PROCESS CUSTOMER COMPLAINTS CANDIDATE RESOURCE & ASSESSMENT BSBCMM301A

Transcription

1 PROCESS CUSTOMER COMPLAINTS CANDIDATE RESOURCE & ASSESSMENT BSBCMM301A

2 Precision Group (Australia) Pty Ltd 44 Bergin Rd, Ferny Grove, QLD, Website: BSBCMM301A Process Customer Complaints ISBN: Copyright Notice No part of this book may be reproduced in any form or by any means, electronic or mechanical, including photocopying or recording, or by an information retrieval system without written permission from Precision Group (Australia) Pty Ltd. Legal action may be taken against any person who infringes their copyright through unauthorised copying. These terms are subject to the conditions prescribed under the Australian Copyright Act Copying for Educational Purposes The Australian Copyright Act 1968 allows 10% of this book to be copied by any educational institute for educational purposes, provided that the institute (or the body that administers it) has given a remuneration notice to the Copyright Agency Limited (CAL) under the Act. For more information, info@copyright. com.au or visit for other contact details. Disclaimer Precision Group has made a great effort to ensure that this material is free from error or omissions. However, you should conduct your own enquiries and seek professional advice before relying on any fact, statement or matter contained in this book. Precision Group (Australia) Pty Ltd is not responsible for any injury, loss or damage as a result of material included or omitted from this material. Information in this module is current at the time of publication.

3 Table of Contents 2 Legend 3 Qualification Pathways 4 Qualification Rules 5 Introduction 7 BSBCMM301A/01 Respond to Complaints Key Points Process customer complaints using effective communication in accordance with organisational procedures established under organisational policies, legislation or codes of practice Obtain, document and review necessary reports relating to customer complaints Make decisions about customer complaints, taking into account applicable legislation, organisational policies and codes Negotiate resolution of the complaint and obtain agreement where possible Maintain a register of complaints / disputes Inform customer of the outcome of the investigation 17 True or False Quiz 19 BSBCMM301A/02 Refer Complaints Key Points Identify complaints that require referral to other personnel or external bodies Make referrals to appropriate personnel for follow-up in accordance with individual level of responsibility Forward all documents and investigation reports Follow-up appropriate personnel to gain prompt decisions 25 True or False Quiz 27 BSBCMM301A/03 Exercise Judgement to Resolve Customer Service Issues Key Points Identify implications of issues for customer and organisation Analyse, explain and negotiate appropriate options for resolution with customer Propose viable options in accordance with appropriate legislative requirements and enterprise policies Ensure matters for which a solution cannot be negotiated are referred to appropriate personnel 35 True or False Quiz 36 Summary 37 Bibliography 39 Assessment Pack 1

4 Use considered risk taking in your grey area...and others will follow you! Legend This symbol indicates the beginning of a new element. These will help you to find the information for your assessment activities. Activity: Whenever you see this symbol, there is an activity to carry out which has been designed to help reinforce the learning about the topic and take some action. This symbol is used at the beginning of each element to indicate the summary key points. This symbol is used to indicate an answer to the Candidate s questions or notes to assist the Facilitator. 2

5 Qualification Pathways There are always two choices. Two paths to take. One is easy. And its only reward is that it s easy. Source Unknown This unit of competency is provided to meet the requirements of BSB07 Business Services Training Package although it can be used in a range of different qualifications. The BSB07 Business Services Training Package does not state how a qualification is to be achieved. Rather, Registered Training Organisations are required to use the qualification rules to ensure the needs of the learner and business customer are met. This is to be achieved through the development of effective learning programs delivered in an order that meets the stated needs of nominated Candidates and business customers. 3

6 Qualification Rules You re either part of the solution or part of the problem. Eldridge Cleaver Qualification requirements include core and elective units. The unit mix is determined by specific unit of competency requirements which are stated in the qualification description. Registered Training Organisations then work with learners and business customers to select elective units relevant to the work outcome, local industry requirements and the qualification level. All vocational education qualifications must lead to a work outcome. BSB07 Business Services Training Package qualifications allow for Registered Training Organisations (RTOs) to vary programs to meet: Specific needs of a business or group of businesses. Skill needs of a locality or a particular industry application of business skills. Maximum employability of a group of students or an individual. When packaging a qualification elective units are to be selected from an equivalent level qualification unless otherwise stated. 4

7 Introduction Whether as an individual, or as part of a group, real progress depends on entering whole-heartedly into the process and being motivated to make you a more deeply satisfied human being. Source Unknown This unit specifies the outcomes required to handle formal and informal negative feedback and complaints from customers. It would typically apply to that part of a person s role where he/ she has responsibility for or may be more concerned with the processing of customer service complaints. These workers would be expected to have a detailed knowledge of products and customer service systems and procedures and be able to apply the organisation s procedures for dealing with customers. This manual is broken up into three distinct sections. They are: 1. Respond to Complaints 2. Refer Complaints 3. Exercise Judgement to Resolve Customer Service Issues At the conclusion of this training you will be asked to complete an Assessment Pack. The information contained in this resource will assist you to complete this task. On completion of this unit of competency you will have demonstrated your ability to deal with customer complaints. 5

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9 ELEMENT 1: Respond to Complaints Key Points Element 1 It is the nature of any business to get customer complaints. Complaints must be acknowledged and addressed. It must also be acknowledged that there are going to be some legitimate mistakes. The worst mistake any provider can make is to ignore a complaint. The first response should be an apology. Then just listen. Perception is reality. 7

10 Key Points Element 1 continued It is better to replace a product or service and keep a customer happy than to lose that customer s business. Tracking complaints can be tedious, but there are true benefits to the process. The whole point of recording complaints is to educate staff and improve. The easiest way is to have a log that details who made the complaint, the time the complaint was received and the type of complaint, as well as a detailed description of the complaint and how it was resolved. At the end of the quarter, you summarise reports and determine what the issues were. 8

11 Keeping Customers Satisfied Customer complaints are present in any organisation. They are just a part of doing business. You can never make everyone happy all of the time, so you need to establish processes and procedures for dealing with service issues that occur throughout the organisation. A good organisation does not hide from complaints, rather it Is open to receiving a complaint Knows how to deal with a complaint Is happy to deal with the complaint Uses complaints as a learning exercise. A culture that hides from complaints only serves to avoid resolving the complaints and it reduces the chances that you could resolve it and make your complaining customer a loyal one. By ignoring a complaint, you will find yourself unable to learn from your mistakes and resolve the issues that have occurred. So how can you deal with a complaint? Apologise Listen to the customer Find a way to move forward You will notice that we mentioned listening to your customers. It is very important that you ensure that your staff are fully aware of the importance of listening to your customers, and that you and your staff understand the principles of active listening and how this needs to be undertaken in order to resolve major complaints. You also need to understand: People should be dealt with at the appropriate level never look down on your customers Use eye contact to show that you are interested in your customers and their needs Never make assumptions always try to find out exactly what your customers want rather than just assuming you know them and what they want or need Once you have established exactly what the problem is, you need to fix the problem: Establish what your policies and processes say you can and can not do Establish whether the customer s expectations are acceptable Negotiate with the customer finding ways in which resolution can occur Keep the customer informed through the entire process. You will find that when you are dealing with a complaint, being proactive is useful in making sure that your customers are kept happy. Never leave your customer wondering what is going on, call them at every step of the process and make sure they know the status of what is going on. Think about how you can avoid saying no to your customers, especially when they have a complaint. The customer is already angry and does not need to be told that something they would like to 9

12 happen will not be happening. Look at alternatives that you may offer, bend the rules to retain a good customer, give the customer a range of options that they can take you up on. Once the customer has taken you up on an option for resolving a major issue that has occurred, the next step is to follow up. Do not leave the customer on their own. Keep in contact with them, ask them if everything is OK, whether there is anything else you can do. A loyal customer can be built from simply making sure that the customer does not feel like they have been left on their own. Provide feedback to the customer on any actions that you have taken with regards to the complaint they have made. You might, for example, tell them what changes you have made and what you and your organisation have learnt from the experience. Learning from complaints is critical. Every complaint that your organisation receives is an opportunity for you to do things both differently and better in the future. So make sure that your complaint processes actually allow you as a manager to make positive changes to the way that the organisation does things. There are times when no matter how hard you try you just can not make a customer happy. In these cases, where the complaints come thick and fast, and seem like they are trivial and difficult to resolve, you may have no choice but to terminate the relationship. Customers don t expect you to be perfect. They do expect you to fix things when they go wrong. Donald Porter 10

13 Keeping Track, Taking Action Tracking complaints can be tedious, but there are true benefits to the process. And for accredited companies, it is a requirement under the ISO quality standards. The requirement is more than just busy work. The whole point of doing it is to educate staff and improve business you don t do it to throw it in a drawer. The easiest way is to have a log that details who made the complaint, the time the complaint was received and the type of complaint, as well as a detailed description of the complaint and how it was resolved. At the end of the quarter, you summarise reports and determine what the issues were. Some organisations use their complaint tracking policy as a way to improve quality. It begins with a form that is completed to document the complaint and ends with a benchmarking report. This becomes a benchmarking service where both good and bad comments are sent, and then the service can be rated against other branches, departments or previous periods. It can be a great tool for quality improvement management. It would be impractical to think that complaints could become obsolete. Yet providers can lessen their impact and use the circumstances to change processes and improve quality. More than anything else, customers just want to know that their opinions have value and that their providers are listening. Specifically You! What is expected of you by your organisation in relation to receiving and managing customer complaints? Where can you find a written copy of the policies, processes and expectations so you know that you and everyone else is meeting the organisational standard? Is the same process expected when you receive internal complaints those from other staff, teams, suppliers etc? How were the policies in place developed? Are you sure they are the best and inline with legislation or codes of practice? Let s check Legislation First we must consider applicable legislation and codes of practice. Every industry will have their own codes of practice and these are developed to meet the standards of the legislation. But they do have variations, usually in excess of basic requirements. It would be impossible to cover all of the codes, so be aware of these and investigate for yourself in your industry. Likewise, there are various state and federal legislation governing sales in Australia to protect the rights of consumers but also imposes conditions on them in terms of their behaviour and expectations. Within your industry there may be particular or special conditions. Check with your supervisor or manager to ensure that you comply with each. Basically, there are overriding conditions which affect both parties. 11

14 Customers can return something for either: A refund of the monies they paid; Repair of the goods or replacement of the goods if the goods are defective; The goods are not what was described by the salesperson or in advertising, both generally or at the place where you purchased the goods; or The customer let the salesperson know why they wanted the goods and the goods were not fit for the purpose that the salesperson was told they were wanted for. Customers do not have a right to a refund because: They bought goods which are the wrong size; or They changed their mind about the colour or decided they just do not like the goods any more. Some stores will give a refund or exchange the goods for other goods or give a credit note. However, they are not obliged to do so by law. Signs, notices, explanations on sales information and dockets are all effective ways of informing the customer of the policies held by your organisation. But by far the best way is to effectively communicate in the first place. We will discuss more about communication later. Remember: Ensure you know what it is that the complaining customer actually wants. Ensure that the products they are offered help them meet those needs Ensure that the products they receive work correctly and are in good condition. Listen to your customers. Seek out complaints from customers who seem reluctant to complain. It may seem crazy, but actually go out and find complaints. You may find that there are times when your customers just do not want to make a complaint even if they are dissatisfied. This means that your organisation is not able to learn from the experience and potentially you will lose a customer for no good reason. Make sure that your organisation Has a complaint procedure Allows any staff member to take complaints Has a process that ensures that all complaints are logged and dealt with by management and supervisors Categorise the complaints that you receive so that your management can attempt to determine trends in complaints and work to resolve major issues that may be causing those complaints Break down your complaints by time period. Look to see if there are times of the day or the year when complaints become more prevalent. 12

15 By ensuring that you have trend data with regards to your complaints, you can begin to establish whether there are any root causes that need to be addressed within the organisation to resolve the major issues that you may be having. What are some of the keys to resolving complaints? Make sure that you focus your efforts on the customer by finding possible solutions to problems and identify areas where you can make improvements for the customer. Where possible, identify someone to be in charge of resolving the issue. Focus on the complaint try to compile trend data so that you can identify areas where improvement is needed. Focus on Process Improvement: Create a database for recording all of the complaints that you have received. Use the data from this database in order to establish where the major issues for your organisation lie, and where you can make improvements. It may be a stretch when you are just starting to deal with complaints, but thinking of a complaint as a positive thing something you can use to make real improvements to the organisation and as its people, you may begin to think of the complaints you receive as an opportunity to make things better! So how should providers handle these common complaints, or any others? The Five-A Approach to Handling Complaints 1. Attend In order to actually resolve the customer s issues you will need to: Be calm Respect the customer s opinions Show that you understand their feelings Actively listen to the problem as it stands Try to find a way of resolving the issue Implement this resolution to ensure the customer is happy. Remember, it is OK to let the customer take out their feelings on you, it is not personal, they need to vent and you can offer that sounding board at this stage. 2. Apologise Always apologise to the customer show them that you are concerned that they are feeling angry or disappointed. Do not make the apology over the top. A sincere I apologise for the issues you are having is more than enough Some people do not like to apologise for a problem, because it makes it seem like you are saying we were wrong but this is not true. The act of apologising simply is there to say to the customer we are concerned about the way that you are feeling about the previous interaction. 13

16 3. Acknowledge Always acknowledge the complaint, do not just leave things hanging, make sure that you state that you have received the complaint and that you acknowledge that it actually is a valid complaint. The customer may be feeling angry, frustrated, disappointed etc, so think carefully about letting them know that you understand why they are feeling that way and then summarise the complaint as you see it, so that they can clarify any areas where there may still be some misunderstanding. 4. Act Make sure that the customer understands that you want to help them and then attempt to find ways of resolving the issue. Think carefully about what you may offer as a way of resolving the complaint. Think about whether the issue is actually resolvable, what you can do, what you can t do and so on. Always make sure that you act in a positive manner, attempting, where possible, to explain what you will do to fix the problem and the time frame within which you will attempt to make the resolution happen. Ensure that the customer is kept informed right through the process. The customer needs to know what you are doing, what is to happen next and what steps have already occurred. 5. Appreciate Always find ways of actually thanking your customers for complaining. They have offered you an opportunity to actually make things better, rather than just leaving the organisation and taking their custom elsewhere. Not Dealing with Complaints Organisations that don t bother about satisfying their customers usually get more customer complaints. Answering them can, of course, cost the organisation money. Some organisations will try to mollify angry customers but many don t even bother. In order to always deal with customer complaints effectively, a complaints system can be a very useful business tool. Having a system means that all staff will act the same way and that complaints are followed up. It also leaves a paper trail so you can look back and spot ways to improve your business and reduce the number of complaints. Even if you don t refer to it very often, the act of writing it down means you are more prepared to deal with complaints when they occur. Having a written procedure can also help customers trust you and feel its worthwhile bringing the complaint to you in the first place. What Does a Complaints System Involve? Put simply, a system for dealing with complaints is devised around the idea that dealing with complaints needs to be a set process. You need to have instructions in place for dealing with every complaint you receive in a consistant and effective manner. There is no right or wrong way for dealing with these complaints. The process you have in place needs to be the right one for your organisation. 14

17 Sometimes, you may find that you need to have a number of different processes for complaints: One for ed complaints One for warranty issues One for dealing with a complaint yourself One for referring complaints to management One for determining when a complaint is serious and dealing with it in a different manner There are other types of instructions you may include in such a system: How complaints are to be resolved What is acceptable and unacceptable in terms of complaint resolution How resolutions are to be recorded How checks on customers are to be undertaken How monitoring of customer service staff is to be undertaken How the processes are to be reviewed. Review the process We mentioned above the need to review your complaint management processes. This is critical in ensuring that your staff are fully aware of what is required of them and ensuring that the systems you have in place are working effectively. Once you have had a chance to use the systems you have in place, take the time to actually sit down and review the processes, look for where improvements can be made and seek advice from other staff on improvements that they feel would be useful. 15

18 Activity One - Clarifying the Critical Roles of Each Team Member The objective of this Activity is to identify the legislation and codes of conduct relating to your organisation. Which legislation applies to your business and how does this impact? 16

19 Element 1 - True or False Quiz Please tick True False Listening is a natural thing we do, and anyone can listen well. Providers should wait for the customer to call so we can react to their complaints. Employees need to realise that customers are not an interruption of work they are the reason we are in business. Give customers options, and try not to give them stopping words that just stop the topic and put the customer on the defensive. If a situation gets to the point where people become verbally abusive to employees, you might just have to try a little harder. Customers have the right to a refund if they bought the wrong size or changed their mind about the colour. In its simplest form, a complaints system is a set of instructions about how to avoid complaints. After writing a customer complaints procedure and reviewing it, you had better not make it public. Learning about a complaint gives you the opportunity to show the customer how much you care about their business. 17