Microsoft front office embedded in back offices for SMEs

Manufacturing ERP developers K3 and Scala are in the first wave of Microsoft Business Solutions partners to embed the giant’s new CRM (customer relationship management) package, now at v1.2 in their systems specifically for SME organisations. K3’s marketing director Richard Thomas says: “We’ve been working with Microsoft on its CRM platform for the last 18 months – since the launch of our SmartVision ERP system with the Microsoft Outlook user front end. “Early access to code and training has enabled us to open up the product and build significant functionality for specific markets to provide a customised manufacturing solution… We’ve now got SmartVision powered by Microsoft CRM.” This isn’t merely a CRM front office bolted onto ERP: Thomas makes the point that it’s been embedded into K3’s back office estimating, quoting, sales management and MRP to give it the depth of functionality and access to data required for manufacturers. As a result, users get lead tracking, market intelligence, prospect management, territory management and the rest – so improved demand forecasting and revenue opportunities. Thomas reckons it’s a message that’s already going down well in the user community, with “very high interest” at the firm’s recent user conference. “They can roll up CRM data, get information to the customer service desk, help desk… Users get a view of the whole organisation, all through Outlook on the desktop interface. It’s all on the Microsoft .Net framework so users get the best of both worlds.” That’s part of the transition here. Another part is its accessibility from Microsoft Outlook and the web. Both has caught the attention of the ISVs (independent software vendors) because they enable more than tight integration and a real opportunity to add value for their own markets, building on their existing systems. In that sense it’s a slight twist on the early prediction by Microsoft Business Solutions that the world of ISVs, at least at the SME level, would be transformed to one of Microsoft VARs (value added resellers). “We’re not resellers,” insists Thomas. “We’re taking the best technology in the marketplace, embedding it [because it fits] and adding value.” For now that’s certainly true; where we will draw the line in the future between VAR and ISV as, for example, Microsoft’s Business Network rolls out, is less clear. However, as those boundaries blur it will matter less. As for the CRM itself, it’s available in nine languages, which Microsoft’s CRM product manager Michala Alexander reckons covers most of the world. It’s also the first business application built using Microsoft .Net technologies and tailored specifically for mid-market companies with 25 to 1,000 employees. Says Alexander: “The overarching goal of Microsoft CRM is to help companies increase business profitability by providing a solution that achieves superior customer service and improves efficiency... It will help global businesses take advantage of technology, and related services, that were previously attainable only by large enterprises with big information technology budgets.” You’re looking at an impressive catalogue of enhanced out-of-the-box functionality and a suite that runs with the full 2003 series of Windows Server, Exchange Server and, importantly, also Microsoft’s Small Business Server Premium Edition. As for price, Alexander says a useful guide would be around £4,500 for a 10 user sales standard version, including two years of upgrade and support. And Thomas concurred that K3 embedded CRM functionality would be “in that region, depending upon number of users, the infrastructure involved and sales and service coverage.” One company that’s already gone live with the new version is IT hardware, software and systems distributor Ingram Micro, which is capitalising on its integration with Outlook to get its contact and sales management under control and drive business opportunities. Bhavesh Patel, commercial director, Ingram Micro UK, said: “Ingram Micro UK’s adoption of Microsoft Business Solutions CRM into our systems and working culture will allow our sales associates to develop an even greater profiling capability and understanding across all customer segments. “This will allow each Ingram Micro associate to create detailed profiles of each customer’s purchasing requirements and transaction behaviour history, providing us with an enhanced ability to forge enduring and profitable customer relationships.” Meanwhile, early successes for K3, for example, are in the aerospace and defence, consumer goods and boat building sectors. K3 and Scala are two of eight organisations initially selected by Microsoft to extend its new CRM functionally and into vertical markets. The others are wireless software firm FlyingSpark, financial applications specialist Distinction Systems, mid-market business systems integrator TAH, operations management IT firm EG Solutions, document management Documation, and office systems company FWBS.