Operations Management Principles-Phase 1 DB - Essay Example

Running Head: Phase Discussion Board Introduction How a company deals with service complains is crucial in ensuring its growth and sustainability in today’s global market. Due to globalization companies are realizing the importance of customer, thus phrase like customer is the king are not strange slogan in today business (Hyde M, 2003). Thus, how our company treats its customers’ complains defines it competitive edge in the market place. Recent research carried out shows that consumers, wherever they come from are more likely to complain nowadays due to the fact that they are more educated on quality than ever before (Hyde M, 2003).

This makes today’s customer more sophisticated in terms of tastes and preferences. Customers have come to demand the value of their money in relation to quality and other critical features of products or services. Recent research shows a massive growth in numbers of people complaining about poor services or faulty goods as well as being more assertive and willing to take action against companies (CIM, 2003). Customer complains may range from faulty goods or inadequate services. Thus there is the need to realize we are operating in a more competitive and litigious environment where our company must respond to customer complains.

Research also indicates that it is far easier and cheaper to retain current customers than it is to cultivate new ones (Wilmshurst J. & Mackay A, 1999). Moreover, research shows that dissatisfied customers tend to spread the news of their bad experiences very quickly – something that will affect not only our company image, but also risk loosing sales in the long run. There need for the company to develop a strategy that must effectively deal with customer complains for us to achieve growth and sustainability in the industry and take market leadership.

For the purpose of establishing practical steps in establishing a customer complaints program, I will use steps established by Wilmshurst, J. and Mackay, A 1999 in their book The Fundamentals of Advertising, which suggest identification of customer needs and perception as first step. Our company must clearly establish what these are and how our customer care department needs to be designed to meet them (Wilmshurst J. & Mackay A, 1999). Secondly, we need to establish a mission statement that is widely accepted for the approach of customer care.

Thirdly, our company must clearly set standards and specifications, such as standard for courtesy, credibility, communication, responsiveness, empathy with customer and confidentiality. Fourthly, we must establish management processes and communicate this to all staff. This will involve clear specifications of how jobs should be done with regard to achieving customer care objectives. Fifthly, we must define tasks to time factors. These factors include timing of recurrent work, seasonal factors, among others.

Sixthly, we must establish a basic minimum level despite the fact that customer care should meet the highest level of standards. Seventhly, we must ensure clear systems and procedures are in place for effective response to complaints. Eighthly, a secure management commitment must be in place. It is especially important that this commitment is established through input of all levels of management, but especially at the head of the organization. Lastly but not the least, we need to implement effective and continuous measurement and control as it is fruitless paying lip service to customer care (Wilmshurst J.

& Mackay A, 1999). Establishing a customer service department should be our company priority. This will help the company improve products and services, as company will not start seeing complaints as an unfortunate occurrence. A company benefits from realizing that things do go wrong and that customers do complain (CIM, 2003). The company will not only be improving its products, but also improving customer loyalty in the long run (CIM, 2003). Also, I would recommend our company to acknowledge complains as beneficial, rather than detrimental to company, hence look for ways to cultivate a culture that encourages customer complains.

ReferenceCIM (2003). CIM Companion: Marketing in Practice. Cookham, Chartered Institute of Marketing.Hyde, M. (2003). Marketing in Practice. Oxford, Butterworth-Heinemann. Wilmshurst, J. and Mackay, A (1999). The Fundamentals of Advertising. 2nd Edition, Oxford, Butterworth-Heinemann.