationship
management
Minimum processing time with maximum demand satisfaction
Sales planning/control and "order-to-delivery"
NSC, importer
Retail
Maximum value creation per
customer for all products/services
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

65. Data flow E-fleet ordering
The core processes will be mapped in detail with special regard to the customer data flow
Project example
Data flow E-fleet ordering
Pre-sales
Sales
Monitor delivery
Fleet manager
Dealer
Leasing
company
NSC
Receives
customer
information/
order details
from order
form
Provides
saved car
configura-
tion
Receives basic
customer data,
saves car request
Receives
approval
Provides deli-
very data to
customer
Receives
order form
for approval
Receives
order for
records
Provides
access code
Receives customer
data, car request
Receives
order for
delivery
scheduling
Receives
order form
for approval
Receives
order for
records
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

66. Dimensioning sales initiation phase Dimensioning direct sales phase
The necessary organizational structure will be derived in order to establish CRM
Project example
Dimensioning sales initiation phase
Dimensioning direct sales phase
Task
Capacity
Task
Capacity
General Manager
ECOM Region / Market Manager
Quality Manager ECOM (QME)/ ECOM Platform Manager
Toolbox Concept Manager
Partnership Manager
ECOM-Technology / IT-Manager
ECOM-Controller
Secretary
Total 1 5 2 14
General Manager
ECOM Region / Market Manager
ECOM Sales Manager
Quality Manager ECOM (QME)/ ECOM Platform Manager
Toolbox Concept Manager
Partnership Manager
ECOM-Technology / IT-Manager
ECOM-Controller
Secretary
Total 1 5 3 2 4 26
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

67. C Technology concept
Discussion_Paper_SAG.ppt

68. Key questions „Technology concept“?
Which existing IT-Systems are directly affected by implementing a CRM-Strategy?
Are there any functionality concerning analysing consumer behaviour and transferring it into transaction oriented consumer response which could not be fulfilled by existing IT-infrastructure?
Is there a fit between customizing effort / integration effort and profound benefit analysis?
What additional IT-Systems should be implemented following a “best of bread” strategy?
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

69. IT-Infrastructure Plan Software- / Service-Provider- Selection
Three steps are required to combine the CRM strategy with a sustainable technology concept
IT-Audit
Data Model/
IT-Infrastructure Plan
Software- / Service-Provider- Selection
Pragmatic creation of transparency about
existing IT-Systems (Software)
Hardware
Network, communication protocols
etc.
Identify all major stake holders who are responsible for implementation and operation of target IT-CRM solutions
Develop holistic data model regarding
actual customer profiles
defined target systems
future CRM-trends (e.g. internet as customer contact point)
Identify relevant databases
Define “data gap” and provide technical solution for closing the gap
Derive target IT-infrastructure plan
Translate defined tool-/provider demands into Request For Quotation (RFQ)
Identify the best implementation partners based on Broadvision SW-platform
Derive milestones / implementation plan
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

70. Work schedule „Technology concept“
The technology concept can be completed in 14 weeks in parallel to the CRM strategy development
Work schedule „Technology concept“
Project week 1 2 3 4 5 6 7 8 9 10 11 12 13 14
Activity
1. IT-Audit
Development of standardized questionnaire
Focus interviews with major stakeholder
Description of existing Hard- and Software-Components (CRM-specific IT-Landscape)
2. Design Data-Model and IT-Infrastructure Plan
Identification of relevant data and databases (according to defined target systems)
Development of database model
Identification of data flows and participated IT-Systems
Definition Migration-Plan into a target IT-Infrastructure
3. Software and Service Provider selection
Development of Request For Quotation´s (RFQ´s) for potential SW-and Service providers
Provider/Tool selection
Development of implementation plan (in co-operation with SW-Partner)
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

71. C Business Case
Discussion_Paper_SAG.ppt

72. All revenue, margin improvement, cost and investment effects are consolidated in to business plan based on different scenarios
Illustrative
Business plan
2000
2001 …
Aggregated cashflow
Sales increase
Penetration of existing customers
Acquisition of new customers …
Efficiency increase
Improvement of margin
Reduction of process costs
Reduction of process times
Increased hit-rates
Total cash-in
Investment
Planning/restructuring
EDP (hardware/software)
Network
Dealer training
Current expenditures
Personnel
Leasing hardware
Software licenses
Software updates
External providers
DM m
Best case
Realistic case
Worst case
2000
2001
2002
Total cash-out
Cashflow
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

73. Cost effects and investments are recorded in detail
Extract
Parameter
Q 1/00
Q 2/00
Q 3/00
1.2.1 Shipping channel
2.1 E-Com phase II
2.1.1 Planning
Internal project management
Concept development
IT-logic
DP concept
External integration planning
Internal integration planning
Development environment
Hardware
Server
Network adapter Fast Ethernet
DAT streamer/accessories
Development clients
...
Software
Scoring tool
Application server
Performance pack
Designer client
Visual Age for Java
DB2 license
Version system PVCS
Case tool Paradigm Plus
Data warehouse
MAK 2
MAK 3
MAK 4
EX- MAK 2 1 7 2 15 1 2 5 3 4
25,400.-
4,000.-
3,000.- 1 2 5 4 1
Detailed planning
Investments, IT,
marketing, operations ...
Source : Roland Berger & Partners
Discussion_Paper_SAG.ppt

74. C. Approach. C. 1 Target setting. C
C. Approach C.1 Target setting C.2 CRM strategy and technology concept C.3 Implementation
Discussion_Paper_SAG.ppt

75. For each business model seven internal and external tasks need to be performed for implementation
Business model B
Business model A
Management of internal tasks 3
Implement
IT plan 4 2
Operations support/
hot line
Marketing planning and implementation 1
Content management
Project management/
controlling 5
Select implementation partners
Management of systems integrators 7 6
Select/management content partners
Managing external
service providers
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

76. e-partnering is the approach of Roland Berger & Partners to provide you with an effective partner management framework in Electronic Commerce
e-partnering framework
Portfolio of partnerships
Definition
Strategic partners
Operational partners
Company profile
Company profile
Name:
Field of
business:
Contact
person:
Name:
Field of
business:
Contact
person:
e-partnering is a
framework to
manage partners and
partnership processes
effectively in the field
of Electronic Commerce
Process of partner management
Evaluation
Screening/selection
Mutual evaluation of set targets
Identification of weaknesses
Continuing/closing partnership
Definition of required partner profile
Market screening
Close partner contracts 4 1
process
Regular meetings
Open/continuos exchange of experience ideas
Built-up trust
Definition of interface with partners (contact person, IT etc.)
Integration of business processes
Identification of latent problems 3 2
Coaching
Integration
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

77. D. References
Discussion_Paper_SAG.ppt

78. Roland Berger & Partners have successfully completed numerous project in related issues
Selected clients
Selected projects
ACB/Dürkop (Retailer Group)
ALD
Audi
Auto-By-Tel
BMW
DaimlerChrysler
debis
Europcar
GEFA
General Motors
Infos Telematica
Johnson Controls
Mannesmann Autocom
Retailer Groups
Sixt
Volkswagen
Realignment of key marketing processes including CRM at a vehicle manufacturer
e-commerce and CRM strategy for a premium manufacturer
Organizational realignment of a car rental company
Strategic repositioning of a telematics service provider
Evaluation of strategic opportunities for the business model of a telematics service provider
Marketing concept for automatic toll collection
Development of a business model for e-services/telematics
Design and implementation of a partnering concept for a telematics service provider
Pan-European market study (potential until 2010) for traffic telematics services and systems
Selection of a telematics service operator for an OEM
No direct
matching
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

79. Example: Joint acquisition with CC InfoCom and Lisbon office
Strong internal teaming and external partnering provides one-stop-solutions to our clients
Example: Joint acquisition with CC InfoCom and Lisbon office
External partners
Ongoing customer
relationship 3 4
Developing customer benefits, e.g.
Value-added services
Customized offers
Information
analysis
Customer profiles
Forecasting buying behavior
Monitoring success
Generating/ recording customer data 2 1
Identification
Initial contact with customer
Automotive
expertise
Business models
Customer segment requirements
Sales channel management
Know-how from other industries
Airlines
Banking
Healthcare
Customer
relationship
management
External partners
Broad Vision
Lucent Technologies
Siebel
Discussion_Paper_SAG.ppt

80. Due to its technical expertise, e-commerce experience and business view, the InfoCom CC provides indispensable support for CRM and e-commerce projects
Project experience in CRM and e-commerce
Company-specific, successful CRM and/or e-commerce project
Concept for the integration of CRM into the IT environment
Utilizing technological benefits of data mining for trigger design
Integrating Internet functions and decentralized data storage for data provision concepts
Selecting data warehouse and data mining tools and CRM software
Designing e-services, value-added Internet services
Designing corporate webpages on the Internet
Pricing for e-commerce transactions
Integrating existing pools into an e-commerce platform
Evaluating the significance of value-added services
Calculating business plans
Drawing up CRM structures and processes
Benchmarking of CRM concepts (also from competitors' point of view)
Technological competence
Knowledge of basic technologies and their application
Knowledge of the essential products available and their derivatives (gained from projects in the IT industry)
E-commerce competence
More than 50 e-commerce projects
E-commerce studies
Continuous dialog with top e-commerce companies worldwide
Business view
Focus on economic benefits of applied technologies
Competent development of business concepts and analysis of competitors' strategies
Roland Berger & Partners InfoCom Competence Center
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

81. E. Appendix: Supporting tools to implement CRM
Discussion_Paper_SAG.ppt

82. E.1. The Internet as a supporting CRM tool
Discussion_Paper_SAG.ppt

83. A group wide website will be used as a new sales channel and CRM portal
Building sites and technical solutions
Work package objectives
Activities to be performed
Determine the technical requirements and specifications and a business plan for the various partners
Coordinate the work of the web agency, the IT platform providers, ...)
Integrate the legal and technical constraints for the evolution of the concept and offer
Build the initial content in coordination with the internal branches, the potential partners, and the web design and technical solutions providers
Build a requirements and specifications document to provide to web designers and/or technical solution providers
Screen and select short list of bidders
Establish briefs and provide them to the short list
Select web designers and solution providers
Regular coordination meetings with the various actors
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

84. - Objective for an Internet platform technology -
The overall objective for the technologies of the portal is to provide a state-of-the-art system that meets all functional requirements
- Objective for an Internet platform technology -
Open, flexible and modular architecture
Scalability
Multirent.pt
Sophisticated security system (access authority, fire walls)
State of the art technology e.g. Java based programs
Internet platform
Open and flexible interfaces (group companies, logistic providers and selected customers)
Ensure that all requirements concerning functionality can be met
Real time connection to
the companie’s ERP system
Source. Roland Berger & Partners
Discussion_Paper_SAG.ppt

85. Various IT applications are required in order to set up an Internet portal
Schematic
Required technology infrastructure
Internet
Web Design
(e.g. site design; interactive effects; special features, ...)
additional software applications
(e.g. content management software, log file analysis tools, ...)
Group companies
Connection via interface database
E-commerce software
Procurement software
Market place software
E-commerce software
Customer Internet Browser; perhaps additional software for a connection to ERP systems
IT system integration
(data migration, interfaces management, ...)
Group companies
Connection directly to the companie’s ERP system
IT infrastructure and Internet access
(hardware, databases, web hosting, ...)
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

86. Build up relationship to:
E-commerce at the "front-end" means marketing, selling, and interactive customer relationship management
Project example
Selling
Marketing
OTC-commerce
Internet pharmacies
Claim management with health insurance and HMOs1)
New organization of sales force
E-detailing of drugs to doctors in practice and hospital
Electronic prescription writing
Online product information (e.g. epocrates)
Indirect product marketing through content sites
Info sites, electornic brochures, permission marketing
Cost reduction in medicalcommunication
Bi-directional flow of information/steady marketing effort toward clients
Ads on other webpages
"Link mangement" on the web
Increase of patient compliance
"front end"
e-commerce
Build up relationship to:
Doctors (practices, hospital)
Patients (severe, chronic, OTC, prevention)
Hospital purchasers/pharmacist
Paymasters, healthcare officials
“Build your community"
CRM
1) Depending on country regulations
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

87. Questionnaire for call centers Questionnaire for homepage providers
Questionnaires filled out by other web page providers as well as call centers help identify the best practice in homepage maintenance
Questionnaire for call centers
Questionnaire for homepage providers
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

88. Key questions answered
Specification for the various modules will need to be informed
Illustration
Topics covered
Key questions answered
Product catalogue/product description
How does the product catalogue look like? How are the products features described?
Stakeholder focus
Which segments should be focused overtime?
Content provisioning process to portal users
How is process of content exchange organized?
Content range
Which content should be offered?
Pricing/Access to content
How does the access to content work; to which conditions?
Content sources and management
Where does the content come from and how is it managed/updated?
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

89. - Portal content features -
Content presentation is also an essential part of the concept definition
Illustration
- Portal content features -
Content category
Functions
Contact Portal
Virtual "3D" tour through portal
Online help with bookmark functionality, keyword and full text search functionality
Call center available on a 24/7 basis
Communication/chat
Chat rooms for professionals/private individuals
Virtual project databases for workgroups
Free addresses and homepages for professionals
Product-related content
Product video for downloading
Sample ordering function
News-related content
Niew ticker with important news New groups
News calendar with memory effect newsletter (push)
General content
"Emergency button" for how to deal in emergencies; direct contact to call center
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

90. The business concept represents the basis for a concrete IT-concept
1. Total architecture
1.1 Development platform
1.2 Runtime environment
1.3 Web- and application server
1.4 Security/firewall
1.5 Mail server and API
1.6 Relevant legacy systems
1.7 Host/mainframe
2. Data model
2.1 Relevant legacy systems
2.2 Platforms, formats
2.3 Data model specifications
2.4 Extraction components
2.5 Persistence
3. Provider concept
3.1 Administration
3.2 Access administration
3.3 Training/train the trainer
4. Proof of concept
4.1 Functional blocks and extent
5. ...
Strategy 
Know-how
CRM-Strategy
Business concept
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

91. Interfaces to partners and customers
The Internet platform needs to have different kinds of interfaces in order to connect its partners and customers
Interfaces to partners and customers
Schematic
Internet
Logistics provider: Exchange of order data
Interface 1
Content provider: Set up and main-tenance of content
Homepage
Interface 2
Database
Webserver
Key customers: Electronic product ordering, billing etc., connection to ERP systems
Firewalls
Interface 3
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

92. Technological success factors
Several technological success factors have been identified and shall be obeyed
Security
Firewalls need to be installed
A sophisticated access authority concept with various security levels is required
Each customer needs only one password
User friendliness
Intuitive and simple structure of the pages in order to make navigation more easily and to increase speed of page loading
Reliability
Systems should be available on a 100% basis
Technological success factors
Architecture
Scalability
Platform architecture needs to be modular in order to be able to connect further applications/modules in the future
Scale of the system needs to be set up to cope with extensive growth of the amount of data
Interconnectivity
Various interfaces (between group companies, customers, logistics providers) need to be installed – data exchange should be possible in both directions
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

93. E.2. The call-center as a supporting CRM tool
Discussion_Paper_SAG.ppt

94. Cross-corporation demands
The call center solution to be implemented must be oriented towards the cross-corporation, call center-specific demands of suppliers
Cross-corporation demands
Call center solution
Call center- specific demands
Supplier demands
Strategic objectives
Securing/expanding the market position
Increasing the revolving ratio
Expanding new business
Raising productivity
Securing/enhancing profitability
Reducing internal cost structures
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

95. The cross-corporation demands are clarified by means of qualitative and quantitative targets
Qualitative objectives
Quantitative objectives
Attaining maximum availability levels
Quick and uncom-plicated processing
Controlling via stan-dardized reports
Longer opening times
More efficient processing
Motivated staff
Process optimization
Raising customer satisfaction
Cutting costs
Image advantages
Raising productivity
Raising customer retention (revolving)
Retaining/increasing sales
Retaining/increasing market share
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

96. Call center-specific demands Supplier-specific demands
Several requirements for technology solution and supplier must be taken into account
Call center-specific demands
Supplier-specific demands
Customer Account & Contact Manage-ment
Broad experience and competence in telecommunications
Market research tools
Excellent reference cases
Sales force control
Integrated solutions/one-stop-shopping
Workflow-/Messaging Services
Individual taylorized concepts
Servicemanagement
ERP-integration
Innovative technology and outstanding market position
24h support/remote diagnosis
Power Dealing connection/CTI connectivity
Safety of investments
Good price-cost-ratio
Skill based routing
Reliability
Source: Roland Berger & Partners-analysis
Discussion_Paper_SAG.ppt

97. Having a powerful, high-tech telephone system is one of the prerequisites for a professional service center
Project example
Customers
ALD
Technical imperatives
ACD Equipment (Automatic Call Distribution)
CTI (Computer Telephone Integration
Voice mail
, Internet suitability
Fax on demand
Optional: Interactive Voice Response Unit
Customer advice
ALD
Customer in Hamburg
Team North
Team North
Team North
Team North
Customer in Munich
IT CT/support
Customer in Leipzig
Contact, usually with the name of a specific person
Allocated
Call/request is processed
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

98. Roland Berger & Partners have broad experience in preparing the client management's decision through a comprehensive evaluation process
Project example
Alcatel
Dt. Telekom
Lucent Tech.
Nortel Dasa
Micrologica
Siemens
Alcatel
Lucent Tech.
Nortel Dasa
Suppliers involved ?
Proposals submitted
Presentation
Evalua-tion process
Prelimin-ary infor-mation and informal visit to CC1) (e.g.Deut-scher Inkasso-dienst, Deutsche Bauspar)
Initial rough selection from among all suppliers active on the market
Evaluation of support possibili-ties for selection via tele- data
Compila-tion and request for tenders
Generation of a catalog of criteria for evaluating suppliers
Grading of suppliers according to a uniform catalog of criteria
Three suppliers are invited to give their presenta-tion
Evaluation of suppliers via the documents submitted, the pres-entation, and the individual price list
RB&P provides manage-ment with a paper to aid the decision-making process
Parti-cipants
ALD, RB&P
RB&P
ALD, RB&P
ALD, RB&P
RB&P
1) CC = Call center
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

99. The dual selection procedure allowed Roland Berger & Partners to recommend cooperation with Lucent Technologies for implementation of ALD's CC solution
Project example
Lucent Technologies
Interactively developed catalog of criteria
Criteria are given different weighting under considerations of ALD-specific aspects
Consideration of critical systems requirements, of company profile and of the technical and/or realization concept
Grading of the different suppliers
Proposals submitted
Nortel Dasa
Alcatel
Deutsche Telekom
Micrologica
Siemens
Initial selection process
Interactively developed catalog of criteria
Invitation to presentation
Subsequent analysis of suppliers' strengths and weaknesses
Analysis of presentation documents
Analysis of individual price lists
Evaluation of individual interviews
Preconditions:
Reduction of software/hardware and maintenance costs
Lucent Technologies
Alcatel
Nortel Dasa
Secondary selection process
Presentation
Individual price lists
Individual interviews
Assumptions
RB&P recommendation
Lucent Technologies
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

100. A board range of software solutions could be used for technology enabled selling
Examples
Abalon
Broadway & Seymor
Clarity
Chordiant
Corepoint
Pegasystems
Onyx
Siebel
Vantive
Contact SW,
Telesales,
Telemarketing
Clarity
Chadiant
Corepoint
Quintus
Siebel
Vantive
Natural Microsystems
Micrologica
Bendata
Tetel
Call Center
Applications
Broadvision
Microsoft
Art Technology
Engage Technology
Interactive
Marketing
Software
Allegis
Partnerware
Channel Ware
Webridge
Channel Partner
Systems
Genesys
Aptex
Aditi
Brightware
E-Queue
Ergotech
General Interactive
Kana
Mustang
Response
Management
Source: Roland Berger & Partners-analysis
Discussion_Paper_SAG.ppt

101. The requirements of the service personnel are derived from the target standards set for the service center
Project example
Requirements for service personnel 1
Targets
Excellent specialist knowledge through:
Experience in vehicle leasing
Training and qualification as leasing clerk
Training in business administration
Strong communication skills (especially telephone skills)
Stress resistance
High frustration threshold
Independence and good organizational skills
Ability to cope with pressure
Team spirit
"Good people skills"
Productivity targets, etc.
Service targets 2
Definition of service levels and productivity standards 3
Basis for staff/ team target discussions
Feedback loop for annual interviews to discuss targets 4
Transfer of staff/team targets to operative business 5
Measuring target achievement levels
Computer-based evaluation
Customer survey
Benchmarks
Customer orientation is at the heart of the business
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

102. (Interactive Web Response)
Internet Call Center as Customer Care Solution integrates communication flow from customer to the company via phone, fax, mail and Internet
Vision
Customer
Internet Call Center
Companies
Internet/
IWR
(Interactive Web Response)
Computer-Telephony-
Integration
CTI-Agent
Companies
Integration
in Back-
Office-
Routing Center
• AMD
(Automatic
Message
Distribution)
Fax
Outcall of
employees
• ACD (Automatic
Call Distribution
Agent
Phone
Response
• Predictive
Dialing
IVR (Interactive
Voice Response)
Data
Ware-
house
Post
Mail
Center
Source: Roland Berger & Partners
Discussion_Paper_SAG.ppt

103. rb addresses Discussion_Paper_SAG.ppt ARGENTINA
Roland Berger y Asociados S.A.
International Management Consultants
Tte. Gral. J.D. Peron Piso 5°
1038 Buenos Aires
Phone
Fax
AUSTRIA
Roland Berger & Partner Ges.m.b.H
Freyung 3/2/10
A-1010 Vienna
Phone
Fax
BELGIUM
Roland Berger
International Management Consultants S.A.
100, Boulevard du Souverain
B-1170 Brussels
Phone
Fax or
BRAZIL
Roland Berger & Partners S/C Ltda.
Rua Alexandre Dumas, ° andar
São Paulo / S.P.
Phone
Fax
CHINA
Roland Berger (Shanghai)
International Management Consultants Ltd.
6/F. East Lake Villas Office Building
35 Dongzhimenwai Street
Beijing , P.R.C.
Phone
or or 70 94
Fax
72 Xing Guo Road
3F Business Building
Shanghai , P.R.C.
Phone
Fax/Phone
CZECH REPUBLIC
Roland Berger & Partner GmbH
Vsehrdova 2/ 560
CS Prague 1 - Malá Strana
Phone
Fax
FRANCE
16, avenue George V
F Paris
Phone
Fax
GERMANY
Alt Moabit 101b
D Berlin
Phone
Fax
Georg-Glock-Straße 3
D Düsseldorf
Phone
Fax
Bockenheimer Landstraße 42
D Frankfurt
Phone
Fax
Stadthausbrücke 7
D Hamburg
Phone
Fax
Arabellastr. 33
D Munich
Phone
Fax
Löffelstraße 40
D Stuttgart
Phone
Fax
GREAT BRITAIN
Roland Berger & Partners Ltd.
12 Stratford Place
GB-London
W1N 9AF
Phone
Fax
HUNGARY
Roland Berger & Partner Kft.
Andrássy út 64
H-1062 Budapest
Phone
Fax
INDIA
Pvt. Ltd.
Hyatt Regency Hotel, Room No. 487
Bhikaji Cama Place, Ring Road
Delhi
Phone or 11 48
Fax
ITALY
Roland Berger & Partner S.R.L.
Via Sirtori, 32
I Milan
Phone
Fax
Via Ludovisi, 35
I Rome
Phone
Fax
JAPAN
Roland Berger & Partner Ltd.
ARK Mori Building 22nd Floor
, Akasaka
Minato-ku, Tokyo
Phone
Fax
LATVIA
Basteja Blvd. 12
LV-1050 Riga
Phone
Fax
MALAYSIA
Roland Berger & Partner SDN. BHD.
Letter Box 81, Level 17 Menara IMC
No 8 Jalan Sultan Ismail
50250 Kuala Lumpur
Phone
Fax
PORTUGAL
Roland Berger & Partner Lda.
Edificio Monumental
Av. Fontes Pereira de Melo, 51-4° E
P-1050 Lisbon
Phone
Fax
ROMANIA
Roland Berger & Partner SRL
Str. Emanoil Porumbaru 10, Sect. 1
RO Bucharest
Phone
Fax
RUSSIA
1. Tverskaja - Jamskaja ul. 23
RF Moscow
Phone
Fax
SPAIN
Roland Berger S.A.
Avda. Diagonal, 567, 3rd Floor
E-Barcelona 08029
Phone
Fax
Paseo de la Castellana, 140, 3rd Floor
E-Madrid 28046
Phone
Fax
SWITZERLAND
Roland Berger AG
Dufourstr. 56
CH-8008 Zurich
Phone
Fax
UKRAINE
19 Panasa Mymogo Str.
Kiev
Phone
Fax
USA
Roland Berger & Partner, LLC
100 West Big Beaver Road, Suite 200
Troy, MI 48084
Phone
Fax
350, Park Avenue, 27th Floor
New York, N.Y
Phone
Fax
rb addresses
Discussion_Paper_SAG.ppt