6 Ways to Transform Process and the Customer Experience (at the Same Time)

Steve Towers Keynotes

Where do I start?

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).

ApproachProcess EngineeringCustomer First
FocusProcess is the starting pointStarts with Customer Needs
ScopeReengineering the ProcessesAligning everything to Customer Needs
IntentionBuild out from Process to Department to Division to EnterpriseArticulate Successful Customer Outcomes and Remove the complexity of things that do not contribute to it
BenefitsLocal wins building to business-wide transformationImmediate delivery against Triple Crown benefits
Executive Buy-inSlow burn, however when they see the benefits and ‘get it’ the support is significantStarts at the strategic level so influences everything the organization does
RecommendationIf 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:

CEMMethod™ – review its potency and pedigree:
www.cemmethod.com

Outside-In The Secret of 21st century companies (free access): http://bit.ly/StevesOIBook

The Accredited Customer Experience Program 2018-19: https://www.bpgroup.org/acxp1819.html

The Certified Process Professional Program: https://www.bpgroup.org/certifiedprocessprofessional.html

I look forward to guiding you to transformation when you are ready!

Design Thinking – a new dawn for industry?

Google trends tell the story that Design Thinking (DT) tops many executive’s interests in helping deliver progressive services and products in a volatile 2018.

Consultants, Design studios, and so-called business experts have spawned new revenue streams as other management fads, sorry, approaches have declined in popularity.

Just do the math on google with ‘Design Thinking’ harvesting 15.2 million results in 0.4 seconds and the top ten results including training courses, how-to workshops and top team offsites offered by consulting firms. In fact, Epictions reports typically 10 DT articles a day currently being produced, consumed and naturally circulated around our senior executives.

No doubt you will know of new functions becoming a reality with DT central to their remit, but what exactly does this catchy label represent?

Is Design Thinking a real thing?

Is it different? Can DT be useful in navigating our increasingly volatile world? Are there genuine benefits to adopting DT enterprise-wide?

As an engineer and design thinker (note the lower case) for the best part of the last four decades, this concept is not new. The successful creation of new services and products always relies on the marriage of creative thought processes harnessed to pragmatic objectives to deliver bottom-line success. Sorry if that doesn’t sound as sexy as some of the DT consultants would have you believe.

But wait, there is good news… incorporating DT into industrial age approaches can breathe new life and significant business benefit for not just enterprises and employees, but most importantly customers and shareholders.

So what is this Damn Thing?

A critical element to understanding DT is that, unlike most commonly deployed methods, is not a linear 1-2-3, A-B-C endeavour. It is not a prescription and relies on the ability of organisations and their people to understand, learn, prototype and reinvent simultaneously the processes and customer experiences that deliver success. New services/products must articulate needs of customers (even when potentially the customer doesn’t know them) and move the needle in terms of cost, revenue and service simultaneously (the fabled ‘triple crown’).

So, a significant measure of DT success is winning the triple crown. Anything else that doesn’t convert the creative process into a top and bottom line success is just moving the chairs on the deck of the Titanic. It might look better, give us a different view, but it is still doomed and will ultimately fail to deliver.

To be successful you need to create an organization and individual mindset that understands ever-changing customer needs, expectations and

Is Design Thinking winning the Triple Crown?

fosters an approach of learning, rather than the silo-based, industrial age metrics common to many.

 

I am going to delve deeper in an upcoming article so if you would like to get the pro’s and con’s, the potential pitfalls and the how-to to ensure success join me again soon. If you register your interest here I will ping you the ‘how to’ piece as soon as it is ready.

Ciao for now, Steve.

 

 

Podcast with Roland Naidoo | Live stream – rockstar.cx | Business Awards…

Live broadcast with James Dodkins  Rockstar.cx


This was an interview across the continents
(I am currently in Colorado, James is in England)
https://www.facebook.com/JDODKINS/videos/1425739797553815/

Do get along to the link – James will be hosting CX Rockstars from all over the globe 🙂

Business Leader in South Africa provides his views on Customer Centricity

Roland Naidoo, Senior Executive, Multichoice
Roland Naidoo, Senior Executive, Multichoice

 

Roland Naidoo (ACX Master) is a highly respected senior executive in the global entertainments business. As part of a podcast hosted by Futurology…

https://itunes.apple.com/za/podcast/futurology/id1078860959?mt=2&i=1000397468049

You can reach Roland here to progress the discussion:
https://www.linkedin.com/in/roland-naidoo-b403a029/

Award won by yours truly!

I was deeply honoured by the PEX community at the annual conference in Florida last month and received the Global Community 2018 Award. Needless to say (but I will) this is as much down to you guys and your great transformational work, so I graciously excepted the Award on your behalf. Thank you so much :

See the snapshot here: https://buff.ly/2EEE9Im

Next time we will be reviewing highlights of the upcoming 2018 conferences…

What do you mean when you say ‘Outside-In’?

Outside-In is a regular theme during most of my keynotes, not least this last week here in Florida. A question asked from the floor related to the 30-second elevator test “can you explain to the CEO what this stuff is, why it is different, and how it reframes the work we do?”. I guess I was about to fudge and say this needs more than 30 seconds, and then remembered my two-slide explanation!
So, for those guys looking for a simple explanation, these two slides will do the job. I have put a bit of narrative in there also.

120+ in Florida at the keynote, 16 January 2018

Steve Towers Florida keynote
Florida keynote to top team of major global industrial corporation

The old, industrial-age traditional way of doing business.
We make products (and services). We look for the market to sell them in. We segment customers by circumstance and pitch our products to those segments. We add variations to the products to better fit certain niche segments. We build back-end systems and digital capabilities in this increasingly complex world. We are rigid, functionally oriented and abhor change.

Old Industrial Age thinking model

 

The new Outside-In customer-centric way.
We identify the customers we would like to do business with. We understand their needs (even when they may not know them themselves) and specific Successful Customer Outcomes (SCO’s).
We categorise customers by need. We then create the capability to deliver to these categories the SCO’s (both products, people and digital). Progressively we manage new and existing customer expectations to deliver success without exception. We are agile, innovative and attuned to 21st century needs.
21st century Outside-In business model

Let me know if this works for you.

Ciao, Steve

For the curious, the original slides came from a deck presented as a keynote in Sydney, Australia 3 years ago.
You can access that here:  http://bit.ly/SydneyPEX

We shouldn’t be asking customers what they want because they will tell us.

I was recently interviewed by BPMTips.com Zbigniew Misiak.
It was a fun experience as he put me on the spot about a whole range of things including Ducks! Here is an extract and you can access the full interview below (with a useful bonus handout of the SCO Canvas!)

Zbigniew Misiak, Editor BPMTips.com

We shouldn’t be asking customers what they want because they will tell us.

Provocative? Maybe.

Making you think? Surely.

One of the common problems with processes is focusing on the wrong things.

We model processes that do not need to be modeled or in a way that does not create value.

We improve things in processes that customers do not care about.

But how are we supposed to know what should we focus on? Of course, experience helps, but what if you did not spend last 35 years doing BPM and Customer Experience projects?

No worries – you can listen to the BPM Tips interview with Steve Towers and benefit from the decades of his experience.

Steve tells about the difference between what customer wants and needs, and shares lots of actionable tips for anyone interested in processes, so grab a pen and notebook and listen to the interview:

http://bpmtips.com/interview-with-steve-towers-customer-experience-management-and-bpm/

Best,

Zbigniew

PS. Steve was so kind to provide a PDF template for defining Successful Customer Outcomes as a bonus for the listeners.

You can download it directly from here:
https://www.dropbox.com/s/o2r34eo1tb6pj9a/Steve_Towers_interview_SCO_Canvas.pdf?dl=0

Copyright © 2016 BPM Tips, All rights reserved.




Join us to learn the Secrets of Apples, Googles, Zara, Zappos and Emirates success

Certified Process Professional Masters Champions (CPP-Master) Program

An internationally recognized program with proven track record delivered by been there and done it coaches more than 150 times, in 57 cities with delegates from 108 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 – 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

Amazon – I love you but you gotta stop this quick!

Amazon are iconic. They set the bar very high with radical new ways of delivering successful customer outcomes, whether it is Prime, Prime Instant (deliveries in 2 hours) or the Dash buttons. Quite exceptional but at what cost?

I buy stuff every week, and once a month order ‘magic paper’, usually 10 rolls at a time. For the last three months I have also received a mountain of cardboard, plastic fuller and some very tired drivers. Why?
Something has gone very wrong at the Scotland Amazon depot who see fit to send every order separately packaged.

Let me walk you through the waste tip that has become our hall…

Item ordered – one legamaster roll x 10
Delivery as it arrived

And then all the resulting open boxes

With finally the pile of trash for the disposal 

Legamaster rolls packed nicely in original packaging (ten rolls)

Now unpacking and bursting all that fancy bubble wrap took 40 minutes of mess. Please please Mr. Bezos I do not know what is happening at the Scottish distribution centre  but please get it fixed quick –  otherwise you will have the world and his brother of environmentalists screaming wasteful capitalists! And you and your loyal customers do not need that.

Do you want to get in the picture? Join us soon at a session in a city near you…


Join us to learn the Secrets of Apples, Googles, Zara, Zappos and Emirates success

Certified Process Professional Masters  Champions (CPP-Master) Program

An internationally recognized program with proven track record delivered by been there and done it coaches more than 150 times, in 57 cities with delegates from 108 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 – 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

The one most important thing

Everyday brings a new challenge. There are however a only few fundamental truths when it comes to working and being with others. 

Integrity, that is everything.



Join us to learn the Secrets of Apples, Googles, Zara, Zappos and Amazons success

Certified Process Professional Masters
(CPP-Master) Program

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 – 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

Say what you do, do what you say

Managing customer expectations and creating the experience to deliver it makes good sense. 


Why is it then almost an after-thought for most large corporates? At best it seems happen chance. 

The way to success is to put the effort into creating successful customer outcomes (SCO) and then managing customers expectations to them.

Craft the associated experience and ensure all the interactions (external and internal) contribute to this SCO.

Another perspective? See http://www.successfulcustomeroutcomes.net/2014/11/customer-experience-management-truth.html


Certified Process Professional Masters (CPP-Master) Program
(Dubai UAE Dec 7-11, Orlando US Jan 22-23, Denver US Jan 26-30, London UK Mar 2-6)
www.bpgroup.org/certification-by-city.html

An internationally recognised 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 – 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.www.bpgroup.org/certification-by-city.html

Customer Experience definitions

There are various definitions of Customer Experience including 
“ ‘Customer Experience Management’ represents the discipline, methodology and/or process used to comprehensively manage a customer’s cross-channel exposure, interaction and transaction with a company, product, brand or service.” (Bernd Schmitt 2003)
Customer Experience is how customers perceive their interactions with your company. (Forrester 2010)
Customer Experience is the customer’s perceptions and related feelings caused by the one-off and cumulative effect of interactions with a supplier’s employees, systems, channels or products. (Gartner 2013)
Customer Experience is the embodiment of a brand, and of each and every interaction between an organisation and a customer. (Cap Gemini 2013)
Customer experience (CX) is the sum of all experiences a customer has with a supplier of goods and/or services, over the duration of their relationship with that supplier. (Wiki 2014)
We take exception with all these definitions.

They do go some of the way to describing an aspect of customer experience, however fall way short in terms of the everyday reality of our digital age. We need a broad view that encompasses all aspects of a customer experience, not just necessarily the encounters and feelings directly experienced by a customer. 


We need to get scientific about the customer experience. 
In this way our newly engineered processes and the complete customer experience can operate at 70-80% lower cost, 50-60% improved customer service and 3-4 times revenue improvements. In our definition of Customer Experience this is referred to as winning the Triple Crown. The concurrent and sustained ability to reduce costs, improve service and grow revenues simultaneously. 

Let’s paint a picture – a duck on the mill pond. What the customer sees and feels is the duck on the surface, however a great deal of effort to move the duck takes place out of view, below the surface if you like. That is a fundamental part of the customer experience. So our definition encompasses this idea – “Customer Experience is the collective energy and effort that produces the engineered encounter to provide value and substance to a customer” (Towers/Dodkins 2014). It is an understanding of the complete duck if you like.
 
Through this definition we can indeed get scientific about the customer experience. For instance to deliver the desired experience we must clearly articulate the cause and effect of work. A simple observation is that all work is ultimately the result of a customer interaction, somewhere, sometime. Another is that of the Successful Customer Outcome (SCO). 

We can shape the experience and expectations of customers and formulate measures that go way beyond the legacy production line mindsets. In fact we can better create and modify technologies that support the delivery of the SCO. 

Through this engineered understanding we can also contrast the effort currently undertaken and assess its contribution to the SCO. If it doesn’t contribute then potentially stop doing it. 
In this way our newly engineered processes and the complete customer experience can operate at 70-80% lower cost, 50-60% improved customer service and 3-4 times revenue improvements. In our definition of Customer Experience this is referred to as winning the Triple Crown. The concurrent and sustained ability to reduce costs, improve service and grow revenues simultaneously.