formulating and prioritizing crm implementation strategies in mehr eghtesad ba

International Journal of Marketing and Human Resource Management (IJMHRM), ISSN

0976 – 6421 (Print), ISSN 0976 – 643X (Online), Volume 4, Issue 2, May - August (2013)

40

FORMULATING AND PRIORITIZING CRM IMPLEMENTATION

STRATEGIES IN MEHR EGHTESAD BANK OF IRAN USING

COMBINATIONAL MODEL OF PIP AND ANP

Allahyar Beigi Firoozi1, Mehran Aslaniyan

2, Faranak Yusefvand

3, Mojtaba Pahlavani

4

1Marketing consulter of Mehr Eghtesad Bank, Mehr Eghtesad Bank, Amiralmomenin Avenue,

Zahedan, Sistan and Baluchestan, Iran 2PhD Student of Human Resource Management, Department of Management, University of Sistan

and Baluchestan, Daneshgah Avenue, Zahedan, Iran 3MSc of Human Resource management, Islamic Azad University of Borujerd, Lorestan, Iran

4MSc of IT management, Department of Management, Daneshgah Avenue, University of Sistan and

Baluchestan, Zahedan, Iran

ABSTRACT

This study aimed to identify encouraging and restraining forces for implementation of

Customer Relationship Management (CRM), as well as formulate and prioritize suitable strategies

for it in Mehr Eghtesad Bank in Sistan and Baluchestan province. In this research, encouraging and

restraining forces were identified through studying literatures and interviews with managers and

heads of branches. In order to prioritize forces, a 9-scale questionnaire was designed based on ANP

method and they were completed by 30 managers. In the second step, the most suitable strategies of

CRM implementation in Mehr Eghtesad Bank of Sistan and Baluchestan were formulated by using

PIP model. Finally, for prioritizing the strategies, paired comparison was established between

formulated strategies based on research criteria. Results showed that “Providing insight and deep

understanding about customers' behaviour” with the scale of 0.06903 among encouraging forces and

“Lack of staff's belief toward CRM” with the scale of 0.05319 among restraining forces were the

most important ones. Also, "persuading employees about advantages of implementing CRM and

increasing their customer-orientation incentives" was proposed as the best strategy.

Keywords: Analytic Network Process (ANP), CRM, Mehr Eghtesad Bank, PIP model, Strategy.

INTERNATIONAL JOURNAL OF MARKETING AND HUMAN

RESOURCE MANAGEMENT (IJMHRM)

ISSN 0976 – 6421 (Print)

ISSN 0976 – 643X (Online)

Volume 4, Issue 2, May - August (2013), pp. 40-53

© IAEME: www.iaeme.com/ijmhrm.asp

Journal Impact Factor (2013): 4.6901 (Calculated by GISI)

www.jifactor.com

IJMHRM

© I A E M E



41

1. INTRODUCTION

Customer Relationship Management (CRM) is one of the newest issues in the late twentieth

century (after production and mass marketing) which were raised by developments in information

and communication technology (ICT) in business world (Mohammadi, 2003). This concept refers to

the fact that different customers demand different products and services and we should do

specifically marketing for each customer rather than mass marketing for individuals and

organizations. In other words, customer relationship management will take all functions of

organization (marketing, manufacturing, customer service, etc.) that require direct or indirect contact

with customers (Elahi & Heidari, 2008).

Customers tend to organizations which know them and their needs well and build better

relationship with them. According to this view, it is being tried to attract customers' satisfaction by

making relationships with them and qualify these relations (Liu, 2009); because nowadays,

consumers have higher expectation than before. They used to low cost as well as high quality and

variety; if their satisfaction is not obtained, they may simply tend into competitors; especially in

today's business world that competition is much more complex (Doroudian & Khanbaba, 2007).

Therefore, Customer Relationship Management is a strategic necessity and undeniable matter for

all organizations that can directly affect customer attraction, make permanent and loyal customers,

and subsequently can increase the profitability of organizations in the competitive environment

(Pierce, 2009). According to researchers, attracting new customers is much more expensive than

keeping existing ones; attracting a new customer costs about 7 to 10 times more than maintaining old

and current customers (Gebert et al, 2003). Meanwhile, organizations, especially banks, have

concluded that customers are their most important asset.

Privatization of financial industry, expansion of trade for international financial institutions,

and diversification of customers' needs in financial services have led to intense competition in

banking industry. Due to this intense competition, resources and abilities in banks have been

changed from product-oriented or service-oriented banking services into customer-oriented services

and capabilities; customer as an essential component is the main goal of banks' activities (Gilmore

and Mc Mullan, 2008).

Hence, customer relationship management as a client-centered approach based on

information and communication technologies has been increasingly used by banks and financial

institutions which made significant investments in this area (Sinha and Sen, 2011). Because in its

evolutionary way, marketing is in the stage that finding new customers is not the only aim; the main

focus is on demand management through development and leading customers into loyalty. Today,

customer satisfaction is not enough for maintaining them. Beside satisfaction, their loyalty should be

ensured (Elahi and Heidari, 2008). The objective in CRM is to establish interactions and long-term

relationships with banks stakeholders, especially customers, in such a way that more customers

maintain and less customers leave the bank; more market share and increase in profitability would be

the outcome for banks (King, 2008).

2. THEORETICAL BACKGROUND AND LITERATURE REVIEW

2.1. Customer Relationship Management

Philosophical foundation of CRM is relationship marketing, customer retention, profitability,

and making the processes of business management satisfactory (Chen and Papovic, 2003). In fact,

this is a strategy which can be used to gather customers’ needs and business practices in order to

have stronger relationships with them; and strong relationship with customers is the most important

key to success in any business. CRM consists of three main parts: Customer, Relationship, and



42

Management. “Customer” is the ultimate consumer with supporting role in value creation

relationships. By “Relationship”, it means creating loyal and profitable customers through learning

communications. “Management” is creativity and the process of customer-oriented business as well

as putting customer at the focus of organization's processes and practices (Singh et al., 2013). Today

in organizations, strategic importance has been paid to customer relationship management. In the

competitive conditions, organized and in-time relationship with customers is the best way to increase

customer satisfaction, increase sales, and reduce costs at the same time. Due to these issues,

customer relationship management in organizations is kind of business strategy (Abir Khan et al.,

2012).

In Cutler’s view (2003), customer relationship management is a concept based on the

philosophy of using marketing to create customer relationship. Gronerus (2000) defines CRM in

services marketing as a communication process between the customers and organization services in

order to attract and maintain customers which is eventually led to customers trust on using

organization services (Siriprasoetsin et al., 2011). Brown views CRM as a business approach that

combines infrastructure strategies, products, and channels to influence customer behavior through

meaningful communications. He also believes that implementation of CRM aims in improving

customer attraction and maintenance and increasing profitability (Sen and Sinha, 2011). Hawks

(2000) states customer relationship management is a necessity for competitive industries, because

companies can maximize their profitability from each customer by using CRM in such a condition.

Osgender and Ayraz (2006) consider CRM as a key strategy for business in which a company can

focus on customer needs and promote customer-oriented approach in organization (Liao, 2009).

2.2. PIP Model

Rapid development of technology, rapid growth of economic markets as well as social and

political changes are continually putting pressure on organizations and making challenge for them as

encouraging and restraining forces. It is important for organizations to be in improvement way,

move into the future, and rely on past experiences. These experiences may even be irrelevant with

new problems that are ahead, but if an organization makes suitable strategy based on environmental

forces, it will have the foresight rather than passive approach (Gholizadeh, 2010). As mentioned

before and based on PIP (Performance Improvement Planning) method, at first problems are

identified, analysed, and stemmed; then encouraging and restraining forces effecting on making

potential problems or solving current problems are determined. Finally, strategies are formulated to

apply encouraging forces and prevent restraining forces; then practical improvement programs are

determined. The process of PIP model is summarized in Table (1) (Davari & Shanesarzadeh, 2001).

Table (1) PIP Model Process

Activities Stages

Determining performance indicators and goals priorities

Predicting future performance First stage

Identifying and analyzing performance problems

Determining encouraging and restraining forces

Stemming and clustering problems

Assessing relative strength of encouraging and restraining forces

Second stage

Formulating strategy based on encouraging and restraining forces

Deep thinking to create new ideas

Identifying potential and actual facilities

Formulating a performance improvement plan for organization

Third stage



43

2.3. Analytic Network Process (ANP) Analytic Network Process is a new theory which develops Analytic Hierarchy Process (AHP)

to address dependency in feedback; to do so, the super-matrix approach is used. Sa’ati established

ANP method to solve problems on which there is dependency between options or criteria

(Monavarian et al., 2011). ANP is composed of three major steps as follows:

Step 1: Establishing model and problem structure: problem should be clearly stated and divided into

a rational system, like a network. The network structure can be determined by decision-makers at

brainstorming meetings or other methods (Alem Tabriz & Bagherzadeh Azar, 2010).

Step 2: Paired comparisons matrices and priority vectors: in Network analysis method, like AHP,

elements in each component are compared in pair according to their importance in standard control;

components are also compared in pair with respect to their impact on the target. In this stage, paired

comparisons of criteria and sub-criteria are carried out and their mutual effect on decision makers

are asked in a series of paired comparisons. In addition, if there is interaction between elements of a

component, effects on elements must be shown using paired comparisons and obtaining eigenvector.

The relative importance is achieved using a relative scale; for example, a scale of 1 to 9 can be used.

While score 1 indicates equal importance of two elements, score 9 represents the highest importance

of an element (row of matrix) compared to another (column of matrix). In a paired comparison

matrix, the value of other side is opposite. In ANP, like AHP, paired comparisons are made in the

form of a matrix and local priority vector is achieved by assigning the relative importance associated

with elements (or components). Paired comparison between dependencies in the network can also be

considered at this stage (Liao et al., 2011).

Step 3: Super matrix formation: ANP elements are interacting with each other. These elements

may be decision-makers, criteria, sub-criteria, results, options and anything else. Relative scale of

each matrix based on paired comparison is computed like AHP method. The result scales are put in

the super-matrix and show interactions between system components. General form of super-matrix is

shown in Fig(1) In this figure, �� shows Nth

cluster; �� is nth

element in Nth

cluster, �� is block

matrix consisting relative scales of “w” vectors and the effect of elements in ith

cluster on jth

cluster.

If ith

cluster have no effect on its ith

cluster (inner dependency mode), �� will be zero.

Figure (1) general form of Super-Matrix



44

In the end, final priority for each element of each subgroup is achieved based on Markov

process as follows (Rahimi and Eshghi, 2009):

Lim� ∞�� (1)

2.4. Literature review In relation to this study and successful implementation of customer relationship management,

researches have been done worldwide that some of them are mentioned here:

Kazemi et al. (2013) had a study entitled "Formulating development strategy for sustainable

tourism in Lorestan based on PIP and ANP models". The research population included all tourism

experts in the province. By judgmental sampling, 30 individuals were identified and questionnaires

were distributed. After data analysis, it was found that strategy (1-A) with emphasis on increasing

employment in the province has been suggested as the best strategy from the perspective of experts.

Anvari et al. (2005) had a study entitled "Comparative evaluation of banking service quality

from the perspective of customers and employees in Bank Refah". The purpose of this paper is to

determine the factors affecting the quality of banking services, to evaluate the importance or factors

affecting the quality of services on customers’ and banking service providers’ perspective, to analyze

the correspondence between customers’ and service providers’ view toward banking service quality,

and ultimately to develop performance improvement of banks. In order to determine factors affecting

the quality of banking services, the scientific articles, banking and academic experts’ and

practitioners’ point of view was used. To evaluate the importance of the elements, reliable and

adequate sample viewpoints of customers and bank employees were taken and analyzed. The results

of statistical analysis proved significant difference between customers’ viewpoints and employees’

viewpoints about the importance of quality components. In addition, results indicated significant

differences between prioritizing customers’ and bank employees’ corrective actions to improve

service quality.

Nazemi et al. (2005) studied on determining the role of new ways of banking services

providing to attract customers and improve the efficiency of the banking system (a study in branches

of Bank Sepah in Mashhad). In this study, considering two populations of customers and managers

and using multiple classified sampling method, statistical samples of 416 and 39, respectively, were

selected and questionnaires were distributed. Reliability of questionnaires was confirmed

Cronbach’s alpha coefficients of 0.84 and 0.92. For data analysis and to test research hypothesis,

ratio test and contingency tables and chi-square test were used. ANOVA and Duncan's test were

used to investigate the relationship between general characteristics of the respondents (moderator

variables) with the number of new ways of banking services providing. The results showed that the

new techniques for providing banking services increased customers in branches of Bank Sepah in

Mashhad, But these services has not resulted in increasing efficiency (reducing costs and time).

Motameni & Jafari (2009) investigated CRM implementation in hotel industry in Iran. CRM

implementation conditions in Iran’s hotel industry were evaluated based on Gartner model and

important factors to implement CRM technology were determined. After analyzing data, it was

found that Iran’s hotel industry has major weakness in such fields as considering changes in the

customer life cycle, data collection and analysis and converting them into knowledge to apply for

hotel planning, using new methods such as website, etc. It also has strengths in important factors like

senior management’s attention to attract and retain customers for long-term periods, getting

feedback from customers and others, etc. Overall, based on results obtained in this study, it can be

said that Iran’s hotel industry is capable of implementing CRM successfully.

Keramati & Nikzad (2008 had a study entitled "Assessing critical success factors for CRM

strategy in Textile industry using fuzzy approach". In this research, criteria and indicators as critical



45

success factors (CSFs) which are important for implementing customer relationship management in

textile industry were determined considering three key aspects of technology, processes, and human

factors. Using critical success factors, a questionnaire was designed based on pair-wise comparison

tables and fuzzy numbers, which were responded by seven marketing directors in textile companies.

Then, tables were analyzed within AHP Fuzzy method and prioritizing CSFs were identified. The

main objective of the study was to describe and determine validity of a model based on critical

success factors to be the guideline for implementation and evaluation strategy of customer

relationship management in textile industry.

Siriprasoetsin et al. (2011) in a study entitled "Factors affecting the performance of customer

relationship management" used quantitative and qualitative approaches. Collected data were

analyzed by Pearson correlation test, factor analysis and multiple regression. Factors affecting the

performance of CRM were identified as CRM knowledge and understanding by staff, leadership,

communication and organizational culture, and customer management process. Results showed that

all of these factors have significant meaningful relationship with CRM.

Bohling (2006) in his study entitled "Applying CRM: insights and issue of effectiveness"

shows CRM success factors as follows: top management support, clear goals and strategy, and

change management.

Lindgreen et al. (2006) provided a tool in their research to assess the relationship

management. They cited the most important factors for relating customer as: information technology

(IT), people, and organizational culture.

As mentioned in research background, different researchers suggested several CSFs for

successful implementation of CRM. Table (2) lists the most important factors influencing the

success of customer relationship management.

Table (2) Key success factors in CRM implementation

Success Factors Researcher(s)

Leadership and Organizational Culture Buttle (2004)

People Lindgreen (2006), Buttle (2004), Yang and Tu

(2013)

IT Croteau (2003), Buttle (2004), Lindgreen (2006),

(Kim (2010)

Clear strategy for CRM Kim (2010)

Change Management Bohling (2006)

3. RESEARCH METHODOLOGY

In terms of data collecting, this study is a descriptive-survey and in terms of target, this is an

practical study. Literature reviews, interviews, and a questionnaire were used to collect and analyze

data. The population in this study consisted of managers, experts and heads of branches in Mehr

Eghtesad Bank in Sistan and Baluchestan province. Judgmental sampling method in the case of

purposeful and non-probable was used. So, due to limited number of research population and after

analysis and identification of experts, 35 questionnaires were distributed; 30 questionnaires were

collected and analyzed. Analysis method in this study includes four main stages: at the first stage,

research objectives and the criteria for achieving them have been determined. Secondly, based on the

criteria identified in the first stage, research sub-criteria- encouraging and restraining forces for

implementation of CRM- were identified. Third, the criteria and sub-criteria of research were



46

prioritized and strategies have been formulated for the most important encouraging and restraining

forces for CRM implementation in Mehr Eghtesad Bank in Sistan and Baluchestan. In the fourth

stage, the strategies presented in the third stage were prioritized and finally suitable strategy for

CRM implementation was selected. Figure 1 illustrates an overview of research processes and the

combinational model.

4. RESEARCH FINDINGS

4.1. First stage: Determine research objectives and criteria for achieving them

The main objective of this research is to formulate and select CRM implementation strategy

in Mehr Eghtesad Bank in Sistan and Baluchestan. In order to achieve this goal and after reviewing

the literature, four factors of people, information technology, clear strategy for CRM, and change

management were identified.

4.2. Second stage: Identifying encouraging and restraining forces in CRM implementation, based on

research criteria

At this point, after reviewing the literature and doing interviews with experts and executives

in Mehr Eghtesad Bank in Sistan and Baluchestan, encouraging and restraining forces affecting

Figure(2) research overview and

combinational model of PIP & ANP

Selecting CRM implementation strategy

… 1-A 2-A 3-A N-A

)1-C( )2-C( )3-C( )N-C(

Factors with positive

effect- encouraging forces

)1-P(

)2-P(

.

.

.

Factors with negative

effect- restraining forces

)1-N(

)2-N(

.

.

.

First stage

Second stage

Third and fourth stage

…



47

CRM implementation at Mehr Eghtesad Bank were identified as follows: considering people’s

customer-orientation potential, IT platform, clear strategy for CRM, and need for change

management.

Table (3) identifying encouraging and restraining forces in CRM implementation

Encouraging Forces Restraining Forces

peo

ple

’s c

ust

om

er-o

rien

tati

on

pote

nti

al

(1-C

)

1- Creating a deep vision and

understanding of customers’ behavior as

well as their needs and demands (1-P)

2- Creating high value for customer as

well as a nice experience (2-P)

3- Increasing organization’s share from

customer’s budget (3-P)

1- Poor priorities planning for

investment in CRM; ex. developing

technology before strategy or defining

expectations of customers and

employees (1-N)

2- Little or no attention to employees’

skills and abilities and their lack of

belief to CRM implementation (2-N)

3- lack of measurable business goals for

customer attraction in branch level (3-N)

IT (

2-C

)

4- Saving costs (4-P)

4- lack of software infrastructure to

implement CRM (4-N)

5- Little attempt to develop skills and

infrastructures associated with CRM

system (5-N)

clea

r st

rate

gy

fo

r C

RM

(3-C

) 5- Increasing profitability of each

customer (5-P)

6- Increasing attraction of profitable

customers (6-P)

7- Increasing Mehr Eghtesad Bank’s

profit (7-P)

8- Deepening customer lifetime value

(8-P)

6- lack of macro-strategy in the bank to

implement CRM system (6-N)

7- Lack of alignment between CRM

program, organizational brand and

positioning, and customers’ expectations

(7-N) ch

an

ge

ma

nagem

ent

(4-C

)

8- Poor change management (8-N)

As Table (3) shows, 8 encouraging and restraining forces for CRM implementation have

been identified based on research criteria. By these forces, it is clear that Mehr Eghtesad Bank has

no CRM implementation strategy. Thus, it can be analyzed that this bank needs to strengthen

customer-orientation culture as well as employees’ mental readiness.



48

4.3. Third stage: prioritizing criteria and sub-criteria of research and formulating CRM

implementation strategy

At this point, data collected from the questionnaires were analyzed by Super Decision

software. Using achieved super-matrix (Appendix 1) priority of criteria and sub-criteria was

determined based on research objective; results are presented in tables 4 and 5.

Table (4) Prioritizing criteria based on research objective

Rank Prioritized values based on research objective Criteria

1 0.19535 1-C

2 0.08058 3-C

3 0.0383 4-C

4 0.0191 2-C

As Table (4) shows, among search criteria, 1-C criterion (people’s customer-orientation

potential) by scale of 0.19535 is the first rate and then 3-C (clear strategy for CRM), 4-C (change

management) and 2-C (IT) by scales of 0.08058, 0.03830, and 0.0191 received 2 to 4 ratings,

respectively.

Table (5) Prioritizing sub-criteria based on research objective

Encouraging Force

Restraining Forces

Rank Prioritized values sub-

criteria

Rank Prioritized values sub-

criteria

1 1-P 0.06903

1 2-N 0.05319

2 5-P 0.02932

2 6-N 0.03606

3 6-P 0.02716

3 3-N 0.02363

4 8-P 0.01383

4 7-N 0.02103

5 2-P 0.00868

5 5-N 0.01304

6 7-P 0.00801

6 1-N 0.00905

7 3-P 0.0068

7 4-N 0.00534

8 4-P 0.00384

8 8-N 0.00533



49

Table (5) shows the priority of sub-criteria based on research objective. Among encouraging

factors, sub-criterion 1-P (creating a deep vision and understanding of customers’ behavior as well

as their needs and demands) with the scale of 0.03257 had the highest priority and sub-criteria 5-P

(increasing profitability of each customer), 6-P (increasing attraction of profitable customers), and 8-

P (deepening the lifetime value of each customer) received 2 to 4 rankings with scales of 0.02932,

0.02716, and 0.01383, respectively. Among restraining forces, sub-criterion 2-N(little or no attention

to employees’ skills and abilities and their lack of belief to CRM implementation) with the scale of

0.05319 had the highest priority and sub-criteria 7-N (lack of alignment between CRM program,

organizational brand and positioning, and customers’ expectations), 6-N (lack of macro-strategy in

the bank for implementation of CRM system), and 5-N (little attempt to develop skills and

infrastructures associated with CRM system) received 2 to 4 rankings with scales of 0.05319,

0.03606, and 0.02263, respectively.

4.4. Step Four: Formulating and prioritizing CRM implementation strategies in Mehr Eghtesad

Bank

In this stage and using data from the first three steps, strategies for CRM implementation in

banks Mehr Eghtesad Bank in Sistan and Balushestan were formulated and prioritized. Based on PIP

model, suitable strategies are formulated for each encouraging and restraining forces. So, in order to

apply encouraging and avoid restraining force, suitable CRM implementation strategies are

presented as follow:

I. 1-A: Formulating strategic marketing plans and providing clear statements on vision, mission-

Statements clarify organization’s commitment route to quality and focusing on customers so

that employees’ understanding about the necessity of customer-orientation can be developed.

(1-P), (2-N), (6-N)

II. 2-A: Setting and formulating monthly and annual plans to create value for customers - such as

customer intimacy, operational excellence or product leadership - to develop a clear and

balanced vision. (1-P),(2-P),(6-P),(1-N),(2-N),(3-N),(6-N)

III. 3-A: Establishing customers club and completely organizing account information and

segmenting customers’ site (for example in macro, micro, and individual levels). (3-P), (4-P),

(5-P), (6-P), (8-P), (5-N), (7-N)

IV. 4-A: Senior management’s attention to the value that customers gain as much as bank’s

earnings and income. (5-P), (7-P), (8-P), (7-N)

V. 5-A: Assessing customer satisfaction annually in branch level using criteria such as

accountability, accuracy, and being on-time as quantitative indicators; also identifying the

causes of dissatisfaction at any branch. (1-P), (2-P), (3-N)

VI. 6-A: Determining comprehensive measures to calculate the attraction, return, profitability, and

customer lifetime value for each customers department in different branches of province and

providing performance feedback to senior management at least every three months. (2-P), (3-P),

(4-P), (8-P), (3-N), (7-N)

VII. 7-A: Creating a central data storage containing accurate and complete information from

customers- such as demographic information, the use of banking services, etc.- and developing

suitable software for it. (4-P), (4-N), (5-N)

VIII. 8-A: Applying analysis techniques about customers in order to create effective information due

to develop sales for each customer or develop cross-selling.



50

In Table (6) and based on Appendix (1), the priority of strategies has been shown:

Table (6) CRM implementation priority in Mehr Eghtesad Bank

Diagram Strategy Prioritized values based on

research object Rank

1-A 0.11552 1

4-A 0.07627 2

5-A 0.04889 3

6-A 0.03227 4

7-A 0.0229 5

3-A 0.01728 6

2-A 0.01173 7

8-A 0.00847 8

As shown in Table (6), strategy 1-A with the value of 0.11552 has the highest priority.

Strategies 4-A, 5-A, 6-A, and 7-A with values of 0.07627, 0.04889, 0.03227, and 0.0229 received 2

to 5 ratings, respectively.

5. DISCUSSION AND CONCLUSIONS

The emphasis on Article 44 of the Constitution and proposing privatization of financial

industry in recent years, expansion of international trade for financial institutions, and diversification

of needs for financial service customer have led to intense competition in banking industry.

Therefore, attracting and maintaining profitable customers as well as meeting their demands are

extremely important in this competitive industry. In this regard, customer relationship management

is considered as a strategic necessity for all banks which can directly affect customer attraction and

make them loyal and permanent; consequently can increase the profitability of banks and financial

institutions in the competitive environment. Accordingly, in order to take advantage of benefits in

this system and develop customer-oriented culture, this study aimed to identify encouraging and

restraining forces as well as formulate and select a suitable strategy for Mehr Eghtesad Bank in

Sistan and Baluchestan. Using analytic network process (ANP), paired comparisons between criteria

and sub-criteria was done; then they were prioritized. Prioritization showed that among criteria, 1-C

(People’s customer-orientation ability) and among sup-criteria, 1-P (Creating a deep vision and

understanding of customers’ behavior as well as their needs and demands) for encouraging forces

and 2-N (Little or no attention to employees’ skills and abilities and their lack of belief to CRM

implementation) for restraining forces were in the highest priority. At the next step and according to

prioritization, the most important strategies for CRM implementation in Mehr Eghtesad Bank in

Sistan-Baluchistan were formulated. Based on sub-criteria, a paired-comparison was done among

selected strategies and strategy 1-A was finally selected as the best strategy.

It can be stated according to the chosen strategy that Mehr Eghtesad Bank needs to make

suitable culture as well as make belief about marketing and consequently customer relationship

management among employees so that it can maintain its position in market and improve relative

market share in long-term periods by using pre-defined and formulated customer-orientation

strategies based on market, competitor, and the analysis of internal strengths and weaknesses. CRM

strategy can be a viable option for achieving this. So, the bank would be able to maintain and



51

develop its competitive position in banking industry by identifying target markets and introducing

new services continually.

Aligning results of this study, Anvari et al. (2005) study can be pointed out. He found that in

Refah Bank, there is a difference between staff’s and customers’ views in terms of service quality.

Beside this factor, the factor “employees’ lack of belief to customer-orientation” was presented in

the current study which shows the two studies are consistent with each other.

Nazemi et al. (2005) studied on determining the role of new techniques to provide banking

services in order to attract customers and improve the efficiency of the banking system (case study

of Bank Sepah in Mashhad). They showed that new techniques to provide banking service have led

to increase customers, but not to improve efficiency (reduce costs and time). This study emphasized

the need to implement customer relationship management; it was also proposed to use information

technology for improvement in the effectiveness of this system. So, the two studies are consistent in

this aspect. On the other hand, this study noted that implementing CRM and new technologies will

reduce costs; in this aspect, it is not consistent with Nazemi et al. The reason can be attributed to

different emphasis and population of the two studies.

Keramati and Nikzad (2008) evaluated critical success factors for customer relationship

management strategy in textile industry by using fuzzy approach. They stated these CSFs in terms of

technology, processes, and human factors. Also in the present study, people and technology have

been considered as CRM implementation success factors; in this aspect, it is consistent with

Keramati’s research.

This study is also consistent with Prastoesen et al. (2011), Bohling (2006), and Lyndgreen et

al. (2006) who considered staff, senior management support, strategy and clear goals, change

management, and IT necessary and essential to implement CRM successfully.

REFERENCES

[1] Anvari, A. Goudarzi, M. and Mohammadlo, M. Comparative evaluation of banking quality service on

staff’s and employees’ viewpoint, Journal of Human Science Teacher, 2005, No. 3, pp. 53-77.

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53

Appendix (1) Limited Super Matrix

8-P 7-P 6-P 5-P 4-P 3-P 2-P 1-P 9-N 8-N 7-N 6-N 5-N 4-N 3-N 2-N 1-N selecting the best strategy 4-C 3-C 2-C 1-C

0.34770 0.34770 0.34770 0.34770 0.34770 0.34770 0.34770 0.34770 0.34770 0.34770 0.34770 0.34770 0.34770 0.34770 0.34770 0.34770 0.34770 0.11552 0.17329 0.17329 0.17329 0.17329 1-A

0.03526 0.03526 0.03526 0.03526 0.03526 0.03526 0.03526 0.03526 0.03526 0.03526 0.03526 0.03526 0.03526 0.03526 0.03526 0.03526 0.03526 0.01173 0.01760 0.01760 0.01760 0.01760 2-A

0.05191 0.05191 0.05191 0.05191 0.05191 0.05191 0.05191 0.05191 0.05191 0.05191 0.05191 0.05191 0.05191 0.05191 0.05191 0.05191 0.05191 0.01728 0.02591 0.02591 0.02591 0.02591 3-A

0.22919 0.22919 0.22919 0.22919 0.22919 0.22919 0.22919 0.22919 0.22919 0.22919 0.22919 0.22919 0.22919 0.22919 0.22919 0.22919 0.22919 0.07627 0.11440 0.11440 0.11440 0.11440 4-A

0.14691 0.14691 0.14691 0.14691 0.14691 0.14691 0.14691 0.14691 0.14691 0.14691 0.14691 0.14691 0.14691 0.14691 0.14691 0.14691 0.14691 0.04889 0.07333 0.07333 0.07333 0.07333 5-A

0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.03227 0.04840 0.04840 0.04840 0.04840 6-A

0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.02290 0.03436 0.03436 0.03436 0.03436 7-A

0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00847 0.01271 0.01271 0.01271 0.01271 8-A

0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.19535 0.00000 0.00000 0.00000 0.00000 1-C

0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.01910 0.00000 0.00000 0.00000 0.00000 2-C

0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.08058 0.00000 0.00000 0.00000 0.0000 3-C

0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.03830 0.00000 0.00000 0.00000 0.00000 4-C

0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00905 0.01351 0.01351 0.01351 0.01351 1-N

0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.05319 0.07983 0.07983 0.07983 0.07983 2-N

0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.02363 0.03554 0.03554 0.03554 0.03554 3-N

0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00534 0.00801 0.00801 0.00801 0.00801 4-N

0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.01304 0.01952 0.01952 0.01952 0.01952 5-N

0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.03606 0.05405 0.05405 0.05405 0.05405 6-N

0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.02103 0.03153 0.03153 0.03153 0.03153 7-N

0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00533 0.00801 0.00801 0.00801 0.00801 8-N

0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.06903 0.10350 0.10350 0.10350 0.10350 1-P

0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00868 0.01300 0.01300 0.01300 0.01300 2-P

0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00680 0.01025 0.01025 0.01025 0.01025 3-P

0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00384 0.00575 0.00575 0.00575 0.00575 4-P

0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.02932 0.04400 0.04400 0.04400 0.04400 5-P

0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.02716 0.04075 0.04075 0.04075 0.04075 6-P

0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00801 0.01200 0.01200 0.01200 0.01200 7-P

0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.00000 0.01383 0.02075 0.02075 0.02075 0.02075 8-P

formulating and prioritizing crm implementation strategies in mehr eghtesad ba

Business

mehr eghtesad bank

human resource management

islamic azad university

analytic network process

decision support systems

irans hotel industry

senior managements attention

customer relationship management