customer service
Just Dial “0″ (”Zero”)
On the way to work this morning, a commercial on National Public Radio (NPR) caught my attention. It was a commercial for Ally Bank and one phrase piqued my interest (I’m paraphrasing):
To open an account, call xxx-xxx-xxxx and to talk to a real person, push “0″ anytime.
In the radio commercial, they emphasized “real person”. Interesting.
On the way to work this morning, a commercial on National Public Radio (NPR) caught my attention. It was a commercial for Ally Bank and one phrase piqued my interest (I’m paraphrasing):
To open an account, call xxx-xxx-xxxx and to talk to a real person, push “0″ anytime.
In the radio commercial, they emphasized “real person”. Interesting.
Respect for People, Underutilized People, and Waste
The two pillars in Lean Thinking are Continuous Improvement and Respect for People. What is not well understood is that most of what we know as The Toyota Production System comes from these two pillars. The Lean sub-culture tends to over-emphasize the “tools” of Kaizen, but miss the point altogether, since the tools stem or originate from one of the pillars above. The relationship between the 2 Pillars and Waste is subtle, but important.
The two pillars in Lean Thinking are Continuous Improvement and Respect for People. What is not well understood is that most of what we know as The Toyota Production System comes from these two pillars. The Lean sub-culture tends to over-emphasize the “tools” of Kaizen, but miss the point altogether, since the tools stem or originate from one of the pillars above. The relationship between the 2 Pillars and Waste is subtle, but important.
Goodbye Customer: Loyalty, Costs, Complexity, and Recovery
Goodbye Customer.
That is sometimes what we say, without knowing the full costs and burden that proposition means on the business. Ironically, businesses are often unaware that their actions are pushing the customer away while at the same time trying to recover and retain them through expensive customer retention programs. Metaphorically, this is like pushing the customer away and pulling the customer back — at the same time. It is no wonder that customers have had enough.
Goodbye Customer.
That is sometimes what we say, without knowing the full costs and burden that proposition means on the business. Ironically, businesses are often unaware that their actions are pushing the customer away while at the same time trying to recover and retain them through expensive customer retention programs. Metaphorically, this is like pushing the customer away and pulling the customer back — at the same time. It is no wonder that customers have had enough.
Amazon and Zappos Sitting in a Tree
As most you know by now, Zappos has entered into a definitive agreement with Amazon.com and will become a wholly owned subsidiary of Amazon. This is exciting and, after speaking with my friends both at Amazon and at Zappos, they are all quite excited too. Congratulations to Amazon, Zappos, Tony Hsieh, and Jeff Bezos 1 2 3 4 5 6 7 8 9.
As most you know by now, Zappos has entered into a definitive agreement with Amazon.com and will become a wholly owned subsidiary of Amazon. This is exciting and, after speaking with my friends both at Amazon and at Zappos, they are all quite excited too. Congratulations to Amazon, Zappos, Tony Hsieh, and Jeff Bezos 1 2 3 4 5 6 7 8 9.
Customer Service – A Chance for Redemption
In a very tough economy, keeping customers happy should have more considerable weight and attention from companies. I had a negative customer experience recently at Home Depot, where they had a chance to redeem themselves from a very poor customer experience.
In a very tough economy, keeping customers happy should have more considerable weight and attention from companies. I had a negative customer experience recently at Home Depot, where they had a chance to redeem themselves from a very poor customer experience.
Customer Service and the iPhone
related update
In some organizations, the Customer Service function is largely viewed as a cost center, draining resources of the firm. I maintain that this viewpoint is largely false and is one that less mature companies support. I believe that Customer Service is an accurate litmus test of the overall health of the firm — indeed, Customer Service can play a very strategic role in the overall health of the product, service, and Firm.
In some organizations, the Customer Service function is largely viewed as a cost center, draining resources of the firm. I maintain that this viewpoint is largely false and is one that less mature companies support. I believe that Customer Service is an accurate litmus test of the overall health of the firm — indeed, Customer Service can play a very strategic role in the overall health of the product, service, and Firm.
Tony Hsieh, CEO of Zappos, Summary
This is a summary post, highlighting the 5-part series where Tony Hsieh responds to over 20 questions submitted by shmula.com blog readers.
Below is the post series:
- Interview Questions from shmula.com blog readers
- Tony Hsieh, CEO of Zappos, Part 1
- Tony Hsieh, CEO of Zappos, Part 2
- Tony Hsieh, CEO of Zappos, Part 3
- Tony Hsieh, CEO of Zappos, Part 4
This is a summary post, highlighting the 5-part series where Tony Hsieh responds to over 20 questions submitted by shmula.com blog readers.
Below is the post series:
- Interview Questions from shmula.com blog readers
- Tony Hsieh, CEO of Zappos, Part 1
- Tony Hsieh, CEO of Zappos, Part 2
- Tony Hsieh, CEO of Zappos, Part 3
- Tony Hsieh, CEO of Zappos, Part 4
When Self-Help Does Not Help
I’d venture to say that most people don’t have a desire to call customer service. If one ever got lucky enough and passed the Interactive Voice Response (IVR), the customer service representative (CSR) is sometimes not all that helpful (like the time I spoke with Qwest Customer Service). But, getting passed the IVR — the spaghetti-diagram-like IVR — is the first challenge.
I’d venture to say that most people don’t have a desire to call customer service. If one ever got lucky enough and passed the Interactive Voice Response (IVR), the customer service representative (CSR) is sometimes not all that helpful (like the time I spoke with Qwest Customer Service). But, getting passed the IVR — the spaghetti-diagram-like IVR — is the first challenge.
Customer Loyalty and Customer Satisfaction
If you buy from an online retailer this year, you will most likely receive an email communication about your purchase, probably showing something like:
- Item Bought, Quantity, Price, and Amount Charged to your Credit Card
- Date Shipped and Expected Arrival Time-Frame
All pretty basic, right? In fact, if the email only consisted of the above items and the product arrived within the expected time and in good condition, then you’d probably consider yourself a satisfied customer.
If you buy from an online retailer this year, you will most likely receive an email communication about your purchase, probably showing something like:
- Item Bought, Quantity, Price, and Amount Charged to your Credit Card
- Date Shipped and Expected Arrival Time-Frame
All pretty basic, right? In fact, if the email only consisted of the above items and the product arrived within the expected time and in good condition, then you’d probably consider yourself a satisfied customer.
Customer Service Contacts are Symptoms, not Root Causes: How to Apply the 5 Whys
Most organizations believe that Customer Service contacts are what needs to be fixed or eliminated. On the surface, that might be true. But, when approached as a Lean Thinker, Customer Service contacts are truly only symptoms, the root causes of which are not yet fully known. In what follows, I’ll explain the role of Customer Service in the overall business value chain, and how the business can better meet the needs of the customer through the effective use of the Customer Service function.
Most organizations believe that Customer Service contacts are what needs to be fixed or eliminated. On the surface, that might be true. But, when approached as a Lean Thinker, Customer Service contacts are truly only symptoms, the root causes of which are not yet fully known. In what follows, I’ll explain the role of Customer Service in the overall business value chain, and how the business can better meet the needs of the customer through the effective use of the Customer Service function.

