USING INTERNAL ANALYSIS TO STRENGTHEN CUSTOMER SERVICE
by Deborah Garry
Partner, BBG&G Advertising & Public Relations
The phrase "customer service" has become such a cliché it has lost much significant meaning. It’s unfortunate because customer service remains a critically fundamental part of a healthy business. It extends far beyond any “smile and be nice” training and automatic implementation of total quality management philosophies first popular in the 1990s. True customer service is still the lynchpin of successful marketing. Unfortunately, it’s often impacted by staff who may never actually meet or serve the customer, making it imperative for leadership to uncover weaknesses in customer service to implement change.
INCLUDING INTERNAL ANALYSIS IN PLANNING
Often, factors that impact the customer experience are not self-evident, and can only be revealed by conducting an honest and thorough appraisal of a firm’s internal resources. Although sometimes neglected in the marketing planning process, this internal analysis is critical to understanding what is experienced by customers as they are immersed in the act of using the products and/or services of a firm. Once understood, a plan to rectify what may be lacking can be developed. Many firms excel at communicating with their market externally, but have internal processes and structures that circumvent, diffuse, or even contradict their message. They are in no way deliberately being misleading. Their vision is pure. Their products and services can do everything they say they can do. Unfortunately, weaknesses within the firm’s internal resources obstruct the client experience.
KEEPING THE FOCUS ON THE CLIENT
Before evaluating the strengths and weaknesses of a firm’s internal structure as it pertains to customer experience, management must clarify how to best serve customer needs and wants. What are the steps?
Understand what people want, need, and expect
In-depth interviews flush out what customers really value. They help define what customers actually find meaningful, versus what a firm believes is important. Such interviews measure specific, customer-centered concerns, and guide an intelligent crafting of the next step – surveying customer satisfaction.
Understand where you stand
Client Satisfaction Surveys examine how well the firm is meeting customers' needs. In general, such surveys measure client perception, their trust and confidence, the interest and attention experienced by the customer, the firm’s responsiveness to client need, and the value of the service/product received. Many firms lean towards anonymous reporting, believing that people will be more open. In our experience, however, anonymity does not effect the quality or quantity of the feedback received, but produces one significant drawback - customers who report dissatisfaction expect a response even when a survey is anonymous. Firms gain the knowledge that some customers are unhappy, but are left without the necessary information or means to rectify the situation.
Clarify Customer Expectations
Customers have a whole range of expectations. At the low end are the neutral factors – expected as standard equipment – and a minimum level of service. At the high end reside the wished-for, often unrealistic ideals that are often above customers’ true expectations.
One effective way to capture an accurate picture of expectations is to survey a cross-section of appropriate targets – both customers and non-customers – about the performance levels of their provider. Service experiences and expectations of a cross-section of users provide excellent insight into the current average expectations of a customer in a given market. Then, a firm can compare their own individual customer survey responses with general customer expectations to reveal a clear picture of how they are meeting or exceeding them.
ASSESSING INTERNAL RESOURCES
There are four primary elements that make up a firm’s internal resources. They are: financial, organizational, technical, and human. Each needs to be rated to determine its degree of strength or weakness. Strengths can then be developed and used. Weaknesses can be recognized and changed to improve what clients actually receive, and to empower the firm to take advantage of opportunities within the marketplace.
Financial Resources
Does the firm have adequate financial resources? Besides examining existing financial statements, firms often find it useful to compare their data with industry norms. Industry Norms and Key Business Ratios, published by Dun & Bradstreet, is a useful resource, as are statistics provided by trade organizations and publications.
Organizational Resources
Organizational resources are the elements that relate to the design and internal culture of the business, including the location, capacity, physical layout, workflow of the facilities, inventory control, organizational structure, and image.
Technical Resources
Technical resources refer to the physical elements of the firm with which the staff interact in order to produce the products of the business. Location, equipment, technology, access to suppliers, and inventory systems all play a part.
Human Resources
Any firm’s personnel is its most critical asset. Evaluation of personnel should include reviewing the number of employees, the relevancy of their skills, internal morale, labor relations, and the structure and adequacy of employee compensation.
IMPLEMENTING STRATEGICALLY
Now a firm is equipped with the knowledge required to improve what clients actually receive. Implementation may well involve internal changes not usually associated with marketing – from recruiting methods, employee training, and incentives, to office décor, internal structure, and technical processes. When a firm ties upgrades and improvements to its ability to best serve their customers, their competitive advantage greatly improves, making it possible to plot a course for the future and meet long-range goals.