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How does having a "silo problem" within an organization affect CRM/ Social CRM efforts?

Many companies have a silo problem, meaning, their departments tend to be incapable of information sharing and working well with one another. How can a silos affect CRM/ social CRM efforts? Is this the ultimate problem to fix prior to implementing a technology solution?

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Mitch Lieberman
Vice President of Marketing, Sword Ciboodle
Posted on Aug. 17, 2011

There are two parts to this problem/answer. There is the information people share and then there is the information systems share. Both are equally culpable in causing issues, both internally, but more importantly with and for customers.

First, the people problem. The old adage of information is power is still alive and well. If I am in department A, you are in department B and I know something you don't I perceive that I have more value than you. In an age where budgets are scrutinized each month, quarter and year, I want the budget and we might be fighting for it. I am not saying this is right, I am saying this is wrong and solution is to make sure that where the two departments meet organizationally (hopefully below the CEO!) has made it clear to the teams that they are all on the same team

Second, the data problem. Data silos means the companies struggle to paint a full and complete picture of the customer journey. The fabled 360 degree view of the customer is not possible (I am talking from an analytical perspective). From an operational perspective, you do not need 360 degrees, you need the 45 degrees which is relevant at that point in time (right information to the right person at the right time). If the Contact Center does not know that I sent an email, posted on Facebook and Tweeted my concerns at the time that I have become frustrated enough to pick up the phone - we are going to have a problem.

My $.02

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M Scott Schaffernoth
M Scott Schaffernoth Replied on Aug. 18, 2011

From an operational perspective, you do not need 360 degrees, you need the 45 degrees which is relevant at that point in time (right information to the right person at the right time).
If the Contact Center does not know that I sent an email, posted on Facebook and Tweeted my concerns at the time that I have become frustrated enough to pick up the phone - we are going to have a problem.

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M Scott Schaffernoth
M Scott Schaffernoth Replied on Aug. 18, 2011

Not sure what happened to my whole response above, but what I said is that you put it well Mitch.

While the organization should likely have a 360 view of the customer, any one person only needed the portion of that pie that allows them to effectively fulfill their client facing responsibilities...

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Nick poulos
Problem Solver, chrysalis marketing
Posted on Aug. 17, 2011
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Mitch, thanks for getting this started!
my $0.02: Siloes might better be called "Sillies".
People, Process, and Data are the foundational pieces, the core and lifeblood, of sustainable, productive eCRM/CEM- which is a fancy way of abbreviating Customer Knowledge Management .
Rather than try to summarize, let me say the 2 works that form the locus classicus for this question are Frank Cespedes, Concurrent Marketing and Rummler-Brache's work on "white space" "Improving Performance". I have used both as foundational in all my work and with tremendous success. Frank's metaphor, "the marketing gearbox" beautifully conceptualizes the successes that come when siloes disappear or are torn down: cooperation and coordination across and between functional areas. That, even tho each functional area by its own effort will strive to optimize itself at the diminishment of others. Rummler-brache never cease to remind me that process cuts across and is not top-down; and, that there inevitably are things that fall through the cracks, into the white space of being ignored, overlooked, forgotten, etc.
hope my $0.02 will help us add up to a full dollar by end of day.
best
nick

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Caty Kobe
Caty Kobe Replied on Aug. 17, 2011

Thanks Nick!

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Nick poulos
Problem Solver, chrysalis marketing
Posted on Aug. 17, 2011
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my pleasure, Caty

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