Customer Relationship Management (CRM) and Organizational Performance in Nigeria

Abstract:

This study investigated the effect of customer relationship management (CRM) on banks’ performance in Nigeria. To do this, 220 questionnaires were administered to employees of 5 selected commercial banks out of which 212 were fully retrieved. Data obtained via the questionnaire was analyzed using descriptive and parametric tests (regression). Based on the analysis, we found a significant relationship between CRM and profitability. Also, a significant relationship was found between CRM, asset base and turnover of the selected commercial banks. Based on the results, it was recommended that efforts should be made by commercial banks towards enhancing their CRM practices so as to heighten their profitability, asset base and turnover. This can be achieved by ensuring sustainability of CRM initiatives by commercial banks. Additionally, commercial banks should redesign their CRM frameworks for effective and efficient implementation of customer relationships in order to further curtail any current and future challenges they may face due to poor CRM implementation. This study contributes to knowledge by filling the lacuna in management literature on what is known about CRM and organizational performance in the Nigerian context.