2. Why is the quality of internal
customer service important?
The quality and responsiveness of
internal staff functions is a source
of differentiation and competitive
advantage.
3. The Customer Service Matrix
The four Focus on external customer service
different High Low
Focus on internal customer service
categories of
Winners At Risk
companies
I II
based on the
quality of their
internal and
At Risk Losers
external
Low
III IV
customer
service
4. Type I companies (Winners)
Companies that focus on both internal and external
customer service tend to be winners.
These companies are masters at anticipating the
changing needs of their customers, and they have the
internal strength, service orientation, and capability to
deliver high-quality products and services on time.
Based on their actions in the marketplace, companies
such as WalMart, Federal Express, and General Electric
can be placed in this quadrant.
5. Type IV companies (Losers)
Companies with poor internal and external
customer relationships tend to be losers.
If these companies don’t change the way they
operate, they likely will go out of business.
Eastern Airlines and Pan Am are examples of
Type IV companies.
6. Type II companies (At Risk)
Companies with excellent internal but poor external customer
relationships are on the edge and risk falling off the chart.
Many companies that operate in a regulated environment can be
found in this cell of the matrix; because they have a guaranteed
customer base, they tend to be completely focused on the internal
workplace and ignore the external marketplace.
AT&T once occupied quadrant II and, with deregulation, found
itself on the edge. AT&T was strategically vulnerable and risked being
out-manoeuvred by more externally customer-focused competitors.
7. Type III companies (At Risk)
Companies with excellent external and poor internal customer
service are on the edge.
Consider Nordstrom’s, a retail store that offers external
customers a host of services such as valet parking and
personal shoppers. But Nordstrom’s internal relations are
problematic. A number of employees have filed Equal
Employment Opportunity suits for unfair practices. These
problems could be devastating and put Nordstrom’s over
the edge.
8. “Internal customer service is meeting
the expectations and requirements for
success of those people inside the
company so they can delight
customers in the marketplace.”
- T. Kerry McCarter, vice president of quality at
Johnson & Johnson Quality Institute
9. Who is involved in internal service
management?
• Anyone supplying internal customers in the value
chain (Primary Activities)
• Anyone in any of the organisations Support
Activities
– Information Services
– Marketing
– Finance
– Human Resources
– Customer Services
– Facilities Management
– Purchasing
10.
11. How can a department improve
internal service quality?
12. Step One: Audit
• What products or services does the
department provide?
• To whom are these products and services
provided?
14. Step Three: Customer Feedback
For a core of key customers ask:
• How satisfied are you with products and
services you receive?
• How important are those products and
services to the effectiveness of your operation
to create value for external customers?
15. Step Four: Prioritise and Align
Using customer feedback, involve all members
in the department to examine:
• Where is our customers’ needs the greatest
and our service gaps the widest?
• Prioritise results (Needs and Gaps)
• Where are there misalignments between
customer needs and department’s ‘Five Pillars’
(Structure, Systems, Technology, Capabilities &
Culture)
16. Step Five: Plan and Implement
Corrective Action
• Appoint action teams to use customer and staff
feedback to plan corrective action plan to address
root causes of service gaps
Ensure that:
• Customers’ needs determine the department’s
strategy
• Department’s ‘Five Pillars’ align with strategy
• Implement strategy in a prioritised and orderly
process
17. Step Six: Continuous Improvement
Remember:
• If it’s not planned, it probably won’t happen
– Plan needs timeliness, accountability and review
• If it’s not measured, it’s not real
– Measurement and comparison provides evidence and
commitment
• If it’s not true for the customer, then it’s just not
true
– Don’t waste effort and resources in activities
customers don’t need
18. Authors:
Mary Azzolini is the director of internal performance
improvement practice at Wm. Schiemann & Associates, Inc. in
Somerville, NJ. She received a master’s degree in industrial and
organizational psychology at the University of New Haven in
Connecticut. Azzolini is a member of ASQC.
James Shillaber is the director of corporate training and
organization development at Berlex Laboratories in Wayne, NJ.
He received a doctorate in clinical psychology from Rutgers
University in Piscataway, NJ.
For original article, go to:
http://www.biasca.com/archivos/for_downloading/management_surveys/
Mgmt_Internal_Service_Quality.pdf
