Agnieszka Hatton, Head of Customer Experience, Vodafone

Leading from the front - driving

transformation efforts in a Service

organisation

1. Introduction

2. Approach

3. Barriers & Enablers

4. Lessons Learnt

AGENDA

Customer

Experience

Transformation

INTRODUCTION

Approach based on learnings from a variety of Service organisations…..

Engaging Front

Line Staff

Customer Centric

Culture

Incremental & Step

Change

Improvements

1. Introduction

2. Approach


4. Lessons Learnt

AGENDA

APPROACH - Overview

Improve

Customer

Experience

Analyse customer

data & gather

insights

Engage the teams

Identify drivers of

dissatisfaction

Brainstorm

improvement

opportunities

Implement Good

Operations

Management

Deliver

improvements &

track performance

APPROACH – Analyse Customer Data and Gather Insights

Used behaviour observation to

determine patterns in behaviour

Met with customers to

understand how they get and

manage a loan

And identifying little design

hacks…

Doing activities which describe

customer behaviour…

Conducted data analysis to

identify customer segments

To come up with key insights

APPROACH – Identify Drivers of Dissatisfaction

APPROACH – Brainstorm Improvement Opportunities

Sketching improvement ideas Looking at the customer journey to

identify opportunities

And collaboratively brainstorming

solutions!

APPROACH – Engage the Teams

We spent a lot of time up front engaging the Executive team followed by people managers and

then colleagues

Business

Performance Team

Established 2012

Awareness

Jan - June

2013

Phase 1 roll-out

July - Oct 2013

• Business Performance

Team established to drive

customer led continuous

improvement culture

• Familiarity with UK parent

company experience to

understand potential

• Exec supporters identified

• Exec (x4) visit UK to see

GOM in practice

• Return visit by UK

Executive Sponsor to assist

in obtaining buy-in

• 1 day GOM training for

Executive team

• Lean Champions selected from

across the business

• 3 days Lean training for

Champions

• 2 SMEs seconded from UK for

3 months

• Phase 1 teams agreed (high

customer experience impacts,

high volumes, manager buy-in)

• 1 day Manager GOM training

• Training to ~ 80 staff

• Initial roll-out in 4 teams

• Benefits framework adopted

• Regular progress updates

Centre of

Excellence

Nov 2013

• Phase 2 and 3 of roll-out to

further 10 teams

• Total of 240 managers and

staff trained

• Survey of staff who

participated in GOM to

measure staff engagement and

impact

• Lean COE Lead recruited

• COE intranet site established

• GOM Coach pool created

APPROACH – Engage the Teams

Invest time in learning customer led

improvement and innovation skills

Work cross functionally to generate insights

from customer insights

APPROACH – Implement Good Operations Management

Traditional People Model

Exec

Senior

Managers

Managers

Colleagues

Innovation

Daily tasks

Good Operations Management Model


Incremental Improvement Step Change

Team

Based Improvement

Facilitated Lean

Events

Cross Department

Projects

Innovation Projects

(System or New product

Development)

“Continuous improvement, as the name implies, adopts an approach to improving

performance which assumes more and smaller incremental steps….it does not

matter if successive improvements are small: what does matter is that every

month (or week or quarter, or whatever period is appropriate) some kind of

improvement has actually taken place”.

Slack et al: Ops Management, p 693


Embedding Good Operations Management to drive a culture of continuous improvement

Key GOM Elements

GOM / Continuous

Improvement Training

Team Measures

Team Boards & Daily

Huddles

One Best Ways

• 1 day separate training for Execs,

Managers & Staff

• Followed immediately with daily

coaching

• GOM core team works with

functional teams to review and

identify operational measures

• Facilitate value stream mapping

workshops to identify improvements

• Document and implement One Best

Ways

Description Examples

• Design Team boards

• Hold daily huddles to discuss

previous day performance and

targets for today


COMMS

LEAN END-TO-

END PROCESS

REVIEW

Aug ‘13 Sep ‘13 Oct ’13 Nov ’13 Dec ’13 Jan ’14 Feb ’14 Mar ’14 Apr’14 May ‘14

COMMUNICATIONS

Project Plan

Phase 2

Launch

Post- implementation support GOM PHASE 2

• Awareness sessions

• Huddles and Measures

• Huddle boards

• OBW definition

• OBW evaluation

GOM PHASE 3

GOM PHASE 1: Executive

Awareness & Training

WHOLESSALE CREDIT &

SETTLEMENTS LEAN

INTERVENTION

END-TO-END PROCESS # 2 END-TO-END PROCESS # 3

Phase 2

Close- out

Phase 3 Close- out Phase 3

Launch

Phase 4 Launch

Wholesale close-out Process #2 close-out Process #2 launch

PLAN &

PREP FOR

PHASE 3

Process #3 launch

Post-

implementation

Review

PLAN &

PREP

FOR

PHASE 4

GOM PHASE 2

• Loan Approvals

• Collections (x 3)

• Settlements (Consumer)

• Customer Service (x1)

GOM PHASE 3

• Wholesale Settlements

• Customer Service (x1)

• Up-skill GOM champions

for other States

GOM PHASE 4

• WA, VIC, SA, QLD

• Others TBC

APPROACH – Deliver Improvements & Track Performance

GOM Improvement Highlights Delivering measurable improvements in customer experience and enabling the business to absorb

growth without additional FTE

Number of Loans Settled

Average Days to Complete Reassigned Loan Collections

0

1

2

3

4

5

6

1 2 3 4 5 6

• 20% increase in

loans settled with

no additional FTE

• Held rate reduced

from 50% to 38%

• Customers get

their loan settled 2

days quicker

+20%

Number of Applications Completed

• 28% increase in

applications

completed with 15%

fewer hours worked,

equating to 50%

increase in

productivity

Jan-00 Jan-00

• Average time for

completing re-

assignment

reduced from 5 to

1 working day

+28%

• Arrears reduced

from 5.1% to 4.2%

of accounts YOY

equating to $92m

saving

Jan-00 Jan-00

APPROACH – Deliver Improvements & Track Performance

Good Operation Management Staff Survey

“We all work together

as one team“

“Bottom up approach

and colleague

engagement has

definitely seen an uplift

in service “

“…a good way for the

team to come together

and… come up with

improvements about

their daily tasks which

they may have been

too shy to voice

beforehand. “

“It gives the team an

indication of how we

performed the previous

day and what better we

can do today”

“Positive impact on

tasks where we have

identified waste and

streamlined…enabling

more deal assessments

…”

“previously we had no

way to monitor how

many new Novated

Lease applications we

had pending“

“… daily huddles

provides the forum for

communication to flow

easily“

75%

76%

78%

83%

62%

59%

83%

0% 20% 40% 60% 80% 100%

Engagement has increased

Awareness of opportunities toidentify waste and improve

customer service hasincreased

Believe communication withintheir teams has improved

Believe that boards / huddleshave had a positive impact in

their team

Have been involved inidentifying or implementing

improvements

One Best Ways have had apositive impact in their team

Believe there are furtheropportunities to improve within

their team

1. Introduction

2. Approach


4. Lessons Learnt

AGENDA

BARRIERS & ENABLERS

Active Leadership

Long-term thinking

Meaningful goals cascaded

Building capability in teams

Ongoing coaching

Colleague empowerment

Business KPIs

Celebrating successes

Innovative thinking with data driven decision making

Specialist skeleton resources

Enablers

Lack of top down leadership commitment

Short-term thinking & silo mentality

GOM not explicit in business strategy/vision

Lack of specialist resource

Internal SLAs

Lack of Investment in people or infrastructure

Barriers

BARRIERS & ENABLERS

Making the time to understand

I don’t w ant to see any crazy salesm en - C an’t you seeI’ve got a battle to fight

1. Introduction

2. Approach


4. Lessons Learnt

AGENDA

LESSONS LEARNT

• Extensive investment up-front in securing Executive engagement pays dividends

• Communicate and celebrate success – repeatedly

• Once people know it’s acceptable to challenge the status quo they will do so readily

• There’s a huge wealth of un-tapped talent in the business and this can uncover it

• Make it all about the customer and growth to help drive understanding and buy-in

• Take people with you on the journey – ownership is more important than speed

• It’s a marathon not a sprint – some best improvements came from slow adopters

• Select initial teams with care – supportive Exec and team leader are key

• Maintain visibility at Exec level – knowing they will have to explain progress helps

• Age & length of service are not a reliable indicator of willingness to change

THANK YOU

THANK YOU

Marketing

Agnieszka Hatton, Head of Customer Experience, Vodafone