7 Reasons for Failure When Adopting a Customer First Strategy

By now, every CEO knows that a stronger customer focus is the answer to many of their business challenges. Why therefore do so many companies still struggle to adopt a customer-first strategy and culture?

Read on for my own thoughts and perspectives on what should be a top company objective which results in proven business success. 

I provide answers to the seven main reasons why companies fail to adopt a customer first strategy; which one are you struggling with today?

 

1. The CEO has stated it as a company objective but has not detailed what nor how the organisation will change

While it is essential that a customer-first strategy has a board-level sponsor, it is important that every employee understands their role in making it happen. It should not be treated as just another project but as a long-term company top 3 objective.

When this happens, every division is obliged to see how they will be impacted and what part they will play in meeting it. This is one area where the CEO can’t set it and forget it. He/she needs to be regularly informed of progress and then ask “awkward” questions to ensure that everyone is truly embracing it. Without company-wide support, it will never succeed.

In August of last year, the Business Roundtable, which is an association of over 180 CEOs leading US companies, agreed to put people before profits. They specifically said they would be:

  1. Delivering value to our customers.
  2. Investing in our employees.
  3. Dealing fairly and ethically with our suppliers.
  4. Supporting the communities in which we work.

With many organisations now struggling with the impact of covid-19, it will be interesting to see whether they will have all moved forward on these objectives one year later. For more details on this announcement I suggest you read the Forbes article.

 

2. The organisation has not fully embraced the strategy

As mentioned above, everyone has a role to play in satisfying and delighting the customer. It is not the job of marketing, sales or market research alone to understand their needs. It is vital that each employee thinks customer first and ensures that every action and decision they make is customer centric.

One easy way to do this is to ask this question at the end of every meeting:

“what would our customers think of the decision we just made?”

If there is something they wouldn’t like or you know that you yourself wouldn’t approve of, then it needs to be reconsidered.

I would also suggest reading the recent post “7 Ways to Deliver Awesome Customer Service.” It includes seven recommendations so that everyone in an organisation can treat the customer with the respect and great service they deserve.

 

 

7. They think it costs too much

While this may be the perception, in reality, it costs a lot more NOT to adopt a customer-first strategy. It makes both business sense AND customer sense.

There has been so much research done on the impact of adopting a customer- first strategy that there is no doubt that it provides a positive ROI (return on investment):

  • Walker found that 86% of buyers would pay more for a better experience.
Continue Reading

5 Tips for Global Project Management

One of my global clients recently called me about a problem her team was having implementing a process change within her organisation. After a long conversation, during which I gave her some tips on global project management, she was happy to continue the work with renewed enthusiasm.

If you are facing a similar challenge at the moment, you should find these five ideas I shared with her, to be of use.

#1. Involve the markets

This particular client works for a leading consumer packaged goods company in their London headquarters. One of the biggest challenges a global organisation can face when introducing process changes, is getting market buy-in, even when centralised.

My suggestion was to invite five to ten market representatives to work on the project team with her. Whilst a face-to-face meeting or two will be needed in the beginning, the project can usually continue with conference calls or webinars once it is under way. I also suggested taking a selection of markets from her different regions and not just the major ones, which always seem to be chosen due to their importance. This will reduce, but perhaps not totally eliminate a “it won’t work in our market” type of reaction which could slow down or even exclude adoption, especially by emerging markets.

#2. Allow for culture

When working in a global or regional environment, we often wrongly assume that everyone is making allowances for cultural differences. For this reason it is vital to double-check underst anding and agreement at every major milestone and before each new step is started. Although there is often an over-simplification of cultural differences made, such as Asians tend to always agree, Germans are not flexible, or Americans are opinionated, it still remains true that people think differently. The advantage of a diverse project team is that it includes people with differing perspectives, so make sure everyone appreciates the diversity, listens and adapts to it as appropriate.

#3. Involve different departments

I am amazed at just how many projects can be running simultaneously in large organisations. Whilst this should not be surprising with today’s dem and for rapid change and continuous innovation, I am always disappointed that in most cases, only the members of the department working on the project are aware of it. This may appear normal until one realises that most projects have impact beyond just departmental borders and sometimes can in fact actually be redundant. Let me give you an example.

I was once developing a proposal for a customer information integration programme and I discovered that there were four separate projects that were already running on similar areas to my project. And none of the departments were aware of the others’ projects! R&D was developing a st andard customer complaint classification; finance was harmonising category and br and definitions; market research was developing a tool for analysing customer call content and customer services were updating their platform.

I am sure you can see the value there would be in the departments collaborating together in order to avoid duplication of effort. Continue Reading

I hope you enjoy reading this blog post.

If you want me to catalyse your growth and profitability, just book a call.

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