|Date||August 30-31 2010|
Service recovery refers to all actions companies execute after something has gone wrong, whether or not customers have complained about it. The keys to effective service recovery are familiar to many throughout industry and academia. Nevertheless, overall customer satisfaction after a failure has generally not improved over the last decades, and many managers claim their organizations cannot respond to and fix recurring problems quickly enough. Why does service recovery so often fail and what can managers do about it?
In our research, we found that customer recovery (addressing the needs of a dissatisfied customer), process recovery (fixing the process) and employee recovery (preparing employees for failure situations) are often driven by different departments and philosophies. We argue that service recovery often fails due to the unresolved tensions found between the conflicting perspectives. Therefore, successful service recovery management requires the integration of these different perspectives.
During this Discovery Event we will be examining the underlying cause of the tensions between customer recovery, process recovery, and employee recovery and discuss how managers can strive to integrate service recovery efforts based upon a “service logic”; a balance of functional subcultures; strategy-driven resolution of functional differences; data-based decision-making from the seamless collection and sharing of information; recovery metrics and rewards; and development of “T-shaped” employees with a service, not just functional, mindset.
• What are the potential financial benefits of recovery management for your company, based on lower customer churn and higher customer lifetime value?
The event takes place at IMD in Lausanne (Switzerland)