Reaching Your Goals With Effective Business Intelligence

Measure the success of your CRM strategyCRM to be a strategic, customer-centric way of doing
Effective Business intelligence is a topic that I've onlybusiness, you should have decided up front what was
gotten involved with in the past few years. Before that,going to improve and how you were going to measure
the middle market companies I've worked with couldn'tit. To do this you'll need a means of presenting the
afford the entry price. Expensive software with heftyresults. You might be trying to...
consulting engagements for building data warehouses1. Incrementally increase revenue - your customer
and business metrics simply made it impossible.focused realignment could lead to the attraction of
Fortunately, and much to the dismay of many of thosenew customers at an increased rate. Referrals are
companies, companies like QlikTech have come alonggreat that way. If this is part of your plan, then plan to
and allowed me and my peers to provide some reallymeasure this increase relative to the implementation of
cool stuff to the middle market.your strategy.
Tactical Business Metrics2. Cost Reduction - Reducing the friction in your
I just made that term up. I throw anything that supportsbusiness by re-working your processes to be
measurements to things like the sales process tactical.customer-centric will allow you to reduce your staff
Just because someone names a methodologyand increase your throughput. Your plan should identify
Strategic Selling doesn't make it strategic. Keep in mindwhere this will occur and how you will gain from them.
that the sales organization derives it's initiatives from aYou cannot justify the investment if you can't measure
corporate vision. Let's hope it's customer centric!them.
I find some of the "dashboards" out there to be3. Improve profitability - whether by becoming more
useless and extremely confusing. They either look likeefficient, identifying a more profitable product and
a vintage sports car, or there are so many low levelservice mix, or by extending the average customer
"KPI's" on them that there no better than raw data.lifecycle, you should know what to expect in advance
Let's be serious. Solutions for effectively monitoringand measure it against your goals. Effective business
business intelligence should provide information, not rawintelligence tools are a great help, but a spreadsheet
data. Why would you want to think about what you'recould do it too.
looking at? Wouldn't it be better to know either4. Retrieve lost opportunity costs - what have you
everything's OK, or something is wrong with out havingbeen doing all these years? Losing customers you
to process data in your head?should have kept. Losing high quality employees that
The first time I was shown an executive informationrefused to put up with "that's the way we've always
system was 20 years ago when I was in banking. Thedone it". Turnover costs you money because it's
simplicity was beautiful. All it had were three simplealways more expensive to acquire than it is to keep.
colored rectangles. Each represented a different areaEffective business intelligence isn't about the glitzy tool.
of responsibility. If it was green, everything was cool. IfIt's about your plan and the measures you've set for
it was yellow, someone was probably already lookingdetermining your success. Don't accept what comes
into things, but he or she could click for more info. It itout of the box. Be prepared to challenge them with
was red, heads would probably roll. The key is that theyour requirements. After all, they don't know your
executive trusted these colors.strategy, so they can't possibly have predicted the
Strategic Business Metricsbest set of measures for you.
I like making up headlines like that. Since I consider