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Chapter 5

The Voice of the


Customer
By
Dr. Nezar AL-Samhi

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


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Strategic Quality Planning
The Voice of the Customer
Chapter 5

Customer Driven Quality


Customer –Relationship management
The “Gaps” approach to Service Design
Segmenting Customers and Markets
Strategic Supply Chain Alliances between Customers and suppliers
The Role of the Customer in Supply Chain
Communicating Downstream
Actively Solicited Customer-Feedback Approaches
Passively Solicited Customer-Feedback Approaches
Managing Customer Retention and Loyalty
Customer-Relationship Management Systems

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


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Strategic Quality Planning
The Voice of the Customer

The voice of the customer is defined as the


customer’s feedback about their experiences
with and expectations for your products and
services.

Customers
Internal Customers
External Customers or End Users
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.
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Strategic Quality Planning
The Voice of the Customer
Customer Driven Quality

Proactive approach to satisfying


customer needs
Gather data about customers
Provide the products and services that
satisfy the customers
The pitfalls of reactive customer-driven
quality
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.
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Strategic Quality Planning
The Voice of the Customer
Customer Driven Quality

Reactive customer-driven quality model

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


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Strategic Quality Planning
The Voice of the Customer
Customer-Relationship Management

CRM -- Customer Relationship Management


Complaint Resolution
Feedback
Guarantees
Corrective Action

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


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Strategic Quality Planning
The Voice of the Customer
The “GAPS” Approach to Service Design

Gap
The Differences between desired levels of
performance and actual levels of
performance.

Gap Analysis
The formal means for identifying and
correcting these gaps
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.
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Strategic Quality Planning
The Voice of the Customer
The “GAPS” Approach to Service Design

Service Quality
Model Gaps

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


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Strategic Quality Planning
The Voice of the Customer
The “GAPS” Approach to Service Design

Gaps Model

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


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Strategic Quality Planning
The Voice of the Customer
Segmenting Customers and Markets

To Segment Markets means to


distinguish customers or markets
according to common characteristics.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


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Strategic Quality Planning
The Voice of the Customer
Strategic Supply Chain Alliances Between Customers and Suppliers

Strategic Supply Chain Alliances Between


Customers and Suppliers

A competitive model.
Single Sourcing.
Strategic Alliances.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


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Strategic Quality Planning
The Voice of the Customer
The Role of the Customer in the Supply Chain

The goal of Supply Chain Management is


Customer Satisfaction.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


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Strategic Quality Planning
The Voice of the Customer
The Role of the Customer in the Supply Chain
Segmenting the Supply Chain to define Customers

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


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Strategic Quality Planning
The Voice of the Customer
Communicating Downstream

Customer rationalization.
Annuity relationship.
…………………………………
Active data gathering.
Passive data gathering.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


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Strategic Quality Planning
The Voice of the Customer
Actively Solicited Customer-Feedback approaches

Telephone Contact
Focus Groups
Customer Service Surveys

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


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Strategic Quality Planning
The Voice of the Customer
Actively Solicited Customer-Feedback approaches

Telephone Contact
Hard data implies that data is directly measurable, factual and
indisputable.
Soft data that has been collected from qualitative observations and
quantified.

1. Soft data
2. Biased
3. Difficult
Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.
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Strategic Quality Planning
The Voice of the Customer
Actively Solicited Customer-Feedback approaches

Focus Groups Focus Group Steps

 Address a single topic or


group of topics
 Draw individuals with
similar characteristics
and demographics

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


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Strategic Quality Planning
The Voice of the Customer
Actively Solicited Customer-Feedback approaches

Customer Service Surveys


1. Identifying customer requirements
2. Developing and validating the instrument
3. Implementing the survey.
4. Analyzing the results.

5. Analyzing the results

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


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Strategic Quality Planning
The Voice of the Customer
Passively Solicited Customer-Feedback approaches

Pizzeria Complaint Card


 Customer- initiated
contact
 Result in lower
ratings in quality
than active
collections

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


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Strategic Quality Planning
The Voice of the Customer
Passively Solicited Customer-Feedback approaches

 Customer research cards


 Customer response lines
 Web site inquiries

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


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Strategic Quality Planning
The Voice of the Customer
Managing Customer Retention and Loyalty

 Customer Retention
 Indicator of customer satisfaction
 Percentage of customers who return for
more service
 Customer Loyalty
 Instilled by offering a specialized service
not available by competitors
 Intangible aspect

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


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Strategic Quality Planning
The Voice of the Customer
CRM Systems (CRMS)

 Customer-centric activities
 Enterprise capabilities
 Customer Acquisition
 Sales management
 Customer retention and enhancement

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


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All rights reserved. No part of this publication may be reproduced, stored in a retrieval system, or
transmitted, in any form or by any means, electronic, mechanical, photocopying, recording, or
otherwise, without the prior written permission of the publisher.
Printed in the United States of America.

Copyright © 2013 Pearson Education, Inc. Publishing as Prentice Hall.


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