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BISY2006

Writer’s Name

Instructor

Institute

Dated:
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Table of Contents
Introduction.................................................................................................................................................2
Audit of MIS of Amazon.............................................................................................................................3
CRM System of Amazon.............................................................................................................................4
Recommendations for the CRM System of Amazon...................................................................................5
 Strengths..........................................................................................................................................5

 Segmenting customers based on personalization.........................................................................5

 Analyzing customer behavior and preferences over time.............................................................5

 Tracking the success of marketing and advertising efforts...........................................................6

 Weaknesses......................................................................................................................................7

 Lack of Integration with Other Systems......................................................................................8

 Limited Customization................................................................................................................8

 User Adoption..............................................................................................................................8

 Reporting and Analytics..............................................................................................................8

 Lack of Mobile Support...............................................................................................................8

 Data Management........................................................................................................................8

 Recommendations...........................................................................................................................9

How the CRM System of Amazon has helped the organization Obtain a Strategic and Competitive Edge.9
 Customer Insights........................................................................................................................9

 Streamlined Sales and Service...................................................................................................10

 Increased Customer Loyalty......................................................................................................10

 Better Decision Making.............................................................................................................10

 Improved Customer Experience.................................................................................................10

Conclusion.................................................................................................................................................10
References.................................................................................................................................................12
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Introduction
Management Information Systems (MIS) play a critical role in the success of any organization
(Singh & Pathak, 2020). It is a systematic approach to managing and processing information that
supports decision-making, coordination, and control within the organization. MIS leverages
technology to gather, process, store, and distribute data, providing organizations with real-time
insights into their operations. This information is essential in helping organizations make
informed decisions, improve efficiency, and stay ahead of the competition. Additionally, MIS
provides a platform for automating various business processes, freeing up resources that can be
redirected toward more value-adding activities. With the ever-increasing amount of data
available today, having a reliable and efficient MIS system is more crucial than ever for
organizations to stay competitive and achieve their goals.

Amazon is a prime instance of a company that leverages Management Information Systems


(MIS) to support its operations and drive its success. The company's MIS system is designed to
gather, process, and analyze large amounts of data to provide valuable insights into its business.
This information is used to make informed decisions, optimize operations, and improve customer
experience (Kaur, 2016). For instance, Amazon uses MIS to track customer behavior, monitor
supply chain performance, and analyze market trends. By utilizing advanced technologies such
as big data analytics and artificial intelligence, Amazon's MIS system provides the company with
a competitive advantage and helps it stay ahead of the curve in an ever-changing market. The
robust MIS system at Amazon plays a critical role in the company's ability to innovate and adapt
to new challenges, making it a model for organizations looking to harness the power of
technology to drive growth and success.

This report evaluates the audit of Amazon's MIS, including a thorough analysis of the company's
CRM system. The strengths and weaknesses of the system are identified and recommendations
are provided for improvement. The assignment also explores how the CRM system has given
Amazon a strategic and competitive advantage. The conclusion summarizes the key findings and
highlights the importance of effective CRM in the business world.
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Audit of MIS of Amazon


Chosen MIS of Amazon - Customer Relationship Management (CRM)

Chosen Issue/Opportunity - One information systems/technology management


issue/opportunity of Amazon's CRM is the need for enhanced data privacy and security measures
to protect sensitive customer data and information to enhance its customer relations.

Amazon is a leading e-commerce company that has revolutionized the way people shop and sell
goods (Mishra & Mukherjee, 2019). The company was founded in early 1995 and has since
grown to become one of the largest online retailers in the world. One of the key factors behind
Amazon's success is its effective use of information systems and technology management. The
company's success is largely attributed to its effective use of management information systems
(MIS), which provide valuable insights into customer behavior and help to improve the customer
experience. In particular, Amazon's customer relationship management (CRM) system of
Amazon has played a critical role in the company's success by providing valuable insights into
customer behavior, preferences, and feedback (Sikandar et al., 2023). However, there are also
challenges and opportunities associated with Amazon's CRM systems that must be addressed in
order to ensure continued success. Additionally, Amazon's MIS system integrates with its
customer relationship management (CRM) system, allowing the company to manage customer
interactions and provide personalized experiences. This integration helps Amazon to build
strong, lasting relationships with its customers and improve customer satisfaction. In addition to
providing valuable insights into customer behavior and market trends, Amazon's CRM system
also enables the company to streamline its operations and automate various business processes.
For instance, the company uses its MIS-based CRM system to manage its vast network of
warehouses and delivery trucks, ensuring that products are delivered to customers as efficiently
as possible.

Moreover, Amazon's CRM system is designed to be highly scalable and flexible, allowing the
company to quickly respond to changes in the market and customer demands. This agility is a
critical factor in Amazon's ability to remain a market leader and continue to grow its business.
The company's CRM system also helps to ensure that data is secure and protected, preventing
unauthorized access and protecting sensitive information (Cleary, 2019). So, Amazon's CRM
system is a key component of the company's success. It provides valuable insights, automates
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business processes, and enables the company to respond quickly to changes in the market and
customer demands.

CRM System of Amazon


Customer Relationship Management (CRM) is a critical component of Amazon's overall
business strategy. By collecting, storing, and analyzing data about customer interactions,
Amazon's CRM system provides valuable insights into customer behavior, preferences, and
purchase history. This information allows Amazon to personalize the customer experience and
improve customer satisfaction, loyalty, and retention. Amazon's CRM system is designed to help
the company manage customer interactions and relationships. The system then uses this
information to personalize the customer experience and improve the company's overall
performance. Amazon's CRM system collects and analyzes customer data in order to provide
valuable insights into customer behavior and preferences, which the company can use to make
data-driven decisions and improve the customer experience (Cai et al., 2023). Amazon's CRM
system is designed to maximize customer satisfaction, loyalty, and retention. By utilizing this
system, Amazon can ensure that its customers are given the best possible service and experience.
This system is also used to automate many of their customer service processes, ensuring that
customer inquiries are responded to in a timely and efficient manner.

Although, one of the most prevalent area where Amazon can improve its CRM system is by
incorporating artificial intelligence (AI) and machine learning technologies. By using these
technologies, Amazon can automate many of the manual processes involved in analyzing
customer data and make even more data-driven decisions. This can lead to even more
personalized experiences for customers and further improvements in customer satisfaction and
loyalty (Rowe & Markus, 2022). So, research has shown that Amazon's CRM system is a critical
component of the company's success. The system provides valuable insights into customer
behavior and preferences and enables the company to personalize the shopping experience,
manage customer service, and improve marketing and advertising efforts. As Amazon continues
to invest in its CRM system and incorporate new technologies, I expect that it will continue to
drive business growth and maintain its position as a leader in the e-commerce industry.
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Recommendations for the CRM System of Amazon


 Strengths

The following are some of the strengths of the Amazon CRM System;

 Segmenting customers based on personalization - Amazon's CRM system plays a


crucial role in the company's efforts to personalize the customer experience by providing
valuable insights into customer behavior and preferences (Al Imran, 2023). By collecting
and analyzing customer data, the system allows the company to segment customers into
specific groups based on their behaviors and preferences. This allows Amazon to provide
a more personalized experience to each customer, increasing customer satisfaction and
loyalty. One of the key ways that Amazon's CRM system helps with personalization is by
collecting data on each customer's purchase history, preferences, and behaviors. This
information can be used to create customer profiles that reflect each customer's unique
needs and preferences. By using the data from these profiles, Amazon can provide a more
personalized experience to each customer, tailoring product recommendations,
advertising, and customer service efforts to meet their specific needs (Jeong, 2023). For
instance, if a customer frequently purchases fitness equipment, Amazon's CRM system
can use that information to recommend fitness products to the customer and target
advertising efforts toward fitness products. This personalization can help to increase
customer engagement and satisfaction, as the customer feels that Amazon understands
and is catering to their specific needs and preferences.
 Analyzing customer behavior and preferences over time - Another strength of
Amazon's CRM system is its ability to manage and analyze customer data in real-time.
The system collects data from a variety of sources, including the Amazon website,
mobile app, and customer service interactions, and uses this information to provide real-
time insights into customer behavior (Chua, 2021). This allows the company to quickly
identify and respond to customer needs and preferences, which is essential for
maintaining customer loyalty and satisfaction. For instance, if a customer frequently
purchases a certain type of product, the CRM system can automatically recommend
similar products to the customer, improving the customer's shopping experience and
increasing the likelihood of additional purchases. The real-time analysis of customer data
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also allows Amazon to monitor customer satisfaction levels and quickly address any
issues that may arise. For instance, if a customer contacts customer service with a
problem, the CRM system can provide the customer service representative with a
complete view of the customer's history, allowing the representative to provide a more
personalized and effective resolution.
 Improvements in Amazon’s Customers Services - Amazon's CRM system can
significantly improve the company's customer service efforts by providing customer
service representatives with valuable information about customers and their purchase
history (Rowe & Markus, 2022). This information can be used to personalize the
customer service experience and provide faster and more effective support. One of the
key ways that Amazon's CRM system helps improve customer service is by providing
customer service representatives with a complete view of each customer's purchase
history, preferences, and behaviors. This information can be used to personalize the
customer service experience and provide faster and more effective support. For instance,
if a customer contacts Amazon's customer service with a question about a recent
purchase, the customer service representative can quickly access the customer's purchase
history and preferences to provide a personalized and informed response (Al Balawi et
al., 2022). By using the data collected by the CRM system, Amazon's customer service
representatives can provide a higher level of support, which can improve customer
satisfaction and loyalty. In addition to providing customer service representatives with
valuable information, the CRM system can also be used to automate certain aspects of
customer service. For instance, the system can be used to automate responses to common
customer inquiries, such as product return policies or shipping information. This can free
up customer service representatives to focus on more complex issues, improving the
efficiency and speed of the customer service process (Sikandar et al., 2023).
 Tracking the success of marketing and advertising efforts – Amazon's CRM system
plays a crucial role in the company's marketing and advertising efforts (Cleary, 2019). By
collecting and analyzing customer data, the system provides valuable insights into
customer behavior and preferences, which can be leveraged to improve marketing and
advertising campaigns. One of the key ways that Amazon's CRM system helps with
marketing and advertising is by segmenting customers into specific groups based on their
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behaviors and preferences. This allows the company to target its marketing and
advertising campaigns to specific groups of customers, increasing the relevance and
effectiveness of the campaigns. For instance, if the CRM system identifies a group of
customers who frequently purchase fitness equipment, Amazon can target advertisements
for fitness products to those customers. By using the data collected by the CRM system,
Amazon can ensure that its marketing and advertising efforts are highly targeted and
relevant, which can lead to increased conversion rates and customer engagement. In
addition to segmenting customers, the CRM system can also be used to analyze customer
behavior and preferences over time (Ayyagari, 2021). This allows the company to
identify trends and patterns in customer behavior, which can be leveraged to develop
more effective marketing and advertising campaigns. For instance, if the CRM system
reveals that a group of customers who purchase fitness equipment are also interested in
healthy eating, Amazon can target advertisements for healthy food products to those
customers. By using data from the CRM system, Amazon can tailor its marketing and
advertising efforts to meet the specific needs and preferences of each customer,
improving the relevance and impact of the campaigns. The CRM system also allows
Amazon to track the success of its marketing and advertising efforts by monitoring
customer behavior and purchase history. This allows the company to quickly identify
which campaigns are working and which are not, and make adjustments accordingly.

 Weaknesses

Customer relationship management (CRM) systems are an essential tool for organizations
looking to manage and optimize their customer interactions and relationships. Amazon's CRM
system is a widely used solution, but like all software solutions, it has its own set of weaknesses
that organizations need to be aware of (Siby & George, 2022). Understanding these weaknesses
can help organizations make informed decisions about the right CRM system for their needs and
how to overcome any limitations of the chosen solution. Some common weaknesses of Amazon's
CRM system include a lack of integration with other enterprise systems, limited customization
options, challenges with user adoption, limited reporting and analytics capabilities, a lack of
mobile support, and weaknesses in data management. These limitations can result in
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inefficiencies, poor data quality, and a lack of visibility into customer behavior and performance,
making it difficult for organizations to make informed business decisions and deliver a seamless
customer experience.

 Lack of Integration with Other Systems: One of the biggest weaknesses of Amazon's
CRM is its lack of integration with other enterprise systems. This makes it difficult for
organizations to consolidate customer data and create a holistic view of their customers.
This can lead to data silos and manual workarounds, which can result in errors,
inefficiencies, and a lack of transparency.
 Limited Customization: Amazon's CRM system has limited customization options,
making it difficult for businesses to fully align the system to their specific needs and
processes. This can result in a lack of user adoption, as employees may not be able to
work in a way that feels natural to them. It also means that businesses may not be able to
take full advantage of the capabilities of the system.
 User Adoption: Despite its ease of use, Amazon's CRM system may not be adopted
widely within an organization due to a lack of features and functionality compared to
other CRM solutions. This can result in a fragmented view of the customer, as different
departments may be using different systems to track and manage customer information
(Zhu, 2022).
 Reporting and Analytics: The reporting and analytics capabilities of Amazon's CRM are
limited, making it difficult for organizations to gain deep insights into customer behavior
and performance. This can result in a lack of visibility into customer trends and patterns,
making it challenging to make data-driven decisions.
 Lack of Mobile Support: Amazon's CRM system does not have a dedicated mobile app,
making it difficult for sales teams to access customer information on the go. This can
result in lost productivity, as sales teams may need to be tied to their desks to access
customer information.
 Data Management: Amazon's CRM system lacks robust data management capabilities,
making it difficult for organizations to maintain accurate and up-to-date customer
information. This can result in incorrect or incomplete customer data, which can lead to
poor customer experiences and incorrect business decisions.
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 Recommendations

Amazon should consider combining its CRM system with other technologies and capabilities,
such as marketing automation, customer support, and analytics solutions, to compensate for the
issue that it does not integrate its CRM system with any of the other business systems. This will
allow organizations to consolidate customer data and gain a holistic view of their customers
(Jeong, 2023). To address the limited customization options, Amazon should consider offering
more customization options, such as configurable workflows, custom fields, and reporting
capabilities. This will allow organizations to tailor the system to their specific needs and
requirements. In addition, to address the challenges with user adoption, Amazon should consider
offering comprehensive training and support services to help users understand and effectively
use the system. Additionally, to enhance its reporting and analytics capabilities, Amazon should
consider adding more advanced reporting features and integrating them with business
intelligence tools (Capuano et al., 2021). Furthermore, to improve the mobile experience,
Amazon should consider developing a native mobile app that provides access to key CRM
features and functionality. With these improvements, Amazon's CRM system can become an
even more powerful and effective tool for organizations looking to manage and optimize their
customer relationships.

How the CRM System of Amazon has helped the organization


Obtain a Strategic and Competitive Edge
As one of the largest and most successful companies in the world, Amazon has leveraged its
CRM system to gain a strategic advantage in its industry. Research has shown that Amazon's
CRM system has been a key driver of the company's success, helping to provide the organization
with a wealth of customer insights, streamline sales and service processes, increase customer
loyalty, make better decisions, and improve overall customer experience.

Here are some ways in which Amazon's CRM system has helped the company achieve this:

 Customer Insights: Amazon's CRM system provides the company with a wealth of
customer data, including purchase history, preferences, and behavior. This information is
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used to create targeted marketing campaigns, personalize the customer experience, and
improve product offerings (Al Imran, 2023). This allows Amazon to gain a deep
understanding of its customers and offer them products and services that they are more
likely to purchase.
 Streamlined Sales and Service: Amazon's CRM system integrates with its other
enterprise systems, such as order management and fulfillment, allowing the company to
manage the entire customer journey from end to end. This helps to streamline sales and
service processes and improve the customer experience.
 Increased Customer Loyalty: By using its CRM system to understand its customers and
offer personalized experiences, Amazon has been able to increase customer loyalty. This
has helped to reduce customer churn and increase repeat business, which is a key driver
of the company's success.
 Better Decision Making: With access to real-time customer data and analytics,
Amazon's leadership team can make data-driven decisions about its products, services,
and marketing strategies. This helps to ensure that the company is always moving in the
right direction and making the most of its opportunities (Chua, 2021).
 Improved Customer Experience: By using its CRM system to deliver a personalized
experience to its customers, Amazon has been able to improve the overall customer
experience. This has helped to increase customer satisfaction and loyalty, which has
contributed to the company's long-term success.

Conclusion
In conclusion, Amazon's CRM system has proven to be a valuable tool for organizations looking
to manage and grow their customer relationships. With its comprehensive view of customer data
and effective management capabilities, organizations are able to optimize their customer
interactions and relationships (Kaur, 2016). However, the system also faces limitations, such as
limited customization options and a lack of integration with other enterprise systems. To address
these limitations, it is recommended to enhance the system's capabilities through integration,
customization, user adoption, advanced reporting and analytics, and mobile app development. By
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doing so, Amazon's CRM system can continue to provide organizations with a strategic
advantage in managing customer relationships. Additionally, it is important for organizations to
continuously evaluate and improve their CRM system to keep pace with the evolving needs and
expectations of their customers. By leveraging technology and data insights, organizations can
gain a deeper understanding of their customers, enhance their customer interactions, and drive
business growth (Singh & Pathak, 2020). And lastly, Amazon's CRM system is a powerful tool
for organizations looking to optimize their customer relationships and drive business success.
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