The Interest of HR in CRM
Human resources are arguably the most important resources an organization could have, and having a good way to manage them is crucial. Hence, the interest of HR in CRM.
A vital responsibility of any organization lies in managing its own people. Employees and staff make up the organization, and are arguably among its most important assets, far greater than any financial ones. Hence, it is within any management’s interest to be able to take care of its employees and ensure that they are not only productive, but also satisfied and happy. This task falls square on the shoulders of the human resources department or its equivalent. In recent years, customer relationship management, a strategy for dealing with clients and customers, has been used to great effect on employees, too. The interest of HR in CRM lies in its systematic approach to managing relationships. The resulting hybrid or offshoot is usually called ERM or employee relationship management.
Now, of course, CRM and ERM would have similarities, but also differences, which means that the processes and tools of CRM would not directly translate to ERM. But in terms of the methodologies used and the software tools applicable to managing customer relationships, in many cases, they can be used for employees with just minor adjustments. This is due to the aforementioned similarities in caring for employees and customers and in the approach to doing both based on objective measurements.
For instance, small organizations that are just starting out would be concerned with new acquisitions, both in terms of clients and in terms of manpower. This would involve the creation of the infrastructure needed to handle greater numbers, as well as the implementation of effective marketing and promotional campaigns. Keeping track of new acquisitions can be done for both CRM and ERM using similar sets of databases and interfaces.
Customer and employee retention strategies would also be quite alike and may be handled using comparable utilities. These involve working with existing contacts and making sure that they are satisfied enough to stay with the company. In the case of internal contacts, incentive and bonus schemes help improve morale, while in the case of external contacts, it would be the quality of service that is important. Again, the status of existing contacts may be kept in a database and ready access provided via effective interfaces. This would streamline both internal and external relationship processes quite a bit.
Human resources should embrace new technologies, especially such useful and ready-made ones as CRM software tools. Managing people, whether employees or customers, may seem like a tricky, complex business, and it is, but having and using the right tools can help immensely. In essence, objective management approaches make use of the judicious choice of metrics and key performance indicators in order to measure progress and achievement. Applying this concept to the specific task of dealing with people both inside and outside the organization gives rise to the ERM and CRM frameworks, respectively. Based on a sound business plan detailing the organization’s goals and objectives, these systems of metrics and careful monitoring are great utilities. The stake of HR in CRM and related technologies and systems cannot be understated.
