Return to Scenario Overview
CLICK >>
Return to Scenario Overview
CLICK >>|
|
||
| When after-sales complaints, communications and problems are incorporated into customer service applications, business volume and profitability are more easily maintained | ||
| Situation The VP of Sales & Marketing advocates the international marketing of a top product line, something not tried previously because of concern with after sales support. The projected numbers are impressive, with additional sales of $25M from Europe alone. The VP states that support is not an issue, as only 5% of the shipments over the last two years have had complaints, technical requests or other follow up action. An early decision on the European project is urged because of an approaching favorable window of opportunity. The cost for new sales and distribution channels is $7M; however, the President is not quite sure, and decides to investigate further. The managers responsible for manufacturing, technical services, quality, finance, and customer service are asked to check their records. ú Finance reports only two documented incidents of full-order credit memos, but the current systems do not track credits by reason. ú Manufacturing says that supervisors occasionally report difficulty in meeting specifications, but there is no specific documentation. The only data the current system tracks is work orders and quality, but only at the level of quantities and rejects. ú The technical services manager has only been with the company for 6 months, and reports that they keep better records now, but past accounting was poor and incomplete, and the President remembers that’s why they fired his predecessor! There have been three requests for tech support in the six months he’s been here, but specifics were not well documented. ú Customer service is sure the product line gets more than its fair share of problems and complaints. The supervisor collects the few notes the order desk personnel can find from the past 3 years. There are Post-It notes and two handwritten reports, but these are so cryptic they defy interpretation. Somewhat reluctantly, the project is approved. All is well for six months, at which point the President is informed the products don’t meet metric specifications, and they need to open local language customer support locations in Europe. The President stops the project with a loss of $5.6M and a lowered reputation abroad as well as with domestic customers who have international connections. Summary: General damage to quality reputation; lower sales; serious financial loss. With Final Link All the activity and actions with respect to service and support are recorded through Final Link™. The President or his assistant is able to review the historical records for customer complaints, technical service requests, quality issues, and customer returns. The reasons for returns are available, with notes on the cause of the problem. The average of eight complaints per month about operating instructions is clearly visible, as are notes by plant supervisors about tolerance and other production problems. The impending quality problem is detected well in advance of the proposed project, which is put on hold until the situation is remedied. Summary: Business volumes and profitability maintained; reputation damage and financial loss avoided. |
||
Request White Papers
CLICK >>
| Improve your response to
customer demands CLICK >> |
| Establish "KPI" key performance
indicators CLICK >> |