QSO 455 3-2 Integrative Learning Exercise: Examining a Customer Service Failure

Step-By-Step Guide on QSO 455 3-2 Integrative Learning Exercise: Examining a Customer Service

Introduction to QSO 455 3-2 Exercise

This Owlisdom How-To Guide is designed to assist you in understanding and executing an assignment on Customer Relationship Management (CRM) within the context of supply chain management. The QSO 455 3-2 Integrative Learning Exercise: Examining a Customer Service involves two main tasks: reflecting on a personal experience with service failure and designing a CRM system for an organisation. This dual approach helps deepen your knowledge and practical understanding of CRM’s pivotal role in enhancing customer satisfaction and loyalty.

Part One: Reflection on a Personal Experience with Service Failure

To solve the first part of QSO 455 3-2 Integrative Learning Exercise: Examining a Customer Service, we will discuss the time we experienced a service failure and reflect on our experience.

What was the failure or shortcoming?

Identifying the Service Failure

• Think back to a specific instance where you experienced poor service. 
• Describe what went wrong concisely, focusing on the details relevant to the CRM.

Example

During a recent online shopping experience, the primary service failure was a significant delay in the delivery of my order, which was supposed to arrive within three business days but took over two weeks. The lack of timely updates from the company compounded the issue, leaving me uncertain about the status of my order and diminishing my trust in their reliability.

How was your attitude toward the service provider affected?

Impact of the Service Failure on Your Attitude

• Reflect on how the service failure made you feel towards the service provider. 
• Were you frustrated, disappointed, or indifferent? 
• Explain your initial emotional response.

Example

Initially, my attitude toward the service provider was one of significant frustration and disappointment. The delay disrupted my plans, as the items ordered were intended for a specific event. The absence of communication from the service provider left me feeling neglected as a customer, leading to a negative perception of their customer service practices.

What was the company’s offer for resolution?

Company’s Resolution Offer

• Detail the company’s response to the failure. 
• What solutions or compensations were offered? 
• Were they immediate, or did it take some time?

Example

After contacting customer service, the company apologised and offered a partial refund as compensation for the inconvenience caused. Additionally, they provided a discount code for future purchases. This response was somewhat delayed, as multiple inquiries from my side were needed to receive this resolution, which affected my satisfaction with their handling of the situation.

How did your attitude change based on the company’s action?

Changes in Attitude Post-Resolution

• Discuss how your feelings or attitudes changed after the company’s intervention. 
• Did the resolution restore your faith in the company, or were you left wanting more?

Example

The company’s resolution did mitigate some of my initial dissatisfaction, as the financial compensation recognised the inconvenience caused. However, while the discount for future purchases was an encouraging gesture, it did not fully restore my faith in the company. I remained cautious about future interactions, feeling that the resolution could have been timelier and more proactive to regain my full trust.

Part Two: Designing a CRM System

For the second half of the QSO 455 3-2 Integrative Learning Exercise: Examining a Customer Service, we will assume we are the team leader for a consulting group that is charged with designing, developing, and implementing an organisation’s system for customer relations management. Here, we will create an outline of the opportunities that we believe such a system would provide the organisation, the challenges inherent in developing the system, and the issues related to implementing and using the system.

Identify the necessary inputs and support staff for the system.

Identifying Necessary Inputs and Support Staff

• List the resources and team members required to build and maintain a CRM system. 
• Consider aspects like technology, data analysts, customer service representatives, etc.

Example

To effectively design and develop a CRM system, the essential inputs include advanced CRM software, customer databases, and communication tools (Stefanov et al., 2023). Support staff critical to this system’s success will encompass IT specialists to handle the technical setup and maintenance, data analysts to interpret customer data, and customer service representatives to manage direct interactions. Additionally, project managers will oversee the CRM system’s integration with existing company processes, ensuring smooth operation and alignment with business objectives.

Discuss what information will need to be gathered.

Information Gathering Techniques

• Define what type of customer data is essential for the CRM and how you can obtain it. 
• Include both qualitative and quantitative data types.

Example

The CRM system will require a variety of customer data to function optimally. Essential data includes demographic information, purchase history, service interaction records, and customer feedback. To obtain these, we will employ diverse techniques such as online surveys, in-app behaviour tracking, and direct customer interviews. Both qualitative insights, like customer satisfaction levels, and quantitative data, such as purchase frequencies, will be crucial for a holistic understanding of customer behaviours and needs.

Outline how that information will be collected and managed.

Information Collection and Management

• Outline the methods for data collection (e.g., surveys, direct feedback, social media monitoring). 
• Discuss how you will organise, store, and analyse this data.

Example

Effective management of collected information involves deploying robust data collection methods such as real-time tracking systems, customer service logs, and integrated feedback tools across digital platforms. The data management plan will include secure cloud storage for scalability and accessibility alongside advanced data analytics platforms to analyse and interpret data systematically. Regular data audits and updates will ensure accuracy and relevance, providing a reliable base for decision-making and strategy development. (Rangineni et al., 2023).

Explain how the system will improve customer retention.

Enhancing Customer Retention through the CRM System

• Explain how the CRM system will use the collected data to improve customer relationships and retention. 
• Focus on strategies like personalised communication, loyalty programs, and proactive service adjustments.

Example

The CRM system will enhance customer retention by leveraging detailed analytics to tailor communications and offers to individual customer preferences and needs. Personalised marketing strategies, based on predictive analytics, will anticipate customer desires and deliver targeted solutions, increasing customer engagement and loyalty. Additionally, implementing loyalty programs that reward frequent purchases and consistent engagement will solidify customer relationships. By proactively addressing potential dissatisfaction through service adjustments informed by customer feedback, the CRM system will significantly improve the overall customer experience, driving retention and value (Lamrhari et al., 2022).

Closing

In completing the QSO 455 3-2 Integrative Learning Exercise: Examining a Customer Service, you will gain a comprehensive insight into both the theoretical and practical aspects of CRM in supply chain management. Reflecting on personal experiences allows you to understand the customer’s perspective, enhancing empathy and service orientation. This exercise will not only broaden your understanding of CRM but also equip you with the skills necessary to implement effective CRM strategies in real-world scenarios. You can also read QSO-455, the next module, 4-1 Discussion on Strategic Sourcing.

References

Lamrhari, S., El Ghazi, H., Oubrich, M., & El Faker, A. (2022). A social CRM analytic framework for improving customer retention, acquisition, and conversion. Technological Forecasting and Social Change, 174, 121275. Rangineni, S., Bhanushali, A., Suryadevara, M., Venkata, S., & Peddireddy, K. (2023). A Review on enhancing data quality for optimal data analytics performance. International Journal of Computer Sciences and Engineering, 11(10), 51–58. Stefanov, T., Varbanova, S., Stefanova, M., & Ivanov, I. (2023). CRM System is a necessary tool for managing commercial and production processes. TEM Journal, 12(2), 785.