Service Recovery Leadership Development Series Hillsdale Community Health Center

Definition of Service Recovery Service Recovery means that a service breakdown has occurred and the problem has been corrected to the customers satisfaction Goal: Help retain customers as loyal

Service Recovery Customers do not expect you to be perfect. They do expect you to fix things when they go wrong. Donald Porter Senior VP, British Airways

Creating A Service Recovery Environment Be A Role Model Ask Staff For Suggestions Solicit Customer Feedback Reward Good Customer Service Behavior Encourage Staff To Use Their Initiative Do Not Talk Negatively About Customers

Establishing The Procedures for Service Recovery Identify the most frequent problems reported by customers Develop options for problem resolution Receive training in Service Recovery processes

SERVICE BREAKDOWN Five Reasons Recovery is Critically Important It keeps the customer loyal It builds company profitability It decriminalizes problem identification It improves service quality awareness and teamwork It identifies complaints by type & severity

How To of Service Recovery Apologize Listen, Empathize, Ask open questions Fix the problem quickly and fairly Offer atonement Keep your promises Follow-Up

Three Major Outcomes of an Effective Service Recovery System It identifies service problems It resolves problems effectively The organization learns from the recovery experience

The Case of the Large Fries When Hans & Sarah pulled into the drive-through lane of their local fast food restaurant, they expected quick service. Unfortunately, a mechanical problem left them trapped in a growing line of restless customers. A loyal customer, Hans left the car to alert them of he problem. Oh, its broke again? came the indifferent response. Go back to your car. Well fix it. A slow 10 minutes later, Hans & Sarah reached the service window. How about large fries instead of small to compensate us for our inconvenience? they asked. No. When Hans asked why not, the conversation quickly broke down. The service providers final response? Heres your food and I hope you choke on it!

KEY POINTS Recovery, or returning an aggrieved customer to a state of satisfaction after a service or product breakdown, has a critical economic impact on your organization. Breakdown involves customer expectations of both outcomes and processes.

KEY POINTS (cont.) Recovering well when things have gone wrong increases customer loyalty and decreases marketing expenses. Planned service recovery ensures that each breakdown is handled creatively and satisfies customer and organizational needs.

KEY POINTS (cont.) Only your customer can tell you how annoying or victimizing a particular service breakdown has been. Only your customer can determine when appropriate recovery has occurred. You can, and should, plan for the unexpected!

KEY POINTS (cont.) When problems occur, customers expect you to apologize, give them a fair fix, treat them like your care, and atone for injuries. Fix the person, then the problem is a good rule unless you can not fix the problem. Planned recovery helps you do both, and do them well.

KEY POINTS (cont.) It is critical to identify recurring problems so that you can make changes and corrections in production and service delivery system. Planned service recovery improves overall service quality awareness and motivates employees to work on the customers behalf to solve problems.

Manager Expectations Review all Comment Cards for trends Participate in investigation and resolution process as requested by Patient Advocate/Administration Use trends/incidents as educational opportunities for your staff

Closing Thought Treat the other man like a gentleman not because he is, but because I am. Benjamin Franklin

Test Questions 1) In the scenario The Case of the Large Fries did this incident really happen? (True) 2) Service Recovery means that a service breakdown has occurred and the problem has been corrected to the customers satisfaction. (True) 3) Service Recovery means you never have to apologize to your customers. (False)