• Customers' Revenge (HBR Case Study and Commentary)

    Venerable Detroit automaker Atida Motors has a new call center in Bangalore that the company hopes will raise its reputation for customer service. But it doesn't appear to be doing so yet. Complaints about the Andromeda XL--the hip new model Atida hopes will capture the imagination of Wall Street--are flooding the call center. Call backlogs are building, and letters of complaint are piling up. One loyal Atida customer is so upset about getting the brush-off that he's not only talking to a lawyer but threatening to go on YouTube and take his case to the court of public opinion. In the Internet age, does Atida need a new way to deal with unhappy customers? Tom Farmer, the creator of the unintentionally viral PowerPoint presentation "Yours Is a Very Bad Hotel," says that Atida needs to stop defining customer service solely as a response to bad news and nip problems in the bud by making online dialogue intrinsic to the brand experience. Nate Bennett, of Georgia Tech, and Chris Martin, of Centenary College, observe that Atida has violated its customers' sense of fairness within three dimensions--distributive, procedural, and interactional--thus increasing their desire for revenge. Lexus Vice President for Customer Service Nancy Fein thinks Atida isn't even in the ballpark when it comes to world-class customer service. She offers as an example a Lexus rep who drove 80 miles to deliver $1,000 to a stranded Lexus owner whose purse had been stolen. Barak Libai, of Tel Aviv University and MIT's Sloan School, suggests that Atida invest in a CRM system so that it can determine which customers have enough purchasing and referral value to be given the red carpet treatment and which should be gently let go.
    詳細資料
  • Customers' Revenge (Commentary for HBR Case Study)

    Venerable Detroit automaker Atida Motors has a new call center in Bangalore that the company hopes will raise its reputation for customer service. But it doesn't appear to be doing so yet. Complaints about the Andromeda XL--the hip new model Atida hopes will capture the imagination of Wall Street--are flooding the call center. Call backlogs are building, and letters of complaint are piling up. One loyal Atida customer is so upset about getting the brush-off that he's not only talking to a lawyer but threatening to go on YouTube and take his case to the court of public opinion. In the Internet age, does Atida need a new way to deal with unhappy customers? Tom Farmer, the creator of the unintentionally viral PowerPoint presentation "Yours Is a Very Bad Hotel," says that Atida needs to stop defining customer service solely as a response to bad news and nip problems in the bud by making online dialogue intrinsic to the brand experience. Nate Bennett, of Georgia Tech, and Chris Martin, of Centenary College, observe that Atida has violated its customers' sense of fairness within three dimensions--distributive, procedural, and interactional--thus increasing their desire for revenge. Lexus Vice President for Customer Service Nancy Fein thinks Atida isn't even in the ballpark when it comes to world-class customer service. She offers as an example a Lexus rep who drove 80 miles to deliver $1,000 to a stranded Lexus owner whose purse had been stolen. Barak Libai, of Tel Aviv University and MIT's Sloan School, suggests that Atida invest in a CRM system so that it can determine which customers have enough purchasing and referral value to be given the red carpet treatment and which should be gently let go.
    詳細資料
  • Second in Command: The Misunderstood Role of the Chief Operating Officer

    Asking the question, "What makes a great COO?" is akin to asking "What makes a great candidate for U.S. vice president?" It all depends on the first name on the ticket-the CEO. New research sheds light on this most contingent, and most mysterious, of C-suite jobs. After in-depth conversations with dozens of executives who have held the position and with CEOs who have worked with COOs, the authors have concluded that different views of the COO role arise from the different motives behind creating the position in the first place. There are seven basic reasons why companies decide to hire a COO: to implement the CEO's strategy; to lead a particular initiative, such as a turnaround; to mentor a young, inexperienced CEO; to complement the strengths or make up for the weaknesses of the CEO; to provide a partner to the CEO; to test out a possible successor; or to stave off the defection of a highly valuable executive, particularly to a rival. This tremendous variation implies that there is no standard set of great COO attributes, which makes finding suitable candidates difficult for companies and recruiters alike. Still, certain common success factors came up consistently in the interviews, the most important being building a high level of trust between CEO and COO. Trust comes from meeting obligations on both sides: The COO must truly support the CEO's vision; keep ego in check; and exhibit strong execution, coaching, and coordination skills. The CEO must communicate faithfully, grant real authority and decision rights, and not stymie the COO's career. It's surprising that COOs are not more common. They would be, the authors contend, if there were less confusion surrounding the role. As we continue to demystify that role, more companies will benefit from more effective leadership.
    詳細資料