Professional Documents
Culture Documents
The definition of a complaint therefore is: "any expression of dissatisfaction made to an organisation, related to any one or more of its products, services or the manner in which it has dealt with any such expression of dissatisfaction, where a response is either provided by or on behalf of that organisation at the point at which contact is made or a response is explicitly or implicitly required or expected to be provided thereafter". In our global marketplace where businesses compete both nationally and internationally, effective complaint handling should be a priority for every business. The way a company reacts to complaints is a measure of its concern for the quality of its merchandise and services and of its desire for consumer satisfaction. The foundation of customer goodwill is the existence, promotion and practice of a sound customer relations policy. Your policy should encourage customers to communicate their concerns and demonstrate your commitment to their satisfaction. The policy should spell out how, when, where and by whom complaints or questions are handled. One person within the company should have the ultimate authority and responsibility for customer relations, although all employees should know your policy and how to implement it. Your complaint handling system is structured from your customer relations policy and must operate simply, effectively and quickly. The following procedures are essential: Screening and Logging - The date the problem occurred, a description of the problem, and any other pertinent information should be formally recorded. Investigating - In addition to information from the customer, gather more facts by researching in-house records on the customer, requesting receipts and inspecting the product. Acknowledging - Let the customer know that the matter is receiving attention and how long it will take to resolve the issue. Formulating a Solution - Your solution should be consistent with your customer relations policy. Important criteria to consider include warranty obligations; your customer's expectations; the cost versus benefit of alternative solutions; the probability of your customer seeking redress; the fairness of your decision; and your ability to carry out the solution. Responding - Your response should be clear, appropriate and specific to the individual's complaint. Avoid form letters and technical jargon. Explaining your decision can preserve your customer's goodwill, even if a different result was desired.
Following-up - Contact your customer following your response to verify whether or not the matter has been resolved satisfactorily.
Trade puffing
The main reason a customer complains is the same as it has always been - not getting what was promised. A major overriding reason for this is something the legal profession refers to as "trade puffing". Trade puffing is the act of a business "puffing out its chest" to say it is better than competitors. This is frequently done by making a promise or a guarantee. What tends to happen is the marketing department of Business A makes a promise to out-perform a promise made by Business B. Of course the marketing department of Business B cant stand still, so then reacts with a counter-promise to out-perform Business A and so on. However in recent years the time period between "boasts" has gradually decreased. This is primarily due to an increasingly competitive market-place and the ever increasing ease of communicating with potential customers through the media and information technology. Of course such boasts increase customer expectations, and they have indeed risen exponentially. In many businesses, as a result, the operations department of a business frequently can't keep up with the ever more rigorous boasts made by the marketing department. As a result a gap develops between what is promised and what actually gets delivered.
reality in the customers world irrespective of what the service providers m anagement thinks.
1. Listen
Allow the customer to express his/her dissatisfaction. Don't interrupt. Use "active listening" body language (eye contact, open posture, expression of concern). If the customer is emotional and angry, this stage is particularly important. Interrupting will just exacerbate the problem. Communication cannot take place while the customer is emotional. Use good open body language and eye contact to let the customer know youre listening and youre concerned, and the simple act of active listening will calm the customer to a state of logic when communication can begin to take place. If the customer is very angry and emotional in a very public place, the ideal scenario for both parties (even though the customer may not realise it at the time), would be to move somewhere more private. Great tact and diplomacy needs to be exercised in suggesting this move, and it should not be attempted if there is any doubt or risk that the suggestion will make their emotional state worse. 2. Apologies Say you're sorry and mean it. Use empathy and sympathy, and be sincere. However, dont over-apologies. Every time you say sorry youre inferring youve messed up. So the more times you say it the more incompetent your organisation will appear. Once or twice with sincerity, genuine concern and supporting body language will start to achieve results.
3. Summaries
Re-state, don't repeat. Show that you're interested. Show that you've understood. You may think youve understood the problem, but if the customer was in an emotional state in Stage 1 he/she wont have been communicating very clearly. Often a complaint arises after a chain of unacceptable events. Point E may have been the most recent issue (the straw that broke the camels back) and the one shouted loudest about, but point B in the chain may be the most important to the customer. Dont worry if you have misunderstood something. If the customer was shouting at you in Stage 1, and you have followed the procedure so far, the customer will be calmer and
thinking logically, and there will be an element of guilt for having shouted and will be happy to clarify anything. Because of this guilt, youll have the psychological edge here. Sometimes they will feel a little embarrassed because of how they have behaved. Dont be tempted to exploit this edge.
4. Inform
Tell the customer what you're going to do. Where possible, make promises but be sure to keep to them. If you break a promise here you will have a serious explosion of emotion on your hands. Dont make promises for others as they may not be able to keep them. Promise what you can deliver. If you can resolve the issue within an hour, promise longer if you think it will be acceptable. When you achieve it sooner than your promised deadline (and their expectation). The customer will be impressed and should have every confidence in you by now.
5. Act
Move promptly. Offer the customer a compensatory service if necessary. Frequently it is not necessary and is often too readily offered, which is what keeps the professional complainers we mentioned earlier in business. If it is necessary, offer something that has a large perceived value but is of little cost to the organisation, eg an upgrade from economy to business class where business class isnt full will be a wonderful gift at relatively little expense to you. Or from a standard room to a suite, if it isnt booked, will cost comparatively little but the perceived value financially in terms of difference in rate, and tangibly in terms of luxury is a great gesture. An invitation to return (preferably off peak) is good practice too, as it gives the opportunity to show that what the customer experienced was not up to the normal standard and proves that the organisation can get it right, but dont forget to VIP them when they do come back. Only use discounting the bill as a last resort - 20 discount to them is 20 cost to the business.
6. Follow up
Keep the customer informed. Check for satisfaction. If stages 1 to 5 have been followed, the chances are the customer will be more satisfied, often delighted, than if there had been no cause to complain in the first place. Such customer can become the companys biggest advocate and be more loyal to the company.
Pitfalls
The two most common areas in which companies fall down in the above, are at stages 1 and 4.
Stage 1
In Stage 1 where the customer is particularly emotional, aggressive and even abusive, it is very difficult to stay calm. It is human nature to defend oneself and argue back, but
this should be avoided wherever possible as it frequently escalates the problem. Staying calm however, on the front line, in the public gaze and in the face of overt confrontation is very difficult to achieve in practice. The New York Police Department is an interesting case study here. Mayor Rudy Giuliani became Mayor in 1993. Under his leadership, overall crime dropped by 57%, murder has been reduced by 65%, and New York City, once infamous around the world for its dangerous streets, has been recognised by the FBI as the safest large city in America. New York City's law enforcement strategies have become models for other cities around the world. Part of this strategy includes the STOP technique, which has been proven to be extremely effective in dealing with aggressive members of the public, and in preventing more serious problems. Every NYPD officer has been trained in the technique, summarised in short here. S is for SIGNAL. Everyone has one dominant body language signal which they display when theyre angry such as frown, clenched jaw, hands on hips. Find out and recognise it. This is a preparation phase which anyone can do now. T is for TAKE CONTROL. When confronted, dont get personally involved. Remember the customer is shouting at your uniform and the logo on your name badge, not you. Breathe deeply and slowly to get oxygen to your brain. O is for OPPOSITE. Do the opposite of your signal. This physical action will help your brain to keep you calm mentally. P is for PRACTICE. The more you do this, the better youll become. Practice makes perfect. Following this technique is likely to help avoid confrontation and becoming personally upset or aggravated. This allows an emotional customer to calm down and start thinking logically more quickly, so their complaint cen be resolved more effectively.
Stage 4
The second most common failing is the breaking of promises made in Stage 4. This really is disastrous in the context of complaint handling and can often result in cancelled contracts both now and in the future, or elsewhere in the business. It can escalate the issue to higher levels, such as industry watchdogs and even the press. It is especially frustrating because getting this far in the first place has involved working hard to gain the customers trust, which, by breaking a promise, has now been lost again.
Customers can spot a standard letter a mile off. Personalise the response as much as possible with a human touch. Never write in the first person plural. Always use I, not we. Send an acknowledgement immediately. Again automated e-mail responses are not the best practice. Personalise the correspondence. The acknowledgement only needs to include Step 1 (showing interest) and Step 2 (apologising, which doesnt have to admit liability). Sometimes Step 3 (summarising the facts) can be included in an acknowledgement, but only if this can be done quickly. The customer will realise time is needed to investigate so keep the acknowledgement short, polite and to the point. The acknowledgement has to be quick so the customer feels he/she is being listened to and taken seriously. Remember all this time the customer may be spreading negative reports about the company. The acknowledgement will put this on pause to a degree. Dont turn the acknowledgement into a full response. For an acknowledgement to work, it has to be quick, so a supposed full investigation and response sent too quickly will look false and give the impression that the complaint hasnt been given the care and attention it deserved. First class grammar in the acknowledgement is essential and will start to develop trust. Stay formal, eg Dear Mr. Smith, not Dear Fred Smith as is commonly witnessed. Poor grammar and spelling will destroy any confidence in the organisation and will not stop the negative reports. And misspelling the customers name immediately raises hackles. Steps 4 and 5 (Inform and Act) can follow after the investigation ensuring any deadlines promised in the acknowledgement are met. Step 6 is best done verbally to add a friendly human tone. That said, the more severe the written complaint the more appropriate for earlier stages to be done verbally too. Responding verbally can frequently save time as well. When responding by telephone, always ask if it is a convenient time to talk. Consider pre-empting this in the acknowledgement by asking when would be a good time to call.
The benefits
Complaints, no matter how large or small, should be seen as a gift. They are a low-cost, if not nil cost, way for businesses to gain a unique understanding of a customers mind, and to turn the customer into a loyal advocate, more loyal and more of an advocate than if there had been no cause to complain in the first place. On a personal level for the member of staff skilled in dealing with the complaints, there is little better in the workplace to motivate and generate a feel-good factor in a human being than dealing effectively with a complaint, and turning an angry aggressive customer into an ally. On an organisational level businesses are always talking about avoiding complaints. On the contrary, they should be actively encouraging complaints. The Oxford English Dictionary defines a complaint as An expression of dissatisfaction. The most satisfied customers can always find something to complain about. So, on an organisational level,
businesses that make it easy for customers to complain will learn more about their market, and if they respond effectively to those complaints will undoubtedly thrive. In the current economic climate, focussing on this is a relatively low cost way to enhance turnover, profitability and long term survival.
Getting it right
1 Getting it right
Acting in accordance with the law and relevant guidance, and with regard for the rights of those concerned. Ensuring that those at the top of the public body provide leadership to support good complaint management and develop an organisational culture that values complaints. Having clear governance arrangements, which set out roles and responsibilities, and ensure lessons are learnt from complaints. Including complaint management as an integral part of service design. Ensuring that staff are equipped and empowered to act decisively to resolve complaints. Focusing on the outcomes for the complainant and the public body. Signposting to the next stage of the complaints procedure, in the right way and at the right time.