McGraw-Hill/Irwin

Copyright 2013 by The McGraw-Hill Companies, Inc. All rights reserved.

Chapter

Customer-Defined Service 9
Standards

Factors Necessary for Appropriate

Service Standards
Types of Customer-Defined Service
Standards
Development of Customer-Defined
Service Standards

9-2

Objectives for Chapter 9:

Customer-Defined Service
Standards

Distinguish between company-defined and

customer-defined service standards.
Differentiate among hard and soft customerdefined standards and one-time fixes.
Explain the critical role of the service encounter
sequence in developing customer-defined
standards.
Illustrate how to translate customer expectations
into behaviors and actions that are definable,
repeatable, and actionable.
Explain the process of developing customer-defined
service standards.
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FedEx Service Quality Indicator

(SQI)

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Factors Necessary for Appropriate

Service Standards
Standardization of service behaviors and
actions
Standardization usually implies a nonvarying
sequential process similar to the production of
goods
Customization usually refers to some level of
adaptation or tailoring of the process to the
individual customer

Formal service targets and goals

Setting specific targets for individual behaviors
and actions; for example, the customer service
standards set by Puget Sound Energy and shown
in Figure 9.1.

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Customer Service Report Card for

Puget Sound Energy

9-6

Service Standards
Standards are based on the most important customer
expectations and reflect the customers view of these expectations.

CustomerCustomerDefined
Defined
Standards
Standards
CompanyCompanyDefined
Defined
Standards
Standards

SOURCES
Customer Expectations
Customer Process Blueprint
Customer Experience
Observations
SOURCES
Productivity Implications
Cost Implications
Company Process Blueprint
Company View of Quality

9-7

Counting
Not everything that counts can be
counted...and not everything that can
be counted, counts.
Albert Einstein

9-8

Standards
HARD STANDARDS AND MEASURES
Things that can be counted, timed,
or observed through audits (time,
numbers of events)

SOFT STANDARDS AND MEASURES

Opinion-based measures that cannot
be observed and must be collected by
talking to customers (perceptions, beliefs)

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Exhibit 9.1: Examples of Hard

Customer-Defined Standards

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Exhibit 9.2: Examples of Soft

Customer-Defined Standards

9-11

Process for Setting CustomerDefined Standards

9-12

What Customers Expect: Getting to

Actionable Steps

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Linkage between Soft Measures and

Hard Measures for Speed of
Complaint Handling

9-14

Responsiveness Standards at
Zappos.com
Respond to 80 percent of all incoming
calls within 20 seconds
Respond to all e-mail messages in less
than four hours
Respond to live (online) chats in less
than 10 seconds.

9-15

Soft Standards at Toyota in

Japan
Standards for salespeople
patterned after samurai
behaviors:
Assume the samurai warriors
waiting position by leaning five to
ten degrees forward when a
customer is looking at a car
Stand with left hand over right,
fingers together and thumbs
interlocked, as the samurais did to
show they were not about to draw
their swords
r
Display the Lexus Face, a closed-rrio n
o
mouth smile intended to put i wa siti
o
a
customers at ease
ur g p
m ti n
a
S ai
w

9-16

More Soft Standards at Toyota

in Japan
Standards for salespeople
patterned after samurai behaviors:
When serving coffee or tea, kneel on
the floor with both feet together and
both knees on the ground
Bow more deeply to a customer who
has purchased a car than a casual
window shopper
Stand about two arms lengths from
customers when they are looking at a
car and come in closer when closing a
deal
Point with all five fingers to a car doors
handle, right hand followed by left, then
gracefully open the door with both
hands
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Hard and Soft Service

Standards at Ford
Appointment available within one day of
customers requested service day
Write-up begins within four minutes
Service needs are courteously identified,
accurately recorded on repair order and
verified with customer
Service status provided within one minute of
inquiry
Vehicle serviced right on first visit
Vehicle ready at agreed-upon time
Thorough explanation given of work done,
coverage and charges
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Standards at Four Seasons

Seven Service
Culture Standards
1. Smile
2. Eye
3. Recognition
4. Voice
5. Informed
6. Clean
7. Everyone

Core Worldwide
Service Operating
Standards

Reservations
Hotel Arrival
Messages and Paging
Guest Room Evening
Service
Breakfast
Room
Exceptions are permitted if
they make local sense

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