Posts Tagged ‘business value’

Book Review: The Best Service is No Service

Monday, August 23rd, 2010

The Best Service is No Service” by Bill Price and David Jaffe is an excellent book that ought to be compulsory reading for all companies with a customer service element, mostly because so many of them are so very far from providing even reasonable service.

The book gives clear, practical advice and loads of examples of where service has gone wrong and of best practice (plenty of examples from Amazon and first direct for instance in this category).

A few of the most significant points they make are:

  • Good quality self service has major benefits, making it easier for users to do what they want, when they want and significantly reduce operational costs
  • Get rid of unnecessary reasons for people to contact you (”dumb contacts” is the phrase they use in the book) - eliminate contacts that have no value to the customer and no value to the organisation
  • Value those contacts and relationships that are most important to you and have the greatest benefit to the organisation
  • Gather metrics on what people are trying to find out about, both on the website and through calls
  • “Service” is not just the province of a contact / service centre, it is equally important across the whole operation
  • The advice should transform customer experience where it is poor and have a major impact on the bottom line of companies who take notice.

    It is interesting to think about how this impacts on the NFP sector. I think the key issues are:

  • NFP organisations are different from the Amazons and BTs of this world. The relationships with their key stakeholders (particularly members / supporters) are more complex and long term, especially where it forms an important part of their career development or social engagement. This makes the following points even more important.
  • It shows the need for joined-up service, which is likely to be across the whole set of services and interactions - knowing about the member or supporter and their interests across all departments, not just the contact centre and using that information to provide excellent service.
  • Route calls and enquiries to the people who are best suited to provide the best answer.
  • Give ownership of important relationships to the most appropriate department (not necessarily the contact centre).
  • It is particularly important to provide good self service.
  • The two key IT elements of this are:

  • The website needs to have good self service functionality and provide information to eliminate the need for people to phone / email. So, people should be able to update their details, make donations, pay their subscriptions, book events, etc.
  • The CRM needs to be interfaced to the website and be the repository for contact history, preferences, areas of interest and information needed for marketing.
  • Also available: ebook version

    Advantages of using a Content Management System

    Wednesday, December 30th, 2009

    If you are tempted to replace your website using a bespoke content management solution, rather than using an off-the-shelf Content Management System (CMS), think again … and choose a CMS.

    The advantages of using a CMS are numerous:

  • Built-in features - this is where the major benefits are. The main CMSs have numerous features built into them such as social network functionality, wikis, support for internationalisation and even shopping carts.
  • Easy editing - most systems will have a simple interface for editing existing content and adding new content. It should be usable by non-IT staff.
  • Vendor independence - most of the larger CMSs have a good selection of companies and contractors who are experienced in delivering websites based on them, and a good variety of books and training material if you want to do-it-yourself.
  • Workflow for approval - unless you are a small organisation, the best way of working will be for people in different departments to write the appropriate contents for approval by the marketing / communications department. The easiest way of doing this is to use an approval workflow that is part of all serious CMSs.
  • And CMSs don’t need to be expensive - there are a number of free or low cost CMSs - examples include Drupal, Joomla! and Plone. There are also some good resources for further investigations such as CMS Review, CMS Watch and the CMS Matrix.

    IT, the Business and Innovation

    Thursday, November 12th, 2009

    Many organisations struggle over the best place for IT within the organisation and extracting the best business value from investment.

    In his recent book, fruITion: Creating the Ultimate Corporate Strategy for Information Technology, respected CIO commentator Chris Potts sets out his views in a very easy to read fashion. His main themes are that having IT as a separate department has failed to deliver business benefits from investment, that IT should be (largely) integrated into the business units and that initiatives should be treated as business change projects rather than IT projects.

    He also concludes that there shouldn’t be CIOs. Rather, there should be an individual (a Chief Internal Investment Officer) whose job it is to lead the internal investment portfolio, including all resulting business change, and be accountable for the value the organisation gets out of its investments.

    Whilst agreeing with much of what Chris Potts says, the aspect this doesn’t consider is the role that IT has in innovation - bringing radically different ways of working to the organisation; not something that will generally come from within existing business units. The most obvious examples of this are Amazon in retail and Google with advertising (although innovation isn’t always as ground breaking as this).

    Many Contracts Have Wrong Focus

    Tuesday, September 8th, 2009

    A recent article from the International Association for Contract and Commercial Management has concluded that the current focus for nearly all contracts fails to set the appropriate foundations for the relationship between the parties.

    Instead, many contracts concentrate on the negative - on indemnities, liquidated damages, IP rights and liabilities. I’m sure many will recognise the list.

    With the ever increasing trend towards outsourcing and strategic partnerships, there is a need to reflect in contracts the fundamentals of the relationship, setting the framework to enable opportunities, growth and mutual benefit.

    Getting Value from Twitter

    Thursday, August 13th, 2009

    One of the social media tools that is getting a lot of press attention is Twitter, partly because of its use by the likes of Stephen Fry. So the inevitable question for charities and membership organisations is “should we be using Twitter to communicate with our members/supporters?”

    The answer is - it depends … on:

  • What the demographics are of your target audience? Around 10% the online population are Twitter users, but retention rates have not been as good as some other social media sites such as Facebook. Of these, nearly half of Twitter users are young adults, very few children use it and a reasonable number of older adults (20% according to one survey).
  • Take into account how people use Twitter - see for example the recent report on BBC news site. Twitter generally has a low content level, so make sure your content stands out from the crowd.
  • What would you want to communicate to them, or what discussions would you want to have using Twitter? A number of organisations, such as the RSA, have Twitter feeds for informing/reminding people of their events.
  • If the communication is to be two way, this will need to be supported by resources - people expect Twitter to be very responsive and it will probably need an expert level person.
  • The likely conclusion for many NFP organisations, unless there are specific reasons, is to use Twitter in a “push-only” mode for announcements. The take up and effectiveness should be monitored to see how useful a contribution to your online presence it is making.

    If this type of announcement feed is unlikely to be valuable in your situation, wait and review again in a year.

    Controlling Support Costs

    Monday, March 16th, 2009

    By far the most frustrating problem I face is where a client is locked into an expensive long-term support arrangement with a software product supplier and receives little value for money. Given that the contract is signed and sealed, and significant investment already made in the product, there’s little space for re-negotiation - moving to a different product is not cost effective.

    The problem is that in addition to the initial support fee many suppliers will include annual increases to reflect changes to the software; any bespoke elements therefore not only incur an initial fee, but on-going additional support costs. This can lead to exorbitant costs in the future.

    Before finalising the purchase of a product buyers are in a strong position and have plenty of opportunity to negotiate support costs.  It is therefore essential to fix favourable support terms at the outset including Service Level Agreement (SLA).  Where possible a support cost should be agreed based soley on the license fee of the product, and not professional services or bespoke changes. An annual increase based on inflation is however not unreasonable.