Chapter 11
Building a Customer-centric Organization-Customer Relationship
Management
Multiple Choice Questions
1. CRM allows an organization to accomplish all of the following, except:
A) Provide better customer service
B) Make call centers more efficient
C) Complicate marketing and sales processes
D) Help sales staff close deals faster
Answer: C Level: Easy Page: 114
Response: CRM allows an organization to simplify marketing and sales processes.
2. What is the top CRM business driver?
A) Inventory control
B) Increase revenues
C) Competitive advantage
D) Automation/productivity/efficiency
Answer: D Level: Medium Page: 115
Response: Automation/productivity/efficiency is the top CRM business driver.
3. Which of the following is not one of the CRM business drivers?
A) Inventory control
B) Increase revenues
C) Define information needs and flows
D) Automation/productivity/efficiency
Answer: C Level: Medium Page: 115
Response: Define information needs and flows is not a CRM business driver, it is a CRM success factor.
4. What is operational CRM?
A) Supports traditional transactional processing
B) Supports day-to-day front-office operations
C) Supports operations that deal directly with the customers
D) All of the above
Answer: D Level: Easy Page: 115
Response: This is the definition of operational CRM.
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5. What supports back-office operations and strategic analysis and includes all systems that do not deal
directly with the customers?
A) Analytical CRM
B) Operational CRM
C) Personalization
D) All of the above
Answer: A Level: Easy Page: 115
Response: This is the definition of analytical CRM.
6. Analytical CRM tools can slice-and-dice customer information to create made-to-order views of:
A) Customer value
B) Customer spending
C) Customer product affinities
D) All of the above
Answer: D Level: Medium Page: 116
Response: Analytical CRM tools can slice-and-dice customer information to create made-to-order views
of customer value, spending, product affinities, percentile profiles, and segmentations.
7. What can analytical CRM modeling tools discover?
A) Identify opportunities for expanding customer relationships
B) Identify opportunities for cross-selling
C) Identify opportunities for up-selling
D) All of the above
Answer: D Level: Medium Page: 116
Response: Analytical CRM modeling tools can identify opportunities for cross-selling, up-selling, and
expanding customer relationships.
8. What occurs when a Web site can know enough about a person's likes and dislikes that it can fashion
offers that are more likely to appeal to that person?
A) Operational CRM
B) Analytical CRM
C) Personalization
D) None of the above
Answer: C Level: Easy Page: 116
Response: This is the definition of personalization.
9. What is the first CRM industry best practice?
A) Define information needs and flows
B) Build an integrated view of the customer
C) Clearly communicate the CRM strategy
D) Implement in iterations
Answer: C Level: Hard Page: 117
Response: Clearly communicate the CRM strategy is the first CRM industry best practice.
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Test Bank, Chapter 11
10. Which of the following is not a CRM industry best practice?
A) Define information needs and flows
B) Build an integrated view of the customer
C) Provide better customer service
D) Implement in iterations
Answer: C Level: Hard Page: 117
Response: Provide better customer service is what CRM allows an organization to accomplish, not a
CRM industry best practice.
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