What does a Customer Intimate design look like?
Below is a customer intimacy example of a Fast-Moving Consumer Goods company (FMCG) which could be applied to any sales function and shows a move from a complex functional design to a more customer intimate design. The company had customers who bought products from four different parts of the organization, food, beverage, confectionery and pet food.
The customer would have separate points of contact for each of the four markets (see Figure 1 below for one of our customer intimacy examples). A complex process, involving duplication of work, variations in approaches and results, leading to wasted time for the customers. This coupled with poor internal coordination between each of the functional markets within the organization was increasing costs and reducing the company’s reputation with its customers.
Figure 1 – Market Functionalisation to Customer Design
To solve this problem the company went about moving all the complexity the customer was having to deal with in-house (see Figure 2 below for another one of our customer intimacy examples). They created customer teams which would do the work of talking to each market and then being a single point of contact for the customer. Keeping it simple, consistent and efficient.
The customer teams were able to work closely with their customer, building the relationship, tailoring solutions to their needs. On one level this approach increases some complexity in-house for the FMCG company. However this is outweighed by the overall benefits to the customer whose experience is improved. This improvement leads to better business performance and reputation for the FMCG in the wider market place. In turn they are better placed than their competitors to quickly respond to new products and services requirements.
Figure 2 – Customer Focused Hybrid Functionalisation to Customer Design
How do I design for Customer Intimacy?
At OTM we use an integrated and holistic methodology based around our Applied Star Model to take clients through a process of change. From business direction, value stream mapping and structure to management mechanisms, people process and reward. The process leaves no stone unturned when redesigning organisation to achieve their strategic goals. Working and supporting teams collaboratively from start to finish.
Josh Jones is a Consultant and Project Lead at ON THE MARK.
To learn more about redesigning an organization, contact OTM.
ON THE MARK is the leader in organization design. We are a global boutique consultancy with offices in the USA and UK. OTM owns the industry’s most integrated, comprehensive and holistic solution. The team at ON THE MARK also enables clients to realize their future ambitions.