BRYCE ON TECHNOLOGY
– Maybe companies simply do not want to talk with us.
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For a long time now, businesses have been trying to leverage computer automation to minimize expenses and maximize income. It’s been used to streamline inventory, product design, manufacturing, and order processing. Lately though, there has been a concerted effort to reduce costs under the guise of customer service. Let’s look at some of the most typical applications:
* Voice Mail (VM) – more than just processing phone calls, voice mail is now used to order products, prescriptions, and answer basic service questions, such as warranty or medical questions. Unfortunately, the labyrinth of VM forces you to spend upwards to four times more on the phone than if you spoke with a human. I find it amusing when, after you have spilled your guts to the computer, it says, “No, I’m afraid I cannot do that. Please try back later” (when you have more time to waste).
* Self-checkout – Instead of having a clerk process your order, the customer is
now expected to scan, bag, and pay for products themselves. This is commonly found in such companies as Home Depot, Publix, Walmart, etc. I have always appreciated the work of clerks to perform this service and developed a rapport with them, but I guess those days are numbered.
* Check-in for service – through a touch screen, the customer checks himself into a store and waits for his number to be called. I have found this in blood testing facilities, cell phone shops, and cable companies. Interestingly, such software doesn’t recognize there is a growing line of customers waiting thereby triggering additional clerks to handle the backlog, and the line grows longer and longer…
* Franchise Restaurants now have kiosks to order food and/or to pay the bill. At the local Chili’s, I can do just about everything on the table-top computer they provide you. After you order, someone you have never laid eyes on suddenly appears to deliver your order. Interestingly, they still expect you to tip generously, but since I do not know who my waiter or waitress is, I’m less inclined to do so.
The companies who offer such applications believe they are saving money by redistributing the use of human service. What they fail to understand is such software results in a human frustration factor which leads to unhappy customers; customers who will be inclined to go elsewhere instead of facing such nonsense again.
And let’s be clear, this is NOT customer service, but rather the customer assuming the role of the clerk and doing the company’s job (and not being compensated for doing so). Let’s take self-checkout for example, the customer does not get a discount for packing his own bags and checking out. By doing so, they are doing the clerk’s job under the ruse this will speed up checkout. Sorry, but this is pure BS.
Improving customer service means improving the status quo, and so far, I have not seen it in any of the applications mentioned. If anything, it takes longer to process, causing frustration, and increasing customer dissatisfaction.
There is something to be said about courteous clerks who know what they are doing, does it well, and possesses empathy for the customer. Back in the day when I was a young gas jockey for a Standard Oil station up north, we sold a lot of extra products and services, just by simple courtesy and attention to detail. For example, I was able to schedule several lube jobs, tune-ups, and sold a lot of tires and batteries. I wasn’t just pumping gas, I was providing customer service, appreciated by our patrons who developed strong loyalties to our station, all of which improved our cash flow. Plain and simple, people liked to come to our station.
So, how does that compare to today’s applications? The company may be saving money by having the customers fulfill the job of their employees, but I doubt patrons are happy about doing so and probably purchase less products and services than those featuring human contact.
So, is automation killing customer service? The reality is, the software has less to do with customer service and more to do with reducing the costs of human processing.
By the way, next time the phone rings, try answering it on the first ring. Customers greatly appreciate the human touch. It makes you sound professional.
Keep the Faith!
P.S. – Also, I have a NEW book, “Before You Vote: Know How Your Government Works”, What American youth should know about government, available in Printed, PDF and eBook form. This is the perfect gift for youth!
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Tim Bryce is an author, freelance writer and the Managing Director of M&JB Investment Company (M&JB) of Palm Harbor, Florida and has over 40 years of experience in the management consulting field. He can be reached at timb1557@gmail.com
For Tim’s columns, see: timbryce.com
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I have a friend who contends there is no real management going on in business anymore. She argues people are just playing with numbers and not trying to manage their way to success. To illustrate, I have another friend who is a manager of a popular restaurant franchise. I asked him how he manages his people. Interestingly, it is based on such things as sales volume, tips, and satisfaction surveys, which play a major role. From this, a score is computed and the waiters and waitresses are ranked accordingly. These scores ultimately dictate who will be assigned the best serving rotations in the restaurant. Other than this, he does little else in terms of managing his people, and it appears that’s how corporate likes it. Interestingly, he also commented to me there was a lack of team spirit by his people; “Nobody watches the back of another,” he said with dismay.
A few years ago I was managing a “crunch time” project involving a staff of eight programmers. The system design was well documented and very thorough (of course, we used “PRIDE”). Nonetheless, I found it important to start the day with a brief meeting where each person reviewed their progress and what kind of technical problems and interferences they were facing. From this, I developed a punchlist of action items to be resolved, and took the necessary steps to solve them. The meetings started at 8:00am and took no more than 30 minutes. It was brief, to the point and a good way to wake the staff up and put them to work for the day. It also allowed the staff to speak their minds, brainstorm, and share ideas. From this, they developed an esprit de corps and conquered a mammoth project on time. As the manager, I also saw it as a convenient vehicle to release stress and put the programmers in the proper frame of mind.
Customer Service is generally regarded as the “front-line” for any business. It is their responsibility to service the customer, answer questions, expedite problems and keep the customer happy, thereby encouraging repeat business. It is intended to make money, not lose it. At least, in theory, that is what it is supposed to be.
Whenever I teach a class in information systems design, I always stress the importance of up-front planning; e.g., study the business problem, specify requirements, develop the system architecture and logical data base, and define programming specs. I am not talking about something as simple as an “app,” but major systems, such as an inventory system, manufacturing, payroll, defense, health care, etc. By taking this approach, you eliminate the guesswork for programmers who will inevitably produce a superior system satisfying the end-User’s requirements, all because we spent more time planning. This approach is essentially no different than the design of any product or construction assignment where it is essential to do the up-front planning.
Nope, its not the lawyers; its the “bean counters” that are ruining business. Let me give you an example, I know of a large machine-tool operation in the Midwest who used to be heralded for producing quality products. To this end, the company established an in-house school who taught their machinists how to build products, not just any old way, the company’s way. The school was led by the senior craftsmen of the business who took pride in their workmanship and passed this on to the new employees. When an employee graduated from the school, a machinist not only knew his job, but took pride in his work and became loyal to the company due to its reputation. Even if an employee dropped out and went elsewhere, he would always recommend his former company’s products because he knew they were built with quality. This school went on for a number of years and became a part of the corporate culture. However, in the 1980’s the company hired a team of MBA’s to look over their operations and make recommendations for improvement. You must remember, this was a time when cost cutting was the norm. After looking over the financial statements of the business, the management consultants concluded the school represented a costly overhead and convinced the company to close it down.
When a person visits a doctor to complain about an ailment, it is not uncommon for the patient to try and diagnose the problem himself and prescribe a cure. The doctor listens politely but then asks a series of questions aimed at analyzing the patient’s symptoms, for example, “When and where did you first notice this?” “How often does this happen?” “What medication are you currently taking?,” etc. By analyzing the symptoms, the physician is trying to diagnose the problem. If he cannot ascertain the problem through questioning or a basic examination, he may order additional tests, such as an MRI, X-rays, a CAT scan, blood tests, urine samples, etc. The point is, the doctor is more interested in attacking the root cause, not just the symptoms.
There are several types of professional certification programs in the world today, be it in engineering, construction, auto repair, medicine, etc. Basically, certification is saying the holder is proficient in a specific subject and should be recognized as a legitimate professional. To the holder, certification looks good on a resume and, thereby, is useful for generating more income. To the customer, certification instills confidence that the holder theoretically knows what he or she is doing. Such programs are supposed to define the level of competency needed to perform certain tasks and means the holder is intimate with specific methods, tools and techniques needed to perform the work. It is also not unusual for certifications to be renewed periodically to assure the holder is staying abreast of industrial developments.
Cincinnati’s Riverfront Stadium was opened in 1970. At the time, it was considered “state-of-the-art” and easily accommodated two professional teams as their home, the Cincinnati Reds (MLB) and Bengals (NFL). I lived in Cincinnati at the time and vividly recall the sales pitch presented the public. Not only would the stadium be large and spacious with ample parking, the structure would also be easy to maintain and modify to accommodate future considerations. For example, it was claimed the roof could be enclosed, thereby offering an indoor stadium safe from inclement weather. Guess what? The roof was never added, nor much of anything else. Although the stadium was structurally fine and in good shape, it was closed in 2002 and replaced by two separate stadiums, one for baseball and another for football, both at considerable expense to the taxpayer. Whereas Riverfront lasted just 32 years, its predecessor, Crosley Field, a stadium which was certainly no engineering marvel, lasted 58 years. The point is, Riverfront was an excellent example of planned obsolescence. Architects knew the stadium would be demolished and replaced before a nickel would ever be spent on its modification.
I’ve been to Japan several times over the years on business and have had the privilege of seeing Japanese work habits first hand, which are noticeably different than in the United States. As a small example, the first time I visited, I noticed in addition to having Coke and Pepsi machines on a street corner, there were also beer and whiskey machines. I discovered the Japanese were not worried about the youth getting alcohol from the machines as it would cause their families to “lose face” through embarrassment. If we had such machines in this country, they would probably be emptied by our youth faster than the vendors could stock them.
THE BRYCE IS RIGHT! 