Roy's Blog

August 5, 2019

Why brilliant customer service cannot have stupid rules and policies


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Why brilliant customer service cannot have stupid rules and policies.

One of the most effective ways to create memories for your customers and earn their loyalty is to break your own rules to favour them when it makes absolute sense to do so. This opportunity normally arises when your rules clash with what the customer wants; they simply don’t want to play by your rules.

Stupid rules

‘Stupid rules’, are given birth usually by some control freak in the organization with a nonsensical purist view that a customer should behave in a certain way that serves the organizations purpose with little regard for whether or not a customer will react favourably to getting treated in the prescribed manner.

One of my favorite dumb rule stories took place at The Mirage Hotel Resort and Casino in Las Vegas. There is a wonderful deli in the casino that serves the best rueben sandwiches ever but the customer friendliness of their policies sucks.

My wife and I show up late one night and asked the hostess for a booth and were told flatly that our request was not possible since it was their policy to offer booths only for parties of 6 or more.
I get that management wanted to maximize the check value from these specific seats, but in this case the store was empty save my wife and me! Maximizing revenue beyond the two of us was an impossibility!

In my experience the fathers and mothers of dumb rules can be found in staff type jobs whose role is to develop and implement operating procedures to govern, among other things, customer transactions. In these circumstances the objective is to meet internal requirements like efficiency and productivity rather than ensuring rules enhanced the customer experience.

And, unfortunately where customers are not considered the prime target for the rule or policy they become collateral damage in the rule’s application; they are mistreated and tell hundreds of other people how crummy the organization’s service is.

But there is a way to both have your cake and eat it to. You can both realize efficiency gains by applying the rule to the masses and bending or breaking the rule for those few customers who don’t accept it and push back on you.

The apply-the-rule scenario gets you the productivity gains you want from the majority of your customers who are ok with it; the bend-or-break scenario avoids the pain of an unpleasant customer encounter and impresses them and makes them more loyal to your organization.

When loyalty suffers

You’re in loyalty do-do when apply-the-rule is winning. If your frontline employees spend a great deal of their time enforcing the rules, policies and procedures of your organization and, as a result, are constantly saying ‘no’ to your customers nothing good comes of it — loyalty is threatened — and employee engagement is in jeopardy because being a rule enforcer is not a rewarding role to play in any job.

Job frustration can eventually lead to employees finding another organization where day to day existence isn’t so painful.

Employees can’t create delightful moments for customers when they are constantly trying to get someone to tow the line on something they don’t agree with — empower your frontline to ‘say yes’.

I’m not suggesting that a frontline person should break a rule that would violate the law, but they should have permission to bend-or-break an internal policy that has no significant negative long term consequences for the organization.

Test your policies and trust your frontline

Rules and policies impact people differently; each person will react to an enforce-the-rule encounter in a different way: some will be ok with having to comply with the rule while others will go postal.

One way to anticipate how your customers will likely respond to one of your rules is to ask them before it is implemented. Unfortunately I’ve never witnessed a process where detailed due diligence is done to brainstorm the negative reactions that customers may have to a particular rule or policy that is being considered, but there should be.

Given that customers are likely to respond to a rule in ways we never imagined, the only solution (if you want to protect and grow customer loyalty) is empower your frontline people to bend one of your standardized rules, policies or procedures when the customer needs a different treatment; when their needs are quite reasonable but out-of-bounds to what the policy manual says.

To those who think that empowering frontline folks will result in them giving away the shop, stop worrying. They won’t.

In my experience, empowering them to use their judgment and determine when and how a rule should be bent-or-broken actually produces a greater degree of rule enforcement as they typically reserve flexible treatment for those customers who truly need it. Once given the latitude to apply flexibility to policy enforcement, they actually take a more active role in advocating the company’s position behind the policy.

When frontline people are allowed to control the bend-or-break process, the organization is rewarded by a customer who is blown away by how they are being treated and how humane the organization is. And they tell others how truly great you are.

Dumb Rules Committees

How do you go about identifying and killing these ugly loyalty threateners?

Go ask your frontline what dumb rules they are constantly having to deal with. They know them but do you have the courage to listen and do something about them?

I created dumb rules committees in the operations areas of my organization and appointed a dumb rules leader for each committee whose responsibility it was to seek out and destroy (or otherwise modify) rules that made no sense to customers and drove them crazy.

Fun was had by all over this concept. Everyone, particularly the frontline, welcomed this initiative; they all were passionate about the purpose; we made real progress.

We had contests among the committees to see who could come up with the most dumb rules to kill, and we celebrated the winners. The committees were expected to not only identify rules, policies and procedures that annoyed customers, they were also charged with the responsibility of eradicating them by taking whatever action was necessary to get it done.

My role and that of my senior leaders was to remove any roadblocks preventing the committees from getting a rule dealt with.

At least make stupidity customer friendly

Certain rules are required by law or regulatory governance.
First of all do your due diligence to make sure that the claim is real and not the posturing of a champion who doesn’t want their rule or policy removed. If the rule is necessary, however, then at least look for ways to make it customer friendly.

And reconsider how the rule is enforced with a customer; what communications strategy is used. Is it friendly and helpful or is it demanding and intimidating?
Take the time to design the customer communications content to minimize an adverse reaction; it’s not always possible but it is worth considered doing nevertheless.

If you are able to expunge even 20% of the dumb rules you have in your organization, your customers will reward you with their loyalty and your reputation will soon attract new customers as well.

Cheers,
Roy
Check out my BE DiFFERENT or be dead Book Series

  • Posted 8.5.19 at 09:07 am by Roy Osing
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