Processes and Customer Involvement

Many processes are designed keeping in mind that value is provided by involving the customer in the delivery of the final product.  The involvement may range from self service to the customer by deciding the time and place where the service is to be provided.

Self  Service : This  can be explained with  the help of following  example for example morning  store  in Delhi  started a new trend in buying  groceries by introducing self service. This was a change from the traditional system where the customer gave a list to the grocer who then supplied the items. Morning store found that they not only saved money by not employing people, but also they increased sales due to a high level of impulse buying. Though traditionally self service was meant to save money and thereby provide greater value to the customer, it soon found application for other strategic considerations also.

Product Selection: Business organizations are increasingly attempting to involve their customers in the product design by providing them different options for customization. For example  Maruti Udyog limited the premier automobile manufacturer in India in a bid to retain its premier position in the market is offering customization for its basic car model the Maruti 800 even before consumers have demanded it.  The customer has been offered a choice of color combinations material and functionality adds- ons. The facility is not only available on new purchases but also available for in use cars so that the company retain the goodwill of its existing customers.  This of option has implications both in product as well as process design decisions.

Partnerships: Organizations engage in an active dialogue with customers using new emerging technologies.  Customers are increasingly becoming partners in creating value. Customers can now decide the time and location where the service or product is to be delivered. Pricing and billing systems are modified to customer convenience.