KANO MODEL OF CUSTOMER REQUIREMENTS Noriaki Kano-professor emeritus of Tokyo University-suggested segmenting customer requirements into three groups; Dissatisfiers (“ must have”) basic requirements that customers expected in a product or service. Ex. In a car, features are not generally stated by customers but assumed as given-radio, heater, basic safety features. THUS, if the features are not present, the customer is dissatisfied. KANO MODEL OF CUSTOMER REQUIREMENTS Satisfiers (“wants”)-Requirements that customers expressly say they want. Ex. Many customers want satellite radio or navigation system that creates satisfaction. Exciters/delighters (“never thought of ”) New or innovative features that customers do not expect or even anticipate such as separate rear-seat video controls that allow children to watch DVD movies Thus, providing dissatifiers and satisfiers often considered as the minimum required to stay in business Therefore to be truly competitive, organizations must surprise & delight customers by going beyond basic requirements & expressed desires. However, innovations are not exciters & delighters for long HOW TO SUSTAINED THE CUSTOMERS SATISFACTION? By gathering the voice of the customers through methods or listening posts Thus, there are approaches in gathering information: customer cards and formal surveys, focus groups, direct customer contact, field intelligence, complaint analysis and monitoring the internet or media. APPROACHES 1. Comment cards & formal surveys Advantage: easy way to solicit information Disadvantage: not responding the comment cards at restaurant table and suffer non response bias. 2. Focus groups. It is a panel of individuals who answers questions about company’s products and services as well as competitors. Advantage: Direct voice of customer Disadvantage: Higher cost of implementation APPROACHES 3. Direct customer contact-the top executive visit with customers personally. Advantage: hearing issues & complaints is an eye-opening experience 4. FIELD INTELLIGENCE-An employees who have direct contact with customers. They can obtain information by engaging conversation and listening to customers. Ex. salespeople, repair technician, telephone operator, receptionist 5. Complaints-key source of information. Advantage: learn about product failures & service problems particularly the gap between expectation & performance. 6. Internet & social media monitoring. Ex. Facebook offer a fertile arena for finding out what customers think of their products. ANALYZING VOICE OF CUSTOMER HOW? Affinity diagram-It is a technique for gathering & organizing a large number of ideas & facts. This is a main ingredient of the KJ method developed by Kawakita Jiro-Japanese anthropologist. Example: Communication Effective service Loan Products Timely & accurate Reliability Innovation Notification of changes Flexibility Programs flexiblty Consistent information Prior approvals Diversity of prog. Mutual job understanding Expeditious process Competitive rates LINKING TO CUSTOMER NEEDS TO DESIGN, PRODUCTION & SERVICE DELIVERY Voice of customer information must be linked to design, production & delivery process. HOW TO UNDERSTAND THE LINKAGE? Gap Model will view the process in which customer needs & expectations are translated into design, production & delivery processes. Expected Quality-It is a true customer needs & expectations where the customer assumes will be received from the products The producer identifies these needs & expectations & translates into specification for products & services. Actual quality –it is the outcome of the production process & what is delivered to the customer. Therefore, customer will assess quality & develop perception (perceived quality) by comparing their expectations (expected quality) with what they receive (actual quality). Indeed, if expected quality is higher than the actual quality-the customer will be dissatisfied.
Ineffective market research efforts my incorrectly assess the true
customer needs & expectations. HOW CAN WE LINK THE VOICE OF CUSTOMER TO SERVICE DELIVERY PROCESS? Through empowered employees-employees are empowered to take action in meeting the needs of the customers All store employees can e-mail buyers directly with ideas or feedback from customers The store design an inventory stems directly from listening to its customers BUILDING A CUSTOMER-FOCUSED ORGANIZATION KEY PROCESS 1. Making sincere commitments to customers. It is free from conditions that might weaken customers’ trust and confidence Simple as guaranteeing that the call & email inquiry will be returned promptly. eq. “return anything you buy from us at anytime for any reason it proves otherwise” 2. Ensuring quality customer contact and interaction. It is an interaction between customer & organization whether it is face to face with sales representative or online on a website is called moment of truth Customer can form their perceptions about the quality of service by comparing their expectations with the actual outcome. Customer contact requirements include technical requirements such as response time, behavioural requirements which required us to call customers’ name. Example: Greet the customer and address their name Ask sincerely, “How may I help you?