Monthly Archives: January 2010

Products Change, but Good Service Rarely Does

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I recently reviewed the research work by Parasuraman, Zeithaml and Berry on the Conceptual Model of Service Quality. Their work suggests that regardless of the product or service in question, customers use relatively the same criteria to evaluate the exchange. Although their research was published in the Journal of Marketing in fall of 1985–it may as well have been written in 2010, internet, cell phones and all!

Of course for an organization to take good care of the customers, the employees and workers need to know what that feels like themselves. In other words, for the most part we can step beyond your customers and think about our employees, partners, co-workers etc.

Whether you’re rating on a five star scale, by thumbs up or thumbs down, 1-10, or whatever, the criteria is summarized in the following points:

  • Reliability: Are you delivering what you said you would? Are you doing it over and over? Consistently, accurately?
  • Responsiveness: Are you delivering on time? Are you demonstrating a willingness and readiness to provide the service? What’s the spirit of service you are conveying?
  • Competence: Do you have and can you demonstrate that you have the skills and knowledge to perform the service?
  • Communication: How well do you listen to your customers? How well do you keep them informed?
  • Credibility: Are you believable? Do you demonstrate it in your conversation? Appearance? Marketing?
  • Courtesy: Friendliness of personal. Is the golden rule of treating others the way you want to be treated
  • Access: Are you approachable and easy to contact regarding questions? (In today’s world of emailed customer service queries this can be the most frustrating).
  • Customer Knowledge: Do you speak the customer’s language? Do you really know their needs and objectives?
  • Security: Do your customers feel safe? Can they trust you with their financial information, account confidentiality etc?
  • Tangibles: What physical impressions do you leave with your customers? Appearance and condition/quality of facilities? Reports and inspections etc…

What strikes me about this list is two fold: First, the businesses I know that do this well, do business well.–It’s the open secret of customer service. And Second, well, very few businesses do this well :)

17 Mistakes That Entrepreneurs Make

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John Osher in inarguably one of the most successful entrepreneurs of age. What makes him so successful is his ability to replicate his success. In today’s world where we like things packaged and clearly organized, he has set forth a list of 17 top mistakes, which if avoided would certainly create the “perfect company.”

For those who would like to find a full copy, I recommend this website, for those of you who just want to know what the mistakes are and think you can figure out how to avoid them on your own, I’ve posted a condensed list below:

Mistake 1: Failing to spend enough time researching the business idea to see if it’s viable.
Mistake 2: Miscalculating market size, timing, ease of entry and potential market share.
Mistake 3: Underestimating financial requirements and timing.
Mistake 4: Overprojecting sales volume and timing. Mistake 5: Making cost projections that are too low.
Mistake 6: Hiring too many people and spending too much on offices and facilities.
Mistake 7: Lacking a contingency plan for a shortfall in expectations.
Mistake 8: Bringing in unnecessary partners.
Mistake 9: Hiring for convenience rather than skill requirements.
Mistake 10: Neglecting to manage the entire company as a whole.
Mistake 11: Accepting that it’s “not possible” too easily rather than finding a way.
Mistake 12: Focusing too much on sales volume and company size rather than profit.
Mistake 13: Seeking confirmation of your actions rather than seeking the truth.
Mistake 14: Lacking simplicity in your vision.
Mistake 15: Lacking clarity of your long-term aim and business purpose.
Mistake 16: Lacking focus and identity.
Mistake 17: Lacking an exit strategy.