CUSTOMER RELATIONSHIP MANAGEMENT Presenter Naomi Jackson Forrester OBJECTIVES

CUSTOMER RELATIONSHIP MANAGEMENT Presenter: Naomi Jackson Forrester

OBJECTIVES n At the end of the session participations should be able to: n KNOWLEDGE n State definitions of a customer and service. n Outline the basic needs of a customer. n Differentiate between an internal and external customer. n Examine areas in customer relations that need some attention. 2

OBJECTIVES n PERFORMANCE n Prepare employees for providing excellent customer service. n Identify and manage challenging customers. n Develop a customer service plan for your organisation n ATTITUDE n Appreciate the importance of Customer Relationship Management to an organisation. n Appreciate the role of the Supervisor in CRM. 3

ICE BREAKER Do you have customers? Who are your customers? Do you think customer service is important? Do you think the persons you supervise provide excellent customer service? If no what can be done about it? Who gives better customer service – the private or public sector? 4

WORDS TO CONSIDER n “ A customer is the most important visitor on our premises. He is not dependent on us. We are dependent on him. He is not an interruption of our work. He is the purpose of it. He is not an outsider in our business. He is part of it. We are not doing him a favour by serving him. He is doing us a favour by giving us an opportunity to do so”. MAHATMA GHANDI (1890) 5

CUSTOMER RELATIONSHIP MANAGEMENT n n Customer relationship management (CRM) is a model for managing a company’s interactions with current and future customers. It involves using technology to organise, automate, and synchronize sales, marketing, customer service, and technical support. 6

CUSTOMER RELATIONSHIP MANAGEMENT n CRM entails all aspects of interaction that a company has with its customer, whether it is sales or service-related. 7

CUSTOMER RELATIONSHIP MANAGEMENT CRM is often thought of as a business strategy that enables businesses to: Understand the customer Retain customers through better customer experience Attract new customers Win new clients and contracts Increase profitably Decrease customer management costs 8

UNDERSTAND YOUR CUSTOMER You cannot manage a quality customer service operation unless you: Understand the NATURE of what it is you are providing; Fully realize what your customers want from you, and How they perceive you from the start. 9

PERCEPTION n n n Perceptions vary from person to person. Different people perceive different things about the same situation. But more than that, we assign different meanings to what we perceive. The meanings might change for a certain person. One might change one's perspective or simply make things mean something else. 10

WHAT DO YOU SEE? 11

WHAT DO YOU SEE? n This is a famous picture. What does it look like to you? 12

Duration: 10 minutes 1. Confer with your neighbour and identify and agree on a definition of a customer. 2. a. Name the customer at a game, church, beauty salon/barber, government office, restaurant, insurance company. 2. b. What are their expectations?

THE JAMAICAN HEALTH SYSTEM n n 'Treated like animals' - Jamaicans decry health care workers in new survey Fed up with the poor treatment experienced at public hospitals, Jamaicans continue to give the country's public health -care system a failing grade, revealed a recently conducted survey of the health sector. 14

THE JAMAICAN HEALTH SYSTEM n Health workers' rude attitude and lack of care and compassion, especially for the poor, terrible service and treatment, and the extremely long wait times to get through were the main things that irked persons who sought medical attention in the public sector. 15

THE JAMAICAN HEALTH SYSTEM n n Chapelton midwife removed from frontline duties after woman gives birth on sidewalk. The midwife at the Chapelton Community Hospital in Clarendon has been taken off frontline duty arising from the November 4 incident where a pregnant woman was turned away from the facility. 16

THE JAMAICAN HEALTH SYSTEM n n The woman, Shelly-Ann Smith, soon after gave birth on the sidewalk outside the hospital. At a press conference this afternoon, the chairman of the Southern Regional Health Authority, Wayne Chen, said the midwife failed to thoroughly examine Smith when she turned up at the hospital. 17

THE JAMAICAN HEALTH SYSTEM n n Chen says the midwife will be off duty pending an investigation. An official at the Chapelton hospital had explained that the pregnant woman was a high-risk patient and was advised before her due date that Chapleton was not equipped to handle those kinds of pregnancies. 18

THE CUSTOMER The recipient of a product or service. Every person in society is a customer of someone else. Even though this principle appears to be focused on the customer it includes you, as service provider and your co-workers as well. Customers may be INTERNAL & EXTERNAL. 19

THE CUSTOMER An outsider who has a want or need which the organisation can fulfill An individual internal to the organisation Customers are ASSETS The customer is ALWAYS an INDIVIDUAL 20

THE CUSTOMER A customer is the purchaser of a product or service Some one who is not aware of his wants or needs and need to communicate with the organisation to gain awareness 21

CUSTOMER SERVICE n n n Customers of the private and public sectors expect effectiveness, quality, productivity and low costs for products and services. CUSTOMER SERVICE- service that most nearly meets the combined needs of your customers and your own organisation, with profits or benefits to both sides. In short, perfect customer service is real and measurable. 22

CUSTOMER SERVICE n n Customer service is the provision of service to customers before, during and after a purchase According to Turban et al. (2002), “Customer service is a series of activities designed to enhance the level of customer satisfaction – that is, the feeling that a product or service has met the customer expectation. " 23

n n n What are some of your concerns for customer service in general and the public service in particular? Does your organisation have what it takes to be the best as a service provider? What is the role of the supervisor in Customer Relationship Management? 24

TYPES OF CUSTOMERS INTERNAL EXTERNAL Peers Managers Supervisees Team Members Team Leaders Citizens/Public Parliament Buyers Other Agencies 25

INTERNAL CUSTOMER SERVICE n n n REASONS: Internal customer service helps instill a spirit of cooperation and teamwork in your organisation. Everyone feels, “This is a great place to work. ” Internal customer service helps everyone produce top quality work…on time and on budget 26

INTERNAL CUSTOMER SERVICE n n Internal customer service will help the company grow. As your company grows, so will you. Internal customer service helps you feel better about your job. You will enjoy what you do even more. 27

TWO PARTS OF INTERNAL CUSTOMER SERVICE n n THE CONTENT PART- what you do for internal customers. It is the substance or nuts and bolts of the service you provide. It is how flexible you are in meeting your customers’ needs and resolving their problems. It is the quality, competence and timeliness, you put into your service. 28

TWO PARTS OF INTERNAL CUSTOMER SERVICE n THE PEOPLE PART- is how you do it. It is how you treat your customers- the courtesy, empathy and consideration you show them. n Both parts include doing a little extra for your internal customers – exceeding expectations. n *Identify some of the expectations of the internal customer. n 29

EXTERNAL CUSTOMERS An external customer is someone who uses your company's products or services but is not part of your organisation. 30

TYPES OF EXTERNAL CUSTOMERS n n Ready-to-Buy Customers Potential Customers Repeat Customer Impulse Buying Customers 31

TYPES OF CUSTOMERS CONT’D n n Transactional Customers Relationship Customers Information Customers Partnership Customers 32

IMPORTANCE OF EXTERNAL CUSTOMERS External customers are essential to the success of any business, as they provide the revenue stream, through their purchases, that the enterprise needs to survive. 33

BASIC NEEDS OF CUSTOMERS n n n The need to be understood The need to feel welcome The need to feel important The need for comfort Receive timely and accurate service 34

SERVE n n n S- Sincerity E - Empathy R - Recognition V -Vision E - Enthusiasm 35

QUALITY AND SERVICE QUALITY- The totality of features and characteristics of a product or service that bear on its ability to satisfy stated or implied needs SERVICE- The results generated by activities at the interface between the supplier and customer and by supplier internal activities to meet needs. System that performs work for customers or supplies public needs. 36

WHAT IS SERVICE? n n n The action or approach used to give help, assistance or advantage to customer Service is about delight, not merely satisfaction Service is about expectations, and how to exceed them Service is about people and their interaction with others Service is about self-esteem more than training 37

QUALITY SERVICE involves taking all the actions necessary to ascertain and exceed customers’ needs and requirements within the shortest possible time and at minimum cost 38

QUALITY SERVICE CUSTOMER SERVICE EXCELLENCE ATTITUDE SKILL + ATTITUDE = CUSTOMER SERVICE EXCELLENCE 39

5 ESSENTIALS OF QUALITY SERVICE n n Consistently meeting or exceeding customer expectations by identifying the customers, planning to give them consistent and predictable outcomes. Quality customer service is measured by customer expectations. Example, every time you have your car washed, you are asked to evaluate the quality of the service you received 40

5 ESSENTIALS OF QUALITY SERVICE n n The goal is to meet or exceed customer expectations 100 % of the time Quality is attained through prevention 41

5 ESSENTIALS OF QUALITY SERVICE n n n Management commitment and involvement is very important. The way management deals with mistakes and problems is critical for customer service. Employees are to be empowered to make important decisions especially if lower level employee are to be committed to giving quality customer service 42

TRADITIONAL vs. QUALITY SERVICE TRADITIONAL Meets expectations Customer is satisfied with competence Customer would wait Options are limitedaccept inferior service *Old civil service n n n QUALITY Meets and exceeds customer expectations every time Customer wants care/ bond Customer want prompt timely & efficient service Unlimited options *New public service *Ministry Paper 56 *Vision 2030 n n n n n 43

GOJ CITIZEN’S CHARTER CHECKLIST n n n Service standard targets- these should be publicised & be genuine customer service standards for individual levels of performance Provide information Courtesy & Helpfulness- names badges, staff appraisal procedures, training Convenience Accessibility 44

GOJ CITIZEN’S CHARTER CHECKLIST n n n n n Proper handling of complaints Speed in complaint resolution Full & fair investigation Confidentiality Outcome- should be known Management information Redress Choice Improvement 45

QUALITY CUSTOMER SERVICE BASICS n n n Develop your skills Have confident expectations of yourself Be a subject matter expert Maintain a professional appearance Exude friendliness and enthusiasm Manage yourself well- no personal agendas/ negativity 46

QUALITY CUSTOMER SERVICE BASICS n n n n Be attentive to the customer Give value Be timely Be right the first time Notify your customers of delays Give the customer all the information needed Take responsibility for not meeting the customers expectations 47

QUALITY CUSTOMER SERVICE BASICS n n n n n Ensure an adequate comfort zone for the customer Maintain a clean environment Practice safety Demonstrate functional teamwork(internal) Demonstrate cross- functional teamwork(external) Know the total product Be involved Commit to an interpersonal relationship Be passionate and obsessed about service 48

EXCEPTIONAL CUSTOMER SERVICE n n n n You are empowered to perform exceptional added value customer service if you answer YES to the following: Is it the right thing for the customer? Is it the right thing for the company? Is it legal, ethical & nice? Is it safe? Is it on your organisational level? Is it something you are willing to be accountable for? Is it consistent with your company’s values & policies? 49

Commitment Attitude Ethics Personal Productivity Intrinsic Factors That Affect Service Delivery Personal Quality Well-Being Pride Self-Esteem 50

SET QUALITY SERVICE STANDARDS v v 1. 2. Set clear, concise, observable and realistic service standards. (Establish targets, communicate expectations, create a valuable management tool). There are two dimensions of quality customer service: PROCEDURAL DIMENSION – is systematic in nature (service delivery systems, procedures provides the mechanisms by which customer’s needs are met). PERSONAL DIMENSION – is warm, often irrational and certainly unpredictable (attitudes, behaviors and verbal skills). 51

SEVEN STANDARD AREAS PROCEDURES 1. Timing 2. Flow 3. Accommodation 4. Anticipation 5. Communication 6. Customer Feedback 7. Organisation and Supervision PERSONAL 1. Appearance 2. Attitude 3. Attentiveness 4. Tact 5. Guidance 6. Selling Skills 7. Gracious Problem solving 52

BUILDING A WINNING TEAM (a) i. iii. iv. DESIGN QUALITY CUSTOMER SERVICE JOBS: State the job purpose; Explain what the job entails; Specify how the job is to be performed Stress the standards of excellence; Describe job relatedness 53

TEAM - Continued (b) (c) (d) (e) (f) Write job specifications in quality customer service terms Screen job applicants for quality customer service abilities Training for quality customer service Practice quality leadership skills Encourage a supportive organisational climate 54

TEAM n n T-ogether E- ach A- chieves M- ore 55

Duration: 5 minutes In groups of six (6) discuss the use of teams in customer service.

CHECK UP REGULARLY i. iii. Service audit system Customer Feedback System Employee Feedback System 57

PROVIDE PROACTIVE PROBLEM SOLVING i. iii. iv. Create a supportive climate for solving customer service problem. Use your customer service teams to identify customer service problem areas Make your customer service team a resource for improving service Turn customer problems and complaints into opportunities for strengthening ties with your customers 58

DON PEPPERS & MARTHA ROGERS – Rules to Break and Laws to Follow “Customers have memories. They will remember you, whether you remember them or not” “…customer trust can be destroyed at once by a major service problem, or it can be undermined one day at a time, with a thousand small demonstrations of incompetence. ” 59

5 CUSTOMER SERVICE TIPS • Customer Service Tip Number One - Build Business to Customer Loyalty. • This is a number one customer service secret, and is by far one of the most important one. • Show the customer that you care for them by learning their name and something personal about them to make a human-to-human connection. 60

5 CUSTOMER SERVICE TIPS • Customer Service Tip Number Two - provide true customer service. • In today's market environment, service has become a cliché and it seems like "everyone's doing it. " • So, if everyone is doing it, why not jump ahead of the wolf pack by providing even more. 61

5 CUSTOMER SERVICE TIPS • Customer Service Tip Number Three "The Customer Is always Right. " • If a customer comes to you about a complaint, be very serious about how you handle it. Is the customer upset and angry? 62

5 CUSTOMER SERVICE TIPS • First, calm him with words and action and show that you are serious about doing something to correct the problem. • Even if it is obvious that he is wrong, sometimes it is better for repeat business to take the loss and compensate the customer. 63

5 CUSTOMER SERVICE TIPS • Customer Service Tip Number Four - be honest with your customers. • If your customer even suspects that you are trying to pull something over on him, you can kiss that customer goodbye permanently! 64

5 CUSTOMER SERVICE TIPS • Were you fortunate enough to purchase an item from a wholesaler at a discount price? Instead of being tempted to richly improve your bottom line, pass that saving on to your customer. • This will ingrain confidence in your customer so that, in the future, your customers will know where to come for REAL savings. 65

5 CUSTOMER SERVICE TIPS • Customer Service Tip Number Five - educate your staff to be equally as concerned about your customers as you are. • There is nothing worse than an employee who ruins a relationship with a customer because they will not directly feel the pain of the lost business. 66

WHY CUSTOMERS COMPLAIN? To solicit sympathy and test for consensus for the complaint • To see if others would feel the same way under similar situation To create an impression • Complainers standards and expectation are much higher than non-complainers 67

COMPLAINING OUTCOMES Voice • Customer verbally communicates dissatisfaction with store or the product Exit • Customer stops patronizing the store or product Retaliation • Customer takes action deliberately designed to damage the physical operation or hurt future business 68

HANDLING CHALLENGING SITUATIONS/DIFFICULT PEOPLE n n n n n TANKS SNIPERS KNOW-IT-ALL GRENADES MAYBE PEOPLE YES PEOPLE NOTHING PEOPLE COMPLAINERS NO PEOPLE 69

CUSTOMER PROFILES n EGOCENTRIC EDGAR n n n n Places his needs above all other customer Pushes to the front of the line May demand to see supervisor Troublesome to new persons Don’t let his ego destroy yours Appeal to his ego Demonstrate your ability 70

CUSTOMER PROFILES n BAD MOUTH BETTY n n n Let you know what she feels about you, the organization and your boss Crude and spoils the customer service environment for everyone Remove her from the environment Allow her to vent in a quiet place Agree to some of her concerns 71

CUSTOMER PROFILES n HYSTERICAL HAROLD n n n He is a screamer who gets very loud Demonstrates his childish side Remove him from the environment Take responsibility for the problem Solve the problem 72

CUSTOMER PROFILES n DICTATORIAL DICK n n n Egocentric Edgar’s evil twin Tell everyone how they are to do their jobs Don’t let him push you around Stick to your game plan and provide service Let him know what you can do for him 73

CUSTOMER PROFILES n FREELOADING FREDA n n n Wants all for free Pushes organizations return policy Dealing with her involves biting your tongue and giving her what she wants Remember that she represents approximately 2% of customers Develop return policies that may deter these customers 74

SERVICE RECOVERY n n Take responsibility for problem Apologise for problem Empathize immediately Take immediate action 75

SERVICE RECOVERY n n n Ask what would make them happy Understand the true meaning of service Follow-up 76

MANAGING CUSTOMER WAITS n n n Unexplained waits are longer than explained waits Unfair waits are longer than equitable waits The more valuable the service, the longer the customer will wait 77

DIFFICULT PEOPLE n n n Be calm, polite and professional Know and follow the organisational procedures If an appointment is necessary, ask ‘do you have an appointment? ’ Assist the customers who forget the details of their appointment Go through the procedure for making appointments 78

8 RULES FOR GOOD CUSTOMER SERVICE- Susan Ward n n n 1. Answer your phone – use call forwarding; an answering service; hire staff. 2. Don't make promises unless you will keep them. 3. Listen to your customers. 4. Deal with complaints. 5. Be helpful - even if there's no immediate profit in it. 79

8 RULES FOR GOOD CUSTOMER SERVICE- Susan Ward n n n 6. Train your staff (if you have any) to be always helpful, courteous, and knowledgeable. 7. Take the extra step. 8. Throw in something extra. 80

ACTION PLANS -Definition n n A sequence of steps that must be taken, or activities that must be performed well, for a strategy to succeed. An action plan has three major elements 1. Specific tasks: what will be done and by whom. 2. Time horizon: when will it be done. 3. Resource allocation: what specific funds are available for specific activities. Also called action program. 81

ACTION PLANS n n n An action plan is a way to make sure your organisation's vision is made concrete. It describes the way your group will use its strategies to meet its objectives. An action plan consists of a number of action steps or changes to be brought about in your organisation/community. 82

ACTION PLANS n n n Each action step or change to be sought should include the following information: What actions or changes will occur Who will carry out these changes By when they will take place, and for how long What resources (i. e. , money, staff) are needed to carry out these changes Communication (who should know what? ) 83

WHAT ARE THE CRITERIA FOR A GOOD ACTION PLAN? n n The action plan for your initiative should meet several criteria. Is the action plan: Complete? Does it list all the action steps or changes to be sought in all relevant parts of the organisation? Clear? Is it apparent who will do what by when? Current? Does the action plan reflect the current work? Does it anticipate newly emerging opportunities and barriers? 84

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WHY SHOULD YOU DEVELOP AN ACTION PLAN? n n To lend credibility to your organization. An action plan shows members of the community (including grant makers) that your organization is well ordered and dedicated to getting things done. To be sure you don't overlook any of the details 86

WHY SHOULD YOU DEVELOP AN ACTION PLAN? n n n To understand what is and isn't possible for your organization to do For efficiency: to save time, energy, and resources in the long run For accountability: To increase the chances that people will do what needs to be done 87

Duration: 30 minutes In groups of five (5): Provide an outline of a customer service plan for your organisation, identifying areas of weaknesses with possible solutions. n n n 88