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Published byPrudence Merritt Modified over 9 years ago
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Customer & Associate Engagement October 2008 NAW CEO Roundtable Dick Gochnauer United Stationers, Inc. President and Chief Executive Officer
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Engagement is a Business Strategy that can be Leveraged to Drive Revenue and Profitability Engaged Customers Spend more money Less price sensitive, deliver higher margin Engaged Associates Provide higher levels of customer centric behavior More productive & have fewer accidents Finance IT Sales Marketing Product Category HR Legal Shipping Operations Customer Care Customers First Opportunities to Create Engagement are Everywhere! Engaged Associates + Engaged Customers = Profitable Growth
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Customer & Associate Engagement Framework Customer & Associate Engagement Framework Improvements & Measurement Calibration Action Planning Customer Focus Groups Diagnostics The Framework Diagnostics - measure & compare customer expectations and associate perceptions Calibration - gain further insight into diagnostic feedback Diagnostics & Calibration - identify strengths & areas to improve or change Action Planning – create a new customer experience model Improvements & Measures - Provide leading indicators as to the impact of action planning through continuous feedback …a Continuous Feedback Loop …a Continuous Feedback Loop Associate Focus Groups Customer Survey Experience 360 Associate Survey Experience 360 & AES Customer Engagement Actions Associate Engagement Actions Interaction Surveys - Call Centers Care Center Feedback to DC’s Customer & Associate Pulse Surveys
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Customer & Associate Engagement Framework Customer & Associate Engagement Framework …an Ongoing Journey …an Ongoing Journey Calibration Customer Focus Groups Diagnostics Associate Focus Groups Customer Survey Experience 360 Associate Survey Experience 360/AES Diagnostics & Calibration Compare customer expectations & associate perceptions Assess OUR unique drivers of engagement Focus group feedback used to gain further insight into survey responses Action planning based on prioritized customer & associate survey and focus group feedback Survey TypeAudienceMethodFrequencyQuestions Experience 360Principles / OwnersEmail with web linkAnnualAttitude, Attribute, Verbatims Associate SurveyAll associatesEmail with web linkAnnualAttitude, Engagement, Verbatims Focus GroupsTopic dependentPersonal invitationAs neededTopic dependent
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Customer & Associate Engagement Framework Customer & Associate Engagement Framework …an Ongoing Journey …an Ongoing Journey Improve/Measure Action Planning Customer Engagement Actions Associate Engagement Actions Interaction Surveys Care Feedback to Distribution Centers Pulse Surveys Action Planning Prioritized based on items proven to drive engagement Create a new customer experience model Empower associates to own the experience Improvements & Measures Real time measurement providing leading indicators from the customer’s perspective Tracking metrics for customer satisfaction & loyalty Survey TypeAudienceMethodFrequencyQuestions Care Feedback to Distribution Centers OperationsFile of customer call statistics DailyN/A Customer Interaction SurveysCustomers contacting CareEmail with web linkDailyExperience, Transactional Pulse – Customer SurveysPrinciples / OwnersEmail with web linkOn-goingRelational, loyalty Pulse – Associate SurveysAll associatesEmail with web linkOn-goingRelational, loyalty
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Associate & Customer Engagement Engagement & Results Even early in the journey, engagement can be seen in measurement results Results across Distribution Centers show that engagement is linked Higher key financial & performance indicators Including productivity, quality, safety, sales & EBIT …Higher Engagement linked to Business Results Safety + 28% Cost - 20% Productivity + 10% Sales + 5% Profitability + 5 -10% Engaged Associates Provide higher levels of customer satisfaction Engaged Customers Spend more money with the company 66% of our customers expect to grow their business by 5 – 40% if we get it right based on their feedback!
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Recognized as a logistics partner but want expanded order fulfillment capabilities Improved web-based capabilities, advertising/ catalogs & flawless deployment of marketing programs and tools Increased level of value added service offerings & implementation of growth initiatives Increased breadth & depth of products & opportunities in Technology and Jan/San Engagement in Action The surveys & focus groups provided invaluable feedback from customers & associates – We are ACT’ing on the highest customer impact process enhancements Custom logos - Serial number tracking - Auto/item substitution - online invoice access - Simplified shipping/packing lists - Future dated orders - Simplified Returns Processing – S/N Tracking Smart Search - On-going dealer advisory -Engagement in marketing program execution - Increased focus on execution expertise Targeted Marketing Programs such as Green Catalog - Jan/San Promotion – Technology Smart Deals Here’s What Customers Said… Here’s What We’re Doing… > $500K Cost Reductions > $60M Revenue
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Decision making capability to quickly resolve customer issues Increased cross functional communication Know our customers and have stronger loyal relationships Career planning and opportunities for growth Engagement in Action The surveys focus groups provided invaluable feedback from customers & associates – We are ACT’ing on the top enablers to deliver a great customer experience Revised approval levels to drive decision making to lower levels in the organization Established cross functional meetings for shared discussion Provided funding and direction for local customer appreciation events Created opportunities for high performing associates to lead strategic initiatives with increased visibility to top leadership Here’s What Associates Said… Here’s What We’re Doing…
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Engagement is a Journey Engagement is a Journey Critical Success Factors Make it Easy to Internalize 4 Easy Steps Capture customer & associate perceptions of the customer experience Define a great customer experience from the customers’ perspective Determine how the experience can be delivered by associates Develop metrics and action plans and communicate Next Step… Link Engagement to Compensation Business Strategy Linkage OrgReadiness ExecutiveSponsorship CultureChange ManagementAccountability On-going Communication
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