Defining Best of Breed for CRM (TOUSA Homes)

Situation

Technical Olympic USA (NYSE: TOA), the nation’s 12th largest homebuilder (according to Builder Magazine), had invested heavily in back-end technology to connect all associates in all divisions to the tools and resources that would enable them to succeed in their jobs. The company already had a comprehensive accounting system, an extranet for resource-sharing, and a robust construction process-management system that integrated feedback from the trades, among other tools.

TOUSA hired MLC New Home Marketing (MLC) to help develop a centralized Customer Relationship Management (CRM) strategy that would expertly manage the technical aspects of contacts with customers and prospects and proactively remind associates of best practices in maintaining customer relationships throughout the customer life cycle.  The company aimed to leverage its existing systems and technology to further enhance its sales processes. In addition, the company wanted to build in processes for increasing the capture rates for its ancillary products, such as financial services.

Services Provided

MLC surveyed and analyzed the current sales processes and procedures in each division, and conducted an in-depth evaluation of TOUSA’s contract-management and option-management systems. To get an accurate depiction of the company’s current CRM processes, limitations and needs, MLC interacted firsthand with associates in the field as mystery shoppers.

The firm then worked hand-in-hand with the TOUSA divisions to define the functional requirements for contact management through all stages of the homebuilding contact cycle: lead generation and management, prospect management, contract management, buyer management, warranty/customer service management, and homeowner management.  This included the design center and financial service transactions.  This process required a comprehensive understanding not only of TOUSA’s internal systems and available data, but also of the real estate market and customers’ expectations. MLC defined critical data elements and how to map that data from system to system.

After the requirements had been established, MLC led the evaluation of vendors and selected aworld class CRM homebuilding tool, making sure that the chosen technology would maintain the culture of the company and allow for differences among divisions.

Finally, MLC lead an accelerated deployment of the CRM system with complete integration that created a seamless flow of information.  This service included operational support, functionality testing, and associate training to ensure associates would use the technology in the course of every-day business.

Outcome

Under MLC’s skilled project management, TOUSA’s CRM system was beta tested and rolled out ON TIME and WITHIN BUDGET in early 2006. This comprehensive system is customer driven and is able to process actively engaged prospects and homebuyers through all of the production functions of a homebuilder, even beyond the warranty period.

The key to making this project successful was convincing all divisions to buy into a centralized set of processes for managing their operations.  Adapting to change is difficult, especially when processes are ingrained, however MLC was able to demonstrate how converging around a single set of processes and a single system made the company as a whole stronger and to win the favorable support of all divisions.