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Customer centric and market driven approach

Customer focus is, at best, only one element of the relationship between a Company and its customers. At worst it is a board-room buzzword, witch Makes every board member feel a little more secure. Not unlike the phrase Working towards equal opportunities, it is showing an awareness of a need But is not addressing the issues. Customer focus must lead to something Meaningful, will probably require sacrifices and is just one of the steps Necessary to become truly customer-centric. A customer focus puts your Customers high on your list of priorities. When you put your customers into The heart of your business, make customers part of the culture, then you to Become customer-centric.

Generic overview
The Customer Management Framework
In forte and the company's customer management team developed the Customer Management Framework (CMF) - a set of tools and methodologies that our client's businesses could use to develop customer segment strategies. The key steps of this collaboration:

A customer proposition model was developed to help the company's business define its future customer value proposition. The key inputs to this are customers' needs and priorities, how these are being met currently by competitors and the company's current offerings. Together, these help define the customer value proposition needed to help acquire, grow and retain profitable customer relationships in the future.

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The next step, prioritize which activities are most critical and how well they need to be performed. This is achieved by using the Activity System Model, which defines the key activities within marketing, sales and service and describes different maturity levels for each activity to reflect increasing levels of capability maturity.

To ensure effective performance management, the final component of the CMF covers customer metrics that define: how the major outcomes of customer acquisition, growth, retention and profitability should be measured; the key strategic drivers of these outcomes and how they should be measured; and the detailed metrics to monitor performance of each underlying activity.

Following the development of the CMF, in forte supported the company's customer management team in deploying the CMF customer-facing businesses, where it has been warmly received as a means of structuring and stretching their thinking about customer management.

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Dealing with customer-centric issues as seen in the international company hp


An ideal customer-centric assurance solution should address the heart of the CEM process covering: detecting quality of experience problems, identifying them and their root cause, facilitating their resolution and ensuring ongoing preventative measures. Too often, CEM only focuses on customer experience problems communicated into CRM and does not address the areas of identification and resolution. HP has examined current processes and tools in OSS and identified three key areas for improvement: 1. Problem correlation and root-cause analysis quickly identifying a network resource problem and understanding its impact on services is the first step toward ensuring an optimized customer experience. Unfortunately existing approaches often fail to keep up with change, are difficult to maintain, and fail to address cross-technology problems. A radically different approach is required where the network structure is captured in a dynamic topology model that accurately reproduces the behavior of the real network. 2. Integration across resource and service layers Silo organizations processes and applications prevent the move to customer-centric operations. The lack of consolidation across multiple network domains and equipment vendors may be addressed by a manager of managers approach. But more often, there is a lack of integration across vertical layers. Consolidating the resource and service management layers allows for linking network with service operations and enables efficient problem detection as well as identification and resolution, resulting in increased overall operations efficiency.

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End-to-end service quality management A comprehensive customer-centric assurance solution must measure the customer experience by collecting metrics through passive probes, active probes and usage data. But being able to detect a customer experience problem is not sufficient. The solution must also correlate these metrics with other data sources, such as transaction and session statistics, network and services data, along with business-related data, in order to also identify and resolve the customer problem.

Put your best customers in the center of your universe, and theyll show you where to focus. Anywhere from product development, marketing and sales to operations. Thats the beauty of Customer-Driven Business Performance. It helps you identify and prioritize opportunities for revenue growth and improved margins. Then we apply the strategies, ideas and tactics to get it done.

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Market-driven approach
The concept of "market-driven management" is practiced with great success by many of the world's leading corporations. But, it is a concept that is equally relevant to small business as well. Market-driven management is a cross-functional effort involving all levels of a large organization and all members of the small-business team. It is aimed at ensuring that all activities of the small-business team are coordinated to meet specific needs of targeted customer groups. With its focus on the five "Cs"--customers, competitors, capabilities, costs and crossfunctional efforts--it involves all aspects of the small business in reacting to the market that is being served. Small-business operators know their customers on a personal basis. They also must come to know all that they can about competitive activity and their own cost structure. This knowledge, plus a good grasp of the individual and team capabilities, will ensure a proper match of response to both customer needs and competitive activity. The small-business operator must react to the same four competitive forces that large corporations face: rivalry among existing firms, bargaining power of suppliers, bargaining power of buyers, and the threat of substitute products or services. By instilling a market-driven culture, a small-business operator can ensure that all activities of the business are coordinated to meet the specific needs of targeted customer groups. The successful implementation of a market-driven approach to business will result in focus on liquidity as an important objective for the small business and in productivity gains per dollar of capital and per employee.

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How does it work?

Market-driven thinking in a cross-functional team atmosphere will overcome these blocks. There will be a focus on the real facts about markets and about the competitive position of the business. By continually encouraging innovation and an entrepreneurial spirit, the small-business operator will overcome any tendency for the business to become bureaucratic and resistant to change. Small-business operators who focus on a market-driven approach to their business will: Not view their markets too broadly; Stay close to their customers; Not allow existing products and processes to dominate their thinking and actions; Seek to know all there is to know about competitors and will not make sweeping generalizations about them; Keep their team focused and not allow independent operation of key functions; and Concentrate on understanding their markets, their costs and the selling process.

Market-driven management crosses functional boundaries; it takes the effort and involvement of all individuals within the business and it builds on the excitement and entrepreneurial fervor that are hallmarks of the small-business operator. It is not just for Wal-Mart and GE--it works for small business as well!

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How to implement market-driven approach


When developing marketing and communications plans and tactics, applying the "Six C's" of market driven companies is a key to the success of programs for all business to business companies. Advertising, public relations, email marketing, branding strategy, trade shows, and internet marketing strategies will be more effective if the needs of the customer and market segment are researched and understood, both by the business and the agency. This knowledge drives the creation and implementation of the most successful marketing programs. There are significant contrasts between a market driven company and an inside out approach to business, much as there are contrasts between an agency that is market driven (external focus) or creatively driven (internal focus). Many business and agency managers are internally focused and could achieve a better understanding of their customers and markets by implementing the "Six C's" approach. 1. Customer Segment: To be market driven, thinking and actions begin with an understanding of customer market segments, their requirements, and unmet and emerging needs 2. Competition: Market driven B2B companies study the products, services and performance of their competitors to determine their strengths and weaknesses 3. Capabilities: Market driven organizations actively evaluate their technologies and capabilities in light of changing market conditions. They quickly adapt (before their competitors) products and services to meet the needs of the target market segments. 4. Cost: To be market driven companies must constantly strive to improve costs and efficiency and increase value to their customers and shareholders 5. Continual Improvement: By constantly learning and seeking to improve in all operational areas, market driven companies improve customer value, response time, productivity and also their own profitability 6. Cross-Functional Teams: Utilizing cross functional teams with responsibility to implement business plans leads to better decisions, response, and service to the target markets

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Similarities between Customer-Centric & Market-Driven Concept:


According to the research and the above information or knowledge, there are some similarities between these two concepts. These are as follows: Delivering value to customer is the primary objective. The importance of putting the customer first is the view of market-driven and customer-centric approach.

The organization should have a flexible organic structure that can quickly respond
to customers changing needs as well as all personnel are skilled in managing interpersonal relationships.

The culture should reward behavior for delivering value to customer and
improving customer service. They know their customers and thoroughly understand their value as well as current and emerging needs of customers in its chosen market segments.

Strategies should focus on market segments and customers, for example, voice
of the customer strategy. According to both concepts, customers are the profits of business in order to deliver customer value and satisfy them. Both the concepts focus on customer satisfaction and put the customer first in every aspect of the organization.

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Executive summary
By all this means of information i have provided i would like myself to conclude by saying that each of these companies accepting customer-centric or market-driven approach are one in the same and what they have to focus mainly is to see what form of profit they would like to earn in return of lieu the form they accept to approach. I believe that this would prove my part that the managers working in this field will be able to compensate and strive hard forward in the method they have adopted. And i also expect that this form of approach would result in high sales turnover and a goodwill appraisal for any business enterprise.

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References

www.avanco.com/n/bi_approach.html http://www.businessdictionary.com/definition/customer-centric.html http://www.businessdictionary.com/definition/market-driven.html http://www.businessinberkshire.co.uk/threestep/news2.html http://www.businessweek.com http://www.bnet.com http://www.softnetsolutions.com/cca.pdf http://www.wdbarrett.com/samples/marketdrivenorg.pdf http://www.yourdictionary.com/business/customer-centric

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