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Stop making dumb things happen faster for less money!
A lot of companies pay lip service to customer-centricity, write contributors Steve Towers and James Dodkins, but not many βwalk the talkβ. Here are 10 differences between inside-out and outside-in companies.
There is a lot of talk today, more than ever, about customer centricity, client focus, customer experience strategy and Outside-In. Many organizations have adopted aspects of these disciplines and where many have achieved monumental success others have fallen by the wayside. Why is this? The problem is perception.
Countless organizations have said all the right things to make the workforce believe that they are becoming a customer-focused organization and then doing the complete opposite.
The effect of this is rising costs, shrinking revenues and ever lowering customer satisfaction.
The problem with this is that there is now a collective of organizations that have a βcustomer centricity doesnβt workβ mentality. Itβs like putting a rain hat in your pocket, going out into a storm, getting wet hair, then swearing the hat is useless. Just having the Outside-In customer centricity ideals is not enough; you have to use them in the right way.
So, how do you know if you work in an Outside-In organization or an Inside-Out organization wearing an Outside-In mask?
Table 1: Inside-Out or Outside-In?
Inside Out – attending to tasks and activities
Outside In – aligning to Successful Customer Outcomes (SCO’s)
Doing things right
Doing the Right things AND doing things right
1
Pyramidal management knows best
Context and customer defined
2
Business as a factory (left to right)
Customer Oriented Architectures
3
Benchmarking competitors
Determine customer needs and trends
4
Customer feedback retrospective
Customer needs designed and delivered
5
Process Improvement and optimization
Customer Experience innovation
6
DMAIC/SIPOC/DFSS/Lean
CEMMethod/4D’s
7
Improving efficiencies
Developing value for the customer
8
Model and method oriented
Customer journey and experience focus
9
Top down business architectures
Customer centric frameworks (context sensitive)
10
Remuneration for tasks completed
Rewards based on delivery of SCO’s
Letβs review the not so subtle differences
#1: Pyramidal management Does your CEO really know the most about your organization? Can your CEO really relate to customers? Letβs face it, your CEO probably hasnβt spoken to a customer in years (if ever) so, why are they best qualified to determine how your organization is run? Maybe they arenβtβ¦
#2: Business managed as a factory (left to right)
What percent of the work within your organization is manufacturing? What if you donβt manufacture anything? Then why does everything within your organization look like a factory?
We canβt meet the future with an industrial age mindsetβ¦ join the rest of us in the 21st century.
#3: Benchmarking competitors
If you benchmark against other competitors you will, at best, only ever be as good as them, no better, most of the time worse and you will always be one step behind the trend.
Are you still managing a business that you think looks like this?
Rather than focusing on what your competitors are doing, focus on what the real need of the customer is and deliver that, innovate the customer experience, there is no easier way to become a market leaderβ¦let your competitors benchmark you.
#4: Retrospective customer feedbackAsking customers βhow did we doβ is stupid, asking customers βhow did we doβ 3 weeks after it happened is even more stupid, allowing customer to self-select for a survey to tell you how you did 3 weeks after is happened is even more stupid than that.
If you want to get totally non-representative, inaccurate, and relatively useless data on how some customers may have felt you performed at some point then the traditional methods are fine (NPS, CSi, etc).
To measure a customer experience properly and objectively you need to first know what makes a great customer experience and measure if you are doing those things, we need to get scientific about the customer experience (CXRating). If you are still in the land of subjective, self-selecting, retrospective feedback, chances are you have no idea just how well, or poorly, you are performingβ¦even if you think you do.
#5: Focus only on process improvement and optimizationTaking what you are already doing and making it happen in a shorter time frame, more efficiently or for less operating cost is not good enough any more. If you are doing dumb things all you are doing is making dumb things happen faster for less money.
You should focus on innovating the customer experience. Any work within your organization is caused by a customer interaction somewhere down the line. If you engineer and innovate at the causal level, you will make the customer experience better and eliminate swathes of pointless dumb work that you are wasting time on every single dayβ¦simple really isnβt it?
#6: Trying to use DMAIC/SIPOC/DFSS/Lean to optimize the customer experienceIf you are using process improvement methodologies that were created to optimize manufacturing processes to optimize the customer experience then you will find yourself in a mess.
Use a 21st century methodology like the CEMMethod that was designed for this day and age to really turbo charge your customer experience efforts. Have you ever heard the phrase βtrying to fit a square peg into a round holeβ? Methodologies like Lean and Six Sigma were great at what they were created to do, but they were not created to improve customer experienceβ¦ and therefore wonβt.
#7: Improving efficiencies for internal customers onlyTrying to make things more efficient for yourselves inside your organization – more often than not – will actually make things worse for the customer. Donβt just perpetuate the Inside-Out mindset. You need to make sure that everything you are doing is actually creating value for customers. Donβt focus on internal customers, focus on real customersβ¦ they pay your wages.
#8: Model and method orientedDonβt get shackled by the oppression of the models and methods that βthe manβ has said you should use. You shouldnβt focus on trying to implement a model or method you should be focused on how to make the customer experience betterβ¦ whatever it takes.
#9: Top down business architecturesDo you work in an environment when the person above you tells you what to do and you tell the people below you what to do? If your whole working life is focused on trying to make your boss happy what arenβt you focusing on? Thatβs right, the customer.
As soon as we enter a habitat like this we make a habit out of ignoring whatβs right for the customer over what is perceived to be right for the organization. Iβm not saying youβll be able to change this overnight, Iβm just saying itβs wrong and will eventually lead to your organizations downfall… donβt get left behind.
#10: Remuneration for tasks completedIf you pay people for doing stupid things, they get very good at doing them. Traditionally, you will get paid for completing tasks and activities, filling in forms, processing invoices, taking calls etc.
If everyone (and I mean EVERYONE) was paid for delivering customer success just imagine how different your working environment would be. Empowering workers to be able to do whatever it takes to deliver customer success is the polar opposite of workers having to complete X number of forms in a day⦠this is maybe the biggest game changer of them all.
An internationally recognized program with proven track record delivered by been there and done it coaches more than 130 times, in 52 cities with delegates from 105 countries. The program, now in its tenth year, utilizes the BP Groups approaches and framework to help you and your organization win the triple crown β simultaneously reduce costs, grow revenues and enhance service. Producing Immediate and sustainable business results across any industry and sector.
PEX USA was brilliant. #pexweek #cppusa #custexp The leading thinkers and practitioners rallied in Florida. Here is a compilation of the two day workshop featuring the Certified Process Professional qualification. James Dodkins coached the session with Steve Towers.
An internationally recognized program with proven track record delivered by been there and done it coaches more than 130 times, in 52 cities with delegates from 105 countries. The program, now in its tenth year, utilizes the BP Groups approaches and framework to help you and your organization win the triple crown β simultaneously reduce costs, grow revenues and enhance service. Producing Immediate and sustainable business results across any industry and sector.
It takes nine months and a lot of graft sifting through the entries, interviewing candidates and then choosing the winners of the Award process. If you have a story to tell do share with the PEX Network and the broader community. It is a terrific acknowledgement of the team effort and organization investment in delivering performance improvements. If you are interested then visit http://www.pexweek.com, meanwhile this was the video from the 2015 Awards process. Enjoy.
This was my tenth year of judging. I am lucky to work with so many great people who keep me upto speed, and then share their efforts with the community. Here are a few shots of my immediate judging colleagues from 2015.
Marketerβs are fond of segmenting customers by circumstance, for instance, where you live, your age profile and median salary. This approach is very limiting and only provides sparse information on what are the real Needs of the customer. For that we need a little more science and understand those requirements by identifying the successful customer outcome.
This leads us to Categorizing by Need. So for instance a potential customer in the experience of either buying, renting or servicing a car might be βtech savvyβ or βsilver surferβ or βtime is moneyβ people.We can drill down into specific needs and identify how to operate the underpinning workflow systems, necessary interactions, people skills and so on.
We can summarize this into a handy grid we call the Customer Categorization approach (a handy tool created by BP Groups CCO James Dodkins www.jamesdodkins.com)
Naturally you should try this for yourselves and if you want to get professional about it join us on one of our upcoming CPP classes where we discuss, try out and prove 50+ other techniques as part of the CEMMethodβ’ approach. You will go away with a working template of how to deliver customer centricity and outside-in for you and your organization.
Certified Process Professional Masters (CPP-Master) Program
Orlando USA March 16-20, Denver USA March 23-27, Dubai UAE Apr 12-16 http://www.bpgroup.org/book-class.html
An internationally recognized program with proven track record delivered by been there and done it coaches more than 130 times, in 52 cities with delegates from 105 countries. The program, now in its tenth year, utilizes the BP Groups approaches and framework to help you and your organization win the triple crown β simultaneously reduce costs, grow revenues and enhance service. Producing Immediate and sustainable business results across any industry and sector.
Become a qualified CPP-Master and demonstrate your professionalism http://www.bpgroup.org/book-class.html
Certified Process Professional Masters (CPP-Master) Program
Orlando USA March 16-20, Denver USA March 23-27, Dubai UAE Apr 12-16http://www.bpgroup.org/book-class.html
An internationally recognized program with proven track record delivered by been there and done it coaches more than 130 times, in 52 cities with delegates from 105 countries. The program, now in its tenth year, utilizes the BP Groups approaches and framework to help you and your organization win the triple crown β simultaneously reduce costs, grow revenues and enhance service. Producing Immediate and sustainable business results across any industry and sector.
Become a qualified CPP-Master and demonstrate your professionalismhttp://www.bpgroup.org/book-class.html
Certified Process Professional Masters (CPP-Master) Program
Orlando USA March 16-20, Denver USA March 23-27, Dubai UAE Apr 12-16http://www.bpgroup.org/book-class.html
An internationally recognized program with proven track record delivered by been there and done it coaches more than 130 times, in 52 cities with delegates from 105 countries. The program, now in its tenth year, utilizes the BP Groups approaches and framework to help you and your organization win the triple crown β simultaneously reduce costs, grow revenues and enhance service. Producing Immediate and sustainable business results across any industry and sector.
Become a qualified CPP-Master and demonstrate your professionalismhttp://www.bpgroup.org/book-class.html
HELP! Book cover choices down to the last 2, Please help us choose. Fav for ‘Face’ cover RT for ‘Red Square’ cover π pic.twitter.com/gVrgdX18LL β James Dodkins (@JDodkins) December 29, 2014 #foundations
Certified Process Professional Masters (CPP-Master) Program
Orlando USA March 16-20, Denver USA March 23-27, Dubai UAE Apr 12-16http://www.bpgroup.org/book-class.html
An internationally recognized program with proven track record delivered by been there and done it coaches more than 130 times, in 52 cities with delegates from 105 countries. The program, now in its tenth year, utilizes the BP Groups approaches and framework to help you and your organization win the triple crown β simultaneously reduce costs, grow revenues and enhance service. Producing Immediate and sustainable business results across any industry and sector.
Become a qualified CPP-Master and demonstrate your professionalismhttp://www.bpgroup.org/book-class.html
Has Net Promoter Score gone passed its shelf life? On a scale of 1-10 what would you respond? And would you kindly refer me to a friend?
Seriously though the popular NPS (well with certain executive teams) seems to have run its course.
This last year has seen a clutch of leading companies coming to the same conclusion, simply put we have to get more scientific about the Customer Experience.
Certified Process Professional Masters (CPP-Master) Program
Orlando USA March 16-20, Denver USA March 23-27, Dubai UAE Apr 12-16http://www.bpgroup.org/book-class.html
An internationally recognized program with proven track record delivered by been there and done it coaches more than 130 times, in 52 cities with delegates from 105 countries. The program, now in its tenth year, utilizes the BP Groups approaches and framework to help you and your organization win the triple crown β simultaneously reduce costs, grow revenues and enhance service. Producing Immediate and sustainable business results across any industry and sector.
Become a qualified CPP-Master and demonstrate your professionalismhttp://www.bpgroup.org/book-class.html
