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Organizational Development: A Manual for Managers and ... - FPDL

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customers have no choice, they may remain customers even if unhappy, but not <strong>for</strong> long if there<br />

are any other options.<br />

ISO9000 says, that ‘even when customer requirements have been agreed upon with the customer<br />

<strong>and</strong> fulfilled, this does not necessarily ensure high customer satisfaction’. Thus, monitoring <strong>and</strong><br />

control of all characteristics of a product is not sufficient. Monitoring <strong>and</strong> control of customer<br />

satisfaction is needed in addition to traditional management of the internal product delivery<br />

process.<br />

Waiting <strong>for</strong> customer complaints is not the advisable solution. ‘Customer complaints are a common<br />

indicator of low customer satisfaction but their absence does not necessarily imply high customer<br />

satisfaction’ (ISO 9000:2000). As somebody joked – ‘absence of complaints on the quality of<br />

parachutes does not mean they were all manufactured perfectly’ – the unhappy client may just<br />

disappear. Usually, it is much more expensive to get a customer back than to keep him staying<br />

with the organization.<br />

During the last decade, Customer Relationship Management (CRM) became the buzzword of the<br />

day. As is common with modern terms, this one is also often misunderstood - especially with the<br />

assistance of software producers who succeed in convincing managers that proper customer<br />

relations management means purchasing <strong>and</strong> implementing computerized systems intended to<br />

support such management.<br />

Stanley A. Brown defines CRM as ‘a business strategy that aims to underst<strong>and</strong>, anticipate <strong>and</strong><br />

manage the needs of an organization’s current <strong>and</strong> potential customers’. This strategy ‘must be<br />

tailored to each market segment <strong>and</strong> therein lays the challenge <strong>and</strong> opportunity. To be effective in<br />

managing the customer relationship, an organization must:<br />

a) Define its customer strategy. To do that there must be an underst<strong>and</strong>ing of customer<br />

segments <strong>and</strong> their needs. This is a m<strong>and</strong>atory requirement if one is to underst<strong>and</strong> which<br />

products <strong>and</strong> services to offer <strong>and</strong> if that offering will be identical <strong>for</strong> each segment.<br />

b) Create a channel <strong>and</strong> product strategy. This defines how the organization will deliver its<br />

products <strong>and</strong> services efficiently <strong>and</strong> effectively, ensuring sales productivity <strong>and</strong> effective<br />

channel management.<br />

c) Underst<strong>and</strong> the importance of a robust <strong>and</strong> integrated infrastructure strategy. This entails<br />

creating an environment to enable a relationship with the customer that satisfies the<br />

customer’s needs. It requires an ability to achieve proactive customer management <strong>and</strong><br />

reactive customer care.’ (Brown, 2000)<br />

98

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