Ongoing supply chain issues have placed further stress on supplier-customer relationships, at a crucial time when businesses face mounting challenges in a shaky economic climate.
Luke Smoothy, Founder and Director of London-based manufacturing partner Get It Made, urges companies to put customer service at the heart of their business strategy to get it right
While many SMEs are working hard to stay afloat in an era of ‘sink or swim’, going back to the drawing board and adapting a more customer service-oriented approach might not be top priority as supply chains remain fractured, but this might be part of the problem. This is compounded by the fact that emerging changes and trends in customer behaviours are being driven by the events of the past few years, so that customers now demand more.
However, businesses can slowly gain back control, through a much-needed real shift in business strategy that puts the customer service first, for both products and services. More than that, it could well be a golden opportunity to focus on this key area which is often erroneously forgotten, at worst woefully neglected.
Here are five simple tips how businesses can make that change to benefit both customers and businesses alike:
- Be mindful
This isn’t some zen philosophy, but rather just plain common sense. Embracing a more customer-centric approach might sound obvious and a no-brainer, but it is surprising just how many businesses, particularly while trying to fight for survival and develop an ‘all hands on deck’ mindset, have lost sight of this – unintentionality or otherwise. Manufacturing is no different; it’s an industry where customer engagement must no longer be viewed as a value add-on but a necessity. Ultimately, delivering personalised service does help manufacturing companies increase customer retention and win new business. This is backed by findings which reveal 52% of manufacturing executives find it increasingly difficult to compete based on product quality alone, while a huge 86% believe that customer service can now be a key differentiator.
- Embrace micro-automation
In order to truly scale and grow a business, companies need to increase revenue without scaling costs. How? One way is through the use of micro-automation. Rather than expending thousands of pounds on custom software systems, SMEs can use the power of the No Code Movement and automate repetitive tasks using tools such as Zapier. Tools such as this can be deployed faster, at lower cost and using non-invasive methods to deliver greater efficiencies. This has replaced the need for more employees which eats into profits. Micro-automations are one reason why Get It Made has been able to grow to be a multi-million-pound business, whilst only hiring three additional staff.
- Adopt a lean mentality
By developing a ‘lean mentality’ throughout a business, owners and decision makers must identify what activities and resources add value to customers and what do not. Then they must look to eliminate non-value adding activities whilst boosting value-add activities. What features of their product or service do customers respond well to? What do they not care about? This insight can then be used to harness a mentality that focuses on offering excellent, responsive customer service, offering the right information, at the right time.
- Harness Manufacturing as a Service
Manufacturers can sometimes forget that they’re also service companies. The current supply chain disruption calls out for an alignment and the removal of friction, making sure projects run smoothly from quotation to delivery of parts. Manufacturing as a Service as a one-stop solution must now be a critical part of the manufacturing process, and at the forefront of every manufacturing business’ mind so it can encourage efficiency and better build customer relationships. It may sound clichéd, but it’s a fundamental element being perilously overlooked in the supply chain.
- Understand the rule of 1s and 3s
One simple principle that will help SMEs to develop a long-term business strategy is the rule of 1s and 3s. Simply put, companies need to reinvent their external and internal processes for milestones of 3 and 10. For example, when a customer base expands from 10 customers to 30 customers, SMEs will likely need to change the way they interact with their customers. Similarly, when 30 customers become 100 customers, again businesses need to reinvent their operations. However, successful companies don’t attempt to make these changes overnight, rather they continually work towards the next milestone as part of a long-term strategy.