CUSTOMER SERVICE AND CORPORATE SOCIAL RESPONSIBILITY

Objectives
Define CUSTOMER SERVICE and CORPORATE SOCIAL RESPONSIBILITY Discuss the importance of CUSTOMER SERVICE AND CSR Give examples as to how companies can employ Customer Service and CSR Nuance discussion on Philippines Perspective while giving links to above objectives

Context:
Present-day consumers are proactive and empowered. More are informed More and more are very sensitive to customer service Now we can call them Prosumers; thats why Customer Service and CSR are important in retail management

Definition:
CUSTOMER SERVICE Set of activities and programs to make a better customer experience (Retailing Business Model: customer is involved) CORPORATE SOCIAL RESPONSIBILITY What an organization does to influence the society in which it exists Business giving back to society

Why are they important?

CUSTOMER SERVICE Service Differentiation (Part of Retail Market Strategy: Sustainable Competitive Advantage) Whats so unique with Service Differentiation? CORP SOCIAL RESP Ethical Concerns? Utilitarian? Part of Corporate Image and Public Perception In line with state interests and benefits of conforming to state interests

Examples
CUSTOMER SERVICE Credit Card Payment Home Delivery Dressing Rooms Gift Wrapping Parking CORP SOCIAL RESP SM Scholarship SMC subsidiaries doing community work promoting basketball among youth Jollibee AlayKabuhayan scholarship project

CUSTOMER SERVICE
Exact product; different service Hard to be flexible with prices (competition with local and imports) Customers are more willing to pay for better service

2 STRATEGIES
CUSTOMIZED APPROACH Customization of customer interactions Tailor-fitting service to meet customers personal needs Ex: Customer service assistants in SM Con: Large possibility of inconsistency STANDARDIZED APPROACH Relies on policy, rules and procedures Ensures consistent implementation of above Ex: getting same food and service at Jollibee Con: only when customers know what they want

Customer Evaluation
How will you know if customers respond positively to your customer service? Customers are asked to rate service through: > survey questionnaires > SMS feedback system Provides critical info on strengths and weaknesses of service; for improvement

Gaps
Knowledge Gap- rectified through training Standards Gap- corrected by supervision Delivery Gap- through training and strict supervision Communication Gap- training and development programs

Corporate Social Responsibility

History: Andrew Carnegies The Gospel of Wealth (1899) based on two principles: charity and stewardship. Charity principle- more fortunate to assist less fortunate Stewardship- for the public good

Goals and Practices

Goal: Most companies see the need to improve the quality of life of the poor How will you do this?
According to Jeffrey Sachs (2006) First: Push Food Production Second: Improve Health Conditions Third: Move to International Trade

Philippines
Is CSR new to Philippine Culture? Democratic principles and Judeo-Christian tradition Historic Past: Code of Kalantiaw and Code of Maragtas In Fact: During pre-Spanish period, Arab and Chinese traders admired our integrity in business

Philippine Customer Service

Filipino Values and How Companies Respond to them Examples of Services in the Philippines:
Delivery Service Prayer Room Air-Conditioned Shopping Areas ATM Terminals Large Parking Areas

Philippine Multinational Companies

San Miguel Corporation Unilab Jollibee Food Corporation SM Investment Corporation JG Summit Holdings

Profile
More into food, beverage, medicines and shopping mall portfolio except JG Summit which is diverse. (Most of these items are top commodities) Leading in their areas in terms of technology, human capital, and value chain management. Operational experience and excellence, Customer Loyalty Behave within internationalization theory Market-seeking investment

Examples of CSR Programs

Community Projects: environment and livelihood Scholarship Grants Environmental Initiatives

 Employee training and development Gawad Kalinga Medical-Dental Missions

 Alay-Kabuhayan Job Creation for the Youth Habitat for Humanity Philippines

 Job Creation Entrepreneurial Opportunity Gawad Kalinga

 Job Creation Livelihood Programs Gawad Kalinga

Conclusion
Ensure holistic operational efficiency and effectiveness of programs by ensuring capability-building and peopleempowerment not mere doling out of material aids Ensure that customer service and corporate social responsibility are integrated into each business model