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Putting customer experience at the heart of next-generation operating models | McKinsey & Company
« The other imperative for companies is to explicitly tie the reinvented customer experience to their operations. If they focus only on the front-end experience and don’t change the back-end operations that support it, the new experience is unlikely to be sustainable. Changes will be needed in both underlying processes and the way employees work. »
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More broadly, the effect of customer satisfaction on total return to shareholders (TRS) is dramatic.
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- Digitization: the process of using technology to automate and improve journeys directly.
- Advanced analytics: the autonomous processing of data using sophisticated tools to discover insights and make recommendations.
- Intelligent process automation: a suite of business-process improvements that combines process redesign with automation and machine learning to eliminate repetitive routine tasks.
- Business-process outsourcing: using resources outside the main business to complete specific tasks of functions.
- Lean: a systematic approach to streamlining processes, eliminating waste, and fostering a culture of continuous improvement.
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- Start with a clear understanding of what customers value and use it to decide where to focus (and what to deemphasize).
- Guided by these priorities, simplify and streamline your underlying product and services; if you don’t, you’re likely to digitize existing complexity.
- Link customer value to the operational drivers that underpin it, then design a new operating model based on these linkages, working back from the customer and using digital tools to streamline or automate your processes in line with what customers care about.
- Tackle the most important customer journeys one by one and support the effort with operational changes to improve efficiency and speed.
- Embed agile, cross-functional ways of working and reengineer your management system to support continuous improvement.
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