Transforming Corporate Performance: Measuring and Managing the Drivers of Business Success

By Michael A. Milgate | Go to book overview

6
Customer Measurement:
Strategic Issues,
Best Practice, and
New Dimensions

STRATEGIC ISSUES AND RESPONSE

Key Questions and Issues

Donald Peterson, former chairman of Ford Motor Company, could have spoken for any business leader worldwide whose organization is intent on customer homage when he said, [If we aren't customer-driven, our cars won't be either.] A significant development was the QS 9000 world automotive supplier standard jointly devised with General Motors and Chrysler. Two imperatives of doing business with this type of customer are 100 percent just-in-time component deliveries and a maximum of 250 parts per million rejects. As the global giants reposition themselves to secure buyer loyalty, the customer is calling the tune.

The United Kingdom's financial services sector has similar pressures. Mike Jackson, chief executive of Birmingham Midshires Building Society, an exemplar in its holistic approach to customer measurement and performance, has his home telephone number on monthly customer questionnaires in case complainants wish to go to the top. Over a million questionnaires have been distributed in the last five years under two unifying catchphrases: [First Choice] and [Recognised for Excellence.] Now, since a recent strategic review, Jackson's executive group is formally titled the Customer Relationship Team, which sends out strong internal signals. Monthly satisfaction, dissatisfaction, defection, and retention information lands on his desk, resulting in the following

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