Employee Training

Building Customer Loyalty: 3 Ways to Move From Good to Excellent Customer Service

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Have you ever thought about the difference between good customer service and excellent customer service?  Most of us would agree that there is a difference, but does it really matter? According to a recent survey cited on customerthink.com, 86% of buyers said they will pay more for a better customer service experience. And 70% of buying experiences are based on how the customer feels they are being treated.

Providing good service will allow an organization to survive. But a commitment to excellent customer service goes beyond surviving – to building customer loyalty to create a healthy, thriving future.

True excellence is marked by an excellent customer experience (CX). The focus on providing excellent customer service encapsulates a simple, three-prong model.

Be Prepared. Being ready to serve the customer is the very foundation for excellence. If buying experiences are based on how the customer feels they are being treated, then it behooves organizations to spend some time getting to know their customers…what they value and what influences them, and ultimately, being proactive in anticipating their needs and problems.

In his book, Five Most Important Questions, Peter Drucker reminds us that our customers are never static. They are constantly changing, as well as their needs, wants, and expectations. Do the research and use customer analytics that make sense, not just satisfaction scores which only show customer satisfaction from the past.

Be Passionate. Being passionate encompasses taking the expertise (knowledge, skills, and abilities) of individuals in the organization and using it to create a shared-learning organization.  It is an organization in which customer service representatives (CSR’s) become experts, knowing their products and services, and how to do the ordinary, extraordinarily well.

In one study focusing on customer service loyalty, Harvard Business Review (HBR) found that 24% of repeat customer complaints stemmed from an emotional disconnect between the customer and the CSR. Specifically, this means the customer did not trust the answer given to them and/or they thought that the CSR was hiding something.

In order to meet customers’ constantly changing expectations and to provide an excellent CX, our representatives must be armed with interpersonal skills, training and a comprehensive knowledge which will allow them to respond more accurately and articulately, and to quickly find better solutions. Competence increases the customer’s confidence in the CSR and in the organization.

Be the Hero. Being the hero stems from the philosophy that every customer desires and deserves to be treated with respect and care.  Unfortunately, many organization miss the mark with this one! As representatives of an organization, we have the opportunity to make life better, easier, more convenient, and/or to create value in our customers’ lives through the products, services, and exchanges we offer.

According to the HBR article, the number one most important factor in customer loyalty is reducing customer effort. Long wait times, cumbersome paperwork, having to make repeated calls to solve a problem, or having to use multiple channels to get information are all frustrating to a customer. Organizations need to remove obstacles and get rid of things that make it hard for customers.

Being the hero not only involves removing obstacles but also taking every opportunity to add good stuff to the CX. Customers want quick, convenient transactions and products that are true to what is claimed. They want trustworthy representatives who can engage competently and respectfully whenever needed. The success of the CX is tied to the emotions of the experience. Help customers to feel important and valued, and let them know you care and appreciate their business. In doing so, they will walk away wanting to come back for more.

References

Dixon, Matthew, Karen Freeman, and Nicolas Toman.  Stop Trying to Delight Your Customers, Harvard Business Review

Drucker, Peter. Five Most Important Questions: Enduring Wisdom for Today’s Leaders, Wiley.

Jaiswal, Vivek. 8 Customer Experience Myths Busted, customerthink.com.

 

 

Employee Training: Part 1

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DSCN0345When we ask “What is employee training?” it is not surprising that we get different responses.  Of course, no one particular answer is more correct than another.  One definition of training to consider is as follows: Training is the process whereby people acquire capabilities to perform jobs.  No company wants poorly trained employees.  Their mistakes can be very costly to your company.  Training provides employees with specific, identifiable knowledge and skills.  Sometimes we will talk about training and development together.  Development is different than training. Employee development is broader in scope and focuses on employees gaining new capabilities useful for both present and future employment.  Training may include “hard” skills and “soft” skills. A “hard” skill would be learning how to operate a machine or piece of equipment.  A “soft” skill would be how to effectively communicate with other employees.

In this series of articles, we will discuss several key components of employee training.  These include the following:

  • Training defined.
  • Strategic training approach.
  • Four phases of the training process.
  • Types of analysis to determine training needs.
  • Internal, external and e-learning training delivery methods.
  • Levels of training evaluation.
  • Intercultural competence training for global employers.

We have seen contemporary training in companies change considerably over the years.  Factors affecting the changes include the competitive environment and technology.  Four specific areas have been affected.  Each area is discussed below:

A. Organizational Competitiveness and Training

Companies realize that training their employees is important to a successful business.  Estimates say approximately $60 billion is spent annually on training in the U.S.  On average this expense is 1.5% – 2.0% of payroll expenses.  This data is from a study conducted by The American Society for Training and Development (ASTD).  Training can be compared to “continuous improvement.”  If your employees are not properly trained, you could lose competitive advantage in the market.  Retraining good employees is enhanced by an effective training program.

B. Knowledge Management and Training

Historically, competitive advantage among companies was measured in terms of physical capital.  Today, “intelligence” is considered a raw material used by “knowledge workers.”  Knowledge management is the way a company identifies and leverages knowledge in order to be competitive.  Technology can help transmit knowledge, but having technology does not mean employees will use it to manage knowledge effectively.  Knowledge management is a conscious effort to get the right knowledge to the right employees at the right time.  This way it is shared and implemented in your company.

C. Training as a Revenue Source

Many companies make a profit from selling training.  In some cases, training is included with a product purchase, for example, a new human resources information software package.  Purchasing a new machine for the production department can be less than successful without proper training from the manufacturer.  Future sales can be increased by providing product training.

D. Integration of Performance on Training

Job performance, training and employee learning must be integrated to be effective.  The link between training and job performance is critical.  Let’s look at safety fall protection personal protective equipment (PPE).  If your employees were simply shown a training video it is doubtful that the equipment would be used properly.  As an alternate method of training, the trainer could demonstrate how to properly put on the equipment, have the employees put the equipment on themselves and provide real-time feedback.  We think it is obvious which training method works better.  Other topics could incorporate everyday business issues as learning examples.  This would increase the realism of training exercises and scenarios.  This method integrates training, learning and job performance.

John M. Turner, Ph.D. is the President of JMT & Associates and a solutions partner who has been providing quality human resources consulting and training to Alber Enterprise Center’s clients for several years.  Please contact info@alberosu.com for more information on John’s services.