Executive management support Willing participation and buy-in of all associates involved in the redesign Focus on value-add and customer-focused processes Using Six Sigma with BPR The essence of Six Sigma is found in the reality that business processes are inherently unpredictable. Six Sigma provides a way of measuring the variability in a process as it delivers services to an end-user or customer. This method is used for improving an existing process when it is not meeting customer needs.
Made phone call Policyholder purchased new policy. To make this work, of course, the biggest difficulty to overcome is to sell the system to the agents. Each agent has their own methods. Some are adverse to using a computer. An organized campaign to sell the program has to be developed and carried out.
The other requirement is the need to set up a control group of customers who do not get the letters. Some of them will buy the Next Best Product without any letter, because of various other promotions that are always being conducted.
What you have to prove is whether these letters and the discounts offered were working. Only by comparing the results with a control group can you prove to management that your money is well spent.
Sales of the Next Best Product to those who received the letters were more than ten percent higher than sales to people who did not get the letters. The predictive model worked extremely well. Communicating with customers Home and automobile insurance is a tough business.
Because of vigorous competition and high acquisition costs, it takes several years before an automobile insurance customer can become profitable. If the customer leaves a year or two after being acquired, the insurance company loses money. Travelers knew this but was not able to do much about it.
Travelers works through thousands of independent agents who handle insurance for many different companies. A database analyst from CDC set up a communications system for Travelers that worked. From previous experience the analyst knew that: Similar programs attempted at Travelers had not been successful, however, Customers want communications.
They like to hear from their insurance agents. To be effective, the communication should come from a local agent, not from a national headquarters.
To begin, it was necessary to sell the program to the independent agents. It met a lot of resistance. They were not convinced: The messages were from the local agent. The program provided the agents with a turnkey operation which was simple to buy into, and required almost no work on the part of the agents themselves.
The program developed five annual "touches" which varied with the type of insurance that the customer had, and the length of time that the customer had been with Travelers. Within 60 days of renewal An annual review of the policy Within the 1st quarter.Bob Thompson is CEO of CustomerThink Corp., an independent research and publishing firm focused on customer-centric business management, and Founder/Editor-in-Chief of ashio-midori.com, the world's largest community dedicated to customer-centric business.
International Journal of Academic Research in Business and Social Sciences October , Vol. 1, No. 3 ISSN: ashio-midori.com Customer satisfaction (often abbreviated as CSAT, more correctly CSat) is a term frequently used in ashio-midori.com is a measure of how products and services supplied by a company meet or surpass customer expectation.
Customer satisfaction is defined as "the number of customers, or percentage of total customers, whose reported experience with a firm, its products, or its services (ratings. According to new report from CFI Group, customer satisfaction levels have experienced a slight decline over the past year.
Data compiled from consumers across various sectors reflects a customer satisfaction score of 68 (out of ), a four-point decline from the previous year.