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Customer Service Improvement
Strategies in Practice
Jonathan Kittow
Director, Simply Supply Chain
#strategicadvantage
@OmPrompt
Simply Supply Chain
Why I’m here… Specialist Consumer Packaged Goods consultancy
25 years
Best-in-class
“Perfect order”
with a wealth of FMCG back office experience…
How does your customer experience Measure up?
Advantage Survey: annual survey inviting qualitative response
from circa 1,000 retail personnel from the major grocers
7 key business areas:
• Business and Relationship Support
• Supplier Personnel
• Category Development/ Support
• Brand/Consumer Marketing
• Trade Marketing/Promotion Practices
• Logistics and Supply Chain Management
• Customer Service/Support
How does your customer experience Measure up?
Importance ratings for Major Multiple Supply Chain priorities
Standard
Service
Level
KPIs
How does your customer experience measure up?
Importance ratings for Major Multiple Supply Chain priorities
Y
Your ranking
within your
category and
the best
performing
peers, are
featured here.
What does
this
mean?
How do I improve customer perception?
What’s the problem? Who’s to say there is one?!
Perception
“The way in which something is regarded, understood, or interpreted”.
Reality can be so complex that equally
valid observations from differing
perspectives can appear to be
contradictory.
Customer Service?
…they just process orders don’t they?...
…they let me know when I can’t have it?!..
Customer Service?
Customer Care?
Customer Supply?
What do they do….?
damage limitation
or
customer support?
Customer Service?
…they just process orders don’t they?...
Customer Service?
…they just process orders don’t they?...
Production
Distribution
Sales and Marketing
Customer Service
Papering over the cracks of
internal process weakness
to deliver an excellent
perception of service
Customer Service?
…they just process orders don’t they?...
Production
Distribution
Sales and Marketing
Customer Service
Customer Service evolution
And most suffer similar challenges: • Not enough time…for orders and customers
• Not enough accurate information…
• Not enough customer understanding…
• Not enough trust…..
the customer experience is not good enough….
"Ask your customers to be part of the solution,
and don't view them as part of the problem. "
Alan Weiss, Author "Million Dollar Consulting"
"The difference between ‘try’ and ‘triumph’
is just a little ‘umph.’"
Bonnie Przybylski, Projects Manager W.R. Grace
“Customer service is not a department,
it’s everyone’s job."
Anonymous
HOW?
People
"A man without a smiling face must not open a shop."
Chinese Proverb
Different behaviours drive differing service cultures
• 70% time spent responding reactively
• ‘Chase-the-case’
– Holding orders to maximise case fill
• Chasing for replenishment info
• Juggling orders vs allocations/forecasts
• CS decide who gets what and when
• Sales tell customer at point of failure
Managing retailer customer service level
Different behaviours drive differing service cultures
• 70% time spent planning proactively
• Flag stock issues early
• Weekly report of known issues
• Advise shortfalls, plan alternatives
• Manage issues openly with retailer
• Clear, concise and consistent comms.
• Commercial/ CS team agree priorities
• CS advise customer on day of order
Managing consumer shopping experience
Different behaviours drive differing service cultures
• 70% time spent planning proactively
• Flag stock issues early
• Commercial/ CS team agree priorities
• CS advise customer on day of order
• 70% time spent responding reactively
• ‘Chase-the-case’ mentality
• CS decide who gets what, when
• Sales tell customer at point of failure
Managing retailer
customer service level Managing consumer
shopping experience
Despite the
advances
in technology,
80% of
companies
behave closer to
this model
Improving customer perception relies on knowing where you are starting from..
Perfect Order Score Purpose: Expose the Symptoms of lean performance failures
Output: £ gap between current and Best-in-class performance
3 Value
Stream Mapping
2 Customer Experience
Maps
1 Perfect Order
Benchmark
Customer Experience Maps and Dimensions of
Service Purpose: Map the current experience through the
eyes of the customer
Output: A customer experience map and “To
be” service targets
Value Stream Maps Purpose: Determine the Root causes of
performance failures
Output: Process maps with “To be”
targets
Measuring your customer experience via the customer value dimensions
Customer Value
Management
Commercial
Customer Service
Production
Logistics
* Reliability is a fundamental customer requirement. Without service reliability there is no benefit from, or opportunity to,
invest in any other value-adding dimensions of service
Customer Value Dimensions
How good is your internal customer experience?
Process "Most people spend more time and energy
going around problems
than in trying to solve them. "
Henry Ford, Founder Ford Motor Company
How good is your internal customer experience?
All planning
conducted on
ad hoc excel
spreadsheets
Days stock
calculation
in ERP
System
‘doesn’t
work’
Report
based, not
action
oriented
output
Allocation
process run
on behalf of
Sales by
Cust Serv.
Too many
instances of
running out
of stock at
short notice
Customer Service team maps the ACTUAL tasks:
• Let them tell you what adds value and what doesn’t
• Let them describe ‘What Good Looks Like’
• Identify the barriers and enablers to change
• Recommend the future state option based upon best fit
Change
"Always do more than is required of you."
George S. Patton
A multi-layered approach to deliver a sustainable advantage
What others do
(Best practice)
What is “Lean” target
solution
Value Stream Maps Customer Perception Maps
+ What Adds Value - What Adds No Value
What we do now
(current practice)
What internal constraints stop us implementing the target? Systems, People, Legislation and company policy
Best Fit Solution
People Process Technology
A best fit solution now is better than a world class system in the future...
Best Fit Solution
People
- Organisational structure
- Responsibility and competence
- Skills and development plan
Process
- Defined x-functional activity
- Clear accountability
- Meaningful KPIs
Technology
- Automation
- Accurate reporting
- Timely and responsive
“Know what your customers want most
and what your company does best.
Focus on where those two meet.”
Kevin Stirtz
Thank You
Contact Me
Jonathan Kittow Simply Supply Chain
Mobile: +44 (0)7779 665137
Tel: +44 (0)845 6522251
www.simply-sc.com
Contact OmPrompt
+44 (0)1235 436000
www.omprompt.com
TWITTER: @OmPrompt
Join our Customer Automation Management Group on Linkedin
https://www.youtube.com/user/OmPrompt
