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Complaining Customer. Presto Cleaners have almost everything: a good location, good quality of service, convenient opening hours and a friendly staff These lead to some differentiation: they can charge higher prices . Processes. Centralized cleaning, probably a very labor intensive process
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Complaining Customer • Presto Cleaners have almost everything: a good location, good quality of service, convenient opening hours and a friendly staff • These lead to some differentiation: they can charge higher prices Presto Cleaners
Processes • Centralized cleaning, probably a very labor intensive process • Things can go wrong at several stages: in the cleaner, at the plant • Typical problems: cleaning quality, order replacement Presto Cleaners
Hoffner • A process-oriented person • Wrong loyalty: Company first • Wrong attitude • What to do with Hoffner: replace, train, fire? Presto Cleaners
The New System • Central IT initiative • Front-line is not involved • Did not dry-run • Inconvenient for customers Presto Cleaners
Learning points for Presto Cleaners • Unhappy customers can cause major damage • Unhappy customers are still loyal • Company management has to foster customer orientation in planning, organizing, measuring and managing Presto Cleaners
Customer Value • We can quantify lifetime customer value: years x visits x service x margin • Add referrals based on word of mouth Presto Cleaners
Learning points for the course • Customer orientation requires more than good-will and friendly service • Customer orientation should be enabled by systems and processes • Management has to take action to enable, enhance and support customer orientation Presto Cleaners