The Co-Created Service Opportunity and Challenge
Ever deepening complexity, economic trends and the competitiveness of the marketplace have made it tougher for companies to achieve profitability targets and to effectively deliver on the promise of customer success. Co-created services, where customers and partners play a greater role in the delivery of service is a reality. Companies are beginning to recognize that co-created services produce value via the collaboration that occurs between organizations and its customers.
Opportunity: I believe collaborative support will have a “breakthrough” impact on the overall customer experience. Collaborating with customers in the delivery of services can accelerate the “Servitization” process for product based companies as they evolve towards becoming Service Oriented Enterprises. In the short term, collaboration is the key to addressing the most complex customer problems more effectively and efficiently. The traditional queues based service model is transaction oriented. It focuses on one problem, one customer and usually one service representative. Complexity, volume, and the demand for a better customer experience have made this model obsolete. Co-creation is collaborative and naturally outcome-based and results-oriented. It also naturally facilitates an exception or problem elimination discipline. Rediscovery, solving and resolving the same issues, is a major cost to any service business and one of the biggest negatives to customer loyalty. Elimination, or at the very least, reducing rediscovery is becoming a must for successful businesses.
Challenges: However, involving customers in problem elimination raises some interesting questions that will need to be answered as we capitalize on the co-creation opportunity. “What is the depth and breadth of the customer’s role in co-creation?” “How do we motivate our Customers and partners to share their knowledge leading to greater loyalty?” “How do we determine intellectual property rights when contributions can be made by multiple community members with differing levels of participation?”
Finally, understanding how to measure the impact of customer communities and the benefits of service collaboration will be critical. In the end, it is all about customer success. Understanding how to leverage and manage the co-created service experience to ensure customer success is yet another challenge for a successful Service Oriented Enterprise.
Powered by Customers: Let me hear what challenges you face with co-created service or any other thoughts you may have on Servitization or creating a Service Oriented Enterprise. ServTrans would very much like to help your company develop and implement a collaborative service model that focuses on Customer Success and the elimination of Rediscoveries. If you have not taken our free business risk assessment, please take a couple of minutes to see where you stand…