I realize that my previous post (diminishing returns of customer service) might be viewed by some as controversial. As I explained I do believe that customer service is an important issue for our industry and I do believe that it can and should be improved.
My concern is that owners and managers have an unrealistic expectation (actively encouraged by consultants, industry associations, publications and trade shows) of what customer service initiatives can do for their business.
Sure you need customer service standards but you need to realize the limitations of customer service.
I have seen this customer service focus in action. Overzealous owners and managers, convinced that customer service should be their priority, implementing a regime of customer service tactics only to become frustrated, annoyed and discouraged with their staff’s perceived inability to translate customer service improvements into increased revenues and profits.
It becomes a circular argument. If customer service is the primary reason for the business’s underperformance and if after a period of customer service 'transformation' the business is still underperforming it must be because of the staff’s inability to implement the customer service initiatives to the proper standard.
The result is repeated cycles of staff training, evaluation, staff turnover (dismissals for underperformance and voluntary staff terminations) recruitment, staff training, evaluation… Any benefit to the business as a result of improvements in customer service is offset by the recruitment and training costs associated with high staff turnover.
If your systems, policies, procedures and processes are effective customer service issues can be minimized.
Remember the 85/15 rule. According to W. Edwards Deming (one of the pioneers of Total Quality Management) 85% of a workers effectiveness is determined by the system he works within and only 15% can be attributed to his own skill.
Typical customer service initiatives focus on the 15% of worker effectiveness attributed to the individual. This can only ever yield a marginal return.
I am not suggesting that customer service issues be ignored but that ‘answering the phone on the third ring’… ‘smiling over the telephone’… ‘scripted responses’… ‘active listening’… or the ‘customer service tactic’ du jour should not be considered a panacea.
If you understand the inherent limitations of customer service you can apply your efforts where they will yield a more significant return on investment.
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