Underlying processes

We need to understand some underlying process which help us how implementation fits in.

The underlying processes of CX development and implementation are as follows: 

  1. Portfolio analysis of clients: The primary activity of the CX chain of values is to inform clients. Collecting information to look at past client behavior and anticipating future behaviors is the basic purpose of producing a portfolio analysis. Portfolio analysis identifies current or potential consumers and classifies them into groups that are then assessed differently, and it can result in different groups of consumers being associated with different value criteria. Implement a portfolio of requirements and keep it in a regularly updated database. A well-developed database enables the company to better track customer behavior and their preferences when choosing a product/service. Based on the analysis of business performance between companies and clients, business strategies for certain consumer segments can be adapted.
  2.  Customer relationship: This is an activity aimed at identifying identity, profile, user demand analysis, and their preferences. It builds a database that has access to all employees and systems whose decisions or activities can affect the attitudes or behavior of a client. Intelligent data collection enables a good quality portfolio analysis.
  3. Network development: To achieve CX system goals, the company must develop a network of relationships with all stakeholders in the deployment process, including partners, investors, suppliers, and employees. The market position of the company depends on the goodness of the company's connections with its stakeholders. The quality of a company's business depends not only on a company's knowledge, but on the knowledge and skills of all network members and on the joint action to achieve common goals. The precondition for the successful operation of the stakeholders in the network is the high-quality exchange of information of the network's members. In addition, the quality of products and services contributes to the success and the profit of the company.
  4. Development of a value proposition: This is an activity where it is important to find the right ways of creating and delivering value to customers as well as sources of value creation. The customer satisfaction measurement process can help the company to understand what other customers are satisfied with and where there is a potential source of value creation.
  1. Client life cycle management: This is a client relationship management activity. In a client life cycle management activity, attention should be paid to two sub-actions: attracting (acquiring) and retaining (retention). The company should strive to attract and retain new customers by applying the appropriate strategy. An insight into customer relationship management quality is the monitoring of retained clients so that a potential customer departure problem may have been proactively acted upon by taking corrective measures to retain clients.

Supporting processes as a precondition for successful development and implementation of CX include the following:

  1. Enterprise leadership and culture: Enterprise management affects the outcome of the CX strategy's outcome. The management of the company makes strategic decisions which define the direction of business operations. In the case of a company with an implemented system, the operation will be directed to the client. Management seeks to respond to problems with the implementation of the CX system. If there is a marketing problem, the goal will be to improve business performance in terms of marketing activities, and if the problems in the sales process are seen as the basis for implementing CX, the goal will be expressed in terms of improving sales performance. The business mission and vision of the company will be presented.
  2. IT: High-quality customer information is a key element of a quality CX system. IT is traced through all major CX value chain phases—portfolio analysis, customer intimacy, network development, value proposition development, and customer life cycle management. Portfolio analysis is used to identify significant and possible future users. In developing a network, IT has the task of identifying, informing, and coordinating the business network, including suppliers, partners, and employees, thereby securing their contribution to value creation. The development of the value proposition results from the collected information on the client using IT, which points to the importance of information and IT.
  3. Human resources: This is the most important element in implementing CX's strategy for developing people's CX strategy, choosing appropriate IT solutions, creating and upgrading customer databases, creating marketing, sales and service processes, and in client conversation, contributing to customer satisfaction and their retention.
  4. Business processes: The way businesses operate, and from a CX perspective, processes must contribute to creating value, implying efficiency (low cost) and effectiveness (delivery of desired results).

Processes are subdivided into categories in terms of scope, importance, or visibility to customers. With regard to scope, they may be as follows: