Clare Dorrian

Service Gets Smart

This week we kicked off our latest research project ‘Smart Customer Service’ in conjunction with the CCA, where we’ll be examining how contact centres here in the UK are transforming their service strategies, business models and multi-channel operations to adapt to changing market conditions and customer demands.

For me, this is a critical piece of research for us to conduct at a time when offering efficient service is no longer enough. I am hopeful that the research findings will shed some light on what the future of customer service via the contact centre holds and whether you are seeing some of the same trends we are notably:

Agents will be everywhere.

And by this I don’t mean contact centre agents will rule the world. I mean that agents or customer service experts could be located anywhere, engaging any time, any place through any channel and any device. Many will work from home, many will be on the move, many will work in offices/branches but all will be working to solve customers’ issues. In addition, companies who extend and refocus their service engagement, to allow their most loyal brand advocates to act as agents and to allow contact centre agents to engage more socially, will find themselves in the driving seat.

Channels will become invisible.
With many more communication channels available, customers will move in and out of them at will.  Contact Centres must therefore be able to support basic customer engagement well and in addition, embrace cross channel customer dialogues knowing what has happened, is happening and might happen at point of connection. Such demand will also accelerate the convergence of online with more traditional channels and mean that organisations need to break down those silos between marketing and customer service teams.

Service gets personal.
As a consumer myself, I want genuine intimacy and a real relationship only with brands I trust. And I don’t think I am alone there. The most customer-centric companies will therefore need to know what their customers like me want, before they do. Their service experts will need to understand customer intent (something Gartner analyst Michael Maoz is passionate about), and be armed with the right information at the right point in time. The best companies will get this. The best service experts will live and breathe this.

The contact centre finds its voice.

A by-product of increased online and social media hype and use needs to be greater prioritisation of and voice for customer service across companies. Renewed emphasis will therefore fall on the contact centre as a way of differentiating an organisations’ service proposition (and if you don’t believe me, see here for what Kerry Bodine from Forrester has to say on the matter). Companies wanting to become most-recommended will have to up their game and make customer service via the contact centre, a higher priority than it is now, from boardroom level downwards. That means those leading the contact centre charge will need to find language the board room understands to push support for investment through.

But what do you think?  Are you seeing the same things? If you want to have your say, then why not take 5mins and complete our online survey here. It will be open for participation until 6th July. Alternatively, if you are interested in voicing your opinion but would prefer to reach out directly, then feel free to tweet or email me.

Liz Erk

Getting Clients on the “Fast Track”: Q&A with Dave Ballard

David BallardIt’s always interesting to see the outcome of how a client fares with a company’s technology solution. But how about getting those clients up and running? This latest Q&A visits that exact subject with David Ballard, US-based Project Manager for Sword Ciboodle. He has been serving on strategic accounts for the past four years, spear-heading client projects such as VistaPrint and Sears. He is essentially the “genius” behind how major companies deploy Sword Ciboodle’s technology:

Liz Erk- What is the most critical element of any company’s customer service program? (This could be technology-based, people, more than one, etc.)

Dave Ballard- There really isn’t one single element, it’s finding the right balance between technology and process. And especially the right staff! It sounds obvious, but you’d be surprised how many companies think technology alone can solve their problems.

LE- When you assess a company’s existing customer service center, what is the one common “mistake” or “missing piece” that you find?

DB- I’d say that’s a good question! Technology is moving at an alarmingly fast rate- faster than ever. Companies are continually trying to keep pace with this technology and their competitors by getting new technology. From my perspective, there needs to be a solid and stable backend process in place first. Particularly when it comes to adding the latest and greatest new technology channels like social media, chat and Flash websites. For example, it’s great companies are interacting with customers via online chat, but at the end of the day if you are using the same 20 year old broken process to issue a refund, are you really doing the customers a service? Or are you just trying to simply add a new channel for the sake of adding a channel? They really need to be able to support new channels in a smart and useful way.

LE- What industry sector has provided the biggest challenges when it comes to evaluating and recommending a customer service strategy?

DB- I’ve worked with a number of clients across a variety of industries, and I’ve found that organizations all face the same challenges, believe it or not. Generally organizations know their industries really really well. They all need guidance on how to create that “company-centric” strategy, and then also how to best use the different technologies to make the most of that strategy. All the information is there, it’s just understanding how to streamline those processes.

LE- Which industry commonly seems to “get it right?”

DB- I think it’d be unfair to pin one industry over another. I tend to find the organizations who truly get it right are the ones least resistant to change, and have buy-in from everyone who’s effected by the new software solutions from the top down, from executives right through to customer service representatives. Implementing a new CRM software solution is an excellent opportunity to overhaul a business and provide excellent customer service, and that should be embraced by everyone.

LE- What was the toughest obstacle or “worst nightmare” you’ve ever faced in getting a customer set up?

DB- I wouldn’t say worst nightmare, but I’d say one of the most challenging parts of the job is building a state-of-the-art solution out of a legacy system that hasn’t been updated for years. At Sword Ciboodle our solution integrates with multiple backend systems in order to provide a unified agent desktop to offer a 360 degree view of the customer, so at times it feels we can be limited in what we can achieve by the other systems, however I have excellent managers who are able to overcome this time and time again and we’re able to deliver strong solutions.

LE- Without naming the client, what’s a unique, funny or just plain odd experience you’ve had on a client site?

DB- You put me on the spot now, haha! Okay, here’s a unique one: I did work on a solution for an auto company and the customers send them audio recordings of their engines to help their engineers playback and diagnose the problem. It was certainly different and we were chosen because of our ability to adapt for this unique customer interaction.

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It’s cool to see the trends and common denominators with clients. I’m hoping in the near future Dave can walk us a through “a day in the life of a client deployment…”

Mike Havard

Make multi-channel multi-choice

There are a lot of ways to communicate with customers that are cheaper than the phone.  But forcing people to use them could cost you more than you think. 

We’ve been taking a long hard look at companies’ multi-channel offerings, and some of our findings might surprise you.  Companies that try to restrict access to the phone and force people to use lower cost channels rarely achieve the cost savings they were aiming for.  And they frequently manage to alienate customers in the attempt!

The message is clear.  If you don’t want to experience damaged revenues and customer back lash, you need to offer channel choice.  Not impose it.

Our research show that customers want to use new channels, but they expect you to provide those as well as (not instead of) more established ones.  They’ll choose how they want to you interact with you, thank you very much.  And they won’t take kindly to being dictated to.

How they choose to contact you will depend on the nature of their enquiry, where they are (home, work or on the move), and the time of day.  They’ll often use several channels to complete a single ‘transaction’, researching a new product online, purchasing it in store, then using forums to discover new features. Oh, and, if there’s a problem, they may just want to phone you.  Fail to provide even one of these touch points and you’re likely to frustrate the customer and lose this sale, the next one and the next!

 Let’s be realistic.  Its unlikely that any organisation has managed, or will manage in the near future, to absolutely predict and influence every customer interaction in every customer journey for every customer or prospect.  As the economist John Kay states, most are “hardly capable of asking the right questions, let alone predicting the right answers.”

So, your best way forward is to provide a range of channel options, signpost them clearly and let the customer decide.  Encourage them to use lower cost options by making them effective, efficient and visible – but don’t force it.  Stay flexible and agile when it comes to channel management and use the power of information and data to predict customer behaviour as best you can – knowing you won’t always get it right.  Life, and customers, are far too complex for that.

And, one more tip… Take the time to analyse how, when and why your customers get in touch.  You’ll likely find that you’re able to predict the causes of costly calls to the contact centre and then pre-empt them with proactive outbound contact – either by SMS or email, for example.  That won’t just cut your costs – it’ll boost your reputation for proactive customer service, too.   I think that’s what we call a ‘win-win’.

Our research has prompted some interesting discussions with large organisations, not least at roundtable meetings hosted by the report’s sponsor, Sword Ciboodle.  We’re interested in finding out more about how companies are using multiple channels and whether their investments are paying dividends.  Tell about your experiences.

And, if you’d like to read our complete research findings, just click here to download them.

Mitch Lieberman

Evolution of CRM – Where Interactions Matter

evolution – a process in which something passes by degrees to a different stage, often to a more complex form. (various sources)

I recently revisited my own research completed a little over a year ago. I considered then the evolution of CRM to Social CRM. I was convinced at the time that CRM needed to become Social CRM in order for companies to succeed. My updated conclusion, depicted to the left, is that CRM does not need to evolve to Social CRM; CRM simply needs to evolve.

Customers are still customers but they are more social in an electronic and media kind of way. While some buying patterns and preferences have changed, that is only part of the story. The real changes are the way customers interact with you (before, during and after a purchase), your organization and their expectations regarding those interactions.

‘Where’ is about the Location and Context of Interactions

I thought it would be a good idea to highlight the Interaction portion of the diagram:

Interactions, how and where customers communicate with a business, are clearly more complex than they have been (and they will continue to become even more complex). Interactions have evolved in both the number of channels (where), as well as the expectations by customers that your organization knows when they have changed channels and what ‘happened’ on the other channel, they are not interested in repeating themselves. This is called channel shift, and increases the complexity on the systems side, tremendously.

Customers can and will communicate with you any which way they can, it all depends upon their context; where they are, what they are doing, what they need and when they need it. Customers were taught to use the phone, instructed on the finer points of an IVR and coerced into using email and web forms.  Now it is their turn. They not only want to add more channels to the mix, they expect you to be aware of all the other channels and are quite tired of typing in their 14 digit code on a touch tone phone, only to repeat to the agent!

Customers will use multiple channels during a single ‘transaction’ – for example, they might receive an email about a new telcom package, research the package online, along with a new mobile phone, read reviews (online) before purchasing in store (in-person) then use help forums to discover new features. Finally, if there is a problem or issue, they will want to talk to someone – and bypass the IVR. Notice that while some of the examples and thoughts could be considered ‘social’ it is not about social, it is about customer needs and an organizations capability to meet and exceed the needs of the customer.

Greig Ewart

All Customers Are Created Equal But Some Are More Equal Than Others?

“Thank you for continuing to hold. We value your custom and look forward to speaking with you soon”, the saccharine recording repeated like the mantra of some demented yogi. However, far from the Zen-like assurance and calm their chant presumably intended to evoke, it had me reflecting more on the cliché that if they really valued my custom, they wouldn’t keep me on hold for so long. By the fifteenth minute the message had developed from a slightly patronising inconvenience to a sardonic mockery. “They should value my custom”, I retorted during one of the brief bursts of late-nineties ringtone that appeared to be punctuating her announcements, “I am a good customer: I deserve to be treated better than this”. Which made me think, in a world that so blatantly stratifies and discriminates, was the Marxist mystic at the other end of the phone right and private enterprises should value every one of their customers equally? Or should we carefully pander to selected favourites while leaving the rest to eat cake?

The first point to note is that typically customers are not actually treated equally – as anyone who has ever had to walk through the salubrious front of a plane to the cattle-hold in the rear will attest. However, even when formal attempts at price differentiation are ignored, customers generally will still be treated differently – especially when they have to deal with a human. Oftentimes, the decision on how to treat a customer is left, at least in part, to the agent, who may vary how accommodating they are based on how pleasant the customer has been, how close it is to the end of their shift or how hungover they are from the night before.

There is, however, nothing particularly untoward in being discriminating in the level of service we provide either – though it does need to be based on something a little more meaningful than the number of pints your agents consume on a Tuesday night. Business is all about allocating scarce resources in the most efficient manner to ensure the greatest return to the owners. Therefore any business action should have both its costs and benefits carefully analysed to allow for the optimum behaviour to be selected.

Of course the key here is having sufficient information – and using it – to make sure all these potential costs and benefits are taken into account. For example, one could naïvely assume that the “Premium Member” who pays $70pm to use a gym should always trump the “Basic Member” who pays a meagre $40pm. However, in actual fact, a given basic member may have a greater net value compared with a given premium one. This is because the former may prefer to sit at home eating nachos and watching “The Biggest Loser” instead working-out, while the premium member visits daily and constantly calls in to complain, raising the cost to serve him above the difference in his membership rate.

Even if crude measures are dumped in favour of something more sophisticated, businesses can still shoot themselves in the foot by being myopic. Just because a customer is of low value today doesn’t mean they won’t be valuable tomorrow. Obviously treating a customer well will make them more susceptible to your upsell attempts but this isn’t the only way their value can increase over time. Take students, for example, most of their assets are typically held in books and ramen – but yet banks scramble for their custom. This is not because they think instant noodles are the only safe store for capital in this turbulent economic climate but rather because they know students generally go on to become graduates who, in turn, get paid more money and subsequently generate more business for the bank.

Differentiation also runs the risk of incurring the greatest cost of all: the opportunity cost of getting it wrong and mistaking one of your best customers for an undesirable. This is why the process cannot be left up to humans. Even assuming the agent has the best interests of the business in mind, they cannot possibly conduct an accurate assessment of the customer’s current and future value then determine how they should be treated based on this while trying to keep their handling time down, cross-selling other products and remembering to tell them about your self-service website. It therefore must be built in to the CRM application.

For this to be successful it requires a number of factors. Firstly, the CRM software must constantly be capturing and updating accurate and timely information about the customer. It must then feed this data into an intelligent and evolving analytics engine to make predictions and assessments of value based on this data. Finally, it must be process-centric and use the output of the analysis throughout the application to ensure the agent employs the correct policy and disposition for the customer in question.

It goes without saying that we should always strive to provide a high minimum standard at the lowest possible cost to serve for all our customers. However, in this increasingly competitive international business environment we need to be smarter about how we use our resources – and subsequently how we decide what customers to develop, hold or divest. Better CRM is the key to both.

As for the business of trying to convince a customer they are important via the medium of recorded message, it seems that this may be beyond the scope of even the smartest CRM software. Perhaps the offshore agent that’s just picked up will do better with the script he is clumsily regurgitating to this “valued” customer…

Liz Erk

Creative Leadership: Q&A with Paul White

As part of our ongoing company Q&A series, I sat down with the brilliantly (and hilariously) insightful Paul White, who previously served as the CEO for Sword Ciboodle Americas, taking the company forward by leaps and bounds, and is now serving as Worldwide CMO based in the UK. This was a great opportunity to get a “wider lens” view of the company, market at-large and general perspective on CRM-related topics:

Liz Erk: When it comes to working with customers in terms of sales, marketing and service (CRM), what are the similarities and differences between the US and UK?

Paul White: I’d say there seems to be a tremendous synergy between mature companies no matter where they’re based, as in the more mature they are, the more they’re enabling customers to communicate with them the way the customers choose. So the companies we tend to work with are looking to solve the same problems and progress the same way in both the UK and US. So we seem to be attracting companies that truly understand they need to move beyond, for example, just the web.

We are seeing a lot of dynamic self-service options and the continual addition of “layers” that enable companies to demonstrate they’re truly paying attention and responding to their customers. So I have to say, from our vantage point, we aren’t seeing many differences because the companies who choose to work with us just plain get it. They are looking to get away from silo-style customer service, which you see many companies are still quite guilty of all over the world.

Liz: What role does Social Media play with respect to CRM? For instance, is it too overwhelming and vast? Have people lost focus on the contact center?

Paul: Social media is currently viewed as “too overwhelming and vast,” but that’s because it seems to be the channel people turn to when they’re frustrated and don’t seem to be progressing through other channels. So it plays a huge role in relation to the contact center because it needs to be the step consumers can take and not only hopefully resolve what they’re looking for, but it also needs to be where customer service agents are acknowledging social media use. It does seem that many companies still aren’t taking social CRM very seriously just yet, and they absolutely need to.

The popularity wave of social CRM is going to continue and grow. Some people say that the “social CRM bubble” will eventually pop, but I disagree. I think that’s just wishful thinking on those individuals’ parts because they can’t really control that channel. Peer to peer is empowering consumers and companies need to embrace it, and be sensitive to it.

If a utility contact center receives a call from a customer who has Tweeted about them, or shared something with the company via its own Twitter channel, for example, consumers are expecting agents to be aware of that. Even more so, if a customer posts on a company forum and the company agent doesn’t know they have done so, customers should be annoyed and they’d be justified. And you’ll especially find that social media early adopters freely let the world know about their feelings, too!

Liz: You and Winston the Bulldog were on hand to share holiday greetings and predict some positive activities for 2011. We’re over six months into the year, what took place as expected and what were a few surprises? What are your expectations over the next six months for Sword Ciboodle?

Paul: First off, Winston and I feel it’s been a FANTASTIC first six months of the year! We’ve closed a lot of great new business and so far we are on target with our ambitious growth plans. In fact, we’ve closed more new clients in these last six months than we have in the previous three years, which shows a few things: the market is picking up, we’ve solidified some excellent partnerships that were spot-on, such as global partnerships with CSC and IBM, all helping us bring even more to our customers.

One thing that we’ve been campaigning and discussing with the analyst community is that BPM is going hand in hand with customer service. In the last six months we have been proven right with the buzz we’re seeing amongst press, blogs and research reports.

Another huge impact on our company moving further in the right direction has been the hiring of industry experts and leaders like Mitch Lieberman and another individual we will be sharing with the world very shortly…

So for what’s to come… well, quite a bit! We are looking at possible acquisitions to add to our portfolio to further broaden our superior offerings, plus we are continuing to adjust how we brand ourselves, hence part of our reason for partnering with The Jaxson Group!

Liz: There are tons of CRM-centric terms being tossed around the industry. What are a few you see as hype and a few you see as legitimate? For example, in a MyCustomer.com interview you mentioned “customer service renaissance.” Is that something you feel resonates with the UK market or can that term catch on in the U.S.?

Paul: Ahhh, the things I come up with! I really was trying to make a point that from the consumer standpoint, a company needs to design the art of communication and service based on the way they do business. The customer service renaissance is really about the idea of a Leonardo DaVinci sculpting the right CRM experience. So maybe that concept will catch on… What do you think? Is there a book idea in here somewhere?? Hmm…

Liz: Exactly two years ago Ginger Conlon of 1to1 wrote a post about CRM buzzwords. Her list included “the big idea, buzz, critical mass, customer-centric, integrated solution, it is what it is, low-hanging fruit, make it pop, organic growth, outside-the-box, paradigm shift, ROI, and synergy.” Fast forward to 2011, what new terms would you add to this list?

Paul: You know, I’d say “customer effort” is a bit beaten. I hear that all the time. “Social CRM” seems to be another, but I wonder how defined that one will have to be before it is really tagged as a buzzword. I’d say the day Mitch Lieberman declares it an over-used term is the day that will be true.

Of course, cross-culturally I am thoroughly amused by different terms I hear that are either foreign to one region or translate poorly to another. “Chin-wagging” is one I chuckle at. Then there are some I see raised eyebrow reactions from like “pop off.”

Liz’s Added Thoughts: I just have to jump in with a side comment, Paul and I got a good laugh when we shared some common, poorly used terms we’ve both heard. From the female perspective, I told Paul about one I find horribly offensive which is “open the kimono”. He then shared a meeting he sat on where someone tried to use that term and got it entirely wrong, stating “we need to open the kimode.” (Paul said he made sure to let the individual know how ridiculous he sounded)

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I think I could have kept going with Paul beyond the hour discussion we had for putting this together. I am looking forward to my next chat with him, especially towards the Fall when we’ll have completed a few more milestones and events that we’ll want him to weigh in on. In the meantime, many thanks to Paul. You are the “bees knees!”

Mitch Lieberman

Turning the Tables, Q&A with Jaxson Group

Part of being a transparent business means sharing thoughts, ideas and strategies about who we are as an organization, and an extended organization. With this in mind, I thought turning the tables on our own PR team would be fun. I decided to forward along some “who are you and what are you thinking”questions to Liz and Anne of Jaxson Group. If you do not consider your PR team as part of your greater integrated marketing efforts, then you might want to revisit what PR means to you.

Question: What is Public Relations (PR), and why do companies invest in it?

Anne Coyle: In most general terms, public relations refers to the planning and communications an organization undertakes on behalf of its brand, executive team, products and services to reach a number of audiences. These can include investors, customers, partners, journalists, analysts and market influencers as well as employees, competitors, fans and a host of others. Public relations is often used interchangeably with media relations, because that channel is easy to measure and understandable to the greatest number of people. However, there is a public relations element anytime a person can say “I saw you guys in Forbes,” “You should see the comments about you on this blog,” or “Smartest Analyst Ever said you guys are great.”

Companies invest in public relations to share corporate strengths, points of differentiation and news, to a number of audiences. Public relations can be used to launch products and services, enter new markets, reach influencers, gain capitol, increase a customer base and publicize corporate programs- essentially PR plays an important role in a company’s integrated marketing efforts. Organizations also use public relations to present a coherent, singular communications channel regarding all news and developments, which can include earnings, response to an issue, changes in an executive structure or changes in a market strategy.

Question: Is PR the same thing it was 10 years ago? If no, how has it changed? If no, has everything changed, or just some aspects?

Liz Erk & Anne: Given the changes in media and marketing over the past three years, writing a general definition about PR was tough. Defining exactly what PR is now is almost impossible, given the constantly shifting landscape of how people communicate and the challenge of capturing and keeping attention. So we’d have to say PR is the same as it was 10 years ago in terms of the fundamentals of WHY people engage PR- at the end of the day it’s all in an effort to help drive awareness. But the process of HOW you conduct PR has not only changed, it’s actually different for each company, depending on specific goals, agendas, market, etc.

If a company is receiving a “one size fits all approach” from its PR team (ie- stand alone press releases and blanket-mailing them to media & analysts), they really should evaluate what value they’re getting- particularly because with the advent of social media, PR has become closely tied with customer service and become another channel in which people communicate with businesses. For example, how often do you see consumers sharing feedback and experiences with a particular business, followed by the PR department issuing a response? The answer is: quite a bit, and in instances like that it’s a tremendous litmus test as to whether or not a company truly understood its customers’ feelings.

Question: Do you think people understand the objectives of PR?

Liz: I believe people understand the basic function of what PR is intended for, but I think people are more surprised when they realize how many areas are impacted by PR. For example, one piece of news communicated via blog can go viral and attract buzz across Twitter, Facebook, other blogs, and mainstream press. News can take on a life of its’ own when the right ingredients are involved. Reputation management is a major part of PR, so it’s not only important to share news, it’s critical to pay attention and sometimes respond to topics that are being talked about “out there.”

Also, enhancing relationships between companies and their customers is a huge part of PR. Joint communications and sharing best-practices demonstrates pride and strength between both parties, unifying everyone involved and putting them into more dynamic leadership positions.

Question: What is Crisis Management, from a PR perspective? Is it the same as it was 10 years ago? Do most companies have a crisis plan these days?

Liz: Crisis management can mean different things to different people, ranging from figuring out how to respond to a negative company perception to addressing a tough situation on-the-fly. It’s different than 10 years ago for sure because back then you had more time to assess a situation and formulate a response. The quickest area you had to be mindful of was news websites posting an article. Nowadays news travels like wildfire with the advent of Twitter, blogs, Facebook and other instant communication vehicles, and then add that to rapid search channels like Google that index topics almost immediately.

For example, in January of 2009 credit card payment processor Heartland tried to quietly announce what was one of the largest data breaches in U.S. history on the morning of President Obama’s inauguration. Despite the country’s focus on the presidential activities, bloggers reported on the news just as fast as it was released. The news spread pretty quickly and once the inauguration was over, Heartland received a very bright spotlight, not just for the breach, but for the timing. 10 years ago Heartland might have gotten through that without question, but not with the instant communication channels that have really taken hold since around 2004.

Question: What is the relationship between PR and CRM, or Social CRM?

Liz: PR & CRM/ Social CRM go hand in hand (in hand) because it all boils down to effective communication. CRM is a direct vehicle to customers, while PR is a channel customers pay close attention to when it comes to brands that have their attention. Social CRM is right up there with Social PR- instant and very personal. You cannot afford to ignore either one, particularly because they’re not “one way streets.” They come with many twists and turns with multiple voices that want to be heard and responded to.

Question: (Directed to Rachel Tait, Marketing Manager Americas) Why is Jaxson group different?

Simply put – their passion.  Jaxson group have a hunger for success that other agencies lacked, and from the outset it was obvious that they loved what they do and are highly motivated to deliver real results to their clients.  While many agencies may say what they think you want to hear, I truly believe that Liz and Anne form an extension of the Sword Ciboodle virtual team – and I am confident they will represent Ciboodle, and what it is to be a Ciboodler, in the best possible light.  They got me excited about PR again, and what results Ciboodle can potentially achieve in the media.  I’m looking forward to seeing what we can achieve together.

My POV: You probably saw our post about Nicor National’s selection of Sword Ciboodle to support the revamping of their CRM process and system. We, as an integrated team are completely confident in The Jaxson Group. The ideas and initiative are a welcome change! In the Nicor release, it was important to us to add a little extra insight that isn’t found in a typical press release by way of a blog post Q&A with Nicor National’s Barbara Porter. Because really, the team want to move beyond writing and issuing the boring “same old same old” – Cheers from Ciboodle land!

Liz Erk

Theory is Great, Solving Real Problems Rocks!

Earlier this week we announced Sword Ciboodle’s new relationship with Nicor National. We put out a press release (which was “old school,” according to Mitch Lieberman), but as Sword Ciboodle’s new Public Relations team, we at The Jaxson Group decided to dive a little deeper into Nicor National’s perspective on what made them select us (and we say “us” because despite being an “outside agency,” we’re an extension of the Sword Ciboodle family) as their CRM solution provider.

Why are we doing this? Well, let’s face it- press releases have their place, but we thought we could get a little more insight on what Nicor’s choice really means to them and their customers. After we issued the “official release,” we sat down with Barbara Porter, Vice President of Customer Service and Business Development of Nicor National to have a candid Q&A. We asked Mitch to weigh in as well. Enjoy!

Q: Before deciding to engage with Sword Ciboodle, how did you manage your customer relationships?
Barbara Porter: We had multiple systems, about 10 or 11. It was just becoming far too complex to manage our interactions with our customers.

Mitch’s POV: In talking with customers and doing industry research, companies are lumping these two problems together, when they can be separated. Nicor was able to separate the issues and think about the ‘many systems’ problem and separately, the ‘user experience’ problem. I have also found that many companies are deciding that the transactional and data parts of their core systems are just fine, it is just that the user experience that is becoming harder and harder to manage.

Q: What was the moment that really signaled it was time for Nicor National to change?
Barbara Porter: Our processes just weren’t customer friendly anymore. It was difficult for both our reps and customers and once that became very apparent, we knew we needed to explore other options.

Mitch’s POV: Putting the customer’s needs at the center of an infrastructure change can be an uphill battle. The ROI can be difficult to measure – possible, but not easy. Doing right by the customer always makes sense – period.

Q: What made you decide to select Sword Ciboodle?
Barbara Porter: We actually met Sword Ciboodle at a conference. We realized quickly that the team had great experience in our industry and truly understood our business at ahigh level. That’s just as important to us as the technology.

Mitch’s POV: It is refreshing to hear a comment like this – for one, that the world of Marketing cannot simply be solved only using “Inbound” approaches. Business still takes place between people, in person, where you can shake hands and discuss business over lunch.

Q: Are you exploring other methods of engaging customers such as through social media channels?
Barbara Porter: Yes! Our customers have been indicating they want this more and more, particularly to communicate with us in general, pay bills, check their status and other areas that help maintain their relationship with us. We currently use a system called Allegiance to create customer surveys, as well as receive direct feedback from customers. We are hearing more and more from them that they want social functionality.
Mitch’s POV: This is fun to hear and interesting at the same time. Those of you who know me, well ‘commentary’ will simply not cut it. I will try to schedule more time with Ms. Porter and dig in a bit more on this one.

Q: Anything else you think people should know?
Barbara Porter: All along our focus has been to create a positive experience for both our staff and customers. The two go hand-in-hand. We know Sword Ciboodle is going to help us deliver on that commitment. Once the program is entirely rolled out and themultiple systems are gone, it’s going to be fabulous!

Mitch’s POV: Serving Nicor National and its customers is especially going to be fun and interesting because this is an industry where it can often be tricky to deliver truly personalized customer service. We are looking forward to following their success…

…And the Jaxson Group team is, too! We love any opportunity to brag about our clients’ customer successes- particularly when it pertains making consumers’ lives easier. We hear customer service “horror stories” everyday, so it’s a pleasant change of pace when we get to examine companies who are “doing it right.”

-Liz Erk, Owner/ Principal Partner of The Jaxson Group

Mitch Lieberman

Coordination, Collaboration and Co-operation; The Approach to Service Excellence

Customer service excellence is a core value of many customer service organizations, as it should be for yours. Service excellence is achieved by an almost harmonious dance between the people, processes and technological components. When asked, many simply say: “the team just gets it done”. My question is, ‘how’? My postulate is that this capability can be explained by the proper balance between coordination and collaboration, enabled by a co-operative desire.  Processes that are highly responsive to customer needs require complex data, knowledge management, sophisticated rules and cutting edge communication devices. But, in the end, it really comes down to how people (knowledge workers, customers, partners) react and respond to the environment around them. The systems need to work like they do, complexity hidden when possible.

I believe that with all of the talk, writing, and proselytizing on collaboration and activity streams the essence of where coordination fits into the customer service realm is being marginalized, or even lost. If a customer calls with a billing question, I should not need to collaborate in order to find the answer; I should just be able to either answer it, or pass it to someone who can, simple.  Therefore, I suggest that coordination is of at least equal importance and collaboration is required when coordination will not work. The objective of collaboration is not to collaborate, it needs to be results driven, the problem is collaboration is recursive, thus it takes time. To be clear, I am not suggesting no use for customer collaboration, I am suggesting a time and place for everything. There are instances, such as co-creation where coordination is secondary and that collaboration is critical.

Some Background

I felt it was important to do a bit of research, if only about definitions, to make sure that I personally understood the differences. I am not trying to go down the definition route, but it is not simply semantics either. The diagram above is my visual attempt at segmenting, but also highlighting the overlaps. But it does not tell the whole story, nor might it fit your tastes. Does it?. I simply believe that coordination needs to be considered first, ahead of collaboration, as I believe it to be a peer with collaboration with respect to customer service.

Coordination is the organization of the different elements of a complex body or activity so as to enable them to work together effectively (Google definition). I would add that ‘effective’ often translates in business terms to execution and efficient. When a situation occurs, I want my team to be coordinated, roles and responsibilities well defined and each person completely clear with respect to their actions. An interesting extension is that parts of co-operation make there way into the discussion, as often all parties can realize mutual gains, but only by making mutually consistent decisions.

Co-operation is the process of working or acting together, which can be accomplished by both intentional and non-intentional agents. In its simplest form it involves things working in harmony, side by side, while in its more complicated forms, it can involve something as complex as the inner workings of a human being or even the social patterns of a nation. (Wikipedia)

A quick summary thus far; Coordination is the ability and capability to work together, where co-operation is the willingness to work together – where does that leave collaboration?

Collaboration is working together to achieve a goal. It is a recursive process where two or more people or organizations work together to realize shared goals, (this is more than the intersection of common goals seen in co-operative ventures, but a deep, collective, determination to reach an identical objective) — for example, an intriguing endeavor that is creative in nature  — by sharing knowledge, learning and building consensus. (Wikipedia). I believe collaboration and co-operation are closely aligned, with emotional elements highlighting the differences.

In a New York Times op-ed piece, titled “Nice Guys Finish First”, columnist David Brooks stated the following:

“In pursuing our self-interested goals, we often have an incentive to repay kindness with kindness, so others will do us favors when we’re in need. We have an incentive to establish a reputation for niceness, so people will want to work with us. We have an incentive to work in teams, even against our short-term self-interest because cohesive groups thrive.”

The Takeaway

Many people smarter than I am have put a lot of thought into the goals and objectives of collaboration. It would seem obvious to state that there is a right way to collaborate, and there’s a wrong way to collaborate.  If teams lack a strong focus on the results of their efforts, then success will be very hard to measure. The objective of collaborating cannot be to collaborate – and hope is not a strategy. If the barriers to bringing in others to help you solve a problem seem too great, people simply will not stand for it, and will avoid it altogether.

It is always important to view the marketplace through the lens of your customers, advocates and partners. A company who truly understands and implements consistent, multi-channel, cross channel customer service experience has figured out how to manage the interdependence between predictable and unpredictable workflows. This is a coordinated approach to customer service excellence.

But what is the link? It goes beyond reacting to customer needs, to anticipating customer needs. The path to anticipation involves collaboration (knowledge and intelligence) but the response needs to be coordinated. If a customer contacts you with a serious problem, would you prefer to collaborate with others in the organization to figure out how to fix it, or would you prefer to have a coordinated effort in place, where the work sent work items to the right person to fix the problem? (Remember, collaboration is recursive).

Coordination enables the alignment of processes and related information around specific goals and objectives. In the case of customer service, the goals and objectives would be customer satisfaction, often driven by metrics customers care about, like first contact resolution (FCR) and time to resolution. The collaborative element is powered by the willingness of the team, ie co-operation and enablement. A quick note about resolution; customers who have an issue, problem or concern want to be heard and want issues resolved. Collaboration, by definition, will take longer than coordination, thus a coordinated approach is the objective. If this cannot be accomplished, yes, collaborate and figure out the answer!

More often than not, the resistance to coordination is that customers seem to be moving faster than an organization can adapt. There is the battle ground between coordination and collaboration; how can I coordination activities if I cannot anticipate and I do not know what is coming next?  It is important to note that in order for any of this to work, a common vocabulary needs to be put in place – this includes customers! If everyone is not talking the same language, the customers, no level of coordination or collaboration will be enough to save you! I gave some specifics around the alignment between Service, Sales and Marketing on this topic, at a recent talk in London.

An important source for this post was Reorganize for Resilience: Putting Customers at the Center of Your Business, By Ranjay Gulati. (link).  My goal was to give context specifically to customer service. Prem Kumar also has a nice post and accompanying slide deck which explores this issue from a different and important perspective.

These thoughts are an offshoot of topics I am exploring through a collaborative effort (pun?) with  Julie Hunt. The outcome of that effort is a white paper called “Focusing on the Total Customer Service Experience” -  Summary information here; if you would like a copy,  no registration forms, just an email to us, whitepaper@sword-ciboodle.com.

Greig Ewart

It’s Raining CRM

Growing up in the West of Scotland I considered myself quite well acquainted with clouds. They were the familiar grey blobs in the sky where the sun should be. They dispensed rain, snow or often some combination thereof – and maybe the occasional thunderstorm. However, much like a sunny afternoon in Glasgow, this has suddenly changed. Now it would seem I’m supposed to be listening to music, sharing photos and playing games in clouds. It doesn’t stop with our personal lives either: businesses’ inventory information, customer records and business processes are also apparently better suited to a location somewhere in the troposphere. These ethereal bodies are even colluding with each other now – with different companies selectively sharing and concealing information between their respective clouds. Interest is rising and the barometer’s getting low: according to all sources, the cloud’s the place to go.

The core concept of cloud computing is that distributed resources are shared amongst the cloud users in an abstract way such that each individual client need not concern themselves with where the data is stored or the processing carried out. With the recent surge in mobile computing the appeal of this approach is clear. Users expect to be able to perform increasingly complicated operations on the go, however, cannot reasonably carry around the capacious hard-drives or sustain the power-hungry processors and graphics cards required to fulfil these needs. The cloud farms out all the clever stuff to some remote behemoth (with mains power), that can tirelessly crunch bits in a distant server room somewhere.  This means that even relatively dumb smartphones can employ state of the art applications and consume terabytes of media, without the need to carry around a disk array and battery pack every time they leave the house. Moreover, since the mechanics of utilising these services are concealed from the user, the tech-novices that have been snapping up the latest hand-held devices will still be able to reap the benefits of this sort of architecture without first picking up a computer science degree.

But can clouds bring similar benefits to customer relationship management? After all call center agents aren’t typically roaming around while taking calls and it’s not as if users typically need high-spec machines to run their CRM application anyway. Similarly, in a typical CRM setup most of the processing is already done remotely today – particularly in those with self-service components. Even the case for arguing the cloud provides additional abstraction to the users is weak: most users would be blissfully unaware if their content was served by a Solaris box at a particular MAC address running WebSphere one day and a Windows NT box with a different address using JBoss the next.

So why bother? The main reason is ease of deployment. When your computing power is being provided by a cloud you no longer need to fret about purchasing expensive hardware and constructing a secure, climate-controlled facility to house your fancy new gear. Similarly, someone else can concern themselves with penetration testing and getting everything setup. It could be argued that this simply pushes a one-off capital expenditure into a recurring operational expense and will cost more in the long run. However, surely the opportunity cost of this large initial outlay would be greater than a smaller, on-going cost where the saved capital could be invested in the business’ own area of expertise. Moreover, running costs could actually be reduced in some instances, since the provider of the cloud-based services would hopefully be able to achieve economies of scale and better utilization and therefore could pass these savings onto the service-consumer. At the same time the business can spend less on technical support staff, security and insurance by moving their computing power to the cloud.

Clouds also provide the reassurance of business continuity since the organization only needs to worry about providing a disaster recovery site for their agents, rather than also having to duplicate their server capability. Similarly, it provides the option for low-risk, incremental changes in capacity that would help the business respond to an uncertain future and could be of particular use to smaller firms. Likewise, industries that experience choppy demand for their services across the year – or even theoretically throughout the day – can more easily scale-up and scale-down rather than always having to provision for an infrequent peak demand.

However, clouds aren’t unique in providing these abilities. Organizations commonly make shared use of disaster recovery sites and come to arrangements to lend their spare capacity to each other during times of exceptional demand. Furthermore, many companies are essentially already using “clouds” under the guise of Software as a Service (SaaS) or Utility Computing. It is also the case that many businesses have pre-existing investment in expensive hardware that adequately fulfils their needs and have hired support staff that cannot be readily jettisoned – in which case there may be little benefit to paying someone again for what they already have.

Perhaps more importantly, companies using cloud-based solutions are a little less in control of their own destiny. They suddenly have to rely on some third party for mission-critical services: which they could botch and cause severe damage to the service-consumer’s company. The service provided may be less tailored than a bespoke in-house solution and prices could rapidly go up when contracts expired if the business has become obviously dependent on a cloud provider’s services. Worse still the cloud-provider could go out of business leaving service-consumer unable to meet their customer needs and therefore sure to follow in its footsteps.

Like so many “revolutionary new technologies” cloud-based computing is sold to us a panacea that will cure a multitude of ills – but upon closer inspection it’s neither as “new” or “revolutionary” as its proponents would have us believe. It’s clear that for SME’s cloud-based computing can help to remove some of the barriers to entry that will enable them to compete with larger rivals and it can help to de-risk the operations of businesses of all sizes. However, for more established players, with steady demand the benefits may be less pronounced and CTO’s are likely to prefer the devil they know than the novel ones that lurk within the clouds. Essentially this is analogous to the outsourcing of operations that is so common in the CRM sphere – and boils down to a decision on what direction the company wants to move in strategically. Would they rather virtualise their organization, focusing only on their core competencies or vertically integrate, controlling as much of the value-adding activities as possible.

It may still start raining CRM – but that doesn’t mean that everyone needs to get wet.