Strategic Position of CRM in Balanced Scorecard.

Nowadays most companies direct their objective toward customer satisfaction. A good CRM program enables customers to easily access the information they need at any time and any place. The system has to be equipped by information technology network  to support  development, maintenance and optimization of mutually valuable customer relationships. 
Conducting CRM should be based on the platform strengthened by,
1.	Implementation of Knowledge Management
2.	Understanding Customer Life Cycle 
3.	Using Information Technology Network and an Appropriate Software
4.	Being aware of the New Paradigm of  the Second Curve Business Life Cycle 
5.	Implementing Balanced Scorecard to link Customer Perspective to Financial, Internal Business Process, and Learning, Growth Perspective as media to translating Vision and Strategy of a company.

The implementation of balanced scorecard requires more capability of management to translate their general mission statement on customer service into specific masures that reflect the factors that really matter to customers. Conducting proper CRM will bring to understand better of time, qualty, cost-price, performance and service agreed by customer. To put the balanced scorecard to work, companies should articulate goals for time, performance and service and translate this goals into specific measures. The general goals of customer performance could be get standard products to market sooner, improve customers’ time to market and develop innovative products tailored to customer needs. The managers translated these general goals into specific goals and identified an appropriate measure for each goal. 
The CRM implementation in balanced scorecard still enable to view  the comprehensive measureable  business objective via goals and measures of customer perspective and answer the question how do customers see us. The balanced scorecard links performance measures of Financial Perspective, Internal Business Perspective, Innovation and Learning Perspective and Customer Perspective.  The measures of goals in Financial Perspective is, among others, Cashflow for Survive, Quartely sales growth and operating income by division for Succeed and Increased market share and ROE for Prosper. Customer Perspective is Percent of sales of new product for New Products, Ontime Delivery (defined by customer) for Responsive Supply, Share of key accounts’ purchases for Preferred Supplier and Number of cooperative engineering efforts for Customer partnership. Internal Business Perspective is Cycle time, Unit Cost, Yield for Manufacturing excellence, Engineering efficiency for Design productivity. Innovation and Learning Perspective is Time to develop next generation for Technology leadership, Process time to maturity for Manufacturing learning, New product introduction vs. competition for Time to market.
                      Customer Relationship Management  
                                      ( CRM ) 
                                             == 
                                     Customer Perspective 

                                        Measures
        == ==          Objectives                 ====
                                       Target
Financial                       Initiatives                       Internal Business 
Perspective                                                           Perspective

                               ====  
                           Growth and Learning
                                       Perspective           

Traditional performance measurement systems specify the prticular actions they want employees to take and then measure to see wether the employees have in fact taken those actions. In that way, the systems try to control behavior. Such measurement system fit with the engineering mentality of the industrial age.<BR> The Balanced Scorecard,  on the otherhand, is well suited to the kind of organization many companies in severe competition. The scorecard puts strategy and vision , not contron, at the center. It establishes goals but assumes that people will adopt whatever behaviors and take what ever actions are necessary to arrive at those goals.The measures are designed to pull people toward the overall startegy and vision. This new approach to performance measurement is consistence with the initiatives under way in many companies: cross functional integration, customer-supplier partnership, global scale, continous improvement, and team rather than individual accountability. By combining the financial, customer, internal process and innovation, and organizational learning perspectives, the balanced scorecard helps managers understand, at least implicity, many interrelationships. 

Using the balanced scorecard vision and strategy statements will be translated into an integrated set of objectives and measures as agreed commitment of management. The next process is communicating and linking into divisions and individual objectives. There must be a way of security that all levels of organization understand the longterm strategy and all units and levels aligned to it. Afterwards we have to get feedback and review to monitor short term results in terms of customers side using CRM mechanism, internal business process and learning and growth. To align employees’ individual performances with the overall strategy, scorecard users generally engagein three activities: communicating and educating, setting goals, and linking rewards to performance measures.
The benefits of implementing the balanced scorecard, as stated by Robert S. Kaplan and David P Norton, includes: 
 - Enable to clarify and update strategy. 
 - Communicate strategy throughout the company.
 - Align unit and individual goals with the strategy. 
 - Link strategic objectives to long term targets and annual budgets.  
 –Identify and align strategic initiatives.
 - Conduct periodic performance reviews to learn about and improve strategy