CUSTOMER RELATIONSHIP MANAGEMENT AND ORGANISATIONAL PERFORMANCE: A SITUATIONAL ASSESSMENT OF ABUJA ELECTRICITY DISTRIBUTION COMPANY

Abstract

In contemporary business environment, business performance and Customer Relationship Management are two inseparable terms. It is believed that enterprises with effective Customer Relationship Management (CRM) strategies would always post significant positive performance. To examine this assertion, the study examined the effect of Customer Relationship Management on the organizational performance with a focus on Abuja Electricity Distribution Company. The study adopted a quantitative approach using a survey structured questionnaire to collect primary data on each of the variables from 316 staff of AEDC across all its regions and clusters. The null hypotheses were tested using multiple regression analysis. The analysis revealed that customer interaction (β = -0.047, p-value = 0.386) has a non-significant negative effect on AEDC’s performance while customer knowledge (β = 0.047, pvalue = 0.393) and CRM technology (β =0.102, p-value = 0.060) have non-significant positive effects on AEDC’s performance. However, customer value (β = 0.294, p-value = 0.000) has a significant positive effect the performance of AEDC. The study concludes that CRM has no significant effect on the performance of AEDC. Therefore, study recommended among others that AEDC’s management should tailor CRM strategies towards improving customer value which invariably boost company's performance.