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consulting | research | contracting
Value co-creation for the customer
Partnering to deliver value in the end to end customer journey
Agenda
1.Why do we outsource
2.The balancing act
3.Outsourcing the customer
centric way
3
Why do we Outsource?
InternalFocus
What about the customer?
4
The Balancing Act
Customers
Costs
Operational Efficiency
Best Practice
Suppliers
Market Forces
Regulation &
Governance
Staff
Customer
Centricity….
What is Outside In?
6
What is Outside In?
21st century philosophy for managing an
organisation by putting the customer at
the heart of everything we do.
This requires a change in mind set which moves away from our Industrial
Age thinking towards a Customer Centric model.
The way you organise work within every department and across the
enterprise MUST change.
7
8
TheTriple Crown
9
REVENUE
COST
SERVICE
Winning theTriple Crown
10
Shift of focus to the full customer journey uncovers massive opportunities to improve the greater value chain by
targeting and improving Moments of Truth, Breakpoints and Business Rules
Doing the right thing
Southwest AirlinesValue Chain
Key focus on
this process
only for
internal
efficiencies,
cost control
& throughput
Doing
things right
Outside In
Inside Out
Enquire
about a trip
Navigate to
the airport
Experience
hospitality
Baggage
transportation
Ticket Sale
and Baggage
Collection
Enjoy the trip
Relax in hotel
room
Return home
Enjoy coffee
at home
11
Shift of focus to the full customer journey uncovers massive opportunities to improve the greater value chain by
targeting and improving Moments of Truth, Breakpoints and Business Rules
Doing the right thing
Southwest AirlinesValue Chain
Enquire about a
trip
Navigate to the
airport
Experience
hospitality
Baggage
transportation
Ticket Sale and
Baggage
Collection
Enjoy the trip
Relax in hotel
room
Return home
Enjoy coffee at
home
Outside In
Baggage
Charging for
checked bags
(will save $36
million)
Hotels
Helping
passengers
book rooms
($17 million)
Car Rental
Partnering with
Hertz ($70
million)
Airport
Concession
Splitting sales
with terminal
vendors
(proposed)
Parking
Sharing fees
with lot owners
(proposed)
In-Flight
Services
Offering cell use,
gambling, and
seat back ads
(proposed)
In-Flight
Concessions
Selling drinks
and snacks
($61 million)
Plane-Wrap
Advertising
Selling space on
fuselage exteriors
($100,000 per
airplane)
Baggage
Check in
luggage when
you book out of
hotel
12
Identify New
Customer
Need
Broaden the
Value Chain
to meet the
full need
Identify Suppliers
and Partners to
provide an end-to-
end solution
Build
strategic view
& operating
model
(skills and
capabilities)
Empower
and Manage
Suppliers
Meet
the
Need
GOAL:
Business
Growth
How does an Outside In Organisational Strategy align with
Outsourcing in South Africa?
Mind set
change
KPI’s &
SLA’s
51% black owned
30% black women owned
QSE’s or EME’s
Shared
Value
Customer
Community Organisation
Creating jobs
13
Want to know more?
Next course starting 14 September– book today!
14
Questions
?
15
Thank You
Lizette Akker
Tel. 011 259 4000
Email lakker@iqbusiness.net

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Vendor Management Conference

  • 1. consulting | research | contracting Value co-creation for the customer Partnering to deliver value in the end to end customer journey
  • 2. Agenda 1.Why do we outsource 2.The balancing act 3.Outsourcing the customer centric way
  • 3. 3 Why do we Outsource? InternalFocus What about the customer?
  • 4. 4 The Balancing Act Customers Costs Operational Efficiency Best Practice Suppliers Market Forces Regulation & Governance Staff
  • 6. 6 What is Outside In? 21st century philosophy for managing an organisation by putting the customer at the heart of everything we do. This requires a change in mind set which moves away from our Industrial Age thinking towards a Customer Centric model. The way you organise work within every department and across the enterprise MUST change.
  • 7. 7
  • 10. 10 Shift of focus to the full customer journey uncovers massive opportunities to improve the greater value chain by targeting and improving Moments of Truth, Breakpoints and Business Rules Doing the right thing Southwest AirlinesValue Chain Key focus on this process only for internal efficiencies, cost control & throughput Doing things right Outside In Inside Out Enquire about a trip Navigate to the airport Experience hospitality Baggage transportation Ticket Sale and Baggage Collection Enjoy the trip Relax in hotel room Return home Enjoy coffee at home
  • 11. 11 Shift of focus to the full customer journey uncovers massive opportunities to improve the greater value chain by targeting and improving Moments of Truth, Breakpoints and Business Rules Doing the right thing Southwest AirlinesValue Chain Enquire about a trip Navigate to the airport Experience hospitality Baggage transportation Ticket Sale and Baggage Collection Enjoy the trip Relax in hotel room Return home Enjoy coffee at home Outside In Baggage Charging for checked bags (will save $36 million) Hotels Helping passengers book rooms ($17 million) Car Rental Partnering with Hertz ($70 million) Airport Concession Splitting sales with terminal vendors (proposed) Parking Sharing fees with lot owners (proposed) In-Flight Services Offering cell use, gambling, and seat back ads (proposed) In-Flight Concessions Selling drinks and snacks ($61 million) Plane-Wrap Advertising Selling space on fuselage exteriors ($100,000 per airplane) Baggage Check in luggage when you book out of hotel
  • 12. 12 Identify New Customer Need Broaden the Value Chain to meet the full need Identify Suppliers and Partners to provide an end-to- end solution Build strategic view & operating model (skills and capabilities) Empower and Manage Suppliers Meet the Need GOAL: Business Growth How does an Outside In Organisational Strategy align with Outsourcing in South Africa? Mind set change KPI’s & SLA’s 51% black owned 30% black women owned QSE’s or EME’s Shared Value Customer Community Organisation Creating jobs
  • 13. 13 Want to know more? Next course starting 14 September– book today!
  • 15. 15 Thank You Lizette Akker Tel. 011 259 4000 Email lakker@iqbusiness.net