Justice Caswell
BUSN-1305-C95
November 5, 2017
Book Report
James Heskett’s Pocket Mentor: Focusing on Your Customer is a great guide for any aspiring entrepreneur. “Focusing on your customer…, it’s for everyone, no matter what role you play in an organization.” (Heskett xii). The novel focuses on the “three R’s” of customer loyalty, finding the right customer, understanding how customer loyalties affects profitability, sharpening employee focus on customers, getting to know them, and how to deliver value to them as well. The first “R” of customer loyalty is retention. Retention is when customers continue to purchase a certain product due to familiarity and quality. Loyal customers often generate sales of new products or related sales. This …show more content…
When capability is lacking an6ywhere, it compromises the company’s ability to deliver what customers want. Managers have the power and responsibility to improve the first link in the service-profit chain: employee capability. Workforce turnover causes sales and profits to plummet because low job satisfaction can lead to a poor customer service attitude. In turn customer satisfaction is eroded and hurts the company’s profits. High turnover negatively impacts the morale of the other employees, the quality of service provided, customer retention, profitability, and productivity. Combating turnover starts with hiring the right employee with a good service attitude because skills can be taught, a good personality cannot. Training may take time and money, but organizations that invest in employee development usually see a reduction in turnover, improved service quality, and increased productivity... Employees should be provided the tools and support they need to excel in their roles and deliver the results and service customers want. Technology, information systems, workplace design, and service facilities help employees excel in their roles. “: Recognize and reward tour people for their ongoing contributions to high-quality customer service.” (Heskett …show more content…
Heskett recommends that companies focus on calculating using the customer value equation. There are three factors in this equation. First of all, a customer buys results they value, or a solution to a problem. The second part of the equation is process quality, or the way the product of service is delivered. Dependability, timeliness, and a professional attitude effect process quality. Lastly price and convenience of obtaining the product effect buying decisions. For example, the added cost of overnight delivery, or driving 60 miles to get a certain product for cheaper rather than closer for more costs. “The customer value equation can be expressed as follows: Results + Process Quality/price + customer access costs = ?.” (Heskett 49). Customers look for dependability, responsiveness, authority, empathy, and evidence of progress in a company they buy their products
BUSN-1305-C95
November 5, 2017
Book Report
James Heskett’s Pocket Mentor: Focusing on Your Customer is a great guide for any aspiring entrepreneur. “Focusing on your customer…, it’s for everyone, no matter what role you play in an organization.” (Heskett xii). The novel focuses on the “three R’s” of customer loyalty, finding the right customer, understanding how customer loyalties affects profitability, sharpening employee focus on customers, getting to know them, and how to deliver value to them as well. The first “R” of customer loyalty is retention. Retention is when customers continue to purchase a certain product due to familiarity and quality. Loyal customers often generate sales of new products or related sales. This …show more content…
When capability is lacking an6ywhere, it compromises the company’s ability to deliver what customers want. Managers have the power and responsibility to improve the first link in the service-profit chain: employee capability. Workforce turnover causes sales and profits to plummet because low job satisfaction can lead to a poor customer service attitude. In turn customer satisfaction is eroded and hurts the company’s profits. High turnover negatively impacts the morale of the other employees, the quality of service provided, customer retention, profitability, and productivity. Combating turnover starts with hiring the right employee with a good service attitude because skills can be taught, a good personality cannot. Training may take time and money, but organizations that invest in employee development usually see a reduction in turnover, improved service quality, and increased productivity... Employees should be provided the tools and support they need to excel in their roles and deliver the results and service customers want. Technology, information systems, workplace design, and service facilities help employees excel in their roles. “: Recognize and reward tour people for their ongoing contributions to high-quality customer service.” (Heskett …show more content…
Heskett recommends that companies focus on calculating using the customer value equation. There are three factors in this equation. First of all, a customer buys results they value, or a solution to a problem. The second part of the equation is process quality, or the way the product of service is delivered. Dependability, timeliness, and a professional attitude effect process quality. Lastly price and convenience of obtaining the product effect buying decisions. For example, the added cost of overnight delivery, or driving 60 miles to get a certain product for cheaper rather than closer for more costs. “The customer value equation can be expressed as follows: Results + Process Quality/price + customer access costs = ?.” (Heskett 49). Customers look for dependability, responsiveness, authority, empathy, and evidence of progress in a company they buy their products