University of Adelaide
Customer Relationship Management Strategy
August 2013
Prepared by
Customer Connect Australia Pty Ltd
ABN 33 104 850 795
Executive Sponsor:
IT Sponsor:
IT Lead:
Mark Gregory
David Munro
Julius Schaffer
Version:
Status:
1.1
Final
Sign-off
_____________________________
_________________
Mark Gregory
Date
Document Location
Location of current working copy: C:\Users\Ross\Dropbox\UniAdelaide\Deliverables
Document Version Control
Version
0.1
0.2
0.3
0.4
0.5
0.6
Updated By
Ross Smith, John Turnbull
Ross Smith, John Turnbull
John Turnbull, Ross Smith
John Turnbull
Ross Smith, John Turnbull
John Turnbull, Ross Smith
Date
13/5/13
27/5/13
13/6/13
23/6/13
7/7/13
8/7/13
0.7
Ross Smith, John Turnbull
9/7/13
0.8
0.9
1.0
Ross Smith, John Turnbull
Ross Smith, John Turnbull
Ross Smith, John Turnbull
16/7/13
3/8/13
9/8/13
1.1
Ross Smith
27/8/13
CRM Strategy
University of Adelaide
Major Changes
Document structure
Current situation, section structure
Pp 1-36 sent to JS for review
Opportunities, recommendations
Business case, CRM vendors
Partial draft issued for review
Recommendations development
Draft Issued for review by Steering Group
Updated to include Steering Group feedback
Interim Final Draft
Final Draft submitted to Steering Group
Beacon of Enlightenment Operational Plan
alignment & Steering Group final feedback,
Phase 0 Schedule and Post Program System
Management
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7/02/2016
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Executive Summary
The University of Adelaide is a leading Australian teaching and research institution with clear goals
and intentions. The Beacon of Enlightenment makes extensive reference to distinctly human
characteristics such as excitement, passion, vitality and tolerance. In doing so it highlights the
importance of those who experience these characteristics – our “customers”.
Customers of the University include students (prospective, current and historic), donors,
graduates, academics, researchers, other staff, schools, businesses, other institutions and
communities. Relationships with customers are clearly a fundamental success factor in realising
the purpose of the University. To this end, this Customer Relationship Management (CRM)
Strategy outlines the current situation, opportunities, challenges, business case and roadmap to
succeed with a CRM Program at the University.
This strategy has been developed over several months, based on extensive interviews, document
reviews and workshops. It represents the latest understanding of best practices in CRM around the
world, and the relevance of these practices in the university sector in Australia.
This document describes the overall vision, goals and objectives for CRM at the University.
We will engage and serve students, staff, organisations and other customers based on
deep understanding, respect and mutual value. This will allow us to attract, retain and
develop relationships with these customers through improved management practices.
This vision will be enabled by the implementation of a broad Customer Relationship
Management (CRM) capability including the development of strategies, skills,
processes, information and systems across the University.
The CRM strategy highlights twenty-six areas of opportunity for the University, ten critical success
factors for CRM, a range of CRM Program alternatives and seven high level recommendations.
Each recommendation is supported by a time-phased plan of work. The strategy also reviews the
general capabilities and costs of a range of CRM software providers and recommends those most
supportive of the requirements of the University. Finally we provide a high level business case and
roadmap for success.
Overall cost of the CRM Program is estimated to be $5 million over five years. The projected
benefits of the Program are conservatively estimated at $8.9 million. This represents a net present
value of the program of $3.9 million over the five year period.
There is significant opportunity to commence the program of work immediately following
acceptance of this Strategy. This will allow key activities to commence in 2013 including software
evaluation and selection, commencement of pilot initiatives in areas such as such as Enquiry and
Contact Management and commencement of process and people work-streams including CRM
education and process refinement.
CRM Strategy
University of Adelaide
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7/02/2016
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Table of Contents
Executive Summary ...................................................................................................................................... 3
Background .................................................................................................................................................. 8
Vision ........................................................................................................................................................... 8
Current Situation ........................................................................................................................................ 10
Current Business Environment ..................................................................................................................... 10
Strategic Perspective ............................................................................................................................... 10
Competition ............................................................................................................................................. 11
Value Proposition .................................................................................................................................... 12
Customers ..................................................................................................................................................... 12
Customer Model ...................................................................................................................................... 12
Individuals (Business to Consumer, B2C) ................................................................................................ 13
Organisational Customers (Business to Business, B2B) ........................................................................... 16
Customer to Customer (C2C) ................................................................................................................... 17
Interactions between customers and the University .............................................................................. 18
Organisation and Processes ......................................................................................................................... 19
Learning and Teaching ............................................................................................................................. 20
Student Experience ................................................................................................................................. 20
Student Services ...................................................................................................................................... 21
International ............................................................................................................................................ 21
Research .................................................................................................................................................. 22
Research Institutes .................................................................................................................................. 22
Graduate Studies / HDR ........................................................................................................................... 23
Remote Campuses ................................................................................................................................... 23
Faculties ................................................................................................................................................... 23
Office of Future Students ........................................................................................................................ 24
Marketing and Communications ............................................................................................................. 25
University Engagement Branch ............................................................................................................... 26
Adelaide Research & Innovation (ARI) .................................................................................................... 26
Professional and Continuing Education (including English Language Centre) ........................................ 27
Human Resources .................................................................................................................................... 27
Planning & Performance.......................................................................................................................... 28
Information Technology and Systems .......................................................................................................... 29
Customer-Related Systems ..................................................................................................................... 29
Technology Support Services................................................................................................................... 30
CRM-related projects .............................................................................................................................. 31
Opportunities and Challenges .................................................................................................................... 32
CRM Alignment with Strategy ...................................................................................................................... 32
Acquisition Opportunities ............................................................................................................................. 34
Prospect enquiry and contact management ........................................................................................... 34
Lead and pipeline management .............................................................................................................. 34
Brand integrity ......................................................................................................................................... 34
Accessing new segments ......................................................................................................................... 34
Conversion rate ....................................................................................................................................... 35
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University of Adelaide
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Retention Opportunities ............................................................................................................................... 35
Explicitly-designed student experience ................................................................................................... 35
Consistency across departments ............................................................................................................. 35
Consistency across channels ................................................................................................................... 35
First year engagement ............................................................................................................................. 36
Service enquiry and contact management .............................................................................................. 36
“At risk” student detection and pro-active intervention......................................................................... 36
Relationship Development (Share) Opportunities ........................................................................................ 36
Positive student word of mouth leading to referral ................................................................................ 36
Re-acquisition of postgraduate / HDR ..................................................................................................... 37
Segment extension .................................................................................................................................. 37
Alumni / supporter growth...................................................................................................................... 37
Organisational Customer (B2B) Opportunities ............................................................................................. 38
Organisational customer experience....................................................................................................... 38
Business development and opportunity management ........................................................................... 38
Key Account management ...................................................................................................................... 38
Co-ordinated engagement and project management ............................................................................. 39
Enabling Opportunities ................................................................................................................................. 39
Manage the customer lifecycle ............................................................................................................... 39
Manage customer value .......................................................................................................................... 39
Single view of customer .......................................................................................................................... 40
Reduction in complexity / duplication ..................................................................................................... 41
Reduction in transactions / costs ............................................................................................................ 41
Automation / workflow ........................................................................................................................... 41
Critical success factors and challenges ......................................................................................................... 41
Governance and program management ................................................................................................. 41
Practical approach phased over several years. ....................................................................................... 42
Staff involvement, objections and expectations ..................................................................................... 42
Skill development .................................................................................................................................... 42
Culture shift ............................................................................................................................................. 42
Co-creation .............................................................................................................................................. 43
Customer experience design and management ...................................................................................... 43
Ongoing customer management ............................................................................................................. 43
Process standardisation........................................................................................................................... 43
Information quality .................................................................................................................................. 44
Customer analytics .................................................................................................................................. 44
CRM Vendors ............................................................................................................................................. 45
Background .................................................................................................................................................. 45
Approach ...................................................................................................................................................... 45
General Findings ........................................................................................................................................... 45
Results and Recommendations .................................................................................................................... 46
CRM Program Alternatives ........................................................................................................................... 48
Strategy ................................................................................................................................................... 48
Workstreams ........................................................................................................................................... 48
Technology architectures ........................................................................................................................ 49
Implementation Approaches ................................................................................................................... 49
CRM Strategy
University of Adelaide
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Recommendations for CRM at UoA ............................................................................................................ 51
Recommendation 1 – Overall CRM Strategy ................................................................................................ 51
Recommended Approach ........................................................................................................................ 51
Customer Value Proposition .................................................................................................................... 51
Recommendation 2 – Frameworks and Segments ....................................................................................... 52
Recommended Approach ........................................................................................................................ 52
Lifetime value .......................................................................................................................................... 53
Customer Lifecycle .................................................................................................................................. 54
Segmentation Framework: Value (LTV, or value to the University) ........................................................ 55
Segmentation Framework: Needs (or value to the customer) ................................................................ 55
Recommendation 3 – Prioritised Initiatives.................................................................................................. 56
Recommended Approach ........................................................................................................................ 56
Recommendation 4 – Culture and Competency Development ..................................................................... 57
Recommended Approach ........................................................................................................................ 57
Developing competency frameworks ...................................................................................................... 57
Recommendation 5 – Process Mapping and Refinement ............................................................................. 58
Recommended Approach ........................................................................................................................ 58
Process refinement.................................................................................................................................. 59
Customer experience design ................................................................................................................... 59
Recommendation 6 - CRM Systems and Information ................................................................................... 59
Recommended Approach ........................................................................................................................ 60
Customer information ............................................................................................................................. 60
Customer analytics .................................................................................................................................. 61
Recommendation 7 – Measurements .......................................................................................................... 61
Recommended Approach ........................................................................................................................ 62
Behavioural measures ............................................................................................................................. 62
Attitudinal measures ............................................................................................................................... 63
Business Case Overview................................................................................................................................ 64
Approach ................................................................................................................................................. 64
Benefits .................................................................................................................................................... 64
Program Costs ......................................................................................................................................... 67
Summary and Return on Investment ...................................................................................................... 68
CRM Roadmap ........................................................................................................................................... 70
Implementation Approach ........................................................................................................................... 70
Methodology ................................................................................................................................................ 72
Governance .................................................................................................................................................. 73
Program Structure ................................................................................................................................... 73
Roles, Responsibilities and Staffing Levels ................................................................................................... 74
Staffing levels .......................................................................................................................................... 77
Post Program Ongoing System Management ......................................................................................... 77
Implementation Plan .................................................................................................................................... 79
Phases ...................................................................................................................................................... 79
CRM Technology Implementation Roadmap........................................................................................... 82
Governance, Risk and Quality Assurance ..................................................................................................... 83
CRM Strategy
University of Adelaide
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7/02/2016
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Appendix 1 – Interviewees ......................................................................................................................... 86
Appendix 2 – Source Documents ................................................................................................................ 88
Appendix 3 - Defining Customer Relationship Management ...................................................................... 90
Appendix 4 – Details of Customer-Related Systems ................................................................................... 92
Appendix 5 – Business Case Details ............................................................................................................ 94
Appendix 6 – READ Analysis ....................................................................................................................... 99
Appendix 7 – Phase 0 Schedule ................................................................................................................ 100
CRM Strategy
University of Adelaide
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7/02/2016
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Background
The University of Adelaide (the University or UoA) is consistently ranked in the top 1% of
universities in the world. The University is focused on creating real life impact on a wide range of
stakeholders or “customers” including students, staff, alumni, business and research partners and
the community.
In support of this mission, the University has engaged Customer Connect Australia to assist with
the development of a Customer Relationship Management (CRM) Strategy including situation
assessment, opportunities, challenges, recommendations, high level business case and roadmap.
This work is intended to support a wide range of functions and customer types across the wider
University, in specific faculties and in research institutes.
This document consolidates the information gathered in over thirty interviews, four workshops
and more than forty-five documents. It has been reviewed and accepted by the CRM Steering
Group, chaired by the Director, Infrastructure, Property and Technology, and is aligned with the
group’s Terms of Reference.
Vision
We will engage and serve students, staff, organisations and other customers based on deep
understanding, respect and mutual value. This will allow us to attract, retain and develop
relationships with these customers through improved management practices. This vision will be
enabled by the implementation of a broad Customer Relationship Management (CRM) capability
including the development of strategies, skills, processes, information and systems across the
University.
Goals










We will interact with customers based on their situation, past interactions, particular
needs and perception of value.
We will have a comprehensive organisation-wide memory of the customer over the
customer lifecycle.
We will understand the lifetime value of customers to the university.
We will capture and manage enquiries in a personalised and consistent way, including
monitoring timely resolution.
We will communicate with and manage our students in a co-ordinated & consistent
manner across the university.
We will manage relationships with our staff and students in delivering corporate services.
We will enhance our engagement with alumni, industry and government partners through
coordinated management of the network of relationships we have with them.
We will develop our strategy, structures, skills, systems and measures in order to align
with the needs of our customers.
We will have analysis capabilities and common customer metrics to support evidencebased decision making.
We will monitor the return or impact of our efforts and investment in managing
customers.
CRM Strategy
University of Adelaide
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7/02/2016
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Objectives and Measures
Objective
Enquiry capture and
resolution
Campaign targeting and
effectiveness
Streamlined customer
processes
Cost to serve
Acquisition
Retention
Development
CRM Strategy
University of Adelaide
Measures
Enquiries captured over time, through multiple channels
Timeliness and quality of response
HDR enquiry tracking, matching and response
Rate of resolution and conversion
More campaigns / events targeting less people per campaign
Campaign effectiveness (range of measures)
Event management metrics (responses, attendances, leads)
Response rates / leads generated
Reduction of process / cycle times
Elimination of duplication and non-value-add costs from processes
Collaboration / process simplification between departments
Single view of customer to support processes
Reduction in the cost-to-serve customers overall
Invest in high value customers funded in part by reducing cost-toserve for low value customers
Acquisition rate and quality (lifetime value) for a range of customers
including post-graduates, donors, research agencies, major accounts
(organisations).
Acquisition of new donors / supporters.
Retention rate over time for a range of customers including donors,
students, major accounts and staff.
Retention through international processes and placements.
Increasing lifetime value by customer lifecycle stage.
Advocacy / identification with the University and its goals.
Share of funding / donation spend especially repeat donations.
Engagement of students including share of education spend.
Collaboration (depth of relationship) with research partners.
Opportunity pipeline for major accounts.
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Current Situation
Current Business Environment
Strategic Perspective
The Bradley review has been a catalyst for universities to see and treat students as customers.
UoA has traditionally been internally-focused, particularly with academics, and this is changing as a
result of the customer imperative. There is significant ground yet to cover, however the Beacon of
Enlightenment sets a clear vision for a focus on customer outcomes in education and research.
Effective management of the University’s relationship with customers is a key element to realising
many of the University’s strategic goals including:




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attracting tomorrow’s leaders
managing research partnerships
winning major support from alumni and philanthropic supporters
managing alliances with graduate employers
managing strategic partnerships with overseas universities
“Customers” include students, staff, alumni, donors, volunteers, the community, employers,
research and strategic partners, government organisations and other institutions.
Strategic challenges and opportunities include;

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
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the increasing globalisation of education and research, and the softening of traditional
geographic barriers to competition
increased competition in the sector for prospective students which are becoming more
consumer-oriented and therefore have higher expectations
a greater need for interdisciplinary research to address global issues with limited
resources, resulting in greater need for collaboration
geographic complexity including dispersed campuses and international channels
the digital revolution, the pervasiveness of technologies like social media and increased
importance of web and mobile channels.
Providing for improved management of, and greater insights into, the University’s interactions will
allow it to;

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


better adapt to a changing environment
tailor the student experience to meet individual needs, recognising the diversity of the
student body
leave students, staff and others with whom the University interacts with a positive and
enduring experience
engage with organisational customers in a professional and integrated way and
ultimately build brand equity, improved advocacy and greater customer value.
CRM Strategy
University of Adelaide
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7/02/2016
Page 10
Competition
UoA is the third oldest university in Australia. It is a member of the Group of Eight and is the
leading university in South Australia according to leading ranking benchmarks:
Table 1 - University rankings in SA
Rankings
ERA (Australia)
Times (Australia)
QS (World)
Adelaide
7
7
102
UniSA
14
13
293
Flinders
28
17
342
The University’s competitors are local, national and global depending on the customer category.
Undergraduates from South Australia consider primarily Flinders and UniSA as alternatives. Some
disciplines, such as dentistry and veterinary science, compete with universities Australia-wide.
International undergraduates shop more broadly, in their local country and region. Higher degree
by research students also shop broadly, depending on their chosen area of study and potential
supervisors.
The University also competes on an international basis for academic staff, particularly researchers.
This is important in order to maintain the University’s international reputation for world-class
research across a wide spectrum of areas.
Competition is not only based on academic criteria. Other factors typically considered by
prospective students include convenience, travel arrangements, cost, support infrastructure,
scholarships and word of mouth from peers and family (customer-to-customer interaction).
CRM Strategy
University of Adelaide
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7/02/2016
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Value Proposition
The University of Adelaide presents a number of value propositions, depending on the audience or
segment.
Table 2 - University of Adelaide value propositions
Segment
Value Proposition Summary
Mission / Focus
Overall
Seek Light.
Distinctive features:
Student body of democratic breadth
Staff of international distinction
Spirit of freedom to investigate new fields
Sense of importance to the community
Goal to prepare educated leaders
The University of Adelaide has built a
rich tradition of excellence to
become a leader in Australian higher
education and research
Prospects
Our graduates make an impact on
the world.
Depending on segment below
Students
Studying at the University of
Adelaide means being a part of a rich
tradition of academic excellence and
a vibrant student life.
Unique and holistic education experience…
aligned with career outcomes. Relevant to
changing requirements of employers,
industry and community
Researchers Our world-class research finds
solutions to the world's biggest
challenges and has an extraordinary
effect on people's lives.
Reputation, rankings. Tangible outcomes.
Dedicated to mobilising expertise…
addressing the grand challenges of our
time. Research Institutes. Collaboration.
Alumni /
Community
Our graduates are recognised
worldwide for their creativity,
knowledge and skills.
Fostering the production and dissemination
of information through talent. Community
engagement, partnerships and alignment.
Staff
The University of Adelaide has a
vibrant campus life and close
engagement with its community.
Attract and retain high quality research
staff.
Customers
Customer Model
Customers of the University may be individuals or organisations. Over time, customers take on a
range of roles and at any one time may have multiple roles; for example an individual may be an
undergraduate, volunteer, postgraduate prospect and a manager of a business. The traditional
approach of universities, whereby a customer is categorised according to a role, does not easily
support this dynamic, complex nature of the relationship. Customers expect to be recognised for
who they are over the life of the relationship, rather than being renewed each time a new role is
adopted.
CRM Strategy
University of Adelaide
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7/02/2016
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Student
Staff
member
Prospect
Person
Spouse
Alumni
Employee
of industry
customer
Manager
of local
business
Figure 1 - Customer Roles
The University is structured according to key roles such as undergraduate, postgraduate and
alumni. Systems, where they exist, are mostly isolated within these departments. There are few
processes or systems that span multiple departments, and therefore allow a comprehensive view
and management approach across multiple roles.
Individuals (Business to Consumer, B2C)
Prospects
Individual prospects are primarily prospective undergraduate or post-graduate students, including
higher degree by research (HDR). Other prospects may include prospective donors who are not
part of a wider organisation (i.e. philanthropists) and prospective staff.
Figure 2 illustrates the major interactions that occur between prospective students and the
University. These interactions take place with a wide range of departments or entities within the
University. This diagram is a simplification of the full picture; there are many more interactions
that cannot be shown in the space available, including process flows between UoA entities.
CRM Strategy
University of Adelaide
Commercial in Confidence
7/02/2016
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University of Adelaide – Prospective Student Interaction Diagram
28th May, 2013
Study Abroad
Exchange
External third parties
Advocates
Influence
Analysis
Recommendation
Ask about
Study experience
Gather info
Unsolicited
view
Influence
Promote
UoA
Enquire
School
TAFE
visit
Office of Future
Students
Campus
Tours
Inquire
Funded
Program
offer
Expos
Recruitment
Events
Promotions
Programs
Seek referral
Application
process
Inquiry re
Entry req
Amissions
Fees
Ask Adelaide
Information
Candidate admin, preferences
SATAC
Agents
Points of difference
Expectations
Offer
Outreach, recruitment
Entry requirements
Program content, information
Campaign response
Prospective
Student
Newsletter
Community
event
Services re
Accommodation
Scholarships
Wilto Yerlo
Updates
Alumni
Inquiries
Scholarships
Programs
Admissions
HDR
supervision
Career
Outreach inquiries opportunities
events
Web Events
interaction
Request
Manage referral
enrolment
Inquiry
Admission
Scholarships
Faculties / Schools
Professional staff
Social
media
Marketing
communication
Graduate centre
International office
Academic staff
Marketing Communications
Student Admin Services
Page 1
Figure 2 - Major interactions between the University and prospective students
Students
Students are the lifeblood of the University and provide one of UoA’s primary reasons for being.
Students may study by coursework, research or a combination of these. Students move through a
lifecycle, from prospect through to alumni and even staff, over several years, however the first
year of study is considered to be the highest risk, with high attrition rates and changing
circumstances.
Understanding and managing the student lifecycle, from prospect enquiry through to alumni, is a
critical success factor in this relationship. This is particularly the case given the complexity of
interactions that may take place between the university and the student over time.
Figure 3 provides a simplified illustration of the interactions that take place between the
University and current students.
CRM Strategy
University of Adelaide
Commercial in Confidence
7/02/2016
Page 14
University of Adelaide – Current Student
27th May, 2013
Social media
Web site
Contact centre
Conversations
General
Enquiry
Access
Technical
Initial
Forms
Services
navigation
Look at
Results
Complaint
Technology
Solutions
Graduate centre
Progress
Report
ID Card
Resolve
Complex
Issue
Review
Progress
Induction, Community
Building and Skills
Help and Advice
Technology
Online Learning
Complex Issue
Assessment
Case Management
Academic Support
Student services
Mentoring
Small Group Discovery
Teaching and
Learning
Referral
Academic
Administrative
Enquiry and Forms
Academic Progress
/ Enrolment
Unsatisfactory
Academic Progress
Student
Books &
Journals
Research
Assistance
Technology Help
Enquiry
Enrolment /
Candidature
HealthQueries
& Safety
Graduation
Support
Complaint
Resourcing
& Logistics
Faculty office
Hubs
Library
School
Page 1
Figure 3 - Major interactions between the University and current students
Higher Degree / Research
HDR students present particular challenges. Each student is a particular case, and the student –
supervisor relationship is critical. HDR students are also a major resource in the generation of
research outcomes by the University.
A particular area of focus in managing HDR relationships is the initial enquiry and the process of
matching a candidate with a supervisor.
Alumni and Donors
Anyone who has studied at UoA becomes a member of the alumni, whether they completed or
not. The degree of engagement with alumni varies by individual, school and campus. Some
relationships are strong and can lead to significant revenues for the university.
Figure 4 provides a simplified illustration of the interactions between the University and alumni /
donors.
CRM Strategy
University of Adelaide
Commercial in Confidence
7/02/2016
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University of Adelaide – Alumni
8th May, 2013
Sports Assoc
EUB
Radio Adelaide
Unsubscribes
Recognition
VC
Networks
Participate
Volunteer
Buy
Merchandise
Invitations
Volunteer
Attend
event
Volunteer
Appeals
Online
emails
Community
Advisory board
Donations
Meetings
DVCR
Information
PG study
Attend events
Attend events
Donate
Enquiries
Comms (Newsletters, events)
PG Study
Honorary
Doctorates
University Council
Surverys
Enquiries
School / Institute
Membership
Advisory Board
Unsubscribes
Applications
Responses
Email comms
Alumni
Enquiries
Marketing
Seek info
Facebook
comments
Enquireis
Borrowing
Applications
Pay
Attends
Purcahses Volunteer
Discounts
Tours
Research
Student Centre
Donate
Website
Social Media
HR
Elder Hall
Privilege
Providers
Arts & Heritage
BSL Library
Page 1
Figure 4 - Major interactions between the University and alumni
Internal (Staff, Academics)
Internal staff, including academics, may also be considered “customers” as they may be members
of research institutes, alumni / donors and contribute in a range of ways to the success of the
University. Staff may also be students or alumni concurrently. Staff must be attracted and retained
like other customers.
Agents (International)
Agents are important intermediaries outside Australia. International students normally approach
agents in their own countries to understand the opportunities to study in Australia. Agent
recommendations are an important determinant of international student enrolments.
Organisational Customers (Business to Business, B2B)
The University of Adelaide exists as part of a wider network of organisations including businesses,
other institutions and government entities. This network of relationships is essential to the
ongoing success of the University.
Relationships can be highly complex, with multiple people forging individual relationships across
the organisation. A range of agreements and other interactions take place, including research
funds, education programs, student exchange and donations.
CRM Strategy
University of Adelaide
Commercial in Confidence
7/02/2016
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Figure 5 illustrates the complexity of interactions between the University and organisational
customers, even though it is a simplified view.
University of Adelaide – Organisational Customer Interaction Diagram
28th May, 2013
Faculties
Funding
Research Branch
Accreditation
Outreach
Recruitment
opportunities
Schools
Research
services
Joint Outreach
Ventures
Industry
Shared
liaison
Facilities
Research
partnerships
Title
Holder
relationships
Sponsorship
Researcher / Academic
Contractuals
Project
Management
reporting
Skills
knowledge
Appeals
Promotions
Funds
Rules
Reporting
Partnership
Events
Consultancy
research
Funding opportunities
Research Service
Providers
Commercialisation
Contracts
Fees
Networking
Conferences
Service
Technology
Research services
Organisational Customer
Relationships
Project Mgmt
reporting
Review and negotiation
Draft offer
Relationships
Legal
Influence
Funding
Opportunities
Accreditations
Learning
Students
Strategic
partnerships
Scholarships
Proposals
Funding
Recruitment
Partnerships
Executive
Uni Engagement
Branch
Business / Admin Units
Project
management
Adelaide Research
And Innovation
Research
Links
Research Centres / Institutes
International office
Page 1
Figure 5 - Major interactions between the University and organisational customers
Customer to Customer (C2C)
Customer-to-customer interactions are becoming increasingly important as customers seek
information through social networks (on-line and off-line) in order to make decisions. In many
customer decisions (including for some people the primary decision “where shall I study?”) C2C
has become the primary source of information.
Several important categories of C2C interactions were highlighted in discussion with UoA staff:



Prospective students using social media to make their decision regarding which University
to go to. Student Room is one example of this; www.thestudentroom.co.uk . There are
two Australian universities featured on this site, Melbourne and UNSW.
Social units, such as alumni parents influencing their children. This may set up
expectations or resistance in the prospective student. As the target demographic changes
for the University, this may become a challenge for UoA in future.
Corporate managers recommending or discouraging their staff from doing further study at
a given university based on their own experiences.
Figure 6 illustrates a C2C conversation on www.thestudentroom.co.uk
CRM Strategy
University of Adelaide
Commercial in Confidence
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Figure 6 - Conversation regarding UoA on thestudentroom.co.uk, accessed May 2013
Interactions between customers and the University
Customers, be they students, donors or partners, may choose to interact with UoA in a variety of
ways. A potential postgraduate student may review the web site, email the contact address, call
the University’s reception phone and speak to a Head of School at an event. Table 3 provides an
illustration of the different entities that a customer may interact with at any point in their lifecycle.
Today’s technologies mean that customers – quite rightly – expect a continuous, consistent
conversation across all these channels of communication. Failure to deliver this results in a poor
experience and potentially lost opportunities.
UoA is not in a position to manage a consistent multi-channel conversation at this point. Different
departments and faculties have different systems, personal files or no system at all, so each time a
contact is made the conversation starts again. This can be frustrating for customers and can result
in a poor experience even where UoA staff exert their best efforts to satisfy the customer.
An integrated “single view” of the customer is a key enabler of consistent, multi-channel, multientity interactions. Currently there is no repository for customer information that can provide a
single view across the full scope of the customer’s engagement with the University.
Having multiple systems and personal repositories is inefficient and difficult to manage. Who can
say whether a key partner is happy or not? There is no single place to obtain an answer on a given
question relating to a customer; the school may have one perspective, administration another,
and the executive another. This makes it very difficult for UoA to manage customer relationships
effectively throughout the customer’s lifetime of involvement.
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Commercial in Confidence
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Table 3 - Interactions between customers and University entities
Community
(Schools,
groups etc.)
Partner
Institutions
Int’l Agents
Gov.
Suspect/
Prospect
Corporate
Volunteers
Organisations
Staff
Donor
HDR
Student
Alumni
PG Student
Individual (Lifecycle)
Prospect
(Domestic)
Prospect
(Int’l)
UG Student
University Groups
UEB
Office Future Students
Student Services & Admin
Learning and Teaching (DVCA)
Marketing & Communications
Faculties/Schools
Research Institutes
Human Resources
Adelaide Graduate Centre
International Office
Over
seas
Academics
Executives (VC / DVC)
TAS / Counseling & Disability Services
ARI
P & CE
Hobsons
Organisation and Processes
Organisation structures at UoA are separated both functionally and by Faculty, creating a diverse
environment in which it is difficult to achieve an integrated view of customers. This is the case for
students over the full lifecycle as well as organisational customers such as businesses and
government entities.
There is general understanding of the benefits of CRM at the University although no broad
appreciation of the effort and commitment of resources necessary to get there. Perspectives,
major wins, critical success factors and challenges for a range of organisational units are presented
in the remainder of this section.
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University of Adelaide
Commercial in Confidence
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Learning and Teaching
Under the Beacon of Enlightenment, traditional relationships with schools in historical feeder
areas are no longer sufficient to support the goals of the university. UoA is seeking to develop
relationships with new schools, in areas such as northern Adelaide, if this is where the high quality
prospective students are. Relationship management is essential in this strategic context; however
the tools, skills and knowledge stores are not in place to support this at present.
Relationships are changing between UoA and students. New intermediaries, information and
technologies are increasingly important in these relationships. CRM will play a key role in both
Business to Business (B2B; relationships with schools, charities, government and other groups) and
Business to Consumer (B2C; relationships with individuals and families) contexts.
There is also a desire to shift the focus from what we do (learning, teaching, research) to the
impact we have (student experience, community engagement, business outcomes). This requires a
focus on our customers and what they value, rather than ourselves and the services we provide.
Student Experience
UoA has a clear focus on the student experience, both organisationally and in recent project work.
The goal is for students to enjoy an integrated experience that allows them to focus on their
learning objectives and frees them up from duplication and unnecessary administration. A key
enabler of this is technology, particularly the web, which was the focus of the recent Student
eExperience (SeE) project.
Two strong customer themes emerged from this project:


Treat me like you know me
Make it relevant to my life
Prospective students share these expectations with current students. The challenge is for UoA to
see the complete student situation, beyond academic transcripts, to ensure quality of
engagement. This can include learning, support, services, counselling, issues and placements.
There is currently no way to see this picture in one place.
Postgraduate students have similar expectations, but in addition there are pressures associated
with funding their studies, needing qualifications for work continuation, life stage pressures and
time pressures. UoA needs to improve interactions with these individuals; for example we don’t
recognise and welcome back past students and we report transfers between faculties as attrition.
A range of initiatives have been identified as a result of the SeE project, including Enquiry and
Contact Management. The focus of this initiative is to capture enquiries from prospective and
current students to ensure that they are tracked and actioned effectively across the university.
There are therefore both lead capture and service request dimensions to this initiative.
UoA are starting a program through Hobsons in which at-risk students are contacted, however
these calls will result in referrals back to the university and the information is not integrated into
any mainstream university system.
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University of Adelaide
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7/02/2016
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Student Services
Student Services’ purpose is to manage and build relationships with current students and to
develop long term community visibility and engagement. They are responsible for providing a
broad range of services throughout the student’s lifecycle from admissions to graduation. In
general any enquiries from other customer types are referred on to the respective department.
The primary channels used are the Student Hub for face-to-face interactions along with a contact
centre that manages phone, email and social media communications. Students have a limited
range of transactions that can be performed on-line. They expect to have greater channel access
and the ability to seamlessly switch between channels for the same enquiry.
Epicor is used for recording phone and email interactions only; however the information recorded
is focused on the problem rather than the student, which then allows students to shop around
until they obtain the outcome they seek. Epicor is considered a legacy system and no further
development is planned.
Student Services is keen to move beyond simple transaction processing to properly record student
interactions and significantly improve enquiry and case management. There is value in providing
services through alternative channels such as self-service enquiries, chat, on-line feedback &
complaints, online request and enquiry registration, SMS messaging and personalised calendar
and important date prompts/reminders. Importantly, the ability to detect opportunities to
improve engagement, especially for students who need assistance before they get in difficulties, is
highly desirable.
Transition & Advisory Services, Counselling & Disability, International Student Centre
These three groups operate as part the Student Services Department. They provide a wide range
of pastoral services & activities aimed at managing students who require access to specialist
support and services including; students with disabilities, elite athletes, international students,
Student Leadership candidates and those requiring financial or professional counselling support.
The primary objective of these groups is to identify, manage and ”save” student groups that are at
high risk of withdrawing from the University because of non-academic factors.
These groups are reliant on a range of information from across the university. This information is
currently fragmented and not integrated with the Peoplesoft Student Administration system. The
groups use various custom databases such as Penelope and spread-sheets to record interactions
with students and manage their case load. TRIM is not used to record case documents.
International
International customers include prospective students, students abroad, institutional / research
partners and students studying on the Singapore campus.
International students are co-managed; admissions are handled by SATAC, support on campus in
Australia is managed through the local student support centre and alumni are grouped in with
Australian alumni. There are some challenges in managing particular student categories such as
exchange students which require individually-tailored programs. Studio Abroad is one program
that is underway to improve the management of overseas students.
Institutional partners present a particular challenge as they are complex and interact with UoA
through many streams of activity. This necessitates a prioritisation approach whereby 5-10
institutions are considered key, several geographies are the next priority and the remainder
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Commercial in Confidence
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receive facilitated grassroots support. Knowledge of these complexities and relationships is held,
in part, in a legacy database however it is inflexible and is not readily accessible outside the
International office. This presents a challenge in the devolved management approach that has
been adopted for these institutions. Overall, it has become difficult to manage these relationships
in a sustainable way.
Research
Although the term “customer” maybe somewhat at odds with the way in which academics view
the various stakeholders they develop relationship with, researchers recognise the following
groups as key contributors to their success;
a) Government / industry organisations that provide the primary source of their funding
through Level 1 grants, Linkage grants or contracts. Each of these types of funding has
varying degrees of expectation with regard to the outcome to be delivered.
b) PhD and Honours year students, who need to be engaged, recruited and retained by
researchers in order to pursue their research agendas.
c) Other Universities, institutions and academics with whom they collaborate.
It is recognised that academics undergo a development journey wherein many learned behaviours
are in direct contrast to good customer management relationship practices within the University,
especially with respect to sharing their contacts and the perceived entitlements of academic
freedom. For example, in the case of senior researchers, many funding bodies “back the person”
rather than the institution to deliver results.
It is recognised that government and industry partners are seeking greater levels of co-ordination
in the way the university manages the relationship and the breadth of activities. Academics often
rely on other intermediaries, such as the Research Institutes or ARI, to assist in managing these
relationships.
Anecdotally, some academics work very well in this arrangement however there are challenges.
Academics may feel they have had no support in initiating the relationship. There is no central
repository for managing these relationships and hence researchers maintain their own contacts
and records as they see fit.
Researchers employ a range of tactics to pro-actively attract and retain students for work such as
teaching specific programs and one-on-one mentoring activities. They are highly protective of their
pool of prospective and current PhD students. There is no formal system available to identify or
track candidates or referrals from Heads of Schools or from overseas institutions.
Research Institutes
Research Institutes have a broad spectrum of customers including internal staff, researchers and
academics (members), other research institutions, industry bodies and commercial organisations.
They are an additive layer intended to increase research activity and grants.
Organisational relationships are complex and require coordination of multiple contacts in both
organisations. This is typically handled informally, if at all. It is not possible to get a full picture of
all activities and interactions that are taking place with a large organisation customer. A single
point of contact approach would not be workable; the best solution would be to enable multiple
contacts to continue, but to use information and systems to coordinate them.
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Given there is no established history of formal account planning, and no real CRM capability in
place (ACT! is a system for contact management only), this approach would take significant effort
to implement successfully. It is, however, considered to be one of the main payoffs of CRM.
This would be particularly beneficial with funding bodies as well as they object to having too many
academics contacting them at once.
Graduate Studies / HDR
Higher Degree by Research (HDR) stakeholders includes prospective and current HDR students,
academic staff, senior general staff and external research and industry partners. Graduate Studies
is responsible for the lifecycle of the HDR student from application through to qualification.
Interactions with HDR students / candidates are primarily via email, phone and the front counter;
none of which is captured in any consistent or centralised manner. Candidates are looking for fast,
efficient and transparent processes, however this is difficult to achieve and measure.
Graduate Studies has its own internal support and development resources for custom applications
and will have online enrolment and workflow capabilities implemented by the end of 2013.
Tracking enquiries for HDR studies is not currently available; however it is planned for
development. It is acknowledged that there is no university-wide strategy to stimulate, track and
measure HDR conversions and this is considered a significant opportunity for improvement.
Remote Campuses
Roseworthy campus is a remote campus near Gawler and focuses on agricultural degrees including
veterinary and animal health science. It supports 700 students, of which 130 live on campus.
Roseworthy has an active alumni group (ROCA) and strong ties to the local community.
Students experience particular challenges on remote campuses including transport between
campuses, isolation of family members and increased need for amenities. Students sometimes
select Roseworthy for the wrong reasons and are then a retention risk unless they can be managed
to move to other courses at UoA. Early warning of engagement and support issues is important,
requiring analytics that show behavioural information and warning signs.
Organisational relationships are also important, particularly managing the complexity of large
customers who are geographically distant or widespread. Some organisational customers are
poorly organised and effective account management would be a major improvement.
Faculties
Professions
The Professions faculty is the largest at UoA with over 8500 students out of a total of 25,000. It has
key relationships with external professional bodies such as CPA, Schools, Architecture, Finance and
the Law Society and manages these directly with a Business Development Manager
Professions have traditionally used RightNow (CRM system) to:



Provide self-service knowledgebase for students (now discontinued)
Manage invitations and RSVPs for events and
General marketing campaigns
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Access to alumni information for events involves requesting lists from the Alumni group which are
then entered in RightNow and subsequently deleted after the event has concluded. This is a
cumbersome process that provides no visibility of the activities that other UoA units are having
with customers.
There is significant focus on improving acquisition and on-boarding processes for post-experience
students - those who are re-entering study after spending time in the workforce. These
prospective students typically have much higher expectations of the University. Professions
recognise the importance of a lead capture and management capability and have been
investigating the appropriateness of RightNow for this.
Academics are a key channel for developing relationships with external partners and securing
research funding. However, academics need a secure place to record activities and research
opportunities in order to manage them effectively. Professions are developing their ability to
demonstrate the relevance and impact of research on the wider business community or society in
response to changing government funding models.
Sciences
The Science faculty is the smallest faculty at UoA however it has a disproportionally high research
effort and output. Its principal customers are students (prospective and current), alumni, staff,
researchers, industry and government partners and research organisations. Its current focus is to
grow the quality of enrolling students and to improve student retention rates.
The Science faculty has employed a number of innovative programs to attract quality students in
the recent past such as the “10 Big Questions” High School program, the iPads program and the
eScience publication targeted at secondary school teachers. This has helped reverse a decline in
student intake during a period of general contraction. Science plans to extend their existing group
mentoring program to direct one-on-one mentoring approach that is expected to improve
completion rates and grade outcomes.
Science has no system support for managing interactions with its customers and relies on various
spread-sheets, emails (stored in TRIM) and individual memory. They recognise that the mentoring
and innovation programs require system support to improve consistency and reduce
administration effort for them to optimise their effectiveness.
Science has forged effective working relationships with the OFS and UEB for the management of
prospective students and alumni. They have limited access to customer information held by these
groups to allow them to communicate effectively and understand the impact of their programs. In
particular they see significant value in having access to alumni profile information so as to
understand who to invite to careers events as science ambassadors.
Industry engagement is primarily via individual researchers, projects and connections and is
managed at an individual level rather than a whole of faculty or University-wide plan.
Office of Future Students
This office has a new focus – to engage the community. Prospective students are part of a three
layer model, comprising school students, schools and local communities. UoA needs to engage at
all three levels, particularly in regions that are not traditional feeders for us. In a sense, everyone
in the community is a prospect even though our historic focus is on feeder schools.
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High value / high probability prospects can include children of past students, students attracted to
our flagship programs and students recommended through peer (C2C) networks. Tracking these
people is very important, although we are unable to do so effectively at present. Early contact is
important in order to build brand and preference. There are several programs underway to
accomplish this, for example Children’s University and Headstart. These programs have an impact
but the knowledge that arises from them is typically in people’s heads or in informal data stores.
Even though UoA have a long record of market research into student choices, we don’t understand
the early stages of awareness, consideration, preference and selection. UoA do engage
prospective students in a variety of ways, such as career workshops and school visits, but we are
unable to store this information in a structured way that allows insight.
Different prospects use different channels, and UoA are unable to monitor activity over the full
spectrum of channel choice. For example young prospects prefer peer-to-peer channels, whereas
others like face-to-face. Online channels are growing in general but we cannot identify nor track
people across their web activities. Cross-channel analytics are required in order to understand
customers and engage with them through channels of choice, with content that is relevant.
Marketing and Communications
As brand custodians Marketing and Communications’ role is to promote and protect the
University’s brand and reputation. Marketing and Communications also plays a central role in
supporting the fulfilment of the University’s recruitment objectives.
Marketing and Communications works across the pillars of research, education and community
engagement. They engage with prospective and current student, staff, industry and the general
community. Communication occurs through various channels including events, social media,
website communication, email campaigns, media coverage and on campus promotion. This
communication varies from one-to-one to one-to-many depending on the audience and message.
Personalised communication with various groups is sent using University branded templates and
email marketing software. Contact details are typically obtained via request on other University
departments for manual lists (Excel spread-sheets etc.) as well as being sourced through
Marketing and Communications led events, campaigns and student recruitment activities.
With respect to prospective students, Marketing & Communications rely on a network comprising
OFS, counsellors, principals, career advisors, international agents and the University call centre in
order to understand, deliver and manage student communications. Marketing have no central
visibility of the interactions with these parties, nor do they have visibility of prospecting
information from other faculties and schools.
It is acknowledged that students expect proactivity and customisation of the recruitment process –
in the form of regular updates, warnings of key dates, relevant events, topics of interest and
contact preferences. With regards to student recruitment, Marketing and Communication strives
to deliver “a tailored experience to prospective students”; however this is currently difficult given
volumes and lack of integrated technology support.
Marketing actively monitors social channels such as Facebook and Twitter and is active on behalf
of the University.
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Marketing and Communications does not have access to a business intelligence capability to
provide analysis and insight into customer behaviours and engagement throughout their lifecycle.
This limits their ability to fully understand and engage with their target audience.
University Engagement Branch
The University Engagement Branch (UEB) comprises fundraising and development, alumni
relations and communication, partnerships and projects and engagement business services. Key
customer categories include




Students; current and past (both graduates and people who did not complete)
Staff; current and past
Friends of the university
Organisations; private sectors, public sector and not-for-profit
UEB undertakes a wide spectrum of activities with customers, including:











Development and management of an integrated engagement plan
Advisory boards and governance
Grants and scholarships
Industry programs, partnerships and sponsorships
Events and public activities
Online communities and self service
Publications, communication and education
Campaigns, appeals and prospect management
Planned giving including bequests
Volunteer and recognition programs
Merchandise
UEB’s customers are valued primarily on their ability to support the University’s strategic
objectives, including giving, industry insight and as ambassadors for the University. On a financial
level, donors are valued on the size of donation or value of cumulative donations over time, rather
than an expected life-time value. Customers interact widely across the university, with many
departments and faculties other than UEB. UEB aims to meet regularly with other departments in
order to coordinate activities in large accounts, however there are many gaps in this process and
critical information is often only uncovered by chance, if at all. There is lack of clarity regarding
ownership of large accounts; that is, who is ultimately responsible for these relationships?
Adelaide Research & Innovation (ARI)
ARI is a solely-owned entity of the University that exists to support the University's goals around
the generation and exchange of applied knowledge with industry and government partners. ARI
manages the commercialisation of UoA expertise in the form of consultancy agreement, research
contracts and projects. A significant part of ARI’s function is to provide internal support to
researchers in the form of grant application development, legal and intellectual property
management advice.
ARI has undertaken a significant change management program aimed at shifting its culture from a
“capabilities push” approach to customers, to one that attempts to understand the needs of
customers before matching capabilities and expertise, known as “Open Innovation”.
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Relationships with major industry and community partners are the responsibility of the Business
Development Manager. Customer value is based primarily on their financial contribution along
with a consideration of potential and customers are ranked into 3 tiers ($1M+, Potential to be
$1M+ and low commercial value).
A customer feedback program has commenced to understand the customer’s perception of the
UoA engagement model. In general the findings indicate that customers value the expertise of the
University however they cannot differentiate UoA from other universities in terms of the way they
manage the relationship. Customers are seeking greater levels of communication and improved
responsiveness from the University. There are incidents where poor management of relationships
has led to significant lost revenue.
Inteum is used by ARI as a repository of partner contacts, tenders and commercial agreements. It
does not provide a key account or opportunity management capability; however it has not been
considered for replacement given the focus on cultural transitioning and skills development.
Although ARI is an important marketing resource that directly communicates with industry, it has
limited visibility and coordination of donor and alumni activities and campaigns to this group.
Professional and Continuing Education (including English Language Centre)
This group is responsible for the marketing, sales and delivery of non-award education programs
that are delivered for a fee, via three main business streams – English Language Centre,
Professional Education and Community Education programs.
Its principal customers are international students, agents, other international universities, industry
partners, local and state government, UoA staff, year 12 students and the general public. Although
it has experienced significant growth since its establishment in 2000, PCE is striving for further
growth via diversification of its product offerings and a focus on developing international markets.
PCE is well served by the Continuity system for managing leads, enquiries, online enrolment and
payment processing for individual students. There are significant limitations however regarding
the management of corporate entities.
PCE work collaboratively with the International Division to market and promote its offerings to
international students and organisations. They share a database to record and administer
agreements. However, there are significant gaps in knowledge due to an unstructured,
inconsistent approach to recording meetings, discussions and other interactions with these
organisations. This is compounded by a lack of visibility of the dealings individual academics and
faculties have with these same organisations.
The OFS markets the Year 12 Revision courses to schools on behalf of PCE. PCE is seeking to
broaden their collaboration with OFS to specifically target non-traditional / low socio-economic
schools which represent a strategic focus for the university.
Human Resources
Currently Human Resources (HR) provides strategic and operational Organisational Development
Services, manages Health, Safety and Wellbeing legislative requirements and provides staff
transactional services to all faculties and university departments including payroll management,
enquiry management, staff grievances, complaints and workers compensation claims. HR also
provides recruitment services across the University, including senior university appointments. It
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also manages visa applications for staff on entry and exit from the University. HR’s principle
customer group is staff members that include continuing and fixed term staff (3500), casual (3500)
and titleholders (3000) who hold appointments with the university. Other customers include
contractors, volunteers, controlled entities (such as ARI) and students for whom HR administer
scholarship payments and health and safety issues. HDR students who also perform work for the
university are considered workers and are covered by health and safety requirements.
Recruitment for all but senior appointments is managed by the local departments and faculties.
There is a proposal for the implementation of an eRecruitment capability across the University to
replace the existing paper based / manual processes that does not allow tracking of application
progress or escalation.
At an operational level HR faces significant challenges in managing the existing transactional load
as there is limited technology support other than spread-sheets for many functions. The HR
Service Centre records all calls, identifies the caller and monitors call query through the ‘Touch
Base’ telephone system.
Issues and enquiries are not recorded in an information system, whilst other issues, such as
grievances and workers compensation claims are recorded in spread-sheets and/or Access
databases. HR Service complaints and positive feedback are only able to be captured when they go
through the HR Service Centre. HR has limited visibility of the enquiries and issues that are raised
and managed locally by their faculty deployed staff.
There are also gaps in the ability to record contacts or history pertaining to cases, which makes it
difficult for HR to respond in a consistent and informed manner. Additionally, HR is not able to
easily identify recurrent issues or specific faculties or groups that are raising similar issues so as to
take corrective action such proactive communications or training.
Planning & Performance
Planning and Performance is responsible for the provision of strategic and tactical advice to the
University executive. It also provides analysis of student feedback for both courses and lecturers.
Planning and Performance uses COGNOS BI/TMI and Oracle Warehouse Builder for analytics and
data mining.
Planning and Performance sees CRM as an enabler for understanding the pipeline for potential
new students, as they have no visibility of the number of leads/enquiries and hence no view of the
conversion rate across the university. This means that Planning and Performance has difficulty in
correlating macro/global indicators with UoA enrolments. This is the same for prospective
International students.
Retention and conversion rates are maintained at a detailed level however there is no
understanding of the causal factors as the reasons for attrition are not currently captured.
University-wide retention rates have been historically steady at between 85 and 87%.
At-risk analysis (failure to complete) has been limited mainly to demographic factors such as
economic status, home location, school, and entry channel (school, TAFE, mature age, STAT Test).
Attention has also focused on these student groups as they represent a higher monetary value to
the university ($2000/student).
Presently UoA have no way to correlate the impact of specific interventions to changes in
acquisition and retention rates. Analysis of the attributes of students who are “at risk” has been
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performed and has resulted in the commissioning of a pilot program to with Hobsons to monitor
and engage with students that commence study in second semester.
No work has been conducted on cost-to-serve, as faculties and departments have no
understanding of their customer-specific costs. The value of students is measured at all levels;
faculty, school, course, year, however it is only a measure of how much the university charges
each group along with a retention and a likelihood to progress to higher degree factors rather than
other qualitative factors such as advocacy.
Information Technology and Systems
Departments and faculties in particular have historically developed and implemented their own
sets of applications to support their needs although there is a move towards centralised standard
applications, architectures and toolsets. The historic fragmented approach has resulted in a degree
of duplication in capability and resources, such as local IT resources.
The current technical environment comprises an enterprise central business system for Student
Administration, Finance, Human Resources and Payroll Management (PeopleSoft), along with
business intelligence tools and custom web applications.
UoA is increasing its investment in IT systems with a particular emphasis on strategic goals such as
improving the student experience, learning and teaching technologies and research. It is important
to demonstrate return on investment with IT projects, although this has not been done
comprehensively in the past.
Customer-Related Systems
UoA currently has a number of “islands of automation” in place to support elements of Customer
Relationship Management. These systems are administrative in nature, aimed at supporting the
University’s processes rather than the customer experience. With the exception of PeopleSoft,
systems serve single departments and individuals, rather than providing an integrated, UoA-wide
relationship management capability.
Table 4 illustrates the situation. Rows contain the main customer-related processes of the
University. Columns show the stages of the customer lifecycle. Current systems are shown as
shaded cells. Wherever a process is not supported by any structured system, a blank cell is shown.
The table demonstrates that a majority of processes that occur between the University and
students are not supported by structured systems which reflects the University’s historic low level
of IT investment. This has resulted in a proliferation of local or even individual spread-sheets and
databases.
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Table 4 - Current systems map
Individual (Lifecycle)
Prospect
(Domestic)
Prospect
(Int'l)
UG Student
PG Student
Staff
HDR Student PCE Student
Alumni
Donor
iModules*
iModules*
iModules*
iModules*
Account Mngt
iModules*
Contact Mngt
iModules*
iModules*
iModules*
iModules*
iModules*
Marketing Planning
Staff
Organisation
Suspect /
Prospect
Corporate
Gov't
Partner
iModules*
iModules*
iModules*
Sage ACT
iModules*
iModules*
iModules*
iModules*
iModules*
Inteum
Inteum
Cognos
Cognos
Campaign Management
Event Management
Enquiry / Lead Mgnt
Continuity
Opportunity Mngt
Application / Admission
PeopleSoft
PeopleSoft
Orbit / TRIM
Enrolment
Billing / Donations /
Funds procesing
PeopleSoft
PeopleSoft
PeopleSoft
Continuity
PeopleSoft
PeopleSoft
PeopleSoft
Continuity
Service Enquiry
Epicor
Penelope /
Access Db
Epicor
Penelope /
Access Db
Penelope /
Access Db
RightNow
RightNow
RightNow
TRIM
TRIM
TRIM
Cognos
Cognos
Orbit
Case Mngt
Self Service
Complaint / Feedback
Mngt
Contract & agreement
Mngt
Customer Analysis and
Segmentation
LanDesk
Inteum
* iModules to be replaced by RaisersEdge in August 2013
Appendix 4 provides further details of customer-related enterprise systems.
Technology Support Services
Technology Services provide a wide range of support services to staff, visitors and students, for
telephony, desktop systems, hardware and storage, teaching audio visual, client computing and
network connectivity issues. TS currently uses LanDesk to manage all service requests, primarily
received via phone or email, but is in the process of transitioning to a new platform “Cherwell”
with the specific aim of providing on-line / self service capabilities including service request
logging. The team has undergone significant cultural and structural change in the recent past and
is now recognised via independent audit as providing amongst the best service in the University
sector. There is an acknowledgement there are opportunities to improve processes, particularly
through improved workflow for escalation and processes across structural boundaries.
The principal focus of the group is now “Delivering positive outcomes for all customers”. The main
approach to achieving this involves:
a) Empowerment staff to do all that is necessary to “get the customer up and running” rather
that following rigid business rules.
b) Consciously recruiting staff for their customer management / service skills rather than
pure technical competence.
c) Providing regular and constant feedback via monthly performance reviews and customer
survey results.
d) Surveying 1 in 5 service calls, including those made to 3rd party providers to assess service
quality.
e) Using customer survey results as the principal measure of performance for the group.
f) Deployment of Technical Solution/Account managers as a single point of reference for
each faculty.
g) Process review and development of comprehensive procedural documentation.
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h) A focus on responsiveness including provision of acknowledgements and status updates
on service requests to keep the customer informed.
CRM-related projects
There are a number of past and current CRM-related projects at UoA. Past projects can influence
the success of the CRM Strategy if they have left a positive or negative legacy. Current projects
must be considered to ensure that efforts to date are not wasted, and that sound project activities
are not disrupted unnecessarily.
RaisersEdge
The University Engagement Branch is implementing a specialised CRM based on the Raisers Edge
software platform. The Fundraising Capability Project is intended to provide the University with a
highly effective fundraising capability during 2013 to support a five year fundraising campaign. It
will supersede iModules and allow the University to run major giving programs, manage events,
record gifts and standardise appeals.
The scope of the project includes software configuration and implementation, migration of
information, integration with other systems, training and development of support resources.
Hub Central / Unified
Hub Central was an important project that included customers (students) in the design of the
solution. Student involvement at times contradicted internal perspectives, for example regarding
the need to have student services in the Hub, but the result has been well received.
The Hub is intended to be a major channel between the workings of the University and students.
Challenges remain, particularly for students to be able to use multiple channels in a way that suits
the student, and to maintain a dialogue across multiple channels.
A significant learning from the Hub and Unified projects was the importance of co-creation
(designing solutions with a team that includes the University and our customers).
Student eExperience (SeE)
The SeE program has a number of funded initiatives that relate to CRM including enquiry, case and
contact management capabilities in the following areas:






Student applications, e.g. course transfers, scholarships etc.
Enrolment queries and advice
Student services and support
Student self-tracking of service requests
Management of student grievances
Management of international agents / partners
Progress on this initiative is awaiting the results of the CRM Strategy.
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Opportunities and Challenges
CRM Alignment with Strategy
Effective management of the University’s relationship with students, staff, alumni, donors,
volunteers, the community, employers, research and strategic partners is a key element to
realising many of the University’s strategic goals including;





attracting tomorrow’s leaders; outstanding research students, domestic and international,
managing research partnerships with government, industry and peer universities,
domestic and international,
winning major support from alumni and philanthropic supporters,
managing alliances with graduate employers and
managing strategic partnerships with overseas universities.
The Beacon of Enlightenment describes a number of high level goals that will be enabled and
supported by effective CRM. The following table describes the relationship between these
strategic goals, the manner by which CRM will support or enable these goals to be achieved, and
the relationship to the Beacon of Enlightenment Operational Plan.
Strategic Goal
Enabled by CRM
Relationship to the Beacon of
Enlightenment Operational Plan
assert a distinctive
Adelaide
educational
proposition
A positive, unique education experience
must be relevant to the values of the
student. These values vary between student
segments and CRM will allow UoA to
customise the student experience
accordingly.
Learning & Teaching: 3.1 Agreeing
standards for our student experience
Learning & Teaching: 1.4 Delivering
an integrated student eExperience
Research 1.2: Enhancing researcher
interaction with students
Enablers & Supporters: 4.2 Enhancing
measurement, reporting and
benchmarking
Value propositions to organisational
customers must be tailored to align with
their strategic goals, business plans and
organisation structures. This requires
sophisticated cross-departmental account
management that will be enabled by CRM.
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Research: 2.1 Facilitating
international collaboration
Enablers & Supporters: 2.4 Aligning
brand and communications
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Strategic Goal
Enabled by CRM
Relationship to the Beacon of
Enlightenment Operational Plan
reach out to a still
broader student
body
Effective acquisition beyond traditional
feeder schools and demographics requires
new ways of targeting and engaging new
audiences. CRM will enable sophisticated
campaigns to support this.
Learning & Teaching: 5.1 Maintaining
a broad participation of
disadvantaged students
International channels are complex, involving
intermediaries in foreign countries. CRM will
support improved management of
relationships with agents and students
overseas.
Learning & Teaching: 4.1 Develop
large-scale student exchange
agreements with international
university partners
remake our
academic
recruitment
internationally
The development of partnership and contact
management practices across the university
are central to the management of often
complex and inter-disciplinary relationships
with other institutions, researchers or
students. CRM methodologies supported by
a central repository provide a foundation by
which this is achieved.
Research: 2.4 Supporting the
recruitment of international HDR
students
rekindle our
importance to the
community
CRM will allow UoA to manage community
interaction, such as enquiries and events,
across the University in a coordinated way.
Enablers & Supporters: 2.1 Enhancing
Alumni participation
reanimate our
quest for the
resources we need
Research partnerships are complex and often
involve organisation-level engagement, such
as joint plans and mutual goals. This requires
effective coordination of these relationships
across the University that will be enabled by
CRM.
Research: 2.1 Facilitating
international collaboration
The Fundraising Capability project will enable
the University Engagement Branch to more
effectively manage alumni and donor
campaigns. CRM will enable alumni
information to be integrated into a
comprehensive view, beyond fundraising
activities, to encompass a complete
perspective of these important relationships.
Enablers & Supporters: 2.2 Increasing
philanthropic support
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Research: 2.4 Supporting the
recruitment of international HDR
Students
Enablers & Supporters: 2.3 Enhancing
engagement with government
industry and the community
Research: 2.3 Facilitating
partnerships and/or networks
Enablers & Supporters: 2.3 Enhancing
engagement with government
industry and the community
Enablers & Supporters: 2.3 Enhancing
engagement with government
industry and the community
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Acquisition Opportunities
Prospect enquiry and contact management
The University currently receives a large number of enquiries from prospects including potential
future students (including higher degree candidates), international students, potential donors and
researchers. These enquiries are important to the future of the University yet are captured in
various ways, sometimes in paper or informal systems, and some enquiries are not captured at all.
Enquiry capture needs to take place consistently across the university. All potential recipients of an
enquiry need to be skilled in recognising the nature of the enquiry, capturing and categorising in
order to allow ongoing management of the enquiry. This will increase the overall number of
enquiries being effectively managed, action on those enquiries and ultimately the conversion of
enquiries into acquisitions. There is a particular opportunity here in the area of higher degree by
research enquiries.
Lead and pipeline management
Enquiries, once captured, need to be managed through to completion. This typically involves a
lead management or “pipeline” process whereby leads are monitored, categorised and managed
through a number of stages. Particular opportunities exist here for the enrolment of quality
students, focusing on higher degrees and international.
Pipeline activities may include marketing campaigns to keep leads “warm”, multi-phase contact
programs to monitor the engagement with the prospect over time and opportunities to track and
manage invitations to events that target prospects.
Brand integrity
Whilst organisations have some control over brand image and integrity, the voice of customers
plays a significant role in reputation, word of mouth and ultimately has an impact on brand.
Customer experiences at UoA, therefore, can have implications beyond the immediate customer
involved. These customer-to-customer interactions may be played out through physical and virtual
social networks, impacting on future acquisitions and repeat customers.
Whilst this is not an explicit initiative, it should be recognised that many of the opportunities and
recommendations in this CRM Strategy have the potential to improve the University’s reputation
and brand, through net positive word of mouth and recommendations. One particular challenge
here is to ensure a consistent, connected dialogue with customers across several departments
including faculties and schools. This is addressed in other opportunities and recommendations in
this document.
Accessing new segments
Traditional demographic and geographic segmentation is no longer sufficient to achieve the goals
of the University. UoA is seeking to establish relationships with new segments including students
in northern Adelaide, researchers in other states and countries and a variety of larger
organisations.
This requires a comprehensive segmentation model that allows the University to understand the
potential value of a prospective customer, driven largely by the likelihood of acquisition and
retention to completion, as well as customer needs and lifecycle characteristics. The opportunity
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here is to develop a segmentation model that is useful for prospecting, customer management
and growth of customer share.
Conversion rate
Effective segmentation and pipeline management present the opportunity to increase conversion
rates of both individuals (B2C) and organisations (B2B). Currently, the University does not explicitly
manage conversion rates as in many cases leads are not tracked in any formal way. There is a
significant opportunity to start to understand, track and improve conversion rates in a continuous
improvement cycle.
The opportunity here is particularly important in the early stages of the student or organisation
lifecycle, including development of a strong foundation for the first year (students) or first
engagement (organisations). There are also opportunities in converting undergraduates to postgraduates.
Retention Opportunities
Explicitly-designed student experience
Once on campus, students make their decisions to stay or leave based on a range of expectations
and experiences. Recent projects including The Hub and Student eExperience have sought to
understand and involve students in the design of services.
The University has the opportunity to continue this work across all significant interactions with
students, focusing on understanding the “ideal” student experience, from the student’s
perspective, then designing the interaction including structures, skills, systems and processes in
order to align with this ideal as closely as is practical. This is particularly important in the sensitive
early stages of the relationship (first year). It must also take into account the widely varying
situations of students in higher degrees.
Consistency across departments
Variations in processes and failures at breakdown points create frustration and dis-satisfaction
with customers. The decentralised structures of higher education institutions make them
particularly prone to negative customer experiences resulting from breakdowns across
departmental boundaries.
Several processes have been highlighted as being susceptible to cross-departmental breakdowns.
These include prospect enquiries, the referral of students requiring support, international students
(particularly given language differences) and students faced with issues that span schools, faculties
and other areas.
There is a significant opportunity to map, analyse and improve business processes that span
departmental boundaries, focusing on the customer / student experience. “Swim lane” process
models and best practices in customer management will allow insights to support such an
exercise.
Consistency across channels
Customers expect to be able to communicate with service providers over an increasing range of
channels and timeframes. Organisations, including higher education institutions, can no longer
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determine a single or limited range of channels for a given interactions, if they are to approach
best practice in customer experience. The University therefore has the opportunity to establish
processes and systems that allow a customer interaction to initiate and continue to completion
over a range of channels without the need to re-state or re-enter information.
First year engagement
The first year of study is recognised at a particularly sensitive time for students. This can result in
lasting impressions that lead students to leave, stay and give negative / positive word of mouth
that influences other prospective students. This presents an opportunity for UoA to focus on the
first year, particularly in initiatives mentioned already in this document such as explicitly designing
the customer experience and consistency across departmental boundaries. It is anticipated that
this will have a relatively high impact on key indicators such as student retention.
Service enquiry and contact management
Further to earlier recommendations regarding prospect enquiry and contact management, the
opportunity exists to apply these same principles to existing customers (students, staff and
organisations, donors and alumni etc.). This can take place across the Hubs, contact centre,
faculties, HR and so on. The goal is to allow student enquiries to be captured through many
entities and channels, including customer information such as who made the inquiry, the nature of
the issue etc., in order to ensure they are tracked through to completion. This is particularly
important wherever referral takes place, in order to avoid the abovementioned breakdown across
departmental boundaries.
“At risk” student detection and pro-active intervention
Customers in general and students in particular experience periods of high stress. These
“moments of truth” can lead to serious damage being done to the relationship, or the inverse
whereby a sense of loyalty may develop that lasts many years. It is essential for good customer
management, therefore, that these at-risk times are detected as early as possible and that the
University acts positively to assist the student.
This will require early warning systems, triggered by established leading indicators; for example,
when a student has not attended tutorials for some time or has called the contact centre on
several occasions without satisfactory resolution. The background of the student may also be a
factor, as may a history of approaches seeking support such as counselling. The general capability
to be developed is case management, integrated with wider student activities and interactions, to
allow early intervention, support and monitoring to completion.
Further, the development of customer analytics and other feedback mechanisms to measure the
effectiveness of these “Save” programs or interventions, will be critical to their ongoing
resourcing, support and refinement.
Relationship Development (Share) Opportunities
Positive student word of mouth leading to referral
Customers of service providers are increasingly using customer-to-customer (C2C) interactions,
referrals and word of mouth to make their decisions. Sites such as www.studentroom.co.uk
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facilitate this, as does social media in general. Word of mouth referral has become the primary
source of information for customers in some service industries.
Positive word of mouth is more difficult to achieve than negative word of mouth. This is reflected
in the skewing of metrics such as net promoter score (NPS) whereby a score of 0-6 out of 10 is
considered a detractor and 9 or 10 is required in order for a person to be considered a promoter.
Consistently positive customer experiences, accumulated over time, are required. Customer
delight, defined as providing a level of service that goes beyond standard expectations, is also
considered necessary in order to retain customers and drive advocacy.
The University has the opportunity to understand key interactions or moments of truth, and invest
in understanding and designing customer experiences that lead to positive word of mouth and
ultimately higher quality future customer recruitment.
Re-acquisition of postgraduate / HDR
Post graduate studies and higher degrees by research represent important goals in developing
high value relationships and outcomes for quality students. This presents an opportunity for the
University to identify, promote and facilitate this progression for selected students. Whilst this is
currently done in a decentralised way at the academic level, there is the opportunity to assist and
coordinate this progression at the wider customer relationship level.
This is particularly the case where there is a significant time lapse between studies. Encouraging
selected alumni to remain engaged with the University and consider us as the first choice in
continuing studies is the goal here.
Segment extension
The University has a traditional customer base from the inner city and eastern suburbs of
Adelaide. Several prospective segments, including other geographies (e.g. northern Adelaide) and
demographics (e.g. lower socio-economic) present important opportunities for the University in
the future. The University has not historically aligned with or attracted these segments, so
particular customer relationship activities will be required in order to capitalise on these
opportunities.
This will require investment in knowledge, skills and systems that allow the particular needs and
value perceptions of these segments to be understood, and a suitable value proposition
developed. Leads must be generated and managed through the pipeline, with engagement
through suitable channels, in order to convert these segments to customers. The approach taken
here must be flexible enough to allow adjustment as the University learns more about these new
segments.
Alumni / supporter growth
The University has a large and, in some areas, engaged alumni / supporter audience. This audience
presents an opportunity for future growth in a number of ways:




increase engagement leading to higher levels of value for alumni
net positive increase in recommendations from alumni
identification with UoA and first preference for future studies
increase size and frequency of donation, sponsorship and other modes of direct support.
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The opportunity here is for the University to coordinate communications across faculties and
departments in a cohesive alumni contact strategy, including putting caps on maximum allowable
levels of contact, preferred topics and channels of communication, engagement of alumni in value
co-creation and elimination of duplication of meetings and “asks”.
Organisational Customer (B2B) Opportunities
Organisational customer experience
Organisational customers, including businesses, government and other institutions, expect to have
professional dealings with the University. An important aspect of this is to take a coordinated
approach across the multiple contacts and relationships that exist between the two organisations.
It may also include taking a more strategic, long term perspective; actively planning and managing
toward business outcomes; and having visibility of the full spectrum of dealings between the
organisations in order to negotiate and manage the relationship.
From UoA’s perspective, an important element is to understand and document any agreed
outcomes in such a way that anyone dealing with the customer can see and support them. It may
also mean having a clear definition of what a “good experience” looks like as this will vary from
one account to another. Finally, it should involve some degree of prioritisation of resource, so that
the most significant long term customers are appropriately managed.
Business development and opportunity management
The University is currently unable to see, and therefore manage, all of the opportunities in a given
organisation or “account”. Opportunity management, including visibility, probability and size of
individual opportunities presents significant opportunity for UoA. Improved opportunity
management is expected to lead to greater success in business development, manifested as
increases in funding, share of customer and long term engagement.
To support such an initiative, the University will require a formal opportunity management
methodology to be implemented, supported by suitable systems. There needs to be a common
language, for example “qualified opportunity” and “value proposition” to allow multiple staff to
work together on an opportunity as a team.
Key Account management
Co-ordinated and cross-discipline engagement with and management of key organisational
partners represents a significant opportunity for the University. Key Account Management will
allow relationships with industry, research partners, funding agencies, businesses and government
departments to be managed in an open and constructive way. It will require an account
management methodology, skill development, processes and supporting systems, and should be
integrated with business development, contracts and project management.
An important first step in account management will be the nomination of key accounts,
assignment of responsibility for these accounts and development of account plans, preferably in
collaboration with each account. The preferred account management model is to facilitate
multiple streams of activity and contact in large accounts, with coordination being achieved
through the sharing of information and common goals.
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Co-ordinated engagement and project management
Many relationships with key accounts are built around specific projects. An important opportunity
for the University is therefore the development and implementation of formal contract and
project management practices. Once again, methodology and systems support are important here,
as is integration with the other perspectives of an account including opportunities, service
interactions and key personnel.
A number of capabilities should be developed as part of such an initiative. These include the ability
to monitor progress of all projects across an account, to anticipate and pro-actively manage any
potential issues in these projects and the coordination of next-level activities within a given
project, including escalation when milestones are missed.
Enabling Opportunities
Manage the customer lifecycle
Whilst the university has a number of informal models of the customer lifecycle, there is no
centrally agreed model to identify stages in the customer relationship and to actively support the
management of transition from one stage to the next. Such a model will allow individuals and
organisations to be actively engaged to improve the migration of these customers to later, and
typically higher value, stages of the lifecycle.
Student models currently include stages such as prospective, enrolling, year 1, post year 1,
graduate and alumni. Such models need review in order to serve the needs of the wider university,
for example “alumni” may require further breakdown to reflect progression in the relationship
with alumni. This model may be further extended to include the progression to becoming a staff
member as the University employs many current or ex-students. A cross-functional team approach
should therefore be taken in pursuing this opportunity.
Manage customer value
Different customers represent different levels of value to the University. For example out of 973
donors, the top 5% contribute 92% of the total funds raised, whereas the bottom 80% contributes
2% of the funds raised. Table 5 presents the overall value segmentation of donors, using a
modified form of decile analysis.
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Table 5 - Value segmentation of donors
Group
Fraction Split
%
No.
Donors
Cumm. Value
Decile Value
% of
Total
1
2
3
4
5
6
7
8
9
10
0.5
1
5
10
20
30
40
50
75
100
5
10
50
100
200
300
400
500
750
973
$4,015,169.12
$4,411,436.12
$5,182,938.36
$5,393,722.06
$5,502,572.06
$5,544,757.06
$5,565,317.06
$5,577,064.06
$5,600,324.06
$5,608,582.70
$4,015,169.12
$396,267.00
$771,502.24
$210,783.70
$108,850.00
$42,185.00
$20,560.00
$11,747.00
$23,260.00
$8,258.64
71.6%
78.7%
92.4%
96.2%
98.1%
98.9%
99.2%
99.4%
99.9%
100.0%
Whilst it is important to treat all customers with respect and to observe a minimum level of quality
in service delivery, there are some higher value customers that warrant additional resources in
order to maximise the ability of the University to deliver on its ultimate mission. Such customers
are often also targeted by competing institutions, so additional investment may be required in
order to retain them.
The opportunity here is for the University to develop a means by which customer value (to the
University) can be objectively assessed in order to allow effective allocation of resources. Such a
method should model lifetime value, that is, the present value of past, current and future margin
from a given customer, allowing for the probability of revenue streams as indicated by retention
and win probability. Objective assessment of lifetime value will also allow resources to be freed up
from relationships that do not represent the value that was once anticipated, in order to be better
applied elsewhere.
Lifetime value assessment may incorporate non-monetary value, as well as monetary. Examples of
the former include strategic value, reference value and brand value of a relationship.
Single view of customer
There are currently several “significant” customer management systems (see Appendix 4) and
hundreds of minor or manual systems such as spread-sheets and Access databases containing
customer information at UoA. It is therefore currently practically impossible for the University to
see a complete picture of a given customer and the relationship that exists. The development of a
single view of customer, potentially integrating views across multiple systems, represents one of
the most significant opportunities for improvement.
Many benefits of such a view have been identified including increased awareness and
management capability with key accounts leading to improved depth and value of partnerships;
visibility and subsequent ability to pre-empt and manage at-risk customer situations; more
strategic approach to accounts including mutual goals leading to higher value outcomes for both
parties and ability to engage and acquire international students through more relevant,
sympathetic and timely communications.
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Reduction in complexity / duplication
There are numerous example of duplication of effort and hence inefficiency that may be reduced
or eliminated through more integrated customer information. These include avoidance of “doctor
shopping” whereby individuals make multiple contacts with the University until they receive the
answer they want; elimination of manual data partitioning processes such as the monthly copying
and then deleting of alumni data and the duplication of administrative information across faculties
and central services.
It is noted here that an integrated view does not necessarily mean reduced compliance with
privacy requirements. When implemented correctly, an integrated approach to customer data
improves control over information; it should allow better control over who can see and use
customer information, how frequently and for what purposes.
Reduction in transactions / costs
Apart from the opportunity to reduce or eliminate duplication of information at the University,
there is a further opportunity to streamline customer-related operations wherever manual,
informal or isolated systems are currently used. For example, if a student changes email address,
this information may be currently updated in several places. Implementation of a “write once, use
many” philosophy, supported by a clear map of customer information including nomination of
database of record, will enable this.
A related opportunity exists in customer self-service. Some customers prefer to update their own
information, at a time and channel of their choice, rather than fill in paper forms or have to attend
a service point.
Automation / workflow
There are some functions that computers can perform more effectively than humans; one such
function is the monitoring of processes, times and statuses and subsequent automation of
business processes including assignment and escalation.
The opportunity here is to select the most important points for workflow, for example enquiries
that have not been addressed within a specified time or complaints that remain in open status for
too long, and have these escalated or assigned to a queue for action.
Critical success factors and challenges
This section contains contributing factors that need to be addressed or managed in order to
succeed with CRM at UoA.
Governance and program management
1. Agree and publish a clear definition of CRM (not just a computer system).
2. Involve key stakeholders, internal and external, in the design process to ensure that it
creates value for users as well as customers (co-creation).
3. Engage and secure support from senior levels; Executive Deans, Heads of School.
4. Publish a clear vision statement including alignment with Beacon of Enlightenment.
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Practical approach phased over several years.
1. Agree initial quick wins; candidates for early adoption with significant impact and existing
support.
2. Find early customer champions; organisations and individuals that are prepared to work
with UoA on co-creation.
3. Implement process and system changes over several phases, ensuring each phase is
bedded down successfully before embarking on the next.
Staff involvement, objections and expectations
1. Identify and engage representatives from all user and customer categories.
2. Recognise that CRM is not a silver bullet and will take time and effort in order to succeed;
manage expectations regarding what can and can’t be accomplished in a given timeframe.
3. Identify informal knowledge stores that are important to the University (including
knowledge in people’s heads) and ensure that this information is migrated into secure,
shared locations.
4. Identify privacy concerns and objectives and explicitly address these in the design of
processes and systems.
5. Assign responsibility for key customer groups (individuals) and organisations.
6. Secure adequate availability of resources (financial and human) to participate in the
program; back-fill existing roles to free up time for participation in the CRM Program.
Skill development
1. Develop skills in recognising and capturing enquiries and feedback, including complaints,
across all customer-facing roles in the University
2. Develop work practices to monitor, assign and escalate enquiries and feedback that have
passed service standard trigger points, for example days overdue.
3. Implement a key account management methodology across all organisational customer
departments, institutes and faculties; incorporate common language, qualification criteria
and opportunity stage model.
4. Develop competencies in the creation of customer value propositions for customer
segments at an increasing level of detail and for individual high value institutional
partners, especially relating to securing significant funding opportunities
5. Review job descriptions to ensure customer relationship skills are explicitly outlined,
including assessment and performance criteria.
Culture shift
1. Several cultural challenges will need to be addressed in the CRM Program; these include
viewing students as customers, sharing information about opportunities and contacts and
the right of the University to require the customer asset to be managed in a centralised
way.
2. Engagement of progressive supporters from each internal audience will be important in
order to address cultural challenges.
3. Involve people in pilots and design processes to ensure that future business structures,
practices and systems create value for users and customers.
4. Recognise that different customers represent varying degrees of value to the University,
and resources should be assigned based on value and need.
CRM Strategy
University of Adelaide
Commercial in Confidence
7/02/2016
Page 42
5. Shift from a focus on service excellence (responding well) to customer excellence (proactively looking to create value for customers)
Co-creation
1. Involve customers, especially students in the design of the solution.
2. Establish ongoing processes to engage customers in business as usual.
3. Develop channels for continuous feedback from customers, and processes for reviewing
and acting on this feedback.
Customer experience design and management
1. Map existing processes then assess them in terms of the customer experience.
2. Redesign processes where necessary to increase value to customers; involve customers in
this exercise (co-creation)
3. Review performance measures, policies and incentive structures to ensure that they do
not detract from customer experience objectives.
4. Develop and implement ongoing customer experience measures, not just occasional
surveys.
Ongoing customer management
1. Develop segmentation frameworks that allow customers to be managed more effectively,
including customer value, needs and lifecycle stage segmentation.
2. Improve engagement, retention and advocacy through the development and
implementation of segment-level strategies (individuals) and account-level strategies
(organisations).
3. Develop and monitor customer contact policies such as maximum contact frequencies
across the University.
Process standardisation
1. Map and redesign processes across departments and faculties (in concert with customer
experience work) to ensure a consistent experience for customers.
2. Assess all processes to ensure they are meeting University and customer objectives.
3. Develop a problem / solution knowledgebase, accessible across faculties and departments,
to ensure consistent responses to customer issues.
5. Focus in particular on donors, alumni and other supporters as they represent one of the
most valuable, yet widespread, customer assets.
6. Consolidate communications across the University under an overall customer / segment
communications plan.
7. Consolidate multiple data stores into integrated views to support process standardisation
measures.
8. Implement consistent customer measures, such as lifetime value, share of customer,
willingness to recommend, satisfaction etc. across the university.
CRM Strategy
University of Adelaide
Commercial in Confidence
7/02/2016
Page 43
Information quality
1. Identify key customer information items, such as address, email address, contact
preferences and topics of interest, and assess the data quality of each item (completeness,
currency, shelf life)
2. Develop a central customer information plan to monitor data quality and implement
specific measures to manage it.
3. Assign responsibilities for data quality (not with IT) and ensure customer information
quality competencies are addressed in job descriptions.
4. Ensure that data entry requirements, including time and resources, are adequately
addressed in work practices.
5. Develop and implement data segregation and access rules to ensure that data is
partitioned in a way that protects sensitive details, privacy and security.
Customer analytics
1. Develop student / other customer analytics to support investigation of important
customer questions, for example what behaviours are indicative of key student risks and
opportunities?
2. Develop key account analytics; for example the value of business relationships, strength of
relationship, level of engagement and future opportunities.
3. Develop campaign analytics; for example program reach, engagement, leads generated.
CRM Strategy
University of Adelaide
Commercial in Confidence
7/02/2016
Page 44
CRM Vendors
Background
An initial survey of CRM vendors indicates that a number of CRM vendors could satisfy UoA’s high
level business and commercial objectives. A long list of candidates for the Request for Information
(RFI) was developed based on overall business and technical requirements, including vendors who
were either CRM generalists or who specialised in the Higher Education sector.
Approach
The primary objective of the RFI was to assess the current depth and coverage of capabilities of
solution providers in Australia and assist in the preparation of baseline business case costs. In
addition the RFI process:


ensured current pricing and licensing options were obtained
identified any technical constraints
Evaluation was based on the general requirements identified:


during the conduct of interviews with UoA Staff
from a review of the current technical environment and other documentation
The RFI was issued to the following vendors:
Oracle, Salesforce.com, Sage, SAP, SugarCRM, Microsoft, Pivotal, Talisma, Hobsons, eStreamline,
Blackbaud, Sunguard and Epicor.
Each RFI submission was evaluated against a set of generic scoring criteria that covered the
following:





business / functional capabilities
vendor strength
technical considerations
cost analysis and
implementation and support capabilities.
General Findings
Eleven of the thirteen RFI candidates responded with formal submissions.
The respondents submitted proposals from different perspectives, and with differing cost models.
Furthermore, the vendors provided widely varying estimates for implementation effort and costs
or did not provide details at all. Of note SAP & Sungard declined to respond without reason, whilst
Epicor declined as they were not able to meet the requested due date. Oracle provided separate
responses for the PeopleSoft and RightNow solutions. The eStreamline response was not
evaluated in detail as it did not comply with the requirements of the RFI.
For these reasons, we have provided our best estimates of the true capabilities and costs of the
respective vendors in our analysis. It should be recognised that at this early stage, the evaluation
cannot be considered complete or final. Further evaluation and analysis of the shortlist will be
required in order to finalise any decision regarding CRM vendors.
CRM Strategy
University of Adelaide
Commercial in Confidence
7/02/2016
Page 45
Results and Recommendations
The results and high level recommendations are summarised in the following tables.
Microsoft Dynamics
CRM 2011
Oakton
5 Year TCO
(400 Users)
5 Year TCO
(Enterprise)
Recommendation
$2,120,900
$2,320,000
Include in RFP
$5,800,000
$13,750,000
Do not include in RFP
$695,900
$767,750
Include in RFP
$2,283,965
$2,283,965
Include in RFP
$1,085,900
$1,635,000
Do not include in RFP
$960,000
$1,560,000
Do not include in RFP
$1,530,000
$1,645,000
$1,730,000
$3,480,000
Investigate support
capability
Include in RFP
$3,100,000
$4,800,000
Include in RFP
$3,000,000
$5,500,000
Do not include in RFP
$1,025,500
$1,025,500
Investigate
Buy
Buy
PeopleSoft CRM for
Higher Education v9.2
Sage CRM v7.2
Oracle
Envisage
Buy
Fusion 5
Buy
S1 Consulting
Insightful
Buy
Buy
Pivotal CRM v6
Talisma for Higher
Education v8.6
Sugar CRM v7
Oracle
Lease
Salesforce
Bluewolf
Lease
Intelliworks CRM
Hobsons
SAP
Epicor
Lease
Good understanding of HE. 0 implementations of CRM.
Professional response.
Late response and slow to respond. Student CRM only.
Limited HE experience, expensive.
Oakton has local Higher Ed experience. Unsure of MS
CRM fit. ClickOnce module required for Marketing. Rely
on integration with Risers Edge for Donation Mngt. No
OOTB Self Service
HE Experience, Large vendor. Premium pricing based on
Revenue.
Adelaide partner. No Higher Ed experience. Professional.
Lease
Oracle RightNow
Rationale / Notes
Overall Fit
Buy
Implementation and
Support
Blackbaud
Streamline Solutions
Technical Compliance
Blackbaud CRM v3.0
eTP
Vendor Capability
Vendor
Business Functional
Capability
Solution
*Offering
Table 6 - CRM vendor summary and recommendations
Do not include in RFP
Do not include in RFP
Do not include in RFP
Sunguard
Slow on response to questions. Limited HE experience.
Talisma support out of India. No support for Oracle Db.
Located in Sydney. Good HE experience.
Professional response. Loads of HE experience. Staff
availability in Adelaide?
Good fit, proven HE Experience, Expensive
Rely on separate licensed modules for Event Mngt. and
Marketing and suggest Cognos for BI. 3 versions of pricing
Requires integration with to Raisers Edge Alumni Mngt.
Limited functional coverage. Good understanding of HE
and 8 local implementations. Professional response.
Did not respond - no reason given
Did not respond - unable to comply with due date.
Did not respond - no reason given
Legend:
Capability and fit columns
Recommendation column
Red – poor capability / fit
Red – do not pursue
Yellow – reasonable fit with some gaps
Yellow – investigate further
Green – good fit with requirements
Green – include in formal evaluation
CRM Strategy
University of Adelaide
Commercial in Confidence
7/02/2016
Page 46
Table 7 - Vendor capability qualitative analysis
CATEGORY
VENDOR
Financial/Organisation Strength
HE Experience
Local presence
Microsoft PeopleSoft
Blackbaud
Dynam ics
CRM for
Oracle
CRM v3.0 eStream line Intelliw orks
CRM
Higher Ed RightNow
Pivotal
CRM v6
Sage
SugarCR
CRM v7.2 Salesforce
M v7
Blackbaud
Stream line
Hobsons
Oakton
Oracle
Oracle
Fusion 5
Envisage
Bluew olf
Insightful
S1
Score
Score
Score
Score
Score
Score
Score
Score
Score
Score
Score
Talism a
v8.6
BUSINESS FUNCTIONAL
Marketing Automation
Event Management
Service Management
Donor and Alumni Management
Opportunity Management
Contact/Account Management
Self Service (Portal)
Customer Segmentation
Knowledge Management
Analytics
TECHNICAL
Architecture (Web, Client Server)
Db/Operating System
Integration
Ability to customise / configure
SERVICES
Implementation
methodology/understanding
Resources (Number, skill,
experience)
CRM Strategy
University of Adelaide
Commercial in Confidence
7/02/2016
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CRM Program Alternatives
Strategy

Do nothing
The Do Nothing option is the default, but will not address the vision or objectives of the
University with regards Customer Relationship Management.

Tactical
Continue to purchase and implement tactical, departmental-level solutions.
The Tactical option has been used by UoA in the past whereby isolated or specialist
applications have been adopted by separate departments or faculties. Although this
approach supports local and immediate needs it will result in further fragmentation of
customer information, duplicated processes and data and does not address any of the
cross-University process or cultural challenges that currently exist.

Strategic approach – with update.
A strategic approach to the implementation of CRM involves the commitment of the
University to a long term plan of action guided by a central vision and roadmap. The
program is governed by a Steering Group that is responsible for ensuring that the intent of
the program is maintained over time and that any projects or initiatives relating to CRM
are assessed on the basis of their alignment with the overall CRM Strategy.
Central to this approach is regular review of the University’s broader strategic needs and
tactical priorities along with changes in customer’s expectations and competition. This
approach is consistent with any business change which requires long term
transformational change to be achieved.
Workstreams

Technology and data only
Purchase and install a university-wide CRM system, without particular emphasis on
processes or people, and mandate the use of the system for all customer interactions.
This option would provide a technical solution for specific systems capability gaps such as
marketing automation. It would not by itself have a significant impact on behaviours,
processes or the customer experience that is derived from broader interactions. It will risk
installing a costly system that will ultimately not be used and will add administrative
overhead.

Plus… Process workstream
As above plus a thorough review and refinement of all customer related business
processes and experiences. This option ensures that the program addresses the manner in
which customers experience the University across all channels and interactions and that
the implemented technology supports these new processes effectively. However this
approach does not ensure that the organisational structures, staff capabilities and overall
cultural changes necessary to deliver these processes and customer experiences are
developed.
CRM Strategy
University of Adelaide
Commercial in Confidence
7/02/2016
Page 48

Plus… People workstream
As above plus a comprehensive approach to managing organisational change. This option
includes a CRM education and communications plan to address cultural change, skills and
competency assessment and development to address skills gaps, along with organisational
review to ensure the necessary structures and roles in the University are in place.
Technology architectures

Single system
This involves the implementation of a single university-wide CRM system across all
departments and functions. Although this would meet high level objectives such as
providing a “single view of customer” and good governance, it assumes that one
application can provide all the necessary functional capability that is required by the
University. It also assumes the effort, investment and risk associated with this approach
are justified. Highly specialised areas (such as, contract management, donation processing
or volunteer management) may not be well supported by standard software which would
necessitate costly and time consuming development work. It would also incur unnecessary
disruption and cost in replacing otherwise functional niche CRM solutions.

Loose confederation of systems
This approach permits the implementation of a variety of “best-of-breed” applications
across the University in order to satisfy the specialised needs of each organisational unit.
Although providing excellent fit with tactical needs, this approach requires significant
integration effort and associated cost to achieve a single view of customer. There may be
challenges associated with deciding which system is the “database of record” for shared
information elements. Governance issues such as choice of investment, development and
customer information management are particularly difficult with this approach. There is
limited potential to achieve economies of scale with regard to licensing costs and support
with this approach.

Core CRM with satellites
This approach involves the selection of a core CRM system that will provide a foundation
set of capabilities and general database of record for customer data for the University. In
effect the core CRM becomes the default system to meet future customer related
software requirements. Integration with specialist systems to satisfy specialised needs is
often augmented by the provision of a portal to enable a virtual single view of customer.
This option provides flexibility in implementation, economies of scale in terms of licensing
and support and protects the investment in existing systems whilst allowing appropriate
IT/Infrastructure governance.
Implementation Approaches

Big bang
A “big bang” approach involves the wholesale change and implementation of systems all
in one major phase of work. This approach typically is high risk, involves lengthy
implementation durations and is unsuitable for programs that involve complex
requirements across multiple organisational entities and/or involve significant business
change.
CRM Strategy
University of Adelaide
Commercial in Confidence
7/02/2016
Page 49

Staged CRM Project
The Staged CRM Project option, if implemented well, may address most of UoA’s
customer management objectives. It is, however, a high risk, high external cost option that
can result in more stress on the organisation than is necessary. Treating CRM as a single
project exposes the University to many of the known CRM risk factors, due to the size and
complexity of the project. This option may also result in replacement of some tactical,
departmental processes and systems with inferior (albeit centralised) local solutions. The
greatest risk is that this top-down approach will be incompatible with the hybrid
centralised / decentralised organisation model of the University.

Rolling wave – CRM Program (quick wins up front)
The Rolling Wave Program approach comprises a series of phases, each of which contains
one or more projects/initiatives or “use cases” at a time. By definition the program of
work evolves over time, based on outcomes achieved in earlier phases of the program
along with changing priorities and constraints. This approach focuses on delivering
capability on an on-going and sustainable basis with an emphasis on establishing a history
of success so as to build momentum and demand. The identification and implementation
of initiatives that represent quick wins, that have strong alignment with strategy, an
immediate impact and have a high likelihood of success is central to this approach.
This strategy document proposes that the University undertake a long term strategic CRM program
that is updated on a regular basis. The program should comprise a range of initiatives over time,
putting in place foundation CRM technology that will be the default system for most (if not all)
future customer-related projects, formalising business processes and raising competencies in the
long term. The program should include all four major work-streams – Strategy, People, Process
and Technology and use the rolling wave implementation approach in order to deliver benefits
quickly but in a sustainable manner.
This approach will take longer than the other options, and will demand higher levels of
commitment and governance as a result of this. It will, however, allow UoA to manage the
organisational complexity and diversity of requirements that are necessary to succeed with
University-wide CRM.
CRM Strategy
University of Adelaide
Commercial in Confidence
7/02/2016
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Recommendations for CRM at UoA
Recommendation 1 – Overall CRM Strategy
Successful CRM Programs require effective change management across people, process and
systems. This must be managed by senior management across business functions and areas. It is
recommended that UoA establish a clear program of change, guided by the CRM Strategy and
managed by the CRM Steering Group. Key components of this recommendation include:




CRM Steering Group that meets regularly (2 month intervals) and is charged with ensuring
that the CRM Strategy is realised
Executive sponsorship at DVC level
Communication and ongoing reinforcement of the importance of the CRM Strategy
Development of a customer culture and a focus on value, initially through the
development of Customer Value Propositions (CVPs).
Furthermore, it is recommended that UoA approach the CRM Program in a measured way,
focusing initially on quick wins then building on these successes over time.
This recommendation addresses the following CRM Program opportunities (outlined earlier in this
document):





Publish CRM Strategy
Governance and program management (CSF)
Practical approach, in small steps over several years (CSF)
Accessing new segments
Segment extension
Recommended Approach
2013
2014
2015 and beyond
Publish CRM Strategy
Ongoing Program monitoring
Strategy and roadmap review
Launch CRM Program
Develop the core UoA CVP and
account level CVPs
Ongoing Program monitoring
Commence CRM Program
monitoring
Establish Program Team
Test the CVPs with staff and
customer representatives and
refine
Continue development and
refinement of segment CVPs
Verify value realisation against
CVPs
Commence development of
segment based CVPs.
Customer Value Proposition
The University has a range of value propositions for different segments, such as students, alumni
and researchers. Whilst these propositions provide a strong starting point, value propositions
should be seen as an organisational capability rather than a marketing output. In other words,
people who engage with customers need to be skilled in identifying and proposing value.
CRM Strategy
University of Adelaide
Commercial in Confidence
7/02/2016
Page 51
For example, a business development manager should be able to construct a value proposition for
a potential new partner organisation. A researcher should be able to construct a value proposition
for a research grant proposal. A service representative should be able to construct a value or
resolution proposal for a service issue.
It is recommended that the University review and synthesise current value propositions, and
develop a formal structure by which future value propositions are developed and tested for
individual customers and segments. Such a structure may include techniques such as value
laddering and team proposition development, as well as a common language by which value
propositions can be built and communicated.
Recommendation 2 – Frameworks and Segments
A number of frameworks are essential to effectively understanding and engaging with customers.
It is recommended that UoA develops and implements several frameworks across the University
including customer lifecycle, lifetime value and customer segments.
This recommendation encompasses the following CRM Program opportunities:





Accessing new segments
Re-acquisition of postgraduate / HDR
Segment extension
Manage the customer lifecycle
Manage customer worth
Recommended Approach
2013
2014
2015 and beyond
Analyse whole of university
customer value for:
Develop customer lifecycle models for
all customer types
Continue journey mapping for
selected lifecycle stages and
customer types


Industry partners
Donors
Develop customer journey maps for
selected lifecycle transitions (e.g. HDR
enrolment / UG enrolment)
Define the UoA customer worth model
including LTV for industry partners and
donors
Implement processes to communicate
and manage customer worth / LTV
across all departments.
Establish preliminary customer
segments based on existing
knowledge (demographics, type etc.)
Define the UoA customer worth
model including LTV for students
Continue customer needs
research for next priority
segments (Industry/Research
partners.)
Refine the customer
segmentation model based on
needs research.
Conduct customer needs research for
segments of strategic priority
(HDR/Low SES)
Refine segment definitions based on
needs research and value analysis
CRM Strategy
University of Adelaide
Commercial in Confidence
7/02/2016
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Lifetime value
Customers typically commence their relationship with the University “in the red” – in other words,
the cost of acquisition exceeds the margin received from the customer on day 1. Over time, as
margin accrues in the customer “account”, the customer relationship breaks even and eventually
turns to positive value for the University.
Whilst the creation of profit is not the primary consideration in many organisations, particularly in
non-commercial sectors, it is important for all organisations to understand the cost of doing
business verses the return for each major customer, and segments of smaller customers. This is
essential management information in order to make good decisions regarding the allocation of
resources and the prioritisation of initiatives such as customer retention. It is commonly found
that a small number of customers produce the majority of returns, and there are normally some
customers that remain unprofitable for the life of the relationship. This needs to be understood
and strategies developed to address these imbalances, as part of best practice relationship
management.
An example of the value segments for UEB donors is shown in the following table wherein donors
have been grouped into equal numbers and their total contribution per group calculated.
Table 8 - UEB Donor decile splits (2012)
Group
Decile %
No.
Donors
Cumm. Value
Decile Value
% of
Total
1
2
3
4
5
6
7
8
9
10
10
20
30
40
50
60
70
80
90
100
97
194
291
388
485
582
679
776
873
973
$5,386,222.06
$5,499,572.06
$5,542,382.06
$5,563,517.06
$5,575,564.06
$5,585,264.06
$5,594,964.06
$5,601,624.06
$5,606,424.06
$5,608,582.70
$5,386,222.06
$113,350.00
$42,810.00
$21,135.00
$12,047.00
$9,700.00
$9,700.00
$6,660.00
$4,800.00
$2,158.64
96%
2%
1%
<1%
<1%
<1%
<1%
<1%
<1%
<1%
Managing lifetime value (LTV) requires the University to develop an appropriate measure for LTV.
In its simplest form, LTV is the accrued margin from a customer or segment to date, plus the
projected future margin streams discounted to today’s dollars and taking into account the
probability of retention. Simpler models ignore customer costs, such as cost to serve and cost of
retention, and use revenue as a proxy for LTV.
It is recommended that UoA undertake an initiative to review LTV models and develop an
appropriate calculation for students, alumni, research partners and other customers. The model is
expected to show that customer value increases as the relationship develops; i.e. advocates are
worth more to the University than new arrivals. This information will then allow the University to
assess and develop business cases for initiatives that retain customers and develop relationships
with them.
CRM Strategy
University of Adelaide
Commercial in Confidence
7/02/2016
Page 53
Customer Lifecycle
Each customer category will have a distinct lifecycle, starting with initial contact with prospective
customers and culminating in the “ideal”, highest engagement, highest value state for this
particular customer category. The first stage of the lifecycle is typically prospective; i.e. customers
who have not yet chosen UoA. The final stage is typically loyal, advocate, long term committed
customers. Lifecycle models allow an organisation to place real customers into stages of the
relationship lifecycle, in order to then manage progression to higher stages.
The following lifecycle models for students and organisations are offered in this Strategy for
discussion. It is recommended that the actual models be developed at the University with the
involvement of cross-functional teams and potentially customers.
CRM Strategy
University of Adelaide
Commercial in Confidence
7/02/2016
Page 54
Segmentation Framework: Value (LTV, or value to the University)
Building on the discussion above regarding LTV, this provides one of the primary segmentation
frameworks for CRM. Recognising high value verses low value customers allows an organisation to
manage the cost of delivery to ensure that low value customers are not taking a disproportionate
share of resources; in other words are not being subsidised by other customers. Value-based
segmentation will allow the University to more explicitly manage effort; for example which schools
or research partners to focus on acquiring.
In organisational customer relationships, this will allow the University to identify “key” accounts
and invest higher levels of resource in developing account plans including mutual goals and
relationship development strategies for these.
Segmentation Framework: Needs (or value to the customer)
Different customers see value in different things. An international student would see more value
in English support services than a domestic student with English as a native language. Some
students value campus life more than others. Some alumni see value in attending events, whilst
others do not.
Customer Relationship Management recognises these differences and a primary objective of CRM
is to allow an organisation to tailor interactions with customers to focus on particular needs or
values. Customers soon learn whether newsletters contain articles of interest or not. Likewise, it is
important to not spend money and other resources on activities that customers do not see value
in.
CRM Strategy
University of Adelaide
Commercial in Confidence
7/02/2016
Page 55
It is recommended that the University conduct primary research to understand the needs-based
segmentation that is most suitable for key customer groups such as students, alumni and industry
partners.
Recommendation 3 – Prioritised Initiatives
It is recommended that the following initiatives be prioritised in the CRM Program. The following is
a starting point that should be reviewed and confirmed to align with business objectives and
funding during the early stages of the CRM Program. Note that some of these initiatives are
already funded and underway, others are proposed but not funded, and yet others are new
initiatives.











Prospect enquiry and contact management
Lead and pipeline management
Brand integrity
First year engagement
Service enquiry and contact management
“At risk” student detection and pro-active intervention
Alumni / supporter growth
Business development and opportunity management
Account management
Co-ordinated engagement and project management
Ongoing customer management
Recommended Approach
2013
2014
2015 and beyond
Assess the success of the
Hobsons program and
establish an ongoing program
to measure and evaluate
early engagement especially
for high risk segments.
Implement lead management
processes for student enquires.
Establish a customer management
council within the university
executive to oversee all customer
(student and Corporate) activities
including co-creation.
Recruit a program manager
for the CRM Program
Develop a common Account
Management methodology including
planning and reporting standards
Train key staff in Account
Management
Develop university wide standards for
contact policies, including overtargeting rules, notification protocols
and recording standards.
Implement customer save processes broaden the scope of “at-risk”
detection and intervention to other
customer segments including
corporate partners and donors.
CRM Strategy
University of Adelaide
Commercial in Confidence
Implement lead management
capabilities for industry / research
partnership opportunities
Develop the UoA Opportunity
Management methodology
Conduct a review of the UoA
brand and assess its alignment
with customer expectations and
perception, the Beacon of
Enlightenment and Customer
Value Proposition(s)
7/02/2016
Page 56
Recommendation 4 – Culture and Competency Development
The “people” work-stream focuses on developing the culture and competencies necessary to
enable people to support the CRM Strategy in their day-to-day operations. This recommendation
encompasses the following CRM Program critical success factors:



Staff involvement, objections and expectations
Skill development
Culture shift
Recommended Approach
2013
2014
2015 and beyond
Commence CRM education for
Steering Group and Project Team
Assess the cultural implications of,
and barriers to, customer
management within UoA
Ongoing rollout of CM
competency program
Engage HR to commence planning
for competency frameworks
Develop Education and
Communication plan
Build a clear definition of the
desired customer culture within
UoA.
Develop a CM competency matrix
for pilot group such as Student
Services
Ongoing Education Program
Competency framework
assessment and ongoing
refinement
CRM interim review focusing on
cultural and skill outcomes
Develop Competency Framework
for pilot group
Conduct gap analysis and
competency training
Update job descriptions and
performance measures
Review Competency Development
program and select next group.
Ongoing Education Program
Developing competency frameworks
The purpose of this work is to develop the customer management competencies that are required
to support the CRM strategy for all UoA staff on both a day-to-day and long term basis. This
includes the development of a strong customer culture. A comprehensive communication and
education plan that makes it easy for staff, suppliers and partners to understand what is expected
of them and why is central to this work.
This recommendation encompasses the following:
Develop a customer management competencies framework
Construct and maintain a consolidated matrix of all staff roles showing the customer management
competencies that are required and the level of achievement expected.
Educate then reward staff for positive customer management behaviour
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Develop and implement an education and communication program for all staff, so that staff
understand what positive behaviour looks like and what is expected of them in this regard. Once
this is done, implement the planned staff acknowledgement program with sufficient budget to
reward staff members who go “above and beyond” for customers (rewards can be symbolic /
recognition as well as financial). In particular provide flexibility in the program for rewards to be
presented so that managers reinforce staff doing the right thing.
Job descriptions & KPI’s
Put in place mechanisms to ensure staff are aware of expectations and reinforce this by updating
each staff member’s Job Description and associated KPIs. This is an important step to begin
achieving the required cultural change within the organisation.
Employee recruitment briefs, interview guides, performance appraisal processes will also need to
reflect these new attributes and allow assessment of cultural fit, skills and training gaps.
Recommendation 5 – Process Mapping and Refinement
The current processes at UoA are generally focused on administrative outcomes, often within a
specific business function or area. It is recommended that customer-critical processes be identified
and mapped, then assessed to determine the refinements necessary to support the goals of the
CRM Strategy.
This recommendation encompasses the following CRM Program opportunities:








Explicitly-designed student experience
Co-creation (CSF)
Consistency across departments
Consistency across channels
Organisational customer experience
Reduction in transactions / costs
Customer experience design and management (CSF)
Process standardisation (CSF)
Recommended Approach
2013
2014
2015 and beyond
Conduct process scoping and
prioritisation based on
completion of remaining
customer interaction diagrams
(CIDs)
Continue process refinement for
all Service and Enquiry related
processes.
Ongoing process refinement to
support CRM technology rollout
and or high priority/high
performance gap areas.
Conduct process refinement
workshops for core customer
related processes to support CRM
Technology selection.
Test refined processes with
student representatives and other
customers.
Develop internal process
refinement resources &
capabilities.
Identify Moments and of Truth
(MOT) for high priority customer
types or lifecycle stages.
CRM Strategy
University of Adelaide
Commercial in Confidence
Establish Customer Experience
working group and resources
Conduct MOT research using
focus groups
Design and implement changes to
selected customer experiences
based on MOT research.
Test and implement across all
channels.
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Process refinement
The business processes of most organisations develop over time, often in an unplanned way. The
implementation of CRM presents an opportunity to map, review and improve business processes,
particularly with respect to the ideal customer experience and desired customer outcomes.
It is recommended that the University identify and map key business processes, focusing on the
interactions between departments and with customers. This is best done using a “swim lane” or
cross-functional flow chart model. Processes should then be assessed in terms of the extent to
which they meet customer objectives, the elimination of unnecessary complexity (and resulting
shortening of process times) and alignment with the ideal customer experience. These revised
processes should then form the basis of the CRM implementation.
Customer experience design
Customer experiences accrue over time and ultimately influence important customer decisions
such as whether to stay or leave, and whether word of mouth is positive or negative. Customer
experience impact is particularly high during “moments of truth”; times of stress, high importance
or milestones in the relationship. In these cases, the experience is too important to be left to
chance.
Organisations that recognise this also recognise that customer experiences should therefore be
explicitly designed; in other words, what kind of experience do we want a customer to have during
this particular interaction or moment of truth? Do we want them to communicate their positive
experiences with family and friends, or is this an administrative step that we should manage with
an eye to cost alone?
It is recommended that the University undertake customer experience design work, with the
involvement of customers (co-creation) for all significant moments of truth. This will involve:
1. Developing journey maps to model the migration of customers from one stage of the
lifecycle to the next
2. Identifying moments of truth in these journey maps
3. Involving customers in setting goals for these moments of truth – what is the ideal
experience in the eyes of the customer?
4. Designing capabilities to allow the University to approach these ideals; skills, processes
and systems
5. Developing and implementing these capabilities, then monitoring success over time.
Recommendation 6 - CRM Systems and Information
The University’s current systems only satisfy a small number of the requirements of the CRM
Strategy. Current systems are typically administrative or, if they are supportive of customer
interaction or relationship management, are typically scoped within a small area. It is
recommended that the University select, configure, integrate and implement a University-wide
CRM system capability based on the “core with satellite” architecture. This will not, in the short
term, require migration of existing CRM systems or projects currently underway into a new
system. Each of these will be evaluated in a suitable timeframe to assess whether they should
remain stand-alone, be integrated with the central CRM to allow a virtual single view, or be
decommissioned and migrated into the central CRM.
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This recommendation encompasses the following CRM Program opportunities:





Single view of customer
Reduction in complexity / duplication
Automation / workflow
Information quality (CSF)
Customer analytics (CSF)
Recommended Approach
2013
2014
2015 and beyond
Conduct an evaluation and
selection for the Core University
CRM technology based on refined
processes and requirements.
Conduct a customer information
audit and prepare Customer
Information plan
Implement the following
capabilities:
Conduct an evaluation of existing
CRM projects and
implementations and confirm
recommendations for keep and
integrate / migrate and
decommission, and the
timeframes for these.
Implement the following
capabilities:






Enquiry and Contact
Management Pilot
(Student Services,
Professions, OFS)
Integration with
PeopleSoft
Enquiry & Contact
management rollout (HR,
Faculties, Int’l, Grad
Centre)
Case Management
(Student Services & HR)
Account Management
(ARI, UEB, OFS, Intl,
ECMS, IPAS & IMER)
Event Management for
Marketing & ARI





Enquiry & Contact
Management (Institutes)
Account Management
(Faculties, Institutes
rollout, PCE)
Integration with
RaisersEdge
Event management
Marketing Planning and
execution (Marketing,
OFS)
Ongoing Analytics development
Assess the suitability of the
existing BI/Analytics capability for
CM.
Commence development of
customer analytics.
Customer information
The success of any ongoing CRM program is dependent on the management of customer
information. Although PeopleSoft provides a central record of basic student contact details,
customer relationship information is managed on a departmental or personal basis in standalone
systems, spread-sheets or hard copy. Invariably this has resulted in customer information being
spread and duplicated throughout the University with no way to comprehensively manage
information quality and security. The challenge and opportunity for the University is to manage
customer information as an organisational rather than departmental or individual asset, wherein
customer information is valued and managed in a consistent manner just like any other strategic
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asset. The payoff for the University is the provision of a single and consolidated view of the
customer’s entire involvement with the University throughout the customer lifecycle, across all
departments and channels. It is recommended that the University:





Conduct an audit of all customer information to identify and assess the source, quality and
availability of customer information for all customer types across UoA.
Establish a program of regular audits that also includes an assessment of privacy and data
protection practices across all sources of customer data on a regular basis.
Use the results of the audit information to develop a Customer Information Plan (CIP) that
establishes priorities and actions to address information gaps and quality issues, such as
data cleansing and collection initiatives. This may involve the development of a master
data management program to establish the technologies and procedures for the ongoing
management of customer data.
Implement procedures that support all staff who have customer contact or handle
customer information to regularly validate existing customer information (i.e. check
address and phone number on all incoming calls) and extend customer information (e.g.
request email address, study or research interests etc.)
Encourage all staff who interact with customers or who work with customer information
to be passionate about customer information quality. Introduce incentives / sanctions
relating to information quality on the customer database for customer facing staff.
Customer analytics
Customer analytics is concerned with extracting and interpreting customer data to gain insights
into customer behaviours and attitudes and to understand the effectiveness of customer
management activities. The objective is to enhance the creation and delivery of value for both
customers and the University in a sustainable manner. Based upon a foundation of customer
information from a CRM platform, customer analytics often involves bringing together data from
external sources, such as external survey results, financial information (e.g. billing and payments)
and geo-demographic data with internal information to direct future customer management
strategies and tactics across all departments in the University. Customer Analytics helps
organisations answer questions such as:



Who are our most valuable customers?
What are the precursor behaviours or attributes of students that have a risk of leaving the
University?
What types of prospective students are most likely to respond to specific campaigns or
offers?
Customer Analytics is an essential component of the UoA CRM Program and will involve providing
access to, and leveraging, the existing Cognos/TMI Business Intelligence more broadly across the
University.
Recommendation 7 – Measurements
Management of new capabilities, such as Customer Relationship Management, requires the design
and implementation of new measures. It is recommended that the University develop measures to
allow ongoing monitoring of customer-critical functions including

retention at each stage of the lifecycle,
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




acquisition rates by segment,
customer lifetime value by segment and lifecycle stage,
attitudinal measures such as satisfaction and identification and
customer cost-to-serve, including acquisition costs
advocacy measures such as net promoter score.
This recommendation encompasses the following CRM Program opportunities:


Conversion rate
Positive student word of mouth leading to referral
Recommended Approach
2013
2014
2015 and beyond
Nil
Conduct performance measures
review and identify strategic
behavioural and attitudinal
measures
Commence development of
customer cost to serve measures
Define key READ measures for
each customer segment
Establish base line READ
measures
Design and implement remaining
performance measures in a
comprehensive customer
dashboard, including versions of
this dashboard for certain roles in
the University
Conduct decile analysis for donors
and research partners
Conduct pilot NPS / other
measures research
Monitor social media interactions
and confirm suitability of
measures
Behavioural measures
Behavioural measures will allow the University to monitor actual customer movements and
activities such as new customer acquisitions, acquisition rate per investment, retention rate
(particularly by value segment) and share of customer. Targets should encourage the acquisition
and retention of high LTV customers. An understanding of share of customer (how much of the
customer’s spend goes to UoA verses competitors) will allow the University to identify areas of
opportunity; i.e. where we have a low share of customer that can be increased.
This approach is a central theme in CM best practice and is known as READ (Retention, Efficiency,
Acquisition and Development). It is the key to managing customer value, retention and
profitability for all types of customers including individuals (students, donors) and organisations.
READ is most effective when applied to customer value bands or decile segments. Higher value
customer segments can be targeted to increase retention and development, to increase overall
value. Acquisition strategies can be designed to maximise the intake of high value segments, whilst
low value segments can be managed to reduce cost-to-serve, whilst still delivering a positive
customer experience and encouraging continued and extended engagement.
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Attitudinal measures
Attitudinal measures, such as satisfaction, willingness to recommend (advocacy), positive word-ofmouth expressed through social channels and intention to return are important advance indicators
of customer relationship success. These will allow the University to take management action to lift
attitudes, particularly with customers where we already have a high share, but wish to develop the
relationship to high level of advocacy.
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Business Case Overview
Approach
A preliminary business case for the UoA CRM Program has been developed using an estimate of
financial benefits, costs and a resultant return-on-investment based upon net present value1. The
high level elements of the of the business case are as follows:
Benefits
An estimate of financial benefits has been developed that comprises:



estimated revenue enhancement gains
expected operational efficiency improvements
the expected timing of realised gains
Revenue
READ (Retention, Efficiency, Acquisition, and Development) Analysis2 has been applied at the
faculty level for each major student type and for Donors & Alumni. Given limited data this analysis
was not performed for other customer revenue streams such as Industry, International or other
research partners. Improvement rates for Retention, Acquisition and Development have been
based on incremental improvement over the past 3 years actuals using experience and generic
benchmarks.
An example of a revenue enhancement opportunity is as follows:
“Revenue Lift - Improved Account Management and Opportunity Management practices and tools.
Improved understanding of customer interests and co-coordinated management across faculties
and divisions”
In developing the estimated value of this additional revenue, a margin of 5% has been used,
representing the stated operating margin or the University. This value may be understated;
however this is in keeping with the conservative approach taken.
A summary of the READ Analysis is provided in Appendix 6. The detailed worksheets are available
as spread-sheets provided separately to this report.
Cost Savings
Cost savings were estimated by quantifying efficiency gains arising from the elimination of nonvalue adding tasks or costs (error correction, manual reporting, double handling and
communication with other departments, etc.) and improvements in marketing effectiveness.
An example of a cost saving opportunity is as follows:
“Reduce manual information handling time through automation of information flow between UEB
and other departments, the elimination the need to manually transcribe customer and prospect
lists for marketing campaigns.”
1
Discount rate – 7%
2
READ Analysis models the effect of changes in Retention, Efficiency, Acquisition and Development for
different customer segments.
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“Reduction in the double handling of repeat enquiries through a common enquiry database.”
No attempt was made to assess the impact of improving cost-to-serve (CTS) per customer type as
base data is not currently available. Hence, there may be significant efficiency gains to be made in
addition to those developed in the business case.
Qualitative Findings
During the course of interviews and subsequent correspondence a number of specific areas of
benefit were identified. In many cases however, quantitative data was not available to determine
a sound estimate of financial benefit. Table 9 below provides a summary of these areas which
have not been specifically included in the financial analysis but which reinforce the business case
for CRM at UoA.
Table 9 Qualitative Findings
Opportunity
Type
Impact
Depts
Interview notes or feedback
Enquiry
Management
Student
satisfaction.
Student
Services
Improved
customer
experience and
engagement
Faculties
“This is a key for me. Consistency of information and advice to
students across the university, from the central areas and faculties
is the real benefit. Also better ways of channelling students
through to the best place for an answer the first time is key. I
would expect that interrogation of a system would demonstrate
where this was falling down and we would be able to improve
communication to students to target those areas.”
Reduction in
number enquiries
via Self Service
Student
Services
“I would hope we could reduce some areas such as directional
enquiries significantly, 70%, and IT maybe around 40%.”
Faculties
”The number of front counter enquiries in 2009 reduced by over
81% over this 7 week period, with a corresponding high rate of
searches in the knowledge base.."
HR
(Professions Use of RightNow background paper)
Grievance
Management
Reduction in
effort to manage
multiple instances
of duplicate
enquiries.
Student
Services
Reduction in
administration
effort
Student
Services
Faculties
HR
Faculties
HR
Marketing
Effectiveness
Improved list
management
processes
“.. benefit of CRM is primarily related to eliminating the
double/multiple handling of enquires, thereby freeing up time and
resources that would improve overall service levels.”
Faculties
Marketing
“….by their nature they are very manual. The value I see in a CRM
is around ease of tracking to ensure that appropriate timelines are
kept etc. The value here is that we have only 2 staff managing this
process and as numbers increase we need to find better ways of
coping with the work.”
“By having access to all registrations to the Research Tuesdays
event, it is anticipated there would be a saving of 2 hours of staff
time each month in data duplication”
UEB
Improvement in
“first preference”
rates
CRM Strategy
University of Adelaide
Marketing
OFS
“It is anticipated that continuing our engagement with
prospective students beyond first contact during the consideration
and preference stages would result in increased consideration of
the University of Adelaide’s programs. It would also provide a
more tailored service for students enquiring after they had
accepted a place at the University as part of the enrolment
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process.
Having a CRM to track the student lifecycle from initial contact
through to enrolment would enhance our ability to provide timely
and relevant advice to students and their influencers during the
decision making journey. This level of service is expected by our
prospective students and is currently being offered by our
competitors”
Improvement of
fulfilment quotas
for post graduate
courses
Marketing
Adelaide Grad
Centre
Faculties
Account
Management
Improved
conversion rates
from UG to
PG/HDR
Faculties
Improved
retention rates,
Faculties
Customer
satisfaction and
advocacy
HDR
ARI /
Research
Institutes
“prospective postgraduate students so it would be expected that
adopting a system to better manage these enquires would result in
higher conversion from enquiry to enrolment.
Our current enquiry management process for postgraduate
students is not consistent across the University so the adoption of
a formulated process would also be expected to increase
conversion from enquiry to enrolment. It would also lead to
efficiencies through recording the different University areas that
are approaching the same student to study different postgraduate
degrees”
“An ability to capture, track and close the loop on Post graduate
and HDR enquires would help us meet our recruitment targets.”
“…anticipate that improved relationship management practices
including the avoidance of either unco-ordinated approaches or
dysfunctional account management leading to account loss would
improve account retention. We have lost millions due to an
Account Management issue.”
“…our relationship with BHP has suffered due to a lack of an
agreed strategy for managing them across the uni...”
Improved share of
customer
Case
Management
Faculties
ARI /
Research
Institutes
“We never get knocked back on price and are often too eager to
accept the funds. Better account practices would help us obtain
more value from our funding opportunities...”
Research Funding
Performance
ARI /
Research
Institutes
“Improved understanding of customer needs will be vital to
improve our ability to attract funds in the next 4 years.”
Case processing
time
TAS/
Counselling/
Student
Services
“Access to up-to-date student information would halve the time
needed by the Student Advisors – it would also be extremely handy
when doing follow up checks on academic records and progress
etc. The dream would be if we could link (even if it is a good old
Hyperlinking to local e-filing) case note files to the CRM content
file.”
HR
Improved
capacity and
responsiveness
Improved
retentions
outcomes
Donor
Management
“Improved ability to leverage cross-discipline research capabilities
within the one account - rather than single point engagement”.
Improved major
donor Acquisition
and development
CRM Strategy
University of Adelaide
TAS/
Counselling/
Student
Services
HR
UEB
“It would open further capacity – especially if referral pathways to
us were more effective than they are at the moment and may
include Hobson’s or similar initiatives). I can see advantages to
produce better reporting on numbers. Ideally we would be able to
track cohort progress”
“I would anticipate a significant impact. We currently spend a lot
of time researching potential prospects and cultivating existing
ones to invest in new projects…. Researching an individual in detail
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Reduction in
research /
administrative
effort
is currently a very time consuming task and we only have one staff
member that has those skills.” “Having access to information that
is developed and built over time through a working
knowledge/existing relationship structure would enable us to more
quickly identify current relationships that exist with that prospect
within the University, preferences etc. It would also assist us with
strategizing and building targeted cases for support, in
consultation with key staff members and ensure that the
University has the right person asking for the right amount at the
right time.”
Achievement of
annual targets
UEB
“We have an official target set to double that amount (to $20m
per year) commencing 2014. The RE database is seen as a key
driver towards achieving that goal. If CRM was in place now,
providing that broader overview, I would feel more comfortable
about achieving that target …”
Assumptions and constraints
The realisation of benefits has been modelled to reflect the phased deployment of CRM capability
over time. Furthermore, the realisation of benefit for each phase of activity is not assumed to be
immediately achieved as it takes some time until staff skills and behaviours are fully developed,
business processes become embedded as “business as usual” and indeed customers respond to
the changes implemented.
The portion of total benefit realised per year in the model is shown in the following table.
% Realised
Year 1
Year 2
Year 3
Year 4
Year 5
30
50
80
100
100
Table 10 - Portion of Benefit realised per annum.
In addition to the above, the proportion of overall benefit included in the business case model has
been moderated to reflect that not all the opportunity may be achieved. The proportion of benefit
used is as follows:


Percentage of cost savings realised
Percentage of revenue benefits realised -
50%
75%
Program Costs
The cost schedule for the CRM program over the next five years is shown in Table 11 below. The
timing of expenditure is based on high level estimate of the implementation schedule; however
there will be scope to vary this dependent on the final implementation schedule.
The estimate of program costs is based upon:



Estimates provided by CRM technology vendors who responded to a Request for
Information (RFI) for the provision of CRM software and implementation services. Cost
figures will be subject to final negotiation with vendors.
Estimates of required Program management, Business Analysis resources.
Estimates of costs associated with providing backfill for UoA staff assigned to the
program team
CRM Strategy
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

An allowance for CRM consulting, education and Program Quality Assurance services
during the course of the proposed program
The application of general benchmarks for other elements of cost such as integration
and contingency.
Cost Schedule (Oracle)
Software Purchase
SW Maintenance
Hardware & Infrastructure
Integration
Vendor Estimate; Integration and Implementation
Implementation Contingency
CRM Consulting, Education
Project Management & BA
Travel and Sundry
Staff Backfill
Total Costs Per Year
Total Costs, Present Value
Cumulative Costs, Present Value
Year 0
$0
$0
$0
$0
$0
$0
$95,000
$75,000
$5,000
$37,500
$175,000
$175,000
$175,000
Year 1
$250,000
$62,500
$20,000
$100,000
$200,000
$75,000
$250,000
$270,000
$10,000
$292,000
$1,529,500
$1,529,500
$1,704,500
Year 2
$250,000
$125,000
$10,000
$100,000
$200,000
$75,000
$180,000
$270,000
$10,000
$292,000
$1,512,000
$1,413,084
$3,117,584
Year 3
$250,000
$187,500
$10,000
$100,000
$100,000
$50,000
$150,000
$270,000
$10,000
$292,000
$1,419,500
$1,239,846
$4,357,430
Year 4
$0
$187,500
$0
$50,000
$0
$12,500
$100,000
$150,000
$10,000
$146,000
$656,000
$535,491
$4,892,922
Year 5
$0
$187,500
$0
$0
$0
$0
$0
$0
$0
$0
$187,500
$143,043
$5,035,965
Table 11 - CRM Program Cost Schedule
It should be noted that all information in this business case is based on information provided by
the University, or best estimates based on experience where such information is not available. This
model represents a considered estimate of the benefits of CRM; however actual results will vary
from this model depending on the actions taken by the University during the course of the CRM
Program.
Summary and Return on Investment
Figure 7 summarises the overall business case and return on investment for the UoA CRM
Program.
University of Adelaide CRM Program Return on Investment Analysis
Benefit - Cost Summary
Year 0
2013
Total Bottom Line Benefits Per Year
Cumulative Benefits, Present Value
Weighted Average Total Costs Per Year
Cumulative Costs, Present Value
Net Cash Flow
Cumulative Net Present Value Cash Flow
0
$0
$175,000
$175,000
-$175,000
-$175,000
Internal Rate of Return
Net Present Value, 5 Years
Return on Investment, Present Value, 5 Years
Year 1
2014
$882,808
$882,808
$1,529,500
$1,704,500
-$646,692
-$821,692
Prepared by: Customer Connect Australia
Year 2
2015
$1,471,347
$2,257,899
$1,512,000
$3,117,584
-$40,653
-$859,685
Year 3
2016
$2,354,155
$4,314,109
$1,419,500
$4,357,430
$934,655
-$43,321
Year 4
2017
$2,942,694
$6,716,224
$656,000
$4,892,922
$2,286,694
$1,823,303
Year 5
2018
$2,942,694
$8,961,192
$187,500
$5,035,965
$2,755,194
$3,925,227
78%
$3,925,227
78%
Cumulative Net Present Value Cash Flow
$5,000,000
$4,000,000
$3,000,000
$2,000,000
$1,000,000
$0
Year 0
Year 1
Year 2
Year 3
Year 4
Year 5
-$1,000,000
-$2,000,000
Figure 7- CRM Program Return on Investment Summary
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Business Case Highlights
The projected business case for CRM at UoA is considerable especially if viewed over the long
term. The principal areas of benefit identified include:
Benefit
Estimated Value per
annum
Improvements in retention rates for students especially
undergraduates
$809K
Increasing the rate at which students elect to commit to further post
graduate study
$408K
Improved account and opportunity management performance to win a
greater share of research funding
$700K
Improved acquisition and retention of donors
$623K
Potential cost efficiencies related to Enquiry history, Case and
grievance management and administration
$342K
The overall cost of the CRM Program is estimated to be $5 million over five years whilst projected
cumulative benefits over the same period are estimated at $8.9 million.
This results in a Net Present Value of $3.9 million over five years using a conservative approach to
recognising benefit whilst assuming full absorption of costs.
This outcome is generally in line with other documented implementations of CRM. The payback
period for the program is approximately 36 months compared to an average of 15-24 months. This
reflects a conservative approach to the claimed benefits, lack of information and therefore
exclusion of some benefits, the not-for-profit nature of UoA’s operations, the diversity of the
program and the degree of organisational or cultural change that is required.
The full details of the business case model are provided in detail in Appendix 5.
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CRM Roadmap
Implementation Approach
The implementation of a University-wide CRM Program at UoA will require the following workstreams to be coordinated:
Governance; the implementation of the CRM strategy is dependent on a sustained executive level
commitment to the program. This is realised through:



a clear strategy that communicates the goals and objectives of the program; especially
how the program delivers value to the University and its customers
a governance structure that provides effective management oversight of the program
ongoing assessment of the performance of the program with respect to its effect on
customer outcomes.
People & Organisation; this work-stream is concerned with the development of staff
competencies, behaviours and the organisational culture necessary to execute new processes and
deliver the desired customer experiences. This work-stream is also concerned with managing the
transition to customer centred organisation. This often involves significant changes to job
functions, performance expectations and even organisational structures. This is achieved through
involvement in program activities, education programs, job descriptions and ongoing
communication.
Process; involves the design and implementation of cross-functional business processes and
customer experiences that focus primarily on the creation of value for customers in addition to
optimising operational efficiency. Process refinement and experience research and design are
central to this work-stream.
Technology; the technology work-stream is focused on the design and implementation of
supporting technologies, infrastructure and customer information management practices required
to:




Enable the desired customer processes and experiences to be delivered
Effectively support staff to deliver these experiences
Develop insight into customer needs and behaviours and
Measure customer outcomes
These work-streams are reflected in the recommendations described throughout this strategy
document. Work also needs to be supported using appropriate transition or change management
techniques and program management principles.
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Figure 8 - CRM Work Streams
Each project or initiative under the overall CRM Program structure will span one or more of these
work-streams simultaneously. For example, the Enquiry & Contact Management project will
require:






a project board to manage the implementation (governance)
a clear charter describing scope, schedule resources and expected outcomes
(governance)
the development of new customer management skills and understanding of CRM
concepts (people)
the design of key processes such as lead management, enquiry management, referrals
and escalation management (process) and
the selection of a core Customer Relationship Management system in which customer
information will be stored and effectively integrated with other core business systems
(technology)
the review of existing sources and quality of customer information and the
development of a plan to manage customer data as an institutional asset (technology)
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Methodology
The CRM Program at UoA should be guided by a proven methodology, such as the CRM Program
Cycle shown below. This approach focuses the activities of the program on the mutual exchange of
value between an organisation and its customers. The approach will ensure that the UoA CRM
Program addresses strategy, people, processes and technologies to deliver the expected business
outcomes.
Transition Management
Customer
Relationship
Value
b l i sh
Esta ation
und
. Fo
Ev
Per aluate
form
anc
e
Develop
Strategy
t
en s
em n
pl tio
Im olu
S
/
ify eer
c
e in
Sp e n g
Re
Project Management
Figure 9 - The CRM Program Cycle
Develop Strategy is conducted at the commencement of the CRM Program and is reviewed and
refined on completion of each phase of the Program. The other stages Establish Foundation,
Specify/Re-engineer, Implement Solutions and Evaluate Performance are repeated in each phase,
and are delivered through specific activities within each phase.
The key elements of each stage in the cycle are as follows:
Develop Strategy - A review of the UoA CRM Strategy will take place on completion of each phase,
to ensure the appropriate priorities and initiatives are in place for the next phase. The CRM
Program will be continuously monitored to allow response to changes to environment in which the
University operates, particularly relating to customer behaviours and/or opportunities that arise
during the course of the program,
Establish Foundation – Define the Charter for the specific phase including scope, schedule, budget
and other resource commitments. Establish or review the project team composition in accordance
with the program scope.
Specify / Re-engineer – According to the scope of the phase, map and subsequently refine
business processes that are in scope. Develop desired customer experiences to guide this process
refinement. Perform gap analysis between desired business processes and technology capabilities,
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organisational capabilities, data, policies & procedures and functional requirements. Document
and approve changes for implementation.
Implement Solutions – Build and test changes to technology, integration, organisation structures,
policy / procedures / processes, data needs and migration. Conduct appropriate training and
piloting for staff prior to final execution.
Evaluate Performance – Review achievement of phase, program and business objectives through
formal post implementation review. Support and embed new work practices, technologies and
customer processes. Adjust plans, approaches and resources for subsequent projects.
The following sections describe the key elements of the recommended approach for the UoA CRM
Program.
Governance
The success of the UoA CRM Program will largely rest on the ability of the leadership team to build
and sustain University-wide acceptance of the importance of developing and maintaining
relationships and delivering a consistent, co-ordinated and coherent experience for all its
customers. The ability of the executive to emphasise and persuade the often disparate faculties
and departments within the University, that this is in the best interests of the University as a
whole, rather than the individual interests of departments or faculties, is crucial to the success of
the Program.
CRM Program Governance is achieved through program structure, roles and management
documents.
Program Structure
The CRM Program Structure comprises



CRM Steering Group made up of the Executive Sponsor, senior University stakeholders,
and the CRM Program Director. This group is typically chaired by the Executive Sponsor.
Project Board representing the departments that are currently involved in the
implementation program at any point in time. The Project Board is made up of the Project
Business Owner, Project Manager, Senior Department Managers, the PMO and IT
management.
Individual Project Teams that are responsible for the implementation of specific initiatives.
The Project Team is led by a Business Owner and comprises of cross-functional team of
subject matter experts, a business analyst(s) that are supported by key business users and
IT specialists on an as required basis.
A suggested Program Governance and Implementation structure is shown below. The
roles and responsibilities for each group are described in the following section.
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Executive
Sponsor
Steering Group
External:
Consultancy & QA
Program Director
Project Board
CRM Vendor,
SI Partner
Ongoing
Project
Manager
Project Board
Business
Owner
Project
Manager
Project
Team 1
Business
Owner
Project
Team 2
Project Board
Project
Manager
Business
Owner
Project
Team 3
SME’s, Business Analyst
SME’s, Business Analyst
SME’s, Business Analyst
Key Users
Managers,
End users
Tech
specialists
Key Users
Managers,
End users
Tech
specialists
Key Users
Managers,
End users
Tech
specialist
Figure 10 - Program Governance Structure
Roles, Responsibilities and Staffing Levels
Executive Sponsor




Advocates CRM at all levels of the University especially at executive level
Maintains overall organisational commitment to the CRM Program in terms of funding and
resource commitment
Undertakes day-to-day actions that reinforce expected behaviours, such as regular key
customer meetings, cross departmental collaboration etc.
Ensures alignment of the program with the University’s overall strategic goals
 Accepts overall strategic leadership for the CRM Program.
Candidate: Prof. Pascale Quester - Deputy Vice-Chancellor & Vice-President Academic.
Steering Group




Ensures that the CRM strategy and resulting program of work is aligned with the Beacon of
Enlightenment and future direction of the University
Communicates senior management’s commitment to the CRM Program to all levels of the
university,
Monitors compliance with and involvement in the program, including decisions to
incorporate tactical or department-level initiatives in the overall program agenda
Identifies and authorises the commitment of appropriately skilled resources to support the
ongoing CRM program of work
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





Regularly reviews the progress and performance of the CRM Program against stated
objectives along with schedule, cost and quality targets
Reviews and approves changes to scope, timing or costs and approve as appropriate
Reviews and approves key policy, procedural and organisational change recommendations
made by the program team(s)
Ensures that the risks associated with the CRM program of work being effectively managed
Signs off major program milestones and deliverables, and
Resolves escalated issues that threaten the success of the CRM Program or individual
projects.
Candidates:
Prof. Pascale Quester - Deputy Vice-Chancellor & Vice-President Academic.
Mark Gregory – Chief Information Officer (Chair)
Prof. Denise Kirkpatrick – Pro Vice-Chancellor Student Experience
Prof. Richard Russell – Pro Vice-Chancellor Research Operations
Prof. Kent Anderson – Pro Vice-Chancellor International
Gary Martin – Executive Director DVC(A)
Dr. Ben Grindlay – Director Marketing and Strategic Communications
Tassi Georgiadis – Director Human Resources
Susanne Henry – Director Engagement Business Services
Dave Lamb – General Manager Student Services & Admin
Leah Hill – Faculty Executive Manager, Faculty of the Professions
Assoc. Prof David Munro – Associate Director, IT Strategy & Architecture
Program Director





Directs managers to deliver the outcomes of the CRM Program over time
Coordinates and manages other members of the Program Team
Assesses and refines the Program as needed
Communicates the strategic intent and importance of the CRM Program broadly
throughout the organisation
Acts as the implementation arm of the Steering Group
Candidate: TBD
Project Board
The execution of each CRM Program initiative or project will require a Project Board that is
responsible for the execution and co-ordination of the project over its lifecycle. Separate Project
boards will be formed for each project over the course of the CRM Program.
The Project Board is led by the Program Director and is comprised of the Business Owner, Project
Manager, senior managers representing the departments involved in the current project along
with senior representatives of key supporting functions such as TS and Human Resources. To
ensure adequate representation of the Faculty executive, nominated Deans and/or Associate
Deans representatives re recommended to participate on the Project Board.
Business Owner
The Business Owner has primary responsibility to ensure that the business requirements and
expected business outcomes are achieved. The Business Owner plays a critical role to ensure high
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levels of representation of and collaboration between the “end user departments” involved in the
project, and to ensure that other support functions such as IT, HR etc. are engaged with and
support the business users.
Project Manager
The Project Manager is responsible for the day to day coordination of project activities and
outcomes and compliance with agreed UoA project management practices,










Communicates Project status to all key stakeholders, including scope changes, time
conflicts and the quality of project deliverables.
Develops and maintains the project schedule
Monitors costs against budget and schedule compliance and manages variations
Supports and collaborates with the individual Departmental representatives and subject
matter experts
Co-ordinates the scheduling and delivery of appropriate supplier resources according to
the schedule.
maintain and update the Program Issues Log
Risk Management
Liaises between project team members on deadlines, deliverables and schedules,
Monitors, coordinates & reviews the completion of key project deliverables and
milestones with respect to timeliness and quality.
Escalate issues as required to the Program Director
Subject Matter Experts
Subject matter experts (SMEs) represent their nominated functional area for specific projects as
needed. These staff are typically seconded from the appropriate Campus, Faculty or Department
(Marketing, OFS etc.).
SMEs have the following responsibilities:












Represent the requirements for their business area
Align business requirements with CRM technical solutions,
Coordinate key users from their department to support the program,
Develop and/or review project deliverables, such as procedures, “as-is” and “to-be”
process definitions, procedures and policy change proposals, training materials, test plans,
specifications etc.
Coordinate the resolution of issues at the Faculty/Campus/Departmental level
Become the focal point for CRM expertise within the business area,
Develop domain expertise including best practice understanding for their assigned area
Establish and monitor best practice methodologies and standards for the delivery of
program outcomes and ongoing CRM activities
Manage and quality assure the production of CRM documentation for the business area
including policy, procedure and other usage documents
Support the delivery of end user training
Perform user acceptance testing
Act as an advocate of the program in their business area and help others to understand
what CRM really means for UofA
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Key Users
Provide on an as-needed basis, these people represent specific business practices and
requirements for a given area of specialisation.
Staffing levels
The execution of the CRM Program will require the dedicated allocation of UoA resources from the
respective business and technical disciplines. A cross–functional team must be maintained
throughout the Program to maintain the necessary collaboration and involvement of all sections of
the University. Specific personnel and loads may vary over the lifetime of the program based upon
the specific focus of the individual initiatives.
Time commitments will vary during the program, and need to be refined once each project team is
formed. An initial indication of the expected time commitments over the first year is as follows:
(please note, for discussion purposes, the following table is indicative only and requires further
analysis to confirm commitment levels)
Role
Steering Group
Program Director
Project Board
Project Manager
Subject Matter Experts
Business Owner
Other Project resources –
Key Users, Business Analyst, Functional Analyst,
Technical Specialists, Training
External Resources; Consultancy & QA, Systems
Integrator
Commitment
Meet bi-monthly, for approximately one hour.
Longer times may be required depending on issues.
Part time – 20%
Meet monthly, for approximately one hour. Longer
times may be required depending on issues.
Approx. 3 days/week for duration of the Program
Part time; 50% on average, with periods requiring
full time commitment during specific projects
Part-time approx. 20%
As required.
Costed into the business case
Table 12 - Estimated Resource Levels
Post Program Ongoing System Management
To ensure the full benefits of the investment made in the CRM program are realised over time, it is
recommended that at the formal completion of the program that a CRM Administration Team be
formed. This team will have overall responsibility for the on-going alignment of CRM to UoA’s
customer environment and to oversee the ongoing development, funding, support, utilisation and
value realisation of the CRM program over its lifetime.
Specifically, this team would:
Provide an oversight role of the broad utilisation of CRM technology within UoA

Develop priorities for subsequent or expanded deployment of CRM technology

Identify and manage the ongoing resourcing and funding needs for support, education and
system maintenance

Review and approve requests for additional functional capabilities and/or additional
licenses
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
Identify key areas of non-alignment and non-compliance and determine processes to
address

Review and assess requests for changes and enhancements and establish development
and implementation priorities

Monitor and make recommendations to address data management issues

Assess potential vendor-initiated system changes, such a upgrades and new releases, to
determine whether they have sufficient business to impact to justify deployment

Monitor overall system usage and effectiveness and initiate training or education
programs
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Implementation Plan
The implementation of CRM at UoA is expected to be built on the establishment of a CRM
foundation, followed by a series of initiatives. These initiatives or projects have been grouped into
logical phases that enable clear scope and control to be exercised throughout the Program. This
approach focuses on the regular delivery of manageable clusters of capability in the short term
(every 3-4 months) while supporting the development of a history of success for the Program in
the long term. It allows UoA to progressively build the competencies needed to effectively manage
customers while avoiding wholesale interruption of existing work practices and cultural norms
while protecting recent system investments.
The content and timing of phases will be based upon the prioritisation and grouping of several
initiatives. In developing these groupings, consideration will be given to each of the following
critical elements:










Alignment with the objectives and intent of the “Beacon of Enlightenment”
The degree to which departmental business ownership and support exists
the relative financial benefit of each initiative
the level of investment made in recent system implementations
the degree to which existing systems (if any) meet customer management requirements
the University’s ability to effectively manage the cultural transition for each initiative
risks such as degree of technical or process complexity
resource constraints
technology and integration dependencies and
dependencies between capabilities, initiatives or phases.
Phases
The CRM Program at UoA will comprise at least four phases over several years. Table 13
summarises the proposed elements of each phase of the Program until 2015.
A foundation phase (Phase 0) includes foundation work such as publication and socialisation of the
CRM Strategy, establishment of CRM Program Governance and Program Teams, CRM technology
evaluation and selection and initial CRM concepts education. A schedule of activities for this
phase has been prepared and is included as Appendix 7.
Phase 1 is concerned primarily with the implementation of Enquiry and Contact Management
(ECM) capabilities for Student Services and other departments where there is an immediate need
to replace existing systems. This phase is also concerned with developing a number of
fundamental customer relationship frameworks such Lifecycle Models, READ Measures and
crafting the UoA CVP.
A detailed Project Brief3 for these two phases has been has been prepared in anticipation of the
approval of the CRM Strategy. The brief provides details for the following key areas:


3
scope and deliverables
objectives
Project Brief - Enquiry and Contact Management (11/07/2013)
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



schedule
costs
resourcing
project and architecture risks
At the completion of the ECM Project a post implementation review will be conducted to ascertain
the success of that project and to review and decide on the priorities and timing of the next phase
of work.
As planned, Phase 2 continues the rollout of the phase 1 ECM initiatives to other departments and
faculties and commences the implementation of account management and case and event
management practices and capabilities. This phase also focuses on the implementation of
customer analytics especially in relation to READ analysis and establishing models that will direct
future customer experience activities. This phase involves the commencement of customer
experience research and design.
Phase 3 completes the operational roll-out of ECM, account, event and case management and
commences implementation of marketing automation and customer self-service capabilities.
The composition of future phases will be refined at a time closer to the commencement date of
each phase and will be documented as part of the Project Charter or Project Initiation Document
(PID).
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Table 13 - CRM Program Schedule / Phase Summary
Work stream
Phase 0
Foundation
Phase 1
Student Interactions/ECM
Aug 13 – Dec 13
* Finalise & publish the CRM Strategy
* Establish governance & project
teams
* Develop ECM Charter/QA plan
Jan – June 2014
* Develop the core UofA CVP
People &
Competencies
* Establish CRM Program
communications and Education plan
* Steering Group & Project team
CRM education
Process
*Scope & prioritise CRM processes
* Process refinement for CRM
Evaluation
* Develop competency framework
for ECM
* CRM Concepts Education Value Management, CVP
* Culture assessment & definition
* Process refinement including
testing for all ECM related processes
(Lead/Enquiry Mngt)
Technology & Data
* Evaluate and select foundation
CRM
Strategy
* Audit existing mini CRM systems
and projects
Customer
Measurement
* Analyse whole of University
Customer worth (donors and
organisational partners)
* Construct Customer Lifecycle
Models
* Enquiry & Contact Management
* Lead management
* P/Soft Integration
* Customer Data Audit & CIP
* Assess Cognos BI
Customer Analytics
* Design Customer READ Measures
* Review and finalise attitudinal
measures
* Conduct Decile Analysis
Phase 2
Institutional Partner Mngt and
Case Management
July - Dec 2014
* Test, refine & implement the core
UofA CVP
* Customer needs research
* Account Management Charter/QA
Plan
* Needs based customer segments
* Segment Level CVPs
* Competency framework for
Account Management / Case
Management / Marketing
* Account Management
methodology & education
* Process refinement for Account
Mngt/Case Mngt/Event Mngt
* Account Management
methodology
* Journey Mapping & MOT
identification
* Contact/Communications Strategy
* Customer “Save” process
* ECM rollout + implement
Account Management
Case Management
Event Management
* Ongoing Analytics development
* Implement READ measures
* Develop and implement LTV model
for organisational partners and
donors
* Attitudinal measures research
Phase 3
Extended Channels and
Marketing
2015
* Establish Customer Mngt Council
Refine Segment based CVPs
* Mktg & Self Service Charter/QA
Plan
* UoA Brand Review
* Competency Framework rollout
* Account level CVP competencies
* Customer Experience Working
Group
* Marketing process refinement
* Opportunity Mngt Methodology
* MOT Research and experience
design
* ECM Rollout
* Acct/Case/Event Mngt Rollout
* Customer Self Service
* Marketing Automation
* Raisers Edge Integration
* Cost to Serve Model
* Customer Dashboard
* Develop and implement LTV model
for students
CRM Technology Implementation Roadmap
Table 14 summarises the proposed implementation roadmap for CRM technology across the University’s departments and Faculties. It reflects
the outcome of the prioritisation workshop conducted during the July Steering Group review meeting, along with subsequent feedback and
analysis of other dependencies. Details of future phases will be developed on an ongoing basis by the Steering Group as part of regular and
ongoing review of the CRM Strategy during the course of the Program.
Table 14 - CRM Technology Implementation Roadmap
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Governance, Risk and Quality Assurance
Effective management of risk will be essential in order to pre-empt, eliminate or reduce the impact
of problems during the course of the CRM Program. A detailed risk management plan should be
developed once this strategy is approved.
The objective of any Risk Management approach is the identification, review and mitigation of
risks associated with this program. The specific focus of the plan will be to mitigate risk via
intervention at both preventive and corrective levels for each risk scenario throughout the course
of the project.
A suggested approach can be summarised as follows:
1. Establish a detailed risk scenario repository that can contain all known or anticipated risks
2. Classify each risk on the basis of its likelihood and impact and develop appropriate
mitigation strategies for all significant risks
3. From this repository, produce listings of risks/actions in a number of views that would be
relevant to all stakeholders
4. Formally review and annotate changes to the plan regularly through formal Risk
Management Review meetings. Record all changes to the plan, associated actions and a
record all review and status updates.
The risks associated with the implementation of CRM programs have been well researched. The
following table provides an overview of the typical risks and some specific risks that apply to UofA
along with a proposed mitigation approach.
Risk
Risk Mitigation
Business priority and or strategic
changes limit the commitment of
resources to fully complete the program
of work.
Clearly identify resource requirements and ensure these are
understood by departments, faculties and executive management.
If the required resources cannot be committed, re-schedule the
work so that a sustainable program of work can be achieved.
Funding and commitment to the CRM
Program is reduced or withdrawn prior
to completion of the Program.
Establish an agreed Program performance measurement
framework that encompasses both Project outcomes and
Customer outcomes
Regularly review these measures against an agreed baseline.
Focus resources on achieving success in the stages of the program
Resources are overloaded and are
therefore consistently unavailable for
key program workshops, education
sessions and other meetings.
Maintain a short term schedule that is communicated to all key
program staff. Establish an up-to date meetings calendar. Escalate
issues to the Program Director if conflicts or chronic nonparticipation occurs.
Risk
Risk Mitigation
The University does not address the
cultural or organisational change
requirements
Invest in education and communication programs that develop an
understanding of the fundamental concepts of customer
relationship management and imperatives for the university to
compete effectively
Ensure that senior leaders promote/advocate the CRM Program
regularly and to a broad audience.
External parties (vendors, consultants
etc.) are unable or unwilling to respond
quickly to requirements; activities,
subcontracted work or collaborative
workshops.
Ensure that the external parties are represented in all key planning
and business change decisions to ensure they have early visibility
of planned activities and participate in the development of
achievable plans.
CRM software (legacy, satellite or core)
is inadequate to meet business
requirements without modification.
Business and gap analysis approach whereby all software gaps are
assessed, prioritised and an appropriate course of action
authorised (change business process, change software, do nothing
etc.)
Budgetary allocations and processes
inhibit the availability of financial
resources for the program.
Obtain formal sign off of costs in the business case based on the
expected benefits of the program. This investment must be
committed to, and maintained through strong executive
sponsorship. The Steering Group will resolve any ongoing resource
issues.
Departmental activities take priority
over overall University-wide / CRM
objectives.
Establish regular Steering Group, Project Board and Project Team
meetings in order to monitor issues.
Maintain balanced representation comprised of staff from all
relevant departments and faculties.
Clearly define required resources and time commitments in
project plans.
Where appropriate provide backfill resources / funding to ensure
key resources are available for CRM program activities.
Historic practices, lack of buy-in or skill
limitations result in the University
realising less than 100% user uptake for
the core CRM solution.
Ensure first release of CRM “wins” provides a compelling reason
for use.
Involve broad cross-section of users throughout the project.
Develop support mechanisms to provide re-assurance for staff that
the system is working.
Provide regular communications prior to live operation to promote
understanding and establish appropriate expectations.
Historic decentralised approach to
business practices and information
mean that a core CRM, including
standardised information structures and
processes, will be hard to achieve.
CRM Strategy
University of Adelaide
Engage a cross section of users in key activities such as workshops
to engender ownership of planned changes.
Select positive, “quick win” areas to demonstrate the benefits of
CRM to a wider audience.
Allow for specialised areas, with specialised requirements, in a
design of loosely confederated satellite systems.
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Risk
Risk Mitigation
Develop and deliver CRM education workshops.
Use experienced outside resources, in a controlled way so as not
to endanger ownership, to augment and “QA” the project
Limited acceptance, understanding of
and experience with CRM.
Ensure the objective is skill transfer so that the University becomes
self-sufficient.
Scope extension; gradual increases in
scope over time, or compression of
resources or timeframes to achieve the
desired scope
Ongoing scope management as part of the Steering Group and
Program Team.
Extensions to agreed scope require approval and will always be
accompanied by commensurate increases in resources or
lengthening of timeframes.
The CRM program may be considered
primarily as a technical or IT program
rather than a holistic business
transformation program.
Ensure regular and extensive business involvement in all aspects of
the program, particularly in governance, the Steering Group and
Program Team.
Adopt a co-creation approach where all aspects of the solution are
developed in a collaborative way.
Existing customer information is
fragmented; it will take some time to get
data quality.
Invest resources in documenting, gathering, and consolidating
customer data in advance of foundation implementation
(Customer information plan).
Adopt a formal, systematic approach to data migration from legacy
systems.
Potential for system design to be
focussed on internal efficiency; design
does not enhance the customer’s
experience with the University.
Map and review all significant business processes including
addressing the customer perspective and ideal experience.
Conduct customer research and / or other on-going involvement in
co-creation of into the system design. Proactively seek customer
feedback during all phases of the Program.
Systems development processes may fail
to adequately represent the business
requirements.
Ensure specifications are thorough and are signed off by business
users.
Co-operative development (rapid / joint development workshops)
will be used where possible to develop solutions in a collaborative,
rather than serial, way.
Ensure all systems (IT, processes and competencies) are
acceptance tested for a wide range of success and fail scenarios.
Integration requirements between
systems / middleware requirements are
significant.
Ensure sufficient time is allowed for the design, configuration and
testing of interfaces and middleware functions.
Allocate specific responsibility and resources for managing
integration (initial build and ongoing maintenance).
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Appendix 1 – Interviewees
Interviewee
Position
Julius Schaffer
Date
Scope of Interview
15/4/13
Planning for CRM Strategy
David Munro
Associate Director IT
Strategy and Architecture
15/4/13
IT Strategy and CRM
David Lamb
General Manager, Student
Services and
Administration
16/4/13
Student Services and Administration
Virginia Deegan
Director Infrastructure
16/4/13
CRM across the University. Goals of the
strategy.
Leah Hill,
Catherine Cherry
Executive Manager,
Professions.
Online Marketing
Manager
Institute Managers
29/4/13
Professions Faculty and CRM
29/4/13
Research Institutes and CRM
Iain Reid
Executive Dean
29/4/13
Roseworthy Campus / remote campuses
Richard Russell
PVC Research Operations
30/4/13
Higher Degrees by Research
Ben Grindlay,
Anita Berry, Jane
Johnston
Director, Senior Marketing
Managers
30/4/13
Marketing and Communications
Paul Duldig and
Jonathan Pheasant
Vice President, Services
and Resources, Director.
30/4/13
Services and Resources
Gary Martin
Executive Director,
Strategy and Planning
6/5/13
Division of the DVC&VP(Academic)
Denise Kirkpatrick
PVC Student Experience
6/5/13
Student Experience and CRM
Kiri Hagenus
Director, OFS
7/5/13
Office of Future Students
Kent Anderson
PVC International
7/5/13
International students
Sue Henry, Kim
Harvery, Paul Finn,
Joe Bennink
Director,
Engagement
Business Services University
Engagement
8/5/13
University Engagement Branch
Ian Thomson, Sue
Ciccarello, Hedley
Reberger
Manager, Hub Central /
AskAdelaide
8/5/13
Student Services
Daniel McHolm
Director, Planning and
Performance Reporting
Measurement and planning
Marianne Lewis
Patricia Anderson
Colleen Lewis
Transition and Advisory
International Student
Centre
Counselling and Disability
Managing Director
Specialised Student Services
Piers Lincoln,
Jordan Parham
Robert Chalmers,
CRM Strategy
University of Adelaide
6/5/2013
ARI – Contract Research and consulting
Commercial in Confidence
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Page 86
Roxanne Jansen
Relationship Dev. Manager
Renee Hakendorf
Marketing Manager
Iain Reid
Executive Dean –
Roseworthy Campus
Jo Simpson
Acting
Director,
Professional
and
Continuing Education
24/4/2103
Raelene Wildy
Leah Panakera
Prof. Andrew Low
Faculty Manager
Manager Student Services
Chair in Plant
Conservation Biology
8/5/2013
15/5/2013
Research and Academics
Prof. Bob Hill
Executive Dean, Faculty of
Sciences
15/5/2013
Science Faculty, Recruitment innovation
27/5/13
Customer Interaction Diagrams for Current
Student, Prospective Student, Donor /
Alumni and Organisational Customer
Various workshop
participants
Ian Willis
Chris Schapel
Tassi Georgiadis
Gerard Buttfield
Carroll DeVizio
Sasha MacGillvray
Kendra Backstrom
CRM Strategy
University of Adelaide
Acting Assoc Director
Technology Services
Service Desk Team Leader
Director, Human
Resources
External Campus
Professional & Continuing Education
Science Faculty
Information and Technology Services
6/5/2013
Human Resources
28/5/13
Student eExperience project
Senior HR Managers
Program Director
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7/02/2016
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Appendix 2 – Source Documents
Document
Request for Proposal – CRM
Strategy
CRM Strategy Project Brief
Stakeholders table
Proposal for Provision of CRM
Strategy
CRM – Student Lifecycle 04
CRM Needs of Researcher Groups
Customer Segmentation 04
HR Service Centre Business
Improvement Assessment
HR Service Centre – CRM
Requirements
Service Excellence HDR Report
Application Interfaces Diagram
Business Process Model V2.3
CRM TOR
CRM notes BG
Customer Relationship
Management 02
Customer Segmentation –
Technology Services
Customer Segmentation –
UniCRM
Issues Management Business Case
V1-2
Lifecycle (Development and
Alumni Program)
Student eExperience Business
Architecture
Student eExperience Initiative
Briefs
Stakeholders – CRM – Student 01
Beacon of Enlightenment
SeE Program Student Expectations
Infrastructure Strategy V2
HR Systems Roadmap v0-11
FCP Business Requirements V1.01
CRM Strategy
University of Adelaide
Content
Objective, scope, deliverables, evaluation criteria and supplier
information for CRM Strategy work
Project background, objectives, outcomes, scope, organisation,
timeframes, and acceptance criteria. CRM systems.
List of stakeholders, roles and interview dates from 2012
Scope of work, milestones, investment, assumption and constraints
Lifecycle from future (prospective) student, through to alumni
Discussion paper; background, stakeholders by institute
Segments (lifecycle stages of students, faculties, partners, research
orgs, and internal depts.)
Current systems and service issues; problem statements, potential
solutions, priority areas, next steps
Background, key requirements, options
Recommendations and plans to increase HDR admissions and
completions. Covers current situation, stats / facts and actions.
Core business systems (HR, campus community, student admin,
finance) and interfaced apps
Lifecycle from prospect to alumni; university functions, services,
processes, departments and channels
CRM steering Group terms of reference; objectives, approach, scope,
meeting plans, governance
Why does UoA need CRM? Expected outcomes? Strategic alignment?
Diagram of potential uses, platforms, types of systems
Service desk; request tracking and incident tracking
Lead generation, prospects, undergrads, postgrads, third parties
HR Issue Mgmt Solution. Project definition, options, risks,
recommendations
Alumni lifecycle including recruitment, enrolment, scholarships,
graduations, events, donors, bequests
Scope, business architecture, process model and architecture,
business capabilities. Gaps, key benefits and outcomes.
40 initiatives, with aim, capabilities to be built, assumptions,
approach, benefits, risks
Exec sponsors, faculties, departments and people
UoA Strategic Plan 2013-2023. Vision, challenges, opportunities,
Program details, student expectations by area (admissions,
enrolments, learning, graduation, alumni etc.)
Strategy for facilities and technology 2013 – 2017. Design and
assessment principles
Strategy to automate services, key principles, required technical
capabilities, estimates and timeline
Fundraising Capability Project; scope, charter, processes, issues,
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ImFC Business Case v2.0 Approved
UoA SEi Consolidated Nov20
Program for implementation of
RN v1 4
Professions Usage of RightNow
Memo_Audit of the RightNow
System
Learning Hub ICT Project
Execution Plan CRM Ver 1 2
Estimated costs for 2012
Optimising External Engagements
External Engagement (ppt)
Keynote – Kift
Interview notes, Research
Smarter engagement final report
Disrupting College
CRM Terms of Reference
Transition and Advisory Services
Overview
Professional and Continuing
Education Achievements
Student Business Architecture
Student E-Experience Strategy
Fundraising Capability6 Project
University Sectoral Benchmark
Performance Report
Education Portfolio Performance
Report
CRM Development Plan for
Services to Students
Recommendations and Plans to
Increase HDR Admissions and
Completions
CRM Strategy
University of Adelaide
requirements, future state and gap analysis
Fundraising Capability Project business case
Service experience index research report
CRM development plan for services to students; Ask Adelaide
Usage statistics, business benefits, comparison before and after
Recommendation for a review and freeze
CRM execution plan for Hub; scope, objectives, deliverables (not
proceeded with)
AsktheProf and AskAdelaide Rightnow and staffing costs
Multidisciplinary engagement networks
Optimising external relationships
Coordinated approaches to the student first-year-experience;
“everybody’s business”.
Interview with Richard Russell, Anne Witt and Sarah Walsh, 10 Apr
2012
Recommendations for better community and business engagement
arising from leadership working group
Disruptive innovation in higher education; remove barriers, focus on
quality, go beyond just the degree, value research, use the right
business model
Objectives, approach, scope, ToR and administration
Contacts, services, events
Programs, achievements and priorities
Student business process model, levels 0 and 1
Strategy Document – Business Architecture, Technical architecture
Business Case for improving the fundraising capability in the UEB
2012 Report on University KPI’s. Benchmark against Go8 and
National Sector
2012 Report on Education – KPIs for UofA and faculties
AskAdelaide project brief
Action plan for HDR Admissions & Completions
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7/02/2016
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Appendix 3 - Defining Customer Relationship Management
Every organisation that engages in the provision of products and services has customers. In a
broad sense, UoA customers can include prospective students, current students, alumni, donors,
funding bodies, agents and other industry and government partners. In all cases, the ongoing
success of UoA will depend on continued engagement with these entities; they all provide revenue
and a “reason for being”.
An individual customer may progress over time from one customer role to another, for example a
student becoming an alumnus, or a corporate donor becoming a joint venture partner. These
represent different stages in the lifecycle of the customer relationship. Some customers may hold
multiple roles at the one time, for example a student who is also a donor, an alumnus and a key
decision-maker in a funding body.
A key tenet of Customer Relationship Management is to recognise and respect the customer as an
individual, over his or her lifetime. This requires organisational memory of the customer’s history,
and consideration of the relationship in all activities. Over-targeting of customers for marketing
communications, requiring customers to re-state information they have provided in the past, and
giving customers different answers from different departments are all quite damaging to the
relationship.
Organisational customers require a higher level of sophistication in managing the relationship,
compared to individual people. Organisations may contain thousands of people, with varying
degrees of interest and influence in the relationship with UoA. Organisation decision-making is
typically more structured, and requires management of opportunities over extended periods of
time.
Why must UoA actively manage these customer relationships? The answer is customer choice and
customer value. As with many other service industries such as banking and telecommunications,
customers are more informed, empowered and demanding than ever before. Customers expect
more than just a product or service – they expect it to be delivered in a certain way. The customer
experience is therefore a significant driver of customer attitudes, behaviours and ultimately
organisation success.
Customers are costly to acquire; they consume time and resource for many months before
returning margin. This is the case for prospective students, prospective donors and potential
funding grants – in all cases, these customers are “in the red” from the start. In some sectors it
takes two years for an average customer to return positive value.
Focusing primarily on acquisition without regard to retention or share of customer, therefore, is a
limited, risky business proposition. Customers who stay over time, however, return sustained
revenues and therefore higher levels of profitability. For this reason, CRM focuses on acquiring the
right customers, managing the relationship over time to retain the most valuable customers, and
even growing their level of engagement – all whilst monitoring cost-to-serve to ensure positive
customer lifetime value. Furthermore, word-of-mouth can multiply the positive effects of loyal
customers over time.
Customer Relationship Management is not just about streamlining processes, implementing
systems or designing a positive customer experience. CRM is about business performance, driven
by a focus on customers, their experiences, and their lifetime value. This is best summarised in the
following two definitions of CRM:
CRM Strategy
University of Adelaide
Commercial in Confidence
7/02/2016
Page 90
“CRM is a business strategy that maximizes profitability, revenue and customer satisfaction by
organizing around customer segments, fostering behaviour that satisfies customers, and
implementing customer-centric processes”4
“CRM is the core business strategy that integrates internal processes and functions, and external
networks, to create and deliver value to targeted customers at a profit. It is grounded on high
quality customer-related data and enabled by information technology.”5
There are several CRM models that can be applied at UoA. One of these models, known as
CMAT™6, is a comprehensive model that describes the eleven key competency areas of customer
management. This model has been developed and implemented in over 800 CRM assessments in
over 20 countries over the last 10 years. Most importantly, it illustrates the overall functional
scope of CRM:

Strategy and Stewardship

Understanding Customers

Planning the Activity (including Segmentation)

Customer Propositions

Customer Channels

Customer Experience
o
Day to day experience
o
Building customer value

Measurement

People and Organisation

Customer Information (including CRM Systems)

Working in the Wider Context
The CMAT™ model reflects these competencies as a flow of operational activities enabled by
employee competencies & supporting infrastructure. It illustrates the important, yet enabling role
of CRM systems and customer information management.
4
http://www.destinationcrm.com/articles/default.asp?ArticleID=5460. Accessed 29 November 2005. This
definition is attributed to Gartner Inc. (www.gartner.com)
5
Buttle, Francis (2008). Customer relationship management: concepts and technologies. Oxford: Elsevier
Butterworth-Heinemann
6
CMAT™ - Customer Management Assessment Tool by QCi Ltd U.K.
CRM Strategy
University of Adelaide
Commercial in Confidence
7/02/2016
Page 91
Appendix 4 – Details of Customer-Related Systems
The following table describes the principal enterprise applications that are in use at the university
to manage customer interactions. Although some of the applications have the capability to
manage customer relationships, their primary current usage is concerned with managing
administrative functions.
System
Category
Used For
Notes
PeopleSoft
Admin
Student Administration,
Finance and HR Payroll across
UofA
(Incl. expenses, travel, asset
management & treasury)
PeopleSoft is an enterprise
application with historic CRM
capabilities. It is part of the
Oracle suite of CRM products but
significant functional or technical
enhancement has been limited for
some time.
RightNow
CRM
Rightnow was used in the
Faculty of Professions to
provide a self-service
knowledgebase
Rightnow is a hosted CRM
solution with quite broad CRM
capabilities. The “Software as a
Service” licensing costs can result
in unsatisfactory medium to long
term Total Cost of Ownership
(TCO).
Epicor
Admin +
CRM
Management of student
enquiries by Student Services
This is a legacy system that has
limited CRM capability.
RaisersEdge
/ iModules
Admin
Fundraising, alumni and donor
management.
RE is a dedicated donor
management solution that
provides elements of CRM, but
does not provide sufficient
capabilities for use outside this
specialised area.
(under development)
Sage ACT
CRM
Contact management for
members and collaborators Institute of Photonics and
Advanced Sensing
Sage ACT is primarily a contact
management/sales management
application well suited to small to
medium enterprises. It has limited
enterprise CRM capability
LanDesk
Admin
Used by IT Services (and to a
limited extent by HR) for
service Request Management
Specialised Help Desk / Service
Request application. Being
replaced by Cherwell during Q3&4
of 2013.
Business
Intelligence
(BI)
Admin
Cognos BI/TMI using Oracle
Warehouse Builder
This is an enterprise BI platform
capable of supporting future
customer analytics requirements
TRIM
eStudent
Admin /
Document
Electronic student files, central
administration only
CRM Strategy
University of Adelaide
Commercial in Confidence
7/02/2016
Page 92
File
Mngt
Penelope
Case
Used by TAS & Counselling
Management Services to record interactions
with students and manage
their case load
Inteum
Admin
Used by ARI as a repository of
partner contacts, tenders and
commercial agreements
Continuity
Admin
Used by P&CE for managing
leads, enquiries, online
enrolment and payment
processing for individual
students
CRM Strategy
University of Adelaide
Commercial in Confidence
Inteum is a specialised application
and managing all facets of
technology portfolio management
such as IP and contracts
7/02/2016
Page 93
Appendix 5 – Business Case Details
University of Adelaide CRM Program Return on Investment Analysis
Benefit - Cost Summary
Year 0
2013
Total Bottom Line Benefits Per Year
Cumulative Benefits, Present Value
Weighted Average Total Costs Per Year
Cumulative Costs, Present Value
Net Cash Flow
Cumulative Net Present Value Cash Flow
0
$0
$175,000
$175,000
-$175,000
-$175,000
Internal Rate of Return
Net Present Value, 5 Years
Return on Investment, Present Value, 5 Years
Year 1
2014
$882,808
$882,808
$1,529,500
$1,704,500
-$646,692
-$821,692
Prepared by: Customer Connect Australia
Year 2
2015
$1,471,347
$2,257,899
$1,512,000
$3,117,584
-$40,653
-$859,685
Year 3
2016
$2,354,155
$4,314,109
$1,419,500
$4,357,430
$934,655
-$43,321
Year 4
2017
$2,942,694
$6,716,224
$656,000
$4,892,922
$2,286,694
$1,823,303
Year 5
2018
$2,942,694
$8,961,192
$187,500
$5,035,965
$2,755,194
$3,925,227
78%
$3,925,227
78%
Cumulative Net Present Value Cash Flow
$5,000,000
$4,000,000
$3,000,000
$2,000,000
$1,000,000
$0
Year 0
Year 1
Year 2
Year 3
Year 4
Year 5
-$1,000,000
-$2,000,000
Business Case Summary
Benefit Analysis
Percent Benefit Achieved Per Year
Business Area
Marketing
Type
Cost Benefit
Revenue Benefit
Cost Benefit
Revenue Benefit
Cost Benefit
Revenue Benefit
Account Management
Service & Case Management
Realised Benefit
per year
$176,150
$167,109
$307,813
$1,881,655
$409,968
$0
Total Cost Benefits Per Year
Total Revenue Benefits Per Year
Total Benefits Per Year
Total Benefits, Present Value
Cumulative Benefits, Present Value
$893,931
$2,048,764
$2,942,694
Benefits by Area by Year
$3,500,000
Service & Case Management
Revenue Benefit
30%
50%
80%
100%
100%
100%
100%
100%
Year 1
$52,845
$50,133
$92,344
$564,496
$122,990
$0
Year 2
$88,075
$83,554
$153,906
$940,827
$204,984
$0
Year 3
$140,920
$133,687
$246,250
$1,505,324
$327,974
$0
Year 4
$176,150
$167,109
$307,813
$1,881,655
$409,968
$0
Year 5
$176,150
$167,109
$307,813
$1,881,655
$409,968
$0
Year 6
$176,150
$167,109
$307,813
$1,881,655
$409,968
$0
Year 7
$176,150
$167,109
$307,813
$1,881,655
$409,968
$0
Year 8
$176,150
$167,109
$307,813
$1,881,655
$409,968
$0
$268,179
$614,629
$882,808
$882,808
$882,808
$446,965
$1,024,382
$1,471,347
$1,375,091
$2,257,899
$715,144
$1,639,011
$2,354,155
$2,056,210
$4,314,109
$893,931
$2,048,764
$2,942,694
$2,402,115
$6,716,224
Annual Benefits by Initiative
$2,500,000
Enquiry & Case Management
Service & Case Management
Cost Benef it
$2,000,000
Aaccount Management
Revenue Benefit
$1,500,000
$1,500,000
Account Management Cost
Benefit
$1,000,000
$1,000,000
Marketing Revenue Benefit
$3,000,000
$2,500,000
$2,000,000
Analytics & Performance
Measures
Account Management
Marketing Automation
$500,000
$500,000
$0
Year 1
$893,931
$893,931
$893,931
$893,931
$2,048,764 $2,048,764 $2,048,764 $2,048,764
$2,942,694 $2,942,694 $2,942,694 $2,942,694
$2,244,967 $2,098,100 $1,960,841 $1,832,562
$8,961,192 $11,059,292 $13,020,133 $14,852,695
Customer Knowledgebase
Marketing Cost Benefit
Year 2
Year 3
Year 4
Year 5
$-
Cost Benefit
Revenue Benefit
Benefits Summary
CRM Strategy
University of Adelaide
Commercial in Confidence
7/02/2016
Page 94
Cost Analysis
Cost Schedule (Oracle)
Software Purchase
SW Maintenance
Hardware & Infrastructure
Integration
Vendor Estimate; Integration and Implementation
Implementation Contingency
CRM Consulting, Education
Project Management & BA
Travel and Sundry
Staff Backfill
Total Costs Per Year
Total Costs, Present Value
Cumulative Costs, Present Value
Average weighting factor
Year 0
$0
$0
$0
$0
$0
$0
$95,000
$75,000
$5,000
$37,500
$175,000
$175,000
$175,000
Year 1
$250,000
$62,500
$20,000
$100,000
$200,000
$75,000
$250,000
$270,000
$10,000
$292,000
$1,529,500
$1,529,500
$1,704,500
100%
Year 2
$250,000
$125,000
$10,000
$100,000
$200,000
$75,000
$180,000
$270,000
$10,000
$292,000
$1,512,000
$1,413,084
$3,117,584
Year 3
$250,000
$187,500
$10,000
$100,000
$100,000
$50,000
$150,000
$270,000
$10,000
$292,000
$1,419,500
$1,239,846
$4,357,430
Year 4
$0
$187,500
$0
$50,000
$0
$12,500
$100,000
$150,000
$10,000
$146,000
$656,000
$535,491
$4,892,922
Year 5
$0
$187,500
$0
$0
$0
$0
$0
$0
$0
$0
$187,500
$143,043
$5,035,965
Vendor Comparison over 5 Years
Vendor Comparison Year 1
$3,000,000
$1,400,000
$1,200,000
$2,500,000
$1,000,000
Contingency
$800,000
Contingency
$2,000,000
Implementation
$600,000
Maintenance
$400,000
Software
Implementation
$1,500,000
Maintenance
$1,000,000
Software
$500,000
$200,000
$0
$0
RightNow
PeopleSoft
RightNow
Option 1 Cost Estimates (RightNow)
Software Purchase
SW Maintenance
Hardware & Infrastructure
Integration
Vendor Estimate; Integration and Implementation
Implementation Contingency
CRM Consulting, Education
Program Management & Business Analysis
Travel and Sundry
Total Costs Per Year
Total Costs, Present Value
Cumulative Costs, Present Value
Year 0
Option 2 Cost Estimates (PeopleSoft)
Software Purchase
SW Maintenance
Hardware & Infrastructure
Integration
Vendor Estimate; Integration and Implementation
Implementation Contingency
CRM Consulting, Education
Program Management & Business Analysis
Travel and Sundry
Total Costs Per Year
Total Costs, Present Value
Cumulative Costs, Present Value
Year 0
$0
$0
$0
$0
$0
$0
$95,000
$75,000
$5,000
$175,000
$175,000
$175,000
$0
$0
$0
$0
$0
$0
$95,000
$75,000
$5,000
$175,000
$175,000
$175,000
Year 1
$270,000
$0
$0
$100,000
$200,000
$50,000
$180,000
$270,000
$10,000
$1,080,000
$1,080,000
$1,080,000
Year 1
$850,000
$188,000
$20,000
$100,000
$200,000
$50,000
$180,000
$270,000
$10,000
$1,868,000
$1,868,000
$1,868,000
Year 2
$320,000
$0
$0
$100,000
$200,000
$50,000
$180,000
$270,000
$10,000
$1,130,000
$1,056,075
$2,136,075
Year 2
$0
$188,000
$20,000
$100,000
$200,000
$50,000
$180,000
$270,000
$10,000
$1,018,000
$951,402
$2,819,402
Year 3
$390,000
$0
$0
$100,000
$100,000
$25,000
$180,000
$270,000
$10,000
$1,075,000
$938,947
$3,075,021
Year 3
$0
$188,000
$20,000
$100,000
$100,000
$25,000
$180,000
$270,000
$10,000
$893,000
$779,981
$3,599,383
PeopleSoft
Year 4
$390,000
$0
$0
$50,000
$0
$0
$100,000
$150,000
$10,000
$700,000
$571,409
$3,646,430
Year 4
$0
$188,000
$0
$50,000
$0
$0
$100,000
$150,000
$10,000
$498,000
$406,516
$4,005,899
Year 5
$390,000
$0
$0
$0
$0
$0
$0
$0
$0
$390,000
$297,529
$3,943,959
Year 5
$0
$188,000
$0
$0
$0
$0
$0
$0
$0
$188,000
$143,424
$4,149,323
Cost Analysis
CRM Strategy
University of Adelaide
Commercial in Confidence
7/02/2016
Page 95
Marketing (incl. OFS, ARI, UEB &
Faculties)
Proportion of time accounted for
Initiative / Opportunity
Customer Knowledgebase
Proportion of time spent filing, managing and retrieving
paper-based customer information. Proportion of time spent
transcribing customer data, creating and maintaining
spreadsheets or stand-alone databases
Proportion of time spent correcting errors due to manual
data handling
30%
Time
Factor
No of people
Average Salary $
20
80,000
On cost
People Cost $
25%
2,000,000
Estimated
Opportunity
5% $
100,000
5% $
100,000
Rationale
Reduce manual information handling time
through automation of info flow between
departments, removal of duplication, and
ease of retrieval. Remove data transcription,
stand-alone electronic documents and
databases
Removal of transcription and duplication will
remove the opportunity for handling errors
REALISED $
TOTAL $
5% $
$
Margin Lift - Student Acquisition - driven by marketing
spend; increase effectiveness through more specific
targeting
$
Margin Lift - Donor Acquisition - increase campaign
effectiveness through more specific targeting
$
Automate marketing communications using
workflow and shared data, centralised list
generation and common campaign/event
100,000 calendar
Reduce cost of marketing campaigns through
improved and co-coordinated leverage of low823,000 cost channels (email, web, mail)
Better targeting to receptive customer
segments will reduce "noise" and increase the
effect of the message, improving enquiry
74,409 conversion rate.
Improved targeting and relevancy of message
and call to taction as a result of improved
customer knowledge and segment
148,403 identification
Account Management
20% $
20,000
80% $
80,000
$
162,300
Proportion of time spent performing analysis using manual
or stand-alone tools
10% $
200,000
Centralised, cross-channel analytics will
streamline access to information, and
accelerate the learning process
100,000
Integrated contact centre capability and
complaints management will allow more
efficient handling and recording of customer
communications
Enquiry & Contact Management
Proportion of time spent in manual telephone and email
handling with customers and other divisions and faculties
5% $
167,109
222,812
80% $
80,000
10% $
82,300
$
222,812
100.0%
$
74,409
100.0%
$
148,403
$
Analytics & Performance Measures
$
$
Estimated
Margin
Improvement Cost Saving Enhancement
$ 100,000 $
-
Marketing Automation
Proportion of time spent communicating with other
departments/faculties via telephone, email, list validation
etc.
Total marketing spend on campaigns, across multiple
channels without visibility and /or co-ordination across
departments and faculties
176,150
352,300
-
$
60,000
30% $
60,000
$
30,000
30% $
30,000
$
$
-
$
-
$
-
Marketing Benefits Detail Worksheet
CRM Strategy
University of Adelaide
Commercial in Confidence
7/02/2016
Page 96
Account Management
No of people
50
Average Salary $
Proportion of time accounted for
Initiative / Opportunity
Customer Knowledgebase
Proportion of time spent filing, managing and
retrieving paper-based customer information
Proportion of time spent transcribing
customer information, creating and
maintaining spreadsheets or stand-alone
databases
Proportion of time researching current and
prospective donors and research partners
Proportion of time spent manually managing
contact details (addresses, relationships,
contact records)
On cost
People Cost $
33%
Time
Factor
100,000
Estimated
Opportunity
25%
6,250,000
Rationale
Reduce manual information handling time
through automation of info flow between
departments, removal of duplication, removal
of paperwork, and ease of retrieval
5% $
312,500
5% $
312,500 electronic documents and databases
Remove data transcription, stand-alone
10% $
625,000
5% $
312,500
Availability of broader customer information
(such as interests, behaviours, preferences,
Customer Lifetime Value)
A central and accessible Customer
knowledgebase capability will provide
customer contact details quickly, removing the
need for manual work-around.
REALISED $
TOTAL $
Proportion of time spent communicating with
marketing via email or telephone
1% $
20% $
62,500
20% $
62,500
50% $
312,500
20% $
62,500
$
15,625
25% $
15,625
Account Management
$
Revenue Lift, Development (per READ Table)
$
Revenue Lift, Retention (per READ Table)
$
Revenue Lift, Development Donors & Alumni
(per READ table)
$
Revenue Lift, Retention - Donors and Alumni
(per READ table)
$
Revenue Lift - Industry Research Funding
$
408,077
Increased access and openness to customer
contact management initiatives based on
higher levels of satisfaction and differentiation
on service, resulting in higher % of students
electing to extend studies
Segment or customer specific plans, activities
and campaigns aimed at ensuring high
relevance, engagement and satisfaction with
existing students. Improved consistency of
interactions and improved sensing capabilities
to recognise and manage at risk students
808,528 (such as complaints management)
Improved understanding of customer
perceived value and worth, allowing more
focussed relationship development to deliver
116,702 growth in share of customer
Segment or customer specific plans, activities
and campaigns aimed at ensuring high
relevance, engagement and satisfaction with
existing alumni and donors. Improved
consistency of interactions and improved
sensing capabilities to recognise and manage
at risk donors (such as complaints
475,567 management)
Improved Account Management and
Opportunity Management practices and tools.
Improved understanding of customer interests
and co-coordinated management across
35,000,000 faculties and divisions
Analytics & Performance Measures
Proportion of time spent performing analysis
using manual or stand-alone tools
5% $
312,500
Centralised, cross-channel analytics will
streamline access to information, and
accelerate the learning process
125,000
Integrated contact centre capability and
complaints management will allow more
efficient handling and recording of customer
communications
Enquiry & Contact Management
Proportion of time spent in telephone and
email handling with customers
2% $
$ 1,881,655
$ 2,508,873
Estimated
Margin
Improvement Cost Saving Enhancement
$
500,000 $
-
Marketing Automation
Automate marketing communications using
workflow and shared data, centralised list
generation and common campaign/event
62,500 calendar
307,813
615,625
-
$
-
$ 2,508,873
100.0%
$
408,077
100.0%
$
808,528
100.0%
$
116,702
100.0%
$
475,567
2.0%
$
700,000
$
62,500
20% $
62,500
$
37,500
30% $
37,500
$
-
$
-
Account and Contact Management Benefits Detail Worksheet
CRM Strategy
University of Adelaide
Commercial in Confidence
7/02/2016
Page 97
Service Management
Proportion of time accounted for
Initiative / Opportunity
Customer Knowledgebase
Proportion of time spent filing, managing and retrieving
paper-based customer information
Proportion of time spent transcribing customer information,
creating and maintaining spreadsheets or stand-alone
databases
Proportion of time spent correcting errors due to manual
data handling
Proportion of time spent communicating with other UofA
staff via telephone, email, etc.
Proportion of time spent managing complex/bespoke
enquiries
No of people
Average Salary $
78
60,000
On cost
People Cost $
20%
5,616,000
42%
Time
Factor
Estimated
Opportunity
5% $
280,800
Rationale
Reduce manual information handling time
through automation of info flow between
departments, removal of duplication, and
ease of retrieval
2% $
112,320
2% $
112,320
5% $
280,800
10% $
561,600
Remove data transcription, stand-alone
electronic documents and databases
Removal of transcription and duplication will
remove the opportunity for handling errors
Automate referrals using workflow and shared
data
A central repository for enquiry details and
history will reduce the handling
time/occurrence of duplicates enquiries.
280,800
Centralised, cross-channel analytics will
streamline access to information, and
accelerate the learning process
Analytics & Performance Measures
Proportion of time spent performing analysis using manual
or stand-alone tools
5% $
Enquiry & Contact Management
Proportion of time spent managing repeat or duplicate
enquiries
5% $
Reduction in administration effort for Grievances
1% $
Reduction in Case administration Effort
2% $
Proportion of time spent managing standard enquiries
5% $
Enquiry history records will allow consistent
and effective repsonses to re[peate enquiries
280,800 regardless of channel.
Improved case management tools would
improve grievance handling time and admin
28,080 effort
Integrated student info would halve research
112,320 and admin time
Provision of self-service capabilities will reduce
280,800 contact centre load
REALISED $
TOTAL $
409,968
819,936
$
$
-
Estimated
Margin
Improvement Cost Saving Enhancement
$ 393,120 $
-
50% $
140,400
50% $
56,160
50% $
56,160
30% $
84,240
10% $
56,160
$
84,240
30% $
84,240
$
342,576
50% $
140,400
20% $
5,616
50% $
56,160
50% $
140,400
$
-
$
-
Service Management Worksheet
CRM Strategy
University of Adelaide
Commercial in Confidence
7/02/2016
Page 98
Appendix 6 – READ Analysis
UofA READ Summary
Domestic Undergraduate (CGS)
O/S Fee Paying Undergraduate
Domestic PG by Coursework (CGS)
O/S Fee Paying PG by Coursework
HDR
Aust Fee Paying Undergraduate
Fee Paying PG by Coursework
Donors & Alumni
Total
Current
Revenue
Retention Acquition Development
Total
Margin Nett Contribution
$245,466,167 $10,597,186 $390,289
$5,802,254 $16,789,729
5%
$839,486
$56,774,708 $2,569,946 $567,747
$1,703,241 $4,840,934
5%
$242,047
$12,186,709
$210,786
$64,543
$121,867
$397,196
5%
$19,860
$41,237,270 $1,890,692 $195,423
$412,373 $2,498,487
5%
$124,924
$38,930,017
$700,740
$91,542
$0
$792,282
5%
$39,614
$794,936
$13,133
$283
$14,982
$28,398
5%
$1,420
$10,681,738
$188,067
$29,941
$106,817
$324,826
5%
$16,241
$5,608,583
$475,567 $148,403
$116,702
$740,672
90%
$666,605
$411,680,128 $16,646,117 $1,488,171
$8,278,236 $26,412,524
$1,950,198
Appendix 7 – Phase 0 Schedule
Customer Relationship Management Strategy
7/02/2016
Commercial in Confidence
Page 100