The Unseen Challenges of Modernizing CRM Systems
For many businesses, the most complex issues they face are not related to cutting-edge technology. Instead, these challenges often stem from the more basic and less glamorous aspects of their operations—such as ensuring that data is in the right place at the right time.
This is especially true for companies aiming to upgrade their customer relationship management (CRM) systems. While many executives might think modernizing a CRM system is simply about selecting new software, they soon realize that the underlying complexities can be far more intricate.
According to Rob Lith, chief operating officer of cloud communications provider Telviva, companies need to modernize their CRM applications to leverage advanced technologies and integrate with services that track customer journeys. However, those using legacy CRM systems or custom-built solutions often find it challenging and time-consuming to achieve a comprehensive view across all necessary channels.
Lith explains that South Africa’s technology landscape is a mix of outdated infrastructure and homegrown solutions that have been pieced together over years of ad-hoc fixes. A business that has meticulously built a bespoke CRM may discover that transitioning to the cloud and integrating with new tools requires a complete overhaul.
Legacy systems are notoriously difficult to change. Even companies that have adopted mainstream CRMs often face similar struggles. These systems were developed during an era when most interactions occurred via phone and email. Today, businesses must manage WhatsApp chats, social media posts, and instant messaging alongside traditional channels.
Lith, who has observed these trends over several decades, emphasizes that CEOs and CIOs should ask different questions before committing to a new platform. Key considerations include:
- Is the CRM open and capable of integrating with modern API protocols?
- Does it record every customer interaction across all channels?
- Can it automate repetitive tasks so employees can focus on value-added work?
- Can AI help uncover insights and improve workflows?
Software-as-a-service (SaaS) models often provide a solution. By accessing software online through a subscription, companies avoid the burden of managing and updating the software themselves. According to Lith, cloud solutions are continuously improved and enhanced, allowing businesses to benefit from new features and updates without the need for internal development.
“This isn’t about outsourcing innovation,” he said. “It’s about tapping into ongoing improvements that most companies would struggle to achieve on their own.”
Cloud-based CRMs also enable better collaboration among teams and allow businesses to focus on service rather than systems. This shift is inevitable, even if it is often met with resistance. Customer expectations set the pace, and a shopper who cannot reach a business on their preferred channel may never return.
Businesses must assume customers will want to engage through their phones, chat apps, social media, and even smartwatches. Achieving this level of seamlessness requires both technical ingenuity and careful policy-making. Systems must give customers control over their data, log consents properly, and demonstrate compliance with regulations such as South Africa’s Protection of Personal Information Act (POPIA), which mirrors Europe’s GDPR.
Lith emphasized the importance of flexibility in subscriptions to prevent customers from paying extra for standard features. He advised companies to choose a CRM that is open and allows them to extract their data whenever needed.
Careful preparation is essential. Lith recommended conducting a thorough needs analysis to determine what a CRM should do. This baseline helps measure future improvements across marketing, sales, support, and teamwork. It also serves as a reality check for expectations.
None of this is glamorous. It involves painstaking work that happens long before customers experience any improvements. However, this is the nature of sound technology strategy: the less friction a system presents on the front end, the more effort goes into its underlying infrastructure.
Many South African companies will find that modernizing their CRMs is less about purchasing a product and more about rethinking how their systems operate. Doing this well will have lasting benefits long after the installation team has left. As Lith put it, “That is what future-proofing really looks like.”
