Customer Focus

Where Are You Going?

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Strategies for Organization Success.

It’s no secret that there are many factors directly linked to the performance of your organization. Possibly the most important of these factors, and most devastating when things go wrong, is your organization’s culture. At Alber Enterprise Center, we recognize culture as the collection of behaviors, beliefs, values, interactions, and attitudes that impact how things get done in your organization. These are reflected in your organizational processes, systems, communications, products/services, and most importantly your public image.

So what happens when your organizational culture doesn’t align with your organizational goals?

Well…you’ll find yourself fighting an uphill battle if you ever desire or NEED to create change to stay competitive. A culture that is aligned with strategic goals drives better performance, greater financial returns, clearer vision, and employees who are more motived, happy, and engaged.

Doesn’t that sound great? You’re probably wondering…how do we know if our culture is aligned with our goals? Or, if you have the inclination to believe that your culture is not aligned, you may be wondering…where do we begin to gain alignment?

You may have heard the saying “culture eats strategy for breakfast.” Well, that can indeed be the case when your strategy doesn’t take into account your culture’s influence. What about positioning your culture to enable strategy? What about taking a positive perspective and focusing on your strengths to better enable your strategy? Research supports that leaders who invest the same energy in their cultures as they do other key performance measures experience greater organizational success.

Noted authors on organizational change and culture, such as Kotter and Cameron & Quinn, claim that today’s organizations must be able to successfully undergo change if they are to succeed in an increasingly complex and constantly shifting society. Change is imperative, yet organizations rarely meet their intended objectives. Leaders may set out to change the “shiny object” such as technical alterations in processes to try to improve performance; however, in reality it is typically a culture change that is needed for their organization to meet their objectives.

Can you imagine a culture that utilizes what your organization is doing well to help you do even better? Taking a strengths approach will allow you to create positive momentum and experience positive returns sooner than later. Here are four steps we at Alber believe are the ways to getting a strengths-based culture.

  • Gather information through structured assessments to fully understand your current situation
  • Assess the gaps between where the data reveals you are vs. your ideal situation for optimal performance and success in your organization
  • Determine how to move from where you are to where you want to be
  • Implement an intentional plan that engages your new strengths-based culture and mindset.

These strategies will move the needle to greater organizational success.

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.

 

 

Through the Fog

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This morning (Monday, Feb. 20th) I drove from my home to my office in Marion in very dense fog. As a matter fact, I had heard on the early news that there was a severe fog alert out for the morning. It has been a long time since I have driven in such dense fog. As I drove the back roads through the country, I realized that these are very familiar roads to me…I drive these roads several days each week. I know where all of the stop signs are, the curves and the valleys along the road. I know where to turn, where the speed limits change from 55, to 45 to 35. So, one might say, I could drive on auto pilot in this fog. However, I think we would all agree, that would not be a very wise thing to do. As we all know, things can change. Some areas as we are driving in the fog may be easier. It may not be as dense in certain areas and allows us to see a bit further ahead. At other times, there might be an obstacle in our way that we don’t see until the last minute, such as a deer crossing the road (which, fortunately, did not happen to me). The dense fog complicates this because it impairs our visibility. So, I found myself driving slower, being more intentional, more cautious and making sure I was aware of all of my surroundings.

This got me to thinking about the parallel for many organizations. Some organizations navigate very well through the fog. Others have a difficult time seeing what is ahead. Visibility is limited. There are obstacles in their way they don’t see. And this impacts their effectiveness, their employee engagement, turnover, the ability to attract and retain a qualified workforce and most likely, their overall bottom line.

Organizations need to have a plan when the fog rolls in. And there are times when that happens – suddenly and unexpectedly, whether it is due to outside forces (i.e. the economy) or internal forces (change in leadership, shift in supply and demand). How can organizations be strategic about navigating these treacherous roads? There are several things that can be done.

Begin with a mission and vision that serves as the foundation for all that you do. This is your organization’s lighthouse in the dense fog. It helps people see their way. Establish a long-term strategic goal and develop an action plan with S.M.A.R.T. goals. And then use it…refer to it…update and refine as you go along. Get input from your employees – the ones who are doing the work. You would be surprised how many great ideas they have – they just need to be asked and given the opportunity to share them.

Once the fog lifts and you are comfortably back ‘in the driver’s seat’ with clear visibility ahead, be sure to say thank you to those who helped get the organization through the fog…i.e. the challenging time. Begin to look ahead and plan for the next time the fog rolls in…because, as we all know from experience, it will.

Understanding the Voice of the Customer in Education

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Voice of the CustomerA critical component of Lean Six Sigma is understanding the Voice of the Customer. This concept is essential to identifying activities that are value-added and non-value added or wasteful.

In education it may be agreed that the student is the customer as they are the recipients of the outcomes of the institution. Some disagree with this concept thinking that we are unable to satisfy the customer. At one of my presentations someone in the audience indicated that satisfying the customer in education “the student” means giving them all “As” and that was impossible. Of course this is not correct – this is not what customer satisfaction is about.

Norma Simons, President of Performance Innovation LLC and AEC Solution Partner

Norma Simons, President of Performance Innovation LLC and AEC Solution Partner

In the education space the concept of the “Voice of the Customer” has a different meaning than it does in the broad world of consumerism. We tend to think that customer satisfaction rests only on the fact that there is a financial exchange between the customer and the person delivering the goods and that the customer finds value in the purchase.

We need to satisfy the needs of the customer – the student, but what does that mean? It means we need to deliver what is considered as a quality education -one that is delivered so that the student is functional in the wider society. If individuals are able to graduate but cannot either get a job or function at their required capacity, then regardless of what was learned and the grades earned then a quality education was not delivered.

Customer satisfaction therefore is not a passive interaction. For the student to be satisfied, it requires the student to collaborate with the instructor and several different individuals within the institution. The student’s success requires a partnership with the institution which should be promoted and nurtured.

Understanding the Voice of the Customer is a process, a mind-set, a shift in thinking, a culture that needs to be embraced by the entire institution.

Apart from the student, there are several customers who are vested in the education outcome:

  • The parents of the students who might bare some financial responsibility regarding payment of fees and physical and emotional support of the student
  • The loan institutions who might provide assistance to the students
  • All the areas of the institution (business office, book store, advisors, job placement office and other areas) which support or interact with the students directly or indirectly
  • The potential employers who expect a certain level of performance of the students after graduation
  • The institution itself who expects that the performance of students and their ability to be received in the wider society will build the reputation for the school

Well this is my opinion.

To read more on this topic, see the New York Times January 3, 2010 article below:

http://roomfordebate.blogs.nytimes.com/2010/01/03/are-they-students-or-customers/#edward

In this article “Are They Students or Customers” five professors from different business schools weigh in on the debate.

“Students are investing time and money with a purpose in mind. The school that does not serve that purpose will not survive.” Stephen Joel Trachtenberg is president emeritus and professor of public services at the George Washington University.

This blog is dedicated to the team at Alber Enterprise Center of The Ohio State University.

Norma Simons is a Lean Six Sigma Master Black Belt, president of Performance Innovation LLC, and an AEC Solution Partner.  Norma heads a team of qualified professionals in the areas of Lean and Six Sigma.  Her success is attributed to her unique integration of performance improvement systems such as Lean, Six Sigma, Design for Six Sigma, quality management systems, business operating systems, and balanced scorecards that have enabled the effective execution of organizational strategy and, ultimately, bottom-line results.

 

Why We Love Lean Six Sigma and You Should Too: Get Started

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Norma Simons, President of Performance Innovation LLC and AEC Solution Partner

Norma Simons, President of Performance Innovation LLC and AEC Solution Partner

In today’s environment it is evident that the survival of organizations rests with their ability to innovate- to do things differently in order to grow.  In general we can consider two forms of innovation – radical innovation and incremental innovation.  Radical innovation can be considered as the ability to produce new products or services to the world that never appeared before – such as digital photography, Internet, Amazon, iPods, etc. Incremental innovation on the other hand can be thought of as new approaches, building on current products or processes to enhance performance.  In the end innovation of products, processes and services must add value to the customer.

Lean Six Sigma can be considered as an incremental innovative model that enables an organization to move beyond its traditional performance to new heights.

The figure below shows the definition of both concepts.

Lean and Six Sigma are complementary and if performed properly, represent a long-term model that can produce unprecedented results.

Lean and Six Sigma are complementary and if performed properly, represent a long-term model that can produce unprecedented results.

We Love Lean Six Sigma because it provides:

  1. Focus on the customer – helping each area of the organization to understand the value of their service.  This concept is fundamental as without an understanding of needs and requirements of internal and external customers, the work provided is non-value added.
  2. Focus on process improvement – this concept is fundamental to Lean Six Sigma, without being able to identify and define processes, conditions cannot improve.
  3. Opportunities for collaboration – applying the concepts opens opportunities for collaboration as individuals now use tools to communicate across departments and encourage problem solving.
  4. Constant and continuous drive for perfection – it creates the mindset of dissatisfaction with the status quo and the need to be dedicated to a culture of continuous improvement.
  5. Standard Training – it provides common tools and language and a structured methodology for problem solving.  There are different levels of training provided to different individuals depending on their role in the organization:  Champion, Green Belt, Black Belt.
  6. Structure for change- it provides a project based approach that allows an organization to identify and instill a discipline for project management with project reviews conducted with process owners, champions and senior management.
  7. A means to provide total employee involvement –  all individuals are involved as they provide input and support problem solving activities.
  8. Demonstrates bottom-line Business Results – the bottom-line impact of every project must be measured, reported and documented.

Overall, we love it because it lays a path from strategy to execution.  Many companies have a vision but are weak on execution.  Through the structure, training, organization of tools Lean Six Sigma provides a path for achieving required results.  In addition, it can be customized to any industry and any organization.

Please contact us to use the Lean Six Sigma assessment to diagnose current weaknesses and establish a strategy for improvement.