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Introduction

            “customers’ always being right” is a
wrong statement that causes many companies to lose their employees as they get
abused by the customer. However, this is not the only problem. Based on “Every
Customer Counts” there is a main problem which is management. Management
include many resources and area and one of them is human resources and customer
service which needs to be resolved in order for the company to not lose any
customers. I will be presenting two types of solutions. One type is the
recommended solutions which rely one structure of business and management
organization.This solution is long term that purposes the development of the
company. The other type is the alternative solutions which is a set of decision
that needs to be taken to solve the issues. This set of solution is short-term
by which is able to minimize the lost of customers.

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Stating the Issues

There are many issues that the
storage-record company is facing. First issue is that the customer service .

Based on the  article it was  mentioned”the service is poor” which totally
indicates there is a problem. The second issue is the limited employee who is
responsible for collecting bills.  The
article stated “We had one collections guy who was spending hours and hours
going after eight accounts that owed us $50
a month, our minimum fee.” Only one person is neither efficient nor
sufficient to collect bills from a big company that has many customers. In
addition what the article states brings a third issue which is many time and
energy are being wasted over customer who owes the minimum fee. More time and
energy could be spended on accounts which have huge balances that are past
due.The fourth that I see from the article that when the company loses a
customer, it costs up 200,000 in sales which is a significant amount that it
could be saved. As a result, the company may lose many customers which highly
affects the company’s profit and reputation. As a new hired analyst, I came up
with the plan that could prevent the company from any lost and increase the
number of customers.       

Recommended solutions:

First thing I need to do as newly
hired executive is a  management
resolution. Management is “the process of coordinating people and other
resources to achieve the goals of the organization. Most organizations use four
kinds of resources” (Pride, Hughes, Kapoor 162) Further, as an executive i need
to look into the strategies of management using Material resources, Human
resources, financial resources, and informal resources. Those resources will
help achieve the strategies of management such as planning, organizing,
leading, motivating employees and controlling. We need to set a goal for the
company which is minimizing losing the customer as possible and increasing the
number of customers per year. In order to reach to the goal we need to perform
the “SWOT analysis” (Pride, Hughes, Kapoor 164). which helps identifying the
weaknesses and the strengths that the company have. The weaknesses that the
company have is: customer service,few employees, and not able to collect past
due balances. Strengths are, not losing many customer every year as the article
mentions, having great people who can discuss alternative solution like brade
who was mentioned in the article, and having physical sources such as a
building for the company.

The first element for basic element
function is to choose the appropriate plan which I believe that it should be a
“an organization’s strategic plan, it’s a broadest plan that is developed for
evaluating major policy setting and decision making” (Pride,
Hughes, Kapoor 166).

The company’s goal is to increase the number of customers by 50% for the next 5
years. Our objective is to improve customer service giving employees training,
work on administrations for decision making and 
policies, and develop marketing 
and minimize losing customers by 
the end of the year. The second element that’s important in organizing
the business is organizing the enterprise, which mean organizing the different
departments in the company to accomplish specific result. In this case, I would
assign tasks for every department. For example, 
human resources department needs to be responsible for employee
training, recruiting, and orientation. Financial department is responsible for
collecting  balances and making payments
plan in case customers can’t pay on time.

            The
third element is leading and motivating. Motivating is one of the most core
concept that  would be the most
effective. If we reward our employees, they will give us the best they can do.

For instances, we can arrange rewards such as arise, a promotion, recognition,
or a bonuses for employees who makes a hard effort. For example, we can
encourage our employees by announcing that for every new account they open,
they will be getting $300 bounce. The fourth element is , Controlling ongoing
Activities, This department particularly has three tasks, the first is to set
an expected performance with certain tasks for every department which at the
end meet the common goal for the company. Second task is to evaluate each
department performance and I would suggest to be monthly. For instances, we can
ask every manager to write a detailed reports regarding issues, concerns, and
employees performance. Third task is to get involved correctively if needed. By
which I mean if there’s any behavior or concerns that needs to be corrected,
this department has the freedom to do so.

            In
addition to the management strategies and basic function. There are major
consideration for organizing a business. One consideration is Organization
charts.  It is very important to
represent the positions and the relationships between them.Since our company is
very small we can determine the chain of command which is the “line of
authority that extends from the highest level to the lowest” (Pride, Hughes, Kapoor 234).  This will be
very essential for the company as we can easily determine who is responsible
for setting the goals and how employees and stuff can assist with advisory to
reach to the goal. In order to do so, we need to have a job design for each
position by dividing the organization into separate parts and within those
parts  positions are being distributed.

This will lead to having the third consideration, departminization which means
deciding the roles of every department in our company in this case it would be
by function. The fourth element is delegation, which is distributing the
authority for each department within the divided part. for example, the mangers
for every department who has an authority over the team and the executive
office which has an authority over managers. The fifth element is span of
management. It means deciding the number of managers for each department. (Pride, Hughes, Kapoor 243). I suggest having one manger who lead the external
issue of the team. In addition we can have one leader position who is involved
into the internal issue and communication within the team.  Lastly, A chain of command, which include the
owner, president and vice president as the overhead position that have a direct
authority.

            Based on the reformation, and the
consideration for organizing a business. It creates strong structure for the
company. Having this structure we can easily solve the four issues stated
above. We can solve the issue of customer service by our newly structured human
resources team who will provide training, orientation, and a curriculum for all
employees. These curriculum and training will make all of the employees to be
aware of their roles and tasks to be met. Also by providing the motivation announcement
that I mentioned above, it will encourage all employees to do their best. The
second use of only having one accountant could be easily solved by hiring 2
other qualified accountant. In addition, the structure of the business with the
corporation of the executive team can discuss actively how customers should pay
their past due balance. For example, we can send a termination notice with a
notice of transferring the balance to a collection agency which solves the
third issue. The fourth issue could be solved as yes, sometimes its okay to let
customer go and lose $200,00. However, as having a good structure for business
we need to implement the element of marketing in our company.

In order to save money, I won’t hire
a marketing company. Rather, I would ask the recruiting team within the HR team
to hire a marketing specialist and a website designer.  I think we need to follow the Customer
relationship management(CRM)”is the
process of using information about customers to create marketing strategies that
develop and sustain desirable customer relationships” (Pride,
Hughes, Kapoor
401).  Commercial database is also very
beneficial such as LEIXS-NEXIS to help making marketing decision. In addition,
I believe that the role of social media, such as Facebook, instagram, Snapchat,
and twitter is a great way of marketing and not pricey as well. In addition, we
could encourage our customer to rate the company on yelp and they will get $100
off their balance.

Alternative solutions:

We can just start with the making
decision process instead of structurally rebuilding the strategy of the
company. First task is that to ask the recruiting team to hire at least 2 more
accountants to help collecting money. Preferably, they will be from different
culture as diversity is very important for the office.With the corporation of
the executive office and accounting office I will change the following: first,
try to convince customer to have a credit on file for auto payment to ensure
receiving the balance. Second, hiring a collection agency that will be
responsible for collecting past due balance that exceeds $300. Researchers show
that customer care about their credit so, customer will pay their balance to
prevent going to collection agency (Deville 4). Third, rewrite the customer
contract stating that in case of past due balance, customer will receive only
one notice with the termination of the account and transferring the balance for
collecting agency. Fourth, if any representative felt disrespected or abused by
any customer, I or the executive team should be informed immediately,
“customers are not always right.” Employees are very valuable for the company.

In conclusion, I believe that my
preferable solutions that include, management plan, goals, objective,
organization charts, human resources reconsideration,job design, informal and
controlling resources, motivating employees, chain of demand, and marketing
will reach to the target which is increasing the customers percentage 50% in 5
years will be reached. More importantly, the goal will become bigger every year
because the solutions that I suggested is very structured. . In addition, more
employee will be interested into such growing company to contribute. On the
other hand if we only considered the alternative solutions, it will solve the
current problems only. It won’t create a steady administration or management to
encounter any later problems. In addition, it won’t make the company grow,
rather it will just keep the company where it stays and no improvement. Don’t
get me wrong I am not gainsit the alternative solution. I mean that those
alternative solutions will be taken and included automatically anyway once we
have stable foundation of management with a plan, goal, and departmenziation.

This won’t only lead to a strong company with high profit, but it also give
credibility and best service to any customer who are more than welcome to have
his/her business with us.

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