2. Process

1. Research and development

    1. Develop a strategy that integrates product innovation and process improvements with quality management.

    2. Create a fundamental operating philosophy for innovation.

    3. Determine the degree of innovation a given product or service requires.

    4. Focus on solving customers' emerging problems.

    5. Cultivate an environment that enables all employees to contribute their best.

    6. Start visionary thinking at the top; then build at every level.

    7. Structure organizational systems and roles to support innovation.

    8. Reward idea generation.

    9. Obtain top management support on being customer driven to integrate marketing research into the new product development process.

    10. Test product concepts and prototypes with customer throughout the new product development process.

    11. Understand the relationship between quantitative research measurements and new product success.

    12. Create a synergistic alliance of management, stakeholders, and the project team.

    13. Incorporate customer information into every stage of product development.

    14. Test products to ensure marketplace suitability and fit with customer needs and expectations.

    15. Support product launch through careful planning and monitoring.

2. Marketing and sale

    1. Develop a framework for market segmentation.

    2. Use customer information to drive strategic marketing.

    3. Use the Internet as a sales and distribution channel.

    4. Modify pricing as needed to adapt to marketplace changes.

    5. Develop a strategic advertising plan that is targeted to different customer segments.

    6. Collect data and information from more than one source.

    7. Consider both long-term demand opportunities and short-term risks when determining market potential and investment strategies.

    8. Set up joint ventures with local partners to facilitate market entry.

    9. Adapt pricing and promotion strategies to the emerging market conditions.

    10. Cultivate government relations and political alliances to strengthen market position

    11. Align sales territories to meet customer needs.

    12. Organize selling teams to meet the increasing complexity of customer demands and product and service capabilities.

    13. Establish partnerships with customers by selling added value

    14. Analyze your value chain to identify opportunities presented by electronic commerce.

    15. Provide one primary contact point for each type of customer.

    16. Create a simple, easy to use order taking process.

    17. Create an integrated system that is informative and flexible, and used throughout the company.

    18. Make decisions at the time of customer contact.

    19. Establish and periodically re-evaluate long-term agreements between customers and the company.

    20. Align public relations with marketing strategy.

3. Production and delivery

    1. Adjust the product design where possible to match existing manufacturing tools and techniques.

    2. Develop plans for any new tools and techniques that are needed.

    3. Outline the operations and the sequence of operations to be performed to produce the product.

    4. Assign specific equipment and personnel to each operation.

    5. Measure the time required to perform each operation.

    6. Identify the materials needed to produce each part or unit.

    7. Adjust the plan as needed to reach targeted costs as indicated by price and sales volume.

    8. Prepare procurement personnel.

    9. Create department schedules.

    10. Establish storage and delivery procedures and controls.

    11. Prepare and issue work authorization.

    12. Establish inventory controls for finished goods.

    13. Maintain alternative plans of action.

    14. Allow for the time that it takes to adjust to changes in production rates and levels.

    15. Use daily and weekly plans to factor in holidays and vacation peaks.

    16. Avoid building overtime into the plan; reserve it as a means for dealing with the unexpected.

    17. Establish in advance the circumstances that justify a change in the production plan and change production plans only when these circumstances arise.

    18. Create a unique production plan for each major manufacturing facility.

    19. Write the production plan in simple, direct language to make it easy to use.

    20. Add sales and production figures to the plan as they become available for comparing actual figures with planned figures; analyze variance to refine planning assumptions.

4. Customers services

    1. Break down organizational barriers that hinder customer service excellence.

    2. Include service excellence as part of the design of every new product or service.

    3. Align customer service strategy and processes with overall corporate mission and goals.

    4. Establish and build long-term relationships with customers to increase customer satisfaction and loyalty.

    5. Segment the staff, if feasible, by geographic location or establish regional teams at one location, but maintain consistent service levels and procedures.

    6. Ensure that customer service is closely coordinated with billing and premium collections.

    7. Solicit "feedback" from customers to obtain useful data on customers' expectations, needs and responses to the services provided.

    8. Follow-up on all complaints to ensure that the customer receives a prompt and satisfactory response, that appropriate personnel are made aware of complaints and ensure that they take corrective action to reduce future complaints.

    9. Invest in extensive training of customer service representatives in both product features and human relations skills.

    10. Manage telephone and mail services effectively to maximize resources.

    11. Implement progressive personnel practices to create an optimal service environment.

    12. Empower customer service representatives to make decisions.

    13. Maximize information systems and imaging technology to improve service and cost effectiveness.

    14. Design customer service processes to obtain and provide marketing and product design.

    15. Use the customer service process to obtain information from customers on their reactions to the company's products and services.

    16. Ensure all customers know how to contact the organization.

    17. Provide special access for key customers.

    18. Resolve inquiries at the time a call is made by the customer.

    19. Make the customer feel like the organization cares.

    20. Ensure the operator has good customer care skills.

    21. Employ people with the right aptitude.

    22. Ensure employees are adequately trained.

    23. Integrate telephone response technology and information systems.

    24. Maintain state-of-the-art call center operations to better serve customers.

Next ...

MANAGEMENT PRACTICES BAROMETER