We can learn a lot from Jeff Bezos. 60 seconds may be enough when you understand how he creates success.
I am still perplexed that so many folks seek to justify the failure of once-great companies like Nokia, Motorola, Blockbuster and Circuit City as being complex.
It wasn’t complicated and still isn’t to understand the reasons why they crashed and burned. It is in fact pretty simple. If you lose the connection between yourselves and customer success you will fail fast. All the best leadership, innovation and culture crumbles if you are not delivering #successfulcustomeroutcomes. However, don’t take my word for it – let’s hear it from the maestro himself
Learn more about embedding ‘next practice’ into your work and organisation by joining us at one of our upcoming courses at www.bpgroup.org
Business failures are all around us, nothing new there then. If we go back a decade or so we saw the demise of Nokia, we’ve seen companies like Blockbuster crash and burn, and other companies in the High Street whether it’s in Europe or in the US disappear and never to be seen again.
Why is this so when if you look at the investment those companies were making there was no lack of intent to spend in understanding how the customer was changing. In the year that Apple introduced the iPhone Nokia were investing very heavily in the voice of the customer surveys, customer satisfaction and NPS.
But this misses the point. Progressive Outside-In companies (think Amazon, Zara, Zappos, Emirates) are not about retrospective subjective analysis of performance. It isn’t about overlaying processes with a new language when fundamentally the very systems and processes were never designed to deliver experiences. They were designed with a factory mindset centred around production line thinking, throughput and waste. Hence the challenge is more fundamental as it’s not about rejigging what you’re doing – it is about a complete rethink to move outside in the way that you do business.
Remarkably as we approach the third decade of the 21st century there are still those companies that think they can just tweak and change the language inside their organisations. As if doing better advertising and marketing to customers and talking about ‘new’ services on top of their existing infrastructures and IT systems hacks it. The actual reality is somewhat different.
Senior Executive commentary
Top teams and senior executives need to grasp this challenge. Roland Naidoo, a senior executive at African based entertainments company Multichoice puts the choice starkly:
“Would you measure how fast a 1600cc car performed around an F1 circuit. No? Then why would you try to measure customer experience AND improve it on processes and products there were never designed with experience in mind. Go on enter your 1600 into the next F1. Wonder how it would perform?”
Roland Naidoo, Multichoice Africa
Lipstick on a Pig? Surely not…
Those companies who understand that ‘outside-in’ thinking calls for a complete realignment and new appraisal of what the customer experience consists of. Rather than, to coin a phrase, putting lipstick on a pig. You have actually got to think about what is it you’re trying to achieve; what does success look like for our customer? And then align across all functions, all systems and ways of working towards successful customer outcomes. Disney refers to this alignment as getting everybody to understand where true north is and not to do anything unless it contributes to that alignment. Imagine all new initiatives being assessed by a similar approach?
Are you working in a Rubik cube?
Another aspect which comes into play is this idea that traditional measurement* is predominantly subjective and retrospective. Progressive outside in companies are not reactive – they get scientific about the customer experience. Measuring each interaction as it happens and if necessary course-correcting in real-time. They develop the ability to see around corners to understand what’s coming next. They don’t have to wait for analysis 2 weeks after an event to decide that some remedial action is required. This knowledge in the instance of what is happening requires us to create this idea of ‘action in the moment’ for all our employees. Zappos**, for instance, give their employees the tools and the capability to be able to make decisions in the moment (without the need to escalate to supervisors).
Industrial Age thinking will kill you
And there is another challenge companies face if they are still organised around functional specialist silos. If you’ve recruited low paid people and given them a script to follow, manage them to average handle times and throughputs you’re going to fail. Once more the outside-in companies have an edge here as they understand that to give your most precious resource (the customer) to the employees then you need the right people in the right place able to do the right things at that moment of truth.
So what is your organization doing? is it trying to put lipstick on the pig? is it just trying to overlay the existing process is an infrastructure with this new customer-centric way of talking and doing?
It is very simple. You need to get down to brass tacks of rethinking what customer experience is all about its implication for the organisation going forward. Those organisations that are taking this outside-in approach find the world becomes simpler, faster and much more directly oriented towards delivering successful customer outcomes and winning for the bottom line.
In just 60 minutes we will evaluate the 4 elements of a Customer Experience Management Ecosystem and how they can provide your organization with a company-wide ecosystem of CX management that focuses all of your team’s efforts and resources on delivering amazing customer experiences.
We are doing a CX POWER Hour this coming Wednesday 1 PM EDT/ 10 AM PDT Expert hosts include James Dodkins aka CX Rockstar, Doug Bell, Mitch Belsley (The Experience Manager) and Steve Towers BP Group.
In just 60 minutes we will evaluate the 4 elements of a Customer Experience Management Ecosystem. We will review how the 4 elements can provide your organization with a company-wide ecosystem of CX management. This then focuses all of your team’s efforts and resources on delivering amazing customer experiences.
What we will cover
1. Operationalizing Experience Designs
(How do you create and socialize simple experience designs that everyone in the organization will be able to understand?)
2. Measuring successful customer outcomes instead of business outputs
(Are you still relying on subjective NPS and VOC data to drive your CX analytics program?)
3. Focus every employee in the company every single day on CX innovation and improvement
(Are you harnessing the power of feedback and ideation from your employees?)
4. Evolve and improve your experiences in days not months.
(How long is it taking you to go from idea to implementation?)
When you align your business around an understanding of your customer, you can increase your ability to grow revenue, significantly reduce cost, radically boost customer loyalty and engagement, tighten controls – and increase your competitive strength.
The Panel of Global Experts
Meet and discuss with our world-renowned team of Customer Experience Management innovators including… Doug Bell, James Dodkins, Mitch Belsley and Steve Towers will share proven strategies, tactics and tips to help position your customer ‘front and center’ – while addressing your real-world challenges of limited resources and competing priorities.
P.S. I suggest you follow The Experience Manager on LinkedIn and stay up-to-date on how to radically improve your customer and employee experiences. We focus the ‘next practices’ of the world’s leading CX companies that will help your organization do a better job designing, developing and delivering great customer and employee experiences.
It is good to have a guide in life. Many of us share political creeds, religious beliefs and codes of honor to guide our decision making. Wouldn’t it be crazy good to have the same for the doctrine of Customer Experience? When I co-authored the best selling book “CEM Success without Exception” back in 2006 Customer Experience Management was in its infancy.
Now thirteen years later we have the accumulated wisdom of the giants of Customer Experience Management, proof that focus on Successful Customer Outcomes, Outside-In and working backwards are fundamental to becoming a winning organization.
It is with these thoughts in mind and the worthy experience of many that I set pen to paper to craft these tenets as guidelines for all of us seeking to maximise our deployment of Customer Experience Management.
1. Customers are first, front and center for everything.
Understanding that all the work an organization undertakes ultimately stems from a customer interaction is key. Work to engineer every experience to the optimum.
2. Listen to the questions customers ask you.
Resist the subjective ‘voice of customer’ surveys (they are biased and unrepresentative) and focus on understanding and articulating needs – the Needs of the Customer.
3. Stop selling and let people buy.
Customers are now prosumers and most know what they want and how to get it. You will not win them if you force sell; in fact, you will make enemies of them.
4. Map the Complete Experience.
This is both the stuff the customer sees (the customer journey and the brand promise) and the work that takes place across the rest of the organization to support all interactions. Combine those the Employee Experience and the Customer Experience you are nearing the Complete Experience; these are not separate things but should be viewed through the same lens.
The CEMMethod.com can help you in seeing the Complete Experience.
Customers develop trust when you say what’ll you do, and then do what you say. Conversely, do not project yourself as something you are not.
6. Be consistent and truthful across all your channels.
Customers will interact in ways and times that suit them, so ensure you keep a coherent message across all experiences.
7. Act on People liking people.
Do not hide behind automation, whether that is voice systems, web interactions or even text messaging. The most intimate relationships are formed with people, not computers.
Keep in front of the song.
8. Creating memorable experiences requires anticipation and coordination.
Fix problems before they happen, and when problems do arise (they will) pull out the stops to put things right.
9. Design every customer experience for the category of customer.
You should never ever treat all customers in the same way. Personalization and direct communication are proven winners in an era of standardization.
10. Employees are your first customers.
If they ain’t happy your paying customers won’t be either. Treat your people well and let them know they are the most critical part of the brand and the complete customer experience.
”Let’s not beat around the bush… Customer experience is the new battleground. At The Experience Manager, BP Group, and Rockstar.cx we know the art of this new war. We have the tools, the technology and the strategies to remorselessly create victories for our clients as we build a more customer-centric world, one experience and one enterprise at a time”.
Join us for Complete Experience Management with coaching, training, consultancy and Certification at www.bpgroup.org
If you are looking for Innovative leadership then this will inspire you onwards and upwards. Shared by one of South Africa’s most progressive business leaders, Roland Naidoo:
Having just left the football field with my 5 year old son I was finally motivated to write this blog. Why? Trying to teach him to kick the football in the correct way, it dawned on me in that moment I was doing to him what every organised structure is designed to do.
As I caught myself I paused, looked at him and said, “My boy, you figure it out, play, have fun, and find new ways to kick a football.”
Be the doctrine of the how and the why.
Be the standard of the where and the when.
Be the one and only way.
Have the right answers!
The dawning of that realisation underpins why innovation is so important to me. Innovation should by definition not be defined Ior it will simply succumb to every other conformity we know. It should live in every one of us.
This is the need to ask ourselves ‘why?’. Why am I doing this in this way? Is there a better way? Is there a different way? Is there even a need for this at all?
A spirit of innovation is not technology or wonderfully bombastic ideas, but the courage to question our education, rules, bonafide truths and all so-called absolutes in between. Know that your bravery will be rewarded with knowledge; am I. Know you were courageous enough to acknowledge you were wrong and move forward.
In the future when you find yourself saying or even thinking thoughts like this is how it’s always been; this is the way we do things; there is no other way; this is impossible; these are the rules; some things can’t be questioned, stop, take a breath, and find a new way to kick a football.
Footnote (from Steve)
So go find that ball and a new way to score for your team!
I was keynoting a conference in Europe recently, and senior executives in the room were getting the rationale behind moving Outside-In. However, there seemed to be two perplexed groups in the place.
One was what a refer to as the ‘traditional process guys’, and the other ‘the customer is first people’, and interestingly they both asked the same question “Where do we start?”
My honest and most direct answer is “You do not have a choice. You have got to start where you are and go from there!” OK, I get what you’re thinking, how could they take that away and begin to transform their organizations?
So, I walked them through TWO distinctly different ways to navigate to Outside-In working and practice, depending on your mindset, enterprise history and maturity. For the two categories of customer in the room, the NEEDS are the same, just the way they navigate to achieving them is different.
What are the Results?
From a results perspective, both approaches focus on winning the triple crown, that is Improving Service, Growing Revenues and Reducing Complexity (and hence lowering costs).
Process is the starting point
Starts with Customer Needs
Reengineering the Processes
Aligning everything to Customer Needs
Build out from Process to Department to Division to Enterprise
Articulate Successful Customer Outcomes and Remove the complexity of things that do not contribute to it
Local wins building to business-wide transformation
Immediate delivery against Triple Crown benefits
Slow burn, however when they see the benefits and ‘get it’ the support is significant
Starts at the strategic level so influences everything the organization does
If your remit is just ‘improving processes’ this approach will get you their steadily, however, the challenges facing traditional business are seismic so is there time? So, make immediate gains but push hard for more quickly.
By demonstrating the value of ‘customer first’ in terms of the triple crown the enterprise can align quickly and effectively. Importantly avoid the ‘soft and fluffy’ sentiments expressed by many in the customer experience world.
How can I Implement?
Back in 2006 the BPG launched the CEMMethod™ and built out an approach, using the 50+ techniques based on global next practice from companies like Virgin, Zara, BMW, Zappos, Apple and Emirates. Since then more than 3,000 companies in 116 countries have become accredited and certified to transform their processes and organizations.
Now in version 11, the choice you make in deployment is based on your ambition and remit within the enterprise. If you are a leader needing to embrace the digital customer ‘Customer First’ leaps out as the main option. Alternatively, if you are in a traditional process-based business (lean, six sigma, BPM etc.) the more conservative ‘process engineering’ approach may be preferred.
You can access the following resources that will help you make an informed choice:
Additionally, the new book is in draft, “Everyone Loves CX”, and will be published early next year. If you want to join the list and get access to the preview, samples and associated materials register here.
With a dozen new case studies and terrific insights from global leaders, I examine some of the next practices and how you can deploy them with immediate effect in your own world.
If videos are your thing then do hook up with James Dodkins and the Rockstar CX initiative.