Value Creation in Customer Relationship Management on Consultation Management in Saudi Arabia - Dissertation Example

The intent of creating valuable relationships with consumers is a given factor when dealing with business. Due to the inevitable fact that more players are joining the business industry, the concept of customer loyalty is gradually diminishing (Payne & Frow 2004; Knox, Maklan, Payne, Peppard & Ryals 2003). Such conditions influence the need to formulate new methods and strategies that would help an organization to succeed amongst competitors and earn the trust and loyalty of their consumers through the provision of tailored products and services (Payne & Frow 2005; Webster 2002; Ravald & Gronroos 1996).

The intense competition among organizations to acquire consumers led to the concentration on the implementation of CRM frameworks. The need to implement CRM systems has resulted in aggressive investments from business organizations, although it remains uncertain whether such efforts are equivalent to the projected business prospects. In reality, firms that delved into investing in CRM programs have encountered a variety of results (Webster 2002; Ravald & Gronroos 1996). Most cases were disappointing as there are organizations that were not able to amass business value from the costly CRM schemes due to the difficulty they encountered in the management of modifications in the organization that is necessitated by the implementation of the CRM initiatives.

In spite of the difficulty that organizations would encounter upon its implementation, the advantages of utilizing CRM systems are increased consumer satisfaction and the retention of consumers (Wilson 2006; Payne & Frow 2004; Knox et. al 2003). The purpose of this study is to investigate the impact of customer relationship management on the local management consultancy industry in Saudi Arabia. Within the study, different dimensions of the marketing aspects that influence CRM will be investigated as well.1.2.

Research AimTo investigate the effect of Value Creation in CRM on the local management consultancy industry for finding consultation opportunities within the private sector in Saudi Arabia. At present, there are hardly any available literature or studies concerning CRM in Saudi Arabia, focusing on the consultancy industry. The study will contribute to the literature by examining relationship marketing constructs within the context of the CRM system, particularly focusing on value creation in Saudi Arabia's consultancy industry.1.3.

Research ObjectivesObjective 1: To determine if a company’s competitive stance is significantly correlated with satisfaction and attitudes with the use of management consultancy services. Objective 2: To determine if a company’s frequency of use and experience with management consultancy services is significantly correlated with satisfaction and attitudes with the use of such services.Objective 3: To ascertain the extent to which the added value of management consultancy services influences satisfaction and attitudes with the use of such services.1.4.

Significance of the Study The study is expected to allow management consulting organizations to respond better to the needs of their customers has resulted in greater emphasis being placed on this than ever before.