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“Taking the best of the past to build the future” – The Hertz 21st Century “Customer Experience”
Welcome to the Global Customer Experience team and to our first internal team communication .

Customer Experience is a fundamental part of our business strategy as we continue to grow as a
company. We must differentiate and distance ourselves from our competitors by building and
delivering the best customer experience in our industry. This we will do together as we stage the
“Love Hertz” Show.




Our Team has been created to build a new customer experience; an experience that is difficult for our
competitors to copy, an experience that is a differentiator —our customers choose Hertz because

of how it feels to do business with us   – “the experience!”
Competitive customer experience comes from implementing innovative ways of serving our
customers and by doing the basics better than our competitors.

Influences on the customer experience are broad and deep-rooted, so we need to become experts at
the fundamentals of our business. The different findings presented by the various Customer
Experience studies that Hertz commissioned - London Business School, McKinley and JD Powers -
all reveal a common theme - that world class customer experiences are successfully designed and
managed ‘as theatres’, across every touch-point, with employees as actors and the customer as
the audience and the customer experience as the show Talent Management teaches and rehearses
the actors to correctly perform the script to when on stage in front of their audience – our customers
and their customer experience.


                     The
                « LOVE HERTZ »
                     Show


Let me share with you our story that is at the heart of the Hertz cultural transformation that we
will roll-out as the “Love Hertz” Show. Scott Williams, CX Program Manger, December 2008.

Why “Love Hertz”? The tattoo represents the program logo and is emblematic of our commitment
to our brand. If we expect our customers to be committed to “love Hertz” it is important that Hertz
employees have the right reasons to believe in their “company of choice. Together, we will restage
our innovative services with staff enriched and tuned in to our customer’s desires and our role in their
lifestyles.
Where we have come from, where we are going and how we are going to get there –




The Kick Off
         The Customer Experience Program was originally kicked off with a meeting at Park Ridge
          in July, with the various domain leads, that are championing the program and the project
          from both the US and Europe;
         The Domain leads examined and identified the greatest opportunities that existed for Hertz
          to revamp the Customer Experience.
The Promise Design Team Workshop, July 2008
        Following the Domain lead meeting a three day Promise Design workshop was held in
         Park Ridge, in July with the employees nominated for program from both Europe and US.
        The objective of this workshop was to immerse the group into program and to familiarize
         participants with the expected output of the program.




        During the workshop a full day session was conducted in order to get ideas around the
         areas of opportunity identified by the Domain Leads as having high potential.

        Groups broke out by promise and examined the domain leads information.

            “I remember when I was there….there was such a feeling in
            the air of excitement of what all the possibilities were.
            The groups also worked really well together
            and because of that were able to build on
            each others ideas which allowed many more
            ideas to pour out”.   Donna Vecchione, Simple, Fast and Easy Promise Team Member
The Portfolio

      The original program plan intended for selected projects to be launched in March 2009.

      However, due to the current financial environment the program restructured in August with
       the intent of not eroding the output of the program as a whole but to look for opportunities
       to implement projects that we are calling quick wins.
      Quick wins are projects that require low resources to start.

      The projects that have been selected are regrouped in a Portfolio known as Track One.

      Whilst implementing Track One in 2008, we continue to build the portfolio of Track 2 with
       the larger more innovative projects that were identified and that allow us to impact our
       customer experience.

      The 2 track approach is actually working out well.

      Firstly, we are able to immediately start to put in place projects as pilots in hothouses thus
       getting some momentum for the program.

      Secondly, a lot of current Track 1 projects roll up nicely into the larger more innovative
       projects of Track 2.

      Track one provides us with a real opportunity to test some of these projects in a real life
       environment before scaling them up more globally.
      Also the London Business School conducted a 7 week study for Hertz looking at 30 best-
       in-class service companies.

      When the core Customer Experience team met together in Uxbridge at the end of
       September, the London Business School gave us a good feedback session and presented
       the different opportunities that the London Business School foresees in terms of positive
       impact on our Customer Experience.

The Output
      Following this presentation the core team looked at the output of all of the studies
       conducted LBS, JD Powers and McKinley.
      These results were then aligned to the ideas and propositions generated during the
       Promise Design Workshop.
      All propositions were examined and the team decided which projects give us the biggest
       impact and which ones were achievable in Track I and which projects needed to be pushed
       to Track II.
      Next the team reexamined track II projects to determine if there are any sub-projects in
       Track II process that we could be trialed in Track I which is planned to be implemented in
       November 08 and to run to mid Feb 09 timeframe.
      The final step was to organize the selected projects into Track 1 portfolio or track 2
       portfolio.
      Tuesday 14 Oct, we held a conference call with Domain leads to present the Track 1
       portfolio and the proposed projects that it contains..
      This call was followed up4 break-out sessions with each of the Promise Champions their
       respective Promise teams and certain Domain Leads..
   The Promise champions talked about specific projects that they are working on, providing
       deeper input and feedback opportunities for these projects as well as answers to any
       questions that the Domain leads may have had..

Finalizing Track 1 Portfolio
      To finalize Track I portfolio the portfolio has been sent copy to RVP’s for input.
      Tuesday 21 October we presented the portfolio to all RVP’s from both the US and Europe.
      The 31 October 2008, Scott Williams presented the Final Portfolio of Track 1 initiatives to
       the Program’s Executive Steering Committee (M. Taride, L. Lindberg, and L. Boyd).
      Following this presentation the CX Team was asked to re look at certain projects and
       combine them whenever possible. Also project alignments with HIP initiatives need to be
       reexamined.
      Beginning of November up to now CX Team has been contacting and working with the
       RVP’s or GM’s of the locations chosen as hothouses with the object of deciding which
       initiatives would best fit into which location.
Customer Experience is a fundamental part of our business strategy.




As with all companies that have made the transformation into public ownership, there is one
thing that shareholders value above all and that is cost-effective growth.

    To grow we must have competitive prices enabled by a competitive cost base, we must
     have a good supply of new products and offerings which our customers really value, and
     we must take market share by having the best customer experience in our industry.

   These three growth levers are what we have been driving as a leadership team.

         o You all know how vigorously we have been addressing cost-effectiveness with our
           widespread HIP and Genesis initiatives.

         o New ventures like Simply Wheelz and Car Sharing are among the many new
           product offerings being worked around the World.

         o The third factor that is hardest for our competitors to copy: establishing and
           sustaining a customer experience that is in itself a differentiator —in other words,
           the experience is so good, that Hertz is chosen just because of how it feels to do
           business with us.
Program vision – building an exceptional internal customer experience for our employees as
well as for our customers. Our number one priority for our Chief Human Resources Officer !




              The Hertz customer experience vision is intended to provide inspiration and direction
               for all those employees in the business whose work influences the delivery of the
               experience that our customers desire, and should enjoy and remember inciting them
               to come back and rent again and again.




              This vision ties together many initiatives, as well as helping us to decide on the form
               and priority of customer experience improvements
Why we need a customer experience vision:
                  Customers have increasingly high expectations, and unprecedented choice and
                   information – particularly from the web.

                  Finding an experience which exceeds those expectations and creates a lasting
                   impression with the customer is essential to our profitable growth and for our future
                   differentiation in an increasingly commoditized sector.

                  Hertz has the brand reach to challenge industry trends as long as we consistently
                   prove our brand messages through simple, affordable and liberating car rental.

Key Messages Hot house launch - US & Europe




Idea – MT video (2- 3 minutes) to be shown to Hothouse employees by Promise Champions during kick off - Hothouse
employee meeting: Thursday 6 November 2008 at Uxbridge.


      
First ever truly global program designed to innovate and revolutionize the Hertz
Customer experience.
New era for Hertz –You are one the first locations chosen – a role model for future roll-
outs
Why I am championing the program




Exciting projects – employee ideas from around the world, put into action. 2 Track
approach – quick wins now and big innovations later.




                                                                                     
           
    




        
    
Employee is the center of our success- engaged employees create positive customer
experiences
Opportunity to participate and contribute to something unique in the business taking car
rental to a new level




Theatre concept – why (actors, stage, backstage, roles). Looking at things differently
Disney, Virgin etc;




  The theater is about giving life to the details.
      Every aspect of the production from the personality of the actors, to the design and reality of
       the props, draws the audience in.
      If our business reflects on the stage, we can have our audience feeling an emotional
       attachment to the performance provided in their experience.
      To convey this emotion, we need to reflect on our production, in order to inspire our actors to
       deliver a perfect performance.
We have created five different personas to represent different types of Hertz customers as a
human face rather than a set of data.

This enables us to have a better understanding of and empathy with our customers’ goals,
desires, limitations and behaviors, thereby avoiding the common mistake of developing a
customer experience to suit ourselves - instead we ask the question ‘would Miranda, or Bill use
or like this?’

The personas also allow us to communicate a specific, consistent understanding of each
customer’s needs in order to develop experiences, processes or services that are tailored to
meet their needs.

Putting on a show for our customers – they’ll want to come back
because of the experience that you created.
Everyone has a role – on stage roles and backstage support roles
First get the basics right – Details! Details! Detail makes all the difference!




We’ll create, learn and discover together as we build a new customer experience for the
21 Century.
Good luck….be vocal….. Share your ideas…..senior management is behind you and we’ll
teach you to use the strategic architectures, scorecards and measurement tools (Pulse,
NPS etc) that we have built with you.

   Together we’ll make the difference! - As we transform our
    lean organization into a company of choice, both for our
         employees and for our customers and partners
Taking The Best Of The Past To Build The Future 2008
Taking The Best Of The Past To Build The Future 2008

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Taking The Best Of The Past To Build The Future 2008

  • 1. “Taking the best of the past to build the future” – The Hertz 21st Century “Customer Experience”
  • 2.
  • 3. Welcome to the Global Customer Experience team and to our first internal team communication . Customer Experience is a fundamental part of our business strategy as we continue to grow as a company. We must differentiate and distance ourselves from our competitors by building and delivering the best customer experience in our industry. This we will do together as we stage the “Love Hertz” Show. Our Team has been created to build a new customer experience; an experience that is difficult for our competitors to copy, an experience that is a differentiator —our customers choose Hertz because of how it feels to do business with us – “the experience!” Competitive customer experience comes from implementing innovative ways of serving our customers and by doing the basics better than our competitors. Influences on the customer experience are broad and deep-rooted, so we need to become experts at the fundamentals of our business. The different findings presented by the various Customer Experience studies that Hertz commissioned - London Business School, McKinley and JD Powers - all reveal a common theme - that world class customer experiences are successfully designed and managed ‘as theatres’, across every touch-point, with employees as actors and the customer as the audience and the customer experience as the show Talent Management teaches and rehearses the actors to correctly perform the script to when on stage in front of their audience – our customers and their customer experience. The « LOVE HERTZ » Show Let me share with you our story that is at the heart of the Hertz cultural transformation that we will roll-out as the “Love Hertz” Show. Scott Williams, CX Program Manger, December 2008. Why “Love Hertz”? The tattoo represents the program logo and is emblematic of our commitment to our brand. If we expect our customers to be committed to “love Hertz” it is important that Hertz employees have the right reasons to believe in their “company of choice. Together, we will restage our innovative services with staff enriched and tuned in to our customer’s desires and our role in their lifestyles.
  • 4. Where we have come from, where we are going and how we are going to get there – The Kick Off  The Customer Experience Program was originally kicked off with a meeting at Park Ridge in July, with the various domain leads, that are championing the program and the project from both the US and Europe;  The Domain leads examined and identified the greatest opportunities that existed for Hertz to revamp the Customer Experience.
  • 5.
  • 6.
  • 7.
  • 8.
  • 9. The Promise Design Team Workshop, July 2008  Following the Domain lead meeting a three day Promise Design workshop was held in Park Ridge, in July with the employees nominated for program from both Europe and US.  The objective of this workshop was to immerse the group into program and to familiarize participants with the expected output of the program.  During the workshop a full day session was conducted in order to get ideas around the areas of opportunity identified by the Domain Leads as having high potential.  Groups broke out by promise and examined the domain leads information. “I remember when I was there….there was such a feeling in the air of excitement of what all the possibilities were. The groups also worked really well together and because of that were able to build on each others ideas which allowed many more ideas to pour out”. Donna Vecchione, Simple, Fast and Easy Promise Team Member
  • 10. The Portfolio  The original program plan intended for selected projects to be launched in March 2009.  However, due to the current financial environment the program restructured in August with the intent of not eroding the output of the program as a whole but to look for opportunities to implement projects that we are calling quick wins.  Quick wins are projects that require low resources to start.  The projects that have been selected are regrouped in a Portfolio known as Track One.  Whilst implementing Track One in 2008, we continue to build the portfolio of Track 2 with the larger more innovative projects that were identified and that allow us to impact our customer experience.  The 2 track approach is actually working out well.  Firstly, we are able to immediately start to put in place projects as pilots in hothouses thus getting some momentum for the program.  Secondly, a lot of current Track 1 projects roll up nicely into the larger more innovative projects of Track 2.  Track one provides us with a real opportunity to test some of these projects in a real life environment before scaling them up more globally.  Also the London Business School conducted a 7 week study for Hertz looking at 30 best- in-class service companies.  When the core Customer Experience team met together in Uxbridge at the end of September, the London Business School gave us a good feedback session and presented the different opportunities that the London Business School foresees in terms of positive impact on our Customer Experience. The Output  Following this presentation the core team looked at the output of all of the studies conducted LBS, JD Powers and McKinley.  These results were then aligned to the ideas and propositions generated during the Promise Design Workshop.  All propositions were examined and the team decided which projects give us the biggest impact and which ones were achievable in Track I and which projects needed to be pushed to Track II.  Next the team reexamined track II projects to determine if there are any sub-projects in Track II process that we could be trialed in Track I which is planned to be implemented in November 08 and to run to mid Feb 09 timeframe.  The final step was to organize the selected projects into Track 1 portfolio or track 2 portfolio.  Tuesday 14 Oct, we held a conference call with Domain leads to present the Track 1 portfolio and the proposed projects that it contains..  This call was followed up4 break-out sessions with each of the Promise Champions their respective Promise teams and certain Domain Leads..
  • 11. The Promise champions talked about specific projects that they are working on, providing deeper input and feedback opportunities for these projects as well as answers to any questions that the Domain leads may have had.. Finalizing Track 1 Portfolio  To finalize Track I portfolio the portfolio has been sent copy to RVP’s for input.  Tuesday 21 October we presented the portfolio to all RVP’s from both the US and Europe.  The 31 October 2008, Scott Williams presented the Final Portfolio of Track 1 initiatives to the Program’s Executive Steering Committee (M. Taride, L. Lindberg, and L. Boyd).  Following this presentation the CX Team was asked to re look at certain projects and combine them whenever possible. Also project alignments with HIP initiatives need to be reexamined.  Beginning of November up to now CX Team has been contacting and working with the RVP’s or GM’s of the locations chosen as hothouses with the object of deciding which initiatives would best fit into which location.
  • 12. Customer Experience is a fundamental part of our business strategy. As with all companies that have made the transformation into public ownership, there is one thing that shareholders value above all and that is cost-effective growth.  To grow we must have competitive prices enabled by a competitive cost base, we must have a good supply of new products and offerings which our customers really value, and we must take market share by having the best customer experience in our industry. These three growth levers are what we have been driving as a leadership team. o You all know how vigorously we have been addressing cost-effectiveness with our widespread HIP and Genesis initiatives. o New ventures like Simply Wheelz and Car Sharing are among the many new product offerings being worked around the World. o The third factor that is hardest for our competitors to copy: establishing and sustaining a customer experience that is in itself a differentiator —in other words, the experience is so good, that Hertz is chosen just because of how it feels to do business with us.
  • 13. Program vision – building an exceptional internal customer experience for our employees as well as for our customers. Our number one priority for our Chief Human Resources Officer !  The Hertz customer experience vision is intended to provide inspiration and direction for all those employees in the business whose work influences the delivery of the experience that our customers desire, and should enjoy and remember inciting them to come back and rent again and again.  This vision ties together many initiatives, as well as helping us to decide on the form and priority of customer experience improvements
  • 14. Why we need a customer experience vision:  Customers have increasingly high expectations, and unprecedented choice and information – particularly from the web.  Finding an experience which exceeds those expectations and creates a lasting impression with the customer is essential to our profitable growth and for our future differentiation in an increasingly commoditized sector.  Hertz has the brand reach to challenge industry trends as long as we consistently prove our brand messages through simple, affordable and liberating car rental. Key Messages Hot house launch - US & Europe Idea – MT video (2- 3 minutes) to be shown to Hothouse employees by Promise Champions during kick off - Hothouse employee meeting: Thursday 6 November 2008 at Uxbridge.  
  • 15. First ever truly global program designed to innovate and revolutionize the Hertz Customer experience.
  • 16. New era for Hertz –You are one the first locations chosen – a role model for future roll- outs
  • 17. Why I am championing the program Exciting projects – employee ideas from around the world, put into action. 2 Track approach – quick wins now and big innovations later. 
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  • 19. Employee is the center of our success- engaged employees create positive customer experiences
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  • 23. Opportunity to participate and contribute to something unique in the business taking car rental to a new level Theatre concept – why (actors, stage, backstage, roles). Looking at things differently Disney, Virgin etc; The theater is about giving life to the details.  Every aspect of the production from the personality of the actors, to the design and reality of the props, draws the audience in.  If our business reflects on the stage, we can have our audience feeling an emotional attachment to the performance provided in their experience.  To convey this emotion, we need to reflect on our production, in order to inspire our actors to deliver a perfect performance.
  • 24. We have created five different personas to represent different types of Hertz customers as a human face rather than a set of data. This enables us to have a better understanding of and empathy with our customers’ goals, desires, limitations and behaviors, thereby avoiding the common mistake of developing a customer experience to suit ourselves - instead we ask the question ‘would Miranda, or Bill use or like this?’ The personas also allow us to communicate a specific, consistent understanding of each customer’s needs in order to develop experiences, processes or services that are tailored to meet their needs. Putting on a show for our customers – they’ll want to come back because of the experience that you created.
  • 25. Everyone has a role – on stage roles and backstage support roles
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  • 65. First get the basics right – Details! Details! Detail makes all the difference! We’ll create, learn and discover together as we build a new customer experience for the 21 Century.
  • 66. Good luck….be vocal….. Share your ideas…..senior management is behind you and we’ll teach you to use the strategic architectures, scorecards and measurement tools (Pulse, NPS etc) that we have built with you. Together we’ll make the difference! - As we transform our lean organization into a company of choice, both for our employees and for our customers and partners