Optimising utility customer service

A strong foundation will increase investment returns now and in the future. The dilemma is finding out which fundamentals matter most?

PA Consulting Group has identified five elements of leading performance that stand out above all. These elements – ethos, measurement, alignment, customer analytics, and risk management - apply to all environments and reside in what we would consider fundamental business requirements. They function independently of discrete tactics such as purchasing the most capable systems or selecting the most insightful software.

1. Ethos (cracking the code) – Difficult to describe but obvious when in place, the culture or ethos that is necessary to achieve such a wide array of objectives is the bedrock of a service organisation. It resides below the concrete structure of a company and often ties to a leader’s ability to establish a sense of pride, a winning attitude and a customer-focused mindset. While unique for each utility, leaders leverage the energy and commitment that flows from culture to achieve high marks across the three diverse goals of low-cost, high-service level and strong satisfaction. 

2. Measurement (fuelling the accountability engine) – Establishing an operating language rooted in simple performance measurements is the path to achieving accountability and, as a result, strong performance. Leading utilities involve the work force spanning from the the executive suite to the field.  The line of sight across this span of activities is clear and staff are expected to tie all activities to the metrics. Enforceable Key Performance Indicators (KPIs), targets, and scorecards result in engaged employees, who, in turn, pay attention to process. This tied to accountability results in employee engagement. 

3. Alignment (operating as one) – Alignment is in place when cross-functional teams work together to eliminate the blind spots that can impact performance.  Blind spots tend to reside in the unclaimed territory between functional boundaries. Weaknesses in coordination, the sharing of information, and communication create an environment that is more susceptible to trigger events that strain operations and degrade performance.  In most cases, the push-pull across functional areas often results in surprises to customers and adverse impacts on satisfaction. Consistent outcomes across functions point to a solid and aligned organisation.

4. Customer analytics (data mining for value) – Working smarter in customer operations begins with a deep understanding of customer behaviour. Moving from experience-based decision-making to evidence-based decision-making can generate attractive benefits in improved performance outcomes, improved employee satisfaction and reduced risk. Utilities that rely heavily on customer analytics are taking the next step to develop optimisation tools that enable scenario comparisons and determine optimal customer strategies.

5. Risk management (reducing unnecessary exposure) – While risk management is a known and valued discipline in business, the application of best practice risk management techniques to customer operations is not something that is embraced widely in the utility sector. Key components include: policy adherence, forward-looking analysis and reporting on agreed upon risk factors, and governance.

These customer service fundamentals are essential to strong performance today and are baseline requirements for successfully operating in the future.

To learn more about how we work with utilities in the area of customer service to identify opportunities and drive improvement through benchmarking, process re-design, and the development of custom analytical tools and system enhancements, contact us now.