ACCA Performance Management (F5) Certification Practice Exam

Disable ads (and more) with a membership for a one time $4.99 payment

Prepare for the ACCA Performance Management (F5) Certification Exam with our comprehensive quiz. Test your knowledge with multiple-choice questions, detailed explanations, and engaging flashcards. Boost your confidence and excel in your exam!

Practice this question and more.

What is the aim of Customer Relationship Management Systems (CRM)?

To focus on immediate operational tasks
To build and sustain long-term business relationships with customers
To automate financial reporting processes
To manage internal organizational communications

The correct answer is: To build and sustain long-term business relationships with customers

The aim of Customer Relationship Management Systems (CRM) is to build and sustain long-term business relationships with customers. CRMs are designed to enhance customer satisfaction, increase customer loyalty, and ultimately drive sales growth by managing relationships effectively throughout the customer lifecycle. This includes tracking interactions, managing customer information, and providing insights that help businesses understand customer needs and preferences. By fostering these connections, businesses can improve retention rates and create a loyal customer base, which is essential for long-term success. Focusing solely on immediate operational tasks or automating financial reporting processes does not capture the broad vision of what CRM aims to achieve. While managing internal organizational communications may be beneficial, it is not the primary goal of CRM; rather, that aspect is more aligned with enhancing internal efficiencies rather than customer-facing relationships.