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Module overview - Manage customer focus and continuous improvement

This module of learning is divided into 12 chapters completed in two sections; Quality Improvement Systems and Customer Service Systems.

Section one: Quality systems

Chapter 1: The concept of Quality

Chapter 2: Quality Assurance

Chapter 3: Total Quality Management

Chapter 4: Kaizen – continuous improvement

Chapter 5: Quality in transport

Chapter 6: Quality of customer service

Section two: Service strategy

Chapter 7: The customer service concept

Chapter 8: The role of management: corporate principles

Chapter 9: Know your customer: exceeding expectations

Chapter 10: Taking care of challenging customers

Chapter 11: The rights of the customer and service provider

Chapter 12: Communication in the servicescape

Overview - Section One: Quality Improvement Systems

Quality has become fundamental to the way we live. Our lifestyles are dependant upon expected and reliable performance of services and products that we use and the relationships, personal and professional, that we have. As such, Quality is the single most important factor that demands our attention today. Because efficiency, effectiveness and relevance are all the results of Quality, the study of the topic allows us to better understand the components and relate them to the outcomes.

Awareness, and sometimes knowledge, of this subject is widespread. The Malcolm Baldridge National award, for instance, establishes guidelines for corporate performance based on Quality leadership. On the other hand, ISO 9000 is a threshold standard that starts organisations on the track to higher levels of Quality, should they wish to progress upon that track. Internationally, ISO 9000 is very wide-spread, in nearly every walk of life.

Consider how the discovery of the structure of DNA (a significant achievement in itself) was just the start of a growing movement of enquiry and debate on the topic which will continue for the foreseeable future. Each new thought generates a range of others that explore the details and applications of how it might be taken further. So also is the study of Quality really driven by the need to constantly improve. This process of continuous improvement will be encountered repeatedly because this is the scientific method which involves observing, deducing and experimenting. We see the effects of continuous improvement in the everyday things around us – cars, aeroplanes, computers, banks, supermarkets, universities, communications equipment and so forth, and how they affect the quality of our lives. Ten years ago these were all different from what they are today and the overall improvement continues.

One of the most important reasons to study any subject is to learn how it will develop and change. As we will see in the modules ahead, Quality has had a few prominent spokespersons (gurus, some call them) who have expressed their perceptions of how Quality should be practiced. The danger with following such preaching is that the evolution of thought on this topic can be confined to what they have said, unless we can declare that they have perfect and absolute knowledge! Omar Khayyam, in the Rubbayat, says “… the flower that once has blown forever dies” (Fitzgerald, 1859), the concept having been given a finite shape and which, in itself stops evolution. You may be familiar with the similar saying “Call someplace Paradise, kiss it goodbye” (The Eagles, 1976).

The aim of the study of this subject, then, must be to develop our thinking on how it will be relevant to us in what we do now and in the future.

 

Overview - Section Two: Customer Service Strategy

Craftsmen have to train themselves to see, to pick up things other people miss ... It is those with a kind of peripheral vision who are best able to detect and take advantage of events as they unfold.

Mintzberg, 1987

Mintzberg’s reasoning holds true for the providers of service. Service providers are people who have the innate ability to see and grasp at opportunities and to make the most of them. In the business battlefield they are able to bring about conditions most favourable to their customers (and ultimately their organisation), to judge precisely the right moment to act and to do so within their own capacity or limits. They have the ability to consistently come up with realistic responses to changing conditions and to out-manoeuvre the competition.

They are able to achieve this by thinking and acting critically – by having a keen sense of which critical issues to focus on, knowing how to break these down into manageable parts and analyse their interrelationships, then use this analysis to greatest advantage.

Section One introduced you to the fundamentals of quality, starting with the concepts of quality and going on to describe the various tools available in the “quality kit” to enhance the performance of an organisation. The application of some of these concepts will be further developed in the modules that follow. Like good craftsmen, good managers use the correct tools to get best results.

Section Two has been designed to introduce you to the fundamental concepts, applications and practices of service excellence in business. You will be introduced to the fundamentals of effectively serving customers – a vital activity for the successful operation of any business. You will find, if you do not know it already, that regardless of your position in an organisation, you have the responsibility to focus on quality customer service.

You will be introduced to contemporary issues in the practice of serving customers. We emphasise the practical application of the subject matter, encouraging you to clearly demonstrate your ability to understand and apply the concepts. Our topics range from the overall corporate philosophy toward customer service through to some specific discussions and “street smarts” for communication and dealing with customers.

You will be encouraged to be creative in applying the concepts. Therefore do not expect “pat” answers to questions. The key lies in how well you can devise ingenious ways of making these ideas work for your customers’ and your organisation’s advantage.

Consider this:

Problems have silver linings. Do you truly believe that a problem found is an opportunity discovered? Can you describe innovations that arose from problems: your own company’s problems and your customers’ problems? Do your customers naturally think of you as a provider of solutions?

 

You will be introduced to various readings throughout this section – as you work through them and the rest of the subject you will realise that the customer service “issues/concepts” interrelate. Therefore, remember to refer back to earlier readings for ideas, particularity when completing set assessments.

Our approach is one of an overall corporate philosophy. Everyone in the organisation is responsible and has a role to play in establishing and maintaining service excellence – however one person can make a difference.

References

Fitzgerald E. ( trans.) 1859, The Rubbayat of Omar Khayyam.

The Eagles 1976, “The Last Resort”, Hotel California.

 

Competency alignment

Module 8 covers the competency BSMGT606A from the Business Services 2001 Training package.

BSBMGT606A - Manage customer focus

Unit Descriptor

This unit covers planning at the tactical level, and the implementation of those plans, to ensure that business expansion and internal and external customer satisfaction levels are in keeping with business plans.

Consider co‑assessment with BSBMGT604A Manage business operations.

Element

Performance Criteria

1. Determine customer requirements

1.1

Opportunities are provided for customers and staff to provide feedback on existing products/services

1.2

The market is clearly identified in terms of post, present and potential customers

1.3

Research is commissioned to capture the needs of the market, including electronic commerce solutions

1.4

The market is provided with all relevant information about products/services supplies

1.5

Customer service standards and plans are developed from research, customer feedback and consultation with relevant individuals

1.6

Standards and plans clearly state quality, time and delivery specifications, and cost of products/services to be supplied

1.7

Specifications meet all legal and organisational requirements

1.8

Risk management plans have been implemented in relation to all products/services

2. Manage delivery of products and services to customers

2.1

Relevant groups and individuals have access to customer service standards and plans

2.2

Relevant groups and individuals are competent to deliver products/services to standards required

2.3

Products/services are delivered to standard required

2.4

Groups and individuals meet all customer service standards and plans

2.5

Performance improvement plans are developed and implemented where under‑performance occurs or opportunity for improvement arises

3. Monitor and evaluate quality of customer service

3.1

Appropriate systems are developed and technology used to effectively monitor performance against targets and standards

3.2

Feedback is obtained in regard to customer satisfaction, on an on‑going basis, and utilised to implement remedial action where necessary

3.3

Appropriate groups and individuals are consulted to identify activities to be undertaken to improve customer service

3.4

Continuous improvement strategies are built into future business plans of relevant groups and individuals

3.5

Reports are prepared and circulated to relevant groups and individuals for follow‑up