July/August 2003

Whatever Happened to Customer Service?
Why Good Training Isn't Good Enough

Stop anyone on the street and ask about the state of customer service in America. Most people will say it has deteriorated vastly. In fact, as you read this paragraph, several of your own experiences probably come to mind.

Sadly, stories of ignored and poorly treated customers abound. Yet most company mission statements include a reference to treating customers right. These same businesses also spend a significant amount of time, effort and money on customer service training as evidenced by the fact that customer service skills are among the top subjects taught by corporate trainers.

So if corporate management purports that customers are king, why is customer service so bad? Consider the following scenarios that often lead to poor customer service (note: if your company does not have a department dedicated to customer service, the following information relates to whoever interfaces with customers needing support or service):

Focus on Sales
While customer service may be included in the mission statement of almost every company in the world, it is the sales department that gets most of the attention. A lot of money is poured into recruiting, training and reward programs for sales employees. Don't get me wrong. I have nothing against recruiting and retaining and rewarding valuable employees who sell products and services. What does concern me, however, is that it seems so many companies work really hard to bring customers through the door and then ignore them. Statistics show that 68% of customers who leave a vendor do so because of poor service. That means that the sales person who received compensation for closing the deal has to start all over - just for the company to break even. And those replacement sales will more than likely be financially rewarded. So where is the good business sense in that equation?

But consider this: Since service is as important to customers as sales, why aren't our service employees treated more like salespeople with similar recruiting and reward systems? Imagine what such a paradigm shift could do for your company.

Training
While salespeople and managers still get most of the training, customer service training runs a close second. Millions of dollars are spent on customer service training in the United States alone. So again the question: Why isn't customer service better? One reason is that many companies are training the wrong skills. In traditional customer service training, many organizations give employees specific things to say and do such as "answer the phone on the first ring," "put a smile in your voice" and "call the customer by name."

The reality is most customers don't care what you call them. Customers care that you care. We are so busy teaching our employees how to act like they care that we have forgotten to make sure that they do care.

That is why I believe the traditional approach to customer service training is backwards. Companies should recruit people who like to work with others and solve problems and then give employees tools and reward systems that support outstanding efforts. Add in a little on-the-job coaching or specific skills training to fine tune employees' customer relationship skills, and an outstanding customer service department is born.

Recruiting
Customer service representatives are required to listen to the problems of the world, to remain cheerful with each caller, to solve problems efficiently and to cut off a conversation tactfully. Although these are special skills and talents that not all people possess, rarely are customer service employees interviewed to determine a genuine love for people nor are they recruited for their problem solving skills. Instead, many customer service departments are staffed by entry-level employees or people who transfer from other departments where they were not happy. Clearly this is not a recipe for putting a company's best foot forward.

So if we really believe in the importance of customer service, let's start treating those who work with our customers like they are important. Let's recruit them for the special skills required to do the job well and treat them like the professionals they are.

Retention/Reward
If we classify customer service representatives as professionals, we need to implement programs for rewarding and retaining star customer service employees just as we would with any other professional group. We need to reward those people who go out of their way to help customers, and those who do not perform to company standards must be held accountable.

Systems
Company policies and procedures are often the cause of poor customer service. If serving customers is truly part of a company's vision, all policies and procedures must be examined to ensure that customers' needs are supported.

For example, many companies reward customer service personnel based upon the number of calls they complete, rather than creating incentives based upon the satisfaction levels of the customers who receive support. Similarly, it is common for a company to require several levels of approval to give some small concession to the customer. Both of these procedures will cause customer service to erode in favor of meeting company expectations. When developing systems and procedures, remember that each policy or system should support your customer service goals.

The Bottom Line
While a company's customer service programs must come from the top, it takes a company-wide effort to make great customer service a reality. So if your company's customer satisfaction levels are not where you'd like them to be, take some time to evaluate customer service misalignments like the ones described above and make adjustments as necessary. Your customers will thank you.
 

Written by Christy Schmidt, president of Miller-Schmidt & Associates, The Beacon delivers timely and actionable editorial dealing with the challenges and issues business leaders face each day.

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