How can HR help a company to create delighted customers?

Transcription

1 How can HR help a company to create delighted customers? Michael Ollitervo-Murphy 12 th April 2013

2 The headlines What is customer experience? Why does it matter? Who does it well? What are the foundations? HR's role in driving customer satisfaction Barriers for HR What metrics to focus on Conclusion Michael Ollitervo-Murphy 2

3 What is Customer Experience? Customer experience (CX) is the sum of all experiences a customer has with a supplier of goods or services, over the duration of their relationship with that supplier. From awareness, discovery, attraction, interaction, purchase, use, cultivation and advocacy. It can also be used to mean an individual experience over one transaction; the distinction is usually clear in context. Find You Sign You Up Get You Onboard Sort You Out Retain & Grow Marketing Sales Service Service Sales Michael Ollitervo-Murphy 3

4 What do values & brand have to do with it? Michael Ollitervo-Murphy 4

5 What is Virgin is famous for? Being the Consumers Champion Value for money Good quality Brilliant customer service Innovative Competitively challenging Fun

6 For us, our employees matter most. It just seems common sense to me that, if you start off with a happy, well-motivated workforce, you re much more likely to have happy customers. And in due course the resulting profits will make your shareholders happy. Richard Branson

7 Why does it matter? Michael Ollitervo-Murphy 7

8 Who does it well? Business that link their brand to their product Businesses that value their customers opinions Businesses that deliver a consistent experience Businesses that offer something more than the competitors Businesses that love their staff as much as their customers Michael Ollitervo-Murphy 8

9 Case Study 1: Virgin Trains State owned railway that was privatised Heavily unionised Low staff morale Complex regulations (H&S, WTD, etc.) Very poor customer focus 9

10 Case Study 1: Virgin Trains Core initiatives to re-engage staff Reward and recognition based on what staff want Celebrating people customers & staff Uniting around one or two simple measures: On time performance NPS (Net Promoter Score) Specific (line) manager development rolled out over two years Introduction of benchmarking beyond the rail industry Realisation that the competition was the car, not other railways! Upgrading of facilities (stations, train carriages, parking at stations) Monthly What the Customer Says review, involving all senior management Michael Ollitervo-Murphy 10

11 Case Study 1: Virgin Trains Outcomes of people engagement: Doubling of passengers on core London Scotland routes Voted Best UK Domestic Rail Operator by Business Traveller magazine for the six years in succession Highest rating for all long-distance franchise operators (91% satisfaction) rated by the independent railways regulator 94% satisfaction score with Passenger Focus (rail watchdog) Re-awarded the rail franchise by UK government following petition to government by over 200,000 travellers Received Investors in People Gold award Virgin Trains spurs people on to perform beyond expectations and offer to help out when there are challenges. Almost without exception people regard the organisation as a great place to work. Investors in People independent assessor

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13 What are the foundations? Michael Ollitervo-Murphy 13

14 Brilliant Customer Service DNA To delight our customers with brilliant customer service, we need Customer Experience Customer People To do this, we take the best practice approach and add a touch of Virgin flair and wow moments 14

15 Case Study 2: Virgin Atlantic Customer satisfaction scores at 90% or above Customer complaints centred around inconsistent experience Some flights felt better than others On-board experience was different to airport experience HQ staff disconnected from the crew working on planes & in airports International barriers faced by a UK-centric HQ Driving need to continue to innovate in CX Michael Ollitervo-Murphy 15

16 Case Study 2: Virgin Atlantic Brilliant Basics, Magic Touches: Everyday Pioneers Kick-off event focused on customer facing staff Rolled out across all in-house staff Extended to partners Drove a series of customer focused measures for each team Linked to sales and marketing drives Revisited with manager 1 year on to reinvigorate programme Stop thinking of going to work in the morning and ask yourself, what are you going to learn today? Michael Ollitervo-Murphy 16

17 Case Study 2: Virgin Atlantic Increased L&D spend by 14% year on year Drove a new internal comms function Created a team of service design people using staff feedback Stronger connections & bonds across the organisation Cross functional Cross border 25% drop in the number of customer complaints about cabin crew proving customer service can always be improved - Virgin Atlantic moved from 6th to 1st place in their key external benchmark measure, the Global Airline Performance Index Customer satisfaction increased from satisfied into very satisfied Michael Ollitervo-Murphy 17

18 Michael Ollitervo-Murphy 18

19 HR's roles in customer satisfaction Champion the voice of the employee Objective & subjective measures Take an interest in the voice of the customer Link employee satisfaction to customer satisfaction Drive a two-way communications approach not just top down internal communications Address hygiene factors quickly Get the basic right and keep on top of them Michael Ollitervo-Murphy 19

20 Once the foundations are in place Link the recruiting, L&D and staff on-boarding process to the company values & behaviours Map the employee journey Measure the factors that drive employee churn Start a conversation with customers! Michael Ollitervo-Murphy 20

21 Barriers for HR Cost CEO / management buy-in Bad management styles Lack of leadership Ill-defined customer experience Lack of success measures Michael Ollitervo-Murphy 21

22 What metrics to focus on Employee satisfaction, linked to customer satisfaction trends Particular focus should be placed on on-boarding Likelihood to recommend the employer Employee engagement versus customer engagement Tenure Hygiene factors Especially line manager tasks, such as 1-2-1s, appraisals Michael Ollitervo-Murphy 22

23 Social Media for Gen Y Michael Ollitervo-Murphy 23

24 Listen to your customers Respect your customers Love our People Keep It up!

25 Michael Ollitervo-Murphy 25

26 Thank you for listening! Michael Ollitervo-Murphy Linkedin: uk.linkedin.com/in/ollitervomurphy