The Heart of Service Management Culture at its Core

Krikor Maroukian Chairman

http://www.itsmf.gr

+30 697 277 98 71 [email protected]

https://www.linkedin.com/in/krikormaroukian

itSMF HELLAS – PROMOTING THE ITSM PROFESSION IN GREECE Agenda

Culture

Corporate Culture

Service Culture

Customer Experience

CSI and Culture

History and Mission 1. 2. 3. 4. 5.

2008

itSMF Hellas was founded in 2006 and currently has 50+ members and 10+ organisations Our mission is to create and maintain a knowledge sharing platform Promote the adoption of IT Service Management frameworks such as ITIL® including initiatives and mechanisms Organise annual conferences and joint events which portray the value of ITSM to the wider IT community South-East Europe Conference on Thursday, 5th of February, 2015 in Athens, Greece

2009

2010

2011

2013

Agenda

Culture

AGENDA

Service Culture

Corporate Culture

Customer Experience

CSI and Culture

What is Culture?

Customer Experience

What is corporate culture?

Service Culture DNA

What is service culture?

Continual Service Improvement and Culture

01

CULTURE – ANTHROPOLOGICAL VIEWPOINT Agenda

Culture

Service Culture

Corporate Culture

02

Customer Experience

CSI and Culture

Agenda

CULTURE – ATHLETICS VIEWPOINT Culture

Service Culture

Corporate Culture

03

Customer Experience

CSI and Culture

Agenda

CULTURE – CORPORATE VIEWPOINT Culture

Service Culture

Corporate Culture

Customer Experience

CSI and Culture

• The assumptions and beliefs of employees drive behaviour. • The collective behaviour of employees determines results. • The results measure performance and indicate if strategic business objectives have been achieved. 04

Agenda

CORPORATE CULTURE

Culture

Service Culture

Corporate Culture

Customer Experience

CSI and Culture

IN A NUTSHELL

“ Culture

is more enduring, more persistent, and much more difficult to change than a "strategy". Peter Drucker

”

“The biggest challenge is in changing the culture” Jeannette Cook, Service Level Manager, Idaho National Laboratory (INL). A nuclear energy lab in Idaho Falls that is operated by the US Department of Energy. 05

CULTURE IN ONE OR TWO WORDS – CORPORATE VIEWPOINT Agenda

Culture

Service Culture

Corporate Culture

06

Customer Experience

CSI and Culture

Agenda

CULTURE IN BUSINESS MODELS Culture

Service Culture

Corporate Culture

Culture – centric/based/driven Business Models

Customer Experience

CSI and Culture

• McKinsey 7S Model • KPMG Model • ABC – Attitude – Behaviour – Cultural Norms

• Stephen Mann’s – Brawn, Brains and Heart

07

Agenda

Culture

SERVICE CULTURE Service Culture

Corporate Culture

Customer Experience

CSI and Culture

A Definition of Service Culture

culture. The major objectives of a “ Aservicecustomer-oriented culture are customer satisfaction and helping customers to achieve their business objectives. ” Seek Feedback The first step in developing a service culture is to show genuine interest in finding out what your customers want from your company, products and services.

Communicate and Establish Consistency Most elements of a company culture begin at the top. As a business owner or manager, your actions and words set the tone for what employees view as core philosophies of the business. 08

Reward and Recognize Emphasize customer service in assessments, raises and promotion decisions, even above other production and sales standards, it strengthens your commitment. Publicly recognizing top service performers with praise and awards may encourage workers to work on their reputations as elite service performers.

Set Policies and Train Your company mission, website, employee policy manual and customer service policy all provide opportunities to infuse customer-oriented policies for internal or external communication.

SERVICE CULTURE – ANOTHER DEFINITION Agenda

Culture

Service Culture

Corporate Culture

“

Customer Experience

CSI and Culture

Another Definition of Service Culture

Service culture is a system of values and beliefs in an organization that reinforces the idea that providing the customer with quality service is the principal concern of the business. Shared Incentives Without shared incentives, human nature tends to win out and individual competition takes over trying to beat "Jim or Mary“. Shared incentive also help in increased responsibility/accountability

CSC

Measure Team Performance KPIs Abandonment rate has dropped to the lowest in years and resolution times are less than 30-sec once everyone was made aware of the new performance metrics and how they relate to pay review. Number of contractors was reduced by moving people to permanent roles and opening them up to receive these incentives.

BUPA Australia

09

”

Reward and Recognize At each weekly team meeting, the crew vote individually who they think has been the star performer over the last week. This is anonymous and has to have a reason. At the team meeting, the MVP is provided the reasons for them getting MVP and they're rewarded with a coffee voucher.

Kinetic IT Invest in Competency Development Provide a yearly budget per resource to spend on the certification or training scheme each individual wants to enroll on. Accenture UK

Agenda

STEP 1

STEP

SERVICE CULTURE - APPROACHES Culture

Service Culture

Corporate Culture

Customer Experience

CSI and Culture

• Adopt a results-oriented and blame-free approach by raising awareness either through dedicated sessions or published posters.

• Communicate increasingly across all management layers and teams, using all available active and passive communication media.

2

STEP

3

• Recall repeatedly lessons learned from failure e.g. PIR in Change Management, Project Management in Service Transition. “When people are financially invested, they want a return. When people are emotionally invested, they want to contribute.”

Simon Sinek

10

Agenda

CUSTOMER EXPERIENCE

Cultures

Service Culture

Corporate Culture

Customer Experience

CSI and Culture

Walt Disney

what you do so well that they will want to see it “ Do again and bring their friends. ”

11

TECHNOLOGY-ENABLED CUSTOMER EXPERIENCE Agenda

Cultures

Service Culture

Corporate Culture

12

Customer Experience

CSI and Culture

ITSM-ENABLED CUSTOMER EXPERIENCE ENVIRONMENT Agenda

Culture

Service Culture

Corporate Culture

Customer Experience

CSI and Culture

Nine (9) Recommendations towards improving your CX Index 1

Treat your Customers Right – Genuinely Interact

4

Continue to Satisfy – Offer Ongoing Support and Specials

2

Don’t Come on Too Strong – Respect Your Customers

5

Treat a Customer Like a Valued Partner – Communication is Two Way

3

Always Listen – Hear What Your Customers are Saying (…Listen to what isn’t said – Peter Drucker)

6

Build Trust – Alert Customers to Large Scale Changes, Good or Bad 13

7

Be Transparent – Honest is Crucial When it comes to Mistakes

8

Follow Through on Your Word – Follow Up on Promises

9

Recognize Responsibility – The Customer is Always Right

Agenda

Culture

INCREASE CX LEVELS Service Culture

Corporate Culture

Customer Experience

CSI and Culture

The data on poor CX levels speaks for itself Only 37% of brands received good or excellent customer experience index scores in 2012. Whereas, 64% of brands got a rating of “OK,” “poor,” or “very poor” from their customers. Forrester Research

Up to 60% of consumers will pay more for a better customer experience. Desk

As many as 89% of consumers began doing business with a competitor following a poor customer experience. RightNow

Average annual value of each customer relationship lost to a competitor or abandoned – $289. Genesys Report 14

CULTURE - A FORCE OF SHIFT TO ORGANISATIONAL CHANGE Agenda

Culture

Service Culture

Corporate Culture

Resistance to Change is Guaranteed

IT professionals have an established way of doing things, and introducing any new processes—no matter how much they are needed—will be disruptive.

IT managers who are adopting service management good practice in the data center say that some amount of staff reluctance and even resistance should be anticipated. The biggest challenge is change the behaviour (not culture) even if in some cases the ITIL procedure takes longer to apply than its predecessor procedure.

It’s vital to identify IT personnel who are passionate about processes and provide them with service management training 15

Customer Experience

CSI and Culture

Agenda

PINK ELEPHANT SURVEY – 2008 vs 2011 Culture

Service Culture

Corporate Culture

2008 ITSM Projects

2011 ITSM Projects

16

Customer Experience

CSI and Culture

PINK ELEPHANT SURVEY – ITSM PROJECT CONSTRAINTS 2011 Agenda

65%

57%

Culture

Service Culture

Corporate Culture

Availability of Resources

66%

Customer Experience

CSI and Culture

ITSM Program Momentum

Senior Management Commitment

Organizational Ability to Deploy

Organisational Culture 17

41%

34%

CHANGE MANAGEMENT, GOVERNANCE AND CULTURE Agenda

Culture

Service Culture

Corporate Culture

18

Customer Experience

CSI and Culture

FROM SPAGHETTI TO DNA SERVICE CULTURE About Us

Culture

Service Culture

Corporate Culture

19

Customer Experience

CSI and Culture

Agenda

Continuous Consulting Constant consulting required to remember details. Special skillset required and competency development.

PROCESS OVER-ENGINEERING Culture

Service Culture

Corporate Culture

Exceptions are rarely documented

Processes documentation can prove to be a challenging task for many organisations. Usually, an exhaustive list of possible scenarios requires the scarcest resource i.e. time.

20

Customer Experience

CSI and Culture

Issues with ROI A considerable investment with little payback.

UNDESTANDING CULTURE IN CSI ACTIVITIES - SURVEYS Agenda

Culture

Service Culture

Corporate Culture

Customer Experience

CSI and Culture

SURVEY VIA DIFFERENT COMMUNICATION CHANNELS

When only emails were used the rate of response was extremely low to make any deductions.

CALL SURVEYS WEB SURVEYS EMAILS

70% 20%

5%

Humans Don’t like to Respond to Faceless surveys 21

MANAGEMENT TRAITS ON ITSM PRACTICE IMPROVEMENTS Agenda

Culture

Service Culture

Corporate Culture

Customer Experience

CSI and Culture

Agile Service Transition SCRUM and Sprints

The Phoenix Project Gene Kim, Kevin Behr and George Spafford

Change Management

DevOps

CAB vs Originator-takes-responsibility change control. How would that work? Every resource could end up managing a mini-project by seeking approval for his/her created change. 22

Kanban (Plan – WIP - Done)

Agenda

QUALITY SERVICE AT YOUR CULTURE Culture

Service Culture

Corporate Culture

Customer Experience

CSI and Culture

Conclusions Best-of-breed Service Quality requires an equilibrium of resources, good practice adoption, innovation and sustainable service culture.

Aim at improving Customer Experience by focusing CSI on all ITSM aspects i.e. SO, ST, SD, CSI and SS. Avoid shared incentives based purely on monetization purposes. Blend incentives with emotional investment, competency development and emphasis on recognition.

“Do-more-with-less” simply takes resources out of the equation. So adoption of ITSM practices and innovation of CSI by themselves cannot guarantee high service quality. (Sous-chef[s] in the kitchen.) 23

https://www.linkedin.com/in/krikormaroukian

http://www.itsmf.gr +30 697 277 98 71 [email protected]