When Service Means Survival

"When Service Means Survival" is an article about the challenges of keeping customers happy and why it is important. As we go through these tough economic times, many organizations are faced with the challenge of having to reduce the amount of money spent on various expenses. These expenses include labor and technology, which are both important to maintaining a well-run business and keeping customers satisfied. There are several ways to effectively and efficiently overcome challenges and still be loved and respected by customers.

One of the most important things to do is to keep front lines strong. Rather than cutting vital employees, a better strategy is to strengthen their knowledge and capabilities. This can ensure that front line employees are more useful and can do multiple jobs for the same pay. The biggest challenge is keeping customers from noticing the changes made. Another important step is to please repeat buyers. In the past, companies focused on gaining new customers, but companies are now shifting their focus and resources to their already existing loyal customers. Another idea is to invest in simple technology, which can serve multiple locations at minimal cost. Companies that are able to come up with simple, affordable ways to cut costs while also improving life for customers are likely to do well in both good and bad times.

1. According to this article, why is it vital, in today's economy, for businesses to avoid cutting front-line service employees?

According to this article, it's vital for businesses to avoid cutting front-line service employees because losing front-line employees can lead to a decrease in good customer service. Having bad customer service can cause loyal customers to no longer want to do business with a certain company. An example provided in the article is, if a call center with three dozen representatives cuts just four reps, then the number of customers put on hold for just four minutes can be sent from zero to eighty. These eighty customers being put on hold might one day get tired of holding and decide to switch service providers, therefore the company would lose customers. Rather than cutting front-line service employees, businesses should focus on keeping the front-lines strong and getting more out of them.