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    UCISA TLIG - SDGUSER SUPPORT CONFERENCE

    Thursday 3 July 2008University of Reading

    From Sausage to

    S I Z Z L EFrom service qualityto service experience

    TED JOHNS

    ChairmanInstitute of Customer Service

    The Institute of Customer Service

    OUR MISSION

    Leading customerservice performanceand professionalism

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    USERS and SUPPORT

    Danger of patronising,

    arms-length language

    More positive focus on

    customer value

    New title!

    The UCISA TLIG-SDG

    CUSTOMER VALUE

    CONFERENCE

    (Wow!)

    I cant help you

    In many shops, the only staffwho are truly customer-

    focused are the store

    detectives

    (and you cant even be sure about them)

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    Some basic assumptions

    Clients are customers, customers areclients: they have money & they choose

    They dont just compare you with otherIT providers

    World-class client/customer service iswithin everyones reach: good enoughisnt good enough

    From cold, dead fish to SUSHI!

    1. Efficiency and FunctionalityThe product must work

    2. Emotional Empathy and Love

    The Customer Experience

    What does it mean to be world-class?______________________________________

    Youre easy to do business with____________________________________________

    You deliver the promise

    You provide a personal touch

    You go the extra mile

    You resolve problems well

    Professor Robert Johnston

    Service Excellence = Reputation = Profit

    Institute of Customer Service, 2001

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    Why bother about being world-class?

    A Very Satisfied customer is six times morelikely to buy from you again than a customer whois only Satisfied

    Some of your clients are already world-class, soexpect you to be the same

    If you dont occupy a world-class slot, someoneelse will and your business will start to dissolve

    The Elite Eight Per Cent (not 80%!)

    Designing the right offers and experiencesfor the right customers

    Delivering these propositions by focusingthe entire company on them, with cross-functional collaboration

    Developing capabilities creating newcustomer experiences, establishing directaccountabilities, & constant renewal

    Allen, Hamilton and Reichheld, Tuning in to the voice of your

    customer, Harvard Management Update , October 2005

    Maximise your NET PROMOTER score

    Three kinds of customers/clients

    (1) PROMOTERS

    (2) PASSIVELY SATISFIED

    (3) DETRACTORS

    The one number you need to grow: How likely is it thatyou would recommend your organisation to others?

    NET PROMOTER score = (1) minus (2) + (3)

    Strong correlation between CORPORATE GROWTH RATEand NET PROMOTER score (also Reputational Benefits)

    Fred Reichheld et al, Harvard Business Review, 2003

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    Digression: Unfocused Group?

    Almost four-fifths of British workers will daydreamat least once during an hour-long meeting

    51% about family

    33% about sex

    33% about friends

    32% about food

    16% about sport

    Source: Yo uGov, 2004

    Failure to empathise with the customer

    Response from North West Gas to complaint aboutthe size of a gas bill:

    We agree it was rather high for the time ofyear. Its possible Mr Purdey has been

    charged for the gas used up during theexplosion that destroyed his house.

    Corporate arrogance & pronoia at UPS

    UPS assumed that on-time delivery was first andonly concern for customers

    Target: to deliver each package by 10.30 a.m.

    Even shaved off corners of delivery driver seats

    BUT customers said they also valued personalcontact

    Result

    13-minute space for unfocused customerconversations

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    Satisfaction isnt the goal

    I believe the new trends

    include the requirement

    that the vehicle will work

    Sir Graham DayOne-time CEO, British Leyland

    The Service Trio

    1. WHAT IS EXPECTED

    2. WHAT DIFFERENTIATES

    3. WHAT EXCITES!

    The Service Trio

    1. WHAT IS EXPECTED

    Right first time every time

    Fulfilment, recovery and restitution

    2. WHAT DIFFERENTIATES

    3. WHAT EXCITES!

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    The Service Trio

    1. WHAT IS EXPECTED

    Right first time every time

    Fulfilment, recovery and restitution

    2. WHAT DIFFERENTIATES

    Trust and reputation

    Customised/personalised treatment

    3. WHAT EXCITES!

    The Service Trio

    1. WHAT IS EXPECTED

    Right first time every time

    Fulfilment, recovery and restitution

    2. WHAT DIFFERENTIATES

    Trust and reputation

    Customised/personalised treatment

    3. WHAT EXCITES!The Tetley Tea-bag Tactic

    Value-added service innovation

    Success = Sausage + S-i-z-z-l-e!

    S I Z Z L E ! The emotional content of the customer

    experience (the lens of the customer)

    S A U S A G EThe physical content of the customer

    experience (service quality)

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    THE CUSTOMER EXPERIENCE

    CUSTOMER SATISFACTION

    and

    Wow!

    THE CUSTOMER EXPERIENCE

    CUSTOMER SATISFACTIONEfficiency, Functionality, doing things right

    Wow!Effectiveness, Empathy, doing the right

    things

    What you own, and what you dont

    You own:

    Your service quality

    Your Clients/Customers own:

    The Customer Experience

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    Who are you, in 2008, to tell your clientswhat they want or need?

    It is time to let go of the fallacy

    that your brand belongs to you:it belongs to the market

    Alex Wipperfurth

    Brand Hijack: Marketing Without Marketing

    Portfolio Books, 2005

    World ClassCustomer Service

    Reputation Performance Growth Profitability Trust

    ICS Model for World-Class Customer

    Service

    The customer-centric business

    THE STRATEGY FUNCTIONVision, values, ethics, top-down leadership, the Big Idea

    THE CUSTOMER (CLIENT) FUNCTIONMarketing, sales, the customer experience (service

    performance, innovation, restitution and recovery)

    THE PEOPLE FUNCTIONRecruitment, learning, performance management, reward

    THE PROCESS FUNCTIONInfrastructure Enablers: administration, technology, money

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    World ClassCustomer Service

    Reputation Performance Growth Profitability Trust

    ICS Model for World-Class CustomerService

    The Big Idea at Lands End Clothing

    Dont worry about whatsgood for the company:

    worry about whats good

    for the customer

    GARY COMER

    IF THERE ISNT A BIG IDEA, NOREVEN A SMALL ONE

    Badge worn by hotel receptionist:

    Its with flair

    That I give customer care

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    Strategy and Culture: COMMITMENT

    Service quality is a

    key corporate value,

    with associated goals,

    action programmes,

    measurement and

    top-down accountabilities.

    The empty chair at Amazon

    You stretch the edges of your marketby working your customer interface,listening and inventing for customers

    simultaneously__________________________________________________________________

    Simplicity and elegance

    Consistency and weekly vigilance

    Process innovation

    The empty chair

    Strategy and culture: CREDIBILITY

    Promises are kept, service

    is delivered at times that

    suit customers, and superb

    service recovery systems

    are in place

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    Reputation and The Employer Brand

    Organisations live or die by their reputations.

    Positive reputations can confer powerful competitiveadvantage and also help organisations to attractbetter staff, suppliers, and customers, and apply

    higher margins to their business.

    Professor Robert Johnston

    Service Excellence = Reputation = Profit

    Institute of Customer Service, 2001

    World ClassCustomer Service

    Reputation Performance Growth Profitability Trust

    ICS Model for World-Class Customer

    Service

    Why are people (YOU!) important?

    You can make or break the level of trust betweencustomers and your organisation

    Only you can deliver discretionary behaviour(Random acts of kindness John Lewis)

    Only you can inspire innovation, change andcontinuous improvement

    Only you can bugger things up far more skilfullythan computers (and thats saying something)

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    People: CAPABILITY

    People are recruited and developedagainst competencies that give high

    priority to customer-focused attitudes,e.g., consideration, tolerance and

    empathy

    Predicting future engagement

    1. ADAPTABILITY

    2. PASSION ABOUT WORK (WORK ETHIC)

    3. EMOTIONAL MATURITY

    4. POSITIVE DISPOSITION

    5. SELF-EFFICACY

    6. ACHIEVEMENT ORIENTATION

    Suggestion:

    Check for job fit ask candidates to describe their ideal job

    Source: People Management, 27 July 2006 (DDI)

    I said Have a nice day, you deaf old cow

    Good morning, ladies and gentlemen. Thank you forchoosing to travel by South West Trains betweenBasingstoke and London this morning.

    Today we will be making an extra stop at Wimbledon.

    [pause]

    God knows why, they never tell us anything.

    Public address system on train to London

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    How not to do it

    You can ask to speak tosomeone else if you like buthere, the higher up they are,

    the less they know.

    Response to customer who asked to speak

    to a supervisor at a well-known telecoms company

    People: CONTINUITY

    Retention, reward and

    recognition strategies focus

    on world-class service delivery

    World ClassCustomer Service

    Reputation Performance Growth Profitability Trust

    ICS Model for World-Class Customer

    Service

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    Processes: CONSISTENCY

    Processes are designed

    from a customers viewpoint

    and are consistently delivered

    Stiffen the process, stuff the customer

    Illiterate?

    Write today for free help

    Small ad, Chichester Observer

    Processes: CREATIVITY

    Continuous improvement

    and innovation are nurtured

    and encouraged to flourish

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    How to do it

    Customers may be delighted with something initially.

    But six months later they take it for granted

    and then they demand it.

    Delight is a treadmill you cant get off.

    Managing Director, Milliken

    World ClassCustomer Service

    Reputation Performance Growth Profitability Trust

    ICS Model for World-Class Customer

    Service

    The Bullet-Proof Business

    Internal oxygen supply

    Reinforced fuel tank

    Plates of ballistic steel

    Shots from a .44 Magnum

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    The Bullet-Proof Business

    Internal oxygen supplyENTHUSIASTIC, ENGAGED TEAMS and PEOPLE

    Reinforced fuel tank

    ACTIVE PROMOTER CLIENTS & CUSTOMERS

    Plates of ballistic steel

    YOUR BIG IDEA and a CONTRIBUTOR CULTURE

    Shots from a .44 Magnum

    Nothing works all the time (1)

    I recently shampooed my pet rabbit with Body Shopshampoo.

    Its eyes bulged out and turned red.

    Nothing works all the time (1)

    I recently shampooed my pet rabbit with Body Shopshampoo.

    Its eyes bulged out and turned red.

    If you tested your stuff on animals like everyoneelse, this sort of thing wouldnt happen.

    Extract from letter of complaint sent to Anita Roddick

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    Nothing works all the time (2)

    Wednesday 29 March 2006

    Ryanair service from Liverpool to

    Londonderry lands at RAFBallykelly (military airfield)

    by mistake

    Nothing works all the time (2)

    Only one passenger complained:

    Nothing works all the time (2)

    Only one passenger complained:

    They didnt let us go down theslide

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    Thats all, Folks!__________________________________________

    If theres anybody here I haventoffended, I beg their pardon

    JOHANNES BRAHMS

    On leaving a gathering of friends

    ________________________________________________________

    [email protected]