Assignment No: 4

Name: Hasan Naveed

ERP: 07855

Date of submission: 23rd April, 2015

Signature:

Dear Mr. WahGreetings!Hope this note finds you well. I am delighted to have the opportunity to work at NG. The global brand recognition of NG is high and I understand the need to maintain the same standards in the Pakistan market. I am aware of the recent issues the company and the customers have faced and my role in upgrading the current customer service and bring it to a world class customer service operation level.Sir, I would be explaining you my plans and strategies for the Pakistan market. There are five basic steps to follow in ensuring a world class customer service operation. They are: Step 1 : Understand your customers Step 2 : Set quality service standards Step 3 : Build a winning team Step 4 : Checkup regularly Step 5 : Provide proactive problem solvingA diagram would help you understand the concept better:

Now let me apply each of these to our company. Step 1: Understand our customersTo begin with, we need to completely understand the nature of our service we are providing. Our team and staff members have to be aligned to the company mission and the nature of the service has to be thoroughly understood. This is followed by an understanding of our customers which is the key to giving them good service. To give good customer care we must deliver what we promise. Great customer care includes getting to know our customers so well that we anticipate their needs. We need to be attentive to them whenever we are in contact with them. We increase customer loyalty and bring in new business through positive word-of-mouth recommendation. Our past service record at NG has not been something we can be proud of which has tarnished customer perception about us and this is why it is extremely important for us to start off from scratch and from the basics. Once we set the basics right, we can easily move through the whole process.To answer the above questions, we need to figure out four fundamental points:Service niche: Refrigerator Customer Service Target customers: niche market of high income, discerning, modern customers buy our brand and any issues they face would be served by usCharacteristics of NG Customer Service Center: NG Customer Service Center

People and ThingsMore People

High TechHi

Personal InteractionHi

Time InvolvementShort

LocationOurs

ComplexityHi

Number served per transactionMany

TrainingMuch

SupervisionMuch

Customers Analysis: Our customers are high income earners, discerning and modern customers. Analysis is to be done on the following basis:DemographicsAnalysis

Age25+

GenderMale and Female

Education levelBachelors, Masters or more

IncomeHigh

FamilyMarried

LocationDHA (all Phases) and Clifton

Psychographics AnalysisPsychographicsAnalysis

Social habitsOutgoing and social

PreferencesWant good quality products

ExpectationsProducts should do justice to price

AttitudeDiscerning

BeliefsImported refrigerators are of better quality

ValuesModern

Our brand strength: Better, modern designs Wider range of features and performance characteristics Exciting colors Energy efficient Large sizesService SilhouetteOur customers perceive imported fridges to be of better quality. However, the services offered by the imported products make it less appealing to them. NGs product is expected to be of good quality since it is being imported. The customers would be willing to pay more price for imported refrigerators. Its determinants are:The Purpose of the service: To provide after sales service to all NG customersThe Degree of necessity: High the only NG service center in KarachiThe Magnitude of importance: High customers are very discerning View of Results: How quickly we are able to serve the customersRelative Costs (Perceived Value vs. Cost concepts): Time vs money constraintsPerceived Risks: Inability to serve the customers timely There are other ways to understand our customers better. One is to put yourself in their shoes and try and look at your business from their point of view. The second way is to collect and analyse data in order to shed light on their buying behaviour. The third way is simply to ask them what they think. Based on the research, the following figures represent the loss of sale due to poor services: 45% of consumers will abandon an online transaction if their questions or concerns are not addressed quickly. (Forrester) 33% of consumers would recommend a brand that provides a quick but ineffective response. 17% of consumers would recommend a brand that provides a slow but effective solution. (Nielsen-McKinsey) 53% of customers who ask a brand a question on Twitter expect a response within one hour, and that number skyrockets to 72% if its a complaint. (Lithium Technologies)Source: https://www.salesforce.com/blog/2013/08/customer-service-stats.html

Step 2: Set Quality Service Standards HighThe following figure explains how quality service standards could be set high:Service Silhouettes (Service Image)

Clear, Concise, Observable and Realistic Service Standards

Quality Customer Service

Total Team Effort

We will begin with transforming the Service Silhouettes into a well-focused, sharp service image by setting clear, concise, observable and realistic service standards across our service standard. This will help all our staff to be able to better understand the process and easier for them to be able to solve customer issues quickly. This will also help us to define what we want your service image to be. This is basically where Quality Customer service begins and requires a total team effort. The reason why I want to establish a target and communicate expectations loud and clear are because it leaves no room for excuses and every one knows exactly what is expected of him/her. It develops a sense of purpose, a direction and, focus efforts. Our dimension of service center would be known as personal dimension. The reason for this is that the nature of our service defines this; it further determines the priority of the following service standards: The Personal Dimension Appearance: proper dressing and neat look of employees Attitude of employees: friendly tone of voice and should understand customers problems Attentiveness: should be at its peak at all times Tact: at top level Guidance: highest level Gracious Problem Solving: top most priority

Important process flow NG service center will follow before setting Quality standards:

Step 3: Building a winning customer service teamTeam is extremely important. A good team creates a huge difference in the results and processes of different companies. How would we go about making a winning team for our quality service level? We would follow the following steps:Step I: Design Quality Customer Service Jobs

Step II: Write Job Specifications in Quality Customer Service Terms

Step III: Screen job applicants for quality customer service abilities

Step IV: Train for Quality Customer Service Skills

Step V: Practice Quality Leadership skills

Step VI: Encourage a supportive organizational climateStep 1: When designing the service center jobs, we would be taking into account the following points: Purpose of the service center Duties to be assigned to each NG employee at the center Methods to be followed for the center Standards to be maintained at all times Relationsto be made and maintainedStep 2: Job specificationsThe following are the job specifications that we will be looking into for choosing the team for the service center: Knowledge needed to repair the refrigerators Skills needed to repair all parts of refrigerators Behavioral attributes needed to handle customers and deal with their issues Skills/ Behavior standards required for the jobStep 3: What to ask when screening candidates for the job at service center: Asking open ended questions at the time of interview Listen and then ask next question Stimulate value judgment Probe choice pointsStep 4: Training for the employeesWe would want to ask for your approval for excess funds because we need to train people at the service center and training takes time and money. Once I have a full trained team, I will be able to work better and increase customer satisfaction. Step 5: Practice Quality Leadership skillsThe way customer-service employees are treated by organizational leaders greatly impacts how customers are treated by the entire organization.The bottom line: Leadership skills have a great impact on how the customer service team treats the customers.Step 6: Encourage a supportive organizational climate by doing all of the following:We will follow the following model in creating a supportive organizational culture at NG service center to have a motivated team:

Effective implementation of the above plans would help NG achieve great service. Based on the leadership pyramid, I would like you to see how the service levels would reach the desired level. For any good service center, the employees are the main differentiating factor:

Stage 4: Checkup regularlySir, our work does not stop here. We need to regularly check and assess our processes. The most effective way to maintain and check our service image is to develop a system to monitor the performance of the customer service team. You might be wondering how we would be doing that. I would be applying just three basic points to ensure regular check-ups. They are:1. NGs customer service audit system2. A customer feedback system3. An employee feedback system

NGs customer service audit systemI will be applying a Managing by Walking Around" concept to audit the customer service at NGs. I, being the manager of the customer service center would be present where the action is and will be present to monitor it all times. The customer handling aspect and customer dealing would be monitored by me at all times. My main aim to do this would not be to catch people doing the wrong thing and penalize them, but to see which employee is following the right processes and my job would be to go and appreciate them. Further, a rating scale would be developed and I will be able to rate all the KPIs accordingly. The audit rating criteria is still in process and I will be able to finish it in the coming week. However, I would show you a picture of how it would look like:

A customer feedback systemSir, there are two main reasons why the consumers complain. We call them roadblocks to an effective customer service. These are:

Sir, the above two roadblocks were experienced with Mr. Safwan. He was willing to pay whatever the cost was to pay for the refrigerator repair as he believed there was no use of arguing with the sales outlet. Similarly the second roadblock was experienced when Mr. Safwan was unable to find access to the relevant people in the country to complain about the service. Mr. Safwan eventually got frustrated and contacted you. Hence, lack of awareness and no direct access made Mr. Safwan frustrated and a bad word of mouth must have been created. I am pretty sure that Mr. Safwan would never share a good experience about our company to other people. Sir, we dont want terrorists customers in our business model. Such customers are detrimental to our business. This is is only one instance that we were lucky enough to know. There would be several other cases that go unregistered. Hence we really need to cater to these roadblocks. I will do the following to overcome these roadblocks: Demonstrate by actions that customer feedback is being taken seriously. Every customer will be contacted and asked if their problems have been resolved, how they rate our service, what can be improve on We would create database of all our customers and all their suggestions would be documented. After working on their suggestions, we would call them back and inform them that we have worked on the suggestions provided This would make them feel heard and happy Will make it easy for customers to share information with the people who could make a difference we would provide them with all relevant numbers All employees have to pick up the telephone at 3 phone ring bells at mostAn employee feedback systemAn employee feedback system would record employee job performance and would share that information with the employee. It will focus on:

Customer-service behaviorUnderstanding how employees act, what they say: observable, and measurable results along with behavior that is being evaluated. It has be job related and reflect the quality customer service standards Sharing of information A mutual give and take of ideasSharing of information: All information about employee productivity and performance is readily and openly shared with the employees.A mutual give and take of ideas: A Two-Way exchange of ideas and perception between the customer-service employee and myself

Step 5: Provide Proactive Problem SolvingThe last step will be to provide you with an action plan to be able to provide you with a problem solving proactive solution:

Action plan I: Create a supportive climate for solving customer-service problemsIn attempt to improve the customer-service, I will face resistance to change primarily because of the following challenges that emerge because of: Differing perceptions of employees and managers Previous behavior expectations based on past performances at NG Interests under attack at NGResistance to change damages the health and care of supportive team atmosphere for customer-service problem solving. I will allow all my customer service team members to join in the diagnostic efforts leading to agreement of what the basic problems are, involve my service team in suggesting what changes are needed to be made to improve the customer service and share as much customer feedback with them as possible. All consequent changes will be made gradually and not all at once so that there is time given to employees to adjust to new standards. All of my workforce will be trained so that they remain flexible as much as possible. I will recognize that valid objections may emerge from team members and be responsive to all objections and provide relevant feedback and information as I implement my improvement strategies. Action plan II: Use the customer service teams to identify customer service problem areas

Pin-Point Specific problem areas by using the Customer-Service Assessment Scale. A CSAS identifies certain strengths and weaknesses within the operations of a service. Two prototypes are below to give you a fair idea of what the scale would look like. The final scale will be shared with you in the coming week.

Customer Service Strongly Agree Agree Neutral Disagree Strongly Disagree

Exhibit flexibility when responding to varying customer requests? 5 4 3 2 1

Exhibit knowledge of all available products and services? 5 4 3 2 1

Provide Helpful suggestions to customers? 5 4 3 2 1

Use Tactful words and comments with customers? 5 4 3 2 1

Benefits:1. The customer care center will not only help in measuring the performance of BB cream but it will also help in measuring performance of hair color and hair care products.2. The retailers will be able to give their direct feedback or complaint regarding product, customer and sales force.3. The sales force will be able to give direct feedback or complaint regarding product or distributor.4. The customer care center can direct contact customer, sales force and retailer in order to get regular feedback.

Action plan III: Make the customer service team a resource for improving serviceAfter pin-pointing the strength and weaknesses within service operation by using the CSAS above, the customer-service team should be involved to decide what could be done to strengthen the areas of weakness. The following steps would be taken by the team at NG: Team Problem-Solving Option # 1: The Nominal Group Process Team Problem-Solving Option # 2: Brainstorming

Team Problem-Solving Option # 1: The Nominal Group ProcessPick target problem List possible solutions Record ideas Vote, Discuss Final voteTeam Problem-Solving Option # 2: Brainstorming Pick the target problem Form sub-groups Review the rules of brainstorming Commence brainstorming Discussion Choosing a solution

Action plan IV: Turn customer problems and constraints into opportunities for strengthening ties with the customer Encourage and welcome customer complaints Increase customer access to be able to work towards stronger ties with the customer A conscientious, planned strategy to strengthen ties with customers Views customer complaints as opportunities rather than problems No complacency or satisfaction with the status quo A proactive response to customer-service complaints

Final Step: Explore, Agree, Deliver, AssureTo build a reputation for a Quality Customer Service, we have to go beyond the momentary one-shot deal. At NG, we have to cultivate expertise in providing transaction satisfaction, creating reliable relationships and building powerful partnerships in future. All these styles of interaction are circular in nature and characterized by completed Service Cycles. Each service cycle is a series of interconnected conversations: explore, agree, deliver and assure.

This cycle will be followed on a constant basis. A detail of all the cycle is as follows:ExploreUnderstand the concerns and needs of NGs customers, colleagues and prospects with people skilled at crating rapport, comfort and dialog with others. They must know how to interview and ask questions without being pushy. NGs staff should be able to educate prospective customers about your products and services without appearing hard sell and eagerly seek and create new possibilities with out of the box brainstormingAgreeNG service center is going to be flexible, user-friendly and easy to do business with and accommodate teams, timelines and conditions. Main aim is to make everything convenient for customers with agreements clearly documented in language that is easy to understand.

ProblemActionPerson ResponsibleTime linesExpected Outcomes

Customer Feedback Focus Group/Research/ Questionnaire survey Research Team / Service Center Team 12 weeksCustomers ExpectationsGap analysis

Customer Quality Standards Develop Quality Standards/Best methods/ Guides/Assessment Scale/Audit system/ Feedback system Mahin Hassan Brand Activation Manager South16weeksCustomer Service Standards

Recruitment Job Descriptions/Hiring/Performance standards /Rewards system/Training material Mahin Hassan Brand Activation Manager South8 weeksCustomer Service Team

Training to employees Training Material/system Trainer 10 weeks Customer Service Center

MonitoringAuditsAudit Team (Internal)On-goingRegular monitoring

CRM techniquesApply CRM techniquesInternal team12 weeksCustomer Acquisition to Customer Loyalty

Service recovery programs

Manage complaintsTraining personnel8 weeksImprove customer management

Mr. Wah, please let me know when I can meet you in person. Please feel free to discuss anything with me or any part of the report you did not understand. I would be extremely grateful if you could meet me in the coming week and we could discuss and agree on the timelines of each action plan discussed so that our team and I are on the same page. Looking forward for a positive response from your end.Thank you.

Regards,Hasan NaveedService Center HeadNG Electronics0333-225-228817