Structural Analysis of Factors Influencing CRM Success in Oil and Gas Company

Abstract

In Indonesia, Customer Relationship Management (CRM) has been widely adopted in many companies, including oil and gas companies (OGC). The CRM implementation was done to improve the company's performance. However, research studying the relationship between CRM and OGC's performance remains limited. Therefore, an in-depth analysis examining the conceptual model of CRM factors is needed so that OGC can understand how to improve its performance through the implementation of CRM. This research describes in detail the conceptual model that shows the relations of CRM factors with OGC performance to obtain the relationship between variables. Partial Least Square Structural Equation Modeling (PLS-SEM) method was used to analyze the model. There are six variables, five hypotheses, and 26 indicators. Results showed that only 4 of the hypotheses are supported. One factor, information technology, results in positive yet insignificant influence, thereby failing to support the hypothesis at hand. With this research, the model is provided for OGC as a reference to improve its performance through CRM implementation.