Customer Service Matters
21 January 2015
Customer Service Matters
Introduction
Organizations are complex collections of various groups working toward the same common goal. In order to create the effective use of limited resources and to focus on stated goal, organizations’ structures are established. The most common structure, Functional Structures, have 3-5 levels each with their own specific responsibility and expectation. The most commonly recognized levels include the following: Human Resources (Hiring employees, benefit packages), Accounting/Finance (accounts payable / receivable, payroll), Information Technology (Computers, Networks, Software), Operations or Production (Material Management, Inventory, Manufacturing, Equipment/Maintenance), and Marketing (Sales, Distribution, Product Development, and Customer Relations). Despite their individual section of goals, each area supports and impacts the others and require constant and effective communication between each in order to be able to effectively work towards that same goal.
What is that goal? Is the primary goal to save money and increase revenue? Companies focus on the bottom line, where that money can be saved and how to increase the revenue. With competitive markets and ever changing business, it is not frequently enough that company leaders take a step back from the numbers and look to see not just where the money comes from, but how each area within the organization ‘serves the customer’ and finds flaws that could negatively be impacting their bottom line.
Customer satisfaction and retention is necessary for any business. Creating quality standards and guidelines within Customer Service, the primary customer contact area, establishes a solid foundation with customers. By utilizing consistency in training, updating resources and continuing employee education, improving process standards, and using standard recovery methods, this foundation will form into the desired long-term customer relationships, improving both
Customer Service Matters
Introduction
Organizations are complex collections of various groups working toward the same common goal. In order to create the effective use of limited resources and to focus on stated goal, organizations’ structures are established. The most common structure, Functional Structures, have 3-5 levels each with their own specific responsibility and expectation. The most commonly recognized levels include the following: Human Resources (Hiring employees, benefit packages), Accounting/Finance (accounts payable / receivable, payroll), Information Technology (Computers, Networks, Software), Operations or Production (Material Management, Inventory, Manufacturing, Equipment/Maintenance), and Marketing (Sales, Distribution, Product Development, and Customer Relations). Despite their individual section of goals, each area supports and impacts the others and require constant and effective communication between each in order to be able to effectively work towards that same goal.
What is that goal? Is the primary goal to save money and increase revenue? Companies focus on the bottom line, where that money can be saved and how to increase the revenue. With competitive markets and ever changing business, it is not frequently enough that company leaders take a step back from the numbers and look to see not just where the money comes from, but how each area within the organization ‘serves the customer’ and finds flaws that could negatively be impacting their bottom line.
Customer satisfaction and retention is necessary for any business. Creating quality standards and guidelines within Customer Service, the primary customer contact area, establishes a solid foundation with customers. By utilizing consistency in training, updating resources and continuing employee education, improving process standards, and using standard recovery methods, this foundation will form into the desired long-term customer relationships, improving both
References: Ang, L., & Buttle, F. (2006). Customer retention management processes: A quantitative study. European Journal of Marketing, 40(1), 83-99. Retrieved from http://search.proquest.com.library.capella.edu/docview/237020914?accountid=27965 Bain & Co DeRose, Chris and Tichy, Noel (2013). Here’s How to Actually Empower Customer Service Employees. HBR.org Retrieved 2 January 2015 RightNow. 2010. Customer Experience Report. North America 2010 Retrieved 5 January 2015 Venetis, K. & Ghauri, P. (2004). Service Quality and Customer Retention: Building long-term relationships. European Journal of Marketing. Retrieved 25 December 2014 from: