L&D - Customer Relationship Management

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Learning and development on customer relationship management is vital as it has a direct impact on customer retention, customer satisfaction, and competitive advantage management using efficient sales. Therefore HR as a function needs to identify training needs on CRM management skills and implement a recognition system addressing better CRM management.


The Human Resources department can be involved in improving learning & development on CRM through several initiatives such as conducting customized training programs for broker-dealers, implementing feedback mechanisms, facilitating e-learnings on CRM best practices, etc. 


Most of the Financial brokerage firms use CRM tools and software to manage customer relationships much more efficiently. Refer below video from interactive brokers to understand how usability of it.



(Reference: YouTube, 09th Nov 2022)

However, as a function, HR will have to face many difficulties when linking performance & KPI with customer relationships and engagement. HR needs to understand the relationship between employee engagement level, customer satisfaction & profitability. Refer below extract from Elias Dib, Partner, Aon Hewitt Middle East and Africa to have an insight into the importance of HR involvement. 


By establishing internal evidence, there is an opportunity for companies to drive management efforts toward improving engagement. Case studies we have carried out, backed by KPI datasets, demonstrate clear links with performance. At one large organization, we found business units with top-quartile engagement results had more satisfied customers and a lower turnover rate compared with units in the bottom quartile of engagement. Our research has also shown a strong association between engagement and revenue: business units with top-quartile engagement results have less deviation from their revenue budget. The winning companies have created a culture of engagement in which it is possible to identify a clear correlation between engagement levels and business performance, including customer satisfaction, sales, operating margins, and total shareholder returns. They have successfully created a workplace experience that does not just revolve around pay but around a robust and comprehensive employee value proposition, positively affecting performance and profitability.

(Reference: CIPD, 06th Feb 2017)


Another aspect that HRM functions of the Brokerage & financial industry should focus on is educating line managers to pass down the ways of handling demanding customers and customer complaints. Line managers always should act as a mentor for employees to handle better CRM.  Refer below extract from CIPD to understand the importance of line manager involvement in L&D on CRM. 




Line managers can make a significant difference in HR & L&D Process

  • Enabling HR, OD and L&D policies and practices and 'bringing them to life'.
  • Identifying learning needs and embedding learning in the workflow.
  • Controlling the workflow by directing and guiding the work of others.
  • Collaborating with the people profession to support change.

(Reference: cipd, 15th Feb 2023)



Watch the below video from Leslie Kerner on Learning Client Relationship Management at Deloitte to understand how important customer relationship management is in business. 


                                      (Reference: YouTube, 09th Dec 2013)








References

“CRM Tools in the Broker Portal.” YouTube, 9 Nov. 2022, youtu.be/GDmuIcGvajo?si=rUCDagnde893FiBU.

“Leslie Kerner on Learning Client Relationship Management at Deloitte.” YouTube, 9 Dec. 2013, youtu.be/W6hZlLDCOAM?si=3lo_wVsSNM2YMRR7.

“Line Managers’ Role in Supporting the People Profession: Factsheets.” CIPD, www.cipd.org/en/knowledge/factsheets/line-managers-factsheet/#evolving. Accessed 17 Dec. 2023.

“The Debate: Is Engagement Still a Valid Concept?” CIPD, www.cipd.org/en/about/news-archive/debate-engagement-valid-concept/. Accessed 17 Dec. 2023. 







Comments

  1. Supun RupasingheDecember 19, 2023 at 11:58 AM

    Question:

    In light of your research findings on the correlation between engagement levels and business performance, could you provide specific examples of strategies or initiatives that winning companies have implemented to create a culture of engagement, particularly those beyond financial incentives?

    ReplyDelete
    Replies
    1. Hashanka Gunasekara - HR360December 20, 2023 at 8:01 AM

      Thank you Supun! Answer to the question in nutshell is HR function need to design team building activities to build the collaborative teamwork culture. Another aspect of it is companies organize CSR events to enhance the culture of engagement.

      Delete
  2. Chanelle R De NieseDecember 20, 2023 at 10:05 AM

    Correctly Said! Learning and development on Customer Relationship Management (CRM) is paramount for organizations across industries. Investing in CRM training can be important due to various reasons such as Improved Customer Retention, Consistent Customer Experience, Cross-Functional Collaboration ETC.

    ReplyDelete
    Replies
    1. Hashanka Gunasekara - HR360December 20, 2023 at 10:14 AM

      Thanks for adding your insights and experience in comment section. I believe your opinion come in handy for other readers.

      Delete

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