International School of Management
Training for Customer Service
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- Customer Service Training at the Disney Organization
- The Important Elements of Delivering Great Customer Service
- Display the Right Attitude
- Be There For The Customer
- Exceptional Customer Service at the Ritz-Carlton
Training for Customer Service In order for organizations to realize the best possible interaction between their employees and the customer, they must ensure that employees are trained adequately in customer service, and also be empowered to make decisions that enhance customer service. Customers will continue to show strong favoritism to organizations that offer personal, custom, ‘just-for-you’ service, whether using the technology of the Internet or in face-to-face transactions. Customers expect to have issues resolved by contacting an empowered employee who will follow through appropriately. The more customer expectations increase, the more expedient customers require their issues to be dealt with. Because of this, employees are increasingly having to deal with hostile and angry customers and will be required to have the skills and abilities necessary to deal with them (Colombo 2006). Providing well-trained and informed employees continues to challenge many organizations. With multiple channels of contact and better-informed consumers, this is as important as ever. Identifying high-impact behaviors that can positively affect customer service is critical to the customer service function. However, this is not enough; these behaviors must be constantly trained and reinforced to ensure the desired results. In service-successful organizations, training and development of employees is a never-ending process. It starts on an employee’s first day on the job and continues until the gold watch is presented. It includes formal and on-the-job training, guided experience, effective coaching, targeted performance review, and strong support for learning from the organization as a whole. Organizations must pursue the development of their employees at all costs. If businesses fail at preparing their employees to deliver proper customer service, the employees will not be prepared to meet ever-increasing levels of service quality (Connellan and Zemke 1993). Customer service training must be integrated into the overall training plan of the organization. Although there are certain employees that exhibit innate traits that are beneficial to providing great customer service such as a great smile, an empathetic attitude, or having a positive attitude, there is no substitute for continued customer service training. Another issue that is important for organizations to keep in mind is that customer service training should be provided to everyone in the organization, regardless of their position. A big mistake that many companies make is training only a small percentage of their staff, usually those who work directly with the customers, such as the customer service department. Doing so is ineffective and dangerous because it promotes the message that customer service is the specific responsibility of a limited group of people. Service needs to be a way of life for everyone in the organization. Organizations that provide customer training to all employees of the company, no matter what their position or title, send the message to the employees of the organization that service is important and is the responsibility of everyone (Leland and Bailey 2006). Customer service training is as important as any other training. Many times it is assumed that employees know how to provide excellent service. In actuality, some are better than others, but all employees benefit from customer service training. Like all skills, customer service improves with training and practice. Just like any other training for the job is considered to provide “tools” necessary to perform effectively, so too is customer service training. A company’s employees provide a window for the customer to look into its organization. The big question is does the customer like what they see? Impressions are powerful, and perceptions are reality, whether actually correct or not. For example, the employee looks sharp, is pleasant, and meets all of the customer’s needs and expectations, therefore this is a great organization and all of their employees must be like this. The opposite can also be true. Employees with a bad professional image and that convey negative attitudes leave customers dissatisfied and looking to other organizations for satisfactory experiences (Colombo 2003). Good customer service is not only geared to external customers but internal customers as well. Learning how to communicate effectively, maintain a positive attitude in the face of dissention, and proactively provide positive solutions to problems, are skills that will enhance not only the external customers’ experience, but also lead to a more congenial work environment. Organizations that are noted for their customer service view customer service as an ongoing process that must be fully integrated into the maturation of any employee in a comprehensive manner; as is the case with the Disney organization. The characteristic that distinguishes companies like Disney isn’t found in the bits and pieces of what it does, but in the thoroughness of what it does. When it comes to providing customer service-training, quantity of training should not be confused with quality of training. “Relevance counts as much, maybe more, than minutes. To be effective, training should support serving customers better, working smarter, and creating a better outcome for the organization” (Connellan and Zemke 1993). Customer Service Training at the Disney Organization The Disney organization is known around the world for providing excellent customer service and catering to the needs and desires of its guests. This can be directly attributed to the high level of customer service training that is received by every employee on a constant basis. Employees at Disney are referred to as cast members, an indication that they all play a role in providing the “Disney experience” to their customers/guests. All new cast members at Disney parks, hotels, and resorts-regardless of level-begin with a two-day orientation seminar called “Traditions.” The purpose of the seminar is twofold. First, it provides cast members with a firm understanding of the Disney Corporation’s traditions and values, and inculcates the Disney lore, language, and culture. Second, it provides generic skills essential for job performance (Connellan and Zemke 1993). To understand the Disney tradition, is to understand that customer service is paramount to every employee and is the Disney way. Service excellence, which it is referred to at Disney, begins with quality training. In fact, screening for service-oriented employees begins even before the first interview at Disney. Before “Casting” (the interview), potential employees are informed of the company standards, policies, practices and expectations of its cast members. It is made quite clear exactly what is expected of cast members, and what type of person would fit the part. The next step involves a thorough orientation, a behind the scenes tour of the park, and participation in a full-day training session at Disney University. This sets the tone for the work environment, welcoming all potential cast members and stimulating passion for the expected roles and responsibilities. Disney’s management believes that good customer care is an acquired talent that has to be constantly practiced and reinforced. As a cast member, cross training is accomplished on-the-job. “From the start, the training received by cast members prepares them for several roles in the organization. The organization places the highest priority on guest services, and trains this until it becomes second nature to all cast members” (Wheeler 2006). A major element of the customer service training initiative at Disney is Disney University. Walt Disney established the Disney University after opening Disneyland when he realized the need for a structured learning environment to teach the unique skills that are required of Disney cast members. It was the first corporate university and remains one of the largest corporate training facilities in the world. In addition to world-class customer service training, Disney University provides Walt Disney World’s cast members with world-class training in diverse skills ranging from computer applications to culinary arts to regulatory training (Paton 1997). Capitalizing on the success of training their own employees in delivering world-class customer service, Disney opened the Disney Institute, which trains employees from companies all over the world every year. At the Disney Institute they teach organizations from around the world the keys to delivering unsurpassed customer service. The seminars cover areas that include: the service theme, service standards, training service-oriented employees, setting expectations, and delivering consistent customer service. Disney has been able to effectively make customer service the first and foremost job of everyone in the organization through training. Disney has been cited as the epitome of customer service and empowerment. Employees are thoroughly trained and then told that they have the authority to do whatever is necessary to deal with problems on the spot in order to make customers happy. Because of their trust in the customer service training process, management at Disney places the responsibility for the satisfaction of all customers in the hands of their employees, no matter what level the employee may be at within the organization. “Disney World believes that front-line employees should be the first, and the last, contact for customers” (Tschohl 2006). For this reason, the Disney organization has come to exemplify the best in customer service training. The Important Elements of Delivering Great Customer Service This paper has considered the benefits associated with providing good customer service on an aggregate basis. This section of the paper will focus on several specific areas of customer service that should be considered by any organization attempting to raise customer service standards. It almost goes without saying that good customer service is essential to sustaining any business. No matter how wonderful a job you do of attracting new customers, you won’t be profitable for long unless you have a solid customer retention strategy in place that includes delivering great customer service. Customers are not concerned with a policy statement or the promise of exceptional service. They remember how they have been treated by the organization’s employees and what actions were taken to satisfy their needs (Clark 2006). As to this point, there are several specific considerations for those employees of the organization that come into contact with customers. Most consumers have a desire to receive good customer service. Quite often, they desire the little things like common courtesies, efficient service, and appropriate attention (Wheelihan 2002). The following sections are concerned with essential elements of providing great customer service, including examples and definitions. Engaging Customers – It is tough to exaggerate the importance of customer engagement. Fully engaged customers deliver a 23% premium over average customers in share of wallet, profitability, revenue, and relationship growth, according to Gallup Research, while actively disengaged customers represent a 13% discount on the same measures. Furthermore, workgroups that are in the top 25% based on their levels of customer engagement outperform the rest on measures of profit, sales, and growth by a factor of two to one (Rieger 2006). Engaging the customer is one of the first steps to providing customer service that will make a lasting impression on the customer. Be Accessible – Customers expect, justifiably so, that they will have access to employees for questions and concerns, whether on the phone or in person. This element of customer service should be addressed in an organizations customer service strategy. An effective strategy will set the stage and define minimum levels of accessibility for customer access. The expectations of accessibility should be defined and taught to all employees of the organization. Employees should never be too busy to be accessible to customers. An organization should consider investments in the infrastructure that are necessary to provide accessible customer service. This may mean the addition of more people, redesigning physical facilities, or changing the hours of operation for the organization. Whatever the initiative, the goal should be to allow for the maximum accessibility possible for the customer. Be Reliable – Reliability means keeping the promise you made to the customer and doing what you say you will do for the customer. It is important to keep in mind that promises are not only made directly and verbally, but through a myriad of delivery paths in various forms. Organizations make direct promises to customers through advertising and marketing materials, in company correspondence and contracts, and in service guarantees and policies published for everyone to see. In addition, customers will hold the company to indirect commitments – promises that customers believe are implied in the way the company talks about itself, its products, and its services (Zemke 2003). Not keeping promises is one of the quickest ways to create disgruntled, former customers. Display the Right Attitude – A person’s attitude colors the way they react to customers because it has a direct effect on what they hear and how they respond. There are people who can find opportunity in any adversity. Outgoing and optimistic, they strive to make customer engagements fun. They inspire a contagious enthusiasm and make others around them better (Freiberg 2004). Customers sense this and react better to these types of people. Displaying the right attitude is important for everyone in the organization in pursuing an atmosphere that promotes great customer service. Manners count when dealing with customers. Be polite and exhibit an empathetic attitude toward customers. Accept Responsibility – Everyone makes mistakes. The key to rectifying a mistake is to be honest with the customer and to accept responsibility. “The absolute best way to establish a sterling reputation as an organization is to be prepared to take responsibility for whatever decision you make. It is a matter of integrity, and it will earn you the respect of both the employees and customers of the organization” (Scott 2001). Accepting responsibility also means being a team player and providing service to the customer on behalf of the entire organization. There can be no “it’s not my job.” When a mistake has been made, admit it and set things straight. When customers have a complaint – listen, truly listen. Then, apologize and take corrective action. In many instances, the very act of listening (without interrupting) can be enough to diffuse the situation and make the person feel worthy as a customer (Clark 2006). Be Responsive – Timeliness has always been an important part of delivering great customer service, but in today’s hurried society, it has become even more important. From fast food restaurants to one-hour photo finishing, customers are demanding faster service than ever before. Companies that cater to time conscious customers are everywhere you look. Their success affects your customers’ expectations of your willingness and ability to do the same. When customers see other organizations delivering faster and more efficient service, the will demand it of your organization as well (Zemke 2003). If an organization is unable to be as responsive as their competitors, they run the risk of delivering undesirable customer service, or at worst, losing customers to the competition. Be Empathetic – Being empathetic toward customers shows them that you care about their situation. Take time to listen to their concerns, and take actions that show you care. We are used to thinking of compassion as an emotional state, based on our concern for one another. But it is also grounded in a level of awareness. “People see more of the systems within which they operate, and as they understand more clearly the pressures influencing one another, they naturally develop more compassion and empathy” (Senge 1990). To be truly empathetic with a customer an employee should put himself/herself in the position of the customer. Recognizing the customer’s emotional state helps an organization figure out the best way to effectively provide them the service that they are looking for. Be There For The Customer – In many ways, “being there” is the culmination of all of the previous elements mentioned. However, it is also a state of mind. It means that you are present at that time, at that moment, for the customer and his or her needs take precedents over any other function. How much do you actually get done when you are in one place thinking about a different place? Why not commit to being in one place at one time? When you are present, not dwelling on what happened in the past or worried about what may happen in the future, you are fully attuned to opportunities that develop and to the needs of the people you encounter. You gain a healthier perspective and the capacity for greater focus and creativity (Lundin et al. 2002). Customers will easily recognize when they are the sole focus of an employee. Monitor Achievement – Measurement is both the first and last step in producing superior service. There is little sense in creating extensive measurement systems until all the other elements of service are in place, or until there is something to measure. But drafting an effective strategy, the first step toward better service, is difficult without some measure of current service performance. Measuring service performance or quality is quite different from measuring product quality because service is an experience. “The best measurement systems focus on the three aspects of service: process, product, and customer satisfaction” (Klein 1999). Measuring elements of the service profit chain provides an overall indication of how an organization is doing, particularly on dimensions important to the business such as customer service. It is important that the methods of measurement be understood and consistent from period to period. “Organizations that have constructed elaborate measurements and methods often find that the cost of maintaining them and difficulty understanding them defeat their usefulness and guarantee that they will fall into disuse. Such approaches often lead to the kind of tinkering that changes measures from one period to the next, making it impossible to track progress” (Heskett, Sasser and Schlesinger 1997). Great service is much like a gift; it makes us want to continue to do business with an organization on a repetitive basis into the future. With so much competition in the marketplace, customer loyalty is at a premium. The best way to ensure customer loyalty is by consistently delivering great customer service. You achieve customer loyalty by doing the little things that make customers want to deal with the organization again and again, and recommend the organization to others. Satisfying customers can be a tricky endeavor when organizations are faced with multiple complaints, demands, personalities, and angry customers. When these situations arise, the best course of action is to honestly and expeditiously address them. Employees should listen to the customer’s concern, empathize with their situation, and take actions to rectify the situation (Selland 2006). One of the more important factors mentioned in this section is to be “present” for the customer. Above all else, if customers really feel that you are solely attending to their needs, they will experience a feeling of importance that will translate into a positive customer service experience for them. Before concluding this section of the paper, an analysis of customer service elements in regard to Internet and telephone service should be done. With the hyper-expansion of the “virtual” economy more and more customer transactions are taking place in a virtual environment. These customers too expect great customer service. Just as in face-to-face transactions, customers expect virtual transactions to contain the essential elements of customer service. A recent study done on Internet customer service found that satisfaction with various elements of Internet customer service is not at the levels many would expect. According to the respondents, only 43 percent were satisfied with e-mail as a customer service vehicle. Thirty-four percent were satisfied with Web sites in general as a mode of customer service (Rohrbacher 2001). These numbers indicate the need for organizations that do business in an online environment to better adhere to desired customer service principles. A recent study, commissioned by several Internet organizations and conducted by Modalis Research technologies, took a look at customer service elements, their use, and the satisfaction they provide. According to the study, 98 percent of U.S. consumers have used some element of online customer service. Though almost all people have used online customer service, 86 percent of U.S. customers have visited a Web site to find a company’s customer service phone number (Selland 2006). This statistic points to the desire of a majority of customers to speak to someone in an expedient manner. Many online organizations provide e-mail addresses for customers to remit questions to. “Receiving e-mails is only half of the task; customers expect a response in a short amount of time. Good online customer service is possible; an organization just has to have the desire to deliver it” (Rohrbacher 2001). Exceptional Customer Service at the Ritz-Carlton Very few organizations are identified solely based on the exceptional customer service that they provide. A notable exception however, is the Ritz-Carlton Hotel organization. The Ritz-Carlton organization is in the business of luxury hotels and was established in Atlanta, Georgia in 1983. It is one of only a handful of American companies that has earned the coveted Malcolm Baldridge National Quality Award multiple times, and the only hotel company to earn the award more than once. The reason for this is simple; employees at the Ritz-Carlton understand that they are not in the business of renting hotel rooms, or providing five star meals, but rather their sole purpose is to provide an unforgettable customer service experience for guests at their hotels. The organization has been able to achieve this inordinate success in part, because of the way they view their employees; not as employees, but as customers too. Everyone in the organization from the President to the cleaning staff understands this and operates accordingly. The company’s customer service strategies focus first on employees and then on the hotel’s customers. “Our most important customers are employees,” explains Ritz-Carlton’s Marketing Director Jennifer Blackman. “A culture of openness, clearly defined expectations and constant circular feedback create an environment where employees are engaged, empowered and valued for their contributions to the hotel’s success” (Piper 2006). This treatment of employees coupled with extensive customer service training, has translated into what is considered by many to be an elite customer service experience. The renowned customer service that is delivered at the organization’s properties has prompted many of the hotels guests to remark that they “felt pampered,” “respected,” “treated like royalty,” and “spoiled.” This sort of reputation has led to the Ritz-Carlton brand being ranked fourth among the “strongest brands in the world.” Service delivery at the Ritz-Carlton begins even before their guests arrive. Because the organization uses a custom database to track their customers, preferences can be tracked and catered to. The guest profiling goes into great detail. For example, a question about wine might lead to a welcome gift of a bottle of chardonnay as opposed to merlot. This attention to detail and customization of the service experience is in stark contrast to other hotels that may have a standard welcome gift (like chocolates) for frequent guests that may not be appealing to everyone. Staff members are able to use this database to capture a plethora of different customer preference information. This capability can be viewed and used by employees located throughout the chain (Davis 2005). This treatment leads customers to feel special and attain a sense of importance, which in turn translates to a high rate of customer satisfaction and subsequently, customer loyalty. At the Ritz-Carlton, employees are not referred to as employees, but rather ladies and gentlemen. The corporate motto is “ladies and gentlemen serving ladies and gentlemen.” To provide superior service, Ritz-Carlton trains employees with a thorough orientation, followed by on-the-job training, then job certification. “Ritz-Carlton values are reinforced continuously by daily “line-ups,” frequent recognition for extraordinary achievement, and a performance appraisal based on expectations explained during the orientation, training, and certification processes” (Lampton 2003). The management of the organization emphasizes service at all costs. The employees of the organization are empowered to do whatever it takes to satisfy the guest. To ensure problems are resolved quickly, workers are required to act at first notice, regardless of the type of problem or customer complaint. All employees are empowered to do whatever it takes to provide “instant pacification.” No matter what their normal duties are, other employees must assist if aid is requested by a fellow worker who is responding to a guest’s complaint or wish (Quality 2001). The company goes to great lengths to instill and reinforce the philosophy and values in all employees. Everyone receives a wallet-sized copy of the “Gold Standards”, which consist of the company’s Motto, Credo, Employee Promise, Three Steps of Service, and the Ritz-Carlton Basics. These are reinforced in training, which totals 250 hours for first-year front-line employees (Mene 2000). The Ritz-Carlton name has not become synonymous with exceptional customer service by accident, but rather by making customer service the main focus of the organization. Even after winning the 1992 Malcolm Baldridge National Quality Award, Company management raised the threshold for customer service delivery throughout the organization. Goals for customer satisfaction were raised to the “top of the box.” Earning ratings of very or extremely satisfied became a top priority as well as a key element of the Ritz-Carlton strategy to achieve 100 percent customer loyalty. “In its operations, the company set the target of “defect-free” experiences for guests, implementing a measurement system to chart progress toward elimination of all customer problems, no matter how minor” (Mene 2000). As a demonstration of the importance and focus by the organization on this initiative, it can be found in the annual business plan of the company. The company’s business plan demonstrates the value it places on goals for quality products and services. Quality goals draw heavily on consumer requirements derived from extensive research by the travel industry and the company’s customer reaction data, focus groups, and surveys. The plan relies upon a management system designed to avoid the variability of service delivery traditionally associated with hotels. Uniform processes are well defined and documented at all levels of the company (Quality 2001). The Ritz-Carlton name has become so synonymous with “exceptional customer service” that in 1999 they opened the Ritz-Carlton Leadership Center. Just like the Disney organization, Ritz-Carlton began the center as a way to train managers and leaders of business how to benchmark many of the organization’s own best practices. Since opening its doors in 1999, more than 10,000 senior executives and mid-managers have benefited from the diverse mix of benchmarking seminars and leadership development workshops at the Ritz-Carlton Leadership Center (Dardenne 2005). The organization did not actually seek to begin the center as a profit generating entity, but was prompted to do so by many of its business-managing guests. The company agreed to start the center because of its strong belief in creating a “world class culture that promotes knowledge and sustainable change” (Ritz-Carlton 2005). Maintaining an intense focus on service delivery at the Ritz-Carlton organization has proven to be good for customers, employees and corporate profitability. At the Ritz-Carlton organization, a focus on service criteria has resulted in higher employee and customer satisfaction, increased productivity and market share. Perhaps most significant is increased profitability. Research shows that the stock price of companies with effective Total Quality Management implementation outperformed the S&P 500 Index by approximately 34% over a five-year period (Platt 2000). The organization is a shining example of a company that has recognized the link between employee satisfaction, customer retention and corporate profitability. 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