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CHAPTER THIRTEEN

Service Recovery

McGraw-Hill/Irwin © 2005 The McGraw-Hill Companies, Inc., All Rights Reserved.

13-2

LEARNING OBJECTIVES

Define a service breakdown

Discuss causes of breakdowns

Determine why customers leave

Identify strategies to prevent customer dissatisfaction

Implement frontline service recovery

Spot roadblocks to service recovery

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13-3

Service Recovery occurs when an organization or service provider is able to solve a customer problem, make restitution, and regain trust following a breakdown in service

delivery.

McGraw-Hill/Irwin © 2005 The McGraw-Hill Companies, Inc., All Rights Reserved.

13-4

Service Breakdowns happen whenever the product or service delivered fails to meet customer

expectations.

McGraw-Hill/Irwin © 2005 The McGraw-Hill Companies, Inc., All Rights Reserved.

13-5

SERVICE BREAKDOWNSSERVICE BREAKDOWNS

Product or service failed

Promise not kept

Deadline missed

Service not adequate

Provider lacks knowledge or skills

Customer inconvenienced

Customer gets runaround

Unprofessional treatment

McGraw-Hill/Irwin © 2005 The McGraw-Hill Companies, Inc., All Rights Reserved.

13-6

CCAUSES AUSES OOF F BBREAKDOWNSREAKDOWNS(Organizational Factors)(Organizational Factors)

Human resources

Organization and structure

Processes and procedures

Product and service designand delivery

Internal communications

Technological support systems

Standards

McGraw-Hill/Irwin © 2005 The McGraw-Hill Companies, Inc., All Rights Reserved.

13-7

CCAUSES AUSES OOF F BBREAKDOWNSREAKDOWNS(Employee Factors)(Employee Factors)

Communication skills

Knowledge

Attitude

Technical skills

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13-8

CCAUSES AUSES OOF F BBREAKDOWNSREAKDOWNS(Customer Factors)(Customer Factors)

Failure to use information correctly

Failure to follow through

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13-9

RREASONS EASONS FFOR OR DDEFECTIONEFECTION

Poor service or complacency

Inappropriate complaint resolution

Unmet needs

Unfair treatment

Inadequate systems

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13-10

PPREVENTION REVENTION SSTRATEGIESTRATEGIES

Think like a customer

Pamper customers

Respect customers

Focus customers

Exceed expectations

McGraw-Hill/Irwin © 2005 The McGraw-Hill Companies, Inc., All Rights Reserved.

13-11

IIMPLEMENTING MPLEMENTING RRECOVERYECOVERY

Apologize! Apologize! Apologize!

Take immediate action

Show compassion

Provide compensation

Conduct follow-up

McGraw-Hill/Irwin © 2005 The McGraw-Hill Companies, Inc., All Rights Reserved.

13-12

RROADBLOCKS OADBLOCKS TTO O SSERVICE ERVICE RRECOVERYECOVERY

Now listening

Lack of respect

Poor/inadequate communication

Inadequate or outdated materials/ equipment

Lack of training

Work conflicts

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