Three Type of Dynamics CRM System Failures and How to Correct

Three Type of Dynamics CRM System Failures (and How to Correct)

12/10/2021

There are three types of Microsoft Dynamics CRM failures that I have encountered:

Complete CRM Failure
CRM Doesn’t Meet Expectations
CRM has untapped potential

Notice what I didn’t mention – Picking the wrong CRM system.

Very seldom does a Dynamics 365 CRM project fail because the wrong CRM software was selected. Especially when that software is Microsoft Dynamics 365, one of the most modern and versatile CRM solutions on the market today. The problem I see most often is that Dynamics CRM has been implemented as a technology project and not as a change management effort.

Organizations spend a disproportionate amount of their time evaluating different CRM software applications when they should be putting equal or greater weight on the background and skills of their Dynamics CRM implementation partner. Pick a partner that understands that deploying a CRM system is 80% about the behaviors that you wish to reinforce or changes that must be made, and not about how great the technology might be, the 20% of a project. This issue also is relevant if you purchased Dynamics 365 directly from Microsoft and follow their path on how “easy it is” to get started, turning the project over to your IT manager or MSP.

Implementing a CRM system is not an IT project and as such should be owned by a business area, such as sales, marketing or service. However, the sales group might not be the best choice to drive a CRM deployment. Their interest may be too narrow to recognize the value the tool has across the entire organization. Attention to data quality, customer segmentation, and lead management are key elements that should not be overlooked

A complete CRM failure is recognizable when the CRM team never gets the system into full production, or CRM Users revolt and refuse to follow procedures. The User Acceptance Testing is not stringent enough to really engage users in working through their daily SOPs. Or users view CRM as additional workload item and not as a replacement of existing processes.

CRM Doesn’t Meet Expectations
I find that when Dynamics 365 doesn’t meet expectations it most often is because expectations were not communicated in terms that are measurable. Stating a goal such as Change the culture of sharing customer/prospect information, is not measurable as stated alone. It needs to qualified by how your success will be measured in the first 120-days. Adding the following will underscore the valve that is expected: Dynamics is seen as the primary repository for all customer / prospect contact data and base demographics as evidenced by all mangers utilizing and maintaining. Or - Dynamics will replace individual Outlook folders as the place to record emails and correspondence so everyone can be on the same page with the relationship.

Other signs include sales and service processes seen as even more cumbersome than before deployment; or managers still don’t have full visibility through a dashboard into an account manager’s sales pipeline; or you still don’t have a 360-degree view of everyone who is engaging with a customer. If six months after going live with Dynamics CRM you can’t easily list off value that was expected from implementing a CRM system than you know that there is a problem.

CRM has untapped potential
To get the full value out of Dynamics CRM your deployment must be seed not as one-time event, but rather as the first step in a maturity process. You expect to grow the organization and Dynamics should growth with you as a tool that continues to deliver measurable benefits as your sales, marketing and service change and processes mature. Potential areas to consider include:

Integrating data with accounting, ERP or other line-of-business software
Expanding mobile capabilities to make it easier to communicate
Making is easier for clients to do business with you through a portal connected to Dynamics
Using better workflows for smoother approval and collaboration processes
Breaking down data collection bottlenecks with simple to use PowerApps

The point to remember is that Dynamics is a solid platform that you build upon and grow with.

How To Get Started
If you’ve seen any of these warning signs in your organization, then reach out. Let’s have a free conversation about the current state of your Dynamics CRM and what you desire as the future state.

Use the links below to either learn more or set a time to chat.