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Measuring
Service
Experience

A BETTER APPROACH TO MEASURE SERVICE PERFORMANCE Anna van der Togt, Daniel Letts,
Marzia Arico, Wim Rampen, Liz LeBlanc CX MANAGEMENT TOOLS: A SERVICE DESIGNER'S
BEST FRIEND Joris Hens, Kaspar Kazil TRACKING DESIGN FROM OFFERINGS TO STRATEGY
Tua Bjorklund, Pia Hannukainen
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f ro m t h e e d i t o r s

Measuring Service Experience

“You cannot manage what you cannot measure... and what gets measured Jesse Grimes is Editor-in-Chief
of Touchpoint and has fourteen
gets done.” So goes the old adage attributed in different forms to several
years of experience as a service
management gurus. And it’s one that presents a perennial challenge for service designer and consultant. He
designers; how does one really measure something as amorphous as ‘experience’? is an independent practitioner,
trainer and coach, based in
By their very nature, service experiences are difficult to quantify.
Amsterdam and working inter-
Spread chronologically over time, and distributed across multiple nationally. Jesse is also Senior
touchpoints, that holistic understanding of how a customer or end user Vice President of the Service
Design Network and Head of
truly experienced a service is difficult to come by. And it’s even more of Training for the SDN Academy.
a challenge to communicate that understanding in hard metrics. While some
measurements such as NPS are sharp and easily quantifiable, they draw Giuseppe Chiorazzo is Global
Digital Communications and
plenty of criticism from those who say they radically oversimplify things. Web Leader at ABB Motion.
With service designers more and more being asked to report their success He works on digitalisation
strategies and execution road­
in a way familiar to top management - such as numbers that fit neatly in a
maps, and he is an advocate
dashboard - we’re faced with a difficult challenge. Furthermore, building a case for customer centricity.
for far-reaching service improvements also calls for hard metrics: What can
Damian Kernahan, Project
we measure and track over time to see if the investments made were worth it? Director and CEO, founded
This topic of measurements and metrics in the world of service design Proto in 2008 to help large
is the focus of this issue of Touchpoint, and contained in the following organisations truly understand
their customers so they can
pages are what I hope to be many new ways for you as a service designer deliver outstanding service
to address these questions. solutions and experiences.
Looking further ahead into 2022, the SDN is pleased to announce the
Peter Merholz is an independent
long-awaited return of our traditional Global Conference, to be held this consultant and author focused
year in Copenhagen. While we will be introducing a hybrid format that allows on the organisation design
of design organisations.
remote participation, the ability to reconvene as a community - face-to-
face - is something I’m sure many of us are looking forward to. Watch our Ekaterina Panina is a doctoral
social media for all the latest SDGC22 news, and I hope to see you there. researcher in Marketing at the
University of Turku, Finland. She
studies CX management in B2B
firms, focusing on the strategic
use of target experiences.

Dr. Vidya Priya Rao is founder of


Innovatus Marketers Touchpoint
LLP and Accredited Service
Design Master. She helps
companies harness their power
Jesse Grimes of innovation by breaking out
of their comfort zones and
embracing the ‘what ifs’.

Birgit Mager, publisher of


Touchpoint, is professor for ser-
vice design at Köln International
School of Design (KISD), Cologne,
Germany. She is founder and di-
rector of sedes research at KISD
and is co-founder and President
of the Service Design Network.

Touchpoint 13-1 3
22

6
34 Measuring for Sustainability:
Friend or Foe?
14 FEATURE: Shreya Dhawan, Leah Berg
MEASURING SERVICE
EXPERIENCE 39 A Data-driven Service
Blueprint to Get Things
16 Time for a Holistic Way of Done
Measuring Experience? Gea Sasso, Sonia Balduzzi,
Veronica Naguib Sara Bellini
2 IMPRINT
22 From Touchpoints 42 Experiences that Count
3 FROM THE EDITORS
to Datapoints Titta Jylkäs, Sérgio Tavares
6 NEWS Suhaib Aslam, Sander
Bogers, Sietze van de Star 46 A Better Approach to
10 CROSS-DISCIPLINE Measure Service
28 The Multi-Factor Framework Performance
10 Measuring Service for Evaluating Service Design Anna van der Togt, Daniel
Design Impact Danyang Wang, Wei-An Letts, Marzia Aricò, Wim
Milla Mäkinen Hsieh, Hsien-Hui Tang Rampen, Liz LeBlanc

4 Touchpoint 13-1
c ontents

56

68 TOOLS AND METHODS


72
70 Applying a Data-driven
Approach to Qualify a
Persona Service Strategy
Aron Krause Litvin, Ana
Maria Copetti Maccagnan

74 Addressing the Information


Gap in Maternal Care
50 Surfacing and Measuring Ekta Jafri, Priyanka Pillai,
the Whole Aaina Amin, Nisha Rangdal,
92 PROFILES
Tom Foster, Luke Watson Poorvi Mathur, Ishani Sathe
92 Service Design in Japan
56 CX Management Tools: 80 Applying Service Design to
A chat with with Taro
A Service Designer’s Academic Processes
Akabane and Atsushi
Best Friend Manahil Huda Hasegawa
Joris Hens, Kaspar Kazil
86 Tracking Design from
96 INSIDE SDN
62 The Future of Measuring Offerings to Strategy
Service Experience Tua Björklund, Pia 96 Socjomania receives
Dr. Vidya Priya Rao Hannukainen Organisational Accreditation

Touchpoint 13-1 5
A Better Approach to
Measure Service Performance
Creating tools for long-term, informed decision-making

Ever since the idea of great customer experience entered


the minds of business leaders, they have been pushing their
organisations to measure it. Organisations of all stripes invested
heavily in the tools and skills to truly understand the experience
of customers using their services. To do so, they relied on survey-
based CX measures such as Net Promoter Score (NPS) or the
Customer Effort Score (CES).

The trouble is, these measures might motivations, and connect to business and
gauge general customer sentiment, operational measurements, such as costs
but they don’t enable organisations to or efficiency. Preferably, an approach
Anna van der Togt is a senior
act. They are too generic to identify that can easily be scaled for a consistent
service designer, specialised in precisely where customers feel things and transparent way of monitoring
supporting corporate clients are going wrong, are often based on low service performance — unlocking an
with customer-centric &
circular transformations. response rates1, and lack a clear link to organisation-wide practice of informed
Daniel Letts is Service Design
operational factors or desired business prioritisation of tactical and strategic
lead & Customer Ex­perience outcomes, making it difficult to prioritise efforts. In short, an approach that allows
Consultant and certified improvements. service performance measurements to be
Agile Scrum Master.
Companies need a new approach to a decision-making tool.
Marzia Aricò is Design
Director at Livework, she is measuring services; one that is more In this article, we’ll present a new
specialised in organisational precise and comprehensive and is linked methodology for measuring service
transformation by design.
to specific journey steps across the performance that addresses the short-
Wim Rampen is Managing customer lifecycle. It should be grounded comings of the CX measurement prac-
Director of Livework
Rotterdam and a seasoned in deep insights into customer needs and tices that are most commonly used today.
CX management expert We have co-developed this methodology
in service industries.
Liz LeBlanc is a lead
with several large clients in the bank-
ing, energy and retail sectors. We will
service designer with
1 McKinsey & Company. (2021, July 12). Prediction: showcase examples of the method that
extensive experience in
The future of CX. McKinsey & Company.
leading customer-centric bring clarity to how it can inform decision-
transformation projects Retrieved January 14, 2022, from https://www.
for a wide variety of mckinsey.com/business-functions/marketing-and- making and lead to bottom-line business
clients & industries. sales/our-insights/prediction-the-future-of-cx results. We end with insights on how to

46 Touchpoint 13-1
m e a s u ri n g s e r v i c e e x p e ri e n c e

A set of metrics that covers across the entire customer journey and from three perspectives

Phases Unaware Aware Interested Buy Setup Early use Use Incident Change Reconsider Leave

Client metric 1 C. metric 4


Client Client metric 2 Client metric 5
metrics
Client metric 3 Client metric 6

Business metric 1 Business metric 3


Business
Business metric 2 Business metric 5
metrics
Business metric 4

Ops/Org metric 1
Ops/org
Ops/Org metric 2 Ops/Org metric 4
metrics
Ops/Org metric 3 O./O. metric 5 O./O. metric 6 Ops/Org metric 7

“To-be” from start-to-end and front-to-back

get started, including concrete tips to introduce ‘service From start to end
performance views’ into the decision-making process. First, organisations map out their customer journey.
The benefits delivered by this methodology come As a service unfolds over time and primarily focuses
neither quick nor easy. The robust and scalable pro- on serving customers, the methodology starts with
cess is designed to set up performance measures for them. This start-to-end view of the steps customers go
the long term, relying on collaboration and input from through to meet their needs serves as the foundational
various teams across the organisation. However, the grid to structure service performance metrics. Creating
advantages of putting in the work will be substantial. comprehensive data sets that span full journeys allows
It enables comparison to historical data and analys- organisations to map and track performance across
ing service performance trends across the board. As interactions, touchpoints and channels, and sheds
customer expectations change, measures adapt to meet light on the root causes of performance. Each journey
those new needs without losing the ability to compare is mapped along the higher-level customer lifecycle to
to previous experiences. It’s work, but it’s worth it. provide a high-level overview of the full service ecology.

Customer, business and operation in one holistic Understanding front-to-back


overview Secondly, organisations set out to gain a deep under-
A service offered to a customer is the sum of the parts standing of needs across their journeys. This is done
offered by an organisation. That means organisations through deep qualitative research on customer needs,
need a holistic view of what constitutes a good service wishes and desired outcomes across the journey, but also
(both in the eyes of the customer and the business) and includes rigorous introspection. For organisations to a.)
what is required to deliver it (the operational story). understand what is needed operationally to deliver the
While the exact approach may vary across organisa- customer experience effectively, and b.) know which
tions, this methodology consists of three key elements: factors drive profitability, means that they can finally

Touchpoint 13-1 47
connect customer value to business and operational how these metrics are defined. These may include
measurements, such as cost or efficiency. the unit of measure, the measurement scale, the
optimisation direction and the availability of the data.
Translating outcomes to signals and metrics A toolset consisting of templates, explanatory
The three types of needs are formulated as outcomes decks and examples helps guide the methodology,
across the journey and translated to lower-level signals: resulting in ‘service performance views’ both per
indicators that lead to an understanding of whether customer journey, as well as an ‘aggregated-up’, high-
the service system is delivering on the outcomes. The level view across the entire customer lifecycle.
customer outcome "I want to better understand the
conditions to the acceptance of this contract" could Result: actionable service performance views
translate to multiple signals such as "The customer This new approach to measuring services is both more
doesn't ask front office for an explanation" or "The comprehensive and more precise. Comprehensive
customer doesn't take long to get back to us with because it results in a dashboard-like overview showing
a signed contract". These signals are then further the high-level performance across the customer
refined into metrics which are tracked over time. To lifecycle of all services an organisation provides. And
continue with the example mentioned before, a metric precise because this high-level overview links these
tied to the first signal could be "The monthly number measures to those at customer journey level, providing
of emails/calls asking for contract explanation". The the granularity needed to pinpoint which factors are
methodology imposes a number of requirements on driving performance at which point of each service.

Shortcomings of traditional CX measures New methodology's answers

Narrow focus on attitudes – only measures what people Combining attitudinal and behavioural data – incorporates both
think of the general experience (in hindsight) people's attitudes and their behaviour (e.g. how long does it take
them to do something)

Just one or two general measures for the entire service – Precise and comprehensive set of measures – links measures to
assess general customer sentiment or a (part of a) service specific journey steps across the customer lifecycle

Survey fatigue and low response rates – heavy reliance on Leveraging non-survey based data – takes advantage of data gathered
surveying customers on every interaction, causing survey from internal systems and processes, measuring the customer's moves
fatigue and skewing results due to low response rates

Business metrics in customer disguise - current Explicitly measures from three perspectives - the customers'
customer metrics are actually company centric asking viewpoint, the business' viewpoint and the organisational viewpoint
for likeliness to promote or buy again rather than qualities are made explicit based on deep qualitative insight
of good experience

Not actionable – data generic and not clearly linked to Informs evidence-based decision making - on the back of holistic yet
root cause of problem or to business value, difficult to granular overviews of services instrumented with quantified indicators
prioritise improvements of the factors that drive performance

Unclear link to organisational efforts – causing low Enables accountability against key outcomes and metrics –
understanding, disengagement or entire organisation to the granularity needed to pinpoint which factors are driving
claim NPS increase performance at which point of each service

No warning signals – current approaches fail to identify Day-to-day dashboards Indicating change – can link outcomes to
(early warning) signals that a service is failing internal early warning signals displayed on service management
dashboards

48 Touchpoint 13-1
m e a s u ri n g s e r v i c e e x p e ri e n c e

The measures displayed reflect the key outcomes understanding of how these factors are connected and
(high-level or journey-level) that customers, how CX improvements lead to business results.
operations and the business are looking to achieve, One US investment bank, for example, wanted to create
and can either display as ‘RAG’ status , as ranges, or a living overview of how their services were performing
as specific numbers. Each measure on the dashboard across lines of business. This overview was to inform the
can itself be interrogated to see how it has been prioritisation of initiatives, budget allocation and generally
constructed, and who is responsible for delivering it. support better decision-making. The methodology helped
them get started by creating a service ecology that could
One large utility provider wanted to improve overall hold a cohesive, outside-in view of all the bank's services
customer satisfaction, but found it hard to prioritise pain to customers. Nested below each service, the key journeys
points and identify the most impactful course of action. were detailed and enriched with qualitative customer data.
The methodology helped them to: The journeys were then turned into a decision-making
— Identify and validate the top five customer outcomes tool by equipping them with key customer, business and
across one of their key customer journeys. operational metrics, following the methodology described.
— Link these outcomes to internal early warning signals The journeys' instrumentation and their positioning
for their day-to-day service management dashboard. into a larger map of services have enabled the
These signals now serve as indicators for service organisation to give context to data. That means being
failure (or success) for service owners. able to compare services on customer, business and
— Developed new survey questions to be run operational dimensions, allowing a much more effective
continuously on a selection of customers only and prioritisation of initiatives. The bank is now able to
phased out various interaction surveys and survey know how effective and relevant the services they
questions. provide are to their customers, how much it costs to run
— Identify internal processes that significantly impact them, how much they generate in terms of revenue, and
customer outcomes and define and implement new what projects are currently in flight to improve them —
metrics to track service performance. all from one overview. This resulted in better alignment
over real priorities and reduced the duplication of effort.
Most of all, after applying it once, they understood
how to roll out this methodology across the rest of their How to get started
key customer journeys and review the desired outcomes, There is no one rule on how to start on this journey, but
signals and metrics defined periodically to keep them experience teaches that these are the key activities that
up-to-date with the ever-evolving customer needs. help support this kind of work:
— Create a shared view of what you offer to customers
Value of the service performance views from a customer perspective (not an organisational
The methodology allows leaders across organisations one). Use simple language to allow anyone in the
to create and share holistic overviews of their services organisation to understand it and relate to it.
with quantified indicators of the factors that drive — Stress test it with different parts of the organisation
performance. This creates a single shared truth, enables and introduce it to people – this is probably a view of
accountability against key outcomes and metrics, and your organisation they have never seen.
informs evidence-based decision-making on where — Pick one journey in this overview and start from
to invest to improve the service and track impact. there. The journey must be situated on the map
Another promising use of the service performance described above to explain how to scale the work.
views is how it helps to prioritise customer experience in — Involve the right people from the start, this is a
strategic roadmaps or planning. Knowing what outcomes collaborative effort.
customers value, how well the organisation is performing — Involve your stakeholders in introducing these service
against them, and connecting that performance to performance measurements into existing meetings
business and operational measurements, fosters a better where prioritisation and decision making happen.

Touchpoint 13-1 49
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