Category Archives: Customer focus

Rude Behavior Costs Companies

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 … Continue reading →

Posted in Competition, Customer focus, Psychology, Respect | Tagged , , , , , | 6 Comments

Steve Jobs Discussing Customer Focus at NeXT

Video from 1991 when Steve Jobs was at NeXT. Even with the customer focus however, NeXT failed. But this does show the difficulty in how to truly apply customer focus. You have to be creative. You have examine data. You have to really understand how your customers use your products or services (go to the gemba). You have to speculate about the future. The video is also great evidence of providing insight to all employees of the current thinking of … Continue reading →

Posted in Customer focus, Data, IT, Software Development | Tagged , , , , , , ,

When Companies Can Treat You Like an ATM, Many Will Do So

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 … Continue reading →

Posted in Customer focus, Deming, Investing, Lean thinking, Management, Process improvement, Systems thinking | Tagged , , , , , | 1 Comment

Sometimes Micro-managing Works

Sometimes micro-managing works. That doesn’t mean it is a good strategy to replicate. If you benchmark Apple you might decide that you should have a tyrannical obsessive involved CEO who is directly involved in every detail of products and services. After all Apple is now the second most valuable company in the world with a market capitalization of $324 billion (Exxon Mobil is the top at $433 billion) and a huge part of that is Steve Jobs. Nice quote from … Continue reading →

Posted in Creativity, Customer focus, Innovation, Management | Tagged , , , , , , | 5 Comments

Innovation in Thinking and the Web

Investing time and effort to attract “the right kind” of contributors to a news site He thought we needed to make the same shift with our users – instead of seeing having to engage with them digitally as a time-consuming and resource eating problem, we should be seeing our audience as an asset to the brand. Any online organisation that doesn’t include readers in the production chain is inherently inefficient. I agree. And I think this is a good example … Continue reading →

Posted in Customer focus, Deming, IT, Management, Process improvement | Tagged , , , ,

Customer Focus and Internet Travel Search

The internet should make finding airline flight information easy. Instead it is a huge pain. Hipmunk has taken on the challenge of doing this well, and I think they have done a great job. This video provides an excellent view of both web usability and customer focus. This is a great example of focusing on providing customer value and using technology to make things easy – which is done far to little at most companies. Related: Innovation Example (Farecast – … Continue reading →

Posted in Creativity, Customer focus, Innovation, IT, Management, Process improvement | Tagged , , , , , , , | 4 Comments

Airport Security with Lean Management Principles

The ‘Israelification’ of airports: High security, little bother [the broken link was removed] We [Israel] said, ‘We’re not going to do this. You’re going to find a way that will take care of security without touching the efficiency of the airport.” … “The whole time, they are looking into your eyes — which is very embarrassing. But this is one of the ways they figure out if you are suspicious or not. It takes 20, 25 seconds,” said Sela. Lines … Continue reading →

Posted in Creativity, Customer focus, Deming, Lean thinking, Psychology, Respect | Tagged , , , , , , , , | 1 Comment

Technical Non-Support

A bit of fun from Dilbert. I have had the exact experience Dilbert does of tech support refusing to think about the actual symptoms of the problem and insisting on following some script and wasting my time – repeatedly. The second act takes on another time waster with a management tip from Dogbert: “Always postpone meetings with time wasting morons.” Dogbert hasn’t quite adopted the respect for people principle. via: The final word on making meetings better Related: Dilbert and … Continue reading →

Posted in Customer focus, Fun, webcast | Tagged , , , | 2 Comments

Delighting Customers

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 … Continue reading →

Posted in Competition, Customer focus, Deming, Management, Process improvement, quote | Tagged , , , , , , , , , | 5 Comments

Trust Your Staff to Make Decisions

The failure to give your organization the flexibility to serve customers is a big mistake. Many companies make this mistake. Often the basic problem is managers don’t trust that their systems to hire and develop people that will make good decisions. The solution to this problem is not to give your staff no authority. The solution is to manage your systems so that you can trust your people. This is not as easy to do as it is to say, … Continue reading →

Posted in Customer focus, Management, Respect, Software Development | Tagged , , , , | 8 Comments

Southwest Not Delta or United

One of the posts highlighted in the last post was one example of how Southwest behaves. It wasn’t a one time thing. It was a common result of the system Southwest has in place where they treat customers like human beings that should be respected (as Southwest does with employees). Then you have the typical horrible treatment the other airlines practice. Like this example where Delta damages this guys bike and refuses to accept responsibility. That is until they suffered … Continue reading →

Posted in Customer focus, Management, Systems thinking | Tagged , , , , | 2 Comments

Aligning Marketing Vision and Management

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 … Continue reading →

Posted in Customer focus, Management, Popular, quote, Respect, Systems thinking | Tagged , , , , , , , , | 6 Comments

Worse Hotel Service the More You Pay

The more you pay for your hotel room the more likely they will charge to provide decent WiFi in your room. Whether a company tries to rip you off with exorbitant prices, or lousy service, is just a function of their lack of respect for customers. Obviously it is cheap to provide decent WiFi (as staying at numerous cheap hotels shows – nearly all offer WiFi completely free). Most expensive hotels show they do not respect their customers. Some actually … Continue reading →

Posted in Customer focus, Deming, Lean thinking, Management | Tagged , , , | 4 Comments

Lean Inventories Do Not Excuse Failing to Deliver

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 … Continue reading →

Posted in Customer focus, Lean thinking, Management, Manufacturing, Process improvement, Systems thinking | Tagged , , , , , , | 2 Comments

Credit Card Company Tries Providing Value

Most credit card issues seem to use business models based on tricking customers into paying high fees. PartnersFirst is focusing on providing value to customers. A Different Kind of Credit-Card Company PartnersFirst is a different kind of credit-card company. Started in 2007 with funding from Western Alliance Bancorp (WAL), the fledgling firm has three key tenets: keep rates steady, eliminate fees, and rigorously evaluate the risk of potential customers. PartnersFirst mainly makes money from the interest it charges borrowers, whereas … Continue reading →

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YouTube Uses Multivariate Experiment To Improve Sign-ups 15%

Google does a great job of using statistical and engineering principles to improve. It is amazing how slow we are to adopt new ideas but because we are it provides big advantages to companies like Google that use concepts like design of experiments, experimenting quickly and often… while others don’t. Look Inside a 1,024 Recipe Multivariate Experiment A few weeks ago, we ran one of the largest multivariate experiments ever: a 1,024 recipe experiment on 100% of our US-English homepage. … Continue reading →

Posted in Customer focus, Data, Design of Experiments, Google, IT, Management, Process improvement, Quality tools, quote, Science, Software Development, Statistics | Tagged , , , , , , , , , , , | 2 Comments