An intuitive CRM Application fosters usability and user experience

update software AG | [email protected] | www.update.com

White Paper

User-friendly CRM

An intuitive CRM application fosters usability and superior user experience

Copyright update software AG

Changes and errors excepted

update software AG | [email protected] | www.update.com 2/11

Neu in Servicepack 6 | update.seven web

Contents

CRM: Perfect support for business processes 3

Professional customer relationship management .................................................................................... 3 From functional to optimal user support ............................................................................................. 3

Users in the spotlight: new qualities of CRM systems 4

Experience Management as a success factor ......................................................................................... 4 Benefits and advantages of CRM systems optimized for usability and user experience ........................................ 4

Return on Investment ............................................................................................................... 5

Usability levels and factors 6

Effective, efficient, and satisfying .................................................................................................... 6 Context as an additional success factor for user experience ...................................................................... 8

User-oriented approach for the introduction of CRM applications 9

Focusing on the user ..................................................................................................................... 9 The phases of the user-centered design process (UCD process) ................................................................... 9

Analysis & Innovation ................................................................................................................ 9 Prototyping & Design ................................................................................................................ 9 Evaluation ............................................................................................................................. 9

Use case for introduction of a CRM application .................................................................................... 10 Assesment Phase ................................................................................................................... 10 Setup Phase ......................................................................................................................... 10 Rollout Phase ....................................................................................................................... 10 Enhancement ....................................................................................................................... 10

Conclusion: Strategic view of usability, user experience and user interface design 11

This document is a cooperation between update software AG and USECON .................................................. 11



CRM:

Perfect support for business processes

Professional customer relationship management

Business success today is defined increasingly by the building

and effective management of all customer relationships.

Successful CRM systems map customer-relevant business

processes for sales, marketing, and service.

Particularly in competitive industries, it is vital to be able to

evaluate your customer relationships at all times in order to

take appropriate measures. CRM systems offer ideal

assistance with this, from initial contact to staying in touch

with regular customers.

Operational activities should be supported as well as

possible, allowing for efficient work to be done. Here, high-

quality CRM systems distinguish themselves as high-

performance solutions that can be adapted flexibly to user

needs and scaled at any time.

The paradigm shift from simply collecting data to evaluating

and using it has already been completed. Well-maintained

customer and lead data provide a basis for taking

appropriate actions and activities.

From functional to optimal user support

New generation CRM systems must do more than just support

and provide tracking of customer-relevant business

processes.

Optimized usability and a consistent focus on a positive

user experience are enabled through a user interface

design that is well conceived and executed.

If these factors are not taken into appropriate consideration,

user acceptance suffers. Users do not want to work with

overloaded business applications to do their daily work.

Since user acceptance is determined largely by usability and

user experience criteria, these factors play a central role in

the selection and ultimate success of a CRM installation at a

company. Insufficient usability or negative user experiences

reduce the usage rate and the quality of the data, making it

difficult for the CRM application to succeed. Employees may

record relevant data inadequately, leading management to

draw incorrect conclusions from the employees' reported

data.

User-optimized strategies, systems, and processes can

counteract this and help to optimize the introduction and

usage of CRM applications. Usability and user experience

therefore are key factors even during the selection process.



2 Burns, M. (2012) The State Of Customer Experience, 2012. Forrester Research Inc. Cambridge, USA

http://www.forrester.com/home#/The+State+Of+Customer+Experience+2012/quickscan/-/E-RES61249

Users in the spotlight:

new qualities of CRM systems

User experience is a broad concept that involves many different factors:

A person's perceptions and responses that result from the use or anticipated use of a product,

system or service. Definition of "user experience" according to ISO standard 9241-2101

One of the most important aspects of the user experience for CRM systems is their usability.

Usability is defined as how the user can use a CRM system to achieve specified goals in an

effective, efficient, and in satisfactory fashion.

Building on the definition of "usability" according to ISO standard 9241-210

Experience Management as a success factor

In the area of enterprise applications, providers try to

combat competitive pressure with an expanded functional

scope and a longer list of features. The trend toward "more

functions than in the last release" becomes a problem if with

increasing requirements the user's needs are forgotten.

In contrast to this, the goal is to connect experience

management, the optimal design of product and service

experiences with a positive user experience from the

point of view of the future user.

The focus is on users with their ideas, needs, and also

concerns. As well in established market segments, product

features that exceed standard qualities have a significant

effect on purchasing decisions, customer loyalty, and brand

loyalty. Usability, user experience, and user interface design

become "business tools" that have a lasting influence on the

success of a product and represent a significant

differentiating feature. "Customer experience" refers to how

these concepts are taken into consideration regarding price,

image, and customer contact with a company across all

channels.

In a current study by Forrester Research "The State Of

Customer Experience, 2012"2 75% of the companies surveyed

name customer experience (on the executive level) as the

determining factor that companies want to use to distinguish

themselves from their direct competition and all companies

in each industry.

Benefits and advantages of CRM systems optimized for usability and user experience

The optimization of the usability and user experience of CRM

applications requires the systematic deployment of

appropriate measures as part of a user-centered design

process (see page 9). These measures represent investments

that must pay off in the medium and long term.

Recommendations call for investing at least 10% of the

development budget in usability activities.

Key performance indicators (KPIs) are defined to facilitate

quantifying the results of optimized usability or user

experience. The return on investment (ROI) in user

experience measures can thus be made "visible" in the

changes of the indicators even in the business context.

fig. 1: Experience Management/Source: USECON

1 ISO 9241-210:2010 Ergonomics of human-system interaction - Part 210: Human-centred design for interactive systems. ISO, Geneva, Switzerland

http://www.iso.org/iso/iso_catalogue/catalogue_tc/catalogue_detail.htm?csnumber=52075

http://www.forrester.com/home#/The+State+Of+Customer+Experience+2012/quickscan/-/E-RES61249

http://www.iso.org/iso/iso_catalogue/catalogue_tc/catalogue_detail.htm?csnumber=52075



3 Nielsen, J. Usability ROI Declining, But Still Strong http://www.useit.com/alertbox/roi.html (called up December 2012)

Return on Investment

The question is what return on investment (ROI) can be

achieved with respect to the various KPIs. In long-term

studies, the internationally renowned Nielsen Norman Group

showed that a deployment of approximately 12% of the

development budget for usability measures results in an

average increase of 100% in the KPIs.3

Generally, there is a distinction made between internal and

external ROI drivers. Internal drivers have an effect "within

the company" (e.g. on the company's own employees,

structures, and processes) and external drivers have an

effect "from the company on the market" (e.g. on

customers, sales, support, and training).

Internal ROI drivers

» Increased user productivity

» Fewer operational errors

» Reduced training costs for the company

» Savings in development thanks to iterative design

» Reduced need for ongoing user support

External ROI drivers

» Increased sales figures and greater customer satisfaction

» Reduced customer support costs

» Savings in development thanks to step-by-step design

» Reduced training costs for the customer

» Increased perception of company value

(image, branding, etc.)

Positive ROI drivers in the CRM enviroment

In the CRM environment, the following, among other factors, are regarded as positive ROI drivers:

» Quick user acceptance on introduction

A new CRM system that is planned and integrated

according to user needs enjoys greater acceptance than

an out-of-the-box system when introduced at a

company. Even companies in the same industry are too

different for one-size-fits-all solutions.

» Higher rates of use

As a positive consequence of acceptance, usage rates

and the usage of the software increase. The rejection

rate can be reduced to a minimum with good usability

and user experience. Over time, the CRM application is

not regarded as a tiresome task, but as a tool that

improves a person's own performance and makes daily

work easier.

» Improved data quality

From the point of view of a company that deploys a

CRM application for customer relationship

management, faster acceptance and higher usage rates

result in better data quality. On this basis, employees

can make business decisions that suit the situation and

have a positive effect on their company's success.

» Reduced error rates

Thanks to a user-oriented user interface design, errors

can be minimized. This, in turn, has a positive effect

on the data quality and on user satisfaction.

» User satisfaction

In a typical business setting, employees often use the

system for many hours a day. The concern is not to

suggest to users that CRM applications are pure

entertainment like using a game console;

However, for users' acceptance and identification with

the tasks assigned to them, the CRM system must have

certain hedonic qualities. This means that use must

trigger a good, comfortable, and desirable feeling in

the user. Factors that have a positive effect here are,

for example, a professional and modern design, room

to interact, and personal identification with the

product.

» Less training required thanks to intuitive operation

If the CRM system offers patterns of interaction that

are familiar to the user (e.g. existing processes, similar

software products, etc.), the learning curve is no

obstacle. New functions are perceived as intuitive.

From the company's point of view, the advantage is

that little initial training and less follow-up training is

required. This metric is of interest not only to

departments with a high employee turnover rate, but

also for each new introduction of additional functions

in the CRM system.

» More precise depiction of business processes with

guided processes

In addition to sophisticated design, clear guidance

through the CRM application is one of the most

important benefits. Users do not want to have to focus

on the user interface. They want to update customer

data, enter data from a sales appointment or create a

new offer. In short: they want to perform their tasks

effectively and efficiently. Only if business processes

are mapped as usual will users be satisfied, the

appropriate data will be input, and the system will be

used.

http://www.useit.com/alertbox/roi.html



4 Hannich, F., Jenni, C., Beerli, B., Mandl, T., Rüeger, B. (2012) Swiss CRM 2012, Use and Trends in Swiss Companies. ZHAW School of Management and Law, Center for

Marketing Management. Winthertur, Switzerland

http://www.zhaw.ch/management/zmm/forschung-und-entwicklung/studien/swiss-crm.html

Usability levels and factors From the consumer products market, it is known that

customer requirements of products can be summarized this

way: "easy, clear, quick, intelligent, and sophisticated." A

pure technical function shouldn’t be a “nice to have,” it

should be included standard.

Users take their positive experiences with online shops,

search engines, Web mailers, and social media platforms

into their workplace. They make similar demands for the

operation of software in the professional environment; this

includes the CRM system.

Effective, efficient, and satisfying

In a study released in 2012 by the Zurich University of

Applied Sciences about CRM use at Swiss companies4, study

participants were quizzed about CRM problems. As of 2011,

the main problems (multiple mentions were possible)

included the topics "no clearly-defined CRM processes"

(40.4%) and "no detailed and maintained customer data"

(35.6%). It is clear from these insights that designers of CRM

applications must not just consider these hurdles, but

actively work to overcome them.

The criteria listed in the usability definition (effective,

efficient, and satisfactory) therefore play a significant role

in CRM applications.

update.CRM leads you step by step through your business processes thanks to:

» Clearly defined start and end points

» Visualizations of complex processes and graphical depictions of process steps and metrics

» Visualizations adapted to the progress of the process

» Configurable prerequisites, which must be fulfilled by the users

in order to reach the next process phase

» Orientation according to guidelines for all of your business processes

» Self-explanatory user interface requiring less training,but resulting in better data quality and fewer error

Effectiveness means that users must be able to perform

their tasks with the system. CRM processes are often

detailed and complex. To be able to make the right

decisions, users need context-related information at the

right time, in the right place. Systems that should support

these processes often offer a broad functional scope. Users

have to learn to select the appropriate functions in each

step in order to perform the given task successfully. The

user interface (graphical interface of the application)

greatly contributes to the user's success.

The criterion efficiency becomes especially notable when

the concern is completion of tasks that occupy many users

for the majority of their time. Non user-optimized CRM

systems contain considerable "productivity killers" at these

points. This idle time is often just a few seconds, but

multiplied by hundreds of users in the organization, there is

great potential for optimizing the resources deployed. A

clear mapping of processes and clear structures are essential

starting points for employees' improved performance.

fig. 2: Definition of Usability/Source: USECON

http://www.zhaw.ch/management/zmm/forschung-und-entwicklung/studien/swiss-crm.html



5 Peppers, D., Rogers, M. (2010) Customer Experience in Retail Banking. Efma and Peppers & Rogers Group

http://www.efma.com/index.php/content/publications_studies_surveys_efma/detail/EN/1/262/1-8NYN3

The satisfaction with a system expresses to what extent the

users identify with the tool they use every day. CRM systems

that from the very first day of the "go live" provide a

pleasant user experience have a higher acceptance rate and

run less danger of landing on a "technological dead-end

street”.

Users' satisfaction is best revealed by recognizable benefits

of the CRM application. Benefits in the CRM environment

define whether users gain insights from the long-term data

in order to take appropriate steps.

An example of recognizable benefits is obvious in service-

intensive industries such as banking where there is a lot of

customer data that often is collected over long periods of

time and for all phases of a customer's life. The benefit for

the user in this type of industry is the greatest if the CRM

system transforms the data recorded into insights that can

become the bases for decision-making. The study "Customer

Experience in Retail Banking" by the Pepper & Rogers Group5

indicates a particular need to catch up here.

Progressive CRM solutions that fulfill these usability criteria

are focused on users' actual needs and assist especially with

the following three aspects:

» Clear mapping of the processes in the system (user goals, flows) This is how established business processes and formulated workflows are supported as well as possible. Users find their usual procedures for real customer management reflected in the CRM system.

» Clear structure of the application (information, functions) Users can orient themselves quickly in the various steps with the functions they need available when they need them. The names of process steps, functions, and navigation elements should also be tailored to a company’s specific industry. Users of the CRM system can thus learn quickly and move in a world of familiar terms.

» Appealing user interface design (User Interface)

In addition to clearly-mapped processes and clear

structures, the user interface elements make an

essential contribution to easy operation. The correct use

of buttons, links, tabs, icons, etc. helps users make the

right decisions. In addition, errors are avoided and tasks

are performed more efficiently. With the formation of

visual hierarchies (emphasis of elements through size

and/or color), operating elements can be prioritized in

order to support the task flow.

The Top 3 optimization points

update's new CRM generation has been optimized with respect to these criteria, with a

focus on the following three aspects:

» Goal-oriented guidance through complex work processes

» Clear navigation across different functional areas of the application

» Easy finding of information and its structured display

fig. 3: Screenshot process framework update.CRM/Source: update software AG

http://www.efma.com/index.php/content/publications_studies_surveys_efma/detail/EN/1/262/1-8NYN3



Context as an additional success factor for user experience

Especially for CRM applications, the context in which the

system is used is decisive for its design. Essentially the

following are important in distinguishing context: the

temporal, spatial, organizational, subject-specific, and

infrastructure dimensions.

For example, the usage scenario "office" differs significantly

from the usage scenario "on the road" or from an advising

situation "on-site at the customer." Depending on the

physical context, users need different information and they

have different ways of accessing the data they need.

The update.CRM Suite offers the right CRM solution for every situation:

» The Web-based main CRM application for update.CRM

» Mobile CRM for the road

» The CRM.pad, a native iPad application, for the sales team

» Plug-ins for avoiding a change of application

» Various connector solutions for optimal incorporation into your system

This means that the display of the data must be adapted to

the end user device in question. With their large screens,

desktop devices offer different display possibilities than

tablets or smartphones, which require reduced or other

displays due to their smaller screens. In the mobile CRM

environment, visit preparation and the dashboard with the

essential information are two key uses.

But the industry in question is also a user context. The needs

of users in manufacturing, construction and construction

supply, financial services, and in the life science and

consumer goods sectors overlap only in part and each

requires a different CRM industry solution.

update.CRM relies on 25 years of industy experience and, thanks to ist wealth of industry-specific

expertise, provides the best possible support for your business processes:

Industry

Life Sciences

Financial Services

Consumer

Goods

fig. 4: Product overview update.CRM/Source: update software AG



User-oriented approach

for the introduction of CRM applicationsIn practice, the needs of actual users and the use context

are often considered very late, and then not all of the

insights flow into the decision to buy or adapt a CMS system.

For this reason it is important to include users from the very

beginning, as well as during the various stages of system

development. Experienced managers therefore focus on the

users during development in order to develop products that

are optimal from the customer's point of view.

Focusing on the user

In order to design the usability and user experience

optimally on all levels, various questions must be answered

in the course of developing systems:

» What users (groups) will use the application?

» What tasks will the users perform?

» In which context will the application be used?

» How are workflows mapped optimally in the system?

» What functions are required for optimal support?

» How should a user appropriate interface look like?

To find appropriate answers, it is important to incorporate

users right from the beginning of system development – as

well as during the various stages of development – into the

five phases of the "user-centered design process." A

significant characteristic of this procedure is that the various

phases can be run through repeatedly if necessary. Optimal

results for the various user groups are possible this way. At

the same time, the resources allocated for the

implementation are deployed in a goal-oriented fashion.The

user-centered design (UCD) process can be expressed in any

procedural model, whether a strict waterfall model or an

agile procedure such as scrum or extreme programming.

The phases of the user-centered design process (UCD process)

Crucial for success is the selection of methods in the phases

of the UCD process. The right mix of methods depends on

the requirements of the project in question. The early

inclusion of all stakeholders into product development is

also crucial, so that the different perspectives and

requirements can be addressed. On the development side,

this includes the departments, the developers, and the

design; on the user side, the various user groups.

Analysis & Innovation

During the analysis phase, the user requirements and goals

for the use of the system are gathered. In the innovation

phase, the users' requirements serve as the basis for

concrete ideas. In this phase, experienced users can make

an especially valuable contribution to the initial integration

and later enhancement of a CRM product. The users' many

years of industry experience and extensive practical

knowledge offer great potential for product innovations.

Prototyping & Design

In the design phase, solutions are suggested for the interface

design to be developed or optimized. Designs can be the

form of screens and rough or fine concepts. In this phase,

expert-based methods (e.g. usability reviews) are also used

to incorporate realtime feedback into the design.

Evaluation

Finally, in the evaluation phase, the users' feedback is

collected and the success of the user interface is evaluated

through usability tests. Thus, clear statements can be made

about the strengths and weaknesses and concrete

recommendations made for improvement.

fig. 5: User-centred Design Process/Source:USECON



Use case for introduction of a CRM application

The integration of high-quality CRM solutions also profits

from the user-centered procedure described above. In this

case, a step-by-step introduction and continual

enhancement of the CRM system secure long-term success.

The focus of the integration is on the requirements and

needs of future users of the CRM System. Crucial for the

success of the project is that it is managed by an industry

expert who can incorporate experience from similar projects

into the current application.

As in the user-centered design process, update software AG

relies on a systematic approach for the introduction of its

CRM solution. Based on this method, customer-specific

requirements are implemented in specific CRM applications.

In this system there are four phases, which are oriented

toward the eventual achievement of the defined company

goals.

Assesment Phase

At the beginning of the project, the goals are defined jointly

with the customer, as are the content and technical

requirements and the scope of the planned CRM system.

Thanks to the early inclusion of key users, a high rate of user

acceptance is achieved.

Setup Phase

The implementation of the CRM system relies on an

extensive industry solution that is adapted to the

requirements and needs. Thanks to the use of prototypical

processes, quick results can be achieved. In this phase, user

feedback about the processes implemented is an essential

success factor.

Rollout Phase

In this phase, the company is prepared for the activation of

the CRM system. The internal project communication and

goal-oriented user training assure the success of the CRM

introduction and acceptance in later usage. A support center

provides any support in live operation.

Enhancement

The further customization and functional expansion of an

implemented CRM solution takes place in cycles, each of

which begins with an advising session.

Approximately three months after the go-live, the principal,

together with the customer, examines the extent to which

the goals set have been achieved. Through daily work with

the CRM system, the customer knows whether the active

processes are already adapted optimally or whether they

should be adapted or added to.

So that the CRM system can grow with the customer's needs,

it is recommended that the enhance cycle be repeated once

a year. Consistent enhancement of the CRM solution creates

new opportunities. At each advising session, the principal

and the customer examine whether adaptations and

additional processes make sense and they decide about the

next steps.

fig. 6: Integration of updates CRM application /Source: update software AG



Conclusion: Strategic view of usability,

user experience and user interface designPractical experience shows that a high level user experience

and usability strategy are becoming ever more important

and taking on a central role in company processes.

Therefore, in addition to individual usability and user

experience measures, the development and

institutionalization of a long-term and customer-centered

strategy pays off for the development, implementation, and

usage of CRM solutions.

It is crucial in the selection of a CRM system for companies

to consider those that are optimized for usability and are

adaptable to company-specific processes. This is how

usability becomes a success factor.

As this whitepaper has detailed, the consideration of and

investment in usability, user experience, and user interface

design are essential success factors in the course of the

development and introduction of CRM applications

This document is a cooperation between update software AG and USECON

About update software AG

With more than 170,000 users in more than 1,500 companies,

update software AG is one of the leading European producers of

systems for customer relationship management (CRM).

update software AG is headquartered in Vienna with subsidiaries in

Germany, Switzerland, the Netherlands, France, Hungary, the Czech

Republic, and Poland. In addition, update is represented across

Europe by established partners.

update currently employs approximately 300 people. In 2011, the

company achieved sales of EUR 31.7 million.

Since 2000, update has been listed on the German stock exchange in

Frankfurt am Main. update software AG has borne its current name

since May 2002, and Thomas Deutschmann has been the Chief

Executive Officer (CEO) of the company since November 2002. His

colleagues on the Executive Board are Arno Huber as Chief

Technology Officer (CTO) and Uwe Reumuth as Chief Financial

Officer (CFO).

www.update.com

About USECON

USECON was founded in 2001 as a spin-off of the well-known

research center CURE. Today, we are an internationally active

consulting company headquartered in Vienna, and we have

experience with more than 500 projects and 300 satisfied

customers. At USECON, the person with his needs, expectations, and

behaviors is the focus of our interest.

We specialize in consulting services for all activities in the course of

the user-oriented design of interactive systems and focus especially

on the topics of usability, user experience, user interface design,

and experience management.

Our focus is on the following experience areas: Insights & Impacts,

Design & Prototyping, Strategy & Change, and Research &

Innovation.

Our satisfied customers include, among others, A1, Bank Austria

UniCredit Group, DELL, Deutsche Telekom, ERGO

Versicherungsgruppe AG, Erste Bank, Fabasoft, KEBA, Lidl,

McDonalds, Novomatic, OEBB, OMV, UNIQA, and the Wiener

Stadtwerke.

www.usecon.com

We would be happy to provide you with additional information.

We look forward to your inquiry:

update software AG, Vienna

Mag. Birgit Harthum

Product Manager ISI

phone.: +43 (1) 878 55 – 156

mail: [email protected]

USECON GmbH, Vienna

Mag. Michael Bechinie

Senior Consultant

phone +43 (1) 743 5451 – 402


update software AG, Vienna

Nina Tiani

Product Marketing Coordinator

phone: +43 (1) 878 55 – 187


USECON GmbH, Vienna

Mag. Markus Murtinger

Director Consulting, Sales & Marketing

phone +43 (1) 743 5451 - 400


http://www.usecon.com/

mailto:[email protected]


