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Customers Can Ruin Your Business and HR's Role as Savior

HR's role is very pivotal during difficult times that organisations face in strong competition and where Customers appear to be very strong critics.

Customers are the main business deciders. Your strategic plan ought to cover each and every aspect of Identifying and Satisfying Customers' Needs.

But this is not it. Earlier, in the absence of social media, customers could impact an organisation (at maximum) by relinquishing the product,  which used to give some breath to the organization to get up from stumbling.

Now, things have literally changed when customers do not only relinquish the product; but take revenge of being given a bad product. They express their heart out on social media, which brings an immediate impact. However, this is also not that extreme in front of some 'Naughty Customers' who always appear complaining even without organisation's fault.

This term 'Naughty Customers' has recently emerged when some organisations came across a situation (lately) when customers were not willing to value quality with price and they just put some businesses down. Organisations could not get sufficient time to absorb the rapid attack and stumbled all of a sudden.

Hence, now organizations (Diligent Organisations) have started taking this situation under strong pondering as part of their Strategic Management process.

What role should HR play in this?

HR departments have to evolve seriously in this rapidly changing business environment.  They have to be adept at (at least) having a thorough understanding of core business functions just similar to Chief Operating Officers.

Following are the core areas where HR can make a difference by strong contribution:

- Be extremely adept at Recruitment. That means being in contact with potential candidates.

- Be extremely adept at identifying necessary skills (during selection process) that could contribute towards Customer Retention.

- To be able to influence existing employees towards the strategic plan achievement.

- To have at least 50% of Training Budget on Customer Retention.

Customer Retention is a broad area which could involve many segments such as Call Centre Team, Sales Team, After Sales Service, Delivery Partners, Your Ability to Get the Desired Product From the Vendor etc.

HR's role as a Strategic Business Partner in Customer Retention has been found to be highly effective and result oriented.

- Employee Engagement Activities. This is also an important part since it helps HR influence people when organisations are willing to listen to employees' problems and needs. There is a direct relationship between Identifying and Satisfying employees' needs and Identifying and Satisfying customers' needs.

Therefore, HR can truly help an organisation in this changing business environment.


By Farhan Hanif (PHRi, SHRM-CP CHRP)

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