Bsquared Customer Management Maturity

1. Customer Management Maturity
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2. Customer management maturity
The level of maturity a company demonstrates in its approach to its customer
relationships
Why is this important?
Gartner 2010 Forrester 2012
“Enterprises that deploy “Customer experience is
customer management probably the greatest untapped
strategies would return at least source of profits in business
25% better financial metrics than today”
those that didn’t”
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3. Customer management maturity
Companies with a mature approach to their customer relationships
■ Outdistance competitors through a more intimate knowledge of their customers
■ Quickly identify new business opportunities and improve the probability of winning
■ Reduce costs through building customer confidence, loyalty and improved customer
retention
■ Use customer data to drive changes in processes, products and services
Characteristics of a Mature Organisation
■ A CEO who is visionary in the business’ approach to managing customers
■ Involvement at all levels of the business in customer management activities
■ Accountability for change to ensure that change happens
■ Visibility and tracking of actions to drive change
■ Functions working together with common rather than conflicting agendas
■ Knowledge gained from customers is mined for maximum advantage
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4. Customer management maturity
This will provide a measure to understand:
■ Areas of potential strength in the organisation
■ Opportunities for improvement and action
■ Where best to invest resource
■ Components of a successful Customer Management Strategy
■ Insights into best practice of successful organisations
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5. Customer management maturity
Why build a model?
■ Subject area poorly defined
■ Plenty of anecdotal evidence but little empirical data
■ Establish a tool to support benchmarking
■ Platform for organisations to assess progress over time
Research conducted during 2011 and 2012
■ European and US based organisations
■ Business-to-business
■ Range of sectors
■ Senior level personnel – face-to-face and on-line
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6. Bsquared maturity model
Tangible results
5 Competitive and Relationship Impact
Organisational
Infrastructure
collaboration
processes
Integrated
Supporting
pillars
2 3 4
1 Executive Commitment and Vision
Foundation
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7. Bsquared maturity model
1 Executive Commitment and Vision
The extent to which senior executives express a desire and passion for building, growing, and sustaining key
customer relationships
2 Infrastructure
Describes the systems and technology that exist to collect, analyse and report on information that helps the
company understand the way in which the customer views the organisation and to guide key decisions
3 Integrated Processes
The degree to, and manner in which, customer data and knowledge is used in other business processes across the
organisation
4 Organisational Collaboration
The degree to which employees embrace the philosophy of customer-centricity and put the needs of customers
ahead of the needs of internal groups or functions
5 Competitive and Relationship Impact
The ability to measure and manage changes in your organisation’s competitive position and customer relationships
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8. Customer management maturity
Findings from pilot study
■ Only 8% of companies were executing consistently across all five key areas
■ Less than half had a clearly articulated and visible customer management
strategy
■ Areas of weakness identified were:
– Building the infrastructure required to support customer initiatives
– Getting internal functions to work together to use information gathered
to make improvements
– Acting on the intelligence gathered to drive change in the organisation
– Realising the full potential of the knowledge gained from customers
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9. Customer management maturity
Mature
Optimising
Active
Establishing /
in progress
Investigating
Zero
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10. Bsquared maturity model
Description of categories
Zero Investigating Establishing / in progress
Customer relationship management Describes an organisation that Describes an organisation that can
is undeveloped at the moment and recognises the need for more demonstrate a basic set of
not seen as an immediate priority focused customer relationship customer management processes
management practices. It is likely to and initiatives, but often
have begun work on individual disconnected and without a defined
initiatives that are limited in scope strategy
and visibility
Active Optimising Mature
Organisations at this level generally The organisation has not only The organisation has a clearly
have established customer developed a customer management articulated, established, and
management strategies, are building strategy but has also integrated it dynamic customer management
capabilities and launching initiatives, into the business. Focus is on strategy. The company is using
and may have implemented leveraging strengths and customer data to drive internal
customer management systems continuous improvement. changes, manage relationships,
and derive real value
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11. Customer management maturity
Programme results
Executive
Commitment
and Vision
5
Programme average
Your current performance
4
Programme best practice
3
Competitive
and 2
Infrastructure
Relationship
Impact 1
0
Organisational Integrated
Collaboration Processes
Needs work Improving Best practice
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