Understanding Customer-Centric Digital Transformation

#BadassBookAlert Kate Tarling's The Service Organization offers a blueprint for organizations that want to deliver high-quality services efficiently, with a strong emphasis on customer needs and internal alignment. This book delves into the systemic issues that affect service delivery and proposes practical steps for creating service-oriented cultures. "A service is not what the organization thinks it provides but what a user experiences." Kate stresses that services should be designed based on real user experiences and needs, not around internal processes or organizational structures. This is vital for both customer satisfaction and operational efficiency. "A service organization needs to design for the entire system, not just the touchpoints." Organizations often approach service improvement with isolated fixes or one-off projects, which she argues are insufficient. Systemic, organizational change is necessary to build sustainable service improvements. "We can't design effective services if each part of the organization is working in isolation." Modern service organizations have to break down silos and ensure departments collaborate effectively. Cross-functional teams are key to ensuring that services meet user needs and organizational goals. "Good services are designed and then redesigned as we learn more." Service organizations should not view their work as static. Tarling advocates for iterative design processes that involve ongoing testing, learning, and adaptation. "The people who work on services must be trusted to shape them." To build a truly service-centric organization, employees must be empowered to make decisions and provide input into how services are delivered. This fosters accountability and innovation. In the age of digital transformation, companies that focus on the customer journey and needs will outperform those that remain focused on internal metrics or outdated processes. For example, the approach resonates with businesses that prioritize service design and UX, ensuring all touchpoints are seamless and intuitive. Many modern businesses, especially large corporations, still struggle with departmental silos. Applying Tarling’s insights can help these organizations unify their efforts, ensuring that all teams (from customer service to IT) are aligned around shared goals. Tarling’s emphasis on continuous improvement ties into modern agile and lean methodologies, where the focus is on testing, learning, and evolving quickly to meet changing needs. This book is a great read for companies and designers looking to thrive in today’s service-driven economy. Her work underscores the importance of designing services with users in mind, embracing systemic change, fostering collaboration, and focusing on continuous improvement. This approach is highly applicable to businesses across industries, from healthcare to technology. #SystemsDesign #ServiceDesign #BusinessDesign #OrgDesign #Strategy

Your customers lie to you, probably not intentionally. But telling hard truths can be scary. They want to be nice about it. But that’s not helpful for the future of your business. What customers say when they churn vs. what they actually mean: "Your product is missing features" = "Your product doesn't solve MY specific problem" "It's too expensive" = "I'm not getting enough value" "We had budget cuts" = "You weren't essential enough to keep" "The UX is confusing" = "The value isn't worth the effort" As CS leaders, we're trained to take these feedback points and turn them into action plans. But are we hearing what customers are really telling us? Behind every churn reason is a deeper message about value alignment. The question isn't just "How do we fix this issue?" but "Is this the right customer for our solution?" Here's what savvy CS leaders do with each type of feedback: When they say "Missing Features": → Most teams build a roadmap item and promise it for next quarter → Smart CS teams ask: "Which customers succeed without this feature? How are they solving this problem with our current product?" Gather these success stories and either: • Share alternative approaches with similar customers • Use them to refine your targeting toward customers who fit your current solution When they say "Too Expensive": → Most teams offer discounts or create cheaper tiers → Smart CS teams investigate: "Where are we failing to demonstrate value?" This usually means: • Your onboarding isn't highlighting the right use cases • Your metrics aren't aligned with their business outcomes • Your CSMs aren't speaking the language of value When they say "Budget Cuts": → Most teams accept it as unavoidable and move on → Smart CS teams recognize this as the ultimate value failure and ask: "Why weren't we essential?" Then they: • Interview decision-makers to understand prioritization criteria • Adjust success plans to align with executive priorities • Build value frameworks that speak directly to budget holders When they say "Confusing UX": → Most teams send it to product and hope for a fix → Smart CS teams dig deeper: "What specific value were they trying to unlock?" Then they: • Create targeted enablement materials for those specific use cases • Develop more prescriptive implementation approaches • Simplify by removing options, not adding more "intuitive" features

The real gap between digital leaders and laggards isn’t just in technology—it's in mindset. The 𝐃𝐢𝐠𝐢𝐭𝐚𝐥 𝐃𝐢𝐯𝐢𝐝𝐞 isn’t about who has the best tools; it’s about who knows how to wield them. The difference between average and excellent isn’t in the number of systems implemented but in the strategic intent behind them. True digital transformation isn’t just an IT initiative—it’s a company-wide movement, a reimagining of what’s possible when leadership, innovation, and agility align. 𝐖𝐡𝐚𝐭 𝐀𝐯𝐞𝐫𝐚𝐠𝐞 𝐋𝐨𝐨𝐤𝐬 𝐋𝐢𝐤𝐞: • 𝐓𝐞𝐜𝐡𝐧𝐨𝐥𝐨𝐠𝐲-𝐅𝐨𝐜𝐮𝐬𝐞𝐝 𝐋𝐞𝐚𝐝𝐞𝐫𝐬𝐡𝐢𝐩: CIOs and CTOs leading the charge, with an inward focus on IT infrastructure. • 𝐄𝐟𝐟𝐢𝐜𝐢𝐞𝐧𝐜𝐲 𝐎𝐯𝐞𝐫 𝐈𝐧𝐧𝐨𝐯𝐚𝐭𝐢𝐨𝐧: Tracking efficiency and business performance without a broader view towards future capabilities. • 𝐂𝐚𝐮𝐭𝐢𝐨𝐮𝐬 𝐏𝐫𝐨𝐠𝐫𝐞𝐬𝐬: Proceeding with digital steps without the urgency to outpace the evolving market demands. • 𝐎𝐩𝐞𝐫𝐚𝐭𝐢𝐨𝐧𝐚𝐥 𝐒𝐭𝐚𝐛𝐢𝐥𝐢𝐭𝐲: Maintaining the status quo in operations, favoring predictability over agility. • 𝐒𝐭𝐚𝐧𝐝𝐚𝐫𝐝 𝐓𝐨𝐨𝐥 𝐀𝐝𝐨𝐩𝐭𝐢𝐨𝐧: Providing employees with collaboration tools without fostering a culture of digital innovation. • 𝐁𝐚𝐜𝐤𝐞𝐧𝐝 𝐏𝐫𝐢𝐨𝐫𝐢𝐭𝐢𝐳𝐚𝐭𝐢𝐨𝐧: Concentrating on backend upgrades before considering the customer-facing aspects of the business. • 𝐒𝐢𝐥𝐨𝐞𝐝 𝐃𝐚𝐭𝐚 𝐔𝐭𝐢𝐥𝐢𝐳𝐚𝐭𝐢𝐨𝐧: Using data for routine business operations rather than as a cornerstone for transformation and innovation. 𝐖𝐡𝐚𝐭 𝐄𝐱𝐜𝐞𝐥𝐥𝐞𝐧𝐭 𝐋𝐨𝐨𝐤𝐬 𝐋𝐢𝐤𝐞: • 𝐋𝐞𝐚𝐝𝐞𝐫𝐬𝐡𝐢𝐩 𝐟𝐫𝐨𝐦 𝐭𝐡𝐞 𝐓𝐨𝐩: Transformation championed by CEOs, integrating digital priorities within the company’s vision. • 𝐂𝐨𝐦𝐦𝐢𝐭𝐦𝐞𝐧𝐭 𝐭𝐨 𝐈𝐧𝐧𝐨𝐯𝐚𝐭𝐢𝐨𝐧: Measuring success through the lens of innovation and digital proficiency. • 𝐒𝐭𝐫𝐚𝐭𝐞𝐠𝐢𝐜 𝐀𝐜𝐜𝐞𝐥𝐞𝐫𝐚𝐭𝐢𝐨𝐧: Not merely adapting but actively advancing digital initiatives, even in challenging economic climates. • 𝐎𝐩𝐞𝐫𝐚𝐭𝐢𝐨𝐧𝐚𝐥 𝐀𝐠𝐢𝐥𝐢𝐭𝐲: A culture that embraces operational efficiency as a path to competitive advantage. • 𝐏𝐞𝐨𝐩𝐥𝐞 𝐚𝐬 𝐏𝐫𝐢𝐨𝐫𝐢𝐭𝐲: Investing in employee engagement and digital literacy, recognizing that technology amplifies human potential. • 𝐂𝐮𝐬𝐭𝐨𝐦𝐞𝐫-𝐂𝐞𝐧𝐭𝐫𝐢𝐜 𝐄𝐯𝐨𝐥𝐮𝐭𝐢𝐨𝐧: Prioritizing the customer experience with a strategy that adapts proactively to their needs and behaviors. • 𝐃𝐚𝐭𝐚-𝐃𝐫𝐢𝐯𝐞𝐧 𝐃𝐞𝐜𝐢𝐬𝐢𝐨𝐧𝐬: Leveraging AI and data analytics not only to inform decisions but to foster a culture of continuous improvement. 𝐅𝐮𝐥𝐥 𝐚𝐫𝐭𝐢𝐜𝐥𝐞: https://lnkd.in/eU_Cc3ga ******************************************* • Visit www.jeffwinterinsights.com for access to all my content and to stay current on Industry 4.0 and other cool tech trends • Ring the 🔔 for notifications!

Is your enterprise go-to-market strategy actually solving customer problems, or just hitting internal metrics? In a fascinating conversation with Mary Catherine Plunkett, VP of Customer Success Design Autodesk on the latest episode of Good Revenue, we unpacked why traditional go-to-market approaches are failing modern businesses - and what to do about it. Here's why this matters: Mary Catherine successfully led a $100M partner incentive restructuring at Autodesk that could have been disastrous. Instead, partners loved it. How? By completely reframing the conversation around customer needs rather than internal metrics. 🔑 Key insights: 🔸 Customer experience leaders significantly outperform market laggards (with data to back it up) 🔸Why integrating design thinking across go-to-market strategies is so effective across the enterprise 🔸 Shifting from a traditional sales model to a customer-focused one can be solved through human-centered design and deeply understanding your customer’s "jobs to be done" 🔸 Why strategic conversations should happen anytime, not just during the annual planner 🔸 The effectiveness of Roger Martin's strategic choice framework (from Playing to Win)  🔸 Why you should move beyond Net Promoter Scores (NPS) to a deeper trust dialogue with customers 🔸 Creating shared KPIs (or better yet, steering metrics) to foster cross-functional team collaboration / alignment (which also requires shared vocabulary and decision-making frameworks) 🎯 The big takeaway: We're at an inflection point in go-to-market strategy. Companies that don't fundamentally shift to customer-centric approaches in the next 5-10 years will be left behind. Join us as we explore how design thinking has helped Autodesk align go-to-market and sales with improved customer experiences and outcomes. Episode link in comments 👇 #designthinking #customerexperience #humancentereddesign #business #innovation

Can a deep understanding of your processes be the key to Customer Experience success? Regrettably, only 25 percent of Customer Experience (CX) professionals report that their companies’ CX programs effectively enhance customer experience.   My belief? The solution lies in connecting the dots, ensuring clear traceability from customer experience to the lowest level detail impacting that experience. Let's delve into why I believe process is the key to unlocking exceptional customer satisfaction.   Success in any transformative digital journey lies not in a technology-centric mindset, but in one that places customers at the center.   Providing customers with an exceptional experience is the key to unlocking customer loyalty, outshining competitors, enhancing brand reputation, and reaping the rewards of valuable customer insights. A recent study demonstrated the success of this customer-centric approach, with 84 percent of organizations that focus on improving customer experiences reporting increased revenue, and 79 percent attesting to significant cost savings. Deepening relationships with existing customers partly explain these findings, as acquiring new customers can cost as much as five times more than retaining existing ones, and loyal customers spend 67 percent more than new ones.   Two prominent tools that CX teams leverage for this research are Customer Personas and Customer Journeys. Customer personas are archetypal representations of existing customer subsets who share similar goals and motivations.  Customer journeys represent the comprehensive series of interactions a customer has with a product or service. These journeys encompass details related to the customer persona — including touchpoints, needs, emotional responses, and pain points.   Identifying root causes is the first step. However, coordinating change across organizational silos also poses a significant challenge. By linking points in the Customer Journey to specific processes within a complete Process Inventory, organizations can precisely identify root causes and facilitate the implementation of necessary changes. Moreover, establishing the needed customer centric cultural shift involves creating a direct connection between employees’ day-to-day tasks and their impact on the customer. This connection is critical for fostering accountability and driving success.   As we navigate the landscape of customer experience, establishing these linkages requires more than just intent—it demands a robust process capability to connect the dots effectively. So, I ask: Is your organization doing enough to prioritize the customer at every turn? To learn more about this approach, check out my book Digital Transformation Success https://a.co/d/2QSq8qf

What does a more 𝐩𝐫𝐨𝐝𝐮𝐜𝐭 and 𝐜𝐮𝐬𝐭𝐨𝐦𝐞𝐫 centric data organization 'look' like? I've started to believe that many of our biggest challenges in the data world are partially due to highly ineffective organizational structures. We are ineffective because we are neither customer nor product centric in how we design our organizations or how we align responsibilities within them. For example - we're talking a lot about data products, but our data teams look nothing like what a product team, or even a manufacturing team, would traditionally 'look' like. Our data teams largely look the same as they've looked for the last 20 years. This means that doing things like calculating the business value of our data, being more customer centric, or following more traditional manufacturing or product development processes are difficult - if not completely impossible. Many of us want to 'shift left' and get closer to business applications, but when we do, we lack a focus on understanding those applications and business processes. Many of us want to 'shift right' and get closer to our consumers, but when we do, we lack the necessary product management and financial planning skills. We may change some titles (like from 'analyst' to 'product owner'), but little is fundamentally different in how we operate. That must change. We have 20 years of data to show the status quo is not delivering the transformational changes from data that our organizations expect, so bold new perspectives are needed. What do I mean by 'bold'? 1️⃣ For starters, let's mostly 𝐠𝐞𝐭 𝐫𝐢𝐝 𝐨𝐟 𝐭𝐡𝐞 𝐝𝐚𝐭𝐚 𝐠𝐨𝐯𝐞𝐫𝐧𝐚𝐧𝐜𝐞 𝐟𝐮𝐧𝐜𝐭𝐢𝐨𝐧 and instead have that role be subsumed by product managers who are focused exclusively on building great products that drive customer value. 2️⃣ Let's 𝐚𝐥𝐢𝐠𝐧 𝐨𝐮𝐫𝐬𝐞𝐥𝐯𝐞𝐬 𝐚𝐫𝐨𝐮𝐧𝐝 𝐜𝐮𝐬𝐭𝐨𝐦𝐞𝐫 𝐧𝐞𝐞𝐝𝐬 (and not data mgt disciplines), where we are relentlessly focused on quantifying the value of our products and services, and where the cost of our function is supported by the value we deliver. 3️⃣ Let's c𝐫𝐞𝐚𝐭𝐞 𝐝𝐚𝐭𝐚 𝐬𝐮𝐩𝐩𝐥𝐲 𝐜𝐡𝐚𝐢𝐧 𝐚𝐧𝐝 𝐦𝐚𝐧𝐮𝐟𝐚𝐜𝐭𝐮𝐫𝐢𝐧𝐠 𝐩𝐫𝐨𝐜𝐞𝐬𝐬𝐞𝐬 that support both scalability and re-use, AND highly bespoke product solutions. 4️⃣ Let's deeply embrace the 𝐝𝐢𝐬𝐜𝐢𝐩𝐥𝐢𝐧𝐞 𝐨𝐟 𝐩𝐫𝐨𝐝𝐮𝐜𝐭 𝐦𝐚𝐧𝐚𝐠𝐞𝐦𝐞𝐧𝐭. If we do these things, I think our orgs start to look more like what I have included here. But that's just my opinion. What do you think? #cdo #datagovernance #datamanagement

Scaling Strategy #40: Customer-Centric Scaling Growth without customer focus isn’t growth—it’s erosion. In this week’s strategy (from my '50 Scaling Strategies' eBook), I unpack how leaders can maintain deep customer connection while scaling operations, teams, and technology. Backed by real-world data and a proven Deloitte framework, this edition outlines a tactical roadmap for embedding customer insight into every part of your business. You’ll learn: - Why churn increases when feedback loops break down - How to align cross-functional teams around customer goals, and - What customer-centricity looks like at scale + Plus, I share a client case study showing how a simple shift in feedback operations led to a measurable drop in churn and increase in customer LTV! Read this issue if: – Your team is scaling faster than your customer experience – NPS, satisfaction, or renewal rates have plateaued – You want a battle-tested framework to operationalize customer-first thinking Framework Featured: Deloitte’s Customer-Centric Operating Model (CCOM) Sam Palazzolo 🟢 Real Strategies. Real Results. Delivered weekly. #customercentric #businessgrowth #executivecoaching #scaling