Home > CRM software, CRM strategy > Potential Drawbacks of using CRM software

Potential Drawbacks of using CRM software

While we go on and on about the advantages of using CRM software, in today’s topic let’s take a look at what the disadvantages, drawbacks or problems one might face, during and after implementation of CRM.

There are several reasons why implementing a customer relationship management (CRM) solution might not have the desired results.

Training: –

Like most systems, there is a certain period of buffer time associated with learning and getting acquainted with new CRM software; management has to bring in technical experts from the CRM vendor for training and familiarizing the company employees with the new CRM system. Patience is expected from the management, while the employees get trained and prepared for their day-to-day interactions with customers and potential customers.

Phishing:-

CRM manages a database of all the data entered in its server, this highly sensitive data might contain customer’s sensitive information like credit card details, addressed and important account details, CRM mostly all of the modern ones at least, harness the power of cloud computing where a lot of different terminals share a common database.

Process of attempting to acquire sensitive information such as usernames, passwords and credit card details by masquerading as a trustworthy entity is called as phishing.

An Employee might be lured into leaking such sensitive information by competitors, for a small sum of money; this is one of the major disadvantages as anybody can access client details by accessing the software.

Requires Continuous efforts for Maintenance, Backups and System Up-gradation cost:-

Once the CRM systems are in place they need to be continuously monitored for any abnormalities, regular backups should be taken for all the data in the systems, preferably on a daily basis to avoid any loss of data, company might have to appoint people in the IT department for such jobs; this would mean incurring extra cost.

With changing business needs and wants different changes  need to be made to existing CRM software If any flaws are detected in the program then certain implementation procedures must rectify them, also security patches should be installed on regular basis, to make sure the system doesn’t get prone to attacks from hackers and data diggers.

Also CRM software’s, hosted or on-premise, Security becomes your prime responsibility and a major concern, you do not want your data to be stolen or being misused by others, Hence upgrading your CRM software with various security patches is also important and a must.

Also good CRM software always allows you to back up or export data in files; this is an essential feature and should be considered before buying CRM software

CRM should also be capable of integrating with other applications which the employees might be using such as Microsoft outlook and other such applications, if the CRM system does not support that then additional costs would be incurred in developing custom made applications to do so.

But these problems of Maintenance, Backups and Continuous System Up-gradation can be avoided by firstly choosing a reputed CRM vendor; and opting for SaaS based technology, which will further reduce security concerns as the data would be stored securely in their database, initial training should be free of cost from the vendors side, also SaaS based technology reduces security concerns as the vendor can install patches from his end, this would also mean savings for the company as they would not have to employ more people in IT department.

DISCLAIMER: – IDEAL CRM, blog post is a personal collection of  Research Oriented information, Focusing  on CRM and Customer-Centric Web strategies, comments or opinions expressed on this blog are those of the individual contributors only, and do not necessarily represent views of  coAction.com ,Readers may copy and redistribute blog postings on other blogs, or otherwise for private, non-commercial or journalistic purposes. This Content may not be used for any other purposes, in any other formats or media. The content on blog is provided on “as-is” basis, coAction.com shall not be liable for any damages whatsoever arising out of the content or the use of this blog.

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  1. February 23, 2011 at 6:46 AM

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