Customer Relationship Management


Unit F/617/1151      Customer Relationship Management


Level 4     15 Credits




You are working as a trainee Customer Services Manager in a large online retail business.  The business has grown rapidly and whilst turnover and profits are increasing, so are the number of customer enquiries and complaints. The Customer Experience Director wishes to improve the customer relationship management processes at the business and has asked you to participate in a team of staff working on a CRM project.  By using a team approach the Director hopes to understand the views of a range of staff and will then use the staff to help embed any changes to working practices.


Activity 1


In preparation for a team discussion prepare a document for distribution to the rest of the team, which provides an overview of the importance of customer relationship management to business.


The document must:

  • explain the key features of customer relationship management
  • analyse the benefits of good customer relationship management to businesses
  • analyse the impact of quality management systems on customer relationship management


LO1 Assessment Criteria 1.1/1.2/1.3


To achieve a Merit you must also:

Evaluate the methods used to measure customer satisfaction (AC 1M1)


Activity 2


The Director has asked for a report to help the team understand how good customer relationship management is achieved.  You have agreed to prepare a draft for the rest of the team to read.


Your report must clearly:


  • evaluate the processes necessary for achieving effective CRM
  • assess the role of internal staff in achieving effective customer relations experiences
  • assess the role of external stakeholders in achieving effective customer relations


LO2 Assessment Criteria 2.1/2.2/2.3


To achieve a Distinction you must also:

Analyse the impact of employee engagement on customer relations experiences (AC 2D1)



Activity 3


The Director was pleased with the detailed and professional report produced by the team and noted your contribution. She is very interested in exploring the possibility of using loyalty schemes to improve customer relationship management. She has asked you personally to investigate loyalty schemes in detail and to prepare a briefing paper for her to consider.


Your briefing paper should:


  • analyse the use of loyalty schemes to gain information about customers
  • explain how the information gained is used to inform business decision making


LO3 Assessment Criteria 3.1/3.2


To achieve a Distinction you must also:

Evaluate methods used to segment customers as part of a customer relationship management process in a specific organisation (AC3D1)


Activity 4


The Senior Management Team has been keeping up to date on the progress the CRM team is making. They have been impressed with the work so far.  In preparation for making some strategic decisions on CRM each member of the team is asked to choose an organisation they know well and prepare detailed notes which:


  • review customer relationship management in the chosen organisation
  • propose improvements to processes for customer relationship management
  • propose improvements to the role of staff in promoting good customer relationships.


Then on the basis of this information individual members of the team are asked to produce a plan for the implementation of the improvements.  Produce your own plan to implement the improvements you have proposed.


LO4 Assessment Criteria 4.1/4.2/4.3/4.4


To achieve a Merit you must also:

Gain feedback on your plan and make appropriate amendments. (AC4M1)



Guidelines for assessors

The assignments submitted by learners must achieve the learning outcomes and meet the standards specified by the assessment criteria for the unit. To achieve a merit or distinction grade, the learners must demonstrate that they have achieved all the criteria set for these grades. Where work for the pass standard is marginal, assessors can take account of any extension work completed by the learners. The suggested evidence listed below is how learners can demonstrate that they have met the required standards.


Activity number LOs/ACs Suggested evidence
1 LO1



The document should cover all the main topics stated in the task, demonstrating clear thinking and a sound understanding of the importance of customer relationship management to business. The analysis which is required must identify the main points and show how they are related to practice and why they are important. Reference to current research or theory will support the analysis.

To achieve a Merit learners will also evaluate the methods used to measure customer satisfaction, providing reasoned judgements based on evidence.


2 LO2

AC 2.1/2.2/2.3


The report should be structured in a formal way with clear layout and appropriate presentation. The report should clearly demonstrate the learners’ understanding of how good customer relationship management is achieved.

The learner must explain a range of processes which are directly linked to effective customer relationship management. The learner must also consider a range of internal staff and external stakeholders to ensure the standards for 2.2 and 2.3 are met.

To achieve a Distinction learners will provide a detailed analysis of the impact of employee engagement, using examples to demonstrate the impact of good (and poor) employee engagement on customer experiences.

3 LO3

AC 3.1/3.2


The format of the briefing paper is flexible.  It could be presented in sections providing detailed evidence in total to meet the assessment criteria.

Learners should draw on a range of specific examples of different loyalty schemes when analysing their use to gain information about customers. There must be a full explanation of how this information is used by the business to inform policy and decision taking.

To achieve A Distinction, learners must produce a balanced evaluation of different methods used to segments customers identifying strengths and weaknesses of the different approaches. This must be related to a named organisation.

4 LO4

AC 4.1/4.2/4.3/4.4


Learners must select a suitable organisation to complete activity 4. The choice of organisation is critical and tutors must ensure that learners select an organisation which will provide sufficient detailed information that can ultimately lead to a meaningful plan. Tutors may decide to prepare a case study for learners to use or the work may be related to an organisation learners know in detail for example where they work or study. Proposed improvements should relate specifically to the chosen organisation and the plan of implementation must directly refer to the review and proposals produced. Information which is theoretical and generic will not provide sufficient evidence to meet the learning outcome.

The implementation plan should clearly identify the different stages involved, a suggested timeline and key roles/ responsibilities for different tasks in the plan.

To achieve a MERIT learners must also gain feedback on the plan from a range of sources.  This could be written or oral but must be documented appropriately.  Changes made to the plan must be directly related to the feedback.