Customer Orientation and Customer Focus

Organization’s Most Important Jobs

  • Finding the customers
  • Retaining the Customer

How Do You Achieve?

  • Excellent quality
  • Excellent cost (price)
  • Excellent delivery
  • Excellent service and relations

Hierarchy of Customer Satisfaction Levels

Journey from "customer satisfaction" to "customer delight" through speedily climbing the steps of satisfaction ladder:

  • Step 1: Unbelievable (low) satisfaction level
  • Step 2: Basic satisfaction level
  • Step 3: Expected satisfaction level
  • Step 4: Desired satisfaction level
  • Step 5: Surprising satisfaction level
  • Step 6: Unbelievable (high) satisfaction level

Key To improving Customer Satisfaction Levels

Continuous improvements in:

  • Quality
  • Cost (Price)
  • Delivery
  • Service and relations

Customer Satisfaction is Vital

  • Satisfied customers recommend the organization that gave them satisfaction to about 8 to 9 people.
  • On the other hand, dissatisfied customers give a bad word of mouth publicity to about 19 to 20 people.

Profit and Customer Orientation: Profit Spiral

  • Satisfied customers means retained customers.
  • Continued orders and possibly more orders.
  • So, more value of orders.
  • Price remaining the same, more profits.
  • Continuous reduction of overall costs increase the margins.
  • Therefore, still more profits.
  • Price can now be a lever, can be reduced.
  • Possibly resulting in more sales volumes.
  • Still more profits.

Finally, Customer is the King (as told by M K Gandhi)

A customer is the most important visitor on our premises.
He is not interrupting on our work.
He is the purpose of it.
He is not outsider to our business.
He is a part of it.
We are not doing a favor by serving him.
He is doing us a favor by giving us opportunity to do so.

For More Guidance, Assistance, Training and Consultation

Contact: prodcons@prodcons.com

Originally posted at http://customer-orientation.blogspot.com/ Thursday, December 4, 2008

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About Shyam Bhatawdekar

35 years’ industrial/business experience as a top executive & 35 years’ parallel academic/consultancy experience in general management, behavioral sciences & technology. Areas: general management, production, human resources, industrial engineering, systems, MIS, computers, corporate planning, audit, sales/marketing. Penchant for information technology & behavioral sciences; integrated with conventional technology makes him unique thought leader. Conversant with academic theories & realities of business, fuses the two into practical approaches. Was associated with Tata Motors, Hindustan Motors, Hindustan Aeronautics & ThyssenKrupp; held top positions as highflier executive. Presently Chairman & Managing Director, Prodcons Group associating with 250 organizations; providing management & I T consultations & conducting seminars/workshops. Been a faculty for IIM’s, TMTC, Railway & HAL Staff Colleges, Symbiosis. Speaker with 35000 hours’ experience benefitting more than 100,000 people. Published 35 articles in Economic Times, Indian Management & Computers Today. Authored two books. Invited as key speaker in seminars by AIMA, HRD Network, NIPM, QCFI, CSI, NPC. Widely traveled. Education: Engineering & Management.
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8 Responses to Customer Orientation and Customer Focus

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