The Role Of CRM In Successful Estimating Strategies For Agencies


The art and science of project estimation is a critical driver of success in the nuanced world of agency management.

Estimating entails predicting project timelines, resources, and budgets.

In essence, it consists of artfully balancing between the quantifiable and unquantifiable.

Inaccuracy in project estimates can set off a host of problems such as missed deadlines, budget overages, and at times, sour client relations.

Enter Customer Relationship Management (CRM) systems. CRM becomes a vital component of the estimating equation.

Many agencies are improving the precision and efficiency within their estimates by weaving CRM into their estimating strategies.

What follows are several ways in which CRM is revolutionizing estimating within an agency setting.

It is doing so by becoming a lynchpin that when used effectively can significantly improve the accuracy, efficiency, and satisfaction in project and client management.

Understanding the role of CRM with estimating in agencies

CRM in agencies has evolved beyond traditional client data storage and contact management.

Understanding the role of CRM with estimating in agencies

It is about a 360º handling of managing all facets of client interactions and engagements. 

This fulsome approach is absolutely critical when it comes to estimating projects.

Having a birds-eye view of clients and prospects is giving agencies a thoughtful advantage when it comes to project management and estimation.

It provides a comprehensive vision not just into which clients exist, but their history, likes, wants, and needs.

This gives agencies a window into tangibles and intangibles which come into account as they build out their estimates for projects that will fulfill client needs.

Estimation, a fundamental building block of project management, is the process of identifying the scope of a project and its resource requirements.

Accuracy is key -- misestimated projects not only lead to client dissatisfaction, they also erode margins.

With historical client interactions available in a CRM system and/or rich project outcomes stored, creating more accurate, more realistic project estimates is the real promise of the intersection of CRM and estimation.

Data management and analysis through CRM

CRM’s capability to manage and analyze extensive client and project data is one of its most compelling features for agencies.

This data, including everything from past project timelines and budgets to client feedback and communication logs, is a huge asset to agencies trying to improve estimating accuracy.

By analyzing historical data agencies can identify patterns and trends to guide future project estimates.

For example, if CRM data shows that projects for a certain type of client consistently exceed initial time or budget allotment, this insight can inform future project plans.

By making estimates based on data rather than guesses, agencies can set healthier expectations and improve their project planning and execution.

Improving client communication and understanding of client needs

Understanding of client needs is particularly critical to accurate project estimation, and CRM is essential in fostering this understanding.

By consolidating all client-related communications and touchpoints into one system,

Improving client communication and understanding of client needs

CRM ensures that every client specification, preference, and feedback is accounted for.

Communication made more efficient through CRM enables a common understanding of project goals between an agency and a client, which is critical to reflecting those goals in an estimate.

Further, CRM's tracking and analysis of client communication patterns allows agencies to see what clients really need and to retool their services accordingly.

Risk management isn't just an essential aspect of the estimation exercise; it's at the very core of a CRM.

For an agency, CRM data provides all the tools it needs to identify risks and evaluate their potential impact.

By mining historical project data, an agency can identify recurring risks associated with its typical projects that can be factored into the estimate and mitigated in the future.

For instance, CRM data may show that certain project types are prone to scope creep so that the agency can include contingencies for that risk in its estimate.

A forward-thinking approach not only leads to more accurate estimates, but more robust handling of the hiccups it doesn't anticipate.

Resource allocation and its corollary, time management, are essential to the successful delivery of a project — critical components of a CRM.

CRM data arms an agency with the information it needs to make conscious decisions about the allocation of resources and time to a project.

This knowledge affords insight into which resources have been most effective in past projects so agencies can allocate them more strategically in future marketing strategies and campaigns. 

Or it may inform an agency that “similar projects” in the past had an average duration of 60 days, asking the agency to adjust their 30-day internal estimate.

This level of accuracy in resource allocation and time management not only delivers efficiencies on a project level but also drives broader team performance and creates happier clients.

CRM integration with other estimation tools

Descriptions are the original attributes of the CRM entity that is inserted.

Be careful about the Name on the created entity, be sure that it always has a unique name because like I said before, it does not increment so the name you created before will need to be changed if the string value already exists for another element.

It is important to also keep it current.

For optimal estimating efficiency, many agencies integrate their CRM systems with other project management and estimation tools.

This delivers a more complete ecosystem whereby your CRM — that delights clients — can be married with the detailed project tracking and resource management of other tools.

This blend provides an “all-up” data picture of your projects and clients, delivering the most informed and accurate estimating possible.

For example, combining the real-time project data of current estimation tools with the historical client data from CRM enables the most rounded-about creation of your project estimates.

If the “integrated” bill of materials says you’ll need two hours of time from a vendor on your next project, knowing that they historically take 5 calls to nail down a project’s scope helps you to allocate this resource smarter and more accurately while making the “Human Resources” ladies that support this vendor much happier, indeed.


The implementation of agency CRM software like Function Point into agency estimating strategies marks a major paradigm shift in the approach to project planning and client management. 


CRM systems now provide the fundamental platform that is needed to not only augment estimation accuracy, but also manage client relationships and ensure efficient project execution.

As both business and technical landscapes continue to evolve, so too will the role of CRM in both project estimation and client management.

Those who embrace CRM in their estimating practice and do so effectively can expect to realize not only improved project outcomes, but also stronger and more enduring client relationships.

The future of CRM holds even greater promise with technologies such as artificial intelligence and machine learning offering the potential of even more precise and predictive estimating capabilities.

For those who are committed to maintaining an edge in their application of industry best practices, the ability to leverage CRM in their estimating strategies is not an option, it's a required competency.

To discover advanced CRM solutions made for agencies, consider looking at platforms like agency CRM software that are specifically engineered to both enhance estimating and client management processes.

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