| It's odd to think of complaints 
                      as customer satisfaction tools. After all, they indicate 
                      the polar opposite of customer satisfaction, don't they? 
                      But that's exactly the point: An effective complaint system 
                      is your customer satisfaction warning signal. Imagine a 
                      big red light mounted on the wall of your conference room. 
                      When a customer complains, the light blinks a glaring shade 
                      of crimson as a deafening buzzer blares. This is how your 
                      complaint system should function.  Complaints communicate customer perceptions, and perceptions 
                      compose the largest determinant of customer satisfaction. 
                      Unfortunately, however, complaint systems are completely 
                      reactive: You're not reaching out to your customer--you're 
                      relying on the customer to reach out to you. This is a risky 
                      proposition. Many customers simply aren't going to take 
                      the time to lodge a complaint. They may believe their time 
                      is too valuable, might not have confidence in your ability 
                      to solve the problem, have decided to take their business 
                      elsewhere or have a hundred other reasons not to complain. 
                      For every complaint your organization receives, there may 
                      be four or five others you'll never know about.  Because of its reactive nature, a complaint system should 
                      be used in combination with one or two proactive tools. 
                      These extend an organization's tentacles deep into the environment, 
                      while the complaint system acts as the last line of defense. 
                      If the proactive systems are effective, you'll hear about 
                      many issues long before they escalate to a complaint. But 
                      the complaint system will still exist--a monolith guarding 
                      the entrance to your customer satisfaction realm.  An effective complaint system must be easily accessible 
                      to your customers. A single toll-free phone number is typically 
                      the best mode of contact, even if your organization is a 
                      large multifacility company. Don't confuse your customers 
                      with instructions such as: "If you're calling about 
                      our outdoor recreation products, dial the Chuckamucka facility. 
                      If you're calling about our watercraft products, dial the 
                      Simpleville facility…"  Provide one phone number for complaints, and make sure 
                      it's posted prominently in multiple places (e.g., the user's 
                      manual, the assembly guide, the packing list, the exterior 
                      box, the invoice or the thank you note). Make it clear to 
                      even the most casual observers how to call if they have 
                      a problem. Don't fret that you're treating your customers 
                      like children. They want to be treated like children, at 
                      least in terms of getting in touch with you easily.   Customers stand a significant chance of becoming irritated 
                      when they call to complain. Don't put them on hold or send 
                      them into voice mail. They'll only become more irritated, 
                      and this will hamper their ability to communicate the details 
                      of their problems. Establish whatever staffing or infrastructure 
                      is necessary so that customers can speak to a real person. 
                      It's a good investment.  Another communication faux pas is transferring a customer 
                      from one telephone extension to another. The first point 
                      of contact should be adequately trained and have the necessary 
                      tools for soliciting and recording the complaint's details. 
                      If the employee isn't able to carry out the task, take whatever 
                      action is necessary so that it can be carried out. Practicing 
                      complaint calls raises an employee's confidence and facilitates 
                      his or her ability to deal with the customer.   Although other communication media such as faxes, e-mails 
                      or Web forms can function as first points of contact for 
                      complaints, voice contact is still the best. Customers with 
                      complaints want to talk to someone, and fast. Speaking directly 
                      with a human provides assurance that the problem will be 
                      solved and everything will turn out OK.   Empathy is an important part of dealing with customers 
                      who have complaints. What exactly does empathy mean? Simply 
                      that the person talking to the customer understands the 
                      situation from the customer's point of view. He or she understands 
                      why the customer might be upset, is able to share some of 
                      the same feelings and lets the customer know that he or 
                      she would probably feel the same way.   Is it appropriate to express regret because of the problem? 
                      Sure. The customer has experienced something unpleasant, 
                      and it only makes sense to say you're sorry about it. Saying, 
                      "I regret you had this problem" isn't a confession 
                      of guilt. You're merely saying what one friend or business 
                      partner would say to another when something goes wrong. 
                      However, the organization's representative should stay away 
                      from any talk about guilt or fault-finding.  Empathy allows the customer to feel that he or she isn't 
                      alone in the situation. The customer has an ally of sorts, 
                      an advocate. Creating this feeling in the customer is critical 
                      to defusing any anger or ill feelings the customer may possess. 
                      Empathy is also the first step toward turning the negative 
                      experience of the complaint into a positive one and ultimately 
                      rebuilding the customer satisfaction that might have been 
                      lost.   Obviously, the more upset and emotional a customer is, 
                      the more empathy will need to be applied to the situation. 
                      Everybody's communication style is different, but the essential 
                      message that most customers must hear is this:  I can certainly understand how you feel about this situation.
  We regret that you were inconvenienced.
  We'll investigate this problem as quickly as possible and 
                      let you know what we learn.
  In addition to expressing empathy, the person receiving 
                      the complaint must gather the details. Exactly what went 
                      wrong? Allow the customer to provide a general description, 
                      then begin to sharpen the particulars. Typical information 
                      includes the following details:  What was the exact nature of the problem? Generalities won't 
                      cut it. The problem statement must provide enough detail 
                      and depth to facilitate investigation.
  When did the problem occur? The date is certainly necessary, 
                      as might also be the time.
  Where did the problem occur? The state, city, plant, retail 
                      outlet, department, production line and machine all might 
                      be important.
  Who were involved in the situation? What roles did they 
                      play?
  What product was involved? What were the part or style numbers?
  Were there any specific batch numbers, serial numbers or 
                      other identifiers that provide traceability?
  Was the problem isolated or generalized across all products?
  Consistently gathering this breadth of information is 
                      difficult without a structured form. Most organizations 
                      custom-design complaint forms based on their individual 
                      needs. Decide exactly what information you need to investigate 
                      customer complaints and take effective action; then design 
                      your form around these needs. Certain sections of the complaint 
                      form are almost universal, including:  The person to whom the complaint is assigned
  The response due date
  The root cause
  The action taken
  A verification of action taken
  A closure signature and date
    Also make sure to include proof of follow-up communication 
                      with the customer as one of the requirements of the form, 
                      if that's something your organization elects to do (it's 
                      a very good idea).   Each complaint should be assigned to a project manager 
                      whose job it is to assemble the necessary resources and 
                      ensure that all phases of the problem-solving process are 
                      carried out. This individual should have the project management 
                      skills to ensure that the correct people are involved and 
                      that they have the proper tools to address the problem. 
                      The project manager should also have the authority to remove 
                      barriers and motivate action. The space on the complaint 
                      report labeled "assigned to" is usually where 
                      this manager is designated.   This might sound a little overblown to some people. After 
                      all, we're just talking about a customer complaint, right? 
                      Yes, but a customer complaint can be a very complicated 
                      affair. Consider all the steps that constitute a response 
                      to a typical customer complaint:   Clearly defining the problem
  Identifying the root cause
  Proposing a range of acceptable corrective action
  Choosing the action
  Implementing the action
  Following up to ensure the action was effective
  Reporting the action and results back to the customer
  Updating procedures and other documentation as necessary 
                      to reflect changed methods
  More steps could be added, depending on the nature of 
                      the complaint; complex projects require a project manager. 
                      Think about the effective and ineffective corrective actions 
                      you've been a party to. One of the keys to the effective 
                      action most likely was assigning someone responsible for 
                      driving the project through to completion, i.e., a project 
                      manager.  Effective project management of customer complaints includes 
                      at least three distinctive hallmarks:  Clear assignment of ownership for each complaint
  A defined problem-solving method. This is a logical step-by-step 
                      process for addressing the problem in a lasting way. The 
                      eight steps previously outlined constitute a problem-solving 
                      method.
  Involvement of a wide range of personnel. It goes without 
                      saying that managers don't have all the answers. Organizations 
                      must use all their available creativity and intellect when 
                      customers complain. Executives, managers, supervisors, operators, 
                      trainers, technicians, administrators and troublemakers 
                      could all be drawn into the problem-solving process.
  Like a fire alarm, the best complaint systems swing the 
                      entire organization into action. The more people involved 
                      in the complaint investigation, action and follow-up, the 
                      more likely it is the organization will learn from the experience 
                      and not repeat the same mistakes. Team-based problem solving 
                      is a particularly effective tool for getting personnel involved. 
                      This doesn't necessarily mean decision making by committee, 
                      which is usually a disaster. It simply means that a wide 
                      range of people are contributing.  The overall management of the complaint system should 
                      be assigned to a complaint administrator. This person has 
                      a number of important responsibilities:  Supervising the input of information into the complaint 
                      database
  Routing the complaint form to the appropriate project manager
  Ensuring that fields in the complaint database are updated 
                      as investigation and action proceed
  Escalating the complaint when investigation and action aren't 
                      proceeding according to plan
  Organizations have a habit of assigning the role of complaint 
                      administrator to someone with very little real authority. 
                      This is a mistake because it may be misinterpreted as an 
                      indicator of how inconsequential the customer complaint 
                      system really is. The role of complaint administrator is 
                      a big one, and its assignment shouldn't be taken lightly.  Complaint management software can facilitate the tracking 
                      and analysis of complaints significantly. The software's 
                      complexity and sophistication is meaningless; the important 
                      thing is that the person managing the complaint system can 
                      determine the status of all complaints at a glance and easily 
                      convert raw data into graphics.  Many complaint management software packages can be bought 
                      off the shelf, and many of these are effective. It's often 
                      much cheaper and easier, though, for the organization to 
                      develop its own software tools. A complaint database can 
                      be developed in a matter of minutes using relational database 
                      or spreadsheet software. Complaint databases typically include 
                      fields for most of the spaces found on the complaint form. 
                      It's also a good idea to put the complaint database on a 
                      server, with read-only access granted to the organization 
                      as a whole.   Some organizations have decided that it's a good idea 
                      to classify complaints according to whether they are "justified." 
                      This makes logical sense, but it's the worst thing a company 
                      can do for building customer satisfaction. If I'm a customer, 
                      all my complaints are justified. Why else would I bother 
                      complaining? If you try to tell me that my complaint is 
                      "unjustified," it's only going to make me angrier 
                      than I already am.  Once the customer experiences a problem, it becomes the 
                      company's problem. Regardless of the fault of the problem, 
                      customer satisfaction has been affected, and action must 
                      be taken. Consider these scenarios:  The customer used the product incorrectly, and the performance 
                      was adversely affected; the complaint is deemed unjustified. 
                      But why did the customer use the product incorrectly? Was 
                      the application known prior to the sale? Were the instructions 
                      unclear? Is there any chance that the customer was misled, 
                      even unintentionally?
  The customer says the product was damaged, but the type 
                      of damage described could only have happened at the customer 
                      location; the complaint is deemed unjustified. But should 
                      the product's packaging be improved? Should you provide 
                      guidelines for proper handling?
  The customer said the shipment arrived late, but he or she 
                      selected the carrier; the complaint is deemed unjustified. 
                      But should you stipulate longer lead times when this carrier 
                      is used? Should you offer to contact the carrier on the 
                      customer's behalf? Should you assist the customer in selecting 
                      alternative carriers?
  The customer said the service person was rude, but the truth 
                      is that he was provoked by one of the customer's employees; 
                      the complaint is deemed unjustified. But should you provide 
                      your personnel training in dealing with difficult people? 
                      Should you coach your employees in conflict resolution?
  In each of these cases, an argument could be made that 
                      the problem was the customer's fault. Taking this position, 
                      though, does nothing to enhance customer satisfaction, nor 
                      does it further the organization's long-term objectives. 
                      Savvy organizations will look for ways to error-proof their 
                      products with customers.   Of course, some problems are truly the customer's fault. 
                      When these situations occur, the organization might not 
                      be obligated to replace the product, provide credits or 
                      refunds, or accept returns. In all cases, however, customers 
                      must be treated in a diplomatic, cordial manner.  Humans are naturally curious. If you give someone feedback, 
                      it's difficult to refrain from wondering what the person 
                      does with it. This is especially the case with negative 
                      feedback based on a purchased product. Customers want to 
                      know what action has been taken. After all, the customers 
                      had a negative experience related to something they spent 
                      their hard-earned money on. They even took the time to tell 
                      the organization about it. Now they're curious. What are 
                      you going to do about it?  If your organization is interested in turning the negative 
                      experience into a positive one, someone must take the time 
                      to report back to the customer. The communication should 
                      include three key elements:  The results of the investigation into the problem
  The action taken
  A statement of thanks for reporting the problem
  Reporting action back to the customer closes the loop 
                      on the issue. It also lets the customer know that you take 
                      his or her feedback seriously and are committed to making 
                      improvements. In some cases, it can determine whether your 
                      organization remains a supplier to this customer.  The following steps represent implementation guidelines 
                      for an effective complaint system:  Determine what information is needed in order to investigate 
                      and take action on customer complaints. Build your complaint 
                      form around this information.
  Establish contact methods for customer complaints. Remember 
                      that voice contact is preferred by most customers. Test 
                      the contact method in various situations to ensure it works.
  Develop a written procedure for how complaints will be handled. 
                      Stipulate responsibilities, authorities, protocols and problem-solving 
                      steps, as appropriate.
  Appoint someone as the complaint administrator. This person 
                      will be responsible for inputting information into the complaint 
                      database and routing the form for investigation and action.
  Educate the customer on how to contact the organization 
                      in the event of a complaint.
  Train all employees in their roles within the customer complaint 
                      system.
  When a complaint occurs, use structured problem-solving 
                      techniques to address them in a systematic manner (Refer 
                      to the article, "Six Fundamentals of Effective Problem 
                      Solving," Quality Digest, September 2002).
  Complaint information should be one of the most widely 
                      disseminated topics in an organization. Trend data should 
                      be posted on every departmental bulletin board, along with 
                      the details of relevant complaints involving that department. 
                      Complaints, their root causes and eventual corrective action 
                      must be made topics of any regular communication that takes 
                      place throughout the organization.  Top management should be the most knowledgeable about 
                      complaints. Business review meetings should include a discussion 
                      of complaints as one of the primary agenda topics. Top management 
                      should aggressively review progress on determining root 
                      causes and taking effective action. When this happens, the 
                      effectiveness of the overall complaint system increases 
                      significantly and customer satisfaction stands a chance 
                      of being salvaged.  Craig Cochran is a project manager with the Center for 
                      International Standards & Quality, which is part of 
                      Georgia Tech's Economic Development Institute. Cochran is 
                      certified as a QMS lead auditor by the RAB. CISQ can be 
                      reached at (800) 859-0968 or on the Web at www.cisq.gatech.edu. 
                      Comments about this article can be sent to letters@qualitydigest.com. 
                      This article was excerpted from Cochran's book, Customer 
                      Satisfaction: Tools, Techniques, and Formulas for Success, 
                      which is available from Paton Press (www.patonpress.com).
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