CSE 33

Peter Thomas - Customer Care Business Leader
Peter Thomas - Customer Care Business LeaderSenior Manager, Markets Care, ANZ at Microsoft em Microsoft
excellence
customer service
The Official Journal of the Customer Service Institute of Australia
Australian issue # 33
APRIL 08
CSIA- Australia’s Peak Customer Service Association.
Enrol in
Australia’s
only Certified
Customer Service
Manager Course.
Q&A with
Peter Thomas
Head of Customer Care
Nokia Australia
Letter from
Kevin Rudd MP,
Prime Minister
of Australia
Q&A with Mina Karpouzas
at Roses Only
Book Review:
Human Sigma
Welcome to the 33rd
edition of Customer Service Excellence!
Featured on this month’s edition of Customer Service Excellence is Peter
Thomas, Head of Customer Care for Nokia Australia. Nokia Care has recently
been certified to the International Customer Service Standard (ICSS). Read
about how Nokia Care’s rigorous mystery shopping program, Nokia Academy
and employee incentive programs have led to its service success!
This issue also features the new Prime Minister’s letter supporting the
Australian Service Excellence Awards. Don’t miss your chance to be a part of
this prestigious event.
Also in the edition is an article that features a study from Dr. Rita Di Mascio of
the University of NSW investigating the wide range of interpretations among
customer service employees.
As always, we seek and welcome your feedback — please email any
contributions or ideas to info@csia.com.au. If you are interested in reviewing a
book and being our guest book reviewer of the month for one of our upcoming
magazines, please let us know.
Happy reading!
Contents
The Customer Service Institute of Australia was established in 1997 to serve the needs of all Australians who work in customer service. Today
it is our nation’s peak customer service body and secretariat for the International Council of Customer Service Organisations. ICSSO is an
international collective of organisations promoting service excellence through the International Customer Service Standard certification program
and the International Service Excellence Awards.
Our members include CEO’s, business owners, government employees and of course customer service professionals. High quality customer
service is universally regarded as imperative for long term business success. To enhance customer service in your organisation join the CSIA.
We are driven by and committed to the development of people, systems and standards to improve customer service.
The CSIA is a not-for-profit company limited by guarantee.
Art Director
Tiffany Mehnert
Editor
Christine Churchill
Contact CSIA
info@csia.com.au
www.csia.com.au
(02) 9386 4477
02
06
10
13
17
21
Letter from Kevin Rudd MP,
Prime Minister of Australia
Q&A with Peter Thomas
Head of Customer Care, Nokia Australia
Q&A with Mina Karpouzas at Roses Only
The Multiple Meanings of Customer Service
BOOK REVIEW: Human Sigma
Customer Caring in the Age of Technology
CUSTOMER SERVICE EXCELLENCE
THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA
2
1 Briefly describe your position and
role in the company.
My role is Head of Customer Care for Nokia
Australia. Primary responsibility is the
provision of post sales service and support for
Nokia customers in Australia. This includes
assisting consumers to get the most out of
their Nokia device and also to provide
accessible and hassle free repair services
should a Nokia device encounter any
problems. It is vitally important that I ensure
the money invested by Nokia in Customer
Care service delivery is well directed and
provides maximum value in terms of the
customer experience. Nokia recognises that
happy customers are by and large loyal
customers – a well directed Customer Care
investment can be a very profitable investment
medium to long term.
2 How does Nokia
Care use mystery
shopping? How has it
helped you improve your delivery of
service to your customers?
Our Mystery Shopping program is an integral
part of our Customer Service offering. We
want to understand what our customers see,
what they feel and what they hear – we want
to know about their experience so we can
continuously improve our service delivery.
Peter Thomas
Head of Customer Care
Nokia Australia
Q&Awith Nokia Australia’s
Peter Thomas
CUSTOMER SERVICE EXCELLENCE
THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA
3
When developing the question and observation
set used by the mystery shoppers, we wanted
to encompass all of our standards and
procedures that we have set for our front line
Customer Service team members as well as
gauge how our service delivery is perceived
through the customers’ eyes.
By encouraging and incentivising our team
members to strive for a high Mystery Shop
score, front line personnel naturally maximize
their energy and passion towards every single
‘moment of truth’ interaction.
Since the implementation of the Mystery
Shopper program last year, we have seen a
marked increase in customer satisfaction,
throughout the various assessment channels
that we use.
3What training and development
programs exist to drive customer
service?
All personnel have access to the Nokia Care
Academy, an online development resource,
which aims to demystify the Nokia Care
strategic identity.
Regular training is provided to Nokia Care
Centre branch managers under a continuous
development program which not only focuses
to their customer service skills development
but also to their development as managers
and leaders of a team.
Similarly, Customer Service and Technical
personnel receive regular online and
classroom style training targeting key skills
development. Nokia provides regular new
product introduction and technology training
to ensure employees are always equipped
with the knowledge they need to serve even
the most demanding customer.
There are also well established relationships
between Nokia Care Centre employees and
members of the Nokia Retail Team. Through
those relationships, issue resolution for Nokia
retail partners is a coordinated approach and
the Nokia Care Centre employees also have
access to an accessible knowledge resource
which is critical in such a fast passed
technology environment.
4What management techniques are
used, describe the best aspects of
employee relations and the managerial
style of the company?
Services at all Nokia Care Centres are
delivered by Nokia’s strategic partner,
Fone Care. Fone Care operates exclusively
for Nokia and is therefore able to benefit
from Nokia’s broad resources in the areas
of personnel management, training and
development.
One aspect of personnel management which
has the greatest impact is the employee
incentive programs. All personnel, both
Q&A WITH PETER THOMAS …continued
CUSTOMER SERVICE EXCELLENCE
THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA
4
technical and non-technical are incentivised
to outperform against challenging targets
derived from Nokia business objectives.
Team members receive continuous
communications on the progress of the
business via daily Support Office Bulletins
which are the primary communication resource.
The management style of the company is
relaxed and open. Whilst there are guidelines
and procedures in place to ensure efficient
running of the business, our team are
encouraged to innovate and try new ideas
to delight or surprise customers.
5Has the workforce been involved in
developing strategies for success?
What areas were identified by
employees to improve the company’s
operations? Is the workforce committed
to excellence?
u All employees were engaged in the
development of the charter.
u In May, senior management from Nokia
and Fone Care will embark on a national
Roadshow to share the vision for the future
and seek feedback and input from Nokia Care
Centre team members.
u Nokia Care’s certification to the
International Customer Service Standard was
very early in the piece communicated as a
collective goal which each and every
individual within the business could influence
and support in some way. Team members
were immediately motivated by such a
tangible and achievable goal for the business.
u Inclusion of regional managers in
review meetings between Nokia and Fone
Care – provide ground level feedback
and perspective on decisions regarding
direction and process changes that will
impact centre teams
6Can you explain Nokia Care’s new
Plus 1 – Connectivity role? Why
did Nokia Care feel this role was
necessary? How do you think this will
improve service?
Feedback from customers via various
channels identified the need for a higher level
Q&A WITH PETER THOMAS …continued
CUSTOMER SERVICE EXCELLENCE
THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA
5
of data and connectivity support to be offered.
Customers also wanted that support to be in
person rather than over the phone. As a result,
the Connectivity role was established to
extend the level of support provided already
within our Nokia Care Centres.
Care team members with a higher than
average understanding of mobile connectivity
and technology were identified and trained to
act as the main points of contact for highly
technical customer issues.
Initially scoped to offer training and support
for Nokia PC-Suite related issues, the role
has now expanded to include everything
from data backup support, Bluetooth support
and Wi-Fi connectivity right down to simple
menu navigation. We have now expanded
into offering one-on-one appointments, and
will soon be launching evening training
sessions for customers who want to learn
more about the features and capabilities
of their Nokia device.
7How does Nokia Care recognise
and reward in relation to Customer
Service?
We have a number of awards that we present
to our employees throughout the year, with
prizes and certification sent out to the team
member. Team members are also recognised
via mention in daily Bulletins and various
events throughout the year. Awards are
achieved by scoring well on a Mystery Shop,
by colleague nominations or by receiving
positive feedback from our customers.
8What systems and processes
exist to promote ongoing
Customer Service improvement
across Nokia Care?
The mindset of Nokia Care’s Customer
Service is that we need to be constantly
improving to remain a leader and innovator
in our industry.
Every single piece of feedback we receive
from Customers and the Care Team is used
in scoping our processes and procedures.
By using efficient communication channels
to disseminate information from the central
Support Office to the Nokia Care Centres,
we can ensure a consistent nation-wide
commitment and improvement to the highest
levels Customer Service.
It is also critically important that Nokia Care’s
front line touchpoints have a cooperative
relationship. Much time and effort is spent
developing relationships and sharing
information between Nokia Care Centre teams
and the team at the Nokia Careline.
Very key to customer delight is the
empowerment of front line personnel to
resolve issues. The Nokia Care Centre team
are fully empowered to make decisions at
that critical “moment of truth”.
Q&A WITH PETER THOMAS …continued
CUSTOMER SERVICE EXCELLENCE
THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA
6
It’s that time again, where the top organisations
in Australia are competing to achieve one of
the coveted Australian Service Excellence
Awards and a shot at becoming the Best of
the Best 2007/08.
The National Australian Service Excellence
Awards dinner is one of the most prestigious
industry events and attended by industry
leaders from across the country. This event is
an excellent opportunity for attendees to rub
shoulders with the top organisations and leaders
in the industry. Not to mention it is the perfect
time for winners to showcase their newly
acquired trophies and success!
This year’s application and submission
deadline is 31st May, 2008. Don’t wait to get
your submission started! Start today!
The awards are ‘strongly supported’ by
Australia’s new Prime Minister, the Honourable
Kevin Rudd MP. The Prime Minister believes that
‘in a tough and competitive global economy,
service excellence is critical for Australia’s future
competitiveness and success’ and the
important role the awards and the Customer
Service Institute of Australia play in ‘recognising
the efforts of many talented customer service
individuals and organisations’.
2007/2008 Australian
Service Excellence Awards
CUSTOMER SERVICE EXCELLENCE
THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA
7
The Customer Service Institute of Australia recently received an Australian Service
Excellence Awards message from Prime Minister Kevin Rudd. For many years, the former
Prime Minister John Howard had supported the Australian Service Excellence Awards and
congratulated nominated individuals and organisations for their commitment to service
excellence.
CSIA is very proud to receive such recognition on behalf of our members from the highest
office in the land and believes the Prime Minister sending us this message so early in his
first term demonstrates an ongoing commitment from the Australian government to
Service Excellence.
CSIA works very hard to gain visibility for its work amongst state and federal government
and have been delighted by the bi-partisan support we have received from state and
federal governments over the last eleven years.
We thank the Prime Minister for his message and wish him and his government all the
best for a successful term in office.
Prime Minister Rudd sends message of
Congratulations to CSIA Award nominees!
A Tradition of Prime
Ministerial Support
In 2001, the then Prime Minister John
Howard demonstrated his support for
Service Excellence in Australia and the
Customer Service Institute of Australia’s
Australian Service Excellence Awards.
This support reinforced CSIA’s position
as Australia’s peak Customer Service
body and provided significant
recognition of the tremendous efforts
of Australia’s Customer Focused
individuals and organisations.
CSIA works very hard to gain visibility
for its work amongst state and federal
government and have been delighted
by the bi-partisan support we have
received from state and federal
governments over the last eleven years.
MESSAGE: AUSTRALIAN SERVICE EXCELLENCE AWARDS
I commend the Customer Service Institute of Australia for organising the
Australian Service Excellence Awards.
Excellence in the provision of customer service is critical to the success of
Australian business in the global trading environment and, therefore, to the
continued reputation and prosperity of the nation as a whole.
Through showcasing organisations and individuals that have demonstrated
excellence in the realm of customer service, the Awards serve an important
role in promoting the highest standards of professionalism and responsiveness
within the Australian business community.
I congratulate those organisations that have been nominated for recognition
in the Awards and applaud each of those Australian enterprises striving for
customer service excellence.
John Howard
PRIME MINISTER
CANBERRA
CUSTOMER SERVICE EXCELLENCE
THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA
8


























PRIME MINISTER
CANBERRA
CUSTOMER SERVICE EXCELLENCE
THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA
9
ABOUT THE AWARDS
The CSIA Australian Service Excellence
Awards showcase achievement in Customer
Service. Reaching the finals and winning
an award illustrates the high standards of
management, training and commitment
to excellence within those organisations.
Customer Service is an essential factor in
maintaining an organisation’s competitive
edge in the marketplace. Many organisations
are placing greater emphasis on developing a
customer service culture and making it a
strategic priority.
State-based Awards are conducted in New
South Wales/ACT, Victoria, Queensland, South
Australia/Tasmania and Western Australia.
State winners in each category automatically
qualify for the National Awards program. The
criteria for the Australian Service Excellence
Awards is based on the International
Customer Service Standard (ICSS), which
provides a comprehensive and practical
framework to assist organisations to
consistently deliver high levels of service.
AIM OF THE AWARDS
u To recognise excellence, best practice
and innovation in customer service and to
highlight their importance in today’s business
climate.
u To promote customer service as a
profession and to improve the level of its
practitioners’ professionalism through
assessment, accred-itation, certification and
recognition. Thus improving the pride,
motivation and self-esteem of customer
service professionals.
u To promote the International Customer
Service Standard (including customer
charters), which will help organisations
develop and sustain a customer ethos
through improve-ments to the design,
delivery, quality and effectiveness of customer
service strategies, policies and systems.
u To improve knowledge of the components
of customer service excellence.
For additional information about this year’s awards or the International Customer Service
Standard (ICSS) simply contact CSIA on (02) 9386 4477 or email us at info@csia.com.au.
2007/2008 Australian Service Excellence Awards
CUSTOMER SERVICE EXCELLENCE
THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA
10
QWhat is your current role at
Roses Only?
I recently took on the role of National Call
Centre Manager, heading the call centre in
our Sydney office.
I have a team of 13 Consultants, which also
grows to 30 consultants during our peak
periods. I also have a Team Leader,
Supervisor, Internet Consultants, dispatch
officer and indirect control of the production
and our fleet of contract drivers.
My responsibility involves leading, managing,
coaching, motivating and more importantly
be an advocate in continuous improvement
strategies that can improve our service
offering to our customers, both internal
and external.
QHow long have you been in Customer
Service?
Being the best really matters to me, which
is why I have over 15years of experience in
the field of managing and leading customer
service centres, for a variety of industry
leaders.
I have “service” running through my blood,
therefore I enjoy working with people in
instilling “a customer comes first” strategy.
Our staff play a very critical role in the
success of a business therefore involving
them in the key decision process is important
as they ultimately make it happen.
Customers are our livelihood therefore every
business should be constantly looking at way
to improve the experience and the key touch
points of their organisation.
We have our own call centre customer motto
and this is defined as follows:
“the call is in our hands, therefore we
have the power to make that experience
the best one”.
QWhy did you decide to enroll in the
Certified Customer Service Manager
course (CCSM) / Diploma of Business?
I looked at a number of courses prior to the
CCSM and there was nothing that provided
the level of insight.
The CCSM qualification included a very broad
insight into all key areas of responsibility of
that of a Customer Service Manager.
It was also flexible and allowed me to work
at my own pace, therefore enabling me to
complete this diploma in under 12 months.
The information was also practical and real
which enabled one to impart with more
Q&A with
Mina Karpouzas
at Roses Only
CUSTOMER SERVICE EXCELLENCE
THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA
11
Q&A…continued
knowledge and perhaps a different look into
how things can be viewed.
QDo you feel that the CCSM course
was valuable?
Absolutely valuable. The CCSM course is an
accredited course.
Companies whom I have closely worked
with have regarded this as an essential
qualification for undertaking the role, coupled
with my 15 years of experience gave me more
recognition.
QHow did the CCSM course
improve your skills as a Customer
Service Leader?
A good leader should always look at ways to
improve themselves.
The CCSM qualification is unique in that it
looks at providing a better experience on
every aspect of the business and how to
further improve and empower your people in
every department of your organisation. It is
a must for every aspiring Customer Service
Manager or Manager who hasn’t had that
formal training.
QHas having this qualification assisted
in the progression of your customer
service career?
I am finally recognised as a qualified service
professional thanks to the CCSM qualification.
The role which I have today, which heads the
national call centre and operations of Roses
Only, has made this possible.
I am now looking at ways to further my
education but the CCSM has certainly made
this possible for both my career and for my
personal element.
QWould you recommend the CCSM
course to others?
Roses Only will be venturing into
Accreditation and training packages for
frontline and the CCSM course will be chosen
for my supervisors and team leaders.
I have no hesitation in referring this course
to other organisations whom I have close
contact with.
I am a big believer in that your return on
investment is your people and every
improvement you make should encompass
the customer and the way in which the
experience can be improved.
The CCSM qualification is unique in that it looks at providing
a better experience on every aspect of the business and
how to further improve and empower your people in every
department of your organisation.
The Certified Customer Service Manager (CCSM) program includes a workbook, lectures,
assignments and an assessment. The successful completion of the initial course leads to the
awarding of the CCSM (Level I) and a nationally accredited Certificate IV in Frontline
Management, Customer Contact. Graduates can progress, as Mina did, to the CCSM
(Advanced) and receive a Diploma of Business under the Australian Qualifications Framework.
10 years and going strong
A Grand History 
of service excellence
CSIA Celebrate 10 years as
Australia’s Leading Customer
Service Body!
Some Organisations
talk about excellence
in customer service.
CSIA Members prove it!
If you want to be sure your organisation is delivering on its’ service promise
and promote your commitment to service excellence, contact CSIA
www.csia.com.au, info@csia.com.au or phone 02 9386 4477.
Limited
CUSTOMER SERVICE EXCELLENCE
THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA
13
MULTIPLE
MEANINGSOF CUSTOMER SERVICE
THE
WHAT DO FRONTLINE STAFF THINK ‘CUSTOMER SERVICE’ MEANS?
A study by Dr Rita Di Mascio, of the University of NSW, has found a surprisingly
wide range of interpretations among customer service employees.
BY MIKE JACOBSON
CUSTOMER SERVICE EXCELLENCE
THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA
14
D
Dr Di Mascio’s study was conducted in two
phases. The first phase involved in-depth
interviews, ranging from 40-60 minutes, with
30 frontline employees from a variety of retail
industries (eg. fast food, clothing, electrical
appliances, footwear). Participants were
asked what ‘customer service’ and
‘competent customer service representative’
meant to them.
Dr Di Mascio says that the participants’
responses about their understanding of
customer service could be divided into three
distinct categories: a ‘win-win’ view, in which
the employee formed a mutually beneficial
relationship with the customer based on
problem-solving; an ‘efficiency’ view, involving
giving customers what they want, efficiently
and courteously; and a ‘means’ view in which
customer service was a means to an end,
where the ‘end’ was an immediate objective,
such as a sales quota.
A mobile phone retailer with a ‘win-win’ view
of customer service responded: “Customer
service is all about resolving customer needs.
Having said that, there’s always one or two of
those customers that you think there’s no way
in the world you can help. But at the end of
the day, good customer service means you’re
going one step further for the customer. So
you look into it a bit deeper, find out what’s
behind what they’re asking, and hopefully find
a solution to make that customer happy. This
way they know they can trust you to look after
them, not take advantage of them. You can
start to get a friendship relationship going,
which hopefully brings more business down
the track.”
A café worker with an ‘efficiency’ view of
customer service said: “Customer service is
serving customers as quick as we can,
because customers don’t want to wait in a
long queue. We just want to serve them
whatever they ask for quickly. But we still
have to be nice to them, despite the fact that
we’re run off our feet. For example, when
they’re ordering coffee we can’t say ‘hey, you
– it’s ready’. Instead, when they order we take
down their names, and when their order’s
ready we call out their name and say ‘your
coffee – or whatever – is ready’. It’s more civil
this way because we’re using their name. We
get to know them, too.”
A category gift store employee in the ‘means’
category, said: “Customer service means
satisfying enough of their needs to make a
sale. That’s all you want – a sale – because
it’s impossible to satisfy all of their needs.”
Dr Di Mascio says that the three views of
customer service also varied in their
perceptions of the main task while providing
customer service; the role of the service
provider and customer; and how the quality of
service was assessed.
“Service providers with a ‘win-win’ view saw
their task as establishing an atmosphere in
which they could find out what customers
actually need, thereby solving customers’
‘real’ problems. They perceived themselves as
resources that customers could use to solve
their problems, not being customer ‘slaves’
but needing customer respect to establish a
satisfying relationship.
“They saw customers as unique, each with
different needs, and being able to make their
own decisions when given the right
information. These providers thought that
their customers were the best judges of
service quality.
“Conversely, service providers with a ‘means’
view saw their task as managing customers
and making customers think they are friends.
This is related to seeing customers as
‘malleable’, and that service providers can
influence their behavior. These providers
THE MULTIPLE MEANINGS OF CUSTOMER SERVICE…continued
Universal ‘one size fits all’
training programs might
be disseminating definitions
of customer service that
could be inappropriate for
some business types.
Dr Rita Di Mascio
CUSTOMER SERVICE EXCELLENCE
THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA
15
grouped customers into categories requiring
different service approaches. They saw
themselves like actors, able to invoke different
ways of relating to these different groups of
customers.
“They judged customer service as good when
the service provider was able to achieve his/
her objectives by influencing the customer.”
“Finally, ‘efficiency’ category service providers
saw their task as ensuring that company
procedures were always followed in word and
action, irrespective of customer behavior.
Consequently, they were prepared to tolerate
rude customers because they are ‘The
Customer’. Another point of difference was
that they saw all customers as wanting the
same style of service (eg. same degree of
politeness). They saw themselves as having to
hide real feelings, such as anger, and being of
most use to customers when they could
answer their questions.
“These providers thought that good customer
service was achieved by following customer
procedures to make customers happy.”
Dr Di Mascio says that the second phase of
the study verified the three views of customer
service in a quantitative survey of 346 retail
customer service representatives. This survey
also asked respondents for their gender and
length of experience working in customer
service; the industry they worked in; whether
they had sales quotas to meet; and
perceptions of their own competence and
customer orientation.
She says that this data showed:
u ‘means’ category respondents were most
likely to have sales quotas to meet;
u in order of employee competence, the
categories were ranked ‘win-win’ (most),
‘means’ and ‘efficiency’;
u in order of customer orientation, the order
was ‘win-win’, ‘efficiency’ and ‘means’.
Dr Di Mascio says that her study has
ramifications for customer service employee
recruiting.
“Different businesses have different ways of
relating to customers. For instance, fast food
outlet customers generally want their food to
be served as quickly as possible. In that
context, customer service means giving
customers what they want efficiently and
courteously, so frontline staff in this industry
should have an ‘efficiency’ view of customer
service. People with a ‘win-win’ view are likely
to become frustrated and leave.
“A ‘win-win’ view of customer service is more
appropriate for personal banking staff, for
instance. They need to establish relationships
with customers, and suggest products to
solve their customers’ problems.”
Dr Di Mascio adds that her study also raises
staff training issues.
“Some training programs for sales and service
staff teach step-by-step processes to achieve
customer service excellence, or ways to get
customers to say ‘yes’, irrespective of the
type of business. Universal ‘one size fits all’
training programs might be disseminating
views of customer service that could be
inappropriate for some business types.
“Worse, naturally competent customer service
staff (ie. those with a ‘win-win’ definition) who
are compelled by their employers to attend
such training courses may actually become
de-skilled.”
The findings of Dr Di Mascio’s study were
published in a research paper, “Whose
version of customer service am I getting?”,
which was presented at the Academy of
Marketing Science Conference in Florida, USA.
Dr Rita Di Mascio is a lecturer in Marketing at the University of NSW. She researches issues
related to service management. She can be contacted at r.dimascio@unsw.edu.au.
THE MULTIPLE MEANINGS OF CUSTOMER SERVICE…continued
The Customer Service Institute of Australia
is currently taking applications for its two day
Certified Customer Service Manager Course
(CCSM). Some additional course work is
required.
The CSIA has worked with leading
organisations to develop a training,
assessment and certification program leading
to Australia’s first and only formal nationally
recognised “Certified Customer Service
Manager” designation.
Organisations can now benefit from qualified
service professionals.
The course includes a workbook and a two
day workshop followed by an assessment.
By meeting Government criteria certain
candidates may attract incentives of up
to $4,000.
For more information
Phone: 02 9386 4477
info@csia.com.au
www.csia.com.au
Ser
vice Mana
ger
Cert
ified Custo
mer
CSIA
CUSTOMER SERVICE EXCELLENCE
THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA
17
Like it or not the Digital world
is here to stay. The wonderful world of
technology is impacting every area of our lives
personal and business. Internet usage is
doubling every 100 days! Technology has
sped up time, shortened distance, and
connected us globally in real time in a way
never before possible.
Technology in the business-to-business
sector is giving us the opportunities to provide
value like speed, convenience, information,
two-way dialog to our customers and
prospects alike in a manner that is effective
and efficient. Customers are letting us know
that, in many cases, they prefer self-service!
Many are actually delighted that they can now
track their own packages, book their own
airline tickets, and configure their own
customized computer systems. The customer
is empowered to finally get it their way, when
and how and where they want it. Many are fed
up with the poor service they have received in
the past and now take charge of the service
themselves — a trend that portends danger if
we don’t discover how we can understand
these customers and give them what they
want before our competitors do. And, then,
keep them engaged and loyal. It’s a tall order.
We are all on untested ground and have no
proven models to follow (although the early
arrival of Amazon.com seemed to set the
standards for many.) Used well, today’s
technology will broaden our ability to get
closer and stay closer to our customers, and
build a bridge of knowledge and understanding.
Used poorly (“For the accounting department
dial one, for the productions department dial
two, for sales dial three”) it will build walls that
will push our customers right into the arms of
our competitors.
CUSTOMER CARING
IN THE
Age of
Technology
BY JOANNA BRANDI
CUSTOMER SERVICE EXCELLENCE
THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA
18
While many think of technology only as
“internet,” the technologies our businesses
use to touch or alienate our customers
include database, telephony, EDI, bar
coding, point of sale systems, and of course,
internet and extranet applications like e-mail
and websites.
A few of my columns put forth some ideas
on how to employ your technology to get
closer to your customers and provide the
personalized, customized, “high touch” level
of service that is most likely to engender
loyalty in today’s rapidly changing world.
(Sorry — no guarantees here — your
customer is changing every day.)
Since most businesses, small and large,
employ some form of database to manage
their customers and prospects, I will begin
with some ideas on using your database to
get closer to your customer. Herewith a few
of those ideas:
Celebrate. While most people suggest that
capturing and remembering birthdays is a
good idea (I do too) so few people actually
do it. Why not remember your customer with
a more significant date each year — like the
anniversary of the day you started doing
business together. Record the date in your
database and celebrate the relationship with
a card, a call, a gift.
Be specific. The emerging SOHO market
has very different needs then corporate
America. How might you fill them?
(Sometimes the toughest part of leaving a
corporate job is that you can’t call the IS
department for help any more!) What value-
add support systems can you provide for your
small office, home office business clients?
What needs do they have that others don’t —
pay close attention to this emerging sector
and step in to fill unfilled needs.
Identify the role. Decision Maker,
Influencer, Buyer, Specifier — in B-T-B a
person often has many roles, depending on
the product they are buying. Can you design
your database to be flexible enough to
understand the particular role one places in
the purchasing process? Once you do that,
direct your communications to the values and
benefits that matter to that person in the role
they are playing.
Engage the customer. See the web
in combination with your database as a tool
to get even closer. Those companies that
are offering a private web site, or client-only
sites have the opportunity to capture a lot
of information on what is really important
to specific customers. Let the customers
know that this is one of the benefits of their
interacting with you. You understand more
about them and will be able to serve them
better. BTB clients understand the capture of
information and are willing to provide it, if they
know how you are going to use it. Be up-front
and clear about how you will use the client’s
info, and their e-mail addresses. Be sure to
give the client an option to “opt-out” of your
marketing too. It’s a must in our privacy-
concerned times.
CUSTOMER CARING…continued
Can you design your database
to be flexible enough to understand
the particular role one places
in the purchasing process?
CUSTOMER SERVICE EXCELLENCE
THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA
19
Customer directed marketing is
now possible. Ask how often and how
people want to be contacted — let customers
update their own profiles and let them direct
you. Today’s customers want to have more
control over their relationship with their
suppliers, and they want only that information
that is relevant.
Think “behavior.” What behaviors can
you track with your database that will be
helpful in the future? Get out of thinking only
about transactional information and think
behavioral characteristics. (For instance, I like
to buy things on sale. There are some
catalogs I will never buy from — unless of
course they offer me a sale — why don’t they
see that?)
I put forth my opinion that technology, used
well, broadens our ability to get closer, stay
closer and build loyalty with customers. It
gives us the opportunity to build a bridge
of knowledge and understanding. But, when
we use it poorly it can build walls that push
our customers right into the arms of our
competitors. Witness your own behavior when
one of those automated answer systems tells
you that the wait is 31 minutes after you’ ve
have already been through three sets of
automated choices! So, if bridges are what
you are looking to build, read on.
Continuing the discussion of things you can
do to build your relationship through better
use of your database, I will start with an idea
I call Hot Buttons.
Customers have different buying
motivations. Some people (or whole
companies) must have the newest technology
first, these are the early adapters. Others have
a deep need for security and never stray far
from the brand leader (remember the old
saying No one ever got fired for buying IBM.)
Others need to feel they are smart and need
to know they have made the intelligent
choice. Others may want the more popular
choice. Either way it helps to put your
customers hot buttons in the database so
everyone who touches them has an
opportunity to sell the motivation that matters,
that is, as long as you provide it.
Red Alert. Has your customer ever
complained or voiced a strong concern? Ever
had a problem? How was it resolved and how
quickly? Statistics still bear out the truth that
a customer whose problem is solved on the
spot is very likely to continue to do business
with you again (95% to be exact). So make
sure you have the recovery systems in place
to solve problems. Then go a step further and
make sure the relationship stays fixed.
Cataloger Brad Williams of Garnet Hill tracks
all his customers that have had problems
and follows up on each and every one of them
to make sure the problem was solved
satisfactorily. He then tags the record in the
database, so staff will remember to take extra
CUSTOMER CARING…continued
Today’s customers want to have more
control over their relationship with their
suppliers, and they want only that
information that is relevant.
CUSTOMER SERVICE EXCELLENCE
THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA
20
special care of them. And oh, by the way, this
group of special people buys more than any
other group. Wonder why? They already know
what the company’s made of.
Trust, respect, communication are all qualities
of relationships we cannot live without. Does
everything you do speak these qualities?
Today, privacy is an issue for many. Give
people the option to opt in or opt out of
lists that you rent or sell. This is especially
important with e-mail lists. Be up front with
how you use information. Customers are also
responding well to people who are up front
about their marketing strategies. If you mail
12 catalogs a year, why not let the customer
know they can get less if they wish? IBM
found that sending less mail, but making it
more relevant yields more sales.
Put your best foot forward. Let your
customer know how intelligent you are about
them. You can customize your catalog or
brochure cover by putting their favorite
product line on the cover. You can set up
internet pages for existing customers that
speak to their interests directly. Do you know
they buy more PC’s then networks? Or that
they buy more copy paper in April then in
August? What do you know about them that
can help you enhance the relationship?
Amazon.com’s appeal is its ability to track
buying habits and recommend books that I’m
already interested in. They make it easier for
the customer and boost sales to boot.
Value Propositions. Value means
different things to different people. Consider
understanding how your customer thinks
about value. Is it convenience, breadth of your
product line, your location, ease of access or
use, product features, guarantee that they
value most? Can you develop a rating system
for understanding value from your customer’s
point of view? Then use that rating system to
customize sales presentations, brochures,
and sales. The more you know about your
customer the better you will be at serving
them. Make sure many different people, at all
levels of the company understand how you
create and add value. Design an exercise to
do with your team that articulates clearly what
specifics of value makes a difference to your
customers. A customer who travels a lot
might value speed and convenience over
price. A buying agent might value size of your
product line your ability to ship to multiple
branches. The more people understand about
value and what it means, the easier it is to
provide. And providing value is what it’s all
about, isn’t it?
©2007 JoAnna Brandi & Company,
All rights reserved.
JoAnna Brandi is the author of Winning
at Customer Retention, 101 Ways to Keep
‘em Happy, Keep ‘em Loyal and Keep ‘em
Coming Back and 54 Ways to Stay Positive
in a Changing, Challenging and Sometimes
Negative World. She’s the publisher of the
Customer Care Coach®
, a weekly email
based training program, and of a free,
bi-weekly newsletter. Sign up now at
http://www.customercarecoach.com
CUSTOMER CARING…continued
Congratulationstoourmost
recent CCSM graduates!
JULIE RUSBY, DIP. BUS.- CCSM
Medicare Australia
BRONWYN SALVEMINI,
DIP. BUS.- CCSM
Medicare Australia
VICKI SCHIPANO,
DIP. BUS.- CCSM
Medicare Australia
GLENN SMITH,
DIP. BUS.- CCSM
Medicare Australia
CUSTOMER SERVICE EXCELLENCE
THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA
21
★★★★
It was only a matter of time before someone
coined the phrase ‘Human Sigma’ as the next
breakthrough that will lead to an
organisation’s success. I was not sure what to
expect when purchased this book however, I
was pleasantly surprised with what I read. For
those who are good with people and are also
good people ‘managers’, much of what is
revealed in this book is not surprising. The
surprising thing; however, is the amount of
research and data that was completed that
supports the idea that engaged employees
are the key to building and maintaining
exceptional customer relationships.
Exceptional customer relationships lead to
what the authors refer to as ‘fully engaged
customers’. And ‘fully engaged customers’
spend more money. Heaps more money.
Human Sigma’s approach to measuring
customer ‘satisfaction’ is similar to that of Fred
Reichheld’s Net Promoter (see The Ultimate
Question book review in the February 2008
edition of Customer Service Excellence)
measurement ‘system’; asking if your customer
is likely to recommend your organisation to
others (i.e. are they an ‘advocate’?).
Fleming and Asplund argue that, while
Reichheld was on the right track, he simply
did not take the question to the next level;
that level being WHY the customer
recommends your organisation. To put it in
their words,
‘... a single item advocacy metric doesn’t tell
you why customers recommend a company.
As a result, it doesn’t give you the intelligence
you need to manage customer touchpionts to
increase the number of these advocates.’
This, of course, makes sense but, one would
wonder, ‘isn’t knowing they will recommend
the organisation enough information?’.
After much research, Fleming and Asplund
found that, in fact, it is not enough. Their
results indicated that there are three types
of advocates:
1) Non-advocates – ‘less than extremely
likely to recommend’
2) Rational advocates – ‘extremely likely to
recommend but lack a strong emotional bond’
3) Passionate advocates – ‘extremely likely to
recommend and have forged a strong
emotional bond’
It is probably clear from the listing that
your preference would be to have passionate
advocates. But why? Certainly one would
want rational advocates as well as passionate
advocates – both segments indicated their
likeliness to recommend the company to others.
‘emotional advocates delivered significantly
enhanced business outcomes when
compared to their rational counterparts, both
Book Review
Human Sigma
By John H Fleming Ph.D. and John Asplund
Review By Christine Churchill
CUSTOMER SERVICE EXCELLENCE
THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA
22
in share of assets and in the net new assets
they invest with the company. Surprisingly,
rational advocates did not differ from the non-
advocates on these key financial measures’
Whilst I expected there to be more spend from
the passionate advocates, the twist was in the
outcome that rational advocates did not differ
from non-advocates. This shows, very strongly,
that the emotional connection and relationships
with customers is of the utmost importance
and should have a significantly higher
emphasis placed on them than, I believe, we
are currently seeing in most organisations.
The way these relationships can form,
develop and grow over time is by ensuring
that team members within the company are
engaged in their role. To actually walk the talk
is to back the statement most organisations
cling to ‘our people are our most valuable
asset’. It certainly sounds like the right thing
to say, but often, it is not reflected in the way
companies are managed. The almighty dollar
and productivity are Numero Uno.
It seems however, that through employee
engagement, dollars will come in at a steadier
and faster pace and that productivity will
increase with an engaged workforce. In fact,
‘...the growth rate of high-engagement
companies was 2.6 times the growth rate of
the low-engagement companies’.
Of course engaged employees sound great,
especially given the current workforce
challenges. It is suggested that there are four
core principals of employee engagement and
those are:
u Manage by outcomes not behaviours
u Liberate don’t legislate
u Engagement is for everyone
u All politics is local (manage engagement
locally – don’t dictate it from the top down)
Once your employees are engaged, they can
build customer relationships and engage your
customers as well. That’s right; customer
engagement was also something that was
measured. Fleming and Asplund break
customer engagement level down into four
groups: fully engaged, engaged, not engaged
and actively disengaged). I was blown away
by the statistics that indicated that ‘customers
who are fully engaged represent an average
23% premium in terms of share of wallet,
profitability ,revenue, and relationship growth
than the average customer’.
It is always good to remember that customers
are ‘people first and customers second’
therefore, emotions (especially pride and
passion) will enter into their buying decision. If
strong emotional attachments are formed and
forged with a company, your can be certain
that many of your customers will become fully
engaged and will increase their spend and will
be one of your company’s largest advocates.
During a Gallup poll conducted in 2000,
it was revealed that there are four dimensions
to a customer’s emotional attachment to a
company:
1) Confidence
2) Integrity
3) Pride
4) Passion
How can you achieve all four of these
emotional touchpoints with a customer? Mess
up. That’s right. It’s all about service recovery.
If there is an area to work on and focus on
with your team, it’s ensuring your organisation’s
service recovery is second to none.
I am certainly not saying that you should
intentionally ‘mess up’, as that would put your
customer’s confidence in your organisation at
risk but, when you do have an opportunity to
recover, do it well!
One of the best examples from the book to
reflect the power of exceptional service
recovery is
‘...a large group of US retail banking
customers, 26% of those who had not
Book Review…continued
CUSTOMER SERVICE EXCELLENCE
THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA
23
recently had a problem were fully engaged
with the bank. But among those customers
who had experienced a problem and were
extremely satisfied with the way the bank
handled it, 51% were not fully engaged with
the bank.’
It just goes to show that a complaint really
can become a gift, leading to exceptional
service recovery by an engaged employee,
which in turn strengthens the emotional bond
between the customer and the organisation,
leading to a fully engaged customer, leading
to Numero Uno – that almighty dollar.
Overall, I thought this book was well done and
took many notes. I would have liked to have
seen more around the actual measurement
tools and implementation. (that’s why it is only
received 4 stars) Human Sigma reassured,
through statistically significant survey results,
that consumers are all emotional spenders
and that we, as organisations and customer
service leaders, must ensure we form
relationships with our customers and to treat
those relationships like gold.
Christine Churchill is an
Executive Director of the
Customer Service Institute of
Australia. She is a graduate of
the University of Delaware
holding a Bachelors in
Business Administration
(Marketing). Christine has over fifteen years
experience in customer service, and her
passion lies in the people; training and
development for all levels of an organisation
helping individuals become the best they can
be for themselves and their organisation.
Book Review…continued
Discounted access to Australia’s
first professional qualification
for customer service managers
- the “Certified Customer Service
Manager Course”
Twelve issues of our monthly
e-magazine “Customer Service
Excellence Magazine”
Copy of the new edition best
selling book: “Customer Service
Excellence”
Free opportunity for attendance
on the 2 day International Customer
Service Standard Licensed
Assessors Accreditation
Course (annual places are limited)
Continuing recognition of
member’s professional
standing through maintained use
of the CSIA’s designatory post-
nominal letters: MCSIA
Automatic free nomination for
judging as one of Australia’s leading
customer service professional
through the individual section of
the prestigious Australian Service
Excellence awards
Discounts on training, events and
functions
Certificate of Membership
Becoming a member of CSIA has
many benefits and is only $295
inc GST. Membership forms can
be downloaded from our website
www.csia.com.au/membership.asp
or email info@csia.com.au to
request a form.
Become a CSIA Member
CSIA Membership Benefits

Recomendados

Sewells Group ProspectusSewells Group Prospectus
Sewells Group ProspectusSewells MSXI
1.3K visualizações19 slides
Horizons lead the supportHorizons lead the support
Horizons lead the supportvipulgupta206
896 visualizações23 slides

Mais conteúdo relacionado

Mais procurados

Otibhor Mysha Katuka-CVOtibhor Mysha Katuka-CV
Otibhor Mysha Katuka-CVOtibhor Mysha Katuka
263 visualizações6 slides
Janya IT Technologies_PPT-LJanya IT Technologies_PPT-L
Janya IT Technologies_PPT-LVishnu Mohan
281 visualizações14 slides
Trilogy Health ServicesTrilogy Health Services
Trilogy Health ServicesAmberWebb
1.2K visualizações14 slides
omerbutt 1omerbutt 1
omerbutt 1Omer Butt butt
79 visualizações4 slides
Business innovation-2014Business innovation-2014
Business innovation-2014Luong Phuoc
405 visualizações6 slides

Mais procurados(7)

Otibhor Mysha Katuka-CVOtibhor Mysha Katuka-CV
Otibhor Mysha Katuka-CV
Otibhor Mysha Katuka263 visualizações
Janya IT Technologies_PPT-LJanya IT Technologies_PPT-L
Janya IT Technologies_PPT-L
Vishnu Mohan281 visualizações
Trilogy Health ServicesTrilogy Health Services
Trilogy Health Services
AmberWebb1.2K visualizações
omerbutt 1omerbutt 1
omerbutt 1
Omer Butt butt79 visualizações
Business innovation-2014Business innovation-2014
Business innovation-2014
Luong Phuoc405 visualizações
EMPLOYEES ROLE IN SERVICE DELIVERY  - Module 4EMPLOYEES ROLE IN SERVICE DELIVERY  - Module 4
EMPLOYEES ROLE IN SERVICE DELIVERY - Module 4
Azam FA8.6K visualizações

Destaque

Seo adelaibleSeo adelaible
Seo adelaiblemax201
191 visualizações7 slides
BP ResumeBP Resume
BP ResumeBernard Palmer
338 visualizações3 slides
Seo servicesSeo services
Seo servicesmax201
243 visualizações7 slides
Philippine Top 3 ResortsPhilippine Top 3 Resorts
Philippine Top 3 ResortsRhoell Bandong
211 visualizações8 slides
The Last LeafThe Last Leaf
The Last LeafRhoell Bandong
1.2K visualizações5 slides
BP ResumeBP Resume
BP ResumeBernard Palmer
365 visualizações3 slides

Destaque(16)

Seo adelaibleSeo adelaible
Seo adelaible
max201191 visualizações
BP ResumeBP Resume
BP Resume
Bernard Palmer338 visualizações
Seo servicesSeo services
Seo services
max201243 visualizações
Philippine Top 3 ResortsPhilippine Top 3 Resorts
Philippine Top 3 Resorts
Rhoell Bandong211 visualizações
The Last LeafThe Last Leaf
The Last Leaf
Rhoell Bandong1.2K visualizações
BP ResumeBP Resume
BP Resume
Bernard Palmer365 visualizações
SoccerSoccer
Soccer
Faith10227.6K visualizações
News letter SampleNews letter Sample
News letter Sample
Rhoell Bandong314 visualizações
Bartenders' ToolsBartenders' Tools
Bartenders' Tools
Rhoell Bandong329 visualizações
HLO 10 minute pitch_NewHLO 10 minute pitch_New
HLO 10 minute pitch_New
Richard Au167 visualizações
Pananakit sa KapwaPananakit sa Kapwa
Pananakit sa Kapwa
Rhoell Bandong1.2K visualizações
Products of GoogleProducts of Google
Products of Google
Shashank Pujari205 visualizações
How to do 3 d anamorphic artwork and sidewalkHow to do 3 d anamorphic artwork and sidewalk
How to do 3 d anamorphic artwork and sidewalk
Rhoell Bandong800 visualizações
M&A ,   valeant and allergenM&A ,   valeant and allergen
M&A , valeant and allergen
Anamitra Basu279 visualizações
A P J Abdul KalamA P J Abdul Kalam
A P J Abdul Kalam
Shashank Pujari136 visualizações
Steve JobsSteve Jobs
Steve Jobs
Shashank Pujari555 visualizações

Similar a CSE 33

Call to Excellence 2016Call to Excellence 2016
Call to Excellence 2016Bernardine Michael
525 visualizações4 slides
ISO Supplement...ISO Supplement...
ISO Supplement...Charles Omondi
218 visualizações7 slides
Kalpen JagirdarKalpen Jagirdar
Kalpen JagirdarKalpen Jagirdar
122 visualizações2 slides
Call to Excellence Forum 2015Call to Excellence Forum 2015
Call to Excellence Forum 2015Zane Tarek
472 visualizações4 slides

Similar a CSE 33(20)

Call to Excellence 2016Call to Excellence 2016
Call to Excellence 2016
Bernardine Michael525 visualizações
ISO Supplement...ISO Supplement...
ISO Supplement...
Charles Omondi218 visualizações
Kalpen JagirdarKalpen Jagirdar
Kalpen Jagirdar
Kalpen Jagirdar122 visualizações
Call to Excellence Forum 2015Call to Excellence Forum 2015
Call to Excellence Forum 2015
Zane Tarek472 visualizações
Effective Customer ServiceEffective Customer Service
Effective Customer Service
Foster & Bridge Indonesia722 visualizações
Customer-Engagement-2016-webCustomer-Engagement-2016-web
Customer-Engagement-2016-web
Ingrid Woodward235 visualizações
JENNA CV  (2)JENNA CV  (2)
JENNA CV (2)
Jenna Kristine Garcia188 visualizações
Call Center Summit 2009   DptCall Center Summit 2009   Dpt
Call Center Summit 2009 Dpt
Dhaval Thakur1.5K visualizações
Paul CV SEPTEMBER 2015Paul CV SEPTEMBER 2015
Paul CV SEPTEMBER 2015
Paul Phillips29 visualizações
Paul CV SEPTEMBER 2015Paul CV SEPTEMBER 2015
Paul CV SEPTEMBER 2015
Paul Phillips83 visualizações
CX_ebookCX_ebook
CX_ebook
Pauline Ho277 visualizações
Netforte Company Presentation Netforte Company Presentation
Netforte Company Presentation
LucieColt486 visualizações
L&D Directory - High resL&D Directory - High res
L&D Directory - High res
Amarella Hendrikse115 visualizações
Ninan Thomas resumeNinan Thomas resume
Ninan Thomas resume
Ninan Thomas198 visualizações
CEW2018 Cape TownCEW2018 Cape Town
CEW2018 Cape Town
Maggie Wheeler188 visualizações
Bridging The Knowledge GapBridging The Knowledge Gap
Bridging The Knowledge Gap
Ravinder Bhan612 visualizações
Jeremy Hobday ResumeJeremy Hobday Resume
Jeremy Hobday Resume
Jeremy Michael Hobday156 visualizações
5043-NDIS-WEB-25043-NDIS-WEB-2
5043-NDIS-WEB-2
Richard Jackson92 visualizações

CSE 33

  • 1. excellence customer service The Official Journal of the Customer Service Institute of Australia Australian issue # 33 APRIL 08 CSIA- Australia’s Peak Customer Service Association. Enrol in Australia’s only Certified Customer Service Manager Course. Q&A with Peter Thomas Head of Customer Care Nokia Australia Letter from Kevin Rudd MP, Prime Minister of Australia Q&A with Mina Karpouzas at Roses Only Book Review: Human Sigma
  • 2. Welcome to the 33rd edition of Customer Service Excellence! Featured on this month’s edition of Customer Service Excellence is Peter Thomas, Head of Customer Care for Nokia Australia. Nokia Care has recently been certified to the International Customer Service Standard (ICSS). Read about how Nokia Care’s rigorous mystery shopping program, Nokia Academy and employee incentive programs have led to its service success! This issue also features the new Prime Minister’s letter supporting the Australian Service Excellence Awards. Don’t miss your chance to be a part of this prestigious event. Also in the edition is an article that features a study from Dr. Rita Di Mascio of the University of NSW investigating the wide range of interpretations among customer service employees. As always, we seek and welcome your feedback — please email any contributions or ideas to info@csia.com.au. If you are interested in reviewing a book and being our guest book reviewer of the month for one of our upcoming magazines, please let us know. Happy reading! Contents The Customer Service Institute of Australia was established in 1997 to serve the needs of all Australians who work in customer service. Today it is our nation’s peak customer service body and secretariat for the International Council of Customer Service Organisations. ICSSO is an international collective of organisations promoting service excellence through the International Customer Service Standard certification program and the International Service Excellence Awards. Our members include CEO’s, business owners, government employees and of course customer service professionals. High quality customer service is universally regarded as imperative for long term business success. To enhance customer service in your organisation join the CSIA. We are driven by and committed to the development of people, systems and standards to improve customer service. The CSIA is a not-for-profit company limited by guarantee. Art Director Tiffany Mehnert Editor Christine Churchill Contact CSIA info@csia.com.au www.csia.com.au (02) 9386 4477 02 06 10 13 17 21 Letter from Kevin Rudd MP, Prime Minister of Australia Q&A with Peter Thomas Head of Customer Care, Nokia Australia Q&A with Mina Karpouzas at Roses Only The Multiple Meanings of Customer Service BOOK REVIEW: Human Sigma Customer Caring in the Age of Technology
  • 3. CUSTOMER SERVICE EXCELLENCE THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA 2 1 Briefly describe your position and role in the company. My role is Head of Customer Care for Nokia Australia. Primary responsibility is the provision of post sales service and support for Nokia customers in Australia. This includes assisting consumers to get the most out of their Nokia device and also to provide accessible and hassle free repair services should a Nokia device encounter any problems. It is vitally important that I ensure the money invested by Nokia in Customer Care service delivery is well directed and provides maximum value in terms of the customer experience. Nokia recognises that happy customers are by and large loyal customers – a well directed Customer Care investment can be a very profitable investment medium to long term. 2 How does Nokia Care use mystery shopping? How has it helped you improve your delivery of service to your customers? Our Mystery Shopping program is an integral part of our Customer Service offering. We want to understand what our customers see, what they feel and what they hear – we want to know about their experience so we can continuously improve our service delivery. Peter Thomas Head of Customer Care Nokia Australia Q&Awith Nokia Australia’s Peter Thomas
  • 4. CUSTOMER SERVICE EXCELLENCE THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA 3 When developing the question and observation set used by the mystery shoppers, we wanted to encompass all of our standards and procedures that we have set for our front line Customer Service team members as well as gauge how our service delivery is perceived through the customers’ eyes. By encouraging and incentivising our team members to strive for a high Mystery Shop score, front line personnel naturally maximize their energy and passion towards every single ‘moment of truth’ interaction. Since the implementation of the Mystery Shopper program last year, we have seen a marked increase in customer satisfaction, throughout the various assessment channels that we use. 3What training and development programs exist to drive customer service? All personnel have access to the Nokia Care Academy, an online development resource, which aims to demystify the Nokia Care strategic identity. Regular training is provided to Nokia Care Centre branch managers under a continuous development program which not only focuses to their customer service skills development but also to their development as managers and leaders of a team. Similarly, Customer Service and Technical personnel receive regular online and classroom style training targeting key skills development. Nokia provides regular new product introduction and technology training to ensure employees are always equipped with the knowledge they need to serve even the most demanding customer. There are also well established relationships between Nokia Care Centre employees and members of the Nokia Retail Team. Through those relationships, issue resolution for Nokia retail partners is a coordinated approach and the Nokia Care Centre employees also have access to an accessible knowledge resource which is critical in such a fast passed technology environment. 4What management techniques are used, describe the best aspects of employee relations and the managerial style of the company? Services at all Nokia Care Centres are delivered by Nokia’s strategic partner, Fone Care. Fone Care operates exclusively for Nokia and is therefore able to benefit from Nokia’s broad resources in the areas of personnel management, training and development. One aspect of personnel management which has the greatest impact is the employee incentive programs. All personnel, both Q&A WITH PETER THOMAS …continued
  • 5. CUSTOMER SERVICE EXCELLENCE THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA 4 technical and non-technical are incentivised to outperform against challenging targets derived from Nokia business objectives. Team members receive continuous communications on the progress of the business via daily Support Office Bulletins which are the primary communication resource. The management style of the company is relaxed and open. Whilst there are guidelines and procedures in place to ensure efficient running of the business, our team are encouraged to innovate and try new ideas to delight or surprise customers. 5Has the workforce been involved in developing strategies for success? What areas were identified by employees to improve the company’s operations? Is the workforce committed to excellence? u All employees were engaged in the development of the charter. u In May, senior management from Nokia and Fone Care will embark on a national Roadshow to share the vision for the future and seek feedback and input from Nokia Care Centre team members. u Nokia Care’s certification to the International Customer Service Standard was very early in the piece communicated as a collective goal which each and every individual within the business could influence and support in some way. Team members were immediately motivated by such a tangible and achievable goal for the business. u Inclusion of regional managers in review meetings between Nokia and Fone Care – provide ground level feedback and perspective on decisions regarding direction and process changes that will impact centre teams 6Can you explain Nokia Care’s new Plus 1 – Connectivity role? Why did Nokia Care feel this role was necessary? How do you think this will improve service? Feedback from customers via various channels identified the need for a higher level Q&A WITH PETER THOMAS …continued
  • 6. CUSTOMER SERVICE EXCELLENCE THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA 5 of data and connectivity support to be offered. Customers also wanted that support to be in person rather than over the phone. As a result, the Connectivity role was established to extend the level of support provided already within our Nokia Care Centres. Care team members with a higher than average understanding of mobile connectivity and technology were identified and trained to act as the main points of contact for highly technical customer issues. Initially scoped to offer training and support for Nokia PC-Suite related issues, the role has now expanded to include everything from data backup support, Bluetooth support and Wi-Fi connectivity right down to simple menu navigation. We have now expanded into offering one-on-one appointments, and will soon be launching evening training sessions for customers who want to learn more about the features and capabilities of their Nokia device. 7How does Nokia Care recognise and reward in relation to Customer Service? We have a number of awards that we present to our employees throughout the year, with prizes and certification sent out to the team member. Team members are also recognised via mention in daily Bulletins and various events throughout the year. Awards are achieved by scoring well on a Mystery Shop, by colleague nominations or by receiving positive feedback from our customers. 8What systems and processes exist to promote ongoing Customer Service improvement across Nokia Care? The mindset of Nokia Care’s Customer Service is that we need to be constantly improving to remain a leader and innovator in our industry. Every single piece of feedback we receive from Customers and the Care Team is used in scoping our processes and procedures. By using efficient communication channels to disseminate information from the central Support Office to the Nokia Care Centres, we can ensure a consistent nation-wide commitment and improvement to the highest levels Customer Service. It is also critically important that Nokia Care’s front line touchpoints have a cooperative relationship. Much time and effort is spent developing relationships and sharing information between Nokia Care Centre teams and the team at the Nokia Careline. Very key to customer delight is the empowerment of front line personnel to resolve issues. The Nokia Care Centre team are fully empowered to make decisions at that critical “moment of truth”. Q&A WITH PETER THOMAS …continued
  • 7. CUSTOMER SERVICE EXCELLENCE THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA 6 It’s that time again, where the top organisations in Australia are competing to achieve one of the coveted Australian Service Excellence Awards and a shot at becoming the Best of the Best 2007/08. The National Australian Service Excellence Awards dinner is one of the most prestigious industry events and attended by industry leaders from across the country. This event is an excellent opportunity for attendees to rub shoulders with the top organisations and leaders in the industry. Not to mention it is the perfect time for winners to showcase their newly acquired trophies and success! This year’s application and submission deadline is 31st May, 2008. Don’t wait to get your submission started! Start today! The awards are ‘strongly supported’ by Australia’s new Prime Minister, the Honourable Kevin Rudd MP. The Prime Minister believes that ‘in a tough and competitive global economy, service excellence is critical for Australia’s future competitiveness and success’ and the important role the awards and the Customer Service Institute of Australia play in ‘recognising the efforts of many talented customer service individuals and organisations’. 2007/2008 Australian Service Excellence Awards
  • 8. CUSTOMER SERVICE EXCELLENCE THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA 7 The Customer Service Institute of Australia recently received an Australian Service Excellence Awards message from Prime Minister Kevin Rudd. For many years, the former Prime Minister John Howard had supported the Australian Service Excellence Awards and congratulated nominated individuals and organisations for their commitment to service excellence. CSIA is very proud to receive such recognition on behalf of our members from the highest office in the land and believes the Prime Minister sending us this message so early in his first term demonstrates an ongoing commitment from the Australian government to Service Excellence. CSIA works very hard to gain visibility for its work amongst state and federal government and have been delighted by the bi-partisan support we have received from state and federal governments over the last eleven years. We thank the Prime Minister for his message and wish him and his government all the best for a successful term in office. Prime Minister Rudd sends message of Congratulations to CSIA Award nominees! A Tradition of Prime Ministerial Support In 2001, the then Prime Minister John Howard demonstrated his support for Service Excellence in Australia and the Customer Service Institute of Australia’s Australian Service Excellence Awards. This support reinforced CSIA’s position as Australia’s peak Customer Service body and provided significant recognition of the tremendous efforts of Australia’s Customer Focused individuals and organisations. CSIA works very hard to gain visibility for its work amongst state and federal government and have been delighted by the bi-partisan support we have received from state and federal governments over the last eleven years. MESSAGE: AUSTRALIAN SERVICE EXCELLENCE AWARDS I commend the Customer Service Institute of Australia for organising the Australian Service Excellence Awards. Excellence in the provision of customer service is critical to the success of Australian business in the global trading environment and, therefore, to the continued reputation and prosperity of the nation as a whole. Through showcasing organisations and individuals that have demonstrated excellence in the realm of customer service, the Awards serve an important role in promoting the highest standards of professionalism and responsiveness within the Australian business community. I congratulate those organisations that have been nominated for recognition in the Awards and applaud each of those Australian enterprises striving for customer service excellence. John Howard PRIME MINISTER CANBERRA
  • 9. CUSTOMER SERVICE EXCELLENCE THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA 8                           PRIME MINISTER CANBERRA
  • 10. CUSTOMER SERVICE EXCELLENCE THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA 9 ABOUT THE AWARDS The CSIA Australian Service Excellence Awards showcase achievement in Customer Service. Reaching the finals and winning an award illustrates the high standards of management, training and commitment to excellence within those organisations. Customer Service is an essential factor in maintaining an organisation’s competitive edge in the marketplace. Many organisations are placing greater emphasis on developing a customer service culture and making it a strategic priority. State-based Awards are conducted in New South Wales/ACT, Victoria, Queensland, South Australia/Tasmania and Western Australia. State winners in each category automatically qualify for the National Awards program. The criteria for the Australian Service Excellence Awards is based on the International Customer Service Standard (ICSS), which provides a comprehensive and practical framework to assist organisations to consistently deliver high levels of service. AIM OF THE AWARDS u To recognise excellence, best practice and innovation in customer service and to highlight their importance in today’s business climate. u To promote customer service as a profession and to improve the level of its practitioners’ professionalism through assessment, accred-itation, certification and recognition. Thus improving the pride, motivation and self-esteem of customer service professionals. u To promote the International Customer Service Standard (including customer charters), which will help organisations develop and sustain a customer ethos through improve-ments to the design, delivery, quality and effectiveness of customer service strategies, policies and systems. u To improve knowledge of the components of customer service excellence. For additional information about this year’s awards or the International Customer Service Standard (ICSS) simply contact CSIA on (02) 9386 4477 or email us at info@csia.com.au. 2007/2008 Australian Service Excellence Awards
  • 11. CUSTOMER SERVICE EXCELLENCE THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA 10 QWhat is your current role at Roses Only? I recently took on the role of National Call Centre Manager, heading the call centre in our Sydney office. I have a team of 13 Consultants, which also grows to 30 consultants during our peak periods. I also have a Team Leader, Supervisor, Internet Consultants, dispatch officer and indirect control of the production and our fleet of contract drivers. My responsibility involves leading, managing, coaching, motivating and more importantly be an advocate in continuous improvement strategies that can improve our service offering to our customers, both internal and external. QHow long have you been in Customer Service? Being the best really matters to me, which is why I have over 15years of experience in the field of managing and leading customer service centres, for a variety of industry leaders. I have “service” running through my blood, therefore I enjoy working with people in instilling “a customer comes first” strategy. Our staff play a very critical role in the success of a business therefore involving them in the key decision process is important as they ultimately make it happen. Customers are our livelihood therefore every business should be constantly looking at way to improve the experience and the key touch points of their organisation. We have our own call centre customer motto and this is defined as follows: “the call is in our hands, therefore we have the power to make that experience the best one”. QWhy did you decide to enroll in the Certified Customer Service Manager course (CCSM) / Diploma of Business? I looked at a number of courses prior to the CCSM and there was nothing that provided the level of insight. The CCSM qualification included a very broad insight into all key areas of responsibility of that of a Customer Service Manager. It was also flexible and allowed me to work at my own pace, therefore enabling me to complete this diploma in under 12 months. The information was also practical and real which enabled one to impart with more Q&A with Mina Karpouzas at Roses Only
  • 12. CUSTOMER SERVICE EXCELLENCE THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA 11 Q&A…continued knowledge and perhaps a different look into how things can be viewed. QDo you feel that the CCSM course was valuable? Absolutely valuable. The CCSM course is an accredited course. Companies whom I have closely worked with have regarded this as an essential qualification for undertaking the role, coupled with my 15 years of experience gave me more recognition. QHow did the CCSM course improve your skills as a Customer Service Leader? A good leader should always look at ways to improve themselves. The CCSM qualification is unique in that it looks at providing a better experience on every aspect of the business and how to further improve and empower your people in every department of your organisation. It is a must for every aspiring Customer Service Manager or Manager who hasn’t had that formal training. QHas having this qualification assisted in the progression of your customer service career? I am finally recognised as a qualified service professional thanks to the CCSM qualification. The role which I have today, which heads the national call centre and operations of Roses Only, has made this possible. I am now looking at ways to further my education but the CCSM has certainly made this possible for both my career and for my personal element. QWould you recommend the CCSM course to others? Roses Only will be venturing into Accreditation and training packages for frontline and the CCSM course will be chosen for my supervisors and team leaders. I have no hesitation in referring this course to other organisations whom I have close contact with. I am a big believer in that your return on investment is your people and every improvement you make should encompass the customer and the way in which the experience can be improved. The CCSM qualification is unique in that it looks at providing a better experience on every aspect of the business and how to further improve and empower your people in every department of your organisation. The Certified Customer Service Manager (CCSM) program includes a workbook, lectures, assignments and an assessment. The successful completion of the initial course leads to the awarding of the CCSM (Level I) and a nationally accredited Certificate IV in Frontline Management, Customer Contact. Graduates can progress, as Mina did, to the CCSM (Advanced) and receive a Diploma of Business under the Australian Qualifications Framework.
  • 13. 10 years and going strong A Grand History  of service excellence CSIA Celebrate 10 years as Australia’s Leading Customer Service Body! Some Organisations talk about excellence in customer service. CSIA Members prove it! If you want to be sure your organisation is delivering on its’ service promise and promote your commitment to service excellence, contact CSIA www.csia.com.au, info@csia.com.au or phone 02 9386 4477. Limited
  • 14. CUSTOMER SERVICE EXCELLENCE THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA 13 MULTIPLE MEANINGSOF CUSTOMER SERVICE THE WHAT DO FRONTLINE STAFF THINK ‘CUSTOMER SERVICE’ MEANS? A study by Dr Rita Di Mascio, of the University of NSW, has found a surprisingly wide range of interpretations among customer service employees. BY MIKE JACOBSON
  • 15. CUSTOMER SERVICE EXCELLENCE THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA 14 D Dr Di Mascio’s study was conducted in two phases. The first phase involved in-depth interviews, ranging from 40-60 minutes, with 30 frontline employees from a variety of retail industries (eg. fast food, clothing, electrical appliances, footwear). Participants were asked what ‘customer service’ and ‘competent customer service representative’ meant to them. Dr Di Mascio says that the participants’ responses about their understanding of customer service could be divided into three distinct categories: a ‘win-win’ view, in which the employee formed a mutually beneficial relationship with the customer based on problem-solving; an ‘efficiency’ view, involving giving customers what they want, efficiently and courteously; and a ‘means’ view in which customer service was a means to an end, where the ‘end’ was an immediate objective, such as a sales quota. A mobile phone retailer with a ‘win-win’ view of customer service responded: “Customer service is all about resolving customer needs. Having said that, there’s always one or two of those customers that you think there’s no way in the world you can help. But at the end of the day, good customer service means you’re going one step further for the customer. So you look into it a bit deeper, find out what’s behind what they’re asking, and hopefully find a solution to make that customer happy. This way they know they can trust you to look after them, not take advantage of them. You can start to get a friendship relationship going, which hopefully brings more business down the track.” A café worker with an ‘efficiency’ view of customer service said: “Customer service is serving customers as quick as we can, because customers don’t want to wait in a long queue. We just want to serve them whatever they ask for quickly. But we still have to be nice to them, despite the fact that we’re run off our feet. For example, when they’re ordering coffee we can’t say ‘hey, you – it’s ready’. Instead, when they order we take down their names, and when their order’s ready we call out their name and say ‘your coffee – or whatever – is ready’. It’s more civil this way because we’re using their name. We get to know them, too.” A category gift store employee in the ‘means’ category, said: “Customer service means satisfying enough of their needs to make a sale. That’s all you want – a sale – because it’s impossible to satisfy all of their needs.” Dr Di Mascio says that the three views of customer service also varied in their perceptions of the main task while providing customer service; the role of the service provider and customer; and how the quality of service was assessed. “Service providers with a ‘win-win’ view saw their task as establishing an atmosphere in which they could find out what customers actually need, thereby solving customers’ ‘real’ problems. They perceived themselves as resources that customers could use to solve their problems, not being customer ‘slaves’ but needing customer respect to establish a satisfying relationship. “They saw customers as unique, each with different needs, and being able to make their own decisions when given the right information. These providers thought that their customers were the best judges of service quality. “Conversely, service providers with a ‘means’ view saw their task as managing customers and making customers think they are friends. This is related to seeing customers as ‘malleable’, and that service providers can influence their behavior. These providers THE MULTIPLE MEANINGS OF CUSTOMER SERVICE…continued Universal ‘one size fits all’ training programs might be disseminating definitions of customer service that could be inappropriate for some business types. Dr Rita Di Mascio
  • 16. CUSTOMER SERVICE EXCELLENCE THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA 15 grouped customers into categories requiring different service approaches. They saw themselves like actors, able to invoke different ways of relating to these different groups of customers. “They judged customer service as good when the service provider was able to achieve his/ her objectives by influencing the customer.” “Finally, ‘efficiency’ category service providers saw their task as ensuring that company procedures were always followed in word and action, irrespective of customer behavior. Consequently, they were prepared to tolerate rude customers because they are ‘The Customer’. Another point of difference was that they saw all customers as wanting the same style of service (eg. same degree of politeness). They saw themselves as having to hide real feelings, such as anger, and being of most use to customers when they could answer their questions. “These providers thought that good customer service was achieved by following customer procedures to make customers happy.” Dr Di Mascio says that the second phase of the study verified the three views of customer service in a quantitative survey of 346 retail customer service representatives. This survey also asked respondents for their gender and length of experience working in customer service; the industry they worked in; whether they had sales quotas to meet; and perceptions of their own competence and customer orientation. She says that this data showed: u ‘means’ category respondents were most likely to have sales quotas to meet; u in order of employee competence, the categories were ranked ‘win-win’ (most), ‘means’ and ‘efficiency’; u in order of customer orientation, the order was ‘win-win’, ‘efficiency’ and ‘means’. Dr Di Mascio says that her study has ramifications for customer service employee recruiting. “Different businesses have different ways of relating to customers. For instance, fast food outlet customers generally want their food to be served as quickly as possible. In that context, customer service means giving customers what they want efficiently and courteously, so frontline staff in this industry should have an ‘efficiency’ view of customer service. People with a ‘win-win’ view are likely to become frustrated and leave. “A ‘win-win’ view of customer service is more appropriate for personal banking staff, for instance. They need to establish relationships with customers, and suggest products to solve their customers’ problems.” Dr Di Mascio adds that her study also raises staff training issues. “Some training programs for sales and service staff teach step-by-step processes to achieve customer service excellence, or ways to get customers to say ‘yes’, irrespective of the type of business. Universal ‘one size fits all’ training programs might be disseminating views of customer service that could be inappropriate for some business types. “Worse, naturally competent customer service staff (ie. those with a ‘win-win’ definition) who are compelled by their employers to attend such training courses may actually become de-skilled.” The findings of Dr Di Mascio’s study were published in a research paper, “Whose version of customer service am I getting?”, which was presented at the Academy of Marketing Science Conference in Florida, USA. Dr Rita Di Mascio is a lecturer in Marketing at the University of NSW. She researches issues related to service management. She can be contacted at r.dimascio@unsw.edu.au. THE MULTIPLE MEANINGS OF CUSTOMER SERVICE…continued
  • 17. The Customer Service Institute of Australia is currently taking applications for its two day Certified Customer Service Manager Course (CCSM). Some additional course work is required. The CSIA has worked with leading organisations to develop a training, assessment and certification program leading to Australia’s first and only formal nationally recognised “Certified Customer Service Manager” designation. Organisations can now benefit from qualified service professionals. The course includes a workbook and a two day workshop followed by an assessment. By meeting Government criteria certain candidates may attract incentives of up to $4,000. For more information Phone: 02 9386 4477 info@csia.com.au www.csia.com.au Ser vice Mana ger Cert ified Custo mer CSIA
  • 18. CUSTOMER SERVICE EXCELLENCE THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA 17 Like it or not the Digital world is here to stay. The wonderful world of technology is impacting every area of our lives personal and business. Internet usage is doubling every 100 days! Technology has sped up time, shortened distance, and connected us globally in real time in a way never before possible. Technology in the business-to-business sector is giving us the opportunities to provide value like speed, convenience, information, two-way dialog to our customers and prospects alike in a manner that is effective and efficient. Customers are letting us know that, in many cases, they prefer self-service! Many are actually delighted that they can now track their own packages, book their own airline tickets, and configure their own customized computer systems. The customer is empowered to finally get it their way, when and how and where they want it. Many are fed up with the poor service they have received in the past and now take charge of the service themselves — a trend that portends danger if we don’t discover how we can understand these customers and give them what they want before our competitors do. And, then, keep them engaged and loyal. It’s a tall order. We are all on untested ground and have no proven models to follow (although the early arrival of Amazon.com seemed to set the standards for many.) Used well, today’s technology will broaden our ability to get closer and stay closer to our customers, and build a bridge of knowledge and understanding. Used poorly (“For the accounting department dial one, for the productions department dial two, for sales dial three”) it will build walls that will push our customers right into the arms of our competitors. CUSTOMER CARING IN THE Age of Technology BY JOANNA BRANDI
  • 19. CUSTOMER SERVICE EXCELLENCE THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA 18 While many think of technology only as “internet,” the technologies our businesses use to touch or alienate our customers include database, telephony, EDI, bar coding, point of sale systems, and of course, internet and extranet applications like e-mail and websites. A few of my columns put forth some ideas on how to employ your technology to get closer to your customers and provide the personalized, customized, “high touch” level of service that is most likely to engender loyalty in today’s rapidly changing world. (Sorry — no guarantees here — your customer is changing every day.) Since most businesses, small and large, employ some form of database to manage their customers and prospects, I will begin with some ideas on using your database to get closer to your customer. Herewith a few of those ideas: Celebrate. While most people suggest that capturing and remembering birthdays is a good idea (I do too) so few people actually do it. Why not remember your customer with a more significant date each year — like the anniversary of the day you started doing business together. Record the date in your database and celebrate the relationship with a card, a call, a gift. Be specific. The emerging SOHO market has very different needs then corporate America. How might you fill them? (Sometimes the toughest part of leaving a corporate job is that you can’t call the IS department for help any more!) What value- add support systems can you provide for your small office, home office business clients? What needs do they have that others don’t — pay close attention to this emerging sector and step in to fill unfilled needs. Identify the role. Decision Maker, Influencer, Buyer, Specifier — in B-T-B a person often has many roles, depending on the product they are buying. Can you design your database to be flexible enough to understand the particular role one places in the purchasing process? Once you do that, direct your communications to the values and benefits that matter to that person in the role they are playing. Engage the customer. See the web in combination with your database as a tool to get even closer. Those companies that are offering a private web site, or client-only sites have the opportunity to capture a lot of information on what is really important to specific customers. Let the customers know that this is one of the benefits of their interacting with you. You understand more about them and will be able to serve them better. BTB clients understand the capture of information and are willing to provide it, if they know how you are going to use it. Be up-front and clear about how you will use the client’s info, and their e-mail addresses. Be sure to give the client an option to “opt-out” of your marketing too. It’s a must in our privacy- concerned times. CUSTOMER CARING…continued Can you design your database to be flexible enough to understand the particular role one places in the purchasing process?
  • 20. CUSTOMER SERVICE EXCELLENCE THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA 19 Customer directed marketing is now possible. Ask how often and how people want to be contacted — let customers update their own profiles and let them direct you. Today’s customers want to have more control over their relationship with their suppliers, and they want only that information that is relevant. Think “behavior.” What behaviors can you track with your database that will be helpful in the future? Get out of thinking only about transactional information and think behavioral characteristics. (For instance, I like to buy things on sale. There are some catalogs I will never buy from — unless of course they offer me a sale — why don’t they see that?) I put forth my opinion that technology, used well, broadens our ability to get closer, stay closer and build loyalty with customers. It gives us the opportunity to build a bridge of knowledge and understanding. But, when we use it poorly it can build walls that push our customers right into the arms of our competitors. Witness your own behavior when one of those automated answer systems tells you that the wait is 31 minutes after you’ ve have already been through three sets of automated choices! So, if bridges are what you are looking to build, read on. Continuing the discussion of things you can do to build your relationship through better use of your database, I will start with an idea I call Hot Buttons. Customers have different buying motivations. Some people (or whole companies) must have the newest technology first, these are the early adapters. Others have a deep need for security and never stray far from the brand leader (remember the old saying No one ever got fired for buying IBM.) Others need to feel they are smart and need to know they have made the intelligent choice. Others may want the more popular choice. Either way it helps to put your customers hot buttons in the database so everyone who touches them has an opportunity to sell the motivation that matters, that is, as long as you provide it. Red Alert. Has your customer ever complained or voiced a strong concern? Ever had a problem? How was it resolved and how quickly? Statistics still bear out the truth that a customer whose problem is solved on the spot is very likely to continue to do business with you again (95% to be exact). So make sure you have the recovery systems in place to solve problems. Then go a step further and make sure the relationship stays fixed. Cataloger Brad Williams of Garnet Hill tracks all his customers that have had problems and follows up on each and every one of them to make sure the problem was solved satisfactorily. He then tags the record in the database, so staff will remember to take extra CUSTOMER CARING…continued Today’s customers want to have more control over their relationship with their suppliers, and they want only that information that is relevant.
  • 21. CUSTOMER SERVICE EXCELLENCE THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA 20 special care of them. And oh, by the way, this group of special people buys more than any other group. Wonder why? They already know what the company’s made of. Trust, respect, communication are all qualities of relationships we cannot live without. Does everything you do speak these qualities? Today, privacy is an issue for many. Give people the option to opt in or opt out of lists that you rent or sell. This is especially important with e-mail lists. Be up front with how you use information. Customers are also responding well to people who are up front about their marketing strategies. If you mail 12 catalogs a year, why not let the customer know they can get less if they wish? IBM found that sending less mail, but making it more relevant yields more sales. Put your best foot forward. Let your customer know how intelligent you are about them. You can customize your catalog or brochure cover by putting their favorite product line on the cover. You can set up internet pages for existing customers that speak to their interests directly. Do you know they buy more PC’s then networks? Or that they buy more copy paper in April then in August? What do you know about them that can help you enhance the relationship? Amazon.com’s appeal is its ability to track buying habits and recommend books that I’m already interested in. They make it easier for the customer and boost sales to boot. Value Propositions. Value means different things to different people. Consider understanding how your customer thinks about value. Is it convenience, breadth of your product line, your location, ease of access or use, product features, guarantee that they value most? Can you develop a rating system for understanding value from your customer’s point of view? Then use that rating system to customize sales presentations, brochures, and sales. The more you know about your customer the better you will be at serving them. Make sure many different people, at all levels of the company understand how you create and add value. Design an exercise to do with your team that articulates clearly what specifics of value makes a difference to your customers. A customer who travels a lot might value speed and convenience over price. A buying agent might value size of your product line your ability to ship to multiple branches. The more people understand about value and what it means, the easier it is to provide. And providing value is what it’s all about, isn’t it? ©2007 JoAnna Brandi & Company, All rights reserved. JoAnna Brandi is the author of Winning at Customer Retention, 101 Ways to Keep ‘em Happy, Keep ‘em Loyal and Keep ‘em Coming Back and 54 Ways to Stay Positive in a Changing, Challenging and Sometimes Negative World. She’s the publisher of the Customer Care Coach® , a weekly email based training program, and of a free, bi-weekly newsletter. Sign up now at http://www.customercarecoach.com CUSTOMER CARING…continued Congratulationstoourmost recent CCSM graduates! JULIE RUSBY, DIP. BUS.- CCSM Medicare Australia BRONWYN SALVEMINI, DIP. BUS.- CCSM Medicare Australia VICKI SCHIPANO, DIP. BUS.- CCSM Medicare Australia GLENN SMITH, DIP. BUS.- CCSM Medicare Australia
  • 22. CUSTOMER SERVICE EXCELLENCE THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA 21 ★★★★ It was only a matter of time before someone coined the phrase ‘Human Sigma’ as the next breakthrough that will lead to an organisation’s success. I was not sure what to expect when purchased this book however, I was pleasantly surprised with what I read. For those who are good with people and are also good people ‘managers’, much of what is revealed in this book is not surprising. The surprising thing; however, is the amount of research and data that was completed that supports the idea that engaged employees are the key to building and maintaining exceptional customer relationships. Exceptional customer relationships lead to what the authors refer to as ‘fully engaged customers’. And ‘fully engaged customers’ spend more money. Heaps more money. Human Sigma’s approach to measuring customer ‘satisfaction’ is similar to that of Fred Reichheld’s Net Promoter (see The Ultimate Question book review in the February 2008 edition of Customer Service Excellence) measurement ‘system’; asking if your customer is likely to recommend your organisation to others (i.e. are they an ‘advocate’?). Fleming and Asplund argue that, while Reichheld was on the right track, he simply did not take the question to the next level; that level being WHY the customer recommends your organisation. To put it in their words, ‘... a single item advocacy metric doesn’t tell you why customers recommend a company. As a result, it doesn’t give you the intelligence you need to manage customer touchpionts to increase the number of these advocates.’ This, of course, makes sense but, one would wonder, ‘isn’t knowing they will recommend the organisation enough information?’. After much research, Fleming and Asplund found that, in fact, it is not enough. Their results indicated that there are three types of advocates: 1) Non-advocates – ‘less than extremely likely to recommend’ 2) Rational advocates – ‘extremely likely to recommend but lack a strong emotional bond’ 3) Passionate advocates – ‘extremely likely to recommend and have forged a strong emotional bond’ It is probably clear from the listing that your preference would be to have passionate advocates. But why? Certainly one would want rational advocates as well as passionate advocates – both segments indicated their likeliness to recommend the company to others. ‘emotional advocates delivered significantly enhanced business outcomes when compared to their rational counterparts, both Book Review Human Sigma By John H Fleming Ph.D. and John Asplund Review By Christine Churchill
  • 23. CUSTOMER SERVICE EXCELLENCE THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA 22 in share of assets and in the net new assets they invest with the company. Surprisingly, rational advocates did not differ from the non- advocates on these key financial measures’ Whilst I expected there to be more spend from the passionate advocates, the twist was in the outcome that rational advocates did not differ from non-advocates. This shows, very strongly, that the emotional connection and relationships with customers is of the utmost importance and should have a significantly higher emphasis placed on them than, I believe, we are currently seeing in most organisations. The way these relationships can form, develop and grow over time is by ensuring that team members within the company are engaged in their role. To actually walk the talk is to back the statement most organisations cling to ‘our people are our most valuable asset’. It certainly sounds like the right thing to say, but often, it is not reflected in the way companies are managed. The almighty dollar and productivity are Numero Uno. It seems however, that through employee engagement, dollars will come in at a steadier and faster pace and that productivity will increase with an engaged workforce. In fact, ‘...the growth rate of high-engagement companies was 2.6 times the growth rate of the low-engagement companies’. Of course engaged employees sound great, especially given the current workforce challenges. It is suggested that there are four core principals of employee engagement and those are: u Manage by outcomes not behaviours u Liberate don’t legislate u Engagement is for everyone u All politics is local (manage engagement locally – don’t dictate it from the top down) Once your employees are engaged, they can build customer relationships and engage your customers as well. That’s right; customer engagement was also something that was measured. Fleming and Asplund break customer engagement level down into four groups: fully engaged, engaged, not engaged and actively disengaged). I was blown away by the statistics that indicated that ‘customers who are fully engaged represent an average 23% premium in terms of share of wallet, profitability ,revenue, and relationship growth than the average customer’. It is always good to remember that customers are ‘people first and customers second’ therefore, emotions (especially pride and passion) will enter into their buying decision. If strong emotional attachments are formed and forged with a company, your can be certain that many of your customers will become fully engaged and will increase their spend and will be one of your company’s largest advocates. During a Gallup poll conducted in 2000, it was revealed that there are four dimensions to a customer’s emotional attachment to a company: 1) Confidence 2) Integrity 3) Pride 4) Passion How can you achieve all four of these emotional touchpoints with a customer? Mess up. That’s right. It’s all about service recovery. If there is an area to work on and focus on with your team, it’s ensuring your organisation’s service recovery is second to none. I am certainly not saying that you should intentionally ‘mess up’, as that would put your customer’s confidence in your organisation at risk but, when you do have an opportunity to recover, do it well! One of the best examples from the book to reflect the power of exceptional service recovery is ‘...a large group of US retail banking customers, 26% of those who had not Book Review…continued
  • 24. CUSTOMER SERVICE EXCELLENCE THE MONTHLY MAGAZINE OF THE CUSTOMER SERVICE INSTITUTE OF AUSTRALIA 23 recently had a problem were fully engaged with the bank. But among those customers who had experienced a problem and were extremely satisfied with the way the bank handled it, 51% were not fully engaged with the bank.’ It just goes to show that a complaint really can become a gift, leading to exceptional service recovery by an engaged employee, which in turn strengthens the emotional bond between the customer and the organisation, leading to a fully engaged customer, leading to Numero Uno – that almighty dollar. Overall, I thought this book was well done and took many notes. I would have liked to have seen more around the actual measurement tools and implementation. (that’s why it is only received 4 stars) Human Sigma reassured, through statistically significant survey results, that consumers are all emotional spenders and that we, as organisations and customer service leaders, must ensure we form relationships with our customers and to treat those relationships like gold. Christine Churchill is an Executive Director of the Customer Service Institute of Australia. She is a graduate of the University of Delaware holding a Bachelors in Business Administration (Marketing). Christine has over fifteen years experience in customer service, and her passion lies in the people; training and development for all levels of an organisation helping individuals become the best they can be for themselves and their organisation. Book Review…continued Discounted access to Australia’s first professional qualification for customer service managers - the “Certified Customer Service Manager Course” Twelve issues of our monthly e-magazine “Customer Service Excellence Magazine” Copy of the new edition best selling book: “Customer Service Excellence” Free opportunity for attendance on the 2 day International Customer Service Standard Licensed Assessors Accreditation Course (annual places are limited) Continuing recognition of member’s professional standing through maintained use of the CSIA’s designatory post- nominal letters: MCSIA Automatic free nomination for judging as one of Australia’s leading customer service professional through the individual section of the prestigious Australian Service Excellence awards Discounts on training, events and functions Certificate of Membership Becoming a member of CSIA has many benefits and is only $295 inc GST. Membership forms can be downloaded from our website www.csia.com.au/membership.asp or email info@csia.com.au to request a form. Become a CSIA Member CSIA Membership Benefits