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Be Thankful for Customer That Are Complaining, They Haven’t Given Up All Hope

Posted on December 13, 2011  Comments (1)

I ran across this message and liked it (by wuqi256):

My time spent in a fast food chain (factory worker on weekends and security guard at night, yes really thanks to them, i have great jobs like that) when i was young trying to feed the family and study at the same time was quite useful.

They taught me that “Customers who complain are the best customers, it shows that they have still residual faith and goodwill in the organisation hence we should sift out those frivolous complains from those genuine ones that need our urgent attention” These are people who we can and should do a lot for as a complaining customer still has a very high chance of becoming a “returning” customer.

The customers that we fear for the most are those that either have voiced out or not heard or those who have given up and moved on to another organisation. Those we can no longer do much for as they no longer give us a chance. Discontentment is one thing but find the root cause, remove the straw from the cauldron and the water will stop boiling.

I know I often don’t bother voicing my concerns when I have given up all hope the organization has any interest in customer service. Sadly this is a fairly common situation.

It isn’t easy to do, organizations that are customer focused need but taking advantage of those customers helping you by expressing the frustration (that many of your customers experience, but don’t express). To do so organizations need to develop a culture where everyone is encouraged to improve your processes. The tricky part is not claiming that is what you want, but actually creating and maintaining the systems that bring that about.

Related: The Problem is Likely Not the Person Pointing Out The Problem – Customer Service is Important – Customers Get Dissed and Tell

The Impact of Leadership on Business Outcomes

Posted on October 18, 2011  Comments (6)

photo of Joe Folkman

Joe Folkman

Guest post by Joe Folkman

Have you ever been part of an organization where things were proceeding smoothly, where goals were achieved, people were busy and the organization was doing well? Then, a new leader came and everything suddenly changed for the better. The energy level of employees went up substantially, pride in the organization increased, the effort and dedication of individuals jumped, bold objectives were enthusiastically accepted and even greater results were achieved. The differences were not only measurable by the accountants, but everyone could feel it.

Perhaps you had the opposite experience where things were things were going along smoothly and a new leader was introduced and things quickly began to fall apart. High performers quit, conflicts became more apparent, work seemed much less important and there was no fun. Colleagues skulked into corners, not wanting to be engaged. Overall satisfaction decreased. Grousing and carping criticism of the leaders became rampant. People receiving promotions were chosen because of politics, not performance. Management decisions felt arbitrary and unfair. Results began to slide, and employees became the cause of the problems as much as the economy or market conditions. Key employees were laid off while the remaining people were asked to carry a bigger load. Results continued to decline, and your job felt increasingly harder and you found yourself beginning to think about quitting.

Those who have experienced great leadership or poor leadership have felt the difference. Could these changes have been predicted? Are there clear correlations between the effectiveness of a leader and the success of an organization?

Case Study on the Impact of Leadership on Customer Satisfaction
A large telecommunication company was focused on an effort to improve customer satisfaction ratings. The company wanted to know which factors impacted the customer satisfaction. A group of 81 leaders received 360 feedback from their immediate managers, peers, direct reports and others. The leadership effectiveness of each manager was evaluated by a 49 item assessment. Based on the overall rating from the 49 items, managers were divided into five groups, from leaders at the bottom 10th percentile (the worst leaders) to those at the top 10% (the best leaders).

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Rude Behavior Costs Companies

Posted on September 26, 2011  Comments (4)

Approximately one-third of consumers surveyed reported they’re treated rudely by an employee on an average of once a month and that these and other episodes of uncivil worker behavior make them less likely to patronize those businesses.

Customers rarely report such behavior to employee supervisors, and management systems are so poor they don’t deal with this problem (good systems will – Trader Joe’s or Crutchfield, for example) ensuring a relentless cycle of poor employee behavior that leaves consumers angry and frustrated and saps businesses of customer loyalty, return business and profits, according to researchers from the University of Southern California and Georgetown University. Having tried many times to report failures in their systems to organizations I can say I am either treated with we have no way to accept your feedback or obvious disinterest.

Even, long after Brian Joiner told me he stopped wasting his time for most companies as they obviously had no interest in improving systems to avoid customer hardship I keep banging my head against a wall. It is very rarely that I don’t get complete disinterest. About the best is “you are so right, this is a problem I have to deal with all the time, I have told ‘them’ about the problem but nothing ever happens, I’ll pass on your comment.” It is no surprise people don’t bother to point out problems.

A majority of the respondents went home and told friends and family members about the incident (and connected customers often speak out online to large audiences about bad customer service). Managers are unable to address the issue with employees if the managers don’t have a grasp on what is going on at the gemba. The study found that witnessing employee incivility makes customers angry. Customers are less likely to repurchase from the firm and express less interest in learning about the firm’s new services. For managers who are made aware of the offending behavior, their own harsh treatment of the employee can also prompt negative reactions from consumers.

Related: Customer Service is Important – United Breaks Guitars – Flaws in Understanding Psychology Lead to Flawed Management

“Regardless of the perpetrator or the reason, witnessing incivility scalds customer relationships and depletes the bottom line,” report the co-authors, Georgetown University Assistant Professor of Management Christine Porath and USC Professors of Business Administration and Marketing Debbie MacInnis and Valerie S. Folkes.

The best response is a simple apology, which researchers found was a just and proper response from both the employee and the supervisor. Of course, you should also address any other issue the customer has. Once you mistreat people they often are much more sensitive to things that they would have accepted otherwise. So I believe you would be wise to apologize and ask if there is anything you can help them with. Leave them with a positive, rather than just apologizing for the negative. It would be best to avoid the problems in the first place. Training programs that foster employee civility in order to prevent harmful outbursts may well be wise.

From the abstract of the paper:
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When Companies Can Treat You Like an ATM, Many Will Do So

Posted on August 29, 2011  Comments (1)

The End of Refrigeration

One small custom chip, some relays, a transformer, a couple of heat sinks, and a bunch of passive parts. Maybe a build cost of $20-30 or so? But GE’s price to me was $250, plus $150 for the 20 minutes it took to pull out the old one and swap in the new one.

Paying $400 for a big piece of physical gear plus a couple hours of labor didn’t bother me. Paying $400 for a primitive circuit board and a few minutes to plug it in does.
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Bottom line: $400 because a $2.02 Song Chuan 832 Series 30 A SPDT 12 VDC Through Hole General Purpose Heavy Duty Power Relay burned out.

This is a combination of companies 1) not being customer focused, 2) short term thinking, 3) very ologopolistic markets (very little competition). So when you are looking at this from the view of providing the best system, for in this case refrigeration, it is not a very difficult solution. You would want to minimize loss (have parts last) and in case they don’t minimize replacement cost. You would design the entire system so the parts that do burn out are easily replaceable and cheap and ideally notify you which part is broken (without the need for expensive contractor visits).

However, if your goal is to maximize company profit it is easy to see how you would develop a system that rips off the customer (very expensive part replacement, huge text messaging fees…) and attempts to capitalize on very little competition in the marketplace and customers that cannot reasonable analyze the system to see how they will be penalized by choosing your very expensive to maintain equipment. It is what they seem to teach in business school – take as much advantage of your customers as you can get away with. I prefer the Jeff Bezos school of thinking

There are two kinds of companies, those that work to try to charge more and those that work to charge less

It is a vastly different mentality to try to charge customers less as Amazon does (rather than say the practices of: Verizon, Bank of America, AT&T or Comcast). Your organization has to focused not on your quarterly profit (and if you are think kind of company, probably your personal bonus targets) but in serving your customers well, and in continually improve the value you provide to customers. And the company takes a share of the value just as all other stakeholders do (customer, employees [not just those in the c-suite)], suppliers, society…). Not only do I want to be a customer of this kind of company, I want to be a stockholder.

Related: Drug Prices in the USA – Worse Hotel Service the More You Pay – Customer Service is Important – $8,000 per gallon printer ink – new deadly diseases (often companies rely on bad “intellectual property” policies to restrict customer options)

Delighting Customers

Posted on July 26, 2010  Comments (1)

If you have customers that see you as adequate you will keep customers based on inertia.

But you have several big problems awaiting you. Those trying to win your customers business only have to overcome inertia – which can be very low hurdle (saving a small bit of money, some minor additional feature). If your customers are delighted they won’t leave (by and large) without significant reasons to.

Also your attempts to increase price are very likely to lead to increased customer losses (than if customers are delighted). Delighted customers are willing to pay a premium which helps profits enormously (Apple has done this quite well).

Delighted customers will refer others to you – great free marketing.

Satisfied customers leave you very little leeway for error. If you cause satisfied customers some problem (which granted, hopefully you won’t but if you do) they are not likely to be forgiving. If they are delighted they may well stay even if you have a delay, provide less than stellar customer service for some request…

There are many ways to attempt to delight customers. One of the simplest powerful tools is to ask a very simple question: What Could we do Better?

Related: What Job Does Your Product Do? – It Just Works – Kano Model of customer satisfaction – customer focus resources

Aligning Marketing Vision and Management

Posted on March 23, 2010  Comments (3)

Why do so many companies market one thing and provide something else? I know it might be easier to sell something different than what you offer your customer today. But if you decide to market one vision, why don’t you change your organization to actually offer that?

I suspect this is substantially due to the outsourced nature of large marketing efforts. It makes sense to me that when you outsource your marketing message creation it isn’t tied to your management system and the two silos can pursue their own visions.

I would imagine marketers would claim they “partner” yada yada yada (and sometimes it actual seems to happen, but not often). As a consumer it sure looks to me like companies outsource marketing to ad agencies that come up with marketing plans that are not in harmony with the real company at all. I can understand putting a positive spin on things, but so much marketing is just completely at odds with how the company operates.

Treating a marketing message as something separate from management is a serious problem. When your marking message says one thing and your customers get something else that is a problem. I think the message is often based on what the executives wish the company was (and the outsourced marketers think it should be), but it isn’t the customer experience the management system provides.

If you believe the vision of your marketing then make sure your organization has embraced those principles. I think, often, companies would be wise to follow the vision their marketers came up with. But instead they tell customers to expect one thing and manage the organization to provide something else. I just don’t see how that is sensible.

Related: Marketing in a Lean Company – Packaging Improvement – Customer Service is Important – Confusing Customer Focus – Incredibly Bad Customer Service from Discover Card
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Lean Inventories Do Not Excuse Failing to Deliver

Posted on November 20, 2009  Comments (2)

Low inventory levels do not mean failing to have products available for customers. Now, if you manufacturing in huge batches and can’t respond to customer feedback then it might mean failure to predict customer demand does mean failure to deliver. But lean thinking has shown how to avoid this problem. People need to adopt lean manufacturing practices and gain the benefits of low inventory levels without the costs of failing to deliver what customers want.

Sorry Santa, We’re Out of Stock

The “it” gifts this year could swiftly vanish from store shelves, as retailers, with nightmares of Christmas 2008 markdowns dancing in their heads, have slashed inventories to some of the leanest levels in recent memory.
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Retailers themselves are battle-scarred by last year’s fourth-quarter fiasco. Following the financial meltdown of September 2008 and amid the most severe economic crisis since The Great Depression, consumers retrenched.

That’s when stores hit the markdown panic button, slashing prices upwards of 75 percent. The result was the worst holiday selling season since 1970, according to The International Council of Shopping Centers.

But although leaner inventory levels should drive profit margin gains this holiday, “retailers might not have enough inventory to fully satisfy demand,” said Citigroup retail analyst Deborah Weinswig, in a research note. It is a risk they are willing to take.

“They would rather lose a sale than take the markdowns they had last year,” said Goldman Sachs analyst Adrianne Shapira.

The retailers need to design their systems with lean thinking in mind (not lean – as in cut expenses without thought). And they need to work with suppliers using lean manufacturing principles.

Related: Be Thankful for Lean Thinking – Guess What? Manufacturing in the USA is a Good Idea – Tesco: Lean Provision – Zara Thrives by Ignoring Conventional Wisdom – Operational Excellence – lean manufacturing articles

Zappos and Amazon Sitting in a Tree…

Posted on July 23, 2009  Comments (6)

Amazon is acquiring the unique company – Zappos: we have written about Zappos previously: Paying New Employees to Quit. Jeff Bezos uses the webcast above to talk to the employees of Zappos. Excellent job. The letter from Tony Hsieh, the Zappo’s CEO, to employees is fantastic. This is a CEO that respects employees. These are leaders I would follow and invest in (and in fact I am glad I do own Amazon stock).

First, I want to apologize for the suddenness of this announcement. As you know, one of our core values is to Build Open and Honest Relationships With Communication, and if I could have it my way, I would have shared much earlier that we were in discussions with Amazon so that all employees could be involved in the decision process that we went through along the way. Unfortunately, because Amazon is a public company, there are securities laws that prevented us from talking about this to most of our employees until today.
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Several months ago, they reached out to us and said they wanted to join forces with us so that we could accelerate the growth of our business, our brand, and our culture. When they said they wanted us to continue to build the Zappos brand (as opposed to folding us into Amazon), we decided it was worth exploring what a partnership would look like.

We learned that they truly wanted us to continue to build the Zappos brand and continue to build the Zappos culture in our own unique way. I think “unique” was their way of saying “fun and a little weird.” :)

Over the past several months, as we got to know each other better, both sides became more and more excited about the possibilities for leveraging each other’s strengths. We realized that we are both very customer-focused companies — we just focus on different ways of making our customers happy.

Amazon focuses on low prices, vast selection and convenience to make their customers happy, while Zappos does it through developing relationships, creating personal emotional connections, and delivering high touch (“WOW”) customer service.

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Management By IT Crowd Bosses

Posted on July 9, 2009  Comments (1)

John Hunter's IT Crowd badgeJohn Hunter’s IT Crowd badge (Reynholm Industries)

The IT Crowd is a great BBC show on an IT support office in a large organization. The IT staff are knowledgeable and tired of dealing with foolish users of IT. And you wouldn’t want to watch for any customer support tips (though companies like United Airlines might do just that). Anyone involved in IT know Internet Explorer 6 is not an acceptable tool in this day and age. But some IT departments don’t let that stop them from forcing it on their users. Orange UK exiles Firefox from call centres

Yes, the corporate world is taking its sweet time upgrading from Microsoft’s eight-year-old Internet Explorer 6, a patently insecure web browser that lacks even a tabbed interface. Take, for example, the mobile and broadband giant Orange UK.

According to a support technician working in the company’s Bristol call centre – who requested anonymity for fear of losing his job – Orange UK still requires the use of IE6 in all its call centres, forbidding technicians from adopting Mozilla’s Firefox or any other browser of a newer vintage.

This technician tells us that about a quarter of the Bristol staff had moved to Firefox after growing increasingly frustrated with IE6′s inability to open multiple pages in the same window and overall sluggish performance. But a recent email from management informed call-centre reps that downloading Firefox was verboten and that they would be fined £250 if their PCs experienced problems and had to be rebuilt after running Firefox or any other application downloaded from the net.

Great management. Provide only an outdated and poor tool. Then threaten to fine employees that try to get a tool to allow themselves to do their job. Yes, it makes sense to setup rules for managing IT resources in a company but it is not acceptable to provide extremely outdated tools and then instead of fixing the problem when employees can’t stand your lousy service any longer you threaten to fine them. Wonderful. I guess you could call it the punishment-by-threat-demotivation-drive-in-fear management (for those that think Alfie Kohn’s Punished by Rewards model is too light on the punishment part of management).

Related: Stop Demotivating Me! – Software Supporting Processes Not the Other Way Around – Lean IT Systems – Not ERP – The Defect Black Market (another theory X IT management example) – Change Your Name
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United Breaks Guitars

Posted on July 7, 2009  Comments (2)

Unfortunately companies like United have created cultures where people take pride in doing their job poorly. And the continued long term customer hostility companies take shows no sign of letting up. My suggestion is to take Southwest or Jet Blue (or Singapore Airlines or Cathay Pacific).

Unfortunately sometimes you need to travel somewhere that no airline that cares about customer service flies. Then just hope somehow the broken system you must trust to get you someplace somehow doesn’t fail you too badly. Or you can follow the increasingly common trend and publicize the horrible service you were subjected to, in your blog or perhaps your own webcast.

Related: Airline Quality – CEO Flight Attendant – Japan Airlines CEO on CEO Pay – Respect for Employees at Southwest Airlines – Incredibly Bad Customer Service from Discover Card

Computer Network Operations Center Failures

Posted on July 3, 2009  Comments (0)

Obviously many businesses are now dependent on computer Network Operations Centers (NOC). Some of these data centers can cause millions of dollars in lost sales each minute if they fail. So sound engineering, including off-site redundancy is critical. Authorize.net is a recent example of such a failure, Authorize.net Goes Down, E-Commerce Vendors Left Hanging

Payment gateway service provider Authorize.net has been down and out for several hours… That has big implications: since the service is used by tens of thousands of e-commerce vendors to accept credit card and electronic checks payments on their websites, it likely means millions are being lost during its downtime. PayPal and Google Checkout are still up and running.
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A fire in Fisher Plaza, Seattle has cause a massive power outage causing leading IP-based payment gateway solution Authorize.Net to go down around approximately 11:15pm PST (last night). A traffic reporter for KOMO News that operates out of Fisher Plaza tweeted that a fire set off the sprinkler system which fried the generators.

From what I can piece together it seems within about 5 hours services were back up, at least partially. NOC failures are not uncommon (either due to fire, power failure [including backup systems], government raids, software glitches [not exactly the same as a NOC failure but some can have the affect of essentially knocking off a NOC from providing the specific service desired]). Evaluating these risks must be part of management systems with significant NOC dependencies.

Authorize.net set up a Twitter account and within hours has 2,500 followers. I am not a huge fan of Twitter, it is nice but seems pretty limited to me. But this is an example of using it effectively. You can follow me on Twitter @curiouscat_com.

Related: Information Technology and Business Process Support – Amazon S3 Failure Analysis – Information Technology and Management – IT Operations as a Competitive Advantage – Undersea Cables Cut Again, Reducing India’s Capacity by 65%

Creating Customers For Life

Posted on December 18, 2008  Comments (0)

How These Businesses Made Me A Customer For Life

So I walked out of Ray’s that day with a great deal and everything that I needed to get started. Since then, I have made every single sewing related purchase possible from their store. In some cases, I have gone way out of my way to drive there (it takes 20 minutes) just to pick up some spools of thread. I have also referred them to all of my friends. As far as I’m concerned, there are no other sewing dealers that I’m willing to deal with other than Ray’s.
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I can speak so highly about these businesses because I’m extremely passionate about what they have to offer. Can you extract this kind of loyalty with your small business? You bet you can. Just think about the places and businesses that you are loyal to and replicate what they do. What sets your business apart from the competition? What can you do to provide lasting value? Keep a tally of these attributes, focus on the long run and you’ll be on the right path.

I love how easy it is to deal with Amazon. I’ll use them unless they don’t have an item. Shopping at Trader Joe’s is odd. The workers actually seem like they like that they have customers. And seem as though they want to do what they can to please customers. You wouldn’t think this would be an odd trait if you read about management in a book and never actually went to stores. But I find almost few retail employees see happy provide customer service.

Related: Ritz Carlton and Home Depot contrast in customer service – Good Customer Service Example – Seven Steps to Remarkable Customer Service – Paying New Employees to Quit – Customer Service is Important

Paying New Employees to Quit

Posted on May 25, 2008  Comments (2)

Training new employees and then paying them to quit, sounds pretty bizarre; Zappos is not afraid of doing things differently. Why Zappos Pays New Employees to Quit – And You Should Too:

Zappos sells shoes—lots of them—over the Internet. The company expects to generate sales of more than $1 billion this year, up from just $70 million five years ago…

Zappos has also mastered the art of telephone service – a black hole for most Internet retailers. Zappos publishes its 1-800 number on every single page of the site – and its smart and entertaining call-center employees are free to do whatever it takes to make you happy. There are no scripts, no time limits on calls, no robotic behavior, and plenty of legendary stories about Zappos and its customers.

This is a company that’s bursting with personality, to the point where a huge number of its 1,600 employees are power users of Twitter so that their friends, colleagues, and customers know what they’re up to at any moment in time. But here’s what’s really interesting. It’s a hard job, answering phones and talking to customers for hours at a time. So when Zappos hires new employees, it provides a four-week training period that immerses them in the company’s strategy, culture, and obsession with customers. People get paid their full salary during this period.

About 10% of employees take them up on the offer.

Do any of you readers want to convince Zappo’s to buy a couple airlines (Jet Blue and Southwest don’t seem to go where I need to go, too often) a cell phone company, an internet service provider and a credit card company? I could appreciate the good service in those areas :-) If I were them I would start with the credit card company – I really don’t understand why someone doesn’t provide good service in that area – with the huge profits it provides and competitors that treat customers like rubes to be fleeced. Airlines you have to be crazy to buy (so don’t try to convince them of that one first).

My friend, Sean Stickle, went to work for custom ink a few months ago. I don’t think they offer to pay new employees to leave but they are devoted to customer service and to not just saying customer service is important but focusing attention on delivering it. They publish “Uncensored Customer Reviews” on their home page. There are some companies that really do value customer service even while most companies do everything they can to provide horrible service.

Related: Respect for People – Understanding Psychology – Starbucks: Respect for Workers and Health Care – Company Culture – Enhancing Passion in Employees – Respect for Workers – Mistreated Customers Let the World Wide Web Know

Confusing Customer Focus

Posted on April 10, 2008  Comments (4)

Misuse of the “Customer” Concept

“We are told that the airlines are our customers,” FAA inspector Charlambe “Bobby” Boutris said. “But we have a more important customer, the taxpayers” who want government to ensure a safe aviation system.

That’s crazy. The FAA is supposed to be serving and protecting the passengers, not the airlines. This is like a supervisor in a workplace treating their employee as a customer… even in a “servant leadership” environment, that’s not right.

“Customer focus” is good, but only if you properly define customer relationships. I’d prefer the FAA think of me and my fellow travelers as the “customer,” not the airlines.

I agree there are several different customers. This is actually not uncommon outside of government but for government agencies multiple “customers” that might have divergent desires are more frequent. But the “customer” frame of reference I still think has value.

I actually think the problem is the way people choose to interpret the idea. If I buy a car from a dealer they don’t sell it to me for $100. They don’t agree to not tell the government so I can avoid sales tax. They don’t agree to sell me a car that is not legal in the state. Customer service does not mean do what is in the interest of the customer irregardless of laws, regulations, good business practices, etc..

I would say doctors don’t give patients anti-biotics for viral infections (but actually they do). They shouldn’t. When doctors behave irresponsibly and give antibiotics in ways that harm the heath of society, some might try to claim it is because they are giving the patient/customer what they want. That is not a reasonable excuse.
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Good Customer Service Example

Posted on July 9, 2007  Comments (1)

IRA Toyota – Milford; Great Service

I was pleasantly surprised to find a “Service wizard” available. You create an account, specify the standard details about the car (make, model, year, mileage). If you add the VIN, they will be able to provide and maintain additional details.

The slickest part of the wizard was the capability to pick a service and schedule a date. Depending upon what service you picked, the calendar changed. This wasn’t any old calendar. This was dynamic. Clearly, they had predefined the capability of handling some number of services per day. It was likely also interactive depending upon what was already scheduled for that day. This all makes wonderful sense but I had not seen this before.

I went ahead and scheduled the service for Monday AM planning to drop the car off Sunday night. Saturday, we received an email reminding us of the service scheduled for the car. Sunday, Allison and I drive over to their location, pull into the lot following the “Service” sign and find lanes specially marked for night drop off. There were already some cars in the lanes so we found a spot. The box on the wall had a pen and several forms. We filled out one and put the keys in the envelop through the clearly marked “key drop” slot. This group has figured out service and seems to have thought of everything. The drive home continued the conversation on how well they have planned for service; web site wizard, email reminders, lanes for drop off, etc. Well done!

I think the lean folks will like the level loading the dynamic calendar facilitates (and all the other ways the process provided value to the customer). This strategy levels the load by pushing around demand a bit (rather than just accommodating whatever demand exists – real world conditions can make this the correct strategy). For example, if special machines are needed for certain jobs and the long term demand supports one of each such machine and if you can adjust the flow to level out the demand doing so is a good strategy. As this example shows, customers have flexibility in scheduling preventative maintenance; therefore take advantage of that in your system design.
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Innovation Thinking with Christensen

Posted on June 16, 2007  Comments (3)

In my opinion Clayton Christensen offers truly insightful ideas on innovation and management. He presents the rare management advice that is not only good but also new – an incredibly rare combination. The current issue of Business Week includes an interview with him: Clayton Christensen’s Innovation Brain:

Yes. The problem is when you say “listen to your customers,” your customers are only going to lead you in a direction that they want to go in. Generally, that will never lead you to disruptive growth. You’ve got to find that new set of customers, and listen to them and follow them. That’s the trick. Once you have customers, they hold you captive to their needs.
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It’s hard for me to see what will disrupt Google. I think they’ve got a pretty good run ahead of them.

While some of Christensen’s ideas are new he also builds on existing ideas. The idea on customer focus being a potential trap was discussed by Deming a great deal. Interesting point on Google, I must agree, though it makes me nervous to think that way: it is easier to mess up success than to fix a mess. I will be interested to read his ideas on the health care system.

Related: Six Keys to Building New Markets by Unleashing Disruptive Innovation – Management Improvement Leaders – articles by Christensen – The Innovators Solution – What Job Does Your Product Do?
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Seven Steps to Remarkable Customer Service

Posted on February 20, 2007  Comments (2)

Once again Joel Spolsky spins a great post with, Seven steps to remarkable customer service. Read it.

It’s crucial that tech support have access to the development team. This means that you can’t outsource tech support: they have to be right there at the same street address as the developers, with a way to get things fixed.

This idea is powerful yet ignored by most companies. Management must look at the best way to improve the entire system not to lower the cost per support call.

Many qualified people get bored with front line customer service, and I’m OK with that. To compensate for this, I don’t hire people into those positions without an explicit career path. Here at Fog Creek, customer support is just the first year of a three-year management training program that includes a master’s degree in technology management at Columbia University.

Related: Customer Service is Important – Ritz Carlton and Home Depot – Quality Customer Focus – Management Training Program – posts on Spolsky

Customer Service is Important

Posted on January 10, 2006  Comments (10)

Topic: Management Improvement

Double Trouble, Don Oldenburg, Washington Post:

Digging into the details, Stevenson, a mechanical engineer, did a double take at what looked to him like a double charge. Verizon was billing his sweetie for the local plan, for the new regional plan and also for a la carte services that are included in the regional plan. Sorry, wrong numbers!

He called Verizon to complain. “The customer service representative said that they knew they’ve been having an issue with their system double-billing,” Stevenson said. “When I asked if they were taking any steps to remedy this by notifying their customers . . . or refunding money, they simply said ‘no,’ that most people call when they notice that they’re being overcharged.”

What do I find most surprising about this? That the customer service representative actually said they were doing nothing. The idea that they would choose to do nothing is not that surprising to many, I would guess.
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