CustomerSatisfactionCompetencyCenterCustomerComplaintManagementCustomercomplaintsdon’tneedtobeanentirelynegativeimpactoncustomersatisfaction.Somecompaniesareturningthesituationaroundtoshowhowresponsivetheycanbetocustomers.Theyaccomplishthisby:A.Keepingthecustomerawaretheyareactivelyworkingtoresolvethecomplaint,B.Trackingthecomplaintacrossorganizationalboundariestopreventthecomplaint,andthecustomerfromfallingthroughtheorganizationalcracks,C.Trackingthetimeittakestoresolvethecomplaintandcontinuouslytryingtoimproveonthattimeand,D.Feedingthecomplaintsintoprocessimprovementtofindtherootcauseandpreventitfromhappeningagain.Atitsbest,acustomercomplaintmanagementprocesscaneffect“realtimeservicerecovery”.Thefollowingstoryillustratesthisconcept:AfriendrecentlytookaskivacationatanexclusiveresortinthewesternU.S.Atthisresort,allguestarerequiredtotakelessons.Heisa“blackdiamond”skierandwasdisappointedwiththeslowpaceofhisfirstlesson.Whileeatinglunch,thewaiteraskedhowhisvacationwasgoingandhegrumbledsomethingabouthislesson.Laterthatdayagentlemanintroducedhimselfastheheadoftheskischoolandannouncedhewastheretocorrecttheproblem.Itseemsallemployees,includingthewaiter,arerequiredtofilloutacardonanydissatisfiedcustomer.At3:00eachdaythecardsarecollectedbythegeneralmanagerwhothendolesthemouttothesectionmanagersforcorrectiveaction.Thenextdaymyfriendwasassignedtoaclassheadedbyanex-drillinstructorfortheTenthMountainDivision.Hehasyettorecoverfromtheexperience!Suchtimelyresolutionofcustomerproblemscanhaveasignificantimpactonthebottomline.ResearchconductedbytheTARPgroupfoundthat95%ofcustomerswhoencounteraminorproblemwillrepurchaseifthecomplaintisresolvedspeedily.Iftheresolutiontimetakesevenalittletime,therepeatratedropsto70%.Bygatheringfeedbackateverypointofcontactwiththecustomer,companiesarebeginningtogaincontinuousfeedbackoncustomerwantsandcompanyperformance.TheseÒlearningloopsÓhavethepotentialtoprovideimmediatefeedback-firsttothelineemployees,whocaneffectchange;thentothefirstlevelofmanagement,whocanfollow-upwiththecustomer;thentothequalitygroups,whocanseekoutandcorrectrootcauses;andthentobusinessunitandcorporatemanagement,whocanmanageresourcesandsetdirection.GatherFeedbackAtEveryCustomerContact3.Corporate2.Group1.LineCustomerResponseTimeDirectionSettingContinuousImprovementChangeAgents©1995ArthurAndersen&Co.S.C.,Allrightsreserved.Page1CustomerSatisfactionMeasurementImplementingComplaintManagementXeroxwasina"stateofemergency"in1985whenitsshareoftheU.S.copiermachinemarketfelltoahistoriclowof8.5%.Inresponse,thecompanyunderwentamajortransformation"fromacompanythatcouldn'tgiveadamnaboutitscustomerstoonethatisobsessedwiththem."Afterthreeyearsofimprovementefforts,Xeroxtookstockofitsqualityprogram.Theyfoundthatthecurrentprogramwasprimarilyfocusedonequipmentandserviceanddidnotaddresssalesandadministration.Moreover,theirprogramwasinternallyfocusedonsolvingrootproblems.Nowthatisnotbadbuttheyfoundtheyneededtoinsurethatcurrentcomplaintsbycustomerswerebeingresolved.Theirapproachinvolvedthedevelopmentofacustomercomplaintmanagementprocess.·Focalpointiscustomerrelationsgroupin65districtswith200employees·Developedanonline-interactivecustomercomplaintmanagementsystem.·Goaloftheprocessistoresolve95%ofcustomercomplaintswithin2daysThecomplaintmanagementprocessservesasafrontendtothequalitymanagementprocess,feed...