Oct 26, 2022 – Here’s a way to take your existing customer relationship management (CRM) data to the next level: incorporate contact information into your organization’s CRM and inform the people who have the biggest impact on your business goals, according to Global Insights. Company BoardEx in a new report. When that information is available with the company’s CRM, it shortens the time it takes to close the deal.
“Success comes from the strength of relationships, connecting you to the ecosystem beyond your current networks,” BoardEx said. “Employees can create network effects to unlock additional value from their companies. The collective power of companies’ business relationships encourages greater internal collaboration between teams and expands the network’s reach into the marketplace.”
We may operate digitally in the marketplace, but people, relationships and networks still drive business. “Identifying key decision makers for your products and services can be a lengthy and costly process when relying solely on a CRM system,” BoardEx said. “Accurate, relevant, and up-to-date communication information can help organizations make decisions that produce exceptional results. The strength of relationships helps determine the quality of those results, but the stronger the relationship between two people, the greater the potential for success.”
Brand building
Data in a CRM system contains a specific set of relationships based on the standard company’s existing relationships. The accuracy of that data depends on regular updates of various business priorities from the business development, sales and marketing teams. “Other data limitations include the repeated use of the same communication pools for business development activities and campaigns,” the Board X report said. If not tracked, more than 30 percent of contact information becomes outdated each year. In short, engaging, acquiring and retaining customers becomes difficult because a CRM system tells you what you already know.
Research also tells us that nothing is more effective at getting people in the door than referrals and warm leads: For 84 percent of B2B decision makers, the buying cycle starts with a referral, BoardEx said. Referrals are 30% more likely to convert compared to non-referrals. And referrals result in 37 percent higher retention rates compared to non-referrals.
Communication intelligence
Organizations can enrich their CRM data with contact information from external sources. “These external sources can uncover referral and onboarding opportunities and become the source of your next big case,” the report said. “With the amount of information in the public domain, how can organizations use this information to manage relational capital and expand their networks?”
“Relational capital is the collective network of all the professional relationships of employees in the organization,” said BoardEx. “These can be connections with board members, customers, partners and suppliers, as well as your alumni, former employees and influential people in industries.”
Opening value
Relationship information enables organizations to assess the value of relationship capital. By mapping business relationships, organizations can analyze and identify the most powerful way to connect with influencers and decision makers critical to success.
“As a recruiter, I can add my connections to my company’s network to maximize value and increase the intelligence of the relationship,” BoardEx said. “This creates a network effect to reveal more actionable connections.”
The impact on data executive search
As HR management strategies change to meet the talent needs of the 21st century, HR leaders and executive recruiters are using new tools and analytics to adapt their strategies and address changing trends. Anyone tasked with choosing a new leader knows they have a tough job ahead of them. But what has changed in the last few years is how using data and analytics can reduce the risk associated with bringing someone new on board – at every career level. There is great information behind it. Ready-made analytics has now caused a seismic shift in how companies operate, go to market, track employee performance, and take the guesswork out of hiring.
Organizations with data-driven cultures will see the greatest value and greater internal collaboration as they extend their network’s reach into markets, the report says.
What do employers say?
In an interview with Hunt Scanlon Media, two executive recruiters weighed in on the following:
Phil Breakwell, vice president, executive search NAM and EMEA for WilsonHCG, says contact information can help expand one’s network as a recruiter. “Knowing potential connections allows executive recruiters to expand their networks and build credibility with their clients and prospects,” he said. “By nature, an executive search requires a network of connections, and building information around those connections strengthens them. Communication information is a key component of influence and persuasion, which is important to executive recruiters.”
In fact, CRM data has helped transform executive search. “First, it helps executive search professionals understand complex organizations vertically and horizontally,” Mr. Breakwell said. “As executive search teams engage with multiple business leaders on a daily basis, relationship information helps provide a real-time view of organizational dynamics and what’s going on within these organizations. Second, the information we have about existing relationships allows us to further strengthen existing relationships or build new relationships based on newfound knowledge.”
Special views
According to Frank Scarpelli, Managing Partner and CEO of HireWerx, incorporating contact data and predictive insights into the company’s customer/candidate relationship management system allows HireWerx to gain unique insights into current and potential customers and candidates. “Our strategies allow us to extract actionable insights based on existing communication data from our customers, colleagues, partners and candidates,” he said. “We use publicly available data from a variety of sources, including social networks. This approach allows us to build and grow an ecosystem of relational capital.”
Integrating contact information with CRM allows your team to take advantage of shared networks and the many communications that take place every day, Mr. Scarpelli said. “This integration improves teamwork by opening up and streamlining data across your organization,” he said. Relationship capital is very valuable, but only if you can leverage it.”
Related: What to ask yourself before hiring diversity and how data can help.
By Scott A. Scanlon, editor-in-chief; Dale M. Zupsansky, editor-in-chief; and Stephen Sawicki, Managing Editor – Hunt Scanlon Media
