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The Secrets Of Customer Success & Happiness (Part-1) - 7 Important Metrics To Measure & Improve Customer Happiness

June 27, 2022

The Secrets Of Customer Success & Happiness (Part-1) - 7 Important Metrics To Measure & Improve Customer Happiness

Special Bytes By Dr. Amruta Hiwarkar, Customer Success Manager

The Secrets Of Customer Success & Happiness (Part-1) 

7 Important Metrics To Measure & Improve Customer Happiness


Special Bytes By Dr. Amruta Hiwarkar, Customer Success Manager

The Secrets Of Customer Success & Happiness (Part-1) - 7 Important Metrics To Measure & Improve Customer Happiness

“Service management KPIs are all looking good. The dashboards are green, but customers may be still unhappy. It shows whether you are measuring the wrong things or analyzing with the wrong lens.”

In this Special Bytes episode, our guest Dr. Amruta Hiwarkar talks about seven important metrics to measure and improve customer happiness.

Don't miss the part where she discusses the evil watermelon effect and how it impacts the happiness of customers.

"The primary aim of service management is to delight customers and users, meet business expectations, and enable the IT organization to progress its vision and mission. if your customers are unhappy, then metrics do not matter, as simple as it is."

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Transcript

Amruta Hiwarkar: Welcome back to the AITSM Show. I am Amruta Hiwarkar And I work as a Customer Success Manager at AutomationEdge. In today's special bytes episode, we will discuss a topic that is the most important of all. As you know, customer satisfaction is paramount for any IT Service Management organization. However, there are a plethora of metrics, but a few are key to customer happiness and satisfaction.

Here we discuss seven such metrics to track and achieve customer delight.

Let's see, number one, first contact resolution rate, or first touch resolution rate. First touch resolution rate. FTR is a percentage of issues resolved during the first call itself eliminating further calls or conversations. High FTR means greater customer satisfaction and is a sign of incident management maturity. FTR rate results in happy customer. It is crucial and saves dollars because service desk resources are less costly than L2 and L3 support. This can be manipulated like MTTR closing calls quickly without ensuring the resolution and customer remains unhappy.

The Next is a call reopened. The number of call reopened because the incident closed before fully resolving it. The target is complete customer satisfaction and resolution of an issue. Calls should be closed only after ensuring the fix. Calls reopened can quickly reduce customer happiness, then a slow yet complete resolution.

Now let's see time to resolve. Mean time to resolve, is the average time to resolve an incident once it is reported to the service desk, sorted by priority. The metric relates to customer satisfaction. The faster you resolve the issue, the faster your customer can get back to work. However, someone can easily manipulate this metric. If calls are closed too quickly, without confirming that the customer resolution is complete, the MTTR may look good, but your customer will not be happy. The phenomenon is known as watermelon metrics. Your dashboard are green, but customer satisfaction is red, when you cut and open. Rewarding Increasing MTTR numbers could be counterproductive.

Number four, end user knowledge article access frequency. How often your customer use the knowledge base, shows the effectiveness of the information or knowledge base article. If customers do not use articles, we need to point them to the required information and educate them about self help. The metric can be necessary for the problem management area. While customers can resolve and issue themselves the very issue shows a loss of productivity where problem management can intervene and fix it.

 Let's look at the fifth one. This is service availability. We measure service availability for reliability, maintainability, serviceability, performance, and security. We measure availability as a percentage. This calculation is usually based on the agreed service time and downtime. Most SLAs will have a percentage of available downtime. Imagine this is three hours per month. A significant outage could quickly fill up all the downtime specified in the SLAs understandable by the customer. But if critical service has momentary interruptions at a regular intervals, if it is unavailable 60 times each month for three minutes at a time, these service interruptions cause significant disruption to productivity. You need to ensure you report the total downtime for the month and the number of service disruptions.

Okay, let's see what is the next. It's a customer or user satisfaction. We measure end user satisfaction via a periodic survey or other mechanisms. Here also the watermelon effect plays a role. Service management KPI are all good looking. The dashboards are green, but customers are still unhappy. It shows whether you are measuring the wrong things or analyzing with the wrong lens. What you are to do. The primary aim of service management is to delight customers and users, meet business expectations, and enable the IT organization to progress its vision and mission. if your customers are unhappy, then metrics do not matter, as simple as it is.

Now. Let's see the last, but the important one is net promoter score. Net promoter score is another good way of knowing customer satisfaction and loyalty to a product service or a company. The usual survey question is on the scale of zero to ten how likely are you to recommend us to a friend or a colleague? NPS is equal to the percentage of high scores like nine or ten minus the percentage of low scores equal to or below six, ignoring neutral scores like seven and eight.

Which metrics do you use. Please share your experiences.

Thanks a lot for listening. I hope this added value to ultimate goal, measuring and improving your customer's happiness. Please let us know what topics we could add here and give us feedback. And if you have loved it, please share it generously. Thank you again. Bye bye. Take care.

Dr. Amruta Hiwarkar Profile Photo

Dr. Amruta Hiwarkar

Customer Success Manager, AutomationEdge

With 12+ years in IT Industry and Academics, have played various key roles in diversified areas like Academics, HR, Resource Management, Customer Engagement & PMO. My passion for People Management reflects in my Doctorate in Intrapreneurship & Employee Engagement. The core strength of Connecting the Dots and taking ownership helps me drive Customer Success.