October 1998
Emerging Architectures For Customer
Channel Management
BY GREG STACK, TECHNOLOGY SOLUTIONS COMPANY (TSC)
Today's customer management environment is characterized by rampant business change.
This change stems from increased competition, frequent marketing strategy changes, new
products, new campaigns and a strong emphasis on customer retention and cross-selling.
Amid these changes, organizations have seemingly impossible objectives to quickly deploy
new products and customer channels while improving customer retention and reducing budgets
for information systems. These objectives are further complicated by fragmented systems
architectures that have repetitive functions across systems and channels.
In this environment, it is common for businesses to duplicate customer relationship
components, such as business rules, workflow, customer data and contact history, across
legacy systems and emerging customer-contact channels [Web, voice response units (VRUs)
and direct sales]. Because each system grew up around the product or channel, it can be
difficult to consolidate customer policies and procedures.
This configuration creates customer management and relationship chaos. When service
levels and customer views are fragmented across systems and access channels, it creates a
major barrier to successful customer relationships.
Within this fragmented architecture, customer relationship initiatives often create
conflict between the business and information systems (IS) groups. Seemingly simple
business requests are, in fact, complex undertakings because business rules and customer
data are scattered in numerous systems and channels. Because programmers must change and
test even the simplest requests, businesses must plan technology releases across systems
every four months, when what they really need is real-time, simultaneous change across all
systems and channels.
How can companies escape this escalating cycle of high cost, slow response and
fragmented customer views? It's possible with a well-planned systems architecture that
employs reusable, process-based components across all systems and customer access
channels.
Architectural Foundation
All channels should be treated equally. Business logic, services and databases cannot
differentiate whether a customer request originated via Web, e-mail or VRU. Customer
relationship management integrates voice, Web and VRU channels with intelligent request
routing and customized customer presentation based on contact history, preference and
current situation.
This approach is known as a component-based "N-Tier" client/server
architecture. When applied to customer relationship management, it is called a
"TERM" (Technology Enabled Relationship Management) architecture, an acronym
coined by the Gartner Group.
At its simplest level, the TERM architecture is divided into three tiers. Each layer is
separated from the others by an abstraction layer, which eliminates the need for any layer
to recognize the database type or physical location of the other layers.
Database
The TERM architecture's top layer provides data services and includes multiple generic and
application-specific databases, such as customer-contact, product, billing and reference.
IS can design customer-contact and preference databases so that users can define
specific customer attributes, situations and business rules in data tables, without IS
having to alter the data model. This allows business users to make critical business
changes in real-time.
Magic Middle Tier
The middle TERM architecture tier is where the magic really takes place. This tier, which
contains business logic, acts as a traffic cop and message translator. It receives, routes
and sends messages from the data and presentation tiers to generic, reusable services
within the middle tier. This is the communications mechanism between the client channels,
the middle tier services/business logic and the corporate application and customer
relationship data.
Middle tier services are based on discrete object-oriented components. These components
provide an abstraction layer between tiers and services, enabling users to move, add or
replace a service without impacting other components. Decoupling tiers and services
minimizes the cost and impact of technology changes.
Middle tier components provide many additional benefits for customer relationship
management. Since all channels use common components, this tier provides a cross-channel
mechanism for completely capturing customer contact history, preference and transactions
across both systems and channels. Similarly, all channels can retrieve customer-contact
and preference information from a single source.
Examples of middle tier services include:
- Common business rules services with end-user-changeable rules;
- Common workflow queue and distribution;
- Log-on and security profiles;
- Data access services and transaction coordination across multiple databases and legacy
systems;
- Legacy system emulation, message translation and gateways;
- Message brokering services between databases, applications and tiers;
- Support of diverse messaging and protocols across multiple systems and channels.
The middle tier can also contribute to process-based navigation by providing client
channels with system access and database services. This capability facilitates customer
relationship reengineering. For example, some legacy processes require users to enter
similar information into multiple screens across one or many applications. The middle tier
can be programmed to automatically update multiple back-end legacy systems from a single
client-initiated transaction.
Channel Presentation Tier
The lowest level of the TERM architecture is the channel-specific client tier. Each
channel provides its own presentation logic to the customer. This includes a workstation
graphical user interface (GUI), Web page, VRU script, etc. The client level does not
contain business logic, but serves as a presentation "shell" that is configured
based on data.
Configurable customer presentation is a powerful concept for two reasons. First, since
the presentation is stored as data, users can make basic changes to the VRU script or
workstation GUI in real-time and without IS intervention. This includes changing items
such as information display, scripting and process- and procedure-based navigation.
Second, users can customize the VRU, Web and GUI in real-time using business rules based
on customer preferences, values and events. This provides a powerful tool for managing and
enhancing customer relationships.
For example, customers with outstanding requests could be routed directly to the agent,
script or Web page pertinent to their request. Special offers, scripts or cross-selling
could be made available to customers based on their profiles, preferences or value to the
company.
The presentation shell concept can be leveraged further to create
"process-based" navigation, which crosses existing product-based systems. As
businesses evolve, it's not unusual for reengineered processes to require access to
multiple systems. Sales and service are examples of combined processes as businesses
strive for "one and done" customer-contact scenarios.
Process-based navigation can abstract legacy systems from new or reengineered processes
that can now be stored as configurable data rather than making systems coding
modifications. Process-based navigation can take many forms, but usually involves a tree
or tab metaphor from which users can select major processes. Once chosen, a process'
subtasks are displayed in the proper order. Each subtask is stored as a system screen,
allowing agents to navigate between systems with a simple mouse click.
Each client channel shell maintains common customer data that all systems can use,
eliminating data reentry. Sales and agent help scripting also ties data into a task. A
generic scripting service can be used for help, training, process scripting or telesales
operations. If a process is redefined, the business process owner can make a simple data
modification to the process and task table. The process-based presentation approach allows
users to engineer processes from a customer's perspective and also makes systems easier
for agents to learn and use.
TERM Benefits
Component-based TERM architectures provide benefits in several areas, including channel
and customer relationship management; business control and responsiveness to change; and
system and technology transition and cost reduction.
Channel And Customer Relationship Management:
- One view of the customer across all systems and access channels provides true valuation,
status and preference information, helping companies create and maintain personalized
customer relationships.
- Customer loyalty is improved because customer interaction information is consistent
across all access channels.
- The ability to quickly incorporate or modify customer access/revenue channels results in
consistent information delivery on specific customers and customer types across all access
channels.
- Contact scripts based on customer relationship history and rules enable companies to
route customers to the appropriate agent.
Business Control And Responsiveness To Change:
- End users can directly configure processes, customer presentations, business rules,
customer values and call routing in real-time. This capability enables companies to
quickly respond to business changes and initiatives.
- The business-controlled presentation approach enables users to engineer processes from a
customer's perspective, making the system easier for agents to learn and use.
System And Technology Transition And Cost Reduction:
- By reducing the number of components and system complexity, businesses can reduce
training costs across channels and outsourcers.
- Reduced complexity and components decreases the cost of application support and future
changes and enhancements.
- Improved cross-system navigation, simplified processes and redundant data-entry
elimination reduces agent handle times.
- New channels can be easily added by using common services on the middle tier.
- Abstraction layers between services and architecture tiers minimizes the impact, cost
and duration of technology changes. This allows businesses to phase-in changes to systems
and components without massive change and testing across system and channel
infrastructure.
- By sharing common services on the middle tier instead of the client channel tier,
software distribution complexity and cost are dramatically reduced.
Evolving With Change
TERM architectures are best viewed as an evolution because they undergo continuous changes
based on customers, business requirements and technology changes. The ability of a TERM
architecture to handle change is its greatest strength.
TERM-based architectures are strategic win initiatives because they provide consistent
and customized customer interaction while reducing cost, improving business control and
providing a migration path to accelerate technological change.
Greg Stack is a senior vice president for TSC with more than 15 years of experience
specializing in telecommunications client/server architecture, call center and mobile data
systems. His vast technical knowledge, coupled with management expertise, has enabled him
to create world-class call centers for Fortune 500 companies, including Whirlpool and
Pepsi. For his clients, Stack has led the effort to design and implement multisite call
center systems, imaging, artificial intelligence, ISDN, GUI-based applications and a host
of viable technologies to meet dynamic call center requirements. |