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Our Subscribers Say...
I think Credit Today is fantastic. You cover many practical topics in the credit field that I use regularly. Just one recent example—a conversation on the ListServ about preferential payments—gave me tips that I used in an actual case. The specific information I picked up from this one discussion saved me $10,000, enough to cover my membership for many years!
- Steve Savino
Manager of Credit & Collections, ASSA Abloy Americas Division, New Haven, CT
Credit Today's Resource Directory and their online e-mail forum (ListServ) provide information on almost any credit-related topic you can think of. It is a great way to exchange information with other credit professionals. As the saying goes, "You don't know what you don't know."
- Scott Goen,
Credit Manager, Big Lots Stores, Inc., Wholesale Division
"We've recently started using the ListServ tool within Credit Today. This is phenomenal and powerful forum for gaining immediate feedback, ideas, and suggestions, relative to any credit topic under the sun, all in a real-time e-mail format."
-Javier Vela, Senior Credit Manager, Global Credit Services, JDA Software Group Inc.
"Being a part of the Credit Today online community is like having the expertise of hundreds of credit managers at your fingertips. These credit execs are willing to help you solve topical business issues as they arise. In the current environment of ever increasing competing priorities which reduce our opportunities to meet peers out of the office face-to-face, this is the most valuable tool you can have on your desktop! It's important that we have a mechanism to reach out to our counterparts quickly to exchange knowledge as well as to stay on top of industry trends."
- Victoria Artis, Director of Customer Financial Services, Pfizer, Inc.
"Over the last 10 years I've seen Credit Today evolve from a monthly credit publication into a quality source of information and guidance for the B2B credit community. The website, with its user friendly form downloads, will take you from examples of new account credit applications to bankruptcy forms and everything in between.
The Credit Today ListServ has become the pre-imminent online forum, providing an opportunity for discussion and comments (and occasional humor) from an impressive list of credit professionals."
David Dungan, Director of Credit
Justin Brands, Inc. (A Berkshire Hathaway company)
Fort Worth, Texas
"There are numerous credit periodicals available to the credit professional today. How good is Credit Today? Is it relevant? I always have to read it late, or online because my credit analysts want to read it the minute it comes in. When my staff wants to read a publication before I have a chance to read it then something is working in that publication. We have cancelled our other subscriptions. When you have the best you do not need the rest."
Ron Woods
Corporate Credit Manager-World Wide
Thales Navigation, Inc.
"The newsletter, coupled with the website and the ListServ, are to us, more valuable than any other credit publication, bar none. I try to use at least one article out of each newsletter for departmental training/discussion sessions."
D. Mark Constantine
Corporate Credit Mgr
Fulton Paper Company
"I love Credit Today and read every issue cover to cover. For me, the greatest perk of a subscription is ListServ. I believe Credit Today's ListServ members may be the most knowledgeable Credit brain trust in existence today. I have saved and categorized hundreds of contributions on a wide variety of topics which I refer to often. It's an easy and cost effective way to network and learn."
Doug M. Thomas
Kimberly-Clark Customer Financial Services |
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Is It Time for "Super" Customer Support?
A "super" customer support department made up of Credit, Customer Service, and other related functions is gaining hot-topic status in the business press. Certainly there are some persuasive arguments for the concept. But this veteran California woman isn't buying them. "I know it has been more than 30 years since I attended college," admits Credit Manager Margaret Spencer of CaliSem Laboratories (Garden Grove Cal.). "But I have a strong recollection from my economics courses that division of labor and specialization tended to improve productivity, shorten cycle times, and reduce waste. From what I can tell, this "super" department concept discourages rather than encourages specialization."
She notes that the goals of the so-called super department include:
- Offering customers with concerns or complaints or who want to place an order. One telephone number to call to reach a person that can take care of them immediately. In theory, Super department personnel would handle billing errors, shipping errors, return merchandise authorizations, and the same department would accept new orders, amend orders, reschedule orders, or cancel orders.
- Affording each of the members of the "super" group the opportunity to cross train in other functional areas (e.g., order entry personnel would learn how to process return merchandise authorizations]. This cross-functional training would reduce boredom, would make each worker more well rounded, and therefore more valuable to the company. Also, having cross trained, cross-functional teams handling the same group of accounts would reduce the
disruption when an employee is ill, on vacation, resigns or is terminated.
This is accomplished (in theory) by assigning a core group of employees to a specific list of customers in a specific territory so that this group of employees will get to know the salespeople and the customers in the territory, and by doing so will provide superior customer support.However, critics of the super department concept argue that specialization is the key to productivity improvement. In particular, critics such as Spencer argue that there is simply too much information for each employee in a super group to absorb to be good at every aspect of a combined credit, collection, cash application, order entry, help desk, and RMA approval desk. "If you become an expert in two or three different functional areas, you'll always be busy and you'll always be in demand," she says. "If you try to become an expert in too many areas, you'll either be confused or confusing." She points out that the two most important steps before a major reorganization, such as creating the super customer support department, are:
- Understanding what needs you intend to satisfy by making the change, and then,
- Being certain that the change you are planning to make will satisfy those needs.
"The stated purpose of the super department is to satisfy customers' need for "one-stop shopping," she says. "Simple enough, except for the possibility that that customers may or may not care about one-stop shopping." So before making this radical change to satisfy an unfulfilled need, she continues, it would be a good idea to ask customers some specific questions to determine what their needs are, including:
- Are you unhappy with the current level of customer service you received from us?
- What specifically are you unhappy about?
- What specific problems have you experienced?
- Were you dissatisfied with the service you received or the answer you were given or both?
- What do you think we should have done differently?
- Did your dissatisfaction cost us business?
- How much business did we lose?
- What changes would you like to see made?
"Customer surveys often contain surprises," she notes. "You may find out customers with problems get transferred from department to department like a hot potato, and because no one wants to take responsibility for solving their problem they are frustrated and you are losing repeat business. If this is the case, the idea of creating a customer support department concept may have merit."You are likely to find out that your customers employ specialists. For example, you might learn that (a) only the customer's buyer calls to place orders, (b) only the customer's technical support rep calls your help desk for technical information; and (c) only the customer's warehouse manager calls for authorization to return defective merchandise stockpiled in the customer's warehouse. And, if you surveyed the buyer, the tech support rep and the warehouse manager you might learn that none of them care that each of them has a different point of contact within your company. And if this were true, then reorganizing the company to provide one point of contact would have no effect on customer satisfaction. What are the customer's needs? According to Spencer, almost all customers are satisfied if they receive "a high quality product, at a low price, delivered promptly and in good condition--and problems with product, price and delivery are not going to be solved by eliminating the credit department and having one point of contact," She adds, "Having one point of contact is not going to make any customer happy unless the contact person has the ability, the authority and the autonomy to do whatever it takes, whatever it costs, to make the customer happy. It is unlikely that any company is going to delegate this much power to one employee or to one customer support team." Editor's Note: The above article originally appeared in the Credit & Collection Manager's Letter, a newsletter purchased by Credit Today in 2006. This article originally appeared prior to 2000.
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Outlook 2012
This month's survey explores...
- What the top problems are facing credit execs currently, and
- What the top improvement initiatives are.
Click here to participate!
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