Internal Relationship Marketing

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    Internal Relationship Marketing - Presentation Transcript

    1. Internal marketing Fri 7 Sep 07
      • Recommended for mature audiences
      • Sexual references
      M 15+
    2. Internal marketing (IM)
      • An organisational activity which is said to improve external market performance
    3. History
      • To improve customer service
      Total Quality Control Logistics Customer Service Customer Perceived Quality Third Phase 1980s 1990s 1993
    4. History
      • 1. Internal communications
        • The need for motivation
        • Customer conscious employees
      2. Treat employees as internal customers (originally tested in Japan). Leads to treating as internal products. IM 2 school of thoughts
      • Customer service improvement program
      • “ involve staff in making the kinds of internal changes to policies and procedures”
    5. “ False Start”
      • Outside consulting (British Airways)
        • “ cascading down”
        • invited staff to participate and provide feedback in a quick series of programs
      • Result
      • Didn’t anticipate mass feedback
      • No clear focus on customer needs
      • Didn’t get know-how
      • Raised expectations of staff
    6. IM Lessons
      • Potential breakdown of relationship – hard to get their participation in future
      • Where you can’t fulfil a promise, make sure there’s a backup plan
    7. “ New Start”
      • Customer Service Study
      • Participants were from across the industry
      • Trade relationship
      • Strategic decision – evidence of “backup plan”
    8. “ New Start” – cont.
      • Purpose
      • Maintain ongoing presence of ANZ’s interest in valuing staff and their feedback
        • To show staff change of path but with same purpose
        • Maintain trust with staff
    9. “ New Start” – cont. Agents for change Critical change workshop Groupies Critical service issues Diagnostic process
    10. Relationship-building characteristics
      • Outside help to facilitate
      • Volunteers
      • Free to come & go
      • Start & finish whenever
      • Attire as they pleased
      • Find own motivation
      • Groups of 3-5 (though most effective in 4)
      • Resource support
      • ANZ doesn’t set up rules and policies
      • Build trust
    11.  
    12. Reflection
      • Open communication
      • Opportunity to speak out
        • Staff fear achieving nothing, economical waste
        • Feel acknowledged
      • Important
      • ANZ learns staff do care
    13.  
    14. Result
      • Time and effort (worked 60-80hrs per week)
      • Interaction within & between groups
      • Group dynamics “explosion”
      • Able to distinguish which were critical
      • “ Groupies”
      • Important
      • Open communication, worked together not against
      • Open set-up *place of the 4Ps*
      • Co-creation
    15.  
    16. But wait, there’s more...
      • Party night
      • 40% recommendations actioned within 6 months
      • New Look branch designs already underway, re-addressed with considerations by staff suggestions
    17.  
    18. What about the other 60%?
      • Not everyone thought the recommendations were applicable to them
      • No $
      • Yes to issues & solutions, but takes time
      • Key internal marketing problems
      • “ False Start” again
      • Wider internal system
      • Resistance (power struggle)
    19.  
    20. Internal networking
      • Groupies initiated diagnostic review groups
      • ANZ continued support via customer service department
      • Important
      • Staff didn’t give up
      • ANZ reciprocated
      • Trust & confidence from both ends
    21.  
    22. Energising, code breaking & border crossing
      • Energising
      • Choice
      • Time & effort
      • Outside of job scope
    23. Energising, code breaking & border crossing – cont.
      • Border crossing
      • Spreading information
      • Code breaking
      • Identify problems & solutions, then implement (new know-how)
    24. Branches work together Identify problems & implement key solutions 60-80 hrs, voluntary effort Diagnostic review process Approach resistant managers Staff Knowledge Internal processes changed to serve customers first Goals & values Technical domain Structural domain Pyscho-social domain ANZ
    25. “ Evolutionary”
      • Change in review process to accommodate but achieve same result
      • Celebratory events
      • Customer service department continued support
      • Experienced groupies continued participation
      • Loyalty continued, support for internal network
    26. Internal relationship in play - proof of border crossing
      • Groupie approaches boss
      • Presented ideas were ok but no green light
      • Groupie didn’t give up
      • Efforts forced direct boss to implement
        • Assistant GM called to congratulate branch for initiating diagnostic review
    27. Overcoming boundaries Systems theory Boundaries Dynamics Hierarchy Potential hostile environment
    28. Path finding & routinising
      • Path finding
      • “ Get program back on track”
      • Routinising
      • Standardising diagnostic review process to achieve the same result more efficiently and continuously
    29. ANZ’s cyclical strategy Market research inputs Diagnostic work Review of training needs Implementing recommendations
    30. Key to internal networking
      • Choice
      • Legitimacy of purpose
      • Goals
      • Follow up
      • Cyclical
      • Others: risk, courage, seize, opportunity
    31. Overall
      • ANZ’s success resulted because of making staff feel valued through:
        • Open communication
        • Choice
        • Letting their staff know business direction
      • Key internal processes are refined to serve customers. Developed through:
        • Ongoing review, implementation & support
    32. Overall
      • ANZ brought together both school of thoughts
      • Need for & delivery of internal communication
      • +
      • Treating staff as customers
    33. Reference
      • Ballantyne, D. (1997) ‘Internal Networks for Internal Marketing’, Journal of Marketing Management, Vol. 13, p343-366.
    34. Reference for images
      • HBO (2007) ‘Sex and the City’ http://www.hbo.com/city/img/episode/season06_2/ep90_4women_restaurant.jpg . Accessed 3/9/07.
      • Photolibrary (2007) ‘Bedroom’ www.photolibary.com . Accessed 2/9/07.
      • Photolibrary (2007) ‘Police uniform’ www.photolibrary.com . Accessed 2/9/07.
      • Youtube (2007) ‘There’s something about Mary’ www.youtube.com . Accessed 2/9/07.
      • Everyday Weekender (2007) ‘Cooking a juicy steak to perfection’ http://www.everydayweekender.com/wp-content/uploads/2007/04/grilled_steak.jpg . Accessed 2/9/07.
      • Romantic Bedroom Designs (2007) ‘Romantic Bedroom’ www.romanticbedroomdesigns.com . Accessed 2/9/07.

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