Understanding what great service means for your business

When most of us think of service for our business we think of happy customers and, rightly so, this is super important, this is only a small part of what makes up great service for your business though.

Let me explain, heads up I’m about to hit you with an acronym!

KPI – Key Performance Indicator

Definition: A type of performance measurement, that demonstrates how effectively a company is achieving its business objectives. KPI’s are used to evaluate success at reaching targets.

So, what are the KPI’s you should care about for your business? This can be varied depending on your business type, goals and what you’re able to measure. There are a few ground rules to take into consideration when thinking up your KPI’s:

A goal – you need to know where you want to end up so you can get there!

A measure – each KPI needs to be measurable, no finger in the air numbers here

Data – A data source that will be used to measure the KPI

Tracking – plan out the frequency you’re going to “check in” and report on your KPI’s

  • Profit – let’s start with an obvious one! As much as we love our businesses, we run them to make a living. Having a clear idea of how much profit you need and where you are measuring against this is crucial
  • Customer satisfaction – No matter whether your sales or service based in your business we all need happy customers. This is a pretty easy one to gauge these days with most reviews being out of a score of 5 – set your sights high and smash it!
  • Order fulfilment time – are you getting them orders out quick enough?
  • Number of leads – are you hitting your quota of new customers per week, month?
  • Staff satisfaction – Happy staff are the backbone of your business
  • Traffic – whether it be social media, website or blog – are you getting the amount of traffic you need to bring those leads and sales in?

Hopefully this has helped give you an idea of the types of KPI’s you can track to evaluate your business’ service overall. In an ideal world all of these will be amazing and you’ll happily track them and give yourself a pat on the back……..yea right!! We all know the small business world is one of ups and downs, the great thing about KPI’s is when you’re going through these troughs you should be able to pinpoint why and put in place a plan of action.

Here’s what I mean……

Say you run a handmade craft business and you’ve noticed your profit isn’t where it needs to be, you’ve checked out your other KPI’s and can see that it’s been a while since you hit your preferred order fulfilment time and the knock on impact of this is over the last month your customer review scores haven’t been as good. Your website and social media traffic is great though.

You can now put a plan in place to bring these KPI’s back in line with what you need. It might mean setting expectations of higher lead times to customers for them to receive products, changing staff members shifts to accommodate a quicker turn around time or taking on new members of staff to get a higher turnover of products made. You can also utilise your great social media and web presence to your advantage to get any key messages across to support this.

Taking the guess work out of why your business isn’t doing as great as you’d like allows you to take meaningful actions in the areas where it counts. We have over 10 years’ experience in service delivery and can help make awesome service delivery plans for you and your business. We’d love to hear from you if you’d like some support with this.

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