OE21 3.2 Customer Engagement

Strategic Objective:

Strategic Objective:

Engage customers for long-term marketplace and financial success

Quality Objective:

Quality Objective:

Translate customer needs into product and service offerings and support

Responsibility:

Approved: DD-MMM-YY

Responsibility:

Approved by: (Name) Chair, Leadership Focus Team (LFT)

Lead: Customer Focus Team (CFT)  Support: All focus teams

VALUE ADDED        

1. Prioritize target customers, prospects, and key stakeholders

 

2. Product/Service/Program Positioning and Branding

 

3. Implement Opportunity Marketing to capture target customers

 

4. Create or update Product/Service/Program Requirements Specifications

 

5. Design and produce new products, services or programs that meet customer requirements and expectations

 

6. Estimate product/service/program costs, and cycle time to design, produce, deliver and support them

 

7. Update Customer Excellence Action Plan

 

8. Select and Input Customer Engagement metrics into the Performance Measurement System (PMS)

POLICY          3.2 COMMENTARY

The organization has adopted the Baldrige Framework Items 3.2 Customer Engagement and 7.2a Customer-Focused Results as the internal policy, including the following sub-items:

3.2a Product or Service Offerings and Customer Support

 

(1) Product or Service Offerings - The organization determines customer and market needs and requirements for product offerings and services, and adapts product/service offerings to meet these requirements. The organization makes extra efforts to exceed the expectations of our customer groups and market segments and identifies and adapts the product/service offerings to enter new markets, to attract new customers, and to create opportunities to expand relationships with our current customers, prospective customers, and key stakeholders.

 

(2) Customer Support - The organization enables customers to seek information and support, and to conduct business with us. The organization has identified our critical means of customer support, including our key communi­cation mechanisms, and how they vary for different customers, customer groups, or market segments. Our organization deploys these requirements to all people and processes involved in customer support.

 

(3) Customer Segmentation - The organization determines its customer groups and market segments, and uses information on customers, markets, and product offerings to identify current and anticipated future customer groups and market segments. Our customer segmentation process considers competitors’ customers and other potential customers and markets and helps determine which customers, customer groups, and market segments to emphasize and pursue business growth.

 

3.2b Customer Relationships

 

(1) Relationship Management - The organization markets, builds, and manages customer relationships, to acquire customers and grow market share; manage and enhance our brand image; retain customers, meet their requirements, and exceed their expectations in each stage of the customer lifecycle to increase their engagement with us. The organization leverages social media to manage and enhance our brand and to enhance customer engagement and relationships, as appropriate.

 

(2) Complaint Management - The organization manages customer complaints and resolves complaints promptly and effectively. The organization's complaint management process enables us to recover our customers’ confidence, enhance their satisfaction and engagement, and avoid similar complaints in the future.

 

7.2a(2) - Customer engagement results. The organization tracks progress and outcomes of customer engagement, including results that are indicators of key engagement and customer relationships. These results are segregated by product/service and by customer and market groups or segments, as appropriate.

PROCESS

3.2 Flow Diagram.PNG

Standard 3.2 Flow Diagram (Figure 3.2-1 Customer Engagement)

Inputs to 3.2 Customer Engagement

Measurement and Analysis Tools and Techniques

Outputs from 3.2 Customer Engagement

Milestone 1 - Customers/Prospects Prioritization
Milestone 2 - Phase I Market Segments/Groups Identified
Milestone 3 - Customer/Prospects Engagement Preparations
Milestone 4 - Opportunity Marketing Assessment Completed
Milestone 5 - Product/Services Offering Information Ready
Milestone 6 - Product/Services Value Contribution Ready
Milestone 7 - Customer Excellence Metrics Reviews underway

Implementation Instructions

START IMPLEMENTATION

SPECIAL CUSTOMER ENGAGEMENT TOOLS AND TECHNIQUES:

(a) Product/Service/Program Requirements Specifications - The CFT and the OFT create or update the Product/Service/Program Requirements for use in design, production, delivery, support, and marketing of the required products, services, and program offerings. The OE21 template named 3.2 Product or Service Requirements Specifications is used where appropriate. 

(b) Product/Service/Program Offering Information - The CFT reviews and updates the organization's product, service and program offerings and descriptions, including datasheets, sales flyers, brochures, technical specifications, web page descriptions, price lists, delivery information, and other characteristics of the offerings. Appropriate work units, customers, and prospective customers receive these items.

 

(c) Product/Service/Program Positioning - The CFT conducts prioritization processes to rate lists of customers, prospective customers, and stakeholders against critical criteria questions. The results are used to position the products, services, and program offerings for success in the markets they serve. 

 

(d) Customer/Prospect/Stakeholder Prioritization Matrix - A matrix spreadsheet tool that is used to rate and select lists of customers, prospective customers, and stakeholders against key criteria questions. Ratings are scored to determine the estimated success of each product, service, or program, including those the organization intends to provide in the future.

 

(e) Sample Size Calculator - see Oe21 Guide to Assessment and Survey Process

 

(f) Opportunity Marketing - The OE21 Opportunity Marketing Guide is used to pursue and capture essential and competitive customer opportunities. The Guide provides a standardized process for boosting marketplace performance as well as sales marketing management, and including: 

 

  • Intake or Pre-Screening

  • Referral Generators

  • Contact Lists (customers and prospects)

  • Value Propositions for each market segment and customer group

  • Touch 1 to "n" communications: phone calls, voice mail, emails, letters, social media

  • Opportunity Presentations and Proposals

 

  • NOTE: The OE21 Opportunity Marketing Guide is comprised of "best practices" often used in Fortune 500 corporate sales management teams. The "guide" is adaptable to fit the environment of a variety of organizational and program scenarios, including business-to-business, business-to-government, and nonprofit strategies to capture customers, prospective customers, and stakeholders in target market segments and customer groups.

 

(f) CFT 3.2 Prioritization of Customers and Stakeholders - A matrix spreadsheet tool that is used to rate and select lists of customers, prospective customers, and stakeholders against key criteria questions. Ratings are scored to determine the estimated success of each product, service, or program, including those the organization intends to provide in the future.

 

(g) CFT 3.2 Opportunity Manager - A spreadsheet model that contains tabs for tracking sales (touch) steps for capturing and persuading target customers/participants and key stakeholders to accept the organization's products/services/programs.

 

(h) OFT 6.1a Process Designer - A spreadsheet model used by the CFT and OFT to determine the costs of goods sold (COGS) and cycle time to create, produce, deliver and support critical products, services or program offerings. 

 

IMPLEMENTATION

 

Task 3.2.1 Conduct Customers or Prospects Prioritization Assessment - This assessment is administered by the CFT and facilitator. The assessment is associated with specific customers or prospects and includes these attributes:

  • Name, role, age group of person who provides inputs

  • NAICS code for customer or prospect's organization

  • ZIP Code  for customer or prospect's organization

  • Best Value - as perceived by customer or prospect

  • Total Solution - nothing else needed to make it work

  • Affordable Solution - as perceived by customer or prospect

  • Availability Solution - available as customer or prospect needs it

  • Competitor Relationships - free of contracts or agreements with our competitors

  • Prior Success - have purchased from us before and experience was successful

  • Positive Referrals - likely that customer or prospect will refer us to others

  • Statistics (scores, measures, etc.)

 

The key tools used for this assessment are:

 

Table 3.2-1 presents implementation steps, actions, results and references for this assessment.

A_3.2 customer prospects prioritization

Table 3.2-1 Implementation of Customer or Prospects Prioritization Assessment

PROGRESS: You have reached Milestone 1 (good work). Input the status [20%] on the organization's OE21 Intranet Main page alongside the title of this standard.

Task 3.2.2 Execute Opportunity Marketing - The LFT, CFT, and facilitator implement the tactics and steps in the CFT 3.2a Opportunity Marketing Guide.

The Opportunity Marketing Guide is used to establish a systematic and holistic approach to optimizing the marketing and sales process, including a three (3) phase campaign for focusing on market segments and groups, preparing for and implementing engagement; including:

 

PHASE 1 - FOCUSING ON MARKET SEGMENTS & GROUPS

  • TACTIC 1: Identify High-Value Targets

  • TACTIC 2: Implement In-take Process

  • TACTIC 3: Implement Referral Generators

  • TACTIC 4: Implement Contact Lists Management

  • TACTIC 5: Research and Listen to Prospects

  • TACTIC 6: Create Potential Solutions for Targets

  • TACTIC 7 - Implement Online Meeting System

 

  • PROGRESS: You have reached Milestone 2 (good work). Input the status [30%] on the organization's OE21 Intranet Main page alongside the title of this standard.

PHASE 2 - PREPARE FOR TARGET CUSTOMER/PROSPECT ENGAGEMENT

  • Step 1: Prioritize Targets

  • Step 2: Create/Update Value Propositions

  • Step 3: Create Touch 1 Content

  • Step 4: Create Standardized Voice Mail

  • Step 5: Create a Standardized Telephone Dialogue

  • Step 6: Create Marketing Presentation

  • Step 7: Prepare Follow-on Presentation

  • Step 8: Practice Presentations

 

  • PROGRESS: You have reached Milestone 3 (good work). Input the status [40%] on the organization's OE21 Intranet Main page alongside the title of this standard.

PHASE 3 - CUSTOMER AND STAKEHOLDER ENGAGEMENT

  • Step 1: Locate and Engage with Internal Sponsor

  • Step 2: Send Touch 1 to Internal Sponsor

  • Step 3: Present Solution to Internal Sponsor

  • Step 4: Present Solution to Influencer(s)

  • Step 5: Set Meeting with Decision Maker

  • Step 6: Presentation to Decision Maker

 

  • NOTE: The implementation of the OE21 Marketing Opportunity Guide will require a substantial effort. The outcomes of this effort are designed to help sustain and grow the organization and to boost its marketplace and financial performance.

 

Task 3.2.3 Conduct the Opportunity Manager Assessment - This assessment is administered by the CFT, Sales Manager, Sales Team and facilitator. The assessment is ongoing as sales and marketing efforts are conducted. The assessment is used to track the progress of opportunities, and includes these attributes:

 

  • ​Role (sales or marketing person title)

  • Name (sales or marketing person)

  • Product or Service title or name

  • Lead Source (email, phone, web site, other)

  • Customer or Prospect Name

  • Customer or Prospect Organization and Zip

  • Role (Customer or Prospect) 

  • Email sent and replies (numbers sent out and received back; to date)

  • Chat invites and conducted (numbers invited and conducted to date)

  • Voice Mails left and replied (numbers to date)  

  • Phone Calls made and received (numbers to date)

  • Social Media Messages sent and received (numbers to date)

  • LinkedIN Messages sent and received (numbers to date)

  • Online Meeting invitations and conducted (numbers to date)

  • Sales Efficiency % (formula)

  • No Progress (numbers)

  • Unsubscribed (numbers)

  • Not Interested (numbers)

  • Undecided (numbers)

  • Interested (numbers)

  • Evaluating (numbers)

  • Purchased (flag)

  • Progress Points (formula)

  • Progress toward Purchase (formula)

  • Comments (five max per customer or prospect)

The key tools used for this assessment are:

Table 3.2-2 presents implementation steps, actions, results and references for this assessment.

A_3.2a opportunity marketing assessment

Table 3.2-2 Implementation of Opportunity Marketing Assessment

PROGRESS: You have reached Milestone 4 (good work). Input the status [60%] on the organization's OE21 Intranet Main page alongside the title of this standard.

Task 3.2.4 Product/Service/Program Requirements Specifications - The CFT supports the OFT in creating or updating of Product/Service/Program Requirements and Specifications for use in design, production, delivery, support, and marketing of the required products, services, and program offerings. Inputs to these Requirements Specifications include:

 

  • (a) Type of products, services or programs required

  • (b) Requirements or specifications needed for products, services or programs

  • (c) Typical order quantities or frequency of delivery expected

  • (d) The customer desired order-to-delivery cycle time

  • (e) Customer desired costs

  • (f) Competitor/comparative organization costs for similar products or services

  • (g) Quality requirements for products, services or programs

  • (h) Organizational Profile Part 1 of 2 (from Topic 1.1)

  • (i) Strategic Action Plans (from Strategic Plan)

  • (j) Results of Voice of Customer, Voice of Prospect and Customer Satisfaction Assessments

  • (k) Value Ratings (1-5) for products, services or programs

 

To create requirements specifications use this template:

 

Task 3.2.5 Create or Update Product/Service/Program Offering Information - The CFT, with support from other focus teams, reviews and updates the organization's product, service, and program offerings, performance, and positioning in the marketplace vs. competitors or comparative organizations. As necessary, new or revised products, services, or programs offering information (i.e., datasheets, sales flyers, brochures, technical specifications, web page descriptions, price lists, delivery information, etc.) are developed and distributed to appropriate focus teams, work units, customers, prospective customers, and key stakeholders. The CFT maintains protected files containing all current and updated product/service/program descriptions and details.

 

  • PROGRESS: You have reached Milestone 5 (good work). Input the status [80%] on the organization's OE21 Intranet Main page alongside the title of this standard.

Task 3.2.6 Program Outputs Costs, Cycle Time and Financials - The LFT and CFT collaborate to determine the financial contributions and costs (i.e., revenue outflow, or costs of goods sold) of each product, service or program. This analysis is used to examine the financial contributions of key products, services or programs.  The Product/Service Value Contribution model described in OE21 2.2 Strategy Implementation is used in estimating the financial contributions  of each product, service or program.

 

  • IMPORTANT: At this point, senior leaders decisions are made in whether or not individual products, services or programs should be continued. All OE21 focus teams assist in making these key decisions because they affect long-term sustainability and growth of the organization.  

  • PROGRESS: You have reached Milestone 6 (good work). Input the status [90%] on the organization's OE21 Intranet Main page alongside the title of this standard.

Task 3.2.7 Integrate Assessment Action Plans into Customer Excellence Action Plan - The Customer/Prospect and Opportunity Marketing Assessments (Action Plan tabs) may include tasks that should be integrated into the 3.0-CFT-P Customer Excellence Action Plan. The CFT reviews the Action Plan tabs, and as appropriate, the CFT integrates one or more of the tasks into the Customer Excellence Action Plan. This integration requires additional resources and approval of the added tasks, resources, schedules and budgets for the plan. 

 

Task 3.2.8 Select 3.2a Customer Engagement Metrics.

NOTICE: If the organization has an existing Performance Measurement System (PMS), then the internal process is followed to select and review 3.2a Customer Engagement-related measures. If the OE21 tools are used, the following guidelines apply.

 

Guideline 1 - Select Key Results Indicators (KRI). The KRIs are commonly called Key Performance Indicators (KPI). Examples of KRIs for 3.2 Opportunity Marketing are as follows:

 

  • Customer Ratings of Products, Services or Programs (1-5 with comments)

  • Customer Complaints (by Products, Services or Programs (frequency and comments)

Guideline 2 - Figure 3.2-3  presents the implementation steps, actions, references, and instructions sources used for 3.2a results.

A_3.2 customer engagement Metrics table.

Table 3.2-3 Implementation of 3.2 Customer Engagement Metrics and Review

Task 3.2.9 Review 3.2a Customer Excellence Metrics - Conduct regular (at least monthly) reviews of Standard 3.2a Measures. Reviews for KRIs are critical to show whether overall organization performance is moving toward target levels and key intended outcomes (KIO) for Customer Excellence.  

  • Correlation: Where possible, the KRD (drivers) are correlated with KRI (indicators) to determine if and how much the KRD Action Plans are helping boost KRI performance. 

At this point, regular performance reviews are conducted and attended by the Customer Focus Team. 

  • Figure 3.2-3 provides an example KRI for 3.2 Customer Engagement.

  • Figure 3.2-4 provides an example KRD for 3.2 Opportunity Marketing.

PROGRESS: You have reached Milestone 7 (good work). Input the status [100%] on the organization's OE21 Intranet Main page alongside the title of this standard.

3.2 KRI.PNG

Figure 3.2-3 Example KRI Trend Chart for Standard 3.2 Results

3.2 KRD.PNG

Figure 3.2-4 Example KRD Trend Chart for Standard 3.2 Results