CRM Is Just Laissez-Faire Capitalism

Nancy M
Member

Posted 16-Jul-2006 11:09 AM
You know I recently left a company because the "customer centric change culture" had turned what was once a great place to work into a toxic environment that's deadly for employees and customers.
They are now so short staffed that their simply are not enough people to do the job and in a retirement community that's a disaster, a "customer" could literally die.

In a year employee satisfaction dropped over 10 percent and the attrition rate went from 2% to 15%.

I'm now freelancing and I see it everywhere. As soon as the suits start trying to implement "change" they start treating the workforce as if its disposable. My rule of thumb; when human resources starts inserting Zen quotes in the employee newsletter start getting your resume updated. Cause as sure as night follows day the evaluation process is going to be tweaked to maximize "customer satisfaction" which means from anybody, any complaint is a big deal. All it does is circumvent the laws put in place to insure that employers treat employees ethically. Suits like that because they get a bonus for keeping the FTE pay equivalency at the status quo (no Zen change quotes when it comes to paying for the services you sell).

Bottom line is this stuff isn't going to work until MANAGEMENT changes. They need to be less GREEDY and more RESPONSIBLE. They need review what they have at hand in any department before they "change" requirements. I see it time and time again. In the budget everything get cut to the bone (staff, equipment, hardware, software etc.) then they want to increase services w/o the base to support those services. They might as well give you a stone ax and demand you build a space shuttle, and God help you if you tell them the truth.

Where does this leave customers? Well if people take on the characteristics of the people they are surrounded by, and people are constantly getting abused then, customer service isn't going anywhere, because there are some things you don't want to change. They are called CHARACTER and LOYALTY.
Nancy Minter

Graham Hill
Guru
Member

Posted 17-Jul-2006 12:22 AM
Nancy

I don't think that the situation you decide is directly attributable to capitalism, but rather to short-term opportunism by a management that will likely not be around for all that long.

As the old saying goes, "A fish rots from its head".

There are very few successful companies where employees are not content with their lot. Dissatisfied employees lead to dissatisfied and defecting customers, increased costs, reduced returns and ultimately, to a change of management.

Graham Hill
Independent CRM Consultant

Jim Barnes, CRMGuru Panelist
Advisory Board
Member
Picture of Jim Barnes, CRMGuru Panelist

Posted 28-Aug-2006 11:37 AM
Nancy

The situation that you describe is also, I would suggest, a function of how the organization defines success and how they reward mangement in accomplishing it. They appear to have a very short-term view of the world and a genuine lack of appreciation for the role of people in bringing about success as defined by customer loyalty. But then again, maybe that's not what they are after.

Sounds like it's not the most pleasant environment and maybe you are better off out of there; but, then again, where are those companies that thrive on a supportive culture and are prepared to invest in the human and other resources to achieve long-term success? They are out there, but may be difficult to find.

Jim

Jim Barnes specializes in Customer Strategy as a member of the CRMGuru Advisory Board. For more information, please visit Barnes Marketing Associates.

Nancy M
Member

Posted 20-Oct-2006 05:32 AM
Jim,

I hadn't visited the site in a long time and just saw your post.

I think what you're saying is exactly my point. Companies pay a lot of lip service to "quality" and "customer centric work environments." but all it is, is lip service.

What is really happening is this. Since the Reagan years every regulation that was passed in the wake of the Great Depression has been at least weakened if not repealed.

So too the regulations/laws governing the treatment of labor.

This is great for the day traders (in the twenties they were called speculators) at least for a while. But Economics though esoteric is built on reality, and fortunes built on shuffling papers while canabalizing the real worth of an enterprise is just a house of cards. CRM is just one of the many smoke screens for this.

We know what happens when blind ambition and greed is allowed to run unchecked. The economy breaks down and everyone pays the debt.

People will always push the envelope, because they confuse what they want with their best interest.

What most of the businesses I see should be doing (and as a free lancer I see a lot of them)

1. Cut the management staff. Insist that the managers kept actually work instead of just attending meetings and coming up with lists of "directives" that are nothing more than make work to do lists. Try promoting from within, that way your managers know what the reality is on the line.

2. Keep your line people and educate/empower them to say yes. That will vastly improve customer service.

3. Recognize that if you have to ask if something is legal, then it's probably not ethical so don't go there.

4. Recognize that a quick profit that sacrifices quality and service will shut you down long term.

Do I sound too idealistic? I know that it does, but it seems pragmatic to me.