How Is Chapter 5 Significant to the Noval as a Whole/ Frankenstein

How is chapter 5 significant to the novel as a whole? The significance of chapter 5 to the novel as a whole can be observed through the relevance of the writer's use of language to describe the setting, character and what it shows about social and historical influence of ‘Frankenstein’. Mary Shelley wrote and conceived of Frankenstein while she and her husband Percy Shelley were visiting Lord Byron in Switzerland in June 1816. They had spent an evening around the fire telling horror stories. By the support of her husband, she continued to develop the story at the age of 19 and was published in March 1818. Mary Shelley became one of the most famous authors by writing ‘Frankenstein’, one of the best works of gothic horror, unfortunately in the 19 century; women were not credited well and did not have many rights. Mary Shelley could not publish the novel because she was a woman. Therefore, Mary Shelley published the novel under her husbands name ‘Percy Shelley’. Mary Shelley had written the novel because in her past she had experienced many deaths in her family. All the circumstances in her life brought her to write Frankenstein, one of the world’s greatest horror novels. The idea of this book was to bring the dead back to life and was a reflection of Mary Shelley’s own life. Chapter 5 is written as an imperative chapter; this is because in the novel the creation is brought to life, first described that, ‘as the yellow eye of the creature opened’ his creator Victor Frankenstein flees into the streets in fear. Shelley shows descriptive features of Frankenstein’s monster. One example from the text is ‘shrivelled complexion’; she uses descriptions like this in long sentences to create imagery in the reader’s minds. In those times, people were very religious and Frankenstein was about resurrecting the dead back to life. People were very strict religiously and became offended by novel and were utterly disgusted. Today scientists have proven and discovered a lot about humans and how the world was created so people have begun to believe in science. This novel is one of the most enduring works of gothic genre and compared to the novels written today, they are not equivalent to Frankenstein. Chapter 5 is the main part of the novel. This is hugely important to the story because this tells us Shelley’s feelings and accomplishments. In those times, men were credited more than women were. Therefore, Mary Shelley made her main character as a male called Victor Frankenstein who is a doctor that studied natural philosophy. He is very obsessed with science and particularly in bringing, the dead back to life; something man had never done before. Referring to the text, ‘I work hard for nearly two years, for the sole purpose of infusing life into an inanimate body’, the obsession Victor has of just resurrecting the dead is shown clearly and how much science is important to him. Victor continued and started to create a creature out of dead remains. He begins to create the creature as it says in the text ‘I collected the instruments of life around me’ this shows us that Victor Frankenstein is trying to bring the monster to life with his machinery. Another point that proves that he is beginning to give his ultimate design the gift of life is, ‘I might infuse a spark into the life into the lifeless thing that lay at my feet’, this proves that the creature Victor was trying to bring to life was still inactive and dead. In another part of the chapter it says ‘I saw the dull yellow eye of the creature open’ this sentence is describing that the monster has been brought to life and is alive; so the experiment was a success. Mary Shelley describes the atmosphere and introduces the opening of chapter 5 as ‘it was on a dreary night of November’ and then follows with ‘the rain pattered dismally against the panes’. Both quotations suggest a dark, gloomy, gothic atmosphere and both quotes use pathetic fallacy. Mary also tells what time it is, ‘by the dim yellow light of the moon’ which proves that it is nighttime and gives an extra feature of gothic horror. Shelley shows that they didn’t have any electricity in those times as they were using candle-light, as it says in the text ‘by the glimmer of the half-extinguished light’, which means that Victor was working very hard, late at night. These few points all refer to pathetic fallacy because it sets the atmosphere well, which improves the gothic setting, to make it more horrifying. These gothic features build up and make a bigger impact on the reader, which improves the storyline. Mary also uses long, complex and descriptive sentences to describe Victor Frankenstein. She shows that Victor is worried when he creates the creature. By referring to the text it says ‘unable to endure the aspect of the being I had created’ which means that he could not absorb the reality of the situation and that he felt regret and remorse at his invention. Shelley describes some of the monster’s features, some examples are ‘his shrivelled complexion and straight black lips, his teeth of pearly whiteness’ These features give a stronger image on how he was created, and the use of sentence structure and strong adjectives delivers this well. The reason why Shelley uses these techniques is to bring the gothic explanation to the reader in a more understandable form; this is why Shelley used complex words like ‘inanimate and endeavoured’, The use of strong wording links the story together by making it more understandable. Shelley describes the creature with powerful adjectives; she uses words like ‘convulsive and demoniacal’ this gives the reader a clearer picture, which adds on to the readers imagination. When the monster is created, Victor Frankenstein rejects his creation. Shelley has written ‘I took refuge in the courtyard belonging to the house which I had inhabited’, Victor was very disappointed because he did not know how to teach his monster, was worried about what people would say to him. Therefore, Victor abandoned his creation and ran into the streets. This shows that it had a great effect on Victor Frankenstein, referring to the text, it says ‘I escaped, and rushed down the stairs’, this explains how he didn’t approve after he had created the monster as he realised that he had created something that would shock thousands of people. He would also need to care for it like a child. As Victor rejected his creation, he left it vulnerable against everything. At one point in the novel it describes Victor’s creation has awakened and is trying to speak. ‘He muttered some inarticulate sounds’, this proves that the monster cannot speak but is trying to communicate as the creation is a new born and thinks Victor as his parent. The monster picks upon speech very fast and is able to communicate with his creator who he finds by reading Victors diary. Frankenstein was written for intelligent readers because the ideas and the words used would have a bigger impact on them, as well as challenging one’s imagination. Shelley made it clear by adding this line to the novel; ‘anxiety that almost amounted to agony’, this adds alliteration for emphasis and proves that Frankenstein is a very worried man. Frankenstein is upset and confused about what he has just done. We learn about this when Frankenstein says ‘how can I describe my emotions at this catastrophe’, this proves to us that his obsession has paved over and he has finally realised hat sort of monstrosity he has created; the consequences of his actions are great. He then becomes afraid; when he sleeps, he starts to fear for his life and his family. Mary makes it clear that he is troubled in his sleep by adding this line to the novel: ‘I started from my sleep with horror’. Frankenstein is so worried about himself and his family that he ge ts nightmares; he left his creation to suffer. This leaves Victor frightened that the creature is going to approach him and take his revenge. Before becoming afraid for his own life, he was so tired that he threw himself into his bed in his clothes; this implies that he was weary. Frankenstein is also a very pessimistic man. He is confused. His feelings are confusing him after he creates the monster. Throughout chapter five Frankenstein feels and says that he is filled with calm and serene joy. At the start of the chapter, Frankenstein's feelings were unhappy, but towards the end of the chapter, he is happy until he became ill. When Frankenstein became ill, his friend Henry Clerval helped him regain full health once again. Chapter 5 tells us about how Frankenstein feels and acts; this gives a completely better picture of the character, ‘Dr Frankenstein’. Mary Shelley at such a young age used pathetic fallacy really well in this novel. At the start of chapter five, she sets the scene up as dark, gloomy and wet. This adds to the bad atmosphere. Dark and gloomy are words that are added to create a sinister atmosphere. Most people prefer sunny days to dark and gloomy days. This shows us that even within the first paragraph of the chapter the bad atmosphere is already being set. As well as being able to set bad atmosphere, Shelley can also make the atmosphere happy and joyous. Shelley used words such as ‘unable to contain myself’. This suggests that Shelley was a competent writer because she had experienced death and joy in her life. This helped her to use descriptive language like, ‘a convulsive motion agitated its limbs’; this quote is not a very joyous sentence but has a macabre tone, which makes the gothic horror creepy. Shelley also quickly changed the atmosphere all of a sudden; she rapidly changed it from Frankenstein being worried to being relieved. Shelley created the novel on her point of view; based on her life, as in the text it proves that she wrote the novel on herself or a first person. If it was written on a third, person’s point of view, it may be written as ‘a cold dew covered his forehead’ which you can tell is more made up than real. This means that it is better to write as first person because it makes more sense and sounds more believable. When he had created the creature the text says ‘I beheld the accomplishment of my toils’; this shows us that he was very proud of his creation until it came to mind that he had done a very bad thing and could not proceed any further; he would have to dismantle the being he had created. Chapter 5 tells us how hard Victor Frankenstein has worked to create the creature; it is written: ‘I had deprived myself of rest and health’. This tells us that he did not have even a little break until he had created the creature and shows us his enthusiasm; he is determined to finish and create the monster. He wanted to prove that it was possible to bring the dead back to life. As Frankenstein is giving life to the creature, it says, ‘I had gazed on him while unfinished’; this means that as he took one last look at the monster he was unaware of any problems to come. This tells us that you could already see how obsessed and blinded he was, that he did not consider the consequences he would have to face. Frankenstein is caught up in his feelings; not caring at all for what he had created and selfishly leaves his creation to suffer. Frankenstein leaves the monster alone, which is classed as terrible parenting in society. Chapter five is when the monster gets the gift of life; just like a baby. When a parent leaves his or her child, it is regarded as mistreatment. The main thing that parents do with their children, which Frankenstein did not, is to educate him. They need to teach them how to live; to get through life smoothly, to be civilised, and they should be taught the laws of society that you must abide by. Frankenstein did not teach the creature this, so the creature took it upon himself to kill his creator's family in a fit of childish revenge. Frankenstein brings the creature to life, and then the creature massacres his family; this links in with the obsession theme. The monster was disliked and ignored by everyone. The creation is rejected, and as he is very intelligent, he hides in a house. In that house a child is learning from her mother and is being taught how to read, write, and speak; the monster learns how to communicate and confronts Frankenstein. Victor cannot tolerate him, as he is frightened and cannot confront it because he had left it to suffer and die. There are many descriptive features of Victor’s creation. When the monster is brought back to life, Shelley illustrates it as, ‘a convulsive motion agitated his limbs’; this means that the monster made his first movement and has been given life. Frankenstein escaped and was regretful of his actions, so became seriously depressed. This is another point that proves that Frankenstein is based on her own life. There is a link between Frankenstein and Mary Shelley; Shelley is hugely obsessed in writing her story which she dreamt about at night, this appeared to her as she had many deaths in her family. This shows us why she wanted to write her story and how it was extremely important to her. On the other hand Frankenstein is obsessed in resurrecting the dead back to life. This shows us that Mary Shelley and Victor Frankenstein are closely equivalent to each other as they had the same desires in resurrecting the dead back to life. Chapter 5 is hugely important to the novel because it is when the monster awakens; this is when the impossible happens and it has an impact on the the readers, as there is suspense. In addition, more importantly, the notion of bringing the dead to life reflects Shelley’s own despair and the circumstances that overcame her during her life. Her mother died ten days after Mary Shelley was born. Her husband also drowned. All the religious people were shocked and disgusted because she had written against their religion by writing on the topic of resurrection. On the other hand, she had written something so unique that people admired her for her achievement. Mary had written one of the greatest gothic horror stories in history, leaving people inspired by her work. The novel presented readers with the incredible images of creation and death. There are many key points that link up chapter 5. One point is ‘obsession’. In the text it says, ‘I had desired it with an ardour that far exceeded moderation’; this is one of the most important facts about Victors passion in creating the creature; he knew that this was something that will shock the world and he wished to be the first to succeed in resurrecting a being. Chapter 5 is about Frankenstein being so obsessed, he does not know how repulsive the creature will be. His obsession backfires on his family and friends who fell foul of the creature. This implies that this is a key point contributing immensely to the novel. The concepts of birth and death also run throughout the novel. In chapter 5, Frankenstein is giving life to the creature. Frankenstein behaved wrongly as a parent to his creation; he abandoned it. Regardless how ugly or deformed your child is, a parent should love it and give it protection. Frankenstein acted atrociously; he condemned his own creation. In the 19th Century, scientists wanted to bring people back to life. Some scientists managed to revive some dead tissue; this is the furthest anyone got to revive the dead. Mary Shelley interpreted it into her novel; this shows her awareness of current affairs and scientific thinking. Mary Shelley interpreted this in a different way though; Frankenstein did not bring a particular person back to life, but he added different body parts from different dead people to make a creature. Frankenstein made the creature against the laws of nature, so he reaped the consequences. Overall, I have learned about how Mary Shelley used gothic horror and how she used long descriptive sentences to have a bigger effect on the reader. I have also learned how bad parenting can affect the minds of people psychologically. In addition, I have observed how effectively she describes a monster, and stimulates the reader’s imagination. I can see how she uses pathetic fallacy, which uses the atmosphere to make the mood and creates the genre of the story. I have observed how Shelley bases the novel on a first person, so she will be talking about herself, which will be effective at connecting the reader with Dr Frankenstein’s experiences. Also, the problems and grief that Mary Shelley experienced in her life is evident through the storyline; this makes it a more personal account. I have learned how important chapter 5 is to the novel as it is directly pointing at the life of Mary. I can see how she describes the creature visually, by giving long, descriptive features e. g. his hair, his eyes and his lips. She gives so much detail about the creature that you can even relate to the state Victor Frankenstein is in after he creates the monster and how he reacted to it. In the text, it tells us e. g. , how long he worked, why he worked and what he was doing it for. Automatically it brings imagery in to your head and gives a brief image on how he would have looked. By Frankenstein being intensely horrified, he and the public reject the monster and it is chased out of the community. This shows that people were not tolerant of differences or bizarre people in society. Therefore, the creature is unable to endure its phase of life, and feels rage towards the one person who should have cared for him. The creature felt betrayed and sought revenge. I now understand the message of this novel; Shelley is actually warning the readers to consider their actions and the consequences on others. If you do wrong to someone, you will eventually regret it, as you will face punishment in some way or another. Frankenstein was a good novel for its time; by studying chapter 5, I have learnt that 19th century life was a lot different to mine. This novel is very captivating and moving, considering when it was written, and the ethics behind it.

Production Operation Assignment

Assignment 6: PRICING a) Computation of Economic Value of an offering Mercedes Benz is launching its luxury SUV (called the CDL class) in a market dominated by Lexus GL. The CDL class uses diesel and obtains 25 miles per gallon. The Lexus model, priced at $48000, uses premium gasolene and obtains 20 miles per gallon. Both the models need to be serviced annually but the CDL being a diesel engine requires annual service that is costlier by $100. The life of a diesel engine is typically longer – hence the residual value of a 10 year old CDL is estimated to be $1600 higher than the Lexus. Assume (i) the average cost of premium gasolene to be $3. 0 per gallon (ii) the average cost of diesel to be $3. 25 per gallon (ii) the average customer drives 12000 miles per year and (iii) there is no time discount. What should be the price of the CDL such that the economic value of Benz CDL over Lexus GL (during a 10 year use horizon by a customer) is completely appropriated by Mercedes Benz? The economic value of CDL: Price of substitute=48000 Cost saving=(12000/20*3-12000/25*3. 25-100)=140 Revenue enhancing=residual value=1600+residual value of GL Use horizon=10 EV of CDL=48000+140*10+1600+residual value of GL=51000+residual value of GL The economic value of GL: Price of substitute=XCost saving=(12000/25*3. 25-12000/20*3+100)=-140 Revenue enhancing=residual value=residual value of GL Use horizon=10 EV of GL=X+(-140)*10+ residual value of GL=X-1400+residual value of GL To make (51000+residual value) equal (X-1400+residual value of GL) X should be 52400 So the price of CDL should be lower than 52400 dollars such that the EV of CDL is higher than GL. b) Breakeven Analysis Nokia has decided to manufacture a special edition cellphone called HiRide for the teen market next year that will be sold with Sprint’s wireless service. For this phone, Nokia’s variable manufacturing cost is $35 per phone.Fixed manufacturing costs amount to $20 million and advertising cos ts are expected at $6 million. Nokia will sell HiRide to retailers and pay its own salesmen a commission of $8 per phone sold to the retailers. The retail price (i. e. , price paid by the end customer) of the product is $120 and retail margin typically average about 10%. (i) What is the price at which Nokia sells to retailers? Assume that the price is X, thus: X*(1+10%)=120 X=$109 (ii) What is Nokia’s contribution per unit sales for HiRide? Contribution per unit= P-VC=109-(35+8)=$66 (iii) What is Nokia’s breakeven volume?BE volume=FC/contribution per unit=? (20000000+6000000)/66=393939. 4? 393940 (iv) Nokia’s actual sales in Year 1 turned out to be 375000 units. Since the product did not break even, Nokia’s product manager decided to reduce the commission offered to its salesmen in Year 2. Provided the sales volume, price, and other fixed costs remain the same as in Year 1, how much should be the new commission so that HiRide breaks even in Year 2? Assume that it is X, thus: The new contribution per unit would be 109-(35+X), which equals 74-X BE volume =375000=FC/ new contribution per unit=26000000/(74-X) So X =4. 76$

Ashlyfive point linguistic star Essay Example for Free

Ashlyfive point linguistic star Essay We’ve allowed a natural approach to language instruction to dominate our schools, hoping our English learners â€Å"will just figure it out. † (SCOE, 2009) This approach suggested by Kevin Clark proposes that teachers explicitly teach ELL by giving them a set of skills. Teacher will have to teach students not just vocabulary, but the sound system of language, the words and their word parts and meanings, and also rules for structuring sentences grammatically. Teaching students from this perspective can support a deeper understanding of the language. When the  concept is thoroughly supported by background knowledge, explanation as to why, activities that strengthen skills, and consistency in lesson structure that follows this pattern, students are more likely to understand the concept and create a platform from which to launch higher level thinking and conclusions on following concepts and content area. Students learn more efficiently when they have prior knowledge on a presented concept. If the student can link content to a concept that they gained from previous knowledge on from their own unique background or culture, it  will inevitably spark interest in that subject area. By sparking interest the teacher is now adding value to the lesson. Since students synonymize interest with value, the teacher would prove effective. Now a sense of purpose has now been infused into the lesson, and the student/students may begin to contribute more. (NCREL, 1990) This approach is rather intriguing, and teachers should be trained in linguistics prior to teaching ELLs. I would learn the subparts of linguistics via a course: phonetics, phonology, morphology, syntax, semantics, and pragmatics. By learning each subpart in-depth, I can better compose lesson plans and activities that explore those areas for the ELLs to better benefit. Understanding the mechanics of a language is just as important as understanding the language itself, for both teachers and students. The concept of prior knowledge should not be limited to the students but 2 LINGUISTIC APPROACH teachers should utilize this concept for their own effective instruction. If teachers have prior knowledge of the subparts of the English language, as well as knowledge of the diverse cultures  he/she is instructing can help the teacher create and blend a comprehensive and student-inclusive lesson plan and curriculum. Prior knowledge influences how the teacher and students interact with the learning materials as both individuals and a group. (Kujawa and Huske, 1995) Prior knowledge assists in segue of appropriate instruction and retention, because it is a foundation from which to build from and facilitates the idea of making sense of the educational experience. As the students are learning from the linguistic perspective, especially under syntax and  semantics, students would be primed for grammatical instruction, also. As they learn how, where and when to use appropriate vocabulary, I will insert instruction on main grammatical principles and rules and branch off into further instruction where applicable. I would try to make sound non-confusing connections with the native language grammatical principles, so there is a prior knowledge foundation established in that arena as well. I would also have a grammar day in the middle of the week to review prior concepts and morph new grammar lessons into the lesson  plan and utilize formative assessment strategies to see what needs to be reviewed and further defined. 3 LINGUISTIC APPROACH References Kujawa, S. , & Huske, L. (1995). The Strategic Teaching and Reading Project guidebook (Rev. ed. ). Oak Brook, IL: North Central Regional Educational Laboratory. Restructuring to promote learning in America’s schools, videoconference #2: The thinking curriculum. (1990). Oak Brook, IL: North Central Regional Educational Laboratory. Sonoma County Office of Education. (2009) Structuring language instruction to advance stalled English learners. Aiming High Resource. Retrieved September 16 2014. 4 Ashlyfive point linguistic star. (2016, Sep 12).

Challenging Leopold Essay Example | Topics and Well Written Essays - 2500 words

Challenging Leopold - Essay Example King Leopold II was Belgian King between 1865 and 1909. Under Leopold II control, the regime became notorious for forced labour used to gather ivory, palm oil and rubber. It killed so many locals in turn, until its misdoings were eventually exposed and widely reported by the Congo Reform Association, which had been established by Edmund Dene Morel, after which King Leopold was forced to transfer control to the Belgian government. Edmund Morel discovered that the trade in Congo was based on slave labor while in the course of duty at the Shipping Company where he worked. He realized that most ships landing were laden with valuables: ivory, rubber and minerals. However, the ships departing to Congo mainly carried soldiers, ammunitions and other weapons of destruction. There was only one conclusion from the discrepancy: slave labour was ongoing in Congo. Chapter 1 Henry Morton Stanley was an American journalist and an explorer, who was born in Wales. He explored through the Congo River a nd Basin and vast lands of the present DRC. He teamed up with resource hungry King Leopold II to establish the Congo Free State. In Europe, explorers were respected and treated in awe. This explains why many European countries competed to send explorers. The motives of British Exploration in Africa were several. Importantly, it was to acquire resources and new market for its product. Secondly, it was as result of political reasons as major European nations were competing for colonies. Importantly, Britain desired to spread religion, open up the region and stop slave trade. The targets of anti-slavery fervor in the 1960s were mainly Arabs operating mainly from East Africa. Dr Livingston was a Scottish born explorer, famous for his works in Central Africa. His initial aim was to spread Christianity and commerce in the region. While in Africa, he developed illness and was not heard from for a long time prompting his search. Henry Morton Stanley is famous for having found Dr. Livingston e in Africa. This was after being commissioned by the New York Herald to go and search for him. His search for Dr Livingstone was important to his future career because after finding Dr Livingstone, he preceded with exploration in the Congo Basin and River, and it his findings which prompted him to team up with Leopold to establish Congo Free State. Chapter 2 Leopold was obsessed with making Belgium an imperial power, succeeding at what his father did not. Edmund Dene Morel account describes him as a cruel, greedy yet with a charming personality. Leopold believed that one of the key to building a powerful, imperial Belgium was to through colonial expansion. One of the core reasons why he wanted a colony was to establish recognition: he felt that he was not truly in charge of Belgium because of Parliament. Therefore, he wanted a colony in order to establish his recognition, and create a profit to build monuments. He promoted his interests in Africa through creation of Congo Free Stat e, which was a privately held state. The Brussels Geographical Conference took place in September 1876 at the request of Leopold and its agenda was to discuss Europe activity in Africa. H invited several experts and explorers to the conference. He used this conference to rubber stamp his interest in Africa,

Trials and tribulations of e-learning and distance learning within Essay

Trials and tribulations of e-learning and distance learning within higher education - Essay Example Fortunately enough, there have been radical developments in Information and Communication Technology (ICT). Computer technology has scaled new heights in terms of processing speed, storage and display; the Internet and the World Wide Web (WWW) has made it possible for content to be made available at any time, anywhere in the world. The requirement for faster knowledge acquisition and dissemination and the rapid developments in ICT have converged to lead to the development of what is known as e-Learning and Distance Education. â€Å". . . a wide set of applications and processes allied to training and learning that includes computer-based learning, online learning, virtual classrooms and digital collaboration. These services can be delivered by a variety of electronic media, including the intranet, internet, interactive TV and satellite.† Distance Learning lays more emphasis on the geographical distance or separation between the knowledge disseminating agency and the student. The concept of distance education is not new. Imparting education by despatch of course material through the postal service or snail mail, was the earlier form of distance education which has now metamorphosed with the application of electronic technology. Desmond Keegan (1995) defines Distance Learning as resulting from the technological separation of teacher and learner which frees the student from the necessity of travelling to â€Å"a fixed place, at a fixed time, to meet a fixed person, in order to be trained.† As far as dissemination of educational content through electronic technology is concerned, e-Learning and Distance Learning can therefore be considered to be the same. For the purpose of this paper, e-Learning and Distance Learning are used interchangeably. e-Learning delivery can be synchronous or asynchronous. Synchronous delivery implies an online or live

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Introduction Essay Example | Topics and Well Written Essays - 750 words

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Tourism strategy Essay Example | Topics and Well Written Essays - 3500 words

Tourism strategy - Essay Example Services offered include travel shops, tour operators, and charter airlines. To complement the company's brand strength, Thomas Cook also owns a whole host of other renowned tour operator brands and airlines, including Thomas Cook Reisen, Neckermann, JMC, Condor, and Thomas Cook Airlines." (SAP customer success story, p.2). Corporate social responsibility is the motto of Thomas Cook Group. They provide support to the responsible tourism programs of the Travel Foundation by minimising the negative impacts arising from intensive tourism and maximising the benefits from the tourism to the local community. Through positively influencing the native society of the tourism destination, they contribute to the development of the industry itself. "Thomas Cook's mission is to "perfect the personal leisure experience." "In keeping with the values of Victorian society, Thomas Cook believed that by offering alternative, more virtuous and educational leisure activities, the lives of working people would be greatly improved and that everyone could become better educated through travel." (Steps towards a sustainable future). In order to achieve the operating profit target of $ 620 million in the period of 2009/ 2010, Thomas Cook differentiates their focusing from the main stream tour operating to independent travel and financial services. "Thomas Cook said it would increase targeted online sales to 35% in 2009/10 as part of its strategy of increasing controlled distribution." (Fearis 2007). Brief synopsis of the sustainable tourism strategy of Thomas Cook: Sustainable tourism is also referred as responsible tourism. It is based on the development of positive attitude towards the community and the environment of the destination to which the tourism is focused. Careful utilisation of valuable local resources for the benefit of the community and the protection of local environment is part of sustainable tourism. In this concept the following points are involved. 1. Admiring the local culture and environment of the destination. 2. Giving adequate economic returns to the people in the local community by buying their products and utilising their services. 3. Considering the savings of water and other natural resources in the environment. To co-operate with the energy saving programs initiated by local government is the main consideration required. 4. Contribution to protect the endangered wild life species in the destination. 5. Safeguarding the natural and cultural heritage of the tourism destination while tourists are in visit. 6. Self enjoyment and at the same time being responsible for one's own actions. 7. Caring and enhancing the attraction of the favourite destination through brilliant actions for the future generations of visitors. Sustainable tourism strategy adopted by Thomas Cook: Thomas Cook adopted sustainable tourism strategy. By holding the concept of social responsibility, they started the first holiday package. The sustainable tourism strategy of Thomas Cook is divided into six sections and for each of the section, detailed insight is provided for fulfilling the targeted goals. Thomas Cook is showing commitment to their sustainable tourism strategies. For the fulfilment of their objective they ensure the support and help from their clients. For helping to boost the local economy, local purchasing is

PhD Proposal The Effect of learning English in an early age on the Essay

PhD Proposal The Effect of learning English in an early age on the phonological errors in EFL Saudi classes - Essay Example his can cause a great deal of strain in the efforts to communicate in English when pronunciation is diminished because of difficulties with forming English words through a tongue that is trained to form sound within the framework of another language. Learning a second language at an earlier age may diminish this effect as the ability to form language can be more easily manipulated. Phonological errors occur when syllables are either missed or not pronounced within a communication. The forms of these errors can include, but not necessarily be limited to errors involving consonants, vowels, substitutions, additions, omissions, movements, exchanges, prosody (the metrical sound of the way that the language is formed), metathesis (the transposition of letters, sounds, or syllables), or non-contextual errors where there seems to be no definable source (Jaeger, 2005, p 147). According to Binturki (2008), the most common phonological errors that are found in Saudi speakers within their use of the English Language are with the interdentally fricative /v/ and to some degree with the /p/ and /i/. As well, the positions of certain words created difficulty form many users of the English language with the common Arabic dialect of Nadji as their primary language (p. i). The proposed study will be based upon the study done by Tiono and Yostanto (2008) on the phonological errors that were common among Indonesian speaking students when learning the English language (p. 80). The study was centrally focused on the English consonantal sounds that do not exist in the Indonesian language. The researchers identified six specific sounds that were absent in Indonesian and therefore caused difficulty for these students who had completed six courses of education in English (Tiono and Yostanto, 2008, p. 81). An auditory examination was given to 25 students from a private university in East Java, Indonesia where the phonological differences could be appreciated through listening to the

International Business and the Balance of Payment Essay

International Business and the Balance of Payment - Essay Example According to the research findings, it can, therefore, be said that the outward movement of a firm's international operations is considered as internationalization, not only in terms of the number of markets served but also in the operation methods utilized. Johanson and Vahlne define internationalization as "a process in which the enterprise gradually increases its international involvement. This process develops the relationship between the development of knowledge about foreign markets and operations on one hand and escalating commitment of resources to foreign markets on the other. Many critics view multinational corporations as a negative factor in the development efforts of Third World Countries; Hymer; Hopkins; Mullier found that the multinationals are perceived as a principal source of the underdevelopment of Third World Countries. Moreover, Frank supports this statement by saying that multinational corporations create net capital outflows, contribute to problems in balance o f payment, distort the domestic consumption patterns, export unsuitable technology, and products at excessive prices and, most emphatically, do not solve the unemployment problems. In addition, they aggravate economic and social inequalities in the host countries through the formation or the intensification of a small group of indigenous elites who collaborate with and benefit from the multinationals. The balance of payments is an important factor that greatly influences the internationalization process of many firms. A deficit in the balance of payments of a host country might force the government to use artificial barriers (i.e. tariffs and quotas) to limit and control imports. Managers can utilize the evaluation of the level of GNP in a host country in making important decisions not only by providing them with an indication of a potential consumer base in the market and average income per capita but also by helping the managers to forecast the future trends in a foreign country's economy. Rigorous crises in the balance of payments and currency take place with some occurrence in emerging-market economies--more than 51 crisis episodes over the past 25 years, demonstrating that about 8 percent of the time an emerging-market economy was facing serious turbulence in currency markets. Likewise, this frequency of currency crises appears to be a reoccurring phenomenon, persistent over time and across regions of the world. In terms of the other variables of the model, study of Glick & Hutchinson concluded that actual exchange rate overvaluation is a significant factor slowing output growth. This finding is discussed comprehensively in Moreno. In view of the fact that real overvaluation also takes part in an essential role in generating currency and balance of payments crises in the first instance, the undesirable effects emerge to work through two channels - the direct and the indirect channel. The direct channel is to reduce real output by weakening in export compe titiveness. The indirect channel is by contributing to a currency crisis, which in turn is associated with a disruption in financial markets and a downturn in output growth.

Aggregate Demand and Supply Models Essay Example for Free

Aggregate Demand and Supply Models Essay When examining unemployment and supply and demand it is imperative to examine the affects one has on the other and vice versa. If no new jobs are created or layoffs occur, there are no jobs to supply the needs. As the availability of money lessens a smaller amount is available for the purchase of goods, therefore fewer goods are sold. As the demand lessens sales forecasts also become smaller, these forecasts project fewer orders placed to the manufacturers. Merchants do not want to hold onto a disproportionate amount of inventory, which can be extremely expensive, both from the standpoint of cash/credit expenditure and for the storage fees. The smaller the orders are for manufactured products will result in a smaller customer supply level (United States Unemployment Rate, 2013). It is essential to amplify government funding to generate new jobs in order for the unemployment rate to be reduced. From a Keynesian viewpoint increasing government, spending is a multifaceted benefit for everyone, and this will control the aggregate level. From a Classical perspective, it is best to let the economy naturally adjust, to incorporate the unemployment ratio. Consequently, for that reason, increased spending would not be fitting in this economic model. Expectations In the first three months of 2013, the GDP in the United States has grown at a 2. 5% annual rate. Although the GDP has risen from the last quarter of 2012, 2. 5 is still almost a full point under the expectations of economists for the year. Although the economy is in a more stable point than in the 2008 collapse it has become apparent the United States economy has been stuck for quite some time now. According to Neil Irwin (2013 Washington Post) â€Å"the biggest culprit in the weak report was the government sector, which fell at a 4. 1 percent rate, after a 7 percent pace of decline in the fourth quarter. Unfortunately, this year the private sector of business has proved of no expansion and no signs point to change. As for the expectations for the rest of the 2013 year, its economist’s jobs to identify trends in the market and make assumptions of change in the economy based on those findings. Unfortunately, there seems to be little to any trends that look promising enough to quicken the recovery of the 2008 collapse. As it stands currently, the United States economy will slowly continue to grow, but not quickly. * Consumer Income According to Sivy (2013), â€Å"Personal income fell 3. 6 percent in January, the biggest decline in 20 years† (p. ). If one takes into account taxes and inflation, the accurate disposable income is closer to 4%. Many economists believe that even though there is a slow recovery from the recession the standard of living for many American’s has declined. It has become difficult for the middle-class income to keep up with rising taxes and unemployment. There does not seem to be any movement toward restoring income for middle-class households, which affects the GDP in a negative manner. The relationship to the aggregate supply and demand curve is that the consumers will only consume the number of goods and services their budget allows. When a consumer has a lower level of income, he or she is less likely to purchase high quantities of products and services, causing a negative effect on the aggregate supply and demand. Less wealth leads to less consumption, bring down the demand for goods, and causing a shift in output (to the left). Interest Rates The Federal Reserve Board (also known as the Fed†) controls interest rates. â€Å"When the Fed raises or lowers short term interest rates, banks can raise or lower the interest rates they charge borrowers, including the prime rate† (Northrop Grumman, 2013). In today’s current economy, there is a rise in interest rates. One may ask, what does this mean for the consumers in our economy as well as businesses. A number of things can happen. If the interest rates rise, consumers may not be inclined to purchase home and auto loans. Ehling (2013), â€Å"Since April, mortgage rates have jumped almost 1 percent, causing concern for those in the market to buy a home† (Para 2). This rise in interest rates can hurt businesses because fewer consumers are spending money. However, businesses can also use this to their advantage because they can put pressure on consumers to buy sooner rather than later before the rates increase even higher. When rates increase, the economy is usually strong and in good health. The Fed is usually trying to slow down economic growth. While interest rates rise, the aggregate demand curve shifts up and to the right. When interest rates are lowered, the aggregate demand curve shifts down and to the left. The short-term aggregate supply curve is also affected. When interest rates are low, this will cause the curve to shift to the right, and when the interest rates are higher the curve shifts to the left. It would be wise to lower the interest rates a little because the economy is still recovering. Raising the interest rates in a span of weeks could result in hurting the economy’s health. In today’s economy, if we lowered interest rates a small amount this would increase consumer spending and will create more jobs. Recommendations After reviewing the above mentioned, we have determined the following recommendations to help the economy grow. The above are in some way or another intertwined and affects each other as well. Our recommendation is to spend less, owe less, and grow the economy (Joint Economic Committee, 2011). To reduce government budget the use of more fiscal consolidations are essential. These programs ultimately reduce government spending, which in turn can accelerate short and long-term economic growth. Increasing tax rates are not good for the economy because it affects the long-term economic growth. In addition, decreasing the number of government workers would be a way for the government to reduce its spending, along with compensations (Joint Economic Committee, 2011). Eliminating agencies and programs is also another way to reduce spending costs. Last, reforming and reducing transfer payments to households will boost GDP growth because it will enhance the credibility of fiscal consolidation programs (Joint Economic Committee, 2011). This will also encourage younger workers to work more, save, and retire older. Part Two Evaluation of Recommendations Keynesian economists believe in applying financial and fiscal policies to lessen the effects of economic recessions. Keynes argued that in times of recession, spending is a public good that benefits everyone (Colander, 2013). The government should be spending and providing jobs to stimulate the economy. Unfortunately, during a recession most do the opposite. Businesses and government seems to cut back on military spending and cause major layoffs. Businesses are reluctant to invest because they already have more capacity than they can use. However, the government can jump-start the economy through increased spending and investment. These investments would go a long way to strengthen the economy. Currently the leadership in the White House has implemented policies that stem from the Keynesian theory. This is in large due to the previous recession that the country faced after the attacks of 9/11. The Keynesian theories allow the government to intervene and help stimulate the economy. During a stagnate or failing economy the government generates revenue and jobs sometimes by adding money into the economy and thus keeping interest rates low. This has shown to be an effective approach because the economy is starting to recover and grow again Classical economists believe on creating long-term solutions for economic problems. They argue that any imperfections in the economy will be corrected automatically, and no government intervention is needed. â€Å"While the Keynesian economists believe in implementing monetary and fiscal policies, the classical economists believe that the best monetary policy during a crisis is no monetary policy† (Patil, 2012). Although both theories are important, one may say the best solution is to have a mixture of both theories. There are many economic situations where one theory might work better than the other is; however, a wise economist is not only preparing for short-term solutions, but long-term solutions as well. Conclusion In conclusion, it is important in business to be open to looking at situations (i. e. the economy) from angles. Looking at the economy from both points of views could be critical to the success and forecasting of our economy in the future. However, after reviewing both Keynesian and Classical we still feel that the Keynesian approach will have a more significant impact on the economy. The recommendations we have suggested for the President reaffirm this.

Adolescent Truancy Essay Example for Free

Adolescent Truancy Essay I choose to do my paper on â€Å"Playing Hooky†: Examining Factors that Contribute to Adolescent Truancy, because of the position I am currently in at work places me in several different school s all year long. I have seen the effects and causes of adolescent truancy first hand. This article is a review of previous data that was obtained from Youth Advocate Programs, Inc. This article clearly states that it is a research article, and the research is from a study that compiled data from 20 students. The researchers looked at all variables that play a factor in adolescent truancy, to include family environment, living situations, community involvement, severity of substance use, duration of substance use, and peer victimization. Based on the research from the article on adolescent truancy I learned that truancy has become an ever growing problem and is caused from several different factors. Adolescent truancy is caused by multiple out-of-school and in-school factors. The majority of abscises are driven from outside factors, such as family problems, living conditions, substance use, and community involvement, and school factors, like bullying or hazing. Looking at the research by Dube and Orpinas(2009) it breaks it down into three main behavioral profile groups based on reinforcement be it negative and positive reinforcement, also no reinforcement. Positive reinforcement is things like skipping school to go to the mall or skate park things of that nature. Negative reinforcement is family conflict, living conditions, and substance problems. With substance abuse problems leads to more skipping school, and with skipping school leads to more substance abuse problems, so they both feed of each other. The research is supported by the data that was collected from a study that was done with 20 kids, ages 8-16 and grades 5th to 11th. This article fits in the overall field of sociology because it takes something that needs to be dissected and helps break down the trends and reasoning be hide what is going on, Furth more it opens our eyes to the key indicators to look for if we have a problem like this. Sociology breaks down thing so we can see the reasoning that something may be happing and I think this article does just that. I feel that the chapter that this article would best fit in would be chapter 9 Deviance, because the article cover truancy which is deviating from what you are supposed to be doing and shows why people would be doing this. This article is different because magazines and newspapers do not explain what is going on in this much in-depth information. Non-scholarly periodicals are usually just a brief summary of what is really going on and hitting the key points. This article is done from studies that have been done as well as surveys that have been completed. What this article and non-scholarly periodicals do have in common is that they both do lay out the key points to their research as well as credit the sources that they received there information from. Refrences Dimmick, J. Yanira, C. Aleka, L. and Holly, B. (2011). â€Å"Playing Hooky†: Examining Factors that Contribute to Adolescent Truancy. EBSCOhost. Retrieved from https://web-ebscohost-com.libdatab.strayer.edu/ehost/detail?vid=5hid=25sid=ea8658a5-82b9-4bf5-9730-404a1a35187f%40sessionmgr11bdata=JnNpdGU9ZWhvc3QtbGl2ZSZzY29wZT1zaXRl#db=a9hAN=6966092

Effects Of Implementing CRM Systems

Effects Of Implementing CRM Systems Effects Of Implementing CRM Systems And Its Strategic Issues In An Organisation Introduction Definition Of CRM: Any organisation will profit from adopting a definition of what CRM means in strategic terms for their business and ensuring that this definition is used in a regular manner all the way through their organization. One of the most important definitions of a CRM has been given by Davenport et al. (2001), stating that CRM systems are â€Å"all the tools, technologies and procedures to control, manage and improve or facilitate sales, support and related interactions with customers, and business partners throughout the enterprise†. According with Siebel, (one of the mayor players in the CRM market) â€Å"CRM is an integrated approach to identifying, acquiring, and retaining customers. By enabling companies to deal with and coordinate customer interactions across several channels, departments, lines of business, and geographies, CRM helps organizations maximize the value of every customer interaction and drive superior corporate performance.† Another concept about CRM, provided by John Wiley, author of the book â€Å"CRM unplugged†, is â€Å"CRM is not about technology, its about attracting and serving clients in more attractive ways†. Introduction: Many organisations in recent years identified the importance to become friendlier with the customers facing with increased worldwide competition. Therefore Customer Relationship Management (CRM) has risen to the agenda of many organisational strategies. Customer Relationship Management systems can be viewed as information systems meant to enable organisations to realise a customer focus. An increasing number of organisations are adopting CRM yet surveys are beginning to highlight the potential risks. Although CRM systems are proving an extremely popular choice for implementation. It is obvious that there is still a need for further observed studies of CRM but, only a few are available. Now a day in the business market, management finds that customers are the central part of a business and that a companys success depends on effectively managing relationships with them. So, one of the initial goals that management has its employees to achieve is based on a saying such as â€Å"the customers are always right,† â€Å"do whatever it takes to deliver your promise† or something similar. All objectives are decided to one crucial goal that is to make customers satisfy because they are the ones who keep the business run. Not too long ago, many companies did not consider this an important factor and often uncared for their customers with the result that many of these customers did not come back. Frequently, these objectives become constraints for businesses and their employees when they do not have suitable tools, equipment, or methods to achieve this goal. Now a day, technology provides to the businesses with systems that can help companies track customers comm unications with the firms and allow the firms employees to rapidly get back all the data about the customers. This idea is known as a customer relationship management (CRM) system and if used correctly, could improve an organisations ability to achieve the ultimate goal of retaining customers and so gain a strategic improvement over its competitors. (Gefen, D. 2002) CRM can be interpreted as a process of digitizing a staffs knowledge about his or her customers. This is because in a usual business process, customer relation staff would normally be required to remember their clients requirements, behaviours, tastes, preferences, etc. In real meaning, CRM focuses on building long-standing and sustainable customer relationships that adds value for both the customer and the organisation. (Daft, 2003). CRM system is frequently incorporated with other decision support systems across all functional areas, such as (ERP) Enterprise Recourse Planning system, (EIS) Executive Information Systems, (SCM) Supply Chain Management System, and Product Life-Cycle Management Systems. By doing so, organizations can produce better management information in terms of planning, acquiring, and controlling across all channels and thus have greater products and services that direct to larger revenues and larger profits. CRM systems can also assist organizations increase their abilities to interact with their customers. This not only leads to improved quality but will improve the speed response to customers needs (Anderson, 2006). By itself, CRM makes a required tool for business because it distinguishes an organization from its competitors with the knowledge resources about product ideas and the ability to identify and find solutions to customers issues. CRM can cut down the distance between customers and the organization, contributing to organizational success through customer loyalty, greater service, better data gathering, and organizational learning. Some have argued that customer satisfaction and loyalty is a science; however, Phelon (2004) takes it up a level by saying that â€Å"customer leverage is an art.† CRM Classification: Operational CRM: Operational CRM is also called front office CRM which involves the areas where the customers meet directly and this type of interactions is called as touchpoints. A touchpoint is of two types, one is inbound e.g., a call to an organisations customer support hotline and the other is outbound e.g., an in-person sales call or an e-mail support. Operational CRM enables communications to and from customers but this doesnt mean useful service. (Dyche 2001). The benefits of Operational CRM are: It delivers personalised and well-organized marketing, sales and service through multi-channel collaboration. It also enables a 360 degree view of your customer while you are interacting with them. The people who are included in sales and service can access complete history of all the customer interaction with the company, regardless of the touch point. Analytical CRM: Analytical CRM is also called as back office or strategic CRM which involves the customer actions that takes place in front office. Analytical CRM needs technology that total customer data and provide analysis of the customer data to progress managerial decision making and actions. Analytical CRM involves large amounts of cross-functional information and this information is stored on a data warehouse. The analytical CRM is based on the technologies such as warehousing and data mining. In this, the customer database should be accessible from all the departments like marketing, sales and customer service. Analytical CRM forms the foundation for planning and evaluation of marketing campaigns and assists cross selling and up selling functionalities. (Adrian Payne 2005). Collaborative CRM: Collaborative CRM is said to be an approach to the CRM in which there are many departments such as sales, marketing, and technical support share the data which they collect from interactions with the customers. For example we can say customer feedback is a main aspect for customer satisfaction and loyalty since the customer feedback gathered from a technical support department could inform marketing staff about the products and services that might be great help to the customers. The point of collaboration is to improve the quality of customer service which results in increase customer satisfaction and loyalty. Source: Handbook of CRM: achieving excellence in customer managementBy Adrian Payne (2005). Benefits Of CRM: A right CRM implementation can benefit to the organisations as well as to the customers. CRM is a next wave of computer aided marketing because it is a way of doing business. Below are the some of the benefits that a CRM or Customer Relationship Management system can bring. Peck et al. (1999) A major benefit from the Customer Relationship Management can be the development of strong relationships with the ongoing customers which can lead to: Improved sales through better timing due to anticipating needs based on past trends. Organisation can identify needs of the customers more effectively by understanding specific customer requirements. Cross- selling and up-selling of other services and products by highlighting and telling alternatives or enhancements. Organisations can identify the customers who are profitable and who are not profitable to the company. Finally this could lead to: The improved customer satisfaction and retention, showing that the organisation is having good reputation in the market place. Increased value from the customers and reduced cost associated with supporting and servicing them, growing the overall efficiency. Enhanced profitability by focusing on the most profitable customers so that the organisation ca more concentrates on the unprofitable customers dealing them with the more cost effective ways. Some other benefits which are mean to the organisations are: Shared or distributed data: Now a days companies realize that customer relationships are very important on many levels, they begin to understand the need for data sharing throughout the organisation. A CRM system is an enabler for making informed decisions and follow-up on all the levels. Cost reduction: The strong point in the CRM is making customers as their business partner and not just a subject. Because customers are doing their own order entry and are empowered to find the information they need to make a decision, less order entry and customer staff is needed. Better customer service: The information related to the interactions to the customers is centralised, so the customer support department can really benefit from this because they have all the information they needed at their fingertips. No need to ask the customer for infinity times and no need to estimate. And mostly the customer can do this on their own because the CRM system is more and more able to expect the need of the customer. The experience got to the customer is greatly enhanced. Increased customer satisfaction: If the customer feels that he is the most important part of the team instead of just a topic for marketing and sales, customer service is better and the needs are predictable. There is no question of customers are dissatisfied with the product or service. Better customer retention: If a Customer Relationship Management system can help to fascinate customers then it can be said that this will increase customer loyalty, and the customers will come back to buy again and again which produce customer retention. More repeat business: If the customers are pleased then we can repeat business. Initially customers are in a doubt of mind, if the service is good and if the customer is pleased he turns into loyal advocate to the business. Purpose Of The Study: The purpose of the study is to understand the CRM application strategies and their successful implementation to bring about maximum customer satisfaction. By doing so, we hope to make Customer Relationship Management applications more useful to the customers. Research Questions: With reference to the above stated research problem, â€Å"what are the factors effecting for a successful CRM implementation†? The following research questions have been posed to conduct the study to realize the purpose. What are the benefits obtained to the customers from the CRM implementation? What are the challenges for implementing Customer Relationship Management? What are the factors that help in successful implementation of CRM? And What are the risks involved in implementing CRM in the organisation? Design/Methodology/Approach: Thus, this dissertation deals with CRM introduction and effects of implementing CRM systems in an organisation in order to give an insight into the current issues and status of the technology. The literature review will analyze, examine and explore the benefits and problems involved in implementing CRM systems. Structure Of The Dissertation: Chapter 1: Introduction And Research Rationale This part gives a brief introduction about the purpose of the thesis. It also details the rationale for doing the thesis and validity of the research. This part also states the aims and objectives of the research to be done. Chapter 2: Literature Review This part covers the literature on the CRM issues and its functions using journals articles. The existing function will be presented and the information regarding the subject will be outlined and analysed from the academic literature available. Analysis: This part analyses the data collected i.e. CRM implementation problems with an overview of the different departments. The current system will be critically reviewed and the effectiveness of the system will be evaluated. Each of the problems research issues is analyzed, interpreted, and the detailed findings are presented Chapter 3:Research Methododlogy: This part covers the process of research to be done and the research approach. It implies the selection of the method on how the research is to be done and the methodological consideration of the data collection, sample collection and the data analysis Chapter 4: Data Analysis And Critical Discussion: This part provides a summary of the findings and conclusions of the research objective and issues, discusses the contribution of the research findings to the literature and theory, reviews the implications of the findings, discusses the limitations of the research, and concludes with suggested direction for future research Chapter 2 Literature Review Background: CRM: An overview CRM: Customer Relationship Management is a process that manages the interactions between the organisations and its customers. In other words Customer Relationship Management can be defined as a Management process that looks to maximise the profits, to shareholders by developing and implementing the strategies to build the relationships of trust with high value customers and to create a sustainable differential advantage. (Newell, 2000) In the current situation of business world there are many hand held devices and websites where the consumers trying to interact with the companies. There are some examples like direct marketing, call centres, advertising, and retail stores and also at home. At every interaction customer has an impact on the company and the brand name. The main objective of customer relationship management is to better understand the customer needs and also maintain long term relationship with those customers. CRM systems allow businesses to build relationships with customers. Organisational thinking must be changed to meet the objectives of CRM. Firms believe they exist simply to produce a product or deliver a service. But the firms need to be customer centric. (Clemons 2000). Even there are many definitions of CMR by different authors, the main idea behind the CRM concept it is the use of tools to document and maintain a relationship between the costumer and the company, incrementing the satisfaction of the costumer and creating loyalty to the company: it has been proven by many companies that is more profitable to maintain a customer in the long term rather that single sale customers. Customer Relationship Management is a method designed to collect information related to customers, to collect the features of customers, and to apply those qualities in definite marketing activities (Swift, 2001). CRM is not a new method. Actually, CRM has continuously existed from the past. On the other hand, CRM has recently become the focus of attention. The backgrounds are as follows (Ahn, 2001): Source: http://www.jscgroup.com/crm-call-centre-solutions.html Access 11/07/09 The relationship with customers is newly recognized as a key point to solidify competitive power of a company; As companies procure large volumes of data related to customers, they can perform customer management more easily and efficiently using data warehousing, data mining, and other information technologies; and The Web has opened up a new medium for business and marketing, and we can express customer actions in online into data. In other words, the scope of data to analyze behaviors of customers is extended, and the environment for one-to-one marketing has been enhanced. Importance Of Crm: The main task of Customer Relationship management is to gather information about the customers. And then the data is used to help the customer service transactions by using the information needed to solve the issues or concern readily available to those dealing with the customers. If the customer is satisfied then there will be more profitable business and more resources available to the support staff. Moreover Customer relationship Management is a great help to the management for a future way of a company. As mentioned, Customer relationship management need more data to work and these includes the customer name, address, date of transactions, pending and finished transactions, issues and complaints, status of order, shipping and fulfilment dates, account information and many more. This information is important for the support staff to the customers for providing the answer that they needs to solve the issue without having to wait for a long time and not going to other departments. Moreover the customer service representative will also be able to see the previous concerns of the customer. (Lynette Ryals; Adrian Payne 2001) This is a great assist especially if the customer is calling about the same issue since the customer will not have to say again the story all over again. This takes less time to solve the issue causing higher productivity of the support staff. Customer Relationship Management system is also important for the management because it gives the information like customer satisfaction and efficiency of service by the help desk people. This system is also important for the companys future course of act, whether it involves phasing out one of the products on the shelve or making adjustments to one of the goods sold. The information provided by Customer Relationship Management systems is also invaluable to marketing and advertising people, as they will be able to identify which ideas will works and which do not. Integration of CRM systems in an organisation is very important and this is not an easy task as it seems. Most companies fail to integrate CRM systems that need to share the information for it to be effective. A CRM system also helps in expanding your businesses. Because CRM systems are able to handle huge amount of data, this systems help you in coping with the increased numbers of customers and their data. By installing a CRM systems and if the CRM systems are utilized properly it can be sure that the business will be successful and your customers are lot more satisfied than before. (Adrian Payne; Pennie Frow 2003) There are many reasons why Customer Relationship Management is important to the organisations and some of the reasons are given below: One of CRMs most important strength is that it organises and collects data of the customers and with this data one can analyze for the future opportunities for example by using the CRM data you can analyze the needs based to the customers such as what the customers needs but they arent buying. By using this information you can develop a sales strategy that will offer services in an attractive way even in cheaply difficult times. This includes package of new goods or services or products offering to the customers in an attractive price or with some incentives. The other reason for the importance of CRM systems is every customer is important for the business but some of the customers are more worth than the others. By allocating the sales efforts accordingly, we can produce more profits per sales hour and also we can increase more sales. The CRM systems contain the tools for analyzing the customers so that we can classify the customers according to the sales. For example by using the CRM tools we can see which position are most profitable and which customers are expected to buy them. Customer satisfaction is very important in the CRM systems because customer satisfaction involves two ideas: one is to keep the promises to the customers and the other is to meet their confirmed needs. For example if you promise to contact a customer on Tuesday and do not get back to him until Thursday, you not only reached the customer expectations but the company had delicately shows how much you value that customer. Similarly, CRM can be used to make sure that the company is meeting the customer expectations as fully as possible. This involves professional handling of after-sales contacts such as service calls, resolving customer issues or offering the customer the right product at right price. At last, CRM is used to work the companys sales and customer support representatives smarter because of the improved information at their finger tips which is used to maximize revenue. http://www.insidecrm.com/features/crm-important-recession-082508/ Access 21/08/09 The Role Of Internet And Website In CRM: The evolution of internet as changed the opportunity of building a customer relationship. The important thing is the search engine, it made easier to the customers to find online merchants and communicate with them. These merchants are then offering customers more efficient ways of ordering and receiving products and services. And also, the internet simplified bidirectional communication, for the first time offering a better way for consumers to communicate personal information to the merchant. By using the internet or website a customer needed to send only a application through cyberspace, which results in short delivery time, improved accuracy, and quite often a higher positive awareness. (Jill Dychà © 2001) Internet users realised that not having to go out of their way to buy what they want, and the simple is the process which results in customer satisfaction. In fact web offered customers options they hadnt had with other delivery channels such as: 24-hour access Up-to-the-minute information for example stock levels, product features and prices The ability to research a product or merchant during a shopping trip Online customer support Online self-service Personalized content In the past it takes lot of time to select a product for the customers but now by using the web version, the customer enters a key in his favourite search engine, which returns the web sites for several catalog window treatment firms. He chooses a company which contains a lot of options and prices. Before purchasing, he even browses more than a company of other window-ware web sites for additional prices and options finally placing his order in less than an hour. From this it clearly states that the web has made doing business easier than ever. Source: (The CRM handbook: a business guide to Customer Relationship Management: August 2001, Addison-Wesley). For Example The Loyalty Programs: Companies in almost every industry are trying to use customer information to deal with the relationships. The creation of loyalty programs is one example. The airline industry gives the best examples of present initiatives. The Airline industry introduced the concept of loyalty cards long before anyone talked about CRM. It launched its advantage program in the year 1981 the term frequent flyer was introduced and loyalty marketing was changed forever. In earlier days of the airlines loyalty programs, American and United and the others who soon followed tracked little more than flight miles customer could accumulate for free award flights. Over the years as they have captured more and more knowledge about their millions of customers, the airlines have adopted the fundamental rules of CRM: Get hold of individual information about customers. Recognize what different customers are worth. Treat different customers differently. And this has done in an excellent fashion with the creation of valuable perks for the best customers. Crm Technology: Technology: The word Technology is used differently by different people and gives different meaning. The role and impact of Technology in ones personal and professional life is ever growing. Technology is used to meet the humans need rather than just understanding the workings of the natural world, which is the aim of science. Technology involves planned way of doing things where it covers intended and unintended interactions between people and the products. CRM Technology: Customer Relationship Management is a combination of processes, people and technology that is used to understand an organisations customers. CRM is an integrated approach to manage relationships with the customers. Customer Relationship Management technology supports the main processes of customer relationship management so the organisations can understand or analyze or track its contact with the customers. CRM technology enables enterprises to collect, handle large amount of data relating to the customers, carrying out strategies based on this information. The techniques used by the Customer Relationship Management have been always around and made it possible for organisations and companies to apply the tools to number of customers at a time. There are some technologies used by the Customer Relationship Management are Database Technology, Interactivity and the Mass customization Technology. Database Technology: It is the ability to analyze and plan large amounts of data besides to the storage capacity. Interactivity: The interaction between the customers and the organisation using the websites, call centers, and any other means using internet or telecommunications. Mass Customization Technology: It is a computerized standardization enables company to break services or products into modules or templates. The all technologies together make possible for an organisation to connect in the activities of Customer Relationship Management. Different Types Of CRM Systems: CRM systems can be described as a technology based business management tool which is used to develop and control the knowledge to look after, maintain, and strengthen the relationships with the customers. The main functions of the CRM systems are to effectively segment customers, maintain long term relationships with the profitable customers, establish how to handle unprofitable customers, and modify market contributions and promotional efforts. There are different types of Customer Relationship Management systems depending on the requirements for different levels of integration on the needs of the business. Some of the CRM systems are Sales systems, Call center and trouble ticketing and marketing systems. Sales Systems: This system includes all the systems that provide sales people, channels or customers themselves orders for new services. The main systems in the sales systems are sales force automation, point of sales and channel management systems. Call Center And Trouble Ticketing: This systems are the most challenging to integrate because of the more interfaces and more critical than any other systems. The main complicated issue is the timing and level of integration. Marketing Systems: This system is the easiest system in all the different types of CRM systems. It is a system of high performance, flexible platform that one can use to perform targeted personalised e-marketing using web or e-mail. The marketing system includes support for the content targeting, up-sell and cross sell capabilities, advertisements and testing, e-mail campaigns. Difference Between Transaction Customers And Relationship Customers: There is a lot of difference between the customers for example there are customers who are most profitable and at the same time there are customers who are not so profitable. A company focuses on those customers who are profitable and help in the growth of the revenue. The main idea that a company have a profitable relationship with all the customers and the targeting customers with a different product or service is already in action in most of the financial services such as banking, insurance, credit cards etc. At the same time it is less recognized in many other businesses sectors like manufacturing. Clemons (2000) There is one method to identify the group of customers by the concept of distinguishing between transaction and relationship customers. Transaction customers are very much unpredictable and have very little loyalty, other than that related to obtaining the best price. Whereas Relationship customers are far more possible for loyalty as they are regularly prepared to pay a premium price for a range of consistent goods or services. (Newell 2000). Once Relationship customers are recruited than they are less possible to defect, provided they go on to receive quality service and products. Relationship customers are also more cost effective than new customers because they are already well-known with, and need far less guidance to buy the companys products or services. Peck et al. (1999) are among those who argue that for many organisations it would be beneficial to distinguish between the two types of customers and focus on relationship customers. He also suggests organisations to concentrate on the Relationship customers because they are the most profitable to the organisation. According to Newell (2000) there are likely three different types of relationship customers and they are: the top, middle and lower groups. The first group that is the top group (top 10 percent) are the customers who are with excellent loyalty and of high profitability for the organisation. CRM is required to retain and propose them the best possible services and products in order to avoid them defecting to other competitors. Middle group customers (next 40-50 percent) are those delivering good profits and they are the customers who are possible for future growth and loyalty. The middle group of customers are the main probably giving some of their business to competitors. The main idea is to use CRM to target the middle group customers efficiently because they are the greatest source of probable growth. The last group is Lower group relational customers (bottom 40-50 percent) are slightly profitable to the organisations. In these some of them may have potential for growth but the cos t and efforts involved in targeting such customers, effect the effectiveness of servicing existing relational customers in the remaining groups (Top and Middle groups). CRM should consider this group seriously and identify this group for the response required. Transactional customers add either nothing or have a poor effect on profitability. The agreement therefore is that CRM needs to identify transactional customers to assist organisations respond correctly. CRM Functions: CRM system supports all the stages of the interaction with the customers from order through delivery to after-sales service. CRM also covers the online ordering, e-mail, knowledge bases that can be used to generate customer profiles, and to personalize service, the generation of automatic response to e-mail, and automatic help. Rowley (2002). She also distinguishes the list of functions that might apply in a CRM application: E-commerce Channel automation software Guided sell Effects Of Implementing CRM Systems Effects Of Implementing CRM Systems Effects Of Implementing CRM Systems And Its Strategic Issues In An Organisation Introduction Definition Of CRM: Any organisation will profit from adopting a definition of what CRM means in strategic terms for their business and ensuring that this definition is used in a regular manner all the way through their organization. One of the most important definitions of a CRM has been given by Davenport et al. (2001), stating that CRM systems are â€Å"all the tools, technologies and procedures to control, manage and improve or facilitate sales, support and related interactions with customers, and business partners throughout the enterprise†. According with Siebel, (one of the mayor players in the CRM market) â€Å"CRM is an integrated approach to identifying, acquiring, and retaining customers. By enabling companies to deal with and coordinate customer interactions across several channels, departments, lines of business, and geographies, CRM helps organizations maximize the value of every customer interaction and drive superior corporate performance.† Another concept about CRM, provided by John Wiley, author of the book â€Å"CRM unplugged†, is â€Å"CRM is not about technology, its about attracting and serving clients in more attractive ways†. Introduction: Many organisations in recent years identified the importance to become friendlier with the customers facing with increased worldwide competition. Therefore Customer Relationship Management (CRM) has risen to the agenda of many organisational strategies. Customer Relationship Management systems can be viewed as information systems meant to enable organisations to realise a customer focus. An increasing number of organisations are adopting CRM yet surveys are beginning to highlight the potential risks. Although CRM systems are proving an extremely popular choice for implementation. It is obvious that there is still a need for further observed studies of CRM but, only a few are available. Now a day in the business market, management finds that customers are the central part of a business and that a companys success depends on effectively managing relationships with them. So, one of the initial goals that management has its employees to achieve is based on a saying such as â€Å"the customers are always right,† â€Å"do whatever it takes to deliver your promise† or something similar. All objectives are decided to one crucial goal that is to make customers satisfy because they are the ones who keep the business run. Not too long ago, many companies did not consider this an important factor and often uncared for their customers with the result that many of these customers did not come back. Frequently, these objectives become constraints for businesses and their employees when they do not have suitable tools, equipment, or methods to achieve this goal. Now a day, technology provides to the businesses with systems that can help companies track customers comm unications with the firms and allow the firms employees to rapidly get back all the data about the customers. This idea is known as a customer relationship management (CRM) system and if used correctly, could improve an organisations ability to achieve the ultimate goal of retaining customers and so gain a strategic improvement over its competitors. (Gefen, D. 2002) CRM can be interpreted as a process of digitizing a staffs knowledge about his or her customers. This is because in a usual business process, customer relation staff would normally be required to remember their clients requirements, behaviours, tastes, preferences, etc. In real meaning, CRM focuses on building long-standing and sustainable customer relationships that adds value for both the customer and the organisation. (Daft, 2003). CRM system is frequently incorporated with other decision support systems across all functional areas, such as (ERP) Enterprise Recourse Planning system, (EIS) Executive Information Systems, (SCM) Supply Chain Management System, and Product Life-Cycle Management Systems. By doing so, organizations can produce better management information in terms of planning, acquiring, and controlling across all channels and thus have greater products and services that direct to larger revenues and larger profits. CRM systems can also assist organizations increase their abilities to interact with their customers. This not only leads to improved quality but will improve the speed response to customers needs (Anderson, 2006). By itself, CRM makes a required tool for business because it distinguishes an organization from its competitors with the knowledge resources about product ideas and the ability to identify and find solutions to customers issues. CRM can cut down the distance between customers and the organization, contributing to organizational success through customer loyalty, greater service, better data gathering, and organizational learning. Some have argued that customer satisfaction and loyalty is a science; however, Phelon (2004) takes it up a level by saying that â€Å"customer leverage is an art.† CRM Classification: Operational CRM: Operational CRM is also called front office CRM which involves the areas where the customers meet directly and this type of interactions is called as touchpoints. A touchpoint is of two types, one is inbound e.g., a call to an organisations customer support hotline and the other is outbound e.g., an in-person sales call or an e-mail support. Operational CRM enables communications to and from customers but this doesnt mean useful service. (Dyche 2001). The benefits of Operational CRM are: It delivers personalised and well-organized marketing, sales and service through multi-channel collaboration. It also enables a 360 degree view of your customer while you are interacting with them. The people who are included in sales and service can access complete history of all the customer interaction with the company, regardless of the touch point. Analytical CRM: Analytical CRM is also called as back office or strategic CRM which involves the customer actions that takes place in front office. Analytical CRM needs technology that total customer data and provide analysis of the customer data to progress managerial decision making and actions. Analytical CRM involves large amounts of cross-functional information and this information is stored on a data warehouse. The analytical CRM is based on the technologies such as warehousing and data mining. In this, the customer database should be accessible from all the departments like marketing, sales and customer service. Analytical CRM forms the foundation for planning and evaluation of marketing campaigns and assists cross selling and up selling functionalities. (Adrian Payne 2005). Collaborative CRM: Collaborative CRM is said to be an approach to the CRM in which there are many departments such as sales, marketing, and technical support share the data which they collect from interactions with the customers. For example we can say customer feedback is a main aspect for customer satisfaction and loyalty since the customer feedback gathered from a technical support department could inform marketing staff about the products and services that might be great help to the customers. The point of collaboration is to improve the quality of customer service which results in increase customer satisfaction and loyalty. Source: Handbook of CRM: achieving excellence in customer managementBy Adrian Payne (2005). Benefits Of CRM: A right CRM implementation can benefit to the organisations as well as to the customers. CRM is a next wave of computer aided marketing because it is a way of doing business. Below are the some of the benefits that a CRM or Customer Relationship Management system can bring. Peck et al. (1999) A major benefit from the Customer Relationship Management can be the development of strong relationships with the ongoing customers which can lead to: Improved sales through better timing due to anticipating needs based on past trends. Organisation can identify needs of the customers more effectively by understanding specific customer requirements. Cross- selling and up-selling of other services and products by highlighting and telling alternatives or enhancements. Organisations can identify the customers who are profitable and who are not profitable to the company. Finally this could lead to: The improved customer satisfaction and retention, showing that the organisation is having good reputation in the market place. Increased value from the customers and reduced cost associated with supporting and servicing them, growing the overall efficiency. Enhanced profitability by focusing on the most profitable customers so that the organisation ca more concentrates on the unprofitable customers dealing them with the more cost effective ways. Some other benefits which are mean to the organisations are: Shared or distributed data: Now a days companies realize that customer relationships are very important on many levels, they begin to understand the need for data sharing throughout the organisation. A CRM system is an enabler for making informed decisions and follow-up on all the levels. Cost reduction: The strong point in the CRM is making customers as their business partner and not just a subject. Because customers are doing their own order entry and are empowered to find the information they need to make a decision, less order entry and customer staff is needed. Better customer service: The information related to the interactions to the customers is centralised, so the customer support department can really benefit from this because they have all the information they needed at their fingertips. No need to ask the customer for infinity times and no need to estimate. And mostly the customer can do this on their own because the CRM system is more and more able to expect the need of the customer. The experience got to the customer is greatly enhanced. Increased customer satisfaction: If the customer feels that he is the most important part of the team instead of just a topic for marketing and sales, customer service is better and the needs are predictable. There is no question of customers are dissatisfied with the product or service. Better customer retention: If a Customer Relationship Management system can help to fascinate customers then it can be said that this will increase customer loyalty, and the customers will come back to buy again and again which produce customer retention. More repeat business: If the customers are pleased then we can repeat business. Initially customers are in a doubt of mind, if the service is good and if the customer is pleased he turns into loyal advocate to the business. Purpose Of The Study: The purpose of the study is to understand the CRM application strategies and their successful implementation to bring about maximum customer satisfaction. By doing so, we hope to make Customer Relationship Management applications more useful to the customers. Research Questions: With reference to the above stated research problem, â€Å"what are the factors effecting for a successful CRM implementation†? The following research questions have been posed to conduct the study to realize the purpose. What are the benefits obtained to the customers from the CRM implementation? What are the challenges for implementing Customer Relationship Management? What are the factors that help in successful implementation of CRM? And What are the risks involved in implementing CRM in the organisation? Design/Methodology/Approach: Thus, this dissertation deals with CRM introduction and effects of implementing CRM systems in an organisation in order to give an insight into the current issues and status of the technology. The literature review will analyze, examine and explore the benefits and problems involved in implementing CRM systems. Structure Of The Dissertation: Chapter 1: Introduction And Research Rationale This part gives a brief introduction about the purpose of the thesis. It also details the rationale for doing the thesis and validity of the research. This part also states the aims and objectives of the research to be done. Chapter 2: Literature Review This part covers the literature on the CRM issues and its functions using journals articles. The existing function will be presented and the information regarding the subject will be outlined and analysed from the academic literature available. Analysis: This part analyses the data collected i.e. CRM implementation problems with an overview of the different departments. The current system will be critically reviewed and the effectiveness of the system will be evaluated. Each of the problems research issues is analyzed, interpreted, and the detailed findings are presented Chapter 3:Research Methododlogy: This part covers the process of research to be done and the research approach. It implies the selection of the method on how the research is to be done and the methodological consideration of the data collection, sample collection and the data analysis Chapter 4: Data Analysis And Critical Discussion: This part provides a summary of the findings and conclusions of the research objective and issues, discusses the contribution of the research findings to the literature and theory, reviews the implications of the findings, discusses the limitations of the research, and concludes with suggested direction for future research Chapter 2 Literature Review Background: CRM: An overview CRM: Customer Relationship Management is a process that manages the interactions between the organisations and its customers. In other words Customer Relationship Management can be defined as a Management process that looks to maximise the profits, to shareholders by developing and implementing the strategies to build the relationships of trust with high value customers and to create a sustainable differential advantage. (Newell, 2000) In the current situation of business world there are many hand held devices and websites where the consumers trying to interact with the companies. There are some examples like direct marketing, call centres, advertising, and retail stores and also at home. At every interaction customer has an impact on the company and the brand name. The main objective of customer relationship management is to better understand the customer needs and also maintain long term relationship with those customers. CRM systems allow businesses to build relationships with customers. Organisational thinking must be changed to meet the objectives of CRM. Firms believe they exist simply to produce a product or deliver a service. But the firms need to be customer centric. (Clemons 2000). Even there are many definitions of CMR by different authors, the main idea behind the CRM concept it is the use of tools to document and maintain a relationship between the costumer and the company, incrementing the satisfaction of the costumer and creating loyalty to the company: it has been proven by many companies that is more profitable to maintain a customer in the long term rather that single sale customers. Customer Relationship Management is a method designed to collect information related to customers, to collect the features of customers, and to apply those qualities in definite marketing activities (Swift, 2001). CRM is not a new method. Actually, CRM has continuously existed from the past. On the other hand, CRM has recently become the focus of attention. The backgrounds are as follows (Ahn, 2001): Source: http://www.jscgroup.com/crm-call-centre-solutions.html Access 11/07/09 The relationship with customers is newly recognized as a key point to solidify competitive power of a company; As companies procure large volumes of data related to customers, they can perform customer management more easily and efficiently using data warehousing, data mining, and other information technologies; and The Web has opened up a new medium for business and marketing, and we can express customer actions in online into data. In other words, the scope of data to analyze behaviors of customers is extended, and the environment for one-to-one marketing has been enhanced. Importance Of Crm: The main task of Customer Relationship management is to gather information about the customers. And then the data is used to help the customer service transactions by using the information needed to solve the issues or concern readily available to those dealing with the customers. If the customer is satisfied then there will be more profitable business and more resources available to the support staff. Moreover Customer relationship Management is a great help to the management for a future way of a company. As mentioned, Customer relationship management need more data to work and these includes the customer name, address, date of transactions, pending and finished transactions, issues and complaints, status of order, shipping and fulfilment dates, account information and many more. This information is important for the support staff to the customers for providing the answer that they needs to solve the issue without having to wait for a long time and not going to other departments. Moreover the customer service representative will also be able to see the previous concerns of the customer. (Lynette Ryals; Adrian Payne 2001) This is a great assist especially if the customer is calling about the same issue since the customer will not have to say again the story all over again. This takes less time to solve the issue causing higher productivity of the support staff. Customer Relationship Management system is also important for the management because it gives the information like customer satisfaction and efficiency of service by the help desk people. This system is also important for the companys future course of act, whether it involves phasing out one of the products on the shelve or making adjustments to one of the goods sold. The information provided by Customer Relationship Management systems is also invaluable to marketing and advertising people, as they will be able to identify which ideas will works and which do not. Integration of CRM systems in an organisation is very important and this is not an easy task as it seems. Most companies fail to integrate CRM systems that need to share the information for it to be effective. A CRM system also helps in expanding your businesses. Because CRM systems are able to handle huge amount of data, this systems help you in coping with the increased numbers of customers and their data. By installing a CRM systems and if the CRM systems are utilized properly it can be sure that the business will be successful and your customers are lot more satisfied than before. (Adrian Payne; Pennie Frow 2003) There are many reasons why Customer Relationship Management is important to the organisations and some of the reasons are given below: One of CRMs most important strength is that it organises and collects data of the customers and with this data one can analyze for the future opportunities for example by using the CRM data you can analyze the needs based to the customers such as what the customers needs but they arent buying. By using this information you can develop a sales strategy that will offer services in an attractive way even in cheaply difficult times. This includes package of new goods or services or products offering to the customers in an attractive price or with some incentives. The other reason for the importance of CRM systems is every customer is important for the business but some of the customers are more worth than the others. By allocating the sales efforts accordingly, we can produce more profits per sales hour and also we can increase more sales. The CRM systems contain the tools for analyzing the customers so that we can classify the customers according to the sales. For example by using the CRM tools we can see which position are most profitable and which customers are expected to buy them. Customer satisfaction is very important in the CRM systems because customer satisfaction involves two ideas: one is to keep the promises to the customers and the other is to meet their confirmed needs. For example if you promise to contact a customer on Tuesday and do not get back to him until Thursday, you not only reached the customer expectations but the company had delicately shows how much you value that customer. Similarly, CRM can be used to make sure that the company is meeting the customer expectations as fully as possible. This involves professional handling of after-sales contacts such as service calls, resolving customer issues or offering the customer the right product at right price. At last, CRM is used to work the companys sales and customer support representatives smarter because of the improved information at their finger tips which is used to maximize revenue. http://www.insidecrm.com/features/crm-important-recession-082508/ Access 21/08/09 The Role Of Internet And Website In CRM: The evolution of internet as changed the opportunity of building a customer relationship. The important thing is the search engine, it made easier to the customers to find online merchants and communicate with them. These merchants are then offering customers more efficient ways of ordering and receiving products and services. And also, the internet simplified bidirectional communication, for the first time offering a better way for consumers to communicate personal information to the merchant. By using the internet or website a customer needed to send only a application through cyberspace, which results in short delivery time, improved accuracy, and quite often a higher positive awareness. (Jill Dychà © 2001) Internet users realised that not having to go out of their way to buy what they want, and the simple is the process which results in customer satisfaction. In fact web offered customers options they hadnt had with other delivery channels such as: 24-hour access Up-to-the-minute information for example stock levels, product features and prices The ability to research a product or merchant during a shopping trip Online customer support Online self-service Personalized content In the past it takes lot of time to select a product for the customers but now by using the web version, the customer enters a key in his favourite search engine, which returns the web sites for several catalog window treatment firms. He chooses a company which contains a lot of options and prices. Before purchasing, he even browses more than a company of other window-ware web sites for additional prices and options finally placing his order in less than an hour. From this it clearly states that the web has made doing business easier than ever. Source: (The CRM handbook: a business guide to Customer Relationship Management: August 2001, Addison-Wesley). For Example The Loyalty Programs: Companies in almost every industry are trying to use customer information to deal with the relationships. The creation of loyalty programs is one example. The airline industry gives the best examples of present initiatives. The Airline industry introduced the concept of loyalty cards long before anyone talked about CRM. It launched its advantage program in the year 1981 the term frequent flyer was introduced and loyalty marketing was changed forever. In earlier days of the airlines loyalty programs, American and United and the others who soon followed tracked little more than flight miles customer could accumulate for free award flights. Over the years as they have captured more and more knowledge about their millions of customers, the airlines have adopted the fundamental rules of CRM: Get hold of individual information about customers. Recognize what different customers are worth. Treat different customers differently. And this has done in an excellent fashion with the creation of valuable perks for the best customers. Crm Technology: Technology: The word Technology is used differently by different people and gives different meaning. The role and impact of Technology in ones personal and professional life is ever growing. Technology is used to meet the humans need rather than just understanding the workings of the natural world, which is the aim of science. Technology involves planned way of doing things where it covers intended and unintended interactions between people and the products. CRM Technology: Customer Relationship Management is a combination of processes, people and technology that is used to understand an organisations customers. CRM is an integrated approach to manage relationships with the customers. Customer Relationship Management technology supports the main processes of customer relationship management so the organisations can understand or analyze or track its contact with the customers. CRM technology enables enterprises to collect, handle large amount of data relating to the customers, carrying out strategies based on this information. The techniques used by the Customer Relationship Management have been always around and made it possible for organisations and companies to apply the tools to number of customers at a time. There are some technologies used by the Customer Relationship Management are Database Technology, Interactivity and the Mass customization Technology. Database Technology: It is the ability to analyze and plan large amounts of data besides to the storage capacity. Interactivity: The interaction between the customers and the organisation using the websites, call centers, and any other means using internet or telecommunications. Mass Customization Technology: It is a computerized standardization enables company to break services or products into modules or templates. The all technologies together make possible for an organisation to connect in the activities of Customer Relationship Management. Different Types Of CRM Systems: CRM systems can be described as a technology based business management tool which is used to develop and control the knowledge to look after, maintain, and strengthen the relationships with the customers. The main functions of the CRM systems are to effectively segment customers, maintain long term relationships with the profitable customers, establish how to handle unprofitable customers, and modify market contributions and promotional efforts. There are different types of Customer Relationship Management systems depending on the requirements for different levels of integration on the needs of the business. Some of the CRM systems are Sales systems, Call center and trouble ticketing and marketing systems. Sales Systems: This system includes all the systems that provide sales people, channels or customers themselves orders for new services. The main systems in the sales systems are sales force automation, point of sales and channel management systems. Call Center And Trouble Ticketing: This systems are the most challenging to integrate because of the more interfaces and more critical than any other systems. The main complicated issue is the timing and level of integration. Marketing Systems: This system is the easiest system in all the different types of CRM systems. It is a system of high performance, flexible platform that one can use to perform targeted personalised e-marketing using web or e-mail. The marketing system includes support for the content targeting, up-sell and cross sell capabilities, advertisements and testing, e-mail campaigns. Difference Between Transaction Customers And Relationship Customers: There is a lot of difference between the customers for example there are customers who are most profitable and at the same time there are customers who are not so profitable. A company focuses on those customers who are profitable and help in the growth of the revenue. The main idea that a company have a profitable relationship with all the customers and the targeting customers with a different product or service is already in action in most of the financial services such as banking, insurance, credit cards etc. At the same time it is less recognized in many other businesses sectors like manufacturing. Clemons (2000) There is one method to identify the group of customers by the concept of distinguishing between transaction and relationship customers. Transaction customers are very much unpredictable and have very little loyalty, other than that related to obtaining the best price. Whereas Relationship customers are far more possible for loyalty as they are regularly prepared to pay a premium price for a range of consistent goods or services. (Newell 2000). Once Relationship customers are recruited than they are less possible to defect, provided they go on to receive quality service and products. Relationship customers are also more cost effective than new customers because they are already well-known with, and need far less guidance to buy the companys products or services. Peck et al. (1999) are among those who argue that for many organisations it would be beneficial to distinguish between the two types of customers and focus on relationship customers. He also suggests organisations to concentrate on the Relationship customers because they are the most profitable to the organisation. According to Newell (2000) there are likely three different types of relationship customers and they are: the top, middle and lower groups. The first group that is the top group (top 10 percent) are the customers who are with excellent loyalty and of high profitability for the organisation. CRM is required to retain and propose them the best possible services and products in order to avoid them defecting to other competitors. Middle group customers (next 40-50 percent) are those delivering good profits and they are the customers who are possible for future growth and loyalty. The middle group of customers are the main probably giving some of their business to competitors. The main idea is to use CRM to target the middle group customers efficiently because they are the greatest source of probable growth. The last group is Lower group relational customers (bottom 40-50 percent) are slightly profitable to the organisations. In these some of them may have potential for growth but the cos t and efforts involved in targeting such customers, effect the effectiveness of servicing existing relational customers in the remaining groups (Top and Middle groups). CRM should consider this group seriously and identify this group for the response required. Transactional customers add either nothing or have a poor effect on profitability. The agreement therefore is that CRM needs to identify transactional customers to assist organisations respond correctly. CRM Functions: CRM system supports all the stages of the interaction with the customers from order through delivery to after-sales service. CRM also covers the online ordering, e-mail, knowledge bases that can be used to generate customer profiles, and to personalize service, the generation of automatic response to e-mail, and automatic help. Rowley (2002). She also distinguishes the list of functions that might apply in a CRM application: E-commerce Channel automation software Guided sell