A CASE STUDY ON CUSTOMER SERVICE AT ASIA ROOFING INDUSTRIES
SDN. BHD. (AJIYA) AT CORPORATE HEAD OFFICE AND FACTORY : LOT 153, KAASAN PERINDUSTRIAN, JALAN GENUANG, !5""", SEGAMAT, JOHOR. TEL : "# $ %&3&'11 FA( : "# $ %&31"5& EBSITE : ))).*+,-*../0 E1MAIL : 2345,6-7*+,-*../0 SUMMARY : Ajiya Berhad, an investment holding company based in Segamat is listed company on the Main Board of the Bursa Malaysia Securities Berhad. The AJIA group!s activities include manufacturing and mar"eting of high #uality glass products, metal roofing, metal door $ %indo% frames, floor dec"s, metal ceiling and other building materials. Since the company is involved in a %ide variety of products and mar"eting, it tends to lose touch %ith the customers and begin to see them as just &numbers on a page'. It fails to reali(e that there!s no &accounting formula' that %ill tells just ho% important &happy customers' really are. This case study is underta"en to offer better delivery of customer service and support to individual and groups. The vie%s and opinions of every customer, client or group are placed at the centre of everything the company does. )ith this goal in mind, the study hopes to create an environment %ithin %hich &*ustomer Service' is seen as essential to the management and delivery of services. Before this case study is carried out, various measures as stated belo% are too" into consideration + , revie% past case study proposals in order to avoid repeating mista"es and offering to reproduce results that have already been achieved. , revie% past project or case study evaluation reports. , organise focus groups to ma"e sure that the people involved are able and %illing to contribute. , chec" statistical data %herever available in order to avoid any gaps or inaccuracies in the data that is being used or relied on. , consult senior management staff or e-perts to obtain outside opinions and ideas as %ell as credibility. , conduct intervie%s and survey by telephone, #uestionaires and on site visit , hold meetings or forums %hereever necessary to refine the objectives of this study. , observations and ta"ing notes of present situation in the company. The study also proposes various measures that can be implemented or carried out. The end result of this study %ill be aiming to provide high,#uality or e-cellent customer service %hereby every customer %ill be able to access to this company in the most efficient, fair, cost effective, and humanly satisfying and pleasurable manner possible. 2 CHAPTER 1 : INTRODUCTION ... *ompany Bac"ground AJIA B/01A2 is an investment holding company located at Segamat in Johor. It is a public,listed company on the Main Board of the Bursa Malaysia Securities Berhad. Asia 0oofing Industries Sdn.Bhd.,Ajiya Safety 3lass Sdn.Bhd. and Ajiya Steel Industries Sdn. Bhd are all %holly,o%ned subsidiary of AJIA B/01A2. The AJIA group!s activities include manufacturing and mar"eting of high,#uality glass products, metal roofing, metal door and %indo% frames, floor dec"s, metal ceiling and other building materials. A0I is an established manufacturer of metal roll,forming products , metal roofing system, metal frame products, structural products, light,%eight channel products, A6,8294 metal ceiling and sun shade products in Malaysia. These products, under the brand name of AJIYA:, are %idely used in Malaysia and South /ast Asia countries. Ajiya products are reno%ned for their aesthetic design. 5ur dynamic sales force is professionally trained to provide #uality technical support and services to customers. 5ur products also conform to the stringent #uality standard set by SI0IM Berhad and are all manufactured under the implementation of IS5 677.. A0I is bac"ed by strong 0eserch and 2evelopment team %hich constantly identifies and develops as %ell as fabricates complete production lines for ne% products. 3 A+,-* S*;28- G<*== S>3. B?>. (ASG), %as formed in 8ovember .669 and its principal activities are in the manufacturing of curved and flat tempered safety glass, insulating glass, laminated glass, decorative glass as %ell as security glass inder the brand name of the AJIYA:. The long,term commitment of the company to%ards its customers is clearly underlined by the clear progress of the company. In addition to its strong capability, the company also possesses the capacity. T%o ne% factories in Segamat, %ith a combined floor space of over .:7,777 s# ft, from brand ne% production facilities for #uality processed glass. A second jumbo tempering line %as added in .66;, less than < years after the first jumbo tempering line %as commissioned. The third tempering line located in the =uchong plant %as added in <77<, %hile the fourth tempering plant, dedicated to manufacturing safety glass for industrial application, %as added in <77:. 5ur latest addition is the fifth super jumbo,si(ed curved and flat tempering plant %hich complements the ever, demanding modern architecture needs for smart buildings. Together %ith a %ide range of ancillary machinery, AS3 has the largest tempering capacity in South /ast Asia. 4 ..< S8*820238 /; 8?2 @6/A<20= AJIYA is e-panding at a phenomenal rate and its continuous gro%th means it has to develop an effective and productive *ustomer Service Model that %ill develop customer loyalty and %ill not ban"rupt the organi(ation. In order to build up such a model, the present customer service problems and difficulties need to addressed accordingly and effectivey before carrying out any other ne% strategy and planning. The current customer service problems encounter so far from this study are listed as follo%s+ ..<.. 2elivery =roblems %ith certain *ustomers and is in danger of losing them. ..<.< 3etting The *onversation 5ff To A Bad Start ..<.: *ommunication problems due to language barrier especially in local dialect %hereby understanding is rather limited. ..<.> 5verloading customer %ith unnecessary details especially in products terminology, measurements and descriptions. ..<.9 Infle-ibility in customer service procedures. Many a times, customer service representative treats the procedures as though they are set in stone. They force the customer to ma"e a difficult choice ,, abide by the procedure or go else%here. Both outcomes are apt to lead to an unhappy customer. ..<.? =oor in ending the customer service conversation. 5 CHAPTER ' : P6/@/=2> S/<58,/3= /6 P<*3=, I3.<5>,3B 8?2 M28?/>= /6 P6/.2>562= <.. + The Challenge The client has been frustrated by our company inability to ma"e certain customer deliveries complete and on time on a consistent basis. This study involved an evaluation of the client@s current service levels along %ith a revie% of the various "inds of problems that interfered %ith achieving the desired customer service #uality. It is found that there %as a very loose customer service policy in place and that freight carriers %ere generally blamed for any delays that the client@s customers e-perienced. All in all, frustration appeared to set the tone for the typical business day. My approach included an upstream evaluation of the client@s order processing methods. I conducted a process,mapping phase that revie%ed the flo% of orders from the sales and sales bro"er staffs through the credit approval and customer service phases.I mapped the flo% of materials and information through production planning, manufacturing, and then to the transportation or logistics department. An interesting observation %as the number of days that each order spent either in transit or lodged in the various preliminary processes prior to transportation. Aor e-ample, sales department tended to hold orders until three days before a customer@s desired delivery date to assure that any changes in order #uantities %ould be accounted for. I determined that such changes %ere infre#uent Bfe%er than 9C of orders %ere changedD, and that this Ehold timeE %as just over an average of t%o days. The client@s credit department tended to hold orders for t%o 6 additional days, even though 69C or more of the client@s customers sho%ed no credit problems %hatsoever. By the time orders %ere delivered to production planning and then do%nstream to transportation , very little time %as left to ma"e delivery on the customers@ re#uested delivery dates. Areight carriers %ere called each evening and %ere then told about the client@s truc"ing needs for the follo%ing day. In many cases, carriers e-perienced problems getting e#uipment to the client@s place of business in a timely manner, resulting in delivery delays. I developed a strategy that enabled the sales staff and the client@s sales bro"ers to increase the visibility of orders early in the cycle. By doing so, each participating department in the supply chain %as made a%are of pending orders. )hile this advance information enabled these departments to improve planning, contingency plans %ere established to handle e-ception orders that needed to be changed or held for credit reasons. Another benefit %as in creating the ability for the transportation and logistics departments to notify freight carriers of pending shipments %ell in advance of actual ship dates. *arriers %ere then able to participate in the planning process in order to ma"e the needed e#uipment readily available for each day@s shipment needs. Aeedbac" received from the client@s customers sho%ed a substantial increase in their satisfaction %ith the service #uality provided by this client. 7 2.2 The Challenge :
3etting The *onversation 5ff To A Bad Start
It is rather interesting to note that many times through my observation and listening, the customer service representatives often off to bad start right from the very beginning. 5ne of the e-ample I %ould li"e to state in this study is + =icture this. A customer calls the company and as"s some #uestions about the service the company is providing and ho% it applies to the customer!s situation. The customer service representative %il start the conversation li"e this + Customer service rep : Can I help you? C5=8/026 + es, I have some #uestions about my house roofing %hich is lea"ing and I %as %onderingF Customer service rep : May I know your name? C5=8/026 + I thin" you don!t really need to have that to ans%er my #uestion. I %as %ondering ... The customer service rep is really trying to be helpful but the customer might see this service rep as a person %ith an attitude, %ho %on!t listen to the customer!s problem. 8 A better techni#ue for starting this conversation %ould be+ .. If the customer starts by trying to e-plain her or his #uestions, just let the customer tal". <. Ta"e notes on the major points the customer raises. :. /ffective greeting Gsing this techni#ue, the same starting conversation might go li"e this+ Customer service rep: "Welcome to Ajiya. My name is . I am a customer service rep here at Ajiyas. ow can I help you to!ay?" C5=8/026: es. I have some #uestions about my house roofing %hich is lea"ing and I %as %ondering if you can provide some informationF. Customer service rep : "# course $ir. I# you can provi!e me your name an! a!!ress you will %e a%le to receive our list o# company pro!ucts catalo&ues an! list o# su&&estions to #i' your pro%lem at the earliest convenience. 9 '.3 T?2 C?*<<23B2 *ommunication problems due to language barrier especially in local dialect %hereby understanding is rather limited.
*ommunicating %ith and satisfying the customer can be difficult even %hen all parties are spea"ing a common language. It can be very difficult %hen the language and culture are different. This is especially so in our plural society %hereby different languages and dialects are spo"en in our every day life in all aspects. Through my observation and listening to customer service representatives, difficulties in communication often arise especially so in dealing %ith older generation %hereby /nglish and local dialects are often used. =resent customer official are mostly fluent in Bahasa Malaysia only. I may suggest that If you do not have the re#uisite s"ills, try to find someone %ithin the organi(ation %ho does. 5ther options may include sharing the language s"ills you do have, dra%ing pictures, using sign language or sho%ing products that may fit the need. My solution to this problem are as follo% + L,=823,3B *oncentrate on the spea"er BcustomerD and use eye contact Avoid interrupting, daydreaming or early conclusions Gnderstand the spea"er!s frame of reference =ay attention to non,verbal cues Be alert to emotional content Ta"e notes as necessary =rovide feedbac" 10 0estate the spea"er!s message as you understand it and as" for clarification or confirmation
AC/,> =<*3B *3> +*6B/3.
D20/3=86*82. )henever possible, enhance communication by sho%ing and demonstrating your product or service.
P6/0/82 8)/1)*- ./0053,.*8,/3. 0espond to the customer and as" for their responses to be certain they continue to be engaged.
P6/C,>2 .</=562. After as"ing if you can provide additional service and if the customer is satisfied, close the sale, than" them and say goodbye to provide a clear sense of closure.
11 '.& T?2 C?*<<23B2 5verloading customer %ith unnecessary details especially in products terminology, measurements and descriptions.
This is another common customer service error %hereby overloading the customer %ith unnecessary details that the customer is not e#uipped to handle. Typically, customer service reps %ho %or" %ith roofing installation and coating specification products are found to fall into this category. My solution to this problem is to ta"e more time to listen to %hat the customer %as trying to tell. After that try to introduce relevant facts in a %ay the customer %ould understand. Aor instance + Ajiya 0oofing Installation H It is strongly recommended that sheets are laid %ith the side laps facing a%ay from the direction of the prevailing %ind. )here possible, the roof sheets should be fi-ed %ithin the side laps facing a%ay from the normal line of sight as sho% belo% + =revailing %ind IJKIJKIJKIJ Laying 2irection 12 '.5 T?2 C?*<<23B2 Infle-ibility in customer service procedures. Many a times, customer service representative treats the procedures as though they are set in stone. They force the customer to ma"e a difficult choice ,, abide by the procedure or go else%here. Both outcomes are apt to lead to an unhappy customer. *ustomer service departments need to have standards and procedures for their operations. And for the most part, customer service reps can help customers %or"ing %ithin the recommended methods. 1o%ever, once in a %hile there is a customer situation that re#uires some degree of fle-ibility. This situation seen missing at present. The customer service representatives treat the company procedures as though they are set in stone. They force the customer to ma"e a difficult choice ,, abide by the procedure or go else%here. Both outcomes are apt to lead to an unhappy customer, li"e the one in this situation+ Customer service rep: Can I help you? C5=8/026: es. I %ant to return this item. It@s just the %rong colour for my "itchen. Customer service rep: I see. May I see your sales receipt. C5=8/026: 5f course. 13 Customer service rep: I(m sorry I can(t help you. )ou purchase! this item on May **. +hat was ,- !ays a&o. "ur return policy is that items can only %e returne! within ./ !ays o# purchase0 so I(m a#rai! you can(t return the item. C5=8/026: Isn@t there something you can doM If you can@t return my money, can@t I e-change it for something else . Customer service rep: I(m sorry. "ur policy is ./1!ay returns only. I(m a#rai! I can(t help you with this one. Is there somethin& else I can help you with? The customer service rep@s decision here is to stic" %ith the policy, rather than to fle- to the customer@s needs. The result is probably a disgruntled customer. 0ather than setting up this type of situation, there %as probably something the customer service rep could have done to EadjustE the policy ever so much. A better approach is+ .. 2etermine %hat customers are as"ing for. <. Aind something you can do to help the customers even if you can@t give them %hat they as" for. :. Ma"e sure they %al" a%ay %ith something that they value, no matter ho% small. So, by using our customer service instant replay, the same situation might loo" li"e this+ Customer service rep: Can I help you? C5=8/026: es. I %ant to return this item. It@s just the %rong color for my "itchen. 14 Customer service rep: I see. May I see your sales receipt. C5=8/026: 5f course. Customer service rep: I(m sorry0 that pro!uct can(t %e returne! #or a re#un!. )ou purchase! this item on May **. +hat was ,- !ays a&o. "ur return policy is that items can only %e returne! within ./ !ays o# purchase. C5=8/026: Isn@t there something you can doM If you can@t return my money, can@t I e-change it for something else or ta"e a store creditM Customer service rep: +his item hasn(t %een use!. Isn(t that correct? C5=8/026: That@s right. In fact, I didn@t ta"e it out of the bo-. As soon as I got home and too" a closer loo" at my "itchen counters, I "ne% the color %ouldn@t be right. Customer service rep: Well0 there are two approaches we can try. 2irst0 perhaps we can e'chan&e yours #or another o# the same mo!el in a color that mi&ht work %etter #or you. "r I coul! talk to my supervisor since the packa&e has never %een opene!. Which woul! you pre#er I trie!? It@s even possible at this point the customer could %al" a%ay %ithout an e-change or a refund. But clearly, the customer %ill thin" more highly of the customer service representative. 15 '.D T?2 C?*<<23B2 =oor in ending the customer service conversation.
The last impression customers may have of the company may very %ell be the end of the conversation %ith them. So %e %ant to ma"e sure it@s something meaningful that ma"es customers feel they personally are valued. Many times I found the customer service reps, ho%ever, end their conversations li"e this. Customer service rep: Can you please si&n here #or your re#un!. C5=8/026: 5N. 2o you have a penM Customer service rep: ere. B=ause.D +hanks #or shoppin& here at Ajiya Customer $ervice Centre. The conversation is so impersonal that customers are left to feel as though they are unnecessary to the success of the business. They may as %ell get their service else%here %here they are more appreciated. 0ather than being impersonal, the customer service rep should have tried to e-press more interest in the customer by+ .. Gsing the customer@s name if available. <. /-pressing appreciation. 16 :. Inviting the customer to come bac". The revised conversation might go something li"e this+ Customer service rep: Can you please si&n here #or your re#un!. C5=8/026: 5N. 2o you have a penM Customer service rep: "# course . +hank you Mr. 3im. I(m &la! we were a%le to help you out to!ay. 4e sure to come %ack i# there is anythin& else we can !o to help you.
17 CHAPTER 3 : 2eliverables + A )inning *ustomer Service Strategy =roviding high,#uality customere service in the help des" or customer service centre re#uires much more than just technical troubleshooting s"ills. /mployees must have e-cellent listening and communication s"ills, telephone s"ills, %riting s"ills and they must be able to solve and prevent problems in the help des". In addition, the ability to handle difficult customers and minimi(e stress during the %or"day also increases the level of customer service they provide. These &soft' s"ills are often more important in ensuring a high level of customer satisfaction than an employee!s technical "no%ledge L,3E S*8,=;*.8,/3 8/ T6*,3,3B In order to improve customer satisfaction %ithin the support environment, a customer service strategy should be in place to solicit feedbac" from customers. 2o they enjoy their support e-perienceM )hat do they thin" about the level of serviceM )hat do they say %hen they complain about the serviceM The ans%ers to those #uestions and data from the problem management system should then be used to develop a training program to improve the s"ill level of the help des" employees. *ombine the customer service strategy %ith a solid employee hiring process that recruits ne% employees %ith the necessary s"ills and it %ill result in an increase in customer satisfaction. It is important to understand the lin" bet%een customer satisfaction and the s"ills of the help des" employees. 18 S82@ 1 : D2C2</@ * C5=8/026 S26C,.2 S86*82B- A %inning customer service strategy provides #uality service and resolves customer complaints. In the help des" industry, much effort has been placed on customer satisfaction measurement. This includes developing processes to measure satisfaction, implement changes to increase customer satisfaction and communicate the enhancements to the customers. A criteria element that is missing is an emphasis on customer complaints. A support organi(ation should also develop processes for the management of complaints. A %inning customer service strategy should include+ B=lease refer to Aigure . belo%D S5LI*IT H Solicit customer complaints and feedbac". 0/S5LO/ H 0esolve customer complaints on first contact T0A*N H Survey customers on a regular basis. T0AI8 H Train employees, based upon complaints, survey results and performance metrics, to increse #uality of customer service and improve complaint resolution. MA0N/T H Mar"et the %inning customer service strategy to help des" employees and customers to establish e-pectation. 19 FIGURE 1 : SI( STEPS INNING CUSTOMER SERVICE STRATEGY According to the .6?? report, Serving the American =eople + Best =ractices in 0esolving *ustomer *omplaints published by the 8ational =erformance 0evie%, there are five reasongs %hy successful complaints succeed at resolving customer complaints and thus increase customer satisfaction and loyalty. A best practice environment must + INNING CUSTOMER SERVICE STRATEGY SOLICIT TRAIN MARKET SURVEY RESOLVE TRACK 20 Ma"e it easy for customers to complain and customers %ill ma"e it easy for you to improve 0espond to complaints #uic"ly and courteously %ith common sense and you %ill improve customer loyalty. 0eslove complaints on the first contact and save money by eliminating unnecessary additional contacts that escalate costs and build customer confidence. Technology is critical in complaint handling systems. 0ecruit and hire the best for customer service jobs. *ustomer satisfaction is more than just solving a customer!s technology problem or fulfilling a re#uest as #uic"ly as possible. It is about ho% you handle &poor' service. ou can!t e-pect every call to be handled perfectly every time. Some customers get mad and get vocal. This often leads to the bad reputation of he help des". So even %hen you provide &bad' service, develop a clear strategy for ho% to ma"e it right #uic"ly and prevent similar problems in the future. 21 S82@ ' : H,62 O3<- 8?2 B2=8 Puality service comes from #uality employees. 2evelop a solid ne% hire process that recruits only those employees %ho have the necessary s"ills. The ne% hire process should have the follo%ing four steps as sho% in Aigure < belo%+ RECRUIT , 0ecruit for technical resolution, listening and communication, telephone,%riting and customer service s"ills. HIRE H 1ire only those employees %ho possess a complete s"ill set. TRAIN H Train employees regularly to invest in their success, increase employee retention and increase customer satisfaction. PROMOTE H =romote and retain only those employees %ho ma"e the grade in the support organi(ation FIGURE ' : FOUR STEPS IN HIRE ONLY THE BEST STRATEGY INNING CUSTOMER SERVICE STRATEGY 22 RECRUIT TRAIN PROMOTE HIRE S82@ 3 : I3C2=8 ,3 E0@</-22= In both the customer service strategy and the ne% hire process, there is an emphasis on training. A robust training program should address all the critical s"ills that are necessary to provide the best service to the customer. In the same report by the 8ational =erformance 0evie% it state . 4est1in14usiness lea!ers consi!er trainin& an investment0 not an e'pense. +he use complaint tren!s5!ata to i!enti#y trainin& nee!s.6 Ajiya should spend a si(eable portion of the budgets on training %hich directly or indirectly in the long run can see a direct lin" bet%een training and increase in customer satisfaction and loyalty. According to the American =roductivity $ Puality *entre in their report titled Best =ractices in 8e% *ustomer Service, 7+he #oun!ation o# any success#ul customer service or&ani8ation in the empowere! customer service a&ent. Mana&ement in the %est1practice or&ani8ations reco&ni8es that e'ternal customer satis#action re9uires &rantin& power to those internal company representatives who serve as the critical link %etween the company an! the customer.6 In order to create a %inning customer strategy in this aspect, there are four plans %hich I consider important. *ustomer *ommunication =lan, *ustomer Satisfaction =lan, *ustomer Mar"eting =lan and *ustomer Service Training as illustrated in Aigure : belo%. 23 COMMUNICATION PLAN MARKETING PLAN CUSTOMER SERVICE TRAINING CUSTOMER SATISFACTION PLAN INNING CUSTOMER SERVICE STRATEGY C/0053,.*8,/3 P<*3 H This deliverable helps to establish communication standards in all %ritten and verbal communication as %ell as defines the process for ho% to communicate effectively %ith the customer. C5=8/026 S*8,=;*.8,/3 P<*3 H This deliverable develops a customer satisfaction measurement process, assists %ith tool selection and provides sample surveys M*6E28,3B P<*3 H This deliverable is a help des" mar"eting strategy to inform customers of the help des" services, help change the perception of the help des" and establish customer e-pectations. 24 FIGURE 3 : FOUR STEPS IN INVESTING EMPLOYEES STRATEGY 25 CHAPTER & : CONCLUSION This case study is conducted in such a %ay that it summari(e the main and most common customer service problems face by the present situation. The problems are mainly in the aspect of delivery problems, poor in conversation and communication difficulties, overloading customer %ith unnecessary figures and specifications as %ell as rigid in follo%ing customer service procedures. Aurther more poor in ending or closing customer sales or conversation is also pointed out in this study. Oarious %inning customer service strategy are suggested and elaborated. The si- steps in developing a customer service strategy are solicit, resolve, trac", survey, train and mar"et are suggested and focus on complaints are highlighted. The four steps in hiring only the best are to recruit, hire, train and promote in order to have a #uality customer service. The four plans in investing company employees in order to have a solid and effective and #uality customer service are also discussed. )ith all these strategies and approach, it is my sincerely hope that the present customer service or help des" centre %ill gradually improved and command a better respect from all #uarters. This indirectly %ill translate into bringing in more sales and revenue not just for the company but employees %ill gain tremendously in the form of in house training, effective communication and conversation s"ills and bright prospect in promotion in all sectors. 26 0eference + .. http+QQreadyset.tigris.orgQnonavQtemplatesQproposal.html <. http+QQ%%%.%pi.eduQAcademicsQ=rojectsQ=roposalQbasicsec.html :. http+QQacademic.emporia.eduQsmith%ilQ777sumfall7<Qmg>R?sumQejaQsto "erQcustomerservice.html >. http+QQ%%%.%sbdc.orgQcustomersvc.htmS#> 9. http+QQ%%%.buslog.comQservice,improvementQcase,study..html ?. http+QQ%%%.fivecentnic"el.comQ<77?Q76Q.6Qsolving,customer,service, problemsQ R. http+QQ%%%.salesmba.comQarticles.Qcssp7:.htm ;. http+QQ%%%.salesmba.comQmiscQservice.htm 6. Ajiya Sales *atalogues and Bronchures 27