Name the author who…
- Attended Disney University.
- And Nordstrom University.
- And….is a huge proponent of Total Quality Service (TQS), which changed a lot of ideas about how companies should treat customers.
If you don’t know, you may soon.
It’s Ron Baker, author of several books like Measuring What Matters Most, Pricing on Purpose, and The Firm of the Future and founder of The VeraSage Institute (www.verasage.com), a revolutionary think tank for professional knowledge firms.
When I interviewed Ron Baker, I asked him what impact he had seen in companies that measure what matters most to their customers, Baker spoke about BMW, who has a Chief Customer Experience Officer (great title). “I think they get closer to their customer, and it transforms the relationship with the customer when focused on outputs,” he said.
FedEx was another company highly focused on the output to the customer. Baker notes “FedEx measures how their customers define success – did the package get there on time?” He warns “Lagging indicators don’t focus you on your customers.”
One of my favorite examples of companies who have done an excellent job with measuring what matters most to their customer is CD Baby. They cater to independent music artists as a low-cost way to distribute music electronically. Instead of measuring annual revenues, they measure how much money they generated for their customers.
So, think about how this applies your business. Are there ways that you could be measuring what matters most to your customers? Take a few minutes and brainstorm those five or six things that your customers want you to deliver on. Are these Key Performance Indicators (KPI’s) for your business?
If you have additional questions, look for our summer webinar series we will be announcing soon. Ron Baker will be joining us with many other business thought leaders in a webinar series focused on growing your business.