Month: September 2022

Measurement & Insight

September 30, 2022

“You must get involved to have an impact. No one is impressed with the won-lost record of the referee.” John H. Holcomb

To have an impact means to have a marked influence – a strong effect on someone or something. Impact is often associated with measurement and reward in organizations, and the phrase “What gets measured gets done” has been attributed to Peter Drucker, Tom Peters, W. Edwards Deming, Lord Kelvin and others. It is true – impact is only seen historically, after the fact.

We define Measurement & Insight as the efficient and effective use of data to inform future development of the organization at all levels, including collection, interpretation, communication and decision-making. The purpose of Measurement & Insight is to understand what impact the organization has delivered in different areas and to enable decisions that will create the most value in the future.

Be careful what you ask for

In the decades to come, when organizational management from the 1970s to the 2010s is looked back on, it is likely that ‘metrics’ will be a key topic. We think that the use of measurement-based approaches such as KPIs (key performance indicators), SLAs (service level agreements), incentivized pay schemes and others might be viewed as, at best, misguided and clumsy and, at worst, crude and ineffective.
We are strong supporters of measurement and insight as an aid to decision-making and accountability. Measurement and insight in themselves are not the issue.

The digital revolution has made it much easier and cheaper to measure multiple dimensions of an organization’s activities and this has led to what has seemed like an almost obsessive, simplistic application on the basis that it is ‘the answer.’ But metrics are a support to, rather than a substitute for, thinking. It is the simplistic way in which they are applied by organizations’ leaders that can cause issues, and sometimes catastrophic damage. Measurement is immensely powerful – either for good or ill – and the outcome is dependent on the level and quality of leadership involvement, just like in the quote above.

“Cutting the deficit by gutting our investments in innovation and education is like lightening an overloaded airplane by removing its engine. It may make you feel like you’re flying high at first, but it won’t take long before you feel the impact.” Barack Obama

The American Nobel Prize winner for economics Joseph Stiglitz observes that “What we measure affects what we do. If we have the wrong metrics, we will strive for the wrong things” – or, in other words, if you don’t measure the right thing, you don’t do the right thing. The notion that you can’t manage what you don’t measure is a trap. Deciding what to measure is so much more important than the measuring itself.

We are in favour of a broader approach to measurement and insight, and we admire the way that, if used as intended, the balanced scorecard has stood the test of time since it was proposed in 1992. The triple bottom line (otherwise called the TBL or 3BL) is a more recent accounting framework with three parts: social, environmental (or ecological) and financial. Some organizations have adopted the TBL framework to evaluate their performance in a broader perspective to create greater business value.

Measuring and sustaining behaviour

An over-reliance on simplistic measurement by numbers is dangerous. Impact also needs to be assessed at a less quantitative, more qualitative level. A combination of carefully considered metrics or quantitative measures (to provide direction) and a collection of qualitative data (e.g. narrative, story and open comments) clarifying the impact on individuals and groups of stakeholders provides a much richer picture of impact and the context within which this happens.

While stories might not seem ‘measurable’ by numbers, management educator Henry Mintzberg proposed starting “from the premise that we can’t measure what matters.” Mintzberg suggested that this gives leaders the best chance of realistically facing up to their challenges. Stories are a particularly fruitful way of communicating.

SERVICEBRAND

At SERVICEBRAND Global, we believe in the Measurement & Insight is the fifth (and final) Element of the SERVICEBRAND approach and is applied equally to the previous four Elements: Brand Identity, Employee Engagement, Customer Experience and Systems & Processes.

The SERVICEBRAND approach helps to capture and present your data and the insight generated from it as ‘intelligence’ to make decisions. If you are not making decisions based on your measurement and insight, why are you collecting the data? If this is an area you would like to improve, please give us a call, and see how we can help you.

Customer Journey Mapping

September 23, 2022

“You’ve got to start with the customer experience and work back toward the technology, not the other way around.” Steve Jobs

One of the most helpful tools for Customer Experience Management is customer journey mapping, used to understand and define the customer experience. There are many variations of this technique, and our aim is to highlight some points for you to bear in mind if you think this might be a useful initiative. Your customer’s journey is each of the interactions they have with your organization through your various touch points. This could be instore, via email or social media, the in-person service they receive or the online interactions they have with your employees.

65% of customers are more influenced by great experience than by advertising. If you get your customer journey right, you are more likely to create happy and loyal customers. Many of these will go on to be excellent word of mouth ambassadors for your brand, as well as repeat customers.

How to map your map

Start by considering the end-to-end journey of the customer, even if this includes areas over which you have little or no control. If you are a train company, the local car park is part of your customers’ experience. It will affect customers’ perception of your offer (even if it is provided by a third party) and might have an impact on your business (e.g., the car park is always full, is badly maintained or is prone to vandalism and there is another train station close by).

Common sense

At each stage of the customer journey, all the senses need to be considered to design and implement the optimum customer experience. In a banking client’s office, we discovered that mail room employees wheeled a trolley through the reception area, where important visitors were awaiting their host. The trolley had the loudest squeaky wheels you can imagine and clearly this did not support and reinforce the smooth, sophisticated image the bank wished to portray.

The senses can be used to emphasize the uniqueness of a branded customer experience. Abercrombie & Fitch was one of the first businesses to use scents in their stores and in their marketing. In Ritz Carlton hotels you will hear employees say, “It’s my pleasure” and never “That’s Ok” or “No problem”. Tiffany’s iconic shade of ‘robin’s egg’ blue, trademarked as Tiffany Blue is ubiquitous on everything from jewellery boxes to shopping bags to advertising.

Know, do, feel

It is also important to think about what you want the customer to know, do and feel at each stage of the journey or at key touchpoints. Using the example of a hotel registration, welcoming a guest back to the hotel and providing them with a registration card for their signature lets them know that you have remembered their previous visit, prompts them to provide their signature and makes them feel valued as a returning guest. The key card can then be issued in a small card ‘wallet’ displaying their room number and signature so they can present it to charge any services to their room account during their stay. This wallet can also include other information about the hotel’s facilities, and the receptionist can offer to make a dinner reservation before directing the guest to their room.

SERVICEBRAND

At SERVICEBRAND Global, we help organizations to develop their customer journey maps as a foundational tool in their Customer Experience strategy. If you think this is an area that could help improve customer satisfaction, loyalty and sales, why not see how the SERVICEBRAND approach could help you?

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Customer Experience and Growth

Research into the value of understanding the customer experience is consistently returning findings that show a huge percentage of customers are willing to pay more to have a better, easier, and more comfortable experience with the brands and organizations they interact with.

It is not just the customers benefiting from more care and attention being placed into the customer experience. Studies also show a huge increase in revenue in the three years after organizations have implemented a successful customer experience strategy.

Despite the positive research results, it seems many organizations are still reluctant to embrace the idea of investing in a quality customer experience strategy.

What is CX?

Despite customer experience (CX) being spoken of as the next frontier in business growth, many leaders and organizations don’t fully understand just how many elements feed into the experience customers have when they interact with a business.

CX can be considered as the journey your customer takes from the moment they become aware of your brand, to the moment they decide they want no other service but yours. It used to be that advertising companies would convince the customer of their need for your offering. But with such a competitive market in the present day, the onus is now on the organization to offer the best experience possible to customer, to keep them loyal.

When organizations are offering slightly different versions of the same thing, the experience becomes the key and defining factor in purchase decisions. If you don’t have a CX strategy, you are leaving it to chance and randomization as to whether your customers are all having the same positive experience.

Service or experience?

It is easy to think that the terms customer experience and customer service are the same or interchangeable. But they aren’t.

While it is true that most customers will engage with an employee as their first port of call, perhaps making a telephone call, or speaking to a service agent or sales assistant, this service is not the whole experience. These interactions just allow time in the customer experience journey to offer great service and hopefully leave the customer feeling like they had a great experience of the brand.

Customer service is what happens ‘in the moment’. Customer experience is what happens throughout: the comments and suggestions from friends or family to try a place they have really loved; a built understanding in the head of the customer that this is the brand for them before they’ve even had their first physical interaction; a strong preconception that is then reinforced by the excellent service they receive.

Anton, an attendee at a workshop I delivered summed it up so well “A service you receive, an experience you take away.”

If the service doesn’t align with their desired experience, then you’ll lose a customer. It really is that simple. What you say you’ll do, matters.

But it is crucial to avoid the mistake of developing a CX strategy at the heart of your business, that is never supported nor trained into employee behaviour. In the Values Economy, customers believe their felt experience and the experiences of other customers than they believe the official corporate messaging. If what you say is not reinforced by the experience you deliver ‘on the ground’, at best, customers will be confused, and, at worst, they will feel intentionally misled.

Should I stay or should I go?

Building customer loyalty is one of the biggest challenges for any organization. It is often organic in nature and will only be successful in a sustained way with sound underpinning intention. Designing a CX strategy around cheap tricks or financial incentives to achieve customer loyalty might deliver results in the short term but this will only last for so long.

It is much better to design and create a strategy that studies and understands the needs of the customer, and then creates a pathway to bring them true joy.

When you think of businesses you have loyalty towards, is it really because of the product, or is it because of the service? There is a great deal of power in knowing that, whenever you interact with a brand, you are going to get the same experience. It is why people only stay in one hotel chain, have a favourite fast-food restaurant, go to the same brand of coffee shop in every place they visit.

Customers ask for very little in the way of experience, and give their loyalty in return. If your business hasn’t been honouring that loyalty, are your surprised that your customers are happy to leave?

SERVICEBRAND

At SERVICEBRAND Global, we believe that customer experience provides the life blood for any organization. Without customers, organizations do not exist. We help progressive leaders to create and implement CX strategies to understand where they are now and help them get to where they want to be… in practice. If you would benefit from help to put an effective CX strategy in place, why not see how the SERVICEBRAND approach can help your business.

Organizational Systems & Processes

September 6, 2022

“Systems and processes are essential to keep the crusade going, but they should not replace the crusade.” Simon Sinek

Organizations are complex adaptive systems. They consist of interconnected, interwoven components or sets of things that work together as part of a mechanism or interconnecting and dynamic network to achieve an overall goal.

If you take away or change a component it affects the whole system. Ralph Stacey, an eminent figure in the field of complexity, points out that all human systems are ‘self-organizing’ and not open to control. Interactions between humans are co-created and emergent, with multiple possible outcomes at each point of engagement. A complex environment consists of any number of competing factors, combinations of agents and potential outcomes.

The Ralph Stacey Complexity model

Supporting the right functions

The components of the organization system can be viewed in different ways. One perspective is a collection of different functions where the Human Resources (HR) team could be one component, the service delivery team another, the outsourced supply chain another and so on.

These functions are interdependent, so if there is a high performing service delivery team, but the HR processes and procedures are not working well, then the performance of the whole organization is lessened.

“Systems are not sexy – but they really DO drive everything we do!” Carrie Wilkerson

Systems & Processes is the fourth ‘Element’ of the SERVICEBRAND approach. We think of this as the organization’s infrastructure: a collection of ‘assets’ assisting the strategic alignment and co-ordinated execution of the Brand Identity, Employee Engagement and Customer Experience Elements.

We define the Systems & Processes ‘Element’ as the arrangement of resources, communication framework, technology infrastructure and governance to enable and support delivery of a brand aligned Customer Experience. Resources refers to people, functions, information, finance, property, and equipment.

Systems in support

The focus on an alignment and support role is critical because, otherwise, there is a risk that areas within your systems and processes can achieve a disproportionate level of importance to the detriment of the brand identity, employee engagement or customer experience. Can you relate to these quotes?

– “Your details cannot be located because the system needs a case number.”
– “I cannot serve you with a cup of hot water because it is against the company health & safety policy.”
– “Do you have a reservation?” in an empty restaurant.
– “Unless you have your booking reference, you will not be admitted to the event.”
– “The delivery day cannot be changed so if nobody is at the address it will be delivered the following day.”
– “I can only issue you with a uniform when the approval form is received from your department manager.”
– “To collect your train ticket, you must have the credit card you used to pay for it.”
– “Your query will be dealt with by the foreign exchange team. I am unable to transfer you and they do not make outgoing calls so please call this number…”
– “I do not know why you were able to make a reservation for those dates because our arrival date is always a Saturday.”

In all these examples, for whatever reason, the organization’s systems are not helping to achieve the best outcomes and, in some cases, present an active obstacle. Many organizations have issues like this and others: people are swamped by systems that require a lot of maintenance, and meta-work (work about work e.g., meetings, project planning, progress reviews) can take more time and effort than the work that needs to be done.

SERVICEBRAND GLOBAL

Using the SERVICEBRAND approach helps to maintain a focus on what is important (aligned brand identity, employee engagement and customer experience) and to keep in check the component parts within the Systems & Processes ‘Element’. In Simon Sinek’s words above, they do not replace the crusade.

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