Michael Maoz

A member of the Gartner Blog Network

Michael Maoz
VP Distinguished Analyst
13 years at Gartner
26 years IT industry

Michael Maoz is a research vice president and distinguished analyst in Gartner Research. His research focuses on CRM and customer-centric Web strategies. Mr. Maoz is the research leader for both the customer service and support strategies area and customer-centric Web… Read Full Bio

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CRM in the Cloud: For most, it is not for Mission Critical Activity.

by Michael Maoz  |  November 24, 2008  |  Comments Off

Software as a Service in the CRM arena is still used for the easy stuff 90 percent of the time: account set up, customer information, definition of opportunity, sales lead and pipeline management. The really hard stuff remains on premise: helpdesk, field service, technical support, process-intensive contact centers (examples: consumer retail banking, telecommunications, insurance). These need to be up and running 100 percent of the time. Changing these systems tends to be difficult because there are so many industry-specific custom workflows.

We are focusing research on creating checklists that will help guide decisions towards SaaS versus on-premise solutions. Cloud computing standards will continue to improve, and with these improvements we expect to see the support of more complex processes such as business rules for service level agreements. The cost of integration will fall so that ties to Sharepoint, Outlook, analytical tools and data cleansing tools will be more flexible.

To date, many of our clients are reporting paying too high a premium to the SaaS vendor for building out industry-specific CRM functionality and workflows.

We are in the third inning of a nine inning game when it comes to SaaS maturity, and the early adopters are tight lipped about the shortcomings in their chosen system. It’s not easy being a pioneer, but it is their efforts that are driving the improvements in SaaS CRM offerings. Stay tuned.

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