One of the key competencies and fundamentals to excel in CEM (Customer Experience Management) is organizational change. Old structures must be discontinued and you need to organize according to your customers. Don Peppers & Martha Rodgers introduced this radical thinking more than 20 years ago along with their RoC (Return on Customer) KPI. The organizational change will mean that current departments will dissolve and fragment and come together in new constellations. But it also require that business strategy is 100% solid and calibrated with consumer insights, market trends, robust business and revenue models and a well-functioning supply chain. In addition to this change readiness and agile methodologies must be second nature to all.
There seems to be general agreement around 3 best practices for organizational change management:
Phase 1: Base the change on John Kotter’s 8 step process for leading change
Phase 2: Prosci’s ADCAR model (Awareness, Desire, Knowledge, Ability and Reinforcement)
Phase 3: Franklin Covey’s 4 Disciplines of execution (Focus on the widely important – Act on the lead measures – keep a compelling scoreboard – create a cadence of accountability)
In order to be truly customer centric you need to organize your enterprise according to this. Not in functions or channels, but in agile teams that work with all aspects of the Customer Experience from: product design, pricing, distribution, marketing (multi-touch point, omni-channel), fulfilment, customer service, retention, development f the relation and to loyalty and advocacy – even co-creation. With this you have to look at customer lifetime value, Recency and frequency and implement multiple feedback loops and rating mechanisms. Read more here about the omni-channel customer service gap.
And keep in mind: Culture eats strategy for breakfast, as
Peter Drucker cleverly stated. You need top management anchoring and championing. They absolutely need to walk the talk.