The Implication of Customer Relationship Management Capabilities on Organizational Performance; a study of small businesses in Lagos Nigeria

Abstract

Focus on the customers and making sure that they are satisfied and maintained at all times is part of the goal of any organization that works with the principle of going concern. Hence it is important to study the CRM and its various capabilities as they relate to organizational performance. The main objectives of the research is to examine the impact of the various customer relationship management capabilities namely; customer interaction management, customer upgrade and customer win-back capabilities on organizational performance.

To achieve this, over 200 semi structured questionnaire were distributed, however only 170 was collected and analyzed using a simple descriptive analysis as well as correlation analysis. The probability test was also conducted to determine the significance of each capabilities on organizational performance.

From the analysis, it was discovered that all the customer relationship management capabilities are significant at 5% level of significance. Which implies that all the capabilities are significant in explaining the changes that occurs in organizational performance. The correlation analysis also shows that all variables are positively correlated with organizational performance

Based on the findings, it was suggested that businesses should focus on maintaining good customer relationship, by managing the various capabilities well especially the customer win-back and upgrading capabilities which shows a higher significance with a stronger correlation.