Customer Relationship Management Strategy Executive Director’s Management Team 8 th May 2014

1. Customer Relationship Management StrategyExecutive Director’s Management Team8th May 2014

2. Purpose & Agenda • Why a CRM Strategy? • Objectives • Framework • Opportunities • Culture change • Discussion Build awareness of the CRM Strategy and explore what it means to you and to this leadership team

3. Heightened global competition and market Competition for students nationally Digital transformation Reduced government funding Increase in consumer choice and career readiness focus Increasing government intervention

4. The University deals with customers according to a single role at a point in time, fractured by function and/or Faculty PROSPECTIVE STUDENT INTERACTION A new approach is needed to provide a single view of the customer and enable customised interactions that deliver mutual value

5. Objectives of the CRM Strategy • Engage and serve customers based on deep understanding, respect and mutual value • Attract, retain and develop relationships through improved management practices • Develop CRM capability across the University through strategy, structures, skills, processes, information and systems to enable: • Better adaptation to changing environment • Tailor student experience to meet individual needs, recognising diversity • Leave those with whom the University interacts with a positive and enduring experience • Engage with organisational customers in a professional and integrated way • Build brand equity, improve advocacy and greater customer value

6. CRM Framework: Customer Lifecycle University of Adelaide

7. CRM Framework: Customer Lifecycle

8. CRM Framework: Needs Based Segmentation • Focus on value to customer • Recognise that customers see value in different things • Define customer groups to focus on their needs and values • Develop and test value propositions for customers and segments • Customise interaction to maximise value Students

9. CRM Framework: Lifetime value (LTV) • Focus on value to the University • Customer value increases as the relationship develops • Understand the “cost of doing business” versus the return for each customer/customer segment • Use this information to make good decisions, prioritise initiatives and allocate resources • Measure and manage LTV for different customers and customer segments • Allows proportional investment of resources to customer value

10. 26 Areas of Opportunity

11. 26 Areas of Opportunity

12. Culture Change FROM Activity focus Point in time service excellence Act within span of control Inside-out thinking Treat customers the same TO Outcome focus Proactively create value over time Shared ownership across boundaries Outside-in thinking Treat customers differently based on need and value

13. Questions & Comments?

15. Discussion To what extent will we progress the CRM Strategy through our current performance objectives and plans? Are there opportunities to extend and/or better align what we are doing with this strategy? What opportunity do you see for this leadership team to drive change? University of Adelaide