August 2013

Bridging the gap between Business and IT for maximum effectiveness

CIO Summit Presentation, August 213 By Lyn Trewenack Associate Director, Limebridge Australia

Outline

• The critical issue that Business & IT must work on

• How do we define Customer Experience?

• Understanding the Customer Experience (and the impact of IT)

• Issues in Demand

• Technology impacts on Supply

• Technology & Omni-channel

There is no IT versus Business.. the Customer just has experiences

The experience we remember

How can we understand the Cx?

Typical Customer Experience

Customer Explains

ID caller

Hand Offs

Holds

Work + Wrap Up

System Look Up.

IVR / Speech

Q

We measure this bit

Repeats

Outcome

Customer Effort

Transfers

What the customer

cares about ! Customer

Has an Issue

Chooses a Channel Resolved

IT Impact ?

IT Impact ?

IT Impact ?

IT Impact ?

IT Impact ?

IT Impact ?

But that Cx was about demand (why call?)….

Typical Customer Experience

Why did it happen?

Repeats

Outcome

Did we sort it?|Will it

come back Customer

Has an Issue

Choses a Channel Resolved

…and supply (how did we handle it)

Typical Customer Experience

Customer Explains

ID caller

Hand Offs

Holds

Work + Wrap Up

System Look Up.

IVR / Speech

Q

How long did it take? Outcome

Customer Effort

Transfers

What was the effort like?

Resolved

Could the customer

chose when and how?

Understanding the customer experience

Why?

What we did?

Outcome?

Measuring the CX via customer effort

0%

5%

10%

15%

20%

25%

30%

35%

0-3 4-6 7-9 10-12 13-15 16 or longer

% Calls

% AHT

High Effort Calls (Minutes)

0%

5%

10%

15%

20%

25%

30%

35%

Total holds 1 or more holds 2 or more holds 3 or more holds

Total holds 1 or more holds 2 or more holds 3 or more holds

Calls on Hold %

0% 2% 4% 6% 8%

10% 12% 14% 16% 18%

Cumulative 1 Repeat 2 Repeats

Cumulative 1 Repeat 2 Repeats

Repeat Calls Percentage of Calls v Benchmark

Observed Industry

Average

Demand

Value Irritant methodology Technology can cause demand and be an answer (see automate)

Value Save money, get support & advice

Irritant No need for interaction

Irritant Avoidable or

automated

transactions

Value Sales,

retention or

other revenue

potential

Simplify

Customer would prefer not

to make contact but it is

valuable to Company,

e.g. “I need a statement re-

issued”

Leverage Opportunity

The interaction adds value

to both the customer and

Company, e.g. “What are

the rates on a term

deposit?”, “I want to close

my account”

Eliminate

(No Value Calls) Both parties would prefer

that the interaction didn’t

take place,

e.g. Why doesn’t my

browser work with your

system?

Automate/Improve

The customer wants the

interaction but it adds no

value for Company,

e.g. I want to make a

payment

Co

mp

an

y

Pers

pecti

ve

Customer Perspective

Value/Irritant Classification

Demand Reduction Potential Technology Opportunities to automate & eliminate enquiries are evident

Irri

tan

t

Value Irritant

Val

ue

Value Irritant Matrix

Co

mp

any

Per

spe

ctiv

e

Customer Perspective

Simplify 2.5% Leverage 18.6%

How do I...? 0.9% I'd like to enquire about a new cover 5.2%

Incorrect processing on line by member 0.6% Product Query (suite, features, rates and parameters) 3.0%

I want to suspend / going overseas 0.6% How much do I get? 2.2%

Can I change my name 0.3% What am I covered for? 1.9%

I want to cancel / going overseas 0.1% Can I change cover? 1.8%

Check cover query 1.3%

I'd like to finalise the new cover 0.7%

I want to review my cover and compare my benefits 0.6%

I'd like to increase or decrease my cover 0.3%

Going Overseas 0.3%

Eliminate 4.5% Automate 74.4%

I have not received my claim funds? 1.3% I want to lodge a claim 35.3%

Query on Medibank Corrospondence 1.2% Pay a claim 15.1%

Adjustments due to incorrect Medibank processing 0.9% Can I claim for...? 7.6%

I want to pay by cash 0.3% I want to make a payment 5.7%

Delay - I have not got my money 0.1% Can I change my address / contact details 2.5%

Length of time waiting 0.1% Can I change my expiry date 1.6%

Application process query 0.1% Change account / DD Details / Payment cycles 1.3%

Cover not adequate 0.1% How do I remove a member / add a member 1.3%

Older claim not resolved 0.1% Can I have a new card / additional card 1.0%

Can I have another statement 0.4%

Source: LimeBridge Contact Review data (April 2011). Top contact 10 reasons for each value irritant quadrant charted.

Value Irritant (Opportunity) Matrix

Low

Val

ue

H

igh

Val

ue

C

om

pan

y P

ers

pe

ctiv

e

Customer Perspective High Value Low Value

Value Opportunity Matrix - Helpdesk Technology Opportunities to automate enquiries are evident

Simplify 4.0% Leverage 11.1%

I'm trying to log in for the first time 5.0% Notify new incident

Update incident status

Eliminate 40.5% Automate 43.4%

I'm calling again about… How do I…

Where has this got to…? I've forgotten how to…

Why haven't you…? I'm locked out

This isn't working (known problem) I need access to…

I asked for access to… I've forgotten my ID/password

You said you would… I'm just back from holiday and…

This is working but this isn't… I'm at a new desk/office today…

I'm having problems roaming My printer needs…

I'm having problems with Citrix My Notes isn't working

Why doesn't this work?

Value Irritant Matrix

Technology and Supply

Structure Processes

Five Drivers of Effective Experiences (other than technology)

Indicators and Incentives

Resource Effectiveness Management Processes

Supply - The PRISM Model .

As new technology is implemented these are often forgotten

What we usually see What the business wanted

Reimplementation of old practices on a new system

New practices streamlined and more efficient

Increased training time Reduction of time to competence

Old effective measures are lost

More effective & aligned measures

High transfer rates, complex structure

Simple more flexible structure

TLs and management fire-fighting

TLs coaching and improving performance

Post Major System Implementation

The impact on effort of process and structure

Complexity Split/Revised Processes – benefits

25 min

15 min

+ 3 min

2 min

hold

HELP hold

HELP Try to locate Fumble through process

Sam – a 3 month employee using current practice

51 min

10 min

7 min

5 min

3 min

2 min

hold

Question

28 min

Trf Solution

Solution

Sam – now has a 2nd Tier team to call upon and better practices

Trf

Payment

Billing change.

Can I extend

High bill

Failed Bill

Payment

Billing change.

Can I extend

High bill

Failed Bill

7 min 5 min

AGENT

Specialist/TL

AGENT

Source: Existing call data and Limebridge Results

Multi/Omni Channel

Process and technology must integrate

Poorly integrated Channels Make Work… …...and create bad experiences

Failure is not an option Work with the business on customer experience demand and supply

August 2013

Thank You

By Lyn Trewenack Associate Director, Limebridge Australia

www.limebridge.com.au

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