Leading companies consider CX an integral part of their operating model
Organizations often need to rethink their approach to customer experience (CX) in order to maximize the returns from their CX investments. That is according to new research from Kinetic Consulting.
The research found that organizations with a poor understanding of how CX works have a limited application of CX, often limiting the concept to a single department. Organizations with a deep understanding of CX, on the other hand, take a much broader approach by embracing CX as an integral part of their broader client-offering and operating model.
Leaders in customer experience tend to operate collectively, focusing not just on customers in a narrow sense, but also turning that inwards and focusing on their employees and operations with the same mentality.
CX operating model
Customer experience is the holistic impression a customer forms of a company, encompassing all touchpoints and interactions. It is shaped by factors like product quality, service delivery, communication, and overall brand perception.
The main takeaway from the Kinetic Consulting research is that leading organizations regard and apply CX as a key part of their commercial strategy, and ensure it is delivered across the full value chain – rather than just merely being a small part of the focus of the Sales team.
As a result of this holistic approach to CX, these leading organizations – among them Apple, Amazon, Netflix, and Tesla – are better equipped to generate greater profits and retain more customers than their competitors.
What it takes to adopt a CX operating model
Company leaders need to take initiative in implementing the CX operating model in order for their personal brand to be linked to the model. “The shift in thinking and understanding must begin with the CEO,” said Joe Tawfik, CEO and founder of Kinetic Consulting, a leading boutique consulting firm based out of the UAE.
“Everything rests on the hope that the CEO can believe in the value and then work tirelessly to build an organization with a CX-based operating model at its core. The findings in our report point towards this as the most essential aspect of making a great organization.”
Next, the culture in an organization needs to encourage alternative thinking, innovation, and risk-taking. For example, employees should be pushed to think outside the box and take a swing at innovation without the fear of backlash if something does not work out.
The process of hiring talent also needs to be done right. Organizations must ensure that their people will be a good fit with the CX-focused operating model. Employees need to embody company culture and align with the company’s DNA.
At the stage of designing products and services, cross-functional team collaboration needs to be encouraged, offering a wider variety of inputs into the process. “Human-centered design principles are applied in the design of products, services and customer touchpoints. The methodology of applying human-centered design is a critical element in ensuring the organization becomes a CX leader,” said Tawfik.
When an organization makes the decision to choose a more CX-focused operating model, the first step will be to competently define a strategy. With a clear blueprint in place, an organization will be able to work towards leveraging its CX to boost its performance and results.