The role of CRM systems in consolidating the strategic position of the organization

As the market competition becomes keen, constructing acustomer relationship management system (CRM systems) is coming to the front for winning over new customers, developing service and products to enhance the strategic positionof the organization. This paper tried to answer two main questions: do theseCRM systems apply in several companies business environment and to which extent can these systemsstrengthen the strategic position of the organization. Quantitative method is adopted for answering the research questions. A Questionnaire is used for data gathering, after contacting several companies in Oman; 188 valid samples were collected, in addition confirmatory factor model and structural equation model were developed and tested and the overall results of the empirical investigation supported the general framework by using confirmatory factor analysis techniques. Statistical applications are used for data analysis; and different statistical tools were employed such as SPSS 21 and EQS 6.1. The results show that a CRM system is sustain the strategic positionof the organization. The research focused on medium and small firms. Although the study's concepts are potentially applicable in large firms too, further research is needed to determine if the model is applicable in the same context. Until such research is conducted, caution must be exercised in generalizing results to large firms as other factors are there to be considered.