transformation toolkit: themes to support successful transformations

A cooperation between Telenor ASA, DNB BANK ASA, Norway Post, SINTEF, Norwegian School of Economics (NHH), The Oslo School of Architecture and Design (AHO), Bekk Management Consulting, The Norwegian Centre for Design and Architecture (DOGA) and Copenhagen Business School.

Customer Care 2015 Themes to support a successful transformation

What is Customer Care 2015? Customer Care 2015 is a spin-off from the Center for Service Innovation (CSI), and is a cooperation project with the following partners; Telenor ASA, DNB BANK ASA, Norway Post, SINTEF, Norwegian School of Economics (NHH), The Oslo School of Architecture and Design (AHO), Bekk Management Consulting, The Norwegian Centre for Design and Architecture (DOGA) and Copenhagen Business School. Customer Care 2015 is financed by the Norwegian Research Council. The overall ambition The core of the project Customer Care 2015 is how to deliver excellent service experience to customers in the future. The transformation to digital touchpoints has been hampered by the silo-organisation. Corporate culture, incentive-and KPI systems are barriers for delivering the experience that the customer expect. To oblige this ambition, Customer Care 2015 present key learnings from this four year program – which hopefully can contribute to successful transformations in the future.

About Customer Care 2015 Integrating brand values in customer touch-point management

Contributions from Customer Care 2015

Managing and designing for customer experiences in key customer journeys.

Innovative service concepts that are aligned with brand values, target brand experience and customer expectations.

Critical aspects of systems and processes enabling experience centricity, such as culture, behavior and capabilities.

The role of customer care in creating competitive advantage.

1.

2.

3.

4.

Themes on how to motivate change, implement and execute

Themes on how to implement and execute

Themes that motivate change

Know your future customer

Explore brand consistency

Future customer Experiences

Know your corporate culture and future capabilities

Measure customer experience

Leverage Customer Journeys

The experience centric organization

Design new and improved services

Creating a shared understanding for change

Change is more likely to succeed if there is a common

understanding that change is needed, and potential challenges

and benefits to an organization may serve as a burning

platform for change. Potential challenges and benefits can

come as a result of global trends, external drivers and internal

drivers.

For companies that aim to become experience centric, the first

step in a burning platform is the common understanding of the

need to move from product orientation towards service

orientation. Service orientation requires your company to look

at customers in a new way, from receiver of products to users

and partners in value creation.

A burning platform may enable, motivate and energize change

initiatives and reduce costs associated with resistance towards

change and innovation. When employees understand the need

for change they will also be more willing to change.


Global trends are driving change

Our surroundings are changing. We are now experiencing strong

trends affecting the lobal marketlpace. The most important of

these are:

• Digitalisation – digital solutions is becomming the most

important channel for our customers

• Globalisation – large international players are influencing

trade patterns and customer behaviour

• Centralisation – constant relocations from peripheral to

central areas

• Regulation – requirements regarding privacy, adequacy and

control

The above trends are influencing the way we do business. Vital

parts of the business models are altered in order to deliver value

according the the true – and changing – need of the customers.

One of the main changes resulting from the trends, is the need

for cooperation in ecosystems. Transparency and networks are

vital in order to deliver customer value added. Cooperation is no

longer an option – it is a prerequisite.

Digitalisation

Globalisation

Centralisation Regulation


Challenges/Benefits

• Radical changes in technology and customer preferences require

strategic change • From product orientation to customer orientation

Implications for the companies • Great need for radical innovation and cultural transformation Explanation • External changes represent a mismatch with traditional strategy,

business models and technology • The culture has to be adjusted to contribute to radical innovation

Exploring external drivers Strategic challenges (external drivers)

Burning platform: Motivating change from external and internal drivers

External drivers

Internal drivers

Burning platform

“You really become the customer, and consider how the everyday life to the customer

would look" + =

“I think the most successful organizations will be those who dare to do fundamental changes in the

way of doing things.


Challenges/Benefits

• The organizational cultures are product oriented, introvert and rigid • The cultures have low adaptability

Implications for the companies • Need for adaptable cultures that are open for and can contribute to

radical innovation • Challenge and change rigid cultures Explanation • Large organizations with a history of traditions, growth and success are

caught in the success trap • The companies are oriented towards incremental rather than radical

innovation

Exploring internal drivers Cultural restructuring challenges: (internal drivers)


External drivers

Internal drivers

Burning platform

“You really become the customer, and consider how the everyday life to the customer

would look" + =

“We have a culture with a large degree of involvement (..). This means that some of the things we have decided to do faster, rather go quite slowly (..). It is the system´s

inherent inertia (..)”


Challenges/Benefits

• Potential and Benefits of transformation (scenarios) • Scenarios can contribute to more adaptable, innovative and customer

oriented cultures in the organizations

Implications for the companies • Development of a more adaptable culture, more oriented towards

radical innovation Explanation • Scenario development emphasize and directs attention to the future • Future customer needs are emphasized and visualized

Creating a burning platform Potential and Benefits of transformation (scenarios)


External drivers

Internal drivers

Burning platform “You really become the customer, and consider how the everyday life to the customer

would look"

+ =


Motivating change in Telenor, Posten and DNB

Telenor provide the power of digital communication, enabling everyone to improve their lives, build societies and secure a better future for all. Digitalization are changing our customers behavior, and Telenor will continuously change and transform. Telenor is experiencing saturating subscriber growth in most of our markets. To achieve above industry growth going forward, Telenor needs to strengthen the relationship with our current customers, and turn them into promoters of our services. To become Loved by Customers we need to have a strong customer understanding, be a truly caring organization, deliver valued services and products, and to offer a superior touch point experience. Source: http://www.telenor.com/about-us/our-history/

Customer Insight told Posten and Bring that our customers found it is difficult to understand the current service offering and pricing structure. At the same time the number of services offered had increased radically over the past ten years, mainly because of merges and acquisitions and increased levels of (marginal) service attributes. Furthermore this created complications for both production and IT systems. Today the customers also experience price differences between services that are equal – which can contribute to loss of customers and revenue. Many services are duplicates – this is also the situation for IT systems and production processes.

Today, DNB has a strong foothold in the Norwegian personal banking market. We have high profitability, a large customer base, a broad range of products and services and strong distribution power. However, our value propositions appear to be unclear for our customers, and it is difficult to distinguish us from our competitors. Our customers are constantly expecting more of us in the form of competitive prices, attractive products, good availability and fast and simple service. At the same time, profitability and established models are being challenged. This results in intensifying competition for customers, where both established and new players implement targeted measures to win the most attractive customers. Digitalisation has led to a transparent price structure in the market and it is becoming increasingly easier for customers to switch financial services provider. Customer value and loyalty must be built up consistently and over time. However, developments show that it is becoming more difficult to retain the position of market leader.


http://www.telenor.com/about-us/our-history/







The following pages will take you through each theme of the roadmap and its accompanying tools. If you want to learn more about each theme there will be an overview of in-depth tools, research and papers in the end of each step. The overview will contain hyperlinks that take you directly to the in-depth article. Each theme are color coded.


Know your

future customer

Explore brand

consistency

Future customer

Experiences

Know your

corporate culture

and future

capabilities


Know your future customers

Why does this matter to your company?

Globalization and digitalization creates new and ever-changing customer

contexts and new business landscapes where customers have more power

and new expectations. Getting to know your future customers is a

requirement for success in the new business landscapes.

Most innovation methods used today rely on empirical data that arguably

deliver insights valid only for the past and the present – and not the future.

What should you do?

Scenarios can be used to explore how uncertain conditions, such as the

development in markets, technologies and at the socio- cultural level,

shape future customer behaviour and values.

These future customer contexts serve to give strategic directions for

innovations in processes and customer experience delivery.

Future customer centric scenarios are plausible,

challenging and relevant narrative stories of what the

future environment of customers may look like.

Using the future customer centric scenario method will

help create a shared, more long-term, view of the future

customer contexts and business environment.

The future customer centric scenario method can bring

the attention of your organization to plausible,

alternative futures of customers and thus contribute to

the customer centric transformation, stimulate

innovation, manage uncertainty and increase readiness

for change.


Know your future customers by the future customer centric scenario method


Step 1: Interview users

of the scenarios to

uncover strategic

concerns, assumptions

and diverging opinions

Step 2: Perform

contextual analysis on

key themes connected

to the concerns,

assumptions and

opinions.

Step 3: Workshops to

identify key certain and

uncertain factors within

the themes, and define the

scenario framework.

Step 5: Use scenarios to

assess implications for

future customer

experience, strategic

direction, corporate culture

and organizational

capabilities needed for

customer centricity.

Step 4: Prototype and

detail scenarios by

developing narrative

stories, internal logic and

consistency and

development paths.

Involve customers to

simulate future customer

needs and expectations.

Know your future customer Example #1

Three alternative future customer centric scenarios – addressing customer behaviour in 2020

Using the future customer centric scenario method, three different

scenarios were developed in Customer Care 2015.

The scenarios were developed together with industrial leading

experts using the future customer centric scenario method

The scenarios were developed to be different, challenging and yet

plausible cross-industry scenarios describing what the contexts of

“customers” could look like in 2020 have been created. Industry

leading experts, top quality researchers and real customers have

been involved in the process.

The three scenarios are represented to the left, and presented on

the following pages

Engage Me

Don´t make me think

All about us


Future scenarios defined on the basis of key certain drivers and uncertain factors

Through the future customer centric scenario method, key certain drivers and uncertain factors concerning future consumer behavior were identified within the selected time horizon The certain drivers, on which all three scenarios were based, were an increase in … • Digitization • Big Data • Mobile Internet Key uncertainties were factors identified as important, but with uncertain outcomes. The three future scenarios differ in order to capture different outcomes of the uncertain factors.

The identified key uncertainties were

1. Values & Consumer Power

2. Economic Development

3. Digital Preferences

The figure to the right illustrates how the three different scenarios

capture different outcomes for the key uncertainties.


Scenario: Engage Me - individuality and immediate digital experiences

In Engage Me economic growth and technological innovation are predominant driving forces. Virtual innovation clusters and 3D-printing technology have led us into a second industrial revolution. We prefer to live our lives in a digital world where we to a greater extent appreciate rich experiences and rich social interactions online. Individuals are high demanding and impatient, and demand solutions that are tailor made.

Drivers Long-term economic growth. The Asian economy has exploded which has resulted in increased pay and thereby increased production costs in previously low cost countries. Long waiting time when producing in other parts of the world has forced actors to find local production solutions. Extreme degree of technological development and virtualization. Context There is a digital ID that is standardized on a global scale. Major health challenges among a large group of people with low level of physical activity. Simultaneously there is a considerable amount of people that are preoccupied with health and fitness, but these activities are mainly done at home (on a treadmill with “Google glasses”. Production is mostly done locally and on demand – often on a 3D printer close to home. Digital infrastructure in focus.

Individual The individuals wishes to live their lives in a digital world and rapidly adopts new technologies. They are impatient and desire quick responses. Most of us have a “avatar” connected to our digital ID and share information freely, trusting “everyone”. There is a willingness to pay extra and expectations of tailoring are high Relations The individual desires to participate in the development of services and gladly invests in projects they believe in (crowd-sourcing/crowd-funding). Brand loyalty is created by engaging individuals in innovation and product development. The relationship between individual and actors is an iterative process that develops over time.


Scenario: All about us - collective consumer power

In All about us the economic slowdown in Eurpoe continues and growth in Asia has stagnated.

Unemployment rates are rising and social divides are increasing. Social unrest contributes to

collectivism and protectionism. Uncertainty makes the individuals seek trustworthy and

transparent players with sustainable and empowering solutions. Individuals use their collective

consumer power to get good deals, express their opinions and to monitor service providers.

Individuals have low willingness to pay and price pressure increases focus on automation and

efficient operation models.

Drivers The financial markets are very volatile, affected by economic recession in Europe and reduced growth in Asia. High unemployment rates have driven people to pursue higher education. Short-term gain is replaced by technological development and innovation focused on sustainability. Social unease has promoted increased protectionism. Context Large societal gaps – both in regards to economic situation and education. High education levels result in fewer opportunities for those poorly educated. High pressure on prices has increased focus on automation, and increasing efficiency of operations and insourcing. Price comparison services have notably grown.

Individual The insecurity drives us to seek safe actors, and we share information only with those who we trust. Opinions, however, are gladly shared with others. Individuals do not want to spend time digitally but nevertheless do so to obtain good deals and to exercise consumer power. People value predictability and accepts standard products & services. Relations Pricing is an important mechanism. The individual has a low willingness to pay and price is often a decisive factor. Trust is also a key issue. Actors must constantly and proactively prove that they are trustworthy. Transparency is vital in regards to the individual, as they are loyal to the actors they feel they can trust. Basic services are standardized and global.


Scenario: Don´t make me think - effectiveness and simplicity

Don´t make me think is a world with economical growth after years with unstable financial markets.

Technological innovation is high, but without any great breakthrough. Need for infrastructure,

logistics and access to entertainment has resulted in megacities consisting of high-rise, small size

housing units. Individuals spend as little time as possible online. Instead time is spent on face-to-

face interactions and urban experiences.

Drivers Economic growth, but have also recently experienced volatile financial markets. High rate of technological development, but no major technological breakthroughs. Strong directives for privacy and data security, EU has implemented a data directive that ensures the “right to be forgotten”. Context Most people want to live in the city and this has created mega cities with many small living units. Large demographics are preoccupied with image, thereby also preoccupied with health and looking good. Big data is utilized at a large scale in order to predict, adapt and streamline our everyday lives.

Individual Individuals spend little time at home and instead focus on meeting people in “real life”. Demand for personalization – products and services must be tailored. People share information to streamline their lives, but they own their own data. Niche brands are preferred since people are concerned about their image. Relations The individual is connected to an integrator that streamlines and simplifies everyday life. This is a bilateral agreement where the individual doesn´t have to deal with the details as long as one stays with this integrating service provider.


Putting the future scenarios to work

The scenarios has been deployed for strategic dialogue in all three

service partners and they were also used as a basis for the design of

the DNB service concept Boligbytte 2020 (see Step 7: Designing new

and improved services)

CC2015 also explored the use of service design methodology to

facilitate strategic conversations with key stakeholders in

businesses partners within the future scenarios. An example of this

is shown in the following pages.


Know your future customer Example #2

Strategic conversations about a scenario

HOW TO TALK ABOUT THE FUTURE

In the Customer Care 2015 project, we experimented and explored to see if and

how we can design tangible objects to aid and facilitate a strategic conversation

with management about possible futures.

The use of tangible objects as a means of enabling discussions is vital in Service

Design. Such tools seem to facilitate discussion around “what if” questions in

businesses, and help identify and visualize consequences of particular actions.

AIM FOR TOOLS

The goal was to end up with some tangible models that support strategic

conversations with management. The models should make a one hour strategic

dialogue more efficient, giving new insights and understanding.


“The model allowed us to quickly move to very interesting parts of the discussion. It would have taken

hours to get to the same result without it.” - Employee, DNB

Let’s talk about change

The picture is a hyperlink, click it in presentation mode or copy the link beneath to get to the video online. https://vimeo.com/73623303

EXAMPLE TOOL – FLIGHT 2020

A student project with AHO and Customer Care 2015

Tested with DNB

Flight 2020 was designed to take us through a journey from 2013 to

2020. The participants had to guide their customers into the future.

On the way, drivers for the scenarios are introduced and evaluated as

challenges or opportunities. Actions have to be taken and new

offerings have to be created.

Internal changes might have to be handled and at the very end, the

manager positions the company in 2020 and evaluates what it will

look like, based on the new offerings, internal changes and the

amount of customers they have been able to keep through the

journey.


Flight 2020 See the video of how it works!

https://vimeo.com/73623303


Strategic conversations: stakeholders and facilitators

To change an existing situation a preferred one (as described by Herbert

Simon in the 70’s) you have to get the right people to agree to what the

preferred situation is. Service design is all about dialogue. The rock-star

designer who pulls something magic out of a hat rarely works for

complex situations such as services.

STAKEHOLDERS

One of the key aspects of service design is that of having the right people

get the right insights and understanding, so that they are willing to make

a change.

The dialogue will be richer and more dynamic with more than one

participant from the company, 3 or four would be ideal

FACILITATORS

We suggest that an experienced service designer and a trained facilitator runs the session. The service designers must know the business well.


Want to learn more?

These articles and tools will give you more indepth insight….

How to get a leader to talk: Tangible objects for strategic conversations in Service Design ServDes’14 paper Simon Clatworthy, Robin van Oorschot, Berit Lindquister,

Does it help to make things visual and tangible? The tricky intersection between design and business. Book chapter in ‘Value Pursuit’ Berit Lindquister http://issuu.com/designacademy/docs/_07_valuepursuit_issuu/1 pp 46 - 51

Let’s talk about change Flight 2020 More details on the projects Berit Lindquister AHO Master class Service Design 2013 Lenke Projectplace

Service futures ServDes'14 paper on what customers expect from customer care Asbjørn Følstad, Knut Kvale, Joachim Bråthen, Ida Maria Haugstveit

“Futures of Customer Behaviour” Daniel Grönquist et al. 2013.


Return to Toolkit overview

http://csi.nhh.no/assets/Transformation-toolkit/How-to-get-a-leader-to-talk.-Article-ServDes-2014.pdf

















http://issuu.com/designacademy/docs/_07_valuepursuit_issuu/1





http://csi.nhh.no/assets/Transformation-toolkit/Flight2020-How-to-talk-about-change2.pptx















http://csi.nhh.no/assets/Transformation-toolkit/CC2015-D14a-ServDes2014-Service-futures-what-is-expected-from-customer-care.pdf













http://csi.nhh.no/assets/Transformation-toolkit/Appendix-Endringsledelse-Scenarier-Futures-of-customer-behavior-2020-D1.pdf










Future customer experiences

Explore and envision

future customer experiences


To lead the change towards increased customer and

experience orientation, future customer experiences needs to

be discussed and explored. Strategic dialogue on future

customer experiences and needed organizational change,

pave the way for transforming towards increased experience

orientation. Exploring and envisioning future customer

experiences help establish a target for the transformation.

What should you do?

Strategic change towards increased experience orientation is

a complex field. In Customer Care 2015 we have explored two

directions, both based on a service design approach: (1)

facilitating strategic conversations through the use of

tangibles and (2) envisioning future customer experiences.

In the following, both these directions are presented


Envisioning future customer experiences in Customer Care 2015

To establish a common target for the experiences which the

service provider intends to provide for customers in the future,

future customer experiences can be explored and

conceptualized following a service design approach.

Such future customer experiences does not have to concern the

totality of a company's service offerings, but may exemplify

future customer experiences through concepts concerning key

offerings.

In the following we present envisioned service experiences from

the three large service providers in Customer Care 2015.



Helping customers in the event of buying a

home is a key service area in DNB.

Hence, this area is good for exploring and

envisioning future customer experiences.

In the concept, Boligbytte 2020, DNB’s aim has

been to design the customer journey to give the

optimal customer experience, both here and

now and in the future.

Boligbytte 2020 is presented in more detail

under step ??

Envisioning future customer experiences in DNB

Simplicity at every customer touchpoint is key to

Posten and Bring’s goal of the future customer

experience.

Posten and Bring’s vision is to make it simpler to

become and remain a customer.

To deliver on future customer demands for effective,

seamless and simple digital solutions, the company

needs to conduct several radical improvement initiatives

in production, sales, services, pricing, customer service

and the IT platform.

This should help achieve: effective and simple

production – more flexible deliveries – lower costs –

increased sales through improved customer satisfaction

– and long-term improved employee satisfaction.


to produce

to sell

to advice

to serve and help

to work across country

borders and services

to become a customer

to remain a customer

to find the right service

to manage self-service

to select service combinations

to get an overview of deliveries and

business relations

Simplicity… Simplicity…

Envisioning future customer experiences in Posten and Bring

“In 2020, Telenor is the customers’ favourite partner in digital lives….” Telenor has developed the service concept Sustainable Service Experience. It is a visual representation of use cases through a series of drawings put together in a sequence. The service concept of Sustainable Service Experience is based on the scenarios “Do it for me” and “Do it yourself” which concerns life evens in a customer-relationship, such as onboarding a customer, getting a girl friend and increasing the family. The scenarios was operationalized and the aligned service concepts was to prepare the company for change towards the 2020-ambition.


Envisioning future customer experiences in Telenor

The vision of future customer experiences can be enriched by looking at implications of future scenarios (back-casting)

HOW TO? • Use the scenarios from step 1 and

simulate what future experiences customer will expect and value.

• Combine future customer experiences across scenarios to get input to the vision.

UP-FRAMING Forces affecting future customer behavior and business landscape

BACKCASTING Strategic implications for Service Providers with regards to experience delivery and corporate culture

DECISIONS Strategic vision and capabilities to acquire

The future Today

The customer


Vision of future customer experiences - overall

Key learnings: • Experience Centricity through focus on simplicity,

accessibility and insight based customer interaction

• Customer Centricity through innovation and

exploration with high adaptability and consensus (see step 4)

The over all strategic aspirations and challenges of the companies: Customer and experience centricity

Intuitive and ease of

access to services

Ability to influence and have a sense of control

Personalization to individual or

group level

Customer insight based personal interaction

Community presence Group understanding and respect Transparency and open analytics

Responsive JIT analytics

Rich, configurable services and

interfaces

Simplification of customer journeys

Predictive analysis Personal touch

Push

Data capture and management

Pull


Want to learn more?


Bilde

Flight 2020 Video Berit Lindquister

How to get a leader to talk Paper ServDes 2014 Simon Clatworthy, Robin van Oorschot, Berit Lindquister

Paper ServDes 2016 Annita Fjuk, Birgitte Yttri, Knut Kvale. Info om artikkel Ansvarlig Lenke Ikke ferdig

CC2015 stipendiat Natalie Truong: Consumer social identity: cool and single or caring and attached, Journal of Strategic Marketing, Feb2015, Vol. 23 Issue 1, p33-48

























http://csi.nhh.no/assets/Transformation-toolkit/D7-Scientific-article-JSM-1502-Consumer-social-identity.pdf














Know your corporate culture and future capabilities


To transform your organization towards a customer centric strategy, a strategically relevant culture is essential.

Organizational culture is often not aligned with their strategy of customer centricity. Organizational culture is

complex and therefore we need to map the cultural landscape and indicate what direction a transformation process

should evolve in. Thus, A Gap Analysis is a useful tool in visualizing the gap between the present culture and the

future vision.

What should you do?

To meet the strategic ambitions of customer centricity, new capabilities is essential. Capabilities needed for

customer centricity often represent a gap compared to capabilities of today, especially in well established service

providers.

What will you learn?

You will learn to work with your corporate culture and to develop customer centric capabilities.

Working with culture for successful transformation

Know your corporate culture and corporate capabilities

What is a strategically relevant culture for the future?

A strategically relevant future culture allows your organization to achieve its strategic ambitions and deliver

customer experiences that meet customers’ needs and expectations.

To develop a strategic relevant culture, we look at organization culture as a set of competing values such as:

Flexibility and discretion versus Stability and control

Internal focus and integration versus. External focus and differentiation

(Based on: Cameron and Quinn, 2006)

Different strategy directions (e.g. product orientation versus customer orientation) require different sets of

values and capabilities.


A strategically relevant future culture can be identified by use of scenarios

UP-FRAMING Forces affecting future customer behavior and business landscape

BACKCASTING Strategic implications for Service Providers with regards to experience delivery and corporate culture

DECISIONS Strategic vision and capabilities to acquire

The future Today

HOW TO?

• Scenarios give guidelines for

development of a strategically

relevant future culture.

• Assess what future customer

needs and experience will

require of your corporate

culture.


Analyse the gap between today and tomorrow

Organizational culture in most service providers is not aligned with their strategy of customer centricity, i.e. it is not

strategically relevant for the future. The reason for this is that culture is a product of the past.

Organizational culture is complex and therefore we need to map the cultural landscape and indicate what direction a

transformation process should evolve in, based on the future vision of customer centricity.

The Gap Analysis is a useful tool in visualizing the distance between the present state and the future vision. Gap Analysis may

help you assess if the future vision is realistic.


Illustration

Analyzing Telenor organization culture: Understanding the gap between today’s organization culture and the future vision

About the survey: In 2014, Telenor conducted a global assessment of culture, by a cultural survey, examining organizational culture in Telenor's business units (BUs). The purpose was to better understand how specific drivers affects customer satisfaction and market performance. 15848 respondents attended the survey – in total this represent 63% of Telenors global organization. The cultural survey will be repeated in Telenor in 2016. The Berkley Organisation Culture Profile (OCP©) was the core of the cultural assessment, with specific questions added by Telenor. Cultural dimensions which where tested was:

1. Collaboration 2. Detail orientation 3. Result orientation 4. Customer orientation 5. Transparency 6. Integrity


Key learnings

The cultural survey in Telenor tested the strength of specific cultural dimensions.

The culture in Telenor is highly result oriented, and oriented towards customers and

details.

The cultural survey revealed a wish to give attention the cultural dimension of innovation.

This was done in 2015 by introducing “Explorathon”, an innovation initiative for all

employees.

The cultural survey will be repeated in 2016, for the purpose of comparing 2014

and 2016, and take further actions towards culture and strategy.


Identify capabilities needed for the future

What are Customer and Experience Centric Capabilities? Customer centricity requires a culture of risk taking, willingness to experiment, empowerment, fast decision making and ability to spot unique opportunities. For many service providers this means that new, dynamic capabilities must be acquired to support this transformation. Dynamic transformation capabilities are organizational and strategic routines through which companies achieve new resource configurations. The dynamic capabilities can be grouped in three categories: Sensing the environment and opportunities, seizing opportunities, and reconfiguring resources. What will you learn? • Relate the strategic vision of customer centricity to organizational implications. • Identify and list key capabilities for customer centric transformation.


Identify capabilities needed for transforming towards

customer- and experience centricity

Use idea cards to map the capabilities needed to meet the future vision and the need for change.

Start with the vision for customer and experience centricity…


Examples of dynamic transformation capabilities for customer- and experience centricity

Dynamic transformation capabilities identified in workshops with Telenor, Posten/Bring and DNB.

Sensing – Understanding customer needs and experiences (Systems and capacities to Learn and to Sense, Filter, Shape, and Calibrate Opportunities)

Seizing - Designing service to deliver experiences and enable value creation/capture (Enterprise Structures, Procedures, Designs and Incentives for Seizing Opportunities)

Transforming - Reconfiguring of resources to deliver experiences and enable value creation/capture

(Continuous Alignment and Realignment of Specific Tangible and Intangible Assets)

Insight - Awareness of customer context - Foresight for anticipating customer needs - Customer behavior/network data analytics

Empathy - Empathic curiosity - Understanding of customer value creation - Understanding of customer life cycle events

Exploration - Risk willingness to prototype and test services - Customer value based priorities - Foresight for decision making

Relation - Transparency - Integrity - Trust

Collaboration - Cross disciplinary - Seamless integration of touch points across

functions - Networked orchestration

of resources Agility - Empowerment of customer service - Adaptability - Flexibility


Want to learn more?

These articles and tools will give you more in-depth insight:

Bilde

Organisasjonskultur: Aktivum eller barriere for radikal innovasjon eller transformasjon?, Magma 8/2014 Tore Hillestad, Daniel Grönquist, Birgitte Yttri

Cultural values boosting customer centricity Tore Hillestad, Pia Solheim, Birgitte Yttri and Annita Fjuk, Whitepaper, November 2014

Telenor Cultural Survey. Birgitte Yttri and Jarle Hildrum Avventer godkjenning

“Transformation capabilities for customer and experience centricity” Tore Hillestad, Daniel Grönquist, Birgitte Yttri.



https://www.magma.no/organisasjonskultur-aktivum-eller-barriere-for-radikal-innovasjon-og-transformasjon










http://csi.nhh.no/assets/Transformation-toolkit/Cultural-values-boosting-customer-centricity.pdf














http://csi.nhh.no/assets/Transformation-toolkit/D5-List-of-transformation-capabilities.pdf









Use Corporate Branding tool to evaluate the consistency between your brand and vision, culture and image

Why is this important to my organization Corporate branding can help the organization to perform according to ambitions, achieve strategic goals, and communicate visions and values. Corporate branding has a strong impact on the company’s reputation and customer experience and satisfaction. What is Corporate Branding Tool? Traditional brand strategy emphasizes the products and services offered by a company. In the Corporate Branding Tool-Kit, developed by Hatch and Schultz, the organization itself is seen as the key to differentiation and competitive advantage. Corporate branding focuses on the variety of channels through which a company reaches out to stakeholders, and on how to convey a consistent message across channels. A key concern in building a strong corporate brand is the alignment of the organization’s strategy (vision), culture and reputation. Brand consistency depends on: - Strategic vision: The aspirations for the company as expressed by management - Culture: The values, beliefs and assumptions of the company employees - Image: The company as seen by customers and other stakeholders

In the preceding steps we have considered how to explored the perspective of future customers (step 2), linked to image. We have presented approaches to strategic dialogue (Step 3), linked to strategic vision. And we have discussed studies of company culture (Step 4). The Corporate branding tool makes it possible to tie these three to the overall value offering and brand consistency. What will you learn? To get the most out of a corporate branding approach, three essential elements must be aligned: vision, culture and image. The model on the next page teaches you how to assess if there is consistency between these three.


Why is the brand strategy so important as a key point of departure?

A strong brand strategy is essential as the basis for ensuring a clear positioning both globally and in the respective local markets .

Therefore, a change or a longer transformation journey must always be aligned with brand strategy and values.

A change or an audit of the company's brand strategy and visual characteristics can be used as a starting point and a visual symbol for

change – which is the case for both Telenor , DnB and Posten.

These three service providors are key players in their respective markets, but they face a common challenge of meeting the rapid change

of customer needs and demands, as well as increased competition from new players challenging existing business models.


About the Telenor Brand

Telenor Group* is an international provider of tele, data and

media communication services, enabling connectivity services

for all. Telenor Group has mobile operations in 13 markets in the

Nordic region, Central and Eastern Europe and in Asia.

Headquartered in Norway, Telenor Group is one of the world's

major mobile operators. By December 2015 Telenor Group has

surpassed 200 million mobile subscribers.

The Telenor brand is a common profile and mindset across

operations to develop local competitiveness through exchange

of competence across companies, countries and regions.

Our industry plays an increasingly important role in people’s

everyday lives. Our vision, mission and values express where

Telenor is headed and the role we will play both in transforming

people’s lives and empowering societies to grow and progress.

Source: www.telenor.com

*Telenor, djuice and Talkmore are supporting specific segments.

In this Roadmap for change, Telenor is the brand being studied.

Vision: Empower societies

We provide the power of digital communication, enabling everyone to

improve their lives, build societies and secure a better future for all.

Our vision to empower societies is a clear call to action. We bring vital

infrastructure, new services and products that stimulate progress,

change and improvement.

Mission: We’re here to help our customers

We exist to help our customers get the full benefit of being connected.

Our success is measure by how passionately they promote us.

Values

The Values are a guide for our everyday work.

They describe how we should serve our customers and work together

as colleagues.


http://www.telenor.com

About the Posten and Bring brand

Posten Norge is a Nordic mail and logistics group that

develops and delivers complete solutions within postal

services, communications and logistics, with the Nordic area

as its local market. Posten Norge meets the markets with two

brands: Posten and Bring

Posten covers services to private customers, the post office

network and daily postal distribution to the entire Norwegian

populace. Bring is aimed at business customers within mail

and logistics in the Nordic area, and consists of specialists

who each have key skills within their areas.

The Group has appr. 19.000 employees and operating

revenue of NOK 24,4 bill. There is more than 1 400 points of

sale in Norway in the form of post offices and post in shops.

Vision

Verdens meste fremtidsrettete post – og logistikk konsern.

Posten brand promise

I Posten jobber vi hver dag med små og store forbedringer som skal gjøre oss enda bedre på å

levere. Alle våre kunder kan være trygge på at vi leverer det de ønsker, dit de ønsker, når de

ønsker. Vi kjenner hver krok i landet og har lang erfaring. Våre kunder skal kunne stole på at vi

alltid står på for å holde det vi lover.

Bring brand promise

I Bring finner du mennesker som ikke gjør noe annet enn å skape og jobbe med forbedringer og

løsninger innen post og logistikk. I manges øyne gjør det oss til spesialister. I våre øyne er det en

hedersbetegnelse vi må gjøre oss fortjent til hver gang vi har kontakt med våre kunder.

Hva kan vi gjøre bedre for deg idag?


About the DNB Brand

DNB is Norway's largest financial services group and one of the largest in the Nordic region in terms of market capitalization. The Group offers a full range of financial services, including loans, savings, advisory services, insurance and pension products for retail and corporate customers. We ensure that we are present where our customers are by offering our services at a diverge range of places: bank branches, in-store postal and banking outlets, Post office counters, Internet banking, mobile services and international offices. We are a major operator in a number of industries, for which we also have a Nordic or international strategy. DNB is one of the world’s leading shipping banks and has a strong position in the energy sector, the fisheries- and seafood industries. DNB has 2.1 million retail customers, 220.000 corporate clients, revenues of NOK 49 billion in 2014, and a workforce of about 11.500.

Vision DNBs vision is “creating value through the art of serving the customer”. All the value created in DNB is a consequence of the way we meet our customers needs. Value created is for: - DNBs customers - DNBs owners - DNBs employees - The society

Customer Value proposition Here for you. Everyday. When it matters the most. The customer value proposition addresses that DNB is a partner in our customers everyday life. When bigger events occur, DNB plays a more significant role in meeting our customers needs.


The model of Corporate Branding (VCI-model):

Companies must align three essential elements to create a strong corporate brand: vision, culture and image.

Gap 1: Does employees understand or/and support the strategy?

Gap 3: How are the company’s strategies preceived by stakeholders?

Gap 2: Are the employees living the strategies

STRATEGY AND VISION The companies strategic

aspirations and challenges: customer and experience

centricity

EXPOSED

VALUE AND

IDENTIES

This is a model showing the alignment between image, culture and strategy Future success calls for differentiation. Consistency in image, strategy and culture in the model of “corporate branding” is key – by putting people and culture first. The model describes the required transformation from the AS-IS situation (misalignment between vision, culture and strategy) towards the TO-BE situation (alignment between vision, culture and strategy). Strategy = business strategy, including vision Culture = organization culture represented by Friendly and caring partner, Winning Spirit, Innovation, Performance and Ethics Image = partners including customers Strategy represented by top management and managers Culture represented by employees Image represented by partners and customers Gaps in the AS-IS-situation:

i. Strategy – culture: When employees do not support the strategic direction ii. Culture – image: When organization do not live up to ambitions iii. Image – strategy: When the image ie digital customer journeys is not experienced

according to the vision


Alignment of strategy, culture and image


Examples of gaps and future challenges in the three service providers

Gap 1 Does employees understand or/and support the

strategy?

Gap 2 Are the employees living the strategy?

Gap 3 How are the companies strategies perceived by

stakeholders?

• Employees have differentiated opinions, values

and attitudes, because of decentralized and heterogeneous culture

• Potential for improvement with regards to innovation capabilities

• Employee behaviour not always according to

strategic ambitions when it comes to customer care

• Gaps between services, channels and brands

• Fragmented perception of strategies • Challenges with regards to customer service and in-

consistency between different touch points and channels

This research was completed in 2013


Want to learn more?


https://hbr.org/2001/02/are-the-strategic-stars-aligned-for-your-corporate-brand Are the Strategic Stars Aligned for Your Corporate Brand? Mary Jo Hatch and Majken Schultz



https://hbr.org/2001/02/are-the-strategic-stars-aligned-for-your-corporate-brand






















Measure

customer

experience

Leverage

Customer

Journeys

The experience

centric

organization

Design new and

improved

services


A selected view on customer centric transformation in Telenor focusing on customer centric intitatives in Telenor Group


Telenor is transforming from a traditional telco to a digital partner for our customers. This journey requires focus on activities and initiatives that are customer centric, driving our transformation journey. Telenor strategic aspiration is “In 2020, Telenor is the customers’ favourite partner in digital lives….” (Telenor Group Strategy Aspiration). The Customer Centricity Program, customer journey design, selected strategic capabilities and cultural transformation drives this transformation.

The Transformation Journey for Norway Post started already in year 2000

2000 2003 2005 2007 2013

FROM ADMINISTRATION

TO BUSINESS

E-COMMERCE & DIGITAL

GROWTH THROUGH LOGISTICS

NORDIC EXPANSION

NEW BRAND STRATEGY

DEMAND ORIENTED CUSTOMER

EXPERIENCE

2020 2008

CONTINOUS IMPROVEMENT

The journey of change for Norway Post started long time back. However, the pace has increased over the last ten years. The customer’s

demand for simple, effective and seamless digital solutions call for a more radical change processes – both in terms of how we sell and how we

serve our customers, how “flow” and cooperation succeeds across production processes and businesses, and last but not least, how the back-

office IT structure enables these solutions. We recognize that “everything is related to everything” and we consequently established the

change program “Nye Posten og Bring” in 2013.


Transformation Journey in Posten and Bring

“Nye Posten og Bring” was launched to realize and put into operation the overall objective that our

services should be simple to sell, simple to buy, simple to serve, simple to advice and simple to

produce.

The program was established on three focus areas:

1. Harmonize the existing customer front line

2. Standardize production and support

3. Integrated IT portfolio

Within each area detailed objective descriptions and requirement specifications were created. Next

phase was to establish business cases and to set priorities in order to set the right scope of work for the

program.

2015 the program reached its implementation phase and it was decided to put responsibility and

ownership out to the line organization. The program consisted at this point in time of nine projects.

In addition – Change Management and Communication were critical areas to be carefully handled

throughout the course of the program.


Personal Banking Norway is transforming from a traditional bank to a modern retail player. This is a major journey of

change which requires us to focus on making the right priorities in order to reach our goals.

Our primary goal will be to focus on our customers by putting into practice our customer value propositions and values

when in meetings with our customers.

Our customer value propositions tell us what we should deliver to our customers, and our values tell us how we should

deliver this.

We have identified two key components in our transformation journey, these are being “Best in important customer

situations” and “Modernisation” of the way we run our business.

Transformation Journey in DNB Personal Banking


Best in important customer situations

We must be best in the situations which are most important for our customers – every single time.

We will achieve this by delivering on our values and customer value propositions in every customer meeting. We need to see the

whole customer, understand our customers’ actual needs and provide good advisory services based on customers’ own terms. In

addition, each customer must be followed up in a good way throughout their life cycle and not only at the moment of sale.

Modernisation

Modernisation means going from “being a traditional bank to becoming a modern retail business”. Modernisation must take

place through change management focusing on customer contact, high activity levels, superior quality, and greater efficiency by

facilitating digitisation and finding new ways to use digital channels and automated solutions throughout the value chain.

Transformation Journey in DNB Personal Banking



Leverage customer journeys


Customer journeys facilitate a customer-oriented perspective, where the service process is designed or analyzed from the customer's point of view. Customer journeys are particularly important for services provided across channels and organizational silos. What are customer journeys? A customer journey is the process a customer goes through to obtain a goal, involving one or more service providers. The process typically involves several touchpoints, that is, points of interaction or communication between the customer and the service provider. The customer journey is seen from the perspective of the customer, often referred to as a walk in the customer's shoes. The customer may engage in multiple customer journeys throughout the customer lifecycle. Customer journeys may be used for mapping, (re-)design, innovation, and monitoring of services. What will you learn? In this section, we first outline how customer journeys have been establied as a way of work in Telenor. We then outline the introductory tool: Customer journeys in 15 minutes. Here you learn about (1) customer journey mapping, (2) customer journey proposition, and (3) customer journey measures.


Leverage customer journeys Example #1

Customer journeys as a way of work in Telenor

Customer journeys have been taken up as a way of work in

Telenor, to support the company aim for customer-centricity.

Moving towards customer journeys started in 2007 /2008 as a

response to the organization’s need to understand and

measure the customers’ experiences across several

touchpoints. A process for customer journey mapping (CJM)

was iteratively developed through initial mappings of

customer journeys pertaining to a small number of key

services in Telenor Norway and Grameenphone in

Bangladesh.

Telenor’s Customer Journey Framework (CJF) was launched in

Q3 2010 and has gradually been adopted by the different

business units across the Telenor Group. Based on CJF's

terminology and visual notation, a customer journey design

(CJD) toolbox was developed to support the design of new

services. Since 2011, CJD has become an integrated part of the

Telenor Norway’s innovation processes.

Illustration from Telenor CJM guidelines, by Ragnhild Halvorsrud and Knut Kvale



Customer journey mapping is now routine practice for

major products and services in many BU’s in the Telenor

Group.

Through customer journey mapping the expected journey is

visualized. On the basis of customer feedback, actual

journeys as experienced by the customer may be identified.

The gap between the expected and actual journeys

constitute a valuable basis for service improvement.

Some early cases of customer journey mapping are shown

in the figure to the right.




Customer journey innovation is now taken up as a way of work in

Telenor. For example, customer journeys are central to the Telenor

Service Design Academy (SDA) that is developed in collaboration

with Oslo School of Architecture and Design and Telenor Group.

Innovation grounded in analyses of "as is": As a mandatory

preparation for the SDA the BUs have to apply the Customer

Journey Framework (CJF ) to analyze and visualize their ten most

important customer journeys, i.e. the journeys regarded as most

critical to the company’s success now and near future. Then

(minimum) two journeys are selected for mapping of real customers

experiences in an onboarding journey, from buying to installation,

and one journey free of choice depending on the responsibilities of

the SDA-participants (e.g. mobile/fixed or consumer/ business).

At the SDA the analyses of these journeys are presented by the

responsible product managers to get a common understanding of

the “as is”-situation in the company.



Customer journeys used to propose new solutions: On the basis of the "as is"

analysis, the SDA participants use the customer journey framework together

with emotional cards to identify redesigns and innovative solutions.

The SDA combines a “Learning by doing” approach with operational practice by

using previously mapped journeys to get a shared and common understanding

of what service design is in a Telenor context and how to include the customer

experience in to the development processes.

Visualizing the proposed customer journey may strengthen cross-functional

collaboration in the creative process, facilitate communication of the concept,

and support validation of the concept with regard to existing backstage

processes and infrastructure.

Using customer journeys as part of the SDA hence facilitates the organizational

uptake of a service orientation.

Telenor’s SDA has been used as a case to show how service design practices

offers a great potential for operationalizing service-dominant logic (Clatworthy

et al., 2016)

Clatworthy, S., Fjuk, A., Kurtmollaiev, S., & Kvale, K. (2016). Service Design as an Operationalization of

Service Dominant Logic: A Case Study from Change in Telenor. Submitted manuscript.


Customer journeys in 15 minutes – an overview

Background: The theoretical and practical basis for customer journeys. The relation between customer journeys and customer experience.

Customer journey mapping: An overview and process description for mapping customer journeys on the basis of insight from customers and company internals.

Customer journey measures: An initial suggestion as to how customer experience may be measured in the context of customer journeys.

Customer journey proposition: An overview of how customer journeys support the proposition and design of future service experiences.

Three approaches: An overview of the relevant customer journey approaches, which then are laid out in the following sections.

Getting started: A generic process for establishing customer journeys as a way of work in the organization.


The introduction tool Customer journeys in 15 minutes provides a basis for starting the organization's process towards applying customer journey approaches. Here is an outline, below is a link to the tool

Customer journeys in 15 minutes – an overview

Customer journeys in 15 minutes is intended

as a starting point for considering a

customer journey approach for your

company and beginning the process towards

applying customer journey approaches.

In the final section of the tool, we outline

how to take up customer journeys in the

organization.

Awareness: Initial mapping of a small number of key customer journeys, to demonstrate usefulness. In particular, to analyze the gap between company internal expectation and customer experience.

Innovation: Adapting the innovation process to incorporate the mapping of the current and proposition and design of the future customer journeys.

Monitoring: Applying customer journeys to support the continuous service quality work in the organization


Want to learn more?


Bilde Bilde Bil

Customer journeys in 15 minutes Presentation Asbjørn Følstad & Knut Kvale

Customer journey literature review Technical report Asbjørn, Knut, & Ragnhild

Customer journey involvement practices Paper ServDes 2014 Asbjørn Følstad, Knut Kvale, & Ragnhild Halvorsrud

What is a customer journey? Movie made for Telenor by AHO Service Design students 2013 Berit https://vimeo.com/74973613



http://csi.nhh.no/assets/Transformation-toolkit/Customer-journeys-in-15-minutes-presentation-in-Norwegian.pptx










http://csi.nhh.no/assets/Transformation-toolkit/Customer-journey-literature-review-report.pdf










http://csi.nhh.no/assets/Transformation-toolkit/CC2015-D14b-ServDes2014-Customer-journeys-involving-customers-and-internal-resources.pdf



















Design new and improved services

Designing new and improved services

Why is this important to my organization?

Services are increasingly provided across touchpoints and channels. Companies need to provide value to the customer and strengthen the

customer relationship through design and orchestration across touchpoints and channels; they need to provide seemless delivery of

customer experience across channels and touchpoints.

How to design for services?

In the field of service design, a designerly approach is taken towards the planning and organizing people, infrastructure, communication and

material components of a service" (http://service-design-network.org). A holistic and human-centred approach is applied, where service

concepts are developed and tried out in rapid iterations on the basis of extensive customer insight.


In this section, we exemplify the design of new and improved services through two case examples from DNB and Posten.


Design new and improved services Example #1

Examples of service design

Within Customer Care 2015, several service design initiatives and projects have been conducted. To provide some examples, we present two service design projects from DNB and Posten respectively. From DNB, we present elements of a service design concept for the future role of DNB when their customers is buying a new home; Boligbytte 2020. From Posten, we present element from their work pertaining to their new and improved service portfolio.


DNB Boligreisen - a service design example

One of the most important events in many of our customers’ lives is buying a new home. Owning your own home is a key priority for the majority of Norwegians. This is often the single largest financial investment they will ever make. This is when customers choose which bank they wish to have as mortgage provider and can be the start of a long relationship. Consequently, home buying is also an important event for banks. In Norway, there is strong competition among banks as mortgages are a profitable product. Even though the real estate market in Norway functions well, many customers find the process complicated. There are many steps that must be taken during the customer’s journey, from finding a new home, acquiring a mortgage, signing the various papers and selling a current home. In a market with a high level of competition and similar products and pricing, it all comes down to the customer experience, from when you start thinking of buying a house until you get the keys and open the door of your new home. DNB’s aim has been to design the customer journey to give the optimal customer experience, both here and now and in the future. We have had to consider how segmentation can contribute to ensuring that all of our customers receive the best possible experience.


DNB Boligreisen – a service design example: Segmentation based on life events

What is segmentation based on life events? Using events in people’s lives and changes in their life circumstances as a segmentation criteria is a new way to categorise and prioritise segments.

Segmentation has traditionally been based on dividing a market in sub-markets based on common features among customers and consumers; and according to various demographic criteria: geography, ethnicity, gender, age, education, profession and income.

Such information can be too inadequate, telling us little about customers’ lives and their real needs.

Why are we doing it in this way? Segmentation in the consumer market is therefore more often based on psychographic criteria such as attitudes, personality and life style or behavioural criteria such as use frequency and brand loyalty.

This can provide a basis for more innovative service development based on the fact that the selected segments and customer types should have relevant offers and good experiences during their entire customer journey adapted to their particular life circumstances.

What can you learn? Today, the choice of service provider is increasingly based on customer experience. There is therefore a need for a new approach to the design of services based on insight into changes in life circumstances among important customer groups.

The next few pages show examples of segmentation based on life events.


DNB Boligreisen – a service design example: Segmentation based on extremes


To create the most relevant value propositions, you

need to know your customers and the world they

live in.

To get this insight, you need to look into several

sources.

Based on this insight, you can design for the

optimal customer experience, and the customer

journey

DNB Boligreisen – a service design example


Posten and Bring – a service design example


Each parcel that is not scanned correctly means one call from a stressed-out customer

Customer insight told us that our customers found it is

difficult to understand the current service offering and

pricing structure. At the same time the number of services

offered had increased radically over the past ten years,

mainly because of merges and acquisitions and increased

levels of (marginal) service attributes.

This also created complications for production and IT

systems. The customers also experienced price differences

between services that were equal – which could contribute

to loss of customers and revenue. Many services were

duplicates, as were many IT systems and production

processes.

Posten and Bring – a service design example: Need to radically simplify existing service structure

I don't know what I have bought before I get the invoice

What is the difference between the different ways to send my package?

How to register this "creative" deal in the system to make the invoices right?

Customer

Customer service

Customer's logistic manager


This was not a process to innovate new

services – just delete duplicate services, re-

organizing and simplify existing services.

The resulting set of services should be

logical and easy to understand – but also

aligned with business standards.

Posten and Bring – a service design example: Not developing new services – just simplifying and reorganizing

VALUE ADDED SERVICE

GEOGRAPHIC

TIME

SIZE, CONTENT

PRICE ADDTIONS

SERVICES

Customer


The services were re-designed with a new set of logic

and intuitive value-added services, terms & conditions,

lead-times and price structure.

An example of the service formatting to the right

Posten and Bring – a service design example: A complete redesign of the service portfolio


How Posten and Bring presents and talks about services had to be reconsidered for each

touchpoint – from order to procurement.

Posten and Bring – a service design example: A makeover of service touchpoints


Each service also has different target groups, which

makes it necessary to make adjustment to fit the

services to customer experience

Example: Tailoring invoicing for small customers

The customer wants one invoice because it is one (or few)

persons handling the logistics in the company.

It should be easy for the customer to understand if the invoice

in correct, and to get an overview of which services the

customer has bought and which extra charges that have

occurred.

The customer must receive information on extra charges and

how they can handle future order if they would like to avoid

the extra charges in the future.

The customer should be able to perform a drill-down on the

different services ordered and delivered through a more

detailed report function.

Posten and Bring – a service design example: Tailoring to specific target groups



Measure customer experience in the customer journey


As customer experience is formed in the customer journey, companies may benefit from implementing customer experience metrics as customer journey measures. Customer journey measures facilitate the monitoring of customer experience as it evolves across the customer journey, and provide insight into challenges concerning current customer journeys and opportunities for change What are customer journey measures? By customer journey measures we mean methods and techniques to investigate customer experience in the context of customer journeys. In particular, customer journey measures concern routine data collection on customer experience in support of the organization's work towards improved service quality. Our suggested approaches to customer journey measures are based on the emerging trend to combine quantitative and qualitative data collection and analysis. What will you learn? In this section, we first outline how widespread approaches to customer experience measurement can be applied as customer journey measures. We then present a tool for customer journey measures.

Measure customer experience Example

Customer journey measures from existing CX metrics

Customer journey measures provide a conceptual structure to leverage established

instruments for customer experience measurement, so as to gain insight into customer

experience in the context of customer journeys.

Hence, customer journey measures is not so much about introducing new customer

experience (CX) metrics, but rather to adapt such metrics to customer journeys. In the

cases of Customer Care 2015, we have for example used the Net Promoter Score for

purposes of customer journey measures.

The adaptation concerns the object of assessment (journey, rather than touchpoint) and

requirements for the data collection (combining qualitative and quantitative data).

As customer experience may be formed by a wide range of factors that, in part, are

specific to the particular service context, the applied metrics needs to be complemented

with qualitative follow-up questions.


Customer journey measures – adapting CX metrics to the customer journey when running as expected …

… and when events such as channel switching or deviations appear

Customer journey measures in Telenor

Telenor introduced the CX metric Net Promoter Score (NPS) in 2012.

Initially NPS was implemented for customer feedback on the

performance of specific touchpoints, such as customer service and

customer websites.

More recently, Telenor has also applied NPS to gather customer

feedback at the end of key customer journeys. For example, following

installation of a home broadband in the customer's home, or following a

fault handling process.

In Customer Care 2015, we have tried out different approaches to

applying Net Promoter Score in the context of customer journeys. Our

experiences from this work are summarized in the tool presented next.



Customer journey measures – a tool for getting started

Introduction: The basis for our work with customer journey measures is presented; in particular the related empirical cases.

The framework: An overview of the suggested framework for customer journey measures, including the notion of quant-qual measures.

Deviation-based approaches: Insight into challenges and threats to customer experiences through customer reports. Operationalized as measures of customer service contact or channel switching behavior.

Assessment-based approaches: Insight into key customer experiences through customers' assessments and explanations. Operationalized as end-point measures, start-end-measures of touchpoint measures.

Background: The theoretical and practical basis for customer journeys measures. The distinction between differentiating through experience and fixing the basics

The broader context: Where we consider customer journey measures in conjunction with other data sources and activities, such as harmonizing of measures and innovation through customer journey measures

To provide a starting point for establishing customer journey measures, a tool is provided. In the tool, we detail two approaches to customer journey measures: (1) assessment-based and (2) deviation-based. Here is an outline. Below is a link to the tool


Customer journey measures –case example

As part of CC2015, we conducted a study of

customers' that had been through a fault-

handling process at a service provider, applying

a start-end measure.

Here we analyzed quantitative and qualitative

data gathered from the same customers at the

start and end of the journey.

The purpose of the study was to understand

key customer experiences and how they form

across the customer journey.

Case example: The fault-handling journey

The study was conducted by analyzing data from a Net Promoter Score (NPS) survey at the start-

point and end-point of the journey. The start-point being the filing of the fault, and the end point

being three days following a message to the customer that the fault was handled. All participants

provided data at both points in time.

Four main groups of customers were identified. The larges of these were those with relatively

high scores throughout (NPS 7-10), with positive key experiences concerning the process and

customer serice.

As targets for improvement, the smaller groups were particularly interesting. For example,

customers with low scores throughout typcally reported key experiences concerning process, a

process that often extended beyond the scope of this particular fault-handling. The findings

motivated recommendations towards better means to (a) identify recurring complainers and (b)

provide a proactive follow-up routine for these.

! !

[ … ]

Fault reported Fault fixed / checked out


Want to learn more?

These articles and tools will you a more in depth insight….

Bilde kommer

Customer journey measures. Adapting CX metrics for service design Paper Touchpoint 8-1 Asbjørn Følstad & Knut Kvale Ikke ferdig

How service recovery affects customer experience. Paper ServDes 2016 Asbjørn Følstad & Knut Kvale

Why customers call support after visiting self-service websites Paper NordiCHI 2014 Asbjørn Følstad, Knut Kvale, & Ida Maria Haugstveit

Customer journey measures. Presentation. Asbjørn Følstad & Knut Kvale



http://csi.nhh.no/assets/Transformation-toolkit/Delightful-or-efficient-paper.pdf















http://csi.nhh.no/assets/Transformation-toolkit/CC2015-D15a-Folstad2014-Customer-Support-as-a-Source-of-Usability-Insight.pdf





















http://csi.nhh.no/assets/Transformation-toolkit/Customer-journey-measures-presentation-in-Norwegian.pptx










The experience-centric organisation

Customer experience as the core of service


The importance of the customer experience in service

Characteristics of the experience-centric organisation

Capabilities that support experience-centricity

An example of service design for experience and organisational implications

The experience-centric organization

The experience-centric

organization

Illustration: Liz LeBlanc 2013

Customer experience in services

Services are complex, holistic and delivered over several touch-points and through multiple media.

Services happen over time, so service design is about the design of time and interactions related to time

Services are also experiential journeys, in which the customer develops

-expectations before using a service

-experiences the service in use,

-and then summarises through remembered experience afterwards.

This service experience can be intentional, designed for and enabled.


When the customer experience is the market differentiator

The delivery of a superior customer experience becomes the prioritized and central company

mission. The company will optimise the organisation to be able to provide the customer experience

that they wish to deliver. This will lead to an experiential alignment which is infused throughout the

organisation. Todays organisations are not organised to be able to support such an organisational

imperative.

A new organisational design will be required:

the Experience-Centric Organisation.


A trajectory that starts with Service and ends at the Experience-Centric Organisation

Organizations have great difficulty in innovating their services and the

failure rate of innovations is extremely high. This is noted in research,

although the reasons behind this are neither clear nor simple to

rectify.

Innovating in services is more complicated and complex than

innovating in products, due to the nature of service and the complex

interrelations between different aspects of a service during the

delivery process. The service is the organisation, and any change

impacts multiple parts of it. Everything impacts everything, and that

makes changing a service challenging.

When it comes to innovating in service experience, then the

complexity is further increased, and requires an interaction between

multiple parts of the organisation and across silos to be able to deliver

consistently and superior customer experiences.


Inspired by Patricio & Fisk 2012

An experience-centric organization has its main focus upon delivering holistic and superior customer

experiences rather than just viewing products or services in isolation.

To truly become experience-centric, the whole organization must act experience-centric.

This involves placing the customer at the center of the business and making sure all organizational activities

and processes are part of supporting value creation through the customer (and employee) experience.

This in turn demands culture and values within the organisation that support and continually improve the

customer experience.

What is an Experience-Centric Organisation?



Characteristics of the experience-centric organisation

The experiential journey

The customer experience evolves through a series of events over time, like in a movie.

This is the experiential journey of the service.

Customer Experience

Illustrations by EGGS


104

Customer Experience

A new role in the organisation

The experience director function has responsibility for the customer experience.

The experience-director function has an influential position in the organisation.


Experience

Director Function


105

Insight Experience

Director Function

Customer

Experience

Creation

Implementation

moment of

dedication moment of

truth

moment of

translation


A learning organisation Organisational alignment around the customer experience Continuously gaining new insights to improve the customer experience


106

The experience director’s two main tools are the script and the program

”Oiling the improvement process”

How we work with improvement

• Delegate ownership to journeys

• Innovation methods

• Onboarding and ownership

• Competence building

• Incentives

• Empowerment

• Culture

”Orchestrating the customer experience”

Overall experience script

Mindset nurturing Individual customer journeys

Touchpoints in ”scenes”

EXPERIENCE PROGRAM EXPERIENCE SCRIPT

Experience

Director Function



107

Conceptual

Creative

Visual

X-plorative

Thinking by doing

CREATIVE SKILLS

REALISATION SKILLS

Cross diciplinary

Cultural interaction

Organisation

Integrating

Collaborative

INSIGHT SKILLS

Ambiguity tolerante

Holistic

Reframing/ Translation

Reflection

Syntheses

Insight Creation

Implementation

moment of

dedication moment of

truth

moment of

translation


The capabilities that enable the improvement process are spread across functions and roles and thereby infused in the organisation.


108

The company mission is to deliver a superior customer experience. Activities and recourses are organised around the experience vision.

The service is a set of interactions and touchpoints, like scenes in a movie, directed to create an holistic customer experience.

The experience-centric organisation




A case study of a logistic service: - designing for a superior customer experience

From an AHO student project with Norway Post. Photo: AHO students SD1 2013

A case study of a logistic service: - designing for a superior customer experience

About the following case

The concept ‘Licensed to Help’ is about harnessing

the potential of an emotionally activated situation a

client might be in when contacting customer service.

The goal is to turn these situations into experiences

worth retelling to create a positive buzz about the

brand in question.

Please note: Licensed to help is an eight week

collaboration project between the Oslo School of

Architecture and Design (AHO) Service Design Master

Course 2013 and Norway Post. The concept is not

implemented within the Posten organization.

Thanks to the students group Born: Simón Sandoval Gusman, Lucien Skånseng, Oda Sortland, Jane Pernille L Hansen and Daniel Jackson.

All illustrations and animations were made by the students.

LICENSED TO HELP - a customer-service transformation concept

I need help!

Please hold the line..

AHO student project with Norway Post Service Design 1 2013

Licenced to help is an example of how the customer journey can be used as a tool for service innovation

What is Licenced to help? • Shows how the customer

journey can be used as a means of innovating in a logistic service

• The concept was based on the Bring e-commerce channel Mybring. Bring is a logistic provider in the Nordic market. Mybring is primarly an e-commerce channel, aimed towards small and medium sized businesses.

Why use the customer journey as a tool? • Mapping the ‘as is’ situation will

give new and valuable insight of how the service is experienced by the customer

• Understanding the customers situation, context and experience along the customer journey will inspire improvement and innovation

What will you learn? • The benefit of seeing a

service as a journey, from the customers point of view.

• How a difficult situation can be turned into a good experience

• This presentation will direct you to two animated videos. One shows the service journey as it is today (2013). The other video shows the proposed solution.


Licensed to Help – the scope and situation

Scope: a customer makes a mistake and needs help The situation chosen was one where Jane spills juice over her computer not long before the deadline of her project. Dan, a computer repairman and our Mybring user, repairs her computer in time but puts the wrong address label on the package. Marianne is the Mybring customer service-employee. To understand how Norway Post handles a similar situation a lot of packages were deliberately sent “wrongly” between the students, and they then contacted Mybring customer service to get help. This gave valuable insights into the Mybring customer service experience. DAN

Mybring customer

JANE

Dan’s customer

MARIANNE

Customer service


Licensed to Help – key insights and results

In the existing service, it was clear that customer service does not have the mindset, the mandate nor the means to fix many customer problems. Conversations with the internal customer service team confirmed this. In the new and improved service, the front line is empowered and motivated to take action to solve the customers problem. Winning the customers heart must be embedded in the culture and in the KPIs. The project indicates that what seems to be an incremental innovation in a particular part of the service, requires training, a more customer oriented mindset, different incentives and also a more advanced use of technology. To show what the existing service looks like and how the future service could look like a video and a blueprint of the current- and the proposed service were made. Copy the blue link below to be taken to the vimeo pages with the videos.

Video 1: how the service is today https://vimeo.com/81088617

Video 2: how can the service be in the future https://vimeo.com/81088438




Want to learn more?

The Experience-Centric Organisation A white paper about what it is, why it’s important, its characteristics and capabilities Clatworthy, Gloppen and Lindquister Ikke ferdig

Let’s talk about change MINDSPACE - an example of Service Design methods for strategic conversations about the Experience-Centric Organisation AHO Master class Service Design 2, 2015 Berit Lindquister

These articles and tools will give you a more in depth insight….

Bilde

Presentation at Frontiers 2016 Annita Fjuk, Birgitte Yttri, Info om artikkel Ansvarlig Ikke ferdig

The customer journey as a tool for business innovation and transformation. In R. DeFillippi, A. Rieple, & P. Wickström (Eds.), Business innovation and disruption by design. Judith Gloppen, Berit Lindquister, & Hans-Peter Daae. (Forthcoming 2016). Ikke ferdig

The role of service design leadership in shaping experience oriented organizations. Paper Academic Design Management Conference. London, 2014. Judith Gloppen

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transformation toolkit: themes to support successful transformations

Leadership & Management