Customer-Defined Service Standards

1. Factors Necessary for Appropriate Service Standards Types of Customer-Defined Service Standards Development of Customer-Defined Service Standards Chapter 10 Customer-Defined ServiceStandards

2. Service Standards Standards are based on the most important customer expectations and reflect the customer’s view of these expectations. Customer-Defined Standards SOURCES Customer Expectations Customer Process Blueprint Customer Experience Observations SOURCES Productivity Implications Cost Implications Company Process Blueprint Company View of Quality Company-Defined Standards

3. Customer Service Report Card forPuget Sound Energy

4. HARD STANDARDS AND MEASURES Things that can be counted, timed, or observed through audits (time, numbers of events) SOFT STANDARDS AND MEASURES Opinion-based measures that cannot be observed and must be collected by talking to customers (perceptions, beliefs) Standards…

5. Examples of Hard Customer-Defined Standards

6. Examples of Soft Customer-Defined Standards

7. Example of Customer-Defined Service Standards at Circuit City Initial Sales Contact with Circuit City in Store • act in a professional and courteous manner • ask customer what he or she is looking for • offer to be available when needed if customer not ready • ask customer several questions about specific needs or wants • educate the customer about products in category • explain the differences between products (such as TVs) that customer is considering • be honest about options and price Adapted from: John R. DiJulius III (2005), Secret Service, Hidden Systems That Deliver Unforgettable Customer Service.

8. Example of Customer-Defined Service Standards at Circuit City Checkout at Circuit City in Store • act in a professional and courteous manner • probe customer to assure that product meets needs and reduce any anxiety and uncertainty that the customer might feel • explain the warranty service that accompanies the product • using what is known about the customer, explain the Circuit City customer service agreements that extend the warranty • explain the differences between CSA options, being sure to relate them to what the customer needs • encourage purchase, and fully explain how to implement CSA Adapted from: John R. DiJulius III (2005), Secret Service, Hidden Systems That Deliver Unforgettable Customer Service.

9. Example of Customer-Defined Service Standards at Circuit City Post-sale Follow Up • telephone customer within next 7 days to ask how TV is operating • ask if client is ready to schedule first service • if client is ready, establish date for first service • send out postcard one week in advance of first service call to remind customer and explain what needs to be done Adapted from: John R. DiJulius III (2005), Secret Service, Hidden Systems That Deliver Unforgettable Customer Service.

10. Example of Customer-Defined Service Standards at Circuit City Annual Follow Up • send customers reminder cards that they have either used the service or are due for a service call • two weeks after mailing card, call customers who have used service and assure that they are satisfied both with product and service • call each customer who has not used the service and schedule a “maintenance check-up” where service provider goes to home and checks and tunes television Adapted from: John R. DiJulius III (2005), Secret Service, Hidden Systems That Deliver Unforgettable Customer Service.

11. Soft Standards at Toyota in Japan • Standards for salespeople patterned after samurai behaviors: • assume the samurai warrior’s “waiting position” by leaning five to ten degrees forward when a customer is looking at a car • stand with left hand over right, fingers together and thumbs interlocked, as the samurais did to show they were not about to draw their swords • display the “Lexus Face,” a closed-mouth smile intended to put customers at ease Samurai warrior “waiting position”

12. More Soft Standards at Toyota in Japan • Standards for salespeople patterned after samurai behaviors: • when serving coffee or tea, kneel on the floor with both feet together and both knees on the ground • bow more deeply to a customer who has purchased a car than a casual window shopper  • stand about two arms’ lengths from customers when they are looking at a car and come in closer when closing a deal • point with all five fingers to a car door’s handle, right hand followed by left, then gracefully open the door with both hands