As a consultant working in the field of service management I am always looking for examples to use with customers.

Last week I had a really great personal experience of how a big business can use social media to improve customer experience.  After a frustrating period of service problems with my home broadband connection I posted the following post on Twitter in conversation with my friends: “Good Morning All! I ask myself “will today be another frustrating Battle with Virgin Media day”?    

Imagine my surprise when @VirginMedia tweeted back to me shortly later to ask if there was any way they could help with my problems.  I was impressed that they are not just listening but also pro-actively getting in touch. After an exchange of emails to explain my problems I was called by someone of influence who listened to my issues and set someone to work on solving them. This was an unusual and suprisingly refreshing experience I have to say.

The next train of events resulted in the VirginMedia representative not just resolving my issues, but also understanding where some of their internal processes and systems could be improved to prevent similar things happening for other customers.  I have to report that their service recovery was brilliant. It reminded me that the true measure of a good service company is how well they recover when the inevitable service issue arises.  When the problems were eventually closed I tweeted again a short message to say how pleased I was: “those nice folks @virginmedia proactively tweeted me to find out and sort all my problems and made me a very happy customer again…”  It was only a few minutes later that I got a message back thanking me for my positive endorsement.

I think this is a great example of a company using Twitter to listen to the opinions of customers.  In doing so they not only put my problems right but also turned me into a strong advocate for their services.  The several hundred people who listen to me, and in turn to their friends,  now know that I rate the VirginMedia service highly and that is important in today’s word-of-mouth marketing world.

I think more companies should take heed and embrace Twitter and other social media platforms to engage with customers for mutual benefit.  Why not try it and see the results for yourself. Get in touch if you would like to discuss how you can integrate Social Media into your service operation.

James Rock  www.cultivar.co.uk  or find me on Twitter: @james_rock

Do you ever wonder if those reports you hear about a company’s Corporate Social Responsibility (CSR) and Sustainability programmes are for real? or, like me, do you often think they are mere “Greenwash” i.e. all words and no action – talking it up, but not walking the talk? As a consultant working in the field I have come across more than one company who says all the right things but fails to put them into practice.

So I was really enthused last week when I came across a company that seems to really be putting its weight behind the development and implelentation of sustainable practices.  Adnams of Southwold are part of the historical fabric of this up-market seaside town in Suffolk.  After sampling some of their wonderful range of beers in local pubs, I came across the Sole Bay Brewery in the heart of town, then their fantastic new  flagship Cellar & Kitchen retail outlet, and then a magnificent new 40,000 square metre distribution centre on the outskirts of town, which boasts the largest green roof in the UK. Later that weekend I sampled really good food and wine at The Crown Hotel – owned by Adnams along with another major hotel in town. Everything that I observed about Adnams further convinced me that this is a company that gets really close to its customers, and lives and breathes sustainable working practices for the benefit of all stakeholders.  After seeing so much mediocrity in business it was truly refreshing – just like a pint of their Broadside beer!

As you can see from my comments, I am enthused by Adnams the beer and Adnams the company, and I will be using them as an example of best practice in my consutling work in future… I’d like to suggest thet you check them out when you get the chance.

I went to a really fascinating talk at Warwick Business School last week.  Dr Gerard Lyons, Chief Economist at Standard Chartered bank and respected global economic forecaster, shared his expert knowledge, insight, and personal views on key economic issues with MBA students and Alumni.  In his talk he covered the following:-

• How the world got into the current economic crisis
• The immediate economic outlook for the short-term
• Further implications for the global economic system

In 45 minutes he was able to explain in plain English what myself and many in the audience have struggled to understand from watching hours of TV programmes and reading multiple articles in newspapers and magazines.  He was able to translate complex economic jargon, using metaphors from the  world of film to illustrate a concise picture of what has already happened, and a set out his vision of what is probably going to happen next.  He has a good track record of being able to do this as his Biography attests.

In summary, Dr Lyons explained how the state of our economy is driven by 3 key elements -  economic fundamentals;  policy responses from government and central banks; and confidence.  He described how the lessons learned from Japan’s deflationary cycle have been used to accelerate UK policy responses which have been designed to restore confidence by “throwing the kitchen sink…” at the problem. As a result Dr Lyons summarised the following for us:-

• “You can’t stop what’s coming” – the downturn will be steep, particularly in the west but less so in the east, for at least the next 12-18 months;
• There is a significant long-term shift in economic power from the western economies to the east – China, India and the Middle East; and
• The UK must face up to it’s challenges – increase added value and look to increase exports to strong and growing markets in the east.

I’ll be watching out for more comments from Dr Lyons as things develop. In the meanwhile there is a short video interview recorded on the night that can be seen here: Dr Lyons Interview

On Saturday 28 March more than 1 billion people across the world will turn off their power from 8.30 – 9.30 pm. This action is their way of expressing their vote to save our precious planet. The energy saved during this period is expected to top 10% of normal global consumption.

Cultivar has signed up and is comitted to doing something positive on 28 march. Will you vote for our planet too?

Find out more about Earth Hour… Make a personal commitment, tell your famly and friends, get your business to sign up, make a difference!

Earth Hour

If you, like me, are keen to spot the green shoots of recovery then where will you be looking?

I spotted this interesting blog over at Harvard Business Review where the editors blog has been discussing the subject – click on the following link to  go to the article: – HBR Editors Blog

What signs will you you be looking for? I’m watching for private sector executive jobs to come back into the Sunday Times recruitment section.

Share your suggestions below with other readers…

James

 You may have noticed that more and more leading brands are using on-line video as a key marketing communication tool as broadband speeds get faster, WiFi ever more accessible, and with everyone having a PDA or phone with fast internet capabilities.

This isn’t suprising.  Video has many advantages as a communication tool.  Messages can be conveyed quickly and in an entertaining way.  Everyone watches TV and increasingly that is delivered via the web.  In a recent survey I noticed that Generation Y consumers watch more TV delivered on-line than via terrestrial/satellite/cable television. They also spend increasing amounts of time on-line using sites like Facebook, MySpace, etc. On-line video meshes neatly with social media as it can be delivered via complimentary platforms such as Youtube, Vimeo, or iTunes.

I also read a really great blog about this subject by renowned social media guru Scott Monty, you can read this too if you click on this link:

http://www.scottmonty.com/2008/12/why-video-will-be-so-important-in-2009.html

This trend is also evident from the increasing amount of enquiries I am receiving from customers who are starting to understand the powerful capabilities of marketing via social media. This is something Cultivar can help clients with via our video and website production partners. Contact me if you would like to learn how we can help you to do this.

James Rock

email: james.rock@cultivar.co.uk

working at home...

There has been lots of excitement about Web 2.0 – using the latest internet innovations to re-invent how the web is used.  Recently I have been studying something called Transformation 2.0 – using latest web based communication tools such as blogging to improve how businesses implement change programmes. Now I’d like to propose that managers and business owners consider Business 2.0 – how to re-organise the business around a new business model that brings many benefits to all key stakeholders – again using recent innovations in communication technology as a core enabler.

Businesses are facing a multiplicity of pressures including demands from customer groups for improved corporate social responsibility, from suppliers raising input prices, from increased fuel and energy costs, from new legislation on energy usage, and increasingly from rising demands for bigger wage increases from staff who themselves are feeling the effects of inflation and the credit crunch.  Profitability is taking a hit and share values are falling as a result.  Businesses will need to re-act to these problems in the near future if they haven’t already done so.

In this situation the conventional responses may not be enough – sure, costs can be contained – in the usual conventional and predictable way by cutting expenses, restricting business travel, reducing stationery usage, blocking recruitment, etc. But will conventional responses like this position companies to be more competitive? To win increased market share whilst competitors struggle? Unlikely in my view.  However, managers who are bold and think creatively can re-invent their business in the Business 2.0 mould and simultaneously delight customers, shareholders and employees by making dramatic operating cost reductions that improve profitability, reduce personal costs and improve working arrangements for employees, and please environmental protagonists by reducing the company’s carbon footprint and improving business sustainability.

Working from home can be embraced on a much wider scale than it is currently by the majority of businesses. A recent research report by Siemens Enterprise Communications identifies that more than 70% of employees who are not currently working from home would like to – at least for part of their week. So can Business 2.0 help businesses use technology to become more virtual and less bricks and mortar?

I find that many managers worry about losing productivity by embracing the working from home model – perhaps because they are moving into a unknown way of managing and motivating people, and fear the loss of control? However, technology innovations and connectivity have improved dramatically in recent years, and the benefits of increased home working are getting bigger and bigger in the present economic situation, enabling smaller offices that are cheaper to run; employees to save on increasingly large transport costs now that petrol has dramatically increased in price; a happier workforce who are less stressed, improved business continuity plans as the risks of being unable to trade due to situations such as offices flooding or power cuts are lowered… and the benefits go on. The result will delight customers, shareholders and employees simultaneously!

The biggest hurdle in adopting this way of working – Business 2.0 or as I have also heard it called, the “Blown Apart Business Model…”   is conventionality.  For too long managers have failed to innovate the way businesses are organised – as I mentioned in my last blog article.  But history has shown that the biggest changes occur in turbulent times – so perhaps the result of “Turbulent Tuesday” as this weeks events are beginning to be called, might just convince some managers that there is an opportunity in pursuing this type of operational strategy on a much wider basis?  Could you be one of them, or are you happy to pull the blanket over your head and hope it all blows over so that we can return to service as normal?

I’d love to hear your views on this… and you can contact me via the website to learn more about how Cultivar can help you to create your own “Blown Apart” operating strategy – see: www.cultivar.co.uk

In comparison with Product Innovation, there is very little Management Innovation i.e. how companies do business. This can be proven by just looking at the number of research paper citations for each of these subjects in journals and publications each year. Product Innovation papers outstrip Management Innovation papers many, many times over.

If innovation stems from creativity then it can be argued that business managers just aren’t being creative enough. Is this because managers do not use the right side of their brain enough? Is it because in constantly thinking systemically, logically and rationally then the left side of the brain becomes dominant at the expense of the more creative right side? Probably.

In my previous article below, I referred to the success of Apple Computers in the recent Business Week / Boston Consulting Group Global survey identifying the World’s most innovative companies. I find it interesting that Apple’s core values are based upon delivering a constant flow of new product ideas to customers. Their success in doing this has resulted in record growth of 51% for their Mac computer sales in the last quarter.

I ask myself is there a linkage between their customers and the amount of creativity and innovation they so visibly demonstrate? Unlike most computer companies that pursue sales into major corporations, Apple focus on products for individuals, in particular artists, designers and other creative professionals. So does working with creative customers rub off on their staff and the products they develop? Perhaps?

I was recently reading an article about Alliances and Allies. It said rightly that allies do not need to have common goals to create successful alliances – they merely have to share common enemies. In this respect Apple and their customers share common enemies – Microsoft and the PC manufacturers who run Windows as their operating system. In ignoring the creative professions – described by some in the PC world as “an insignificant minority” in terms of overall global PC sales – are the PC manufacturers missing out on a vital contribution in their product development programme?

What do you think?

For more information about how Cultivar Consulting can help you to invent better ways of doing business go to our website: www.cultivar.co.uk

For the fourth year running Apple tops the Business Week magazine / Boston Consulting Groups’s global poll of the worlds 50 most innovative companies. Google and Toyota filled the other top places.

As Western economies move into slowdown and possible recession then innovation could be a target for cutbacks. However, you can be sure that the best innovators will continue to develop and launch new products and services as a way of differentiating themselves from their competitors. In this respect innovation must be seen as a long term strategy and a philosophy that is core to the values of a business – Apple, Google and Toyota seem to do just that. They nurture cultures that value creative people in good times and bad. They develop a diverse portfolio of projects that helps them weather dud ideas.

Such is the long term success of these innovation strategies, many business guru’s are coining the term “Design Thinking” to describe the move to embrace creativity, innovation and design as top agenda items for board level discussion. Some go so far as to say that the worlds top design schools are fast becoming the new business schools of the future. What do you think?

For more information on the Business Week poll go here:

http://www.businessweek.com/magazine/content/08_17/b4081061866744.htm?chan=magazine+channel_special+report

For more information about how Cultivar Consulting can help you with your innovation strategy go here:

www.cultivar.co.uk